Australia and New Zealand Banking Group (ANZ):
ANZ has issued a confidential blacklist of postcodes in Brisbane and Perth where it will impose tougher lending terms and conditions for apartment buyers amid growing fears about over-supply, falling prices and combustible cladding. The nation's third-largest residential lender is also warning mortgage brokers that residential loan applications must be a "source of truth" in what appears to be a response to regulatory and investment bank claims that borrowers had qualified for about $500 billion in "liar loans". It is sending brokers, who act as intermediaries between the bank and borrowers, a detailed 10-page guide on the bank's "minimum requirements and guiding principles" for the broker-client relationship. Major lenders are demanding more financial information from property borrowers in response to growing regulatory concern about spiralling household debt, static incomes and the increasingly likelihood of rising interest rates.
Fonterra Shareholders' Fund(FSF), MG Unit Trust (MGC):
New Zealand dairy giant Fonterra has confirmed it’s made a bid for Australia’s largest dairy processor, Murray Goulburn. “The answer is yes we have put forward a proposal,” managing director of Fonterra Australia, Rene Dedoncker, told ABC radio today. “It’s non-binding and indicative and at this point we are going to sit tight and give the MG board the respect they deserve to consider all proposals.” It comes after investment bank Deutsche called for first round bids for Murray Goulburn by Friday, September 15.
Liquified Natural Gas (LNG):
Queensland’s LNG producers are fuming. The overwhelming sentiment is that their industry has become an easy target for the woes of the east coast gas market. The gas players were already scratching their heads over the sudden swelling of the forecast shortfall in east coast gas supplies for 2018 from just a few months ago, despite the several steps taken in recent weeks and months to free up more domestic gas. While several industry analysts had calculated, those various deals had eliminated the forecast supply gap for next year, the Australian Energy Market Operator and the Australian Competition and Consumer Commission see it radically differently. They now cite a shortfall of 54-55 petajoules for 2018, or as much as 107-108 petajoules depending on demand. That is three times the shortfall estimated by the ACCC just last year.
Premier Investments Limited (PMV):
Premier Investments' net profit rose just 1.2 per cent to $105.1 million in 2017 as soft sales in fashion brandsPortmans, Dotti and Jacqui E and a weaker pound took the gloss off strong sales at Smiggle stores in Australia and overseas. Reported net profit was also squeezed by one less week's trading and one-off costs, including $3 million in legal costs incurred in an unsuccessful attempt to stop a former chief financial officer from taking a new job at arch rival Cotton On Group. Underlying EBIT at Premier Retail rose 7.3 per cent to $136.0 million, with earnings in the six months ending July falling 12.6 per cent after rising 10.7 per cent in the first half. Solid growth at Smiggle and Peter Alexander stores offset weak sales and profits at Dotti, Portmans, Jay Jays and Jacqui E amid widespread industry discounting, while sales rose modestly at Just Jeans.Total sales rose 5.7 per cent to $1.1 billion, with like for like sales across the group rising 1.1 per cent on a constant currency basis. The result would have been weaker if Premier Investments had written down the value of its 10.8 per cent stake in Myer, which has fallen 37 per cent since March to $63.7 million compared with an outlay of $101.7 million. Premier said it planned to open Smiggle stores next year in the Netherlands and Belgium, which together have a personal stationery market worth $US1.7 billion. It expects to have 40-50 stores in these two markets over the next four to five years.
Suncorp Group Ltd (SUN), Bank of Queensland Limited (BOQ):
The major banks' main domestic rivals are calling for an overhaul of the prudential regulator's caps on property investor and interest-only mortgages, claiming the curbs are stifling competition. Proposals from the second-tier lenders include clamping down on mortgages only in the hottest property markets such as Melbourne and Sydney, or putting tighter speed limits on the big four than the rest of the industry. For almost three years, banks have faced a 10 per cent annual growth cap in their housing investor loan portfolios, enforced by the Australian Prudential Regulation Authority (APRA). In March this year, APRA imposed a further restriction, capping interest-only lending at 30 per cent of new loans. As big banks sell peripheral businesses to zero in on the housing market, regional banks say these "macroprudential" policies are having unhealthy side-effects for competition. Banks including Suncorp, Bank of Queensland, and industry superowned ME are calling on APRA to consider redesigning the rules, which they say are effectively locking in the big four banks' market share.
