Another Richmond head rolls as PPCS settles in

By LIAM DANN

The post-takeover purge by South Island meat company PPCS continued yesterday when Richmond chief executive Richard Carver resigned.

Five directors, including chairman Sam Robinson, resigned last month immediately after PPCS completed its 100 per cent buyout.

A disappointed Carver said yesterday he would have loved to stay, but he understood the realities of corporate mergers.

"When two businesses go into one invariably you got two chief executives, and I was the one who was acquired versus the one who did the acquiring," he said.


The PPCS battle for Richmond - which started in 1996 - was drawing to a close when Carver moved from Carter Holt to take the job.

Yesterday he said he knew the risks when he took the job and "went in with my eyes open".

He said PPCS finally taking full control was a good result for the company as it removed uncertainty.

In a statement to the stock exchange PPCS said integration of the two companies was being accelerated so performance gains could be made in time for the new season.


Carver's contract will probably provide for a sizeable payout.

Payouts to outgoing chief executives are usually at least two years' salary. That means he could be in line for about $1 million.

He would not comment yesterday on contractual issues.

While his exit might seem a predictable result of the merger process, Carver appeared to have a better chance of keeping his job than many of his peers.

He managed to keep clear of the politics of the takeover battle, completed a major restructuring of operations and led the company to a dramatic turnaround in profits.

Richmond's full-year result is forecast to be a record $39 million - $20 million up on last year.

Although aided by the strength of international markets, he has had to cope with intense competition, short supply of lambs and flooding.

Sources said staff were sad but not surprised to see Carver go.

Carver said he hoped to stay in agriculture and wanted a leadership role.