The week in review

Friday 22nd March 2002

Natural Gas Corporation is looking for partners for its electricity generation business. It wants to investigate "mutually beneficial opportunities," which may include gas contracting arrangements and development of existing generation sites.

Guinness Peat Group launched an offer for pip fruit exporter and marketer Enza. GPG, which already owns 19.9%, said FR Partners had agreed to sell its own 19.9% stake for $1.20 a share.

Retailer Briscoe Group posted a $17.5 million January-year profit, ahead of expectations of analysts and the $15.1 million forecast in the December prospectus. It reported strong trading from November to January.

Restaurant Brands is paying $A11.8 million ($14.2 million) for the 51 Pizza Hut outlets in the Australian state of Victoria, describing the purchase as "the worst house in the best street." Eleven of the stores are being bought from a receiver.

Health and safety software marketer Intaz, on the eve of a Stock Exchange listing, said it had signed a "very significant" contract with Tranz Rail to install its SafeTnet 4 product in the rail carrier's freight operations.

Lingerie marketer Bendon's independent directors recommended shareholders accept a $1.90 takeover offer from Pacific Retail Group. The move drew "surprise" from rival bidder Intimate Brands, led by Bendon chief executive Hugo Venter, which has made an offer worth $1.96.

Pacific Retail Group is planning to raise $20 million from a rights issue. It said it was looking at "a number of interesting opportunities" including its Bendon bid.

Air New Zealand said it may seek $200 million through a rights issue in four to five months. The administrators of its failed Ansett subsidiary said they could still take legal action against the airline over alleged asset-stripping but the airline again said the allegations were untrue.

Steel & Tube Holdings will seek shareholder approval to spend $11.7 million buying Pipeline Supplies New Zealand from Australia's OneSteel. Pipeline is a national distributor of pipes and fittings.

Rural and financial services company Pyne Gould Corporation reported a $6.8 million December half-year profit after merging with Reid Farmers and buying two finance companies. It said it expected to at least match last year's earnings, before one-offs and goodwill amortisation, of $16.5 million this year.

December half-year combined profits from the three state-owned generators fell to $86.6 million, from $112.6 million a year ago. Genesis Power made $42.7 million ($22.2 million) and paid a $16.2 million dividend, Mighty River Power made $14 million ($30.4 million) and paid no dividend, and Meridian Energy made $29.2 million ($60 million) and paid a $31 million dividend. Grid owner Transpower made $67.4 million ($59 million) and will pay all of it to the government.

Compaq and Hewlett-Packard yesterday moved one step closer to merging with Compaq shareholders approving the deal 9-1 at a meeting in Palo Alto. The final audited accounts of all proxy votes is expected to take about three weeks.

Bridget Nichols, New Zealand's deputy high commissioner to Solomon Islands who died of a stab wound at Honiara on Sunday, is the second known New Zealand diplomat to die on duty. The first was this country's resident commissioner to Niue, Hector Larsen, who was murdered by three escaped prisoners on August 14, 1953.

TRADE

The country's free trade agreement with Hong Kong looks unlikely after Trade Negotiations Minister Jim Sutton said New Zealand could not accept a trade agreement with unenforceable rules of origin.

TECHNOLOGY

A worldwide sweep of cyber health sites by international consumer protection authorities found 53 sites using the .nz domains making false or misleading claims. All are now under investigation for breaching the Fair Trading Act.

Sales of IT goods and services (excluding communication services) were $6.8 billion for the 2001 financial year, Statistics New Zealand's Information Technology Survey said. This was an increase of 3.3% from the 2000 financial year. Sales of IT goods and services have grown at a rate of 11.6% a year since the survey began in 1994.

TOURISM

International tourists spent $5.2 billion in this country last year, up 10% on the previous year, Tourism New Zealand figures showed.

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