Delling Group PLC
01 June 2006
For release 7.00am 1 June 2006
DELLING GROUP PLC
The AIM-listed marketing services group
New Contract Win
'Delling wins two year £0.5 million per annum contract with the Nordic
subsidiaries of US pharmaceutical company, Bristol-Myers Squibb'
&
'First Pan-Nordic Outsourcing Agreement for Delling'
Delling Group PLC ('Delling' or 'the Company'), the AIM-listed marketing support
services company, is delighted to announce that it has entered into a two year
outsourcing agreement with the four subsidiaries of US pharmaceutical company
Bristol-Myers Squibb that comprise the Nordic region being Sweden, Norway,
Denmark and Finland.
The two year contract commences on 1 June 2006 and is expected to have an annual
income to Delling of approximately £0.5 million. Under the contract, Delling
will be the main supplier of all the marketing material for Bristol-Myers Squibb
in the Nordic area. The contract is expected to build up to the full monthly
volume by August this year.
The Board considers this contract to be extremely important in the evolution of
the Delling concept. It is the first pan-Nordic outsourcing agreement that
Delling has entered into and it demonstrates the very substantial benefits that
a cross-border approach can offer to Delling's international customer base. A
cross-border approach should deliver to those clients a reduction in their core
marketing-related costs, significant economies of scale and an improvement in
the quality and efficiency of their supply chain procurement of marketing
materials.
The Company will announce its final results for the year ended 31 December 2005
on Tuesday, 20 June 2006 and as advised earlier, Delling continues to expect its
results to be in line with current market expectations.
Geir Lolleng, CEO of Delling Group commented:
'The Bristol-Myers Squibb contract together with the previously announced (09/01
/06) contract with McDonald's strongly supports our view that we now have
entered into a new phase of development. This is further supported by the fact
that we recently have made a number of smaller deals that, when combined, should
have a positive impact on our cash flow. We are now starting to see the
benefits accrue following our significant investment into the marketing support
arena and the further development and enhancement of Delling's unique offering.
This contract also underpins our dual strategy to deliver strong growth both
organically and through acquisitions.'
ENDS
For further information please contact:
Contact:
Delling Group Plc
Geir Lolleng, Chief Executive Officer Tel: +46 7652 76024
James Robinson, Finance Director Tel 020 7484 5664
Tarquin Edwards/Peter Binns Tel: 07879 458 364 / 07768 392 582
This information is provided by RNS
The company news service from the London Stock Exchange
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