Tate & Lyle Announces Interim Results for the Six Months Ended September 30, 2004.LONDON London, city, Canada London, city (1991 pop. 303,165), SE Ont., Canada, on the Thames River. The site was chosen in 1792 by Governor Simcoe to be the capital of Upper Canada, but York was made capital instead. London was settled in 1826. -- In the first column of the first table, the figure for "Profit before taxation" should read: $147m (sted GBP GBP In currencies, this is the abbreviation for the British Pound. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 147m). The corrected release reads: TATE Tate , (John Orley) Allen 1899-1979. American writer and editor. A leading exponent of New Criticism, he edited the Sewanee Review (1944-1946) and is known especially for his poetry, including "Ode to the Confederate Dead" (1926). & LYLE Lyle may refer to:
Tate & Lyle PLC, a world leader in renewable ingredients, today announced interim results for the six months ended September 30, 2004.
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INTERIM RESULTS TO SEPTEMBER 30 2004 2004 2003
$ million GBP GBP
(1) million million
----------------------------------------------------------------------
Profit before tax, amortization and
exceptional items (2) $235m GBP 130m GBP 119m
Profit before taxation $147m GBP 81m GBP 111m
Diluted earnings per share before
amortization and exceptional items 34.6 cents 19.1p 17.7p
Diluted earnings per share 22.3 cents 12.3p 16.3p
Interim dividend per share 10.3 cents 5.7p 5.6p
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(1) US dollar conversions provided at the average rate for the period
of $1.81 = GBP 1
(2) Before net exceptional charges of GBP 42 million ($76 million)
(2003 - charges of GBP 4 million) and amortization of GBP 7
million ($13 million) (2003 - GBP 4 million)
--Profit before tax, amortization and exceptional items of GBP 130 million ($235 million) up 9.2% as reported and up 16.0% at constant exchange rates --Exceptional growth in SPLENDA(R) Sucralose sucralose: see sweetener, artificial. since April 2004 realignment re·a·lign tr.v. re·a·ligned, re·a·lign·ing, re·a·ligns 1. To put back into proper order or alignment. 2. To make new groupings of or working arrangements between. --GBP 97 million ($176 million) construction of second sucralose plant announced --Better than expected performance from Amylum am·y·lum n. See starch. due to lower cereal cereal or grain Any grass yielding starchy seeds suitable for food. The most commonly cultivated cereals are wheat, rice, rye, oats, barley, corn, and sorghum. As human food, cereals are usually marketed in raw grain form or as ingredients of food products. prices --Profit before interest, amortization and exceptional items / sales margin increased from 8.0% to 8.5% --Interest cover increased from 8.5 times to 13.6 times --Annualised RONOA RONOA Return on Net Operating Assets RONOA Return on Non Operational Assets (less common) of 17.0% --Interim dividend increased by 0.1p (0.2 cents) to 5.7p (10.3 cents) per share "We have made an excellent start to the financial year. With the exception of Amylum, trading in all major businesses is ahead of the corresponding period. Whilst results at Amylum are lower they have exceeded our expectations as cereal prices in 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). returned to levels
similar to those before last year's dramatic increase. The
realignment of our sucralose business, and the exciting growth
experienced subsequently, has improved total profitability.In the second half of this financial year higher energy costs and the outcome of the annual pricing negotiations at Staley Staley may refer to: People
Sir David Lees Iain Ferguson CBE Chairman Chief Executive An interim statement incorporating the Group profit and loss account for the six months ended September 30, 2004 will be posted to shareholders shortly, and will be obtainable from The Company Secretary, Tate & Lyle PLC, Sugar Quay QUAY, estates. A wharf at which to load or land goods, sometimes spelled key. 2. In its enlarged sense the word quay, means the whole space between the first row of houses of a city, and the sea or river 5 L. R. 152, 215. , Lower Thames Thames, river, Canada Thames (tĕmz), river, c.160 mi (260 km) long, rising NW of Woodstock, S Ont., Canada, and flowing SW past London and Chatham to Lake St. Clair. Street, London EC3R 6DQ. SPLENDA(R) is a trademark of McNeil Nutritionals McNeil Nutritionals, LLC is a division of Johnson & Johnson, and sells a range of products including Viactiv and the branded sucralose sweetener Splenda. It is based in Fort Washington, PA, USA. , LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control STATEMENT OF INTERIM RESULTS Comparisons are with the six months to September 30, 2003 unless stated otherwise. Overview Profit before tax, amortization and exceptional items for the six months to September 30, 2004 was GBP 130 million ($235 million), GBP 11 million ($20 million) better than that achieved in the corresponding period. At constant exchange rates this represented a 16.0% improvement (after adjusting for the GBP 8 million adverse impact of exchange translation).(3) Overall trading has exceeded our expectations. In particular we have benefited from exceptional growth in sucralose and a faster decline in European European emanating from or pertaining to Europe. European bat lyssavirus see lyssavirus. European beech tree fagussylvaticus. European blastomycosis see cryptococcosis. cereal prices than anticipated; the latter leading to a better performance from Amylum than we had expected. Interest cover improved from 8.5 times to 13.6 times and the profit before interest, amortization and exceptional items over sales margin improved from 8.0% to 8.5%. At 17.0% the annualised return on net operating assets Operating Assets Another term for working capital. (RONOA) represented a significant improvement over the corresponding period (15.9% - see notes 9 and 11). We announced the realignment of our SPLENDA(R) Sucralose activities with McNeil Nutritionals in February February: see month. 2004. The main elements of the transaction were as follows: --The cash price of GBP 72 million (US$129 million) was paid in April 2004. The terms of the realignment reflected, inter alia [Latin, Among other things.] A phrase used in Pleading to designate that a particular statute set out therein is only a part of the statute that is relevant to the facts of the lawsuit and not the entire statute. , that both parties would continue to participate in the success of each other's business. --Tate & Lyle became the sole manufacturer of sucralose and sells SPLENDA(R) Sucralose as an ingredient
