Ukrproduct Regulatory News (UKR)

14 Dec 2007 10:42

Ukrproduct Group Ltd14 December 2007 UKRPRODUCT GROUP LIMITED ("Ukrproduct" or the "Group") TRADING STATEMENT The Group's trading performance during the second half of the current year hasremained buoyant. Sales of the Group's consumer products (cheeses and butter)progressed to plan with sales of a particular product, smoked sausage cheese,exceeding earlier projections for the period. Sales of bulk products (milkpowders) were also ahead of budget. Gross margins are being sustained in allcategories, particularly in smoked sausage cheese where there has been a steadyincrease in gross profitability. As a result, the trading performance of theGroup for the period is ahead of management's expectations with expected profitafter tax for the year likely to reach £3 million. The macroeconomic environment in which the Group operates remains conducive tothe Group's business. Consumer demand domestically in Ukraine has been stable,or increasing in some product segments. World prices for skimmed milk powders,after rising substantially during the year, have stabilised at levels favourableto the Group. Ukrproduct's financial position remains robust with debt employedconservatively. Terms and conditions for existing bank loans are fixed and havenot been influenced by the recent challenges in the world's credit markets.Access to additional credit resources and backup loan facilities iscontractually arranged with a number of Ukrainian banks and can be accessed ifrequired. For further information please contact: Ukrproduct Group Limited +38 044 502 8014Iryna Yevets, CEO,Dmitry Dragun, CFO, WH Ireland Limited 0161 832 2174David Youngman This information is provided by RNS The company news service from the London Stock Exchange