Today's Business Headlines

Households feeling the pinch: RBA

One of the biggest falls in household wealth on record is undermining confidence and contributing to Labor’s difficulty persuading voters of its economic credentials. The Aus

Industry handouts 'to cost jobs'

Australia's productivity tsar has weighed into the debate on the ‘‘two-speed economy’’, arguing that government handouts to the flagging manufacturing sector are a job killer, not a job creator. The Aus

Green 'guerillas' flayed

Resources Minister Martin Ferguson has hit out at tactics used by “guerilla” environmental groups, warning a decline in productivity could mean Australia misses out on new resources projects. The Fin

Woodside loses troubled Pluto's two top executives

The two most senior executives with direct oversight of Woodside Petroleum’s troubled $14.9 billion Pluto LNG project appear set to leave the group within weeks, bringing to five the number of direct reports to chief executive Peter Coleman who have resigned since he arrived last May. The Aus

Call for roof on new stadium

The state government is being urged to put a roof over Perth's new sports stadium. The West

 

THE WEST AUSTRALIAN:

Page 3: The state government is being urged to put a roof over Perth's new sports stadium.

Page 5: Former Woodside Petroleum executive Jill Mustard, who was paid $170,000 to settle a sexual discrimination claim, has launched further legal action against the resources giant, claiming she was defamed and seeking a further $50,000.

Page 6: Karratha locals feel unsafe, under siege and are struggling with skyrocketing housing costs and poor infrastructure as a result of the region's 15,000-strong fly-in fly-out workforce.

Page 7: One of the Pilbara's most popular watering holes has banned drinkers from wearing high-visibility work uniforms.

Page 10: West Australians will be given the clearest indication yet of when they can expect to be connected to high-speed fibre broadband with a major announcement about the rollout of the National Broadband Network set to be made this morning.

Page 13: The Cocos Islands' airfield will need a $75 million to $100 million upgrade if it is to host American spy planes, Defence Minister Stephen Smith says.

More than 50 Aboriginal rights activists marched to Parliament yesterday to demand the government hand over 5 per cent of the annual gross domestic product of the South West – about $1.3 billion a year – to the Noongar people to settle native title in the region.

Page 15: A host of programs will be cut or cancelled in next month's Federal Budget as the government strives for a surplus in the face of dwindling tax revenue, Treasurer Wayne Swan will reveal today.

Premier Colin Barnett has stepped up the war with Canberra over the state's cut of the GST, warning WA was “at the bottom of the barrel” and future resource projects were at risk unless the issue was resolved.

Business: The Reserve Bank has warned against local banks taking on more risk or excessive cost cutting to help maintain profits in the face of the slowing credit market.

One of Gina Rinehart's private companies has topped up its investment in her major mining project, tipping another $200 million into the holding company that owns the Roy Hill iron ore project in the Pilbara.

A battle for control has broken out for Central Petroleum, with one fifth of the $100 million Perth oil player's shares changing hands over the past six trading days.

Diploma Group has chalked up a legal victory in an industrial dispute, with Federal Court judges ordering the construction union to compensate the builder for project losses.

Global brewer SABMiller predicts flat growth in the Australian beer market for as long as five years, but is holding out for a recovery in consumer sentiment by the summer to support its recently acquired Foster's business and justify its $12 billion price tax.

Online entertainment player Quickflix is poised to launch a push into New Zealand, a day after completing a $10 million capital raising that has seen television production company Home Box Office emerge as its biggest shareholder.

Australia's new petroleum regulator is at the centre of a corporate disclosure dispute, barely a week after the Gillard government warned business that disclosure laws were “absolutely clear” and must be respected.

 

THE AUSTRALIAN FINANCIAL REVIEW:

Page 1: The Australian Federal Police has revealed it is working with UK police investigating the News Corporation phone hacking scandal in a statement hours after The Australian Financial Review exposed News's role in high-tech piracy that sabotaged its pay TV rivals and damaged Australian operators such as Austar.

Treasurer Wayne Swan says the federal government will need to cut and cancel whole spending programs to return the budget to surplus next financial year, as it fights a structural decline in the tax base that will keep revenue at depressed levels for years.

Resources Minister Martin Ferguson has hit out at tactics used by “guerilla” environmental groups, warning a decline in productivity could mean Australia misses out on new resources projects.

