US technology group Avica will create 50 jobs with the opening of a European operations headquarters in Thurles, Co Tipperary.

However, there was bleaker news on the jobs front in Loughrea, Co Galway, where it was announced that the local Krakajack Christmas cracker plant will close with the loss of 35 jobs.

Avica Technology Corporation, which has opened its European operations headquarters in the Tipperary Technology Park run by Shannon Development, provides digital cinema technology and services.

According to Mr Nicholas Clay, chairman and chief executive of Avica, Thurles was chosen due to the availability of a high-skilled, technology-focused workforce and the nearby Tipperary Institute.

Avica's software products have been used for more than 90,000 digital cinema screenings worldwide including recent blockbuster films Shrek 2 and The Day After Tomorrow.

In Loughrea, the incoming owners of the Krakajack Christmas cracker manufacturing plant have announced that it will close with the loss of 35 jobs.

Krakajack has been acquired by British greeting card and staionery group International Greetings for a price of up to £900,000 (€1.37 billion).

The British group hopes the deal will bring it an Irish customer base and entry to the catering market.

The deal will also see it acquire machines for making Christmas crackers.

The group said the purchase should not result in significant additional costs as it plans to combine Krakajack's production line with its own Welsh manufacturing plant.

The Krakajack purchase is expected to add £2 million to International Greeting's sales this year.

International Greetings will make an initial cash payment of £400,000 and will pay an estimated £500,000 in deferred payments.