Avis Europe Plc Interim Results for the Six Months Ended June 30, 2001.Business Editors BRACKNELL Bracknell (brăk`nəl), city (1991 pop. 52,257), Bracknell Forest, S England. Bracknell was designated one of the new towns in 1949, in order to alleviate overpopulation in London. , Berkshire Berkshire (bärk`shĭr, –shər, bûrk`–) or Berks (bärks, bûrks), former county, S central England. , England--(BUSINESS WIRE)--Sept. 6, 2001 Avis Avis: see Aviz, Portugal. Europe Europe (y  r`əp), 6th largest continent, c.4,000,000 sq mi (10,360,000 sq km) including adjacent islands (1992 est. pop. 512,000,000). plc, the leading car rental RENTAL. A roll or list of the rents of an estate containing the description of the lands let, the names of the tenants, and other particulars connected with such estate. This is the same as rent roll, from which it is said to be corrupted. company in Europe, Africa,
the Middle East and Asia, announces trading results for the six months
ended June June: see month. 30, 2001.Financial Highlights - Revenue up 8.6% toE 604.6m ($515.9m(a)) (up 10.2% to(pound)377.9m) - Underlying operating margin 0.9% lower due to fleet cost increases, predominantly in Germany - Operating profit before exceptional item slightly above prior year at E 99.3m ($84.7m) (up 1.2% to (pound)61.8m) - Profit before tax and exceptional item of E 64.4m ($55.0m; (pound)40.0m), E 3.9m lower, of which E 2.5m is due to the expected change in Centrus' (formerly 3 Arrows) margin - Earnings per share before exceptional items 4.6% lower at E 0.084 ($0.071) (3.8% lower at 5.2p) - Exceptional charge of E 3.6m ($3.0m; (pound)2.2m) relating to restructuring of yourautochoice.com interests - Interim dividend unchanged at 2.0p per share Operating highlights - Double-digit dou·ble-dig·it adj. Being between 10 and 99 percent: double-digit inflation. revenue growth in key markets except Germany Germany (jûr`mənē), Ger. Deutschland, officially Federal Republic of Germany, republic (2005 est. pop. 82,431,000), 137,699 sq mi (356,733 sq km). - Fleet cost actions beginning to show benefits - Revenue per rental up 6.6% - Formation of joint venture with Inchcape plc Inchcape plc (LSE: INCH) is a British based leading independent, international automotive retailer, with scale operations in Australia, Belgium, Greece, Hong Kong, Singapore and the UK. for vehicle re-marketing (see separate announcement) Commenting on the results Chairman Alun ALUN Assign Logical Unit Number ALUN Arithmetic and Logic Unit Cathcart Cathcart (Coille Chart in Gaelic) is an area of Glasgow between Mount Florida, King's Park, Muirend and Newlands. The River Cart flows through it. Originally part of the Burgh of Govan in Renfrewshire, most of the ancient parish was annexed by the City of Glasgow in said: "Despite extremely challenging market conditions, the Group continued to achieve double-digit revenue growth in key markets except Germany. The German market remains difficult and we continue to focus on improving yield, together with actions to further reduce costs. Underlying Group operating margins Operating Margin A ratio used to measure a company's pricing strategy and operating efficiency. Calculated by: remained strong and actions to contain fleet costs are beginning to deliver benefits. Revenue growth trends in the first half have continued into the peak months of July July: see month. and August, despite weakness in the US economy and slowing European European emanating from or pertaining to Europe. European bat lyssavirus see lyssavirus. European beech tree fagussylvaticus. European blastomycosis see cryptococcosis. GDP GDP (guanosine diphosphate): see guanine. growth. Although general economic uncertainty remains, we expect these levels of growth to continue for the balance of the year, assuming no further marked deterioration de·te·ri·o·ra·tion n. The process or condition of becoming worse. in the economic environment. (a) US Dollar equivalents are provided for reader convenience at the June 30, 2001 rate of $0.8533: 1 euro Chairman's Statement Interim Results for the six months ended June 30, 2001 Results overview The first half of 2001 was marked by a general slowing of economic growth in the US and across Europe. Against this challenging background, we achieved double-digit revenue growth across our key markets with the exception of Germany. Underlying operating margins remained strong, although the half year result was affected by fleet cost increases, predominantly pre·dom·i·nant adj. 1. Having greatest ascendancy, importance, influence, authority, or force. See Synonyms at dominant. 