Fonterra Shareholders’ Fund Interim Results 2024

Page 1

Results for announcement to the market
Results for announcement to the market
Name of issuer Fonterra Shareholders’ Fund
Reporting Period 6 months to 31 January 2024
Previous Reporting Period 6 months to 31 January 2023
Currency NZD
Amount (000s) Percentage change
Revenue from continuing
operations
$84,000 115%
Total Revenue $84,000 115%
Net profit/(loss) from continuing
operations
$nil -%
Total net profit/(loss) $nil -%
Interim Distribution
Amount per Quoted Equity
Security
$ 0.15
Imputed amount per Quoted
Equity Security
Not Applicable
Record Date 28/03/2024
Distribution Payment Date 11/04/2024
Current period Prior comparable period
Net tangible assets per Quoted
Equity Security
$3.41 $3.23
A brief explanation of any of the
figures above necessary to
enable the figures to be
understood
Please refer to the unaudited interim financial statements for further
explanation. Revenue from continuing operations comprises net fair value
movements of Economic Rights of Fonterra Shares, and (if any) dividend
income.
Authority for this announcement
Name of person

authorised to
make this announcement
Jackie Floyd

Contact person for this
announcement
Selena Robb

Contact phone number
+64 21 026 736 29

Contact email address
Investor.relations@fonterra.com

Date of release through MAP

21/03/2024

Unaudited interim financial statements accompany this announcement.

---

Fonterra
Shareholders’
Fund Interim
Report 2024
FOR THE SIX MONTHS ENDED 31 JANUARY 2024

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Chair ReportContentsInterim Financial StatementsIndependent Review ReportDirectorySignificant Accounting PoliciesNotes to the Interim Financial Statements

