Linde cut to underperform by Credit Suisse First Boston

LONDON (MarketWatch) -- German chemicals and engineering company Linde AG (

DE:648300

) has been cut to underperform from neutral by Credit Suisse First Boston, saying Linde has the most significant exposure to Europe of any company in the sector and therefore sees "only limited prospect for an improvement in cash generation from the group." The broker said Linde shares have outperformed the European chemicals sector by 10% over the past three months, but the group's cash flow profile remains poor despite a strong demand recovery in Linde's material handling business in 2004. Shares slipped 1.1% in early Frankfurt trade.