Day 062 - 06 Dec 94 - Page 52


     
     1        A.  To the distribution centres.
     2
     3   Q.   To the distribution centres.
     4        A.  That basically multiplied by the individual weight of
     5        the products, split out to the various categories.  There
     6        is an amount estimation in this one in the fact that we had
     7        only sales data for this report of, I think, 10 out of 12
     8        months.
     9
    10   Q.   So does this only represent 10 out of 12 months?
    11        A.  No.  This represents an extrapolation of a whole year.
    12        That was because we only started officially trading in,
    13        I think, March 1991.  So then you have March 1991 until
    14        December 1991 sales data to base yourself on, so there is
    15        an estimation in there.
    16
    17   Q.   Going on to 7.1 in the following appendix?
    18        A.  Yes.
    19
    20   Q.   In your statement you mention the amount of paperboard and
    21        wood used in McDonald's packaging, including transport
    22        packaging.  The figures that you have got in your statement
    23        are just for what was supplied through Perseco?
    24        A.  Yes.
    25
    26   Q.   That is right?  7.1 you have stated in the first paragraph
    27        under "Methodology" that: "Since this report is based on
    28        Perseco's sales data, products that were not bought through
    29        Perseco, which includes tray mats, promotional items, Happy
    30        Meal boxes, etc., do not show in this study."
    31        A.  Yes.
    32
    33   Q.   So all those things would not be included in the figure
    34        given in your statement?
    35        A.  That is correct.
    36
    37   Q.   The sentence that comes after that, "Some items for DCSA
    38        and McInco came directly from a local supplier, in these
    39        few cases estimates were used based on McDonald's sales
    40        projections for 1992", so are you saying that you have
    41        included the packaging used for them but that it is on an
    42        estimate?
    43        A.  Yes.
    44
    45   Q.   Right.
    46        A.  Basically how that went, the supplier there is local
    47        and so it made more sense there to go directly into those
    48        distribution centres for those supplies.  Therefore, since
    49        we did not have those sales figures we actually used sales
    50        projections for that year. 
    51 
    52   Q.   That means what, the number of items sold? 
    53        A.  Yes.
    54
    55   Q.   So would that have taken account of things like wastage, if
    56        you know ----
    57        A.  Well, that would be exactly a similar figure as the
    58        other ones, only the one is an estimate that you make in
    59        the beginning of the year; the other one you determine at
    60        the end of the year on the basis of what you sell.  At the

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