News: Fosters Group falls to FY loss

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Amid takeover speculation, Foster's Group Ltd (ASX:FGL) has posted a net loss of $464 million for twelve months to 30 June, falling from a profit of over $400 million last year.

Australia's largest brewer says the result includes a $1.16 billion non-cash impairment for its wine assets, the proposed demerger expenses and better than expected returns on the divestment of its vineyards.

Net profit before one-off items decreased to $711 million, from $742 million a year before, on lower beer sales and a strengthening Aussie dollar.

Operating revenue dropped 4.8 per cent to $4.5 billion.
No final dividend has been declared.

Australia's largest brewer says its plans to separate its beer and wine units are on track for completion early next year.

The beer unit is currently believed to be a takeover target from a range of overseas suitors such as SAB Miller and Asahi Brewers.

The $464 million loss reported by Foster's Group today is significantly lower than the profit of $438 million posted a year ago.