2. in Germany, and the impact of the margin change at Centrus (formerly 3 Arrows ar·row n. 1. A missile having a straight thin shaft with a pointed head at one end and often flight-stabilizing vanes at the other, meant to be shot from a bow. 2. ). During the six months to June 30, 2001, Group revenue grew by 8.6% versus prior year to E 604.6 million (up 10.2% to (pound)377.9 million). Operating profit Operating profit (or loss) Revenue from a firm's regular activities less costs and expenses and before income deductions. operating profit See operating income. before exceptional item was just above prior year at E 99.3 million (up 1.2% to (pound)61.8 million). As a result of higher interest charges, profit before tax and exceptional item was 5.7% lower at E 64.4 million (4.9% lower at (pound)40.0 million) and earnings per share before exceptional items were 4.6% lower at E 0.084 (3.8% lower at 5.2p). Dividend The Directors have declared de·clare v. de·clared, de·clar·ing, de·clares v.tr. 1. To make known formally or officially. See Synonyms at announce. 2. To state emphatically or authoritatively; affirm. 3. an interim dividend of 2.0p per share for the six month period ended June 30, 2001. The dividend will be paid on October October: see month. 4, 2001 to shareholders on the register at the close of business on September September: see month. 14, 2001. Double-digit revenue growth in key markets except Germany Group revenues grew by 8.6% in euro and 10.2% in sterling during the six months to June 30, 2001. As expected, slower economic growth in Europe and the US led to more modest growth of 5.1% in billed days, whilst a continued focus on pricing and yield strategies generated strong pricing gains. Revenue per rental was up a healthy 6.6% as a result of a 3.3% increase in rate per day and a 3.2% increase in rental length. Within its major markets the Group achieved double-digit revenue growth in France, Italy Italy (ĭt`əlē), Ital. Italia, officially Italian Republic, republic (2005 est. pop. 58,103,000), 116,303 sq mi (301,225 sq km), S Europe. , Spain Spain, Span. España (āspä`nyä), officially Kingdom of Spain, constitutional monarchy (2005 est. pop. 40,341,000), 194,884 sq mi (504,750 sq km), including the Balearic and Canary islands, SW Europe. and the UK. In France, revenue grew by 12% with the strongest gains in the Premium and Leisure segments. In Italy, revenue increased by 14% with a particularly strong increase from inbound in·bound 1 adj. Bound inward; incoming: inbound commuter traffic. Adj. 1. inbound customers and similarly revenue was up 13% in Spain, with significant growth in the Replacement and Premium segments. Despite the impact of the foot and mouth crisis on domestic and inbound traffic Traffic originating in an area outside the continental United States destined for or moving in the general direction of the continental United States. to the UK, revenues increased by 11% as a result of management actions to gain new Replacement business and focus on the Corporate sector. Against the background of a significant slowdown For articles with similar titles, see Slow Down (disambiguation). A slowdown is an industrial action in which employees perform their duties but seek to reduce productivity or efficiency in their performance of these duties. in business activity in Germany, as well as continuing weakness in the Replacement segment and a sharp rise in fleet costs to the rental industry, we have placed particular focus on strategies to realize increased yield in preference to volume growth. As a result, during the period we achieved a 16% increase in rate per day. Volumes declined 16% following exceptionally strong growth in the same period last year. Measured over a three-year period, volume and revenue growth have been 18% and 42% respectively. Conditions in the German market remain weak and we continue to pursue strategies to consolidate Consolidate To combine the assets, liabilities, and other financial items of two or more entities into one. Notes: This term is generally used in the context of consolidated financial statements. our market position, optimize optimize - optimisation yield and reduce the cost base. Balanced growth across all customer segments We have continued to pursue a strategy of balanced growth across all customer segments, with Leisure up 8%, Replacement 6%, Corporate 10% and Premium 9%. Intra-European leisure business was strong, particularly from the UK into key destinations such as Spain and Greece Greece, Gr. Hellas or Ellas, republic (2005 est. pop. 10,668,000), 50,944 sq mi (131,945 sq km), SE Europe. It occupies the southernmost part of the Balkan Peninsula and borders on the Ionian Sea in the west, on the Mediterranean Sea in the south, on . US inbound volumes, which account for approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. 