PRESS DIGEST-Australian General News - Aug 28

Compiled for Reuters by Media Monitors. Reuters has not verified these stories and does not vouch for their accuracy.

THE AUSTRALIAN FINANCIAL REVIEW (www.afr.com)

Oil and gas producer Woodside Petroleum (WPL.AX) yesterday beat analysts' estimates to post a 67 percent increase in half-year profit, underpinned by surging oil prices and production expansion. Net profit climbed to A$1.02 billion in the six months ended June 30, up from A$608 million a year earlier, while sales rose from A$1.87 billion to A$2.57 billion. Chief executive Don Voelte welcomed the result, and said Woodside would pass on to customers the cost of a new A$2.5 billion tax on condensate production at its North-West Shelf gas project. Page 1.

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Prime Minister Kevin Rudd yesterday offered financial incentives for struggling schools in the latest tranche of his so-called "education revolution." Mr Rudd told the National Press Club in Canberra that he will seek agreement from the Council of Australian Governments to reveal the relative performance of schools from next year and provide individual school reports to parents within three years. The Prime Minister said "tough action is necessary and the tough action our reform demands will be rewarded." Page 1.

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Eddy Groves faces mounting pressure to step down as chief executive of ABC Learning Centres (ABS.AX) as the embattled child care group prepares to release annual results than many believe will be worse than forecast. Already depressed shares in the Brisbane-based company remained in a four-day trading halt yesterday ahead of tomorrow's results, and speculation increased that new asset write downs could be as high as A$200 million. Ernst & Young is checking ABC's accounts previously audited by Pitcher Partners. Page 1.

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The Federal Government said last night it was confident of concluding in the near future a free trade agreement with the 10-member Association of South-East Asian Nations (ASEAN). Trade Minister Simon Crean said discussions were going extremely well with ASEAN, which will also trade with New Zealand under the deal. Wine, beef and dairy producers are expected to win improved access to their closest Asian markets and reap the benefits of an additional US$48 billion in economic benefits over the next 11 years, observers said. Page 1.