Interim Results
De La Rue PLC
22 November 2000
INTERIM STATEMENT
Six months to 30 September 2000
HIGHLIGHTS
- Operating profits from continuing operations* up £2.1m or 8% at £27.6m
which is after substantial revenue investment in our Global Services
division.
- Security Paper and Print division maintains strong operating margins.
- Further improvement in trading position of Cash Systems with underlying
operating profits up £4.9m.
- Headline earnings per share* up 13% at 13.2p despite 47.5% drop in profits
before tax from associates.
- Net cash flow from operating activities of £18.0m up £6.9m or 62%.
- Interim dividend of 4.0p (1999 4.0p) per share.
* Before re-organisation costs
Ian Much, Chief Executive of De La Rue plc, commented on the results:
'The first half has seen sustained progress in the revitalisation and
continuing underlying improvement in our businesses. It is particularly
pleasing to report a further improvement in the trading position of the Cash
Systems division, with the benefits of the business re-organisation coming
through as planned. The banknote business has also seen a strengthening of
margins as the result of its focus on a value not volume strategy. We are
also investing in the development of our Global Services division where the
potential for sales growth for the Group is greatest.
'It is gratifying that the robustness of our own businesses is offsetting
weakness within our associates and we now enjoy a position of financial
strength coupled with improved profitability which provides scope for
investing in growth.'
Enquiries: De La Rue plc
Paul Hollingworth Finance Director 01256 605307
Mark Fearon Head of Corporate Affairs 01256 605303
Pager no: 07654 284191
Stephen Breslin Brunswick 020 7404 5959
22 November 2000
DIRECTORS' REVIEW
Group Results
The six months to 30 September 2000 has seen sustained progress for De La Rue
in the revitalisation and continued development of its core businesses.
Overall trading performance was encouraging, building upon the recovery which
started to show through in the first half of last year. Headline earnings per
share (before re-organisation costs) increased by 13% to 13.2p, in the first
half, demonstrating the solid underlying performance of the business. A good
performance considering the planned revenue investment in the Global Services
division where profits were reduced by £3.7m; £1.8m of start up losses
incurred following the acquisition of Ascom Banking Automation by the Cash
Systems division and a £3.8m decline in associates' profits before tax as a
result of poor trading in De La Rue Giori.
Operating profit from continuing activities (before re-organisation costs) is
up £2.1m on the comparable period at £27.6m. The main drivers behind this
increase have been the continued improvement in margins in the banknote
business as we continue to pursue a value not volume strategy and a further
improvement in the operating performance of our Cash Systems division as the
results of the major re-organisation programme continue to take effect. We
are also investing in the development of Global Services which we have
reported separately from 2 April 2000.
Cashflow continues to improve with £18.0m being generated by operations during
the period, an improvement of £6.9m on the comparable period last year.
Dividend
An interim dividend of 4.0p (1999 4.0p) per share will be paid on 6 April 2001
to shareholders on the register on 9 March 2001.
Operations
Cash Systems
2000/01 1999/00 1999/00
Half Year Half Year Full Year
£m £m £m
Sales 120.2* 124.5 257.3
Operating profit 3.7* 0.6 4.4
* Including Ascom
acquisition
It is pleasing to report a further improvement in the trading position of the
division as the benefits of the re-organisation plan, announced in March 1999,
continue to show through in improved financial performance. First half
performance was in line with expectations with operating profits at £3.7m, up
£3.1m on the comparable period last year. Excluding losses of £1.8m (sales of
£5.3m) incurred on the start-up and introduction of the Ascom TwinSafe teller
cash recycler, profits were £5.5m and margins 4.8%. The main reason for lower
sales was a slowdown in sales of large sorters within the Cash Processing
business stream.
However, the strong order book (particularly in Branch Cash Solutions) gives
us confidence of a pick up in sales in the second half. We are still on track
to exit this financial year with operating margins at a running rate of 10%.
New products introduced after 1 January 1998 represented 26% of divisional
product sales.
The acquisition of Ascom Banking Automation, the cash handling activities of
Ascom Autelca AG, the Swiss telecommunications and service automation group,
was completed in March and the integration of Ascom's cash handling activities
with our own is now largely complete. Orders for the TwinSafe teller cash
recycler of 700 units have exceeded expectations with excellent penetration in
Europe particularly in Germany, Spain and France. We expect a further
improvement in Ascom performance in the second half as start up losses give
way to substantial sales on the back of the strong order book.
