By Carla Mozee, MarketWatch
Thorntons slumps 25% as it warns on profit
LONDON (MarketWatch) -- U.K. stocks rose Tuesday, with
consumer-products heavyweight Unilever PLC gaining following the
purchase of two well-known brands, but shares of BG Group PLC were
on the losing end of the FTSE 100 benchmark.
The FTSE 100 rose 0.6% to 6,616.94, looking for a sixth
consecutive advance.
Unilever shares rose 1.2% as the company agreed to buy the Zest
and Camay soap brands from Procter & Gamble Co. (PG) for an
undisclosed amount. The brands logged revenue of $225 million in
the last fiscal year, said Unilever. The sale is expected to close
in the first half of 2015.
But losing ground was BG Group PLC , down 2.2% after Standard
& Poor's Ratings Services said it may downgrade the A-
corporate credit rating of the BG Energy subsidiary oil
producer.
"We could downgrade the company by one notch if we foresee a
further substantial rise in debt in 2015, or if oil prices remain
below our current 2015 average price assumption," S&P said in a
statement late Monday.
S&P also outlined concerns about highly rated oil and gas
companies including Royal Dutch Shell PLC and BP PLC . Shares of
Royal Dutch were higher by 0.8% and BP rose 0.5%, as oil prices
edged higher.
Outside the main index, shares in Thorntons slumped 25% as the
chocolate maker warned it now expects earnings in fiscal 2015 to be
below those of the previous year.
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