The Canterbury-based milk processor has signalled a potential net loss between 17and 21-million dollars in its half year results.
The company recorded a net profit of four-point-eight million dollars in the same period last year.
Ashburton-based Synlait supplier Willy Leferink says they're paying out at four-dollars seventy-five, with cost of production around six dollars.
He says due to their financial woes, Synlait is paying a dollar less than Fonterra.