10% of Group revenues, declined 10% particularly affecting Q2, due to the slowdown in the US economy although revenues from US customers in the first half were 6% ahead of prior year. Replacement volumes in Italy, Spain and the UK were boosted by the successful development of new accounts gained during 2000. Corporate revenue grew strongly in all major markets as a result of price increases in light of higher fleet costs for the industry and our strategies to optimize yield. Margin impacted by fleet cost increases and Centrus Operating profit before exceptional item was E 99.3 million (+0.2% in euro and +1.2% in sterling to (pound)61.8 million). Operating margins were 1.4 percentage points lower than the same period last year. Higher than average fleet cost increases in Germany impacted Group margin performance, although this was partially offset by a 0.6 percentage point improvement in staff costs as well as cost efficiency actions to further reduce overheads across the Group. A margin reduction of 0.5% was attributable attributable emanating from or pertaining to attribute. attributable proportion see attributable risk (below). attributable risk to the change in Centrus' margin as the business adjusted to the new operating model Operating Model is a term that is used in many contexts. In essence an operating model describes how an organization operates across both business and technology domains. The Operating Model describes what is important for the organization. following last year's House of Lords House of Lords: see Parliament. ruling on rates which the credit hire industry can charge for replacement vehicles to non-fault accident victims. Fleet initiatives begin to realize benefits A number of initiatives to contain increases in fleet costs were successfully progressed in the first half of the year and are beginning to show benefits. Vehicle utilization utilization, n 1. the extent to which a given group uses a particular service in a specified period. Although usually expressed as the number of services used per year per 100 or per 1000 persons eligible for the service, utilization rates may be (the time the vehicle is on rent and earning revenue) increased by 1.5% to 68.0%, generating over E 2 million profit improvement. This was achieved through a longer rental length business mix and operational successes in further reducing the time vehicles are idle between rentals, notably in Italy and the UK. Despite continued increases in rectification rectification /rec·ti·fi·ca·tion/ (rek?ti-fi-ka´shun) 1. the act of making straight, pure, or correct. 2. redistillation of a liquid to purify it. costs, investment in additional staff, particularly in France and Italy, to focus on damage recoveries generated significant savings. Group recoveries were up over 10%, generating a further E 2 million profit improvement. Continued focus on utilization improvement and damage recovery initiatives is expected to drive further savings across the Group for the full year. Continued focus on cost control Underlying productivity in the first half was flat, reflecting growth in the number of rentals during the period of less than 2%. However, reported productivity was 2.7% lower due to completion of the structural change to operate the legal requirement for a 35 hour working week in France as well as discretionary manpower investment to achieve fleet efficiencies. Headcount head count or head·count n. 1. The act of counting people in a particular group. 2. The number of people counted in this way. Noun 1. reductions in Q2 in both the German and Group headquarters will contribute to improved productivity for the second half. Overall staff costs reduced by 0.6 percentage points of revenue. Higher interest expense Higher net interest expense, up 13.2%, reflected an increase in average interest rates from 5.3% to 5.5% due to a higher proportion of longer term fixed debt, together with funding for additional fleet in the build-up build·up also build-up n. 1. The act or process of amassing or increasing: a military buildup; a buildup of tension during the strike. 