Air France Plunges 9% on Outlook, Shire Received Third Revised Offer

Nigel Thomas
08 Jul, 2014
New York City

Air France plunged after weak fiscal outlook. Marks and Spencer first-quarter sales jumped 2.3%. Monitise lowered its revenue forecast. Shire received third takeover offer from AbbVie. SIG said sales climbed 6.5% to

[R]4:00 PM Frankfurt – Air France plunged after weak fiscal outlook. Marks and Spencer first-quarter sales jumped 2.3%. Monitise lowered its revenue forecast. Shire received third takeover offer from AbbVie. SIG said sales climbed 6.5% to £1.29 billion.[/R]

In London trading, FTSE 100 index slumped 0.9% or 59.43 to 6,764.08 and in Frankfurt the DAX index declined 0.9% or 84.88 to 9,821.19.

In Paris, CAC 40 index dropped 1% or 43.23 to 4,362.53.

Air France – KLM plunged 8.8% to €8.57 after the airline company revised its outlook for operating earnings for the year between €2.2 billion and €2.3 billion while earnings are expected to rise more than 20% from 2013.

Marks and Spencer Group Plc slipped 1.4% to 427 pence after the U.K.-based specialty retailer said group sales in the first-quarter ending on June 28 jumped 2.3%.

The retailer said UK total sales increased 2% and total sales in apparel segment edged up 0.1%. General merchandise total sales dropped 0.8% and international sales climbed 4.7% and sales in food segment jumped 4.2%.

Same-store sales of general merchandise including apparel slipped 1.5%.

Monitise Plc tumbled 15.2% to 41.75 pence after the U.K.-based technology company lowered revenue forecast for the year ending in June between 31% and 33% from earlier guidance of 40% and loss before interest, tax, depreciation and amortization in the range of £32 million and £36 million.

The company expected revenue for the year in the range of £95 million to £97 million and for fiscal 2015, Monitise expects revenue to grow at least 25%.

Shire Plc dropped 1.1% to 4,600 pence after the U.K.-listed biopharmaceutical company received takeover offer from the U.S.-based AbbVie Inc.

The drug-maker raised its offer to about £30.1 billion or $51.5 billion, three previous offers from the company were rejected by Shire.

SIG Plc declined 7.7% to 178.10 pence after the U.K.-based construction materials supplier said group sales from continuing operations in the first-half ending in June climbed 6.5% to £1.29 billion and underlying profit-before-tax is expected at £40 million.