An ingredient is something that forms part of a mixture (in a general sense). to food and beverage F&B is a common abbreviation in the United States and Commonwealth countries, including Hong Kong. F&B is typically the widely accepted abbreviation for "Food and Beverage," which is the sector/industry that specializes in the conceptualization, the making of, and delivery of foods. companies worldwide. --McNeil Nutritionals buys sucralose from Tate & Lyle and sells SPLENDA(R) Brand tabletop products worldwide. --The accounting treatment of the SPLENDA(R) Sucralose realignment is shown below. Subsequently we have announced two expansions to the Alabama Alabama, indigenous people of North America Alabama (ăləbăm`ə), indigenous people of North America whose language belongs to the Muskogean branch of the Hokan-Siouan linguistic stock (see Native American languages). sucralose plant that will, by completion in April 2006, more than double the original capacity at a cost of GBP 42 million (US$75 million). We have also announced our decision to construct a second plant in Singapore Singapore (sĭng`gəpôr, sĭng`ə–, sĭng'gəpôr`), officially Republic of Singapore, republic (2005 est. pop. 4,426,000), 240 sq mi (625 sq km). at a cost of GBP 97 million (US$175 million), to be completed by January January: see month. 2007. When completed the Singapore plant will have two-thirds the capacity of the expanded Alabama facility. In July July: see month. we announced that Staley had reached agreement to end the long running high fructose fructose (frŭk`tōs), levulose (lĕv`yəlōs'), or fruit sugar, simple sugar found in honey and in the fruit and other parts of plants. corn syrup corn syrup Sweet syrup produced by breaking down (hydrolyzing) cornstarch (a product of corn). Corn syrup contains dextrins, maltose, and dextrose and is used in baked goods, jelly and jam, and candy. civil legal case in the US with the payment of total damages of GBP 56 million ($100 million). This has resulted in an exceptional charge to the profit and loss account. Staley denies emphatically em·phat·ic adj. 1. Expressed or performed with emphasis: responded with an emphatic "no." 2. Forceful and definite in expression or action. 3. involvement in any wrongdoing wrong·do·er n. One who does wrong, especially morally or ethically. wrong  do , but settled with
great reluctance to ensure an end to this lengthy action, and to avoid
the risk and uncertainty that a US jury trial would have involved.The Board has 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 5.7p (10.3 cents) per share, an increase of 0.1p (0.2 cents) (1.8%). This will be paid on January 11, 2005 to shareholders registered on December December: see month. 3, 2004. Results for the six months to September 30, 2004 Sales were GBP 1,666 million ($3,015 million) (GBP 1,663 million). Exchange translation reduced sales by GBP 126 million ($228 million), sucralose added GBP 62 million ($112 million) and underlying sales grew by 4.0%. Profit before interest and exceptional items was GBP 142 million ($257 million) (GBP 133 million) before a GBP 7 million ($13 million) (GBP 4 million) charge for amortization of goodwill and intangible assets Intangible Asset An asset that is not physical in nature. Notes: Examples are things like copyrights, patents, intellectual property, and goodwill. These are the opposite of tangible assets. . Exchange translation reduced profit before interest by GBP 9 million ($16 million). The margin of profit before interest, amortization and exceptional items to sales improved to 8.5% (8.0%). The net interest charge of GBP 12 million ($22 million) (GBP 14 million) benefited from lower interest rates. Exchange translation reduced the interest charge by GBP 1 million ($2 million). Profit before tax, amortization and exceptional items was GBP 130 million ($235 million) (GBP 119 million). Exchange translation reduced profit before tax by GBP 8 million ($14 million) (GBP 2 million). Profit before tax was GBP 81 million ($147 million) (GBP 111 million). The net charge for exceptional items of GBP 42 million ($76 million) (GBP 4 million) consists of the charge of GBP 56 million ($100 million) in respect of the settlement of the high fructose corn syrup class action suit in the US, together with GBP 2 million (GBP 4 million) in respect of loss on sale or termination The point where a line, channel or circuit ends. See SCSI termination and hybrid. of businesses, offset by a credit to the profit and loss account of GBP 16 million ($30 million) following settlement of the remaining balance due on the loan note issued by the purchaser of Western Sugar. The effective rate of tax on profit before amortization and exceptional items was 28.8% (year to March 31, 2004, 29.0%). Diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of before amortization and exceptional items were 19.1p (34.6 cents) (17.7p), and after exceptional items and amortization were 12.3p (22.3 cents) (16.3p). 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 depreciation of tangible Possessing a physical form that can be touched or felt. Tangible refers to that which can be seen, weighed, measured, or apprehended by the senses. A tangible object is something that is real and substantial. An automobile is an example of tangible Personal Property. fixed assets fixed assets npl → activo sg fijo fixed assets npl → immobilisations fpl fixed assets fix npl → and amortization of goodwill and intangible assets provided cash flow of GBP 181 million ($328 million) (GBP 162 million). Operating cash inflow in·flow n. 1. The act or process of flowing in or into: an inflow of water; an inflow of information. 2. was GBP 72 million ($130 million) (GBP 156 million) after the operating exceptional item of GBP 56 million ($100 million) (GBP nil). The working capital outflow Capital outflow is an economic term describing capital flowing out of (or leaving) a particular economy. Outflowing capital can be caused by any number of economic or political reasons but can often originate from instability in either sphere. of GBP 53 million ($96 million) was higher than normal and mainly reflects payments against provisions and margin deposits on raw materials. Capital expenditure totalled GBP 51 million ($92 million) (GBP 53 million) and investment expenditure totalled GBP 81 million ($147 million) (GBP 15 million). The latter included the cost of the realignment of the sucralose activities and investment into the DuPont Dupont, DuPont, Du Pont, or du Pont may refer to: Companies
pref. 1. Life; living organism: biology. 2. Biology; biological: biophysics. bio- word element. [Gr.] life, living. 3G joint venture. Since March 31, 2004 net debt has increased by GBP 142 million ($257 million) to GBP 530 million ($959 million). Segmental segmental /seg·men·tal/ (seg-men´t'l) 1. pertaining to or forming a segment or a product of division, especially into serially arranged or nearly equal parts. 2. undergoing segmentation. Analysis of Profit before Interest and Exceptional Items Americas A·mer·i·cas , the See America. Profits in the segment were GBP 82 million ($148 million), GBP 24 million ($43 million) better than in the comparative period despite exchange translation which reduced profits by GBP 6 million ($11 million). The contribution from SPLENDA(R) Sucralose was GBP 25 million ($45 million) and this is reported in the Americas segment for the first time. Profits for Staley were higher in dollar terms. Good growth has been seen in value added Value Added The enhancement a company gives its product or service before offering the product to customers. Notes: This can either increase the products price or value. food ingredients and industrial products. Ethanol ethanol (ĕth`ənōl') or ethyl alcohol, CH3CH2OH, a colorless liquid with characteristic odor and taste; commonly called grain alcohol or simply alcohol. has also performed strongly on higher gasoline gasoline or petrol, light, volatile mixture of hydrocarbons for use in the internal-combustion engine and as an organic solvent, obtained primarily by fractional distillation and "cracking" of petroleum, but also obtained from natural gas, by prices in the US. Sweeteners gross margins were lower and industry high fructose corn syrup volumes are estimated to be slightly down. Net corn costs were higher with