Anyone buying the Good For Farmers note in the Viterra release?

[theplowboy]

This was in the news story I saw last
night. Sounds pretty good? What do you
guys think?


Benefits to Canadian Grain Farmers

Glencore is confident the acquisition of
Viterra will deliver significant overall
benefits
to grain farmers. The transaction will
give farmers access to Glencore's
unparalleled
global distribution channels and
increase their ability to export their
product into
international grain and oilseeds
markets. Glencore's global reach and
expertise will
provide farmers with strong protection
from market volatility, more options to
market
their grain and oilseeds and more
competitive pricing resulting from
Glencore’s wider
markets access and its more consistent
demand for grains and oilseeds.
Glencore’s logistics network enables it
to deliver grain and oilseeds to more
regions more
efficiently, and its balance sheet
strength enables the company to buy
greater volumes.
This results in a more consistent demand
profile and therefore greater pricing
continuity
for farmers.
As a result of the asset sale agreements
Glencore has entered into with Agrium
Inc.
(“Agrium”) and Richardson International
Limited (“Richardson International”),
the
transaction is expected to result in the
creation of a more robust competitive
landscape
for Canadian farmers. As appropriate,
Glencore also intends to grant third
party access to
its handling infrastructure at
prevailing market rates.

[g.reynolds]

The Agrium - Richardson portion of this is NOT
good for farmers or their communities. The
consolidation that will happen in many of the 65
communities where CPS operates will result in a
loss of jobs and another business gone from a
small town. The same could happen in the 19
locations that Richardson takes over elevators,
but I don't know if the same redundancy will occur
in all of those communities.
For producers there will be one less competitor to
buy from. Here in S. Alberta we have already
seen a lot of consolidation with CPS takeovers.
Glad my P&H location is expanding.

[Burbert]

Duhhhhhhhhhhhhhh, well ifn Mayo got away
wit 40 mill, its good fer some Comedians.
The trickle down effect will result in
some pennies fallin our way I suppose!!!

[wilagro]

Undoubtedly glencore will be able to sell your wheat to the world markets. If the price you receive is better than what the CWB would have gained for you is the question.

As they say...time will tell.

There will be no residual final payments so you had better get a good price if and when they buy your wheat.

Methinks that it will take a year or two or three before this all shakes out.