RNS Number:1454P
Amberley Group PLC
28 August 2003


FOR IMMEDIATE RELEASE                                            28 AUGUST 2003

                                   AMBERLEY GROUP PLC

                               Preliminary Announcement
                           For the year ended 30 April 2003


Chairman's Statement



OVERVIEW



On 31 July 2002, High Court approval was received for a Capital Reduction which
created the necessary distributable reserves for the Group to undertake a share
buyback. On 6 September 2002 the Company purchased, by way of a tender offer,
35,937,500 of its ordinary shares at a price of 32p per share. This represented
a buyback of 60.5% of the Group's issued share capital and a return of funds to
shareholders of #11.5 million.



RESULTS



In the year ended 30 April 2003, the Group recorded a loss after tax of #73,000
(Thirteen month period ended 30 April 2002: loss of #28.7 million). The costs
incurred in the period were mainly in respect of the Head Office function and
its closure in October 2002. The loss per share in the period was 0.2p (Thirteen
month period ended 30 April 2002: 43.6p).



Net cash at 30 April 2003 was #1.1 million (April 2002: #1.4 million) with net
assets of #1.72 million (April 2002: #18.14 million). In May 2003, a further
#1.79 million of disposal consideration was received in respect of the DS Group
disposal, leaving approximately #120,000 to be collected. The Group's tangible
fixed assets, being freehold properties in Hull, continue to be marketed.



The Directors have proposed a final  dividend of 10.0p per share payable on 17
October 2003 to shareholders on the register on 19 September 2003, bringing the
total dividend for the year to 20.0p (Thirteen month period ended 30 April 2002:
1.0p). The total return to shareholders during the year was #16.2 million.



THE FUTURE



Mr R J Goddard has indicated that he will resign as a director of the company
following the Annual General Meeting on 14 October 2003. The Board would like to
express its gratitude for his services during the disposal process.



Your Board will continue to collect the outstanding disposal consideration, pay
off the remaining liabilities and convert the Group's other assets into cash.
Once the assets have been realised, it is the Board's current intention that the
remaining funds will be returned to shareholders in the most cost-effective way
possible.





Roger Fletcher
Chairman
28 August 2003




For further information, please contact:

Amberley Group PLC - Alan Sime                                 Tel: 07710 010359
Arbuthnot - Susan Brice                                       Tel: 0121 710 4501





GROUP PROFIT AND LOSS ACCOUNT


                                                              Year ended       Thirteen month period ended
                                                           30 April 2003              30 April 2002


                                                                             Before
                                                                        exceptional Exceptional
                                                                 Total        items       items     Total
                                                                  #000         #000        #000      #000


Turnover                                                             -       49,346           -    49,346



Operating loss                                                   (260)      (1,739)       (678)   (2,417)
Share of associated undertakings profits                             -          249           -       249
Loss on disposal of discontinued operations                          -            -    (25,920)  (25,920)


Loss before interest                                             (260)      (1,490)    (26,598)  (28,088)

Interest receivable                                                398          139           -       139
Interest payable and similar charges                             (212)        (490)           -     (490)


Loss on ordinary activities before taxation                       (74)      (1,841)    (26,598)  (28,439)

Tax on loss                                                          1        (303)           -     (303)


Loss on ordinary activities after taxation                        (73)      (2,144)    (26,598)  (28,742)


Equity minority interests                                            -                              (118)


Loss for the financial period                                     (73)                           (28,860)

Dividends                                                      (4,692)                              (594)



Retained loss for the financial period                         (4,765)                           (29,454)


Loss per share prior to goodwill amortisation and
exceptional items                                               (0.2p)                             (2.6p)

Basic and diluted loss per share                                (0.2p)                            (43.6p)




The prior period results relate, in all material respects, to discontinued
activities.



The results for the year ended 30 April 2003 represent the net losses in respect
of managing the disposal of those discontinued activities.





