SCOTTISH & Newcastle, the UK's largest brewer, said the disposal of its Center Parcs holiday villages would be delayed for a few weeks while the company clears up after a major fire at one of its European sites.

The fire at the De Eemhof Center Parcs village in the Netherlands in May means the sale of the division, which analysts expect to fetch up to £800m for S&N, will be delayed until later in the summer.

S&N had originally said it wanted to dispose of Center Parcs by the time of its annual results, published today.

But Derek Wilkinson, group chief finance director, said the fire would mean "a slight delay in the process".

Mr Wilkinson indicated S&N was still considering a number of offers for the division, both from venture capital companies and trade buyers.

In May the brewer drew up a shortlist of bidders, including three venture capitalists and French group Pierre et Vacances.

S&N has also put its Pontins holiday camps up for sale, which it anticipates will be completed by the end of 2000.

The City expect the Pontins business to raise about £30m.

Mr Wilkinson added the recent acquisition of Whitbread's brewing division by Interbrew signalled the increasing trend of consolidation within the market, with fewer, larger players dominating the sector.

"It is going to continue to be a competitive market," he said.

He predicted Euro 2000 would have some impact on this financial year, probably boosting take-home sales.

Turnover at the group in the year to April 30 was up 8 per cent to £3.6bn, from £3.3bn in 1999.

Pre-tax profits after one-off costs were £262m, down from last year's £324m.

But S&N cited exceptional costs of £146m, including the integration of the Greenalls pubs and restaurants group, acquired for £1.1bn last December. S&N's Scottish Courage subsidiary saw turnover grow by 4.7 per cent in the year, boosted by take-home sales over the millennium.

A total of 74 per cent of its volumes came from sales of its Foster's, Miller, Becks, Kronenbourg and John Smith's brands.

At Center Parcs, operating profit was up 16.5 per cent at £58m.

Shareholders will receive a dividend of 17.94p for the year.