Morning Headlines

WA faces $13b hit to revenue

The Western Australian government would lose a further $6 billion in royalty revenue if the iron ore price falls as low as predicted by Treasurer Joe Hockey, extending the hit to the state’s coffers to more than $13 billion in the past four months. The Fin

Fortescue’s value slashed as Citi tips ore price fall

Andrew Forrest’s Fortescue Metals Group is worth just a fraction of its current depressed value, according to bearish research from Citi that will only add to the gloom in Australia’s embattled iron ore sector. The Aus

Iron ore fall may hit Rio, BHP capex

BHP Billiton and Rio Tinto may be forced to slash capital investment or borrow more to maintain dividend payments if the iron ore price hits the $US35-a-tonne price being contemplated by Treasurer Joe Hockey. The Fin

Toro in talks with six parties

ASX-listed Toro Energy is in talks with up to six energy utilities in Asia and the US about a potential deal where they would buy an equity stake in the company and also help fund the $315 million Wiluna uranium project in Western Australia. The Fin

WA mine job ads fall as growth slows

The number of jobs advertised in WA’s mining and resources sector fell 10 per cent in the month to March and more than 35 per cent over the year. The West

DP World-MUA in breakthrough

DP World and the Maritime Union of Australia are closing in on an agreement over a new labour deal at the company’s Fremantle container terminal after 14 months of negotiations. The West

The Australian Financial Review 

Page 1: The Western Australian government would lose a further $6 billion in royalty revenue if the iron ore price falls as low as predicted by Treasurer Joe Hockey, extending the hit to the state’s coffers to more than $13 billion in the past four months.

Page 3: Treasurer Joe Hockey has hinted at a two-tiered business tax system in which all companies, regardless of size, would pay a lower rate on their first portion of profit and then move into a higher bracket.

An Australian lawyer has established a property scheme in Singapore to help foreign buyers skirt investment rules which prevent non-residents acquiring existing Australian real estate.

Page 6: The Western Australian government would lose a further $6 billion in royalty revenue if the iron ore price falls as low as predicted by Treasurer Joe Hockey, extending the hit to the state’s coffers to more than $13 billion in the past four months.

Page 9: German discount grocery store chain Aldi, which has been credited with improving competition in the super market industry, found as it expanded in Australia unions disrupted its operations by complaining to the Fair Work Commission about workplace agreements that most staff wanted.

Page 11: More than 2000 clean energy jobs have disappeared over the past two years as the sector grapples with uncertainty sparked by a political impasse over the renewable energy target.

Page 13: Social Services Minister Scott Morrison has threatened to withhold government benefits from those who hide behind religious objection as a grounds for refusing child vaccinations if he finds the mechanism is being abused.

Two of Gina Rinehart’s estranged children have taken a small step forward in a drawn-out court battle over allegations their mother siphoned assets out of a family trust that was set up for their benefit.

Page 15: Trucking group McAleese is reviewing its future as a stand-alone company after going into a trading halt to assess the consequences of losing its biggest customer, Atlas Iron, and half its earnings.

Almost six years after Woolworths’ entry into the $45 billion home improvement market triggered an aggressive competitive response from Bunnings Warehouse, the fallout is being borne by small and family owned hardware retailers operating independently or sourcing stock through buying groups such as Danks, which is now owned by Woolworths, and Mitre 10, which was acquired by Metcash in 2008.

Page 17: OZ Minerals chief executive Andrew Cole says copper has much better long-term fundamentals than iron ore and he will be turning the group into a growth company that is resilient to downturns.

Page 19: ASX-listed Toro Energy is in talks with up to six energy utilities in Asia and the US about a potential deal where they would buy an equity stake in the company and also help fund the $315 million Wiluna uranium project in Western Australia.

The Australian

Page 2: Colin Barnett has backed Western Australia’s massive exposure to the slowing Chinese economy and the weakening resources industry, telling a Singapore audience that “riding the Asian tiger is the bumpy ride that we have to take”.

Page 3: Sending children to private or public school makes no difference to their educational development because the things that matter — such as birth weight, parent education and the time mothers spend with their children — have already been set in stone, a new study says.

Page 4: Tony Abbott has contradicted his science-phobic image, chairing a high-powered council of academics, business leaders and cabinet ministers for the second time.

Page 5: A key test of the Abbott government’s $2.5 billion Direct Action climate change plan has arrived with the first auction of carbon abatement permits to be held tomorrow as the French government builds diplomatic pressure on Australia to do more.

Page 19: Newly appointed Seven Group Holdings CEO Ryan Stokes is seeking to play a pivotal role in anticipated consolidation in the oil and gas sector after Royal Dutch Shell’s proposed £44 billion ($91bn) purchase of BG Group.

Full-time job vacancies in the resources sector have fallen more than 40 per cent over the past year, with no signs of the mining slowdown easing and the price of iron ore tipped to fall further.

Page 20: Andrew Forrest’s Fortescue Metals Group is worth just a fraction of its current depressed value, according to bearish research from Citi that will only add to the gloom in Australia’s embattled iron ore sector.

Page 21: Competition boss Rod Sims is facing a backlash over the regulator’s draft decision to knock back an alliance between Qantas and China Eastern, with the federal government leading the charge.

The West Australian

Page 1: WA’s credit rating could be downgraded because of the falling iron ore price and the State Government’s failure to curb spending.

Page 3: One of the University of WA’s biggest private benefactors is threatening to withhold donations because of his “heartbreak” at the axing of a world-renowned water research organisation.

Page 4: The Prime Minister’s parliamentary secretary, former WA treasurer Christian Porter, says 38¢ in the dollar is the best possible GST return the State can expect in the current political climate.

Page 6: The number of jobs advertised in WA’s mining and resources sector fell 10 per cent in the month to March and more than 35 per cent over the year.

Page 11: The legal fight between Perth Glory and Football Federation Australia has been set for an urgent disciplinary committee hearing tomorrow and a possible Supreme Court challenge on Friday in a race against time to resolve the feud without disrupting the A-League final series.

Page 17: Tony Abbott’s replacement for the carbon tax to lower greenhouse emissions faces its first test from the business sector tomorrow.

Business: Incoming Seven Group Holdings boss Ryan Stokes has talked up the company’s balance sheet and a history of counter-cyclical corporate manoeuvrings after Don Voelte yesterday called time on more than a decade of chief executive duties in Australia.

Sirius Resources shares recovered 13¢ to $2.62 after reporting thick high-grade gold mineralisation beneath its Baloo discovery north of Norseman.

Viento Group has landed another significant contract ahead of the launch of efforts to tap shareholders in a rights issue. Viento said yesterday it had won a $7.3 million contract with Rio Tinto for construction of a tailings facility at the Rio-operated Hope Downs 4 mine.

DP World and the Maritime Union of Australia are closing in on an agreement over a new labour deal at the company’s Fremantle container terminal after 14 months of negotiations.

Contract beer maker Gage Roads Brewing is contemplating cutting costs after losing sales to biggest customer Woolworths.