RAMSEY CROOKALL & CO 6th November 2012

      Morning Report

The FTSE 100 trades up 0.5%, little-moved after data. UK industrial production came in 1.7% lower on the month in September, slumping more than expected. Meanwhile, the narrower measure of manufacturing output rose 0.1% in September on the previous month, lower than expected. The index is helped by ARM Holdings, which gains 5%. A Bloomberg report said Apple is mulling a switch from Intel chips for the Mac. Resolution adds 4.4% after a recommendation upgrade. G4S also puts in a good performance after it posted an annualised rise in revenue for the nine months to Sept. 30, while it also kept estimates on the loss expected on the London Olympics 2012 contract static.

Chip designer ARM jumped after saying that it is leading a consortium which is to acquire the patent portfolio of MIPS Technologies, the US semiconductor design company, in order to reduce the risk of expensive patent infringement suits in the chip design industry.

High Street bellwether Marks & Spencer rose this morning after announcing that second- quarter revenue gained 2.5%, driven by a strong performance from food sales and a handy contribution from the group's international stores.

Primark and foods group Associated British Foods was wanted after profits and revenues edged higher in the year to September 15th.

Holiday Inns and Crowne Plaza hotels owner InterContinental Hotels Group advanced after seeing revenue per available room (RevPAR) grow across all regions in the third quarter.

Property group Capital Shopping Centres rose after outperforming the market as the number of shoppers visiting its shopping centres rose for the second quarter in a row.

Security group G4S was higher after saying its financial position continues to be strong and it "remains on track to meet its cash conversion target of 85% of PBITA [profit before interest, tax and amortisation for the full year."

Water and waste group Pennon edged higher after signing a 25-year South London Waste Treatment Services Public Private Partnership (PPP) contract for the London Boroughs of Croydon, Kingston, Merton and Sutton.

Heading the other way was engineering support services group Babcock despite in-line earnings in the first half and a robust increase in its order book.

Oilfield services group Petrofac failed to please investors with the announcement of a "strategic alliance" with AIM-listed Bowleven to develop the latter's Etinde Permit, offshore Cameroon, which will see Petrofac invest up to $500m.













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