Euro Disney slips on profit slide

DISAPPOINTING year-end results knocked 5% off Euro Disney shares. This was despite reassurance that the company's second theme park at Marnela-Vallée, on the outskirts of Paris, will open on budget next spring.

The shares eased to e0.77 after Euro Disney unveiled net profits of only e30.5m (£18.6m) for the year to end-September, down 21% and against analysts' expectations of e35m, on revenues up 4.8% to e1.01bn.

The poor performance in a buoyant economy prior to the 11 September attacks on the US raises worries about how Euro Disney will fare now that times are tougher. It is about to unveil a new attraction just as its first is about to celebrate its tenth birthday.

Euro Disney said it had 'no certitude' about the impact of the tougher climate on 2002 trading, but had drawn up strategies for cost cutting.

Meanwhile, it has spent e350.6m on the second theme park, which is within budget and ahead of schedule. The opening is planned for 16 March next year.