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)
Bob Savage, chairman of department store chain David Jones , yesterday dismissed speculation that the company may lose a number of senior staff following the shock resignation of chief executive Mark McInnes. Mr McInnes announced his departure last week after admitting to behaving in a manner unbecoming towards a female staff member. Paul Zahra, the former general manager of stores and operations, has been appointed as Mr McInnes replacement. Page 15.
The managing director of Fosters Group's wine division, David Dearie, has sought board approval to withdraw from sale four vineyards that were first placed on the market a year ago. Mr Dearie said the vineyards were now required as the companys wine business planned to release new products for the first time in 18 months. Fosters has sold 20 of the 32 vineyards that it originally put up for sale last year. Page 16.
Drug manufacturer and distributor Sigma Pharmaceuticals will today hold its annual meeting, with shareholders expected to question senior executives on why they were not informed of the companys financial troubles last September when Sigma undertook an equity raising. The company has since revealed A$424 million in write-downs, with chief executive Elmo de Alwis and chairman John Stocker announcing plans to resign.
Page 16.
Mining company Kingsgate Consolidated has said it would use funds from the planned float of 51 percent of subsidiary Akara Mining on Thailand's stock exchange to make acquisitions in other countries. The gold miners managing director, Gavin Thomas, yesterday said that we think its a good strategic move to try to diversify in a geopolitical manner. The partial float is expected to generate between US$400 million and US$600 million. Page 16.
THE AUSTRALIAN (www.theaustralian.news.com.au)
Adam Boyton, who will replace Tony Meer as Deutsche Bank's Australian chief economist next month, has said that Australia's strong labour market performance will provide the basis for future growth of the domestic economy. Mr Boyton rejected the view that employment data is a lagging indicator, saying if you ask me for the one indicator that looks at the health of the overall economy, it has to be the labour force. Page 23.
The Australia-China economic forum will open in Canberra today, with Prime Minister Kevin Rudd the first to speak before an audience made up of 250 Australian and 250 Chinese business leaders. A focus of the Australia China Business Council-organised event is expected to be the Rudd governments proposed resource super profits tax. Chinese ambassador Zhang Junsai yesterday said that many Chinese businesspeople are keen to learn more about the tax. Page 23.
The Australian Competition and Consumer Commission has announced that it will hand down its ruling on the proposed iron ore merger between BHP Billiton and Rio Tinto on July 22. The regulator has deferred its decision a number of times as it sought further information from the two companies on the proposed US$116 billion merger of iron ore operations in Western Australias Pilbara region. Page 24.
Richard Leupen, chief executive of engineering and construction group UGL, yesterday said the construction industry was likely to see a fall in activity in 12 to 18 months time due to the Federal Governments proposed resource super profits tax. Mr Leupen said the uncertainty currently surrounding the tax is causing project approvals to be delayed.
Mr Leupen estimated that the tax would cut UGL's revenue from projects by 10 to 15 percent in 2012. Page 24.
THE SYDNEY MORNING HERALD (www.smh.com.au)
Market-leading hardware chain Bunnings has launched an attack on supermarket group Woolworths, which is preparing to launch a rival chain of big-box hardware stores. The Wesfarmers-owned Bunnings has claimed that Woolworths is seeking an unfair advantage by applying to have a number of proposed store sites rezoned to allow the new stores to sell whitegoods and other products in addition to hardware supplies. Page 3.
Creditors to collapsed investment fund manager Trio Capital will meet tomorrow in Sydney, and are expected to vote in favour of placing Trio in liquidation. The Australian Securities and Investments Commission last year stripped Trio of its financial services licence due to the disappearance of A$180 million of investor funds. A New South Wales Supreme Court judge later said that investors are likely to have been the victims of a fraudulent scam. Page 3.
