Trading Statement

Pittards PLC
01 December 2005


                                  Pittards plc

                                 Trading update


In my interim statement of 31 August 2005 I reported that the strategy change
for the Company which started towards the end of 2004, was progressing well.
The contract we were awarded in August to manage Ethiopia's largest tannery
provides us with opportunities across our range of glove, shoe and luxury goods
leathers.


We reported a pre-tax loss of £1.5m for the six months ended 30 June 2005, and I
commented that the higher chemical, fuel, power and waste treatment costs we
were experiencing made it unlikely that we would show much improvement in the
second half on our performance in the first six months.


Our Leeds operation, which was loss-making in 2004 and in the first half of this
year, has had a particularly difficult third quarter largely as a result of
disappointing sales and continuing problems with raw material sourcing.  This
has been compounded by the substantial increases in energy and waste treatment
costs which have overwhelmed the savings made in other overheads.  As a
consequence, the Group's trading loss in the second half is likely to be
substantially greater than the loss in the first six months.  This has caused us
to accelerate the planned review of our manufacturing resources.  Consultations
have begun which may ultimately lead to the consolidation of production at our
Yeovil and Ethiopian sites, and the cessation of production in Leeds.


By consolidating production in two facilities rather than three, we would
improve our international competitiveness not least through the elimination of
the fixed costs associated with the Leeds operation.  The costs of closure would
be substantial but would be expected to be more than covered by the proceeds of
sale of the valuable freehold factory premises.


We continue to make progress in reducing debt. Total borrowings were £9.2m at 31
October compared with £11.1m at 30 June 2005, and £11.7m at the end of 2004.
Net assets at 31 October, before taking account of the deficit on the pension
scheme, were approximately £17.4m.


The deficit on the pension scheme, calculated in accordance with FRS17 was
£34.4m as at 30 June 2005.  As discussed with shareholders at the EGM on 22
September 2005, and in consultation with relevant stakeholders, we are working
with our advisers to find a resolution to the pensions issue.


SD Boyd

Chairman

1 December 2005


Enquiries to:

Sally Smith, Tradewinds on telephone [phone] or mobile [phone]


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