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| Date/Time | Headline | Source |
|---|---|---|
| 1 | ||
| 22-10-09 | AFX UK Focus |
|
|
The Times FIRST WIMBLEDON, LATER THE WORLD, AS HMV UNVEILS ITS BOUTIQUE CINEMA HMV will open a three-screen cinema on the second floor of its Wimbledon store on Friday in a move designed to offset declining sales of CDs and stalled DVD growth. The boutique cinema plan was developed in partnership with Curzon, a small cinema chain, and will target the consumer wanting "a glass of wine with their film". The partners will share revenue created on the cinema floor, with the screens showing a mixture of Hollywood blockbusters and foreign art house movies.
PARAGON GEARS UP TO ACQUIRE LOANBOOKS FROM RIVALS LAID LOW
BY FINANCIAL CRISIS Paragon is planning to acquire loan books from financial institutions struggling in the financial crisis. According to chief executive Nigel Terrington, the Solihull-based lender to private landlords will consider businesses ranging from "tens of millions to hundreds of millions of pounds". CarVal, an American specialist investor, will help Paragon fund the larger acquisitions, while Paragon will also be able to stretch the size of its purchases if they come with financing from the seller.
TOUGH TIMES DRIVE DOWN HR OWEN LUXURY CAR SALES HR Owen confirmed on Wednesday that its sales were still falling, contrasting with an 11 per cent rise in new registration in the overall car market as a result of the car scrappage scheme. The luxury car brand dealer's chief executive, Nicolas Lancaster, said that sales for most brands were down by around 40 per cent on last year and that some brands were down further, adding that the business had started to pick up in recent weeks but it was too early to see whether the improvement could be sustained.
TEMPUS ARM Holdings (Offers good value) Home Retail Group (Pass)
Burford Capital (Hold for now)
NATIONAL EXPRESS SET TO DISAPPOINT The transport group National Express is expected to reveal disappointing figures for its third-quarter trading on Thursday, as the company faces a takeover bid from its contemporary Stagecoach. The senior management at National Express has misgivings about the ability of Stagecoach to secure the two billion pounds of debt that would be held by a combined company and is preparing for an attempt to raise 400 million pounds through a rights issue to help its own debt repayments.
REGENT INNS SURVIVES WITH PRE-PACK DEAL The bar owner Regent Inns has been placed in pre-pack administration by BDO Stoy Hayward after it failed to secure funding for a buy-out. 1,800 jobs were saved by the pre-pack option, but 186 were still lost at Regent's nine worst-performing sites. Other sites have been sold to Punch Taverns or a new company set up by the management of Regent called Intertain. The remaining sites will pass into the ownership of the company's creditors, which include Royal Bank of Scotland, Barclays, Lloyds Banking Group and West LB.
ARGOS CATALOGUE PRICES UP BECAUSE OF WEAK POUND Home Retail Group is attempting to counterbalance the fall in the value of the pound by increasing prices in the Argos catalogue. The rise, believed to be four to five per cent by analysts, is also a reflection of the belief of Terry Duddy, the group's chief executive, that UK consumer confidence is returning. Pre-tax profits at Home Retail Group were 122.7 million pounds in the six months to August 29 - an increase on last year's figure of 121.4 million pounds.
QUESTOR Carillion (Buy) Pearson (Buy) The Independent BAA CUTS ITS DEBT PILE WITH SALE OF GATWICK FOR 1.5 BILLION POUNDS BAA has confirmed that it is to sell Gatwick Airport to Global Infrastructure Partners, a private equity firm that owns London's City airport. The 1.5 billion pound takeover set to be signed in December is likely to find favour with the Competition Commission, as BAA was ordered by the Commission to sell Gatwick, as well as Stansted and either Glasgow or Edinburgh airports, in March. BAA, which has a huge 9.6 billion pound debt, will use the proceeds to pay down a one billion pound bank facility that matures next year. PRIMARK PLANS 100,000 SQ FT STORE IN 675 MILLION POUND CARDIFF MALL Primark is in negotiations to sign up for a 10,000 sq ft outlet in St David's 2, a massive 675 million pound extension to Cardiff's existing shopping centre. The new centre is a joint development between Land Securities and Capital Shopping Centres, operating as the St David's Partnership. Primark, which is owned by Associated British Foods, would provide a massive boost to the centre by attracting not only customers but also new retailers.
KRAFT UNDER PRESSURE TO RAISE ITS OFFER AFTER CADBURY BEATS
TARGETS Andrew Bonfield, the finance director of Cadbury, which is a takeover target of US food giant Kraft, insisted it had a future as an independent confectionery business, after it upgraded its full-year financial results. In early September, Cadbury rejected a 10.2 billion pound proposed takeover offer by Kraft, which valued the UK-based group at 745 pence a share. According to Alicia Forry of Liberum Capital, the Cadbury's earning upgrades of at least 5 per cent to consensus underpin expectations that Kraft will have to bid above 800 pence. THE INVESTMENT COLUMN Drax (Buy) Home Retail Group (Hold) Telford Homes (Buy) The Guardian GATWICK AIRPORT TO GET UPGRADE AFTER 1.5 BILLION POUND SALE BAA has sold Gatwick to Global Infrastructure Partners, the investment group that controls London's City airport, in a 1.5 billion pound deal that ends BAA's four-decade long monopoly of London's major airports. Talks of modernisation at the 51-year-old site have raised fears of job losses among its 2,500 staff. Unite, the largest union in aviation, has called for a meeting with GIP to safeguard workers terms, conditions and pensions during the handover.
CADBURY IN FIGHTING MOOD AS SALES GO UP Andrew Bonfield, Cadbury's finance director, has warned that the group's unique corporate ethos would be lost if it were to be swallowed up by a larger multinational group such as Kraft, the US food conglomerate which is circling the business. On Wednesday, on the back of strong quarterly figures, Cadbury raised its sales and margin targets for this year, a move analysts suggested raised the pressure on Kraft to revise its recently spurned 10.2 billion pound cash and shares takeover approach.
HBOS CUSTOMERS COULD PAY 365 PER CENT OVERDRAFT FEE HBOS is to move all of its current account customers to a new daily charging structure, in a double blow that will see account holders face a hike in overdraft charges and the loss of interest when they are in credit. Agreed overdrafts of up to 2,500 pounds will be charged one pound a day, while those over 2,500 pounds will be charged two pounds a day. All debit and credit interest will be removed. The consumer body Which? has criticised the move.
