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West 175 Media Grp (WEP)

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Thursday 15 December, 2005

West 175 Media Grp

Interim Results

West 175 Media Group Inc
15 December 2005



                           WEST 175 MEDIA GROUP INC.


                                 Interim Report

                            for the six months ended

                               30 September 2005



CHAIRMAN'S STATEMENT

The Company's operating loss for the six months ended 30 September 2005
increased to £213,631, compared with a first half loss in 2004 of £49,000. After
a non recurring credit of £150,415 and interest received of £23,611, the loss
before taxation for the half year amounted to £39,605 compared with a first half
profit in 2004 of £1,580,000. The loss per share in the six months amounted to
0.01 pence, compared with earnings per share of 1.79 pence in the comparative
six months.

The comparative half year ended 30 September 2004 enjoyed the benefit of the
non-recurring credit of £1,625,000 arising from the Company Voluntary
Arrangement ('CVA'). Under the CVA, most of the amounts contained in the balance
sheet as at 31 March 2004 and owing to creditors and to holders of the Company's
loan notes were cancelled. As a result, the profit before taxation amounted to
£1,580,000.

The Company disposed of its last trading subsidiary in March 2003 and continued
as a non-trading shell in the six months ended 30 September 2005. The Company
continued not to trade and no turnover was recorded in the six months under
review.

Since my statement in the annual report in July this year, the Directors and
their advisers have considered a number of opportunities. However, none have met
all the criteria set by the Directors and therefore no acquisition has yet
occurred. In the case of one potential opportunity, the Company had to commit to
professional costs for legal and accounting due diligence: in the event this
particular potential acquisition did not proceed. The Directors continue to
analyse the market and search for an appropriate acquisition for the Company and
its shareholders.

Legally, the Company is registered in the State of California. Hence, it
prepares and files tax returns and other annual legal returns in the United
States of America. This legal domicile has become anomalous, since the Company
has no activity or other connection with the USA. In preliminary discussions
with potential acquisitions, it became apparent that the US domicile of the
Company was restricting the appeal of West 175 to such companies. Accordingly,
the Directors sought advice from US and UK legal advisers on how to transfer the
ultimate holding company from a USA entity to a UK public limited company. The
legal methodology to achieve this has now been established and the operating
expenses incurred in the first half year include significant charges from US and
UK law firms in this respect.

The first half year results include a non-recurring credit of £150,415. On 1st
June 2005, the Company announced that it received a court judgment in the amount
of £141,498.36 against Strategic Planning Associates SRL ('SPA'). SPA is a
company incorporated in Spain which is associated with Edouard Cointreau and is
also a shareholder in West 175.  This outstanding debt arose from a failure by
SPA to pay consideration under a contract dated 30 September 2002, by virtue of
which West 175 sold Gourmand International Ltd and certain other companies to
SPA. SPA had previously sold Gourmand International Ltd to West 175. After the
issue of the court judgment, SPA paid this indebtedness and the associated
interest in installments. By 30th September only the first installment of
£50,000 had been received in cash. The final installment was received on 12
December 2005, increasing the amount that West 175 has received in cash from SPA
to £150,415. A small additional amount is due from SPA as a consequence of late
payment of the final installment.

In financial terms, the balance sheet of the Company remains strong, with net
assets of £1,169,000 and cash balances of £1,156,000 as at 30th September 2005.

During the six months and as part of the preparatory work prior to any
acquisition, the Directors and certain associated parties surrendered some of
their options and warrants in the Company. In aggregate, 394,720 options and
5,861,111 warrants were surrendered. The Directors continue not to draw any
remuneration from the Company.

The Board has continued to seek a suitable acquisition and I am confident that
such an opportunity will soon be identified.  I look forward to having an
opportunity to update shareholders on our progress in the near future.


David Montgomery
Chairman
15 December 2005



PROFIT AND LOSS ACCOUNT
For the six months ended 30 September 2005

                                                   Notes     Six months ended   Six months ended
                                                            30 September 2005   30 September 2004
                                                                  £'000              £'000
                                                               (unaudited)        (unaudited)

Turnover                                                                     -                  -

Cost of sales                                                                -                  -

Gross profit                                                                 -                  -

Other operating expenses                                                   213                 49

Group operating loss                                                     (213)               (49)

Non-recurring credit                                      1                150              1,625

                                                                          (63)              1,576

Interest payable                                                             -                  -

Interest receivable                                                         23                  4

(Loss)/profit before taxation                                             (40)              1,580

Taxation                                                                     -                  -

(Loss)/profit for the period                                              (40)              1,580

(Loss)/earnings per share (pence)                         2             (0.01)               1.79






