compensation provision.

After removing the effect of the foreign exchange on the asbestos provision it recorded last quarter, operating profit rose 12% to $US62.7 million ($81.9 million).

The company says its current projection for the 2007 fiscal year is for net profit from continuing operations – excluding asbestos-related expenses.

On August 1 the company announced that the NSW Government had extended the deadline for the final funding agreement for asbestos claimants to the end of the month.

The extension recognises that the company is in discussions to resolve outstanding matters with the Australian Taxation Office and the NSW Government.