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(generated from captions) things like personal budgeting

and household budgeting, they

are tricky questions. In the past, it was neither that the ideological left or ideological

right have dealt with. The

ideological left fears becoming patronising and patronising

patronising and going back to

Victorian values if they go too

far into the space of personal

fears it is the Nanty responsibility, and the right

state. Sometimes it's difficult

to make ends meet, but

protecting children is a

priority of most of the residents. We're proud of this

area. I said what annoys me is

that they put shit on Mount

Druitt, they keep changing the names. It's still the same place.

And that ABC News online

be feature 'Beating the Odds' can

be found at A

quick look at the weather now:

That's all from us. If That's all from us. If you

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Sales will be here again

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Good evening and welcome to

Lateline Business, I'm Brigid

Glanville. Tonight - National

Australia Bank knocked back in Australia

its bid for AXA

Asia-Pacific. The big four are not going to get the wealth management not going to get any larger in

sector. Was it too big a deal, we'll ask we'll ask the ACCC's Peter Kell, he's live in the studio

with us tonight. Also,

unemployment falls and more

jobs are created with full-time

employment on the up. You

couldn't conjure up a better

set of figures. Unemployment

is down. Gunns is down. Gunns calls an end to

the forest wars - no more

felling native conflict must end, for too many people have been financially

and emotionally injured in the

Australian forest wars. To the markets and with the mood markets

overseas more upbeat and those

All Ords put on 1%. strong domestic job figures the

Just too big a deal, that's

the verdict of the ACCC on

National Australia Bank's

proposed takeover of AXA trying for months to get past Asia-Pacific.

the regulators, even offering

to sell some of the

newly-acquired assets, but in

the end the deal would have

left the bank with a the market that's just too big. left the bank with a slice of

At $13 billion, National

Australia Bank's bid for the Australian assets of AXA

Asia-Pacific is the biggest

financial services sector deal

the competition regulator has

knocked back. It's been a

year-long process and while naturally disappointed, NAB

remains philosophical. We

thought we'd put together a

address their concerns. That pretty good package

hasn't been the case. From address their concerns. That

here, we need to sit back, see

whether there are other options

in terms of dealing with the ACCC, and

taking further action and we'll

work that out over the next few

days. The ACCC first rejected days. The ACCC first

NAB's takeover of AXA in April.

Today's decision was its

verdict on undertakings from

NAB and AXA aimed at getting it

to change its mine. In the end the regulator decided NAB's to change its mine. In the end

offer to sell the

administration business of

AXA's north platform did not

provide sufficient certainty

that the

concerns will be addressed.

University of NSW business law

expert Michael Peters believes

it's not just a rejection of

NAB but a warning shot for all

the big banks. It's fairly

clear that the ACCC's taking a very strong very strong line in the banks solidifying their position in

the marketplace. The big four

are not going to get any larger

and they're not going to get

any larger particularly in the wealth management sector. AXA

Asia-Pacific end shares ended

the day off 7%. only comment so far is it notes

the decision and is considering

the implications. AMP, which

made the first bid made the first bid for AXA last

year which was rejected,

described the ACCC's verdict as

the right outcome for consumers

and competition. It says AXA

remains strongly attractive but

on the right terms. Not

everyone is impressed with how the Australian Competition and

Consumer Commission has handled

the NAB-AXA situation. Tony

Scenna from Selector Funds

Management believes NAB should have been given clearer guidance on what was required to alleviate competition concerns. In the scheme of

simply saying to National "Go

away and come back with a

better offer" that may be OK

to do that, but I think perhaps

perhaps they should be given to get a positive outcome

very specific and clear

directions as to what to do. While AMP remains

Selector Funds interested in AXA Asia-Pacific,

Selector Funds Management's

Tony Scenna believes it's a

deal that could break the

company. He points to AMP's prolonged underperformance

reflected in a share price

roughly a fifth of what it was

when AMP listed nearly 13 years

ago. The case with AMP is they've

the past and haven't

counts which necessarily delivered where it

counts which is the bottom

line. I think there is certain

risk here. The question now is, that risk one that risk one AMP is willing to

take. We'll be talking to the

ACCC's deputy chairman Peter

Kell later in the program. Stronger than expected job figures suggest the economy is

running hot and could force the

Reserve Bank's hand on interest

rates. 31,000 jobs were

created last month and the

unemployment rate has fallen to for Julia Gillard's new 5.1%. It's a mixed blessing

for Julia Gillard's new

government. It can cite job

growth as policy success, but

the RBA could be forced to curb

inflation. Here's Simon Palan.

The latest job numbers have taken many economists by surprise. You couldn't conjure

up a better set of figures.

