DON'T KNOW IF ANYONE HAS POSTED THIS YET.......IF NOT HERE YOU GO:
*****************************************************************
PRESS DIGEST-Australian Business News - June 10
Reuters, Wednesday, June 09, 1999 at 19:31
(Compiled for Reuters by Media Monitors)
THE AUSTRALIAN FINANCIAL REVIEW
Sydney casino group Star City (AUS:SCY) has called on
Tabcorp (AUS:TAH) to present a premium to its present bid for an
85 percent stake in the firm's management contract and a
further 19.9 percent shareholding, saying that Tabcorp had
seriously undervalued the company, stating the offer to be
unfair. The announcement was made, despite calls by Tabcorp
management for Star City not to disclose any information on the
deal until the final report was made. Page 23.
--
Food retailer Woolworths Ltd (AUS:WOW) plans to cut its
capital expenditure next year by as much as A$100 million to
A$550 million following a budget blow out in capital
expenditure for fiscal 1999 which made it hard for the company
to post strong profits, according to newly appointed chief
financial officer Bill Wavish. The move to cut expenditure has
been motivated by a desire to offer shareholders a higher
return on assets. Page 23.
--
As part of a A$50 million capital raising bid to take
advantage of the rationalisation of Australia's resources
sector, Portman Mining (AUS:PMM) will make a placement of 16
million shares, worth A78 cents per share to Thiess Contractor,
as well as offer a fully undrwritten 5-for-11 renounceable
rights issue worth A66 cents per share. Page 23.
--
Sydney, Brisbane and Melbourne will receive Internet access
to pay-television and telephone services via a linking cable
system developed in a joint venture between Cable & Wireless
Optus (AUS:CWO) and United States Internet company Excite@Home
(NYSE:ATHM), which has been made responsible for the construction
of the A$1.7 billion high speed network. Page 23.
--
Franklins Ltd chairman Don Fraser yesterday told the
Foodweek conference that the Federal Government's attempts to
impose regulation on the food retail industry in a bid to
protect smaller firms against competition from dominant
companies, would only slow down the overall development of the
industry, suppressing development and innovation which would
inevitably lead to the entry of international competition on
the domestic market. Page 24.
--
Macquarie Bank (AUS:MBL) yesterday announced the development
of the Macquarie Film Corporation (providing funds for domestic
film production) and the Macquarie GreenLight Film Fund (to
invest in international English-language projects). The moves
follows the releae of the Federal Government's pilot Film
Licensing Company scheme, developed to ensure film projects
will receive adequate funding. Page 25.
--
THE AUSTRALIAN
Telstra (AUS:TLS) chief executive Ziggy Switkowski yesterday
announced he was considering a possible sell-off on a number of
non-core assets owned by the telecommunications firm, including
the possible sell-off of its A$3 billion property portfolio as
part of the company's 'next generation' cost cutting and
efficiency gains plans. Page 21.
--
One of Australia's largest employer groups, the Australian
Industry Group has called on the Federal Government to clarify
key elements of its industrial relations reforms, including the
use of the corporations power in the Constitution to impose
workplaceregulations. The group has also rejected the Federal
Government's building industry policies, as well as proposals
regarding award simplification and dispute mediation. Page 21.
--
Macquarie Bank managing director Allan Moss yesterday told
the Downing District Court that he had first heard about the
criminal charges made against former corporate financial
executive Simon Hannes on the day the regulators asked to
search the contents of Hannes' office (17 January, 1997). Moss
said that Hannes was a well respected executive who led the
CRA-RTZ team. Page 21.
--
Following Sausage Software's (AUS:SAS) acquisition of
Melbourne-based Internet design company Creative Access, shares
in the Internet software developer rose 10 percent, or A17
cents higher to A$1.78. Director Wayne Bos yesterday said the
acquisition, along with the company's Internet design and
multimedia knowledge, would give it a competitive edge. Page
24.
--
ANZ Bank (AUS:ANZ) chief executive John McFarlane yesterday
confirmed that the South-East Asia region would be targeted by
the firm, with a number of acquisitions planned for Thailand,
Malaysia and the Philippines. McFarlane said the bank had
around 18 months to pursue possible sales before asset prices
would rise. Page 24.
--
Australian Institute of Petroleum executive director Jim
Starkey warned yesterday that if current market conditions
continued, Australia's eight oil refineries may be forced to
close, adding that oil refineries may end up in a similar
position to Caltex, which this week reported record low
refining margins, which were unable to cover costs. Page 24.
--
THE SYDNEY MORNING HERALD
A report issued by the Australian Bureau of Agriculture
Resources and Economics shows gold export revenue for the three
months to March 31 fell A$676 million, or 36 percent, with Bell
Securities, in its gold cash costs 1999-2000 forecast for
Australian producers, claiming that two companies, Perth-based
Gold & Resources and Perilya Mines, planning to sell mining
gold for a cash cost that is higher than the current gold price
of A$394.35 an ounce. Page 21.
--
Principal Financial Group global management head Larry
Zimpleman has yet to confirm that the United States funds
management hopeful plans to make a second attempt to bid for
Deutsche Bank's (FSE:DBKG) BT Australia, following the withdrawal
of Westpac's (AUS:WBC) bid, but says that the group has plans to
expand into Australia, Japan, Britain and Brazil, becoming an
international player. Page 21.
--
Macquarie Bank managing director Allan Moss yesterday told
a Sydney District Court that he had spoken to executive
director Simon Hannes regarding the charges laid against him by
the Australian Securities Commission, explaining that he had
become a member of an investment syndicate with a friend who
had purchased TNT options without Hannes' knowledge. Page 21.
--
THE AGE
A two-year study of business practice in Australia,
conducted by consultancy firm McKinsey & Company has found that
that the most successful firms have managed to develop a
'performance ethic' strategy which enables them to effectively
compete against rival companies. The study warns that many
domestic firms, unless they take up such strategies, would
flounder in the global market place. Page B1.
--
A go-slow in mining developments in Australia is the
expected result of the drop in the domestic gold price to a 14
year low of less than A$400 an ounce. Among the developments
expected to be affected by the fall in international prices for
the metal, isthe slow down of the planned A$300 million Wandoo
project in Western Australia, a joint venture between Normandy
(AUS:NDY), Acacia (AUS:AAA) and Newcrest (AUS:NCM). Page B1.
--
Reports claim that United States-based firm Principal has
re-entered the bid for Deutsche Bank's BT Australia, the group
having withdrawn from the bidding process last week, which saw
hopeful Westpac also withdraw its offer for the firm. Should
Principal confirm that it has rejoined the list of potential
buyers, the bid may remain conditional under a Deutsche Bank
structure agreement allowing the group to focus on the funds
management arm. Page B3.
--
Looking for more information from local sources? Reuters
Business Briefing has 146 Australian sources including the
Australian Financial Review. For details of the product, please
call your local help desk <PHONE/HELP>
sydney.newsroom@reuters.com))
*************************************************************
Also US Reuters has a headline. |
