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Swallowfield PLC (BAR)

  Print          Annual reports

Thursday 24 February, 2011

Swallowfield PLC

Half Yearly Report

RNS Number : 7582B
Swallowfield PLC
24 February 2011
 



Swallowfield plc

 

Interim Results for the 28 weeks ended 8 January 2011

 

Swallowfield plc, the full service provider to global brands and leading retailers in the cosmetics, toiletries and household goods sector, announces its interim results for the 28 weeks ended 8 January 2011

 

Highlights

·    Revenue up 7.4% to £31.3m (2010: £29.1m)

·    Profit after tax down 2.6% to £0.5m (2010: £0.5m)

·    Interim dividend per share 2.2p (2010: 2.2p)

·    Earnings per share 4.6p (2010: 4.7p)

·    Net debt £2.5m (2010: £2.2m) a reduction from last year end position of £4.3m

·    Direct international revenue growth of 23.4%

·    Total overheads 23.5% of revenue (2010: 25.3%)

 

Outlook

·    Future revenue growth underpinned by a strong order book

·    Medium-term revenue growth from new product launches planned for the coming year

·    Continued focus on working capital management during a period of growth

·    Positive global picture whilst UK and Europe remains under pressure

·    Continuation of the widening of geographic spread and development of new client relationships

·    Expectations for the full year remain broadly unchanged

 

Ian Mackinnon Chief Executive commented:

 

"As expected, the UK market has been particularly challenging during the last six months. In addition to a relatively weak consumer picture, we have, in line with others in the industry, been affected by significant increases in the costs of raw materials and components. We have worked determinedly to reduce the impact on our profitability by passing on these increases wherever possible and by winning new business.

 

We have driven revenue growth in the business in spite of the difficult market background and expect new product launches in the coming months to continue this trend.

 

In addition to increasing revenue, tight cost control remains an important part of our strategy for continuously improving shareholder value. Total overheads were 23.5% of sales - a significant improvement over the 25.3% reported for the same period last year despite the inflationary background.

 

We remain positive about global demand whilst remaining cautious about the UK consumer picture which we do not expect to significantly improve for the next couple of years. Overall, our expectations for the 2011 financial year remain cautiously positive and broadly in line with those communicated six months ago." 

 

 

For further information please contact:


Swallowfield plc



Ian Mackinnon

Chief Executive Officer

01823 662 241

Mark Warren

Group Finance Director

01823 662 241




Barrie Newton

Smith & Williamson Corporate Finance

0117 376 2213

Nick Reeve

Smith & Williamson Corporate Finance

0117 376 2213

Alan Bulmer

Performance Communications

0117 907 6514

Chris Lawrance

JBP Public Relations

0117 907 3400

 

Notes to Editors:

Swallowfield plc is a market leader in the development, formulation and supply of cosmetics, toiletries and related household products to the own label and branded sectors.  We pride ourselves on being a customer orientated, innovative, flexible and responsive company. We combine high quality, competitive products with strong customer service and develop close partnerships with our customers facilitating an in-depth knowledge of their requirements.

 

 

Market and Economic Background

The personal care market appears to have held up reasonably well in volume terms over the last six months helped by the continuation of promotional activity by the brands as we described during our last report. The move to reduce our dependency on own-label to a more balanced position between the branded and own-label sectors has so far been the right decision - there is little evidence in the UK of own-label growing at the expense of the branded sector.

 

A number of businesses within the industry have recently reported a tougher than expected situation primarily due to rapid increases in input costs. These input cost increases, together with the tough stance being taken by retailers and consumers, is having the inevitable effect of squeezing margins.

 

Apart from selected instances, the de-stocking witnessed in recent years now appears to be over, but the UK consumer has now begun to feel the impact of decreases in Government expenditure and increases in taxation. We expect this impact to continue to have a negative influence for another couple of years. As described in September 2010, we are more positive about Global demand and believe this can still provide genuine growth opportunities for us.

 

Business Review

Revenue increased by 7.4% to £31.3m with much of the growth coming from customers outside of the UK. UK revenue increased by 4.2%, which includes product consumed overseas, and our direct revenue from customers outside of the UK has increased by 23.4%. This is an early indication that our efforts to expand the business outside of the UK can be successful although we recognise the need to keep up the momentum.

