1 00:00:03,320 --> 00:00:06,040 Speaker 1: It's Tuesday, the twenty fifth of June twenty twenty four. 2 00:00:06,240 --> 00:00:09,000 Speaker 1: Welcome to the Fast five Business News by Fear and Greed, 3 00:00:09,000 --> 00:00:10,760 Speaker 1: where we give you the top five business stories you 4 00:00:10,800 --> 00:00:13,320 Speaker 1: need to know in just five minutes. I'm Michael Thompson 5 00:00:13,320 --> 00:00:14,720 Speaker 1: and good morning Sean Aylmer. 6 00:00:15,040 --> 00:00:16,720 Speaker 2: Good morning, Michael, Sean. 7 00:00:16,840 --> 00:00:19,920 Speaker 1: Five stories, five minutes. Let's get cracking. Story number one. 8 00:00:19,960 --> 00:00:24,480 Speaker 1: The Australian retail landscape is set for the biggest shakeup 9 00:00:24,640 --> 00:00:27,920 Speaker 1: in years after Meyer said it wants to buy a 10 00:00:27,960 --> 00:00:31,400 Speaker 1: bunch of brands owned by Premier Investment, including the Just 11 00:00:31,520 --> 00:00:35,839 Speaker 1: Jeans brand, JJ's, Portman, Jackie and Dotty. 12 00:00:36,400 --> 00:00:38,680 Speaker 2: If the deal's done between the two groups, each of 13 00:00:38,760 --> 00:00:41,800 Speaker 2: which has Solomon lou As a major and vocal shareholder, 14 00:00:42,120 --> 00:00:44,680 Speaker 2: then Maya and Premier shareholders would both end up with 15 00:00:44,720 --> 00:00:46,800 Speaker 2: about fifty percent of the new company. 16 00:00:46,800 --> 00:00:46,879 Speaker 1: Now. 17 00:00:46,960 --> 00:00:49,800 Speaker 2: Under the deal, Meyer would buy the apparel brands from Premier. 18 00:00:50,120 --> 00:00:53,440 Speaker 2: Premier shareholders would get shares in Meyer in return. The 19 00:00:53,479 --> 00:00:56,440 Speaker 2: deal doesn't include Smiggle or Peter Alexander, both which are 20 00:00:56,480 --> 00:00:58,760 Speaker 2: slated to be spun out of Premiere later in the year. 21 00:00:59,120 --> 00:01:01,600 Speaker 2: Premier is Apparel. The vision has a retail network of 22 00:01:01,640 --> 00:01:05,000 Speaker 2: seven hundred and seventeen stores across Australia and New Zealand. 23 00:01:05,000 --> 00:01:07,640 Speaker 2: Solomon lou would end up with up to thirty percent 24 00:01:07,640 --> 00:01:10,160 Speaker 2: of the shares in Mayer Now. He's already said he'd 25 00:01:10,200 --> 00:01:12,480 Speaker 2: be interested in a seat on the board, thereby giving 26 00:01:12,600 --> 00:01:17,160 Speaker 2: the deal of tacit approval. He's quite the ferocious negotiator though, 27 00:01:17,240 --> 00:01:19,759 Speaker 2: so I wouldn't say the deal's over the line yet, 28 00:01:19,959 --> 00:01:22,240 Speaker 2: but it's a good start. Meyer argues a deal would 29 00:01:22,319 --> 00:01:25,639 Speaker 2: enhance scale, revenue, and both opportunities and cost savings across 30 00:01:25,640 --> 00:01:29,240 Speaker 2: supply chains. That brand management and property would also help 31 00:01:29,520 --> 00:01:32,920 Speaker 2: the loyalty program at Meyer now that department stores and 32 00:01:32,920 --> 00:01:37,160 Speaker 2: new CEO Olivia Worth used to run Quantus's loyalty program. Yesterday, 33 00:01:37,319 --> 00:01:40,200 Speaker 2: Maya's share price jump twenty percent. Premiums was up six 34 00:01:40,280 --> 00:01:41,039 Speaker 2: point six percent. 