Prepared for Reuters by Durrants
COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters. More |
||
| 22-10-09 | AFX UK Focus |
|
|
The Times FIRST WIMBLEDON, LATER THE WORLD, AS HMV UNVEILS ITS BOUTIQUE CINEMA HMV will open a three-screen cinema on the second floor of its Wimbledon store on Friday in a move designed to offset declining sales of CDs and stalled DVD growth. The boutique cinema plan was developed in partnership with Curzon, a small cinema chain, and will target the consumer wanting "a glass of wine with their film". The partners will share revenue created on the cinema floor, with the screens showing a mixture of Hollywood blockbusters and foreign art house movies.
PARAGON GEARS UP TO ACQUIRE LOANBOOKS FROM RIVALS LAID LOW
BY FINANCIAL CRISIS Paragon is planning to acquire loan books from financial institutions struggling in the financial crisis. According to chief executive Nigel Terrington, the Solihull-based lender to private landlords will consider businesses ranging from "tens of millions to hundreds of millions of pounds". CarVal, an American specialist investor, will help Paragon fund the larger acquisitions, while Paragon will also be able to stretch the size of its purchases if they come with financing from the seller.
TOUGH TIMES DRIVE DOWN HR OWEN LUXURY CAR SALES HR Owen confirmed on Wednesday that its sales were still falling, contrasting with an 11 per cent rise in new registration in the overall car market as a result of the car scrappage scheme. The luxury car brand dealer's chief executive, Nicolas Lancaster, said that sales for most brands were down by around 40 per cent on last year and that some brands were down further, adding that the business had started to pick up in recent weeks but it was too early to see whether the improvement could be sustained.
TEMPUS ARM Holdings (Offers good value) Home Retail Group (Pass)
Burford Capital (Hold for now)
NATIONAL EXPRESS SET TO DISAPPOINT The transport group National Express is expected to reveal disappointing figures for its third-quarter trading on Thursday, as the company faces a takeover bid from its contemporary Stagecoach. The senior management at National Express has misgivings about the ability of Stagecoach to secure the two billion pounds of debt that would be held by a combined company and is preparing for an attempt to raise 400 million pounds through a rights issue to help its own debt repayments.
REGENT INNS SURVIVES WITH PRE-PACK DEAL The bar owner Regent Inns has been placed in pre-pack administration by BDO Stoy Hayward after it failed to secure funding for a buy-out. 1,800 jobs were saved by the pre-pack option, but 186 were still lost at Regent's nine worst-performing sites. Other sites have been sold to Punch Taverns or a new company set up by the management of Regent called Intertain. The remaining sites will pass into the ownership of the company's creditors, which include Royal Bank of Scotland, Barclays, Lloyds Banking Group and West LB.
ARGOS CATALOGUE PRICES UP BECAUSE OF WEAK POUND Home Retail Group is attempting to counterbalance the fall in the value of the pound by increasing prices in the Argos catalogue. The rise, believed to be four to five per cent by analysts, is also a reflection of the belief of Terry Duddy, the group's chief executive, that UK consumer confidence is returning. Pre-tax profits at Home Retail Group were 122.7 million pounds in the six months to August 29 - an increase on last year's figure of 121.4 million pounds.
QUESTOR Carillion (Buy) Pearson (Buy) The Independent BAA CUTS ITS DEBT PILE WITH SALE OF GATWICK FOR 1.5 BILLION POUNDS BAA has confirmed that it is to sell Gatwick Airport to Global Infrastructure Partners, a private equity firm that owns London's City airport. The 1.5 billion pound takeover set to be signed in December is likely to find favour with the Competition Commission, as BAA was ordered by the Commission to sell Gatwick, as well as Stansted and either Glasgow or Edinburgh airports, in March. BAA, which has a huge 9.6 billion pound debt, will use the proceeds to pay down a one billion pound bank facility that matures next year. PRIMARK PLANS 100,000 SQ FT STORE IN 675 MILLION POUND CARDIFF MALL Primark is in negotiations to sign up for a 10,000 sq ft outlet in St David's 2, a massive 675 million pound extension to Cardiff's existing shopping centre. The new centre is a joint development between Land Securities and Capital Shopping Centres, operating as the St David's Partnership. Primark, which is owned by Associated British Foods, would provide a massive boost to the centre by attracting not only customers but also new retailers.
KRAFT UNDER PRESSURE TO RAISE ITS OFFER AFTER CADBURY BEATS
TARGETS Andrew Bonfield, the finance director of Cadbury, which is a takeover target of US food giant Kraft, insisted it had a future as an independent confectionery business, after it upgraded its full-year financial results. In early September, Cadbury rejected a 10.2 billion pound proposed takeover offer by Kraft, which valued the UK-based group at 745 pence a share. According to Alicia Forry of Liberum Capital, the Cadbury's earning upgrades of at least 5 per cent to consensus underpin expectations that Kraft will have to bid above 800 pence. COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters. More |
||
| 22-10-09 | AFX UK Focus |
|
|
The Times FIRST WIMBLEDON, LATER THE WORLD, AS HMV UNVEILS ITS BOUTIQUE CINEMA HMV will open a three-screen cinema on the second floor of its Wimbledon store on Friday in a move designed to offset declining sales of CDs and stalled DVD growth. The boutique cinema plan was developed in partnership with Curzon, a small cinema chain, and will target the consumer wanting "a glass of wine with their film". The partners will share revenue created on the cinema floor, with the screens showing a mixture of Hollywood blockbusters and foreign art house movies.
PARAGON GEARS UP TO ACQUIRE LOANBOOKS FROM RIVALS LAID LOW
BY FINANCIAL CRISIS Paragon is planning to acquire loan books from financial institutions struggling in the financial crisis. According to chief executive Nigel Terrington, the Solihull-based lender to private landlords will consider businesses ranging from "tens of millions to hundreds of millions of pounds". CarVal, an American specialist investor, will help Paragon fund the larger acquisitions, while Paragon will also be able to stretch the size of its purchases if they come with financing from the seller.
TOUGH TIMES DRIVE DOWN HR OWEN LUXURY CAR SALES HR Owen confirmed on Wednesday that its sales were still falling, contrasting with an 11 per cent rise in new registration in the overall car market as a result of the car scrappage scheme. The luxury car brand dealer's chief executive, Nicolas Lancaster, said that sales for most brands were down by around 40 per cent on last year and that some brands were down further, adding that the business had started to pick up in recent weeks but it was too early to see whether the improvement could be sustained.
