Reckitt pays €5m to parent company

HEALTHCARE AND household detergent company Reckitt Benckiser's Irish operation paid a dividend of €5 million to its Luxembourg-based parent in 2006, according to accounts recently filed at the Companies Office.

The company retained profits of €131,000 and incurred costs of almost €1 million during a restructuring of its operations following the €121.5 million acquisition of the subsidiary Reckitt Benckiser Healthcare (Ireland). A goodwill charge of €114,469 arose on the purchase of the trade and assets of the healthcare subsidiary.

The FTSE 100-listed group's healthcare brands include Dettol, Strepsils, Nurofen and Clearasil, while its cleaning brands include Harpic, Finish and Cillit Bang.

Reckitt Benckiser Ireland extended a loan of more than €9 million to Reckitt's (Ireland) Pension Fund Trustees in order to plug a hole in its defined benefit pension scheme. The company paid tax of €921,000 during the year and the three directors employed by the company during 2006 were paid a total of €115,375.

Reckitt Benckiser's Dutch chief executive Bert Becht made headlines in February, when the Guardian quoted him dismissing the work of his own innovation department, which he said created some "very stupid products, stupid ideas" that were nevertheless successful. The group later said he meant "simple and obvious" ideas.