You've got employment raising

We've calculated the the unemployment rate down.

unemployment rate at a 19-month

low if you take it to two decimal decimal places. It's a wonderful result. The new

figures from the Australian Bureau of Statistics show a

surge in full-time jobs has the unemployment rate from 5.3%

in July to 5.1% last month.

It's the first major economic

indicator under the new Gillard Government and the Employment

Minister was trying to sure everyone knew about it. The jobs numbers released

today are unambiguously good news.

news. Employment is up,

unemployment is down and we now

have the most numbers of

Australians working ever. More

than 53,000 full-time jobs were

created in August, with part-time

part-time employment easing by

more than 22,000 leaving a net positions. The news helped

send the Australian dollar to a

4-month high. Certainly there

was a very positive was a very positive reaction to

the data out today. The the data out today. The Aussie dollar rose more than a third

of one cent. The sharemarket

also rose. The strong job

numbers are consistent with other recent economic

indicators. There's been a

pick-up in demand for home

loans and in loans and in overall economic growth. What's more,

Australia's trade balance

remains in good shape.

Economists predict all that means interest rates are heading higher. My heading higher. My view is they'll raise rates in

economy a chance to gain some

momentum after we get some broadening of the recovery. Earlier this month, some analysts were suggesting

the Reserve Bank would cut

rates amid concerns of a double

dip recession. How times change. The Central Bank will

be looking closely at inflation

data out in October. Another

reassurance today that the

Australian economy has Australian economy has fared

better than most during the global financial crisis.

Assistant governor at the

Reserve Bank Guy Debelle told a business business conference that

Australian financial markets

have largely escaped the worst. In particular, he singled out the foreign exchange

market. The market throughout

the past three years has

probably been the most

resilient of the markets

globally and has expanded

rapidly over the past year. In

that market, unlike a number of others around others around the world conditions have genuinely

returned to those before

2007. Mr Debelle said it was unlikely

unlikely that pre-crisis

conditions would prevail in

many other markets any time

soon. The United States

Government has scuttled a bid by Virgin Blue and Delta

Airlines to join forces on the

trans-Pacific route. In a rare objection, the US department of transportation issued an early transportation issued an early denial of the airline's application for anti-trust

immunity. It said neither

company had shown how sharing scheduling, pricing and operational information would

benefit customers. Delta and

Virgin Blue have several weeks

to try to convince regulators

to reverse their decision

before it becomes final. The

jobs figures and NAB's trouble

with the ACCC were the main with the ACCC were the main event, but it's been a busy day

on the markets. For his take I

spoke to Geoff Beeston from

Lonsec. Thanks for joining

here. A solid rally, how much

of it was due to the stronger

than expected employment

figures today? We had some

great figures out this morning.

Seeing the employment

dropping from 5.3 to 5.1%, well

above consensus. You immediately saw immediately saw capital inflows

into the Australian dollar with

the dollar jumping by about

half a cent and you also saw

the ASX200 jump up about 12

points. That put a bit of

momentum into the banks which carried us through into the

afternoon. Financials were up

about 1.67% by the close of the

day. You also have to take into Asian markets had a reasonably

good day with a surprising figure off figure off the South Korean

index following their

announcement of potential trade

sanctions against Iran this

morning. Oil and gas producer

Santos has announced it's going

to sell down its stake in the $15 billion Gladstone LNG project in Queensland. What

are investors worried about?

Their shares dropped quite a

bit today. I think the market

viewed the price as being too

low for the equity in this

project. There's a lot of expectations built into

Australia's coal seam to LNG projects and I think the market was disappointed with the

price. Santos shares off about

7% today. Let's move to the gold sector and Avoca Resources

is the latest to attract a

takeover offer? Absolutely. I

think the gold sector has been

the darling of the market in

the last few weeks following

the initial takeover of

the initial takeover of Andian

resources. Avoca shares down

about 4% with the bid from the

Canadian mining company. The issue, I think, investors again

have is they're higher premium given what's happening in the company's

Pacific news as well as Pacific news as well as the

fact from a macrolevel the gold

sector looks extremely appealing appealing as appealing as the US Government

continues to speculate as to

putting further liquidity into

global financial

markets. Woolworths has put out

its annual report, did it shed

any light on conditions in the retail sector or what they're

expecting? I think to answer

that question, conditions are

extremely good in the retail

sector at the moment. sector at the moment. Low price inflation and I think

what you're going to see is although Wesfarmers has been continually grabbing market

share, we've still seen

woollies posting solid EBIT margins and returning their

return on equity. A few

surprises there of course. surprises there of course. CEO

Michael Luscombe advised he

might be looking at alternative income streams such as

financial service companies.