 

Earnings per share was 4.6p (2010: 4.7p) reflecting the difficult trading conditions. Some supply issues have been resolved but we continue to be hampered by excessively long lead times throughout the industry and some delays from suppliers.

 

In our last report we stated that we believed the cost increases being experienced would be one-off movements in price rather than a more general inflationary cycle. We have witnessed a further round of increases during the last six months and again hope that this will not lead to a general inflationary upsurge.

 

Net Debt and Cash Flow

Net debt decreased from a year-end position of £4.3m to £2.5m (2010: £2.2m) as we reduced inventory levels by £1.5m and tightened our management of working capital. This improvement comes despite a limited extension in customer payment terms that we anticipated in the last report.

 

Net financing costs of £0.07m (2010: £0.10m) comprised interest expense of £0.08m (2010: £0.06m) and pension scheme finance income £0.01m (2010: charge of £0.04m).

 

Capital expenditure was £0.7m which was £0.1m above depreciation. We expect an increase in capital expenditure as items deferred from 2010, such as the new manufacturing room, are paid for in the coming months. We still expect capital expenditure to be broadly in line with depreciation and amortisation over a three year cycle.

 

The tax charge reflects the blend of the standard UK and Czech rates.

 

China

Our business in China continues to perform well. Preliminary results for the year-ended 31 December 2010 indicate that our original stake of 10% should provide a dividend of £0.03m in the second half of the financial year. We have agreed terms for the increase in our stake to 19%. The operation continues to give us a real advantage in terms of lower cost manufacturing although we expect this position to be eroded over the coming years due to changes in the relative economics of the UK and China. In anticipation of this broad economic change, we are working with our partners to develop a domestic market for the joint venture and our own UK based operations.

 

Czech Republic

The Czech Republic operation continues to progress well in terms of output, quality and efficiency levels and was profitable during the period. Our activities to reduce the volatility of production volumes have provided a better productivity platform and we aim to do more in this respect in the coming years.

 

We continue to transfer production into this site as it makes economic sense although the vast majority of the planned transfer has now happened. We are examining alternatives on how best to grow this operation for the future.

 

Progress Against Strategy

Our strategic aims remain improvement in the underlying profitability of the group, as measured by return on sales and return on capital employed, at the same time as growing revenues in excess of the underlying market. We have made further progress against our strategic objectives which are summarised under the four key steps presented six months ago:

 

Widening our geographic footprint

As described last time, the New York sales support office was opened in June 2010. We are beginning to work more closely with existing customers and have made early contact with potential new customers. The French sales support office continues to develop new customer relationships and we have a number of new product developments that are now close to fruition. We have received orders from a customer in South Africa and expect more to follow shortly. We continue to explore sales opportunities in China although, as described last time, we expect this to be a long-term project.

 

These activities are showing early but encouraging signs of success. During this first half, revenues outside of the UK increased by 23.4% over the same period last year, and we have increasing amounts of our UK turnover also consumed overseas.

 

Broadening our product technologies

The new manufacturing rooms for Wellington and Bideford are close to completion and should be operational within the next two months. We have begun to advance plans to upgrade other selected manufacturing rooms in order to progress our long-term development plans.

 

As we described last time, we filled our first sun care aerosol products in 2010 and are now working with product technology partners to significantly enhance our capabilities in this area.

 

Driving competitive improvements in our cost structure

We have reduced total overheads in this first half by £0.1m compared with the same period last year as well as generating a 7.4% revenue increase from the same group infrastructure. This has driven our total overheads down to 23.5% of revenue compared with 25.3% in the same period last year.

 

Driving growth

Revenue in the first half of the year was 7.4% higher than in the same period last year against a very tough consumer background and the continued supplier lead-time issues noted above. Our order book is significantly higher than the same time last year and underpins future revenue growth assumptions. Our new product development and account management teams are working on a number of interesting projects which we are hopeful will enhance   future revenue growth.  

 

Management Incentives

Further awards under the Long-Term Incentive Plan were made on 8 December 2010. The vesting of the awards will be subject to the achievement of exacting performance targets to be determined by the Remuneration Committee in respect of each plan cycle, which will comprise not less than three consecutive financial years.  We have also put in place a more focused management bonus for the wider business.

