THURSDAY, MARCH 29, 2012
VOL. 89 | NO. 13 | $3.75
NEW NDP LEADER | THOMAS MULCAIR WINS P 14
SERVING WESTERN CANADIAN FARM FAMILIES SINCE 1923
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A FRESH NEW LOOK
WTO | U.S. LABELLING LAW
WTO appeal disappoints
Glencore upset Viterra plan
BY BARBARA DUCKWORTH CALGARY BUREAU
The U.S. decision to appeal a World Trade Organization ruling against its country-of-origin labelling law was no surprise, but disappointing for those who want the issue concluded. The office of the U.S. trade representative released the decision March 23. The first oral arguments are expected in April or May. The Canadian Cattlemen’s Association and Canadian Pork Council have collaborated with the federal government in opposing the mandatory rule since it was implemented in September 2008. “We were expecting this thing, but disappointed when it happened, also. We have to look at some of the details of the appeal,” said Martin Unrau, a Manitoba rancher and president of the cattlemen’s association. “We are going to be in contact with government to ensure we play a part in moving forward,” he said. They want legislative change that does not leave the Canadian industry at a competitive disadvantage. Mexico was also involved in the complaint.
Viterra’s acquisition | ‘It was eat or be eaten, and I guess in this case we got eaten,’ says AIMCo BY SEAN PRATT SASKATOON NEWSROOM
Viterra was in the midst of attempting a sizable acquisition when it received a friendly takeover bid from Glencore, says Viterra’s largest shareholder. “We were contemplating the same thing that Glencore is contemplating now — gobbling up the competition,” said Leo de Bever, chief executive officer of Alberta Investment Management Corporation (AIMCo) “It was eat or be eaten, and I guess in this case we got eaten.” Viterra’s target was another international grain handling company. “I’d rather not get into specifics, but it was a big acquisition,” he said. There were rumours that Viterra was after Gavilon, an American energy and grain trader. AIMCo encouraged and played a key role in financing Viterra’s 2009 purchase of Australia’s ABB Grain Ltd. for $1.5 billion. The company was ready to invest up to $1 billion in additional capital to help Viterra take the next step in becoming one of the world’s top five grain companies. However, Viterra faced some challenges in its latest takeover attempt. “I can’t say too much, but there were some regulatory issues,” said de Bever. GLENCORE TAKEOVER, PAGE 2 »
WTO APPEAL, PAGE 2 »
u|xhHEEJBy00001pzYv":. MARCH 29, 2012 Return undeliverable Canadian addresses to: Box 2500, Saskatoon, SK. S7K 2C4
Workers from Blue Bronn Contracting in Three Hills attach steel siding to one of three wood grain elevators in Mossleigh, Alta. They were once owned by Parrish and Heimbecker but now are privately owned. It usually takes four to six weeks to complete a job on an average elevator. | PATRICK PRICE PHOTO
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GLENCORE/VITERRA | TAKEOVER
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