THE NEWS WRAP: Productivity Commission report claims Australia should review industry assistance

Australia needs to review the level of assistance given to specific industries to better help businesses that are struggling, according to a Productivity Commission report.

 

Since 1996-97 about $22 billion has been spent on around 70 industry programs, with 40% of the money going to the automotive sector, the report said.

 

Qantas shares plummet on profit downgrade

 

Qantas’ share price has suffered a nosedive after the company reported a massive 90% profit downgrade compared with last year.

 

The airline has forecast a pre-tax profit of between $50 million and $100 million for the year ending June 30, down on the $552 million surplus of last year. Shares plunged 18.7% to close at $1.16.

 

Zuckerberg accused over Facebook IPO

 

Mark Zuckerberg is facing a lawsuit that claims he had inside knowledge of Facebook’s stock before it floated, according to reports in the US.

 

TMZ reports that the class action states that Zuckerberg knew Facebook shares were overvalued and sold a chunk of his stock once the IPO was underway.

 

Overnight

 

The Dow Jones Industrial Average rose by 26.49 points, or 0.2%, to 12,127.95. The Australian dollar dipped to US97.47 cents.

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