Trifast Regulatory News (TRI)

12 Aug 2009 07:00



Issued by Citigate Dewe Rogerson, Birmingham on behalf of Trifast plc

Date: Wednesday, 12 August 2009

Immediate Release

Trifast plc

('Group' or Company')

Interim Management Statement: Q1 period ended 30 June 2009

This Interim Management Statement is the first three-month period being reported under the responsibility of CEO Jim Barker and Chairman Malcolm Diamond MBE, who rejoined the Board on 18 March 2009.

The Group's trading revenue is at a similar level to the Group's Q4 period in our last financial year ended 31 March 2009 and current results are in-line with budget and management expectations.

The Directors are pleased to report that progress is being maintained, as the reduction in both net debt and inventory levels, together with cash generation, continues to be a key focus.

As indicated at the time of the Group's Preliminary Results announcement in June, negotiations are well advanced with the Company's bankers, with due diligence currently being undertaken ahead of proposed new facilities being finalised. The Directors consider that the proposed new terms for a three-year asset backed facility to replace the current overdraft offers security of term and flexibility whilst also being both fair and competitive. The Group will update shareholders at the time of the AGM.

Recovery strategies for the Group and for each individual business unit have been reviewed, modified where necessary, agreed with all business managers and are now being instigated. Main Board Director, Geoff Budd since returning to full time duties is playing a key role in the restructuring of the Midlands operations, which has suffered most from the rapid decline in UK manufacturing. 

The Global sales team which the Board re-established in March has already made tangible progress with enquiries for high value new business in Asia, USA and Europe.

Visibility for the remainder of 2009 is still limited. The Group's Asian operations are beginning to report sustained order input improvements, however extended summer shutdowns among our customers in Europe and the USA are expected to reduce temporarily revenue to below breakeven during these months. Nevertheless, the high morale and commitment of managers and staff across the business continues to sustain the Board's confidence that Trifast is now better placed to drive its own profit performance into 2010 and benefit from any eventual global economic recovery.

The Annual General Meeting takes place on 23 September 2009 and the Half-yearly results for the six months ending 30 September 2009 will be announced in mid-November 2009.

Trifast's trading business, TR Fastenings is a leading international manufacturer and distributor of industrial fastenings to the assembly industries, with operations in Europe, the Americas and Asia. For more information, please visit www.trfastenings.com.