BHP SEES STRONG FOURTH QUARTER BUT LOWER YEAR NET
  The Broken Hill Pty Co Ltd &lt;BRKN.S>
  said it expects a strong full year result, helped by sigificant
  investment allowance credits in the fourth quarter, but net
  will fall short of the record 988.2 mln dlrs earned in 1985/86
  ended May 31.
      The group earlier reported its net earnings dropped to
  603.0 mln dlrs in the first three quarters ended February 28
  from 813.0 mln a year earlier.
      Third quarter net fell to 206.0 mln dlrs from 238.6 mln a
  year earlier and 220.3 mln in the second quarter ended November
  31, BHP said in a statement.
      Earnings in the first nine months were at the lower end of
  share analysts' forecasts yesterday of a range of 600 mln to
  620 mln dlrs.
      BHP held its annual dividend unchanged at 37.5 cents after
  declaring a steady final dividend of 20 cents and announced a
  one-for-five bonus issue to shareholders registered May 1.
      The bonus is being made from reserves which will not
  qualify for tax-free distribution after the introduction of
  dividend imputation next July 1.
      The bonus shares will not rank for the final dividend, BHP
  said.
      BHP said it should not be expected that the present rate of
  dividend will be maintained on the increased capital.
      The level of future dividends will be influenced by the
  implications of the proposed dividend imputation legislation,
  it said.
      As previously reported, dividends will become tax-free in
  shareholders' hands provided they are paid out of profits that
  have borne the full 49 pct company tax rate.
      BHP, which confined comment to the third quarter, said
  petroleum net earnings dropped to 98.8 mln dlrs from 139.6 mln
  a year earlier, and steel profit to 27.0 mln from 48.8 mln.
      BHP said the petroleum division earnings fall reflected
  generally lower oil prices and sales volumes from Bass Strait
  while the steel decline was due to a five pct fall in domestic
  sales and higher costs associated with the commissioning of new
  plant and some operational difficulties.
      The rise in third quarter minerals net to 95.7 mln dlrs
  from 81.5 mln a year earlier largely reflected the increase in
  ownership of the Mt Newman iron ore project, it said.
      The 60.7 mln dlr extraordinary gain, all in the third term,
  reflected a 240.7 mln profit on the sale of &lt;Blue Circle
  Southern Cement Ltd> offset by a U.S. Oil acreage writedown.
  

