TSI.L Regulatory News (TSI)

28 Oct 2008 07:00



28 October 2008

COBURG GROUP PLC

RESULTS FOR THE YEAR ENDED 30 APRIL 2008

CHAIRMAN'S STATEMENT

The Group showed a substantial improvement in its performance in the first six months, halving its losses to £62,000 and moving towards profitability, but huge increases in the price of raw coffee together with rises in fuel and other auxiliaries wiped out these gains and the outcome for the year was one similar to the loss in the previous year.

In response to these unusual conditions your Board took further measures at the year end to rationalise the business and cut costs. The interim figures to October 2008 are likely to show a loss slightly in excess of last year as a result of some one-off costs but I expect the improvements from these changes to flow through in the second half of this financial year.

Coburg is now an extremely efficient roaster of high quality coffee. I believe that its strengths mean the business will benefit from consolidation in the market and therefore the Board continues to look at a number of acquisition and co-operation opportunities that may or may not come to completion in the near future.

It had been my intention to leave the Group once I had completed the reconstruction I set out to do when I first joined. Having headed the business when we decided to upgrade and rationalise the Group's factory at Woolwich including installing a new roaster, successfully integrated the acquisitions of Ashby's, Rizzi, Aroma Coffee and the final buy-out of our partner in CK Coffee and overseen the rapid growth in our own label business I feel now is the right time to leave.

I have decided to resign from the Chairmanship and the Board with immediate effect and I am delighted that Konrad Legg, the Group's largest shareholder, has agreed to take over the running of the Group. Konrad has proposed that Jeremy Maynard, a previous Director of the Group, be appointed a Non-Executive Director prior to the forthcoming AGM, where a resolution approving his appointment will be put to shareholders.

My fellow Directors, Rory Forrester and Robin Hendy, who came with me to help in the reconstruction, are resigning at the same time. I am grateful to them for their help and support throughout the period we have worked at Coburg.

I would like to thank all the staff that I have worked with at the Group. It is they that are the key to the business and they that continue to put in so much effort into making it successful. 

Alistair Summers

Chairman

CONSOLIDATED INCOME STATEMENT FOR THE YEAR ENDED 30 APRIL 2008

STATEMENT OF RECOGNISED INCOME AND EXPENSE FOR THE YEAR ENDED 30 APRIL 2008

CONSOLIDATED BALANCE SHEET 30 APRIL 2008

CASH FLOW STATEMENT FOR THE YEAR ENDED 30 APRIL 2008

Notes to the accounts

Ordinary Business

1. To receive the company's annual accounts for the financial statements for the year ended 30th April 2008 together with the last directors' report, the last directors' remuneration report and the auditors' report on those accounts.

2. To re-appoint Christopher Birkle as a director who retires by rotation.

3. To approve the appointment of Jeremy Maynard, who has been appointed as a Director since the last AGM.

4. To re-appoint FW Stephens as auditors of the company to hold office from the conclusion of the meeting to the conclusion of the next meeting at which accounts are laid before the company at a remuneration to be determined by the directors.

Special Business

To consider and if thought fit pass the following resolutions as Ordinary Resolutions:

5. To approve the directors' remuneration report for the financial year ended 30th April 2008.

6. THAT in substitution for all existing authorities to the extent unused the directors be and they are generally and unconditionally authorised in accordance with Section 551 of the Companies Act 2006 ("the Act") to exercise all the powers of the Company to allot relevant securities (within the meaning of that section):

(a) up to an aggregate nominal amount of £250,000 for cash; and

(b) up to an aggregate nominal amount of £600,000 where such securities form the whole or part of the consideration for the acquisition of any other company;

provided this authority shall expire at the conclusion of the next Annual General Meeting of the Company after the passing of this resolution save that the directors may allot relevant securities pursuant to an offer or agreement made by the Company on or before that date as if such authority had not expired.

SPECIAL RESOLUTION

To consider and if thought fit pass the following resolutions as a Special Resolution:

7. THAT in substitution for all existing authorities to the extent unused, and subject to the passing of the previous resolution the directors be generally empowered pursuant to Section 551 of the Act to allot equity securities (within the meaning of Section 560 of the Act) pursuant to the authority conferred by the above resolution as if Section 561 of the Act did not apply to any such allotment provided that this power shall be limited to the allotment of equity securities:

(ii) otherwise than pursuant to sub-paragraph (a) above for cash up to an aggregate nominal value of £250,000; 

provided this authority shall expire at the conclusion of the next Annual General Meeting of the Company after the passing of this resolution save that the directors may allot relevant securities pursuant to an offer or agreement made by the Company on or before that date as if such authority had not expired.

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