FOOD will feature heavily in the minds of market watchers next week, as updates are due from supermarket chains Tesco, Safeway and Somerfield.

Tesco will kick off the week with its trading statement on Monday, coming hot on the heels of arch-rival Sainsbury's update yesterday.

Jon von Spreckelsen, who took over as executive chairman of Somerfield last year, will unveil interim figures on Tuesday, and investors will be hoping for better news than that reported at its full-year stage.

Somerfield, whose problems stem from its merger with Kwik Save in 1998, reported a steep dive in profits in July.

The City is expecting the group to report a loss at the half-year stage, although it is hoped Mr von Spreckelsen will show he has improved like-for-like sales. As well as interest in Somerfield, Safeway will be grabbing some of the spotlight on Tuesday, as it unveils its trading update for the last three months.

Away from the retailers, eyes will also be on industrial conglomerate Tomkins' half-year results on Tuesday.

The City will be keen for its outlook on trading, particularly as the group is very biased towards the US and to the auto and construction industries. Stockbroker Gerrard is predicting pre-tax profits of £175m, against £211.7m last time.

Car dealership Reg Vardy warned in December that full-year profits were likely to be dented by continuing uncertainty surrounding car prices.

At the time it was thought interim pre-exceptional profits would come in at £13.5m for the first half, compared with £14.9m for the same period last year.

lCompanies reporting next week:

MONDAY - Interims: Bits Corporation, Inter Link Foods, Topnotch Health Clubs.

TUESDAY - Finals: Domino Printing, Newsplayer.

Interims: Aim, Anite Group, Precoat International, Somerfield, Surf Control (Q2), Tomkins, Tops Tiles.

WEDNESDAY - Interims: DTZ Holdings, Reg Vardy, Whittard of Chelsea.

THURSDAY - Finals: ML Laboratories, SCI Entertainment.

Interims: Budgens.

FRIDAY - Interims: Old Monk Company.