Contents
CHAIR REPORT04
MANAGER’S STATEMENT06
STATEMENT OF COMPREHENSIVE INCOME07
STATEMENT OF CHANGES IN AMOUNTS
ATTRIBUTABLE TO UNIT HOLDERS
07
STATEMENT OF FINANCIAL POSITION08
CASH FLOW STATEMENT08
SIGNIFICANT ACCOUNTING POLICIES09
NOTES TO THE INTERIM FINANCIAL STATEMENTS11
INDEPENDENT REVIEW REPORT13
DIRECTORY14
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Chair Report
Dear unit holders,
Fonterra’s profit after tax for the first
six months of the 2024 financial year
increased $128 million, or 23%, to
$674 million compared to the prior
period and equates to 40 cents per share
attributable to equity holders.
The earnings performance and continued strengthening of
its balance sheet have enabled Fonterra to declare an interim
dividend of 15 cents per share, up from 10 cents the prior year.
As a result, unit holders will receive an interim distribution
of 15 cents per unit. The record date for the interim distribution
is 28 March 2024 and the payment date is 11 April 2024. The
suspension of the distribution reinvestment plan remains in place.
Total Group EBIT increased $95 million, or 11%, to $953 million,
with $986 million and a loss of $33 million from continuing
and discontinued operations, respectively. Financing costs
reduced $68 million to $89 million reflecting lower average
total borrowings mainly due to higher earnings and divestments.
Fonterra has maintained its full year forecast continuing
operations earnings of 50 - 65 cents per share and narrowed
the range of its forecast Farmgate Milk Price to $7.50 - $8.10
per kgMS.
It is pleasing to see Fonterra has leveraged its scale and
diversification of channels and markets to perform well against
a backdrop of ongoing market volatility. This is evident in the
materially different composition of earnings between channels,
with lower earnings from Ingredients offset by higher earnings
in Foodservice and Consumer.
I will take the opportunity to note in this report some of the
highlights and challenges so far. For further clarity and detail, I
encourage you to read the other interim results material released
by Fonterra, that can be found on its Investor Relations webpage.
Continuing operations performance for
the first six months of FY24
The Fund, and the Board of FSF Management Company Limited
that oversees it, have no direct involvement in Fonterra’s
operations. However, as a holder of economic rights in Fonterra, the
performance of the Fund is tied directly to Fonterra’s performance.
Fonterra’s continuing operations EBIT for the first six months of the
prior financial year of $864 million included $162 million of consumer
brands impairments. After adjusting for these impairments,
underlying earnings for the first six months of FY24 were $40 million
behind the prior year, from $1,026 million to $986 million.
Fonterra’s Ingredients channel continuing operations EBIT
decreased $383 million, or 45%, to $467 million due to reduced
margins on its New Zealand milk, and Fonterra Australia’s
performance was impacted by a disconnect between global
commodity prices and Australian milk prices.
Fonterra’s Foodservice channel continuing operations EBIT has
improved, up $203 million, or 146%, to $342 million. The improved
performance has been due to favourable margins predominately
driven by the lower costs of goods sold, as well as benefits from
higher in-market pricing particularly in Fonterra’s Southeast Asia
markets. It is also pleasing to see volume growth mainly driven by
UHT cream in Greater China.
Fonterra’s Consumer channel continuing operations EBIT increased
$302 million to $177 million. The prior period was a loss of
$125 million and included $162 million of impairments relating to
Fonterra’s New Zealand consumer business and its Asia brands
Anlene, Anmum and Chesdale. After adjusting for the prior period
impairments, the improved performance has been driven by sales
volumes growth, mainly driven by demand in Sri Lanka and the
Middle East, and improved gross margins from favourable pricing
across most regions, and lower cost of milk.
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Fonterra’s balance sheet continues to strengthen. Net debt
was $1.6 billion lower, from $5.8 billion this time last year to
$4.2 billion reflecting the strong underlying performance of the
business, a reduction in working capital during the year and the
impact of divestments.
The improved earnings are the key driver in Fonterra’s higher
return on capital for the last 12 months, up from 8.6% this time
last year to 13.4%. It’s important to remember Fonterra reports
its return on capital over a 12-month period, and hence the 13.4%
includes the strong second half of last year.
Outlook for remainder of FY24
Fonterra has narrowed the forecast Farmgate Milk Price range
to $7.50 - $8.10 per kgMS, with a midpoint of $7.80 per kgMS.
The narrower range reflects Fonterra being well progressed
through the 2023/24 season, with the majority of its sales
book contracted.
Earnings per share from continuing operations for the
first six months of FY24 were 43 cents, and Fonterra has
maintained its forecast continuing operations earnings guidance
for the year of 50-65 cents per share. The range reflects the
second half being impacted by the increasing cost of milk placing
pressure on Foodservice and Consumer channels margins, and
Ingredients margins being impacted by the price relativities
between Reference and Non-Reference products returning to
more normal levels.
Mary Jane Daly
– Chair
Laura, Southland
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Manager’s Statement
