DEAR SIR:

Kerry Co-op milk suppliers and shareholders remain increasingly disillusioned with ongoing events in recent times. Kerry Group plc CEO Stan McCarthy gave a very clear commitment in person and in writing to pay “the leading milk price” when he was persuading Kerry Co-op shareholders to reduce their shareholding in Kerry plc to below 20% back in 2011.

However, since then, the dogs on the streets know that Kerry Group under McCarthy has never once paid the leading milk price. For example, despite Kerry plc maintaining it paid the leading milk price for 2015, it paid 1.4c/l less than the co-op that actually paid the leading milk price. Only for the strong stance taken by Kerry Co-op’s board and recent chair James Doyle, Kerry plc reluctantly paid a 0.6c/l “additional payment” and the matter has been referred to arbitration.

Tax issues

Last week, it emerged how very serious tax issues have arisen for Kerry Co-op shareholders. This all arose during the period when Stan McCarthy was the CEO of Kerry Co-op. In my view, what is becoming increasingly obvious on the ground is how McCarthy would prefer to get rid of Kerry Co-op completely and so too the commitment to pay the leading milk price, leaving Kerry milk suppliers divided and weak.

Kerry milk suppliers are now the most vulnerable milk suppliers in Ireland, who now have no stake or say in the entity that processes and profits from these very milk supplies. Kerry Co-op had, in Doyle, a chair who for the first time in 20 years stood up for all Kerry Co-op shareholders’ rights and interests, and was instrumental in the ongoing milk price arbitration and tax negotiations. But, due to political interests, he recently lost his board seat at a time when we needed a strong and decisive chair.

Thankfully, I learned that common sense prevailed where at last week’s Kerry Co-op emergency board meeting, the board passed a motion to bring back Doyle to assist with such critical negotiations. Hopefully now the board of Kerry Co-op will once again revitalise and refocus Kerry Co-op as we’ve never needed it more.