 

Board Composition

The Company has recently taken the opportunity to strengthen significantly the Board for the future. The additions to the Board take into account concerns raised by certain shareholders at the last AGM whilst ensuring the Board can retain the independence necessary to protect the interests of all shareholders. I am sorry to say that these same shareholders are still unhappy despite the obvious quality of the appointments made during the last six months. As announced on the 23 February we have now received a request for an Extraordinary General Meeting to remove the Chairman. These activities are a severe distraction for management during a critical period for the company and cause unnecessary expense as the Board is compelled to seek  advice regarding their activities.

 

Nonetheless, we were pleased to announce the appointments of Mr Martin Hagen and Mr Richard Organ as non-executive directors of the Company on 19 January 2011

 

Mr Hagen is the immediate past President of the Institute of Chartered Accountants of England and Wales and has worked at board level with many listed, large national and multinational companies in a variety of roles.  Mr Hagen is Deputy Chairman of the Financial Services Authority's Regulatory Decisions Committee and until recently was a member of the Takeover Panel administering the City Code on takeovers and mergers. He is also a Non-executive director of South West Water, a member of the Audit Committee of the London School of Economics and a governor of the University of the West of England.

 

It is a pleasure to welcome back Mr Organ - the Board has missed the wise counsel and experience that he previously brought to the Board. Mr Organ, who is a former director of Swallowfield having been appointed a Non-executive director in 1996 and who served as interim Chairman from October 1999 to May 2000, is Non-executive chairman of CEPS plc and a Non-executive director of Axminster Carpets.

 

Dividends

The Board has approved an interim dividend of 2.2p (2010: 2.2p) per share. This dividend will be paid on 27 May 2011 to shareholders on the register on 6 May 2011. The Shares will go ex-dividend on 4 May 2011.

 

The dividend policy remains the same as discussed last year, namely that we will retain a dividend cover of 1.5 times normalised post-tax earnings. We would anticipate a slight strengthening of the dividend cover this year, compared to last year's dividend cover of 1.3 times.

 

Outlook

Our order book is significantly higher in value terms than the same time last year, and this increased order book gives us cause for cautious optimism for the remainder of the year.

 

Our programme to increase prices together with continued cost reduction efforts will help to offset the increased raw material costs described above, although we would still expect a net negative impact on gross margins. 

 

Overheads remain under tight control and, with the exception of a limited investment in R&D expenditure, are expected to be broadly in line with the rate of expenditure of the last six months.

 

Overall, our expectations for the 2011 financial year remain cautiously positive and broadly in line with those communicated six months ago.

 

 

Group Statement of Comprehensive Income



28 weeks ended

28 weeks ended

12 months ended



08 Jan 2011

09 Jan 2010

30 June 2010



(unaudited)

(unaudited)

(audited)

Continuing operations

Notes

£'000

£'000

£'000






Revenue

2

31,269

29,116

52,449

Cost of sales


(27,717)

(25,619)

(45,800)

Gross profit


3,552

3,497

6,649

Commercial and administrative costs


(2,790)

(2,668)

(5,301)

Operating profit


762

829

1,348

Finance income

3

-

8

18

Finance costs

3

(73)

(96)

(186)

Profit before taxation


689

741

1,180

Taxation


(170)

(208)

(259)

Profit for the period


519

533

921

Other comprehensive income:





Exchange differences on translating foreign operations


 

72

 

127

 

(2)

 

Gain on available for sale financial assets


 

48

 

-

 

-

Other comprehensive income/(loss) for the period


 

120

 

127

 

(2)

Total comprehensive income for the period


 

639

 

660

 

919











Profit attributable to:





Equity shareholders


519

533

921






Total comprehensive income attributable to:





Equity shareholders


639

660

919











Earnings per share





- basic and diluted

4

4.6p

4.7p

8.2p






Dividend





Paid in period (£'000)

Paid in period (pence per share)


464

4.1

464

4.1

712

6.3

Proposed (£'000)

Proposed (pence per share)

5

248

2.2

248

2.2

464

4.1

 

 

Group Statement of Changes in Equity


Share Capital

Share Premium

Exchange  Reserve

Retained Earnings

Available for Sale Financial Assets

Total Equity


£'000

£'000

£'000

£'000

£'000

£'000

Balance at 1 July 2010

566

3,830

(2)

8,566

-

12,960

Dividends

-

-

-

(464)

