The investment bank Credit Suisse First Boston has lowered its share price target for Allied Domecq, the world's second largest wine and spirits company.

The bank blamed slowing European spirits volume and US wine pricing concerns for dropping the target to 385 pence from 430p

It said in a research note: ""Volume growth in European spirits is likely to slow and pricing in the group's wine division may come under pressure."

CSFB also cut its 2003 earnings forecast by 4% and its 2004 forecast by 7%, but kept a neutral rating on the stock.