Taking over its larger rival isn’t the only thing on the Saskatchewan Wheat Pool agenda.
Chief executive officer Mayo Schmidt said after the company’s first year as a Canadian business corporation it is well positioned to take advantage of good soil moisture, rising commodity prices and industry optimism.
“Our strong close to 2006 and our impressive first quarter results set the stage for another year of solid financial performance,” he said last week.
He told the annual shareholders meeting that Sask Pool is revitalized after turning in three consecutive profitable years and it has chosen to be a catalyst for change.
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The attempted takeover of Agricore United is one way to do that, he said.
But the pool will be looking to increase its business in other ways.
During a short closed session at the annual meeting, shareholders asked a few questions about the AU takeover and some of the other projects Sask Pool is working on, Schmidt said.
He said the meeting was short because shareholders are pleased with the company’s results.
“I think it reflects the fact that we’ve had three years of profitability, very strong balance sheet, the market cap (capitalization) on our company is up substantially and so we have great momentum,” he told reporters.
Among its achievements is the decline in debt-to-equity ratio from 61 percent in July 2004 to 22 percent as of Oct. 31.
Schmidt said the company will continue to focus on improving efficiency and expanding products, services and customer relationships. He said the company ranks 37th on the Globe and Mail’s list of more than 200 leading public companies for its governance model.
Last year the pool developed new charitable donation and educational programs. It now targets a contribution level of one percent of earnings before tax and will focus its sponsorship on programs that promote healthy lifestyles and environmental and safety initiatives.
