KEY POINTS:
Jonathan Mason is the new name on the chief financial officer's door at Fonterra as the diary giant embarks on a year that promises plenty of challenges.
Mason filled the same role at forest products company Carter Holt Harvey from 2000 to 2005 and joins Fonterra from United
States-based chemicals company Cabot Corporation where, since 2006, he was executive vice-president and chief financial officer.
Cabot is a New York Stock Exchange-listed multinational specialty chemicals company, with manufacturing facilities in 18 countries and annual sales worth US$3 billion ($5.7 billion).
Fonterra chief executive Andrew Ferrier said there had been an international search to fill the role, with incumbent Guy Cowan leaving at the end of next month after announcing his retirement early last year.
"We are delighted to have secured someone of Jonathan's calibre and experience," Ferrier said.
"He has particular strengths in areas such as cash flow management, shareholder value creation and capital structuring."
Dairy commodity prices have plummeted in recent months, with the average price of whole milk powder in Fonterra's online auction plunging by 54 per cent since July.
Fonterra's forecast payout to farmers this season has dropped from $7 per kg of milksolids to $6, which could cost farmers $1.2 billion based on last season's collection. Another cut is widely expected next week.
The restarting of European Union export refunds for some dairy products has raised fears of a trade war, with Fonterra saying the subsidies could depress dairy commodity prices and slow the recovery.
The fallout from a melamine poisoning crisis in China that left six babies dead continues, with Tian Wenhua, the chairwoman of dairy company Sanlu - which was 43 per cent owned by Fonterra - awaiting a verdict after admitting producing and selling fake or substandard products.
Meanwhile, in a new three-year business plan shows Fonterra aims to cut costs and improve efficiency, while continuing to push for global growth.
Mason, who is married with two children, is an American by birth but holds dual citizenship, as do his family.
He will start with Fonterra on February 16.
JONATHAN MASON
Fonterra chief financial officer
* Holds dual NZ, US citizenship.
* Chief financial officer at Carter Holt Harvey from 2000-2005.
* Executive Vice President and Chief Financial Officer at US chemicals company Cabot Corporation since 2006.
* Strengths in areas such as cash flow management, shareholder value creation and capital structuring.
