Morning Headlines

Wesfarmers firing on most cylinders

Wesfarmers has underlined the challenge ahead for Woolworths by delivering another quarter of strong sales growth at Coles, Kmart and Bunnings and by finally reversing declines in its liquor business. The Fin

Super pit move pays off

Kalgoorlie’s Super Pit has continued its strong turnaround since Newmont Mining assumed full control of the operation a year ago, posting stronger production and markedly lower costs in the March quarter. The West

South32 cashed up despite weak prices

South32 has worked up a net cash position on its balance sheet despite the challenges thrown up to the BHP Billiton spin-off from weaker commodity prices. The Aus

Big banks draw line in the sand

Major banks have hit back at criticism from politicians, revealing their own review of industry pay structures, and telling MPs to focus on policies to promote economic growth and jobs. The Fin

Domestic airfares fall as demand starts to dip

The average price of domestic airfares fell by 5.77 per cent in the first quarter of the calendar year, after having risen by 8 to 9 per cent last year when demand was stronger. The Fin

Iron ore prices bound to fall again, says BHP

Iron ore might be trading above $US64 per tonne, but the new president of BHP Billiton’s Australian operations thinks it won’t stay at such high levels. The Fin

The Australian Financial Review

Page 1: Major banks have hit back at criticism from politicians, revealing their own review of industry pay structures, and telling MPs to focus on policies to promote economic growth and jobs.

The Australian Securities and Investments Commission has seized documents from a Fairfax journalist as part of a criminal investigation into former Leighton Holdings executives, including Primary Health Care chief executive Peter Gregg.

Page 3: Concern has emerged at the senior levels of the Fair Work Commission about the tribunal’s financial position, following the scrapping of the road safety tribunal and the impact of public-sector-wide efficiencies sought by the Turnbull government.

The average price of domestic airfares fell by 5.77 per cent in the first quarter of the calendar year, after having risen by 8 to 9 per cent last year when demand was stronger.

Page 4: Gas suppliers have taken advantage of the market uncertainty to hike prices and shorten contract terms, while some pipeline owners are engaging in monopoly pricing, says the competition regulator following its inquiry into the east coast market.

Page 6: Tax Commissioner Chris Jordan has asked the Federal Court to fast-track pivotal multinational tax avoidance cases amid frustration he is being ‘‘stooged’’ by lawyers.

Page 7: The government will be more open about future attempts to hack government agencies in a bid to encourage businesses to follow suit, says the Prime Minister’s new cyber-security chief.

Page 13: Australians are getting smarter at paying down their $1.5 trillion worth of outstanding home mortgages by increasing the use of offset accounts and taking advantage of lower interest rates, a new mortgage report by Deloitte says.

Page 17: Wesfarmers has underlined the challenge ahead for Woolworths by delivering another quarter of strong sales growth at Coles, Kmart and Bunnings and by finally reversing declines in its liquor business.

Page 19: Iron ore might be trading above $US64 per tonne, but the new president of BHP Billiton’s Australian operations thinks it won’t stay at such high levels.

Australia’s third-biggest miner, South32, has eliminated its debt and now has a positive cash position of $US18 million ($23.1 million), but it revealed production fell across most of its key commodities in the March quarter.

Page 27: BC Iron says it is ‘‘considering all of its strategic options’’ for the future of its mothballed Nullagine joint venture project with Fortescue Metals Group, including offloading its 75 per cent interest in the project.

The Australian

Page 1: The budget will have to find savings to cover more than $10 billion of fresh spending since Malcolm Turnbull gained power last September, before being able to fund any election promises or new budget commitments.

Page 2: Alternative medicines and treatments such as chiropractic therapy will be paid for by the $22 billion National Disability Insurance Scheme because the legislation is not clear on the kinds of evidence required to prove what help is “effective”.

Page 5: The preferred bidders for the nation’s most iconic cattle company, S. Kidman and Co, have gone on the front foot to defend the deal, claiming the Chinese purchasers are buying only leases of Kidman’s 10 cattle stations from an entity that is already more than 30 per cent foreign-owned.

Page 19: The nation’s major banks have vowed to explore banning commissions to their armies of sales staff as part of a proactive push to quell intense pressure on the industry reeling from rising scrutiny and a public backlash.

Woodside Petroleum chairman Michael Chaney has vowed to review and potentially simplify its executive pay structure after the blue-chip oil and gas producer suffered an embarrassing “first strike” against its remuneration report.

Page 21: South32 has worked up a net cash position on its balance sheet despite the challenges thrown up to the BHP Billiton spin-off from weaker commodity prices.

Page 22: CIMIC has posted a 5 per cent lift in net profit for the first quarter, with the contracting giant reaffirming full year guidance of a zero to 12 per cent lift in the measure.

Page 29: Jetstar is going paperless across its domestic and international operations in a bid to improve customer service, lift productivity and save millions.

The West Australian

Page 3: Parents and doctors still need to be convinced to get young children vaccinated against influenza after immunisation rates plummeted after a spate of bad reactions to one type of flu vaccine in 2010, according to WA medics.

Business: The Federal Court has appointed provisional liquidators to take control of would-be South African coal miner Continental Coal, rejecting a last ditch attempt by executive director Peter Landau to retain control of the troubled company.

Target is expected to continue to struggle as Wesfarmers department stores boss Guy Russo brings in measures to turn the business around.

Kalgoorlie’s Super Pit has continued its strong turnaround since Newmont Mining assumed full control of the operation a year ago, posting stronger production and markedly lower costs in the March quarter.

Iluka Resources has posted $102.1 million in revenue for the March quarter, down 11 per cent on the same period last year, confirming softening prices for its mineral sands.