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Business and City Summary

Friday 02 July 1993 23:02 BST
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Greencore report passed to London

The Irish Stock Exchange has passed its report on the Greencore placing debacle to its parent exchange in London, where a spokeswoman said the professional standards panel would decide whether a disciplinary hearing was necessary.

The Irish Attorney-General, in a separate report, is understood to have raised questions about the role of J & E Davy, the Dublin stockbroker that completed the placing of the Irish government's 30 per cent stake in the foods group.

US cautious on G7

The United States expects no breakthrough on world trade talks at the Group of Seven summit in Tokyo. The US Secretary of State, Warren Christopher said: 'I would not expect great breakthroughs on that subject at this summit.' President Clinton had said earlier he wanted to get a G7 commitment to complete the Uruguay Round of the talks under the General Agreement on Tariffs and Trade by the year's end.

Swan Hunter lifeline

Swan Hunter, the Tyneside shipyard, has been given a lifeline with a deal to complete work on three Royal Navy frigates. The contract will safeguard 1,700 jobs for the immediate future and put the yard in a strong position to win an export order from Oman.

Lautro warning

Insurance companies have been warned by their regulator, Lautro, not to mislead people about the benefits of 'staggered vesting' schemes. These arrange for pensions to be cashed in gradually with the aim of improving annual income. Lautro says the risks and expenses must be made clear.

Fisons sale

Fisons is selling its Australian consumer health business to Parke Davis, a 100 per cent-owned unit of Warner-Lambert, for Adollars 34m cash.

RMC merger

RMC, the concrete group, is merging its German lime and limestone operations with the French and Czech activities of Lhoist, a Belgian group. The combined operations, with assets of about pounds 180m, produce 3.3 million tonnes of lime a year.

Great Portland buys

Great Portland Estates has acquired the Union Square Shopping Centre, Torquay, and Avco House in central Reading for pounds 12m and pounds 4.25m cash respectively.

Racal benefits

Two Racal companies will benefit from the recently announced British Aerospace contract to supply 48 Tornados under the Saudi Arabian Al Yamamah II programme. Racal Radar Defence Systems will provide an electronic system under a sub-contract from Marconi Defence Systems. Racal Avionics will supply navigation equipment in an order from Panavia.

Fimbra suspension

Fimbra, the financial advisers' regulatory body, has suspended the business of John Anthony Atkins in West Sussex.

World Markets

New York: The growth in unemployment and fears of oil oversupply drove stock sharply lower, with the Dow Jones Average closing 26.57 points down at 3,483.97.

Tokyo: Profit-taking amid worries over the latest bribery allegations sent the Nikkei average down 303.15 points to 19,621.46.

Hong Kong: After plunging 70 points in the morning in reaction to Chris Patten's remarks in London, the Hang Seng index recovered to end 12.55 higher at 7,271.93.

Sydney: With sentiment boosted by the rise in the New York gold price, the All Ordinaries index recorded its fourth consecutive gain, 13.6 points to 1,768.9.

Johannesburg: Gold shares soared to sharply better levels but late selling took them off their highs. The overall index added 47 to 4,146.

Frankfurt: The view that there will be no more Bundesbank interest rate cuts for some time dissipated early gains, leaving the DAX index 8.82 weaker at 1,697.81.

Paris: The CAC-40 index continued to slide, retreating another 19 points to close at 1,941.15.

Milan: Blue chips were mixed in cautious trading. The MIB firmed 0.68 per cent to 1,188.

London: Report, page 21.

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