Page 4: Beijing has criticised Canberra for “obstructing” the operations of Chinese firms in Australia, after telecoms giant Huawei was banned from bidding for the national broadband network on security grounds.

Page 5: A Reserve Bank board member overseeing a review of federal Labor's industrial relations system has disputed claims the Fair Work laws are contributing to declining productivity but has flagged that the review will recommend policy changes to drive growth.

Page 7: Slow lending growth and a likely rise in debt defaults will hurt profits at commercial banks, according to the Reserve Bank of Australia, which cautioned the industry against chasing unsustainable returns.

Page 9: West Australian Premier Colin Barnett has threatened to withdraw ancillary public funding for new mining projects unless the state's falling share of goods and services tax revenue is arrested, a move that could undermine export revenue.

Page 23: The corporate regulator has rejected calls for a clarification of local “truth in takeovers” policy, dismissing claims that the rules are inconsistently applied and seldom hold bidders to final statements.

Page 25: SABMiller, the world's second-largest brewer, has vowed to cut the pace of discounts to supermarket customers in Australia as it aims to lift margins and slash costs by $180 million.

Page 26: Incitec Pivot has questioned the merits of rival explosives supplier Orica's plan to build a $700 million ammonium nitrate plant in Western Australia's Pilbara, saying the move does not threaten its business in the region.

Page 44: State and territory governments have expressed concerns with a federal government plan that could reduce housing development around airports, ahead of a meeting of senior officials this Friday.

Page 51: The Housing Industry Association has called for a national building product accreditation scheme, to ensure products sold in Australia are up to scratch regardless of where they are manufactured.

 

THE AUSTRALIAN:

Page 1: One of the biggest falls in household wealth on record is undermining confidence and contributing to Labor’s difficulty persuading voters of its economic credentials.

The government faces a further blow-out in this year’s budget deficit — now likely to pass $40 billion — after Wayne Swan warned the collapse in tax revenue would last for years.

Australia's productivity tsar has weighed into the debate on the ‘‘two-speed economy’’, arguing that government handouts to the flagging manufacturing sector are a job killer, not a job creator.

The Australian Federal Police yesterday confirmed it had been assisting British police with their investigation into News Corporation, as the media company lashed as ‘‘baseless’’ claims it had encouraged piracy in the pay-tv industry.

Page 2: Resources Minister Martin Ferguson has accused the Greens of being ‘‘fundamentally anti-growth’’ and of opposing Australian mineral resource exports that will help billions of people to drag themselves out of poverty

The nation’s biggest cities are missing out on infrastructure worth billions of dollars as the states struggle to plan major projects, the Gillard government has been warned in a report likely to heighten tensions between Canberra and the states.

Page 4: The economic boom has passed by the nation’s poorest 4.9 million people — their net worth has not increased since 2003-04, while the average net worth across all other households has increased by 29 per cent.

Workplace Relations Minister Bill Shorten yesterday stared down union opposition to reducing pay rises in exchange for increases in superannuation.

Page 5: Tony Abbott would have to means-test the childcare rebate or slash the childcare benefit paid to more than 780,000 parents if he planned to subsidise nannies within the existing funding allocation, Childcare Minister Kate Ellis claims.

Immigration Minister Chris Bowen has admitted employing a nanny when his wife went back to work but says a government subsidy would amount to a dramatic expansion of ‘‘middleclass welfare’’.

Page 7: Britain's intelligence services were forced to erect a costly, resource-intensive auditing structure to ensure Huawei did not steal secrets after the Chinese telco was allowed to take part in a British broadband project.

Business: Coles boss Ian Mcleod has hit back at claims that supermarkets are forcing local manufacturers to the wall, saying suppliers to companies such as Coles were looking for ‘‘convenient excuses’’ to cover up their own failings.

The two most senior executives with direct oversight of Woodside Petroleum’s troubled $14.9 billion Pluto LNG project appear set to leave the group within weeks, bringing to five the number of direct reports to chief executive Peter Coleman who have resigned since he arrived last May.

The retreat of the European commercial banks has created a substantial gap in the domestic funding markets as Australian corporates look to refinance their maturing debt.

Australian companies have been involved in the lowest number of mergers and acquisitions in 10 years as they delay pushing the button on deals because of the uncertain economic climate.

