28/10/2016 - 06:30

Morning Headlines

28/10/2016 - 06:30

Bookmark

Upgrade your subscription to use this feature.

PPL deal likely as heat on NXT over tax cuts

The business community has joined the government in pressuring the Nick Xenophon Team to pass company tax cuts and budget savings in a concerted strategy to keep the focus on the minor party, which now holds the key to both sets of measures. The Fin

Crown chased big fish in junket deals

Crown Resorts aggressively ramped up its pursuit of big Chinese gamblers over the past two years, signing three deals with Macau junket operators who had access to thousands of agents on the mainland. The Fin

Iron ore won’t drop to $US40: Fortescue CEO

Fortescue Metals Group chief executive Nev Power says bearish analyst forecasts for the iron ore price are ‘‘perplexing’’ given there are ‘‘no real indicators’’ Chinese demand for iron ore is going to decline enough to push the price back to $US40 ($52) a tonne. The Fin

Widening wage gap blamed on bias

Gender discrimination is increasingly contributing to the pay gap between men and women and remains the biggest reason for the difference in their wages, new research has found. The Aus

BHP stalwart stands down after 40 years

A serious amount of mining experience is set to come on to the Australian executive market as BHP Billiton chief operating officer Dean Dalla Valle readies to leave the miner he started with 40 years ago. The Aus

Kids hospital delayed ... again

The Perth Children’s Hospital managing contractor has missed another target and the State Government does not know when it will finally get the keys to the year-late project. The West

Qantas boss backs Perth deal

It would be a blow to WA and Australia if Qantas can not close a deal to start non-stop Perth-London services using its new Boeing 787 Dreamliners, airline boss Alan Joyce has warned. The West

Alcoa chief seeks flexibility

The head of Alcoa in Australia has fired a warning shot over wage talks with its 4600-strong workforce, saying unnecessary disputes and barriers to change should be removed. The West

 

 

The Australian Financial Review

Page 1: The federal government is unlikely to factor into the coming budget update a long-term revenue boom from spiking commodity prices despite the temptation to do so to keep restive credit ratings agencies at bay.

Page 2: Expectations are growing that the huge Hazelwood brown coal power station in Victoria will close at the end of March after federal Energy and Environment Minister Josh Frydenberg held talks in Paris with the chief executive of the plant’s French owner Engie.

Page 5: The business community has joined the government in pressuring the Nick Xenophon Team to pass company tax cuts and budget savings in a concerted strategy to keep the focus on the minor party, which now holds the key to both sets of measures.

Page 6: The big four banks and AMP are due to pay compensation to more than 200,000 customers after charging them for financial advice they did not receive.

Page 7: Crown Resorts aggressively ramped up its pursuit of big Chinese gamblers over the past two years, signing three deals with Macau junket operators who had access to thousands of agents on the mainland.

Gina Rinehart’s Hancock Prospecting and its joint venture partner Shanghai CRED have increased their bid to acquire S. Kidman & Co to $386.5 million in an attempt to knock out an all- Australian families’ bid to buy the country’s largest landholder.

Page 9: The Turnbull government and superannuation funds are being challenged to ramp up investment in infrastructure projects to unlock a fresh wave of productivity-driven economic growth.

Page 10: The Victorian government should build new film and TV studios in Footscray to lure SBS and the Seven and Nine networks there to provide more jobs in the western suburbs, the Melbourne Economic Forum heard.

Page 12: Atlassian co-founders Mike Cannon-Brookes and Scott Farquhar encapsulate the quickly rising fortunes of Australia’s youngest and most talented technology entrepreneurs.

Page 14: Deutsche Bank AG unexpectedly returned to profit in the third quarter, beating analysts estimates, as chief executive officer John Cryan continued to lower costs and the investment bank reported a jump in revenue.

British Foreign Secretary Boris Johnson has likened Brussels bureaucrats to the ‘‘finger-cracking’’ divorce lawyers employed in Paul McCartney’s bitter split with Heather Mills and suggested his government may need to appeal directly to national governments to manage Brexit negotiations.

Page 17: National Australia Bank’s strategy of not chasing growth for growth’s sake could allow it to maintain its dividend for longer, investors said after being surprised by the bank’s stronger capital position and lending discipline as it posted a $6.48 billion full-year profit, beating expectations.

