Turners Auctions loses contract to sell wrecks for IAG

Thursday, 7 March 2013, 9:25 am
Article: BusinessDesk

Turners Auctions loses contract to sell wrecks for IAG, denting profit

March 7 (BusinessDesk) - Turners Auctions has lost the contract to sell damaged vehicles for Insurance Australian Group, New Zealand’s largest general insurer, eliminating a revenue line that generates more than 15 percent of profit.

Auckland-based Turners currently has 555 damaged vehicles listed on its website and 1,000 that are undamaged.

The contract with IAG ends in the next few months and the loss “will have a negative impact on the company’s earnings for the second half of the December 2013 year and beyond,” it said in a statement.

The company plans to give a detailed assessment of the impact at its annual meeting on April 24. Profit in the first two months of calendar is 11 percent ahead of the same period last year, it said. It had been forecasting damaged vehicle sale to be about the same as last year.

Shares of Turners last traded at $2.10 and have gained about 14 percent this year.

(BusinessDesk)

Business Headlines | Sci-Tech Headlines

BUSINESS, SCIENCE & TECH > >

Scoop Business: MRP Senior Managers In Line For $1.2M In Bonus Shares

Senior executives of newly listed, state-controlled MightyRiverPower are in line for shares in lieu of cash bonuses worth $1.2 million for the year to June 30, one of the company’s first disclosures to the NZX and ASX as a listed company show. More>>

ALSO:

Mighty River Power - IPO signals next phase in evolution of Mighty River Power

Scoop Business: NZ Houses Overvalued By 25%, IMF Says

New Zealand housing is already overvalued by about 25 percent and if it continues to rise may force the Reserve Bank to hike interest rates, according to the International Monetary Fund. More>>

ALSO:

International Monetary Fund - IMF Concludes Consultation with New Zealand, Releases Report
NZ Govt - IMF confirms New Zealand has the right balance
Greens - IMF confirms National’s failure to rebalance economy

Odometer Moments: CO2 Hits 400ppm

As the amount of heat-trapping carbon dioxide in the atmosphere hit the symbolic milestone of 400 parts per million (ppm), youth climate change organisation Generation Zero says it is time for New Zealand to rise to the challenge of building a zero carbon future. More>>

Trust Planned: Shared Vision For Mackenzie Basin Welcomed

Conservation Minister Dr Nick Smith and Environment Minister Amy Adams today welcomed a report proposing a way to manage the contentious land intensification, water, landscape, and biodiversity issues in the Mackenzie Basin. More>>

ALSO:

Scoop Business - Deadlock breaks on plans for Mackenzie Country dairying
Labour - MacKenzie plan about development not conservation
Greens - Greater commitment needed to protecting Mackenzie Basin
Environmental Defence Society - EDS welcomes successful outcome of Mackenzie Country forum
Federated Mountain Clubs - Call for the govt to fund Mackenzie Country Trust
District & Regional Councils - Councils Working Together re: Mackenzie Country Trust
Federated Farmers - Mackenzie agreement confirms it is a working landscape
2010 image - Iconic NZ Landmark Celebrates 75 Year Milestone

Scoop Business: Fidelity Acquires Most Of Tower’s Life Business For Net $70M

Fidelity Life Assurance has acquired most of Towers life insurance business for a net amount of about $70 million, propelling the closely held company to the third-largest in the market. More>>

ALSO:

Fidelity Life - Fidelity Life becomes NZ’s third largest life insurer
Tower - TOWER Life business sold to Fidelity

The Friendly Skies: Air NZ Pressures Regulator To Drop ‘Untenable’ Cartel Case

Air New Zealand, the national carrier slated for a partial sell-down by the government, has ramped up pressure on the Commerce Commission to drop its long-running pursuit of the airline’s alleged involvement in a global cartel on air cargo surcharges. More>>

ALSO:

Air NZ - Air New Zealand seeks court declaration - Cargo case: key witness retracts evidence

Scoop Business: NZ Jobless Rate Falls To 6.2% On Record Employment Jump

New Zealand’s jobless rate fell to a three-year low in the first three month of the year as the employment rate grew for the first time in four quarters, fuelled by demand for workers in Canterbury. More>>

ALSO:

Statistics NZ - Labour Market Showing Signs of Improvement
NZ Govt - HLFS shows encouraging job growth - Budget 2013: Expansion of Māori and Pasifika trades training
Labour - Disaster recovery is not a plan for jobs - Unemployed Kiwi youth rate no cause for celebration - Pacific unemployment far too high
Greens - Key fails to keep jobs promise
CTU - Aim should be jobs for all
BusinessNZ - Cautious optimism in employment data

New SOP: No Patents For Computer Software

“Following consultation with the NZ software and IT sector, I am pleased to be further progressing the Patents Bill with this SOP. These changes ensure the Bill is consistent with the intention of the Commerce Select Committee recommendation that computer programs should not be patentable,” says Mr Foss. More>>