ceo confident company will survive

By Susan Murdoch
Of DOW JONES NEWSWIRES

MELBOURNE (Dow Jones)--Eddy Groves, chief executive of embattled child care operator ABC Learning Centres Ltd. (ABS.AU), Friday said he's "very confident" the company will survive.

Shares in ABC Learning, one of Australia's most high-profile casualties of the global credit squeeze, remain suspended as new auditors Ernst & Young comb through its fiscal 2008 accounts, fueling speculation of further writedowns.

"All our bills are current and up to date, all our rents are paid...you have money flying through the door," Groves told Dow Jones Newswires in an interview.

"I think people have got a complete misunderstanding of this, so consequently I'm very confident."

Groves said he remains the right person for the chief executive position, rejecting criticism that he should step aside, and believes he has the confidence of shareholders.

Groves said he couldn't comment on the details of the full-year results.

ABC Learning has said there will be prior-period adjustments arising out of a reassessment of accounting treatments.