Telecommunications company Two Degrees has been fined $325,000 by the Auckland District Court after admitting it made misleading claims that its Australian business roaming was “free” or “at no extra cost” when, in fact, customers were charged for roaming after only 90 days. Claims made by Two Degrees in a widespread advertising campaign between 2020 to 2023 created an impression that customers on mobile business plans would have the ability to roam year-round in Australia at no extra cost. In fact, the ‘free’ roaming was capped at 90 days each year and, if customers exceeded that, they would be charged $7 to $8 per day of additional roaming. It pleaded guilty to five breaches of the Fair Trading Act and refunded customers who were charged for roaming.
“Businesses need to consider the overall impression of headline claims. Key information about claims they’re making needs to be easy to find and not buried in the fine print,” Commerce Commission deputy chair Anne Callinan said.
Tower crane sightings across the New Zealand skyline have dipped by 33% to 105, from a high of 157 in early 2023, according to the latest Rider Levett Bucknall (RLB) crane index. The biannual index, as a barometer of construction activity, recorded 19 fewer over the past six months alone. The most pronounced decline over that period was in Auckland, which saw a 23.5% drop to 52 cranes. RLB counted 20 cranes in Christchurch, 13 in Tauranga, eight in both Dunedin and Queenstown, with another five in Wellington and two in Hamilton. RLB Auckland managing director Steve Gracey said the index reflected the "significant challenges" being faced by the sector. The Government's review of capital works spending across education, health, and social housing sectors during the high inflation environment was being borne out by a "scarcity of on-site projects," he said. Consents also fell by $1.5 billion, a drop of 5.1% last year, almost entirely due to the drop in new residential builds.
Banking group ANZ has bowed to the Australian Prudential Regulation Authority and entered into a court enforceable undertaking to improve its non-financial risk management and provide an additional capital overlay of A$250m ($274m).
Apra has been critical of non-financial risk management in ANZ’s Global Market’s business and cultural issues which saw sackings, suspensions and formal warnings to team members last year.
The bank has been under scrutiny over its trading in Australian government bonds, and claims that it manipulated wholesale interest rates.
ANZ chairman Paul O’Sullivan today said the bank was “disappointed” not to have met Apra’s expectations, and agreed an independent reviewer would look into the ANZ’s risk culture.
The Government’s financial performance continues to track better than forecast in Treasury’s December half year economic and fiscal update.
In the eight months to the end of February the operating balance before gains and losses, and excluding ACC, (Obegalx) recorded a deficit of $5 billion, $1.6b smaller than forecast. The old measure of Obegal, which includes ACC, recorded a deficit of $6.6b, $1.4b less than expected. When investment gains and losses were included, the deficit was just $800m, $$2.6b lower than forecast. The better result was because of net favourable valuation movements, while net losses on financial instruments were $1.6b lower than expected. Higher-than-expected tax revenue and lower spending contributed to the better outcome. Net core Crown debt was also lower than forecast at $181b, or 42.4% of GDP. Meanwhile, net worth was higher at $187.6b.
Millennium & Copthorne stalwart Kenneth Orr will step down as vice-president of operations for the hotel group, effective June 30, the company said. The decision had been made for family reasons and Orr is understood to be relocating to Central Otago. Orr, who has worked for the NZX-listed company for more than 20 years, had 19 hotel general managers reporting into him. Managing director Stuart Harrison said the company would be keen to retain Orr's services, as he is a highly valued member of the management team. The company's main property in Queenstown, its 220-room Millennium Hotel is nearing completion of its refurbishment project. Harrison said the 240-key Copthorne, across Frankton Road, was next on the refit agenda. Part of that hotel was currently being used for staff accommodation. MCK also owns the Kingsgate brand in the South Island.
Milk processor Synlait says a “significant majority” of ‘cease supply’ notices have now been withdrawn by suppliers.
The company said strengthening its milk supply was a key priority after a significant number of its farmer suppliers gave notice last May of ceasing supply with the processor.
Acting chief executive Tim Carter said today there was a rise in cease withdrawal numbers after it presented its half-year results last month.
“With competition for milk growing in Canterbury, Synlait is committed to continuing to show farmers why we should remain a processor of choice.”
Farmers could still qualify for a one-off additional 20c per kilo of milk solids premium by withdrawing cease notices by May 31.
Last month, Synlait reported a net profit of $4.8 million in the six months ended January, up from a loss of $96.2m a year earlier. Revenue grew 15.5% to $916.8m.
