London close: Volcano disruption holds back shares

19th Apr 2010 16:47

Trading was overshadowed by the volcano cloud that is keeping planes grounded across Europe, with updates on the impact of the disruption appearing throughout the day, but the leading share index finished just a few points lower.British Airways fell after saying it estimates that lost passenger and freight revenue together with the costs incurred supporting passengers is about £15m to £20m a day.Chief executive Willie Walsh said that the airline and its European peers have asked the EU and national governments for financial compensation, as had happened in the aftermath of the September 11 terrorist attacks.Its budget peer easyJet says the cumulative profit impact up to today is around £40m, representing lost revenues and costs incurred as a result of the disruption.'The continuing daily profit impact is estimated to be around £5m,' it said.Travel agent TUI estimates the cumulative cost to the group, up to and including yesterday, 18 April 2010, is about £20m. Estimated daily costs thereafter will run at about £5m to £6m, it adds."The welfare of our customers is paramount and the group is providing appropriate assistance to all those in resort whose return home has been delayed,' it said.'In the UK, of those customers who were due to go on holiday and whose flights have been cancelled, around 90% are choosing to re-book their holidays for a later date.'TUI's fellow travel group Thomas Cook said it estimates the daily impact of the disruption at around £7m.'The group has substantial banking facilities and as at 31 March 2010 had headroom of around £400m under our committed banking facility,' it said.Away from the air travel disruption, but sticking with transport, Arriva has confirmed that it is in advanced discussion with German transport operator Deutsche Bahn about a possible recommended cash offer for the UK bus and train operator.Responding to press speculation about the £1.5bn deal, Arriva said the German state-controlled company has indicated that it is willing to make a cash offer of 775p per share.News that UK Prime Minister Gordon Brown has called on the Financial Services Authority to investigate Goldman Sachs's activities in the wake of the decision by the US Securities and Exchange Commission (SEC) to sue Goldman Sachs for fraud has encouraged some hopes that Royal Bank of Scotland (RBS) may be able to claw back some of hundreds of millions of pounds it paid Goldman Sachs in 2008 to unwind a position RBS inherited from its purchase of ABN Amro. Sage Group has confirmed that its chief executive, Paul Walker, is to stand down "in due course" after 16 years at the helm of the accountancy software company.Cairn Energy subsidiary MedOil has plugged and abandoned a well offshore Tunisia in the Louza block after finding only minor evidence of light oil.Set-top box maker Pace expects another good year with margins higher and sales growth in single mid-digits though the World Cup will bring forward some revenues into the first half. The company is sticking with its full year guidance, however, which disappointed some traders used to outperformance from the company.Construction and property consultancy firm Cyril Sweett said 2010 revenue is expected to be £67m as it cuts its cost base. "Revenue for the period is expected to be £67.0m, delivering pre-exceptional PBT of approximately £3m," the group said in a company statement. The performance of Alliance Trust last year was in the lowest quartile of its peer group after the investment trust made a slow start to 2009. Net asset value in the year to 31 January 2010 improved by 16.8% to 377.7p, while the total return advanced 22.2%.FTSE 100 - RisersRoyal Bank of Scotland Group (RBS) 50.40p +4.35%Autonomy Corporation (AU.) 1,777.00p +2.13%Lloyds Banking Group (LLOY) 65.42p +1.11%British American Tobacco (BATS) 2,170.50p +0.95%Associated British Foods (ABF) 958.50p +0.89%ARM Holdings (ARM) 238.80p +0.76%Tesco (TSCO) 437.45p +0.64%Next (NXT) 2,283.00p +0.62%BAE Systems (BA.) 374.30p +0.59%Royal Dutch Shell 'A' (RDSA) 1,985.00p +0.58%FTSE 100 - FallersAviva (AV.) 378.10p -2.30%Land Securities Group (LAND) 659.50p -2.08%Old Mutual (OML) 118.10p -2.07%Vedanta Resources (VED) 2,741.00p -1.97%Fresnillo (FRES) 826.50p -1.96%Antofagasta (ANTO) 983.00p -1.70%Thomas Cook Group (TCG) 256.90p -1.61%Kazakhmys (KAZ) 1,474.00p -1.60%BHP Billiton (BLT) 2,162.00p -1.55%British Land Co (BLND) 476.70p -1.49%FTSE 250 - RisersSenior (SNR) 110.30p +3.86%Yell Group (YELL) 58.35p +3.64%Arriva (ARI) 760.50p +3.26%Go-Ahead Group (GOG) 1,450.00p +2.91%Melrose (MRO) 230.40p +2.35%FirstGroup (FGP) 379.00p +2.27%Britvic (BVIC) 473.10p +2.09%Brewin Dolphin (BRW) 140.80p +1.81%Genus (GNS) 707.00p +1.65%Ecofin Water & Power Opportunities (ECWO) 145.50p +1.54%FTSE 250 - FallersPace (PIC) 189.30p -3.91%Eaga (EAGA) 133.00p -3.27%Hansteen Holdings (HSTN) 77.15p -3.26%Computacenter (CCC) 320.00p -3.03%Hochschild Mining (HOC) 279.40p -2.99%Travis Perkins (TPK) 794.00p -2.76%St. Modwen Properties (SMP) 189.00p -2.48%Talvivaara Mining Company (TALV) 466.00p -2.31%Great Portland Estates (GPOR) 322.10p -2.28%Weir Group (WEIR) 941.00p -2.23%