31 Mar 2010

F and P ends exclusive arrangement with retailers

11:42 am on 31 March 2010

Fisher & Paykel Appliances is ending its exclusive arrangement with certain retailers, ending a practice of more than 50 years.

Retailers can now stock other brands, while the whiteware maker will widen its distribution base.

Fisher & Paykel Appliances says the effect on earnings of its new distribution plan, which starts in July, will be minimal in the first year.

On Tuesday it said it had tweaked its banking terms after repaying 60% of its debt. It says net debt will fall from $502 million to less than $200 million by the end of March.

Fisher & Paykel Appliances says this is a step towards normal banking terms.