Forms to download
WAMMCO International is the trading name of the Western Australian Meat Marketing Co-operative Limited which is registered in Western Australia under the Co-operative Act 2009. It's principal activities are the acquisition, processing and marketing of prime lamb.
WAMMCO is wholly owned and controlled by Western Australian lamb producers and exists solely to maximise benefits to its active members. It is controlled by a Board of Directors comprising a strategic mix of producer members, elected by active members, and independent directors, whose appointment is confirmed by the active members. Each member receives one vote regardless of the number of shares held.
WAMMCO gives producers the unique opportunity to actively participate in, and benefit from, all aspects of their industry.
The Approved Rules of the Co-operative dated August 2011 can be downloaded here.
WHO IS AN ACTIVE MEMBER?
Rules 7 and 8 requires an active member to:
- hold 100 shares, and
- deliver at least 1 animal of the type being acquired by the Co-operative each year.
WHAT ARE THE BENEFITS OF MEMBERSHIP?
All members have entitlements to:
- participation units
- one vote regardless of the number (or type) of shares held
- any dividends that may be declared
- participation in any winding up
Participation units entitle a shareholder to the following:
- pool bonuses dependent on the number of participation units held
- preferential access to available killing space on a “first come first serve basis”, over non-members
- preferential access to available forward contacts
WHAT ARE PARTICIPATION UNITS AND POOL BONUS PAYMENTS?
Pool bonuses may be declared by the Directors based on the profitability of the Co-operative, but are only payable on livestock traded at the weekly schedule price and on forward contracts (prior to 1 July 2013 forward contracts only qualified for a top-up payment, they now qualify the same as livestock traded at the weekly schedule). All other forms of purchase, including on-farm, weight-no-grade and saleyard purchases, involve transferring additional risk to the Co-operative and are excluded.
To qualify for pool bonuses members must hold one participation unit for every livestock unit they require to qualify. Any livestock delivered in excess of the number of participation units held do not qualify for pool bonuses.
Participation units are acquired by purchasing one Subscription share per participation units required. Foundation shareholders are allocated one participation unit for every eight Foundation shares held.
Bonus shares allocated from pool bonuses do not increase a member’s participation units, but are required to fulfil the total shareholding of twelve shares per participation unit before the pool bonus is all paid in cash.
Pool bonuses are allocated to members in the form of shares and cash. Once a member’s total shareholding equals twelve times the participation units held then all pool bonuses are paid in cash.
Members who do not hold sufficient shares at the time of delivery will be given until the end of the financial year to subscribe for additional shares. The payment for subscription shares may be deducted from a livestock payment.
WHAT ARE FOUNDATION SHARES?
Foundation shares were issued to producers based on patronage over a 4 year period ended 31 August 2003. They are no longer available.
Foundation shareholders are allocated one participation unit for every eight Foundation shares held.
WHAT ARE SUBSCRIPTION SHARES?
Subscription shares are the means by which producers may become members of the Co-operative, or by which existing members may increase their shareholding.
Subscription shareholders are allocated one participation unit for each Subscription share purchased i.e. one Subscription share equals one participation unit.
WHAT ARE BONUS SHARES?
The Board may issue bonus shares to members on such terms and conditions as are considered appropriate.
Bonus shares do not have any entitlement to participation units, they are required to fulfil the total shareholding of twelve shares per participation unit before the pool bonus is all paid in cash.
CAN I CASH IN MY INVESTMENT?
You may sell your shares if you can find and agree a price with a purchaser who is a member of the Co-operative, or is capable of being an active member of the Co-operative. There is no formal market for the shares, and any resulting transfer is subject to Board approval.
Alternatively your shares will be redeemable at the discretion of the Board if you have either
- exited the farming industry on a permanent basis, or
- been inactive as a member for a continuous period of 3 years
Redemption is always subject to sufficient funds being available.
WHAT ARE MY RISKS?
As with any investment the risk you carry is the loss of all, or part, of the capital subscribed if WAMMCO suffers losses to the extent that the individual value of shares falls below the nominal $1.00 face value.
Any payment of pool bonuses, dividends or redemptions is dependant on profitability and the level of reserves to be maintained. There is no guarantee of any payment in any given year.
HOW WILL I BE UPDATED ON MY INVESTMENT?
All members will receive a copy of the annual reports, including the Chairman’s and CEO’s report and are entitled to attend and participate in the annual general meeting. WAMMCO also maintains communication by sending all members a newsletter (“Lambline”) on a regular basis as well as including an information supplement on WAMMCO activities (“WAMMCO Info”) in the rural press. Monthly updates and outlooks are also given over RadioWest in a WAMMCO segment on their Rural Focus programme. Finally regular meetings are held throughout the year in various parts of the State to allow personal interaction between members and the Board and Staff.
WHAT DO I DO NEXT?
Mr B Ede
PO Box 4059
VICTORIA PARK WA 6100
This above is supplied for general information purposes only and if you have any doubts or concerns you should seek independent advice from an investment advisor.