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

Australia cuts rate to free cash flow

Australia's central bank jolted markets across the Asia-Pacific region yesterday when it unexpectedly cut its benchmark rate by a full percentage point, and raised investors' hopes that other governments could follow soon.

The severity of the Reserve Bank of Australia's cut, which took its cash rate to 6 per cent, surprised economists who had widely predicted a reduction of 25 or 50 basis points.

Glenn Stevens, RBA governor, said: "Conditions in international financial markets took a significant turn for the worse in September" and the size of the cut was appropriate to "bring about a significant reduction in costs to borrowers".

Regional markets, many of which had fallen sharply during Monday's global sell-off, rebounded on the cut. Australia's index ended up 1.7 per cent after falling to a three-year low on Monday.

Rory Robertson, interest rate strategist at Macquarie, said the reason the RBA had begun to cut aggressively was that it had become more worried about the risk of unemployment and recession than about excessive inflation. - (Financial Times)

Survival package agreed to safeguard building firm Supple

The future of one of the country's major construction companies has been safeguarded following the negotiation of a survival package with creditors.

Cork-based John F Supple Ltd has been hit hard by the downturn in the Irish construction industry and the global financial crisis.

However, the company's creditors yesterday overwhelming endorsed a financial restructuring package in a deal that will secure the future of the company.

Supple has been involved in discussions with their creditors and suppliers for the past month in an effort to reach agreement on a restructuring deal. Under the survival package agreed, creditors will be offered 75 cent in the euro over a phased basis. Supple is one of the biggest construction firms in the State.

Island Oil Gas report profit

Off-shore gas producer Island Oil Gas reported a full-year profit following the sale of its wholly owned Island Netherlands BV subsidiary.

Net income for the year ending July 31st was £12.4m (€15.9m) compared with a loss of £5 million pounds the year earlier. The decision by Marathon Oil to sell assets off the Irish coast "creates an opportunity for Island to monetize its undeveloped Celtic Sea gas fields and Atlantic Margin gas prospects," said chief executive Paul Griffiths.