IN BRIEF (Page 15)

Banking unit bought

Standard Chartered Plc, the UK bank that makes most of its money in Asia, agreed to buy the banking unit of American Express Co for about $860 million.

Standard Chartered will pay cash equal to the net asset value of American Express Bank Ltd. at completion plus $300 million, the London-based bank said in a Regulatory News Service statement yesterday. New York-based American Express is the third-largest credit card network.

'Crisis not over'

Deutsche Bank AG Chief Executive Officer Josef Ackermann (above) said the financial market crisis isn't over yet as banks around the world still struggle to secure funding.

"It wouldn't be honest to say that we're all in the clear," Ackermann said in an interview on the German-language television station 3Sat. It remains "relatively difficult" and expensive for banks to get three- to sixth-month funding even as central bank intervention has made short-term financing "relatively easy" to obtain, he said.

Bloomsbury slides

Bloomsbury Publishing Plc, the UK publisher of the Harry Potter novels, said first-half profit dropped on higher tax charges and investment costs as the company prepared for the end of the boy wizard saga.

Net income declined to 2.58 million pounds from 2.98 million pounds a year earlier, London-based Bloomsbury said yesterday in a statement. Revenue climbed 36 percent to 51.4 million pounds. Gross profit, or revenue minus cost of sales, increased 17 percent to 21.8 million pounds.

Bonuses may drop

Bonuses in London's banking industry may drop more than 15 percent this year as rising borrowing costs paralyze leveraged buyouts and mergers, the Centre for Economics and Business Research said.

The total value of payouts may drop to 7.5 billion pounds from a record 8.8 billion pounds in 2006, said Jonathan Said, an economist at the 15-year-old, London-based consulting firm.

Wheat rises

US wheat prices surged on Monday (local time) amid expectations that Australia, a major exporter, will scale down forecasts for the size of its weather-damaged crop and after Pakistan announced plans to import 1 million tons.

European wheat futures rose in tandem, but were unable to hold the gains amid profit-taking, and with traders having already factored in tight global supplies into the market.

SEC probe

The US Securities and Exchange Commission is examining hedge funds for signs of insider trading, demanding information about relationships between managers, employees, family members and public companies.

SEC officials told hedge funds to list clients and workers who serve as officers or directors of publicly traded companies, along with the names of any relatives who hold such posts, according to a 27-page letter to industry executives obtained by Bloomberg News. The SEC confirmed its authenticity.

Retailer down

Best Buy Co, the largest consumer-electronics retailer, said profit unexpectedly increased on back-to-school shopping and the merchant raised its annual earnings forecast. The shares gained 5.3 percent.

Net income rose to $250 million, or 55 cents a share, for the second quarter ended September 1, from $230 million, or 47 cents, a year earlier, Richfield, Minnesota-based Best Buy said yesterday.

Agencies-Bloomberg News

(China Daily 09/19/2007 page15)