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(generated from captions) Government and its actions and those of James Hardie I think

don't apply when you look at

the actions which the James

Hardie companies undertook. It

was Noel Pearson's analogy in

fact. But one final question.

You've invited Brendan Nelson fact. But one final question.

into a sort of bipartisan war

council. There's a flipside to

that. He could walk out of

that war council if he believes

you're not following the kind

of policies that the Opposition

wants. Could he hold you to

ransom on the intervention

issue, for example, inside that

war council? Let's be very

specific about what I've

proposed. A joint policy

commission, that's what I've

called it, to be cho chaired by the Leader of the Opposition

and myself and giving it a

frame of reference around a

housing strategy for Indigenous

people in remote communities.

That's our practical job of

work. Why was I that well,

narrow in its focus? Because I

want to give it a chance to

work on a concrete specific

project which we all know is

one of the fundamental problems

faced by Indigenous communities

across the country. Now that's

our task and I tried to sit

down with Brendan Nelson this

afternoon. It wasn't possible,

I don't blame him, he had to

get off to Sydney. We'll be

sitting down early next week to

nut this out. It represents a

pretty unique challenge to both

of us to get on with it. If

there is one area of public

policy where the nation kind of

needs to grow up, that's this.

That is, I can understand the

partisan divide in most things

in life, but on this one where

we have failed conspicuously

over such a long period, surely

we can try in this one policy

area, namely Aboriginal

housing, to get it right. If

he chooses to walk that's a

matter for him. I approach

this with open heart and open

mind, but it will be he and I as co-chairman which will deal

with Aboriginal housing. What

secretariat underneath it we

have and who's services that

will determine in due course.

The two commissioners will be

himself and myself. Kevin Rudd,

we're out of time, we do appreciate you coming in to

talk to us. It's the first

time in 2008, hopefully

there'll be many more. We wish

you well in East Timor

tomorrow. Thank you very much

of the Rat to you. Tony, and a belated happy Year

American intelligence

agencies called him 'The Fox'

after he managed to allude them

for more than 20 years but now

Imad Mugniyah the co-founder of

Hezbollah is dead, killed by a

car bomb in Syria. Tonight,

Israel is bracing itself for

violence as Hezbollah leaders

call for revenge. Tom Iggulden

reports. Imad Mugniyah died

the sort of violent death that

had defined his life for

decades. The faithful came to

view Imad Mugniyah's body in

Damascus scene of the car bomb

that killed him. There was silence from the Syrian Government but in Beirut

supporters paid their tributes

to his father while Shi'ites

took to the streets in the

capital in the southern town of

his birth to protest against

the slaying of the Hezbollah

leader. Shi'ite religious

leaders call for an immediate

retaliation against Israel who

they accuse of being behind the

killing. Israel denied

involvement but couldn't hide

their joy. In the fight by the

free and democratic world, I

think that the free and democratic world today achieved a very, very important

goal. Anti-Syrian and Lebanese

forces are another potential

suspect in the assassination.

His death comes on the third

anniversary of the

assassination of Rafik Hariri.

Whoever was responsible for

Imad Mugniyah's death, Israel

will be the process of reprisals. It's not a secret

that Imad Mugniyah was No.1

wanted for the Israelis for

many years. The CIA was gunning for him well before al-Qaeda

became the byword for terrorism. Imad Mugniyah had

probably killed more Americans

than any other single terrorist

except for bin Laden. 240

American marines died in this

truck bomb attack on a US base

in Beirut thought to be

masterminded by Imad Mugniyah.

The attack precipitated the

withdrawn from Lebanon.

Hijacked TWA Flight 847. That's Imad Mugniyah

threatening the pilot. He told

us to put our hands on our head

and to bend our heads down and

he cuffed me here and turned

around and kicked me with his

heel here. The US later indited

him for the hijacking but he

was never brought to justice. I

tracked this guy for 15 years

and he was the best. He used elementary precautions but they

were very effective. Two

bombings on Jewish targets in

Argentina administrate 1990s

claimed more than 100 lives.

