Pre-Close Trading Statement

Filtrona plc 26 June 2006 PRE-CLOSE TRADING STATEMENT Filtrona today issues a pre-close trading statement ahead of its interim results for the half year ending June 30th 2006. Underlying sales growth in both Plastic and Fibre Technologies has continued to exceed historical growth rates supplemented by some additional benefit derived from foreign currency exchange movements. Plastic Technologies has continued to deliver strong sales and profit growth with an excellent performance from the North American businesses. The FractureCode launch at the Intergraf Security Printers' conference was well received. Sustained investment in marketing programmes, new products and productivity improvements continues to drive growth in this business segment. Fibre Technologies has also continued to deliver strong sales growth with increases in special filters and a robust recovery in the household products element of the bonded non-woven fibres business more than offsetting the anticipated decline in mono acetate filters. Profits are expected to show a small reduction due to two ongoing factors referred to in earlier statements, namely higher than anticipated costs required to generate appropriate levels of quality and productivity at the Monterrey, Mexico filters facility and the costs of integrating the technology transferred after the closure of the Swiss filters facility into the Jarrow facility in the UK. Overall, in the first half of the year Filtrona made good underlying progress though headline performance was constrained due to 2005 having benefitted from lower central services costs in the pre-demerger period. Despite the weaker dollar and higher interest rates, Filtrona has continued to invest both in developing its niche market positions through service, supply chain and new product development and in productivity improvement programmes, particularly in the filters business. This gives the Board confidence that Filtrona's financial performance will continue to develop satisfactorily. Editor's Note: Plastic Technologies produces, sources and distributes protection and finishing products, self-adhesive tear tape and certain security products as well as proprietary and customised plastic extrusions and packaging items for consumer products. Fibre Technologies focuses on the production and supply of special filters for cigarettes and bonded fibre products such as reservoirs and wicks for writing instruments and printers, household products and medical diagnostic devices. Enquiries: Filtrona plc Tel: 01908 359 100 Mark Harper, Chief Executive Steve Dryden, Finance Director Finsbury Tel: 020 7251 3801 Morgan Bone Gordon Simpson This information is provided by RNS The company news service from the London Stock Exchange

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