Property Disposals

1 Dec 2006 12:14

Carclo plc01 December 2006 For Immediate Release 1 December 2006 Carclo plc ("Carclo") Carclo announces £6million property disposals Carclo plc ("Carclo") has several surplus properties arising from therestructuring undertaken in recent years as the group pursues its strategy tofocus on its core technical plastics businesses and to expand its capacity inlow cost manufacturing regions. Carclo announces that it has exchanged contracts for the sale of its surplusproperty at Plover Mills in Huddersfield. The property will be sold for £5.4million in cash to Miller Homes and will result in a profit, after costs, of£3.6 million. The 4 1/2 acre site is currently occupied by Bekaert CardingSolutions who acquired Carclo's card clothing business in 2005 and are scheduledto vacate the site in January 2007. Outline planning permission for residentialdevelopment has been granted by Kirklees Metropolitan Council. Completion of thesale will occur on the earlier date of 30 March 2007 or 10 working days afterobtaining vacant possession. Carclo has also sold a surplus 1.9 acre factory site at Eaglescliffe, Stocktonon Tees to Masada Developments for £560,000 in cash, resulting in a profit,after costs, of £100,000. The total proceeds of around £6.0 million from the sale of these two properties will be used to reduce group debt. The group's remaining portfolio of surplus properties has a net book value of £2.8 million of which £1.5 million is expected to be sold in the current financial year. Carclo will be announcing its interim results on 5 December 2006. - Ends - Enquiries:Carclo plc 01924 268040Ian Williamson, Chief ExecutiveRobert Brooksbank, Finance Director Weber Shandwick | Square Mile 020 7067 0700Richard HewsJames White Notes to Editors • Carclo plc is a global supplier of technical plastic components. It is a public company whose shares are quoted on the London Stock Exchange. • 70% of sales are derived from the supply of fine tolerance, injection moulded plastic components, which are used in medical, automotive, telecom and electronics products. This business, Carclo Technical Plastics, operates internationally in a fast growing and dynamic market underpinned by rapid technological development. • 30% of sales are derived from the supply of manufactured systems to the automotive and aerospace industries. • Carclo's strategy is to grow rapidly in low cost manufacturing regions and to develop new technologies and products to underpin future growth. This information is provided by RNS The company news service from the London Stock Exchange