FOR THE SIX MONTHS ENDED 31 JANUARY 2024
FSF Management Company Limited (the Manager)
presents to the unit holders the interim financial
statements for the Fonterra Shareholders’ Fund (the Fund)
for the six months ended 31 January 2024.
The Manager is responsible for presenting interim financial statements for the
six months which fairly present the financial position of the Fund and its financial
performance and cash flows for that period.
The Manager considers the interim financial statements of the Fund have been
prepared using accounting policies which have been consistently applied and
supported by reasonable judgements and estimates, and that all relevant financial
reporting and accounting standards have been followed.
The Manager believes that proper accounting records have been kept which enable,
with reasonable accuracy, the determination of the financial position of the Fund and
facilitate compliance of the interim financial statements with the Financial Markets
Conduct Act 2013 and the Fonterra Shareholders’ Fund Trust Deed.
The Manager considers that it has taken adequate steps to safeguard the assets of the
Fund, and to prevent and detect fraud and other irregularities.
The Manager approves and authorises for issue the interim financial statements for the
six months ended 31 January 2024 presented on pages 7 to 12.
For and on behalf of the Board of the Manager:
Alastair Hercus
Director
FSF Management Company Limited
20 March 2024
Mary Jane Daly
Chair
FSF Management Company Limited
20 March 2024
Interim
Financial
Statements
For the six months ended 31 January 2024
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Statement of Comprehensive Income
FOR THE SIX MONTHS ENDED 31 JANUARY 2024
SIX MONTHS ENDEDYEAR ENDED
31 JAN 2024
UNAUDITED
31 JAN 2023
UNAUDITED
31 JUL 2023
AUDITED
Net fair value gain on revaluation of Economic
Rights of Fonterra shares412355
Dividend income431627
Investment income843982
Net increase in fair value of amounts attributable
to unit holders(41)(23)(55)
Distributions to unit holders(43)(16)(27)
Finance cost(84)(39)(82)
Profit before tax–––
Tax exp ense–––
Profit for the period–––
There are no items of other comprehensive income.
The accompanying significant accounting policies and notes form part of these interim financial statements.
Statement of Changes in Amounts Attributable
to Unit Holders
FOR THE SIX MONTHS ENDED 31 JANUARY 2024
Amounts attributable to unit holders at 1 August 2023325
Movements:
Revaluation of amounts attributable to unit holders41
Amounts attributable to unit holders at 31 January 2024 (unaudited)366
Amounts attributable to unit holders at 1 August 2022324
Movements:
Revaluation of amounts attributable to unit holders23
Amounts attributable to unit holders at 31 January 2023 (unaudited)347
Amounts attributable to unit holders at 1 August 2022324
Movements:
Revaluation of amounts attributable to unit holders55
Capital return payable to unit holders(54)
Amounts attributable to unit holders at 31 July 2023 (audited)325
($ MILLION)($ MILLION)
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Statement of Financial Position
AS AT 31 JANUARY 2024
Cash Flow Statement
FOR THE SIX MONTHS ENDED 31 JANUARY 2024
NOTES
31 JAN 2024
UNAUDITED
31 JAN 2023
UNAUDITED
31 JUL 2023
AUDITED
Assets
Economic Rights of Fonterra shares2366347325
Capital return receivable––54
Total assets366347379
Liabilities
Amounts attributable to unit holders3366347325
Capital return payable––54
Total liabilities366347379
SIX MONTHS ENDEDYEAR ENDED
31 JAN 2024
UNAUDITED
31 JAN 2023
UNAUDITED
31 JUL 2023
AUDITED
Cash flows from operating activities
Cash was provided from:
– Dividends received431627
– Capital return received54––
Net cash flows from operating activities971627
Cash flows from financing activities
Cash was applied to:
– Distributions paid to unit holders(43)(16)(27)
– Capital return paid to unit holders(54)––
Net cash flows from financing activities(97)(16)(27)
Net change in cash and cash equivalents–––
Cash and cash equivalents at the beginning
of the period–––
Cash and cash equivalents at the end of the period–––
The accompanying significant accounting policies and notes form part of these interim financial statements.
($ MILLION)($ MILLION)
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a) General Information
The Fonterra Shareholders’ Fund (FSF or the Fund) is a New Zealand managed investment scheme
established to be the ‘Authorised Fund’ referred to in Fonterra’s Constitution. It is an FMC Reporting
Entity registered under the Financial Markets Conduct Act 2013 and its governing document is the
Fonterra Shareholders’ Fund Trust Deed (the Trust Deed) dated 23 October 2012 (as amended) and
has a life of 80 years. Under the Trust Deed, the Fund may invest only in authorised investments,
which are the Economic Rights of Fonterra shares (Economic Rights), and issue units to investors.
It may not invest directly in Fonterra shares (Shares).
The Fund is listed on the NZX Main Board operated by NZX Limited and as a Foreign Exempt
Listing on the Australian Securities Exchange operated by ASX Limited. The activities of the Fund and
the issue of units to the public are managed by FSF Management Company Limited (the Manager).
The immediate and ultimate parent of the Fund is Fonterra Co-operative Group Limited (Fonterra,
or the Co-operative).
The New Zealand Guardian Trust Company Limited (the Trustee) acts as the trustee for the Fund. The
Economic Rights assets are held on trust for the Trustee under the Fonterra Economic Rights Trust by
