APP.L Regulatory News (APP)

("Park")

12 June 2012

Results for the Year Ended 31 March 2012

Summary

Park Group plc is the UK's leading multi-redemption voucher and prepaid card business focussed on the corporate and consumer markets. Sales are generated through our direct sales force, agents and the internet.

Peter Johnson, Chairman, commented: "Park has delivered another excellent set of results. The quality and strength of our operations is reflected in these results and that performance has extended into the current year, which has started well. The transformation of Park has continued with the rapid growth in our prepaid card offering and the introduction of a series of exciting new products.

Park is well placed for another year of progress as its experienced management team builds on market leading positions, backed by strong customer relations and a strong cash position."

Enquiries:

Chairman's statement

It is pleasing to report that Park has delivered another excellent set of results. Park has achieved a significant advance in profit backed by strong cash generation and for shareholders, another increase in the proposed dividend for the full year. This time last year, I referred to the steady transformation of Park as it harnesses the power of the internet and social media tools to drive growth in its existing markets, while introducing innovative new products which give access to exciting new markets. The success of the strategy and management's ability to deliver strong growth, is clearly demonstrated in these results and Park's success enables us to look forward with optimism.

Group profit before taxation and other operating income for the year to 31 March 2012 was ahead by 22.6 per cent at £8.6m (2011 - £7.0m). Operating profit before other operating income increased 22.1 per cent to £6.9m (2011 - £5.6m). Finance income was £1.7m (2011 - £1.4m) reflecting the ongoing low interest rate environment, with the uplift in income resulting from higher cash balances, which continue to be managed very conservatively to minimise risk. Park is cash generative and has no bank debt on its balance sheet.

Revenue for the year reduced by 0.3 per cent to £279.0m (2011 - £279.9m). Customer billings increased 10.5 per cent to £329.0m (2011 - £297.6m). It is important to note that customer billings differ from revenue reflecting the effect of the flexecash® prepaid card accounting policy announced in our results statement of June 2011. Revenue from prepaid cards is recorded differently to revenue from paper vouchers and is the margin earned based on customer billings, recognised when the value loaded on the card has been redeemed. This policy has no effect on the level of margin contribution or profit, but delays recognition. The very significant and growing numerical difference between revenue and billings vividly demonstrates the positive impact of our prepaid card and highlights its success since launch two years ago.

The board proposes raising the final dividend by 22.9 per cent to 1.475p per share (2011 - 1.20p) making a total dividend for the year of 2.0p per share (2011 - 1.70p). This increase reflects continued confidence in the business and the anticipated further contribution from the profitability of its innovative product ranges. Shareholder approval will be sought at the annual general meeting to be held on 27 September 2012 to pay the final dividend on 1 October 2012 to shareholders on the register on 31 August 2012.

Park is an ambitious business that believes in continually supporting innovation to meet the current and future needs of its customers in both the corporate and consumer marketplaces. The face of Park may be traditional, but its businesses over recent years have become leading edge. This progress is one of the reasons why we have updated our corporate identity at the group level. Building on many years of growth and evolution, the identity is a symbol of the company's ongoing commitment to the future, through innovation and the delivery of stakeholder value.

A further change is more personal. I am proud of my executive involvement in Park since founding the company in 1967, when it was known as the Park Hamper Company Limited. As with all business decisions timing is crucial and some months ago, after 45 years at the helm, I advised the board that the time was right for me to take a step back. I reached that decision confident in the knowledge that Park has a first class, highly experienced management team, which would continue the impressive development of the business. I was delighted to accept the board's invitation to retain my close relationship with Park as non-executive chairman. Subsequent to my role becoming non-executive, the board appointed Chris Houghton as chief executive officer. Chris joined Park in 1986 becoming group managing director in 2004; he has played a leading role in the development of Park and I am confident that he will continue to drive the organisation forward with distinction.

Park's strategy over the years has been consistent and transparent. We are a UK based financial services business focussed on harnessing the power of technology, principally the internet, social media and our own innovation, to offer corporate and private customers a range of incentive and savings products, backed by the highest levels of service and security. We achieve our goals through the range of products and services we offer. In addition, we also continue to develop innovative new products and services for existing customers, while working to reach new customers and new markets. Park has two core channels - business to business and business to consumer. Park is a market leader in the UK and last year entered the Irish market.

