WGB.L Regulatory News (WGB)

WALKER GREENBANK PLC

("Walker Greenbank" or "the Company")

Commissioning of Innovative Wallpaper Printing Machine

Walker Greenbank PLC (AIM: WGB), the luxury interior furnishings group whose brands include Sanderson, Morris & Co., Harlequin, Zoffany and Scion, announces that its significant first-half investment in a new hybrid rotary/gravure machine has successfully been commissioned at its wallpaper printing factory in Loughborough.

This innovative custom-built machine, which is fully booked until early next year, adds much-needed gravure capacity and replaces outdated rotary equipment, thereby increasing the factory's efficiency. The new machine, which was manufactured in the UK by Emerson and Renwick, cost approximately £1.75 million and represents the largest recent investment by Walker Greenbank in its manufacturing capabilities.

The new machine will add significant capacity to the Loughborough factory for use by third-party customers and by the Company's own brands. It also allows a new textured wallpaper product to be created by combining the gravure and rotary techniques. This textured product opens up a new opportunity for Walker Greenbank, particularly in export sales.

The new machine is currently being used for third-party customers and for the manufacture of a textured Harlequin product for launch next month.

The rotary/gravure combination adds to the printing techniques at the wallpaper factory in Loughborough, which range from traditional block printing to the latest digital printing.

John Sach, Walker Greenbank's Chief Executive, said: "This hybrid rotary/gravure machine represents our largest recent investment in our manufacturing capabilities. The new machine will allow us to increase the efficiency of our wallpaper printing factory by replacing outdated rotary equipment and will also add much-needed gravure capacity. In addition, the machine offers a commercially attractive technique for combining rotary and gravure in a single print process to create an innovative textured product.

 "It is pleasing to note that this custom-built machine, which was manufactured near Manchester, will be printing innovative and traditional wallpapers in Loughborough for sale worldwide."

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