APA Group chairman Len Bleasel has insisted the board has its duties in succession planning well in hand, but says Mick McCormack can have the chief executive’s job as long as he wants it.

What would famed investment thinker and trenchant central bank critic ‘‘Dr Doom’’ Marc Faber do if he were put in the top job at one of the world’s big central banks? ‘‘I would put up interest rates,’’ he declares.

Page 19: Tatts Group chairman Harry Boon said an 18-month review by external consultants – which looked at all future options for the company including a demerger or selling assets – found the proposed $11.3 billion merger with Tabcorp was the best option for shareholders.

Page 20: Fortescue Metals Group chief executive Nev Power says bearish analyst forecasts for the iron ore price are ‘‘perplexing’’ given there are ‘‘no real indicators’’ Chinese demand for iron ore is going to decline enough to push the price back to $US40 ($52) a tonne.

A decision by the world’s biggest trader of coal used in power stations, Glencore, to lock in prices before they spiked this year will cost the company $US1.47 billion ($2 billion) based on current prices, according to a London-based analyst’s estimate.

Page 21: Australian investor Chris Mackay has backed his investment in US bank Wells Fargo amid a scandal that ousted the US lender’s chief executive.

Challenger shares extended their rally on Thursday after the financial services company said it had signed its biggest deal in several years, giving the group access to a market that is seven times bigger than in Australia.

The price that banks pay for deposits may ease but wholesale funding costs could rise and banks will continue to battle for mortgage customers, which will keep interest margins under pressure, said National Australia Bank chief executive Andrew Thorburn.

Page 22: Takeover target UGL is targeting at least 100 more job cuts on its troubled contracts for Darwin’s Ichthys LNG project on top of the 460 layoffs already announced this week, say unions.

Page 27: The demise of Dick Smith and the launch of Apple’s iPhone 7 have helped JB Hi-Fi lift first-quarter sales by more than double the rate a year ago, but analysts believe growth is likely to slow after Christmas.

Qantas Airways has updated its kangaroo logo for the first time in nine years as part of an overhaul of the airline’s livery before the arrival of the much-hyped 787 Dreamliner aircraft next year.

Blackmores profits tumbled by 47 per cent in the first three months of 2016-17 as uncertainty about new e-commerce regulations in China washed through to the Australian market and Chinese entrepreneurs backed off buying large amounts of vitamins from Australian retailers.

Page 28: Thorney Investment Group has seeded the Timelio Capital Fund, a new unit trust to be offered to institutional investors seeking a diversified exposure to the emerging asset class of invoice financing.

The Bill & Melinda Gates Foundation has awarded $3.6 million to Sydney’s Atomo Diagnostics, increasing its support to the company developing an affordable HIV self-test for resource-poor countries to almost $14 million.

Page 31: A lift in company earnings will support sharemarkets over the next 12 months, but inflation and growth will remain subdued and keep a lid on returns, State Street Global Advisors says.

Listed boutique fund manager Pacific Current Group, formerly Treasury Group, suffered an 84 per cent protest vote against executive pay, capping off a tumultuous year after a problematic US merger, the departure of the CEO and a five-year-low share price.

Page 34: DEXUS Property Group has bought one of Perth’s largest CBD properties, the Carillon City shopping and office complex, for $140 million from its joint owners Brookfield Property Partners and Hawaiian Investments.

 

 

The Australian

Page 1: Thousands of parents claiming government benefits are financially better off not getting a job, with new figures showing they receive at least $45,000 a year tax-free, more than the take-home pay of most Australian workers.

A bitter feud over the multimillion-dollar estate of record-breaking Melbourne Cup trainer Bart Cummings will be played out in the NSW Supreme Court.

Page 2: The Turnbull government has accused a “cabal of individuals and overseas activists” of trying to stop jobs in Queensland as the state opposition accuses the Labor government of “opening the door” to another round of “green lawfare” to stymie development.

Page 4: Gina Rinehart is on the verge of securing the S. Kidman & Co pastoral empire after the company’s board unanimously recommended shareholders accept a $386.5 million offer, which trumped a rival bid from a group of Australian pastoralists.