Arab leaders were reluctant to

cooperate with American efforts

to capture Imad Mugniyah,

including when he was spotted

on a commercial flight to Saudi

Arabia in the late 1990s. Bill

Clinton was on the phone at 3

o'clock in the morning

appealing to the highest level

in Saudi Arabia to grab him.

The Saudis refused to let the

plane land and it continued to Damascus. Whoever was Damascus. Whoever was

responsible for his demise,

American, Israeli or Lebanese,

it remains to be seen whether

his name will inspire further

Government has tonight bloodshed. The Chinese

expressed regret over the

resignation of the Hollywood

director Stephen Spielberg from

his role as artistic director

of the Beijing Olympics. China

is widely considered the main opponent in the UN Security

Council of international action

against the Sudanese Government

for its complicity in the

atrocities in the Darfur region

and Spielberg now says he can't

be part of the Games while

China has a role in encouraging

the killing in Darfur. China

reports from Beijing. correspondent Stephen McDonell

Beijing's impressive Olympic

site is a world away from the

killing and misery in the

African nation of Sudan. But

the two are being drawn closer

together. Director Stephen

Spielberg was an artistic

adviser to the Beijing Olympics

but he quit this week saying

China was perpetuating the mass

killing in the Sudanese region

of Darfur. In a written

statement, he said:

The Chinese Government was

not happy to hear of his resignation. TRANSLATION: We

express regret at such a

decision but all preparations

for the Olympics, including the opening ceremony, opening ceremony, are

proceeding smoothly. Yet the

criticism is mounting over

China's role in Darfur.

200,000 people have been killed

there in recent years as local

rebels fight government-backed

militia. 2.5 million have been

displaced. China is said to

have great influence there

because it buys two-thirds of

the country's oil and sells

Sudan weapons. Actress Mia

Farrow is a leading campaigner

on Darfur. She helped convince

Spielberg to quit and is

turning her attention to

Olympic sponsors. The China

Government has demonstrated

that it's extremely sensitive

about protecting the Games from

being tarnished and so we're

using that as a point of

leverage and an Achilles really

with a government that has been impervious to

impervious to all criticism, to

say China use your close

business alliance with the

government of Sudan,

perpetuators of this genocide.

It is China that is

underwriting the genocide in

Darfur and we want them to

stop. Tonight the Chinese

Government said that ulterior

motives were behind some of the criticism on Darfur. TRANSLATION: Some

people are using this opportunity to link China's

policies in Africa a with the

Olympics. These people are not

familiar with China's

policies. He said China wants a

solution to the Darfur crisis

as much as anyone else.

If you'd like to look back at

tonight's interview with the

Prime Minister Kevin Rudd or

review Lateline's stories or

transcripts, you can visit our

website. Virginia Trioli will

be in the chair tomorrow night.

See you again on Monday. For

now, here's 'Lateline Business'

with Ali Moore. Thanks, Tony.

Tonight - jobs boom,

unemployment falls to a new

33-year low, but that means

more pressure on interest

rates. It clearly does increase

the case for a rate rise next

month. It's going to happen.

Early March will see rates

rising again. Despite the

headlines of the trouble in the

US Australia still has far too

much boom. Conflict of interest

- the ASXposts a bumper result,

but its role as regulator is

under fire. We're not immune to criticism.