A seemingly relentless slide in US natural gas prices is highlighting the potential for BHP Billiton to write off what some analysts say could be $US9 billion ($8.6bn) from the value of the US shale gas assets the miner paid $Us20.1bn for last year.

Resources Minister Martin Ferguson has warned gas exporters to settle their energy pricing row with local industry as the federal government confronts a new push for subsidies for struggling manufacturers.

China's push into Australia’s resources sector has moved beyond the mine gate as the economic powerhouse eyes infrastructure, to ensure the product will reach end markets, before deciding on a deal.

There is rising uncertainty about demand in China for construction materials — and therefore Australian resources — as land sales fall, auctions fail and prices fall across the country’s second- and third-tier cities.

The new parent of brewing major Foster’s says sales by volume and value fell sharply over the six months to December 31, but the company hopes to restore revenue lost from third-party brands such as Corona by building up sales of Peroni and Miller labels.

 

THE SYDNEY MORNING HERALD:

Page 1: Treasurer Wayne Swan to reveal how government programs will be cut or abolished in the upcoming budget so it can return to surplus.

Page 2: Communications Minister Stephen Conroy wants the Australian Federal Police to investigate News Corporation for alleged piracy.

Page 3: Doctors criticise new procedure where ambulance crews leave patients in emergency instead of staying with them until the hospital takes over.

World: Syrian troops fire on civilians only hours after President Bashar al-Assad formally accepts UN ceasefire proposal.

Business: The Reserve Bank warns banks against taking on more risk.

Sport: Cooper Cronk to tell Melbourne of his decision.

THE DAILY TELEGRAPH:

Page 1: Treasurer Wayne Swan to reveal how government programs will be cut or abolished in the upcoming budget so it can return to surplus.

Page 2: Communications Minister Stephen Conroy wants the Australian Federal Police to investigate News Corporation for alleged piracy.

Page 3: Doctors criticise new procedure where ambulance crews leave patients in emergency instead of staying with them until the hospital takes over.

World: Syrian troops fire on civilians only hours after President Bashar al-Assad formally accepts UN ceasefire proposal.

Business: The Reserve Bank warns banks against taking on more risk.

Sport: Cooper Cronk to tell Melbourne of his decision.

 

THE AGE:

Page 1: Australian Federal Police may probe claims a secret unit in News Corporation promoted piracy in the pay TV industry.

Treasurer Wayne Swan set to warn of a budget full of cuts as the government tries to deliver a surplus.
Page 2: Children of sperm and egg donors who donated anonymously before 1988 should have the right to know who their biological parents are, parliamentary committee says.

Page 3: Crime syndicates are exploiting a government computer glitch that tells them if shipping containers holding their drugs are being searched.

Ben Cousins faces serious drug charges after allegedly being found with methamphetamine at a West Australian airport.

Apple agrees to post signs clarifying that its new iPad does not work on Australian 4G networks.

World: Syrian president's acceptance of a UN-brokered ceasefire fails to stop bloodshed. England's riots were partly caused by the deprivation of 500,000 families at the bottom of society, a report finds.

Buisness: Reserve Bank warns local banks not to take on more risk or excessive cost cutting to maintain profits in the face of the slowing credit market.

Sport: Richmond coach Damien Hardwick confident of lifting his young players to new heights this AFL season.

 

THE HERALD SUN:

Page 1: Footy's back in Melbourne. Ben Cousins faces jail after drug bust at Esperance Airport in WA.

Page 2: Cutting federal programs is the only way we can achieve a budget surplus, Treasurer Wayne Swan to tell economists.

Page 3: Biota claim curing the common cold will end the sickie, health experts say. AFL legend Don Scott fighting cancer. New Olympic outfits revealed.

World: A US airline captain is tackled by passengers as he goes berserk aboard flight.

Business: Average Australian household has lost $70,0000 in assets since the GFC, RBA says.

Sport: Scott Pendlebury resists GWS offer to sign with Collingwood for another four years.

THE CANBERRA TIMES:

Page 1: New tertiary institute shelved as ACT government negotiates funding.

Page 2: RBA warns big banks to steer clear of high risk lending.

Page 3: Criminal syndicates tapping into Customs computers.

World: Pope urges Cuba to embrace freedom.

Finance: Paying mortgages double quick.

Sport: Spurred on by the greats, Mills is back on court.