Author: roymorgansocial

BHP to pay $529m bill after taxman wins trading hub case

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Original article by Paul Garvey
The Australian – Page: 17 & 20 : 20-Nov-18

BHP Billiton has agreed to pay $529 million in back taxes as part of a settlement with the Australian Taxation Office concerning its Singapore trading hub. There had been claims that BHP was using the hub to reduce its tax payments in Australia, with the settlement relating to its earnings between 2013 and 2018. Previously, 42 per cent of the hub had been owned by BHP’s UK arm, but its Australian arm will now assume 100 per cent ownership. BHP CFO Peter Beaven said he is pleased that the issue has been resolved, while he noted that BHP had already paid over $75 billion in Australian taxes and royalties between 2013 and 2018.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, AUSTRALIAN TAXATION OFFICE, RIO TINTO LIMITED – ASX RIO, GLENCORE PLC

CommBank CEO Matt Comyn fronts banking royal commission

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Original article by Alexis Carey
News.com.au – Page: Online : 20-Nov-18

Commonwealth Bank CEO Matt Comyn has told the financial services royal commission that the major bank has tended to react to misconduct rather than taking action to prevent it in the first place. Comyn also conceded that there are "inherent risks" associated with a staff bonus scheme. However, he struggled to explain why a fixed salary would not be sufficient for the majority of the bank’s employees. The royal commission’s interim report noted that variable pay can encourage a culture of misconduct in the banking sector.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIA. ROYAL COMMISSION INTO MISCONDUCT IN THE BANKING, SUPERANNUATION AND FINANCIAL SERVICES INDUSTRY, MACQUARIE GROUP LIMITED – ASX MQG, AMP LIMITED – ASX AMP, BENDIGO AND ADELAIDE BANK LIMITED – ASX BEN, AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION

Court action looms after Fairfax shareholders vote for Nine merger

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Original article by
The New Daily – Page: Online : 20-Nov-18

Former Domain CEO Anthony Catalano has indicated that he will challenge the Nine Entertainment Company-Fairfax Media merger in court after 81.49 per cent of Fairfax shareholders voted in favour of the deal. Catalano had failed in a bid to have the shareholder vote delayed for two weeks to allow the Fairfax board to consider his alternative proposal. The merger will reduce the number of major media companies in Australia from five to four.

CORPORATES
NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, FAIRFAX MEDIA LIMITED – ASX FXJ, DOMAIN HOLDINGS AUSTRALIA LIMITED – ASX DHA, STAN ENTERTAINMENT PTY LTD, MACQUARIE MEDIA LIMITED – ASX MRN, SEVEN NETWORK LIMITED, SEVEN WEST MEDIA LIMITED – ASX SWM, NEWS CORP AUSTRALIA PTY LTD, NEWS CORPORATION – ASX NWS

Rio find could spark a copper rush

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Original article by Paul Garvey
The Australian – Page: 18 : 19-Nov-18

The mining sector’s interest in the Paterson Range region of Western Australia has increased in the wake of speculation of a major copper find by Rio Tinto. Although Rio Tinto has yet to comment, it has established a mining camp in the region and taken up a number of exploration leases. WA Mines Minister Bill Johnston says he has had no talks with Rio Tinto with regard to its presence in the Paterson Range. Fortescue Metals Group, Metalicity and Carawine Resources are among the companies to have acquired mining leases in the region in the wake of the Rio Tinto speculation.

CORPORATES
RIO TINTO LIMITED – ASX RIO, WESTERN AUSTRALIA. DEPT OF MINES, INDUSTRY REGULATION AND SAFETY, FORTESCUE METALS GROUP LIMITED – ASX FMG, METALICITY LIMTED – ASX MCT, CARAWINE RESOURCES LIMITED – ASX CWX, INDEPENDENCE GROUP NL – ASX IGO, ENCOUNTER RESOURCES LIMITED – ASX ENR, ASSOCIATION OF MINING AND EXPLORATION COMPANIES, SOLGOLD PLC, BHP BILLITON LIMITED – ASX BHP, NEWCREST MINING LIMITED – ASX NCM, WEST WITS MINING LIMITED – ASX WWI

Crossbench chaos to thwart Shorten plans

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Original article by Simon Benson
The Australian – Page: 2 : 19-Nov-18

Research conducted by the Australia Institute suggests that Labor will not be able to rely on a voting bloc with the Greens to get legislation passed by the Senate if it wins the next election. The Institute predicts that Labor and the Greens will have at best 38 senators between them, which is not enough for a majority. As a result, Labor would be required to enter into negotiations with crossbencher to get legislation passed in the same manner that the Coalition has had to do since 2013.