35 00:01:41,680 --> 00:01:44,120 Speaker 1: Yeah, good day for my, Good day for Premier. Not 36 00:01:44,280 --> 00:01:47,800 Speaker 1: such a good day for listed luxury goods retailer satire Sure, 37 00:01:47,800 --> 00:01:50,640 Speaker 1: and its share price tumbled fifty percent yesterday after it 38 00:01:50,720 --> 00:01:52,400 Speaker 1: said earnings for the full year to the end of 39 00:01:52,480 --> 00:01:56,360 Speaker 1: June we're tracking twenty percent below analyst forecasts. 40 00:01:57,320 --> 00:02:00,120 Speaker 2: Quite the whacking set. I blamed a challenging environment and 41 00:02:00,200 --> 00:02:03,120 Speaker 2: luxury e commerce for its poor profitability. It follows other 42 00:02:03,160 --> 00:02:07,400 Speaker 2: retailers last week announcing profit forecast downgrades, including Mosaic Brands 43 00:02:07,400 --> 00:02:11,280 Speaker 2: and KMD. Yesterday, Met Cash came out and said its 44 00:02:11,639 --> 00:02:15,160 Speaker 2: hardware division, I think might attend Home Hardware Total Tools 45 00:02:15,600 --> 00:02:18,520 Speaker 2: that was struggling as well. Fortunately for Metcash, the IJA 46 00:02:18,600 --> 00:02:21,880 Speaker 2: part of the business is doing AKA plenty of discretionary 47 00:02:21,880 --> 00:02:23,880 Speaker 2: retails out there struggling Michael. 48 00:02:23,880 --> 00:02:26,519 Speaker 1: Yes, certainly our sean onto story number two. Now, former 49 00:02:26,560 --> 00:02:29,720 Speaker 1: New South Wales Liberal Treasurer Matt Kean has been appointed 50 00:02:29,800 --> 00:02:32,920 Speaker 1: Chair of the Cleaner Energy Authority by the Federal Labor 51 00:02:32,960 --> 00:02:36,160 Speaker 1: government to one of his first comments was that nuclear 52 00:02:36,360 --> 00:02:37,240 Speaker 1: is not viable. 53 00:02:37,800 --> 00:02:40,400 Speaker 2: Yeah, this is an important job. It advises the government 54 00:02:40,639 --> 00:02:44,239 Speaker 2: on emissions, targets, renewables, all that sort of stuff. It's 55 00:02:44,280 --> 00:02:47,760 Speaker 2: an independent statutory body. Yesterday, mister Kean said he wouldn't 56 00:02:47,760 --> 00:02:50,160 Speaker 2: be drawn in the federal opposition's nuclear plans, but added 57 00:02:50,200 --> 00:02:52,080 Speaker 2: that when he was in government in New South Wales, 58 00:02:52,360 --> 00:02:54,239 Speaker 2: the state looked at the nuclear option to termed that 59 00:02:54,240 --> 00:02:56,600 Speaker 2: it would take too long and be far too expensive 60 00:02:56,600 --> 00:03:01,720 Speaker 2: and risk bankrupting the state. Meanwhile, poll is generally showing 61 00:03:01,760 --> 00:03:03,440 Speaker 2: the polls in the City Morning Herald in the Age 62 00:03:03,440 --> 00:03:06,079 Speaker 2: it was something out of the Lowy Institute yesterday. Generally 63 00:03:06,160 --> 00:03:09,960 Speaker 2: it's showing people actually more in favor of nuclear than 64 00:03:10,000 --> 00:03:10,520 Speaker 2: against it. 65 00:03:10,720 --> 00:03:14,760 Speaker 1: Story number three. Cash Sean will continue to be delivered 66 00:03:14,800 --> 00:03:17,600 Speaker 1: across the country after delivery group armor Guard