London pre-open: Early losses likely
London's blue chips are tipped to open lower with the day likely to be dominated by the Bank of England's interest rate decision. Traders suggest Footsie could shed around 26 points in early dealings.
Insurer Royal & Sun Alliance reported a 15% rise in net written premiums to £1.721bn in the first quarter and said it remains confident of achieving a strong result in 2008 and beyond.
However, the group said market conditions remain challenging, adding that it continues to exercise tight operational and financial management, including taking the right action on rate and expenses, to deliver sustainable profitable performance.
Business software giant Sage reported first-half growth that was in line with management expectations except for the troublesome Sage Healthcare Division in North America.
Pre-tax profit in the six months to 31 March 2008 rose to £122.6m from £108.6m a year earlier on revenue that grew from £574.7m to £640.4m.
Mobile phone retailer Carphone Warehouse is to sell a 50% stake in its retail business for £1.1bn to US consumer electronics retailer Best Buy and the two groups will form a new company.
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Household goods giant Unilever posted a 7.2% rise in first quarter underlying sales, ahead of forecasts.
The combined sales of Next Retail and Next Directory for the first quarter to 26 April fell 3.9% on the year before.
Spirits group Diageo has maintained full year guidance for 9% organic operating profit growth in the year ending 30 June 2008 after a trading in the third quarter continued in line with the first half. In the nine months to 31 March, organic net sales growth was 7%, as expected.
Sales improved by a less than expected 2% at Old Mutual in the first quarter to £426m due to disappointing UK sales and market volatility, which hit sales of unit trusts.
Miner Lonmin reported a 63% hike in first-half underlying earnings per share to 132.5 cents thanks to bumper platinum prices.
Enodis, which makes restaurant equipments for McDonalds, has agreed to be taken over by Illinois Tool Works for £1.029bn.
