PRIVATISATION of British Rail should provide a boost to National

Express Group as under private ownership many uneconomic routes would be

cut out while elsewhere fares would rise to give Britain's biggest coach

group a significant competitive opportunity.

Yesterday's National Express pathfinder prospectus indicated that

pre-tax profits of #6.5m would be achieved this year including an

exceptional #500,000 gain compared with last year's #1.2m loss. That was

struck after exceptional costs of #5.5m as the new management team

rationalised earlier over-expansion.

Shares are being placed with institutions with there being a 25%

clawback facility to meet applications from the public. The issue price

will be revealed on November 24.

National Express operates to over 1000 destinations from seven hubs,

including Glasgow. It carried 11,800,000 passengers last year with by

far the most important asset being Victoria Coach Station in London.