Minutes of Meeting of The Investment Team Shareclub

Date and time: 8.00pm 19 December 2001

Venue: Mark's house

AGENDA

1. Current prices

2. Adjust buy/sell

3. Homework

MINUTES

1. Current Prices

C+W(1) up 6%
C+W(2) up 34%
MTO up 2%
RBOS up 7%
TLW down 1%

Overall up 10%

2. Adjust Buy/Sell

RBOS high sell price move to +15% (1796)

3. Homework

Mark recommends Mitie Group (see previous minutes for June). Tipped by Sunday Times. MOD contract in the offing £442 million.

JP recommends Lastminute.com. Tipped in Independent; growing strongly in Europe. Many people now looking to travel in Europe rather than USA, their strongest field. Graph looks good, fallen but steadily rising. 1 Strong buy, 2 moderate, 2 moderate sells.

Bob recommends Shire Pharmaceuticals (see previous minutes). Price has come down again, solid company and management. 10 strong buys, 1 moderate, 1 moderate sell.

John recommends Retail Decisions. Do Fraud Prevention on credit cards etc, dealing with high street banks, petrol stations etc. Recent deals with Txys, biggest American supplier of credit cards. Strong in ecommerce which has taken off post September 11th. Graph has fallen, 2 strong buys, 2 holds. P/E 27 vs sector average 18.

Pablo recommends. Shares magazine says look at PCF ratio which indicates how much money company holds in relation to number of shares. Lower the ratio the better. Lex Services do car leasing and transport; work with the RAC and AutoWindscreens. New cars are getting more affordable which will increase Lex business. Appears to be losing money but newly acquired businesses not yet making money. Forecast looks strong. 5 strong buys, 1 moderate, 1 hold. They have sold core business, we don't why. Also new company car rules will reduce fleet business.

Pablo also recommended Invensys, much improved cash flow and performed better than expected. Graph risen sharply but we've probably missed the boat. 6 Strong buy, 12 hold, 4 moderate sell, 2 strong sell.

4. Voting

We've got £750 to invest, buy one share. We voted on Shire, Lex, Retail decisions, Invensys, Mitie, Lastminute.

Shire Phamraceuticals won.

Buy on Wednesday. Low sell price -20% high sell price +20%.

5. Next meeting

Friday 11th January 2002. Venue TBD.

ACTION ITEMS

Action 1. The usual homework, the usual excuses.

Action by:

JP Nicholls