IN BRIEF (Page 16)

King keeps crown

Mervyn King (above) was appointed to serve a second term as governor of the Bank of England, overcoming criticism that his delay in responding to a global surge in credit costs helped trigger the first UK bank run in a century.

Prime Minister Gordon Brown said King will serve another five-year term beginning when his current contract expires in June.

Giant utility fined

E.ON AG, Europe's largest energy utility, was fined 38 million euros by European Union regulators for obstructing an antitrust probe.

The case stems from charges that E.ON's Energie unit broke a seal placed by regulators during a dawn raid in May 2006. The penalty is the first time the European Commission fined a company for tampering with the seals or hiding evidence.

Boeing boosted

Boeing Co, the world's second- biggest commercial-airplane maker, said fourth-quarter earnings rose 4.5 percent as the company boosted production to deliver nine more jetliners than a year earlier. The company raised its 2008 profit outlook.

Net income increased to $1.03 billion, or $1.36 a share, from $989 million, or $1.29, a year earlier. Sales were little changed at $17.5 billion, the Chicago-based company said yesterday.

Loss delivered

United Parcel Service Inc, the world's largest package-delivery company, reported a $2.58 billion loss for the fourth quarter on costs to exit a pension plan.

The net loss was $2.46 a share, the Atlanta-based company said yesterday in a statement distributed by Business Wire. The year- earlier profit was $1.13 billion, or $1.04.

Drugmaker down

Merck & Co, the third-largest US drugmaker, reported a fourth-quarter loss after taking a $4.85 billion charge to settle lawsuits over its painkiller Vioxx.

The drugmaker said it lost $1.6 billion, or 75 cents a share, compared with net income of $473.9 million, or 22 cents, a year earlier. Excluding the Vioxx settlement and restructuring charges, Merck had a profit of 80 cents.

Rio rises

Rio Tinto Group, the world's third-largest mining company, rose in London trading on speculation it agreed to "open its books" to suitor BHP Billiton Ltd.

"We are hearing BHP have reached an agreement to open books of Rio at 3.5 shares to 1 Rio" share, MF Global's trading desk wrote yesterday in an e-mail to clients. Rio gained as much as 220 pence, or 4.7 percent, to 4,890 pence and traded at 4,768 pence by 10:23 am in London.

Kodak climbs

Eastman Kodak Co, the photography company recasting itself in the digital age, said fourth-quarter earnings rose 13-fold on sales of electronic cameras and inkjet printers.

Net income climbed to $215 million, or 71 cents a share, from $16 million, or 6 cents, a year earlier, the Rochester, New York-based company said yesterday.

Munich increases

Munich Re, the world's second-biggest reinsurer, said profit rose 11 percent to a record in 2007 on the absence of costly hurricanes and a tax gain, allowing it to raise its dividend.

Full-year net income before minority interests rose to 3.9 billion euros ($5.8 billion) from 3.5 billion euros in 2006, Munich Re said yesterday in a statement.

Agencies

(China Daily 01/31/2008 page16)