The launch of the euro in January 2002 represents a key opportunity for the
division as customers will need to upgrade or replace equipment in a number of
product areas such as cash and coin dispensing and counting equipment and this
will start to generate orders in the second half.
Business Stream Performance
During the first half, Branch Cash Solutions performed well and the business
remains strong in all key regions. Orders for both Teller Cash Dispensers
(TCD's) and Teller Cash Recyclers (TCR's) are encouraging. The TCR 8000c, our
new compact on-line recycler is now being used in several live pilots in
Spain, Germany and Italy and we have started to secure orders for this
product. The Original Equipment Manufacture (OEM) business which makes
dispensing mechanisms for ATM machines also improved profitability, despite
losing a recent tender for a key customer account on price which impacted
sales. As a result of customer consolidation in the OEM market place we are
reviewing how best to organise our OEM business to address this issue.
The Cash Processing business has been disappointing so far and, during the
period, sales of large sorters such as the 6000 cash processor have been
particularly slow although this has been tempered by progress in the software
business. In July, we were pleased to announce a £2.6m contract to supply
Depros cash management software to Sainsbury's the UK supermarket retailer.
The Desktop Products business has performed in line with expectations with
emphasis on rejuvenation of the product range and further development of the
third party supplier and distribution network.
The division's Customer Service business continues to benefit from its focus
as a separate profit centre and sales increased by 6% in the first half and
now accounts for 30% of total sales. It has had an excellent period
supporting the business streams and ensuring we provide a consistent level of
service and support to both end users and to our distributor partners.
Security Paper & Print
2000/01 1999/00 1999/00
Half Year Half Year Full Year
£m £m £m
Sales 103.9 95.9 214.0
Operating profit 23.8 21.1 45.7
The strategy of differentiating ourselves from the competition through
technology is continuing to prove successful with profits and margins
benefiting despite tight market conditions. Overall the banknote business
performed well and the large overspill order mentioned last year which has
benefited the business over the past 18 months is now nearing completion.
However, there is good order book cover for the second half on the base
banknote business. New features have again sold well and reflect an increasing
trend in the market. Starwide and Cleartext, our machine readable holographic
threads, have sold well as has Intaglio Gold, our world leading metallic
intaglio ink.
The papermaking business saw volumes down 15% and it is likely that next year
India, which still accounts for 15% of Portals' paper volumes, will not be
placing any new orders as it runs down existing high levels of stocks. We are
of course pursuing other opportunities to offset this probable shortfall.
During the period we upgraded a second papermaking machine based in Overton,
to allow it to accept added value wide threads.
The non-currency businesses performed satisfactorily as they focused on
improving operational efficiency. In addition, De La Rue Tapes, which produces
security threads for banknotes, also had a good period on the back of strong
banknote orders. The business will relocate to a larger, more modern facility
in the new year and should benefit from greater capacity.
Global Services
2000/01 1999/00 1999/00
Half Year Half Year Full Year
£m £m £m
Sales 26.4 27.0 50.5
Operating profit 0.1 3.8 5.1
Global Services, where the potential for sales growth for the Group is
greatest, is developing well and we have set some aggressive targets for this
year and next. In its first six months of trading, considerable progress has
been made in building divisional capability with investment in recruitment and
process design. During the period, sales were £26.4m and the division was
marginally profitable even after the planned revenue investment. The Microsoft
business changed from a paper-based security printed solution, to a smaller
adhesive label which resulted in lower sales levels but a similar
contribution. Excluding Microsoft, sales in the division were up 10.2%. In
last year's annual report we announced that we would be investing £5m in the
division and current expenditure levels are in line with our expectations.
Business Stream Performance
The Transaction Services business has made significant progress during the
period and we continue to invest in the development and expansion of the
PAYzone network in the UK. The Vodafone mobile phone pre-payment service,
which was launched in August, uses the PAYzone network. The other UK mobile
phone operators, who have all contracted to PAYzone, are expected to launch
their pre-payment services towards the end of our financial year. PAYzone was
one of the first of the UK payment networks to go live and we expect the
mobile phone operators to shortly commence promoting the service to its
customer base.
Identity Systems performed well with the announcement of several new
contracts, including the implementation of passport systems for Bahrain,
Malawi and Mexico.
