AGM Statement

Anglo-Eastern Plantations PLC
26 May 2006


 

 

                         ANGLO-EASTERN PLANTATIONS PLC                          
 
                     AGM Statement and Proxy Votes received                     

AGM Chairman's Statement

At the Annual General Meeting in London this morning of Anglo-Eastern, which
operates approximately 32,500 hectares of developed plantations, primarily oil
palm in Indonesia, Mr Peter O'Connor, senior independent non-executive director,
who will act as chairman, will comment on current trading as follows:
 
'Our current trading continues much as described in the chairman's statement in
our last annual report. The palm oil price has remained relatively static,
albeit at a satisfactory level. The average price to date this year per metric
tonne is $430 compared to $417 for the first half of 2005 and to $422 for 2005
as a whole. On the other hand, until the recent volatility in exchange rates,
the Indonesian rupiah had strengthened steadily by 12% in 2006, with a
consequent adverse effect on our local rupiah revenue; however that appreciation
halved last week.

So far, estate crops are about 17% ahead of the same period last year, with all
estates showing increases. With our maturing areas this is to be expected,
though happily Tasik continues to perform above our expectations. But,
obviously, these positive variances are prone to change.

Less satisfactory, but mentioned in earlier statements, competition for bought
in crop is severe at our Tasik mill and particularly so at our Bengkulu mill.
Our Blankahan mill is the exception but, overall, bought in crop is 10% down on
the same period last year.

As a result, taking estate and bought in crop movements together, CPO output is
4% up on the previous year.

Operating costs have risen significantly, partly due to the removal of fuel
subsidies in Indonesia. But, profit to April is still ahead of the same period
last year

We can expect the pressure in bought in crop to continue but the effect on
profit is less important than for estate crop. Provided the CPO price stays at
current levels, the overall increase in CPO output should outweigh the effects
of wage and fertiliser cost increases and the effect of the strengthening Rupiah
so far this year. We therefore expect to improve on last year's profit.

I am glad to say that the rate of new planting in Bengkulu, after very wet
weather early in the year, is satisfactory. In the first four months we have
planted 420 hectares towards the 2,300 hectares which remain to be planted there
by the end of 2007, ultimately bringing the Bengkulu project to a planted area
of about 16,000 hectares.

Development at our 4,200 hectare site at Labuhan Bilik is progressing well. A
nursery sufficient to plant 2,000 hectares has been established and we are on
schedule to meet our target first planting of 1,100 hectares in 2006.

We continue to look for new land or developed estates but, with current high
levels of interest in potential oil palm land, finding unproblematic
opportunities is not easy.'


Proxy votes received immediately prior to the Annual General Meeting

The results of proxy card votes received on resolutions to be put to the meeting
are:

Number of valid proxy cards: 86

Issued share capital: 39,935,872

Number of votes per share: 1

 
Resolution (No.   Shares           Shares         Shares       Shares Marked As 
  as noted on                 Discretionary                    Votes Withheld / 
 proxy form)                                                     Abstentions    
                    For                           Against                       
            1     2,229,490       20,435,763         286,242            36,000  
            2     2,551,732       20,435,763               0                 0  
            3     2,340,419       20,435,805         192,371            18,900  
            4     2,541,686       20,445,805               4                 0  
            5     2,541,686       20,445,805               4                 0  
          6(a)    2,205,256       20,446,530           66367           269,342  
          6(b)    1,954,262       20,446,418         284,473           305,342  
          6(c)    2,216,835       20,446,418          52,900           271,342  
            7     2,551,732       20,435,763               0                 0  
            8     2,533,773       20,445,805           7,917                 0  
            9     2,551,686       20,435,805               4                 0  
           10     2,543,682       20,436,309           7,504                 0  

 

Enquiries:

Anglo-Eastern Plantations Plc
Rollo Barnes (Financial Director)                                020-7236 2838

Bankside Consultants Limited
Charles Ponsonby                                 020-7367 8851 / 07789-202 312



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