AUSTRALIAN INFRASTRUCTURE GROUP               1998-08-11  ASX-SIGNAL-G

HOMEX - Melbourne

+++++++++++++++++++++++++
Hastings Funds Management Limited (Hastings) as manager of the
Australian Infrastructure Fund (AIF) is pleased to announce that AIF
has acquired a 19% interest in CGEA Transport Sydney Pty Ltd which
today has successfully acquired the Sydney Monorail from TNT
Australia. CGEA Transport Sydney Pty Ltd is 51% owned by the leading
European public transport operator, CGEA Transport. The other
shareholders of CGEA Transport Sydney Pty Ltd include institutional
infrastructure investors the Utilities Trust of Australia (19%) and
Legal & General Financial Services Limited (11%).

CGEA Transport will also take over the operation of the Sydney Light
Rail (SLR) from TNT from today. Existing shareholding arrangements of
SLR remain unchanged with AIF retaining its 39% interest with the
Utilities Trust of Australia (39%) and Legal & General Financial
Services Limited (22%).

As a result of these changes, CGEA Transport will be able to
integrate the operation, management, administration, marketing,
maintenance and ticketing of these two public transport services in
Sydney, which will result in improved service and substantial cost
savings to both the Sydney Light Rail and Sydney Monorail businesses.

Michael Fitzpatrick Managing Director of Hastings said that Hastings,
is extremely pleased that AIF has been able to extend its interests
in Sydney public transport infrastructure. 'We have been working with
Sydney Light Rail for more than six months to improve its operational
and financial performance. We have now been able to introduce CGEA
Transport, an experienced and substantial overseas operator, and
lower the company's operating cost base through the integration of
The Sydney Light Rail and Sydney Monorail'.

For more information refer attached media release issued by CGEA
Transport Sydney Pty Ltd.

Questions in relation to this release should be directed to Hastings
Funds Management Limited:

M Fitzpatrick
MANAGING DIRECTOR
03 9654 4477



Leading European public transport operator CGEA Transport is set to
play a major role in the operation of two of Sydney's best known
transport systems.

The group confirmed that it has finalised negotiations to assume the
operation of the Sydney Monorail and Sydney Light Rail public
Transport services from today.

French based CGEA Transport is Europe's leading private operator of
public transport services and operates public transport systems in
France, the UK, Portugal, Germany, The Netherlands and Scandinavia.
The group operates transport services for more than 600 million
passengers per annum.

Mr Claude Sauvage, the Managing Director of CGEA Transport Asia
Pacific, said that the company in joint venture with institutional
infrastructure investors, Utilities Trust of Australia, Australian
Infrastructure Fund and Legal & General Financial Services Limited
(who together own 100% of the Sydney Light Rail) have completed the
acquisition of the Sydney Monorail from TNT CGEA Transport will also
take over the operation of the Sydney Light Rail from TNT who has
operated the system since the light rail commenced operation in
September last year.

Mr Sauvage said That CGEA planned to bring the management and
operation of the two services together under one banner, and to
progress the extension of the Sydney Light Rail in partnership with
the NSW Department of Transport.

'We are pleased to have the opportunity to bring our worldwide
expertise and experience to Sydney' Mr Sauvage said.

Mr Sauvage said that CGEA Transport has a strong commitment to
development in the Asia Pacific region. The move into Sydney follows
the recent establishment of a joint venture to operate Transport
networks within the Fort Bonifacio development in Manilla, and the
award of a contract by the Western Australian Government to operate
bus services in Perth.

For more information contact

C Sauvage                              P Espie
CGEA TRANSPORT SYDNEY                  PACIFIC ROAD CORPORATE FINANCE
(08) 8232 3622                        (02) 9241 1000
0417 807 316