Aggreko leads Britain's FTSE 100 lower on outlook worries

LONDON Mon Dec 17, 2012 3:16am EST

Related Topics

LONDON Dec 17 (Reuters) - Britain's top share index fell in early deals on Monday, led lower by temporary power provider Aggreko, which cautioned on its 2013 outlook, and heavyweight Vodafone on concerns over the cost of the new generation wireless networks.

By 0808 GMT, the FTSE 100 was down 11.70 points or 0.2 percent at 5,910.06.

Aggreko slumped 14.4 percent after the firm said it would difficult to provide a definitive view on next year's trading.

"Guidance for 2013 confirms that the weakening trend identified in Q3 has continued with performance for the coming year now expected to be below 2012. This would imply at least 10 percent downside risk to our forecasts, hence we place our fair value and rating under review," Espirito Santo said in a note.

Vodafone also added its hefty weight to the downside on worries over the cost of the next generation of mobile networks after the Dutch state raised much more than expected in its auction of fourth generation (4G) wireless frequencies, with prices so high market leader KPN said it would have to cut dividends to afford its licences. (Written by David Brett; Editing by Toni Vorobyova)

A couple walks along the rough surf during sunset at Oahu's North Shore, December 26, 2013. REUTERS/Kevin Lamarque

Find your dream retirement town

Florida? Hawaii? Reuters has teamed up with Zillow to give you the power to customize a list of your best places to retire.  Video | Full Article