to criticism. We absorb it,

we're looking at lessons we can

learn but I think some of the

speculation and commentator is

ill-informed. -- commentary is ill-informed. Subprime

write-down - more bad news for

Europe's biggest investment

bank. To the markets, and with investors buoyed by stronger

than expected US retail sales

figures, Australian shares

enjoyed a Valentine's Day

rally. Bouncing back from

yesterday, the All Ords

advanced 133 points, the ASX200

jumped nearly 3% led by

recovery in mining and banksing

stocks. Robust Japanese

economic data saw the Nikkei

soar 4.5%. Hong Kong's Hang

Seng put on over 3% its third

straight day of gains and in London, the FTSE London, the FTSE has booked a

small rise. Australia's

unemployment rate continues to

tumble hitting a three decade

low of 4.1%, but the better

than expected figures have

caused more consternation than

celebration. The figures make

an interest rate rise next

month a near certainty and some

argue there's been a structural

shift in the labour market

where a tight supply of workers

will remain a persistent problem. Neal Woolrich

reports. The new Government's

political honeymoon rolls on

with some good news on the

economy. Official figures show

the unemployment rate fell to

4.1% in January, the lowest

level in 33 years. The result

was driven by a surge in

part-time positions. But with

the domestic economy already

operating near full speed

today's figures are a mixed

blessing. It clearly does

increase the case for a rate

rise next month. It's going to

happen. Early March will see

rates rising again. Part of

our problem is that despite the headlines of the troubles in

the US, Australia still has far

too much boom. The Federal

Treasurer is promising to ease

pressure on the labour supply

and address the threat of a

wages break-out. At the very

core of the program that we took to took to the Australian people

are schemes to address the

skills shortage. Schemes to

address the skills shortage and

a whole series of plans to deal

with infrastructure

bottlenecks. So this

Government will expand the

skills base in this economy. Some argue there's

been a structural shift in employment and tight labour

market conditions are here to

sta. Over the next few years

we're going to see a

diminishing number of people entering the workforce just

because of age demographics and

we're going to see an

increasing number of people

leaving the workforce, which

means that the pressure on

unemployment or pressure on

employment is going to

continue. We are going to see a continuing tight labour

market. That means a return to

double digit unemployment is

less likely. To get an

unemployment rate of 10% again

you'd really have to see a rotten recession rotten recession here in Australia and presumably

internationally as well. And

it's still the case if we have

a huge shock, and we will go

into serious recession. But

going forward, they're going to

be much bigger shocks to reach

double digit unemployment

compared with the sort of shock that we needed, say, in the

late '80s early '90s. Mark Wooden argues economic growth

should last longer because today's economy today's economy is better

managed. We have more

information which means the

organisations who are pulling

the policy levers, both in

Government and the monetary

authorities, the Reserve Bank,

are better able to do their

job. They're better able to

read the signs so better able

to finetune the economy. Industrial relations

laws are an important part of

the ing regulatory package. A

long-term result, not just in Australia, but all around the

world. Having said that,

flexible labour markets are not

politically popular. People

see them as unfair. That's the

political trade-off the

Government's facing. The

Government today unveiled more

detail on its plans for

workplace regulation with the

draft release of 10 national

employment standards. The Australian Chamber of Commerce

and Industry has welcomed a and Industry has welcomed a

Senate inquiry into the

proposed laws and the

Australian Industry Group has

cautioned against a "one size

fits all" approach to workplace

regulation. The company that

helped exacerbate some of last

month's market turbulence

Tricom Equities says it needs a

cash injection. The embattled broker confirmed tonight

rumours it's seeking a merger

partner. It says it's held

talks with several unnamed talks with several unnamed

parties but hasn't reached an

agreement with any. In a

statement, managing director

Lance Rosenberg said Tricom was

looking for a partner that

could supply funds and help

build a profitable business.

And the Australian securities exchange has come under fire

for allowing Tricom to keep

operating. There were record

margin calls as the sharemarket

plunged and Tricom was caught

up in the turbulence. The

controversy pushed aside the

good news, the ASX's strong

profit result. Andrew

Robertson reports. With the

sharemarket trading at record

highs last year, the Australian

Securities Exchange's first

half earnings were up 35% to

just over $187 billion, but it was this was this year's turmoil which

dominated today's media

briefing. We're not immune to

criticism. We absorb it.

