Reed Elsevier Warns Of No Growth In 1999

Anglo-Dutch publisher, Reed Elsevier, this morning posted a fairly gloomy set of annual financial results and warned that less favourable trading conditions in some markets suggest 1999 will not be a year of any significant profit growth. Pre-tax profits were down by 6% to £773 million whilst turnover grew by 6% to £3.2 billion. The company also announced that preparation of computer technology for the year 2000 will cost £100 million, £25 million more than was predicted last year.

With the disposal of IPC Magazines to its management for £860 million in January 1998 (see IPC Magazines Gains Independence), Reed-Elsevier completed its move away from consumer publishing and into the business sector. “We have completed the refocusing of our portfolio on scientific, professional and business publishing. We further extended our ownership of core content through acquisitions, a process which will continue, facilitated by our high cash flow and strong financial position,” said chief executive Nigel Stapleton.

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Reed Elsevier: 227 5670