Cake Box Holdi. Regulatory News (CBOX)

31 May 2006 07:02

Cashbox PLC31 May 2006 Press Release 31 May 2006 Cashbox plc ("Cashbox" or "the Company") 1,000th ATM installation achieved ATM performance update Cashbox plc (AIM:CBOX), the AIM-listed independent ATM deployer and operator,announces that it has installed its 1,000th ATM, following a furtherinstallation into the pub estate operated by Scottish & Newcastle PubEnterprises, the leased pub management business owned by Scottish & Newcastleplc, which has exclusive preferential status for an entire estate of over 1600pubs throughout the UK. Currently Cashbox has a contract with S&N Pub Enterprises to install ATMs usingthe Placement Model into its tenanted pub estate. The Placement Model, which isCashbox's primary focus, is where an ATM is placed with a merchant free ofcharge and replenished by the merchant, eliminating the need for third partycash-handling costs. Using detailed site surveys and the Placement Model,Cashbox is able to profitably place ATMs in lower footfall areas whicheffectively expands the available market. Commenting on the successful integration of Cashbox's ATMs into pubs that arepart of their estate, Kay Sibbald, Franchise Manager of S&N Pub Enterprises,said: "I have been impressed with Cashbox's prompt response to requests fromlessees and the company for ATMs. The free placement ATM is a real benefit forlessees who wish to offer their customers a cash facility on site." Carl Thomas, Chief Executive of Cashbox plc, said: "The installation ofCashbox's 1,000th ATM marks a significant milestone in our business andsuccessfully demonstrates the robustness of our business model. We have astrong relationship with S&N Pub Enterprises and they are a valued customer.The installation of our ATMs into their estate is a win-win situation for allparties concerned as it delivers increased footfall to the pub itself, improvescustomer retention for the landlord and increases cash spend at the bar. Withthe 1,000th ATM now in situ, we are delighted to confirm that our installationprogramme remains ahead of schedule and that the Company has a significantpipeline of future ATM installations." Cashbox is also pleased to provide an update on an important key performanceindicator (KPI) of the business - the percentage of ATMs within the Cashboxestate that are trading profitably at a gross profit level. Commenting on this KPI, Carl Thomas added: "The profitability of machines thathave been installed across an estate by independent ATM deployers (IADs) hasbeen an area of concern for investors. On a number of occasions IADs havesurprised the market with disappointing profit numbers due to ATMs beingdeployed using either the wrong business model or into locations where the ATMsare simply not used. We are pleased to announce this important KPI data as itis information that we monitor daily. We are extremely pleased to report that98% of our total estate and 91.4% of the placement estate is trading profitablyand making a positive contribution to our gross profit account line and as such,we view the future with considerable optimism." - Ends - For further information:Cashbox plcCarl Thomas, Chief Executive Tel: +44 (0) 870 126 2274cthomas@cashboxatm.co.uk www.cashboxatm.co.uk S&N Pub EnterprisesKay Sibbald, Franchise Manager Tel: +44 (0) 131 528 2713kay.sibbald@s-n.com www.pub-enterprises.co.uk Seymour Pierce LimitedJeremy Porter, Corporate Finance Tel: +44 (0) 20 7107 8000jeremyporter@seymourpierce.com www.seymourpierce.com Media enquiries:AbchurchHenry Harrison-Topham Tel: +44 (0) 20 7398 7700henry.ht@abchurch-group.com www.abchurch-group.com Notes to editors Cashbox is a leading independent ATM deployer (IAD) with an estate of 1,000 ATMsin remote locations around the UK. The Company began trading in September 2003and was established by brothers Carl and Matt Thomas. Cashbox installs andoperates an estate of ATMs, typically on five to seven year contracts, at sitesthroughout the UK where there is a demand for cash withdrawal services and wherecustomers are willing to pay a convenience fee. Cashbox was granted membership of LINK in March 2004, allowing Cashbox toincorporate its ATMs in the LINK network. Cashbox also has a Bank of Englandsettlement account and became the first IAD in the UK to become completelycompliant with the Triple DES security standard in June 2004. Cashbox's sales strategy is based on selecting amongst three models to maximisethe profit potential of each ATM site - the Sale Model, the Placement Model andthe Fully Managed Model. The Company intends that the majority of newinstallations will use the Placement Model, whereby the ATM is purchased byCashbox under lease hire, placed with the merchant and replenished by themerchant, eliminating the need for third party cash handling costs. The Company listed on AIM in March 2006. S&N Pub Enterprises S&N Pub Enterprises is the leased pub division of Scottish & Newcastle UK andoperates over 1,600 of the best pub sites throughout the UK. The management ofPub Enterprises is split into 6 regional teams based across the UK, with itshead office in Edinburgh. S&N Pub Enterprises portfolio of properties covers the entire spectrum of thepub business; from city centre pubs to rural locations, from community pubs tofamily ones, from proven branded developments to individual project investment.Proven profit brands developed uniquely for leased operators include: James HPorter, Village Inn, Cooper's Kitchen and Baroque. This information is provided by RNS The company news service from the London Stock Exchange