Irish Trade Surplus Improves; BP Settles Claim with MOEX

Arthi Gupta
20 May, 2011
New York City

The UK indexes rose after Irish trade surplus improved in March. MOEX agreed to pay $1.07 billion to BP on Deepwater Horizon oil spill. Mitchells & Butlers first-half revenue declined 9%.

[R]4:00 PM London – The UK indexes rose after Irish trade surplus improved in March. MOEX agreed to pay $1.07 billion to BP on Deepwater Horizon oil spill. Mitchells & Butlers first-half revenue declined 9%.[/R]

In London, FTSE 100 Index declined 11.22 or 0.19% to 5,945.57 and the pound edged lower to close at $1.6192.

MOEX Settles Claims with BP

BP plc announced a deal with MOEX Offshore 2007 LLC and its affiliates to settle all claims between the companies related to the Deepwater Horizon oil spill in the Gulf of Mexico in 2010.

Under the settlement deal, MOEX USA Corp., the parent company of MOEX Offshore, will pay $1.07 billion to BP. MOEX had a 10% interest in the Macondo well.

The British oil giant, in turn, will immediately transfer the payment to the $20 billion trust it established to fund individual, business and government claims, as well as the cost of the natural resource damages.

Irish Trade Surplus Improves

Ireland''s trade surplus increased a seasonally-adjusted 3% on a monthly basis to €3.93 billion in March, data released by the Central Statistics Office showed.

Exports declined a seasonally adjusted 6% percent on a monthly basis to €7.58 billion in March, while imports dropped 14% to €3.65 billion.

Gainers & Losers

HMV Group plc surged 10.44% to 11 pence after the entertainment retailer conditionally agreed to sell Waterstone''s bookstore business to A&NN Capital Fund Management Ltd. for £53 million on a cash-free, debt-free basis, subject to certain closing adjustments.

Mitchells & Butlers plc plunged 5.44% to 318.10 pence after the pub operator first-half revenues declined 9% to £946 million from £1.04 billion a year ago. Pre-tax profit for the period fell 40.3% to £43 million from £72 million last year largely a result of one-time charges, which included 13 million pounds due to curtailment of a pension scheme.

Royal Dutch Shell plc dipped 0.51% to 2,154.50 pence after the independent oil and gas explorer announced that it has taken the final investment decision on the Prelude Floating Liquefied Natural Gas in Australia. Shell said that its upstream investment in Australia should reach some $30 billion over next five years.

Scottish & Southern Energy Plc rose 1.81% to 1,351.00 pence after the gas and electricity provider reported fiscal year 2011 revenues grew 31.5% to £28.33 billion from £21.55 billion in the previous year. Profit before tax increased 28.7% to £2.11 billion from £1.64 billion in the previous year.

Umeco plc dropped 0.28% to 495 pence after the aerospace parts supplier announced the divestment of Pattonair, Umeco''s Supply Chain business, for an enterprise value of about £145.8 million.