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August 28th 2009
NFM posts $.4m profit more...

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Indian Arrival day dress up competition more...

May 26th 2009
NFM and ASA-IM host small Ruminant seminar more...

May 19th 2009
NFM and ASA-IM host Poultry seminar more...

News Letters

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News & Events
16/03/08 · Easter Bonnet Parade

National Flour Mills Limited held its first Easter Bonnet Parade for the children and family members of its employees on March 16, 2008

 
23/02/08 · Long Service Awards

The Board of Directors and Management of NFM showed their gratitude...

 
18/01/08 · Kaiso Competition

National Flour Mills Limited (NFM) hosted its annual Kaiso Monarch Competition on Friday January 18, 2008...

 
INVESTOR INFORMATION
INVESTOR INFORMATION Q&A

Q. When did NFM begin operations?
A. NFM began operations in 1966 as Trinidad Flour Mills Limited.

Q. When was NFM incorporated?
A. NFM was incorporated in September 1972.

Q. Where is the Company's headquarters?
A. The Company's headquarters are on 27-29 Wrightson Road, Port of Spain, Trinidad and Tobago.

Q. When did NFM become a public limited company?
A. NFM became a public limited company in 1995 when 20% of Government's shareholding was divested to the public. In 1996 a further 15% was divested. In 1997 14% was divested. Currently therefore, the Company is 49% divested.

Q. What is NFM's relationship to National Enterprises Limited (NEL)?
A. NEL owns 51% of the shares in NFM. In 1999 the Government transferred its 51% shareholding in NFM to NEL.

Q. How many shares are currently issued?
A. The issued share capital is 120,200,000.

Q. How can I contact the Share Registrar?
A. The Share Registrar is Scotiatrust and Merchant Bank (Trinidad and Tobago) Limited. They are located at Scotia Centre, Corner of Park and Richmond Streets, Port of Spain, Trinidad and Tobago. Their phone number is 868-625-3566

Q. How do I change my shareholder information such as my address, name etc.?
A. All matters pertaining to change of shareholder information should be sent to the Registrar. Alternatively, they can be sent to The Secretary at NFM.

Q. When is NFM's financial year end?
A. The Company's year end is December 31.

Q. How often does NFM publish accounts?
A. NFM publishes half yearly and annual accounts.

Q. How can I obtain a copy of the Annual Report?
A. The reports are mailed out to all shareholders before the Annual Meeting. Extra copies are available at the Meeting. Otherwise, shareholders can request reports via the Secretariat at 868-625-2416 extension 150.

CHAIRMAN'S REVIEW 2008
Financial Performance
National Flour Mills Limited recorded some improvement in performance in 2008 as compared with 2007. In 2008, the Company made a net loss of $3.1 million versus a net loss of $42.1 million in 2007. The following table demonstrates some key achievements towards profitability during the year:-
 
 

The following chart shows the Company’s sales performance over the last four years:

As shown, in 2008 the Company was able to surpass the level of sales achieved in the three prior years. This increase in sales was reflective of both volume and price increases.

Flour continues to be the flagship of the Company, contributing over 60% of total sales. Sales of animal feed (bag and bulk) accounted for approximately 34% of total sales.

During the year, we addressed some of the issues which contributed to the deteriorating financial position of the Company. These included pricing, the excision of unprofitable business ventures and a refocus on our core business operations. Our pricing is now more closely aligned to costs and while we were constrained to increase prices during the earlier part of the year, in the latter part of 2008 we were able to pass on to our customers savings made through reduced grain prices.

Although we have come a long way in reversing the extent of the loss from the previous year, we are cognizant of the fact that we still have a lot to do in order to restore the company to the level of profitability once enjoyed by our shareholders.

Strategy and Plans for 2009
In 2009, we will focus on increasing our sales in both the domestic and export markets while improving our profit margins through tighter management of operations and aggressive cost cutting. We also intend to institute stringent monitoring and management of our receivables and inventory so as to reduce our carrying costs and our related financial debt. During 2009, emphasis will be placed on the Feed division of our business with new and improved feeds to re-establish NFM as a leader in animal feed in both the local and regional markets.

