Stocks to watch on the Australian stock exchange:
CBA – COMMONWEALTH BANK – down $2.09, or 2.8 per cent, at $71.41
CBA has agreed to pay $25 million to settle legal action brought against the bank by the corporate regulator over bank bill swap rates. The bank also warned home loan arrears rose during the third quarter.
GFY – GODFREY’S GROUP – steady at 30 cents
Godfreys has cut its full-year earnings guidance for the second time in two weeks and warned it is likely to breach loan covenants after new TV ads hit rather than increased sales.
GXL – GREENCROSS – down $1.18, or 22 per cent, at $4.18
Veterinary chain and pet shop owner Greencross has downgraded its full-year earnings forecast to be between $97 million and $100 million, down from the $108 million it outlined in February.
IPL – INCITEC PIVOT – down 20 cents, or 5.3 per cent, at $3.55
Dry east coast conditions have hampered Incitec Pivot’s first-half profit, which has fallen 95 per cent to $7.6 million following a previously flagged gas-related writedown at its explosives services business.
REH – REECE LTD – up $1.5704, or 14.8 per cent, at $12.20
Plumbing group Reece has completed the institutional component of an equity raising worth $248 million, announced on Monday, to partially fund the acquisition of US plumbing distributor MORSCO.