Logistics company Wincanton PLC (WIN.LN) Wednesday said despite a clutch of major new contracts the economic slowdown is hitting business and full-year earnings will be at the lower end of analysts' forecasts.

The company said it won contracts with Mars in Poland, SCA in Germany, Velux in France and BAE Systems PLC (BA.LN) and Marley in the U.K.

It added it is poised to announce details of significant contract wins with a major U.K. retailer, which it expects to be one of the largest awards in the market this year. Wincanton has also been named preferred contractor by an unnamed German industrial group for a large pan-European supply chain management contract, it said.

However, Wincanton said it doesn't think these news contract wins and a cost-cutting program will offset decline in demand for its services elsewhere, especially in the construction, home delivery and recycling markets.

Wincanton said it expects earnings for the year to end-March to be broadly similar to last year and at the lower end of analysts' forecasts.

Analysts on average forecast Wincanton will post a full-year pretax profit of GBP44 million. The lowest forecast is for a pretax profit of GBP38.5 million, according to FactSet.

Company Web site: www.wincanton.co.uk

-By Jason Douglas, Dow Jones Newswires; 44-20-7842-9272; jason.douglas@dowjones.com

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