by-product by·prod·uct or by-prod·uct n. 1. Something produced in the making of something else. 2. A secondary result; a side effect. by-product Noun 1. prices tending to follow the corn price (which had increased sharply earlier in the year but has subsequently declined). The improvement in citric acid citric acid or 2-hydroxy-1,2,3-propanetricarboxylic acid, HO2CCH2C(OH)(CO2H)CH2CO2 has continued with higher selling prices and this product line reported a small profit. The Aquasta(TM) astaxanthin Astaxanthin (pronounced as-tuh-zan'-thin) is a carotenoid. It belongs to a larger class of phytochemicals known as terpenes. It is classified as a xanthophyll, which means "yellow leaves". Like many carotenoids, it is a colorful, fat/oil-soluble pigment. plant is being commissioned. Construction of the Bio-3G plant in Loudon, Tennessee Loudon is a city in and the county seat of Loudon CountyGR6, Tennessee, United States. Its population was 4,476 at the 2000 U.S. census. It is included in the Knoxville, Tennessee Metropolitan Statistical Area. for our joint venture with DuPont has commenced and is on schedule. Since the realignment of the SPLENDA(R) Sucralose business in April 2004, when we undertook responsibility for manufacturing, the product has seen exceptional growth. The superior taste profile and heat and shelf-life stability which SPLENDA(R) Sucralose delivers, coupled with high growth in zero-calorie and low-carbohydrate foods has resulted in high demand. Additionally, the launch of new products by our customers has led to a bulge Bulge A slang term used to describe a rapid advance in prices within the commodities market. Notes: A bulge is similar to a rally on equity exchanges. See also: At The Market, Bear, Break, Bull, Buoyant, Congestion, Rally Bulge in demand in the first half year, as producers seek to fill the stock pipeline from their own factories through the wholesalers, retailers and to their customers. We have responded to this by improving the efficiency of the plant and by satisfying this demand out of stock, but this cannot continue into the second half year when we will seek to rebuild stock levels. The realignment went smoothly. One-off (1) One at a time. CD-ROM recorders (CD-R drives) are commonly called one-off machines because they write one CD-ROM at a time. (2) Only once. Software that is written to solve a specific problem only one time is sometimes called a one-off. costs will be lower than our original estimate and are not expected to exceed GBP 6 million (US$10 million). We have announced two expansions which will, by completion in April 2006, more than double the original capacity of the plant at a cost of GBP 42 million (US$75 million). Sales for the six months to September 2004 totalled GBP 62 million (US$113 million) and profit before interest was GBP 25 million (US$46 million), after one-off realignment costs and a GBP 2 million ($4 million) charge for amortization of patents and a GBP 1 million ($2 million) charge for goodwill. This compares to the pro forma As a matter of form or for the sake of form. Used to describe accounting, financial, and other statements or conclusions based upon assumed or anticipated facts. The phrase pro forma figures for the 12 months to December 2003 of US$130 million for sales and US$38 million for profit before interest. In Mexico Mexico, city, Mexico Mexico or Mexico City, Span. Ciudad de México (Méjico), city (1990 pop. 8,236,960; 1991 met. area est. 20,899,000), central Mexico, capital and largest city of Mexico. , Almex (our corn wet miller) remains profitable and Occidente (our Mexican Mexican named after or originating in Mexico. Mexican axolotl see ambystomamexicanum. Mexican beaded lizard (Heloderma horridum cane sugar cane sugar: see sucrose. producer), also performed well. There has been no resolution to the long running North American Free Trade Agreement North American Free Trade Agreement (NAFTA), accord establishing a free-trade zone in North America; it was signed in 1992 by Canada, Mexico, and the United States and took effect on Jan. 1, 1994. dispute between Mexico and the US regarding sweeteners. Redpath Redpath may refer to: People:
v. re·fined, re·fin·ing, re·fines v.tr. 1. To reduce to a pure state; purify. 2. To remove by purifying. 3. , performed well achieving higher profits benefiting from a GBP 2 million ($4 million) mark-to-market Mark-to-market Adjustment of the book value or collateral value of a security to reflect current market value. gain on raw sugar stocks. Europe Profits in the segment were GBP 56 million ($101 million), GBP 15 million ($27 million) lower than in the comparative period due to higher cereal prices in Europe during much of the period. Exchange translation decreased profits by GBP 2 million ($4 million). As expected, Amylum, our European sweetener Sweetener A special feature added to a debt obligation or preferred stock to promote marketability. Notes: Warrants and convertibles are two popular sweeteners. See also: Convertible Bond, Kicker, Warrant Sweetener and starch starch, white, odorless, tasteless, carbohydrate powder. It plays a vital role in the biochemistry of both plants and animals and has important commercial uses. business, reported lower profits although the decline was less than anticipated. Volumes increased in sweeteners but starch volumes were lower. We saw good growth in higher value added food ingredients. Selling prices were increased but were insufficient to cover raw material prices which peaked at around a 40% increase versus the prior year following a poor harvest (tool, networking) Harvest - A highly scalable, customisable system for discovering resources on the Internet. Version: 1.3. http://tardis.ed.ac.uk/harvest/. in 2003 as a result of dry weather. Good growing conditions for the 2004 harvests have generated large crops and cereal prices have declined faster than we expected, to levels similar to those before the 2003 drought drought, abnormally long period of insufficient rainfall. Drought cannot be defined in terms of inches of rainfall or number of days without rain, since it is determined by such variable factors as the distribution in time and area of precipitation during and before . The high protein content of the 2003 crop reduced EU sales demand from bakers for vital wheat gluten Noun 1. wheat gluten - gluten prepared from wheat gluten - a protein substance that remains when starch is removed from cereal grains; gives cohesiveness to dough but export demand remained strong, albeit at lower selling prices. Manufacturing costs increased as a result of processing wheat wheat, cereal plant of the genus Triticum of the family Gramineae (grass family), a major food and an important commodity on the world grain market. Wheat Varieties and Their Uses with much higher protein content and because of higher energy costs. Amylum's Eaststarch operations continued to perform well. Slovakia Slovakia (slōvă`kēə, slōvä`kēə) or the Slovak Republic, Slovak Slovensko (slô`vĕnskô), republic (2005 est. pop. and Hungary Hungary, Hung. Magyarország, officially Republic of Hungary, republic (2005 est. pop. 10,007,000), 35,919 sq mi (93,030 sq km), central Europe. , where two of the joint ventures are located, joined the EU in May. Our European sugar refineries in the UK and Portugal Portugal (pôr`chəgəl), officially Portuguese Republic, republic (2005 est. pop. 10,566,000), 35,553 sq mi (92,082 sq km), SW Europe, on the western side of the Iberian Peninsula and including the Madeira Islands and