London pre-open: London runs into turbulence

12th Nov 2010 07:35

London is set to open sharply lower, with sentiment not helped by a mild profit warning from Rolls-Royce. City traders expect the Footsie to open around 60 points lower than last night's close.Aero-engine maker Rolls-Royce will make less money than expected in 2010, and it's all down to one component in the turbine area of the engine. An investigation into the engine explosion on the Trent 900 powered A380 Qantas super-jumbo has found the failure was confined to the specific component, which caused an oil fire and the release of the intermediate pressure turbine disc.Year on year revenue growth quickened in the third quarter at media agency Aegis. Total group revenues in the third quarter were 8.8% higher than in the corresponding quarter of 2009. Revenues in the first nine months of 2010 were 4.4% higher than a year earlier.Less volatile markets have trimmed activity at money broker Tullett Prebon, with business 'relatively subdued' over the past four months. Revenue in the four months July to October of £292m was 3% lower than this time last year (6% lower at constant exchange rates).Oilfield services firm Petrofac has won a three year contract from Maersk Oil. The contract, worth more than £40m, is for the provision of engineering services to the UK Continental Shelf assets of Maersk.