Price difference in Coalcorp figures

Press, 15 April 1988, Page 6

Price difference in Coalcorp figures

PA Wellington A $6 million difference has been revealed between the price that was decided for the Coal Corporation’s assets and liabilities, and the figure that was officially announced, the “Evening Post” newspaper reports. The corporation formally signed for $73.9 million of assets and liabilities which it acquired from the Crown in a ceremony at the Beehive a fortnight ago.

A total of six Stateowned enterprises formally signed for their assets and liabilities on March 31 — the last day of the financial year — formalising deals that had been worked out in the last 12 months.

The ceremonies represented the formal handing over of assets and liabili-

ties which the corporations acquired from Government departments on April 1 last year. At the ceremony, it was announced that the price of the Coal Corporation’s assets and liabilities had been determined at $BO million, (differerent from the $B3 million settlement the Government announced in July last year.) However, the “Evening Post” said yesterday that the real price determined for the Coal Corporation’s assets and liabilities on March 31 was $73.9 million.

The corporation's general manager, Mr Ron Janes, said yesterday he could not explain why the Government’s announced figure was wrong. Asked if the corporation had signed the legal agreement on March 31 with the wrong figure in-

eluded, Mr Janes said it bad not. I ! The corporation had signed for $73,9 millionworth of assets and liabilities. j j A spokesman for the Minister for State-Owned Enterprises, Mr Prebble, said the error;' was “regretted” but was in the press statement and not the legal document signed by the Government and the corporation.

! It had occurred as a "calculating error” during the complex calculations that were'involved in the final negotiations over such things as .'the value of different coal! mines and the Government's decision to take over some obligations in overburdened stripping contracts. j Asked if there were any 'other errors concerning the value of other corporations, the spokesman ■said, there w’ere none.