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FTSE 100 edges up despite GKN slump

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GKN shares dived 8% as the engineering company said its chief executive-designate was to leave the firm.Kevin Cummings had been due to take over as chief executive on 1 January, but GKN said it felt the next stage of its development was “best delivered under alternative leadership”.The news came as GKN said it would take a charge of up to £130m at its North American aerospace arm.Despite GKN’s fall, the FTSE 100 was up 8.81 points at 7,381.42 in early trade.Shares in Royal Mail rose 2.4%, although the postal giant reported a 30% fall in half-year pre-tax profits to £77m.Group revenues rose 2% to £4.8bn, helped by a strong performance from its Europe-focused parcel business General Logistics Systems.Royal Mail also warned that its performance in the second half of the year, which includes the crucial Christmas trading period, could be affected by the “industrial relations environment” as it tries to reach a deal with unions over workers’ pay and pensions.On the currency markets, the pound was little changed against the dollar at $1.3167 and was also flat against the euro at €1.1170.
Source: BBC