Mainland (cheese)
Encyclopedia
Mainland Cheese is a brand of cheese
now owned by Fonterra Co-operative Group
that is sold throughout Australasia
and parts of the Americas. It began as a family business in the South Island
of New Zealand
(which is jocularly known as the "mainland" of New Zealand because it is larger than the North Island
).
, cheese (with which the company's name is most associated today) as well as ice cream
(Tip Top
), processed meats (Kiwi Huttons) and other consumer foods. Kiwi Co-operative Dairies led by CEO Craig Norgate
acquired 83% of the business in the 1990s. The balance was acquired by Fonterra
(formed by a 2001 merger which included Kiwi Co-op), also led by Norgate, in 2002.
Speculation surrounded the reported NZ$600 million total sale price tag paid by Kiwi Co-op and Fonterra to the McConnon family for Mainland Products. Speculation was further fueled when Norgate surfaced as the business partner of the McConnon family in the Rural Portfolio Investment (RPI) company immediately following the end of his tenure as CEO at Fonterra. Rumours surrounded the fact that Norgate injected no capital into RPI and associated RPS companies, and the initial capital was fully funded by the McConnon family's investment arm Aorangi Laboratories. Included in the agreement between Norgate and the McConnons was a NZ$500,000 per annum management fee, plus expenses, for five years, and a golden parachute clause worth several million dollars should the venture fail and Norgate be forced offshore.
In 2005, Fonterra sold most of the business that was formerly part of Mainland to Graeme Hart
's Rank Group Ltd but it retained all the cheese assets. Mainland cheese now comes under Fonterra Brands. The balance of the former Mainland company is now part of Goodman Fielder
.
Mainland's advertising in Australia has been largely focused on playing on the New Zealand accent. For example "your frind in the frudge", and confusing the sound of "cheese day" with "Tuesday".
Cheese
Cheese is a generic term for a diverse group of milk-based food products. Cheese is produced throughout the world in wide-ranging flavors, textures, and forms....
now owned by Fonterra Co-operative Group
Fonterra
Fonterra Co-operative Group Limited is a New Zealand multinational dairy co-operative owned by almost 10,500 New Zealand farmers. The company is responsible for approximately 30% of the world's dairy exports and with revenue exceeding NZ$19.87 billion, is New Zealand's largest company.- History :In...
that is sold throughout Australasia
Australasia
Australasia is a region of Oceania comprising Australia, New Zealand, the island of New Guinea, and neighbouring islands in the Pacific Ocean. The term was coined by Charles de Brosses in Histoire des navigations aux terres australes...
and parts of the Americas. It began as a family business in the South Island
South Island
The South Island is the larger of the two major islands of New Zealand, the other being the more populous North Island. It is bordered to the north by Cook Strait, to the west by the Tasman Sea, to the south and east by the Pacific Ocean...
of New Zealand
New Zealand
New Zealand is an island country in the south-western Pacific Ocean comprising two main landmasses and numerous smaller islands. The country is situated some east of Australia across the Tasman Sea, and roughly south of the Pacific island nations of New Caledonia, Fiji, and Tonga...
(which is jocularly known as the "mainland" of New Zealand because it is larger than the North Island
North Island
The North Island is one of the two main islands of New Zealand, separated from the much less populous South Island by Cook Strait. The island is in area, making it the world's 14th-largest island...
).
Company history
Mainland Products Ltd was founded in 1954 by Peter McConnon. It grew rapidly, encompassing fresh and processed milkMilk
Milk is a white liquid produced by the mammary glands of mammals. It is the primary source of nutrition for young mammals before they are able to digest other types of food. Early-lactation milk contains colostrum, which carries the mother's antibodies to the baby and can reduce the risk of many...
, cheese (with which the company's name is most associated today) as well as ice cream
Ice cream
Ice cream is a frozen dessert usually made from dairy products, such as milk and cream, and often combined with fruits or other ingredients and flavours. Most varieties contain sugar, although some are made with other sweeteners...
(Tip Top
Tip Top (icecream)
Fonterra Brands Ltd or commonly known simply as Tip Top ice cream, is a subsidiary of the Fonterra Co-operative Group based in Auckland, New Zealand.-History:...
), processed meats (Kiwi Huttons) and other consumer foods. Kiwi Co-operative Dairies led by CEO Craig Norgate
Craig Norgate
Craig Norgate is a New Zealand accountant and business leader in agricultural processing, marketing and related areas. He had a successful career as chief executive officer of dairy companies Kiwi Co-operative Dairies and Fonterra Co-operative Group, before consolidating the rural servicing...
acquired 83% of the business in the 1990s. The balance was acquired by Fonterra
Fonterra
Fonterra Co-operative Group Limited is a New Zealand multinational dairy co-operative owned by almost 10,500 New Zealand farmers. The company is responsible for approximately 30% of the world's dairy exports and with revenue exceeding NZ$19.87 billion, is New Zealand's largest company.- History :In...
(formed by a 2001 merger which included Kiwi Co-op), also led by Norgate, in 2002.
Speculation surrounded the reported NZ$600 million total sale price tag paid by Kiwi Co-op and Fonterra to the McConnon family for Mainland Products. Speculation was further fueled when Norgate surfaced as the business partner of the McConnon family in the Rural Portfolio Investment (RPI) company immediately following the end of his tenure as CEO at Fonterra. Rumours surrounded the fact that Norgate injected no capital into RPI and associated RPS companies, and the initial capital was fully funded by the McConnon family's investment arm Aorangi Laboratories. Included in the agreement between Norgate and the McConnons was a NZ$500,000 per annum management fee, plus expenses, for five years, and a golden parachute clause worth several million dollars should the venture fail and Norgate be forced offshore.
In 2005, Fonterra sold most of the business that was formerly part of Mainland to Graeme Hart
Graeme Hart
Graeme Hart is a New Zealand businessman reported to be the richest person in Australasia with a personal fortune of NZ$8.8 billion according to the 2009 Forbes rich list. The 2007 September 22–28 issue of the New Zealand Listener listed Hart as being the 29th most powerful New Zealander...
's Rank Group Ltd but it retained all the cheese assets. Mainland cheese now comes under Fonterra Brands. The balance of the former Mainland company is now part of Goodman Fielder
Goodman Fielder
Goodman Fielder is a manufacturer, marketer and distributor of bread, small goods, dairy products, margarine, oil, dressings and various food ingredients. Its main operations are in New Zealand and Australia...
.
Advertising
Mainland established an iconic advertising campaign (see, for example http://www.youtube.com/watch?v=LfHptym_hXE, an ad from 1991). Mainland's advertising in New Zealand has been largely focused on the theme of waiting/patience, mirroring the aging process of cheese.Mainland's advertising in Australia has been largely focused on playing on the New Zealand accent. For example "your frind in the frudge", and confusing the sound of "cheese day" with "Tuesday".