Last checked at 27 Apr 2015 13:58
De La Rue plc
Post Balance Sheet Events
Update on 2010 Paper Production Issues
As reported in Note 25 of the 2014 Report and Accounts and in earlier years, the Company has had unresolved issues since 2010 with a major customer regarding bank note paper production contracts.
The Company has been advised that the performance bonds which have been in place since the contracts were entered into, with a value of c£13.5m, have been invoked by the customer concerned.
It is expected that this will be classified as an adjusting post balance sheet event and that this amount will be provided for as an exceptional item in the accounts for the year ended 28 March 2015.
The Board considers this is a material step towards resolution of this issue and discussions continue with this important customer.
Sale of land at Overton
On 16 April 2015 the Company completed the disposal of surplus land at Overton. The proceeds of £9.6m have been received and the disposal will result in an exceptional gain on disposal of c£9m. It is expected that this item will be classified as a non-adjusting post balance sheet event and will therefore be accounted for in the 2015/16 financial year.
27 April 2015
Enquiries:
De La Rue plc |
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| +44 (0)1256 605000 |
Martin Sutherland | Chief Executive |
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Colin Child | Group Finance Director |
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Brunswick |
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| +44 (0)207 404 5959 |
Jon Coles |
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Oliver Hughes |
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Notes to Editors:
De La Rue is a leading commercial banknote printer, security paper maker and provider of security products and software solutions and, as a trusted partner of governments, central banks and commercial organisations around the world, is at the forefront of the battle against the counterfeiter.
As the world's largest commercial banknote printer, De La Rue provides customers with a fully integrated range of sophisticated products and services which are available either individually or as a whole. This includes a leading design capability, production of innovative security components, manufacture of security paper and polymer substrates and sophisticated printing of banknotes, all contributing to trust in the integrity of currencies.
De La Rue is the world's largest commercial passport manufacturer in an environment of increasing global concern over security at national boundaries and border control. De La Rue also produces a wide range of other security products, including tax stamps for governments who are seeking to combat illicit trade and collect excise duties. Other products include authentication labels, assuring purchasers of product validity, and government identity documents. In addition the Group manufactures high speed cash sorting and banknote inspection equipment.
The company also provides a range of specialist services and software solutions including government identity schemes, product authentication systems and cash management processing solutions.
De La Rue is listed on the London Stock Exchange (LON:DLAR). For further information visit www.delarue.com
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