the Azores in the continue to produce stable profits and generate good cash flow. The latest comments from the Agricultural Commission to the EU suggest that reform of the sugar regime is now unlikely before July 2006, with legislative proposals not expected before the spring of 2005. Trading in Eastern Sugar has improved upon EU accession Coming into possession of a right or office; increase; augmentation; addition. The right to all that one's own property produces, whether that property be movable or immovable; and the right to that which is united to it by accession, either naturally or artificially. by Hungary, Slovakia and the Czech Republic Czech Republic, Czech Česká Republika (2005 est. pop. 10,241,000), republic, 29,677 sq mi (78,864 sq km), central Europe. It is bordered by Slovakia on the east, Austria on the south, Germany on the west, and Poland on the north. . Rest of the World Profit in the segment was GBP 5 million ($9 million) (GBP 4 million). Nghe An Tate & Lyle Sugar Company in Vietnam Vietnam (vēĕt`näm), officially Socialist Republic of Vietnam, republic (v), 128,400 sq mi (332,642 sq km), Southeast Asia. Occupying the eastern coastline of the Southeast Asian peninsula, Vietnam is bounded by China on the north, by Laos performed well with better volumes and pricing. Exchange translation reduced profits by GBP 1 million ($2 million). Other Segments In the Animal Feed and Bulk Storage segment, the molasses molasses, sugar byproduct, the brownish liquid residue left after heat crystallization of sucrose (commercial sugar) in the process of refining. Molasses contains chiefly the uncrystallizable sugars as well as some remnant sucrose. business produced stable profits. The Other Businesses and Activities segment principally represents central costs. Included in the corresponding period was GBP 3 million ($5 million) income relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc advance licence fees from sucralose. Retirement Benefits Under SSAP SSAP Source Service Access Point SSAP Statistical Signal and Array Processing SSAP Session Service Access Point SSAP sequential structure alignment program (for protein structure comparison) SSAP Simple Spectral Access Protocol 24, we expect the profit and loss account charge for retirement benefits for the year to March 2005 to be similar to the GBP 30 million ($54 million) charge in the prior year. Under 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. 17, the deficit for pension and healthcare liabilities has increased from GBP 231 million ($418 million) at March 2004 to GBP 235 million ($425 million) at September 2004. If the accounts had been prepared under FRS 17, the profit before tax would have been GBP 4 million ($7 million) higher and net assets Net assets The difference between total assets on the one hand and current liabilities and noncapitalized long-term liabilities on the other hand. net assets See owners' equity. reduced by GBP 111 million ($201 million). Accounting Treatment of SPLENDA(R) Sucralose Realignment The cash price of GBP 72 million (GBP 129 million) reflected payment to acquire tangible and intangible assets with a fair value of GBP 79 million ($144 million) and GBP 32 million ($58 million) respectively. When we announced the realignment in February 2004, we disclosed dis·close tr.v. dis·closed, dis·clos·ing, dis·clos·es 1. To expose to view, as by removing a cover; uncover. 2. To make known (something heretofore kept secret). that Tate & Lyle and McNeil Nutritionals would continue to participate in each other's business. This has resulted in a best estimate provision for deferred payments to McNeil Nutritionals of GBP 60 million ($109 million). No value has been recognised for future deferred receipts from McNeil Nutritionals, which are expected to at least match the deferred payments. The formal unwinding of the earlier arrangements, which included the termination of certain pre-existing Adj. 1. pre-existing - existing previously or before something; "variations on pre-existent musical themes" pre-existent, preexistent, preexisting antecedent - preceding in time or order contractual rights A contractual right is a claim, on other persons, that is acknowledged and perhaps reciprocated among the principals associated with that claim. Specialized contractual rights exist as part of a "contract" or agreement between persons to whom these rights belong. and obligations as well as mutual intellectual property and other asset transfers, gave rise to a tax liability of GBP 24 million ($43 million). A related deferred tax asset with a discounted value of GBP 18 million ($33 million) has been recognised reflecting timing differences. The net impact of the realignment leads to initial goodwill under UK GAAP UK GAAP United Kingdom Generally Accepted Accounting Principles of GBP 27 million ($49 million). The estimate of deferred payments may be revised as further information becomes available with corresponding adjustments to goodwill. Any amounts received in respect of future deferred receipts from McNeil Nutritionals would result in a reduction of goodwill. Deferred payments and receipts under the realignment agreements which arose during the period to September 30, 2004 have been reflected in the movement of provisions and goodwill. International Financial Reporting Standards International Financial Reporting Standards (IFRS) are standards and interpretations adopted by the International Accounting Standards Board (IASB). Many of the standards forming part of IFRS are known by the older name of International Accounting Standards (IAS). We will adopt international financial reporting standards ("IFRS IFRS International Financial Reporting Standard(s) IFRS Inter Frame Relay Service IFRS Indiana Facilities Registry System ") in the year ending March 2006. A detailed implementation project has been undertaken to effect orderly orderly /or·der·ly/ (or´der-le) an attendant in a hospital who works under the direction of a nurse. or·der·ly n. An attendant in a hospital. transition from UK accounting standards. The project is progressing well, is meeting internal guidelines guidelines, n.pl a set of standards, criteria, or specifications to be used or followed in the performance of certain tasks. , and has been reviewed by our external auditors The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. . Our intention is to provide information on the effect of IFRS on our results for the year ended March 31, 2005, in June June: see month. 2005. Directors As previously announced, Keith Hopkins
