Trading Statement

Lawrence PLC 13 February 2006 13 February 2006 Lawrence plc Eco Animal Health - Update on Registrations and Trading Registrations Lawrence is pleased to report that its Eco Animal Health (Eco) subsidiary has received further registration approvals for Aivlosin and Ecomectin. Aivlosin is its patented macrolide antibiotic for the prevention and treatment of respiratory and digestive diseases in pigs and poultry. Ecomectin is an anti parasite endectocide. The latest Aivlosin approvals from The European Agency for the Evaluation of Medicinal Products (EMEA) are for a low concentration feed premix and oral powder, which will allow for the dosing of groups and individual pigs. This will enable Eco to access the key swine markets of France, Germany, Netherlands and Poland where close to half of Europe's pigs are produced. Eco will also be able to sell this additional form of Aivlosin to improve penetration of other European markets where Aivlosin high concentration formulation is already available. Eco was expecting to receive an EMEA opinion on Aivlosin in January covering the treatment of ileitis in pigs and it was expecting an opinion covering the treatment of dysentery in pigs in April. In addition Eco was expecting an opinion on Ecomectin for pig injection. The EMEA has now advised Eco that it intends to alter its timetable and will now hold a single hearing in mid March covering both Aivlosin applications. The Ecomectin opinion is expected later in the year. In Japan, Eco has received product registrations for its Ecomectin pig premix, which extends the Ecomectin range of injection and pour-on formulations. Trading The news from the EMEA is positive with a significant number of approvals granted, although the revised timing for the balance will have the effect of moving a number of opening orders, when the appropriate approvals are granted, from the end of the current financial year into the next financial year. The Interim Report indicated that Eco's budget for the current year was based on delivering opening Aivlosin orders resulting from all the approvals described above. Accordingly the Board expects that revenues for the current financial year will be behind market expectations principally as a result of lower than expected sales of higher margin products in Europe. Therefore overall gross margins will be lower than anticipated and accordingly profits before tax for the period will be significantly below expectations. Overall Eco's business continues to expand rapidly. The Lawrence Interim Report indicated that Eco's sales in the first half were thirty per cent above the equivalent period in the previous year. The second half has seen an accelerating trend and Eco's cumulative sales for the first ten months of the current year are over fifty per cent ahead of the previous year. This augurs well for the continued strong growth of Lawrence's animal health business. Contacts: Peter Lawrence Chairman, Lawrence plc 020 8336 2900 Anthony Spiro Spiro Financial 020 8949 0428 Philip Davies Charles Stanley Securities 020 7953 2457 Notes to Editors: Lawrence plc is a leader in the development, manufacture and distribution of principally specialist chemical and pharmaceutical products for the animal health and farming markets worldwide. Our products for these growth markets incorporate natural ingredients to promote well being and sustainability. We achieve our financial goals through the careful and responsible application of science to generate value for our shareholders. This information is provided by RNS The company news service from the London Stock Exchange AEFAKKEFE
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