Accsys Tech Regulatory News (AXS)

12 Feb 2008 07:00

Accsys Technologies PLC12 February 2008 12th February 2008 AIM: AXS NYSE Euronext Amsterdam: AXS Quarterly Performance Update Accsys Technologies PLC ("Accsys" or "the Company") announces its quarterlystatement for the period to 31st December 2007. The most significant event for the Group during the quarter was the signing of alicense agreement with Diamond Wood China Limited ("Diamond Wood"), in respectof rights to manufacture Accoya(R) wood in The People's Republic of China for anannual nameplate capacity of 500,000 cubic metres of production. This providedfor an initial payment of €9.5 million. This project will generate furtherlicense income of €90 million, phased over the construction and commissioningperiod, budgeted over a four year time frame by the Company. The signing of the Diamond Wood license triggered the recognition for revenuepurposes of the received but unrecognised €8.0 million balance in relation to apreviously announced License Agency Agreement. The Group also announced the signing of a Licence Option Agreement with Al RahjiHoldings WLL for an annual nameplate capacity of 150,000 cubic metres ofproduction of Accoya(R). This agreement provides conditional exclusivity inrespect of the Kingdom of Saudi Arabia, United Arab Emirates, Bahrain, Oman,Qatar and Kuwait, collectively the Gulf Co-operation Committee ('GCC') states. The Group's Accoya(R) production facilities in Arnhem, the Netherlands, which isa technology validation plant run as a commercial scale operation, continued anactive development programme. Operations combined production for end usecustomers and prospective licensees, species testing and certain other productdevelopment activities. A highly reputable process certification agency has beenselected to undertake detailed certification of the Group's acetylation process.This will provide validation for prospective licensees of materials andutilities consumption factors for specified wood species and woodspecifications. Quarter on quarter production of Accoya(R) rose 65%, commercialsales volumes rose 36% and gross revenue rose 34%. Willy Paterson-Brown, Executive Chairman of Accsys commented, "This last quarterof 2007 saw good progress made on a number of fronts, and the year ahead is fullof promise. Approaching the Company's March 31st year end, the Directors believethat the Company remains broadly in line with their expectations". - ENDS - For further information, please contact: Accsys Technologies PLC William Paterson-Brown, +44 (0) 20 8150 8836 Executive Chairmanwww.accsysplc.com Collins Stewart Europe Limited Tim Mickley / Michael O'Brien +44 (0) 20 7523 8000Parkgreen Communications Justine Howarth / +44 (0) 20 7851 7480 Bex Sanders-Hewett Citigate First Financial B.V. Wouter van de Putte / + 31 (0) 20 575 4080 Laurens Goverse Notes to Editors: Titan Wood Limited (www.titanwood.com) is a wholly owned subsidiary of theAccsys Technologies PLC (www.accsysplc.com) group of companies. AccsysTechnologies PLC is listed on the London Stock Exchange AIM market, and onEuronext Amsterdam by NYSE Euronext, under the symbols 'AXS'. Wood Acetylation is a process, which increases the amount of 'acetyl' moleculesin wood, thereby changing its physical properties. The process protects woodfrom rot by making it "inedible" to most micro-organisms and insects, without -unlike conventional treatments - making it toxic. It also greatly reduces thewood's tendency to swell and shrink, making it less prone to cracking andensuring that when painted it requires dramatically reduced maintenance. Accoya(R) wood (www.accoya.info) is produced using a patented process thateffectively converts sustainably grown softwoods and non-durable hardwoods intowhat is best described as a "new wood species". Distinguished by itsdurability, dimensional stability and, perhaps most importantly of all, itsreliability (in terms of consistency of both supply and quality), Accoya(R) woodis particularly suited to exterior applications where performance and appearanceare valued. Unlike most tropical and European hardwoods, its colour does notdegrade when exposed to ultraviolet light. Moreover, the Accoya(R) woodproduction process does not compromise the wood's strength or machinability.The combination of UV resistance, dimensional stability, durability and retainedstrength means that Accoya(R) wood offers a wealth of new opportunities toarchitects, designers and specifiers. For marine uses where weight is alsoimportant, Accoya(R) wood for the first time provides boat builders with a woodthat is strong, lightweight, durable and which retains its natural beauty forfar longer. ACCOYA is a registered trademark owned by Titan Wood Limited This information is provided by RNS The company news service from the London Stock Exchange