Carclo Regulatory News (CAR)

5 Dec 2006 07:00

Carclo plc05 December 2006 Carclo plc ('Carclo') Interim Results for the six months ended 30 September 2006 Key Points • Profit before tax doubled to £1.7 million (2005 - £0.8 million). • Operating margins in Technical Plastics more than doubled, benefiting from cost reduction programmes and the continued focus on medical and specialist markets. • Net debt is below the £20 million target and will reduce further with planned property disposals in the second half of the year. This will allow us to increase investment in new technologies and growth opportunities. • CIT have successfully printed directly onto the surface of silicon wafers opening up the exciting new fields of solar-power cells and microelectronics. • Successful disposal of the automotive control cables business completed. Commenting on the results, Christopher Ross, chairman, said: "Our recovery is on plan. Profits and margins in Technical Plastics areimproving as the business mix shifts towards medical markets and as our globaloperations return to growth. Our investment in new technologies is delivering new business opportunitieswhich should contribute to top line growth. Finally, our much improved balance sheet and higher than expected proceeds fromproperty disposals are allowing us to increase investment in attractive areas ofgrowth such as medical diagnostics. The board is confident of continuing this progress into the second half of thisyear and the next financial year." -ends- For further information please contact: Carclo plc Ian Williamson, Chief Executive On 5 December 2006: 020 7067 0700Robert Brooksbank, Finance Director Thereafter: 01924 268040 Weber Shandwick/Square Mile Richard Hews 020 7067 0700James White A presentation for analysts will be held at 9.30 am at the offices of WeberShandwick Square Mile, Fox Court, 14 Gray's Inn Road, London WC1X 8WS Notes to editors • Carclo plc is a global supplier of technical plastic components. It is a public company whose shares are quoted on the London Stock Exchange. • 70% of sales are derived from the supply of fine tolerance, injection moulded plastic components, which are used in medical, automotive, telecom and electronics products. This business, Carclo Technical Plastics, operates internationally in a fast growing and dynamic market underpinned by rapid technological development. • 30% of sales are derived from the supply of manufactured systems to the automotive and aerospace industries. • Carclo's strategy is to grow rapidly in low cost manufacturing regions and to develop new technologies and products to underpin future growth. CHAIRMAN'S STATEMENT Overview The six months to 30 September 2006 was an encouraging period for the group withimproved profitability, a better and more stable mix of business, good cashgeneration and promising developments in new technologies. Profit before taxmore than doubled to £1.7 million (2005 - £0.8 million). Growth in medical andspecialist markets, together with a cost reduction programme, helped theTechnical Plastics division to more than double its operating margins. Asexpected, sales and margins in Precision Products were below the prior perioddue to reduced volumes in specialist lighting. The disposal of Gills Cables in May 2006 helped to reduce net debt by nearly£2.0 million to £18.8 million. The board has declared an unchanged interim dividend of 0.4 pence per share. Thedividend will be paid on 10 April 2007 to shareholders on the register on 2March 2007. The shares will be traded excluding the right to the dividend from28 February 2007. Financial position Net debt at 30 September 2006 was £18.8 million, a reduction of £2.0 millionsince the start of the financial year. This represents gearing on assets,excluding the net pension deficit, of 42.6% (2005 - 49.2%). The group benefitedfrom the receipt of £1.2 million, net of costs, on the disposal of CTP GillsCables and the 50% holding in the associated Indian joint venture, completion ofwhich was approved by shareholders on 11 May 2006. In addition, as expected,£0.6 million deferred consideration was received from last year's disposal ofECC Card Clothing. We expect group debt to reduce further in the second half of the year due to thesignificant disposal proceeds from the planned sale of three surplus propertieswhich have a carrying value of £3.5 million. As recently announced, we havealready entered into contracts for the disposal of two of these properties whichwill generate around £6.0 million of cash income by the year end. Operating review Technical Plastics The Technical Plastics division increased its underlying operating profits by129% to £1.6 million (2005 - £0.7 million) on a similar level of turnover to theprior period. The increase in margins (from 2.5% to 5.7%) confirms our strategyof concentrating on medical and specialist markets and growing our operations inlow cost regions, particularly China and the Czech Republic. We continue toreduce costs in mature markets such as the UK and the USA, but the pace of thiscost reduction is now slowing. During the period we commenced the closure of asmall moulding plant in the UK which resulted in an exceptional cost of £0.1million. The closure will be completed early in the second half of the financialyear. The rate of new business awards in the first