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Foster's expects to turn profit in '93.

Although the forecast for Australia's beer business is "extremely tough," Foster's Brewing Group chairman N.R. Clark expects to turn a profit in this coming fiscal year.

In September, Foster's reported a loss of $654.3 million for the fiscal year ended June 30, according to the Wall Street Journal. The loss was due mainly to write-down in the value of its non-brewing assets.

Clark, who was speaking at the company's national meeting, noted that the beer markets in Australia, Great Britain and Canada "remain depressed," with each down approximately three percent.

"The economic situation is largely similar in both the U.K. and Canada," Clark said at the shareholders' meeting. "We don't anticipate any significant growth in the absence of a return of confidence in markets and the restoration of economic well-being in the countries in which we operate."

Despite the dark outlook, Clark was confident that the Foster's board decision to write down asset values and to raise capital through a share issue has "created a solid foundation for our future."

Broken Hill Proprietary Co.'s acquisition of a 37-percent stake in Foster's, replacing International Brewing Holdings as the majority shareholder, will help to return vitality to the company, Clark added.
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Title Annotation:Fosters Brewing Group Ltd.
Publication:Modern Brewery Age
Date:Nov 30, 1992
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