Business News

Reuters Business News Highlights

WASHINGTON - Liggett Group and five states suing the tobacco industry to recoup health care costs of smokers reached a multi-million dollar settlement, representatives of both groups said.

Under terms of the settlement, Liggett will make an immediate cash payment to the states and continue to pay a share of its income for the next 24 years, while the states will drop Liggett as a defendant in the lawsuit.

WASHINGTON - Industrial production rebounded sharply in February after a storm-weakened January, and consumers grew more optimistic in March, economic reports said, dashing any lingering hopes of more interest rate cuts soon.

The Labour Department said consumer prices rose a modest 0.2 percent last month, suggesting that inflation remains well in check.

NEW YORK - Blue-chip stocks closed one of the most active sessions ever with small losses on trading that was largely linked to the triple witching expiration of futures, index futures and stock options.

The Dow Jones industrial average closed 1.09 points lower at 5,584.97 after bouncing back from an early morning loss of 35 points. For the week, the Dow was up 114.52 points.

The dollar ended higher against the German mark and Japanese yen Friday after seesawing on fresh economic reports and rumours related to tensions between China and Taiwan.

AMSTERDAM - Dutch aviation pioneer Fokker NV crashed into bankruptcy, triggering the worst mass redundancy in the country's corporate history.

The crippled regional jet maker announced at a sombre news conference at Amsterdam's Schiphol airport that it had lost a desperate struggle to find a buyer, and declared bankruptcy at its three core units under creditor protection.