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UPDATE 1-Kent Reliance confirms in talks with J.C. Flowers

July 13, 2010 By vani Leave a Comment

LONDON, July 12 (Reuters) – Kent Reliance Building Society (KRB_p.L) confirmed on Monday it was in talks with U.S. private equity firm J.C. Flowers and Co on creating a joint-venture to bolster its balance sheet while remaining a mutual organisation.

Kent Reliance said the new structure would allow for substantial new capital investment to support the 150-year old building society, which is owned by its members.

Sources told Reuters on Sunday that J.C. Flowers, which previously tried to buy Britain’s stricken bank Northern Rock, would combine a 50 million pound ($75 million) investment with the assets of the British building society in a new vehicle. [ID:nLDE66A0B1]

The building society would retain control with a 51 percent stake, sources familiar with the matter said on Sunday.

Kent Reliance, which is the only building society based in the south-east England county of the same name, made a pretax profit of 2.26 million pounds in 2009 and had assets of 2.26 billion pounds at year-end.

(Reporting by Paul Sandle; Editing by Kate Holton)

Filed Under: International News Tagged With: 50 million, assets, balance sheet, Capital Investment, control, Flowers London, Holton, joint venture, Kent Reliance Building Society, Krb, Percent Stake, Pretax Profit, private equity firm, Reliance Building Society, reuters, Sandle, south east england, Vehicle Id, year-end

UPDATE 1-EasyJet June passengers rise 9.4 pct

July 7, 2010 By vani Leave a Comment

LONDON, July 6 (Reuters) – British budget airline easyJet (EZJ.L) flew 9.4 percent more passengers in June year-on-year, its largest monthly increase since before flights were interrupted by a volcanic ash cloud from Iceland in April. The airline carried 4.54 million passenger in June, up from 4.15 million a year ago, while its load factor — a measure of how it fills its planes — increased 0.9 percentage points to 87.2 percent.

Passenger numbers at rival Ryanair (RYA.I) rose 15 percent in June, the Irish airline said on Monday, while they fell 11.1 percent at strike-hit British Airways (BAY.L). [ID:nWLA7687] [ID:nLDE6640HR]

(Reporting by Paul Sandle, Editing by Rosalba O’Brien)

Filed Under: International News Tagged With: British Airline, British Airways, Budget Airline Easyjet, flights, irish airline, London, o brien, Passenger Numbers, pct, percentage points, planes, reuters, Rosalba, Ryanair, Sandle, Volcanic Ash Cloud

TABLE-John Lewis weekly dept store sales up 13 pct

June 26, 2010 By vani Leave a Comment

June 25 (Reuters) – British retailer John Lewis Partnership [JLP.UL] on Friday gave the following sales figures for the latest week compared with a year earlier.

Cyclical Consumer Goods

Week to June 19 20 weeks to June 19

Total sales 11.5 pct 13.5 pct

Dept stores 13.0 pct 16.7 pct

Food group 10.7 pct 11.7 pct

“Last week saw another strong performance at +13 percent on last year, especially as the figures last year were growing steadily in the run-up to Clearance. All bar three branches made it to the increases, with nine putting on double-digit growth,” John Lewis said of the department stores outcome.

(Reporting by James Davey, editing by Paul Sandle)

Filed Under: International News Tagged With: British Retailer, consumer goods, Department Stores, Dept Stores, Double Digit Growth, food group, James Davey, jlp, john lewis, John Lewis Partnership, Pct 16, reuters, Sandle, ul

UPDATE 1-Wincanton profit falls 16 pct, eyes 2010/11 growth

June 11, 2010 By vani Leave a Comment

LONDON, June 10 (Reuters) – British haulier Wincanton (WIN.L) posted a 16 percent fall in full-year profit, hit by lower client activity and the recession, but predicted a return to growth in 2011 as it benefits from the economic recovery.