We're looking at lessons that

we can learn but I think some

of the speculation and

commentary was just

ill-informed. The ASXhas been

under fire for not suspending

Tricom Equities when it failed

to settle trades on time after

being at the centre of a big margin call.

margin call. The ensuing chaos

added to last month's stock

market plunge. Once again, the

exchange's dual role as both

regulator and participant in

its own market has been called

into question. Robert Elstone

says those concerns are

groundless. I don't believe

that separating supervision

from the market operator is in

the interests of the market,

notwithstanding the perception notwithstanding the perception

of conflict, because inevitably

whoever conducts that

supervision whether it was Eric

and his team or ASIC or an

independent agency, the minute

they are distanced from the

market they lose that knowledge of how the market actually

works and operates. That's a

view which found support today

among institutional investors,

among them Citi Investment Research's Mike Research's Mike Younger. When

you think about the ASX being

the operator of its own market,

there is no-one better placed

to regulate the market. The

difficulty comes when you have

multiple entities regulating

the same entity. So, for

example, you have ASIC and ACCC

and ASX all having some part of

the regulation over the company. Reflecting the boom

times on the market during the first half of the financial

year, the

year, the ASX's listing revenue

was up 18%.

Even though the current

volatility on the market should

benefit the exchange because of

the large trading volumes, Mike

Younger says there are also

some risks. While things are some risks. While things are

still iffy and still volatile

that will be good for ASX. The

real risk would come if we were

to see a deleveraging of hedge

funds which could then mean

after a strong period of

volumes we could hit a flat

spot. While the short-term

outlook for the Australian

Securities Exchange may have a

few clouds over it the bigger

challenge is the long-term. The Federal Government is The Federal Government is considering two applications

for new exchanges who want to

compete with the ASX and not

surprisingly the ASX is arguing

strongly in favour of

maintaining its monopoly.

Andrew Hills covers the ASX for

Wilson HTM. He says one of

those new exchanges is backed

by the New Zealand Stock

Exchange and big Australian

broking houses and will be a

real threat. The immediate impact will be impact will be all of the

market crossings from about,

from about 45% of total

liquidity will go to AX, given

that the AX is supported by

five Australian brokers. We're

likely to see ASX's normal club

trades reduced, because those

brokers will also have the

ability to direct normal club

trades or non-cross trades or non-cross trades to

AX. And Andrew Hills believes

that will halve the ASX's

annual profit growth. Leighton

Holdings has become the latest

glamour stock to be punished by

investors despite delivering a

rise in profits to $250 million

just $2 million short of the

average analyst forecast. For

analysis of Lleyton's numbers

and the rest of the day on the

markets I spoke earlier to Martin Duncan

Martin Duncan at JP Morgan.

Martin Duncan, Lleyton's profit

was up 32% for the first half,

but it missed some analysts'

expectations and shareholders

were very unhappy with that.

What's your view of the result? Well I guess the

Leighton result was pretty

good. It was in line with JP

Morgan expectations, at least.

But the market is very skiddish

at the moment. It's very sensitive

sensitive to very small

disappointments if you like in

expectations and this result

even though it was a very good

result, up 32%, the outlook

statement was also very

positive. Leighton said

they're seeing high levels of

activity in infrastructure

spending, construction

activity, resources, a lot of

those big projects that are

happening. Obviously a lot of

activity and they're benefiting in a

in a big way. It was a great

result and yet the market was

expecting slightly more. It was expecting a dividend, a

couple of cents higher and as a

consequence the stock was sold

off by 3 or 4%. Is there any

sense that maybe Leighton has

been overpromising? Not really.

One of the best ways to judge

these stocks like Leighton is

based on the work in hand, the number of projects or number of projects or the

number of dollars of projects

they've got going forward.

That figure keeps going up for

Leighton. It was up again this

time to $27 billion. There's

certainly no downturn in the

outlook for the company it's

really just the market itself.

