SHARES in North-East computer software firm QSP were suspended last night after worse than expected losses.

The Gateshead information technology company will today report six-monthly pre-tax losses of £6.2m. That compares with a £3m loss in the same period last year.

Bosses blame a global slowdown for the grim picture. They also say that the terrorist attacks in US and uncertainty over what happens next has seen the company's problems deepen.

QSP counts some of its biggest clients among the airline industry which has been hardest hit in the wake of the US attacks. In the past few days, QSP has seen about £3m of business deferred by airlines.

Faced with such a tough market the company asked UK licensing authorities to suspend its share while it sought extra financing.

Executive director Malachy Smith said: "The company is pursuing additional funding. We have held talks with our bankers and they have confirmed their continued support for the group."

Mr Smith said he was confident the company, which has satellite operations in the US and throughout Asia Pacific, would overcome its problems.

QSP employs nearly 500 people worldwide. More than 200 customers in 20 countries use its financial management software. The group was formed in 1981. It grew rapidly, opening offices throughout the world and floating on the stock market in 1993.

Despite record half year sales and profits in 1999, it has been hit by growing uncertainty among world markets.