Pound hit by falling UK inflation

A key measure of inflation has fallen to its lowest level since September 2004, official statistics show, further weakening the value of sterling.

The Consumer Prices Index (CPI) dropped to an annual rate of 1.1% in September from 1.6% in August.

Meanwhile, the Retail Prices Index (RPI) inflation measure, which includes mortgage interest payments and housing costs, fell, to -1.4% from -1.3%.

The pound fell 0.5% against the euro to a six-month low of 1.0628 euros.

It also fell to a five-month low against the dollar of $1.5730.

AIG sells off its Taiwan business

Insurer AIG has said it is selling its Taiwanese life insurance business to an investor group for $2.15bn (£1.4bn).

AIG will transfer its 97.5% stake in Nan Shan, Taiwan's third-biggest life insurer, to a consortium led by Hong Kong's Primus Financial.

AIG is selling assets in an effort to repay US government aid. It was bailed out in 2008 at a cost of $182.5bn.

It made a $1.82bn profit in the three months to June, after a loss of $5.4bn in the same period of 2008.

It was the first quarterly profit since 2007 for AIG, which is now 80% state-owned.

Nan Shan has four million customers in Taiwan, giving it a market share of 10%.

Its current management team will remain in place after the deal and the firm's existing brand will be retained.

As well as Primus, the consortium also includes Hong Kong investment firm China Strategic Holdings.

Apple director quits Google board

Internet giant Google has announced the resignation of one of its directors, Arthur Levinson, who is also on the board of computer maker Apple.

It comes two months after Google chief executive Eric Schmidt quit the Apple board because Google's interests were increasingly competing with Apple's.

The move was welcomed by the US Federal Trade Commission (FTC) which has been probing overlapping board memberships.

The two firms used to be seen as allies against the dominance of Microsoft.

However, they have started competing directly in recent years in areas such as mobile phones.