FIF.L Regulatory News (FIF)

28 Nov 2007 12:00

Finsbury Food Group PLC28 November 2007 Date: 28th November 2007On behalf of: Finsbury Food Group plc ("Finsbury" or "the Group")Embargoed until: 1200hrs Finsbury Food Group plcAGM Trading Update Finsbury Food Group plc (AIM: FIF), a leading manufacturer of premium andcelebration cakes, low fat cake slices and speciality, organic and gluten freebreads, is today holding its Annual General Meeting. At the meeting theChairman will issue the following trading update. "In line with our expectations, sales growth has continued strongly in all ofour businesses, with sales for the first 20 weeks up year on year by 18% inMemory Lane Cakes Ltd, 27% across the combined businesses of California CakesLtd and Campbells Cakes Ltd, and 15% in our Nicholas and Harris Ltd breadbusiness. The Lightbody Group Ltd, acquired in February 2007, has experiencedgrowth of 8%. In addition, United Central Bakeries Ltd ("UCB") has completed its recovery fromthe fire at the end of October 2006, with the replacement equipment now fullyoperational at target efficiency. UCB's turnover for the month of October 2007was up 19% on the corresponding period last year (which was the last full periodprior to the fire). The integration of the Anthony Alan Foods Ltd business, which was acquired inOctober 2007, is progressing to plan. The administration function has nowtransferred to Memory Lane Cakes Ltd in Cardiff and strong business developmentplans for the Weight Watchers brand are in place for the first half of 2008. In line with other food producers, the Group has been experiencing input costpressures with the main increases relating to butter and associated dairyproducts, flour and egg. In a full year this would increase material costs bynearly 10%. These increases have come in two phases, with the first phasealready fully recovered. Our commercial team is having a constructive dialoguewith our key customers to adjust terms to recover the remainder by early 2008 atthe latest and we are confident this will be achieved. The premium and health sectors are still demonstrating the highest sales growthrates in the bakery sector and the Group is well positioned to take advantage ofthis growth and to continue building share in the celebration cake market. Withmarket leading positions in each of our core sectors, we will continue to focuson providing excellent products to excite our current consumers and entice newconsumers. This strategy has stood us in good stead over the last few years, and we believewe will meet market expectations for the current year." - ENDS - For further information: Finsbury Food Group Plc www.finsburyfoods.co.ukDave Brooks (Chief Executive) 07831 787 382Lisa Morgan (Group Finance Director) 07771 712 720 Redleaf CommunicationsEmma Kane/Sanna Lehtinen 020 7822 0200 • Publication quality photographs are available via Redleaf Communications on the numbers shown above This information is provided by RNS The company news service from the London Stock Exchange