People

Park's continuing success is a reflection of the quality, dedication and application of its people at all levels. Their enthusiasm and energy are our most vital assets and on behalf of all shareholders, I thank them for their support.

Outlook

The quality and strength of our operations is reflected in these results and that performance has extended into the current year, which has started well. The transformation of Park's business has continued with the rapid growth in our prepaid card offering and the introduction of a series of exciting new products. Orders for Christmas 2012 are up approximately 6 per cent compared with the prior year at this time, corporate and online billings are also ahead of last year at this early stage of the current financial year. Park is well placed for another year of progress, as its experienced management team builds on market leading positions, backed by strong customer relations and a strong cash position.

Peter Johnson

Non-executive Chairman

12 June 2012

Chief Executive's review

This has been another year of significant achievement across our business divisions as we capitalise on sales opportunities in our key growth markets. We have introduced exciting and innovative new products, achieving accelerating sales growth from the flexecash® prepaid card. Since this impressive product was launched in June 2010, there are now in excess of 600 corporate users of the flexecash® card, with £77m of value loaded across approximately 1.7m individual cards. We started with just two types of card, which we have expanded rapidly to a suite comprising 17 products, as new customer applications and opportunities are identified and serviced.

A year ago, in our statement accompanying the full year results for 2011, we commented on the effect accounting policies were having on the reporting of revenues within the prepaid card business. The accounting policy in respect of revenue recognition masks the expansion of the prepaid card range and the gap between billings and revenue will widen as card sales grow. The total value of customer billings in the year to 31 March 2012 rose significantly to £329.0m, up from £297.6m in 2011, while reported revenue was £279.0m compared with £279.9m in 2011. Reported revenue from prepaid cards is accounted differently from vouchers as only the margin earned is recognised as revenue, not the actual amount billed to customers, with some margin being deferred to future periods.

While Park has undergone significant change over recent years, our strategy, core skills and management focus remain unchanged. We are resolute in continuing to concentrate on broadening our product range, providing more options to existing customers while also seeking to attract new customers by expanding into new areas through innovation and technology. The success we enjoy is against a backdrop of high levels of customer service, tight financial control and imaginative sales and marketing efforts, all supported by measured investment in technology.

There is no doubt that Park has been transformed by flexecash® and we continue to control its development in a careful and disciplined manner. We continue to ensure that the correct infrastructure is in place, with systems tested rigorously to handle the increasing volumes from our growing customer base. This infrastructure also allows us to capitalise on new sales opportunities and launch new product applications. Post year end, we built on the flexecash® platform, by launching flexecodes, an innovative multi-retailer e-code solution. flexecodes is a virtual card application, which gives users a unique code allowing them to shop online at the sites of participating retailers up to the value attached to each flexecode. Our growing number of participating retailers currently includes Amazon.co.uk, HMV, iTunes, Marks and Spencer and many more.

The prepaid card spans all Park's business channels and is driving growth across the business. One of the most important developments for flexecash® is being Euro (€) enabled, which could clearly offer significant opportunity for geographic expansion.

We continue to expand further our use of the internet as a means of enhancing product development, which in turn improves our customer service levels and increases business efficiency. Our corporate business now conducts over 80 per cent of its marketing online, whilst our consumer division currently handles around 130,000 customers via the internet.

The success of Park's prepaid card range is the result of many years of product research and development coupled with investment in the latest internet technology and support from highly trained and experienced staff with sophisticated application skills. Annual capital investment in IT is now running at over £1m with about half spent on upgrading and replacing servers, peripherals and general infrastructure. We now employ some 50 specialists in IT, including web services, desktop and telephone support. This has doubled from five years ago.

Park is in the final stages of achieving ISO 27001 accreditation. This internationally recognised standard on information security is the best practice specification and identifies businesses and organisations throughout the world that have developed best-in-class information security management systems.

Managing risk is a vital component of our sales offering and is particularly important to our 424,000 consumer customers, who want to be confident that their funds are secure. Treasury management is at the core of our operations and we follow very conservative strategies to ensure that customer savings are protected. The majority of these funds are held in the independent Park Prepayments Trustee Company Limited, which segregates prepayments away from Park's funds, to provide extra security and give customers reassurance and confidence.

