Annual Financial Report

RNS Number : 7007H

JPMorgan European Smaller Co.

01 June 2011

 



STOCK EXCHANGE ANNOUNCEMENT

JPMORGAN EUROPEAN SMALLER COMPANIES TRUST PLC

ANNOUNCEMENT OF FINAL RESULTS

The Directors of JPMorgan European Smaller Companies Trust plc announce the Company's results for the year ended 31st March 2011.

Chairman's Statement

Performance

The year to 31st March 2011 was a positive one for equity investors. The Company's total return on net assets (i.e. with net income reinvested) was +21.7%, which compares with a return of +14.2% on the same basis from the Company's benchmark, the HSBC Smaller European Companies (ex UK) Total Return Index in sterling terms. It is very pleasing to have outperformed the benchmark index by a significant amount, having underperformed in the previous financial year. This restores the outstanding long-term performance record; the Company has outperformed the benchmark over three, five and ten years.

A review of the market and more details on performance are given in the Investment Managers' Report below and the Company's total return for the year can be analysed by looking at the performance attribution analysis which shows that the Investment Managers' activities added an additional 7.9% on top of the benchmark return of 14.2%. With a return to more normal market conditions compared to the year before, the style factor analysis on which your Investment Managers' investment process is based worked well. As a result, stock selection was by far the main source of the value creation though their effective use of gearing during the year also added value for the seventh year running. This is no mean achievement itself given the turbulent markets of the past few years.

The other contributor to the total return on net assets was share buybacks during the year which had a modest positive impact on net assets of 0.8%, offsetting the management fees and other expenses of 1.2%, resulting in the total return on net assets of 21.7%.

The discount of the Company's share price to net asset value narrowed over the year from 18.7% to 15.2% at year end, resulting in a total return to shareholders of +27.1%.

Revenue and Dividends

Net revenue return for the year amounted to £2.4 million, thus increasing the positive balance on the Company's Revenue Reserve. Subject to shareholder approval at the forthcoming Annual General Meeting, a dividend of 4.0 pence per share will be paid on 13th July 2011 to shareholders on the register at the close of business on 17th June 2011. I would remind shareholders that the Company's objective is to achieve capital growth rather than income and so dividends may not arise every year.

Share Buybacks

Consistent with most investment trust companies in the European sector, the discount to net asset value at which the Company's shares trade has remained stubbornly wide over the year despite the excellent performance, averaging 16.9%. The Board has continued to use its share buyback authority to attempt to manage the volatility and absolute level of the discount. During the year, the number of shares bought back totalled 2,312,367, representing 5 per cent of the shares in issue at the beginning of the financial year.

Tender Offer

The Board has been in discussion with a number of institutional shareholders over recent months in connection with the relatively wide level of discount of the Company's share price to NAV which has persisted due to poor investor sentiment towards European stock markets, despite the excellent relative and absolute NAV performance. Whilst the large majority of those holders have been supportive of the Company and have noted the Board's pro-active efforts in utilising existing share buyback powers, the Board is aware through these discussions that at least one large long-term holder is seeking a partial exit for its holding at a price which is reasonably close to NAV.

The Board has considered the position of the Company carefully, including the importance of its size and place in the FTSE 250 to the liquidity of its shares. Taking into account all relevant considerations, the Board has decided that implementing a one off Tender Offer is in the best interest of shareholders as a whole. The Tender Offer price, described below, will be at a discount to the NAV on the calculation date and consequently ongoing holders following the completion of the Tender Offer will benefit from an uplift in the NAV per share.

The Tender Offer is for up to a maximum of 2,155,936 shares, representing 5% of the Company's issued share capital as at the record date of 16th May 2011. Shareholders who successfully tender shares will receive the tender price per share being the NAV per share (inclusive of undistributed revenue reserves as at the close of business on the calculation date) on the calculation date, after subtracting the direct costs and expenses of the Tender Offer (including stamp duty and portfolio realisation costs) and a further 3% discount.

Board Evaluation

The Nomination Committee carried out its annual evaluation of the Board, its Committees, the individual Directors and the Chairman earlier this year. The Board takes this review seriously and views it as an effective means of evaluating the continuing efficacy of the Board.

