Trading Update

Brulines (Holdings) PLC 15 October 2007 Press Release 15 October 2007 Brulines (Holdings) plc ('Brulines' or 'the Group') Trading Update Brulines (Holdings) plc (AIM:BRU), the leading provider of volume and revenue protection systems for draught alcoholic drinks in the UK licensed on-trade, announces an update on the Group's acquisition of Nucleus Data ('Nucleus') and its trading performance for the half year ended on 30 September 2007. The acquisition, which is conditional on the Office of Fair Trading ('OFT') not referring the proposed merger to the Competition Commission, is under review by the OFT. This review has been voluntarily migrated from the fixed timelines of a 'statutory' review process to an 'administrative' review process, which allows the OFT sufficient time to consider the full merits of the merger. Assuming no such referral is made under the new timelines, it is anticipated that completion of the acquisition will take place in December 2007. The proposed acquisition of Nucleus is an important strategic development in the Group's growth plans as it enhances product development, further strengthens the senior team and provides a solid commercial platform from which to accelerate our entry into new markets, whilst the Board believes the financial synergies on core operations will make the acquisition earnings enhancing in the next financial year. Encouragingly, customers of both Nucleus and Brulines have reacted positively to the acquisition announcement. The Board is also pleased to announce that trading, in the first half of the financial year, has been as anticipated. Consequently, the Group's Interim Results for the half year ended 30 September 2007 are expected to be in line with market expectations. New installations, system replacements and upgrades have progressed satisfactorily and continue to generate an ongoing year-on-year growth in recurring revenue and the higher margins associated with support services. Increased market penetration and broadening of our customer base for dispense monitoring have been the primary drivers of this growth. The Group has made solid progress on the commercial development of its Brand Quality Monitoring product range within both the national tenanted and managed sectors, including the completion of 100 new installations for Punch Taverns, and expects to commence further commercial installations during the course of the second half year. Machine Insite, the AWP data management business, with its industry leading database and data management software that includes web based reporting, has continued to trade profitably and has grown its contribution to Group profit with further new business gains. The integration into the Machine Insite business of the operations and technology acquired with Coin Metrics is progressing well, creating excellent prospects for enhanced AWP monitoring products, such as remote data capture and advanced machine reporting across customers within the pub, club and leisure markets. The Group is strongly positioned to accelerate the growth of its AWP data management business to a market leading position through real-time remote download of data from AWP machines, whilst also opening up new applications and markets, such as vending for the next generation of wireless data capture systems. The Directors intend to seek authority from shareholders to purchase the Group's own shares at an Extraordinary General Meeting of the Group, notice of which is expected to be sent to shareholders shortly. The Directors would use the share purchase authority with discretion and purchases would only be made from funds not required for other purposes and in the light of market conditions prevailing at the time. In line with its stated intent at the time of the flotation, the Board intends to declare a dividend in respect of its Interim Results for the half year ended 30 September 2007. These results will be announced on Tuesday, 11 December 2007. An analyst briefing on the Interim Results, given by James Dickson (Chief Executive) and Mark Foster (Finance Director) will be held at 9.30am on Tuesday, 11 December 2007 at Abchurch Communications, 5th Floor, 100 Cannon Street, London, EC4N 6EU. - Ends - Enquiries: Brulines (Holdings) plc James Dickson, Chief Executive Mark Foster, Finance Director Tel: +44 (0) 1642 358 800 mark.foster@brulines.com www.brulines.com Grant Thornton UK Gerry Beaney Fiona Kindness Tel: +44 (0) 20 7383 5100 www.gtuk.com Media enquiries: Abchurch Justin Heath / Emma Johnson Tel: +44 (0) 113 203 1340 emma.johnson@abchurch-group.com www.abchurch-group.com This information is provided by RNS The company news service from the London Stock Exchange
UK 100