Chemring Group PLC
10 May 2002
For Immediate Release
10 May 2002
CHEMRING GROUP PLC
PRESS STATEMENT
The BBC Today programme this morning alleged that Chemring Group PLC's
subsidiary, PW Defence Ltd, supplies anti-personnel mines. The Chemring Group
does not manufacture or supply any products that can be configured in any shape
or form as an anti-personnel mine and the BBC were advised of this in clear
terms the day before the Today programme was broadcast.
The BBC reporter Andrew Gilligan, posing as a member of a security firm, met a
sales manager from Chemring's subsidiary PW Defence Ltd (PWD) to discuss
perimeter security. PWD provides a range of products with various payloads that
when initiated provide illumination, flares for signalling and smokes. These
products can be used independently and can also be used with a trip wire, which
extends to up to 30 metres. The PWD salesman discussed the range with Gilligan
who leading the conversation, said he wanted something more powerful and
enquired about a fragmentation grenade. During the meeting Gilligan was advised
that any export of such items would require an 'end user certificate' and
Department of Trade & Industry approval for export. Unfortunately the PWD
salesman did not point out, as is the case, that fragmentation grenades are no
longer manufactured or sold by the Chemring Group, breaching the company's own
internal rules.
The BBC showed Chemring a copy of a transcript of the discussion between Andrew
Gilligan and the PWD salesman for comment. The BBC was advised in clear terms
that fragmentation grenades are no longer manufactured or sold by Chemring and
that any impression given in the interview is entirely mistaken.
The broadcast concluded by refusing to accept the truthfulness of Chemring's
statement and perpetuating an entirely false impression that PWD engages in
manufacturing and selling illegal products.
Chemring regards the BBC's broadcast as misleading and inaccurate and is
discussing matters with its lawyers.
The Ottawa convention was signed in December 1997 and came into effect on 1
March 1999. PWD has not supplied such products to any customers since the
convention was signed.
Following the appointment of Ken Scobie as Chemring Group Chairman in 1997, an
ethical review of PWD's product range and markets was carried out. The outcome
of the review was that in future the Group's defence business would focus on
defensive products such as countermeasures, pyrotechnic signaling and training
aids. Today Chemring Group is the world market leader in expendable
countermeasures used for the protection of military aircraft and ships.
As a consequence, sales of the fragmentation grenade combined with the trip wire
mechanism were stopped in April 1997. The product was removed from the PWD
catalogue in 1999. PWD continues to produce the non-fragmentation variants and
is currently in production for the UK Ministry of Defence on the flare variant,
used for signaling any intrusions of a protected perimeter with a flare. All
exports are covered by end user certificates and DTI export licence approvals.
Each company in the Chemring Group has its own internal controls to ensure that
all exports gain the necessary Department of Trade approvals including 'end user
certificates'.
Chemring Group PLC is a responsible and respected supplier of defence products
and takes its responsibilities and obligations as a manufacturer of
defence-related products seriously. It maintains policies and procedures to
ensure compliance with all applicable regulatory requirements, including proper
vetting of proposed sales and procurement of all necessary permits and licences,
and always fully complies with Government regulations and guidelines on its
defence products. The Department of Trade has the right to audit this
compliance at any time.
For further information:
Anthony Cardew Cardew & Co. 0207 930 0777
Jonathan Rooper
This information is provided by RNS
The company news service from the London Stock Exchange
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