The Company's Articles of Association require that all Directors who held office at the time of the two preceding AGMs and did not retire by rotation at either of them must retire at the next AGM. Accordingly, Tony Davidson and Federico Marescotti will retire by rotation at the forthcoming AGM. Both being eligible, they will stand for reappointment. Carolan Dobson was appointed to the Board on 1st September 2010 and, in accordance with the Company's Articles of Association, will also stand for reappointment at the AGM. Following the introduction of the new UK Corporate Governance Code in June 2010, it is now best practice for all directors of FTSE 350 companies to stand for annual reappointment. Whilst the Board has always followed the highest standards of corporate governance, it believes that the provisions of the Company's Articles of Association ensure the appropriate level of governance in terms of Directors' reappointment, whilst facilitating Board continuity, and has decided not to implement annual reappointment for all Directors at this stage. However, it will continue to monitor market practice in this respect.

The Board's composition and succession planning policy stipulates that the total term of an individual appointed to the role of Chairman, having previously served as a Director, should be no more than 12 years. Therefore, having served as a Director for more than eleven years, I shall stand down from the Board at the conclusion of the forthcoming AGM. I am pleased to tell you that Paul Manduca, who has been a Director since 2005, will succeed me as Chairman.

Manager Evaluation

During the year the Board carried out a formal review of the Manager, JPMorgan Asset Management (UK) Limited ('JPMAM'). This covered the investment management, company secretarial, administrative and marketing services provided to the Company by JPMAM and took into account their investment performance record, management processes, investment style, resources and risk control mechanisms. The Board is satisfied with the performance of the Manager and concluded that its continued appointment on the existing terms is very much in the interests of shareholders as a whole.

Annual General Meeting

The Company's AGM will be held at The Armourers' Hall, 81 Coleman Street, London EC2R 5BJ on Friday 8th July 2011 at 12.00 noon. The Investment Managers will make a presentation reviewing the past year and commenting on the outlook for the current year. The meeting will be followed by a General Meeting to approve the Tender Offer.

Outlook

The Investment Managers set out their views on the investment outlook below. They believe Europe is somewhere midway through an economic recovery but with a higher level of volatility in prospect than usual in this stage of the cycle. Whilst relative valuations for smaller companies in Europe may not be compelling, they do see them as potentially attractive on an absolute basis and their challenge will continue to be one of stock picking in the context of the uncertain economic backdrop.

The Board also sees significant uncertainties in the economic outlook for Europe given the ongoing debt problems on the periphery of Europe and the possibility that this will gather momentum in southern Europe. This prevailing sense of economic uncertainty, exacerbated by the unknown legacy of quantitative easing, exists outside Europe too as evidenced by recent market movements in commodity prices. In this environment the Board supports the cautious, currently ungeared, stance of the Investment Managers, but it is confident that their long experience and stock picking skills will enable them to continue to add value through the period ahead.

Elisabeth Airey

Chairman                                                                                                                     1st June 2011

Investment Managers' Report

Investment Process

The objective of the Company is to achieve capital growth from a portfolio of quoted smaller companies in Europe, excluding the United Kingdom. The investment universe is defined at the time of purchase by the countries and market capitalisation range of the constituents of the benchmark index, the HSBC Smaller European Companies (ex UK) Index. At the end of March 2011 the index consisted of 1,000 companies with a market value of between £54 million and £3 billion across 15 countries. This universe of potential investments is screened using a proprietary multi-factor model, to the results of which we apply fundamental analysis. The investment process is focussed on identifying growth companies with strong operational momentum and value companies with a catalyst for re-rating which have the potential to outperform the market on a sustainable basis.

The portfolio is constructed within a framework where risk is managed, in terms of investment style factors, relative to the benchmark index. Investments are sold when there is a fundamental negative change in business prospects, the valuation is regarded as excessive or the market capitalisation has outgrown significantly the benchmark index. The policy is not to hedge the currency exposure of the portfolio's assets. The Board has established a liquidity range of 20% cash to 20% gearing within which the Investment Managers may operate.

Market Review

The financial year to 31st March 2011 started poorly for financial markets, as the European periphery deficit crisis reached a climax. The Euro, which had traded as high as 1.51/US$ in November 2009, reached 1.19/US$ by June 2010, with some even questioning its future viability. While periphery problems would continue to afflict markets, a realisation that the weak Euro was making core Europe, namely Germany and its surrounding neighbours which account for the vast majority of European GDP, even more competitive, in conjunction with Germany's willingness to provide financial support to the afflicted countries, improved sentiment on European stockmarkets and towards the Euro.

