Underlying operating profits from UK ports and transport activities is expected to grow by some 3%, the disparity explained by higher insurance costs since the attacks in America on 11 September 2001.

The UK ports business continued to develop in the second half of 2002, adding new revenue related investments totalling more than £11m. These include an agreement in principle with Saint-Gobain Building Distribution for a £4.6m terminal development at the Port of Newport, a term contract involving the provision of a £1m forest products terminal at the Port of Immingham, and a £1.5m development of a third cruise terminal at the Port of Southampton.

The group continued its policy of selling non-operational port located property to pull in another £25m last year and take the total value of land sold since 1 January 2000 to £163m.

The final sale of 2002 saw the pre-Christmas announcement that 24 acres at the Port of Plymouth had been sold jointly to English Partnerships and the South-West of England Regional Development Agency for £9m cash. The land at Millbay Docks will now be redeveloped as marine related business units along with apartments, offices, a hotel, cafes and restaurants.

ABP's port offices and its engineering workshop will relocate to facilities within the Ferryport complex.

MJ Information No: 17810