A little like oom really from my point of view - I believe they are the favoured company within their sector and despite the markets - Oftel and the G3 nonsense they will climb back. They pay a divi and this wioll be seen to be increasingly important in the days to come. They have new management and are looking to enhance shareholder value .....

I hold and swing trade a few and not adverse to intraday trading them.

ains


BT in web-based investor relations drive

London, February 7 2003, (netimperative)



by Chris Lake

BT is launching a web-based scheme which it hopes will improve communications with its retail shareholders and help cut costs.


Dubbed 'ShareholderPlus', the system allows investors to sign up and receive BT communications - such as reports, news releases, mandates and, subject to a change in the law, electronic tax vouchers - by email, rather than by post.

BT said this will help it achieve cost savings - by not having to print and despatch reports - and pointed out that it is also good for the environment.

Furthermore, it has negotiated a number of deals with companies such as Virgin Wines, Apollo Travel, RSA and National Car Rental, to market the service and said it will add new offers in the future if it proves to be a success.

BT claims to be one of the first FTSE100 companies to launch such a programme, though it is likely that more will follow.

www.btplc.com/shareholderplus

Announ. on directors reinvesting divs

More than holding their own today despite the poor market

ains



Wed 12 February 2003 03:29PM GMT

BT and Yahoo team up to offer broadband service
We dont know when it'll available or how much it'll cost, however



Yahoo UK has teamed up with BT Broadband to offer a high-speed internet service.

The new service, dubbed Yahoo UK Plus, will include multiple email accounts, instant messaging, digital photo storage, firewall security and antivirus software. The companies did not say when the service would be available or how much it would cost.

High-speed access and other premium services are a key part of Yahoo's evolving strategy, aimed at shoring up the web portal's bottom line. In the third quarter, the company's fees and listing business rose 120 per cent to $89.4m. About 70 per cent of that business comes from premium services including personals, email forwarding, email storage and internet access.


Today's deal with BT is Yahoo's second with a major telecommunications company. Last year, Yahoo and SBC Communications launched a co-branded DSL service in the US that features Yahoo's front-end web content and services bundled into SBC's internet access. Yahoo gets a cut from subscription revenue and will split its advertising revenue with the telco.

The deal was touted by Yahoo as a way to diversify its revenue in the face of an anemic online advertising market. Executives have long promised more deals with broadband access companies, namely telecoms and cable providers. But to date, SBC remains the only US provider under its belt.

From the description, Yahoo's BT offer mirrors a test product called "Yahoo Plus." Unveiled as a preview in November, Yahoo Plus is a combination of the company's various premium services, similar to the one offered with the BT product. At the time, Yahoo Plus was priced at $7.95 a month, although company executives said the price was liable to change.

In November, BT signed a similar deal with Microsoft, as part of the company's launch of the MSN 8 online service.

02/12 14:35
BT 3rd-Qtr Profit Probably Fell 51% to 350.4 Mln Pounds (Table)
By Dex McLuskey


London, Feb. 12 (Bloomberg) -- The following is a summary of analyst expectations for fiscal third-quarter results for BT Group Plc, the former U.K. telephone monopoly. BT is scheduled to report earnings tomorrow at about 7 a.m. London time.

Net income probably fell 51 percent to 350.4 million pounds ($566.8 million) in the three months to Dec. 31, from 721 million pounds in the year-ago period, according to the average estimate of eight analysts surveyed by Bloomberg News.

Revenue probably rose 2.4 percent to about 4.77 billion pounds. Profit before interest, tax, depreciation and amortization is expected to be little changed at 1.49 billion pounds. BT last year had one-time gains from property sales and one-time losses on sales of foreign businesses.

Analysts Estimates, in million of pounds

Q3 2001 Lowest Highest Q3 2002
Actual Forecast Forecast Estimate
Group Revenue 4,657 4,705 4,846 4,768
Ebitda 1,509 1,472 1,509 1,492
Pretax Profit 381 482 536 520.1
Net income 721* 321 375 350.4

*Includes 900 million-pound gain from shedding property and 165
million-pound loss from selling overseas units.

BT confirms Revenue outsourcing bid
By Gareth Morgan [12-02-2003]

Telco partners with Computer Sciences and SchlumbergerSema to form the 'Fusion Alliance'
BT has confirmed that it is to partner with Computer Sciences (CSC) and SchlumbergerSema to bid for the massive 4bn Inland Revenue outsourcing contract.
In June last year, BT's Syntegra services arm was chosen as one of three bidders invited to submit a tender for the running of the Revenue's IT systems.

