Bullish for AAC, page-14

Our labour rates alone would make up any difference in price very quickly. To be honest it doesn't concern me. Ultimately AAC's success or failure will be on its ability to market itself as a premium 'branded beef' supplier. If they can achieve this in a way that is as direct to plate as possible the profits are huge.

US beef still has to manage the bad press caused by mad cow - foot and mouth - Ecoli outbreaks etc in the past. They have the benifit of COSCO's presence in Korea and their attempt to transition to only US beef inputs. The presence of an in-country retailer makes a massive difference.

I am not advocating for AAC to move into retail but a strategic alliance with a large high end retailer say in China would be the basis for building a beach head in the region. I am assuming that the inclusion 0f Jessica Rudd is to target these areas and make good on building long term relationships in the targeted markets.