Morris Keith Hopkins (June 20 1934–March 8 2004) was a British historian and sociologist. He was professor of ancient history at the University of Cambridge from 1985 to 2001. and Mary Mary, the mother of Jesus Mary, in the Bible, mother of Jesus. Christian tradition reckons her the principal saint, naming her variously the Blessed Virgin Mary, Our Lady, and Mother of God (Gr., theotokos). Her name is the Hebrew Miriam. Jo Jacobi Ja·co·bi , Abraham 1830-1919. German-born American physician who established a children's clinic in New York (1860) and is considered the founder of American pediatrics. retired from the Board at the Annual General Meeting on July 29, 2004, and David Fish David Eli Fish MD MPH is an American physiatrist and one of the editors of a popular PM&R handbook PM&R Pocketpedia. Education After completing a residency in physical medicine and rehabilitation at the Johns Hopkins University School of Medicine in 2001, Dr. stepped down as a Non-Executive Director A non-executive director (NED, also NXD) or outside director is a member of the board of directors of a company who does not form part of the executive management team. He or she is not an employee of the company or affiliated with it in any other way. with effect from September 30, 2004 due to the pressure of other commitments. On November November: see month. 3, 2004 we announced the appointment of Kai kai Noun NZ informal food [Maori] kai noun N.Z. (informal) food, grub (slang) provisions, fare, board, commons, eats (slang Nargolwala as a Non-Executive Director with effect from December 1, 2004. It was also announced that Larry Lar´ry n. 1. Same as Lorry, or Lorrie. Pillard, who was appointed ap·point tr.v. ap·point·ed, ap·point·ing, ap·points 1. To select or designate to fill an office or a position: appointed her the chief operating officer of the company. 2. a Director in 1994 and served as Chief Executive from 1996 to 2002, would be retiring from the Board on December 31, 2004. Outlook We have made an excellent start to the financial year. With the exception of Amylum, trading in all major businesses is ahead of the corresponding period. Whilst results at Amylum are lower they have exceeded our expectations as cereal prices in Europe returned to levels similar to those before last year's dramatic increase. The realignment of our sucralose business, and the exciting growth experienced subsequently, has improved total profitability. In the second half of this financial year higher energy costs and the outcome of the annual pricing negotiations at Staley and Amylum, as usual at this time, will influence the overall results for the period. Although the second half is expected to benefit from the growth of SPLENDA(R) Sucralose the necessity to rebuild stock will have some short term adverse impact on profitability of this product. Nevertheless, we expect the results of the Group for the year as a whole to reflect satisfactory progress. Sir David Lees Iain Ferguson CBE Chairman Chief Executive About Tate & Lyle Tate & Lyle is a world leader in renewable ingredients. Our core competence Core competence Primary area of expertise. Narrowly defined fields or tasks at which a company or business excels. Primary areas of specialty. is to take basic carbohydrates Carbohydrates Compounds, such as cellulose, sugar, and starch, that contain only carbon, hydrogen, and oxygen, and are a major part of the diets of people and other animals. Mentioned in: Laxatives carbohydrates, n. - corn, wheat or sugar - and add value to these raw materials through technology. As a result of continuous innovation we offer an ever-wider product portfolio of versatile For the use of the term "versatile" to describe the sexual role, see . Versatile is a Canadian brand of agricultural equipment that has produced augers, swathers, combine harvesters and most notably tractors. and functional ingredients. These products include Cereal Sweeteners, Starches starch n. 1. A naturally abundant nutrient carbohydrate, (C6H10O5)n, found chiefly in the seeds, fruits, tubers, roots, and stem pith of plants, notably in corn, potatoes, wheat, and rice, and , Sugars and Citric Acid. Our products have wide applications in the food, beverage, pharmaceutical, cosmetic cosmetic /cos·met·ic/ (koz-met´ik) 1. pertaining to cosmesis. 2. a beautifying substance or preparation. cos·met·ic n. , paper, packaging and building industries. With headquarters in London, Tate & Lyle operates more than 40 plants in 24 countries, almost all in Europe and the Americas. We employ 6,700 people in our subsidiaries with a further 2,800 employed in joint ventures. Sales in the year to March 31, 2003 totalled GBP3,167 million. More details are available online at www.tateandlyle.com
(3) Exchange translation is calculated by re-converting local currency
results for the comparative period at the current period's
exchange rates
INDEPENDENT REVIEW REPORT TO TATE & LYLE PLC Introduction We have been instructed by the Company to review the financial information which comprises the Group profit and loss account, the combined statement of recognised gains and losses and reconciliation of movements in shareholders' funds, the summarised Group balance sheet, the statement of cash flows, and notes 1 to 9 inclusive (theory) inclusive - In domain theory, a predicate P : D -> Bool is inclusive iff For any chain C, a subset of D, and for all c in C, P(c) => P(lub C) In other words, if the predicate holds for all elements of an increasing sequence then it holds for their least upper . We have read the other information contained in the interim report and considered whether it contains any apparent misstatements or material inconsistencies with the financial information. Directors' responsibilities The interim report, including the financial information contained therein, is the responsibility of, and has been approved by the directors. The directors are responsible for preparing the interim report in accordance Accordance is Bible Study Software for Macintosh developed by OakTree Software, Inc.[] As well as a standalone program, it is the base software packaged by Zondervan in their Bible Study suites for Macintosh. with the Listing Rules of the Financial Services Authority The Financial Services Authority ("FSA") is an independent non-departmental public body and quasi-judicial body that regulates the financial services industry in the United Kingdom. Its main office is based in Canary Wharf, London, with another office in Edinburgh. which require that the accounting policies and presentation applied to the interim figures should be consistent with those applied in preparing the preceding annual accounts except where any changes, and the reasons for them, are disclosed. Review work performed We conducted our review in accordance with guidance contained in Bulletin 1999/4 issued by the Auditing Practices Board for use in the United Kingdom. A review consists principally of making enquiries of Group management and applying analytical procedures Analytical Procedures is one of financial audit skill which help an auditor understand the client's business and changes in the business, to identify potential risk areas and to plan other audit procedures. to the financial information and underlying financial data and, based thereon there·on adv. 1. On or upon this, that, or it. 2. Archaic Following that immediately; thereupon. Adv. 1. thereon - on that; "text and commentary thereon" on it, on that , assessing whether the accounting policies and presentation have been consistently applied unless otherwise disclosed. A review excludes audit procedures such as tests of controls and verification See verify. verification - The process of determining whether or not the products of a given phase in the life-cycle fulfil a set of established requirements. of assets, liabilities and transactions. It is substantially less in scope than an audit performed in accordance with United Kingdom Auditing Standards and therefore provides a lower level of assurance than an audit. Accordingly we do not express an audit opinion on the financial information. This report, including the conclusion, has been prepared for and only for the Company for the purpose of the Listing 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. Review conclusion On the basis of our review we are not aware of any material modifications that should be made to the financial information as presented for the six months ended September 30, 2004.
