Alliance operations on move
The Alliance Group is in the process of transferring beef rendering operations to its new $25 million rendering plant at Lorneville in Invercargill.
Alliance Group chief executive Grant Cuff said the company started moving operations from the Mataura beef plant about a week ago.
It was also clearing out the rendering plant at Makarewa, where lamb slinks processing finished about a month ago, he said.
Alliance Group is consolidating its southern rendering operations at the new Lorneville plant to improve productivity.
Mr Cuff expected rendering operations at the Mataura beef plant and Makarewa venison plant to end within the month.
The annual report released this week showed restructuring costs of $2.5m, comprising asset write-downs and costs associated with the closures.
The report also showed $849,000 in redundancy costs.
Mr Cuff said there were jobs at the new plant but some people chose redundancy because of age and other factors.
Last month Alliance Group announced a turnover of $1.4 billion and its balance sheet showed an equity ratio of 61 per cent and an operating cash flow surplus of $89m.
- The Southland Times