Strong exports from European companies into robust demand from emerging markets and, to a lesser extent, the US led to very strong reporting quarters in June and September of 2010. This, coupled with the US Federal Reserve announcing that it would undertake a second round of quantitative easing, saw markets rally strongly for much of the remainder of the financial year, despite Greece, Ireland and then Portugal asking for economic support from the EU and the IMF. In the twelve months to 31st March 2011 the large company MSCI Europe (ex UK) Index returned 7.1% in sterling. Sustained appetite for risk led to another year of outperformance by the HSBC Smaller European Companies Index which rose by 14.8%.

Portfolio Performance

The net asset value of the Company increased by 21.7% over the year, somewhat ahead of returns from both the benchmark smaller company HSBC Index and the large company MSCI Index. The decision to maintain a geared position in a rising market was again one of the key positive contributors to performance. At a stock level, the top contributors included Swiss engineering group OC Oerlikon, which rose by 82% as the benefits of restructuring became visible, German TV operator ProSiebenSat.1 Media which rose by 70% thanks to the operational leverage of a recovery in advertising revenues and Italian luxury goods producer Bulgari which gained 68% and became the subject of a takeover bid from LVMH.

The annual report from last year highlighted the exceptional behaviour of investment style factors in European equities whereby those companies whose share prices had previously underperformed the most and which, at the time, had the poorest relative earnings revisions, performed best and by some margin. As was pointed out, whilst this is not unusual at a turning point in the market, the magnitude and speed with which such companies outperformed was exceptional. During the year to 31st March 2011 the performance of such style factors was more normal and owning stocks which exhibited both strong price momentum and the best relative earnings revisions once again contributed positively to performance.

Portfolio Positioning

Industrial engineering became the portfolio's largest overweight sector relative to the benchmark index thanks to a strong performance from such holdings as Austrian process engineer Andritz and the addition of new holdings in French logistics vehicle producer Manitou and Swiss industrial products manufacturer Georg Fischer. The key sector shift in the portfolio was a move from a significant underweight to significant overweight position in the recovering financial services and life insurance sectors with new investments in asset managers Azimut in Italy and GAM Holding, Helvetia Holding and Swiss Life in Switzerland. A view that best of the early cycle recovery had already been seen in media and retail led to the disposal of holdings in TV operators ProSiebenSat.1 Media in Germany, Modern Times Group in Sweden and Antena 3 Television in Spain, Swiss duty free operator Dufry and Belgian car rental operator D'Ieteren.

Geographically the portfolio remains overweight in the central European countries of the Netherlands and Switzerland. We have also increased the position in Italy and reduced the underweight in Spain, as their yield spreads with Germany have stabilised, suggesting that for the bond markets at least, Italy and Spain will not suffer the same fate as Greece, Ireland and Portugal in needing funds from the EU and the IMF. New holdings include internet clothing and design retailer Yoox, pump manufacturer Interpump, braking systems producer Brembo in Italy and hotel operator Sol Melia in Spain.

Investment Cycle

Over time there is a strong correlation between the trend in consensus earnings revisions for European smaller companies and the performance of the benchmark HSBC Index. Revisions to earnings forecasts are typically negative as analysts start the year overly optimistic then have to downgrade as the year unfolds. Nevertheless, for the index to make progress, it is normally sufficient that the rate of downgrade should be less than around 8%. Following a sharp improvement in the momentum of earnings revisions in the last two years, we are currently in the unusual position where analysts are not, on average, downgrading their estimates for corporate profitability.

Smaller companies in Europe have enjoyed a period of strong performance over the last two years and, on a price to book basis, now trade at a comparable valuation to that of large companies. This is towards the top end of the range in which they have traded over the last twenty years. Nevertheless, smaller companies are cheap on an absolute basis, currently being valued towards the bottom end of the historic range of 1.5 - 2.5x book value.

Outlook

Our belief is that we are somewhere midway through an economic recovery with perhaps slightly higher than the usual level of volatility which that entails. Many of the concerns which typically arise midway through a cycle are present. As we write, commodity prices have gone into sharp reversal, raising questions over the speed of the global recovery. Published inflation numbers are higher than estimated but it is still not certain whether it is structural or whether it is temporary with important implications on the outlook for interest rates. A key question remains as to whether the peripheral crisis is over, with Portugal being the last country to require funding, or whether it will spread to Spain and ultimately Italy.