A report by accounting firm Ernst & Young has found that the Federal Governments proposed resource super profits tax would have an adverse effect on Australian mining employment, mining investment and the Australian economy. The study, commissioned by mining company Xstrata and the Chamber of Minerals and Energy of Western Australia, said the proposed tax was based on flawed economic assumptions. Page 6.
The pub property market has again started attracting investors, with buyers taking advantage of a number of forced sales, according to industry commentators. CBRE Hotels has recently organised more than A$20 million of sales, with CBRE director Joel Fisher recently saying that while institutional owners are slowly returning to the sector, traditional pub owners and hoteliers are back in force. Page 7.
THE AGE (www.theage.com.au)
Mining exploration company Sundance Resources yesterday reported that an aircraft flying six executives from Cameroon to the Republic of Congo in West Africa was missing. The executives were touring the companys Mbalam iron ore project, which spans Cameroon, Equitorial Guinea and the Republic of Congo. Among the missing executives are Sundance chairman Geoff Wedlock and non-executive director Ken Talbot. Page B3.
A survey by financial markets research firm EastColes has found that there is increasing dissatisfaction among Australian senior executives with the Federal Government. The informal poll found that executives are concerned that uncertainty created by the Governments proposed resource super profits tax will reduce Australias attractiveness as a destination for foreign investment. Page B7.
Analysts yesterday speculated that mining company Intrepid Mines might uncover a 45-million ounce gold equivalent resource at its 80 percent-owned Tujuh Bukit copper and gold discovery, on the Indonesian island of Java. Although rival miner Vale previously secured an option over an interest in a gold-copper sulphide system at the site, the Brazilian business ultimately decided to abandon the opportunity. Intrepid is expected to release an initial resource estimate in coming months. Page B8.
This weekend a record number of properties were put on the Victorian real estate market, with 942 auctions and 449 private sales. However, the clearance rate proved to be the lowest since February 2009, dwindling to 68 percent as a result of changing market conditions. Although the market was patchy, Chris Murphy of real estate company Hocking Stuart yesterday said the clearance rate was in line with the typical Melbourne market.
Page B10. --
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)
Bob Savage, chairman of department store chain David Jones , yesterday dismissed speculation that the company may lose a number of senior staff following the shock resignation of chief executive Mark McInnes. Mr McInnes announced his departure last week after admitting to behaving in a manner unbecoming towards a female staff member. Paul Zahra, the former general manager of stores and operations, has been appointed as Mr McInnes replacement. Page 15.
The managing director of Fosters Group's wine division, David Dearie, has sought board approval to withdraw from sale four vineyards that were first placed on the market a year ago. Mr Dearie said the vineyards were now required as the companys wine business planned to release new products for the first time in 18 months. Fosters has sold 20 of the 32 vineyards that it originally put up for sale last year. Page 16.
Drug manufacturer and distributor Sigma Pharmaceuticals will today hold its annual meeting, with shareholders expected to question senior executives on why they were not informed of the companys financial troubles last September when Sigma undertook an equity raising. The company has since revealed A$424 million in write-downs, with chief executive Elmo de Alwis and chairman John Stocker announcing plans to resign.
Page 16.
Mining company Kingsgate Consolidated has said it would use funds from the planned float of 51 percent of subsidiary Akara Mining on Thailand's stock exchange to make acquisitions in other countries. The gold miners managing director, Gavin Thomas, yesterday said that we think its a good strategic move to try to diversify in a geopolitical manner. The partial float is expected to generate between US$400 million and US$600 million. Page 16.
THE AUSTRALIAN (www.theaustralian.news.com.au)
Adam Boyton, who will replace Tony Meer as Deutsche Bank's Australian chief economist next month, has said that Australia's strong labour market performance will provide the basis for future growth of the domestic economy. Mr Boyton rejected the view that employment data is a lagging indicator, saying if you ask me for the one indicator that looks at the health of the overall economy, it has to be the labour force. Page 23.