half has been good and we are nowplanning some modest increases in capacity with an extension to our Chinafacility, increased medical and clean room capacity in the USA and a newfacility in India. Precision Products The Precision Products division delivered underlying operating profits of £1.0million (2005 - £1.4 million) on sales down 9.8% at £10.0 million. The division's performance was impacted by an expected downturn in specialistlighting products which are fitted on the latest generation of super cars. Inautomotive, we also experienced a swing in demand for antenna products away fromhigher contribution multiband antennas. We have responded by reducing the costbase of the automotive business to match current demand. Our precision engineering business delivered another excellent performance withprofits ahead of the prior period. Conductive Inkjet Technology ("CIT") Progress at Conductive Inkjet Technology has been good, and the emphasis of thebusiness has now moved toward the commercialisation of the technology for RadioFrequency Identification ("RFID") and sensor applications. The technicalprogramme to develop the MetalJet 6000 print line is close to completion anddiscussions are well advanced with a launch customer. We are now undertakingindustrial scale trials of printed RFID antennas and other sensor devices andhave a number of advanced enquiries for the MetalJet range. This month, Carclo Technical Plastics commences production of sensors for aglobal electronics customer using the CIT process. A second contract, using thesame production facility, for an innovative medical sensor is in the finalstages of testing. CIT is leading a consortium, including Cambridge Display Technology Limited("CDT"), to produce very fine conductive tracks for solid state displays. Theproject is making excellent progress and was the subject of a recent pressrelease by CDT which can be accessed via the Carclo web site www.carclo-plc.com. The universe of CIT applications continues to grow. We have now successfullyprinted directly onto the surface of silicon wafers opening up an exciting newfield of potential application in solar-power cells and microelectronics. We continue to examine ways to maximise the value to shareholders from ourinvestment in CIT. One option is to spin off CIT as a stand alone company listedon AIM. We have reviewed this and other options with our advisers, majorshareholders and our partner in CIT and have decided that an early spin offwould not be in the interests of Carclo shareholders at this stage. In our viewCIT will eventually benefit from standing alone as a science based company, butwe are confident that it will command a higher value as the commercial successof the technology broadens. Innovation We continue to invest in new process technologies which help us to add value toour customers' products. Two developments, which we have reported on in thepast, are planned to enter production in the coming six months. The solublecapsule application, developed jointly with Stanelco plc, is being commerciallydeveloped with Agrimin Limited to deliver drugs in veterinary applications. Weare discussing other innovative applications of this technology with a range ofcustomers. Our ink jet optical hard coating technology will also enterproduction in a high volume automotive application. These successfuldevelopments add to our confidence in the future growth prospects of the group. Financial strategy The group's term loan facilities are secured by way of charges over some of thegroup's assets. These charges fall away if certain financial criteria areachieved in two consecutive reporting periods. We anticipate that the releasecriteria will be achieved by March 2007 and we have therefore started theprocess of negotiating replacement facilities. We have also initiated discussions with the trustees of our pension schemes toagree a long term pension funding plan for the schemes. As part of thesediscussions, we have brought forward the triennial valuation of the largerscheme to 31 March 2006. We hope to gain the agreement of all parties to a longterm funding solution which would permit the board to recommend a dividend moreconsistent with underlying earnings. Property disposals in our second half are set to generate more cash than we hadbudgeted and we are therefore examining new investment opportunities to furtheraccelerate our growth in medical and diagnostic markets. These opportunities arefocussed on business sectors using our existing skills and capacity in medicalmoulding and in surface treatments. Outlook Our recovery is on plan. Profits and margins in Technical Plastics are improvingas the business mix shifts towards medical markets and as our global operationsreturn to growth. Our investment in new technologies is delivering new business opportunitieswhich should contribute to top line growth. Finally, our much improved balance sheet and higher than expected proceeds fromproperty disposals are allowing us to increase investment in attractive areas ofgrowth such as medical diagnostics. The board is confident of continuing this progress into the second half of thisyear and the next financial year. Christopher Ross 5 December 2006 Unaudited consolidated income statement Six months Six months Year ended ended ended 30 March 2006 30 September 30 September 2006 