Morning business round-up: Barclays boss quits


What made the business news in Asia and Europe this morning? Here's our daily business round-up:

The move comes less than a week after the bank was fined for trying to manipulate inter-bank lending rates, sparking a government inquiry and calls for criminal investigations.

Mr Diamond said he was stepping down because the external pressure on the bank risked "damaging the franchise".

Chairman Marcus Agius, who had announced his own resignation on Monday, will now take over the running of Barclays until a replacement is found.

The Labour Ministry said the number of people filing for unemployment benefits fell by 98,853, or 2.1%, compared with the previous month.

June is generally a good month for employment as it marks the beginning of the tourist season.

Despite the fall, the unemployment rate in Spain is still the highest in the eurozone.

Microsoft bought Aquantive for $6.3bn in cash in an attempt to catch rival Google in the race to increase revenues from search-related advertising.

The writedown effectively wipes out the acquisition's value, although there was little impact on Microsoft's shares in after-hours trading on Monday.

China's services sector, which includes construction, picked up pace in June, helping allay some fears of a sharp slowdown in its economy.

The non-manufacturing purchasing managers index (PMI) rose to 56.7 in June from 55.2 in May.

This comes just days after data showed that PMI for China's manufacturing sector fell to a seven-month low during June.

Media caption,
Biz Heads

Micron Technology has agreed to buy embattled Japanese chipmaker Elpida in a deal worth 200bn yen ($2.5bn).

Once completed, the deal will see Micron become the world's second-largest maker of dynamic random access memory (DRAM) chips.

These chips are key components of personal computers.

Elpida had filed for bankruptcy protection in February after being unable to repay debts of 448bn yen.

The deal could boost refining capacity in the country by 180,000 barrels a day, with two of the refineries due for completion this year.

Nigeria is Africa's biggest oil producer but its refineries are only able to refine a fraction of this into fuel.

In the list, 14 projects from the US were featured as being leaders in the area, including the redeveloped site of the World Trade Center.

Asia-Pacific countries accounted for 20 entries, while the UK had seven.

Renesas Electronics, the world's fifth biggest chipmaker, has announced a restructuring plan that will lead to at least 5,000 job cuts.

It is getting rid of half its 19 plants and cutting 12% of its workforce.

The plan is part of an agreement to get financial help from creditor banks and its three top shareholders: NEC, Hitachi and Mitsubishi Electric.

Finally, Australian regulators have launched an investigation into the withdrawn offer for the country's second biggest department store chain, David Jones.

The company's shares rose by as much as 19% on Friday after it announced a 1.65bn Australian dollar ($1.69bn; £1.08bn) takeover offer.

The bid came from little-known British group, EB Private Equity (EBPE).

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