New Toyo

[Underdogger]

then unlikely to have any special dividend or regular dividend...

better sell...?

Got a question... why is the dividend coming? How come so long already still not CD or XD?

[l0nEr]

lol. i thought you were all bullish about New Toyo...

What i meant was the dividends declared in H1 earnings. Since then, there has been no announcement of the timing?

then unlikely to have any special dividend or regular dividend...

better sell...?

Got a question... why is the dividend coming? How come so long already still not CD or XD?

[Curiousparty]

Underdogger's view has probably changed?
No news of fate of the remaining cash at SAH and also no news of the money New Toyo received from SAH...

No news = bad news?

lol. i thought you were all bullish about New Toyo...

What i meant was the dividends declared in H1 earnings. Since then, there has been no announcement of the timing?

then unlikely to have any special dividend or regular dividend...

better sell...?

Got a question... why is the dividend coming? How come so long already still not CD or XD?

---

New Toyo together with Tien Wah jointly owned Anzpac thru MEIL (49% and 51%).

Anzpac's contribution to New Toyo's bottomline has been growing quite well.

Experts of New Toyo, can anyone help explain why there is a dividend cut after years of maintaining 0.97 cents...

New Toyo also mentioned that they will seek new business to replace the previous contributions of SAH, ie SAH payout likely to be retained for further acquisitions...

On paper, it seems that the more direct play is Tien Wah. All these conservative statements could be indicative of some sort of privatisation attempts before value can be unlocked.

Very confused...

[Underdogger]

If Imperial tobacco businesses grow, Anzpac will stand to gain too? Interesting. I thought it only prints for BAT.

Profitability for tobacco printing companies is likely to be affected, and margin for Anzpac, Tien Wah and hence New Toyo is expected to be lower.

If the impact from volume decline sets in, the revenue will be further hit from both volume as well as price.

Views pls?

********
Plain tobacco pack law puts the choke on fancy printing
17 Aug 2012 | Steven Kiernan | 1 Comment
Plain packaging will squash fancy embellishments but won't affect volumes at the country's largest printer of cigarette packets – unless the law stops people smoking.
This week, the High Court upheld the Federal government's plain packaging legislation, following a challenge from Big Tobacco.
It paves the way for cigarette packets – traditionally relatively high-value, highly embellished printed products – to be replaced by drab, olive-brown boxes.
The legislation will have the greatest impact on Sydney-based Anzpac, which prints cartons for British American Tobacco (BAT) and Imperial Tobacco.
The packaging company, which was established in 1900, has a long history in supplying the tobacco industry. It was bought by Rothmans in 1986, then become the regional print site for BAT following its merger with Rothmans in 1999, before being sold to Singapore-based New Toyo International Holdings for $60 million in 2008.
Cigarette packets that roll off the presses at Anzpac's Smithfield site include BAT brands Dunhill, Winfield, Benson & Hedges and Stradbroke and Imperial brands Horizon, Escort and JPS.
Printed board for Imperial brands is shipped to Imperial's factory in Petone, New Zealand, which completed a NZ$45 million overhaul this month.
Factory manager Mike McInnarney told ProPrint that Imperial had upgraded its New Zealand manufacturing after the end of a deal in which BAT's Sydney plant produced Imperial cigarettes for the Australian market.
Printed board for BAT brands is sent to either Singapore or Sydney for converting.
No one from Anzpac or New Toyo would comment directly. While it is clear that the plain packaging legislation will not immediately affect Anzpac's volumes, it is likely to hit margins.
One industry source told ProPrint: "The actual number of units should not change. So from a revenue perspective, the revenue will go down because the packs are simpler to produce and it removes a lot of complexity.
"Cigarette packs are highly embellished, and that embellishment comes at a cost, so there is an impact on revenue and profitability, not from volume initially but from simplification."
However, the source agreed that if the legislation works as intended, the total number would also drop as more people are turned off smoking. "If you listen to government, the volume will decrease."
Other suppliers throughout the print and packaging supply chain are also expected to take a hit, such as suppliers of foil and inks.

[Curiousparty]

probably we will see MORE sell-off in the days ahead...

No news of special dividends, no news from SAH either...

If Imperial tobacco businesses grow, Anzpac will stand to gain too? Interesting. I thought it only prints for BAT.

Profitability for tobacco printing companies is likely to be affected, and margin for Anzpac, Tien Wah and hence New Toyo is expected to be lower.

If the impact from volume decline sets in, the revenue will be further hit from both volume as well as price.

Views pls?

