Today's Business Headlines

Big result gives Rio a boost
Rio Tinto has reaffirmed its rejection of what it sees as BHP Billiton's low-ball $175 billion takeover bid after a better than expected June half profit of $US5.4 billion ($A6.32 billion). The Age

One senator holds key to North-West tax grab
The fate of Prime Minister Kevin Rudd's $2.5 billion tax grab on the North-West Shelf - which Woodside has warned could push up the cost of gas for WA householders - rests with a single Victorian senator who was elected with just 2519 primary votes in the 2004 election. The West

Opes Prime takes toll on small brokers, stock lending
The Opes Prime collapse has sparked a sharp reduction in stock lending across the small listed companies sector of the share market. The Fin Review

Woolies' new card will trail shoppers
Woolworths' plan to launch a credit card that will trace consumer spending habits which can in turn be used for marketing purposes. The Sydney Morning Herald

Fairfax sheds 550 jobs and quality journalism
Fairfax Media staff have rejected plans to cut 550 jobs, saying the move will abandon quality journalism at flagship publications including The Sydney Morning Herald and The Age. The Australian

THE WEST AUSTRALIAN:

Page 1: The fate of Prime Minister Kevin Rudd's $2.5 billion tax grab on the North-West Shelf - which Woodside has warned could push up the cost of gas for WA householders - rests with a single Victorian senator who was elected with just 2519 primary votes in the 2004 election.

Page 5: Alan Carpenter produced another spectacular policy reversal yesterday when he announced that he would legislate to ban uranium mining in Western Australia, only weeks after dismissing the measure as unnecessary.

Business: Rio Tinto has reaffirmed its rejection of what it sees as mining rival BHP Billiton's low-ball $175 billion takeover bid after posting a better-than-expected interim profit of $US6.91 billion ($A8 billion).

One of Australia's last surviving microbrewers, Gage Roads, has moved to distance itself from its flailing sector rivals with plans to launch two premium products and double its market exposure through new distribution networks across the country.

Woolworths chief Michael Luscombe yesterday dismissed claims that the absence of competition from global supermarket giant Aldi left WA customers paying more, saying WA shoppers were effectively subsidised by the rest of Australia.

Investors gave forestry group Great Southern an initial tick yesterday, sending its shares up more than 35 per cent on news it would overhaul its business model to reduce its revenue reliance on proceeds from its managed investment schemes.

The head of Oakajee Port & Rail has attacked rival Yilgarn Infrastructure's $1.5 billion ambitions for a Mid West rail network, saying there was no financial justification for building two railways.

Shares of Fannie Mae and Freddie Mac climbed for a second day on Tuesday amid expectations that the mortgage finance giants will be able to weather the housing storm without a government rescue.

Car axle component supplier Unidrive has announced it will sack 40 workers, due to the downturn experienced by major car manufacturers.

THE AUSTRALIAN:

Page 1: Fairfax Media staff have rejected plans to cut 550 jobs, saying the move will abandon quality journalism at flagship publications including The Sydney Morning Herald and The Age.

Page 2: Carmakers Holden, Ford and Toyota chalked up losses of $250 million last year despite being granted 55 per cent ($370 million) of all taxpayer support for the Australian manufacturing industry.

Finance: Rio Tinto has more than doubled its first half net profit to $8.01 billion.

THE AUSTRALIAN FINANCIAL REVIEW:

Page 3: The value of residential mortgages held by securitisers - many of them non-bank lenders - dropped by 5.4 per cent in the June quarter to $170.9 billion, the fourth successive fall, the Australian Bureau of Statistics reports,