The group will be known as the Fusion Alliance. BT will provide the telecoms expertise, while CSC and SchlumbergerSema will contribute their experience of huge projects and government deals.

EDS and Accenture, which currently has the contract, and Cap Gemini Ernst & Young also made the Inland Revenue shortlist. Speculation suggests that it will be hard to dislodge the EDS and Accenture partnership from the contract.

Analsysts Ovum Holway have said instances of an incumbent being unseated from such outsourcing contracts were "as rare as hens teeth".

The deal will cover 73,000 desktops, 200 systems, 20 ICL mainframes and 177 IBM and Hewlett Packard Unix boxes. Another contract currently held by Accenture is also part of the deal.

The successful bidders are expected to start running the operation from April 2004, and the contract could run for 18 years.

The deadline for submitting bids is 14 March 2003, with the final decision expected by December.

ATTENTION:


FOLLOWING NOTICE:

DAMAGE TO YOUR HEALTH: http://www.advfn.com/cmn/fbb/thread.php3?id=2877490

Guess it's a little late now .....

LONDON (SHARECAST) - Barclays is expected to post a lacklustre set of full-year results. According to analysts it was hit by the combined impact of high provisions and weak stock markets.

On a brighter note BT is expected to post a 30% rise in third quarter earnings, although analysts are keen to hear about the company's ability to hit growth targets and the state of its pension deficit.

Great expectations and figures from BT ...... CEO has just been on CNBC with the overall comments that given a choice peeps like BT - Investors and customers.

Analysts talk of a must have share - super utility - greater divi expectations

All looks promising and expect the shares to move up significantly ...... Don't see how a limited threat of war in the ME can do much harm


ains


Ben Verwaayen, Chief Executive, commenting on the third quarter results, said:

'These are excellent results. We are achieving our key goals of improving cash
flow, earnings per share and customer satisfaction. These results demonstrate a
substantial increase in profitability, with earnings per share* growth of 71 per
cent.

Revenue growth has been challenging, but we gained real momentum in the
corporate sector, winning a number of major new contracts and our solutions
business achieved record sales orders in the quarter.

We generated our highest ever broadband sales, with in excess of 25,000 per
week in January, launched a major market awareness campaign, reduced wholesale
and retail connection charges and lowered the exchange upgrade trigger levels,
demonstrating our strong commitment to broadband Britain.'

THIRD QUARTER HIGHLIGHTS

Earnings per share* of 4.1 pence, up 71 per cent

Profit before taxation* of 521 million, up 37 per cent

Group turnover* of 4,701 million, up 1 per cent

Net debt reduced by 195 million to 12.9 billion

In January 2003, we received proceeds of 2.6 billion from the sale of our
shareholding in Cegetel to further reduce net debt

Record broadband sales in January, in excess of 25,000 per week; end users
of over 650,000 at February 7, 2003

Further improvements in customer satisfaction


*from continuing activities before goodwill amortisation and exceptional items

Group Finance Director's statement

Ian Livingston, Group Finance Director, commenting on the third quarter results,
said:

'BT's financial position continues to strengthen. Net debt was reduced by 195
million to 12.9 billion. In January net debt has further reduced with the
receipt of the 2.6 billion proceeds from the sale of our shareholding in
Cegetel.

Underlying operating performance is strong with earnings per share* increasing
by 71 per cent over last year to 4.1 pence in the quarter and by 66 per cent to
10.3 pence in the nine months.'



BT tops forecasts
13/02/2003 07:26


LONDON (Reuters) - Dominant telecoms company BT has reported better-than-expected third quarter profit saying it expects to show a pension deficit of up to 1.5 billion pounds for the end of 2002.

Although the pension funding valuation had not yet been completed, BT said on Thursday the companys actuary believed the deficit would be in a range of 1.0 to 1.5 billion pounds -- as falling stock markets erode the value of invested pension money.

Underlying pre-tax profit in the quarter to the end of Decmeber rose 37 percent to 521 million pounds, at the upper end of forecasts. Underlying earnings per share rose to 4.1 pence from 2.4p one year ago, beating expectations, while revenue fell short of forecasts with one percent percent rise to 4.7 billion pounds.

surprised to see the market and some of the media reaction but guess the market is on the down move again ..... I rad the pension situation a little differently and if we are close to the bottom I can see lots of upside when market gets moving northwards

Maybe wrong here but I will hold at current 175p


ains


Thursday, 13 February, 2003, 07:40 GMT
BT warns of pension black hole BBC


BT Group has reported better than expected profits for the final three months of 2002 but warned that its pension fund could be 1.5bn short.
The telecoms company said its pension fund valuation for the end of 2002 had not yet been calculated.