That could be an interesting

space to watch over the next short short while. How did Woolworths

share price react? It traded

fairly flat today. We have

seen strong buying off the

announcement of the $700 million offmarket buyback. Woolies has been a strong

performer. Perhaps you're

seeing profit taking seeing profit taking today. Geoff Beeston, we'll

leave it there. Thank you very

much for joining

us. Pleasure. To the other major movers on the local


Back to our top story now and the Competition Commission's

proposed takeover of AXA decision to block NAB's

Asia-Pacific. The ACCC's deputy chairman Peter Kell

joins us live in our Melbourne

studio. Thanks for being studio. Thanks for being

here. Good evening. Given the

Westpac-St George deal, should

NAB feel hard done by? No. The

ACCC examines any merger based

on the particular facts around

the parties involved in that the parties involved

merger. We look at the market

carefully. In this case we undertook extensive

consultation with finance

market participants and we

reached the conclusion that

there was the potential for a

substantial lessening of competition in the market for

retail investment platforms.

The undertakings offered to us

ultimately did not address competition concerns. What were the reasons for rejecting

it? The ACCC rejected the deal

back in April. Since then back in April. Since then we've been

undertakings offered by NAB and

AXA that have attempted to

address our concerns. Those

undertakings ultimately didn't

meet our concerns for a number

of reasons. They didn't

include in the die vesture

package the network of financial planners package the network of

products on the north platform

that would effectively give a

competitor like IOOF the force

to make a difference in the

market. The undertakings were actually at the end of the day

quite complex , behavioural

there was considerable undertakings and, therefore,

decided that IOOF didn't offer involved. Ultimately we

constraint the sort of competitive

constraint that AXA would offer

in this market and that those

views were certainly supported

by the majority of finance

spoke sector participants that we

to completely sell off the spoke to. So if NAB had agreed

north business, would that have

been, would they have got the

deal through then? It's... we're offered to us in this we're looking at what was

undertaking, so I wouldn't like

undertaking, so I wouldn't like

to speculate on what else NAB

might or might not have

included in its offer to

divest. The fact of the matter

is that proposing to divest the

platform through

still in a position where that

without the left the proposed purchaser

without the competitive force

to really drive a strong competitive competitive threat to NAB and the other major platform

suppliers in this market. This

is the second time the ACCC has

rejected this deal. In

statement February the ACCC said in a

statement that a merged statement that a merged NAB-AXA

deal would be twice as big as

its nearest

its nearest wealth competitors

but an AMP-AXA deal would be

big as NAB, was that deal

always out of the question? We

were asked to look at two

proposals here by the parties

involved. Our assessment involved. Our assessment was

that the AMP proposal didn't raise the same raise the same competition concerns as the NAB concerns as the NAB proposal

and that's because AMP do not

have the

have the same presence in the

retail platform market as NAB

and AXA. NAB and AXA are more

clearly competitors here and

AXA were emerging as a vigorous

and effective competitor. AMP

same way and, therefore, didn't is not in that business in

raise the same sort of

competition risks that we saw

with the NAB proposal. You

talked about the fact the

talked about the fact the deal

was on the table twice, did the ACCC give NAB clear ACCC give NAB clear guidelines

after the first bid was rejected in what was needed to

get this deal through? I'd like

to clarify the process. The

ACCC announced its opposition

to the deal in April.

Subsequent to that, NAB and AXA came to us

came to us with undertakings designed to address our concerns. It's not the ACCC's

business to write those

undertakings. It's not the

ACCC's business to spell out in

fine detail exactly what may or

may not meet our concerns. The parties themselves have to work

out what they're prepared to

offer. Once we

offer. Once we reached a stage

where we believed we could go

out to the market and consult

on the undertakings we did so in

in August. Having done so, we

found there was still a lot of concern and

were not going to get over the

competition problem. Surely lean in terms of meeting our

after the first rejection would

the ACCC have given NAB

guideline ifs NAB wanted to feedback and reasons why and

make a second offer? Our guideline ifs NAB wanted to

concerns about the deal have

been set out in public

documents during the process.

We've set out the particular

market we had concerns with and

new and north platform was offering a why. We believe that AXA's

new and innovative competitive

tension in this market. There

were no surprises around our

concern and we had extensive consultation with all the parties. You've mentioned that.

Who did you consult on the

decision and what was their

feedback? Obviously we've had extensive communication with

the parties involved during the

process through which they develop the undertakings. When

we went out to market we spoke

to financial planning firms, to

funds managers, to houses in the finance sector.

