ALL right, the moment everyone has been waiting for, has arrived. RICH - Ryedale investment Club Holdings - has decided to invest in Marks & Spencer.

The decision was taken by Club members even before the first official announcement that the store had returned to being the place to buy your shirt rather than lose it.

One of the principles upon which RICH members act is that if they or theirs personally observe improvements in a company's prospects, they should put their money where their mouths are.

Jim Porteous, chairman of RICH, said: "As our wives and daughters returned laden with M&S bags from their Christmas and New Year sales shopping, and full of compliments about the store, we decided to take the plunge."

The M&S share value had actually gradually increased from its low of about 200p last January to 350p this month and the bout of RICH share-buying was decided even before Wednesday's announcement that the store had increased Christmas sales by eight per cent.

The decision followed members' subtle observations which suggested real progress, for instance in the store's bright new marketing approach.

Jim said: "How many of this column's readers actually noticed that at Christmas their bags were in bright red and on them in the style of the Marks and Spencer logo was written 'Magic & Sparkle'?

"That sort of creative approach is just what is needed to revitalise the store as place which has more than a St Michael Y-front image."

RICH members also discovered that this year M&S had sold out its winter collection of clothes so quickly that it was already bringing in its spring and summer range.

And the RICH decision was quickly justified as M&S shares shot up by eight pence on early trading immediately after the Christmas figures were announced.

All this amid celebration that RICH units had increased in value over the month from £2.51 to £2.62.

All stop losses, however, are still

suspended with the exception of

GUS (Great Universal Stores) which it was decided to sell if it fell to £6;

and Tesco whose sale would be

triggered at £2.30.

But while M&S was in favour, BAE - British Aerospace - was jettisoned with the club suffering a loss of £1.50 per share, slipping from £4.76 when acquired in September 1999.

Jim said: "We did not sell them earlier because we suspected that in these crucial days a company which has military contracts was likely to recover. We were wrong."

But sharing the hope alongside M&S was a new investment in BAA, British Airports Authorities,

particularly as RICH members' speculation last month that people would return to flying after the post-September 11 trauma turned into fact. BAA which owns Britain's biggest airports is bound to benefit, they now reasoned.

Another investment-worthy company, they decided, was Richmond Foods which has just taken over Nestl Ice Cream along with some of the Nestl ice cream management and factory in Telford.

Updated: 12:36 Tuesday, January 22, 2002