Reuters World News Highlights

TEHRAN – Moderate former president Mohammad Khatami withdrew from Iran’s presidential election yesterday, allies said, a move analysts say may boost President Mahmoud Ahmadinejad’s re-election chances.

JERUSALEM – Avigdor Lieberman, a far-right politician whose policies have raised Arab ire and international concern, was designated yesterday as foreign minister in a governing pact with Benjamin Netanyahu.

WASHINGTON – British bank Barclays said yesterday its business was off to a good start this year, but American Express Co quickly dashed the optimism with figures showing more Americans falling behind on credit card payments.

LOS ANGELES – The Hearst Corp plans to roll out the final print edition of its ailing Seattle Post-Intelligencer today then move it online, ending speculation about the fate of the 146-year-old newspaper as crumbling advertising and the Internet wallop the industry.

BAGHDAD – US forces shot down an Iranian drone aircraft that ventured inside Iraq last month, US and Iraqi officials said yesterday, an incident that highlights deep US-Iranian tensions.

Around the Web