Shares in Capital slump

Shares in Capital Radio fell heavily today due to investor concerns over advertising revenues and disputes surrounding a new executive payment scheme.

The scheme would pay bonuses upwards of 75% of salary to the company's senior executives, but other shareholders have been asked to vote against the scheme at Capital's annual general meeting this week by the National Association of Pension Funds.

Additionally, a reported advertising slump at ITV partners Granada and Carlton further unsettled the market, with radio advertising revenues mirroring those of TV. As a result, Capital's shares fell 4% to 450p at the end of trading on Friday.

Speaking to Reuters, financial analyst Simon Mays-Smith commented: "The weakness we're seeing today is a follow on from the weakness we've seen in ITV over the past few days. It'll be difficult for Capital to say anything that's positive at the AGM."