While global growth may be moderating, it is still healthy: the US economy is performing well, core Europe is recovering adequately, even with Eurozone countries making a concerted effort to cut budget deficits, and growth in emerging markets remains robust. Corporate earnings are recovering well and order intakes during the first quarter of 2011 have been strong, with the result that consensus earnings revisions remain positive. While inflation is undoubtedly rising, the perceived fragility of the recovery is likely to ensure continued relaxed monetary policies. As far as the periphery is concerned, we believe that Spain, and with a higher conviction Italy, are decoupling from the other members of the periphery, as bond yield spreads seem to be suggesting.

At this stage of the cycle it is normal to have a pause in the markets coupled with substantial sector rotation, typically for a period of three to six months. Therefore, the level of gearing in the portfolio has been significantly reduced in order to have the investment capacity to redeploy it once this process has run its course. As always our challenge is to pick the most appropriate stocks given the prevailing economic environment.

Jim Campbell

Francesco Conte

Investment Managers                                                                                      1st June 2011

Principal Risks

With the assistance of the Manager the Board has drawn up a risk matrix, which identifies the key risks to the Company.

These key risks fall broadly under the following categories:

• Investment and Strategy: An inappropriate investment strategy, for example asset allocation or the level of gearing, may lead to underperformance against the Company's benchmark index and peer companies, resulting in the Company's shares trading on a wider discount. The Board manages these risks by diversification of investments through its investment restrictions and guidelines, which are monitored and reported on by the Manager. JPMAM provides the Directors with timely and accurate management information, including performance data and attribution analyses, revenue estimates, liquidity reports and shareholder analyses. The Board monitors the implementation and results of the investment process with the investment managers, who attend all Board meetings, and review data which show statistical measures of the Company's risk profile. The investment managers employ the Company's gearing tactically, within a strategic range set by the Board. The Board holds a separate meeting devoted to strategy each year.

• Market: Market risk arises from uncertainty about the future prices of the Company's investments. It represents the potential loss that the Company might suffer through holding investments in the face of negative market movements. The Board considers asset allocation, stock selection and levels of gearing on a regular basis and has set investment restrictions and guidelines, which are monitored and reported on by JPMAM. The Board monitors the implementation and results of the investment process with the Manager.

• Accounting, Legal and Regulatory: In order to qualify as an investment trust, the Company must comply with Section 1158 of the Corporation Tax Act 2010 ('Section 1158'). Were the Company to breach Section 1158, it might lose investment trust status and, as a consequence, gains within the Company's portfolio would be subject to Capital Gains Tax. The Section 842 qualification criteria are continually monitored by JPMAM and the results reported to the Board each month. The Company must also comply with the provisions of the Companies Act 2006 and, as its shares are listed on the London Stock Exchange, the UKLA Listing Rules and Disclosure & Transparency Rules ('DTRs'). A breach of the Companies Act could result in the Company and/or the Directors being fined or the subject of criminal proceedings. Breach of the UKLA Listing Rules or the DTRs could result in the Company's shares being suspended from listing which in turn would breach Section 1158. The Board relies on the services of its Company Secretary, JPMAM to ensure compliance with the Companies Act and the UKLA Listing Rules and DTRs.

• Corporate Governance and Shareholder Relations: Details of the Company's compliance with Corporate Governance best practice, including information on relations with shareholders, are set out in the Corporate Governance section of the annual report.

• Operational: Loss of key staff by JPMAM, such as the Investment Managers, could affect the performance of the Company. Disruption to, or failure of, JPMAM's accounting, dealing or payments systems or the custodian's records could prevent accurate reporting and monitoring of the Company's financial position. Details of how the Board monitors the services provided by JPMAM and its associates and the key elements designed to provide effective internal control are included within the Internal Control section of the Corporate Governance report.

• Financial: The financial risks faced by the Company include market price risk, interest rate risk, liability risk and credit risk. Further details are disclosed in note 20 of the Company's Report & Accounts.

Related Parties Transactions

During the financial year, no transactions with related parties have taken place which have materially affected the financial position or the performance of the Company during the year.

Directors' Responsibilities

The Directors each confirm to the best of their knowledge that:

a)         the financial statements have been prepared in accordance with applicable UK accounting standards, and give a true and fair view of the assets, liabilities, financial position and profit or loss of the Company; and

b)         the Annual Report, to be published shortly, includes a fair review of the development and performance of the business and the position of the Company, together with a description of the principal risks and uncertainties that they face.

