Two high profile members of Fleishman-Hillard Saunders have left the public relations firm to set up their own company offering services to the corporate, financial and health care sectors.

Mr Declan Kelly and Mr Jackie Gallagher resigned yesterday to form their own firm, which will have offices in Merrion Square, offering public relations, investor relations and public affairs services.

"We are doing our own thing. It's a good time to move, an exciting time," Mr Gallagher said.

A former adviser to the Taoiseach, Mr Ahern, Mr Gallagher had been with FHS since last November. Prior to becoming an adviser to Mr Ahern, he had worked as a reporter with The Irish Times.

Formerly an industrial and business correspondent with the Exam- iner and a director of Murray Consultants, Mr Kelly was poached by FHS in March last year. He joined the company as head of the corporate and financial division and was given an 8 per cent stake in the firm. It was not clear yesterday what is happening to the stake. Mr Gallagher is also understood to be a shareholder in the firm, but the size of his stake is not clear.

Fleishman managing director Mr John Saunders's only comment on the resignations was: "I can confirm that both Jackie and Declan have resigned and I wish them well for the future."

Fleishman-Hillard Saunders (FHS) was set up just nine years ago, but has expanded rapidly in recent years to become one of the largest public relations firms in the country.

A joint venture between the USbased Fleishman-Hillard, now a part of the Omnicom Group, and a group of Irish PR professionals which holds a 59 per cent stake in the company, FHS employs 50 people in its Dublin and Belfast offices.

Clients include Budweiser, Gillette, Dell Computers, Marl borough Recruitment and Musgrave.

It reported fee income of £1.8 million (€2.3 million) in 1997 and £3 million last year. It expects fee income of around £4 million this year on turnover of nearly £8 million.