TEMPUS ARM Holdings (Offers good value) Home Retail Group (Pass) Burford Capital (Hold for now) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters. More |
||
| 21-10-09 | PRN |
|
This news article is displayed preformatted as it may contain results tables
21 October 2009 HR Owen Plc Interim Management Statement and Trading Update The Board of HR Owen Plc issues the following trading update. Market conditions in the previous two months since the announcement of our Interim Statement have remained very tough and the substantial rises in financial markets have not yet been reflected in the wider economic climate in the UK. Although new vehicle registrations in the important new registration plate month of September were 11% up on the comparable month in 2008, many of the Group's marques in the ultra-luxury sector continue to record falls compared to last year. Nevertheless, we are pleased to report that the Board remains satisfied that the Group's results at the trading level in the second half of the year will be no worse than those experienced in the first half of the year. However, the outlook for the remainder of the year remains difficult to predict. The Board recognises that significant challenges lie ahead but is confident that the Group's unique portfolio of luxury brands will provide a strong platform once economic conditions improve. For further information: Nicholas Lancaster, Chief Executive Mike Warren, Finance Director HR Owen Plc Tel: 020 7245 1122 END More |
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| 15-09-09 | PRN |
|
This news article is displayed preformatted as it may contain results tables
INTERIM REPORT FOR THE SIX MONTHS ENDED 30 JUNE 2009 Copies of the above document have been submitted to the UK Listing Authority, and will shortly be available for inspection at the UK Listing Authority's Document Viewing Facility, which is situated at: Financial Services Authority 25 The North Colonnade Canary Wharf London E14 5HS END More |
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| 28-08-09 | PRN |
|
This news article is displayed preformatted as it may contain results tables
H.R. Owen Plc
Interim
Financial Information
For the six months ended
30 June 2009
HIGHLIGHTS
* "The trading results for the first six months were significantly affected by
the challenging economic climate although overall results were boosted by the
exceptional gain realised on the early surrender of the Group's property lease
at Wandsworth, London."
* "The Group has a strong balance sheet, excellent luxury brands and a depth of
experience across the management team and is well placed to take advantage of
future market opportunities"
* Operating profit of £6.6 million (2008: £2.1 million);
* Losses before tax from continuing operations, before exceptional items, of
£1.0 million (2008: profits of £1.7 million);
* Profit before tax of £6.5 million (2008: £1.7 million);
* Earnings per share of 19.6 pence (2008: 5.6 pence);
* Interim dividend declared of 2.0 pence per ordinary share (2008: 2.0 pence
per ordinary share);
* Cash balances at 30 June 2009 of £11.0 million (31 December 2008: £1.8
million).
* Extracts from the Chairman's Statement.
Chairman's Statement
The trading results for the first six months were significantly affected by the
challenging economic climate although overall results were boosted by the
exceptional gain realised on the early surrender of the Group's property lease
at Wandsworth, London.
The Group's profits before tax were £6.5 million (2008: £1.7 million) with
losses from continuing operations before exceptional items of £1.0 million
(2008: profits of £1.7 million).
Turnover for the continuing businesses was £62.2 million compared to £83.6
million for the first half of 2008 as tougher economic conditions led to a
significant reduction in the volumes of new cars sold.
Profit for the period for the Group was £4.6 million (2008: £1.3 million)
representing earnings per share of 19.6 pence (2008: 5.6 pence).
On 29 May 2009, the Company paid the final dividend in respect of the year
ended 31 December 2008 of 2.0 pence per ordinary share. The directors have
declared an interim dividend for the six months ended 30 June 2009 of 2.0 pence
per ordinary share (2008: 2.0 pence per ordinary share) which is expected to be
paid on 23 October 2009 to shareholders on the register at the close of
business on 25 September 2009.
Capital expenditure in the six months was £1.0 million (2008: £1.7 million),
primarily associated with the improvements to leasehold premises. Overall there
was a cash inflow in the period of £9.3 million (2008: outflow of £3.8 million)
as the Group received the cash consideration from the early surrender of its
property lease at Wandsworth, London. The Group finished the period with a
strong balance sheet including cash balances of £11.0 million (2008: £6.4
million) and, as for 30 June 2008, excluding manufacturer stocking loans of £
8.4 million (2008: £11.0 million) had no net debt.
During the period under review sales of new specialist cars were adversely
affected on a worldwide basis by the economic downturn. Volumes were
significantly reduced and margins eroded. By comparison, used car sales were
very strong, with the Group improving both volumes and margins against the same
period last year. The aftersales business continued to provide solid results
and all of the franchises benefited from tight controls.
In the first six months, when the Group traditionally delivers its strongest
performance, we were awaiting a number of important new model introductions
which were late entering the UK market which adversely impacted sales. As a
result of this, the Group will benefit in the second half of the year from the
strong forward sales for these models. In particular, there has been
exceptional interest in the new Ferrari, Lamborghini and Rolls-Royce models.
Further new models are also being introduced by Bentley which will benefit the
Group's results in 2010.
In January 2009, we completed the disposal of the Group's London Volvo
dealerships, selling the assets for £183,000 to a new company, Regent
Automotive Limited, set up by the former management of the Division.
In February 2009, the Group completed the second stage of the disposal of its
lease at Wandsworth, London to Ipcress Limited. This generated a second cash
payment of £7.5 million which was in settlement for the initially contracted
sum of £8 million that was to have been satisfied by way of two future-dated
bills of exchange.
In March 2009, the Group received a payment of £0.8 million as its share of the
development profits on vacation of an aftersales facility formerly operated in
the Regent's Park area of London. The Group incurred costs of some £0.5 million
through redundancies and property-related costs as a result of the closure.
In May 2009, the Group acquired the lease of the showroom at Melton Court,
South Kensington, which is currently subject to a refurbishment programme that
will create additional space for our Rolls-Royce franchise (Rolls-Royce Motor
Cars London) and the establishment of a specialist used car business for H.R.
Owen. The first stage of this development is due to be completed by early
September 2009.
