THE Irish arm of US food giant Heinz recorded a 4% drop in pre-tax profits last year to £12.2m (€14.2m), new figures show.

Production of the iconic British brand HP Sauce is to be moved abroad after its new owner today revealed plans to close an historic factory.

A deal by Heinz for the maker of HP sauce was referred to the competition authorities today amid fears it could lead to higher sauce prices.

US giant Heinz is expected to confirm today that it has bought the maker of HP sauces for €702m.

Premier Foods and Associated British Foods were today reported to have lost out to US giant Heinz in the battle for the maker of HP sauces.