Forum Archive Index - January 2002

["David Reid" <aspex@ix.net.nz>]

07.01.02 :Lehman Brothers take their red pens to earnings forecasts ahead of its trading statement which is expected mid-January, dealers said. The broker said the hotel group suffered significantly from the fall off in the travel industry in the second half of 2001 due to its high exposure to London markets. As a result, Lehman has cut its 2001 earnings per share forecasts for the group to 7.5 pence from 9.10 -- excluding exceptional profit --and to 5.7 pence from 8.6 for the following year. Further, it points out that the group is trading above its peers and above pre-Sept 11 levels and consequently believes it is now fully valued. It has a 'market underperform' rating on the stock with a 121 pence price target.