At the Group's AGM in May this year, John MacArthur, who had been a director,
and latterly Chairman, of the Group over a period of sixteen years, announced
that he would not be offering himself for re-election and stood down from the
Board. We would like to take this opportunity of thanking John for his strong
contribution to the Group and wish him a long and happy retirement. The Group
announced that I, as the senior non-executive director, would temporarily fill
John's position whilst a new Chairman is recruited, and this process is well
under way.
In July 2009, Colin Giltrap, who was the Group's Deputy Chairman, resigned and
stood down from the Board. Colin had been a director of the company for twenty
years and will now be concentrating on his other worldwide business interests.
We would also like to thank him for his contribution to the development of the
business.
In August 2009, it was announced that David Evans, who has been the Operations
Director for sixteen years, will retire from the Group and stand down as a
director at the end of November 2009. We would like to thank David for his
strong contribution to the Group and wish him a long and happy retirement
We continue to review our operations and make savings in our cost base, whilst
further developing our portfolio of luxury brands and expanding our specialist
used car business. Nevertheless, the Group's results follow the national
trading environment closely, and although there are some signs of an uplift in
customer sentiment, particularly with regard to new model introductions, market
conditions remain very tough.
The Group has a strong balance sheet, excellent luxury brands and a depth of
experience across the management team and is well placed to take advantage of
future market opportunities.
R Pajares OBE
Acting Chairman
28 August 2009
Independent Review Report
to H.R. Owen Plc
Introduction
We have been engaged by the company to review the condensed set of financial
statements in the half-yearly financial report for the six months ended 30 June
2009, which comprises the consolidated income statement, consolidated statement
of comprehensive income, consolidated balance sheet, consolidated cash flow
statement and related notes. We have read the other information contained in
the half-yearly financial report and considered whether it contains any
apparent misstatements or material inconsistencies with the information in the
condensed set of financial statements.
Directors' responsibilities
The half-yearly financial report is the responsibility of, and has been
approved by, the directors. The directors are responsible for preparing the
half-yearly financial report in accordance with the Disclosure and Transparency
Rules of the United Kingdom's Financial Services Authority.
As disclosed in note 1, the annual financial statements of the group are
prepared in accordance with IFRSs as adopted by the European Union. The
condensed set of financial statements included in this half-yearly financial
report has been prepared in accordance with International Accounting Standard
34, "Interim Financial Reporting", as adopted by the European Union.
Our responsibility
Our responsibility is to express to the company a conclusion on the condensed
set of financial statements in the half-yearly financial report based on our
review. This report, including the conclusion, has been prepared for and only
for the company for the purpose of the Disclosure and Transparency Rules of the
Financial Services Authority and for no other purpose. We do not, in producing
this report, accept or assume responsibility for any other purpose or to any
other person to whom this report is shown or into whose hands it may come save
where expressly agreed by our prior consent in writing.
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 condensed set of financial statements in the half-yearly
financial report for the six months ended 30 June 2009 is not prepared, in all
material respects, in accordance with International Accounting Standard 34 as
adopted by the European Union and the Disclosure and Transparency Rules of the
United Kingdom's Financial Services Authority.
PricewaterhouseCoopers LLP
Chartered Accountants
Cambridge
28 August 2009
Notes:
a. The maintenance and integrity of the H.R. Owen Plc web site is the
responsibility of the directors; the work carried out by the auditors does
not involve consideration of these matters and, accordingly, the auditors
accept no responsibility for any changes that may have occurred to the
interim report since it was initially presented on the web site.
b. Legislation in the United Kingdom governing the preparation and
dissemination of financial information may differ from legislation in other
jurisdictions.
H.R. Owen Plc
Consolidated income statement
for the six months ended 30 June 2009
Notes Unaudited Unaudited Audited
6 months 6 months Year ended
ended ended 31
December
30 June 30 June
2008
2009 2008
£'000
£'000 £'000
Continuing operations
Revenue 4 62,179 83,550 144,450
Cost of sales (52,098) (70,047) (120,715)
Gross profit 10,081 13,503 23,735
Other income 5 836 21 89
Distribution costs (5,636) (5,689) (11,331)
Administrative expenses (6,140) (5,777) (11,166)
Operating (loss)/profit before (859) 2,058 1,327
exceptional items
Exceptional gain from early 6 7,485 - 878
surrender of
property lease
Operating profit 6,626 2,058 2,205
Interest payable and similar charges (436) (748) (1,591)
Interest receivable 275 419 825
Profit before taxation 6,465 1,729 1,439
Taxation (charge)/credit 7 (1,836) (516) 40
Profit for the period from 4,629 1,213 1,479
continuing operations
Discontinued operations
Profit/(loss) from discontinued 8 - 97 (306)
operations
Profit for the period 4,629 1,310 1,173
Earnings per share:
- Basic and diluted (pence per 3 19.6p 5.6p 5.0p
ordinary share)
Earnings per share from continuing
operations
- Basic and diluted (pence per 3 19.6p 5.1p 6.3p
ordinary share)
(Losses)/earnings per share from
continuing operations, before
exceptional items
- Basic and diluted (pence per 3 (4.3)p 5.1p 2.5p
ordinary share)
Earnings/(losses) per share from 3 0.0p 0.5p (1.3)p
discontinued operations
- Basic and diluted (pence per
ordinary share)
The notes on pages 5 to 17 form an integral part of this condensed set of
financial statements.
