Saatchi Misses out on Industry Boom

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SAATCHI & SAATCHI, the troubled advertising group, is expected this week to warn its bankers that there is little hope of significantly improving its financial performance in 1994.

The company's gloomy outlook is in stark contrast to improving conditions in the US and UK advertising markets, which has fuelled a surge in agency stocks.

However, confidential budgets prepared for Saatchi's bankers suggest that it is unlikely to lift its underlying performance for at least another year, further pushing back repayment of its estimated pounds 160m bank debt.

The group is understood to be forecasting no significant rise in revenues, operating profits or margins …