More business news in brief.

Oil prices fall in wake of weak Gustav

Oil prices fell sharply yesterday as hurricane Gustav made a smaller impact on the energy-rich US Gulf of Mexico than expected, with traders betting that damage to oil production and refining would be limited and shortlived.

Gustav was downgraded from category three to two - the second weakest of five levels of hurricane strength - and then to category one as it moved inland towards the state of Louisiana.

Nymex October West Texas Intermediate was $4.29 lower at $111.17 a barrel by midday in New York. Earlier, it hit $110.60 a barrel, the lowest level since early May, and down almost 25 per cent from a record of $147.27 a barrel set in early July. ICE October Brent fell $3.92 to $110.13 a barrel.

Trading volumes across all commodity markets were extremely low, with floor trading in US markets closed for the Labor Day holiday. Crude oil volume in electronic trading was less than a quarter of a regular day. - (Financial Times service)

Hilton pulling out of Limerick

The Hilton Hotel group is pulling out of Limerick less than 18 months after arriving in the city. The group, which has been managing the former Jurys and Strand hotels located on the Ennis Road, has reached an agreement to hand back management of the hotel from next week.

According to a statement issued yesterday, businessman John Lally of Lalco, owner of Limerick's Hilton Hotel, has come to a mutual agreement with Hilton Hotels to take over the management of the hotel and rebrand it the Strand Hotel.

The Hilton logo will be removed from the landmark location and the Strand will be running the hotel from September 9th.

Employees were informed of the transition over the weekend and they have been told that no jobs will be lost.

Mr Lally purchased the former Jurys Hotel in Limerick in 2004 and continued to operate the hotel as a going concern under the Strand Hotel name until redevelopment began in August 2005. The current Hilton Hotel opened its doors in May 2007.

Microsoft cuts Xbox price in Japan

Microsoft slashed the price of its Xbox 360 games console in Japan yesterday, in a move that could be followed in the US.

The entry-level Xbox 360 Arcade will now cost Y19,800 (€125), down from Y27,800.

At $279.99 (€191.70), the same model still sells for almost $100 more in Microsoft's home market.

This is expected to put pressure on the firm to cut its US prices before Christmas to avoid complaints about the big price gap.

- (Financial Times service)

Gilchrist quits Kenmare Resources

Dr Chris Gilchrist has resigned as chief operating officer of Kenmare Resources for personal reasons, the company said yesterday.

Director Terence Fitzpatrick will take over the role in an acting capacity.

French growth forecast cut

The French prime minister yesterday slashed France's growth forecast for 2008, pointing to a "very, very serious global economic slowdown". François Fillon said he expected the economy to expand by a "little more than 1 per cent", whereas the government had been predicting growth of between 1.7 and 2 per cent.

The downturn threatens to derail Nicolas Sarkozy's reform plans despite his promises to step up economic modernisation measures as the best response to weaker growth.

- (Financial Times service)