2005 _________________________________________________________________________________________ Continuing Discontinued Continuing Discontinued operations operations Total operations operations Total £000 £000 £000 £000 £000 £000 £000___________________________________________________________________________________________________________________Revenue 37,731 1,025 38,756 38,536 6,711 45,247 88,006___________________________________________________________________________________________________________________Underlying operating profit Operating profit before exceptional costs 2,148 84 2,232 1,700 228 1,928 5,020- rationalisation costs (291) (62) (353) (150) (463) (613) (964)- exceptional bad debts - - - (125) - (125) (375) After exceptional costs 1,857 22 1,879 1,425 (235) 1,190 3,681___________________________________________________________________________________________________________________ Operating profit / (loss) 1,857 22 1,879 1,425 (235) 1,190 3,681 Site closure costs (77) - (77) - - - (869)Loss on sale of properties - - - - - - (237) _________________________________________________________________________________________Profit / (loss) beforefinancing costs 1,780 22 1,802 1,425 (235) 1,190 2,575 Finance revenue 194 7 201 300 3 303 383Finance expense (856) - (856) (971) (40) (1,011) (1,778)Other finance revenue - retirement benefits 4,999 - 4,999 4,548 - 4,548 9,041Other finance expense - retirement benefits (4,433) - (4,433) (4,257) - (4,257) (8,522) _________________________________________________________________________________________Profit / (loss) before tax 1,684 29 1,713 1,045 (272) 773 1,699 Income tax expense (169) (2) (171) - - - - _________________________________________________________________________________________Profit / (loss) after tax but before gain / (loss) on discontinued operations 1,515 27 1,542 1,045 (272) 773 1,699 Gain / (loss) on disposal of discontinued operations, net of tax - 529 529 - (947) (947) (1,082) _________________________________________________________________________________________Profit / (loss) for the period 1,515 556 2,071 1,045 (1,219) (174) 617 _________________________________________________________________________________________ _________________________________________________________________________________________Attributable to:Equity holders of the parent 1,553 556 2,109 1,053 (1,219) (166) 652Minority interest (38) - (38) (8) - (8) (35) _________________________________________________________________________________________Profit / (loss) for the period 1,515 556 2,071 1,045 (1,219) (174) 617 _________________________________________________________________________________________ _________________________________________________________________________________________ Earnings per ordinary shareBasic 2.8 p 1.0 p 3.8 p 1.9 p (2.2) p (0.3) p 1.2 pDiluted 2.8 p 1.0 p 3.8 p 1.9 p (2.2) p (0.3) p 1.2 p Dividend per ordinary shareArising in respect of the period 0.4 p 0.4 p 1.2 pPaid in the period 1.2 p 1.2 p 1.2 p Unaudited consolidated balance sheet 30 September 30 September 31 March 2006 2005 2006 £000 £000 £000_____________________________________________________________________________________AssetsIntangible assets 24,992 18,863 24,868Property, plant & equipment 25,953 31,393 29,899 Investments 10 10 11Investment in joint ventures - 262 - Deferred tax assets 9,133 9,937 8,681Trade and other receivables 400 1,100 1,100 ___________________________________________________Total non current assets 60,488 61,565 64,559 Inventories 7,954 8,545 7,634Trade and other receivables 16,580 18,142 16,736Cash and cash deposits 678 13,265 11,258Assets classified as held for sale 3,451 970 2,078 ___________________________________________________Total current assets 28,663 40,922 37,706 ___________________________________________________Total assets 89,151 102,487 102,265 ___________________________________________________ Liabilities Interest bearing loans and borrowings 7,347 28,592 26,765Deferred tax liabilities 4,158 3,874 3,851 Retirement benefit obligations 22,277 26,533 22,383 ___________________________________________________Total non current liabilities 33,782 58,999 52,999 Trade and other payables 12,251 14,660 13,027Current tax liabilities 2,507 1,362 2,353Dividends payable - - 220Interest bearing loans and liabilities 12,105 4,897 5,249Liabilities associated with assets classified as held for sale - - 1,223 ___________________________________________________Total current liabilities 26,863 20,919 22,072 ___________________________________________________Total liabilities 60,645 79,918 75,071 ___________________________________________________ ___________________________________________________Net assets 28,506 22,569 27,194 ___________________________________________________ ___________________________________________________ EquityOrdinary share capital issued 2,789 2,789 2,789Share premium 2,768 44,540 2,768Other reserves 4,160 1,270 4,160Translation reserve 1,016 1,021 1,479Retained earnings 16,645 (27,014) 14,833 ___________________________________________________Total equity attributable to equity holders of the parent 27,378 22,606 26,029 ___________________________________________________ Minority interest 1,128 (37) 1,165 ___________________________________________________Total