In the last year, there have been significant changes and events in the global economic environment which have already begun to have an adverse impact on us locally. As such we believe that it is imperative that we not only maintain but also improve our partnership arrangements with our customers as this will be key to the success of the Company.

Acknowledgement
Looking ahead, we remain confident of the Company’s long term viability and we believe that in 2009 the Company will once more become profitable. I want to thank my fellow Directors for their contribution and support and the Management and Staff for their continued commitment to the Company. On behalf of the Board, I also wish to acknowledge our shareholders for their continued patience and understanding as we work towards strengthening and rebuilding National Flour Mills Limited.

Ganesh Sahadeo
Chairman

CEO's REPORT 2008
Review of 2008
As discussed in the Chairman’s report our performance for 2008 showed some improvement over that of the preceding two years. Sales increased by 92% over 2007 and 74% over 2006 and our operational loss position improved from $50.8 million to $0.6 million. Our main focus during the 2008 financial year centred on returning our core business operations to profitability. This was achieved in our flour and dry mix operations. However, while our animal and poultry feed operations showed improved performance over 2007, this division did not record a profit in 2008. During the year, the Board also took a decision to cease the Food Import and Distribution programme as this programme continued to be a drain on our resources.

We at NFM recognize that there is still a lot that has to be done in order to achieve a complete turn around of the Company and in 2009 our focus will be maintaining the gains achieved in our segments which performed well and improving those business segments that performed below par in 2008 so that they will become profitable in 2009.

Plans for 2009
Grain Purchasing
While there has been a general decline in grain prices, there continues to be some day to day volatility in the grain market. As a result, the Company will continue the vigilant monitoring of these markets and the prudent utilisation of various hedging techniques to ensure that grains are purchased at the best possible prices.

Flour, Dry Mixes and Traded Products
In the flour market, NFM continues to develop and nurture partnership arrangements with key wholesale customers and these arrangements will be further strengthened in 2009. We are mindful of the effect that the turbulent economic times will have on our retail customers and so we will continue our efforts to improve our existing products and adjust our blends to ensure that we continue to have the highest quality products at reasonable prices.

While our dry mixes and other traded products do relatively well, we recognize that there is need to build the brand awareness of some of these products and concentration will be placed on this in 2009.

Animal and Poultry Feeds
Some of our feeds, notably dog food did well in 2008, however others floundered and in 2009, our thrust will be on regaining market share lost in local and regional markets. Feed formulations and prices have been adjusted to be more competitive and during the first half of 2009 we will be re-launching our brands in various regional territories.

We will also be increasing our efforts to form key alliances with major users of animal and poultry feeds. In early 2009 for example, we partnered with a major milk producer to launch a new less expensive dairy formulation which although cheaper, maintains milk volumes without compromising quality. These initiatives will be expanded to other market segments.

Distribution and Delivery
As part of our efforts to improve our efficiency, we strengthened our delivery fleet in 2008 and in 2009 will continue to make improvements to ensure that all deliveries are made on time and in full.

Corporate Citizenship
In spite of the challenging times faced by the Company in 2008, we continued to discharge our responsibility as a Corporate Citizen through assistance via product donations to various charitable organisations such as children’s and senior citizens homes and organisations and homes for those who are differently abled.

Acknowledgement
We are optimistic about the future of the Company and we remain confident that National Flour Mills will return to profitability in 2009 through the implementation of the strategies outlined above.

I wish to take this opportunity to thank the Chairman, members of the Board of Directors, the Management Team and employees for their support and commitment during what was another very challenging year for National Flour Mills Limited.

The Chairman’s review has discussed in detail the major issues that affected the organization last year and the present challenges in 2008 and beyond. The after tax loss of $42.1 million for 2007 was a stark reminder of the difficulties still facing the Company at this point in its progress. I would like to focus in some more detail on these challenges and the strategies that we as a management team have implemented.

Gillian Pollidore
Chief Executive Officer (Acting)

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