2. to the peak summer season. Strategic development of internet-based car sales In July 2000, the Group launched yourautochoice.com, an on-line nearly-new car sales service, designed to increase yield on the sale of Avis vehicles and to play a role in the evolving market for internet-based car sales. In view of its potential strategic importance to Avis in helping contain fleet cost increases and as a result of developments in the internet-based market, we are combining forces with Inchcape plc to offer more effective used car sourcing for dealers and customers. The B2C (Business to Consumer) Refers to a business communicating with or selling to an individual rather than a company. See B2B. activities of yourautochoice.com will be merged with Autobytel Autobytel, Inc. NASDAQ: ABTL is an Irvine, California, company and the largest online automotive marketplaces. Autobytel owns and operates websites including Autobytel.com, myRide.com, Autoweb.com, CarSmart.com, Car.com, and CarTV.com which facilitate car-shopping decisions. UK, an Inchcape
B2B - business to business joint venture, Autocascade, will be formed as a 50/50 joint venture with Inchcape plc directly. Autocascade will offer remarketing systems and services to the automotive industry The automotive industry is the industry involved in the design, development, manufacture, marketing, and sale of motor vehicles. In 2006, more than 69 million motor vehicles, including cars and commercial vehicles were produced worldwide. . This will enable fleet owners, including ourselves, to maximize In a graphical environment, to enlarge a window to the full size of the screen. See Win Maximize windows. yield on vehicle disposals through higher residual values Residual value Usually refers to the value of a lessor's property at the time the lease expires. residual value The price at which a fixed asset is expected to be sold at the end of its useful life. and lower distribution costs distribution costs distribute npl → Vertriebskosten pl . Autocascade is designed to leverage the significant development potential of the B2B market - initially in the UK, but with plans for European expansion. The exceptional charge of E 3.6 million relates to yourautochoice.com and restructuring restructuring - The transformation from one representation form to another at the same relative abstraction level, while preserving the subject system's external behaviour (functionality and semantics). of our interests in the on-line remarketing of motor vehicles. Centrus (3 Arrows) Our 3 Arrows subsidiary, which accounts for approximately 4% of Group revenues, was repositioned earlier this year to operate within the Association of British Insurers third party hire initiative which provides a framework for the services charged at lower rates but faster settlement. Following agreements reached earlier this year, the detailed process of settlement of historic debt is progressing and levels are expected to reduce significantly by the end of the year. Recently rebranded Centrus, a number of major new accounts were secured during the first half and trends in monthly hire starts have increased an average of 37% in the 3 months to end August 2001. Summary and outlook "Despite extremely challenging market conditions, the Group continued to achieve double-digit revenue growth in key markets except Germany. The German market remains difficult and we continue to focus on improving yield, together with actions to further reduce costs. Underlying Group operating margins remained strong and actions to contain fleet costs are beginning to deliver benefits. Revenue growth trends in the first half have continued into the peak months of July and August, despite weakness in the US economy and slowing European GDP growth. Although general economic uncertainty remains, we expect these levels of growth to continue for the balance of the year, assuming no further marked deterioration in the economic environment. Avis Europe plc rents cars under the Avis brand name to customers in 112 countries. Avis Europe's ordinary shares trade on the London Stock Exchange London Stock Exchange London marketplace for securities. It was formed in 1773 by a group of stockbrokers who had been doing business informally in local coffeehouses. . Prices may be accessed on Bloomberg Bloomberg A major global provider of 24-hour financial news and information including real-time and historic price data, financials data, trading news and analyst coverage, as well as general news and sports. under the symbol AVE LN and Reuter Reu·ter , Baron Paul Julius von 1816-1899. German-born British journalist who founded (1848) Reuter's, one of the first international news agencies. Equities 3000 Service under AVE.L. Additional information is available on Avis Europe's internet site: www.avis-europe.com.