We both received submissions

and also proactively contacted

markets participants in the finance

markets and what we found was

that the majority still

competition concerns. The

undertakings and the move of majority didn't believe the

the north platform to IOOF

would ultimately generate the

sort of competition we wanted

to see. Is this decision a

clear warning to others that this retail investment area in

some ways is a no go, or that

you certainly don't want the

big banks getting any bigger? I can't emphasise strongly enough

that the ACCC examines each and

every merger on its merits and

we look at the particular market circumstances that are

involved. Of course, it's no

secret that the ACCC has a

strong focus on competition in

the finance sector, and we have

a strong focus on ensuring that

that sector is as competitive

as possible, but we look at

every merger on its merits and

it's irrespective of who that involves. There's been

involves. There's been

commentary that a merged AXA might create a fifth pillar

in banking and hence, more

competition. Would the ACCC be in favour of that? We have

publicly indicated that we

don't have the same don't have the same competition

concerns with the AMP proposal

and we've set out why that is

the case. They don't have the

same presence in the platform

market, but in terms of

market, but in terms of AMP's

decision as to what it wants to

do in relation to this matter,

that's its call, it's not that's its call, it's not the

ACCC's call. Peter Kell, thanks

very much for joining you.

Troubled timber giant Gunns

is to stop logging native forests moving the business

towards managed plantations. The move will go down well with

environmentalists and looks

well timed with the Greens having

having more influence on Government policy. Some in the industry are unhappy, claiming

Gunns has surrendered in the

forestry wars. Here's Emily

Stewart. Gunns Ltd has finally

admitted it's lost the three decade-long battle with

environmental groups and majority of Australians. Chief executive Greg L'Strange says

the forestry industry isn't

popular and needs to modernise to survive. The to survive. The conflict must

end, for too many people have been financially

emotionally injured in the been financially and

Australian forest wars. The

company told an industry conference in Melbourne that

the future is no longer in

logging native forests and lies in the more sustainable

plantation model and for Gunns

the future includes the

controversial $2.3 billion Bell

Bay pulp mill in Tasmania. Instead of fighting, the timber

environmental groups, with the giant now wants to work with

company moving to a more environmental-friendly model

it's no longer concerned about the potential power of the Greens. The

there to work with the NGOs to

establish a sustainable framework that will

framework that will move us from conflict to

from conflict to resolution and then promotion. Through this

inclusive approach we will find

joint solutions to age-old

conflicts and move to a real sustainable forest industry. In

fact, most of the industry

believes a bigger role in government will moderate the views of the

The Greens. Like all of us,

we've got to realise when a

decision is made you've got to

balance it out and that's what they're faced with. Hopefully

rather than off the wall

policies we'll see real politics. Gunns is confident about the future of the

industry, despite six managed investment schemes falling over

in the past two years including Willmott Forests this

week. It's a different product,

different opportunity. I'm

pretty confident that forestry

is an attractive long-term,

it's relatively low-yielding,

boring, but it provides within

a broader investment profile an

opportunity for people to have

that stable investment. While

Gunns is feeling warm and the overwhelming feeling from the rest of the industry is abandonment, as the company

outlined its future business

plan you could cut the

atmosphere with a knife. It's

public pressure, this public

perception you've got to get out of native forestry.

They're a company, they've got

to make business decisions what

sorts them, but unfortunately

the fallout damage from that is

timber communities is people,

and that's never a

for everybody. It does cause

enormous concern at the way in

which they're going about this

process which will injure other

smaller sawmillers and industry players and Gunns don't appear to be having much regard for

that. Perhaps for some, the war

that. Perhaps for some, the war

isn't quite over, with not

everyone keen to move away from the industry's traditional

stamping ground. You can't keep

giving ground. The science is

there. We've given ground over

the years. Government is committed to forestry. committed to forestry. They're

showing strong signs and we've

got to hold that grown. We've

got to manage what we've got and don't, we're all going to get it

it wrong and be out of a

job. With Gunns waving a white

flag, it will be up to the

smaller players to continue the

forest wars. A look at making business news overseas - the 'Wall Street Journal' says

Ireland is looking like the

next flash point in Europe as

the government breaks up the

weakest of the banks to stave

off a run by depositors. London's 'Financial Times' says

Goldman Sachs faces a record

Goldman Sachs faces a record fine from the UK financial

watchdog after a 5-month investigation into fraud

allegations in the sale of for tonight. You can watch

Lateline Business Monday to

Thursday at 8:30 each night on

twourz. As well, after

'Lateline' on ABC1. I'm Brigid Glanville, thanks for watching,


Closed Captions by CSI

Music's always been a big part of my life, in that mum's an opera singer and my dad, he's a journalist but he was a singer as well and I grew up in a household where music was an integral part of our everyday life. THEME MUSIC

