NZ stocks: Investors waiting for developments on INL and Air NZ

By ELLEN READ

The market will this week be looking for more news from Independent Newspapers on the talks it is having with John Fairfax Holdings on the sale of its New Zealand publishing operations.

Shares in INL (45 per cent controlled by Rupert Murdoch's News Corp) were suspended on Friday at $3.38, pending a further statement.

INL said then that it expected to make a further statement before its shares resumed trading tomorrow.

On Wednesday, Carter Holt Harvey releases its first quarter result.

Brokers ABN Amro are forecasting a reported profit of around $39 million and an ebit (earnings before interest and tax) of $69 million - seen as a "reasonably good" result.

They said that while the current strike at the Kinleith mill was costing Carter Holt $500,000 a day (or $12 million in the first quarter), it is unlikely to be fully reflected in this quarter.

The fact that the first quarter was historically a slow one and the company was facing high energy costs would also affect its bottom line (the company is the country's third largest energy user).

Although no deadlines are imminent, market digestion and discussion of the proposed Qantas/Air NZ deal will continue.

After being rejected by the Commerce Commission last week, both parties will be trying to make the deal acceptable to the regulators.

With public holidays on Friday and next week, brokers are expecting that business will be subdued.