PricewaterhouseCoopers LLP
Chartered Accountants
London
November 4, 2004
TATE & LYLE GROUP PROFIT AND LOSS ACCOUNT
Unaudited Unaudited Audited
6 months 6 months Year to
to to March 31
September September 2004
30 2004 30 2003
GBP GBP GBP
million million million
----------------------------------------------------------------------
Sales (Note 1)
Group subsidiaries 1 504 1 510 2 874
Share of joint ventures and associates 162 153 293
--------- --------- --------
1 666 1 663 3 167
========= ========= ========
Group operating profit before amortization
and operating exceptional items 122 110 214
Amortization (7) (4) (8)
Operating exceptional items (Note 3) (56) - -
--------- --------- --------
Group operating profit 59 106 206
Share of operating profits of joint
ventures and associates before
exceptional items 20 23 37
Share of operating exceptional items of
joint ventures and associates (Note 3) - - 6
--------- --------- --------
Total operating profit 79 129 249
Non-operating exceptional items: (Note 3)
Exceptional profit/(loss) on sale or
termination of businesses 14 (3) (6)
Exceptional loss on sale of fixed assets - (1) -
--------- --------- --------
Profit before interest (Note 2) 93 125 243
Net interest payable (9) (13) (23)
Share of joint ventures' and associates'
interest before exceptional items (3) (1) (1)
Share of joint ventures' and associates'
exceptional interest items (Note 3) - - 5
--------- --------- --------
Profit before taxation (Note 2) 81 111 224
Taxation (20) (35) (69)
--------- --------- --------
Profit after taxation 61 76 155
Minority interests (3) 1 (1)
--------- --------- --------
Profit for the period 58 77 154
Dividends paid and proposed (27) (26) (88)
--------- --------- --------
Retained profit 31 51 66
========= ========= ========
Earnings per share (Note 4)
Basic 12.3p 16.3p 32.7p
Diluted 12.3p 16.3p 32.6p
----------------------------------------------------------------------
Before amortization and exceptional items
Profit before taxation (GBP million) 130 119 227
Diluted earnings per share (pence) 19.1p 17.7 33.9p
----------------------------------------------------------------------
TATE & LYLE
SUMMARISED GROUP BALANCE SHEET
Unaudited Unaudited Audited
as at as at as at
September 30 September March 31
2004 30 2003 2004
GBP million (restated) (restated)
GBP million GBP
million
----------------------------------------------------------------------
Fixed assets
Intangible assets 191 146 136
Tangible assets 1 128 1 131 1 062
Investments 215 234 216
------------ ----------- ----------
1 534 1 511 1 414
------------ ----------- ----------
Current assets
Stocks 275 253 273
Debtors 416 425 337
Investments and cash at bank and in
hand (Note 5) 116 92 154
------------ ----------- ----------
807 770 764
Creditors - due within one year
Borrowings (Note 5) (123) (1) (30)
Other (367) (428) (407)
------------ ----------- ----------
Net current assets 317 341 327
------------ ----------- ----------
Total assets less current
liabilities 1 851 1 852 1 741
Creditors - due after more than one
year
Borrowings (Note 5) (523) (544) (512)
Other (1) (10) (5)
Provisions for liabilities and
charges (295) (252) (246)
------------ ----------- ----------
Total net assets 1 032 1 046 978
============ =========== ==========
Capital and reserves
Called up share capital 123 123 123
Share premium account and other
reserves 502 489 501
Profit and loss account 377 395 327
------------ ----------- ----------
Shareholders' funds 1 002 1 007 951
Minority interests 30 39 27
------------ ----------- ----------
1 032 1 046 978
============ =========== ==========
TATE & LYLE
STATEMENT OF CASH FLOWS
Unaudited Unaudited Audited
6 months 6 months Year to
to to March 31
September September 2004
30 2004 30 2003 (restated)
GBP (restated) GBP
million GBP million
million
----------------------------------------------------------------------
--------- --------- ---------
Operating profit before exceptional items 115 106 206
Depreciation of tangible fixed assets 59 52 106
Operating exceptional items (56) - -
Amortization of goodwill and intangibles 7 4 8
Change in working capital (53) (6) (31)
--------- --------- ---------
Net cash inflow from operating activities 72 156 289
Dividends from joint ventures and
associates 17 4 8
Returns on investment and servicing of
finance
--------- --------- ---------
Net interest paid (11) (23) (35)
Dividends paid to minority interests in
subsidiary undertakings - - (1)
--------- --------- ---------
(11) (23) (36)
Taxation paid (39) (24) (74)
Capital expenditure and financial
investment
--------- --------- ---------
Purchase of tangible fixed assets (51) (53) (118)
Sale of tangible fixed assets 3 - 2
Purchase of fixed asset investments (1) - (1)
Sale of fixed asset investments 22 - 22
--------- --------- ---------
(27) (53) (95)
Acquisitions and disposals
Sale of businesses - 34 39
Acquisition of subsidiary (74) - -
Acquisitions of joint ventures and
associates (6) (15) (15)
Equity dividends paid (62) (61) (87)
--------- --------- ---------
Net cash (outflow)/inflow before
financing and management
of liquid resources (130) 18 29
========= ========= =========
Reconciliation of cash flow to net debt
----------------------------------------------------------------------
Net cash (outflow)/inflow before
financing and management
of liquid resources (130) 18 29
Issue of shares 1 - 2
Purchase of own shares (6) (10) (10)
Changes in debt not involving cash flow:
- Exchange movements (7) (3) 49
- Redemption of bond discount - 13 13
--------- --------- ---------
(Increase)/reduction in net borrowings (142) 18 83
Net borrowings at start of period (388) (471) (471)
--------- --------- ---------
Net borrowings at end of period (530) (453) (388)
========= ========= =========
TATE & LYLE
COMBINED STATEMENT OF TOTAL RECOGNISED
GAINS AND LOSSES AND RECONCILIATION OF
MOVEMENTS IN SHAREHOLDERS' FUNDS
Unaudited Unaudited Audited
6 months months Year to
to to March 31
September September 2004
30 2004 30 2003 (restated)
GBP (restated) GBP
million GBP million
million
----------------------------------------------------------------------
Profit for the period 58 77 154
Currency difference on foreign currency
net investments 18 (11) (63)
Taxation on exchange difference on
foreign currency net investments 7 (8) (28)
--------- ---------- ----------
Total recognised gains for the period 83 58 63
Dividends (27) (26) (88)
Issue of shares 1 1 2
Purchase of own shares (6) (10) (10)
--------- ---------- ----------
Net increase/(reduction) in
shareholders' funds 51 23 (33)
--------- ---------- ----------
Opening shareholders' funds as
previously stated 989 1 012 1 012
Prior period adjustment to reflect own
shares deducted from shareholders'
funds (38) (28) (28)
--------- ---------- ----------
Opening shareholders' funds as restated 951 984 984
--------- ---------- ----------
Closing shareholders' funds 1 002 1 007 951
========= ========== ==========
TATE & LYLE
NOTES TO INTERIM STATEMENT
For the 6 months to September 30, 2004
1. Segmental analysis of sales
----------------------------------------------------------------------
Unaudited Unaudited Audited
6 months 6 months Year to
to to March 31
September September 2004
30 2004 30 2003 GBP
GBP GBP million
million million
----------------------------------------------------------------------
Sweeteners and starches
- Americas 660 643 1 219
- Europe 716 691 1 336
- Rest of the world 205 221 412
--------- --------- --------
1 581 1 555 2 967
Animal feed and bulk storage 84 107 195
Other businesses and activities 1 1 5
--------- --------- --------
1 666 1 663 3 167
========= ========= ========
Included in the analysis of total sales are the following amounts
relating to associates and joint ventures:
Unaudited Unaudited Audited
6 months 6 months Year to
to to March 31
September September 2004
30 2004 30 2003 GBP
GBP GBP million
million million
----------------------------------------------------------------------
Sweeteners and starches
- Americas 64 64 123
- Europe 95 86 163
- Rest of the world 2 1 4
--------- --------- --------
161 151 290
Animal feed and bulk storage 1 2 3
Other businesses and activities - - -
--------- --------- --------
162 153 293
========= ========= ========
TATE & LYLE PLC
NOTES TO INTERIM STATEMENT (continued)
For the 6 months to September 30, 2004
2. Segmental analysis of profit before taxation
----------------------------------------------------------------------
Before After
exceptional Exceptional exceptional
items items items
6 months to September 30, 2004 GBP GBP GBP
(unaudited) million million million
----------------------------------------------------------------------
Sweeteners and starches
- Americas 82(1) (40) 42(1)
- Europe 56(2) - 56(2)
- Rest of the world 5 - 5
----------- ----------- -----------
143 (40) 103
Animal feed and bulk storage 3 (2) 1
Other businesses and activities (11) - (11)
----------- ----------- -----------
135 (42) 93
Net interest expense (12) - (12)
----------- ----------- -----------
Profit before taxation 123 (42) 81
----------- ----------- -----------
(1) These profit figures each include GBP 5 million amortization.