APPLAUSE # It counts out of time whittles away # While I sit and fiddle, worry myself # That I think too much # Oh, yes I think too much # I feel I'll leave and you run away # To escape the confines for one day # Do I box you in # Do I believe in you # And I will ask you leave

# And you believe in me # Knowing all I want you to say # Is I'm not gonna leave you # And now I say, wait a while # And you believe in me # Knowing I was too proud to say # I wanted you that, that day

# Cos logic goes out the window # When I look at you # Reason has no reasons to me then

# Yes logic goes out the window # When I think of you # I just wanna be with you # I just wanna love you

# I wake myself, laugh at games I play # To get how much you care for me # I'm testing you # By putting myself through to you # Shrug and say it's OK, it is up to you # And I know it's me # How calm you are # And how I let you go # And how I push you away

# I know I'm hurtin' you # Irrationality overrides my sensibilities # You see I've been hurt before # By the ones I loved # I need to remember # That wasn't love and will not last that way # Cos logic goes out the window

# When I look at you # And reason makes no reason

# To me then # Cos logic goes out the window # When I look at you # I just wanna be with you # I just wanna love you # Ooh

# Ooh, ooh

# Ahh, ooh # I just wanna be with you # I just wanna love you # I've been in love before # And been given away

# A prize to save # For a rainy day # I know I don't deserve # To be this way # A prize to save # For that rainy day. # APPLAUSE AND CHEERING Thank you very much. (ALL CLAP) we have many lovers here this evening? WHISTLES AND CHEERS (GROWLS) (GIGGLES) Well... I wrote this song, this is about the secret hours that lovers have. if your lover's here grab them by the hand and have a moment. And... (GIGGLES)

And if you've been spying someone kind of cute this could be the tune to work your moves. LAUGHTER So this is a song about the secret hours where time stops. The secret hours that lovers have. This is for my man, it's called Love's My Song For You.

COUNTING CLICKS One, two... # As we lay here in the darkness # Chatting away the hours # I wonder if I could

# Lie here forever, yeah # Stumblin' into my slumber # The smile can't leave my face # I know you feel it too # Your arms around me tell me so # I give you my heart # I know you can hold it

# Hold it strong # And stand by side # And you see # I love you I love you more and more each day # My heart grows fonder # Oh # My love # Love's my song # For you, ooh ooh # You, ooh ooh # Ooh # Let me sing # Every day # Love's my song # To you, ooh ooh # You, ooh ooh # Let me show you # Every where Oh # And let me, let me into your world, love

# I wanna know all there is to know # About you # Shed your skin in front of me # And I wanna share this truly # I wanna see you become # All you wanna be # And I'll be there beside you # And so I give you my heart # I know you can hold it # Ohh, ohh, ohh, ohh, ohh

# My love # Love's my song # For you, ooh ooh # Let me sing it

# Every day Ooh # Love's my song # To you, ooh ooh # Let me show you # Every way # Ahh-ooh # Ooh # Ooh # Ahh-ooh # Ooh ooh ooh

# Ahhh # Ahh ahhh ohh

# Ahhh # Oh oh oooh # Ooh ooh As you wake beside me # Your eyelids rise # And I see my world again # We try to hold the day away # And so I give you my heart

# I know you can hold it # Ohh ohh ohhh # My love Ahh ahh ahh # Love's my song # For you # Ooh ooh # Let me sing it # Every day

# Love's my song # To you, ooh ooh # Let me show you # Let show you in every way # Love's my song

# For you, ooh ooh ooh # Let me show you Let me show you in every way

# Love's my song # For you, ooh ooh ooh # Ooh ooh # Let me show you # Ah oo-oo ah ahhh # In every way. # APPLAUSE AND CHEERING

Thanks very much. (ALL CLAP) Thank you. I came to the point of making Skin... ..kind of early 2005 when I decided to take... ..George decided that we needed a creative break and I was also pregnant with my first child. Really wanted to focus on becoming a wife and mother

as my main priorities. And, when you're in a band you have to commit to the band 100% and I knew that I couldn't do that because I wanted to prioritise my family above everything else. So, um... I guess from that point of view it made sense to work on a solo thing because I could just run at my own pace and I wasn't keeping four other people

in a kind of holding zone or whatever. But also creatively I felt that I was writing music that I knew didn't suit George and felt like a new direction that I wanted to explore. I was getting really influenced by people like Donny Hathaway and Marvin Gaye and that mid to late '60s soul era. And also Joni Mitchell, and I just really got into

that era of time and music. So I decided I wanted to make a record that was influenced by those flavours