did a 67 00:03:17,639 --> 00:03:20,840 Speaker 1: deal with the big banks and retailers to keep delivering 68 00:03:20,880 --> 00:03:22,119 Speaker 1: for at least another year. 69 00:03:22,720 --> 00:03:25,280 Speaker 2: After many months of negotiations. A deal will provide extra 70 00:03:25,320 --> 00:03:27,640 Speaker 2: funding of up to fifty million dollars to armor Guard 71 00:03:27,680 --> 00:03:30,120 Speaker 2: to keep the cash flowing. Now, the background to this, 72 00:03:30,200 --> 00:03:32,520 Speaker 2: because people don't use anywhere near as much cash, it's 73 00:03:32,560 --> 00:03:37,080 Speaker 2: become uneconomical for the monopoly transporter of cash, armor Guard 74 00:03:37,360 --> 00:03:40,120 Speaker 2: to keep delivering it. So the Reserve Bank got involved 75 00:03:40,120 --> 00:03:42,600 Speaker 2: as well as big cash users like the banks, retailers, 76 00:03:42,640 --> 00:03:45,560 Speaker 2: Bunning's post office. Under the deal, the users of cash 77 00:03:45,560 --> 00:03:48,560 Speaker 2: will provide the funds to keep armor Guard running. Some 78 00:03:48,600 --> 00:03:50,920 Speaker 2: pretty heavy hitters in that one. Former union boss Bill 79 00:03:51,000 --> 00:03:54,280 Speaker 2: Kelty was there, Lind Fox Chairpeter Fox ahead of National 80 00:03:54,280 --> 00:03:57,160 Speaker 2: Australia Bank. Anyway, the fifty million dollars we've paid in 81 00:03:57,240 --> 00:04:01,200 Speaker 2: installments subject to Armor Guard hitting defined a woman's hurdles. 82 00:04:01,400 --> 00:04:04,360 Speaker 1: Story number four, Federal Treasurer Jim Chalmers has agreed to 83 00:04:04,440 --> 00:04:07,560 Speaker 1: a mandatory food and Grocery Code of Conduct, which could 84 00:04:07,600 --> 00:04:10,280 Speaker 1: include multi billion dollar fines. 85 00:04:10,760 --> 00:04:13,840 Speaker 2: Dr Chalmers said legislation will be introduced as soon as possible, 86 00:04:13,840 --> 00:04:16,240 Speaker 2: and it follows a review led by former Labor Cabinet 87 00:04:16,240 --> 00:04:19,320 Speaker 2: Minister Craig Emerson. The Treasury said he'd accepted all eleven 88 00:04:19,320 --> 00:04:22,640 Speaker 2: of mister Emerson's recommendations as part of its crackdown on 89 00:04:22,720 --> 00:04:26,000 Speaker 2: anty competitive behavior in the food and grocery sector. For 90 00:04:26,040 --> 00:04:29,680 Speaker 2: the most serious violations of the codes, supermarkets could be 91 00:04:29,720 --> 00:04:33,560 Speaker 2: fined ten percent of annual turnover. Theoretically, Williams could face 92 00:04:33,680 --> 00:04:36,720 Speaker 2: maximum penalties of five billion dollars coals, three pert eight 93 00:04:36,720 --> 00:04:38,880 Speaker 2: billion dollars l the eight one point one billion dollars 94 00:04:38,920 --> 00:04:42,160 Speaker 2: in met cash eight hundred million dollars in penalties. Don't 95 00:04:42,160 --> 00:04:44,080 Speaker 2: know that's going to happen, but in theory it's a 96 00:04:44,080 --> 00:04:44,640 Speaker 2: lot of money. 97 00:04:45,640 --> 00:04:48,960 Speaker 1: Yes, certainly is last one. Story number five. To get 98 00:04:49,000 --> 00:04:52,200 Speaker 1: workers back to the office sean, bosses have been dangling 99 00:04:52,200 --> 00:04:56,120 Speaker 1: things like fancy coffee and yoga classes and DJ parties. 