Reuters Business Summary

Yahoo and Icahn settle, Microsoft deal seen adrift

NEW YORK (Reuters) - Yahoo Inc (YHOO.O: 行情) will appoint activist investor Carl Icahn and two of his nominees to its board, settling a proxy battle and making an immediate transaction with Microsoft Corp (MSFT.O: 行情) less likely. The settlement, announced on Monday, came just 11 days before Yahoo's August 1 annual shareholders meeting, at which Icahn had originally sought to replace the entire board with his own nominees and oust Yahoo Chief Executive Jerry Yang.

Roche offers to buy out Genentech for $43.7 billion

BASEL, Switzerland (Reuters) - Swiss drugmaker Roche Holding AG (ROG.VX: 行情) offered to acquire all outstanding shares in its U.S. partner Genentech Inc DNA.N for $43.7 billion in cash to reinforce its position in cancer medicines. Roche, which already owns 55.9 percent of Genentech, said on Monday it would offer $89 per share to buy up the remaining stake, a 9 percent premium to the biotech company's closing share price on Friday.

Bank of America profit falls 41 percent but tops views

NEW YORK (Reuters) - Bank of America Corp (BAC.N: 行情) on Monday reported a quarterly profit that fell less than expected, as improved investment banking results offset a surge in bad loans, causing shares of the largest U.S. retail bank and mortgage lender to soar. Though the 41 percent drop in earnings was the bank's fourth straight quarterly decline, Bank of America became the fourth of the five largest U.S. banks to top forecasts, joining Citigroup Inc (C.N: 行情) JPMorgan Chase & Co (JPM.N: 行情) and Wells Fargo & Co (WFC.N: 行情).

Oil up above $130 after inconclusive Iran talks

LONDON (Reuters) - Oil rose back above $130 a barrel on Monday after inconclusive talks at the weekend between Iran and world powers helped the market to recover from its biggest one-week slide on record. Tropical Storm Dolly, which is headed for Mexico's Yucatan Peninsula, also helped to boost the market as the storm was set to pass just north of Mexico's huge Cantarell oilfield.

Citigroup vice chairman Michael Klein to leave

NEW YORK (Reuters) - Citigroup Inc (C.N: 行情) said on Monday that Vice Chairman Michael Klein would leave the largest U.S. bank by assets to pursue other opportunities. Klein's departure came four months after Citigroup Chief Executive Vikram Pandit installed former Morgan Stanley (MS.N: 行情) colleague John Havens as chief executive of the institutional clients group.

Stocks rise at open as BofA lifts financials

NEW YORK (Reuters) - Stocks rose at the open on Monday after Bank of America (BAC.N: 行情) posted quarterly results that buoyed hopes the worst of the credit crisis may be abating. The Dow Jones industrial average .DJI rose 35.82 points, or 0.31 percent, at 11,532.39, and the Standard & Poor's 500 Index .SPX was up 3.52 points, or 0.28 percent, at 1,264.20. The Nasdaq Composite Index .IXIC gained 6.19 points, or 0.27 percent, at 2,288.97.

Investors eye health of Apple's Steve Jobs: report