AVIS EUROPE PLC
Consolidated Profit and Loss Account
Six months to Six months to Six months to
June 30, June 30, June 30,
Notes 2001 2001 2001
$'000 euro'000 (pound)'000
Revenue 515,871 604,563 377,857
Cost of sales (258,525) (302,972) (189,403)
Gross profit 257,346 301,591 188,454
Administrative
expenses
(including
exceptional item) (172,631) (202,311) (126,608)
Operating profit
before exceptional
item 84,715 99,280 61,846
Exceptional item - - -
Operating profit 84,715 99,280 61,846
Share of start-up
costs from joint
venture (3,043) (3,566) (2,208)
Interest payable (net) (29,762) (34,879) (21,806)
Profit on ordinary
activities before
taxation
and exceptional items 54,953 64,401 40,040
Exceptional items 2 (3,043) (3,566) (2,208)
Profit on ordinary
activities before
taxation 51,910 60,835 37,832
Taxation (12,451) (14,592) (9,078)
Profit on ordinary
activities after
taxation 39,459 46,243 28,754
Minority interests
- equity (113) (132) (82)
Profit for the year
before exceptional
items 41,659 48,821 30,349
Exceptional items (2,313) (2,710) (1,677)
Profit for the year 39,346 46,111 28,672
Dividends 3 (16,204) (18,990) (11,697)
Retained profit
for the year 23,142 27,121 16,975
Earnings per share
Basic 4 6.7c E 0.079 4.91p
Diluted 4 6.7c E 0.079 4.90p
Pre-exceptional items 4 7.1c E 0.084 5.20p
Consolidated Statement
of Total Recognized
Gains and Losses
Profit for the period 39,346 46,111 28,672
Exchange adjustments 1,239 1,452 477
Taxation on
exchange adjustments (276) (324) (266)
Total recognized
gains and losses 40,309 47,239 28,883
Six months to Six months to Six months to
June 30, June 30, June 30,
Notes 2000 2000 2000
$'000 euro'000 (pound)'000
Revenue 515,106 556,608 342,924
Cost of sales (245,367) (265,290) (163,349)
Gross profit 269,739 291,318 179,575
Administrative
expenses
(including
exceptional item) (188,796) (204,269) (125,689)
Operating profit
before exceptional
item 91,783 99,091 61,103
Exceptional item (10,840) (12,042) (7,217)
Operating profit 80,943 87,049 53,886
Share of start-up
costs from joint
venture - - -
Interest payable (net) (28,517) (30,820) (18,985)
Profit on ordinary
activities before
taxation
and exceptional items 63,267 68,271 42,118
Exceptional items 2 (10,841) (12,042) (7,217)
Profit on ordinary
activities before
taxation 52,426 56,229 34,901
Taxation (13,106) (14,057) (8,725)
Profit on ordinary
activities after
taxation 39,320 42,172 26,176
Minority interests
- equity (60) (64) (40)
Profit for the year
before exceptional
items 47,389 51,139 31,548
Exceptional items (8,129) (9,031) (5,412)
Profit for the year 39,260 42,108 26,136
Dividends 3 (17,558) (18,586) (11,689)
Retained profit
for the year 21,702 23,522 14,447
Earnings per share
Basic 4 6.8c E 0.072 4.48p
Diluted 4 6.8c E 0.072 4.45p
Pre-exceptional items 4 8.1c E 0.088 5.41p
Consolidated Statement
of Total Recognized
Gains and Losses
Profit for the period 39,260 42,108 26,136
Exchange adjustments (2,917) (3,498) (1,942)
Taxation on
exchange adjustments - - -
Total recognized
gains and losses 36,343 38,610 24,194
(a) US Dollar equivalents are provided for reader convenience at
the June 30, 2001 rate of $0.8533 = 1 euro
AVIS EUROPE PLC
Consolidated Balance Sheet
As at June 30, As at June 30, As at June 30,
2001 2001 2001
$'000 euro'000 (pound)'000
Intangible assets
Goodwill 61,121 71,629 43,697
Fixed assets
Tangible assets
- vehicles 1,434,630 1,681,280 1,025,657
