Interim Results

Symphony Plastic Technologies PLC
30 September 2005


For Immediate Release                                          30 September 2005


                       SYMPHONY PLASTIC TECHNOLOGIES PLC

                                INTERIM RESULTS

                     FOR THE SIX MONTHS ENDED 30 JUNE 2005


Symphony Plastic Technologies plc ('Symphony' or 'the Group'), the degradable
plastics company, announces its interim results for the six months ended 30 June
2005.


HIGHLIGHTS

•    Sales up 11% to £4.95 million (2004: £4.45 million)

•    Gross profits stable at £1.00 million (2004: £1.05 million)

•    Loss before tax of £0.30m (2004 loss: £0.08m)

•    Fundamental strategy review completed


Commenting on the results, Nirj Deva, Chairman of Symphony, said:


'The trading results reflect limited progress in sales and the adverse effects
of exceptional raw material price fluctuations. Whilst many exciting and
significant prospects continue to develop, the Board is not satisfied with the
slow rate at which actual sales and margins have been growing. The conclusion of
the Somerfield contract has added to the significance of this. The Board
therefore has undertaken a thorough and fundamental review of our strategy and,
as a result, some material changes are now being implemented. We remain
confident that considerable potential exists in the fast growing environmental
polymers market and that the foundations which have been laid to date will
provide a solid base on which the Company will be able to build.'


For further information, please contact:


Symphony
Michael Laurier, CEO                 Tel: [phone]
Ian Bristow, FD

Citigate Dewe Rogerson
Patrick Toyne-Sewell/ Ged Brumby     Tel: [phone]


Notes to Editors


Symphony develops and supplies environmentally responsible plastic packaging
products and additives which are distributed both in the UK and internationally.
The Group's main technology, d2w(R), allows plastic to degrade totally and
safely, leaving only water, a minimal amount of carbon dioxide and trace amounts
of non-toxic biomass. The current d2w(R) product range now includes additives,
carrier bags, refuse and waste sacks, mailing wrap, stretch film, aprons, and
packaging films.

Symphony has a diverse customer base in the UK and a growing overseas
distribution network. Further information on Symphony can be found at
www.symphonyplastics.com and product information at www.degradable.net.


CHIEF EXECUTIVE'S REVIEW


The initial six months of 2005 saw continued volatility in raw material prices.
In most cases we were successfully able to pass these increases on to our
customers albeit on a staggered basis, thus resulting in a reduction of margins.
During the period the Group increased its investments in marketing and in sales
support personnel with the specific aim of improving sales and operating
margins, whilst continuing the process of product and market diversification.

Following our victory in the High Court, the Court of Appeal granted EPI the
right to appeal. That Hearing has now been delayed from October to December 2005
with the judgment expected some time early in 2006. A total of £870,000 is now
secured in Court against our legal costs for this action. We remain confident
that the Appeal Court will uphold the Judgment of the High Court.

In March the Group raised a further £1.8 million to cover the costs of the legal
case, strengthen the balance sheet and provide additional working capital.

Trading Results

Sales increased by 11% to £4.95 million. Gross profits were stable at £1.00
million (2004: £1.05 million). Overhead costs increased to £1.13 million from
£0.96 million as a result of increased spending on sales and marketing
activities. Distribution costs, however, fell as a percentage of total sales due
to improvements in our supply chain system.  Operating losses increased to £0.26
million from £0.06 million.

Although the losses widened compared to the same period last year, they have
reduced significantly from the second half of 2004.

The loss per share increased to 0.52 pence (2004: loss per share of 0.19 pence).

Outlook & Current Trading

The level of interest in degradable plastics is higher than ever but the pace of
this being converted into actual sales and profits has been well below the level
we would find satisfactory. The significance of this has been accentuated by the
conclusion of our contract to supply carrier bags to Somerfield. As a result,
the Board has undertaken a very comprehensive review of its strategy.

A number of material changes are now being implemented as a result of this
process. In addition to positive strategies directed at specific products and
markets, this also includes changes in management responsibilities, reductions
where relevant in staff numbers and reductions in all cost categories. As a part
of this process, Director's salaries have been reviewed.

We remain confident that the investment and work undertaken to date to establish
awareness of degradable plastics will prove profitable. In the meanwhile we are
wholly committed to speeding up the conversion of the increasing potential into
profits and to develop other compatible markets and activities.