Page 5: Gender discrimination is increasingly contributing to the pay gap between men and women and remains the biggest reason for the difference in their wages, new research has found.

ABC employees will receive increased paid parental leave and annual 2 per cent wage rises after employees voted to support a new three-year enterprise agreement.

Page 19: Australia’s big banks faced renewed calls for a royal commission into their conduct yesterday after admitting to financial advice failings that will cost them $178 million in refunds and compensation.

Ardent Leisure’s board has warned the financial impact of the Dreamworld crash that killed four people this week could be felt for at least one year, as the number of visitors to the theme park is likely to drop sharply.

Page 21: Troubled dairy co-operative Murray Goulburn has announced an increase in the milk price it will pay its 2200 remaining farmers as part of efforts to put a brake on the number of suppliers quitting Australia’s biggest milk processor.

A serious amount of mining experience is set to come on to the Australian executive market as BHP Billiton chief operating officer Dean Dalla Valle readies to leave the miner he started with 40 years ago.

Page 22: JB Hi-Fi chairman Greg Richards has defended the awarding of more than $1.38 million in shares to boss Richard Murray despite a third of shareholders in the consumer electronics group rejecting the proposal, arguing the recent acquisition of The Good Guys would not give a “free kick’’ to the CEO to hit his earnings targets.

Page 24: In June, oil giant BP announced what it deemed an “important” discovery in Egypt. It turned out to be a modest natural-gas find that didn’t even rank in the top 50 discoveries since 2012. The fact that BP and its partner Eni hailed it as a major success is a sign of the times for the oil industry.

Page 25: Samsung Electronics’ net profit fell 16.8 per cent to 4.54 trillion Korean won ($5.2bn) in the third quarter, as a disastrous recall of its premium Galaxy Note7 smartphone caused the company’s mobile division to report its smallest quarterly profit since it launched its first Galaxy series phone more than six years ago.

Tesla Motors posted a surprise $US22 million ($28.8m) profit in its latest period, buoyed by record sales of its electric cars and boosting chief executive Elon Musk’s plan to lift output ahead of its release of a sedan to compete against mass-market rivals.

 

 

The West Australian

Page 1: The Barnett Government has thrown its support behind medicinal cannabis in a major departure from its long-held suspicion about the emerging treatment.

Page 5: The Perth Children’s Hospital managing contractor has missed another target and the State Government does not know when it will finally get the keys to the year-late project.

Page 17: Teachers are struggling to cope with heavier workloads, with more than three-quarters saying time spent on school-related activities has increased in the past year, a survey by the national teachers’ union has found.

Page 21: Perth start-up founder Melanie Perkins is the country’s second-richest woman under 40, according to magazine BRW, with Perth property developer Paul Blackburne coming fifth.

Page 24: One of WA’s top rural property agents has been told he will never work as an agent in the industry again and his son and business partner also face a possible ban over an alleged on-sale property scheme that netted a $6 million profit.

Page 26: It would be a blow to WA and Australia if Qantas can not close a deal to start non-stop Perth-London services using its new Boeing 787 Dreamliners, airline boss Alan Joyce has warned.

Page 66: The head of Alcoa in Australia has fired a warning shot over wage talks with its 4600-strong workforce, saying unnecessary disputes and barriers to change should be removed.

Fortescue Metals Group should be in a position to decide on its best option for a replacement for the 27 million tonne-a-year Firetail mine within the next six months, according to chief executive Nev Power.

Page 67: A partnership between an iron ore company and an Aboriginal organisation which resulted in creating a 2000ha farm east of Geraldton was recognised at the Department of Mines and Petroleum’s Awards for Excellence ceremony last night.

With the gold price at $1664 an ounce yesterday — a price slightly off what it has been for the past three months — costs down and exploration ramping up again, things are good. But St Barbara chief Bob Vassie, Northern Star managing director Bill Beament, Newmont Asia Pacific chief Stephen Dumble and AngloGold Ashanti Australia senior vice-president Mike Erickson all warned it could change in an instant.

Page 70: A 50 per cent surge in Atlas Iron’s share price has prompted a “please explain” from the Australian Securities Exchange.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

Subscription Options