A round-up of today's business news in brief

Bank of America to defer bonuses

BANK OF America is planning to defer bonus payments to some investment banking staff this year, a move certain to inflame tensions between its employees and officials of newly acquired Merrill Lynch, executives familiar with the matter say.

Andrew Cuomo, New York attorney-general, is investigating Merrill’s decision to accelerate the payment of nearly $4 billion in bonuses –mostly in cash – to its employees, just days before the closing of its sale to the bank on January 1st.

As that inquiry proceeds, the bank was expected to tell staff at its capital markets and investment banking units today that it would be deferring payment of 2008 bonuses of $50,000 or more, according to executives familiar with the decision.

BofA employees, who would normally receive their 2008 bonuses in February, will have to wait until February 2010 before getting one-third of their 2008 sum, the executives said. The remaining thirds will be paid out in 2011 and then 2012.

Britvic warns shareholders

UK SOFT drinks group Britvic yesterday warned shareholders that trading at its Irish subsidiary, whose brands include Club and Ballygowan, would be “extremely challenging” for the “foreseeable future”.

The comments were made yesterday by chairman Gerald Corbett at its annual general meeting.

He said Britvic Ireland generated revenues of £49.9 million in the three months to the end of December 2008, a year-on-year decline of 2.9 per cent.

Report on DCC insider dealing

THE INSPECTOR appointed to investigate unlawful insider dealing by DCC plc and its former chief executive Jim Flavin relating to the €106 million sale of the DCC stake in Fyffes in February 2000 has presented an interim report to the High Court.

Receiving the report yesterday, Mr Justice Peter Kelly noted the inspector, Bill Shipsey SC, had said it was fair to note the inspector had said he is receiving the “utmost co-operation” and assistance from DCC in his investigations.

Jim Breslin, for the inspector, said this interim report was very much a progress report. The inspector would report back to the court again in late July and hoped to deliver his final report before the end of this year.

Kentz reports solid performance

IRISH-MALAYSIAN engineering and instrumentation group Kentz expects to beat market analysts’ predictions that would make profits of between $38 million and $38.5 million in 2008. The company released a trading statement yesterday saying that it had a solid performance last year.

Market commentators expected it to have profits of between $38 million and $38.5 million, and to hit earnings per share of 25 cent.