PTY.L Regulatory News (PTY)

28 Jun 2006 10:45

28 June 2006 Parity Group plc AGM Statement Parity Group plc ("Parity" or "the Group"), the UK IT services group, holds itsAGM at 11.00am today. The following statement will be made by John Hughes,Executive Chairman:"Trading since the start of the year across the Group has been broadly in linewith management's expectations. The focus of the Group on the UK and thechanges made in the past twelve months are delivering benefits in overallperformance.Resourcing Solutions has performed well, benefiting from both market demand andour strong reputation. The business is experiencing good growth in revenues andimproving margins. Extensive changes were made in the Training business in 2005to reduce the overall cost base and make costs more variable with demand. Thisis now resulting in the turnaround in bottom line performance we had targeted.While investment in sales and marketing is producing an improving flow ofcorporate training opportunities which are being converted to business, publiccourse activity continues to operate on very short horizons. The Solutionsbusiness has performed satisfactorily since the start of the year with goodlevels of interest in its offerings and an increased pipeline of opportunities,both of which are good leading indicators of continuing recovery.Our disposal programme has now been completed. As previously announced, themajority of the mainland European activities were sold in January 2006, withthe disposal of the remaining small Benelux business having taken place in Maythis year.The balance sheet strengthening which was completed in May has resulted in anumber of new institutional shareholders joining the register and a reductionin debt to a level more appropriate for a business of Parity's scale andnature. New banking facilities are in place to provide the necessary supportfor the Group's business plans going forward.Along with the strengthening of the Executive management team alreadyannounced, with the recruitment of Alwyn Welch as Chief Executive and thepromotion of Joe Kelly to Finance Director, I am pleased to announce that, aspart of our focus to strengthen the Board, Mr Nigel Tose has recently agreed tobecome an independent Non-Executive Director. Nigel brings more than 30 yearsof City experience, most recently as Co-Head of Corporate Finance with InvestecInvestment Banking; Nigel will also take the chair of the Audit Committee.Nigel will join the Board on 3 July 2006.Our objective remains to focus on the continued recovery of Parity. With theperiod of change now behind us and a substantially strengthened team in place,the management is now able to focus its undivided attention on returning Parityto profitable growth.Parity will announce its interim results for the six months ending 30 June 2006in September 2006."EndsEnquiries:Parity Group plc Tel: 020 7776 0800 John Hughes, Executive Chairman Alwyn Welch, Chief Executive Joe Kelly, Finance Director Financial Dynamics Tel: 020 7831 3113 Giles Sanderson Harriet Keen Cass Helstrip ENDPARITY GROUP PLC