The company, which transports goods such as food, documents and materials for recycling around the UK and mainland Europe, on Thursday reported an underlying pretax profit of 34.7 million pounds ($50 million) on revenues 7.6 percent lower at 2.18 billion for the year to the end-March.

Wincanton was expected to post an average pretax profit of 35.7 million pounds for the year, down from 41.3 million last year, according to a Thomson Reuters poll of five analysts.

“We remain cautious about the economic outlook but are nonetheless targeting an improvement in underlying performance next year and a return to growth,” Chief Executive Graeme McFaull said in a statement.

“Through next year and into the medium term, we expect Wincanton’s portfolio of activities in the UK & Ireland to benefit strongly from economic recovery.”

The company, whose biggest clients include drug-maker GlaxoSmithKline Plc (GSK.L) and retailer Tesco Plc TSC.L, held the final dividend at 10.08 pence and said a restructuring of its German unit would enable its business in mainland Europe to grow in the coming year.

Shares in the company, which have risen 13 percent in the last three months, closed at 225 pence on Wednesday, valuing the business at around 260 million pounds.

(Reporting by Rhys Jones; editing by Paul Sandle)

Filed Under: International News Tagged With: 50 million, dividend, economic outlook, economic recovery, german unit, GlaxoSmithKline, Glaxosmithkline Plc, gsk, Mainland Europe, Medium Term, pence, Pretax Profit, recession, reuters poll, Rhys Jones, Sandle, Tesco Plc, tsc, Uk Ireland, Wincanton

Ferrexpo 2010 pellet output up 18 pct as demand continues

June 3, 2010 By vani Leave a Comment

LONDON, June 2 (Reuters) – Ukrainian iron ore producer Ferrexpo Plc (FXPO.L) said total pellet production in the year to date jumped 18 percent as it continued to buy third-party concentrate to meet ongoing higher demand from steelmakers.

Overall pellet production has grown to 4.0 million tonnes this year, the London-listed company said on Wednesday via an e-mail.

Including 100,100 tonnes of pellets from purchased concentrate, overall pellet output rose to 860,300 tonnes in May, a 12 percent rise on the year-earlier period.

Total pellet production from its own raw materials grew to 760,200 tonnes in May from 755,100 tonnes in the year-earlier period.

(Reporting by Julie Crust; editing by Paul Sandle)

Filed Under: International News Tagged With: e-mail, Iron Ore Producer, Listed Company, London, pct, Pellets, Plc, raw materials, reuters, rose, Sandle, third party, ukrainian, Year To Date

UPDATE 1-Chemring mulling ADG deal options due to U.S. probe

June 2, 2010 By vani Leave a Comment

LONDON, June 1 (Reuters) – British military-goods maker Chemring (CHG.L) said it would not proceed with its $59 million acquisition of Allied Defense Group (ADG.A) due to an ongoing corruption investigation into a former employee of one of the U.S. firm’s units. Earlier this year ADG, which Chemring agreed to buy in January, said an employee at its Mecar USA subsidiary was being investigated by the U.S. Department of Justice (DoJ) for the alleged bribery of foreign government officials to win business on behalf of an unrelated U.S. company.

The DoJ has since widened its probe beyond matters related to the former employee of Mecar USA, which manufactures and sells ammunition and related products to the U.S. and foreign governments.

“In light of this feedback from the DoJ, the Chemring board has concluded that it is presently unwilling to consummate the acquisition of ADG pursuant to the terms of the merger agreement,” Chemring said in a statement on Tuesday.

“Chemring is now reviewing its options with regards to ADG, which may include a restructuring of the transactions contemplated by the merger agreement.”

Shares in Chemring, whose products help fighter planes avoid missile attacks, were 2.7 percent down at 3,085 pence by 0806 GMT, valuing the group at around 1 billion pounds ($1.5 billion).

