The board of Auckland International Airport (AIA) made a wise decision when it recommended rejection of the Canadian Pension Plan Investment Board’s partial takeover offer, because the company is likely to receive a better offer in the future.

Diligent Board Member Services shares finished at 90 cents yesterday, 10% below their issue price, partly because the company failed to disclosure Chief Executive Brian Henry’s involvement in the failed NZX listed company, Energycorp.  Brian Henry has now paid the price as well, being demoted from CEO to Global Sales Director as announced this morning.

The storm clouds continue to grow for the US economy in the form of a severe housing slump, a developing credit crunch, high oil prices and a weak US dollar.  However, overnight the latest quarterly result was released for a key positive economic factor that has helped underpin the expansion of the US economy over the past few decades – worker productivity.

Capital+Merchant Finance, which has been placed in receivership by Fortress, is the first sign that the sub-prime problems may have spread to New Zealand.  The latest Capital+Merchant prospectus shows that the finance company had a $14.3 million loan from Fortress Credit Corporation (Australia) on 31 March 2007. This was due to be repaid on 5 October.

The next important development at Auckland International Airport will be the mail out of Canada Pension Plan Investment Board’s (CPPIB) takeover offer for 39.5% of the company on Friday December 14. This will be followed by Grant Samuel’s independent advisor’s report and the director’s recommendation on the partial bid, which is expected before the end of December.

The proposed listing of Fonterra is fantastic news for New Zealand dairy farmers and domestic investors. It will transform the New Zealand rural sector and create a huge number of multi-millionaire farmers. It will also allow domestic investors to gain a meaningful exposure to the New Zealand dairy industry.

The takeover offer for Nufarm at A$17.55 a share, which includes a dividend of 30 Australian cents, is a bonanza for a number of New Zealand shareholders. These include Amalgamated Dairies, a Goodfellow family company that will realise nearly NZ$320 million, Chairman Kerry Hoggard will receive $50 million and St Kentigern Trust Board and Rotorua Energy Charity Trust with $9 million each.

Freightways’ shareholders are a contented bunch. The 2007 annual meeting, held at the Ellerslie Convention Centre, was done and dusted in just 38 minutes even though the group’s earnings growth have stalled because of the slowdown in the domestic economy.

The clear impression from Vector’s annual meeting is that Michael Stiassny is the wrong person to chair the company as his operating style, which is similar to former Telecom chairman Dr Roderick Deane, is too confrontational for a regulated company.