********
Plain tobacco pack law puts the choke on fancy printing
17 Aug 2012 | Steven Kiernan | 1 Comment
Plain packaging will squash fancy embellishments but won't affect volumes at the country's largest printer of cigarette packets – unless the law stops people smoking.
This week, the High Court upheld the Federal government's plain packaging legislation, following a challenge from Big Tobacco.
It paves the way for cigarette packets – traditionally relatively high-value, highly embellished printed products – to be replaced by drab, olive-brown boxes.
The legislation will have the greatest impact on Sydney-based Anzpac, which prints cartons for British American Tobacco (BAT) and Imperial Tobacco.
The packaging company, which was established in 1900, has a long history in supplying the tobacco industry. It was bought by Rothmans in 1986, then become the regional print site for BAT following its merger with Rothmans in 1999, before being sold to Singapore-based New Toyo International Holdings for $60 million in 2008.
Cigarette packets that roll off the presses at Anzpac's Smithfield site include BAT brands Dunhill, Winfield, Benson & Hedges and Stradbroke and Imperial brands Horizon, Escort and JPS.
Printed board for Imperial brands is shipped to Imperial's factory in Petone, New Zealand, which completed a NZ$45 million overhaul this month.
Factory manager Mike McInnarney told ProPrint that Imperial had upgraded its New Zealand manufacturing after the end of a deal in which BAT's Sydney plant produced Imperial cigarettes for the Australian market.
Printed board for BAT brands is sent to either Singapore or Sydney for converting.
No one from Anzpac or New Toyo would comment directly. While it is clear that the plain packaging legislation will not immediately affect Anzpac's volumes, it is likely to hit margins.
One industry source told ProPrint: "The actual number of units should not change. So from a revenue perspective, the revenue will go down because the packs are simpler to produce and it removes a lot of complexity.
"Cigarette packs are highly embellished, and that embellishment comes at a cost, so there is an impact on revenue and profitability, not from volume initially but from simplification."
However, the source agreed that if the legislation works as intended, the total number would also drop as more people are turned off smoking. "If you listen to government, the volume will decrease."
Other suppliers throughout the print and packaging supply chain are also expected to take a hit, such as suppliers of foil and inks.

[Underdogger]

Honestly speaking BAT does not need Aussie or Kiwi markets. What is its smoking population? BAT can easily add millions from developing countries...
still remembered from the New Toyo's AGM about company making inroad in the African markets...

Did anyone remember this part?

*****
Big Tobacco conquers its new frontier

http://www.armidaleexpress.com.au/story/...tier/?cs=5

[Underdogger]

Will electronic cigarette replace current mode of cigareete smoking , putting a slow death to all the big tobacco makers ?

http://www.sacbee.com/2012/09/14/4819352...light.html

[pianist]

this news doesn't bode well for new toyo

[Underdogger]

Global tobacco use would be declining were it not for China, where 40 percent of the world's cigarettes are made and smoked. Developing nations in the Asia Pacific and Africa might be the last bastions for the big tobacco companies...

Once the government of all these developing countries starts to realize the true health cost of a smoking population (e.g. lost productivity from direct smoking, effects of 2nd hand smoking, etc) it will start winding down on sales of tobacco, as have been seen in Brazil, Mexico, South Africa, etc.

Tien Wah has honed its printing expertise with its existing BAT supply contract, and with its lower cost base would likely find many new customers who are eager to switch over to cheaper options when their contracts with high cost printers such as Amcor end.

Tien Wah probably needs to further invest in new machines to cater for greater volumes in time to come. Let's wait and see

this news doesn't bode well for new toyo

[Underdogger]

Most kids receive their first cigarettes from friends. There is no brand choice - the choice is simply to smoke or not to smoke. Therefore, in the uptake process, brand and package are very minor components. This means that changing the package will not have any major effect on the decision(s) to smoke or not to smoke.



*******

In 1995, the Canadian Government commissioned an Expert Panel to evaluate the possible impact of plain packaging of tobacco products. In the national survey of teens at the heart of the Panel study, most respondents said that plain packaging will not reduce consumption or increase cessation among youth smokers:
Minimal impact
A close examination of these responses suggests that effects [of plain packaging] will be more marginal than large...

It is clear that in most first trials there are little package, brand or brand promotion elements. Most kids receive their first cigarettes from friends. There is no brand choice - the choice is simply to smoke or not to smoke. Therefore, in the uptake process brand and package are very minor components. This means that changing the package will not have any major effect on the decision(s) to smoke or not to smoke." (emphasis added)
Source: Expert Panel Report for Health Canada, When Packages Can't Speak: Possible impacts of plain and generic packaging of tobacco products, March 1995, pages 76, 184 - excerpt
Driving consumption towards low price products
Plain packaging for cigarettes will inevitably lead to increased price competition which in turn will lead to increased low price cigarettes. Plain packaging will also facilitate the market entry of generic, low-priced tobacco products. These consequences bear the substantial risk of actually leading to increased consumption of tobacco products.
“Were products to be in plain packaging, essentially markets would be made generic, which means everybody would be competing on price. There would be no incentives for companies to invest in quality and there is also a risk that it might actually increase illicit trade.” John Noble, British Brands Group, November 2010
“Contraband cigarettes are regularly sold in clear plastic bags…. Their lower prices make them especially attractive to youth.” Ontario Tobacco Research Unit, Update, December 2009.
Also, in other consumer goods industries, many commodities are often sold without branding, for instance, staple food, frozen meat, and gasoline, to only name a few. There is no suggestion that consumers purchase less of these commodities when they are unbranded; but they are, of course, more sensitive to price.
A. (PMIMSA) is opposed to legislat
http://www.plain-packaging.com/Templates...dence.aspx