Michael Laurier
Chief Executive


SYMPHONY PLASTIC TECHNOLOGIES PLC
CONSOLIDATED PROFIT AND LOSS ACCOUNT

For the six months ended 30 June 2005

                                                         Six months to          Year ended        Six months to
                                                          30 June 2005    31 December 2004         30 June 2004

                                                      £'000      £'000     £'000     £'000      £'000     £'000

Turnover                                                         4,946               8,855                4,449

Cost of sales                                                  (3,949)             (7,013)              (3,404)

Gross profit                                                       997               1,842                1,045

Distribution costs                                               (130)               (283)                (139)

Administrative expenses - other                     (1,128)              (2,054)               (964)
Administrative expenses - Exceptional item                -                (100)                   -
Administrative expenses                                        (1,128)             (2,154)                (964)

Operating loss                                                   (261)               (595)                 (58)

Net interest                                                      (39)               (132)                 (26)

Loss on ordinary activities before taxation                      (300)               (727)                 (84)

Tax on loss on ordinary activities                                   -                 105                    -

Loss for the financial year transferred from                     (300)               (622)                 (84)
reserves

Basic and diluted earnings per share in pence                  (0.52)p             (1.31)p              (0.19)p


There were no recognised gains or losses other than the loss for the period.


SYMPHONY PLASTIC TECHNOLOGIES PLC
CONSOLIDATED BALANCE SHEET

As at 30 June 2005

                                                                 30 June         31 December        30 June
                                                                    2005                2004           2004
                                                                   £'000               £'000          £'000
                                                                                       
Fixed assets

Intangible assets                                                     20                  15              9
Tangible assets                                                      258                 203            196
Investments                                                           16                  16             16
                                                                     294                 234            221
Current assets

Stock                                                                616                 380            518
Debtors                                                            3,886               3,397          2,594
Cash at bank and in hand                                             453                   1            226
                                                                   4,955               3,778          3,338

Creditors: amounts falling due within one year                   (2,444)             (2,763)        (2,368)

Net current assets                                                 2,511               1,015            970


Total assets less current liabilities                              2,805               1,249          1,191

Creditors: amounts falling due after more than one                  (83)                (41)           (28)
year

                                                                   2,722               1,208          1,163

Capital and reserves
Called up share capital                                              634                 513            453
Share premium account                                             10,809               9,116          8,593
Other reserves                                                       823                 823            823
Profit and loss account                                          (9,544)             (9,244)        (8,706)

                                                                   2,722               1,208          1,163


SYMPHONY PLASTIC TECHNOLOGIES PLC
CONSOLIDATED CASH FLOW STATEMENT

For the six months ended 30 June 2005

                                                              Six months              Year           Six months
                                                                      to             ended                   to
                                                                 30 June       31 December              30 June
                                                                    2005              2004                 2004
                                                                   £'000             £'000                £'000

Net cash outflow from operating activities (see below)           (1,083)           (1,049)                (216)

Returns on investments and servicing of finance
Interest received                                                      1                 -                    -
Interest paid                                                       (37)             (128)                 (24)
Finance lease interest paid                                          (3)               (5)                  (2)

Net cash outflow from returns on investments and                    (39)             (133)                 (26)
servicing of finance

Taxation                                                               -               105                    -

Capital expenditure and financial investment
Purchase of tangible fixed assets                                   (85)              (15)                  (3)
Purchase of intangible fixed assets                                  (6)               (8)                  (8)
Receipts from sale of fixed assets                                    11                 4                    4

Net cash outflow from capital expenditure and financial             (80)              (19)                  (7)
investment

Financing
Issues of equity share capital                                       121                60                    -
Share premium on issue of equity share capital                     1,718               565                    -
Share issue expenses                                                (25)              (42)                    -
Capital element of finance lease rentals                            (13)              (22)                 (11)
Inception of finance leases                                           61                 -                    -

Net cash (outflow)/inflow from financing                           1,862               561                 (11)

(Decrease)/increase in cash                                          660             (535)                (260)



Net cash outflow from operating activities


                                                                   £'000             £'000                £'000

Operating loss                                                     (262)             (595)                 (58)
Depreciation and amortisation                                         21                49                   22
Loss on disposal of fixed assets                                     (1)                 7                    6
Decrease/(increase) in stocks                                      (236)               213                   75
(Increase)/decrease in debtors                                     (488)           (1,286)                (444)
Increase/(decrease) in creditors                                   (117)               563                  183

Net cash outflow from operating activities                       (1,083)           (1,049)                (216)


NOTES TO THE INTERIM ACCOUNTS


1. BASIS OF PREPARATION

The interim financial statements have been prepared on the basis of the
accounting policies set out on pages 8 and 9 of the 2004 Annual Report, and are
unaudited. The comparative figures for the year ended 31 December 2004 have been
extracted from the Group's latest published accounts which contain an
unqualified audit report and which have been filed with the Registrar of
Companies.

2. LOSS PER SHARE

The calculation of basic loss per share is based on a loss for the period
divided by the weighted average number of shares in issue during the period of
57,481,867 (2004 FY 47,526,432; 2004 H1: 45,282,880).




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