Compiled for Reuters by Media Monitors. Reuters has not verified these stories and does not vouch for their accuracy.
THE AUSTRALIAN FINANCIAL REVIEW (www.afr.com) Alan Joyce, chief executive of Qantas Airways yesterday said he remained 'buoyant' about growth prospects for the airline's budget subsidiary Jetstar, and believes Qantas will this year again become Australia's most profitable carrier.
Mr Joyce's comments follow last week's profit downgrade from budget rival Virgin Blue. Analysts say growth at Qantas has been helped by its exposure to both business and leisure markets. Page 15.
Graeme Liebelt, chief executive of chemicals group Orica , yesterday said the company's investors in Asia were 'broadly supportive' of Orica's plans to demerge its consumer paints business DuluxGroup.
Mr Liebelt had just returned from meeting with investors in Singapore and Hong Kong, and will travel to Europe this week for meetings with further investors. Page 15.
Toll road operator Transurban will be able to proceed with a A$543 million equity issue following a ruling by the Takeovers Panel.
Transurban's largest stakeholder, investment group CP2, had asked the panel to halt the share sale, alleging that the equity issue amounted to 'frustrating action' against a takeover bid from CP2 and two other major shareholders.
The panel ruled that the bid from CP2 'did not constitute a genuine potential offer' for Transurban. Page 15.
Canadian utilities company ATCO yesterday said plans to construct a new 100 megawatts power station in Western Australia's Pilbara iron ore region face uncertainty due to the Federal Government's proposed resource super profits tax.
ATCO said the unnamed client was considering whether to go ahead with a planned mining project. ATCO Power already operates a gas fired power station in the region. Page 16.
THE AUSTRALIAN (www.theaustralian.news.com.au)
Private hospital operator Healthscope yesterday confirmed that it had received two further takeover bids over the weekend, rivalling the May 20 bid from a consortium made up of private equity groups Texas Pacific Group, Carlyle Group and Blackstone.
Healthscope said the two new offers are priced at A$5.80 a share, outbidding the earlier offer of A$5.75 a share.
Healthscope said that all three bidders will be permitted to conduct due diligence on the company's financial records. Page 35.
Australia's major mining companies outperformed the wider equities market in May, despite market concern about the impact of the Federal Government's proposed resource super profits tax.
The Australian Securities Exchange's materials index of its ASX200 Index fell by almost 6 percent, with Rio Tinto down 6.87 percent and BHP Billiton down 6.15 percent.
However, the wider S&P/ASX 200 Index fell 7.9 percent, pushed down by industrial and financial stocks. Page 35.
Gina Rinehart, chief executive of mining company Hancock Prospecting and Australia's richest woman, yesterday added to mining sector criticism of the Federal Government's proposed resource super profits tax.
Ms Rinehart said the tax would 'make our resource commodities more expensive and less able to compete on world markets and will reduce Australia's future revenue.' Page 35.
--National Australia Bank's exclusivity agreement with takeover target Axa Asia Pacific was due to expire overnight; however, sources say the agreement is set to be extended for up to three weeks.
NAB's bid for APH was rejected by the Australian Competition and Consumer Commission in April, but the bank is believed to be seeking to address the regulator's concerns by selling its North investment platform. Page 35.
THE SYDNEY MORNING HERALD (www.smh.com.au)
The mining sector recorded its first quarter of profit growth since September 2008 in the three months to March, with gross profits rising 9.2 percent to A$15 billion.
The figures come from the Australian Bureau of Statistics, which also found that profits across the wider economy rose 3.9 percent for the period.
Despite the rise, mining industry profits remain 40 percent below their pre-financial crisis peak of A$24.4 billion. Page 1.
Westpac Banking Corporation yesterday announced that it had struck a new enterprise agreement with the Finance Sector Union which will see the bank's staff receive pay rises of up to 10 percent over three years.
The deal is expected to place pressure on Westpac's rivals to match the wage increases. Westpac's Peter Hanlon said the deal was an appropriate balance between the interests of employers, the bank and shareholders. Page 3.
Sigma Pharmaceutical has invited South Africa's Aspen Pharmacare to undertake due diligence on its financial records, raising the likelihood that Aspen's A$707 million takeover bid will succeed.
Sigma yesterday said that it had provided Aspen with a limited exclusivity agreement for four weeks, during which time Sigma has agreed not to solicit rival bids.