(2) These profit figures each include GBP 2 million amortization.
6 months to September 30, 2003 (unaudited)
----------------------------------------------------------------------
Sweeteners and starches
- Americas 58(3) (4) 54(3)
- Europe 71(3) - 71(3)
- Rest of the world 4 - 4
----------- ----------- -----------
133 (4) 129
Animal feed and bulk storage 2 - 2
Other businesses and activities (6) - (6)
----------- ----------- -----------
129 (4) 125
Net interest expense (14) - (14)
----------- ----------- -----------
Profit before taxation 115 (4) 111
----------- ----------- -----------
(3) These profit figures each include GBP 2 million amortization.
Year to March 31, 2004 (audited)
----------------------------------------------------------------------
Sweeteners and starches
- Americas 127(4) 2 129(4)
- Europe 111(4) - 111(4)
- Rest of the world 8 - 8
----------- ----------- -----------
246 2 248
Animal feed and bulk storage 6 (2) 4
Other businesses and activities (9) - (9)
----------- ----------- -----------
243 - 243
Net interest expense (24) 5 (19)
----------- ----------- -----------
Profit before taxation 219 5 224
----------- ----------- -----------
(4) These profit figures each include GBP 4 million amortization.
All results to September 30, 2004 and March 31, 2004 arise from
continuing activities.
TATE & LYLE
NOTES TO INTERIM STATEMENT (continued)
For the 6 months to September 30, 2004
3. Exceptional items
----------------------------------------------------------------------
Profit/ Profit/
(loss) (loss)
before Minority for the
tax Tax interest period
6 months to September 30, 2004 GBP GBP GBP GBP
(unaudited) million million million million
----------------------------------------------------------------------
Operating exceptional items (56) 22 - (34)
Profit on sale or termination
of business 14 (5) - 9
-------- -------- --------- -----------
(42) 17 - (25)
-------- -------- --------- -----------
The net charge for exceptional items of GBP 42 million consists of the charge of GBP 56 million in respect of the settlement of the high fructose corn syrup class action suit in the US, together with GBP 2 million in respect of loss on sale or termination of businesses, offset by a credit to the profit and loss account of GBP 16 million following settlement of the remaining balance due on the loan note issued by the purchaser of Western Sugar. The charge of GBP 4 million for exceptional items for the 6 months to September 2003 primarily related to closure costs of the citric acid facility in Mexico. Exceptional items totalled a net credit of GBP 5 million in the year to 31 March 2004. This comprises an operating credit of GBP 6 million and an interest credit of GBP 5 million, representing refunds of duty, and non-operating charges of GBP 6 million arising on sale or termination of businesses. 4. Earnings/(losses) per share ---------------------------------------------------------------------- The basic earnings per share of 12.3p (6 months to September 30, 2003 - 16.3p, year to March 31, 2004 - 32.7p) are calculated by dividing profits after taxation and minority interests and preference dividend of GBP 58 million (September 2003 - GBP 77 million, March 2004 - GBP 154 million), by the weighted average number of ordinary shares in issue during the period of 470.6 million (September 2003 - 471.9 million; March 2004 - 471.4 million). The diluted earnings per share are calculated on the assumptions that the outstanding options over 8.4 million shares (September 2003 - 2.3 million shares) had been exercised and that the funds so generated would be used to purchase 6.3 million ordinary shares (September 2003 - 1.5 million ordinary shares) at the average price during the period of 323.3p (September 2003 - 329.5p), thereby increasing the average number of shares to 472.7 million (September 2003 -472.7 million).
Earnings/(losses)
Year to
6 months 6 months March 31
to Sept 30 to Sept 30 2004
2004 2003 GBP
GBP million GBP million million
--------------------------------------------- ------------ -----------
Diluted earnings of the period 58 77 154
Amortization 7 4 8
Exceptional items 25 3 (2)
------------- ------------ -----------
Diluted earnings before
amortization and exceptional
items 90 84 160
------------- ------------ -----------
Diluted earnings/(losses) per share
6 months 6 months Year to
to Sept 30 to Sept 30 March 31
2004 2003 2004
pence pence pence
--------------------------------------------- ------------ -----------
Diluted earnings of the period 12.3 16.3 32.6
Amortization 1.5 0.8 1.7
Exceptional items 5.3 0.6 (0.4)
------------- ------------ -----------
Diluted earnings before
amortization and exceptional
items 19.1 17.7 33.9
------------- ------------ -----------
The exceptional items recognised in the 6 months to September 30, 2004 include a tax credit of GBP 17 million and minority interest credit of GBP nil million (6 months to September 30, 2003 tax credit of GBP nil million and minority interest credit of GBP 1 million, year to March 31, 2004 tax charge of GBP 4 million and minority interest credit of GBP 1 million). Diluted earnings per share before amortization and exceptional items is presented in order to assist in the understanding of the underlying performance of the Group's business.
