Xftseallworld1c Regulatory News (ALLG)

All Leisure group plc

Trading Update

As part of its financial year end update, the board of All Leisure group plc ("the Group") (AIM: ALLG), the destination-led niche cruise operator announces that, based on the latest management information, it expects group Profit Before Tax and Certain Derivative-Related Items for the twelve month period ending 31st October 2010 (after the effect of the volcanic ash cloud) to be broadly in line with analysts' expectations of c.GBP3.4 million.

Cruising

Booking levels for both Winter 2010/11 and Summer 2011 are showing year-on-year improvements with modest improvements in like-for-like selling prices.

For Winter 2010/11 all three brands are selling well, particularly the new Swan Hellenic Far East Winter programme. Overall Winter 2010/11 Cruising capacity+ is 73% sold versus 66% this time last year.

For Summer 2011, all three Cruising brands are better sold compared to this time last year. Voyages of Discovery Summer 2011 is 39% sold versus 31% this time last year. Swan Hellenic is 31% sold versus 27% and Hebridean Island Cruise is 51% sold versus 28%. The small Swan European river programme for Summer 2011 is currently 54% sold versus 49% this time last year. Overall Summer 2011 Cruising capacity+ is 37% sold versus 29% this time last year.

Tour Operating

Forward bookings for Discover Egypt which operates primarily one week cruises on the Nile are 62% up in passenger numbers year on year and 50% up in revenue terms over the same period, with the growth being driven by charter-based rather than more expensive bespoke two-centre holidays. Of the forward bookings taken at the end of October 2010, 93% by value (2009: 92%) were for the forthcoming Winter season.

Costs

Foreign exchange continues to be an issue and whilst currency hedging defers the impact of consistently weak sterling, such long term weakness must inevitably impact the Group's costs. Although the average Sterling/Dollar and Sterling/Euro exchange rates are little changed year on year, the expiry of earlier hedges mean that dollar costs rise again in the year ahead. Sterling is currently 22% weaker in both Dollar and Euro terms compared with the time of the Group's IPO in October 2007. In addition to currency pressures, other costs such as Fuel and Air Passenger Duty are also rising and as a consequence squeezing margins.

+ With capacity defined as ocean bed nights sold under in-house brands (i.e. excluding third party charters)

For further information: 

All Leisure group PLC

Roger Allard (Executive Chairman) Tel: +44 1444 462 103 

Ross Jobber (Chief Operating Officer) Tel: +44 1444 462 177

Panmure Gordon (UK) Limited

Adam Pollock / Andrew Godber Tel: + 44 207 459 3600

Citigate Dewe Rogerson

Ginny Pulbrook Tel: +44 207 282 2945

Lindsay Noton Tel: +44 207 282 1032