Arriva says 2008 outlook positive

LONDON (Reuters) - Bus and train operator Arriva (ARI.L) said the outlook for this year remained positive as it forecast revenues and earnings for the first half and full year would meet expectations.

Arriva also said in a statement on Thursday it had fixed its 2008 fuel requirement at 28 pence per litre and 75 percent of its anticipated consumption next year at 39 pence.

Arriva, which runs over 13,000 buses and trains across Britain and Europe, said its first-half revenue will increase by more than 50 percent, delivering significant earnings growth as each of its three divisions performed well.

"Our UK bus division has continued to grow strongly. This is as a result of more passengers and network development in the regions, increased contract mileage in London, and the acquisition of airport-based operations," Arriva said.

Arriva is expected to report 2008 profit before tax and amortisation of 159.7 million pounds after 123.2 million pounds in 2007, according to the median estimate of nine analysts polled by Reuters Estimates.

Bus and train operator Go-Ahead Group (GOG.L) said last week it was on track to beat profit expectations as more people switch to public transport amid rising petrol prices driving analysts to raise their profit forecast by around 7 percent.

(Reporting by Rania El Gamal; editing by Sue Thomas)