H.R. Owen Plc
Consolidated statement of comprehensive income
for the six months ended 30 June 2009
Unaudited Unaudited Audited
6 months 6 months Year ended
ended ended 31 December
30 June 30 June 2008
2009 2008 £'000
£'000 £'000
Profit for the period 4,629 1,310 1,173
Other comprehensive income
Actuarial losses recognised in defined - - (260)
benefit pension scheme
Deferred taxation thereon - - 73
Tax benefit on special pension
contributions
- deferred tax (63) (63) (70)
- current tax 63 63 71
Net losses recognised directly in equity - - (186)
reserves
Total comprehensive income for the period 4,629 1,310 987
H.R. Owen Plc
Consolidated balance sheet
as at 30 June 2009
Notes Unaudited Unaudited Audited
6 months 6 months Year ended
ended ended 31 December
30 June 30 June 2008
2009 2008 £'000
£'000 £'000
Assets
Non-current assets
Goodwill 2,020 2,020 2,020
Property, plant and equipment 10 5,931 5,961 5,511
Deferred tax assets 267 312 340
8,218 8,293 7,871
Current assets
Inventories 18,816 28,136 26,649
Trade and other receivables 5,685 7,902 6,748
Current tax assets - - 196
Cash and cash equivalents 11,032 6,371 1,758
35,533 42,409 35,351
Assets classified as held for - - 6,082
sale
Total current assets 35,533 42,409 41,433
Liabilities
Current liabilities
Financial liabilities - (11,405) (14,069) (17,194)
borrowings
Trade and other payables (17,390) (26,631) (16,519)
Current tax liabilities (426) (906) -
(29,221) (41,606) (33,713)
Liabilities classified as held - - (6,870)
for sale
Total current liabilities (29,221) (41,606) (40,583)
Net current assets 6,312 803 850
Non-current liabilities
Deferred tax liabilities (2,132) (56) (219)
Retirement benefit liability 11 (55) (59) (316)
Total non-current liabilities (2,187) (115) (535)
Net assets 12,343 8,981 8,186
Shareholders' equity
Called-up share capital 11,806 11,806 11,806
Profit and loss reserve/ 13 537 (2,825) (3,620)
(deficit)
Total equity 12,343 8,981 8,186
H.R. Owen Plc
Consolidated cash flow statement
for the six months ended 30 June 2009
Notes Unaudited Unaudited Audited
6 months 6 months Year
ended
ended ended
31
30 June 30 June December
2009 2008 2008
£'000 £'000 £'000
Cash flows from operating
activities
Cash generated from/(consumed by) 14 10,404 116 (5,686)
operations
Interest received 275 382 731
Interest paid (436) (783) (1,646)
Tax recovered 773 704 366
Net cash generated from/(consumed 11,016 419 (6,235)
by)
operating activities
Cash flows from investing
activities
Proceeds from sale of property, - - 77
plant and equipment
Purchase of property, plant and (978) (1,718) (2,034)
equipment
Cash flows from investing (978) (1,718) (1,957)
activities from continuing
operations
Proceeds from sale of property, - - 6
plant and equipment - discontinued
operations
Purchase of property, plant and - - (48)
equipment - discontinued operations
Proceeds from sale of dealerships - 183 - -
discontinued operations
Net cash consumed by investing (795) (1,718) (1,999)
activities
Cash flows from financing
activities
Payments of dividends to (472) (472) (944)
shareholders
Repayment of other loans (475) (2,002) (15)
Cash flows from financing (947) (2,474) (959)
activities from continuing
operations
Receipt of other loans - - - 807
discontinued operations
Net cash consumed by financing (947) (2,474) (152)
activities
Increase/(decrease) in cash and 9,274 (3,773) (8,386)
cash equivalents
Cash and cash equivalents at 1 1,758 10,144 10,144
January
Cash and cash equivalents at 30 11,032 6,371 1,758
June
H.R. Owen Plc
Notes to the interim statement
for the six months ended 30 June 2009
1. Basis of preparation and statement of compliance
This condensed consolidated interim financial information does not comprise
statutory accounts within the meaning of section 434 of the Companies Act 2006.
Statutory accounts for the year ended 31 December 2008 were approved by the
board of directors on 24 March 2009 and delivered to the Registrar of
Companies. The report of the auditors on those accounts was unqualified, did
not contain an emphasis of matter paragraph and did not contain any statement
under section 237 of the Companies Act 1985.
This condensed consolidated interim financial information has been reviewed,
not audited. The condensed consolidated interim financial information for the
six months ended 30 June 2009 has been prepared in accordance with the
Disclosure and Transparency Rules of the Financial Services Authority and with
International Accounting Standard ("IAS") 34 `Interim financial reporting' as
adopted by the European Union. The condensed consolidated financial information
should be read in conjunction with the annual financial statements for the year
ended 31 December 2008, which have been prepared in accordance with
International Financial Reporting Standards ("IFRSs") as adopted by the
European Union.
Company details
The Company's registered address is 75 Kinnerton Street, London SW1X 8ED. The
Company is a public limited company and is incorporated and domiciled in
England and Wales. The Company's registration number at Companies House is
1753134.
Accounting policies
Except as described below the principal accounting policies used in preparing
this financial information are consistent with those of the annual financial
statements for the year ended 31 December 2008, as described in the Group's
Annual Report & Accounts on pages 24 to 26 of those annual financial
statements.
Taxes on income in the interim period are accrued using the tax rate that would
be applicable to expected total annual earnings.
The following new standards and amendments to standards are mandatory for the
first time for the financial year beginning 1 January 2009:
a. IAS 1 (revised), `Presentation of financial statements'. The revised
standard prohibits the presentation of items of income and expenses (that
is `non-owner changes in equity') in the statement of changes in equity,
requiring `non-owner changes in equity' to be presented separately from
owner changes in equity. All `non-owner changes in equity' are required to
be shown in a performance statement. Entities can choose whether to present
one performance statement (the statement of comprehensive income) or two
statements (the income statement and statement of comprehensive income).
The Group has elected to present two statements: an income statement and a
statement of comprehensive income. The interim financial statements have
been prepared under the revised disclosure requirements.
b. IFRS 8, `Operating segments'. IFRS 8 replaces IAS 14, `Segment reporting'.
It requires a `management approach' under which segment information is
presented on the same basis as that used for internal reporting purposes.
This has not resulted in any changes to the reportable segments presented.
Operating segments are reported in a manner consistent with the internal
reporting provided to the chief operating decision-maker. The chief
operating decision-maker has been identified as the board of directors.
Goodwill is allocated by management to groups of cash-generating units on a
segment level. There has been no change in reportable segments and it has
not resulted in any additional goodwill impairment and there has been no
further impact on the measurement of the Group's assets and liabilities.
Comparatives for 2008 have been restated where appropriate.
Forthcoming accounting standards
The following new standards, amendments to standards or interpretations are
mandatory for the first time for the financial year beginning on 1 January
2009, but are not currently relevant for the Group:
a. IFRIC 13, `Customer loyalty programmes'.
b. IFRIC 15, `Agreements for the construction of real estate'.
c. IFRIC 16, `Hedges of a net investment in a foreign operation'.
d. IAS 39 (amendment), `Financial instruments: Recognition and measurement'.
