Last week's trading statement from Whitbread was the most positive for some time, with sales growth accelerating in the fiscal first quarter. The boost in sales was helped by a rebound at David Lloyd gyms and growth at budget lodging chain Premier Travel Inn.

Whitbread, a UK operator of restaurants, hotels and fitness clubs, reported a 1.6% increase in revenue at outlets open at least a year. The figure excludes Whitbread's 50% stake in Pizza Hut's UK restaurants, which the company has said it may sell.

Total sales from continuing operations increased 6.9%.

Whitbread is banking on the expansion of its hotel chain and Costa cafes to keep revenue growing as higher energy costs prompt consumers to spend less at restaurants. The company is seeking to sell assets including 235 Beefeater and Brewers Fayre outlets.

Johnston Press

Johnston Press shares are quite cheap, trading on a historically low of 11.2 times 2006 earnings.

However, with the economic outlook remaining so uncertain investors may want to steer clear of the shares. Johnston Press, the publisher of regional British and Irish newspapers including the Leinster Leader, reported last week that first-half advertising revenue dropped as ads for jobs and cars declined. Ad sales for the five months ended 3 June fell 9.4% from a year earlier. Advertising clients of UK publishers including Johnston Press and Trinity Mirror have cut back, particularly in recruitment, as last year's economic slowdown and higher energy costs prompted companies to shed workers in the UK. Shares of Johnston Press fell 3.4% to 427.25, their sharpest drop in a month last week.