Ann: RXP Results Announcement, page-32

The market has never liked RXP and it has always traded at a discount to its proper PE valuation. RXP has grown via a mixture of acquisitions and staff growth; now no growth.

The risks are 2 fold:

1. They make the wrong acquisition .. too big, too expensive, wrong fit ..
2. They try to grow via staff growth and take work at lower margins to fill staff utilisation.

I've loved RXP and made a lot of money (remember the SP in the 30's!!); now not so sure. I can't see the market suddenly waking up and pricing RXP at a PE of 12 so ... it would make a great acquisition target though!!!!