PR group Chime hits wrong note

By JONATHAN PRYNN FOR MAILONLINE
Updated:

 

LORD Bell's public relations and advertising group Chime Communications has paid the price for one of the industry's worst slumps with a steep fall into the red in the first half of the year.

Bell said the £3.9m pre-tax loss for the first six months was 'a reflection of the very difficult trading conditions experienced by us and all our competitors'. He added: 'We believe the downturn has bottomed out and we expect the second half of 2002 to be better than the first half.'

Bell also announced the resignation of joint chief executive Rupert Howell who is leaving to start his own business. He is being replaced by UK managing director Chris Satterthwaite.

Operating revenue for the period fell by a quarter to £38.1m while operating profit before redundancy costs and goodwill nosedived 42% to £5.2m. The interim dividend is anchored at 1.27p.

The company owns the PR brands Bell Pottinger and Smithfield Financial, both of which suffered from the absence of any hostile takeovers in the City.

Most watched Money videos