Synlait consults with staff on new organisational structure

Synlait Milk Limited (Synlait) this morning updated staff that it has commenced a consultation process to update its organisational structure. Synlait CEO John Penno commented: "Synlait has been through a lot of change over the last 12 months. This means some areas are now over resourced, and some areas are under resourced. We need to review and reset the structure of our business to match our current goals to be successful." The proposed changes are designed to align leadership and resourcing around key business units (Nutritionals, Ingredients, and Liquids) and remove any unhelpful hierarchy from the organisation to ensure staff have the information, resources, and freedom to act as they need to, to do their jobs every day. John commented: "As part of this, we are also on a journey to transform our culture. We need to build teams that are working together with clear roles and responsibilities, and the systems needed to chase the growth we are looking to achieve. This is not just a cost out exercise, it is a complete reset of how we operate as a business." The proposed structure would see Synlait's overall headcount reduced by approximately 15% and generate potential annual savings of approximately $10 to $12 million. Synlait is discussing the proposed changes with impacted team members and union representatives. The consultation process will take place over the next two weeks. A further update will be provided along with Synlait's full year 2021 results on Monday 27 September. For more information contact: Hannah Lynch Corporate Affairs Manager P: +64 21 252 8990 E: hannah.lynch@synlait.com End CA:00378737 For:SML Type:GENERAL Time:2021-09-08 08:30:42