Briefs

No crash coming, says BNZ

Anyone holding their breath for a house price collapse might be disappointed, Bank of New Zealand chief executive Anthony Healy says. The bank has released its latest financial results, which show cash earnings increased $13 million yearon-year in 2016. But profit fell $125m to $913m. Lending volumes increased by $5 billion over the year, or 7.6 per cent. Healy said house affordability was a concern, as metrics such as average income to average price stretched out. But he did not expect a dramatic correction in prices. ‘‘That would take a spike in unemployment or interest rates and I don’t see that happening at the moment. But affordability is an issue and house price inflation has been very strong.’’

Trade gap widens to $1.4b

The gap between what we buy and what we sell has reached an all-time high. In September, the difference between the value of the goods New Zealand exported and the goods which were imported hit $1.4 billion, a gap equivalent to 41 per cent of exports. Statistics New Zealand said this was the largest recorded monthly deficit in the series, which began in 1951. It said the monthly figures could be ‘‘significantly affected’’ by highvalue goods such as aircraft.

Fraudster pleads guilty

Mortgage fraudster Simon Lawrence Wood Turnbull has pleaded guilty to charges laid by the Serious Fraud Office. The Auckland developer pleaded guilty to 16 charges of obtaining by deception or causing loss by deception under the Crimes Act. He was involved in a mortgage fraud where false loan applications were submitted to a fund management company to buy properties in and around Auckland. The complainant, a second-tier lender chaired by former prime minister Jim Bolger, was allegedly tricked into offering $50 million of loans.

Samsung profits plunge

Samsung Electronics says its thirdquarter profit has plunged 17 per cent, as Galaxy Note 7 recalls nearly wiped out its mobile profit. The South Korean tech giant said its JulySeptember net income was 4.4 trillion won (NZ$5.4 billion), down from 5.3 trillion won a year earlier. Its troubled mobile business generated just 100 billion won in operating income because it discontinued the Galaxy Note 7 smartphone.