Relatively new Murray Goulburn chief executive Gary Helou is singing from the same song sheet as the health boffins. Australia needs to move from a high-fat to low-fat dairy diet.
With that, he has told farmers he's going to cut costs by as much as $100 million. As he trims Murray Goulburn the former SunRice chief executive is slowly ticking the boxes on the to-do lists of most new CEOs, The Australian Financial Review reports.
A management shake-up is on the way after chief operating officer Paul Kerr and the company secretary Ian Bird were told their services were no longer required.
Mr Helou is charged with looking to the future. Top of mind must surely be Murray Goulburn's 11.4 per cent stake in Warrnambool Cheese & Butter and whether to retain the holding following its failed tilt. Bega Cheese spoiled its party by emerging as a white knight.
Bega has a 16.1 per cent stake. Its share base is poised to expand with farmers in Tatura Milk expected to vote overwhelmingly at a meeting today in favour of selling the 30 per cent Bega does not already own of their milk company. Tatura holders will get two Bega shares for every one Tatura share they own.
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