The UK's FTSE Small Caps index is flat, ahead of the junior-listedAIM index and the mid-caps, down 0.2 percent, with the blue chipFTSE 100 the worst off, down 0.3 percent.
Talvivaara falls 7.6 percent after posting a loss of29.2 million euros ($39.50 million), which was greater than analyst expectationsof a 26.3 million euro loss.
The Finnish miner said it was in talks with stakeholders to securefinancing, but that it may consider bankruptcy if these talks fail.
Talvivaara already trades at its 90-day average volume with just an hour anda half gone.
Morgan Sindall rises 4.1 percent after an in-line trading update,which brokers say is a relief given difficult market conditions.
"IMS confirms that trading has continued along the lines seen in H1 in whatremains a challenging market. The order book is up 6 percent and average netcash is better than we had forecast," Liberum says in a note, raising its targetprice and maintaining a "hold" rating on the stock.
Jefferies also raises its target price on the company, which it rates as a"buy".
($1 = 0.7392 euros)
Reuters messaging rm://alistair.smout.thomsonreuters.com@reuters.net