Analysts tip positive start for Nine share

NINE Entertainment Co's shares are tipped to make a successful stock market debut but analysts say there are longer term doubts about the company's earnings.

The company, which owns the Nine Network, Ticketek and ninemsn, will list on the Australian Securities Exchange at noon AEDT on Friday with a list price of $2.05 per share.

That price is at the bottom of the range put forward in the company's prospectus, which analysts say will give its shares room to move higher on Friday.

"The IPO price at $2.05 does give it a bit of room to move on the upside," IG market strategist Evan Lucas said.

"I think tomorrow they will probably get away nicely... it should be an okay float," he said.

At its listing price, Nine will be valued at $1.93 billion, making it the biggest initial public offering this year.

Mr Lucas said Nine's first day performance should be better than that of Dick Smith Holdings, which finished its first day of trading on Wednesday flat at its list price of $2.20.

But he said questions remained about Nine as a long term investment due to the uncertain outlook for free to air television.

"There is always going to be a question regarding the advertiser revenue it is generating but its digital assets do look reasonable," he said.

CMC Markets chief market analyst Ric Spooner said Nine shares wouldn't be for everyone.

"It's an industry where evaluations should carry a reasonable amount of risk premium and some investors may prefer to steer clear of it altogether," he said.

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Qantas CEO says airline management 'great'

Qantas CEO Alan Joyce says the airline is being managed well, despite posting a loss of up to $300m. Source: AAP

QANTAS chief executive Alan Joyce has launched a spirited defence of his management team's performance, saying they're doing a "great job in tough circumstances".

Qantas said on Thursday it would shed at least 1000 jobs as it works to save $2 billion over the next three years, after announcing it expects to post a half-year loss of up to $300 million.

Qantas' shares dropped 14.5 per cent to $1.06 as of 1235 AEDT following the announcement.

The news comes as Qantas continues to talk to the federal government about possible support for the airline.

Speaking on Thursday afternoon, Mr Joyce said he'd be taking at least a 38 per cent pay cut in 2013 due to the the airline's poor performance.

But he defended the work of Qantas' board and management.

"I believe the management of Qantas are doing a great job in tough circumstances," Mr Joyce told Sky News.

"The Qantas board and management are operating in tough environments and I believe are continuing to do a good job in tough circumstances."

He said there were a lot of airlines around the world that "would love to be reporting a profit nine of the last 10 years".

He said Qantas had a strong domestic franchise, a strong Jetstar business and a strong frequent flyer business.

"The value that we've created in this company and the strategic position that we've put the company in has been great," Mr Joyce added.

He said Qantas had made money in the domestic market in two out of the last three years.

But he said Qantas wasn't operating on a level playing field because its main domestic competitor Virgin was funded by three state-owned enterprises.

"That's created this unbalanced ... playing field," Mr Joyce said.

He said the airline was talking to the federal government about getting support, but refused to be drawn on what specific options were in play.

"I'm not going to give a running commentary," he said.

Trading conditions for Qantas deteriorated markedly in November with a steeper decline in passenger loads and yields.

In August, Australia's major airline swung to a $5 million full year profit, from a historic $245 million loss in the previous year.

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Westfield's Aust assets to be spun off

Westfield Group will split its Australian and New Zealand assets from its international business. Source: AAP

WESTFIELD founder Frank Lowy says a move to split its Australasian and international businesses is a "win-win" that will help both companies to grow.

Westfield Group has announced it will merge its Australian and New Zealand assets with those of Westfield Retail Trust, which was spun off from the main company in 2010, to create a new company called Scentre Group.

Meanwhile, the faster growing international business will become Westfield Corporation.

Mr Lowy said the separation was in the interests of both businesses.

"This is really a win win situation for both companies," he said.

"They can each operate more efficiently, and generate greater growth and value for investors, by being independent."

Invast chief market analyst Peter Esho said the decision to split the companies would help drive Westfield's global expansion.

"I think its a clever deal; what it allows Westfield to do is free itself up of capital and pursue international growth," he said.

Mr Lowy said the outlook for both companies was strong, even though the expanding international entity is seen by analysts to have greater long term growth opportunities than the mature Australasian operations.

"There is no question about Australia's growth in retail and there is no question about the opportunities that Westfield Corporation will have globally," he said.

Mr Lowy, who co-founded Westfield in the late 1950s, will chair both companies.