The following new standards, amendments to standards and interpretations have
been issued, but are not effective for the financial year beginning 1 January
2009 and have not been early adopted:
a. IFRS 3 (revised), `Business combinations' and consequential amendments to
IAS 27, `Consolidated and separate financial statements', IAS 28,
`Investments in associates' and IAS 31, `Interests in joint ventures',
effective prospectively to business combinations for which the acquisition
date is on or after the beginning of the first annual reporting period
beginning on or after 1 July 2009.
b. IFRIC 17, `Distributions of non-cash assets to owners', effective for
annual periods beginning on or after 1 July 2009. This is not currently
applicable to the Group, as it has not made any non-cash distributions.
c. IFRIC 18, `Transfers of assets from customers', effective for transfers of
assets received on or after 1 July 2009. This is not relevant to the Group,
as it has not received any assets from customers.
Principal risks and uncertainties
The management of the business and the execution of the Group's strategy are
subject to a number of risks. These risks are formally reviewed by the Board
and, where appropriate, monitored and mitigated by suitable processes.
The current economic uncertainties, particularly in financial markets, produce
risks for the Group. In particular, the ability of customers to obtain credit
to facilitate vehicle purchases has been significantly affected by the
tightening of credit markets in the UK and elsewhere. Furthermore, movements in
future discount rates, as a result of the Bank of England's programme of
quantitative easing and other factors, may impact upon the financial position
of the Group's defined benefit pension scheme.
Any business associated with the sale of cars is of course vulnerable to
outside factors, both political and economic. Interest rate changes, consumer
confidence, increasing fuel costs, congestion charging, and broader
environmental concerns could all have an impact on a consumer's decision
whether or not to buy a particular new or used car.
Other risks relate to the close contractual relationships the Group has with a
number of vehicle manufacturers, and in particular its reliance on their
continuing to supply a suitable mix of popular vehicle models at competitive
prices. If this supply ceases, is restricted or over-supplied for any reason,
then clearly the impact on the Group's performance, especially in relation to
new cars, could have an adverse effect on profitability.
Possible future changes to the legislative framework governing the sale of new
cars in the UK, and the competition provided by the growing number of
internet-based brokers and sellers, also pose risks to the Group. In the area
of aftersales, any improvement in the reliability and durability of cars will
reduce their need for servicing and repairs, and the threat of increased
competition from the independent service and repair sector is now a permanent
feature of the market.
Going concern
The Group's business activities, together with the factors likely to affect its
future development, performance and position are set out in the Chairman's
Statement on pages 2 to 3. Details of the Group's liquidity position and
borrowing facilities are described in the Group's Annual Report & Accounts in
Note 16 of those annual financial statements, and the Group's objectives,
policies and processes for managing its capital are set out in the Directors'
Report. Its financial risk management objectives, details of its financial
instruments, and its exposures to credit risk and liquidity risk are set out in
Note 18 of those annual financial statements. The directors have also been able
to rely on the cash consideration received for the early surrender of its
Wandsworth, London lease as detailed in Note 6 which has significantly
increased the Group's cash resources. As a consequence, the directors believe
that the Group is well placed to manage its business risks successfully despite
the current uncertain economic outlook.
Therefore, at the time of preparation of this half-yearly financial report,
after making appropriate enquiries, the directors have a reasonable expectation
that the Group has adequate resources to continue operating for the foreseeable
future. For this reason they continue to adopt the going concern basis in
preparing the Group's half-yearly financial report.
2. Dividends
On 29 May 2009 the final dividend declared for the year ended 31 December 2008
of 2.0 pence per ordinary share, amounting to £472,000, was paid to
shareholders. An interim dividend of 2.0 pence per ordinary share (2008: 2.0
pence per ordinary share) has been declared on 28 August 2009 for the six
months ended 30 June 2009 and is expected to be paid on 23 October 2009 to
shareholders on the register at the close of business on 25 September 2009.
This interim dividend has not been recognised as a liability in this interim
financial information but will be recognised in shareholders' equity in the
annual financial statements for the year ending 31 December 2009.
3. Earnings/(losses) per share
The calculation of earnings per share from continuing operations is based on
the profit after taxation of £4,629,000 (2008: £1,213,000) and the weighted
average number of shares in issue during the period of 23,611,742 (2008:
23,611,742).
The calculation of losses per share from continuing operations before
exceptional items is based on the trading losses of £1,020,000. The tax charge
arising in the year of £1,836,000 is deemed to have arisen as a direct result
of the exceptional gain of £7,485,000 and has therefore been disregarded from
the losses per share calculation. The comparative earnings per share from
continuing operations before exceptional items for the six months ended 30 June
2008 and the year ended 31 December 2008 are based on profits of £1,213,000 and
£601,000 respectively.
Basic earnings per share is calculated by dividing the earnings attributable to
ordinary shareholders by the weighted average number of ordinary shares
outstanding during the period. For diluted earnings per share, the weighted
average number of ordinary shares in issue is adjusted to assume conversion of
all dilutive potential ordinary shares. The Group has a single class of
dilutive potential ordinary shares being share options granted to employees
under the Group's long-term incentive plan. At 30 June 2009, the average market
price of the shares during the period was below the exercise price of the
options and consequently the shares in question are excluded from the diluted
earnings per share calculation.
4. Segmental reporting
The chief operating decision-maker has been identified as the board of
directors. The Board reviews the Group's internal reporting in order to assess
performance and allocate resources. Management has determined the operating
segments based on these reports.
The Board considers the business from both a product and manufacturer
perspective. From a product perspective, management assesses the performance of
car sales (both new and used) and aftersales (including servicing, parts and
bodyshop).
The Board assesses the performance of the operating segments based on a measure
of adjusted operating profit, defined as gross profit less directly
attributable expenses. This measurement basis excludes the effects of
non-recurring income and expenditure from the operating segments, such as
exceptional gains on lease disposals and redundancy costs. Interest income and
expenditure are not included in the result for each operating segment that is
reviewed by the Board. Other information provided, except as noted below, to
the Board is measured in a manner consistent with that in the financial
statements.
At 30 June 2009, the Group is organised into two main business segments: the
sale of new and used motor vehicles and an aftersales operation consisting of
the servicing of vehicles, sales of parts and bodyshop repairs. The Group's
dealerships operate predominantly from sites where vehicle sales and aftersales
share the same premises. Therefore, unallocated costs represents shared
property costs and depreciation of fixed assets in addition to background
support services such as finance, IT, marketing and corporate expenses which
cannot be directly attributed to either business segment.
The Group operates from a single geographical area, namely the United Kingdom.
