LONDON (Alliance News) - Food packaging business British Polythene Industries PLC Thursday said it started 2014 well, but wet weather in the UK had delayed demand for agricultural films.
In an interim management statement, the company said underlying volumes during the first four months of the year were at similar levels to a year earlier, but it expects some advance on the previous year as delayed orders for agricultural film are despatched.
British Polythene said raw material prices increased at the start of the year, but have since eroded. In addition, it said it continues to see a significant disparity between raw material prices in Western Europe and North America, while lower prices are more readily available to film producers in the Far East.
The company said it had a five-year banking facility of GBP70 million on more favourable terms, replacing its existing revolving credit facilities and some short term facilities. Its total facilities, including overdrafts, will now be GBP85 million, up from GBP75 million currently.
Looking ahead, the company said: "We have no reason to change our view that we anticipate a further satisfactory performance in 2014."
The stock was trading at 636.20 pence Thursday, down 2.80 pence or 0.4%.
By Anthony Tshibangu; anthonytshibangu@alliancenews.com; @AnthonyAllNews
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