Peninsular and Oriental Steam NavigationCo Plc &lt;PORL.L>, P and O, said it plans a free warrant issue on
the basis of 10 warrants for every 150 stg nominal of deferred
stock already held, to mark the 150th anniversary of the
company.
    Each warrant will give the right to subscribe for one stg
nominal of deferred stock at 750p during a specified period in
the five years starting in 1988.
    P and O deferred shares were last quoted at 629p, down 1p
since yesterday, after the company reported 1986 pre-tax profit
of 174.1 mln stg against 125.6 mln for 1985.
    P and O said 1986 produced an acceptable level of growth,
though ground has to be made up in one or two areas.
    The company has a strong balance sheet and considerable
flexibility for 1987, it added. P and O will concentrate on
expanding in its established market sectors.
    Commenting on the recent ferry disaster in the North Sea
off Zeebrugge, the statement said the precise cause is unknown.
The company has instituted an immediate investigation and both
the British and Belgian governments are conducting inquiries.
    The stricken ferry, the Herald of Free Enterprise, belongs
to Townsend Thoresen, which became part of P and O in January.
    P and O is considering listing its shares in Japan and
other important overseas financial centres, the statement
added.
 REUTER
