1. Wade Contractors Field Day 2013 www.wadecontractors.co.nz

2. Agenda Introduction welcome – Kevin Wade Contracting and communication developments – Klinton Wade Goat conversion – rationale and economics – Kerry Ryan Dairy Goat Cooperative Ltd – Keith Arnold Dairy Goat Tour – Gary Wade Hospitality www.wadecontractors.co.nz

3. The Contracting Operation Farmer to farmer expertise means better appreciation of client needs. Business built on relationships, integrity and practical application of proven techniques. Focus on collaboration – working with capable specialists to maximise expertise and achieve cost efficiency. www.wadecontractors.co.nz

4. The Contracting Operation Owner operator business culture through staff trained and competent in machinery operation. Intimate knowledge of local conditions, soil types, climate and environment. Relationship with suppliers, aligned contractors and experts to ensure quality and cost control www.wadecontractors.co.nz

5. Communication and accessibility www.wadecontractors.co.nz Internet-based client services and communication Mobile enabled website Online newsletter Competition - $200 Countdown Voucher

6. Goat conversion -- rationale Business size and separate economic unit Milking facilities and environmental “footprint” Diversification Capital efficiency & returns www.wadecontractors.co.nz

7. Comparison of EFS and return on capital - Dairy www.wadecontractors.co.nz Total Capital Cost - Dairy$ Land40550002,200,000 Development0 2,200,000 Coop Shares560006.75378,000 Stock*1352200297,000 Total2,875,000 Capital / ha71,875 *Includes replacements

8. Comparison of EFS and return on capital - Dairy www.wadecontractors.co.nz Kg MS Cost / kg MSHa Dairy Cows56000$4.5040 Milk Price$6.25$6.50$6.75$7.00$7.25$7.50 Stock Revenue$0.35 $6.60$6.85$7.10$7.35$7.60$7.85 EFS / ha2,9403,2903,6403,9904,3404,690 Return on Capital4.1%4.6%5.1%5.6%6.0%6.5%

9. Comparison of EFS and return on capital - Goats www.wadecontractors.co.nz Total Capital Cost - Goats$ Land4055,0002,200,000 Development1,241,867 3,441,867 Coop Shares23000$231,449,000 Working Capital Yr 1*301,000 Stock320,124 Total5,511,991 Capital / ha137,800 *Funding for loss year 1

10. Comparison of EFS and return on capital www.wadecontractors.co.nz Kg MSCostsHa Dairy Goats63000$7.5040 Milk Price$12.00$13.00$14.00$15.00$16.00$17.00 EFS / ha7,0888,66310,23811,81313,38814,963 Return on Capital9.9%12.1%14.2%16.4%18.6%20.8%

11. Wade Contractors Field Day 2013 www.wadecontractors.co.nz