His sons Steven and Peter, who are co-chief executives of Westfield Group will both head Westfield Corporation, though Peter will step down from the role in about 18 months time.

Current Westfield Group chief financial officer Peter Allen will become chief executive of Scentre.

Mr Lowy said his position as chairman of both companies would help ensure a smooth transition.

"I think I will bring with me the culture of the Westfield Group and I think the transition will be smoother," he said.

And the 83 year old said he had no plans to retire any time soon.

"I don't know when I will step down, I hope to work for a long long time to come," he said.

Scentre is expected to be listed on the Australian Securities Exchange in mid 2014, while the Lowys are considering whether to list Westfield Corp in Australia, the UK or the US, though a joint listing is likely.

The Australasian business owns more than $28.5 billion worth of shopping centres, with a development pipeline of more than $3 billion, while Westfield Corporation will own more than $US17.6 billion ($A19.31 billion) worth of assets in the US, UK and Europe, with a future development pipeline of more than $US9 billion.

Westfield Group shares were up 33 cents to 10.69 at 1430 AEDT, while Westfield Retail Trust Shares were down five cents to $2.95.

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Weak domestic spending weighs on GDP

THE Australian economy's great rebalancing act had a touch of the wobbles in the September quarter.

Stronger housing and retail spending data over the past few months raised hopes that the non-mining parts of the economy were ready to balance out the expected fall in mining and resources investment.

However, official gross domestic product figures out on Wednesday showed that the economic growth was weighed down by weak consumer spending in the three months to September.

GDP grew at a sluggish 0.6 per cent in the September quarter, for an annual rate of 2.3 per cent, the Australian Bureau of Statistics said.

National Australia Bank senior economist David de Garis said the figures show that the non-mining sector of the economy was still quite weak.

"The complexion of growth does not tell a compelling story that the domestic economy has accelerated. In fact, it has remained quite soft," he said.

"We had good contribution from net exports, we've seen iron ore exports really starting to accelerate but the domestic economy and consumer spending has been soft."

Domestic final demand, a measure of total spending in the economy, rose only 0.4 per cent in the quarter, after a 0.7 per cent in the June quarter.

Mr de Garis said the figures would keep in place the possibility of a Reserve Bank of Australia interest rate cut in the new year.

"The RBA certainly wouldn't be revising up their (economic growth) forecasts at all, based of what they've seen today," he said.

"Our baseline forecast still has another cut in the cash rate pencilled in for May 2014, timing as usual depending on the data flow."

HSBC chief economist Paul Bloxham said the rebalancing of the Australian economy is yet to come.

"Our central case remains that growth will rebalance further in coming quarters," he said.

"We expect this to mean that the RBA will not need to deliver more rate cuts, although further signs of rebalancing are clearly needed.

"The recent fall in the Australian dollar is expected to support this rebalancing."

Mr Bloxham said economic growth continues to be supported by mining investment and rising commodities exports as new projects start production.

"Growth remains sluggish and below trend, although it is not disastrously weak," he said.

"This suggests that the domestically-produced stages of the mining investment boom have continued to support growth in recent quarters. In broad terms, mining investment has 'plateaued' rather than plummeted and so is not yet a drag on growth."

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Petero turns down chance at Newman's team

RUGBY league legend Petero Civoniceva has passed on a chance to join the Queensland premier's team, believing he can do more for Redcliffe by himself.

The record-breaking former Australian forward says he was flattered by an invitation to stand for the Liberal National Party in the seat of Redcliffe, which was vacated by disgraced former LNP MP Scott Driscoll last month.

But Mr Civoniceva believes he can do a lot more for his community without aligning himself politically.

"I'm pretty proactive already. I'm an ambassador for a not-for-profit organisation that looks after a lot of community groups within Redcliffe," he told AAP on Tuesday.

"I'm pretty happy with where I am now, I work for the NRL, I still live in Redcliffe and my kids go to school here, I think I can do a lot more this way.

"No doubt Redcliffe has taken a big hit with what's happened (with Mr Driscoll) over the past year, but there are a lot more people who are more politically qualified to represent the community than me."

The LNP said nominations for the seat were still open.

Former federal MP Yvette D'Ath will stand as the Labor candidate, after she lost her federal seat of Petrie to the LNP's Luke Howarth at the September election.

Mr Civoniceva played 45 Tests for Australia and 30 State of Origin games for Queensland - both records for a forward.