If successful, Aspen's bid would make the South African company the leading supplier of prescription drugs in Australia. Page 3.
Luxury goods group Moet Hennessy Australia has recorded sales growth of over 10 percent for the year to date, following a 10.5 percent increase in revenue for calendar 2009 to A$162.8 million.
The company, part of French group LVMH, expects continued strong growth this year, driven by sales of its flagship Moet & Chandon champagne.
Managing director James Paton yesterday said the company is benefiting as restaurants reduce their wine lists and concentrate on trusted brands. Page 4.
THE AGE (www.theage.com.au)
The Business Council of Australia (BCA) yesterday questioned funding arrangements for the Federal Government's National Broadband Network (NBN) Company, saying they may breach the Government's competitive neutrality guidelines.
The BCA said the NBN Co's expected 6 percent to 7 percent return on investment breached the Government's policy that 'government business enterprises should seek to make a commercial rate of return.' Page B3.
Shares in forestry products group Gunns yesterday rose strongly to end the day 21.5 percent higher at A48 cents a share.
The increase returns Gunns' share price to the level seen before institutional investors last week began selling shares in protest at the continued presence of former executive chairman John Gay. Mr Gay last week resigned from all roles within the company.
Analysts say the increase is driven by speculation that Gunns may now become a takeover target. Page B4.
Shares in iron ore mining hopeful Cazaly Resources were yesterday placed in a trading halt, with the company saying it would soon make an announcement 'regarding the finalisation of an agreement with respect to the development the Parker Range iron ore project.'
Industry sources believe the announcement means Cazaly has secured a partner for the A$78 million Parker Range project in Western Australia's Yilgarn region. Page B5.
United States mining company Newmont has warned the Federal Government that its proposed resource super profits tax risks killing 'the goose that lays the golden egg.'
However, the company's executive vice president of discovery and development, Guy Lansdown, last week told investors that he would not speculate on the tax, as 'we've got 18 months before this is passed into law, and there is going to be a lot of water that will flow under the bridge.' Page B5.
Keywords: DIGEST AUSTRALIA BUSINESS (Sydney Newsroom +61-2 9373 1816; sydney.newsroom@allreleases.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
THE AUSTRALIAN FINANCIAL REVIEW (www.afr.com) Alan Joyce, chief executive of Qantas Airways yesterday said he remained 'buoyant' about growth prospects for the airline's budget subsidiary Jetstar, and believes Qantas will this year again become Australia's most profitable carrier.
Mr Joyce's comments follow last week's profit downgrade from budget rival Virgin Blue. Analysts say growth at Qantas has been helped by its exposure to both business and leisure markets. Page 15.
Graeme Liebelt, chief executive of chemicals group Orica , yesterday said the company's investors in Asia were 'broadly supportive' of Orica's plans to demerge its consumer paints business DuluxGroup.
Mr Liebelt had just returned from meeting with investors in Singapore and Hong Kong, and will travel to Europe this week for meetings with further investors. Page 15.
Toll road operator Transurban will be able to proceed with a A$543 million equity issue following a ruling by the Takeovers Panel.
Transurban's largest stakeholder, investment group CP2, had asked the panel to halt the share sale, alleging that the equity issue amounted to 'frustrating action' against a takeover bid from CP2 and two other major shareholders.
The panel ruled that the bid from CP2 'did not constitute a genuine potential offer' for Transurban. Page 15.
Canadian utilities company ATCO yesterday said plans to construct a new 100 megawatts power station in Western Australia's Pilbara iron ore region face uncertainty due to the Federal Government's proposed resource super profits tax.
ATCO said the unnamed client was considering whether to go ahead with a planned mining project. ATCO Power already operates a gas fired power station in the region. Page 16.
THE AUSTRALIAN (www.theaustralian.news.com.au)
Private hospital operator Healthscope yesterday confirmed that it had received two further takeover bids over the weekend, rivalling the May 20 bid from a consortium made up of private equity groups Texas Pacific Group, Carlyle Group and Blackstone.
Healthscope said the two new offers are priced at A$5.80 a share, outbidding the earlier offer of A$5.75 a share.
Healthscope said that all three bidders will be permitted to conduct due diligence on the company's financial records. Page 35.