Corporate

The business delivered yet another year of growth. Billings rose 14.6 per cent to £141.8m compared with £123.7m in the previous year while revenue was lower at £104.7m against £111.5m a year earlier. This widening gap between billings and revenue reflects the positive impact of the prepaid card and the manner in which it is recognised in the accounts. Operating profit increased 23.7 per cent to £4.9m from £3.9m in the previous twelve months. This excellent performance was driven by the strong growth of flexecash® but also the launch of other new products, many tailored to meet specific customer needs. Among significant developments, Argos agreed to accept all Park vouchers and cards in the incentive and reward sector, which is another very positive development. This follows the welcome news during the period of Marks & Spencer's decision to accept flexecash® cards.

The UK voucher and gift market is estimated to be now worth around £4bn. Park's Love2shop is the UK's leading multi redemption gift voucher, available in paper or electronic form, accepted by over 85 major retailers covering more than 20,000 high street outlets. Customer numbers grew to a record 6,100, some 400 above the level of last year, with retentions steady at around 80 per cent.

Over 600 businesses have now purchased flexecash® since launch in June 2010. New redeemers include DW Sports, Greenwoods, Homebase, House of Fraser, JJB Sports, Poundstretcher, Shoe Zone and Stead and Simpson. Marks & Spencer will be accepting flexecash® in its stores for Christmas 2012.

The launch of flexecodes, after the year end, is a further step forward in Park's prepaid offering. Customers can shop online with selected retailers including Amazon, iTunes, CD Wow, Hamley's, HMV, LOVEFiLM, Marks & Spencer and The Hut. With no postage or fulfilment costs, flexecodes are delivered to recipients via email, offering businesses a quick, trouble-free and cost effective way to reward and incentivise their customers with sales promotions, on-pack promotions, online surveys and gaming incentives. flexecodes is also an ideal instant reward mechanism for staff.

The corporate sector is characterised by many companies using Park's products as employee or sales incentives. Our sales teams work alongside customers to develop tailored schemes to meet the individual requirements of end users. This 'personalised service' reflects the knowledge and experience of the sales team, drawing on years of know-how to ensure that each customer is offered the application that best matches its needs.

Schemes developed during the year include a very successful incentive promotion to readers of the weekend editions of the Daily Mail offering Love2shop cards in return for redeeming codes from the newspaper. Over 650,000 flexecash® cards were issued and the promotion was repeated in the early months of 2012. Also, a leading consumer market research business now offers flexecash® cards as a reward to participants. These businesses and others like them often find it difficult to attract interviewees so cards are being offered to incentivise respondents. This reward scheme has resulted in over 100,000 cards being distributed during the year under review.

Among other new product initiatives, Park has launched flexebens as an employee benefit scheme. The employee benefits market is increasingly important, as businesses seek innovative ways to retain and reward their people, against a general backdrop of increased focus on costs. The scheme is simple to operate. Participating staff members are given a flexebens gift card and value is added to the card as an after tax salary deduction, with staff receiving a discount on the amount loaded. The card can then be used in thousands of retail outlets including branches of Argos, Boots, Comet, Debenhams, The Early Learning Centre, Halfords, Mothercare and Superdrug.

Park Travel made good progress with revenues rising 31 per cent above the level of the previous year. This full-service travel agency offers customers a wide choice of highly competitive deals from over 200 of the world's leading holiday and travel companies. Many customers take rewards via the Love2travel card, which can be redeemed at Park Travel.

The Irish customer list, purchased in September 2010, is steadily building sales of the Euro Love2shop voucher, which is now accepted by close to 30retailers in the Republic of Ireland. The next step in the development of this operation will be the launch of flexecash® into the country.

Consumer

Consumer revenue increased by 3.5 per cent to £174.3m with billings increasing by 7.6 per cent to £187.2m. A reduction in the level of contract packing and storage activity and a movement in product mix towards vouchers and cards impacted on margin and resulted in a 7.4 per cent reduction in operating profit for the year to £4.1m.

Park's savings schemes allow customers to manage their finances in a controlled and careful manner, ensuring that they enjoy the festive season free from financial worries. Customers purchase vouchers, hampers or other gift products through a 45 week instalment plan, with everything delivered in time for Christmas. Park has been helping families prepare and budget for Christmas for over 45 years. The discipline of making regular contributions to a savings plan is particularly valuable to those families who want to look forward to the festive season free of last minute financial concerns, especially in times of economic uncertainty.