Fonterra Farmer Custodian Limited (the Custodian). The trustees of the Fonterra Farmer Custodian
Trust also hold one unit known as the Fonterra unit.
The registered office of the Manager is 109 Fanshawe Street, Auckland Central, Auckland 1010,
New Zealand.
These interim financial statements were authorised for issue by the Manager on 20 March 2024.
Fonterra interim financial statements
Investors are encouraged to read the interim financial statements of Fonterra, together with the interim
financial statements of the Fund, given that the performance of the Fund is driven by the performance of
Fonterra. The Fonterra interim financial statements can be found at www.fonterra.com in the ‘Investors/
Results & Reporting’ section.
Significant Accounting Policies
FOR THE SIX MONTHS ENDED 31 JANUARY 2024
Fonterra’s capital structure
At a Special Meeting held on 9 December 2021, Fonterra shareholders voted in favour of capital
structure related amendments to Fonterra’s Constitution that would give effect to the Flexible
Shareholding structure (Flexible Shareholding). Fonterra transitioned to Flexible Shareholding on 28
March 2023.
Since 6 May 2021 when Fonterra commenced consultation on its capital structure review and capped
the Fund, the ability for the Fund to acquire Economic Rights and issue units to investors (i.e. to exchange
shares for units) on a day-to-day basis has been suspended. This remains, as a capped Fund is a feature
of Flexible Shareholding. Under the Constitution, the Fonterra Board retains its current rights to regulate
this process. If, in the future, the Board considered it was appropriate to increase the Fund size, it could
do so up to the overall limit specified in the Constitution.
Flexible Shareholding caps the overall Fund size at 10% of the total number of Fonterra shares on issue.
As at 31 January 2024, the Fund size is 6.7% (31 January 2023: 6.7%, 31 July 2023: 6.7%).
Since June 2022 Fonterra has operated two on-market share buyback programmes, each with a fixed
maximum number of shares that could be acquired, and timeframe, as disclosed in the financial
statements for the year ended 31 July 2023.
On 27 July 2023, Fonterra announced that it would allocate up to $50 million to an on-market share
buyback programme, as part of Fonterra’s ongoing capital management programme. This programme
commenced on 18 August 2023 and is expected to continue until 13 August 2024.
During the six months ended 31 January 2024 Fonterra had bought back 54,114 shares at a total cost
of $0.1 million (31 January 2023: 3,530,916 shares at a total cost of $9 million, 31 July 2023: 3,580,916
shares at a total cost of $9 million). The buybacks have not had a material impact to the Fund size
percentage.
Units continue to be available on the NZX and ASX to buy and sell and unit holders continue to be
eligible to receive distributions.
Information about Flexible Shareholding is available in the ‘Investors/Capital Structure’ section of
Fonterra’s website.
Activities
The principal activity of the Fund is to acquire and hold Economic Rights and issue units to investors
to allow investors in the Fund an opportunity to earn returns based on the financial performance of
Fonterra. As reflected in the previous section, the ability to exchange shares for units is suspended under
Flexible Shareholding.
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Significant Accounting Policies CONTINUED
FOR THE SIX MONTHS ENDED 31 JANUARY 2024
b) Basis of Preparation
These unaudited interim financial statements comply with International Accounting Standard 34
Interim Financial Reporting and New Zealand Equivalent to International Accounting Standard 34
Interim Financial Reporting. They have also been prepared in accordance with Generally Accepted
Accounting Practice (GAAP) applicable to for-profit entities. These interim financial statements do not
include all the information and disclosures required in the annual financial statements, and should be
read in conjunction with the financial statements for the year ended 31 July 2023.
These interim financial statements are presented in New Zealand dollars ($), which is the Fund’s
functional and presentation currency, and rounded to the nearest million, except where otherwise
stated.
The accounting policies applied in the preparation of these interim financial statements are consistent
with those applied in the financial statements for the year ended 31 July 2023.
c) Operating Segments
The Fund’s investments only include Economic Rights assets and the Fund’s performance is evaluated
on an overall basis. Therefore, the Fund is a single-segment entity.
All of the Fund’s income is from investments in the Economic Rights.
The internal reporting provided to the Board of the Manager, which is the Fund’s chief operating
decision maker, for the Fund’s assets, liabilities and performance is prepared on a consistent basis with
the measurement and recognition principles of NZ IFRS. The Board of the Manager reviews the Fund’s
internal reporting in order to assess the performance and position of the Fund.
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1 Fair Value Measurement
The Fund measures the Economic Rights and amounts attributable to unit holders at fair value.
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly
transaction between market participants at the measurement date.
The Fund uses the following fair value hierarchy that reflects the significance of the inputs used in
making the measurements:
–Level 1: Quoted price (unadjusted) in an active market for an identical instrument.
