The Hon. MATTHEW MASON-COX: My question without notice is directed to the Treasurer. Given that just last week Moody's further downgraded Reliance Rail's credit status to below junk status on the back of concerns of a potential funding gap, what is your Government doing to protect the State's interest in its contract with Reliance Rail? What is the impact of this on the State's balance sheet? As Treasurer, will you rule out any potential liability to the State?

The Hon. ERIC ROOZENDAAL: Full points to the member for maintaining a consistent effort of always trying to talk down the State and talk down the economy.

The Hon. Matthew Mason-Cox: Let's not debate the question, Eric. Give us a clear and direct answer.

The Hon. ERIC ROOZENDAAL: All right, here comes your answer, so sit there. This is another lotteries moment for the honourable member. I am advised that New South Wales Treasury and RailCorp are in regular dialogue with Reliance Rail and along with TCorp are monitoring a range of financial issues related to the rolling stock project. I have made arrangements to meet with Reliance Rail, which has obligations under its contract and the Government expects these to be met without any financial implications to New South Wales taxpayers. I am advised that under the financial arrangements Reliance Rail negotiated with its bankers during a competitive bidding process for delivery of the project, financing must be provided until the switch date. I am advised that despite the global financial crisis, a switch date has not occurred.

I am advised further that Reliance Rail currently is in a stronger financial position. The Government remains focused on the successful delivery of safe, reliable, state-of-the-art Waratah trains. Any announcements by EDI Downer or Reliance Rail about the delivery of the Waratah trains project will have no financial impact on the State budget. I am advised further that ratings agency Moody's recent re-rating of Reliance Rail will have no impact on the manufacture or delivery of the Waratah trains and no financial impact on the State budget. Should the member have any further questions, I suggest he direct those to the Minister for Transport.