The business is operated through agents, who are usually recruited between October and February. The agents sign up customers, often family members, who wish to purchase the various products in Park's catalogues or on the internet, including shopping, travel and leisure vouchers as well as hampers. Although hampers were the original Park product, they now comprise less than five per cent of total revenues. Agents are paid a commission based on sales and they may also receive gifts and other benefits for achieving targets throughout the year.

The stability of the Christmas savings business reflects not only the popularity, quality and reliability of the product but also the traditional habits of its customers. The internet has transformed the way many customers interact with the company, it has radically altered the way Park operates, but our commitment to customer loyalty remains unchanged. In 2007 only two per cent of orders were placed online, in the current year over half will be received via the web.

flexecash® now accounts for approximately 10 per cent of the Christmas savings business with sales of paper vouchers at a similar level to last year, demonstrating the incremental contribution from our E money offering. Christmas MoneyBox, launched in 2011, is a new brand using our web-based flexesaver Christmas savings solution. It operates in a similar way to our other savings products but can be delivered in white label form to offer corporate customers employee benefit opportunities.

Park makes great efforts to stay close to its customers through feedback surveys to ensure satisfaction with products and service. Over 90 per cent of our customers said service was excellent or very good. Recent results indicate that among the Christmas savings customer base over 90 per cent have a mobile phone, 70 per cent have internet access, while fewer than 50 per cent have a credit card.

Television advertising remains the most effective method of reaching new and existing customers. Advertisements are carefully targeted at selected social groupings in specific areas of the UK and Ireland. The campaign peaks in January and February and its effectiveness is monitored on a daily basis so that it can be fine tuned to accommodate any unexpected trends.

The Christmas 2012 television campaign was very successful with the volume of new business secured rising above that of the previous year for the same advertising spend. While television remains the key driver of Christmas volume there is also a major advance in online referrals through word of mouth or recommending a friend. Social media is a fast growing marketing tool and Park's Facebook site has over 12,000 members; many go to great lengths to discuss their interest in the business and its products. Another development is the popularity and effectiveness of Ask Wanda, the customer service device on Park's websites that answers users' questions. Last year over 200,000 questions were answered and the knowledge base of FAQs is growing steadily. This helps improve customer service, whilst driving costs down.

In 2012 highstreetvouchers.com, the fast growing, direct-to-consumer online offering, achieved record revenue of £10.4m, a 25 per cent uplift over last year's figure of £8.3m. This internet-only brand has in excess of 90,000 customers, 20,000 more than in the previous year, and gives users the ultimate in choice and flexibility to order when and how they wish. Park's analysis shows that 18 per cent of online visitors access the site from a mobile device, but the conversion level is low. Park is addressing this by creating a mobile version of the site to improve functionality, making it more mobile friendly to generate additional sales.

Park is a changing business, adopting new and innovative technology to drive growth. I am very pleased with the progress we are making across all areas and look forward to the next financial year with confidence.

Chris Houghton

Chief Executive Officer

12 June 2012

Financial review 2012

Profit from continuing operations

The group's continuing operations are divided into two operating segments:

All other segments comprise central costs and property costs.

Revenue and margin from sales of flexecash® cards is included in both operating segments.

Operating profit is detailed below:

Operating profit before other operating income for the year ended 31 March 2012 has increased by £1.2m to £6.9m.

In the corporate business customer billings have increased by 14.6 per cent in the year to £141.8m with operating profit increasing by £0.9m. With card revenue generally recognised as the margin earned on the value of cards spent rather than customer billings, this has resulted in revenue decreasing by 6.1 per cent to £104.7m. Overall margins when expressed as a percentage of customer billings have improved to 3.4 per cent from 3.2 per cent. This reflects the increased volume of business and improved margin in certain markets, offset by increased costs associated with the operation of flexecash®.

In the consumer business operating profit declined by £0.3m to £4.1m arising from an adverse mix movement on sales to customers who participate in Christmas savings plans which reduced profits by £0.1m. Reductions in income from cold storage and repackaging activities have reduced profit from 2011 by £0.5m offset by improved income from on-line sales to consumers which increased by £0.4m over 2011.

The improvement in profit for other segments of £0.6m reflects primarily the reduction in the cost of management incentive payments/awards of £0.5m and reduced property rental payments of £0.2m, following the purchase of the group's head office near the end of last year.