- other 58,742 68,841 41,997
1,493,372 1,750,121 1,067,654
Investments 2,754 3,228 1,969
1,496,126 1,753,349 1,069,623
Current assets
Debtors 573,288 671,851 409,860
Investments 423 496 303
Cash at bank 34,117 39,983 24,391
607,828 712,330 434,554
Creditors falling
due within one year
Bank and other loans (670,803) (786,131) (479,576)
Other creditors (1,082,135) (1,268,183) (773,652)
(1,752,938) (2,054,314) (1,253,228)
Net current
liabilities (1,145,110) (1,341,984) (818,674)
Total assets less
current liabilities 412,137 482,994 294,646
Creditors falling due
after more than one year
Bank and other loans (252,363) (295,751) (180,422)
Other creditors (35,255) (41,316) (25,205)
(287,618) (337,067) (205,627)
Provisions for
liabilities and
charges (69,777) (81,774) (49,886)
54,742 64,153 39,133
Capital and reserves
Called-up share capital 6,884 8,067 5,848
Share premium 745,461 873,625 633,297
Profit and loss account (698,205) (818,245) (600,442)
Total shareholders'
funds - equity 54,140 63,447 38,703
Minority interests -
equity 602 706 430
54,742 64,153 39,133
As at June 30, As at June 30, As at June 30,
2000 2000 2000
$'000 euro'000 (pound)'000
Intangible assets
Goodwill 67,703 72,300 45,072
Fixed assets
Tangible assets
- vehicles 1,452,398 1,551,024 966,912
- other 51,266 54,748 34,130
1,503,664 1,605,772 1,001,042
Investments 2,453 2,619 1,633
1,506,117 1,608,391 1,002,675
Current assets
Debtors 508,019 542,515 338,205
Investments 3,148 3,362 2,096
Cash at bank 36,475 38,953 24,283
547,642 584,830 364,584
Creditors falling due
within one year
Bank and other loans (464,044) (495,557) (308,931)
Other creditors (1,190,043) (1,270,854) (792,253)
(1,654,087) (1,766,411) (1,101,184)
Net current liabilities (1,106,445) (1,181,581) (736,600)
Total assets less
current liabilities 467,375 499,110 311,147
Creditors falling due
after more than one year
Bank and other loans (344,319) (367,700) (229,225)
Other creditors (46,684) (49,854) (31,079)
(391,003) (417,554) (260,304)
Provisions for
liabilities and charges (65,977) (70,457) (43,923)
10,395 11,099 6,920
Capital and reserves
Called-up share capital 8,778 8,060 5,844
Share premium 950,063 872,390 632,490
Profit and loss account (949,387) (870,354) (632,040)
Total shareholders'
funds - equity 9,454 10,096 6,294
Minority interests -
equity 941 1,003 626
10,395 11,099 6,920
(a) US Dollar equivalents are provided for reader convenience at
the June 30, 2001 rate of $0.8533 = 1 euro
AVIS EUROPE PLC
Consolidated Cash Flow Statement
Six months to Six months to Six months to
June 30, June 30, June 30,
2001 2001 2001
$'000 euro'000 (pound)'000
Net cash inflow from
operating activities 455,233 533,500 333,208
Dividends received from
associated undertakings - - -
Returns on investments
and servicing of finance
Interest received 1,505 1,764 1,097
Interest paid (27,736) (32,504) (20,126)
Interest element of
finance lease rental
payments (6,754) (7,915) (4,955)
(32,985) (38,655) (23,984)
Taxation (7,501) (8,791) (5,317)
Capital expenditure and
financial investment
Purchase of tangible
fixed assets (1,128,650) (1,322,694) (827,712)
Sale of tangible fixed assets 929,631 1,089,459 681,605
Sale of fixed asset investments 44 51 31
Acquisition of own shares - - -
(198,975) (233,184) (146,076)
Acquisitions and disposals
Purchase of subsidiary
undertaking - - -
Equity dividends paid (30,560) (35,814) (22,220)
