Eurotunnel on track to break even

CHANNEL Tunnel operator Eurotunnel has said it is on track to break even this year after increasing revenues from its key shuttle services.

Chairman Charles Mackay said the company had made 'good progress' and added that asylum seekers were no longer affecting the business.

Eurotunnel has spent millions on improving security at its Coquelles terminal in France to prevent refugees disrupting its freight services to the UK. Shuttle service revenue rose 7% to £159m in the six months to June 30 with double-digit growth coming from the company's truck business.

And a move away from the day-trip end of the car passenger market saw revenues from the car business rise for the first time in two years.

Eurotunnel has focused on the short break and long stay sectors and the higher returns offset a 9% dip in car volumes to 1.1m in the first half.

The revenue growth meant underlying losses in the six months were £76m, a £3m improvement over the same period a year ago.

Mr Mackay said: 'There is now a real chance that we shall achieve our target of cash break-even in 2002, or certainly come very close to it.'