In Short

A round-up of today's other stories in brief

Merck will not cut jobs at Irish plant

Merck Sharp & Dohme Ireland has said it will not be cutting jobs as part of its parent company's worldwide restructuring.

US parent Merck & Co announced yesterday it is to get rid of 7,000 jobs, or 11 per cent of its workforce, by the end of 2008 in a global restructuring exercise aimed at cutting costs.

The company is also closing 16 per cent of its production facilities in a move designed to yield cumulative pretax savings of $3.5-$4 billion (€2.95-€3.37 billion) between 2006 and 2010. About half the jobs that are to go are in the US.

Tony Musiol, plant manager with the Merck Sharp & Dohme plant in Ballydine, Co Tipperary, said it will not be affected by the announcement. The facility has been in operation since 1976 and has more than 400 employees.

Ahold to pay $1.1bn in class action suit

Ahold yesterday settled a class action claim for $1.1 billion (€928 million), nearly three years after an accounting scandal took the world's fourth-largest food retailer near to bankruptcy.

But US shareholders said they will press on with claims for $2-$3 billion against Deloitte, the Dutch group's auditor.

Lawyers said the settlement was the biggest involving a European company, and the fifth-largest on record. - (Financial Times service)

B of I markets unit to expand globally

Bank of Ireland's global markets division announced international expansion plans yesterday in a bid to double its profits over five years and see one-fifth of revenues come from new income streams.

The bank has opened a new London treasury operation, while it has expanded its team in the US with the recruitment of staff from American Express.

HSBC chairman to retire next year

HSBC yesterday announced its executive chairman, Sir John Bond, is to retire next year.

The world's third largest bank said Stephen Green, chief executive, would become chairman and Michael Geoghegan, head of HSBC UK, would become chief executive of the bank. - (Financial Times service)

Opec to increase oil inventories

The Organisation of the Petroleum Exporting Countries (Opec), the oil cartel that controls 40 per cent of world supply, yesterday promised to increase supply, despite the $13 (€11) drop in oil prices in the past month.

Opec will increase inventories in large consuming countries to 56 days of forward demand cover. Current levels are at about 52 days. - (Financial Times service)