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Statement from Progressive Enterprises Ltd

Media Statement

12 September 2006

Statement from Progressive Enterprises Ltd

Progressive Enterprises yesterday notified the NDU and the EPMU that today we will be writing to their members who we employ at our three distribution centres, and requested their comments on our letters. The Company did this because, prior to negotiations, we had agreed with the Unions that this would be the approach.

In response the NDU has demanded that we not send letters to our staff members outlining our offers. This is despite a signed agreement between the parties that allows for communication with interested parties. We believe it important that union member employees are informed by us on our offers of a wage increase.

We believe our offers of a wage increase are fair, reasonable, sustainable and consistent with the retail industry where pay increases are in the three to four percent range.

In addition the NDU has now claimed there has been no valid start to bargaining for the proposed agreements by the Company, when it had previously advised and agreed in writing that bargaining was underway. We are left wondering whether the union even wants to bargain on our offers of a wage increase.

We remain committed to achieving a return to work and a responsible pay increase for our staff.

If the unions can agree to drop their demand for a single collective agreement to cover each of our sites then the lockout will be lifted and our employees can return to work. Sensible wage bargaining will continue on the basis of the 3 pre-existing individual site agreements.

Marty Hamnett
Managing Director
Progressive Enterprises Ltd

ENDS

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