Affiniti parent KCOM latest to reveal Lehman Brother's hit


Affiniti parent KCOM latest to reveal Lehman Brother's hit

Microscope contributor

The fall-out from the collapse of Lehman Brothers continues to ripple across the channel with Affiniti and Kingston Communications parent  KCOM warning it could be hit by £3m by the demise of the financial institution.

In a trading update issued ahead of interim figures for the six months ending 30 September, which will be announced towards the end of November.

"The failure of Lehman Brothers is expected to result in a reduction to EBITDA of no greater than £3 million in the current financial year," stated the update.

In a supporting statement, chairman, Michael Abrahams, said that the company remained committed to providing shareholders with value.

Other players in the channel have already been hit by the problems experienced by Lehman Brothers, including Computacenter and Morse.

Despite the collapse of the company this week has seen other employers courting those staff who were sacked.

"A large proportion of those people knew how to make money and have not forgotten that and can do again," said one source in the City.

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