It's been pricing stocks very

highly. Leighton was on a PE

in the mid 20. The average

market PE is 14 times. There's market PE is 14 times. There's

a sensitivity to a slight disappointment in earnings.

The PE just gets derated, the

stock gets derated. Perhaps more surprising given the

market was higher today? The

market bounced back well. The

banks were sold off heavily,

some up to 6%. They bounced

back today. There was a better

tone because the US was

stronger as well. That fed

through right across the board

really. It was hard to find a

sector off today. If we stay on

the positive Lion Nathan had a trading update and they've

given a profit upgrade? Lion

Nathan has a March balance

date. They had an upgrade or

at least an announcement on the

progress in this half and they said that earnings were going

to be 3% to be 3% higher than they

thought they were. That was a

function of slightly higher

beer volumes in New Zealand,

but most importantly pricing.

Their prices in Australia seem

to have risen around 7%.

They've more than offset quite

big increases in costs. Of

course a company like Lion

Nathan is subject to commodity

price increases like aluminium,

barley for producing beer barley for producing beer and

the price rises have been

around 4.5% across cost of

goods sold. They've more than

offset that with those price

rises. To the other major

movers on our market today:

AMP has posted a 10% rise in

underlying earnings for the

full year to

full year to $960 million. The

market initially sold the stock

off sharply before recovering,

although AMP shares still ended

the day lower despite the

stronger overall market. The

company says it's well placed

to deal with the market

volatility, but it has deferred

any share buyback until it can

call that volatility over.

Today's result was delivered by

Craig Dunn who took over the

reins of AMP from reins of AMP from former

managing director Andrew Mohl

late last year. I talked to

Craig Dunn in his Sydney office earlier this evening. Craig

Dunn, welcome to Lateline

Business. Thank you for having

me. This is your first result

as CEO. You called it robust

but it did miss some analysts'

expectations and initially the

market has sold your stock off

down to its lowest point for

two years. Is that an

indication of just how tough

this market this market is? Well, I think

it's a very volatile market at

the moment and we don't see

that changing in the short-term

because of the range of

environmental factors including

what the US is doing et cetera.

It was a robust result. Return

on equity went from 30 to 38%,

underlying profits were up so%.

They would have been up 15%

were it not for our capital

return. Our cost ratio fell,

we had good investment performance. I think performance. I think it's a

fair way to describe it. Before

we look more at the profit

result you say you're well

placed to weather market volatility, how much more

volatility are you xkting? We

don't expect it to go away in

the short-term and our house

view is that the news out of

the US there could be more bad

news before we see good news.

Having said that, our Having said that, our feeling

is that as the interest rate

reductions in the US flow

through the fiscal stimulus

approved by Congress in the

last week or so comes through,

towards the end of the year in

the US we'll see a pick-up in

the economy and that we'll move

into 2009 in a stronger

position. Our view also is

that from an Australian

perspective it's really what

happens in China that's almost

more important than the US.

There's a view that thest There's a view that thest

market will have some impact in

depressing growth in China. We

don't think that will be

significant. From an

Australian market perspective I

think volatility in the

short-term but towards the end

of the year things will start

to pick back up. Volatility,

but do you think we've seen the worst of the big falls in

market value? Hard to say, we

may have we may not. I don't

think you can take a view on

that. It's a volatile market that. It's a volatile market

and we could see more of that.

As I said if there's more bad

news out of the US markets

could respond further. Until

you're sure the volatility is

over you won't be giving any

money back you've got no desire

to wade into the market to

raise debt to fund a

buyback? We've had strong

capital market discipline in

the business for several years

and we've said to the and we've said to the market

today that the capital

initiative is going to be

deferred until markets settle

down. That's more about the

cost of credit that we'd have

to incur if we went to the

market now. What we're looking

at doing is raising tier two

debt and using that debt to buy

back stock on the market. The

cost of that debt at the moment is very expensive because of

the way markets are. Our the way markets are. Our preference would be for market

to calm down over time and then

go into the debt markets when

we can get a better price for

funding. That's really what's

driving it. It's the cost of

debt in the short-term.

