Asciano last week indicated that it had booked a net loss of $71.07 million for the half when it released its unaudited figures.

The result included pre-tax significant items of $150.12 million, related to asset write downs and restructuring costs on the group''s grain haulage business in NSW and Victoria states. Earnings before interest, tax, depreciation and amortisation (EBITDA) before significant items rose 19.2% to $365.9 million.

Asciano also downgraded its annual earnings forecast for this year, citing ongoing problems shifting coal in the New South Wales Hunter Valley.

After adjusting for special items, Asciano estimated EBITDA in the range between $610 million to $620 million.

Rio Tinto releases pro forma 2007 results

The Rio Tinto Group today confirmed its subsidiary Rio Tinto Alcan as its third major division after it posted a pro forma 2007 underlying earnings before interest, taxes, and depreciation of $4,813 million. Three divisions in the company now are iron ore, copper, and alumina and bauxite.

Rio Tinto Alcan reported pro forma 2007 underlying earnings for Primary Metal and Bauxite & Alumina of $2,092 million, representing 23% of Rio Tinto''s pro forma underlying earnings before corporate items and interest.

Alcan pro forma share of production was estimated at 4.2 million tons of aluminum, 8.5 million tons of alumina and 32.0 million tons of bauxite in 2007.

Rio Tinto completed the acquisition of Alcan on 23 October 2007, and the new product group, comprising the combination of Alcan and the original Rio Tinto Aluminium businesses, was named Rio Tinto Alcan.

In order to aid analysis of the Rio Tinto Alcan product group going forward this pro forma information is being provided illustrating the enlarged product group, as though Alcan were part of Rio Tinto for the whole of 2007.

Rio Tinto''s chief executive, Tom Albanese said, """"These pro forma numbers reinforce the significance of the Alcan acquisition, which has transformed our aluminium group into an industry leader and the third major business within Rio Tinto.

In addition to these earnings, we look forward to the synergies from the acquisition. Our internal target is $1.1 billion, exceeding the $940 million after tax synergies announced in November 2007.""""

Qantas to benefit from frequent-flier program

National airliner Qantas frequent-flier program may be worth $2 billion representing more than a quarter of Australia''s biggest airline''s market value, an analyst at JPMorgan Chase & Co told reporters today.

The analyst Matt Crowe said because of Qantas'' affluent customer base and rising earnings, the loyalty program might attract a price of more than 12 times estimated earnings rather than the 6.4 times that Qantas currently trades at.

He added that Chief Executive Officer Geoff Dixon is making it easier for customers to convert points into flights which may lead to 75% profit growth for the plan in 2009 as it shortens the 2.2-year gap between points being earned and redeemed for flights, the time when they are recognized as earnings.

``We believe Qantas Frequent Flier is sitting on a `hollow log'' of pretax earnings worth at least A$1 billion,'''' said Crowe, ``We think it is unlikely that Qantas Frequent Flier is being fully priced.'''' Qantas share fell 2.6%.

Forrest against duplication of rail infrastructure in Pilbara region

Fortescue Metals Group chief executive Andrew Forrest today said the duplication of rail infrastructure to mines in Western Australia''s Pilbara region will contribute to inflation and it was time for all parties to cooperate.

Fortescue is battling Rio Tinto Ltd and BHP Billiton Ltd through the courts and National Competition Council to open up their Pilbara rail network. Fortescue wants access to Rio''s Hamersley Iron and Robe River railway network and BHP Billiton''s Goldsworthy and Mt Newman rail line.