Author: roymorgansocial

Fear grows AAA rating to be lost

roymorgansocial Leave a comment

Original article by David Uren
The Australian – Page: 1 & 5 : 20-Oct-16

Treasury secretary John Fraser has warned that every Australian would be affected by a downgrade of the nation’s "AAA" credit rating. The Federal Government is hopeful that the mid-year budget update will feature a modest decline in the deficit, although there are concerns that this may not be sufficient to avert a rating downgrade. Craig Michaels of S&P Global Ratings has reiterated the need for the Government to implement budget savings measures. Meanwhile, Treasury is not expected to take into account the recent rise in coal prices when preparing economic forecasts for the mid-year update.

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY, S&P GLOBAL RATINGS, AUSTRALIAN LABOR PARTY, NICK XENOPHON TEAM

NXT nixes big business tax cuts

roymorgansocial Leave a comment

Original article by Phillip Coorey
The Australian Financial Review – Page: 1 & 7 : 19-Oct-16

The Nick Xenophon Team’s three senators will vote against the Federal Government’s $A48bn package to progressively reduce the company tax rate to 25 per cent over 10 years. The Government requires the support of at least nine of the 11 crossbenchers for its proposal to reduce the tax rate for all companies with turnover of at least $A10m, as the Opposition only favours a tax cut for companies whose turnover is no more than $A2m. Business groups have called for the implementation of the full tax reform package.

CORPORATES
NICK XENOPHON TEAM, AUSTRALIAN LABOR PARTY, AUSTRALIAN GREENS, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, BUSINESS COUNCIL OF AUSTRALIA, AUSTRALIAN CHAMBER OF COMMERCE AND INDUSTRY, COUNCIL OF SMALL BUSINESS ORGANISATIONS OF AUSTRALIA LIMITED, ESSENTIAL MEDIA COMMUNICATIONS PTY LTD

ANZ-Roy Morgan Australian Consumer Confidence rises 0.3% to 117.8

roymorgansocial Leave a comment

Original article by Roy Morgan Research
Market Research Update – Page: Online : 19-Oct-16

ANZ-Roy Morgan Australian Consumer Confidence edged up 0.3 per cent to 117.8 in the week ended 16 October 2016, reversing the 0.3 per cent fall last week. While the headline index has changed little over the past two weeks, there has been considerable variation in the sub-indices. Consumers’ views towards their current finances fell by 2.4 per cent, while views towards future finances rose one per cent. Households’ views of the 12-month economic outlook rose by 0.4 per cent, while views of the five-year economic outlook rose by 0.1 per cent.

CORPORATES
ROY MORGAN RESEARCH LIMITED, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Tatts, Tabcorp bet on $9.4bn link

roymorgansocial Leave a comment

Original article by Sarah-Jane Tasker
The Australian – Page: 19 & 22 : 19-Oct-16

Shares in gaming giants Tabcorp Holdings and Tatts Group were placed in trading halts on 18 October 2016, pending an announcement on a potential scheme of arrangement merger. A merged entity would have a market capitalisation of around $A9.4bn and boast annual synergies of about $A100m. It would also be in a stronger position to pursue growth via offshore acquisitions. The two groups shelved a "merger of equals" proposal in 2015 after failing to reach agreement on valuations.

CORPORATES
TABCORP HOLDINGS LIMITED – ASX TAH, TATTS GROUP LIMITED – ASX TTS, UBET, DEUTSCHE BANK AG, SUN BETS, NEWS CORPORATION – ASX NWS, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION

ABCC bill passes House of Reps

roymorgansocial Leave a comment

Original article by
Skynew.com.au – Page: Online : 19-Oct-16

The Federal Government’s bill to reinstate the Australian Building & Construction Commission was passed by the House of Representatives on 18 October 2016. The Government is negotiating with crossbenchers to pass the bill in the Senate. Meanwhile, Prime Minister Malcolm Turnbull says the ABCC bill and the registered organisations bill are aimed at boosting the economy rather than targeting unions. However, Coalition backbench MP Andrew Laming has questioned whether unions are still necessary.

