Glanbia loses its lustre amid grim results

Another reputation tarnished this week was that of Glanbia, the entity to emerge from the merger of Avonmore and Waterford Foods.

It's not so much that the figures surprised the market. Losses of €68.1 million (£53.6 million) at the pre-tax level, including an exceptional charge incurred on the sale of the British liquid milk business, were pretty much in line with the profits warnings issued back in June.

The problem is that so many of its areas of business have underperformed. Even one of the bright spots - pigmeat - is only beginning the road to recovery after a grim spell of its own.

Granted, new managing director Ned Sullivan has embarked on a wholesale reorganisation of the business and its management since he took over, but I wonder are the shareholders happy counting the cost of the the commitment to pay Irish milk producers 3p a gallon over the industry average - a commitment which still has a year to run.