Australia's major mining companies outperformed the wider equities market in May, despite market concern about the impact of the Federal Government's proposed resource super profits tax.
The Australian Securities Exchange's materials index of its ASX200 Index fell by almost 6 percent, with Rio Tinto down 6.87 percent and BHP Billiton down 6.15 percent.
However, the wider S&P/ASX 200 Index fell 7.9 percent, pushed down by industrial and financial stocks. Page 35.
Gina Rinehart, chief executive of mining company Hancock Prospecting and Australia's richest woman, yesterday added to mining sector criticism of the Federal Government's proposed resource super profits tax.
Ms Rinehart said the tax would 'make our resource commodities more expensive and less able to compete on world markets and will reduce Australia's future revenue.' Page 35.
--National Australia Bank's exclusivity agreement with takeover target Axa Asia Pacific was due to expire overnight; however, sources say the agreement is set to be extended for up to three weeks.
NAB's bid for APH was rejected by the Australian Competition and Consumer Commission in April, but the bank is believed to be seeking to address the regulator's concerns by selling its North investment platform. Page 35.
THE SYDNEY MORNING HERALD (www.smh.com.au)
The mining sector recorded its first quarter of profit growth since September 2008 in the three months to March, with gross profits rising 9.2 percent to A$15 billion.
The figures come from the Australian Bureau of Statistics, which also found that profits across the wider economy rose 3.9 percent for the period.
Despite the rise, mining industry profits remain 40 percent below their pre-financial crisis peak of A$24.4 billion. Page 1.
Westpac Banking Corporation yesterday announced that it had struck a new enterprise agreement with the Finance Sector Union which will see the bank's staff receive pay rises of up to 10 percent over three years.
The deal is expected to place pressure on Westpac's rivals to match the wage increases. Westpac's Peter Hanlon said the deal was an appropriate balance between the interests of employers, the bank and shareholders. Page 3.
Sigma Pharmaceutical has invited South Africa's Aspen Pharmacare to undertake due diligence on its financial records, raising the likelihood that Aspen's A$707 million takeover bid will succeed.
Sigma yesterday said that it had provided Aspen with a limited exclusivity agreement for four weeks, during which time Sigma has agreed not to solicit rival bids.
If successful, Aspen's bid would make the South African company the leading supplier of prescription drugs in Australia. Page 3.
Luxury goods group Moet Hennessy Australia has recorded sales growth of over 10 percent for the year to date, following a 10.5 percent increase in revenue for calendar 2009 to A$162.8 million.
The company, part of French group LVMH, expects continued strong growth this year, driven by sales of its flagship Moet & Chandon champagne.
Managing director James Paton yesterday said the company is benefiting as restaurants reduce their wine lists and concentrate on trusted brands. Page 4.
THE AGE (www.theage.com.au)
The Business Council of Australia (BCA) yesterday questioned funding arrangements for the Federal Government's National Broadband Network (NBN) Company, saying they may breach the Government's competitive neutrality guidelines.
The BCA said the NBN Co's expected 6 percent to 7 percent return on investment breached the Government's policy that 'government business enterprises should seek to make a commercial rate of return.' Page B3.
Shares in forestry products group Gunns yesterday rose strongly to end the day 21.5 percent higher at A48 cents a share.
The increase returns Gunns' share price to the level seen before institutional investors last week began selling shares in protest at the continued presence of former executive chairman John Gay. Mr Gay last week resigned from all roles within the company.
Analysts say the increase is driven by speculation that Gunns may now become a takeover target. Page B4.
Shares in iron ore mining hopeful Cazaly Resources were yesterday placed in a trading halt, with the company saying it would soon make an announcement 'regarding the finalisation of an agreement with respect to the development the Parker Range iron ore project.'
Industry sources believe the announcement means Cazaly has secured a partner for the A$78 million Parker Range project in Western Australia's Yilgarn region. Page B5.
United States mining company Newmont has warned the Federal Government that its proposed resource super profits tax risks killing 'the goose that lays the golden egg.'
However, the company's executive vice president of discovery and development, Guy Lansdown, last week told investors that he would not speculate on the tax, as 'we've got 18 months before this is passed into law, and there is going to be a lot of water that will flow under the bridge.' Page B5.
Keywords: DIGEST AUSTRALIA BUSINESS (Sydney Newsroom +61-2 9373 1816; sydney.newsroom@allreleases.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.