InterClear, the UK digital security business acquired in March, has now
relocated from its offices in Egham, Surrey to the divisional headquarters in
Basingstoke. The integration of the business is progressing well with the
completion of a fully operational PKI (Public Key Infrastructure) solution
scheduled for the first quarter of 2001. The business is currently
implementing a pilot PKI solution within De La Rue to ensure that the Group's
processes are secure and can benefit from this technology.
Brand Protection has won business with brand owners in the apparel, luxury
goods, wines and spirits and consumer goods sectors. The strategy of
selective business development in target sectors is clearly starting to prove
beneficial. The Holographics business continues to benefit from the
opportunities presented by the euro and the wider banknote market.
Group Technology
At De La Rue we possess key skills in our individual business units,
developed in response to our customer needs. In many cases we have at our
disposal the most up-to-date or market leading technology and know-how which
is of great value elsewhere within the Group. To capture these opportunities
and realise their value we recently appointed a Group Director of Research and
Development to implement a more co-ordinated approach to sharing technology
and know-how across our businesses. In October, we announced the first phase
of a programme which will involve the re-organisation of world-wide R&D
operations into five technology centres. Each will represent a centre of
excellence for a De La Rue core technology and will be at the disposal of all
our operations for development going forward.
Associates
Profit from associates before interest and tax fell by £4.3m to £2.4m. This
was caused by losses in De La Rue Giori, suppliers of banknote printing
machinery, which had a poor first half and, while trading is expected to
improve in the second half, the business is still likely to incur a second
half loss. As commented in the last annual report actions have been taken to
reduce the cost base. Sales at Camelot for the first half of 2000/01 were up
4% on the same period in 1999/00. A decision on the next lottery licence is
expected in mid December. Camelot has undertaken a commitment to run an
interim licence in the event of the appointment of a new operator.
Interest
The Group's net interest income was £1.3m (including interest received by
associates of £1.8m), which is £3.7m better than the same period last year as
a result of reduced average debt levels.
Taxation
Excluding exceptional items, the underlying effective tax rate was 23%,
similar to last year's full year rate. We expect that, in the absence of
unforeseen events, the tax rate for the full year will be at a similar level.
Exceptional Items
The costs incurred in integrating the acquisition of the Ascom cash handling
business were £0.4m in the first half and are currently estimated at CHF
4.8m (£1.9m) for the full year.
Cash Systems disposed of the assets of its South African business for net
proceeds of £0.6m. The loss on disposal of £3.0m was after charging £3.8m of
goodwill to the profit and loss account. This was written-off directly to
reserves when the business was originally acquired.
Cashflow & Borrowings
The net cash inflow from operating activities was £18.0m in the six months,
compared with £11.1m in the same period last year. The Group's financial
position remains very strong with net debt at the end of the first half of
£9.7m.
Outlook
Trading in our operations since the half year has been ahead of last year in
line with our expectations. It is gratifying that the robustness of our own
businesses is offsetting weakness within our associates and we now enjoy a
position of financial strength coupled with improved profitability which
provides scope for investing in growth.
This interim statement was approved by the Board on 21 November 2000.
