Character Regulatory News (CCT)

9 Nov 2007 07:01

Character Group PLC09 November 2007 Issued on behalf of The Character Group plcDate: Friday, 9 November 2007 Embargoed: 7.00am The Character Group plc Update in relation to Bindeez products The Board of The Character Group plc ("Group" or "Company") wishes to updateshareholders in relation to Bindeez branded products distributed by the Group inUK and Eire on behalf of the manufacturers, Moose Enterprise Pty, Australia ("Moose"). Following a number of reported cases of illness in Australia, the Groupannounced on Wednesday (7 November 2007) that it had recommended to itscustomers to withdraw from sale all Bindeez products whilst independent testlaboratory and EU toxicologist tests were being undertaken. Whilst there have been no cases of illness reported in the UK and Eire, we havebeen made aware of a further case reported in the USA in relation to thisproduct range. Although at this stage the Group is still awaiting the test results, in light ofthis additional reported incident in the USA and in an effort to avoid anypotential risk to children as well as prevent confusion or concern with UK andEire consumers, the Directors have decided, as a further safety measure,voluntarily to recall from retail and consumers all Bindeez Products distributedby the Group. The Group takes all reasonable measures to ensure that all its products are safeand that children's safety is the priority. In this particular case, it appearsthat an unapproved formulation may have been used in the manufacturing processand this is now being rectified. In addition to ensuring the use only ofapproved bead formulation, Bitrex(R) has been added to the manufacturing processof all replacement products. This safe solution leaves a bitter taste on oralcontact so as to dissuade children from placing the product in the mouth. The Directors anticipate that new supplies, which conform to the correctspecification, will commence to be shipped from the first week of December 2007.Due to the interruption to supplies, it is inevitable that the Group will losesome sales at this busy time of the year. Despite this, the Directors expect theBindeez brand to grow during the current financial year as a whole. The Directors will continue to keep shareholders updated as appropriate. Details of the Voluntary Recall Notice will appear on the Group's websitewww.character-online.co.uk. Enquiries:Richard King, Chairman Fiona Tooley, DirectorKiran Shah, Group Finance Director & Joint MD Keith Gabriel, Senior Account ManagerThe Character Group plc Citigate Dewe RogersonTel: +44 (0) 20 8949 5898 Tel: +44 (0) 121 455 8370Mobile: +44 (0) 7836 250150 (RK) Mobile: +44 (0) 7785 703523 (FMT)Mobile: +44 (0) 7956 278522 (KS)www.thecharacter.comwww.character-online.co.uk Richard ThompsonPhilip DaviesCharles Stanley SecuritiesNominated AdvisorTel: +44 (0) 20 7149 6000 This information is provided by RNS The company news service from the London Stock Exchange