Worries ahead of KPN results

Money's too tight to mention...

Investors are bracing themselves for some bad news from Dutch carrier KPN ahead of first-half results expected out later today. The company is said to be under pressure to tell investors how it will reduce its debts especially as the proposed de-merger with Belgacom collapsed on Friday, according to reports this morning. A source close to KPN was reported as saying there is no panic yet, but the company is under increased pressure to find money. The Dutch company's debt is currently E20.3bn (£12.6bn), which it has tried to reduce by selling off some of its non-core assets. On Friday, the company's shares fell 23 per cent, trading at E3 (£1.87) apiece.