CORPORATES
AUSTRALIAN BUILDING AND CONSTRUCTION COMMISSION, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN LABOR PARTY, CONSTRUCTION, FORESTRY, MINING AND ENERGY UNION OF AUSTRALIA, LIBERAL DEMOCRATIC PARTY, NICK XENOPHON TEAM, COUNCIL OF AUSTRALIAN GOVERNMENTS

ABCC bill could shut out companies

roymorgansocial Leave a comment

Original article by Ewin Hannan
The Australian – Page: 1 & 4 : 19-Oct-16

The Federal Government will not back down on its plan to make a national building code retrospective as part of its legislation to reinstate the Australian Building & Construction Commission. The code will apply to all enterprise agreements that have been made since 2014, and compliance with the code will be a condition of being granted federal construction contracts. However, some pattern bargaining agreements struck by the Construction, Forestry, Mining & Energy Union and the Electrical Trades Union in Victoria and Queensland would not comply with the proposed code.

CORPORATES
AUSTRALIAN BUILDING AND CONSTRUCTION COMMISSION, CONSTRUCTION, FORESTRY, MINING AND ENERGY UNION OF AUSTRALIA, ELECTRICAL TRADES UNION, AUSTRALIA. DEPT OF EMPLOYMENT

Censorship: editor, cartoonists attack Leak investigation

roymorgansocial Leave a comment

Original article by Sharri Markson
The Australian – Page: 5 : 19-Oct-16

Mark Knight, John Spooner and Warren Brown are among the newspaper cartoonists who have defended Bill Leak and his right to free speech. He is being investigated by the Human Rights Commission over a controversial cartoon that was published in "The Australian" in August 2016. Spooner says the Leak case demonstrates the need for changes to section 18C of the Racial Discrimination Act. Brett McCarthy, the editor of "The West Australian", has also expressed support for Leak.

CORPORATES
AUSTRALIAN HUMAN RIGHTS COMMISSION, FAIRFAX MEDIA LIMITED – ASX FXJ, NEWS CORP AUSTRALIA PTY LTD, NEWS CORPORATION – ASX NWS

Funds shun ASX in favour of cash, property

roymorgansocial Leave a comment

Original article by Vanessa Desloires
The Australian Financial Review – Page: 27 : 19-Oct-16

Tim Baker of Deutsche Bank forecasts that Australian superannuation funds will receive some $A65bn worth of mandatory contributions in 2016-17. Discretionary contributions are expected to be around $A15bn, compared with the annual average of $A20bn. Meanwhile, Baker notes that super funds are scaling back their equity holdings and increasing their exposure to investment options such as cash, infrastructure assets and commercial property.

CORPORATES
DEUTSCHE BANK AG, AUSTRALIAN UNITY INVESTMENTS, UNISUPER LIMITED, AUSGRID PTY LTD, PORT OF MELBOURNE

Tinkler enjoys $35m windfall as coal surges

roymorgansocial Leave a comment

Original article by Peter Ker
The Australian Financial Review – Page: 15 : 19-Oct-16

Businessman Nathan Tinkler and associated entities are believed to control some 37.25 per cent of the listed Australian Pacific Coal’s shares. The stock has benefited from the rally in the thermal coal price in 2016, which has seen the value of Tinkler’s July 2015 investment of $A6.6m in APC rise to more than $A41m. Tinkler stepped down as MD of the company earlier in 2016, after he was declared bankrupt.

CORPORATES
AUSTRALIAN PACIFIC COAL LIMITED – ASX AQC, ANGLO AMERICAN PLC, WHITEHAVEN COAL LIMITED – ASX WHC, BENTLEY RESOURCES PTE LTD, VG SUPERANNUATION FUND, L&Z TINKLER FAMILY SUPERANNUATION FUND, RJ TINKLER FAMILY TRUST, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION

$A heading to heights of US90c

roymorgansocial Leave a comment

Original article by Aaron Patrick
The Australian Financial Review – Page: 27 : 19-Oct-16

Jason Thomas of The Carlyle Group is bullish about the outlook for the Australian dollar. The director of research forecasts that the US dollar will fall by 8-15 per cent over the next five years, as US interest rates are unlikely to rise as quickly as anticipated. Thomas says this in turn will boost the value of the Australian dollar, which could rise to around $US0.85 over the next five years. He adds that the currency could potentially test the $US0.90 level.

CORPORATES
THE CARLYLE GROUP, UNITED STATES. FEDERAL RESERVE BOARD, RESERVE BANK OF AUSTRALIA, FEDERAL RESERVE BANK OF CHICAGO, STANDARD AND POOR’S 500 INDEX