AWB

Shares / Stock Code

AWB

Stock Exchange / Sharemarket

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AWB Limited (AWB) is an Australia-based company engaged in providing insurance, commodity risk and finance management services in the regional and rural areas of Australia. It is one of the top 100 publicly listed companies in Australia. AWB was listed on the Australian Stock Exchange on the 22nd of August 2001. Its average annual revenue reaches approximately AUD$502 million. Its headquarters is located in Melbourne, Australia and to date; around 2,200 people are employed in the company. AWB Limited operates mainly in seven business segments: Financial Services, Rural Services, Australian Commodity Management, International Commodity Management, Pool Management Services, Harvest Finance, Supply Chain and Other Investments.

The financial services segment of AWB offers complete range of insurance and lending solutions as well as the access to the newly improved suite of the company's financial services while the rural services segment is in charged of the building and optimising the company's network operations across Australia. It is also in charged of the supply of the rural merchandise, fertiliser and chemical distribution as well as the real estate sales. This segment also deals with the wool and livestock marketing.

The Australian Commodity Management segment of AWB Limited focuses on the principal trading of grains as well as the marketing provision and shipping capacity of marketing products to grain growers in Australia while the International Commodity Management segment provides the same type of service to growers in the international market.

The Pool Management Services segment is in charged of the management of the global marketing as well as the aggregation of the Australian wheat. It also offers currency risk and commodity prices management as well as the development and application of the grain-related technologies. The risk and finance management products to grain grower fall under the supervision of the Harvest Finance segment of AWB Limited while direct investment and development pf end user grain businesses and supply chain infrastructure fall under the Supply Chain and Other Investments segment.

AWB Company History

Commonwealth authorised the Australian Wheat Board in 1939 and extended until 1999 as a government controlled marketing authority. In 1989, the government generated the Wheat Industry Fund which was administered by the Australian Wheat Board and was able to earn about $600 million in July 1999. The money of the statutory authority was transmitted to AWB and AWB International.

AWB started to subsidise pooling and commercial activities because the Wheat Industry Fund was handed over to AWB in 1999. The company joined Australian Stock Exchange and finalised its privatisation in 2001.

AWB turned to be the large shareholder in Futuris during 2002 and got a 14.9% share and got Landmark from Wesfarmers Limited in 2003. Due to the attainment of Landmark, more than 430 rural distribution outlets were spread out and got an access to a customer base of over 100,000 farmers.

In 2004, Australian Competition and Consumer Commission bestowed an interim authorisation to organise a logistic company. EGL was then established to transmit logistic services between AWB and GraibCorp Limited. AWB supplied China the same year. Still in 2004, AWB, Elders and WMC partnered with the fertiliser industry. 14.9% share was traded to Futuris in the same year.

The company built its offices in Singapore and Beijing in 2005 and in Geneva and New Delhi in 2006. Iraq temporarily stopped their business dealings with AWB until the independent inquiry is completed.

The development of services for farmers in New Zealand and Australia was done in May 2006 by Fonterra and Landmark. Gordon Davis was selected as the Managing Director of AWB Limited in August 2006. Adelaide Bank was taken by Landmark which is under the umbrella of AWB Company and AWB Limited. AWB International signed an agreement for the operation and management of the Single Disk in the same month.