–Level 2: Valuation techniques based on observable inputs, either directly (i.e. as prices) or indirectly
(i.e. derived from prices). This category includes instruments valued using: quoted prices in active
markets for similar instruments; quoted prices for identical or similar instruments in markets that are
considered less than active; or other valuation techniques for which all significant inputs are directly
or indirectly observable from market data.
–Level 3: Valuation techniques using significant unobservable inputs. The Fund has no Level 3
instruments.
The Fund’s amounts attributable to unit holders is a Level 1 instrument as the unit price is quoted
on the NZX Main Board, which is considered to be an active market. The Manager considers market
prices to be the most representative measure of fair value as they are used by market participants as a
practical expedient for fair value measurement.
Where there is a bid and ask price, the Fund uses the price within that range that is most representative
of fair value. Where the last traded price is within that range, the Fund uses the last traded price as fair
value. Where the last traded price falls outside that range the Fund uses the mid-point between the bid
and ask prices.
The market is monitored on an on-going basis to confirm that it remains active for the purposes of
establishing fair value.
Economic Rights are Level 2 instruments as Economic Rights are not listed and there is no active market
for Economic Rights assets. Economic Rights are valued using the quoted price of units (which are
considered to be a materially comparable instrument) in the Fund listed on the NZX Main Board. The
validity of assumptions relating to the comparability between a unit and an Economic Right has been
considered in the context of Fonterra’s capital structure review and remains appropriate.
There have been no transfers between the categories in the fair value hierarchy during any of the
periods presented.
Notes to the Interim Financial Statements
FOR THE SIX MONTHS ENDED 31 JANUARY 2024
2 Economic Rights of Fonterra Shares
The Economic Rights are held on trust for the Fund by the Custodian under the Fonterra Economic
Rights Trust.
AS AT
31 JAN 2024
UNAUDITED
AS AT
31 JAN 2023
UNAUDITED
AS AT
31 JUL 2023
AUDITED
Value of Economic Rights ($ million)366347325
Number of Economic Rights107,410,984107,410,984107,410,984
As part of Fonterra’s capital return on 18 August 2023, one in every six shares held by the Custodian
was repurchased and cancelled, and at the same time one of its shares not repurchased was
subdivided into the number of shares repurchased, plus one. As a result, the number of shares held
by the Custodian remains the same as before the capital return. The number of Economic Rights also
remains the same as before the capital return.
The Economic Rights are measured at fair value, calculated as the number of Economic Rights held
multiplied by the established fair value for each Economic Right.
$ MILLION
SIX MONTHS ENDEDYEAR ENDED
31 JAN 2024
UNAUDITED
31 JAN 2023
UNAUDITED
31 JUL 2023
AUDITED
Opening value of Economic Rights 325324324
Movements:
Revaluation of Economic Rights412355
Closing value of Economic Rights366347379
Capital return receivable––(54)
Closing value of Economic Rights
(adjusted for capital return)366347325
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Notes to the Interim Financial Statements CONTINUED
FOR THE SIX MONTHS ENDED 31 JANUARY 2024
3 Amounts Attributable to Unit Holders
SIX MONTHS ENDEDYEAR ENDED
31 JAN 2024
UNAUDITED
31 JAN 2023
UNAUDITED
31 JUL 2023
AUDITED
Value of amounts attributable to unit holders
at the end of the period ($ million)
1
366347325
Opening number of units on issue
2
107,410,984107, 417, 32 2107, 417, 32 2
Movements:
Number of units redeemed–(6,338)(6,338)
Closing number of units on issue107,410,984107,410,984107,410,984
1 The amounts attributable to unit holders is measured at fair value, calculated as the number of units on issue multiplied by the unit market price at
31 January 2024 of $3.41 (31 January 2023: $3.23; 31 July 2023: $3.53).
2 Included in the total number of units is one Fonterra unit, held by the Custodian, which was issued at inception of the Fund. The key rights of the
Fonterra unit holder are set out in the Fund’s annual financial statements for the year ended 31 July 2023.
4 Net Assets per Security
As at 31 January 2024, the net assets per unit on issue was $3.41 (31 January 2023: $3.23; 31 July
2023: $3.53).
5 Commitments and Contingent Liabilities
The Fund has no material commitments or contingent liabilities as at 31 January 2024 (31 January
2023: nil; 31 July 2023: nil).
6 Subsequent Events
Declaration of distribution
On 20 March 2024, the Board of Directors of Fonterra declared an interim dividend of 15 cents
per share. Following Fonterra’s dividend declaration, the Board of the Manager declared an interim
distribution of 15 cents per unit. The distribution will be paid on 11 April 2024 to the unit holders on
the register at 28 March 2024.
The Distribution Reinvestment Plan does not apply to this distribution.
Changes in unit price
Units are traded on the NZX and ASX and accordingly the unit price changes regularly, including
during the period between balance date and the date these interim financial statements were
authorised for issue. Changes in the market price of the units result in a corresponding change
in the value of the Economic Rights asset held by the Fund. Daily unit prices are available on the
NZX website.
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Independent Review Report
