RAMSEY CROOKALL & CO

MIDDAY REPORT

28 SEPTEMBER 2010

London markets opened lower led by Thomas Cook after a gloomy update, while miners and banks are also under pressure after a weak finish on Wall Street overnight.

Tour operator Cook said it has now started a review of its UK cost base after softer than expected business over the summer and in view of the difficult market backdrop. "Our cost experience in the UK has not been as favourable as expected, particularly in the airline, and this will result in a net impact of around £10m on the underlying operating profit," Thomas Cook said.

Hedge fund manager Man's first half profits will fall by a fifth to $215m as performance fees dwindled after a tough half for its flagship AHL fund. Funds under management have stabilised recently and the end of September were up over the previous three months to $39.5bn from $38.5bn.

And with just days to go until its year-end, newspaper publisher Daily Mail and General Trust expects the full-year result to be at least in line with the City consensus. Underlying revenue rose 2% during the 11 months to the end of August, but fell 7% on a reported basis, although trading remains “robust” and the business to business (B2B) and consumer media businesses report underlying growth.

Finally, Irn-Bru maker AG Barr achieved sales growth well in advance of the market in the first half of its financial year. Total turnover in the six months to 31 July rose 13.9% to £119.2m from £103.7m in the corresponding period of 2009. Underlying profit before tax increased by 18.8% to £16.0m from £13.5m the year before.

THE FTSE 100 AT 12.45 IS DOWN 18 @ 5555

THE DOW JONES CLOSED DOWN 48 @ 10,812

THE NASDAQ COMP CLOSED DOWN 11 @ 2369

Exchange Rates

GBP – USD 1. 584 GBP – EUR 1. 176

??

??

??

??