Santos(STO), Origin Energy(ORG), Shell:
The Turnbull government has given the east coast gas giants one last chance to free up enough fuel for the domestic market or be hit with export controls, after two new reports showed the predicted shortfall to be three times worse than originally thought. And the government will redouble efforts to convince NSW, Victoria and the Northern Territory to rethink their opposition to the extraction of onshore gas. Prime Minister Malcolm Turnbull said he would meet again this week with the chief executives of Santos, Origin Energy and Shell. This follows the receipt of separate reports from the Australian Competition and Consumer Commission and the Australian Energy Market Operator, which warned there was a significant risk of a gas shortfall in the eastern states over the next two years, three times worse than thought just six months ago. "We expect them to demonstrate to us what they have already indicated in meetings and in writing that they will ensure that there is not a shortage of gas next year on the east coast," he said. "If they are able to do that, and to the satisfaction of the ACCC, then the foreshadowed export control mechanism will have done its work.
Newcrest Mining Limited (NCM):
Norwest Energy has made the first offshore oil discovery in the Perth Basin for 15 years at its Xanadu-1 well, where it says it found reservoir quality sand intervals and oil shows over a 330m section and 4.6m of net pay in one of three sand intervals. But despite the discovery causing internal excitement about what will be revealed in a planned horizontal side well, shares of Norwest and its locally listed partners, Whitebark Energy and Triangle Energy, have slumped. The fall in shares was variously attributed to short-term punters taking profits, concerns a capital raising was on the way, or a focus on the relatively small net pay rather than other news in the announcement. Norwest chief executive Shelley Robertson said the well had missed the crest of the discovery, meaning a better-directed sidetrack well was expected to produce strong results. “The main thing from the announcement is we have these stacked high-quality reservoirs all with oil shows, and it is dipping up to the north, where we want to drill a leg out and where we are sure we will find better quality sands and oils,” Ms Robertson said. “The oil shows across the three sands means oil has been all the way through there, and we’re expecting to find it in the northern end of the prospect.”
(Source: AIMS)
ANZ has issued a confidential blacklist of postcodes in Brisbane and Perth where it will impose tougher lending terms and conditions for apartment buyers amid growing fears about over-supply, falling prices and combustible cladding. The nation's third-largest residential lender is also warning mortgage brokers that residential loan applications must be a "source of truth" in what appears to be a response to regulatory and investment bank claims that borrowers had qualified for about $500 billion in "liar loans". It is sending brokers, who act as intermediaries between the bank and borrowers, a detailed 10-page guide on the bank's "minimum requirements and guiding principles" for the broker-client relationship. Major lenders are demanding more financial information from property borrowers in response to growing regulatory concern about spiralling household debt, static incomes and the increasingly likelihood of rising interest rates.
Fonterra Shareholders' Fund(FSF), MG Unit Trust (MGC):
New Zealand dairy giant Fonterra has confirmed it’s made a bid for Australia’s largest dairy processor, Murray Goulburn. “The answer is yes we have put forward a proposal,” managing director of Fonterra Australia, Rene Dedoncker, told ABC radio today. “It’s non-binding and indicative and at this point we are going to sit tight and give the MG board the respect they deserve to consider all proposals.” It comes after investment bank Deutsche called for first round bids for Murray Goulburn by Friday, September 15.
Liquified Natural Gas (LNG):
Queensland’s LNG producers are fuming. The overwhelming sentiment is that their industry has become an easy target for the woes of the east coast gas market. The gas players were already scratching their heads over the sudden swelling of the forecast shortfall in east coast gas supplies for 2018 from just a few months ago, despite the several steps taken in recent weeks and months to free up more domestic gas. While several industry analysts had calculated, those various deals had eliminated the forecast supply gap for next year, the Australian Energy Market Operator and the Australian Competition and Consumer Commission see it radically differently. They now cite a shortfall of 54-55 petajoules for 2018, or as much as 107-108 petajoules depending on demand. That is three times the shortfall estimated by the ACCC just last year.
