P505 Teletext 505 Jun 1 03:50:56 ————————————————————————————— LUCAS AND VARITY IN £3bn MERGER Car parts and aerospace group Lucas Industries and Varity Corporation of the US have announced a merger. The combined group, to bj called LucasVarity, will have a stock market value of £3.2bn. The dial will create one of the world's leading producers of car and braking systems. Lucas shares weti up 13p at 244p on news of the link-up. ——————————————————————————————————1/2—— FOCUS LucasVarity a world leader 506 HAVE YOU SEEN FAMILY FINANCE? p540 Next CompNews Shares Family FinanceP505 Teletext 505 Jun 1 03:52:15 ————————————————————————————— LUCAS IN AMERICAN LINK-UP Lucas said a mjrget with Varity would result in cost savings of £65m in the second year after the dial. However, the pain of achieving those savings would involve one-off restructuring costs of up to £50m. But Lucas emphasised the combination of the savings, subsequent revenue growth and potential tax benefits was expected to benefit shareholders of both firms. ——————————————————————————————————2/2—— FOCUS LucasVarity a world leader 506 HAVE YOU SEEN FAMILY FINANCE? p540 Next CompNews Shares Family Finance