In Short

A round-up of today's other business stories

Aston Villa confirms approach

Aston Villa, one of the oldest clubs in English football, confirmed yesterday it had received an approach from a consortium believed to involve several Irish businessmen. However it described the approach as "speculative at this stage".

In a statement to the London Stock Exchange, the club's directors said the approach was made by Michael Neville, who is the chairman of exploration company Minmet.

Mr Neville, said to be a lifelong Villa fan, was acting for Irish-born brothers Luke and Brian Comer who made millions in property. It is likely the club's chairman Doug Ellis and another substantial shareholder Jack Petchey will meet the Neville-led group this week.

State criticised for ESB dividend

The employer's group Ibec has blamed the Government's practice of taking large dividends from the ESB for high electricity prices.

The director of enterprise at IBEC, Brendan Butler said electricity prices were unnecessarily high because the Government was "pulling money out of the ESB each year through its dividend while at the same time failing to reinvest in the electricity system".

"Since 2002 the Government have received €184 million in dividends from the ESB . . . Every €20 million taken by the Government represents a 1 per cent increase in electricity prices for all consumers and if these funds had been reinvested in the electricity system they would represent a 9 per cent reduction in electricity costs," claimed Mr Butler.

Earnings rise 11% at Kellogg

Kellogg Co, the world's largest maker of breakfast cereal, yesterday reported an 11 per cent increase in quarterly earnings on strong sales of new products like yogurt-flavoured Special K cereal and a lower tax rate.

But profit from operations rose only 2 per cent, hit by the upfront expenses for cost-reduction programmes, fuel and employee benefit costs and competitive pressures in some markets. - (Reuters)