The Australia-China economic forum will open in Canberra today, with Prime Minister Kevin Rudd the first to speak before an audience made up of 250 Australian and 250 Chinese business leaders. A focus of the Australia China Business Council-organised event is expected to be the Rudd governments proposed resource super profits tax. Chinese ambassador Zhang Junsai yesterday said that many Chinese businesspeople are keen to learn more about the tax. Page 23.
The Australian Competition and Consumer Commission has announced that it will hand down its ruling on the proposed iron ore merger between BHP Billiton and Rio Tinto on July 22. The regulator has deferred its decision a number of times as it sought further information from the two companies on the proposed US$116 billion merger of iron ore operations in Western Australias Pilbara region. Page 24.
Richard Leupen, chief executive of engineering and construction group UGL, yesterday said the construction industry was likely to see a fall in activity in 12 to 18 months time due to the Federal Governments proposed resource super profits tax. Mr Leupen said the uncertainty currently surrounding the tax is causing project approvals to be delayed.
Mr Leupen estimated that the tax would cut UGL's revenue from projects by 10 to 15 percent in 2012. Page 24.
THE SYDNEY MORNING HERALD (www.smh.com.au)
Market-leading hardware chain Bunnings has launched an attack on supermarket group Woolworths, which is preparing to launch a rival chain of big-box hardware stores. The Wesfarmers-owned Bunnings has claimed that Woolworths is seeking an unfair advantage by applying to have a number of proposed store sites rezoned to allow the new stores to sell whitegoods and other products in addition to hardware supplies. Page 3.
Creditors to collapsed investment fund manager Trio Capital will meet tomorrow in Sydney, and are expected to vote in favour of placing Trio in liquidation. The Australian Securities and Investments Commission last year stripped Trio of its financial services licence due to the disappearance of A$180 million of investor funds. A New South Wales Supreme Court judge later said that investors are likely to have been the victims of a fraudulent scam. Page 3.
A report by accounting firm Ernst & Young has found that the Federal Governments proposed resource super profits tax would have an adverse effect on Australian mining employment, mining investment and the Australian economy. The study, commissioned by mining company Xstrata and the Chamber of Minerals and Energy of Western Australia, said the proposed tax was based on flawed economic assumptions. Page 6.
The pub property market has again started attracting investors, with buyers taking advantage of a number of forced sales, according to industry commentators. CBRE Hotels has recently organised more than A$20 million of sales, with CBRE director Joel Fisher recently saying that while institutional owners are slowly returning to the sector, traditional pub owners and hoteliers are back in force. Page 7.
THE AGE (www.theage.com.au)
Mining exploration company Sundance Resources yesterday reported that an aircraft flying six executives from Cameroon to the Republic of Congo in West Africa was missing. The executives were touring the companys Mbalam iron ore project, which spans Cameroon, Equitorial Guinea and the Republic of Congo. Among the missing executives are Sundance chairman Geoff Wedlock and non-executive director Ken Talbot. Page B3.
A survey by financial markets research firm EastColes has found that there is increasing dissatisfaction among Australian senior executives with the Federal Government. The informal poll found that executives are concerned that uncertainty created by the Governments proposed resource super profits tax will reduce Australias attractiveness as a destination for foreign investment. Page B7.
Analysts yesterday speculated that mining company Intrepid Mines might uncover a 45-million ounce gold equivalent resource at its 80 percent-owned Tujuh Bukit copper and gold discovery, on the Indonesian island of Java. Although rival miner Vale previously secured an option over an interest in a gold-copper sulphide system at the site, the Brazilian business ultimately decided to abandon the opportunity. Intrepid is expected to release an initial resource estimate in coming months. Page B8.
This weekend a record number of properties were put on the Victorian real estate market, with 942 auctions and 449 private sales. However, the clearance rate proved to be the lowest since February 2009, dwindling to 68 percent as a result of changing market conditions. Although the market was patchy, Chris Murphy of real estate company Hocking Stuart yesterday said the clearance rate was in line with the typical Melbourne market.
Page B10. --
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.