For and on behalf of the Board

Elisabeth Airey

Chairman

1st June 2011

Income Statement

for the year ended 31st March

		2011			2010
		Revenue	Capital	Total	Revenue	Capital	Total
		£'000	£'000	£'000	£'000	£'000	£'000
Gains on investments held at fair value
through profit or loss		-	78,917	78,917	-	151,221	151,221
Net foreign currency (losses)/gains		-	(1,540)	(1,540)	-	996	996
Income from investments		8,963	-	8,963	8,116	-	8,116
Other interest receivable and similar income		278	-	278	315	-	315
Gross return		9,241	77,377	86,618	8,431	152,217	160,648
Management fee		(4,298)	-	(4,298)	(3,627)	-	(3,627)
Other administrative expenses		(664)	-	(664)	(612)	-	(612)
Net return on ordinary activities
before  finance costs and taxation		4,279	77,377	81,656	4,192	152,217	156,409
Finance costs		(1,304)	-	(1,304)	(1,250)	-	(1,250)
Net return on ordinary activities
before  taxation		2,975	77,377	80,352	2,942	152,217	155,159
Taxation		(606)	-	(606)	(775)	-	(775)
Net return on ordinary activities
after taxation		2,369	77,377	79,746	2,167	152,217	154,384
Return per share (note 3)		5.33p	174.02p	179.35p	4.63p	325.04p	329.67p

All revenue and capital items in the above statement derive from continuing operations. No operations were acquired or discontinued in the year.

The 'Total' column of this statement is the profit and loss account of the Company and the 'Revenue' and 'Capital' columns represent supplementary information prepared under guidance issued by the Association of Investment Companies. The Total column represents all the information that is required to be disclosed in a Statement of Total Recognised Gains and Losses ('STRGL'). For this reason a STRGL has not been presented.

Reconciliation of Movements in Shareholders' Funds

	Called up		Capital
	share	Share	redemption	Capital	Revenue
	capital	premium	reserve	reserves	reserve	Total
	£'000	£'000	£'000	£'000	£'000	£'000
At 31st March 2009	12,178	1,312	3,458	253,547	(417)	270,078
Purchase of shares into Treasury	-	-	-	(8,580)	-	(8,580)
Cancellation of shares held in Treasury	(407)	-	407	-	-	-
Net return on ordinary activities	-	-	-	152,217	2,167	154,384
At 31st March 2010	11,771	1,312	3,865	397,184	1,750	415,882
Repurchase and cancellation of the
Company's own shares	(407)	-	407	(12,242)	-	(12,242)
Purchase of shares into Treasury	-	-	-	(4,591)	-	(4,591)
Cancellation of shares held in Treasury	(487)	-	487	-	-	-
Net return on ordinary activities	-	-	-	77,377	2,369	79,746
Dividend appropriated in the year	-	-	-	-	(1,367)	(1,367)
At 31st March 2011	10,877	1,312	4,759	457,728	2,752	477,428

Balance Sheet

at 31st March

		2011	2010
		£'000	£'000
Fixed assets
Investments held at fair value through profit or loss		557,047	416,678
Investment in liquidity fund held at fair value through profit or loss		2,010	12,934
Total investments		559,057	429,612
Current assets
Debtors		5,164	14,153
Cash and short term deposits		87	236
Derivative financial instruments: forward currency contracts held
at fair value through profit or loss		5	18
		5,256	14,407
Creditors: amounts falling due within one year		(86,885)	(28,137)
Net current liabilities		(81,629)	(13,730)
Total assets less current liabilities		477,428	415,882
Net assets		477,428	415,882
Capital and reserves
Called up share capital		10,877	11,771
Share premium		1,312	1,312
Capital redemption reserve		4,759	3,865
Capital reserves		457,728	397,184
Revenue reserve		2,752	1,750
Equity shareholders' funds		477,428	415,882
Net asset value per share (note 4)		1097.3p	907.6p

Company registration number: 2431143.

