TNM

Further stimulus should be cautiously undertaken

Goldman Sachs

Appreciating the Government's announcement to go ahead of its $500 million infrastructure projects at an accelerated pace in addition to the $480 million business package, Shamubeel Eaqub, economist and research director of Goldman Sachs JBWere's Australia and New Zealand, said, "While small in the context of annual GDP
($180 billion) these are positive and encouraging steps to counter the recession and bolster the aggressive easing delivered by the RBNZ to date."

ASB Bank warns on dividends after profit dip

ASB Bank

11% drop in ASB Bank's profits, as the bank reported a $238m operating profit for the six months to December 2008.

The drop further includes a $41 million that also includes loss that grew from applying new global accounting rules.

In 2007 the profits during the same period were $267 million.

ASB chairman Gary Judd said, "Total bank assets increased by 16.3 per cent, with lending balances rising 8.6 per cent."

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