Australia news live updates: Marise Payne says Russia has violated international law; NSW trains on reduced services; 28 Covid deaths

February 21, 2022
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5.21pm EST

17:21

Supermarket giant Coles has posted a 2.0 per cent drop in half year profit to $549 million, hit by higher costs due to the COVID-19 disruptions, and expenses of its transformation projects, reports AAP’s Prashant Mehra.

Sales for the 27-week period to January 2 rose 1.0 per cent to $20.79 billion. Comparable sales also rose 1.0 per cent during the year.

Supermarket sales were up 1.1 per cent to $18.02 billion, while liquor sales rose 2.7 per cent to $2.0 billion. Online sales surged 46 per cent to $1.5 billion.

However, sales at its convenience store format Coles Express slid 8.5 per cent to $578 million following mobility restrictions due to lockdowns in the eastern states.

The Group said earnings were hit by $150 million of COVID-related costs incurred during the half year, an increase of $45 million from a year ago.

It also invested $20 million in relation to the Witron and Ocado transformation projects, while net costs increased by $13 million as a result of lower earnings from property operations, higher insurance costs and an increased net loss from Coles’ 50 per cent share of Flybuys.

Meanwhile, trading has been mixed in the current quarter, Coles said.

Supermarkets sales were elevated in early January due to the spread of the Omicron variant, before moderating later in the month. There has also been significant variation in sales between states, with COVID-19 and floods in South Australia impacting sales, particularly in Western Australia.

The company said it has already incurred COVID-19 costs of $30 million in January, although this has moderated in February.

Coles has kept its fully-franked interim dividend at 33 cents per share, similar to the level a year earlier.



5.14pm EST

17:14

Defence responds to China’s claim about laser incident

Australia has responded quickly to the Chinese government’s claims surrounding the laser incident last Thursday.

A defence spokesperson says the Australian surveillance aircraft followed “a standard flight profile”:

At the time of the lasing incident the RAAF P-8A Poseidon was approximately 7,700 metres from the People’s Liberation Army – Navy (PLA-N) vessel and was flying at an altitude of 457m.

The closest the P-8 flew to the PLA-N vessel was approximately 3,900 metres.

This is a standard flight profile for Royal Australian Air Force maritime patrol aircraft for a visual inspection of a surface vessel.

The statement doesn’t specifically address Beijing’s claim that Australia dropped a sonobuoy in the water.

Updated
at 5.23pm EST



4.56pm EST

16:56

China says Australian plane dropped sonar buoy in water near Chinese ship

Daniel Hurst

Daniel Hurst

China’s national defence ministry has given its first detailed response to the claims its warship pointed a laser at an Australian surveillance aircraft north of Australia with two claims of its own.

A spokesperson for the ministry said that in the incident on 17 February, the Australian P-8A surveillance aircraft “approached the airspace over the PLA naval fleet with the nearest distance of only 4 kilometres”. He said that was “very close”.

He also said the Australian aircraft had cast a sonar buoy into the water around the Chinese vessel. Such a device – also known as a sonobuoy – can be used to gather acoustic information and help detect submarines. An image released by the Chinese national defence ministry shows a triangular orange buoy in the water.

In a statement posted on the ministry’s website, its spokesperson, Senior Colonel Tan Kefei, accuses the ADF of “spiteful and provocative actions” that would “undoubtedly result in misunderstanding and threaten the safety of aircraft, vessel and personnel of both sides”.

China is firmly opposed to these actions by the Australia.

The Australian government had said a PLA-N warship had used a laser to illuminate an Australian P-8A Poseidon surveillance aircraft on Thursday and that this activity was dangerous and was not professional. The Australian aircraft had been tracking two PLA-N vessels that were sailing east through the Arafura Sea, north of Australia.

The Chinese national defence ministry statement does not address the claim of a use of a laser in any detail – it just says the PLA naval vessel “maintained safe, normative and professional operations” and accused the Australian side of spreading “false information” and making an “irresponsible claim”.

It ends with China calling on Australia to “stop such provocative and risky actions” and “avoid negative effects on the relationship of the two countries and two militaries”.

The Australian defence department has been contacted for a response. We’ll let you know here on the blog as soon as we have it.

Updated
at 5.04pm EST

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