To the unit holders of Fonterra Shareholders’ Fund
Report on the interim financial statements
Basis for conclusion
We conducted our review in accordance with NZ SRE 2410 (Revised) Review of Financial Statements Performed by
the Independent Auditor of the Entity (“NZ SRE 2410 (Revised)”). Our responsibilities are further described in the
Auditor’s Responsibilities for the review of the interim financial statements section of our report.
We are independent of Fonterra Shareholders’ Fund, in accordance with the relevant ethical requirements in
New Zealand relating to the audit of the annual financial statements, and we have fulfilled our other ethical
responsibilities in accordance with these ethical requirements.
Other than in our capacity as auditor we have no relationship with, or interests in, the Fund.
Use of this Independent Review Report
This report is made solely to the unit holders as a body. Our review work has been undertaken so that we might
state to the unit holders those matters we are required to state to them in the Independent Review Report and
for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone
other than the unit holders as a body for our review work, this report, or any of the opinions we have formed.
Responsibilities of the Manager for the interim financial statements
The Manager, on behalf of the Fund, are responsible for:
–the preparation and fair presentation of the interim financial statements in accordance with NZ IAS 34
and IAS 34;
–implementing necessary internal control to enable the preparation of interim financial statements that are
fairly presented and free from material misstatement, whether due to fraud or error; and
–assessing the ability to continue as a going concern. This includes disclosing, as applicable, matters related to
going concern and using the going concern basis of accounting unless they either intend to liquidate or to cease
operations, or have no realistic alternative but to do so.
Auditor’s Responsibilities for the review of the interim financial statements
Our responsibility is to express a conclusion on the interim financial statements based on our review.
We conducted our review in accordance with NZ SRE 2410 (Revised). NZ SRE 2410 (Revised) requires us to
conclude whether anything has come to our attention that causes us to believe that the interim financial
statements are not prepared, in all material respects, in accordance with NZ IAS 34 and IAS 34.
A review of interim financial statements in accordance with NZ SRE 2410 (Revised) Review of Financial Statements
Performed by the Independent Auditor of the Entity (“NZ SRE 2410 (Revised)”) is a limited assurance engagement.
The auditor performs procedures, consisting of making enquiries, primarily of persons responsible for financial
and accounting matters, and applying analytical and other review procedures.
The procedures performed in a review are substantially less than those performed in an audit conducted in
accordance with International Standards on Auditing (New Zealand) and consequently does not enable us to
obtain assurance that we might identify in an audit. Accordingly, we do not express an audit opinion on these
interim financial statements.
KPMG
Auckland
20 March 2024
Conclusion
We have completed a review of the accompanying interim financial statements which comprise:
–the statement of financial position as at 31 January 2024;
–the statements of comprehensive income, changes in amounts attributable to unit holders and the cash flow
statement for the six month period then ended; and
–notes, including a summary of significant accounting policies and other explanatory information.
Based on our review, nothing has come to our attention that causes us to believe that the interim financial
statements on pages 7 to 12 do not:
i. present fairly, in all material respects, the Fund’s financial position as at 31 January 2024 and its financial
performance and cash flows for the six month period ended on that date; and
ii. comply with NZ IAS 34 Interim Financial Reporting (NZ IAS 34) and IAS 34 Interim Financial Reporting (IAS 34).
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Registered Office of the Manager
of the Fund – New Zealand
109 Fanshawe Street
Auckland Central, Auckland 1010
Telephone: +64 9 374 9000
Registered Office of the Manager
of the Fund – Australia
C/o Fonterra Australia Pty. Ltd.
Level 2, 40 River Boulevard
Richmond, Victoria 3121
Telephone: +61 3 8541 1588
Directors of the
Manager of the Fund
Mary Jane Daly
Carlie Eve
Alastair Hercus
Andy Macfarlane
John Nicholls
Company Secretary
Jackie Floyd
Supervisor
The New Zealand Guardian Trust Company Limited
Level 6, 191 Queen Street
Auckland Central, Auckland 1010
New Zealand
Auditor of the Fund
& the Manager of the Fund
KPMG
18 Viaduct Harbour Avenue
Auckland 1010
New Zealand
Legal Advisers
to the Manager of the Fund
Chapman Tripp
Level 34, PwC Tower
15 Customs Street West, Auckland 1010
New Zealand
Share Registrar – New Zealand
Computershare Investor Services Limited
Level 2, 159 Hurstmere Road
Takapuna, Auckland 0622
Private Bag 92119, Auckland 1142
Telephone: +64 9 488 8700
Share Registrar – Australia
Computershare Investor Services Pty. Limited
Yarra Falls, 452 Johnston Street
Abbotsford, Victoria 3067
GPO Box 2975
Melbourne, Victoria 3001
Telephone: 1800 501 366 (within Australia)
Telephone: +61 3 9415 5000 (outside Australia)
Directory
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Interim Report 2024
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insightcreative.co.nz FONTERRA127_SF