Management of liquid resources
Sale/(purchase) of current
asset investments 2,845 3,334 2,037
Cash withdrawn from
short-term deposit 8,788 10,299 6,441
11,633 13,633 8,478
Financing
Issue of ordinary share capital 166 194 121
Repayment of capital
element of finance leases (327,117) (383,357) (240,513)
Increase in short term loans 232,797 272,821 172,184
(Decrease)/increase in
long term loans (89,835) (105,280) (66,092)
(183,989) (215,622) (134,300)
Increase/(decrease) in cash 12,856 15,067 9,789
Six months to Six months to Six months to
June 30, June 30, June 30,
2000 2000 2000
$'000 euro'000 (pound)'000
Net cash inflow from
operating activities 352,349 380,206 234,571
Dividends received from
associated undertakings 437 466 291
Returns on investments
and servicing of finance
Interest received 963 1,039 641
Interest paid (26,371) (28,509) (17,556)
Interest element of
finance lease rental
payments (7,707) (8,330) (5,131)
(33,115) (35,800) (22,046)
Taxation (13,379) (14,409) (8,907)
Capital expenditure and
financial investment
Purchase of tangible
fixed assets (1,008,302) (1,102,569) (671,261)
Sale of tangible fixed assets 931,125 1,017,166 619,882
Sale of fixed asset investments - - -
Acquisition of own shares (2,352) (2,491) (1,566)
(79,529) (87,894) (52,945)
Acquisitions and disposals
Purchase of subsidiary
undertaking (8,915) (9,512) (5,935)
Equity dividends paid (31,535) (35,058) (20,994)
Management of liquid resources
Sale/(purchase) of current
asset investments (629) (651) (419)
Cash withdrawn from
short-term deposit 2,631 2,722 1,752
2,002 2,071 1,333
Financing
Issue of ordinary share capital 3,042 3,261 2,025
Repayment of capital
element of finance leases (339,125) (366,173) (225,767)
Increase in short term loans 114,833 124,017 76,448
(Decrease)/increase in
long term loans 28,146 33,570 18,738
(193,104) (205,325) (128,556)
Increase/(decrease) in cash (4,789) (5,255) (3,188)
(a) US Dollar equivalents are provided for reader convenience at
the June 30, 2001 rate of $0.8533 = 1 euro
AVIS EUROPE PLC NOTES TO THE FINANCIAL STATEMENTS Notes to the financial statements A detailed set of notes immediately following the financial statements in an annual report that explain and expand on the information in the financial statements. NOTE 1 Basis of Preparation The interim financial statements are unaudited and do not constitute statutory accounts within the meaning of section 240 of the Companies Act 1985. They have been prepared on the basis of the accounting policies set out in the Group's 2000 Annual Report and Accounts, except for the adoption in the period of FRS FRS abbr. Fellow of the Royal Society FRS, n “flexed rotated side-bent,” an osteopathic abbreviation used to describe vertebral position in cases of spinal dysfunction. 18, Accounting Policies, which had no material impact on the financial statements. The statutory accounts for the year ended December December: see month. 31, 2000 have been delivered to the Registrar of Companies The introduction to this article provides insufficient context for those unfamiliar with the subject matter. Please help [ improve the introduction] to meet Wikipedia's layout standards. You can discuss the issue on the talk page. and carry an audit report which was unqualified and did not contain a statement under either Section 237(2) or 237(3) of the Companies Act 1985.