Overall we're strongly

capitalised. We don't need the

debt to grow the business.

It's more a function of what

price do we have to pay. Some

analysts have expressed

surprise. As you say you're

strongly capitalised, your

gearing is low. Analysts have expressed expressed surprise that the

nervous debt markets are

affecting a company like

AMP? It's just going into the

market now, you've got to pay

very, very high premiums for

debt. And you're talking about

putting tier two debt on your

balance sheet that might be

three to five years out and so

we don't want to lock in very

expensive debt now. We'd

rather go into the market when

we could get cheaper fund. If we

we look specifically at these

profit results over the past year

year you've lost market share

across virtually all areas - superannuation, retirement

income, total retail managed

funds, small declines, but still declines in market

share? That is true in

superannuation. We had a very

strong year in 2006 where we

grew share off the back of the

success we had in had corporate

superannuation. In 2007 superannuation. In 2007 our

shares come off and that's

mainly because in some parts of

the market we didn't do as well

in the sort of super boom if

you like with the $1 million

opportunity to put money into

super before 1 July. And we

said at the time leading into

that market that we thought

others had a customer base that

was more likely to do well in

that market. So we didn't do

as well as some

as well as some and that's saw superannuation fall off a bit.

In the pensions market we've

done well. When you look in

terms of net cash flows it

actually grew in 2007. We've

been really pleased with that

share. So those declines in

market share are not an issue?

They're not part of the reason

you're talking about a renewed

emphasis on growth? No, the

pensions very happy,

superannuation I'd like to do superannuation I'd like to do

better. I think you can always

do better as a business and our

cash flows I would describe

them as, you know, they were

good during 2007 in

superannuation. But I think we

can do better and that's why

we've talked about today a

greater focus on growth.

Andrew left the business in

great shape, big recovery,

great platform. My opportunity

now is to use that platform to

grow the business more strongly. strongly. I'd like to think we

can do better in

superannuation. Can you talk

targets? No we haven't

publicly. We're sending the

message to the market that we'd

like to do better in cash

flows. With the indicators

we've got in train which are

principally at least in the

short-term about growing

planner numbers and improving

planner productivity that we're confident we can achieve

that. Another issue, the Arch

is a big player in this market, is a big player in this market,

how do you view the increase in

margin lending, the amount of

short selling, the facts stocks

are sold off even if they

deliver on profit expectations?

What's your view on the amount

of that sort of activity in

this market? Are you

comfortable? I don't think

that's a real issue. Markets

ebb and flow and depending on

how people see the cycle,

people will gear up more than

they might in other periods. I don't think it's

don't think it's an issue at

all. Idge it's the way modern

markets work. It means that you'll get greater volatility

than we've seen in the past. I

don't have any issue with that

and I think the regulatory

environment in this country has

proven effective over the past

few years. If you look at

other Western markets you'd

have to say Australia has done

well. At the same time, there

are increasing calls for greater regulation of margin lending. ASIC

lending. ASIC for one, as well

as the ASXhave been vokeleal on

that front. You see no need? I

think the regulatory climate

has served us well. You have

to be careful about calling for more regulation. It's a

natural response when markets

do things people don't expect

but I don't know that it's

always the right response. I'm a firm believer that generally

if you let markets act in a

free way that generally they'll get there. get there. There'll be times

when they're higher and lower

and there'll be volatility, but

I think in the end allowing

markets to operate and allowing

capital to be employed where

the market thinks the greatest

return is the best thing in the

longer term for the

economy. Don't swing the

pendulum too far in the other direction? Regulation is

important and you need some but

I just think generally we

sometimes respond too quickly

and call for regulation and call for regulation where

if you gave the market time to

settle down it will

self-correct and you don't need

more regulation. Craig Dunn,

many thanks for talking to

Lateline Business. Thank you.

