Slingsby H.c Regulatory News (SLNG)

H C SLINGSBY PLC

("Slingsby" or the "Company" or the "Group")

Unaudited Preliminary Announcement for the year ended 31 December 2011

Statement by the Chairman

The year under review was characterised by challenging conditions. There was a marked slowdown in activity levels in late April and May 2011 and the trading environment then remained subdued for the rest of the year. Against this backdrop, sales and profit before taxation were £15.2m (2010: £16.7m) and £0.4m (2010: £1.1m) respectively.

The Group recorded a net cash outflow from operations of £0.1m (2010: £1.3m inflow), reflecting the lower trading levels and a change in supply chain strategy towards holding higher levels of our faster moving lines in stock to facilitate next day delivery and better purchase prices. Net cash was £2.4m at 31 December 2011 (2010: £3.4m).

The deficit on the Group's defined benefit scheme (as measured in accordance with ISA19) increased to £8.7m (2010: £6.7m), driven primarily by lower bond yields increasing scheme liabilities and weaker equity market returns, reducing scheme assets in turn. The Company is making monthly payments into the scheme as part of an ongoing pension deficit management plan. The scheme closed to future accrual in 2009.

The Company continues to invest in information technology, establishing links with suppliers and customers. Recognising the vital importance of an easy to use web site fully integrated with our main business processes, we have decided to invest in a replacement enterprise system and we are currently at the stage of requirement analysis with the preferred supplier.

Activity during the first three months of 2012 has continued at a similar level to the second half of 2011 and therefore we have taken action after the year end to reduce overheads. Whilst the board remains very cautious about the possibility of any upturn, we believe that the Group's positive cash position puts us in a good position to take advantage of opportunities as and when the economic climate improves.

On behalf of the board I wish to thank our loyal staff who have once again served the Company well in a difficult year.

The board is recommending a final dividend of 28.0p (2011: 35.0p). The total dividend is therefore 32.0p (2011: 40.0p). The record date will be 1 June 2012 and the payment date 3 July 2012.

John Waterhouse

Non-Executive Chairman

20 April 2012

Registered Office

Otley Road

Baildon, Shipley

West Yorkshire BD17 7LW

For further information, please contact:

Unaudited Consolidated Income Statement

for the year ended 31 December 2011

The results set out above derive entirely from continuing operations.

Unaudited Statement of Consolidated Recognised Income and Expense

for the year ended 31 December 2011

Unaudited Group Balance Sheet

as at 31 December 2011

Unaudited Consolidated Cash Flow Statement

for the year ended 31 December 2011

Statement of Changes in Shareholders' Equity

The translation reserve comprises foreign exchange differences arising from the translation of the financial statements of foreign operations.

Notes to the Unaudited Preliminary Announcement for the year ended 31 December 2011

1. The unaudited preliminary results have been prepared in accordance with International Financial Reporting Standards ("IFRS") and IFRIC interpretations as adopted by the EU and with those parts of the Companies Act 2006 applicable to companies reporting under IFRS. The preliminary announcement does not constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006. The financial information included in this preliminary announcement does not include all the disclosures required by IFRS or the Companies Act 2006 and accordingly it does not itself comply with IFRS or the Companies Act 2006. This announcement has been agreed with the Company's auditors for release.

The financial statements for the year ended 31 December 2011, upon which the auditors have still to report, will be issued to shareholders on 23 May 2012 and will be available to members of the public at the registered office of the Company and on the Company's website www.slingsby.com from that date. The statutory accounts for the year ended 31 December 2011 will be delivered to the Registrar following the company's Annual General Meeting.

The Annual General Meeting will be held at 10.00 am on 22 June 2012 at the Marriot Hollins Hall Hotel, Hollins Hill, Baildon, Shipley, BD17 7QW.

2. Retirement benefit obligation

3. Reconciliation of operating profit to net cash inflow from operating activities

4. Dividends

The interim and final dividends for the 2010 financial year of 5.0p and 35.0p, totalling £400,000 were paid and deducted from reserves in the year. The dividends for the 2009 financial year totalling £340,000 were paid and deducted from reserves in 2010.