RUMOURS RIFE OF SECTOR CONSOLIDATION.AM VERYVERYVERYVERY LONG!!!!!!!!!!

Indeed. If it holds this today it will close at an all time high.

Lookers says Q3 trading falls 20 pct
AFX


LONDON, Oct 30 (Reuters) - British car dealer Lookers said on Thursday third-quarter trading had fallen off by around 20 percent due to the turbulent macroeconomic environment, and the outlook for the industry was poor.

The motor retail group said trading through September continued to be tough, with the Society of Motor Manufacturers & Traders reporting a downturn of 21 percent in the national new car market, resulting in a fall of 19 percent in the third quarter.

'Against this background, Lookers experienced a similar decline (19-21 percent) over the period in new car sales ... Trading conditions are currently very difficult, and the outlook for the industry for the remainder of the year remains challenging,' Chief Executive Ken Surgenor said in a statement.

However, the group said it was still generating cash and net debt at the end of September was in line with its expectations. The firm added that it had adequate banking facilities in place for the medium term.

The after-sales markets, including parts distribution and servicing, have continued to trade strongly throughout the third quarter, Lookers said.

The company said it hoped to cut costs further by redirecting volume back to its main hubs, reviewing franchises where facilities are larger than needed and exiting underperforming businesses.

I'm seriously looking at this today.

Their cars may not be worth much but their sites might be valuable.

Ah its moving up strongly now.

Agree they have prominent sites in all big towns got to worth something.

Hi Mitzy,

long time no see.

Well ive just realised who you are across the road on the CR thread. Hope your keeping well.

Are these sites lookers have, freehold or leasehold or a combination?.

Morning gf


Yes I posted on CR's thread when the share touched 19p last week and now its recovered to 33p so a good return....I've no idea as to what they own I imagine a combination of leasehold/freehold ..

Also keen on RAY..cheers.

Directors have bought 1% according to RNS.

Hi gf..

RAY has doubled today amazing.

http://www.fleetnews.co.uk/news/story/BUDGET-2009-Scrappage-scheme-includes-vans/49921

On a run up, keep your eyes on it.

i haven't seen a 'classic' breakaway gap followed by a 'halfway gap' for a long time.
i'm keeping my eyes on it gf. thanks for bringing it to my attention.
regards
jkd

Business Financial Newswire
"Motor retailer, Lookers confirms that it is trading ahead of budget and that it is currently highly cash generative.

At the end of last month the Group said that the first quarter performance was ahead of expectations, and ahead of the first quarter of last year.

The Company says that this encouraging perforamnce has been maintained in recent weeks reflecting continued strong performance in used car sales and further growth from Lookers' aftersales and after market parts distribution businesses.

Ken Surgenor, Chief Executive, confirms: "Our diversified business model and market-leading aftersales offering coupled with the cost savings we are realising is enabling us to trade resiliently through a tough market."

Teh Group says it is in advanced discusions regarding new funding arrangements and adds that it is considering alternative sources of capital in order to minimise the addtional cost of bank borrowings. "

Now that the £2k scrap deal has kicked in, I would expect this to impact well for this company.

Lookers plc - 3 July 2009
Publication of Prospectus and Expected Timetable

Further to the Company's announcement on 26 June 2009 in relation to a share issue to raise gross proceeds of GBP80.7 million (approximately GBP76.5 million net of expenses) through the issue of 201,856,192 New Ordinary Shares by way of a Firm Placing and Placing and Open Offer at a price of 40 pence per New Ordinary Share, the Company announces that a prospectus relating to the Firm Placing and Placing and Open Offer (the 'Prospectus') was approved by the UK Listing Authority (the 'UKLA') earlier today.

The Prospectus will be posted to Shareholders today, and copies of the Prospectus, which includes a notice convening a general meeting of the Company to be held at the office of Mayer Brown International LLP, 201 Bishopsgate, London EC2M 3AF at 10.30 a.m. on 22 July 2009, will shortly be available for inspection at the UKLA's Document Viewing Facility, which is situated at Financial Services Authority, 25 The North Colonnade, Canary Wharf, London E14 5HS.

In addition, the Prospectus will shortly be available to view on the Company's website (www.lookers.co.uk) and will be available for inspection at the office of Mayer Brown International LLP, 201 Bishopsgate, London EC2M 3AF"

"Lookers declares interim results on the 19th and broker Panmure Gordon is expecting a strong set of figures, with adjusted profit before tax predicted to rise to 15.9m from 15.3m in the first half of last year, despite a projected 8% decline in revenue to 956.1m.

In terms of cash generation/balance sheet, we would expect debt reduction to be on track to hit our 60.2m post placing net debt estimate, implying gearing levels of 52% and a healthy net debt/EBITDA of 1.3x. As long as its key covenant of net debt/EBITDA is kept below 2x, Lookers should benefit from annualised interest charge savings of 7m as indicating in its fund raising documents, the broker stated.

Broker KBC Peel Hunt is going for pre-tax profit of 16.1m, equating to earnings per share of 6.2p. The broker believes that the strength of current trading will have more influence on broker estimates than the first half numbers."

Problem to determine whether sp already has the good figures built in, which would mean a drop if they are below expectations.

Recovery share for 2010, worth a LOOK!

RNS full year results to exceed market expectations.

3 Brokers below have put out BUY notes over the last few days. Not sure what they contained. (hemscott premium)

Lookers PLC

FORECASTS
2010 2011

Date Rec Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Panmure Gordon
25-03-10 BUY 30.50 5.58 1.80 32.50 5.95 2.05

Numis Securities Ltd
24-03-10 BUY 31.00 5.50 1.80 32.90 5.90 1.90

KBC Peel Hunt Ltd
24-03-10 BUY 31.87 5.79 1.95 35.79 6.50 2.24

Brewin Dolphin Investment Banking
23-03-10 ADD 31.10 5.80 1.80 34.20 6.40 2.00