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Speaker 1: Small irony. In the same day, Fontira reinforces its success

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Speaker 1: with the Stonking profit poor Old Sinlay posts an eighty

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Speaker 1: point six million dollar a half year lost debts up

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Speaker 1: eighty eight percent. Revenue is rising, though, so there's something.

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Speaker 1: Richard Wyeth, as the CEO ofsin Lane, was with us,

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Speaker 1: good morning morning, Mike. How hard is the slog at

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Speaker 1: the moment?

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Speaker 2: It's probably the most challenging period I've had in the

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Speaker 2: close to twenty years in the industry direct.

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Speaker 1: So at what stage you turn around? Are you? Well?

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Speaker 2: We're at a point where the next probably five to

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Speaker 2: six months are pretty critical for us. We've got the

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Speaker 2: sale of the North Island lesset coming up, which is great,

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Speaker 2: so we need to execute that. We still need to

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Speaker 2: catch up on a backlog for our advanced nutrition which

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Speaker 2: will take probably four to five months, and then we

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Speaker 2: can really focus forward.

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Speaker 1: Are you confident? Yeah?

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Speaker 2: Absolutely. It comes down to us executing operationally, so getting

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Speaker 2: operational stability and quality under control. We haven't been brilliant

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Speaker 2: at that over the last few years, so we really

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Speaker 2: need to get focused on that simple fire the business

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Speaker 2: and move forward.

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Speaker 1: So that's that Pocono manufacturing. But how big a deal

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Speaker 1: is that and once that's cleared, you're off and running. Yeah,

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Speaker 1: that's huge for us, Mike.

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Speaker 2: I mean in the past obviously for a number of

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Speaker 2: years since that was built, it's been a drag on

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Speaker 2: the business. So to execute that sale. It's a fantastic

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Speaker 2: asset that's been well sold, so that helps with the

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Speaker 2: balance sheet, but it also takes noise out of the

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Speaker 2: business and just sympathies. It allows us to really get

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Speaker 2: stuck into the Dune sandal site.

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Speaker 1: Without getting into the weeds. The stuff you got back

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Speaker 1: to done sandal and you had to do something with it,

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Speaker 1: and what you were going to do all of that

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Speaker 1: is that one off? Was that just a series of

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Speaker 1: bad events and we can look through it or not.

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Speaker 2: Yeah, that's the key thing. They are largely resolved. It's

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Speaker 2: as say, it was an insurable event, so we're not

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Speaker 2: We can't control the timing of paymental when that's going

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Speaker 2: to happen. But yeah, they are large one offs. But

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Speaker 2: the thing is, when you're manufacturing infant formula, there are

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Speaker 2: always things that can go wrong, and it's a complex business,

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Speaker 2: so you've got to be right on your game. If

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Speaker 2: you do it poorly, you make the one not food.

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Speaker 2: If you do it really well, you make a lot

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Speaker 2: of money. So we need to get back to make money.

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Speaker 1: Because for people who don't follow this, you know, an

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Speaker 1: aren't and the weeds. They look at Fonterra yesterday and

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Speaker 1: they go that's they're making money like this, No tomorrow.

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Speaker 1: They look at you you're not. So you know, how

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Speaker 1: come if you can't make money and deiry at the moment,

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Speaker 1: what are you doing?

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Speaker 2: Yeah, that's fair. I mean basically it comes down to

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Speaker 2: our ability to execute at an operational level and quality level.

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Speaker 2: And as I say, we haven't done that well enough

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Speaker 2: in the past, so we need to get sorted and

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Speaker 2: make that happen.

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Speaker 1: The good news at ten ten per kilo, they're good numbers, aren't.

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Speaker 2: They fantastic for the familers absolutely yeah.

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Speaker 1: And no guidance though, so you're on one hand telling

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Speaker 1: me you're confident, but then you can't offer guidance. Well,

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Speaker 1: we need to.

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Speaker 2: Yeah, we need to deliver the next five months and

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Speaker 2: then I'll be in a position where I can say, right,

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Speaker 2: the business is steady state, we're moving forward. So look,

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Speaker 2: it's trying to be prudent and a little bit conservative

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Speaker 2: given given our background in the industry.

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Speaker 1: All right, we'll go well with it. Appreciate it. Richard Wyth,

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Speaker 1: who's with Sin Layers

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Speaker 2: For more The Mic Asking Breakfast Listen live to news

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Speaker 2: Talks at B from six am weekdays, or follow the

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