Other operating income in 2011 includes £4.4m of profit arising from the VAT 'Fleming claim' and a £1.1m profit arising on the sale of unutilised surplus land in Birkenhead.

Taxation

The effective tax rate for the year was 24.1 per cent (2011 - 23.9 per cent) of profit before tax.

The low effective tax rate this year is mainly due to adjustments to current tax in respect of prior years' computations.

Last year we made the decision to provide in full for tax on the receipt of £1.9m of VAT received in 2010 in respect of the over declaration of output tax for prior periods ('Fleming claim'). Whilst it is still our contention that this amount should not be treated as taxable income, it is clear from correspondence we have had with HMRC that it believes this amount to be taxable.

Earnings per share

Basic earnings per share decreased to 3.91p from 5.76p. Excluding the prior year other operating income, the basic adjusted earnings per share has increased to 3.91p from 3.17p.

Dividends

The board has recommended an increase in the final dividend of 23 per cent to 1.475p per share. An interim dividend of 0.525p per share was paid on 6 April 2012. Subject to approval of the final dividend at the annual general meeting (AGM), the total dividend for 2012 will be 2.00p per share.

Cash flows

At the end of March 2012 £9.2m (2011 - £6.8m) of cash and cash equivalents was held by the group with a further £42.0m (2011 - £38.2m) being held by the Park Prepayments Trustee Company Ltd. The trust holds payments received from agents in respect of orders for delivery the following Christmas. The conditions for the release of this money to the group are detailed in the trust deed, which is available at www.getpark.co.uk. In addition at 31 March 2012 the group holds £4.9m (2011 - £1.4m) of cash in the Park Card Services Ltd E money Trust (PCSET) to support the E money float in accordance with regulatory requirements.

The total amount of cash held by the group combined with the monies held in trust has increased in the year to £56.1m from £46.4m as at 31 March 2011. These total balances peaked at almost £152m in the year representing an increase of £12m over last year. The group had no bank borrowings in the period.

During the year, the group invested a further £0.7m in improving its customer facing systems and telephony, and a further £0.7m in associated computer hardware.

Provisions

At the year end provisions had reduced to £33.0m from £34.1m. This was due to a reduction in to the value of unspent vouchers. These unspent vouchers arise primarily from sales in the corporate business.

Accounting Policies

Following the launch of the flexecash® card last year, our accounting policy in respect of revenue recognition has this year been updated for new terms and regulations associated with flexecash® cards. Revenue from cards is recorded differently to revenue from paper vouchers and is the margin earned based on customer billings, recognised when the value loaded on the card has been redeemed. Where cards are sold to businesses for onward gifting to consumers with no right of redemption, revenue includes an estimate of projected balances remaining on the card at expiry. The amount included in this year's income statement as revenue from flexecash® cards is £3.3m (2011 - £1.2m).

Pensions

The group continues to operate defined benefit pension schemes, where pensions at retirement are based on service and final salary. These schemes are now closed to future accrual of benefit arising from service with the group. The pension deficit based on the valuation performed at 31 March 2012 has reduced to £1.9m (2011 - £2.1m). The current and prior year deficits reflect a prior year adjustment shown in the statement of comprehensive income of £1.7m. This is due to a change in actuarial assumptions to use consumer price index (CPI) rather than retail price index (RPI).

Under IAS 19 Employee Benefits the group has recognised a cost of £123,000 (2011 - £255,000) in its income statement. It has also recognised an actuarial loss in the statement of comprehensive income (SOCI) of £0.2m (2011 - gain of £1.1m) net of tax.

In the year ended 31 March 2012 contributions by the company to the schemes totalled £0.7m, in response to the actuarial valuations performed, the latest of which was as at 31 March 2010. This indicated a technical provisions deficit of £3.3m and expected future company contributions of £0.7m per annum.

Martin Stewart

Group Finance Director

12 June 2012

Financial Risks

Operational Risks

Park Group plc

Park Group plc

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR TO 31 MARCH 2012

Park Group plc

CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 MARCH 2012

Park Group plc

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

Park Group plc

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 MARCH 2012

(1) Basis of preparation

The group and company financial statements have been prepared and approved by the directors in accordance with the International Financial Reporting Standards as adopted by the EU (adopted IFRS).

