Asciano to concentrate on bulk rail

By Rob McKay

This would be crucial in the face of “a continued subdued environment for our non-bulk operations”, Poole said.
Despite non-bulk weakness, the company reiterated its annual net earnings before significant items forecast of $675-$700 million.
Poole said the company's significant investment in the Queensland and Hunter Valley coal supply chains was the reason Asciano had not paid a dividend for the last financial year, though it would do this time around.
Coal haulage will receive the bulk of the company's investment budget over the next three quarters.
He also confirmed that there were two issues in particular which were exercising the minds of management – the entry of a third container ports operator and the privatisation of Queensland Rail.
“While it remains too early to have a clear view on what impact there may be on Asciano’s business, management and the board are actively engaged with key stakeholders and will continue to vigorously represent the interests of security holders in terms of these issues,” Poole said.

Source: Lloyd’s List Daily Commercial News – www.lloydslistdcn.com.au