Premier Investments Limited (PMV):
Premier Investments' net profit rose just 1.2 per cent to $105.1 million in 2017 as soft sales in fashion brandsPortmans, Dotti and Jacqui E and a weaker pound took the gloss off strong sales at Smiggle stores in Australia and overseas. Reported net profit was also squeezed by one less week's trading and one-off costs, including $3 million in legal costs incurred in an unsuccessful attempt to stop a former chief financial officer from taking a new job at arch rival Cotton On Group. Underlying EBIT at Premier Retail rose 7.3 per cent to $136.0 million, with earnings in the six months ending July falling 12.6 per cent after rising 10.7 per cent in the first half. Solid growth at Smiggle and Peter Alexander stores offset weak sales and profits at Dotti, Portmans, Jay Jays and Jacqui E amid widespread industry discounting, while sales rose modestly at Just Jeans.Total sales rose 5.7 per cent to $1.1 billion, with like for like sales across the group rising 1.1 per cent on a constant currency basis. The result would have been weaker if Premier Investments had written down the value of its 10.8 per cent stake in Myer, which has fallen 37 per cent since March to $63.7 million compared with an outlay of $101.7 million. Premier said it planned to open Smiggle stores next year in the Netherlands and Belgium, which together have a personal stationery market worth $US1.7 billion. It expects to have 40-50 stores in these two markets over the next four to five years.
Suncorp Group Ltd (SUN), Bank of Queensland Limited (BOQ):
The major banks' main domestic rivals are calling for an overhaul of the prudential regulator's caps on property investor and interest-only mortgages, claiming the curbs are stifling competition. Proposals from the second-tier lenders include clamping down on mortgages only in the hottest property markets such as Melbourne and Sydney, or putting tighter speed limits on the big four than the rest of the industry. For almost three years, banks have faced a 10 per cent annual growth cap in their housing investor loan portfolios, enforced by the Australian Prudential Regulation Authority (APRA). In March this year, APRA imposed a further restriction, capping interest-only lending at 30 per cent of new loans. As big banks sell peripheral businesses to zero in on the housing market, regional banks say these "macroprudential" policies are having unhealthy side-effects for competition. Banks including Suncorp, Bank of Queensland, and industry superowned ME are calling on APRA to consider redesigning the rules, which they say are effectively locking in the big four banks' market share.
Santos(STO), Origin Energy(ORG), Shell:
The Turnbull government has given the east coast gas giants one last chance to free up enough fuel for the domestic market or be hit with export controls, after two new reports showed the predicted shortfall to be three times worse than originally thought. And the government will redouble efforts to convince NSW, Victoria and the Northern Territory to rethink their opposition to the extraction of onshore gas. Prime Minister Malcolm Turnbull said he would meet again this week with the chief executives of Santos, Origin Energy and Shell. This follows the receipt of separate reports from the Australian Competition and Consumer Commission and the Australian Energy Market Operator, which warned there was a significant risk of a gas shortfall in the eastern states over the next two years, three times worse than thought just six months ago. "We expect them to demonstrate to us what they have already indicated in meetings and in writing that they will ensure that there is not a shortage of gas next year on the east coast," he said. "If they are able to do that, and to the satisfaction of the ACCC, then the foreshadowed export control mechanism will have done its work.
Newcrest Mining Limited (NCM):
Norwest Energy has made the first offshore oil discovery in the Perth Basin for 15 years at its Xanadu-1 well, where it says it found reservoir quality sand intervals and oil shows over a 330m section and 4.6m of net pay in one of three sand intervals. But despite the discovery causing internal excitement about what will be revealed in a planned horizontal side well, shares of Norwest and its locally listed partners, Whitebark Energy and Triangle Energy, have slumped. The fall in shares was variously attributed to short-term punters taking profits, concerns a capital raising was on the way, or a focus on the relatively small net pay rather than other news in the announcement. Norwest chief executive Shelley Robertson said the well had missed the crest of the discovery, meaning a better-directed sidetrack well was expected to produce strong results. “The main thing from the announcement is we have these stacked high-quality reservoirs all with oil shows, and it is dipping up to the north, where we want to drill a leg out and where we are sure we will find better quality sands and oils,” Ms Robertson said. “The oil shows across the three sands means oil has been all the way through there, and we’re expecting to find it in the northern end of the prospect.”
(Source: AIMS)
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