London pre-open: Stocks to slide again

21st May 2010 07:29

London's top stocks are expected to add to yesterday's 84 points drop, with analysts forecasting another 25 point drop.British Airways reported a record pre-tax loss of £531m as the carrier was hit by strike action, bad winter weather disruption and the impact from the global recession. The pre-tax loss in the year ended 31 March compares with a £401m loss last year. Revenue fell by £1bn to £7,994m (2009: £8,992m).Merchant bank Close Brothers remains confident of delivering a solid overall result for the 2010 financial year after a good third quarter performance. The group's Banking and Securities divisions both put in good shifts in the February to April quarter - the group's third quarter - while the outcome at the Asset Management division was more modest.London Stock Exchange called its full-year performance "resilient" despite a 21% drop in full-year profit before one-off items. The profit before acquisition amortization and exceptional costs fell to £242m in the year to 31 March from £304.7m in 2009, reflecting costs from the acquisition of MillenniumIT. Total profit was £114.3m compared with a £250.8m loss last time when the numbers were hit by a £555m one-off charge. Oil and gas firm Soco International said that a rig has been secured for an appraisal drilling on its Te Giac Den discovery. The company has been informed by the Hoang Long joint operating company, operator of Block 16-1 in the Cuu Long Basin offshore Vietnam, that the jack up rig Maersk Convincer has been secured to drill the Te Giac Den 2X appraisal well. Higher borrowing costs knocked United Utilities profits last year despite an increase in the contribution from the core water business. Pre-tax profits in the year to March fell to £474m from £529m, with underlying profits coming in at £500m against £531m, slightly below forecasts.