Landmark announced today that its alliance with Rabobank Australia to fund new Landmark loans will cease on 28th October 2005. The decision to conclude the funding relationship has been agreed between both parties and reflects their evolving business directions.
Landmark will replace its funding relationship for new loans with Rabobank with more flexible funding arrangements. Landmark will announce details shortly.
AWB Managing Director Andrew Lindberg said as a major player in the agribusiness sector, Landmark has a long and proud tradition of providing competitive lending options for Australian primary producers.
“The Landmark loan book has grown to more than $1.3 billion with over 30% annual increase over the last 3 years. Landmark is a competitive alternative to banks in providing primary producers with a range of lending, transaction and investment products as well as access to insurance and leasing services,” said Mr Lindberg.
“We are currently developing new funding arrangements that meet our rural customer needs and strategy, and have received strong interest from a number of leading financial institutions.
“These new funding arrangements will ensure that Australian primary producers have access to a competitive range of financing options to help them better manage their businesses,” said Mr Lindberg.
The Landmark/Rabobank relationship had served the rural market well since its inception. However, the increasing likelihood for competition between the two businesses meant the time was right for the relationship to reach its logical end.
“It was amicably agreed that the timing was right to conclude the existing funding relationship,” said Mr Lindberg.
From a customer’s perspective, the relationship with their Landmark Rural Finance Manager will remain unchanged. Their Rural Finance Manager will continue to have access to a wide range of lending, insurance, transaction and investment products that are designed to meet the needs of primary producers.
“At Landmark, we pride ourselves on having a broader and deeper understanding of the needs of primary producers than other financiers,” said Mr Lindberg.
“By way of example, in the last year, we have introduced new equipment and motor vehicle leasing services, a fee free online transaction account and heavy haulage motor vehicle insurance.
“With over 430 outlets and 100 dedicated finance specialists, our onsite access to specialists in livestock, grain, wool, agronomy, merchandise, real estate and fertiliser means we can provide primary producers with comprehensive financial solutions to meet their needs,” said Mr Lindberg.
Media contact: Peter McBride on 03 9209 2174 or 0417 662 451