RNS Number : 7866J
JPMorgan Claverhouse IT PLC
09 December 2008
JPMorgan Claverhouse Investment Trust plc
Following the successful outcome, in June 2007, of the action brought by the Company and the Association of Investment Companies to declare that VAT should not be charged on management fees for investment trust companies, the Board is pleased to announce that it has reached agreement in principle with the Company's manager, JPMorgan Asset Management ('JPMAM'), on the recovery of past VAT. The total recovery is approximately £3.3 million. This recovery, which to date has not been recognised as an asset by the Company due to the uncertainty of the recovery, will be reflected in the Company's net asset value with effect from 8th December 2008. It is estimated that this will result in an uplift of approximately 5.86 pence to the net asset value per share. The Board expects to sign a formal agreement with JPMAM shortly. HMRC will pay interest on the recovery. The amount of interest and timing of receipt remain uncertain and credit for the interest will be taken at a later date once it has been agreed.
The VAT recovery will be credited to the Company's revenue and capital accounts in accordance with the Board's policy for allocation of management fees and finance costs for each of the periods for which VAT is recovered.
9th December 2008
For further information:
JPMorgan Asset Management (UK) Limited ......................... 020 7742 6000
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