29 Jan 2009

Morning Report: local papers

6:50 am on 29 January 2009

Thursday's papers: another cut in OCR expected by Reserve Bank; more leaky home demolitions expected; plaster cast produced of face on Dunedin mummy.

NZ Herald

Fonterra New Zealand chief executive Andrew Ferrier is pictured hands outstretched on the front page of The New Zealand Herald. New Zealand's biggest company slashed pay out forecasts on Wednesday and faced fresh pressure over a toxic milk scandal in China.

The front page also tells the story of more victims in the leaky homes scandal. Chris and Nicky Wordsworth have been forced to demolish their $310,000 house on the North Shore. A building expert predicts others could follow, when people find their leaky houses are beyond repair.

The Press

'How Low Can They Go?' is the headline on the front page of The Dominion Post. The newspaper predicts the Reserve Bank will cut the Official Cash Rate to 4% or less on Thursday.

The paper features a winner and loser in the current mortgage market. Bria Hayward and her family sold their house at the peak of the housing boom, put the cash in the bank and waited. They've since built a four bedroom house in Porirua. Meanwhile saver Jonathan Holmes has to 'like it or lump it" - low interest rates mean a low return on his money.

The Press

The Press says the economy will be down $3.1 billion this year, as dairy farmers absorb Fonterra's cut in milk solids pay outs. The cut will impact the rest of the economy as farmers "put away their cheque books". Meanwhile, farmers hope for a cut in the Official Cash Rate on Thursday to help ease the pain.


The face of a mummy is on the front page on The Otago Daily Times. The mummy has been at the Otago Museum for 116 years - before that, it was entombed in Egypt for 2300 years. A team from the museum and Otago University have produced a scientific plaster cast of what she looked like when she was alive. She looks her age.