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BUZZ-Babcock: stock slumps after US rival wins UK govt contact

Reuters - UK Focus

** Babcock falls as much as 5.6 pct after US rival Leidos snaps up UK government contract

** Babcock had formed JV with logistics firm DHL for the LCST contract

** LCST project is a programme to outsource commodity procurement, warehousing and distribution services

** Biggest one-day fall for Babcock shares since March 2014, second top faller on FTSE 100 and among the most traded

** Pares some losses to last trade down 3.8 pct

(RM (LSE: RM.L - news) : alasdair.pal.thomsonreuters.com@reuters.net)