City File: Looking up

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The Independent Online
WHEN it is not busy making bonus payments to former executives, Burton is attempting to stage a recovery. However, with trading still patchy, investors will have to wait to see the benefits of the turnaround forged by John Hoerner, the chief executive.

The job-cutting programme, announced earlier this year, will not have much impact on Thursday's interim figures. Pre- tax profits will rise to pounds 31m, before pounds 8m of exceptional items, and the market is expecting pounds 33m for the full year.

With pounds 30m of cost savings and an economic recovery, Burton's profits should lift off next year. But devaluation could push up the price of the clothes sourced from low-cost overseas producers.

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