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SAX ann re Telstra Stadium / SC&SG Trust

Document date:  Fri 29 Nov 2002
Published:  Fri 29 Nov 2002 19:04:44
Document No:  282253
Document part:  A
Market Flag:  N
Classification:  Other

STADIUM AUSTRALIA GROUP                       2002-11-29  ASX-SIGNAL-G

HOMEX - Sydney                                                        

Stadium Australia Management Limited (the Company) announced today
that it had received advice from its bank, the ANZ Bank regarding the
status of a proposal involving a joint venture to operate Telstra
Stadium, the Sydney Cricket Ground and Aussie Stadium under one

The proposal, which was reported in various forms in certain media
recently, has been developed by Babcock & Brown, investment banking
firm, in conjunction with the Sydney Cricket & Sports Ground Trust
(the SC&SG Trust). A Babcock & Brown held company is joint
shareholder of MTM Investment Management Limited (MTMIM) which is the
responsible entity of the Stadium Australia Trust (SAT).

The Company and MTMIM, which together comprise the Stadium Australia
Group (SAG), have not been involved in the development of the
proposal or held any discussions with the SC&SG Trust. A brief
outline only of the proposal has been presented to several members of
the boards of the Company and MTMIM by Babcock & Brown but no
comprehensive information or detail has been provided.

The proposal as presented to the Company by Babcock & Brown included
as a primary component, acquisition by Babcock & Brown of the debt
owed to the ANZ Bank by SAG and other ANZ interests in SAG.

ANZ has advised that it has formally rejected the proposal.

In its advice, the ANZ notes that "presumably rejection of this
component of the Babcock & Brown deal will cause it to fall away."

While the Company has advised Babcock & Brown and MTMIM that it will
consider any proposal submitted to it to assess whether it is in the
best interests of its shareholders and other relevant stakeholders,
at this stage, it has received no further communication and
information from Babcock & Brown on the proposal and no indication,
following ANZ's rejection of the debt acquisition component of the
deal, that the proposal is being progressed.

In advising SAG of its rejection of Babcock & Brown's offer, ANZ
reiterated its support of the Stadium and expressed its belief that
full repayment of the loan will be received. ANZ said it expects to
negotiate a long-term (15-20 year) financing arrangement with SAG as
soon as the issue of construction of the end roofs at Telstra Stadium
is settled.

"This is excellent news for the Stadium, its shareholders, members
and the sporting public of Sydney," said Paul Isherwood, Telstra
Stadium Club Chairman and Executive Chairman of Stadium Australia
Management Limited.

"This renewed statement of support from our financial partner
confirms the positive outlook for Telstra Stadium, the home of
Sydney's major sporting events, as a well-managed, world-class
operation," he noted.

"The concept of combining all three Sydney venues raised some real
issues. Telstra Stadium has provided aggressive competition to Moore
Park and that competition  sustainable on our part  has brought
real benefits to sports lovers, players and the codes, not least of
these being the high services standards we set at Australias premier
sports stadium."

For further information:

Ken Edwards                          Paul Isherwood
Telstra Stadium                      Telstra Stadium
(02) 8765 2002                       (02) 8765 2002
0418 885 920                         0419 229 913