equity 28,506 22,569 27,194 ___________________________________________________ ___________________________________________________ Unaudited consolidated statement of cash flows Six months Six months Year ended ended ended 30 September 30 September 31 March 2006 2006 2005 £000 £000 £000_________________________________________________________________________________________Cash flows from operating activities Profit before financing costs 1,802 1,190 2,575 Adjustments for:Pension fund contributions in excess of service costs 12 (35) (3,364)Depreciation charge 1,489 2,087 3,734Amortisation of intangible assets 52 32 63Exceptional bad debt provision - 125 375Loss on disposal of properties - - 237(Profit) / loss on disposal of other plant and equipment (11) 28 32Impairment of assets on site closures - - 124Cash flows on closures charged in prior year - (165) (190)Share based payment charge / (credit) 143 13 (6) __________________________________________________Operating cash flow before changes in working capital 3,487 3,275 3,580 Changes in working capital (excluding the effects of acquisition and disposal ofsubsidiaries)(Increase) / decrease in inventories (422) 692 898(Increase) / decrease in trade and other receivables (58) 1,132 3,121Decrease in trade and other payables (889) (2,593) (2,932) __________________________________________________Cash generated from operations 2,118 2,506 4,667 Interest paid (893) (991) (1,766)Tax - - - __________________________________________________Net cash from operating activities 1,225 1,515 2,901 Cash flows from investing activitiesProceeds from sale of property, plant and equipment 14 82 1,073Interest received 177 317 395Disposal of subsidiary, net of cash disposed of 1,811 5,438 5,201Acquisition of subsidiary, net of cash acquired - (1,476) (1,503)Acquisition of share in joint venture - (262) (129)Acquisition of property, plant and equipment (968) (906) (2,271)Acquisition of intangible assets - computer software (10) - (64)Disposal / (acquisition) of trade investment 1 - (1)Development expenditure (670) (220) (861)Repayment of loan by / (loan to) joint venture 390 (440) (833) __________________________________________________Net cash from investing activities 745 2,533 1,007 Cash flows from financing activities Proceeds from the issue of share capital - 2,963 2,963Repayment of borrowings (11,437) (2,584) (4,548)Payment of finance lease liabilities (4) (22) (17)Dividends paid (661) (613) (644) __________________________________________________Net cash from financing activities (12,102) (256) (2,246) Net increase in cash and cash equivalents (10,132) 3,792 1,662Cash and cash equivalents at beginning of period 6,734 5,014 5,014Effect of exchange rate fluctuations on cash held (117) 97 58 __________________________________________________Cash and cash equivalents at end of period (3,515) 8,903 6,734 __________________________________________________ __________________________________________________ Cash and cash equivalents comprise: Cash at bank and in hand 678 13,265 11,258Bank overdrafts (4,193) (4,362) (4,524) __________________________________________________ (3,515) 8,903 6,734 __________________________________________________ __________________________________________________ Unaudited consolidated statement of recognised income and expense Six months Six months Year ended ended ended 30 September 30 September 31 March 2006 2005 2006 £000 £000 £000_______________________________________________________________________________Foreign exchange translation differences (436) 404 749Net loss on hedge of net investment in foreign subsidiary (28) (129) (16)Actuarial gains on defined benefit schemes - - 593Other - 3 -Taxation on items taken directly to equity - - (178) ______________________________________________Income and expense recognised directly in equity (464) 278 1,148 Profit / (loss) for the period 2,071 (174) 617 ______________________________________________Total recognised income and expense for the period 1,607 104 1,765 ______________________________________________ ______________________________________________ Attributable to:Equity holders of the parent 1,645 112 1,800Minority interest (38) (8) (35) ______________________________________________Total recognised income and expense for the period 1,607 104 1,765 ______________________________________________ ______________________________________________ Notes on the interim statement 1. Basis of preparation The interim financial statements have been prepared on the basis of theaccounting policies set out in the audited accounts for the year ended 31 March2006. The financial information is unaudited, but has been reviewed by the auditorsand their report to the company is set out on page 12. The comparative figures for the financial year ended 31 March 2006 are not thecompany's statutory accounts for that financial year. Those accounts have beenreported on by the company's auditors and delivered to the Registrar ofCompanies. The report of the auditors was (i) unqualified, (ii) did not includea reference to any matters which the auditors drew attention by way of emphasiswithout qualifying their report and (iii) did not contain statements underSection 237(2) or (3) of the Companies Act. The interim report was approved by the board of directors on 5 