Sales Aftersales Total Total Total
continuing discontinued
£'000 £'000 operations operations Group
£'000 £'000 £'000
Six months ended
30 June 2009
Revenue (from 49,997 12,182 62,179 - 62,179
external
customers)
Adjusted 2,064 2,335 4,399 - 4,399
operating profit
Six months ended
30 June 2008
Revenue (from 72,235 11,315 83,550 12,360 95,910
external
customers)
Adjusted 5,009 2,500 7,509 97 7,606
operating profit
Total segment
inventories
30 June 2009 15,848 2,968 18,816 - 18,816
31 December 2008 23,688 2,961 26,649 4,880 31,529
30 June 2008 21,202 3,100 24,302 3,834 28,136
A reconciliation of total adjusted operating profit to total profit before
income tax and discontinued operations is provided as follows:
30 June 30 June
2009 2008
£'000 £'000
Adjusted operating profit for reportable segments 4,399 7,509
Unallocated overheads (6,094) (5,472)
Exceptional gain on lease surrender 7,485 -
Other income 836 21
Operating profit 6,626 2,058
Interest receivable 275 419
Interest payable (436) (748)
Profit before tax 6,465 1,729
Reportable segments' assets are reconciled to total assets as follows:
30 June 30 June 31 December
2009 2009 2008
£'000 £'000 £'000
Total segment inventories 18,816 28,136 31,529
Goodwill 2,020 2,020 2,020
Property, plant and equipment 5,931 5,961 5,511
Deferred tax assets 267 312 340
Trade and other receivables 5,685 7,902 6,748
Current tax assets - - 196
Cash and cash equivalents 11,032 6,371 1,758
Assets classified as held for sale - - 1,202
Total assets per balance sheet 43,751 50,702 49,304
5. Other income
Unaudited Unaudited Audited
6 months 6 months Year ended
ended ended 31
December
30 June 30 June 2008
2009 2008
£'000
£'000 £'000
Development gain on leasehold 815 - -
properties
Other miscellaneous income 21 21 89
Total other income 836 21 89
In March 2009, the Group realised a development gain on two property leases
relating to adjoining sites at Regent's Park in London, which had been
previously used as an aftersales facility. Under the terms of the leases, the
Group surrendered the leases early in return for a payment, in cash, of £
900,000, of which £65,000 was due to a third party. In addition the Group
incurred legal and other professional costs of £20,000.
As a result of the closure of the site, nine employees chose not to transfer to
other sites and were made redundant at a cost to the Group of £105,000.
Property related costs for the premises such as rent, rates and security from 1
January 2009 to the end of the lease on 7 March 2009 and other costs associated
with the closure of the site and its return to the landlord in accordance with
the terms of the leases of £410,000 have been charged against administrative
expenses.
6. Exceptional income
Unaudited Unaudited Audited
6 months 6 months Year ended
ended ended 31
December
30 June 30 June 2008
2009 2008
£'000
£'000 £'000
Gain from option fee for early surrender - - 878
of lease
Consideration received for early 7,485 - -
surrender of lease
Exceptional income 7,485 - 878
In October 2008 the Group, through its Jack Barclay subsidiary, entered into an
agreement with Ipcress Limited whereby the latter was granted an option to
require the early surrender of Jack Barclay's lease at Wandsworth, London in
return for the payment by Ipcress of a non-refundable option fee of £1 million.
The Group incurred legal and other professional fees of £472,000 of which £
350,000 were borne by Ipcress. Accordingly, the Group recognised an exceptional
gain of £878,000 in the year ended 31 December 2008.
On 20 February 2009, Ipcress exercised its option under the agreement. As a
result, the Group received a further £7.5 million of consideration in cash.
Additional legal and professional fees of £15,000 were incurred in the period.
Under the terms of the agreement, the Group is required to vacate its
Wandsworth premises no later than 25 March 2012 but has the option to move to
alternative premises, supplied by Ipcress free of rent, for a further two years
to 25 March 2014. If the Group does not take up this offer of alternative
premises it will receive an additional cash consideration of £1 million,
payable on the date that the Group confirms in writing to Ipcress that the
offer of alternative premises will not be taken up.
7. Income tax
The income tax charge is recognised based on management's best estimate of the
weighted average annual corporation tax rate expected for the full financial
year. The estimated average annual tax rate used for the year to 31 December
2009 is 28.4% (the estimated tax rate for the six months ended 30 June 2008 was
28.3%).
8. Discontinued businesses
The Group completed the sale of its Volvo Division to its divisional management
with effect from 2 January 2009 for a cash consideration of £183,000.
Accordingly the results of this Division were shown as Discontinued Operations
in the 2008 Annual Report & Accounts. The comparative figures in the income
statement and note 14 for the six months ended 30 June 2008 have been restated
for this reclassification.
9. Shares and share options
At 30 June 2009 the issued share capital of the Company was 23,611,742 ordinary
shares of 50 pence. No new shares were issued in the period. The Company has
cumulative grants of 1,563,328 share options to directors and certain senior
executives as at 30 June 2009. For the six months ended 30 June 2009 an
accounting charge of £Nil (2008: £14,000) has been taken against results in
respect of the grant of these options. No new options have been granted during
the period under review. The current financial year is the final year for the
performance target to be achieved and these share options to become
exercisable. Therefore if the performance target for annual earnings per share
of 8.60 pence is not achieved the options will not vest and, as a result, the
profit and loss charges for the value of share options provided to employees
made cumulatively to date in prior financial periods of £128,000 will be
credited back in the 2009 full year result. However, if the performance target
is achieved then the options will become exercisable which will result in a
further charge for the value of share options provided to employees of up to a
maximum of £262,000 being taken against the 2009 full year result. The Group
traditionally makes the majority of its profits in the first half of the year,
and although the performance target has been met at 30 June 2009, it is not
certain that the performance target will be met at the year end. No charge has
been recognised in this set of condensed interim financial information due to
this uncertainty.
10. Fixed asset movements
In the six month period under review, the Group acquired fixed assets of £
978,000 (2008: £1,718,000). Included in this amount is capital expenditure in
respect of improvements to leasehold premises in the period which amounted to £
875,000 (2008: £996,000) and related primarily to a refurbishment of the
Group's dealership premises at Edgware, London. Depreciation charges for the
six months ended 30 June 2009 were £561,000 (2008: £535,000). The Group
disposed of fixed assets with a net book value of £154,000 (2008: £60,000)
during the period under review as part of the sale of the Volvo dealerships.