(Reporting by Rhys Jones; Editing by Paul Sandle)

Filed Under: International News Tagged With: Allied Defense Group, bribery, Chemring, CHG, Corruption Investigation, Deal Options, Doj, Fighter Planes, Foreign Government Officials, Mecar, Merger Agreement, military goods, missile attacks, pence, reuters, Rhys Jones, Sandle, U S Company, u s department, Usa Subsidiary

UPDATE 1-Russia’s Usmanov not ruling out Arsenal bid

April 15, 2010 By vani Leave a Comment

LONDON, April 14 (Reuters) – Red & White Holdings, the investment vehicle of Russian steel magnate Alisher Usmanov, has left the door ajar for a takeover of Premier League soccer club Arsenal (AFC.PZ), saying it will keep all options open.

In a statement on Tuesday, Red & White, which currently holds a 26 percent stake in the north London-based club, said it remained a “committed long-term investor”.

“At this stage Red & White retains all its options and does not wish for the purposes of the City Code on Takeovers and Mergers to reduce its future flexibility and accordingly no particular course of action is ruled in or out,” it said.

The chances of an offer for the club materialising intensified this week after one of its biggest shareholders, Nina Bracewell-Smith, hired U.S. private equity firm Blackstone to find a buyer for her 16 percent stake. [ID:nLDE63B1V0]

That led to speculation that either Usmanov or U.S. sports tycoon Stan Kroenke, who has a 29.9 percent stake, could make a bid for the club.

If either of them were to acquire Bracewell-Smith’s stake, it would take them over the 30 percent threshold which requires a formal offer to be made for the business under City takeover rules.

However, the chances of Kroenke making a bid diminished on Tuesday when he made a surprise move to buy the St Louis Rams American football team. He had been expected to sell his 40 percent holding in the NFL outfit, possibly to fund a takeover of Arsenal.

Arsenal currently sit third in the Premier League and remain in with a chance of winning the title for the first time since 2004.

(Reporting by Matt Scuffham; Editing by Paul Sandle)

Filed Under: International News Tagged With: alisher usmanov, american football team, bracewell, City Code On Takeovers And Mergers, Investment Vehicle, North London, Premier League Soccer, private equity firm, reuters, Russian Steel, s sports, Sandle, soccer club, st louis rams, Stan Kroenke, steel magnate, Surprise Move, Takeovers And Mergers, Term Investor, Winning The Title

UPDATE 1-Velosi FY pretax profit rises 13 pct, ups dividend

April 15, 2010 By vani Leave a Comment

LONDON, April 14 (Reuters) – British testing and inspection company Velosi (VELO.L) said pretax profit rose by 13 percent in 2009 after it improved its margins through cost savings, shrugging off lower investment by its oil major customer base.

The company, which provides quality control services to oil and gas firms, on Wednesday posted pretax profit of $16.8 million for 2009, up from $14.9 million in 2008 on revenue broadly flat on $183.6 million.

Market expectations was for pretax profit of $16.3 million according to an I/B/E/S Thomson Reuters poll of three analysts.

Velosi, whose customers include BP (BP.L), Royal Dutch Shell (RDSa.L) and Exxon Mobil (XOM.N), said it did not expect significantly improved market conditions in 2010 but it was seeing some signs of a recovery in activity, particularly in Brazil, Australia, Kazakhstan and West Africa.

The company said its order book accounted for around 60 percent of 2010 consensus forecast revenues, and added that it had settled legal proceedings in Nigeria and hoped to begin working for two oil majors in the country again.

Velosi is paying a final dividend of 1.5 cents per share for 2009, an increase of 50 percent on the 1 cent per share it paid in 2008.

Shares in Velosi closed at 111.5 pence on Tuesday, valuing the company at about 54 million pounds ($83.4 million).

(Reporting by Sarah Young; editing by Paul Sandle)

($1=.6478 Pound)

Filed Under: International News Tagged With: April 14, Customer Base, Exxon, Exxon Mobil, Forecast Revenues, legal proceedings, market expectations, Oil Majors, pence, Pretax Profit, Quality Control Services, rdsa, reuters poll, Royal Dutch Shell, Sandle, ups, Velo, Velosi, West Africa, Xom