Maclellan Group PLC
10 January 2001
10 January 2001
MacLellan Group plc ('Group')
In the interim statement dated 31 May 2000, the Board announced that it was
committed to expanding the Group's presence in the outsourced business
services market by growing the Integrated Services Division both organically
and through acquisition.
The Board is pleased with the progress that has been made by its core
Integrated Services Division which, for the 15 month period ended 31 December
2000, is expected to contribute virtually all of the Group's operating profit.
The Board expects this operating profit to be in the region of £2.3 million.
As a result of several major contract wins, the Board remains confident about
the outlook for this division in 2001.
It was also stated in the interim results that the Group's other division,
Engineering Services, had experienced reduced activity levels as a result of
issues relating to transportation of nuclear fuel to BNFL's Sellafield site.
In the final quarter of the year, lower than anticipated levels of business
continued to be conducted with BNFL as a result of these issues and, in
addition, the start-up of the significant contract win at Devonport Dockyard
was delayed. This division will, therefore, contribute significantly less to
the period end results than the Board originally expected. The Board has
decided that the Engineering Services Division is no longer core to the future
development of the Group and it is looking to effect an orderly disposal of
the businesses in this division.