But it said the group's actuary believed it could show a deficit of between 1bn and 1.5bn ($2.4bn).

BT blamed the shortfall on the plunging stock markets, which have eroded the value of pension investments.

The group reported a 37% rise in underlying profits for the final three months of 2002 to 521m.

More soon.

US perspective ....


BT profits from more customers
Thursday, February 13, 2003 Posted: 0900 GMT





LONDON, England -- BT Group on Thursday posted better-than-expected profits for the third quarter as the UK's telecoms operator continued to expand its broadband customer base.

Pre-tax profit for the quarter to December rose 37 percent to 521 million, while revenue edged up 1 percent to 4.7 billion.

BT, which has placed high-speed Internet access at the heart of its strategy for growth, said it had 650,000 broadband subscribers on its network as of February 7, moving towards its target of one million by the middle of this year.

"We see enormous potential for broadband," Chief Executive Ben Verwaayen told CNN. "It is all about profit growth and it is all about doing the best for the customer."

BT's net debt fell 195 million in the third quarter to 12.9 billion. The group said its debt would be further cut in the fourth quarter due to the 2.6 billion sale of its stake in France's Cegetel to Vivendi Universal.

Earnings before interest, tax, depreciation and amortisation grew by 4 million to 1.513 billion.

BT shares were down 3.7 percent to 176.25 pence in early London trading on Thursday.

I think the market has got the pension thingy totally wrong and looking to add a few at this time .....


ains


LONDON (AFX) - Ian Livingston, finance director of BT Group PLC, scaled back investment targets set 18 months ago and attempted to reassure the market on the group's growing pension deficit.
"What we have said for this year is we expect capex now to be about 2.6 bln stg and looking forward we expect it to be somewhere between that number and the 3 bln envelope that we talked about at the beginning for the current financial year," Livingston told reporters.

Regarding the group's widening pension deficit, he said he sees no need to increase the current 200 mln stg annual top-up it is paying into the scheme.

"We have said previously we did not expect the 200 mln a year to change significantly and on the basis of the work the actuary has done to date we have got no reason to change that position," said Livingston.

Earlier BT revealed its pension funds face a potential deficit of more than 1.5 bln stg - nearly 10 times the shortfall it had just three years ago.

BT has been hit by a combination of a huge slump in equity prices and new accounting rules.

At the end of March last year BT had 71 pct of its pension fund assets in equities, then worth 19.2 bln stg. Analysts estimate their value could have fallen by up to 5 bln stg by the year-end.

Ben Verwaayen, BT chief executive, stuck by revenue growth targets for its loss-making business telecom and web hosting division BT Ignite.

He said the Netherlands were the first country in which BT Ignite turned EBITDA positive in the three months to Dec 31 2002.

"If you look to BT Ignite, you see excluding carrier and the business we want to get out of - that is the SME and consumer business - we are growing 7 pct in this quarter under very difficult circumstances.

"So I think that Ignite has enough potential not to change its guidance there," said Verwaayen on the same conference call.

BT has pledged to hit 15 pct revenue compound annual growth rate for 2002-05 at BT Ignite whereas the market sees just 8 pct because it does not expect a recovery in IT and carrier markets.

Livingston said the group has about 500-700 mln stg of non-core assets yet to sell.

Earlier the group said net debt was reduced by 195 mln stg to 12.9 bln stg at Dec 31 2002, but it received 2.6 bln stg from the sale of its stake in Cegetel to Vivendi in January.

The company aims to get its net debt below 10 bln stg.

It also revealed record broadband sales in January, in excess of 25,000 per week, giving it a total customer base of over 650,000 as of Feb 7 2003.

Verwaayen said the group was on track to hit its 6 mln DSL subscribers target by mid-2006. "We are absolutely on target with broadband and you see the momentum growing in the market," he said.

Some analysts view the target as challenging due to to fierce competition from cable operators.

tim.farrand@afxnews.com

Thursday, 13 February, 2003, 10:43 GMT
BT looks to broadband


BT is aiming for 1 million broadband customers

BT has reported slower sales growth for 2002 but says it can drive expansion through its broadband arm which provides high-speed internet access.
BT has placed broadband at the heart of its growth strategy and said it was moving towards its target of one million customers by the middle of this year.


The news came as BT reported a 37% rise in profits for the three months to December 2002, to 521m.