GROUP BALANCE SHEET
                                                                                            30                 30
                                                                                         April              April
                                                                                          2003               2002
                                                                                          #000               #000

Fixed assets
Tangible fixed assets                                                                      975                975


Current assets
Debtors  -   disposal consideration                                                      1,921             13,778
         -   other debtors                                                                 218              2,996


                                                                                         2,139             16,774

Cash at bank and in hand                                                                 1,107              1,438


                                                                                         3,246             18,212

Creditors
Amounts falling due within one year                                                    (2,498)            (1,049)


Net current assets                                                                         748             17,163




Net assets                                                                               1,723             18,138



Capital and reserves
Called up share capital                                                                    587              1,485
Capital redemption reserve                                                                 898                448
Share premium account                                                                        -             14,638
Profit and loss account                                                                    238              1,567


Equity shareholders' funds (note 5)                                                      1,723             18,138




GROUP CASH FLOW STATEMENT

                                                                                                  Thirteen month
                                                                                   Year ended       period ended
                                                                                     30 April           30 April
                                                                                         2003               2002
                                                                                         #000               #000


Net cash (outflow)/inflow from operating activities (note 7a)                         (1,205)              4,705

Dividends received from associates                                                          -                117

Returns on investments and servicing of finance (note 7b)                                 221              (501)

Taxation (note 7b)                                                                          1                320

Capital expenditure (note 7b)                                                               2              (735)

Disposals (note 7b)                                                                    14,856              6,662

Equity dividends paid                                                                 (2,346)            (1,290)



Cash inflow before financing                                                           11,529              9,278


Financing
Redemption of share capital                                                          (11,650)            (2,353)
Repayments of borrowings                                                                    -              (692)
Cash outflow from finance leases and hire purchase agreements                               -               (40)


Net cash outflow from financing                                                      (11,650)            (3,085)


(Decrease)/increase in cash                                                             (121)              6,193








RECONCILIATION OF NET CASH FLOW TO MOVEMENT IN NET FUNDS


                                                                                                  Thirteen month
                                                                                   Year ended       period ended
                                                                                     30 April           30 April
                                                                                         2003               2002
                                                                                         #000               #000

(Decrease)/increase in cash                                                             (121)              6,193
Cash outflow from debt and lease financing                                                  -                732


Change in net funds resulting from cash flows                                           (121)              6,925
Loans and lease finance disposed of with subsidiary undertakings                            -              2,299
Exchange movement                                                                       (210)                (3)


Movement in net funds/(debt) in period                                                  (331)              9,221
Net funds/(debt) at start of the period                                                 1,438            (7,783)


Net funds at end of period (note 7c)                                                    1,107              1,438






NOTES


1.    The results are reported in accordance with applicable UK accounting standards.


2.    Exceptional items


      The exceptional items were as follows:

                                                                                             Thirteen month
                                                                              Year ended       period ended
                                                                                30 April           30 April
                                                                                    2003               2002
                                                                                    #000               #000

      Operating:
      Impairment of freehold property at Bousfield                                     -                510
      Redundancy and restructuring costs at Bousfield                                  -                168


                                                                                       -                678

      Non operating:
      Loss on disposal of business undertakings                                        -             25,920


                                                                                       -             26,598


3.      Dividend

         The directors have recommended a final dividend of 10.0p per share (2002: 0.0p per share) making a
        total dividend for the year of 20.0p per share (2002: 1.0p per share). The final dividend will be paid
        on 17 October 2003 to shareholders on the register on 19 September 2003.

4.      Loss per share

        The weighted average number of shares in issue during the period and the diluted weighted average
        number of shares was 36,162,638 (2002: 66,139,293).  The basic loss per share has been calculated on
        losses of #73,000 (2002: #28,860,000) and the loss per share prior to goodwill amortisation and
        exceptional items has been calculated on losses of #73,000 (2002: #1,718,000). Share options do not
        have a dilutive effect.

        A reconciliation of the two loss per share figures is as follows:
                                                                                            Thirteen month
                                                                             Year ended       period ended
                                                                               30 April          30 April
                                                                                   2003               2002
                                                                                      p                  p

           Basic loss per share
                                                                                  (0.2)             (43.6)
           Elimination of goodwill amortisation
                                                                                      -                0.8
           Elimination of exceptional items
                                                                                      -               40.2


           Loss per share prior to goodwill amortisation and                                        
           exceptional items                                                      (0.2)              (2.6)





5.    Reconciliation of movements in equity shareholders' funds


                                                                                               Thirteen month
                                                                               Year ended        period ended
                                                                                       30            30 April
                                                                                    April
                                                                                     2003                2002
                                                                                     #000                #000