100 00:04:56,520 --> 00:04:59,800 Speaker 1: It still hasn't been enough, so some firms are giving 101 00:04:59,839 --> 00:05:03,080 Speaker 1: in employees are slightly more traditional perk. They're giving them 102 00:05:03,120 --> 00:05:05,560 Speaker 1: their own desk. Sean yes. 103 00:05:05,760 --> 00:05:08,080 Speaker 2: Now, hot desking, where workers get a desk when they 104 00:05:08,120 --> 00:05:10,800 Speaker 2: show up instead of having a permanent one, has been 105 00:05:10,839 --> 00:05:12,800 Speaker 2: around for about ten years now. It really took off 106 00:05:12,880 --> 00:05:17,240 Speaker 2: during the pandemic as it helps companies save money, particularly 107 00:05:17,320 --> 00:05:19,960 Speaker 2: amid a new era of hybrid work. Now some firms 108 00:05:19,960 --> 00:05:22,640 Speaker 2: are realizing they may have gone too far. Plenty of 109 00:05:22,640 --> 00:05:26,240 Speaker 2: gripes about hot desking, hygiene being one, the soulllessness of 110 00:05:26,240 --> 00:05:30,479 Speaker 2: officers without any personal spaces. Employees would argue that hot 111 00:05:30,480 --> 00:05:32,560 Speaker 2: desking was a good reason to stay at home. Now 112 00:05:32,560 --> 00:05:36,359 Speaker 2: that's prompted a bunch of big organizations like Salesforce to 113 00:05:36,440 --> 00:05:41,520 Speaker 2: reintroduce dedicated desks to entice more in office time. According 114 00:05:41,520 --> 00:05:45,320 Speaker 2: to report on Bloomberg, about three quarters of employees are 115 00:05:45,320 --> 00:05:48,400 Speaker 2: disgruntled for one reason or rather, according to research from Gallop, 116 00:05:48,640 --> 00:05:52,400 Speaker 2: so things like desks really matter, particularly if it means 117 00:05:52,440 --> 00:05:54,320 Speaker 2: you can put a family photo want it, have an 118 00:05:54,400 --> 00:05:58,279 Speaker 2: eergonomic chair that doesn't shift every day. Anyway, it seems 119 00:05:58,360 --> 00:06:01,440 Speaker 2: like big business is going back to the permanent discs. 120 00:06:02,000 --> 00:06:04,000 Speaker 1: All right, there we go. The top five business stories 121 00:06:04,000 --> 00:06:07,520 Speaker 1: in five minutes. Thank you Sean, Thank you Michael. It's Tuesday, 122 00:06:07,600 --> 00:06:10,080 Speaker 1: the twenty fifth of June twenty twenty four. Remember to 123 00:06:10,120 --> 00:06:12,520 Speaker 1: hit follow on the podcast and in five minutes isn't enough. 124 00:06:12,520 --> 00:06:15,120 Speaker 1: You can find our longer daily show called Fear and 125 00:06:15,160 --> 00:06:18,120 Speaker 1: Greed wherever you listen to podcasts, or at Fearangreed dot 126 00:06:18,160 --> 00:06:20,359 Speaker 1: com dot au, which is also we can sign up 127 00:06:20,400 --> 00:06:23,480 Speaker 1: for our free weekly newsletter. It comes out tomorrow morning, 128 00:06:23,480 --> 00:06:26,280 Speaker 1: Wednesday morning, so jump on that today before I forget. 129 00:06:26,400 --> 00:06:28,600 Speaker 1: I'm Michael Thompson and that was the Fast five business 130 00:06:28,600 --> 00:06:33,320 Speaker 1: news by Fear and Greed. Have a great day.