London pre-open: Rally to continue

2nd Dec 2010 07:36

It look like UK blue chips will add to yesterday's strong gains following further gains on Wall Street overnight and in Asia this morning as hopes are high the ECB will save struggling eurozone economies.The FTSE 100 is expected to open up 32 points when trading gets underway, according to futures prices.In company news, TUI Travel increased underlying pre-tax profit by 4% to £337m during the year to September, but the UK proved a drag and is only just coming back, with positive trends continuing into winter 2010/11 and next summer. Revenue fell 2% to £13.5bn. The increase in profit was driven by integration synergies, the recovery of scheduled flying losses in Germany and the strategic venture in Canada, partially offset by weaker tradingThe UK & Irish operations of Kingfisher were a drag on sales growth in the third quarter, as the DIY retailer reported an 8.2% year on year increase in retail profits. Sales in France were up 0.8%, or 3.1% at constant currency. Like for like (LFL) sales in constant currency terms rose 1.8%. Sales in UK & Ireland fell 3.8% and dropped 4.2% like for like. "We enter our fourth quarter in good shape," said boss Ian Cheshire.Pub group and brewer Marston's posted a rise in profits despite tough trading in the year to October 2, helped by its shift towards food-oriented pubs. The company, which operates centrally managed pubs such as the Pitcher and Piano chain as well as leasing premises to landlords, saw revenues climb by 0.9% from the previous year, with pre-tax profits climbing to £73.5m from £70.3m.Infrastructure specialist Balfour Beatty has reached financial close for the £55m Derby City Building Schools for the Future (BSF) programme. The Derby City BSF Partnership project involves the delivery of a capital investment programme for schools in Derby in partnership with Derby City Council.