BREWING and leisure group Whitbread saw profits edge up despite difficult trading conditions.

The firm, which employs more than 1,000 in East Lancashire, reported profits up three per cent to £213.6 million in the six months to August 28, compared with the same period last year.

Sales rose to £1.6 billion, a rise of three per cent.

The beer division, which employs around 600 at Samlesbury, saw operating profits increase by 9.8 per cent. Earlier this year a new £12 million bottling line was installed at the brewery which is the firm's largest in the country.

Chairman Sir Michael Angus said that the overall results were a "reasonable performance in subdued markets"

And he said that the aborted takeover of Allied Domecq had overshadowed group's continuing efforts to become the country's leading leisure firm.

Shareholders will receive a dividend of 7.75p a share.

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