These assets were held within `Assets classified as held for sale' at 31
December 2008. Further assets with a net book value of £45,000 were scrapped as
a result of the closure of the Group's premises at Regent's Park.
11. Retirement benefit liability
The Group operates the H.R. Owen London Defined Benefit Pension Scheme, a
defined benefit pension scheme, which operates on a pre-funded basis. The
funding policy is to contribute such variable amounts as, on the advice of the
Scheme's actuary, will achieve a 100% funding level on a projected salary
basis. Actuarial assessments covering expense and contributions are carried out
by independent qualified actuaries, with the last such review being carried out
as at 5 April 2007.
The Scheme currently operates in a deficit position and, as a result, H.R. Owen
Plc agreed with the Scheme's trustees that the Group would make an additional
annual contribution of £200,000 in May 2007, and in May of each of the
subsequent two years. To date all three payments, each of £200,000, have been
made to the Scheme. H.R. Owen Plc also makes additional monthly contributions
of £4,000 to the Scheme, with these additional monthly contributions continuing
whilst the Scheme remains in a deficit position.
In January 2009 the Group sold its Volvo London operations to its divisional
management. As a result of the transfer of employees to the Purchaser, and the
subsequent redundancy of certain employees who chose not to transfer to the
Purchaser, twenty-two of the forty-three active members of the Group's defined
benefit pension scheme became deferred members. The Group has been advised by
the actuaries to the pension scheme that the change of status of these members
is likely to result in a curtailment gain arising. An exercise is currently
being undertaken in order to quantify this curtailment gain and is expected to
be completed before the end of the Group's financial year. The amount of this
potential curtailment gain cannot be estimated with any degree of certainty and
therefore has not been included in these interim financial statements. It is
expected that any curtailment gain which may have arisen will be immaterial to
the interim financial statements, and will be credited to the Group's 2009 full
year results.
12. Related-party transactions
In the prior year, on 18 March 2008, the Company was notified that Bentley
Motors Limited had acquired shares in H.R. Owen Plc equivalent to 27.9% of the
Company's issued share capital. Accordingly, from 18 March 2008 to 30 June 2009
Bentley Motors Limited has been deemed to be a related party. H.R. Owen Plc
operates a Bentley franchise for new and used car sales, through its Jack
Barclay Limited subsidiary, from its Berkeley Square showroom in London. The
Group also operates two Bentley aftersales franchises from its service and
bodyshop facilities at Wandsworth and North Acton in London. During the six
months ended 30 June 2009, the Group purchased vehicles and parts from Bentley
Motors Limited totalling £10.2 million (2008: £8.2 million). At 30 June 2009 an
amount of £0.5 million (31 December 2008: £0.3 million) was owed by the Group
to Bentley Motors Limited.
13. Statement of changes in shareholders' equity for the six months ended 30
June 2009
Unaudited Unaudited Unaudited
Share Profit and Total
loss
capital equity
reserve/(
£'000 deficit) £'000
£'000
At 1 January 2008 11,806 (3,677) 8,129
Net profit - 1,173 1,173
Actuarial losses recognised in - (260) (260)
defined benefit pension scheme
Deferred tax thereon - 73 73
Corporation tax benefit on special
pension
contributions
- deferred tax - (70) (70)
- current tax - 71 71
Dividends paid - (944) (944)
Share options:
- value of employee services - 14 14
At 1 January 2009 11,806 (3,620) 8,186
Net profit - 4,629 4,629
Corporation tax benefit on special
pension
contributions
- deferred tax - (63) (63)
- current tax - 63 63
Share options:
- value of employee services - - -
Dividends paid - (472) (472)
At 30 June 2009 11,806 537 12,343
14. Cash flows from operating activities
Unaudited Unaudited Audited
6 months 6 months Year ended
ended ended 31 December
30 June 30 June 2008
2009 2008 £'000
£'000 £'000
Continuing operations 4,629 1,213 1,479
Profit for the period from continuing
operations
Adjustments for:
Tax charge/(credit) 1,836 516 (40)
Depreciation charge 561 487 979
Loss on disposal of property, plant 45 58 45
and equipment
Share option charge - 14 14
Net interest expense 161 329 766
Changes in working capital (excluding
the
effects of discontinued operations):
Decrease/(increase) in inventories 4,063 (132) 784
Decrease in trade and other 1,921 1,945 1,563
receivables
Decrease in payables (2,573) (4,401) (11,374)
Excess of pension contributions over (239) (256) (237)
current
service cost
Cash generated from/(consumed by) 10,404 (227) (6,021)
continuing
operations
Discontinued operations
Net profit/(loss) - 97 (306)
Depreciation charge - 48 99
Loss on disposal of property, plant - 2 2
and equipment
Net interest expense - 71 149
Decrease in inventories - 605 382
Increase in trade and other - (1,362) (828)
receivables
Increase in payables - 882 837
Cash generated from discontinued - 343 335
operations
Total cash generated from/(consumed 10,404 116 (5,686)
by)
operations
15. Seasonality
The Group's sales of new cars are subject to significant monthly fluctuations
as a result of the bi-annual registration plate change which occurs in the
months of March and September in the United Kingdom. As a result of these
fluctuations, the Group has historically made the majority of its revenue in
the first six months of the year and this trend is expected to continue in
this, and future, years.
16. Responsibility statement
The directors confirm that this condensed consolidated interim financial
information has been prepared in accordance with IAS 34 as adopted by the
European Union and that the interim management report includes a fair review of
the information required by the Disclosure and Transparency Rules ("DTR") 4.2.7
and DTR 4.2.8, namely:
* an indication of important events that have occurred during the first six
months and their impact on the condensed set of financial statements, and a
description of the principal risks and uncertainties for the remaining six
months of the financial year; and
* material related-party transactions in the first six months and any
material changes in the related-party transactions described in the last
annual report.
The directors of H.R. Owen Plc are listed in the Annual Report & Accounts for
the year ended 31 December 2008. With the exception of the retirement in the
period under review of Mr J P MacArthur as a non-executive director on 20 May
2009 and the resignation of Mr C J Giltrap on 17 July 2009 there have been no
changes. On 18 August 2009 David Evans announced his retirement as Operations
Director, to be effective from 30 November 2009.
By order of the Board:
N R Lancaster M Warren
Chief Executive Finance Director
28 August 2008
13
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