Kvaerner Rashleigh Weatherfoil accounts

Sir,

With reference to your article on the mechanical and electrical sector (CJ 12 August) entitled 'Further expansion during 1998 means M&E market set to hit £12.6 billion,' I would like to correct the information included concerning Kvaerner Rashleigh Weatherfoil.

The figures used under this heading are not for this company but for Andrews Weatherfoil which Kvaerner Rashleigh Phipps acquired in May 1997.

Following the acquisition Kvaerner Rashleigh Phipps changed its name to Kvaerner Rashleigh Weatherfoil and Andrews Weatherfoil ceased to trade.

Over the period mentioned in your article Kvaerner Rashleigh Phipps has been consistently in profit.

The acquisition of Andrews Weatherfoil has been a very successful expansion for our business and following its merger into Kvaerner Rashleigh Weatherfoil, both our turnover and profit increased considerably. This trend is set to continue as the projected turnover for 1998 is £120 million.

The published accounts for Kvaerner Rashleigh Phipps prior to the acquisition are: Turnover and pretax profit for the 12 months 1 October 1994 to 30 September 1995 are £28.9m and £0.9m respectively.

And for the 15 months from 1 October 1995 to 31 December 1996 turnover and pretax profit are £62.8m and £1.6m.

These figures include seven months of the merged Weatherfoil business.

The following are currently with the auditors but have been included in the Kvaerner group accounts announced earlier this year: Turnover and pretax profit for the 12 months 1 January 1997 to 31 December 1998 £91.8m and 2.3m respectively.

Peter Coote

Managing director

Kvaerner Rashleigh Weatherfoil