Half Year Trading Update

11 Jul 2007 07:00

Alliance Pharma PLC11 July 2007 For immediate release 11 July 2007 ALLIANCE PHARMA PLC ("Alliance" or "the Company") Half-year Trading Update Alliance Pharma plc (AIM: APH), the speciality pharmaceutical company, announcesa pre-close trading update ahead of the announcement of its interim results forthe six months ended 30 June 2007. As announced in the Company's AGM statement on 16 May 2007, temporary supplyshortfalls, which are in the process of being resolved, have impacted sales withthe result that half year sales are expected to be in the region of £7.8million, the same as in the first half last year. Without the supply shortfallsit is estimated that sales would have been around £1 million higher. As a result the Company expects to report a loss for the half year in the regionof £0.7 million before exceptional reorganisation costs of £0.2 million arisingfrom the action taken to improve profitability which was announced on 13 June2007. This action, which will produce annual cost savings of more than £1 million,marks a strategic shift in which the Company will put more emphasis on itstrading portfolio. This shift will result in improved profitability and cashgeneration. Benefits from the action taken will start to flow in the second halfto return the Company to profit in the full year. The Company's interim results will be announced on 12 September 2007. For further information: Alliance Pharma plc + 44 (0) 1249 466966John Dawson, Chief Executive Richard Wright, Finance Directorwww.alliancepharma.co.uk Numis Securities + 44 (0) 20 7260 1000David PoutneyMichael Meade Buchanan Communications + 44 (0) 20 7466 5000Mark Court/Rebecca Skye Dietrich Notes to editors About Alliance Pharma Alliance Pharma, founded in 1996, is an AIM listed speciality pharmaceuticalcompany based in Chippenham, Wiltshire, UK. The company has a strong trackrecord of acquiring the rights to established niche brands and owns, or shares,the rights to 34 branded pharmaceutical products. Alliance Pharma's products are prescribed in the treatment of a wide range ofconditions and include brands used in periodontitis (a serious gum disease), theprevention of heart disease, in Parkinson's disease, in nutrition, in nasalinfections, in the treatment of dermatological conditions and in childbirth.Alliance Pharma's sales are mainly prescription driven. Its products aredistributed to hospitals directly and to pharmaceutical wholesalers whichservice both hospital and retail pharmacies with their prescriptionrequirements. Alliance Pharma joined the AIM market of the London Stock Exchange in December2003 and trades under the symbol APH. This information is provided by RNS The company news service from the London Stock Exchange