Little rolls lightly over rail with Victorian election in the offing

<p>Despite prodding on the issue, Toll managing director Paul Little would not say yesterday (Thursday, October 26) that certain Victorian rail routes would be mothballed.</p> <p>Mr Little would only say that the routes had to be commercially viable and emphasis that the company was committed to rail.</p> <p>But with the backdrop of an impending Victorian election and a drought that threatens to make a mockery of the wheat harvest, Mr Little was able to ride out calls from the floor of the Toll annual general meeting and at the press conference afterward for a definitive statement of intent.</p> <p>&#8220We’re trying very hard to work with the Victorian Government to encourage more road freight on to rail and clearly no-one needed this drought in the middle of that sort of initiative, so we’re talking to the Government about it,&#8221 Mr Little said.</p> <p>Earlier, Mr Little took a swipe at critics who questioned the company’s commitment to abide by divestment pledges to the Australian Competition and Consumer Authority over the Patrick Corp takeover.</p> <p>&#8220This criticism is unjustified and shareholders should take comfort that Toll is complying with all ACCC undertakings,&#8221 he said.</p> <p>He also underlined commitments this year to find solutions to high fuel prices.</p> <p>Mr Little said last month he had had talks with other industry leaders on forming a fuel-buying alliance to help negate the high price.</p> <p>On Virgin Blue, he said Toll management was in talks with the airline’s management with a view to it gaining more airfreight.</p> <p>&#8220The current fleet is not ideal for airfreight,&#8221 Mr Little said.</p> <p>&#8220We are talking to Virgin Blue management about more-specialist airfreight planes and opportunities. </p> <p>&#8220And also talking to them about the opportunity to look at what’s known as `quick-change’ aircraft, where the aircraft carry passengers during the day and freight at night.</p> <p>&#8220Is it important to us? Terribly important. </p> <p>&#8220At the present time, all of our airfreight business in Australia goes to the Qantas jv (joint venture) and we would much prefer that to be going through Virgin.&#8221</p> <br />