Fenner PLC Regulatory News (FENR)

18 July 2013

Fenner PLC

("Fenner" or "the Group")

Interim Management Statement

 for the period from 1 March to 17 July 2013

Summary

The Group has continued to make progress and, in the period under review, achieved revenue and earnings in line with management expectations.

The Group reconfirms its expectation of an outcome for its current financial year in line with that anticipated in April 2013, at the time of its Half Year Results.

In light of the improving prospects in both Advanced Engineered Products ("AEP") and the majority of the Engineered Conveyor Solutions ("ECS") businesses and notwithstanding current conditions in the Australian mining industry, the Group looks forward to a return to growth in its 2013/14 financial year.

Trading

During the period under review, the ECS division in North America achieved order levels and revenues which showed continuing improvement from the uncharacteristically soft demand in the second half of 2012. ECS's business in Australia was, as anticipated, impacted by the widely reported and continuing pressures on expenditure in the mining industry. ECS's businesses in other locations generally continued to trade well.

In the AEP division, activity levels have continued to improve following the destocking experienced in the early months of the financial year. There has been a particularly strong performance by Fenner Advanced Sealing Technologies, which is benefitting from the strength of its industry-leading brands and technologies, its exposure to the oil & gas industry as well as recent acquisitions. Other AEP businesses have also generally performed well and in line with previous expectations.

Balance sheet and financing

The Group's balance sheet remains strong with borrowings at a level consistent with management's expectations.

Disposal

On 29 April 2013, the Group sold Svenska Brandslangfabriken AB, a non-core business in Sweden, which was acquired as part of the Mandals businesses on 3 September 2012. Net cash proceeds before selling costs were SEK 46.4m (£4.6m at current exchange rates).

- Ends -

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Notes to editors:

Fenner PLC is a leading global provider of local, engineered solutions for performance critical applications. The group operates through two divisions:

Engineered Conveyor Solutions. The ECS division, trading under the Fenner Dunlop, Fenner and Dunlop brand names, is a recognised leader in the global conveying market. The division offers a unique, comprehensive suite of products and services, which cover the conveying needs of mining, power generation and bulk handling markets.

Advanced Engineered Products. The AEP division excels at solving customers' most challenging application problems. Drawing from an unprecedented array of polymer, elastomer and textile technologies, the division routinely develops innovative performance- critical components for OEM customers in markets from underground oil exploration/mining to satellites/aircraft, speciality off-road vehicles to implantable medical devices, and from bank note dispensers to wind turbines. The Division's trading names are recognised globally and include Hallite, CDI Energy Products, EGC Critical Components, FAST, Fenner Precision, Fenner Drives, James Dawson, Secant Medical and Xeridiem.

Certain statements contained in this IMS constitute forward-looking statements. Such forward-looking statements involve risks, uncertainties and other factors which may cause the actual results, performance or achievements of Fenner, or industry results, to be materially different from any results, performance or achievements expressed or implied by such statements. Such risks, uncertainties and other factors include, among others, growth in the commodity markets, general economic conditions and the business environment.