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// DRILLS / ISSUE 02 / AORAKI TRADE
ISSUE 02 · 2026-07-07 · 6 MIN READ

Aoraki Trade Exports

THE MULTI-CURRENCY REQUEST

TRADE · CROSS-BORDER · DIFFICULTY ★★★☆☆

// THE SETUP

Aoraki Trade Exports is a 12-year-old NZ exporter of premium nutritional and specialty food products, selling through distributors in Singapore, Taipei, and — for the past two years — two fast-growing relationships in Greater China. Founder-MD, first generation. Annual revenue NZ$36m equivalent, around 75% of it invoiced in USD. The cost base — raw materials, processing, wages — is almost entirely NZD.

The MD called on Tuesday. He wants to replace the existing NZ$4.0m revolver with a NZ$6.0m-equivalent multi-currency facility — "drawable in USD, maybe one or two others." Asked which others, and against which flows, he says he'll confirm the mix at documentation; what he needs this week is approval in principle, before peak shipping season. He mentions, without being asked, that another bank has a term sheet on his desk.

Eight years with the bank. Conduct clean, covenants clean, reviews on time. The relationship manager is supportive — "exporters need currency flexibility, everyone offers this." You're sitting on the credit committee when the file lands on your desk.

You have the financials. You have ten minutes. What do you do?

// FY25 SNAPSHOT
SOURCE: COMPANY-PREPARED · UNAUDITED · COMPOSITE CASE — FICTIONAL
REVENUE
NZ$36m
▲ +28% (2yr)
USD SHARE OF SALES
75%
▲ from 55%
EXPORT DSO
74 days
▲ +21 days
HEDGE COVER
4 months
▼ from 9 months
OCF
NZ$1.1m
▼ −45% YoY

Industry benchmark: NZ food & beverage exporters typically hedge 6–12 months of forecast USD receipts; export DSO runs 45–60 days on documentary terms, longer on open account.

// YOUR JUDGMENT

What do you do with this request?