But despite the rise in profits, overall sales growth was lower and the firm's shares fell 3% to 178p in early trade.

The firm also warned that its pension fund could be more than 1.5bn short.

The telecoms company said its pension fund valuation for the end of 2002 would not be calculated until May.

But it said the group's actuary believed it could show a deficit of between 1bn and 1.5bn ($2.4bn).

Topping up

BT blamed the shortfall on the plunging stock markets, which have eroded the value of pension investments.

A spokesman for BT Group told BBC News Online that the company had been investing 200m in its pension fund since 1999 and that this would be enough to make up any shortfall.

"We've said for some time that we're going to put in top-up funds of 200m a year," he said.

"Our actuaries have looked at the scheme and say the 200m will not have to change."

Cashing in

BT reduced its debt in the period by 195m to 12.9bn.

It said this figure would fall significantly when it banked the 2.6bn it received from Vivendi for selling its stake in France's Cegetel.

Vivendi fought off a rival bid from Vodafone to buy BT's 26% stake in the French telecom group, which owns France's second biggest mobile operator SFR.

13 Feb 2003 11:03 GMT



BT hit by pension worries

By Braden Reddall, UK telecoms correspondent
LONDON (Reuters) - BT Group has reported better-than-expected third-quarter profits, but concerns about a yawning pension fund gap and slower sales growth have knocked its shares.

BT bonds improved on the strong cash flow and reduced debt, and some equity analysts said the worries on pensions overshadowed a company poised to start paying higher dividends.

"On balance BT feels a bit cheap to us, but we think there are no catalysts to spur the shares on from today."
Schroder Salomon Smith Barney
BT will announce a revised pension funding deficit in May based on new accounting standards, and analysts' forecasts range as high as five billion pounds. Steep declines in stock markets have eroded the pension funds of many large British companies, including Rolls Royce RR.L and British Airways BAY.L .

For guidance, BT said its actuary believed the end-2002 deficit based on old SSAP 24 accounting standards would be in a range of 1.0 billion to 1.5 billion pounds compared with 200 million pounds at the end of March 2000.

Shares in BT BT.L , with a market capitalisation around 15 billion pounds, fell 4.4 percent to 175 pence in morning trade.

When BT last calculated its funding valuation three years ago, it ended up 800 million pounds more than the SSAP 24 value.

Nomura analyst Chris Alliott said BT's current market value priced in a pension deficit of more than Nomura's worst-case five billion pound estimate, and he repeated a "buy" recommendation on the stock.

BT Finance Director Ian Livingston reiterated that the company did not expect its annual pension deficit payment to be much different from its current 200 million pounds.

"Our actuary has told us that there's nothing to cause that figure to change," he told reporters on a conference call.

Underlying pre-tax profit for the quarter to end-December rose 37 percent to 521 million pounds, at the upper end of forecasts. Underlying earnings per share rose to 4.1 pence from 2.4p one year ago, beating expectations. But revenue fell short of forecasts with a one percent gain to 4.7 billion pounds.

REVENUES FLAT, BUT HIGHER QUALITY

Chief Executive Ben Verwaayen said he had turned his attention to how much profit each pound of revenue generates as BT loses some of its less important lower-margin business.

"Other parts of our revenues are truly important, and the good news here is (that) where it's really important, it's growing," he said.

BT, which has placed high-speed Internet access at the heart of its strategy for growth, said it had 650,000 broadband subscribers on its network as of February 7, moving towards its target of one million by the middle of this year. In January, the company signed up more than 25,000 new users per week.

Net debt fell 195 million pounds in the quarter to 12.9 billion, and the company said it would fall even further in the fourth quarter when it banks the 2.6 billion pounds it received from Vivendi EAUG.PA for its stake in France's Cegetel.

Traders said BT's 7.125 percent euro bond due 2011 GB012368488= was yielding 132 basis points more than the benchmark, improving by four basis points on the day, having initially fallen by 10 basis points.

Earnings before interest, tax, depreciation and amortisation (EBITDA) grew by just four million pounds to 1.513 billion.

But BT is driving net profit growth by cutting interest payments and making cost cuts that filter down to the bottom line. It aims to hit an annual earnings per share growth target of 25 percent over the next three years.

"On balance BT feels a bit cheap to us, but we think there are no catalysts to spur the shares on from today," Schroder Salomon Smith Barney said in a research note, rating the stock "in line" with the performance of the market.