-

(464)

Transactions with owners

-

-

-

(464)

-

(464)

Profit for the period

-

-

-

519

-

519

Other comprehensive income:







Exchange difference on translating foreign operations

Current year gain

 

-

-

 

-

-

 

72

-

 

-

-

 

-

48

 

72

48

Total comprehensive income for the period

-

-

72

519

48

639

Balance as at 8 January 2011

566

3,830

70

8,621

48

13,135

 

 

 


Share Capital

Share Premium

Exchange Reserve

Retained Earnings

Available for Sale Financial Assets

Total Equity


£'000

£'000

£'000

£'000

£'000

£'000

Balance at 1 July 2009

563

3,796

-

8,357

-

12,716

Dividends

Issue of share capital

-

3

-

34

-

-

(464)

-

-

-

(464)

37

Transactions with owners

3

34

-

(464)

-

(427)

Profit for the period

-

-

-

533

-

533

Other comprehensive income:







Exchange difference on translating foreign operations

 

-

 

-

 

127

 

-

 

-

 

127

Total comprehensive income for the period

-

-

127

533

-

660

Balance as at 9 January 2010

566

3,830

127

8,426

-

12,949

 

 


Share Capital

Share Premium

Exchange Reserve

Retained Earnings

Available for Sale Financial Assets

Total Equity


£'000

£'000

£'000

£'000

£'000

£'000

Balance at 1 July 2009

563

3,796

-

8,357

-

12,716

Dividends

Issue of share capital

-

3

-

34

-

-

(712)

-

-

-

(712)

37

Transactions with owners

3

34

-

(712)

-

(675)

Profit for the year

-

-

-

921

-

921

Other comprehensive income:







Exchange difference on translating foreign operations

 

-

 

-

 

(2)

 

-

 

-

 

(2)

Total comprehensive income for the year

-

-

(2)

921

-

919

Balance as at 30 June 2010

566

3,830

(2)

8,566

-

12,960

 

 

Group Statement of Financial Position



As at

As at

As at



08 Jan 2011

09 Jan 2010

30 June 2010



(unaudited)

(unaudited)

(audited)


Notes

£'000

£'000

£'000

ASSETS





Non-current assets





Property, plant and equipment


11,182

11,194

11,057

Intangible assets


81

76

84

Deferred tax assets


37

143

99

Investments


192

46

46

Total non-current assets


11,492

11,459

11,286

Current assets





Inventories


7,020

7,633

8,538

Trade and other receivables


10,805

9,661

12,072

Cash and cash equivalents


538

510

532



18,363

17,804

21,142

Assets held for sale

6

167

167

167

Total current assets


18,530

17,971

21,309

Total assets


30,022

29,430

32,595






LIABILITIES





Current liabilities





Trade and other payables


11,375

11,049

12,283

Interest-bearing loans and borrowings


2,321

1,555

3,856

Current tax payable


76

293

41

Total current liabilities


             13,772

12,897

16,180

Non-current liabilities





Interest-bearing loans and borrowings


686

1,154

1,008

Post-retirement benefit obligations


2,391

2,429

2,407

Deferred tax liabilities


38

1

40

Total non-current liabilities


3,115

3,584

3,455

Total liabilities


16,887

16,481

19,635

Net assets


13,135

12,949

12,960






EQUITY





Share capital


566

566

566

Share premium

Other components of equity


3,830

48

3,830

-

3,830

-

Exchange reserve


70

127

(2)

Retained earnings


8,621

8,426

8,566

Total equity


13,135

12,949

12,960

 

 

Group Cash Flow Statement


28 weeks ended

28 weeks ended

12 months ended


08 Jan 2011

09 Jan 2010

30 June 2010


(unaudited)

(unaudited)

(audited)


£'000

£'000

£'000

Cash flow from operating activities




Profit before taxation

689

741

1,180

Depreciation

599

719

1,202

Amortisation

21

27

41

Loss on disposal of property, plant and equipment

 

-

 

-

 

9

Impairment of property, plant and equipment

-

1

-

Finance income

-

(8)

(18)

Finance cost

73

96

186

Decrease/(increase) in inventories

1,518

(1,415)

(2,320)

Decrease/(increase) in trade and other receivables

1,267

1,471

(940)

(Decrease)/increase in trade and other payables

 

(741)

