RAMSEY CROOKALL & CO

16th June 2011

Afternoon Report



The FTSE 100 is down 1.2%, falling further into the red as negative news out of Greece continues to weigh heavily. U.S. initial jobless claims are announced this afternoon.

Electrical components distributor Premier Farnell has slumped despite a seemingly bullish update. The Leeds-based company, which operates around the world, posted a pre-tax profit (adjusted to take account of a disposal) of £24.1m in the quarter to the end of April, up from £21.4m over the same period the previous year. Revenues climbed to £252.5m from £244.9m.

Plant hire group Ashtead is down even after it reported full year pre-tax profit in line with expectations and said it is confident demand for rentals will provide further growth. Pre-tax profit rose to £31m for the year to the end of April compared to £5m in 2010, after a 10% increase in revenue from US rental operations. Analysts had predicted pre-tax profit of £30.7m.

Budget airline easyJet is to start operating flights from Southend Airport in Essex next year, the airport’s owner, logistics firm Stobart, has announced.

Design and engineering consultancy WS Atkins topped revenue and profit expectations in what it described as a transformational year for the company. Revenue in the year ended 31 March rose 12.7% to £1,564m from £1,388m the year before, marginally ahead of market consensus of £1.558m. Underlying profit before tax climbed 9.4% to £102.7m from £93.9m a year earlier. The market had been expecting a figure of around £96.14m.

Power systems behemoth Rolls-Royce has won orders worth more than £100m from a range of ship yards in Asia to provide propulsion systems for offshore construction and drilling vessels.

Turning to smaller companies, fashion group Mulberry is in demand after profits soared in the year to 31 March.



THE FTSE 100 at 12:00 Down 70 @ 5671

THE DOW JONES closed Down 178 @ 11897

THE NASDAQ COMP closed Down 47 @ 2631



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