Concerns about the former monopoly's large pension fund have weighed on its share price recently. Though the stock has outperformed the FTSE 100 by two percent since the start of 2003, the British telecoms sector as a whole has outperformed the same London benchmark index by 10 percent in that period.

starting to recover as analysts start crunching the numbers - US futures marginally +

ains




scotsman

Bright outlook for BT as profits surge 37%

BY SCOTT REID


FORMER telecoms monopoly BT today posted better-than-expected profits for third quarter of the year and said it had dialled up record broadband sales last month.

The telecoms giant, which has undergone major restructuring during the past couple of years as it attempts to slash its debt pile, said underlying pre-tax profit in the three months to the end of December had risen 37 per cent to 521 million, a figure at the upper end of analysts forecasts.

Underlying earnings per share beat expectations by rising to 4.1p from 2.4p a year earlier, but group turnover fell short of forecasts, rising by one per cent to 4.7 billion. Sales at the biggest division, BT Retail, which provides traditional fixed-line telecoms services, rose 4.2 per cent to just over 3.3bn.

BTs chief executive, Ben Verwaayen, described the third quarter figures as "excellent results".

He said revenue growth had been challenging, but claimed to have gained real momentum in the corporate sector, winning a number of major new contracts.

He added: "We are achieving our key goals of improving cash flow, earnings per share and customer satisfaction."

Heavy advertising in the emerging broadband market, which provides customers with a high-speed, permanent connection to the internet, certainly appears to have paid off for BT, as the group said it had generated its highest ever broadband sales, with in excess of 25,000 new connections per week in January.

BT has set a target of five million faster internet access customers by 2006, and will have 650,000 customers as of February 7.

In addition to launching a major market awareness campaign, BT has reduced wholesale and retail connection charges and lowered the exchange upgrade trigger levels, though competition remains fierce from rival broadband providers such as NTL, Freeserve and AOL.

On a sour note, the telecoms heavyweight said it expected to show a pension deficit of up to 1.5bn for the end of 2002. Although the pension funding valuation had not yet been completed, BT said the companys actuary believed the deficit would be in a range of 1bn to 1.5bn, as falling stock markets erode the value of invested pension money.

Concerns about BTs large pension fund have weighed on its share price in recent weeks. The stock has outperformed the FTSE 100 by just two per cent since the start of the new year, despite the fact that the UK telecoms sector has outperformed the same London benchmark index by nine per cent in that period.

BT said net debt fell 195m in the quarter to 12.9bn, and added it would fall even further in the fourth quarter when it banks the 2.6bn it received from Vivendi for its stake in Frances Cegetel.

Ian Livingston, group finance director, said: "BTs financial position continues to strengthen. Underlying operating performance is strong, with earnings per share increasing by 71 per cent over last year and 66 per cent in the nine months."

BT said business call volumes have dropped off, driven by a combination of customers switching out of traditional telephony and pressure from the implementation of carrier pre-selection.

Last month, the company launched a new call package aimed at corporate users, which places a ceiling of 10p on national and local business calls and provides a single BT customer contact.

HA HA, I fanyone was even remotely interested in your thread Ains, I'd tell them to short BT.A, BAY.L and OOM. only you and the C+P's here though! see you soon.

Interesting article on sharing a bb connection - in aprils PC pro ..... covers Home and small business use

ains



LONDON (AFX) - BT Group PLC, the UK's dominant telecom company, has sought to allay investor fears about its widening pension deficit.
But many brokers said BT will need to pay more than its current 200 mln stg a year as a pension top-up to cover the shortfall.

And they also highlighted a weaker-than-expected 1 pct rise in third-quarter revenue.

BT's shares traded 7.25 pence or 3.96 pct lower at 175.25 at 1.00 pm.

The company also reported a 37 pct rise in third-quarter underlying profits to 521 mln stg, above stock market forecasts centred on 500 mln.

BT revealed its pension funds face a potential deficit of more than 1.5 bln stg -- nearly 10 times the shortfall it had just three years ago.

The company has been hit by a combination of a huge slump in equity prices and new accounting rules.

At the end of March last year BT had 71 pct of its pension fund assets in equities, then worth 19.2 bln stg.

Analysts estimate their value could have fallen by up to 5 bln stg by the year-end.

But finance director Ian Livingston said he sees no need to increase the current 200 mln stg annual top-up it is paying into the scheme.

"We have said previously we did not expect the 200 mln a year to change significantly and on the basis of the work the actuary has done to date we have got no reason to change that position," said Livingston.

But many analysts think 200 mln stg will not be enough.