 

902

 

1,812

Contributions to defined benefit plan

(172)

(184)

(357)

Current service cost of defined benefit plan

163

121

225

Cash generated from operations

3,417

2,471

1,020

Finance expense paid

(80)

(54)

(97)

Taxation paid

(170)

(212)

(259)

Net cash flow from operating activities

3,167

2,205

664

Cash flow from investing activities




Finance income received

Purchase of property, plant and equipment

-

(723)

-

(622)

18

(960)

Purchase of intangible assets

(19)

-

(24)

Purchase of investment

(98)

-

-

Net cash flow from investing activities

(840)

(622)

(966)

Cash flow from financing activities




Proceeds from share issue

-

37

37

Proceeds from new loans

-

-

1,396

Repayment of loans

(322)

(421)

(463)

Dividends paid

(464)

(464)

(712)

Net cash flow from financing activities

(786)

(848)

258

Net increase/(decrease) in cash and cash equivalents

 

1,541

 

735

 

(44)

Cash and cash equivalents at beginning of period

 

(1,356)

 

(1,312)

 

(1,312)

Cash and cash equivalents at end of period

185

(577)

(1,356)





Cash and cash equivalents consist of:




Cash

538

510

532

Overdraft

(353)

(1,087)

(1,888)

Cash and cash equivalents at end of period

185

(577)

(1,356)

 

 

Notes to the Accounts

 

Note 1 Basis of preparation

The Group has prepared its interim results for the 28 week period ended 8 January 2011 in accordance with International Financial Reporting Standards (IFRS) as adopted by the European Union and also in accordance with IFRS issued by the International Accounting Standards Board.

 

As permitted, this interim report has been prepared in accordance with the AIM rules and not in accordance with IAS34 'Interim Financial Reporting'.

 

These interim financial statements do not constitute full statutory accounts within the meaning of section 434 of the Companies Act 2006 and are unaudited.  The unaudited interim financial statements were approved by the Board of Directors on 23 February 2011.

 

The consolidated financial statements are prepared under the historical cost convention as modified to include the revaluation of certain non-current assets.  The accounting policies used in the interim financial statements are consistent with IFRS and those which will be adopted in the preparation of the Group's Annual Report and Financial Statements for the year ended 30 June 2011. 

 

The statutory accounts for the year ended 30 June 2010, which were prepared under IFRS, have been filed with the Registrar of Companies.  These statutory accounts carried an unqualified Auditors Report and did not contain a statement under Section 498(2) or 498(3) of the Companies Act 2006.

 

 

Note 2 Segmental analysis

The Group operates in one reportable segment as all sales, purchasing, production and operational decisions are taken based on the overall Group operating performance.  The results of this segment are as reported through the Group Statement of Comprehensive Income, Group Statement of Financial Position, Group Statement of Changes in Equity and Group Cash Flow Statement.

 

The distribution of the Group's external revenue by destination is shown below:

 

Geographical segments

28 weeks ended

28 weeks ended

12 months ended


08 Jan 2011

09 Jan 2010

30 June 2010

(unaudited)

(unaudited)

(audited)


£'000

£'000

£'000

UK

25,287

24,269

42,603

Other European Union countries

5,058

4,357

8,896

Rest of the World

924

490

950


31,269

29,116

52,449

 

In the 28 weeks ended 8 January 2011, the Group has two customers that exceeded 10% of total revenues, being 31% and 17% respectively.  In the 28 weeks ended 9 January 2010, the Group had two customers that exceeded 10% of total revenues, being 18% and 17% respectively. 

 

 

Note 3 Finance income and costs

28 weeks ended

28 weeks ended

12 months ended


08 Jan 2011

09 Jan 2010

30 June 2010


(unaudited)

(unaudited)

(audited)


£'000

£'000

£'000

Finance income




Other interest

Dividends received

-

-

8

-

-

18


-

8

18





Finance costs




Bank loans and overdrafts

80

54

97

Finance lease interest

-

-

89

Net pension scheme (income) / cost

(7)

42

-


73

96

186

 

 

Note 4 Earnings per share

28 weeks ended

28 weeks ended

12 months ended


08 Jan 2011

09 Jan 2010

30 June 2010


(unaudited)

(unaudited)

(audited)





Basic and diluted




Profit for the period (£'000)

519

533

921

Basic weighted average number of




ordinary shares in issue during the period

11,306,416

11,277,035

11,290,800

Dilutive potential ordinary shares:




executive share options

-

-

-


11,306,416

11,277,035

11,290,800

Basic earnings per share

4.6p

4.7p

8.2p

Diluted earnings per share

4.6p

4.7p

8.2p

 

Basic earnings per share has been calculated by dividing the profit for each financial period by the weighted average number of ordinary shares in issue in the period.  There is no difference for any of the reported periods between the basic net profit per share and the diluted net profit per share.

