Company reveals mixed fortunes.

Project management company AMEC, which employs 400 workers at Darlington, today warned half-year results would be at the bottom end of hopes after further tough trading in its UK construction arm.

While its investment business and oil and gas divisions showed continued strength, the company said trading remained poor in UK construction, resulting in a first half "weaker than previously anticipated".

For the full financial year, AMEC said it still expected to meet market forecasts.

AMEC also said that profits from the disposal of its French business will be in the region of pounds 295m.

The group announced the sale of AMEC SPIE - a specialist provider of services in the energy and rail industries - last month, as part of a major restructuring which will see it separate its core energy and process management operations from its building activities.

The UK company is to sell SPIE for pounds 707m to PAI Partners, a European private equity firm with investments including car parts specialist Kwik-Fit.

Chief executive Sir Peter Mason said he was delighted with the result of the sale of AMEC SPIE.

He said after one-off charges, the gain of pounds 230m after tax in 2006 gave AMEC "flexibility for future investment" while also allowing the possibility of a return of cash to shareholders.

AMEC employs around 45,000 people in more than 40 countries.