UK's Saga shares plunge after cuts profit forecasts
Saga
(Reuters) -  Britain’s Saga Plc (SAGAG.L)  said  it  expected  its  underlying pretax profit to grow by just 1-2 percent in the current year and fall five percent next year  sending  its  shares 20 percent lower.
Monarch airplanes are parked on the runway after  the airline  went into administration at Newquay airport  Newquay  Britain  October 26  2017  REUTERS/Toby Melville
 Saga shares  tumbled 20 percent to 144.1 pence by 0825 GMT  taking  them  to the bottom of the FTSE Midcap Index .FYMC.  They  were priced at 185 pence when the company listed in 2014.
 Saga  said  its  tour business would see one-off cost of about 2 million pounds ($2.7 million) hurt by Monarch going into administration.
 Saga  also said  it  had completed a review of  its  operating structure and would see about 10 million pounds of annualized savings next year.
 The company  said written profit for  its  retail broking business in the year ending Jan. 1 was expected to be ahead of a year earlier  but added that strong performance in motor insurance was partially offset by a challenging trading in home and travel insurance.
The drop in the pound since the Brexit vote has hit many British consumers’ spending power  but  Saga  said  its  travel segment is expected to perform strongly ahead of a year earlier.
 Saga  said in September that older Britons are still going on holiday despite a squeeze in incomes but some are opting for shorter or lower-star vacations.
(Reuters) -  Britain’s Saga Plc (SAGAG.L)  said  it  expected  its  underlying pretax profit to grow by just 1-2 percent in the current year and fall five percent next year  sending  its  shares 20 percent lower.
Monarch airplanes are parked on the runway after  the airline  went into administration at Newquay airport  Newquay  Britain  October 26  2017  REUTERS/Toby Melville
 [TGT]tumbled 20 percent to 144.1 pence by 0825 GMT  taking  [TGT]  to the bottom of the FTSE Midcap Index .FYMC.  [TGT]  were priced at 185 pence when the company listed in 2014.
 [TGT]said  [TGT]  tour business would see one-off cost of about 2 million pounds ($2.7 million) hurt by Monarch going into administration.
 [TGT]also said  [TGT]  had completed a review of  [TGT]  operating structure and would see about 10 million pounds of annualized savings next year.
 [TGT]said written profit for  [TGT]  retail broking business in the year ending Jan. 1 was expected to be ahead of a year earlier  but added that strong performance in motor insurance was partially offset by a challenging trading in home and travel insurance.
The drop in the pound since the Brexit vote has hit many British consumers’ spending power  but  [TGT]said  [TGT]  travel segment is expected to perform strongly ahead of a year earlier.
 [TGT]said in September that older Britons are still going on holiday despite a squeeze in incomes but some are opting for shorter or lower-star vacations.