He has also played 297 NRL games, including 225 for Brisbane, since he debuted for the Broncos in round 7, 1998.

Mr Civoniceva's competitive career came to an end last month, when he captained his native country Fiji and led it to semifinals of the Rugby League World Cup.

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Antarctic crash probe to take months: ATSB

Three Australians are in a stable condition after being injured in a helicopter crash in Antarctica. Source: AAP

AN investigation into a helicopter crash in Antarctica that injured three Australians could take several months to complete.

An Australian Transport Safety Bureau (ATSB) spokeswoman says the agency will investigate Sunday evening's crash but that gathering information on the incident will likely take "several months".

The chopper's pilot and two passengers were injured while returning from a mission to survey a penguin colony near the Amery ice shelf, around 278 kilometres from Davis Station.

All three were transferred to Davis Station, part of the federal government's Australian Antarctic Division (AAD), on Monday night and are currently in a stable condition.

They're being treated by the Davis Station doctor, with support from the AAD's Polar Medicine Unit at Kingston in Tasmania.

An AAD spokeswoman on Tuesday said she couldn't provide any more details about the crash.

The AAD previously said the injured were cared for by crew from a second helicopter, which was travelling in tandem, while awaiting rescue from the crash site.

The AAD said it chartered the chopper from Helicopter Resources based in Melbourne.

In a statement, Environment Minister Greg Hunt praised the effort of rescuers.

"Their quick thinking and precise planning ensured that all the injured were cared for and kept safe during the ordeal," Mr Hunt said.

"The accident is a reminder of the challenges facing scientists working in this environment."

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Building approvals ease from record high

Approvals for the construction of new homes fell 1.8 per cent in October, official figures show. Source: AAP

THE housing sector is still going strong, with home building approvals in October suffering only a small fall from the three-and-a-half year high recorded the month before.

Home building approvals fell 1.8 per cent across Australia in October, the Australian Bureau of Statistics data said on Monday.

Local councils approved the construction of 16,491 new homes in October, down from the 16,791 approvals in September, which was the highest since March 2010.

JP Morgan economist Tom Kennedy said a fall in building approvals was inevitable after strong rises in recent months.

"We are viewing the building approvals data in a positive light," he said.

"If you look at a two or three month rolling average, clearly the trend is higher."

Mr Kennedy believes the housing sector is capable of being a significant driver for economic growth in the future.

"This does add a bit of credence to the theory that the Reserve Bank of Australia's interest rate cuts are getting traction, the construction sector is lifting and the housing market in general is turning higher.

"It's still is early days though, building approvals are still tracking at levels that are probably pretty low, compared to where they should be with the cash rate at 2.5 per cent.

Macquarie Group senior economist Brian Redican said the disappointing data for October would be unlikely to encourage the RBA to cut rates this month or early next year.

"This data won't change the RBA's perspective here," he said.

"We think they're marginally on the weaker side but you need several more months of substantially weaker data to change the RBA's mind."

Housing Industry Association chief economist Harley Dale was encouraged by the result.

"The upward momentum to building approvals is impressive and augers well for new home building activity heading into a new year," he said.

"Evidence of faster growth across a wider number of geographical jurisdictions and building approval types will be an important additional element to observe in coming months."

Over the year to October, total building approvals were up 23.1 per cent.

Approvals for private sector houses fell 0.3 per cent in the month, and the 'other dwellings' category, which includes apartment blocks and townhouses, was down 2.7 per cent.

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Tiger shark attacked NSW surfer: expert

A THREE-METRE tiger shark was responsible for the attack that killed NSW surfer Zac Young, an expert says.

Marine Biologist Amy Smoothey has completed a detailed forensic analysis of Mr Young's wounds.

The 19-year-old was attacked while surfing at Coffs Harbour on the NSW north coast on Saturday.

Dr Smoothey's study included an analysis of the jaw width, which was compared to the three main predatory shark species in the area.

Dr Smoothey on Monday concluded a three-metre tiger shark was responsible.

It fits the description given by Mr Young's mates, who bravely struggled with the shark when it attacked him.

They dragged him to the shore and started CPR, but the talented surfer and photographer died from heavy blood loss from massive injuries to his legs.

Mr Young's father Kevin revealed to a crowd at a memorial service on Sunday that his son told his friends "I love you" as they tried to save him.

Coffs Harbour Mayor Denise Knight said Mr Young's death was a shock to the community.

