Avon Protection Regulatory News (AVON)

8 Feb 2008 07:00

Avon Rubber PLC08 February 2008 Strictly embargoed until 07:00 8 February 2008 AVON RUBBER p.l.c. ( "the Group" or "the Company") Sale of Aerosol Gasket business ("the business") The Board of Avon Rubber p.l.c. today announces that it has exchanged contracts for the sale of its Aerosol Gasket business to Crosslinks Limited, based inSouth Wales and Corsham, Wiltshire, for a consideration of £1.75 millionpayable in cash on completion of the sale. The business, currently located in Avon's Wiltshire facility, manufactures and supplies cupseals and stem gaskets for a global customer base. It currentlyemploys approximately 68 staff and incurred an operating loss of £0.1 million(before an allocation of £1.1 million of shared service costs from our UKmanufacturing facility) on a turnover of £4.7 million, in the financial year to30 September 2007. The gross assets of the disposed business were £3.2 millionand the net assets £2.1 million as at that date. Completion is expected to be in early March 2008 and the proceeds will beutilised to reduce current borrowings. Commenting on the sale, Terry Stead, Chief Executive of Avon Rubber p.l.c. said: "The sale is a further step in the rationalisation of the Group. It allows the Company and its management to add focus and time on the Protection and Defenceand Dairy businesses which are the cornerstones of the Group's future." < ends > For further enquiries, please contact: Avon Rubber p.l.cTerry Stead, Chief Executive 01225 896 831Peter Slabbert, Group Finance DirectorFiona Stewart, Corporate Communications Executive 01225 896 871 Weber Shandwick FinancialRichard Hews 020 7067 0700Rachel MartinHannah Marwood NOTES TO EDITORS: Avon Rubber p.l.c. is an international polymer engineeringgroup adding value through material, manufacturing and industry sectorexpertise. The Group is currently capitalised at approximately £31 million.Avon supplies a range of advanced CBRN respiratory protection solutions throughAvon Protection Systems Inc. to the world's military and police forces, as wellas first responders and emergency services. Avon Rubber p.l.c. owns Avon-ISI,which designs, develops and manufactures a range of SCBA equipment for fire,rescue and law enforcement, as well as military applications. Avon Rubberp.l.c. also owns Avon Engineered Fabrications manufacturing products includinghovercraft skirting and flexible storage tanks and a world leading dairybusiness manufacturing dairy liners and tubing. This information is provided by RNS The company news service from the London Stock Exchange