Port loss hits council company
The Timaru District Council's holding company has lost $3,897,000.
Timaru District Holdings' (TDHL) 2012 annual report, tabled at a council meeting yesterday, attributed the loss mainly to its 71.42 per cent holding in PrimePort Timaru.
Despite the loss, the council's annual report showed it had made a surplus of $3,467,000 due to expenditure being below budget.
TDHL chair Janie Annear said the port had impaired the value of its assets by $10 million because of the loss of the container trade.
"PrimePort Timaru had a tough year operationally with storms and reduced container numbers.
"The 2011/2012 year had been a challenging year for the Timaru District Holdings group.
"The removal of a container service at PrimePort has resulted in a loss for the year but there is a solid future focusing on the breakbulk services."
TDHL was still able to pay a dividend of $2,094,000 to the district council.
Alpine Energy paid a dividend of $3,592,000 to TDHL and PrimePort paid a dividend of $321,000 from the previous financial year's earnings.
TDHL also has a 47.5 per cent holding in Alpine Energy and a 21 per cent holding in Te Ana Whakairo, which owns Te Ana Rock Art Centre. The council's annual report showed its overall debt sat at $74.8m, compared with a projected $80.4m.
- © Fairfax NZ News
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