Link dated today <:)=

Even though most Australian companies are confident of completing Year 2000 compliance programs in time, concerns remain about the performance of trading partners and public utilities, according to a flood of reports filed to the Australian Stock Exchange.

Many companies said they were unable to gain assurances from local utilities about the supply of water, electricity and telecommunications.

"Most companies are now focusing on their contingency plans, which are subject to external, unknown factors, rather than their internal systems," said an ASX spokeswoman.

The third and most likely final round of Y2K reporting came to a close yesterday with 248 of the 1,176 publicly listed companies yet to report their Y2K readiness to the Australian Stock Exchange by 4pm yesterday, although many companies reported much later in the day.

To date, Australian companies have spent $10 billion addressing the Y2K problem, according to an ABS report released in August. A further $2 billion has been spent by the public service, including a $600 million outlay by the Commonwealth, putting the total spend nationally on solving the Y2K problem at $21 billion.

Among those reporting yesterday, Qantas said it might not operate codeshare flights if it was unhappy with a partner airlines' compliance. Contingency routes for "some airspaces" will come into effect two hours before midnight. Qantas will temporarily reduce its scheduled flights to and from Europe, the US, North Asia and New Zealand, but says this is due to lower passenger demand.

The Australian Gas Light Company said its Y2K project would not be complete until March 2000, while pointing to its reliance on the performance of electricity generators and gas producers.

News Corp said it was ready in "substantially all" mission critical systems, but had not completed its program. If News does not complete remediation on time, or a third party has a problem, "we could experience significant difficulty producing and delivering products and services" said the company. Satellite transmission failure could affect its TV business, while a problem with paper supplies or commercial printers could disrupt distribution in its publishing division.

AMP said it was Y2K compliant, but had identified potential risks arising from loss of internal systems, legal liability and weakness in the financial markets arising from public fear. AMP plans to back up all critical computer programs, and will set up a Y2K "Command Centre", with satellite links between Sydney, London and New Zealand set up in December to keep communication open between key stakeholders and suppliers.

Lend Lease Corp said all business critical computer systems and buildings were ready, but identified a minor risk to its income if property tenants were not prepared.

Several public companies said they had spent less than anticipated on Y2K remediation. Amcor's Y2K compliance costs dropped from $17.5 million to $15 million, after finding fewer than expected embedded chips in its plants.

At the same time, several companies have imposed freezes on introducing new technology so near to December 31.

Crown has replaced a surveillance system, and decided not to fly its Gulfstream jet in the days immediately before, and after, December 31.

An ASX spokeswoman said it would be unlikely that companies would have to report again before December 31 on the Y2K issue, but said the ASX had not ruled out requiring companies to report a fourth time.

The spokeswoman said the ASX had already finalised its Y2K plans, which included having generators on hand in case of electricity cuts, and employing a skeleton staff over the period.

-- Sysman (y2kboard@yahoo.com), October 01, 1999

Answers

Humm...

"To date, Australian companies have spent $10 billion addressing the Y2K problem, according to an ABS report released in August. A further $2 billion has been spent by the public service, including a $600 million outlay by the Commonwealth, putting the total spend nationally on solving the Y2K problem at $21 billion."

That makes the estimated $50 billion spent in the U.S. sound kind'a low... for a "non-problem."

"Most companies are now focusing on their contingency plans, which are subject to external, unknown factors, rather than their internal systems," said an ASX spokeswoman.

Yep. Looks like a certain portion of FOF is unavoidable. Now... what percentage is... mission/life-critical?

Diane

-- Diane J. Squire (sacredspaces@yahoo.com), October 01, 1999.

Diane,

Bloomberg reports today that US$1=AUS$1.56. So, AUS$21Billion = US$13.8Billion (in 'real money', as we ugly 'mercans like to say)

So what's the estimate for total US spending? You want to compare it to $13 bill.

Still, computers are stupid and they don't care.

-- Brady (brady@docuscribe.com), October 01, 1999.

It was just announced here in Perth, Western Australia that our city's rail services will be closing down a few hours before midnight and starting up again a few hours later.

Wonder how all those party goers are going to be able to get to and from their destinations?

With the amount of Government and Business agencies that are shutting down for the rollover it sounds like that most of the world for the first time in history will be shut down and stopped.

Regards, Simon

-- Simon Richards (simon@wair.com.au), October 01, 1999.