BALANCE SHEET
as at 30 September 2005
                                                                   30 September 2005    30 September
                                                                         £'000              2004
                                                                      (unaudited)           £'000
                                                                                         (unaudited)

Current assets
Debtors:  amounts falling due within one year                                     100                19
Cash at bank and in hand                                                        1,156               292
                                                                                1,256               311

Creditors:  amounts falling due within one year                                  (87)                 -

Net current assets                                                              1,169               311

Total assets less current liabilities                                           1,169               311

Creditors:  amounts falling due after
   more than one year                                                               -                 -
                                                                                1,169               311

Capital and reserves
Called up share capital                                                        23,101            22,001
Profit and loss account                                                      (21,932)          (21,690)

Shareholders' funds                                                             1,169               311





CASH FLOW STATEMENT
for the six month period to 30 September 2005
                                                               Six months ended  Six months ended
                                                               30 September 2005 30 September 2004
                                                                     £'000             £'000
                                                                  (unaudited)       (unaudited)

Cash flow from operating activities                                        (222)             (232)
Returns on investments and servicing of finance
 Interest received                                                            23                 4

Acquisitions and disposals
  Proceeds from sale of subsidiary in 2002                                    50                 -

Cash flow before financing                                                 (149)             (228)

Financing                                                                    
 Issue of shares                                                           1,040               515

Increase/(decrease) in cash                                                  891               287



Reconciliation of operating loss to operating cash flow

Operating loss                                                             (213)              (49)

Expenses paid in shares                                                        -                15
Non recurring CVA credit                                                       -             1,625
Movement in debtors                                                            -              (19)
Movement in creditors                                                        (9)           (1,804)
                                                                           (222)             (232)




NOTES TO THE INTERIM STATEMENTS
for the six month period to 30 September 2005

     
1.   In June 2005, the Company announced that it had received a court judgement 
     in the amount of £141,498.36 against Strategic Planning Associates SRL 
     ('SPA'). SPA is a company incorporated in Spain which is associated with 
     Edouard Cointreau and which is also a shareholder in West 175. The 
     outstanding debt arose from a failure by SPA to pay consideration under a 
     contract dated 30 September 2002, by virtue of which West 175 sold Gourmand
     International Ltd and certain other companies to SPA. SPA had previously 
     sold Gourmand International Ltd to West 175. The amounts owing were 
     received in instalments in August, October and December 2005. With 
     associated interest received, the Company received £150,415. A small 
     additional amount is due from SPA as a consequence of late payment of the 
     final instalment.

     The non recurring credit in the previous year related to the Company 
     Voluntary Arrangement, fully described in several documents sent to 
     shareholders, holders of former loan notes and creditors in documents dated 
     14 May 2004. The CVA was successfully completed on 7 July 2004.
     
2.   The calculation of earnings per share is based on the loss after tax of 
     £39,605 and on the number of shares in issue, being the number of shares in 
     issue during the period of 291,957,470.

3.   This Interim Statement for the six months ended 30 September 2004 is
     unaudited and was approved by the Directors on 15 December 2005. The 
     financial information set out above does not constitute statutory accounts 
     within the meaning of Section 240 of the Companies Act 1985, as if this Act 
     applied to the Company.

4.   The accounting policies remain as stated in the Annual Report for the year
     ended 31 March 2005.

5.   This Interim Statement is being sent by post to all registered 
     shareholders. Additional copies are available from the Company Secretary at 
     46 Cannon Street, London, London EC4N 6JJ.




DIRECTORS AND ADVISERS

Directors

David Montgomery, chairman
Charles Sebag-Montefiore FCA, non-executive
John Gunn, non-executive

Secretary

Ludgate Investments Limited

Registered Office                                 Nominated brokers and advisers

CT Corporation System                                Teather & Greenwood Limited
818 West Seventh Street                                           Beaufort House
Los Angeles                                                15 St. Botolph Street
California 90017                                                 London EC3A 7QR
USA

Registered number                                                 Legal advisers

1465706                                                              Withers LLP
                                                                   16 Old Bailey
                                                                 London EC4M 7EG

Auditors                                                              Registrars

Rees Pollock                                                      Capita IRG Plc
35 New Bridge Street                                                Bourne House
London EC4V 6BW                                                34 Beckenham Road
                                                                       Beckenham
                                                                    Kent BR3 4TU

Principal bankers                                  Address for UK correspondence

Clydesdale Bank Plc                              c/o Ludgate Investments Limited
91 Gresham Street                                                      1st Floor
London EC2V 7BL                                                 46 Cannon Street
                                                                 London EC4N 6JJ



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