Benefiting from £180,902 of profits on the disposal of six pubs during the year to December, P'n'B nearly managed to hit broker expectations in 2002, reporting total pre-tax profits of £1.25m. Meanwhile a revaluation of the company's estate resulted in reported net asset value moving up from 48.8p per share to 62.7p, leaving the shares trading on a hefty a 49% discount to NAV. However the shares look set to remain in slumber unless there is much sign of this value being realised. The trading environment was very competitive during the year and commissioned research house Hardman's forecasts for the next few years actually predict a slight profits decline to £1.2m this year and £1.1m in 2004. Executive chairman Mike Mealey continues to lament that the company is finding it difficult to acquire new sites, especially recently as the larger UK pub operators have been looking away from branded, High Street venues towards safer, 'community' pubs where there is less competition and for which the property leases are less onerous. Though P'n'B is still looking to launch and then manage pubs owned by a new VC-backed company called Local Inns, little progress seems to have been made and investors would be forgiven for wanting returns soon. The 5% yield helps to make this worth waiting for.