NOTE 2 Exceptional items
2001 2001 2001
$'000 euro'000 (pound)'000
Administrative expenses - - -
Share of joint venture losses
(including provision for loss
disposal) 3,043 3,566 2,208
3,043 3,566 2,208
2000 2000 2000
$'000 euro'000 (pound)'000
Administrative expenses 10,841 12,042 7,217
Share of joint venture losses
(including provision for loss
disposal) - - -
10,841 12,042 7,217
Exceptional administrative expenses incurred in the prior year related primarily to provisions for potentially irrecoverable debts held by Centrus Limited (formerly 3 Arrows Limited), a UK subsidiary of the Company, together with related costs. No additional exceptional expenses have been accrued ac·crue v. ac·crued, ac·cru·ing, ac·crues v.intr. 1. To come to one as a gain, addition, or increment: interest accruing in my savings account. 2. in the accounts for the six-month period to June 30, 2001. The share of joint venture losses (including provision for loss on disposal) relates to the Group's investment in yourautochoice.com Limited. The Group has restructured its interests so that first, yourautochoice.com Limited transferred its trade and assets to Autobytel UK Limited in exchange for a 10% interest in that company and, secondly, yourautochoice.com Limited acquired a 50% joint venture interest in a new company set up to exploit the opportunities in business to business car sales. As a consequence, the Group has recorded a loss, in these financial statements, of E 1800,000 ((pound)1115,000), to reflect the write down of the investment to the value attributable to the Group at the balance sheet date. This loss, along with the result for the period, has been treated as an exceptional item. During the period, yourautochoice.com Limited had a turnover of E 1476,000 ((pound)923,000) (six months to June 30, 2000: nil).
NOTE 3 Dividends
2001 2001 2001
$'000 euro'000 (pound)'000
Dividend per ordinary share
Interim dividend of E 0.032
(2.0p) (2000:E 0.032 (2.0p)) 16,204 18,990 11,697
2000 2000 2000
$'000 euro'000 (pound)'000
Dividend per ordinary share
Interim dividend of E 0.032
(2.0p) (2000:E 0.032 (2.0p)) 17,558 18,586 11,689
NOTE 4 Earnings per Share
2001 2001 2001
$'000 euro'000 (pound)'000
Profit for the year
Basic and diluted
earnings per share 39,346 46,111 28,672
Centrus Limited provisions for
irrecoverable debts and
related costs - - -
Share of start-up costs
from yourautochoice.com 3,043 3,566 2,208
Taxation on adjusting items (730) (856) (530)
Adjusted profit pre-exceptional
items 41,659 48,821 30,350
Weighted average number of
ordinary shares in issue
Basic earnings per share 583,819,166 583,819,166 583,819,166
Diluted earnings per share 584,853,920 584,853,920 584,853,920
Earnings per share
Basic earnings per share 6.7c E 0.079 4.91p
Diluted earnings per share 6.7c E 0.079 4.90p
Pre-exceptional items 7.1c E 0.084 5.20p
2000 2000 2000
$'000 euro'000 (pound)'000
Profit for the year
Basic and diluted
earnings per share 39,260 42,108 26,136
Centrus Limited provisions for
irrecoverable debts and
related costs 10,841 12,042 7,217
Share of start-up costs
from yourautochoice.com - - -
Taxation on adjusting items (2,711) (3,011) (1,805)
Adjusted profit pre-exceptional
items 47,389 51,139 31,548
Weighted average number of
ordinary shares in issue
Basic earnings per share 583,581,671 583,581,671 583,581,671
Diluted earnings per share 587,067,543 587,067,543 587,067,543
Earnings per share
Basic earnings per share 6.8c E 0.072 4.48p
Diluted earnings per share 6.8c E 0.072 4.45p
Pre-exceptional items 8.1c E 0.088 5.41p
|
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion