British Energy

GOING DOWN

BRITISH ENERGY, the electricity generator, may drop out of the benchmark FT-SE 100 share index next month after its stock fell 44 per cent this year, analysts said. The shares fell 10 per cent last week alone.

FT-SE International will next review its indexes on 7 December. British Energy, currently ranked last on the index, could see its shares slide further if it is excluded, as fund managers who hold index shares replace the company with new entries.

First-half profit from operations rose 19 per cent to pounds 37m on cost cuts. Still, uncertainty over changes to the power pool trading arrangements planned by regulators have weighed on the shares, prompting the generator to seek expansion overseas.