GROUP PROFIT AND LOSS ACCOUNT
FOR THE HALF YEAR ENDED 30 SEPTEMBER 2000
2000/01 1999/00 1999/00
Half Year Half Year Full Year
Notes £m £m £m
Turnover
Continuing operations 242.3 244.9 518.9
- Acquisition 5.3 - -
Discontinued operations - 92.7 98.2
1 247.6 337.6 617.1
Operating profit
Continuing operations 29.4 25.5 55.2
- Reorganisation & arbitration - (10.4) (25.6)
costs
29.4 15.1 29.6
- Acquisition (1.8) - -
- Reorganisation costs (0.4) - -
(2.2) - -
27.2 15.1 29.6
Discontinued Operations - 4.9 5.1
1 27.2 20.0 34.7
Share of profits of associated 2.4 6.7 14.7
companies
Loss on the disposal of continuing (3.0) - -
operations
Profit on the disposal of - 57.4 56.1
discontinued operations
Loss on disposal of fixed assets (0.2) - -
Profit on sale of investments - - 2.0
Scheme of arrangement costs - - (1.1)
Profit on ordinary activities 26.4 84.1 106.4
before interest
Net interest: Group (0.5) (3.7) (3.0)
Associates 1.8 1.3 3.0
1.3 (2.4) -
Profit on ordinary activities 27.7 81.7 106.4
before taxation
Tax on profit on ordinary (7.2) (9.6) (17.7)
activities
Profit on ordinary activities after 20.5 72.1 88.7
taxation
Equity minority interests - (0.3) (1.0)
Profit for the period 20.5 71.8 87.7
Dividends (including non-equity (7.6) (9.0) (24.3)
dividends)
Transferred to reserves 12.9 62.8 63.4
2 Earnings per ordinary share 10.8p 31.9p 39.9p
Diluted earnings per ordinary share 10.7p 31.7p 39.6p
2 Headline earnings per ordinary 13.2p 11.7p 26.5p
share before reorganisation costs
Dividends per ordinary share 4.0p 4.0p 12.0p
GROUP BALANCE SHEET
AT 30 SEPTEMBER 2000
2000/01 1999/00 1999/00
Half Year Half Year Full Year
(restated)
£m £m £m
Fixed assets
Intangible assets 7.7 2.3 3.2
Tangible assets 170.9 169.2 167.4
Investments : Associates 57.4 76.9 61.0
Other investments 4.5 12.1 4.2
Own shares 5.9 - 6.2
246.4 260.5 242.0
Current assets
Stocks 77.5 93.7 72.8
Debtors 100.4 124.1 107.9
Assets held for disposal - 0.3 -
Cash at bank and in hand 34.6 185.0 85.7
212.5 403.1 266.4
Creditors: amounts falling due
within one year
Short term borrowings (14.6) (75.5) (25.5)
Other creditors (175.4) (180.5) (199.4)
Net current assets 22.5 147.1 41.5
Total assets less current 268.9 407.6 283.5
liabilities
Creditors: amounts falling due
after more than one year
Long term borrowings (29.7) (70.2) (58.1)
Other creditors (2.0) (6.5) (2.2)
Provisions for liabilities and (55.3) (65.4) (60.1)
charges
181.9 265.5 163.1
Capital and reserves
Called up share capital 48.1 56.8 48.0
Share premium account 1.5 - 0.4
Revaluation reserve 1.8 1.8 1.8
Other reserve (83.8) 11.6 (83.8)
Profit and loss account 211.5 192.5 193.7
Shareholders' funds (including non- 179.1 262.7 160.1
equity interests)
Equity minority interests 2.8 2.8 3.0
181.9 265.5 163.1
GROUP CASH FLOW STATEMENT
FOR THE HALF YEAR ENDED 30 SEPTEMBER 2000
2000/01 1999/00 1999/00
Half Year Half Year Full Year
£m £m £m
Notes
3a Cash inflow from operating 18.0 11.1 68.0
activities
Dividends received from associated 6.2 3.2 20.6
companies
3b Returns on investments and (0.6) (4.8) (5.0)
servicing of finance
Taxation 1.9 (0.4) 3.7
3c Capital expenditure and financial (9.8) (16.4) (22.0)
investment
3d Acquisitions and disposals (3.5) 194.5 185.9
Equity dividends paid (24.4) (27.0) (27.0)
Cash (outflow)/inflow before use of (12.2) 160.2 224.2
liquid resources and financing
3e Management of liquid resources 50.6 (143.3) (55.6)
3f Financing (45.7) (14.4) (161.4)
(Decrease)/increase in cash in the (7.3) 2.5 7.2
period
Reconciliation of net cash flow to
movement in net (debt)/cash
(Decrease)/increase in cash in the (7.3) 2.5 7.2
period
Cash (inflow)/outflow from (50.6) 143.3 55.6
(decrease)/increase in liquid
resources
Cash outflow from decrease in debt 46.9 14.4 56.9
Change in net debt resulting from (11.0) 160.2 119.7
cash flows
Loans and finance leases disposed - 3.7 3.7
with subsidiaries
Translation difference (0.8) 1.7 5.0