 

The outstanding awards under the Long-Term Incentive Plan do not have a significant impact on the calculation of diluted earnings per share.

 

 

Note 5 Dividends

The Directors have declared an interim dividend payment of 2.2p per ordinary share (2010: interim 2.2p; final 4.1p)

 

 

Note 6 Non-current assets held for sale

As at

As at

As at


08 Jan 2011

09 Jan 2010

30 June 2010


(unaudited)

(unaudited)

(audited)


£'000

£'000

£'000





Property, plant and equipment

167

167

167

 

The asset held for sale relates to a freehold warehouse. The sale is expected to be completed within 12 months of the balance sheet date.

 

 

Note 7 Reconciliation of cash and cash equivalents to movement in net debt

 


28 weeks ended

28 weeks ended

12 months ended


08 Jan 2011

09 Jan 2010

30 June 2010


(unaudited)

(unaudited)

(audited)


£000's

£000's

£000's





Increase/(decrease) in cash and cash equivalents in the period

 

1,541

 

735

 

(44)

 

Net cash outflow/(inflow) from decrease/(increase) in borrowings

 

322

 

421

 

(933)

Change in net debt resulting from cash flows

1,863

1,156

(977)

Net debt at the beginning of the period

(4,332)

(3,355)

(3,355)

Net debt at the end of the period

(2,469)

(2,199)

(4,332)

 

 

Note 8 Announcement of results

These results were announced to the London Stock Exchange on 24 February 2011.  The Interim Report will be sent to shareholders and is available to members of the public at the Company's Registered Office at Swallowfield House, Station Road, Wellington, Somerset, TA21 8NL.

 

 

 

Independent review report to Swallowfield plc

 

Introduction

We have been engaged by the company to review the financial information in the half-yearly financial report for the 28 weeks ended 8 January 2011 which comprises the group statement of comprehensive income, the group statement of changes in equity, the group statement of financial position, the group cash flow statement and the related explanatory notes that have been reviewed. We have read the other information contained in the half-yearly financial report which comprises the Chief Executive's Statement and considered whether they contain any apparent misstatements or material inconsistencies with the information in the condensed set of financial statements.

 

This report is made solely to the company in accordance with guidance contained in ISRE (UK and Ireland) 2410, 'Review of Interim Financial Information performed by the Independent Auditor of the Entity'. Our review work has been undertaken so that we might state to the company those matters we are required to state to them in a review report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company, for our review work, for this report, or for the conclusion we have formed.

 

Directors' responsibilities

The half-yearly financial report is the responsibility of, and has been approved by, the directors. The AIM rules of the London Stock Exchange require that the accounting policies and presentation applied to the financial information in the half-yearly financial report are consistent with those which will be adopted in the annual accounts having regard to the accounting standards applicable for such accounts.

 

As disclosed in Note 1, the annual financial statements of the group are prepared in accordance with IFRS's as adopted by the European Union. The financial information in the half-yearly financial report has been prepared in accordance with the basis of preparation in Note 1.

 

Our responsibility

Our responsibility is to express to the company a conclusion on the financial information in the half-yearly financial report based on our review.

 

Scope of review

We conducted our review in accordance with International Standard on Review Engagements (UK and Ireland) 2410, 'Review of Interim Financial Information Performed by the Independent Auditor of the Entity' issued by the Auditing Practices Board for use in the United Kingdom. A review of interim financial information consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK and Ireland) and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

 

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the financial information in the half-yearly financial report for the 28 weeks ended 8 January 2011 is not prepared, in all material respects, in accordance with the basis of accounting described in Note 1.

 

 

GRANT THORNTON UK LLP

AUDITOR

Cardiff

23 February 2011


This information is provided by RNS
The company news service from the London Stock Exchange
 
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