Overseas, and Swiss banking

giant UBS has suffered its

first-ever annual loss thanks

to the subprime meltdown in the

United States. Europe's

biggest investment bank posted

an after-tax loss of nearly an after-tax loss of nearly

$4.4 billion for 2007. The

bank's loss in the fourth

quarter was $12.5 billion. The

bank's chairman said the

results are unacceptable. UBS

has also revealed it has nearly

$29 billion in exposure to less

risky loans in the US in

addition to $30 billion of

high-risk subprime exposure.

Back home, and cancer drugs maker

maker Arana has faced the wrath of disgruntled shareholders.

It was formed out of last

year's merger out of Peptech

and EvoGenics. Today it held

its first annual general

meeting but a sale of side

business to a former chairman

three months after he left his

post has investors up in arms.

Desley Coleman reports. At the

first Arana annual general

meeting, shareholders were

vocal and frustrated. They vocal and frustrated. They keep

talking it up and nothing seems

to happen. At the moment, I don't feel I have any peace

really. It's a form of

entertainment to come to these

things, you get a different

story every year. Arana

Therapeutics is the product of

the merger between Peptech and

EvoGenics, and develops

cancer-fighting drugs. But

since April last year the

company's share price has

halved. Today's meeting halved. Today's meeting was

the shareholders' chance to

talk with the new management of

a new company. The two concerns

that we have are the sale of

the animal health division to

the former chairman within

three months of his leaving and

the lack of transparency in

relation to that. Last November, Mel Bridges resigned

as chairman. After 18 months

of trying to sell Peptech's

annual health business it was sold

sold in February to Mr Bridge's

private company. We wanted to

focus on human therapeutics

with large markets in the large

of therapeutic antibiotics. We

had to buy three things and

sell three things. Shareholders

weren't concerned with the

actual sale, more the timing

and the fagt the price was

unknown. It was commercially

confidential at the time and still

still is. We've got a deal

with GlaxoSmithKline and it's

confidential. There's nothing

unusual about this transaction.

We're very convinced and I

think Robin said that at the

meeting, this was in the best

interests of the company. But the Shareholders' Association wants more transpartnersy.

Concerns also surround the

issues of the executive team

being paid bonuses before being paid bonuses before performance hurdles were

met. The remuneration policy

where, for example, the CEO was

paid a retention bonus to

incentivise him when he already

has a contract until the year

2010. The public nature of the

company's transformation has

clearly frustrated the CEO but

he confirms that he remains

committed to the turnaround story. Very bright story. Very bright prospects,

let's not look in the rear

vision mirror. Two great

assets in inflam oition, three

in oncology, a great pipeline, solid engineering capabilities

combined with a solid cash

position. It's just such a

compelling story right now. The

company's performance will now

be measured by Arana's new

board and new mix of assets.

Now a look at tomorrow's

business diary. Publisher West

Australian newspaper holdings

releases half-year earnings.

A look at what's making news

in the business sections of

otomorrow's papers. The 'Age'

leads on Tricom's search for a

financial saviour. There are

concerns about Tricom's ability

to remain solvent. The

'Australian Financial Review'

examines alcho's latest run of

woes and the 'Sydney Morning Herald' looks at the same

story. That's all for tonight.

I'll see you on Monday. The

FTSE is up 29 and the Dow

futures are up 15 ahead of the

Federal Reserve chairman's Ben

Bernanke's appearance in front

of the committee. We'd love to get your feedback. I'm Ali

Moore, goodnight. Closed Captions by CSI

Us, The Zutons? Um, bloody hell. I don't know, you know. OK. Let me just have a think. It's like a lifestyle, isn't it? Mix-up. (Laughs) It's like a happy mix-up. Everyone adds something to every song. I'd say The Zutons were a really energetic, lively band and quite diverse. That's what The Zutons is, really. That's how we've come to make Zuton music. (Strums guitar) OK.