London: W Morrison, Thomas Cook, BP

Mayank Mehta
11 Mar, 2010
New York City

UK stocks edged lower but traded near two-year high. BP Plc agreed to acquire portfolio of energy blocks from Devon Energy Corp for $7 billion. J D Wetherspoon plc reinstates dividend. William Morrison Supermarkets issued cautious outlook.

[R]4:00 PM London, 11:00 AM New York – UK stocks edged lower but traded near two-year high. BP Plc agreed to acquire portfolio of energy blocks from Devon Energy Corp for $7 billion. J D Wetherspoon plc reinstates dividend. William Morrison Supermarkets issued cautious outlook.[/R]

UK stocks edged lower but still traded near two-year high on the mild weakness in commodities prices. Resource stocks declined after China reported stronger industrial production and resurgent inflation data.

In London FTSE 100 Index closed lower 23.31 or 0.41% to 5,617.26 and the pound edged higher to close at $1.500 and edged lower to close at €1.100.

BP Plc agreed to acquire deepwater portfolio of fields in the Gulf of Mexico and in Brazil from Devon Energy for $7 billion.

Old Mutual Plc declined after Africa focused insurer swung to a loss and William Morrison Supermarkets Plc dropped after it issued a cautious 2010 outlook and Thomas Cook Group Plc after the company guided higher operating margins.

Gainers & Losers

Arbuthnot Banking Group PLC closed unchanged at 390.00 pence after the banking and financial service provider said 2009 net interest income rose 48% to £16.9 million from £11.4 million a year ago. Net profit for the year was £3.37 million or 23.4 pence a diluted share compared to net loss of £998,000 or 3.5 pence per share a year ago.

AstraZeneca PLC fell 0.1% to 2,947.00 pence after the drug giant is in talks for generics with Torrent.

BP Plc slipped 0.3% to 622.50 pence after the oil giant today agreed to pay Devon Energy $7 billion in cash for assets in Brazil, Azerbaijan and the deepwater of the Gulf of Mexico.

Cineworld Group plc fell 3.9% to 164.25 pence after the cinema chain said 2009 revenues rose 11.5% to £333.4 million from £298.9 million a year ago. Net profit for the year rose 1% to £20.4 million or 14.4 pence per diluted share compared to net profit of £20.2 million or 14.3 pence per share a year ago.

Clarkson PLC gained 4.2% to 865.00 pence after the ship broker and shipping services group said 2009 revenues fell 29.4% to £176.7 million from £250.3 million a year ago. Net profit for the year rose 116.6% to £16.9 million or 88.9 pence per diluted share compared to net profit of £7.8 million or 41.3 pence per share a year ago.

Computacenter PLC decreased 3.4% to 315.60 pence after the provider of information technology infrastructure services said 2009 revenues fell 2.3% to £2.50 billion from £2.56 billion a year ago. Net profit for the year rose 1% to £37.7 million or 24.9 pence per diluted share compared to net profit of £37.3 million or 24.2 pence per share a year ago.

Dignity plc rose 1.1% to 685.00 pence after the funeral service provider said 2009 revenues rose 5% to £184.7 million from £175.8 million a year ago. Net profit for the year rose 8% to £26.6 million or 41.8 pence per diluted share compared to net profit of £24.6 million or 38.8 pence per share a year ago.

IndigoVision Group plc plunged 10.1% to 530.00 pence after the video security systems provider said first half revenues rose 12% to £12.0 million from £10.7 million a year ago. Net profit for the first half rose 12% to £0.82 million or 10.4 pence per diluted share compared to net profit of £0.73 million or 9.5 pence per share a year ago.

J D Wetherspoon plc decreased 0.3% to 503.50 pence after the pub group announced that the board has decided to declare a total dividend of £0.12 for the current financial year ending July 25 compared to no dividend in the previous year.

Johnston Press plc increased 5.3% to 29.75 pence after the publisher of regional newspapers said 2009 revenues fell 19.5% to £428.0 million from £531.9 million a year ago. Net loss for the year was £87.3 million or 13.66 pence per diluted share compared to net loss of £365.5 million or 67.99 pence per share a year ago.

Origin Enterprises Plc an agri-nutrition and food company said first half sales fell 16% to €596.8 million from €710.1 million a year ago. Net profit for the first half fell 27% to €10.2 million or 8.68 cents per diluted share compared to net profit of €14.0 million or 11.17 cents per share a year ago.

Omega Insurance Holdings Limited rose 0.8% to 115.00 pence an insurer said 2009 revenues fell 12.6% to $228.2 million from $261.2 million a year ago. Net profit for the year rose 96.4% to $43.6 million or 17.8 cents per diluted share compared to net profit of $22.2 million or 14.1 cents per share a year ago.

Old Mutual plc an insurance and investments group said 2009 net earned premiums fell 28% to £3.45 billion from £4.82 billion a year ago. Net loss for the year was £340 million or 7.8 pence per diluted share compared to net profit of £441 million or 8.1 pence per share a year ago.

Premier Oil Plc rose 1.7% to 1,158.00 pence.

Wm Morrison Supermarkets PLC dropped 1.3% to 300.10 pence after the operator of retail supermarket stores said 2009 sales rose 6% to £15.4 billion from £14.5 billion a year ago. Net profit for the year rose 30% to £598 million or 22.37 pence per diluted share compared to net profit of £460 million or 17.16 pence per share a year ago.

FTSE 100 Index Movers

Of the stocks in the FTSE 100 index, 48 increased, 54 declined and none were unchanged.

Kazakhmys Plc decliners in the FTSE 100 index with a loss of 3.17% followed by losses in Fresnillo Plc of 2.88%, in Wm Morrison Supermarkets Plc of 2.79%, in Smith & Nephew Plc of 2.59%, and in Randgold Resources Ltd. of 2.53%.

Petrofac Limited led gainers in the FTSE 100 index with a rise of 3.36% followed by increase in Kingfisher Plc of 3.23%, in Thomas Cook Group Plc of 3.20%, in Standard Life Plc of 3.12%, and in BT Group Plc of 2.68%.