IFT - Infratil

[Toddy]

Sideshow B

Its not all over. IFT has formed a new company along with the local councils with the long term objective of achieving another international airport for the local Auckland region.

Todays events will help for sure. New Zealanders will more than likely back a New Zealand owned and operated airport.

Apart from that, I think that IFT and WCC continously look at the structure currently in place for WIA. I personally would like to see Wellington floated on the NZX in the near future to extract full value for the IFT shareholders.

[CJ]

What is holding back Whenuapai? My udnerstanding is that it is the Govt, a few locals in the flight path (I am sure the airport was their first), and AIA.

If the AIA takeover goes ahead, I see the probablitiy of Whanuapia getting the green light increased significantly.

What % to float for WIA? 33%. I think I am happy to keep it in house. Listing creates costs and more headaches for management.

[Toddy]

Two years still left to go for the B warrants and the premium has all but gone.

[QOH]

Yes Toddy, my IFT B's are the last shares I'd part with at the moment. I had a good run out of the C's and bought back B's.

[Toddy]

The first quarter for TPW is a good result given the low spot prices experienced over the period. The good news is that the Tararua Wind Farm expansion has now been completed and came in 'under' budget.


Thursday, 26 July 2007

TrustPower Limited First Quarter Result for the Three Months Ending 30 June
2007

TrustPower's unaudited after tax surplus for the three months to 30 June 2007
was $32.0 million, compared with $26.2 million for the same period last year.
It should be noted that the result for the period includes a reduction in
tax expense of $7.4 million attributable to a reduction to deferred tax
liability arising from the change in the corporate tax rate from 33 per cent
to 30 per cent effective from 1 April 2008. This adjustment to tax expense
should be considered as one-off in nature. Earnings before Interest, Tax,
Depreciation, Amortisation, and adjustments for financial instruments
("EBITDAF") were $51.3 million versus $53.4 million for the prior period, a
decrease of 4.0 per cent.

The reporting of the first quarter's results to 30 June 2007 represents the
Company's first reporting period in its transition to New Zealand equivalents
to International Financial Reporting Standards ("NZIFRS"). As part of this
process TrustPower is required to restate its opening balance sheet as at 1
April 2006 and provide comparative balances calculated under NZIFRS.

As part of the transition to NZIFRS, the Company has reviewed the lives of
its generation assets. It has been determined that the economic lives of a
number of the Company's civil structures should be extended. As a result,
depreciation charges on these assets will be lower than in prior years.

More financial detail in relation to the NZIFRS transition is provided in
TrustPower's quarterly financial report which has been released to the NZX.

The first quarter trading environment was characterised by weak hydro inflows
but also lower than average electricity spot prices. This was in contrast to
the favourable trading conditions experienced by the Company during the first
quarter of the previous year when there were very good hydro inflows as well
as above average wholesale spot prices for a prolonged period.
TrustPower's own generation assets produced 483 GWh for the quarter versus
520 GWh in the prior period (a decrease of 7.0 per cent). While wind
production was higher than the first quarter of the previous year, hydro
generation was well down on long term average. TrustPower's hydro generation
storage catchments have improved significantly during July which together
with purchase contracts the Company has in place, leaves it well positioned
to meet customer demand over the remainder of the winter.

Customer numbers have remained steady at around 219,000. Total electricity
sold to customers in the quarter totalled 1,147 GWh compared with 1,196 GWh
sold in the prior period.

The Company's balance sheet remains strong. The ratio of debt to debt plus
equity was 31.5 per cent as at 30 June 2007 up slightly from 30 per cent at
the same time the previous year.

The 93 MW expansion of the Tararua Wind Farm is close to commissioning with
all turbines now operational. Final project cost is expected to be around
$174 million (including capitalised interest) which is well under budget.
Construction on the 5 MW Waipori hydro enhancement has ceased over winter but
remains on schedule for completion in December 2007.

Provisional resource consent has been received for the 72 MW Wairau hydro
generation scheme, in Marlborough. However, a further process is required to
determine the specific conditions of the consent which are expected to be
advised by the end of 2007. Once conditions have been finalised, subject to
appeal, the Company will be in a better position to assess project economics
and the next steps to be taken in the developme

[Toddy]

Mangere move 'pushes Whenuapai case'
5:00AM Monday July 30, 2007
By Wayne Thompson
The ownership debate over the airport at Mangere is welcomed by the group who are pushing to get Whenuapai Air Base open for commercial flights.

Any foreign takeover of the international airport would increase the desire for the monopoly to have some competition, said Waitakere Mayor Bob Harvey.

"We say to the Government: Please give us now Whenuapai."

Mr Harvey said there was a strong case and backing for the Government to allow the Air Force to share the base with civil air services and create a second airport for Auckland.

"We think the Government has worked out it's more economic for them to stay on and sell us half of it."

Mr Harvey said the debate over foreign ownership of Auckland Airport had prompted the spotlight to fall on Whenuapai as a way to keep a "foreign owner honest".

The Defence Force has resisted opening its runways to civil use, saying it does not expect to move all its operations to Ohakea until 2015 at the earliest.

Undeterred, Waitakere City Council is preparing to change its district plan to reserve the 273.6ha base for airport purposes in the future.

The council is a shareholder in NorthWest Auckland Airport Ltd with the North Shore City Council, Rodney District Council and publicly listed infrastructure investor Infratil, the majority owner of Wellington Airport.

Mr Harvey said that shareholding and military use gave certainty Whenuapai would remain in New Zealand ownership.

North Shore Mayor George Wood said there was a "strong silent majority" of North Shore residents who wanted to keep Whenuapai for an airport. Rodney Mayor John Law said global interest in Auckland International Airport showed how important airports were.

Enterprise North Shore chairman Ian Watson said a Whenuapai option was supported because of traffic congestion making it difficult to reach the airport at Mangere.

"We also feel that north of the Harbour Bridge is a tourist and event destination in its own right, so an airport would be a positive for that."

A strong advocate for commercial flights from Whenuapai, North Shore lawyer Derek Dallow, said Whenuapai could become a humbler "Kiwibank" version of Auckland International Airport, serving its local area.

[Toddy]

AGM

Is anyone else out there attending the AGM on Monday in Auckland.

[QOH]

Not going to the AGM but they are having two presentations in Wellington area this week. Will go to the Wednesday one.

[Caesius]

QOH, where are these Wellington meetings? I've looked on the website but can't find them...

[shasta]

quote:Originally posted by Toddy

Sideshow B

Its not all over. IFT has formed a new company along with the local councils with the long term objective of achieving another international airport for the local Auckland region.

Todays events will help for sure. New Zealanders will more than likely back a New Zealand owned and operated airport.

Apart from that, I think that IFT and WCC continously look at the structure currently in place for WIA. I personally would like to see Wellington floated on the NZX in the near future to extract full value for the IFT shareholders.

Toddy

What a great idea spinning off the airport as a separate company, would think that concept would be well supported, with IFT retaining a meaningful stake of at least 10%, as well as the WCC.

Only problem i can see is, that there is literally no area of expansion for them, unlike AIA, as they are right next to the sea!

I was holding IFT (Heads & B warrants) when the Whenuapai debate was going on, & would love to see that airfield developed thru a public/private Joint Venture.

Might entice me to buy back into IFT.