"The community will always pull together in, particularly, regional areas," she told Macquarie Radio on Monday.

Mr Young's death follows a fatal shark attack at Gracetown in Western Australia last weekend.

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G20 to shutdown tax leaks: Abbott

Australia is the new chair of the G20, the top global forum for examining the world's economic. Source: AAP

AUSTRALIA hopes to lead a united global charge against profit shifting during its Group of 20 presidency.

The nation on Sunday assumed host rights for the 2014 forum of the world's leading economies, with Prime Minister Tony Abbott setting a clear agenda.

"We are determined to ensure that we, as far as we can, improve the world's international taxation arrangements so we don't have the kind of leakage we've had in recent times through transfer pricing," Mr Abbott told reporters in Brisbane, the host city for November's leaders summit.

"The principle here is you should pay tax in the country where you earn the revenue and we will be talking to our G20 partners to make sure this is the case."

There will be a focus on private sector-led economic economic growth with talks on trade and banking, Mr Abbott added.

"We will be demonstrating what we believe is sound economic policy," the prime minister said, championing his domestic agenda of reduced taxation and regulation to drive productivity.

"It isn't just a meeting, it is a year to show practical leadership."

Australia will extend an invitation for the upcoming G20 to "key member of the global economic system" Singapore and "closest friend" New Zealand.

And as Australia continues to heal its wounds with Indonesia over spying allegations, Mr Abbott deflected speculation that visiting G20 leaders could be subject to eavesdropping, as was allegedly the case in 2013 when Russia hosted the summit in St Petersburg.

"I can promise leaders around the world that are visiting Australia that I'm going to be absolutely candid with them," Mr Abbott said.

"I won't be saying anything in private that I don't say in public. That's my commitment to the leaders of the world and I want to build the best possible G20."

The G20 presidency will see Australia host meetings of finance ministers, trade ministers and employment ministers, culminating in the leaders' summit, with some 4000 delegates and 3000 media representatives due to visit the country.

"The cost to the commonwealth is in the order of $400 million ... but we believe that the benefits of hosting a gathering like this ... far outweigh the costs," Mr Abbott said.

But at least one group will be voicing opposition to the event.

"While the coming together of nations could be an opportunity to promote peace, social justice and ecological sustainability, the G20 is perpetuating financial and economic system that is failing the majority of the world and destroying the planet," Kim Stewart said on behalf of the Brisbane Community Action Network G20.

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Thousands of bikies rally in Australia

THE roar of motorbikes echoed through Australia's capital cities on Sunday as thousands of riders united in opposition to Queensland's anti-bikie legislation.

The Australian Motorcycle Council (AMC) says the new laws, aimed at criminal bikie gangs, have resulted in the harassment of law-abiding motorcyclists.

Many have reported being pulled over by police multiple times a day and questioned over links to outlaw gangs.

More than a thousand bikers, lawyer groups and civil libertarians protested outside Queensland parliament on Sunday.

Melbourne had a similar turnout, while 500 people gathered in Sydney and 200 in Hobart, AMC chair Shaun Lennard told AAP.

Mr Lennard says they don't want to see the laws replicated in other states.

"We continue to reject the premise that simply riding a motorcycle makes you worthy of questioning about criminal activity," he told AAP.

"We fully support any reasonable action to crack down on crime, but we believe the laws go beyond that.

"It's stereotyping and discrimination."

Queensland organiser Gabriel Buckley says of primary concern is that the laws reverse the onus of proof for people accused of links to proscribed criminal gangs.

"Any organisation can be listed as a criminal gang with fewer checks and balances," he told AAP.

Police and the Newman government have previously asked recreational riders for patience amid the bikie crackdown, but concede there will be disruptions for law-abiding motorcyclists.

Premier Campbell Newman gets personal updates on the crackdown each morning and says four to 10 outlaw gang members are being arrested each day for assault and drug, weapon and money laundering offences.

He asked for recreational bikies to be patient.

"I'm just saying to people who love their motorbikes, to understand that right now we're trying to shut down gangs who manufacture drugs, sell them to kids, who infiltrate all parts of the economy and pretending they are just wonderful loveable outlaw types - they're not," he said.

"They are vicious gangs, who belt people up and intimidate business owners and cause scenes of mayhem.

"These policing efforts are very important to shut down these gangs, that's what we're doing."

The AMC has launched a fighting fund to raise money for any High Court challenge to the laws and is due to meet with the state government on Tuesday.

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