Last checked at 1 Aug 2008 10:03
AGM & Interim Management Statement
Worthington Group plc provides an Interim Management Statement for the period from 1 April to 30 June 2008, as required by the revised UK Listing Authority's Disclosure and Transparency Rules.
Trading for the period is in line with management expectations with the exception of demolition costs amounting to some £50,000. These costs have been incurred in demolishing and clearing an unlettable area of the Keighley property which will eliminate the rates liability on the area concerned. Leases for a new tenant and extensions of existing leases to 2011 have been completed in the period.
Pension returns for the quarter were negative in the quarter although the investment managers outperformed the benchmark target. We continue to monitor the investment managers' performance.
As reported in June we agreed with the Pension Trustees to make a reduced fixed contribution of £140,000 per annum together with a 25% share of the Company's profits each year. Prior to formal submission of the agreed plan to the Pensions Regulator in early July the Trustees were notified by the Pension Protection Fund ( "PPF") of the actual PPF levy for the 2008/9 year. The PPF changed its scaling factor and in effect increased the levy for all schemes by 135% from that previously estimated, with no explanation. As a result of this increase we have had to agree to a higher fixed contribution of £180,000 per annum to cover the increased levy but we have agreed to reduce the annual profit share to 17%.
The revised plan was submitted in early July and the Pensions Regulator has confirmed it has no comments to make on our proposals.
We continue to look for suitable investment opportunities but have nothing further to report in the short period since our last update on 23 June.
J C Dwek CBE
Chairman
Enquiries:
Worthington Group plc
Joe Dwek CBE, Chairman Tel: 01625 549082
Website:- www.worthingtongroupplc.co.uk