Communisis PLC Regulatory News (CMS)

19 January 2017

Communisis plc

("Communisis" or the "Company")

Trading Update

Leading provider of personalised customer communication services, Communisis plc (LSE: CMS), announces a trading update for the year ended 31 December 2016 (Unaudited).

Trading for the year ended in line with expectations.

Within the Customer Experience division, Communisis announced a significant new contract win in November 2016 with Her Majesty's Revenue and Customs (HMRC) for all outbound customer communication; implementation planning is well in-hand toward the go-live date in mid-2017.

The Brand Deployment division has won a new contract with Sony Europe, for a range of customer communication services. The arrangement went live on 1st October 2016 for a term of 3 years. Activities will include management of the supply chain for marketing collateral and point-of-sale across Europe. Communisis extended its presence in Germany by opening in Berlin to complement existing operations in Frankfurt and Dusseldorf.

Strong free-cash flow helped reduce net debt by approximately £9m to £30m.

In addition, the accounting deficit related to the Defined Benefit pension scheme reduced from £57m at 17 October 2016 to approximately £55m at the end of December.

The Group will issue Preliminary Results for the year ended 31 December 2016 on 9 March 2017.

Andy Blundell, Chief Executive, commented:

"The 2016 performance was solid and the simplified dual-divisional structure helped us to focus successfully on the major growth opportunities: Long term contract wins such as HMRC and Sony Europe will help deliver against our targets for 2017 and beyond."

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About Communisis

Communisis is an integrated marketing services company, which improves the communication between brands and their customers. We create engaging content and deliver it across multiple customer touch-points; in digital, broadcast and print channels.