Pre Close Statement

RNS Number : 3716J

CPPGroup Plc

30 June 2011

 



CPPGROUP PLC

30 JUNE 2011                                                

PRE CLOSE ANNOUNCEMENT

CPPGroup Plc ("CPP" or the "Group") today publishes the following statement prior to entering its close period for the half year ended 30 June 2011.

As outlined in our Interim Management Statement on 19 May 2011, we anticipate continued year on year Group revenue growth for the period, driven by sustained growth in Northern Europe, North America and Asia Pacific, but offset by a reduction in Southern Europe.

The rate of revenue growth for the half year will be lower than in the four months to 30 April 2011, being negatively impacted by our decision to suspend sales of Identity Protection through our UK voice channels announced on 28 March 2011 in response to discussions with the FSA and the subsequent request from Barclaycard to suspend sales to their customers through our call to confirm channel. These lost sales will negatively impact on Group margin for the half year. We continue to work closely with the FSA in relation to its ongoing investigation, however the timeframe to the conclusion of such discussions remains unclear.

The Board continues to believe in the ongoing relevance and consumer appeal of our products and services and we remain focused on developing our business in the UK and internationally. In the UK we continue to grow our Packaged Accounts channel and to work closely with our partners towards launching our non-insured Identity Protection product, Identity Safe. Overseas we are making continued progress in development of our new and existing markets.

There has been no significant change in CPP's financial position, with continued low net debt.

CPP will announce its half year results on 23 August 2011.

A conference call for analysts will be held on 30 June 2011 at 8:00 a.m., dial in details for which are as follows:

Dial in: [phone]

Participant ID: 547453#

For enquiries contact:

Eric Woolley, Chief Executive Officer

Shaun Parker, Chief Financial Officer

Tel. [phone]

Tulchan Communications

John Sunnucks

David Allchurch

Tel. [phone]

Notes to editors

CPPGroup Plc (CPP) is a fast-growing and leading international Life Assistance business with operations in 15 geographical markets in both developed and developing countries. Card protection was the first product the Group introduced 30 years ago. Since then CPP has launched mobile phone insurance, legal assistance and identity theft protection. CPP is also prominent in the provision of Packaged Accounts where we source products and services to create a tailored 'package' for bank account customers. We also provide a range of travel support services such as translation and lost-and-found luggage services as well as access to airport lounges worldwide. Our joint venture with Mapfre Asistencia provides assistance for plumbing, drainage, gas, electrical and other home-related emergencies.

Cautionary statement  

This trading statement contains certain forward-looking statements. These statements are made by the directors in good faith based on the information available to them up to the time of approval of the trading statement but such statements should be treated with caution due to the inherent uncertainties, including both economic and business risk factors, underlying any such forward-looking information. Subject to the requirements of the UK Listing Authority's Disclosure and Transparency Rules and Listing Rules, CPPGroup Plc undertakes no obligation to update these forward-looking statements and it will not publicly release any revisions it may make to these forward-looking statements that may result from events or circumstances arising after the date of this trading statement.

 

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