Fonterra Shareholders’ Fund Interim Report 2024
fonterra.com

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Page 1

Distribution Notice
Section 1: Issuer information
Name of issuer
Fonterra Shareholders’ Fund
Financial product name/description Fonterra Shareholders’ Fund Units
NZX ticker code FSF
ISIN (If unknown, check on NZX website) NZFSFE0001S5
Type of distribution
(Please mark with an X in the
relevant box/es)
Full Year Quarterly
Half Year X Special
DRP applies
Record date 28/03/2024
Ex-Date (one business day before the
Record Date)
27/03/2024
Payment date (and allotment date for DRP) 11/04/2024
Total monies associated with the
distribution
1

$16,111,648

Source of distribution (for example, retained
earnings)
Retained earnings
Currency NZD
Section 2: Distribution amounts per financial product
Gross distribution
2
$0.15000000
Gross taxable amount
3
$0.15000000
Total cash distribution
4
$0.15000000
Excluded amount (applicable to listed PIEs) $0.15000000
Supplementary distribution amount Not Applicable
NOTE: FSF is a Foreign Investment Variable Rate PIE. The whole distribution is excluded income for NZ
resident investors. PIE tax (for resident investors) or NRWT (for non-residents) may be deducted at the rate
appropriate for the investor.

1
Based on the number of units on issue at the date of the form.
2
“Gross distribution” is the total cash distribution plus the amount of imputation credits, per financial product, before the deduction of Resident
Withholding Tax (RWT).
3
“Gross taxable amount” is the gross distribution minus any excluded income.
4
“Total cash distribution” is the cash distribution excluding imputation credits, per financial product, before the deduction of RWT. This should include
any excluded amounts, where applicable to listed PIEs.

Page 2

Section 3: Imputation credits and Resident Withholding Tax
5

Is the distribution imputed Fully imputed
Partial imputation
No imputation
If fully or partially imputed, please state
imputation rate as % applied
6

Not Applicable
Imputation tax credits per financial product Not Applicable
Resident Withholding Tax per financial
product
$-
Section 4: Distribution re-investment plan (if applicable)
DRP % discount (if any) Not Applicable
Start date and end date for determining
market price for DRP
Not Applicable Not Applicable
Date strike price to be announced (if not
available at this time)
Not Applicable
Specify source of financial products to be
issued under DRP programme (new issue
or to be bought on market)
Not Applicable
DRP strike price per financial product Not Applicable
Last date to submit a participation notice for
this distribution in accordance with DRP
participation terms
Not Applicable
Section 5: Authority for this announcement
Name of person authorised to make this
announcement
Jackie Floyd
Contact person for this announcement Selena Robb
Contact phone number +64 21 026 736 29
Contact email address Investor.relations@fonterra.com
Date of release through MAP 21/03/2024


5
The imputation credits plus the RWT amount is 33% of the gross taxable amount for the purposes of this form. If the distribution is fully imputed the
imputation credits will be 28% of the gross taxable amount with remaining 5% being RWT. This does not constitute advice as to whether or not RWT
needs to be withheld.

6
Calculated as (imputation credits/gross taxable amount) x 100. Fully imputed dividends will be 28% as a % rate applied.