In December 2010 the Government announced a change in the statutory indexation measure in respect of index-linked retirement benefits to CPI rather than RPI. In response, UITF Abstract 48 Accounting implications of the replacement of the retail prices index with the consumer prices index for retirement benefits was issued. This UITF required actuarial movements arising from this change to be recognised in the statement of other comprehensive income. In the prior year the group continued to adopt RPI as the indexation measure.

During the current year the group sought legal advice indicating that the future pension liability should be assessed using CPI rather than RPI. A prior period adjustment has been recognised in the financial statements to reflect this change in assumption. This has resulted in a restatement of the prior year statement of other comprehensive income. Ordinarily a prior period adjustment would require the presentation of a third balance sheet; however, this restatement does not affect the balance sheet for the year ended 31 March 2010 and consequently this has not been presented

The group's business activities, together with factors likely to affect its future development, performance and position are set out in the chief executive's review. The financial position of the group, its cash flows, liquidity position and financial risks are described in the financial review.

The group's forecasts and projections, taking into account reasonably possible changes in trading performance and customer behaviour, show that the group has sufficient financial resources (without requiring bank borrowings) to fund the business for the foreseeable future despite the group's net liabilities. The group continues to trade profitably and has no bank borrowings. Accordingly the directors continue to adopt the going concern basis in preparing the consolidated financial statements.

The financial statements have been prepared under the historical cost convention, as modified by the accounting for financial instruments at fair value where required by IAS 39 Financial Instruments: Recognition and Measurement. The accounting policies have, unless otherwise stated, been applied consistently to all periods and by all group entities.

The preparation of financial statements in conformity with generally accepted accounting principles requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Although these estimates are based on management's best knowledge of the amount, event or actions, actual results ultimately may differ from those estimates.

(2) Changes to International Financial Reporting Standards

The following standards have been adopted by the EU but are not yet effective for the year ended 31 March 2012 and have not been applied in preparing the financial statements. Their adoption is not expected to have a material impact on the financial statements.

(3) Accounting policies

The financial information in this announcement has been prepared in accordance with the accounting policies described in the annual report and accounts for the year ended 31 March 2011 as amended by the following amended and additional policies. The annual report and accounts for the year ended 31 March 2011 can be found on our website at www.parkgroup.co.uk.

Income recognition - flexecash® cards

Revenue is the fees charged to cardholders and service fees receivable from retailers/redemption partners. Where the cardholder has the right of redemption, this is recognised when amounts are deducted from values held on cards, ie when cards are redeemed at retailers/redemption partners or when charges are levied. Where there is no right of redemption, revenue also includes an estimate of projected balances remaining on the card at expiry. Revenue is recorded net of VAT, rebates and discounts.

Billings

Billings represents the value of vouchers, flexecash® cards and other goods and services shipped and invoiced to customers during the year and are recorded net of VAT, rebates and discounts.

(4) Segmental analysis

The amount included within the other segments/elimination column reflects vouchers sold by the corporate vouchers segment to the consumer segment. They have been included in other segments/elimination so as to show the total revenue for both segments.

All other segments are those items relating to the corporate activities of the group which it is felt cannot be reasonably allocated to either business segment.

(5) Taxation

Comments on the effective tax rate can be found in the financial review.

(6) Earnings per share

The calculation of basic and diluted earnings per share is based on the profit on ordinary activities after taxation of £6,565,000 (2011: £9,514,000) and on the weighted average number of shares, calculated as follows:

(7) Reconciliation of net profit to net cash inflows/(outflows) from operating activities

(8) Responsibility Statement

To the best of each director's knowledge:

(9) The financial information set out above does not constitute the group's statutory accounts for the years ended 31 March 2012 or 2011 but is derived from those accounts.

Statutory accounts for 2011 have been delivered to the registrar of companies. The auditor, KPMG Audit plc, has reported on the 2011 accounts; the report (i) was unqualified, (ii) did not include a reference to any matters to which the auditor drew attention by way of emphasis without qualifying their report, and (iii) did not contain a statement under section 498(2) or (3) of the Companies Act 2006.

The statutory accounts for 2012 will be delivered to the registrar of companies following the annual general meeting. The auditors have reported on these accounts; their report is unqualified and does not include a statement under either section 498(2) or (3) of the Companies Act 2006.

The annual report will be posted to shareholders on or before 30 July 2012 and will be available from that date on the group's website: www.parkgroup.co.uk.