Broker Merrill Lynch, in a research note, raised its EPS and dividend forecasts but still felt it necessary to increase its projected pension top-up payments needed by the company by 50 mln stg a year to 350 mln.

Merrill said BT's results "tell a familiar tale", with revenues weaker than it had anticipated, but EPS better.

BT reported profit before taxation, goodwill amortisation and exceptional items of 521 mln stg for the three months to Dec 31 2002, up 37 pct on the same three months a year earlier.

Group turnover of 4.701 bln stg was up just 1 pct over the same period.

According to an AFX News poll of eight brokers' forecasts, an underlying pretax profit of 460-530 was expected, giving a consensus of 500 mln. That compares with a 381 mln stg profit last time.

Revenues of 4.7-4.83 bln stg were expected, up some 2.2 pct on the same quarter a year ago.

The group said net debt was reduced by 195 mln stg to 12.9 bln stg at Dec 31 2002, but it received 2.6 bln stg from the sale of its stake in Cegetel to Vivendi in January.

The company aims to get its net debt below 10 bln stg.

BT also revealed record broadband sales in January, in excess of 25,000 per week, giving it a total customer base of over 650,000 as of Feb 7.

Chief executive Ben Verwaayen said the group is on track to hit its 6 mln DSL subscribers target by mid-2006.

But some analysts view the target as challenging due to fierce competition from cable operators.

tim.farrand@afxnews.com

172 now...1% revenue growth,badly recieved my market.

real chance this will retest its lows in the 150's now.i'd imagine there will be broker downgrades tomorrow morning.

I think you will find the brokers have already made their comments ....

ainsoph

169 now...their comments musn't be much good.You have been tipping this from 9.Why ?

I never tip any share and we started the thread @ 176p

did you read this dreamer - 'I hold and swing trade a few and not adverse to intraday trading them'

How many alises do you have now?



ains




BT seeks to calm fears on pension deficit, reports Q3 profit up 37 pct
LONDON (AFX) - BT Group Plc, the UK's dominant telecom company, sought to allay investor fears about its widening pension deficit.

But many brokers argued BT will need to pay more than its current 200 mln stg a year as a pension top-up to cover the shortfall.

And they also highlighted a weaker than expected 1 pct rise in third quarter revenue.

The company also reported a 37 pct rise in third quarter underlying profits to 521 mln stg, above stock market forecasts centred on 500 mln.

BT revealed its pension funds face a potential deficit of more than 1.5 bln stg - nearly 10 times the shortfall it had just three years ago.

The company has been hit by a combination of a huge slump in equity prices and new accounting rules.

At the end of March last year BT had 71 pct of its pension fund assets in equities, then worth 19.2 bln stg.

Analysts estimate their value could have fallen by up to 5 bln stg by the year-end.

But finance director Ian Livingston said he saw no need to increase the current 200 mln stg annual top-up it is paying into the scheme.

"We have said previously we did not expect the 200 mln a year to change significantly and on the basis of the work the actuary has done to date we have got no reason to change that position," said Livingston.

But many analysts think 200 mln stg will not be enough.

Broker Merrill Lynch, in a research note, raised its EPS and dividend forecasts but still felt it necessary to increase its projected pension top-up payments needed by the company by 50 mln stg a year to 350 mln.

Merrill said BT's results "tell a familiar tale", with revenues weaker than it had anticipated, but EPS better.

BT reported profit before taxation, goodwill amortisation and exceptional items of 521 mln stg for the three months to Dec 31 2002, up 37 pct on the same three months a year earlier.

Group turnover of 4.701 bln stg was up just 1 pct over the same period.

According to an AFX poll of 8 brokers' forecasts, an underlying pretax profit of 460-530 was expected, giving a consensus of 500 mln. That compares with a 381 mln stg profit last time.

Revenues of 4.7 bln to 4.83 bln stg were expected, up some 2.2 pct on the same quarter a year ago.

The group said net debt was reduced by 195 mln stg to 12.9 bln stg at Dec 31 2002, but it received 2.6 bln stg from the sale of its stake in Cegetel to Vivendi in January.

The company aims to get its net debt below 10 bln stg.

BT also revealed record broadband sales in January, in excess of 25,000 per week, giving it a total customer base of over 650,000 as of Feb 7 2003.

Chief executive Ben Verwaayen said the group was on track to hit its 6 mln DSL subscribers target by mid-2006.

But some analysts view the target as challenging due to fierce competition from cable operators. tim.farrand@afxnews.com

i would say your intraday trading would be good !