TATE & LYLE
NOTES TO INTERIM STATEMENT (continued)
For the 6 months to September 30, 2004
Unaudited Unaudited
September September Audited
30 30 March 31
2004 2003 2004
GBP GBP GBP
5. Analysis of net debt million million million
----------------------------------------------------------------------
Investments and cash at bank and in hand 116 92 154
Borrowings due within one year (123) (1) (30)
Borrowings due after more than one year (523) (544) (512)
--------- --------- ----------
(530) (453) (388)
========= ========= ==========
September September March 31
30 30 2004
6. Average exchange rates 2004 2003
----------------------------------------------------------------------
US Dollar GBP 1 = $ 1.81 1.61 1.69
Euro GBP 1 = EUR 1.49 1.43 1.44
Canadian Dollar GBP 1 = C$ 2.42 2.24 2.29
September September March 31
30 30 2004
7. Period end exchange rates 2004 2003
----------------------------------------------------------------------
US Dollar GBP 1 = $ 1.80 1.66 1.84
Euro GBP 1 = EUR 1.46 1.43 1.49
Canadian Dollar GBP 1 = C$ 2.29 2.24 2.42
8. Basis of preparation
----------------------------------------------------------------------
The foregoing accounts are prepared on the basis of the accounting policies set out in the 2004 Annual Report for the year to March 31, 2004, except for the change in accounting policy in respect of UITF UITF Unit Investment Trust Fund UITF Urgent Issue Task Force 38 (see note 9). The financial information at March 31, 2004 contained in this interim statement has been abridged from the full Group accounts, which received an unqualified auditors' report and did not contain a statement under section 237(2) or (3) of the Companies Act 1985 (as amended a·mend v. a·mend·ed, a·mend·ing, a·mends v.tr. 1. To change for the better; improve: amended the earlier proposal so as to make it more comprehensive. 2. ). The full Group accounts 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. . 9. Prior period adjustment - UITF 38 ---------------------------------------------------------------------- The Group has adopted Urgent Issues Task Force, Abstract 38 (UITF 38) 'Accounting for ESOP ESOP See: Employee Stock Ownership Plan ESOP See Employee Stock Ownership Plan (ESOP). Trusts' for the 2004 Interim Results. As a result, shares in the Company held through an employee share scheme trust which were previously reported as investments are now recorded as a deduction deduction, in logic, form of inference such that the conclusion must be true if the premises are true. For example, if we know that all men have two legs and that John is a man, it is then logical to deduce that John has two legs. from equity shareholders funds. At March 31, 2004, the carrying value Carrying Value Also know as "book value," it is a company's total assets minus intangible assets and liabilities, such as debt. Notes: This is different than market value, as it can be higher or lower depending on the circumstances. of these shares was GBP 38 million which has been set against the profit and loss reserve of the balance sheet. The comparative figures for balance sheet, profit and loss reserve and cash flow statement have been restated to reflect the change in treatment such that shareholders' funds at September 30, 2003 and at March 31, 2004 have been reduced by GBP 38 million. The reclassification Reclassification The process of changing the class of mutual funds once certain requirements have been met. These requirements are generally placed on load mutual funds. Reclassification is not considered to be a taxable event. has reduced shareholders' funds at September 30, 2004 by GBP 44 million. The Group has also adopted UITF 17 (as revised) which results in the cost of the awards made under the Group's share schemes now being calculated with reference to the fair value of the shares at the date of award rather than the cost of the shares purchased by the Group. The impact of this revision on the charges made in respect of the share schemes is not material.
TATE & LYLE
NOTES TO INTERIM STATEMENT (continued)
For the 6 months to September 30, 2004
10. Net margin analysis
----------------------------------------------------------------------
Before amortization and exceptional items 6 months 6 months Year to
to to March
September September 31
30 2004 30 2003 2004
----------------------------------------------------------------------
% % %
Sweeteners and starches
- Americas 13.2 9.3 10.7
- Europe 8.1 10.6 8.6
- Rest of the world 2.4 1.8 1.9
Sweeteners and starches total 9.5 8.8 8.6
Animal feed and bulk storage 3.6 1.9 3.1
Group 8.5 8.0 7.9
After amortization and exceptional items
----------------------------------------------------------------------
Sweeteners and starches
- Americas 6.4 8.4 10.6
- Europe 7.8 10.3 8.3
- Rest of the world 2.4 1.8 1.9
Sweeteners and starches total 6.5 8.3 8.4
Animal feed and bulk storage 1.2 1.9 2.1
Group 5.6 7.5 7.7
TATE & LYLE
NOTES TO INTERIM STATEMENT (continued)
For the 6 months to September 30, 2004
11. Ratio analysis
----------------------------------------------------------------------
6 months to 6 months to Year to
September 30 September 30 March 31
2004 2003 2004
restated restated
----------------------------------------------------------------------
Net borrowings to EBITDA - Tate & Lyle PLC and its subsidiaries
Net borrowings 530 453 388
-------------- --- --- ---
Annualised pre-exceptional
EBITDA (2 x 181) (2 x 162) 320
= 1.5 times = 1.4 times = 1.2 times
Gearing
Gearing = Net borrowings 530 453 388
-------------- --- --- ---
Total net assets 1 032 1 046 978
= 51% = 43% = 40%
Interest cover - Tate & Lyle PLC and its subsidiaries
= Operating profit before amortization and exceptional items
----------------------------------------------------------
Net interest payable
122 110 214
--- --- ---
9 13 23
= 13.6 times = 8.5 times = 9.3 times
Return on Net Operating Assets
= Annualised profit before interest, tax and exceptional items
------------------------------------------------------------
Average net operating assets
(2 x 135) (2 x 129) 243
--------- --------- ---
1 589 1 627 1 576
= 17.0% = 15.9% =15.4%
Net operating assets are
calculated as:
Total net assets 1 032 1 046 978
Add back net borrowings 530 453 388
Add back unallocated
liabilities - dividends & tax 94 124 155
------------- ------------ ------------
Net operating assets 1 656 1 623 1 521
------------- ------------ ------------
Average net operating assets 1 589 1 627 1 576
Webcast and Conference Call A presentation of the results by Chief Executive, Iain Ferguson Iain Ferguson (born 4 August 1962, in Newarthill, North Lanarkshire) is a Scottish former professional footballer who played as a striker for numerous Scottish clubs during the 1980s and 90s. and Group Finance Director, Simon Gifford will be audio webcast live at 10.00am (GMT (Greenwich Mean Time) See UTC. GMT - Universal Time 1 ) today. To view the presentation slides and/or and/or conj. Used to indicate that either or both of the items connected by it are involved. Usage Note: And/or is widely used in legal and business writing. listen to a live audio webcast of the presentation, visit http://cm01.vavos.net/xl?preid=102050 or http://www.tateandlyle.com/TateAndLyle/ ir_investor_relations/results/default.htm. (Due to the length of this URL URL in full Uniform Resource Locator Address of a resource on the Internet. The resource can be any type of file stored on a server, such as a Web page, a text file, a graphics file, or an application program. , it may be necessary to copy and paste To copy files from one location to another or to copy text and images from one document to another. All modern operating systems and applications have a copy and paste capability that is typically selected from an Edit menu. See cut and paste and Win Copy between windows. this hyperlink A predefined linkage between one object and another. See hypertext. hyperlink - anchor into your Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the browser's URL address field.) Please note that remote listeners will not be able to ask questions during the Q&A session. A webcast replay of the presentation will be available for six months, at the links above. In addition a conference call for analysts and investors will be held today at 15.00 (GMT), 10.00am (Eastern). Dial In (US): (913)981-5536 - Toll, (800) 289-0552 - Toll Free Dial In (UK): +44(0)20 7019 9504 - Toll, 0800 279 9640 - Toll Free A replay is scheduled to run from November 4 to November 11, 2004 Replay (US): (719)457-0820 - Toll, (888) 203-1112 - Toll Free (Passcode: 887301) Replay (UK): +44 (0)20 7984 7578 - Toll, 0800 559 3271 - Toll Free (Passcode: 887301) |
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