Today's other stories in brief
Experian's revenues up for second quarter
Credit information firm Experian said revenues grew slightly in the three months to June, as acquisitions and cuts that have claimed more than 800 jobs helped it beat market forecasts of a drop in sales. The Dublin-based group, best known for running credit checks for banks and other lenders, said in May that current pressures, weakness in its core US and UK financial markets and a tough comparison meant revenues would be "flat to slightly down" in the first quarter of its financial year. Organic growth for continuing activities, however, rose 1 per cent in the quarter, as Experian's core credit services unit deteriorated in line with expectations. Including the impact of recent deals, revenues grew 16 per cent. - (Bloomberg)
Freddie Mac and Fannie Mae under pressure in frantic trading
Shares in Freddie Mac and Fannie Mae plunged in frantic trading yesterday as leading US regulators insisted that the two giant government-sponsored mortgage financiers remained on a solid footing. By noon in New York, shares in Freddie were down 21.8 per cent and Fannie's were off 11.4 per cent - hitting their lowest levels since 1991. Other prominent players in the market, including Lehman Brothers, also suffered steep falls but the overall stock market climbed higher.
Fannie and Freddie account for nearly three-quarters of the US mortgage market, and their difficulties add to worries about the US economy. Many investors assume the US government would have to take action to prevent a collapse of Fannie and Freddie, potentially at a big cost to taxpayers. Speaking before the House financial services committee yesterday, Hank Paulson, US treasury secretary, and Ben Bernanke, Federal Reserve chairman, sought to calm the markets. - (Financial Times service)
Ericsson AB wins Vodafone order
Ericsson AB, the world's largest maker of wireless networks, won an order from mobile-phone company Vodafone Group Plc to upgrade and expand the operator's network in Ireland. Ericsson will "upgrade and expand network capacity, enable real-time charging and underpin demanding multimedia functionality," Stockholm-based Ericsson said.
Cruise 118 to invest £400,000 in NI
Cruise company Cruise 118 is to invest £400,000 in Northern Ireland to create a home working division and sales facility.
The company was set up earlier this year by two senior directors from one of the UK's leading tour operators. It wants to become a leading provider of luxury cruise holidays to customers in Ireland and the UK.
The firm plans to create work-from-home opportunities for travel sales and customer service staff in Northern Ireland. It hopes to deliver over £650,000 in wages and salaries over the next two years.
Invest NI has offered £92,000 of support towards the project.
Oil prices surge above $141 a barrel
Oil prices jumped nearly $6 to above $141 a barrel yesterday amid threats to production in Nigeria and Brazil and an additional missile test by Iran that escalated tensions with the West. - (Bloomberg)
Shares in EcoSecurities fall to record low
EcoSecurities, the Dublin-based greenhouse-gas credit developer, fell to a record low in London trading as regulators increased scrutiny of projects that generate the allowances. EcoSecurities lost 5 pence, or 6.4 per cent, to 73 pence, the lowest close since the shares began trading in December 2005.
The stock has fallen 53 per cent this year as the Clean Development Mechanism Executive Board, regulator of the United Nations emissions programme, has stepped up scrutiny of projects.
The market shouldn't expect the company to make a profit in 2008, EcoSecurities's chief financial officer James Thompson said in a statement. - (Bloomberg)
