Railtrack shares fall another 14%

Friday's market close

LONDON, June 6 (Reuters) - Shares in UK rail infrastructure company Railtrack (RTK) slumped to another all-time low on Wednesday, piling a fresh 14 percent drop on top of Tuesday's 17 percent slide following a scathing note from ABN AMRO.

The shares were down 52 pence to 312-1/2p, bouncing from an earlier low of 300p. The shares came to the market in 1996 at an institutional offer price of 390p.

A note on Tuesday from ABN AMRO said its analysts valued Railtrack's shares at only 58p, adding they felt the company faced funding and operational problems.

The shares have plunged from above 1,200p since last October, when faulty track was blamed for a train crash north of London which killed four people. The accident and months of ensuing travel chaos battered the firm's image and share price.

Railtrack's woes have been compounded by gathering speculation its collapsing share price makes it prime candidate for ejection from the FTSE 100 index at Wednesday's quarterly review.