December 2006 andis being sent to shareholders on 8 December 2006. Copies are available from thecompany's registered office, Springstone House, PO Box 88, 27 Dewsbury Road,Ossett, WF5 9WS and can also be downloaded from the corporate website:www.carclo-plc.com 2. Segment reporting At 30 September 2006, the group is organised into two main business segments:Technical Plastics and Precision Products. The Technical Plastics segment supplies fine tolerance, injection mouldedplastic components, which are used in medical, telecom and electronics products.This business operates internationally in a fast growing and dynamic marketunderpinned by rapid technological development. The Precision Products segment supplies systems to the automotive and aerospaceindustries. The primary segment reporting format is determined to be business segments asthe group's risks and returns are affected predominantly by differences in theproducts and services provided. Secondary information is reportedgeographically. The operating business segments are organised and managedseparately.Transfer pricing between business segments is set on an arm's length basis.Segmental revenues and results include transfers between business segments.Those transfers are eliminated on consolidation. The group's geographical segments are based on the location of the group'sassets. Sales to external customers disclosed in geographical segments are basedon the geographical location of its customers. Analysis by business segment The segment results for the six months ended 30 September 2006 were as follows: Technical Precision Unallocated Eliminations Continuing Discontinued Group Plastics Products expenses total total £000 £000 £000 £000 £000 £000 £000____________________________________________________________________________________________________________ Income Statement Total revenue 27,876 9,953 - (98) 37,731 1,025 38,756Less inter-segment revenue (98) - - 98 - - - _________________________________________________________________________________________Total external revenue 27,778 9,953 - - 37,731 1,025 38,756 Expenses (26,181) (8,942) (460) - (35,583) (941) (36,524) _________________________________________________________________________________________Underlying operating profit 1,597 1,011 (460) - 2,148 84 2,232 Rationalisation costs (49) (113) (129) - (291) (62) (353) _________________________________________________________________________________________Operating profit 1,548 898 (589) - 1,857 22 1,879 Site closure costs (77) - - - (77) - (77) _________________________________________________________________________________________Profit before financing costs 1,471 898 (589) - 1,780 22 1,802 _________________________________________________ _________________________________________________ Net finance costs (96) 7 (89)Tax (169) (2) (171) ________________________________________Profit after tax 1,515 27 1,542 ________________________________________ ________________________________________ The segment results for the six months ended 30 September 2005 were as follows: Technical Precision Unallocated Eliminations Continuing Discontinued Group Plastics Products expenses total total £000 £000 £000 £000 £000 £000 £000____________________________________________________________________________________________________________ Income Statement Total revenue 27,628 11,038 - (130) 38,536 6,711 45,247Less inter-segment revenue (130) - - 130 - - - _________________________________________________________________________________________Total external revenue 27,498 11,038 - - 38,536 6,711 45,247 Expenses (26,801) (9,639) (396) - (36,836) (6,483) (43,319) _________________________________________________________________________________________Underlying operating profit 697 1,399 (396) - 1,700 228 1,928 Rationalisation costs (119) - (31) - (150) (463) (613)Exceptional bad debts (125) - - - (125) - (125) _________________________________________________________________________________________Operating profit 453 1,399 (427) - 1,425 (235) 1,190 _________________________________________________________________________________________Profit before financing costs 453 1,399 (427) - 1,425 (235) 1,190 _________________________________________________ _________________________________________________ Net finance costs (380) (37) (417)Tax - - - ________________________________________Profit after tax 1,045 (272) 773 ________________________________________ ________________________________________ The segment results for the year ended 31 March 2006 were as follows: Technical Precision Unallocated Eliminations Continuing Discontinued Group Plastics Products expenses total total £000 £000 £000 £000 £000 £000 £000____________________________________________________________________________________________________________ Income Statement Total revenue 54,328 22,586 - (297) 76,617 11,389 88,006Less inter-segment revenue (297) - - 297 - - - _________________________________________________________________________________________Total externalrevenue 54,031 22,586 - - 76,617 11,389 88,006 Expenses (51,477) (19,609) (989) - (72,075) (10,911) (82,986) _________________________________________________________________________________________Underlying operating profit 2,554 2,977 (989) - 4,542 478 5,020 Rationalisation costs (538) (144) (117) - (799) (165) (964)Exceptional bad debts (375) - - - (375) - (375) _________________________________________________________________________________________Operating profit 1,641 2,833 (1,106) - 3,368 313 3,681 Site closure costs (615) - - - (615) (254) (869)Loss on sale of properties - - (237) - (237) - (237) _________________________________________________________________________________________Profit before financing costs 1,026 2,833 (1,343) - 2,516 59 2,575 _________________________________________________ _________________________________________________Net finance costs (826) (50) (876)Tax - - - ________________________________________Profit after tax 1,690 9 1,699 ________________________________________ ________________________________________ Analysis by geographical segment by destination United Kingdom North America Rest of World Group total £000 £000 £000 £000_____________________________________________________________________________________________________ The analysis of results by geographic destination for the six months ended 30 September 2006 was as follows: Revenue Total external revenue 16,831 8,746 13,179 38,756Less revenue attributable to discontinued operations (477) (96) (452) (1,025) _____________________________________________________________Revenue from continuing operations 16,354 8,650 12,727 37,731 _____________________________________________________________ _____________________________________________________________ The analysis of results by geographic destination for the six months ended 30 September 2005 was as follows: Total external revenue 19,753 8,921 16,573 45,247Less revenue attributable to discontinued operations (1,997) (767) (3,947) (6,711) _____________________________________________________________Revenue from continuing operations 17,756 8,154 12,626 38,536 _____________________________________________________________ _____________________________________________________________ The analysis of results by geographic destination for the year ended 31 March 2006 was as follows: Total external revenue 38,214 17,761 32,031 88,006Less revenue attributable to discontinued operations (3,950) (1,439) (6,000) (11,389) _____________________________________________________________Revenue from continuing operations 34,264 16,322 26,031 76,617 _____________________________________________________________ _____________________________________________________________ Independent review report to Carclo plc IntroductionWe have been instructed by the company to review the financial information forthe six months ended 30 September 2006 which comprises the unauditedconsolidated income statement, the unaudited consolidated balance sheet, theunaudited consolidated statement of cash flows, the unaudited statement ofrecognised income and expense and the related notes. We have read the otherinformation contained in the interim report and considered whether it containsany apparent misstatements or material inconsistencies with the financialinformation. This report is made solely to the company in accordance with the terms of ourengagement to assist the company in meeting the requirements of the ListingRules of the Financial Services Authority. Our review has been undertaken sothat we might state to the company those matters we are required to state to itin this report and for no other purpose. To the fullest extent permitted by law,we do not accept or assume responsibility to anyone other than the company forour review work, for this report, or for the conclusions we have reached. Directors' responsibilitiesThe interim report, including the financial information contained therein, isthe responsibility of, and has been approved by, the directors. The directorsare responsible for preparing the interim report in accordance with the ListingRules of the Financial Services Authority which require that the accountingpolicies and presentation applied to the interim figures should be consistentwith those applied in preparing the preceding annual accounts except where anychanges, and the reasons for them, are disclosed. Review work performedWe conducted our review in accordance with guidance contained in Bulletin 1999/4: Review of Interim Financial Information issued by the Auditing PracticesBoard for use in the UK. A review consists principally of making enquiries ofgroup management and applying analytical procedures to the financial informationand underlying financial data and, based thereon, assessing whether theaccounting policies and presentation have been consistently applied unlessotherwise disclosed. A review excludes audit procedures such as tests ofcontrols and verification of assets, liabilities and transactions. It issubstantially less in scope than an audit performed in accordance withInternational Standards on Auditing (UK and Ireland) and therefore provides alower level of assurance than an audit. Accordingly, we do not express an auditopinion on the financial information. Review conclusionOn the basis of our review we are not aware of any material modifications thatshould be made to the financial information as presented for the six monthsended 30 September 2006. KPMG Audit PlcChartered Accountants, Leeds5 December 2006 This information is provided by RNS The company news service from the London Stock Exchange