Trading Statement

Greggs PLC
09 October 2007

                                                                  9 October 2007



                                   GREGGS plc

                             AUTUMN TRADING UPDATE



 Greggs is the UK's leading retailer specialising in sandwiches, savouries and
 other baker-fresh food on the go.  It has over 1,300 retail outlets throughout
            the UK, trading under the Greggs and Bakers Oven brands.


Group Managing Director Sir Michael Darrington reports: "I am pleased to report
a further improvement in our like-for-like sales performance since we announced
our interim results on 31 July.  Like-for-like sales in the first 16 weeks of
the second half to 6 October 2007 have grown by 5.9 per cent, including core
volume growth of 1.8 per cent.  This strong performance has been assisted by
favourable weather in August and September, and compares with a disappointing
period of flat like-for-like sales in 2006.

"Operating profit for the second half to date is above the comparable period
last year.

"As we stated in the interim report, we are bearing significant increases in the
cost of several key ingredients, including flour and dairy products, with
protein price rises in the pipeline.  These cost pressures have been mitigated
to some extent by forward buying.  Our robust performance to date encourages us
to believe that current and anticipated cost increases will be recoverable from
the market place, with our selling price inflation continuing to run at around
the current level of 4.5 per cent.

"The second phase of our integrated marketing campaign was launched with a
further burst of TV advertising last month.  Although its focus is on building
long-term national awareness of the Greggs brand, we believe that it has
contributed to our positive sales performance.

"The restructuring of our business to create a unified, responsive, national
Greggs brand is proceeding to plan.

"Development of our new Glasgow bakery has been completed on time and to budget,
with the final production transfers to the new site being completed last week.
This excellent facility will further enhance the efficiency and growth potential
of our successful Scottish business.

"In the current year to date we have opened 37 new shops and closed 20, making a
net addition of 17 and a total of 1,353 units trading at 6 October.  We now
expect to achieve a net addition of around 30 shops over the year as a whole, an
increase on our previous target of 20-25.

"We have continued to return cash to shareholders through our share buyback
programme.  In the second half to date we have so far bought a total of 325,449
ordinary shares at an average price of £48.57 and an aggregate cost of £15.9
million.

"Comparatives become somewhat more demanding in the remainder of the second
half, when like-for-like sales in 2006 increased by 2.0 per cent.  Nevertheless,
we are encouraged by our progress to date and continue to believe that this will
be a year of satisfactory progress for Greggs."




ENQUIRIES:

Greggs plc                                        Hudson Sandler
Sir Michael Darrington, Managing Director         Wendy Baker / Jessica Rouleau

Richard Hutton, Finance Director
Raymond Reynolds, Retail Director

Tel:   [phone]                              Tel:  [phone]




                      This information is provided by RNS
            The company news service from the London Stock Exchange