Movement in net (debt)/cash in the (11.8) 165.6 128.4
period
Net cash/(debt) at start of period 2.1 (126.3) (126.3)
Net (debt)/cash at end of period (9.7) 39.3 2.1
Analysis of net debt
Cash 21.3 33.2 21.9
Liquid resources 13.3 151.8 63.8
Overdrafts (10.3) (18.0) (2.9)
Other debt due within one year (4.3) (57.5) (22.6)
Other debt due after one year (29.7) (70.2) (58.1)
Net (debt)/cash at end of period (9.7) 39.3 2.1
GROUP STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES
FOR THE HALF YEAR ENDED 30 SEPTEMBER 2000
2000/01 1999/00 1999/00
Half Year Half Year Full Year
£m £m £m
Profit for the period: Group 18.5 65.8 75.2
Associates 2.0 6.0 12.5
20.5 71.8 87.7
Currency translation differences on 1.1 (2.7) (2.8)
foreign currency net investments
Total recognised gains for the 21.6 69.1 84.9
Period
RECONCILIATION OF MOVEMENTS IN SHAREHOLDERS' FUNDS
FOR THE HALF YEAR ENDED 30 SEPTEMBER 2000
2000/01 1999/00 1999/00
Half Year Half Year Full Year
£m £m £m
Profit for the period 20.5 71.8 87.7
Dividends (7.6) (9.0) (24.3)
12.9 62.8 63.4
Share capital issued 1.2 - 0.4
Currency translation differences on 1.1 (2.7) (2.8)
Foreign currency net investments
Goodwill - Card activities - 72.0 71.9
disposal
- Cash Systems South 3.8 - -
Africa disposal
- Other - - 0.8
Scheme of arrangement - - (103.7)
Preference shares repaid - - (0.5)
Net increase in shareholders' funds 19.0 132.1 29.5
Opening shareholders' funds 160.1 130.6 130.6
Closing shareholders' funds 179.1 262.7 160.1
NOTES TO THE INTERIM STATEMENT
1 Segmental analysis 2000/01 1999/00 1999/00
Half Year Half Year Full Year
(restated) (restated)
£m £m £m
Turnover by class of business
Continuing operations Cash Systems 114.9 124.5 257.3
Security 103.9 95.9 214.0
Paper and Print
Global Services 26.4 27.0 50.5
- Less inter-segment sales (2.9) (2.5) (2.9)
242.3 244.9 518.9
- Acquisition Cash Systems 5.3 - -
Discontinued operations Cash Systems - 8.0 13.5
Card Systems - 84.7 84.7
- 92.7 98.2
247.6 337.6 617.1
Operating profit by class of business
Continuing operations Cash Systems 5.5 0.6 4.4
Security 23.8 21.1 45.7
Paper and Print
Global Services 0.1 3.8 5.1
29.4 25.5 55.2
- Acquisition Cash Systems (1.8) - -
- Reorganisation and Cash Systems (0.4) (8.1) (19.2)
arbitration costs Security Paper - (2.3) (4.4)
and Print
Arbitration - - (2.0)
and legal costs
(0.4) (10.4) (25.6)
Discontinued operations Cash Systems - (0.2) -
Card Systems - 5.1 5.1
- 4.9 5.1
27.2 20.0 34.7
The discontinued operations in 1999/00 were the German bank branch furniture
business (Cash Systems) and the Card activities (Card Systems).
Turnover by geographical area of operation
United Kingdom and Ireland 158.8 182.2 357.9
Rest of Europe 68.1 132.4 214.8
The Americas 47.3 62.2 116.9
Rest of world 26.4 29.2 59.5
Less inter-area sales (53.0) (68.4) (132.0)
247.6 337.6 617.1
Operating profit by geographical area of operation
United Kingdom and Ireland 14.2 1.7 16.5
Rest of Europe 9.2 12.7 13.3
The Americas 2.1 3.9 1.1
Rest of world 1.7 1.7 3.8
27.2 20.0 34.7
Turnover by geographical area of destination
United Kingdom and Ireland 32.5 47.7 85.8
Rest of Europe 74.0 128.7 213.7
The Americas 67.3 86.7 163.2
Rest of world 73.8 74.5 154.4
247.6 337.6 617.1
2 Reconciliation of earnings per share Pence per Pence per Pence per
Share Share Share
As calculated under FRS 14 10.8 31.9 39.9
Loss on the disposal of continuing 1.6 - -
operations
Profit on the disposal of - (24.3) (24.3)
discontinued operations
Loss/(profit) on disposal of fixed 0.1 (0.3) (0.1)
assets and assets held for disposal
Profit on sale of investments - - (0.9)
Scheme of arrangement costs - - 0.5
Amortisation of goodwill 0.5 0.3 0.7
Headline earnings per share as 13.0 7.6 15.8
defined by the IIMR
Reorganisation costs 0.2 4.1 10.7
Headline earnings per share before 13.2 11.7 26.5
Reorganisation costs
The EPS of 10.8p as calculated under FRS 14 is the £20.5m profit for the
period divided by 189,940,354 shares in issue.