Cash Flow Statement

for the year ended 31st March

		2011	2010
		£'000	£'000
Net cash inflow from operating activities		2,063	2,676
Returns on investments and servicing of finance
Interest paid		(1,049)	(1,230)
Net cash outflow from returns on investments and servicing of finance		(1,049)	(1,230)
Taxation
Overseas tax recovered		513	450
Capital expenditure and financial investment
Purchases of investments		(1,542,735)	(1,484,090)
Sales of investments		1,504,214	1,472,595
Other capital charges		(253)	(196)
Net cash outflow from capital expenditure and financial investment		(38,774)	(11,691)
Dividend paid		(1,367)	-
Net cash outflow before financing		(38,614)	(9,795)
Financing
Net drawdown of loans		56,100	12,857
Purchase of shares into Treasury		(5,631)	(7,976)
Repurchase and cancellation of the Company's own shares		(12,242)	-
Net cash inflow from financing		38,227	4,881
Decrease in cash for the year		(387)	(4,914)

Notes to the Accounts

for the year ended 31st March 2011

1.             Accounting policies

                Basis of accounting

                The accounts are prepared in accordance with the Companies Act 2006, United Kingdom Generally Accepted Accounting Practice ('UK GAAP') and with the Statement of Recommended Practice 'Financial Statements of Investment Trust Companies and Venture Capital Trusts' (the 'SORP') issued by the AIC in January 2009. All of the Company's operations are of a continuing nature.

                The accounts have been prepared on a going concern basis under the historical cost convention, as modified by the revaluation of investments and derivative financial instruments at fair value.

                The policies applied in these accounts are consistent with those applied in the preceding year.

2.             Dividends

                Dividends paid and declared

	2011	2010
	£'000	£'000
Dividend paid
2010 final dividend of 3.0p (2009: nil)	1,367	-
Dividend declared
Dividend declared of 4.0p per share (2010: 3.0p)	1,740	1,375

                The dividend declared in respect of the year ended 31st March 2011 is subject to shareholder approval at the forthcoming Annual General Meeting. In accordance with the accounting policy of the Company, this dividend will be reflected in the accounts for the year ending 31st March 2012.

                The dividend declared in respect of the year ended 31st March 2010 amounted to £1,375,000. However, the amount actually paid was £1,367,000 due to shares repurchased into Treasury after the balance sheet date but prior to the share register dividend record date.

3.             Return per share

                The revenue return per share is based on the revenue attributable to the ordinary shares of £2,369,000 (2010: £2,167,000) and on the weighted average number of shares in issue during the year of 44,464,022 (2010: 46,829,499 excluding shares held in Treasury).

                The capital return per share is based on the capital return attributable to the ordinary shares of £77,377,000 (2010: £152,217,000) and on the weighted average number of shares in issue during the year of 44,464,022 (2010: 46,829,499 excluding shares held in Treasury).

                The total return per share is based on the total return attributable to the ordinary shares of £79,746,000 (2010: £154,384,000) and on the weighted average number of shares in issue during the year of 44,464,022 (2010: 46,829,499 excluding shares held in Treasury).

4.             Net asset value per share

                The net asset value per share is based on the net assets attributable to the ordinary shareholders of £477,428,000 (2010: £415,882,000) and on the 43,508,739 (2010: 45,821,106) shares in issue at the year end, excluding shares held in Treasury.

5.             Status of announcement

2010 Financial Information

The figures and financial information for 2010 are extracted from the published Annual Report and Accounts for the year ended 31st March 2010 and do not constitute the statutory accounts for that year.  The Annual Report and Accounts has been delivered to the Registrar of Companies and included the Report of the Independent Auditors which was unqualified and did not contain a statement under either section 498(2) or section 498(3) of the Companies Act 2006.

2011 Financial Information

The figures and financial information for 2011 are extracted from the Annual Report and Accounts for the year ended 31st March 2011 and do not constitute the statutory accounts for the year. The Annual Report and Accounts includes the Report of the Independent Auditors which is unqualified and does not contain a statement under either section 498(2) or section 498(3) of the Companies Act 2006. The Annual Report and Accounts will be delivered to the Registrar of Companies in due course.

Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement

JPMORGAN ASSET MANAGEMENT (UK) LIMITED

ENDS

A copy of the annual report will shortly be submitted to the National Storage Mechanism and will be available for inspection at www.hemscott.com/nsm.do

The annual report is also available on the Company's website at www.jpmeuropeansmallercompanies.co.uk where up to date information on the Company, including daily NAV and share prices, factsheets and portfolio information can also be found.

JPMORGAN ASSET MANAGEMENT (UK) LIMITED

 

END

 

 

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