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CORRECTED - UPDATE 2-Rolls-Royce sees sales growth, markets still tough

Wed Nov 4, 2009 3:52pm IST
 
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(Corrects year-earlier operating profit in paragraph 4 to 880 million pounds, not 872 million)

* Sees flat profit, growing sales in 2009

* Says no evidence of return to growth in its mkts

* Analysts say civil aero unit could be hit next year

* Shares down 2.8 pct

(Adds company, analyst comment, shares, details)

By Rhys Jones

LONDON, Nov 3 (Reuters) - British engine-maker Rolls-Royce Group (RR.L: Quote, Profile, Research) said there were no signs of a sustained recovery in its aviation and defence markets and profit is likely to be flat this year, despite an expected rise in sales.

"Global economic activity remains depressed. Whilst some emerging economies have shown signs of recovery, there is no evidence yet of a sustained and general return to growth across the group's markets," Chief Executive John Rose said in a third-quarter trading update on Tuesday.  Continued...

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