Forth Ports to delay property spend due to downturn

LONDON (Reuters) - Scottish ports-to-property group Forth Ports has deferred 60 to 70 percent of its property infrastructure spend due to the market downturn, Chief Executive Charles Hammond said on Thursday.

The company has delayed around 40 million pounds of spending on projects such as road and sewage development until at least 2010, Hammond told reporters, reducing outlay to about 10 million pounds a year.

"That is infrastructure spend we are deferring in light of market conditions -- its about 60 to 70 percent of what we planned over the next three years," he told reporters.

Forth Ports' main project is a development of the waterfront of Scottish capital Edinburgh.

The decline in value of its property assets reduced its first-half pretax profit to 9 million pounds from 12 million in the six months to end June -- although Hammond said he was not looking to sell anything in the short term.

Hammond also said the outcome of a key bid to be selected as the East Britain logistics hub for the London Olympics in 2012 was expected during the second half.

He said the contract would have a "significant impact" on the performance of its flagship London port of Tilbury if the contract was awarded.

(Reporting by John Bowker; Editing by Greg Mahlich)