Updates from Tesco, Dairy Crest and EE

Tesco admits getting profit forecast in a mess - investigation to follow

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savings, tax, stockmarket, pensions, cash, investment FTSE 100Friday saw the FTSE 100 rise just 18 points to 6,837.9. 3i Group was the biggest winner, up 3.29% to 398.90p with St James's Place up 3% to 721p. There was also a 2.46% rise for RBS, to 366p. Both miners Randgold Resources and Rio Tinto saw pressure, down 1.69% and 1.56%.

Across the water the Dow Jones climbed again to 17,279.7 - a record high - helped by the biggest IPO in history from Alibaba, now valued at more than $230bn.

We start with a trading update from Tesco- or rather a pretty serious numbers foul-up. Tesco's Board believes the guidance it issued on 29 August for Group profits for the six months to 23 August was overstated by £250m.

Work is "ongoing" on what impact they will have on the full year the company says. The number crunching relates to its food business.

"We have uncovered a serious issue and have responded accordingly," says boss Dave Lewis. "The Board, my colleagues, our customers and I expect Tesco to operate with integrity and transparency and we will take decisive action as the results of the investigation become clear."

Tesco Slashes Dividend After Second Profit Warning In Two Months
Next, Dairy Crest. In a "challenging" trading environment it expects first half Group profits broadly in line with last year though property profits from the sale of surplus delivery depots will make up a greater proportion of profits than in the same period last year.

Sales of its four key brands, Cathedral City, Clover, Country Life and FRijj grew 4% in the first quarter compared to the first quarter of the year ended 31 March 2014. Cathedral City, the largest of the four continues to grow market share claims Dairy Crest.

However its dairy operations were loss making in the period despite the increase in property profits and Dairy Crest says it has "regrettably cut the prices we pay to our farmers for their milk in line with the rest of the market".

Finally, its thought EE is in discussions to take on as many as 60 stores from Phones4U. Vodafone has already agreed to take on 140 outlets.

However more than 600 employees at the Newcastle-upon-Lyme have lost their jobs. An announcement from EE on the store restructuring is imminent.

It's quite a retail car crash; while Vodafone and EE are saving some jobs, their move to end their relationship with Phones4U helped send the retailer to the wall.

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