3 Notes to Group cash flow statement 2000/01 1999/00 1999/00
Half Year Half Year Full Year
£m £m £m
a Reconciliation of operating profit to net cash inflow from operating
Activities
Operating profit 27.2 20.0 34.7
Depreciation 11.1 14.7 25.0
(Increase)/decrease in stocks (5.6) (12.3) 7.9
Decrease in debtors 7.2 9.3 13.8
Decrease in creditors (18.0) (15.2) (11.3)
Decrease in reorganisation provisions (4.4) (5.8) (1.9)
Other items 0.5 0.4 (0.2)
Net cash inflow from operating 18.0 11.1 68.0
activities
b Returns on investments and servicing of finance
Interest received 5.9 4.2 4.0
Interest paid (6.2) (7.9) (7.5)
Interest element of finance lease (0.1) (0.2) (0.2)
payments
Dividends paid to minority (0.2) (0.9) (1.3)
shareholders
Net cash outflow from returns on (0.6) (4.8) (5.0)
investments and servicing of
finance
c Capital expenditure and financial investment
Purchase of intangible assets - (2.3) (2.9)
Purchase of tangible fixed assets (11.8) (13.1) (25.3)
Sale of tangible fixed assets 2.1 0.1 3.2
Purchase of investments (0.1) (2.5) (1.4)
Sale of investments - 1.4 10.6
Purchase of own shares - - (6.2)
Net cash outflow for capital (9.8) (16.4) (22.0)
expenditure and financial
investment
d Acquisitions and disposals
Purchase of subsidiary undertakings (3.7) - -
Sale of subsidiary undertakings 0.2 192.5 183.9
Net overdrafts sold with subsidiary - 1.3 0.8
undertakings
Sale of assets held for disposal - 0.7 1.2
Net cash (outflow)/inflow for (3.5) 194.5 185.9
acquisitions and disposals
The £183.9m proceeds in 1999/00 from the sale of subsidiary undertakings
comprises £200.0m received in respect of the disposal of the Card activities,
net of a £2.4m repayment to the purchaser upon finalisation of completion
accounts and £5.1m expenses associated with the disposal. This was partially
offset by a payment of £7.5m to Ingenico in relation to the disposal in
1998/99 of the Group's terminals business and a payment of £1.1m in relation
to the disposal in 1999/2000 of the German bank branch furniture business
(plan object).
3 Notes to Group cash flow statement 2000/01 1999/00 1999/00
(continued Half Year Half Year Full Year
£m £m £m
e Management of liquid resources
Net reduction/(increase) in short 50.6 (143.3) (55.6)
term deposits
f Financing
Debt due within one year:
Decrease in short term borrowings - (0.5) (0.2)
Loans repaid (18.5) (11.5) (47.5)
Debt due beyond one year:
Loans raised - 0.7 53.1
Loans repaid (27.8) (1.9) (60.7)
Capital element of finance lease (0.6) (1.2) (1.6)
rental repayments
Scheme of arrangement - - (103.3)
Preference shares repaid - - (0.5)
Scheme of arrangement costs - - (1.1)
Share capital issued 1.2 - 0.4
Net cash outflow from financing (45.7) (14.4) (161.4)
4 This interim statement has been prepared in accordance with the
guidelines published by the Accounting Standards Board.
5 The statement has been prepared applying the accounting policies
described in pages 36 and 37 of the 2000 Annual Report and Accounts, and
should be read in conjunction with the Report and Accounts.
6 The results for the half years to 30 September 2000 and 2 October 1999
are unaudited and do not constitute the Group's statutory accounts.
7 The statutory accounts for the year ended 1 April 2000 have been
delivered to the Registrar of Companies. The report of the auditors on
those accounts was unqualified and did not contain a statement under
either section 237(2) or 237(3) of the Companies Act 1985.
8 This interim statement was approved by the Board on 21 November 2000 and
is being posted to all shareholders. Copies are available from the
Company Secretary, De La Rue plc, De La Rue House, Jays Close, Viables,
Basingstoke, Hampshire, RG22 4BS.
9 The 1999/00 half year and full year comparatives have both been restated
to reflect the reporting of Global services as a separate division with
effect from 2 April 2000.
10 The 1999/00 half year comparatives have also been restated to reflect
(i) the effect of the Scheme of Arrangement which took place on 1
February 2000, and (ii) the reclassification of the bank branch
furniture business (Plan Object, which was disposed in the second second
half of 1999/00) as discontinued.