AUDITOR RESIGNS AT RIVERDEEP - The Irish Independent reports that Ernst & Young has resigned as auditor to a number of Riverdeep subsidiaries, claiming the educational software company incorrectly stated its financial position.
Riverdeep confirmed the resignation of its auditor, and also confirmed it has made an adjustment to its accounts for the first nine months of 2006.
The article said Ernst & Young informed Riverdeep of its intention to resign as auditor in a letter dated January 31, 2007, a copy of which has been seen by the paper.
The paper said that Riverdeep described the adjustment it made to its accounts as "immaterial".
It said: "The matter referred to in Ernst & Young's letter arose from the treatment of an ongoing contract with a long-standing customer of Riverdeep.
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NON EXECS EARN THIER KEEP - The Guardian reports that a major shareholder group has produced evidence that non-executive directors are more than "the decorations on the Christmas tree" as the late Tiny Rowland of Lonrho famously described them.
Not all are convinced, the paper said Sir Ken Morrison, of the Morrison supermarket chain, once claimed he would rather have a couple of extra checkout operators than a non-executive in the boardroom and ITV chairman Michael Grade once likened them to bidets: 'You're not sure what they're for, but they add a touch of class', he said.
The Association of British Insurers' research found that the share prices of companies that repeatedly committed serious breaches of the City's Combined Code of corporate governance underperformed their sector, particularly when their boards were populated only by executive rather than non-executive directors.
'Our study points to a strong link between governance standards and share price performance. It shows that persistent imbalance in board composition tends to go hand-in-hand with a reduced ability to create value,' an ABI spokesman was quoted as saying.
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AER LINGUS MAY USE BELFAST AS NEW BASE - The Irish Times reports that Aer Lingus is considering using Belfast as a new base from which to launch short-haul services.
The paper says the city is believed to be one of five in the UK under consideration as a new hub for the low-fares airline, which currently has planes based in Dublin and Cork.
A decision is likely to be made within three months, and services could begin next January.
The article says whichever base is chosen, Aer Lingus plans to open routes to the UK and continental Europe. Any new services would typically be of more than two hours' duration.
The paper quoted informed sources as saying Aer Lingus was considering both Belfast International Airport and George Best Belfast City Airport, which is owned by Ferrovial of Spain.
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TALKS AIM TO SAVE ERIN JOBS - The Irish Examiner reports that an intensive lobbying campaign is under way to ensure that the Erin Foods plant in Thurles, Co Tipperary, is sold as a going concern.
Premier Foods, owners of the plant, has confirmed it will dispose of the Erin brand to address Competition Authority's concerns that its acquisition of British rival RHM would lead to a substantial lessening of competition in relation to gravy makers in the Irish market.
The paper said that Tipperary North TD Michael Lowry, who had arranged a meeting between senior management of Premier Foods and Oireachtas members from the constituency, said afterwards the discussions had been useful.
He said the need to ensure that Erin Foods is sold as a complete and entire package including particular franchises was conveyed to the management.
Mr Lowry said the need to ensure that Erin Foods is sold as a complete and entire package including particular franchises was conveyed to the management.
