PRESS DIGEST-New Zealand newspapers - July 1

WELLINGTON, July 1 (Reuters) - Following are some of the lead stories from New Zealand metropolitan newspapers on Wednesday.

Stories may be taken from either the paper or Internet editions of the papers.

Reuters has not verified these stories and does not vouch for their accuracy.

DOMINION POST(www.stuff.co.nz)

Public service job cuts continue: The Treasury is signalling further upheaval in the public service as one of the biggest government agencies is shaken by news of up to 200 job losses.

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Mobile call cuts slow-tracked: Phone users could be forced to wait two more years for cheaper calls to mobiles, despite the Government's enforcer confirming that Telecom and Vodafone have been charging far more than they should.

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Pumpkin Patch buoyant after US closures: Children's clothes retailer Pumpkin Patch's (PPL.NZ) shares bounded up more than 10 per cent to close at a nine-month high of NZ$1.49 yesterday, after it announced plans to close 20 stores in the United States.

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Bond issue aims to raise farms to Kiwi standards: NZ Farming Systems Uruguay (NZS.NZ) has obtained approval for a proposed US$30 million (NZ$46m) bond issue in Uruguay to raise funds for dairy farm development.

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Pacific Blue rejigs flight plan: Pacific Blue (VBA.AX) is expected to announce an expansion of its domestic network soon to replace big cuts to its main trunk schedule. Its new schedule from August 1 shows an 18 per cent cut in the number of domestic services, three weeks after fellow budget airline Jetstar (QAN.AX) replaced Qantas as a competitor.

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NEW ZEALAND HERALD (www.nzherald.co.nz)

NZ apple ban costs NZ$20m a year, says grower: Australia's refusal to allow New Zealand apples across its border is costing New Zealand's pipfruit industry NZ$20 million a year, an industry leader says.