Torotrak PLC Regulatory News (TRK)

14 Feb 2008 07:00

Torotrak PLC14 February 2008 14 February 2008 Torotrak Plc Interim Management Statement for the period 1 October 2007 to 13 February 2008 Torotrak is today providing its Interim Management Statement for the period 1October 2007 to 13 February 2008, focusing on the key areas of development sincethe half-yearly report released on 27 November 2007. We are pleased to confirm that, as a result of the timing of our licenceagreements and engineering programmes, the substantial weighting of our revenuestowards the second half of the year is materialising as predicted and, as aresult, our operating performance is in line with full year expectations. On 19 December 2007, we announced that we had entered into a Licence Agreementand an Engineering Development Agreement with a major European truck and busmanufacturer. These two agreements have a combined value in excess of £7million.More than half of this relates to licence income which is due to be paid priorto 31 March 2008. The engineering programme to deliver prototype transmissionsfor assessment in two types of our client's commercial vehicles, which isexpected to last for at least 3 years, has now commenced. Infinitrak's programme of final testing and validation of off-tool examples ofthe Twin Toroidal Transmission (TTT) described in our November half-yearlyreport has continued. This has identified a small number of productionconformity issues on parts manufactured by external suppliers - none of whichrelates to the core technology of the TTT unit - which are in the process ofresolution to ensure a high quality launch. Series production in limitedvolumes, to support MTD's initial requirements, is therefore expected tocommence around Torotrak's year end but, irrespective of exact timing, stillwithin MTD's 2008 build season. Infinitrak is continuing to plan for a full yearof volume production and sales in Torotrak's next financial year, in line withour expectations as reported in November 2007. We are pleased to report that our Licence Agreement with Tata Motors Ltd is nowin the final stages of approval by the Indian Government, having been cleared bythe Indian Project Approval Board on 31 January 2008. Accordingly, Tata Motorsexpects the licence to be concluded formally before 31 March 2008. We can alsoconfirm that we have begun work with Tata Motors' engineers to determine theirfirst development application. We will provide a full report covering all of our markets and sectors in May2008 when we announce our Preliminary Results for the year ending 31 March 2008. For further information:Dick Elsy, Chief Executive Simon HudsonJeremy Deering, Finance Director Lulu BridgesTorotrak Plc Tavistock CommunicationsTel: +44 17 7290 0938 Tel: +44 20 7920 3150 This information is provided by RNS The company news service from the London Stock Exchange