PRESS DIGEST - British business - May 29

The Times

FROM SEATTLE TO PECKHAM -- GATES PILES INTO CARPETRIGHT WITH THREE PERCENT STAKE

Cascade Investment LLC, the personal investment company of Microsoft billionaire Bill Gates, has bought a three percent stake in Carpetright (CATVU.L)>, the laminate flooring and carpet specialist. The price of the purchase is believed to be little more than 15 million pounds and the timing is likely to renew speculation over the immediate future of the business, run by Lord Harris of Peckham. Carpetright shares rose by almost three percent to 781 pence following the news.

ASDA TAKES THE LEAD

Newly-published data from market research consultants TNS shows that Asda (WMT.N) has overtaken Wm Morrison (MRW.L) as the fastest-growing supermarket chain in Britain. The figures show sales at Asda in the four weeks to May 18 were up by 10.7 percent, its first recorded growth of more than 10 percent for almost a year. Morrison followed in second place with an 8.2 percent rise, ahead of rivals Sainsbury's (SBRY.L) and Tesco (TSCO.L).

JARVIS BACK IN BLACK

Rail and plant company Jarvis (JRVS.L) has delivered its best results since 2003, making a profit of 11.1 million pounds in the year to March 31, compared with a 21.7 million pound loss in the previous year. The company had to sell several of its businesses four years ago in order to survive financial difficulties. But, following its best performance in five years, it expressed confidence it was now well placed to benefit from unprecedented spending on the rail network.

The Daily Telegraph

NEW STORES DRAG DOWN LAURA ASHLEY

Clothing and furniture retailer Laura Ashley (ALY.L) has experienced a 7.6 percent fall in like-for-like sales over the first 17 weeks of its current financial year, compared to last year. The company attributed the drop to the uncertain economic climate and the cannibalisation from existing stores. Stripping out the effect of 10 net new store openings, total sales, however, rose by 7.9 percent, while margins improved by just below two percentage points. With a further 8.1 percent rise in mail order and Internet sales, the company expressed confidence in meeting analysts' profit forecasts. Finance director David Cook said: "We are busy opening new stores but it is tough out there."

DAWSON SHRUGS OFF 70 MILLION POUNDS SETBACK

Newspaper and magazine wholesaler Dawson Holdings (DWN.L) has seen a 2.3 percent rise in first-half revenues to 388.7 million pounds. The company also reported an 18 percent increase in pre-tax profits to 5.3 million pounds. Dawson discovered on Wednesday that News International, one of its major publishing clients, had reduced its spend with the company as of July 2009 at an estimated loss of 70 million pounds. However, the company said the loss of contracts would not have a "material impact" on profits, with chief executive Peter Harris describing it as "an opportunity to accelerate the restructuring of our business".

MARKET DOWNTURN FORCES SHAFTESBURY INTO 93.6 MILLION POUNDS FIRST-HALF LOSS DESPITE RISE IN RENTAL VALUES

Shaftesbury (SHB.L), the London West End property specialist, has been hit by the downturn in the UK commercial property market, resulting in pre-tax losses of 93.6 million pounds in the first half of the year. The company saw a 6.3 percent fall in the value of its property portfolio, while net asset value per share was down 11.5 percent to 5.57 pounds. Chief executive Jonathan Lane predicted a further fall in values, despite an increase in retail and leisure spending in the West End.

The Independent

BARCLAYS FULL-YEAR EARNINGS CONSENSUS REVISED DOWN