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Geest

February 2003

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

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Similar drivers are also in play at Geest, which is a leading playerin the ready meals market and other fresh prepared foods to supermarkets, although the shares are down again this month. Much of the fall has to do with a consolidating food retail industry (followingthe bid for Safeway) and sector derating as a result of fears of price discounting by fewer more powerful retailers. Ahead of results on 13 March, Geest issued a trading statement which was little different fromthat announced in December, when Geest updated the market following an analysts site visit. This confirmed that operating profit should be at least last year's level. Sales should come in at £770m, up 14% on the year. Forecasts remain unchanged with Numis fo ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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