IBM's shares slipped by more than 4 per cent to $83.60 (€71.14) yesterday morning as Wall Street groped after the significance of what appeared to be a group-wide investigation into its accounting practices for recognising certain revenues.
News of the probe, which came after the stock market closed yesterday, reawakened long-simmering questions about Big Blue's accounting policies. The company has been criticised in the past for a lack of transparency in its reporting and its use of one-off gains from asset sales and profits from its pension fund to meet its quarterly earnings targets. - (Financial Times Service)
IAPF elects Ryan as chairman
Mr Gerry Ryan, company secretary of Eircom Ltd, has been elected chairman of the Irish Association of Pension Funds (IAPF). He replaced Mr John Feely, head of strategic development at Abbey National Investment. Mr Joe Byrne, deputy managing director of Coyle Hamilton, has been elected vice-chairman.
Mr Ryan said the association would focus on what he said were key areas: asset and scheme governance, pension coverage, funding, PRSAs and trustee education.
IAPF members pay pensions to nearly 70,000 retired people and are responsible for more than €40 billion in retirement savings.
Food price rises predicted to ease
Food price inflation in the Republic is likely to fall as a result of sterling's weakness, according to IBEC director Mr Ciaran Fitzgerald.
Criticising recent Competition Authority statements supporting an end to the ban on below-cost selling of groceries, Mr Fitzgerald said yesterday that the authority's comments failed to highlight the fact that the biggest price differences between Ireland and the EU were in categories not covered by the ban.
Irish Continental stakeholder sells
Irish Continental's largest shareholder has sold close to 650,000 shares in the group. Fidelity Investments and its subsidiaries now hold an 8.84 per cent stake in the group, down from 11.5 per cent.
Greencore chief exercises rights
Greencore chief executive Mr David Dilger has exercised rights over 50,000 shares in the group following its strong interim results last week.
He paid €1.89 a share in exercising the share options, realising a paper profit of €56,500 at yesterday's closing price of €3.02. Mr Dilger now holds 127,330 shares in the group.
ITouch set to buy Spanish rival
ITouch, the mobile services firm that is 50 per cent owned by Independent News & Media, said yesterday shareholders had passed a resolution to acquire a Spanish rival for a maximum consideration of €60 million. The firm said it would complete the acquisition of Movilisto Group, a provider of mobile applications and services, following the issuing of 74 million new shares to part-finance the deal.
Stewart faces indictment today
Ms Martha Stewart, US home design icon, faces a federal criminal indictment as early as today, following an investigation into alleged insider trading. The move would be a devastating blow to her wholesome reputation. Ms Martha Stewart Living Omnimedia, the company she founded, said yesterday an indictment was expected "in the near future" following the failure of last-ditch efforts by Ms Stewart to persuade prosecutors in Washington to intervene in her case. - (Financial Times Service)