      Opening equity shareholders' funds                                           18,138              28,456
      Loss for the financial period                                                  (73)            (28,860)
      Dividends                                                                   (4,692)               (594)
      Reinstatement of goodwill previously written off on acquisition of
      business undertakings                                                             -              21,553
      Currency translation differences on the net investment in foreign
      subsidiaries                                                                      -                (64)
      Capital redemption (including expenses)                                    (11,650)             (2,353)


      Closing equity shareholders' funds                                            1,723              18,138




On 31 July 2002 the High Court sanctioned a capital reduction which credited the
profit and loss account with #15.086 million, being the total of the amounts
previously standing to the credit of the Company's capital redemption reserve
and the Company's share premium account. On 6 September 2002 the Company
purchased 35,937,500 of its ordinary shares for cancellation at a price of 32p
per share, giving a distribution to shareholders of #11.5 million. In accordance
with the Companies Act 1985, the equivalent of the nominal value of the shares
repurchased, being #898,000, has been transferred to the capital redemption
reserve. Transaction costs in respect of the share repurchase and cancellation
were #150,000.


6.     Statement of total recognised gains and losses
                                                                                                 Thirteen month
                                                                                  Year ended       period ended
                                                                                          30                 30 
                                                                                       April              April
                                                                                        2003               2002
                                                                                        #000               #000

       Loss for the financial period
                                                                                        (73)           (28,860)

       Currency translation differences on the net investment in foreign
       subsidiaries                                                                        -               (64)


       Total gains and losses recognised since the last annual report                   (73)           (28,924)




7.     Notes to the group cash flow statement
                                                                                                 Thirteen month
                                                                                  Year ended       period ended
                                                                                    30 April           30 April
                                                                                        2003               2002
                                                                                        #000               #000

   (a) Reconciliation of operating loss to operating cash flows
            Operating loss                                                             (260)            (2,417)
            Goodwill amortisation                                                          -                544
            Depreciation                                                                   -              2,692
            Profit on sale of fixed assets                                               (2)               (59)
            Increase in stocks                                                             -              (137)
            (Increase)/decrease in debtors                                              (64)              5,115
            Decrease in creditors                                                      (879)            (1,033)


       Net cash (outflow)/inflow from operating activities                          (1,205)              4,705


   (b) Analysis of cash flows
       Returns on investments and servicing of finance
                     Interest received                                                   241                137
                     Interest paid                                                      (20)              (488)
                     Interest element of finance lease rental payments                     -               (10)
                     Equity dividends paid to minority interests                           -              (140)


       Net cash inflow/(outflow) from returns on investments and servicing
       of finance                                                                        221              (501)


       Taxation
                    Taxation recovered                                                     1                320


       Net cash inflow from taxation                                                       1                320


       Capital expenditure
                   Payments to acquire tangible fixed assets                               -            (1,079)
                   Receipts from sales of tangible fixed assets                            2                344


       Net cash inflow/(outflow) from capital expenditure                                  2              (735)


       Disposals
       Receipts in respect of sale of subsidiary undertakings (net of                 14,856              8,109
       expenses)

       Net cash disposed of with subsidiary undertakings                                   -            (1,447)


       Net cash inflow from acquisitions and disposals                                14,856              6,662



7.     Notes to the group cash flow statement (continued)



   (c) Analysis of net debt

                                                         At                                    At
                                                      1 May       Cash    Exchange       30 April
                                                       2002       flow    movement           2003
                                                       #000       #000        #000           #000

       Cash at bank and in hand                       1,438      (121)       (210)          1,107


8.     The financial information set out above does not constitute the company's statutory accounts for the year
       ended 30 April 2003 or for the thirteen month period ended 30 April 2002 but is derived from those accounts.
       Statutory accounts for 2002 have been delivered to the registrar of companies, and those for 2003 will be
       delivered following the company's annual general meeting.  The auditors have reported on those accounts;
       their reports were unqualified and did not contain statements under section 237(2) or (3) of the Companies
       Act 1985.

9.     This preliminary announcement was issued to the press on 29 August 2003. The statutory accounts are expected
       to be posted to shareholders on 8 September 2003 and further copies will be available from Arbuthnot
       Securities Limited, Temple Court, 35 Bull Street, Birmingham, B4 6ES.




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