Fed: Costello says FIRB to examine News Corp proposal

AAP General News (Australia)
04-07-2004
Fed: Costello says FIRB to examine News Corp proposal

Treasurer PETER COSTELLO's office says the government will take advice from the Foreign
Investment Review Board about News Corporation's plan to list in the United States.

News Corp says it will shift its home base to the US, but maintain its listing on the
Australian Stock Exchange.

A spokeswoman for Mr COSTELLO says the transaction will be assessed by the Board and
the government will await its advice.

The reorganisation will also involve News Corp buying RUPERT MURDOCH's 58 per cent
controlling interest in Queensland Press.

The Foreign Investment Review Board will become involved because the proposed reorganisation
means the new US-based company, New News Corporation, buys the assets of Australian-based
News Corporation.

Foreign ownership of Australian newspapers is also capped at 30 per cent, or 25 per
cent for any single owner.

But the transaction is unlikely to face any hurdles under the cap rules because News
Corp is already treated as a foreign company.

AAP RTV kmh/as/rp/rt

KEYWORD: NEWS COSTELLO (CANBERRA)

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