CORPORATES
THE AUSTRALIA INSTITUTE LIMITED, AUSTRALIAN LABOR PARTY, AUSTRALIAN GREENS, ONE NATION PARTY, CENTRE ALLIANCE

Independent umpire pays the penalty

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Original article by Ewin Hannan
The Weekend Australian – Page: 18 : 17-Nov-18

Council of Small Business Organisations of Australia CEO Peter Strong says changes to Sunday and public holiday penalty rates do not seem to have led to more jobs or more hours for existing workers. However, he claims that this is due to increases in the minimum wage that have essentially offset the impact of the cuts, rather than because businesses are retaining the savings that have resulted from the cuts. Meanwhile, Australian Industry Group CEO Innes Willox says Labor’s proposed bill to prevent the Fair Work Commission from reducing the take-home pay of any worker is "obviously unfair to employers".

CORPORATES
COUNCIL OF SMALL BUSINESS ORGANISATIONS OF AUSTRALIA LIMITED, THE AUSTRALIAN INDUSTRY GROUP, AUSTRALIAN LABOR PARTY, UNIVERSITY OF ADELAIDE, AUSTRALIA. FAIR WORK COMMISSION, UNITED VOICE

Brexit plan set to delay FTA with Australia

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Original article by Hans van Leeuwen
The Australian Financial Review – Page: 9 : 19-Nov-18

The Australian-British Chamber of Commerce’s executive director Elizabeth Ames claims that British Prime Minister Theresa May’s proposed Brexit deal is "bad news" for both nations. The deal will put the UK in a customs union with the European Union until a longer-term free-trade agreement can be worked out. Ames says the UK could remain in the customs union indefinitely, during which time it would not be able to negotiate a trade deal with Australia or other nations. Australia exported $6.1 billion of goods to the UK in 2017, along with $5.4 billion worth of services.

CORPORATES
AUSTRALIAN-BRITISH CHAMBER OF COMMERCE, GREAT BRITAIN. OFFICE OF THE PRIME MINISTER

2018 Christmas retails sales to grow 2.9% to $51.5 billion

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Original article by Roy Morgan
Market Research Update – Page: Online : 19-Nov-18

Roy Morgan’s annual Christmas retail sales forecasts indicate that Australians will spend nearly $51.5bn across retail stores during the 46-day Christmas trading period from November 9-December 24. This is 2.9% than the $50bn of retail expenditure during the 2017 Christmas trading period. Growth in retail expenditure is predicted across all six categories measured, with spending on Food expected to grow the fastest (3.7%) from a year ago to nearly $21 billion. Also expected to enjoy strong growth are Hospitality businesses (up 3.2% to over $7.3bn) and Apparel & Household Goods (up 3.1% to $4bn). The Christmas retail sales forecasts are conducted in conjunction with the Australian Retailers Association.

CORPORATES
ROY MORGAN LIMITED, AUSTRALIAN RETAILERS ASSOCIATION

Aussie John warns Labor’s property plan a nuclear bomb

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Original article by Michael Roddan
The Australian – Page: 1 & 2 : 19-Nov-18

Aussie Home Loans founder John Symond has warned that Labor’s proposed changes to the negative gearing regime could lead to a recession in Australia. He says that although the "grandfathering" provisions of the Labor reforms would benefit people who are buying their first home, they would cause property prices to fall and result in many existing homeowners having negative equity in their home. Symond supports negative gearing reforms, but he argues that they should primarily target people on high incomes.

CORPORATES
AUSSIE HOME LOANS LIMITED, AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF THE TREASURY, THE TAX INSTITUTE, SQM RESEARCH PTY LTD

Victorians give their views on the next State Government – Whether that is an ALP or L-NP Government

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Original article by Roy Morgan
Morgan Poll Update – Page: Online : 19-Nov-18

Victorians have given their views on the next State Government in a special snap SMS Morgan Poll ahead of this week’s election. ALP supporters mostly felt great about Premier Daniel Andrews and the job he is doing. Their concerns, if any, were related to the potential for the Government to engage in excessive spending and running up the debt. ALP supporters also mentioned the handling of the dispute between the Country Fire Authority and Metropolitan Fire Brigade and the closeness of the Andrews Government to unions including the United Firefighters’ Union. There were also concerns expressed about the Government’s commitment to rural infrastructure, increasing crime and the recently revealed deal with China. L-NP supporters’ concerns about Liberal Leader Matthew Guy leading a Liberal-National Government encompassed his low profile and lack of experience, as well as his apparent lack of vision and whether he is up to the job. Many L-NP supporters also mentioned whether the Liberals could be trusted to follow through on the promises they were making as well as concern about potential cuts to health, education and other services. Roy Morgan CEO Michele Levine says that although Victorian electors have plenty of questions surrounding the conduct of the Andrews Government on a number of issues, including a perception from many of excessive spending and their closeness to the unions, the strong performance of the Victorian economy this year is likely to prove decisive in re-electing Premier Daniel Andrews to another term.

CORPORATES
ROY MORGAN LIMITED, AUSTRALIAN LABOR PARTY, LIBERAL PARTY OF VICTORIA, VICTORIA. DEPT OF PREMIER AND CABINET