Week in Review

Friday 20th September 2002

Pacific Retail Group will begin selling furniture and furnishings in its Noel Leeming chain, giving it access to a market worth $815 million last year and growing at a double-digit rate. Two new stores, at Auckland's Botany Downs and Manukau, will be the first to stock the range.

Independent directors of Rubicon agreed effectively to waive the 14-day notice period to vary its takeover offer so shareholders could have GPG's new offer at the same time as the appraisal report. GPG, with 20%, now wants to bid for a further 40% at 75c a share.

Weedkiller maker Certified Organics signed letters of intent with three companies covering seven European countries for the marketing and distribution of its Organic Interceptor range of products.

Privately owned Strategic Finance posted an 83% higher $6.5 million June-year profit on assets up 63% at $188 million. Following a redeemable preference share issue the property financier has shareholders' funds of $28 million.

Listed minnow Pure New Zealand reported a $656,000 June-year loss, up from a $1.1 million loss a year ago. The company said it would complete a restructure converting most of its debt into capital.

Restaurant Brands' second quarter sales rose by 17.7% to $94 million. New Zealand sales were up 6.6% at $85.1 million but the newly acquired Pizza Hutt Victoria's sales were down an estimated 14% at $8.9 million.

Shell New Zealand's 2001 profit was $200.5 million compared with $178.3 million in 2000. Exploration and production produced $172.3 million, up 51%, while retail and commercial oil products' profit fell 50% to $31.1 million.

Reed Recruitment sold its Reed Medical permanent medical placement and nursing bureau to Healthcare of New Zealand for an undisclosed sum. The two announced a new partnership.

Tranz Rail's banks extended its loan facility to November 30 to allow the freight carrier to resolve financing issues relating to the lease on the Aratere ferry. A credit rating downgrade

triggered a potential requirement for the company to post a letter of credit to support the lease.

Produce marketer Turners & Growers posted 12% lower earnings before interest and tax of $9.7 million and a 13% lower $5.9 million June-year after-tax profit as it prepared to merge with Enza and hold a public float.

Contact Energy prevailed over green protesters and secured Environment Court approval to build a 400MW station at Otahuhu in South Auckland. The company said it had still to secure a gas supply.

ABN Amro Capital Australia went to compulsory acquisition of the remaining shares in Ausdoc, the owner of Freightways Express.

Telecom and TelstraSaturn struck a deal ending a range of interconnection disputes. Toll bypass issues remain on the agenda at a Commerce Commission conference.

Listed investor Southern Capital posted a $5.1 million June year net profit, up from $1.4 million a year ago. At the half year Southern had earned $6.2 million but a loss on the sale of Flight Centre and expenses reduced that gain in the second half.

State-owned Kiwibank lost $10.2 million in the June year, slightly less than it had expected. It said it had 60,000 customers and was adding 500 each business day but deposits were only $86 million.

Challenger New Zealand is launching a sharebroking arm, Challenger First Pacific, in the next three months. It will also offer a fixed interest fund and a smaller companies equity fund.

Sheepco and Meat New Zealand will set up a new organisation to collect wool, sheepmeat, beef, and goat ment levies. They said farmers had asked for a single levy collector.

Telecom announced it planned to cut its $5.5 billion of debt by $1 billion in the next two to three years to restore earnings and its credit rating.

Ports of Auckland released new figures showing container volumes for the 12 months to the end of August 2002 reached a record 604,000 TEU (20ft equivalent units), up 5% from the previous year.

Air New Zealand said revenue-bearing kilometres travelled by passengers on its domestic routes in July were down 6.6% from a year earlier.

Retailer Michael Hill International announced a special dividend of 20c a share after selling its Australian head office building for $A4.5 million.

Comments from our readers

No comments yet