UPDATE 3-Tate & Lyle warns on pricing as H1 profits dip

Fri Nov 6, 2009 9:12am GMT
 
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* Warns of more competitive U.S. sweetener pricing

* Says on track to meet its expectations for year

* H1 pretax profits 112 mln pounds, consensus 113 mln

* Half-year dividend unchanged at 6.8 pence

(Adds comments by finance director, analyst; share price)

By David Jones

LONDON, Nov 6 (Reuters) - British sugar refiner and sweetener group Tate & Lyle Plc (TATE.L) warned on Friday of pricing pressures for U.S. corn sweeteners, its biggest single market, after reporting a 13 percent dip in first-half profits.

The warning on tougher pricing came as investors wait to hear from new chief executive Javed Ahmed on his plans for the company after taking over the reins at the start of October.

Prices for Tate's corn sweeteners sold to big soft drink and industrial users in the United States are usually agreed towards the end of every calendar year and Tate cautioned that the next pricing is unlikely to be much better than last year's.  Continued...

 

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