CHG Chemring Group Plc

    FOR IMMEDIATE RELEASE                                          20 MARCH 2008

                              CHEMRING GROUP PLC                               

                                 AGM STATEMENT                                 

Chemring Group PLC ("Chemring" or "the Group") is to hold its Annual General
Meeting at 2.30pm today. The Chairman, Ken Scobie, will make the following
statement:

"The previous financial year was one of strong growth across all our businesses
and I am delighted to report that the Group continues to perform well. Trading
in both our Countermeasures and Energetic divisions, during the first part of
2008, has been in line with our expectations. The Group's order book has
increased to a record �420 million, about 63% higher than at this time last
year.

In the Countermeasures division, we were delighted that Kilgore Flares Company
LLC ("Kilgore") won the competition to supply the M212 flare to the US
Department of Defense. The M212 flare is a key component in the flare suite
used by the US Army and US Air Force to protect helicopters from infra-red
("IR") guided missiles. Chemring now manufactures all three flare components of
this advanced IR countermeasure suite ("AIRCMM"). The five year IDIQ
(Indefinite Delivery, Indefinite Quantity) contract has a maximum value of
$382.9 million and is the largest framework contract ever placed with the Group
by the US Government. A first delivery order for 200,500 flares at a value of
approximately $14.9 million, for delivery in the second half of 2009, has just
been awarded, and is included in the order book of �420 million referred to
above.

I am also delighted to announce that the US Department of Defense has just
awarded Kilgore a $20 million contract for the annual buy of M206 (another of
the AIRCMM components), MJU-7 (F-16) and MJU-10 (F-15) flares for delivery in
2008 and 2009.

Alloy Surfaces Company, Inc. is also negotiating a five year IDIQ contract with
the US Department of Defense for the special material decoy component of the
helicopter flare suite. Although negotiations have been protracted, we are
confident that the new contract will be announced shortly.

Demand from NATO countries for conventional and spectral IR decoys remains
strong and our UK countermeasures facility continues to operate at maximum
capacity. There has also been a significant increase in the demand for naval
countermeasures, and two NATO countries have recently placed orders for both IR
and radio frequency ("RF") technology variants.

The Energetics businesses are also performing well. Over �120 million of new
orders have been received in the first four months of this financial year,
almost treble that of last year. Simmel Difesa SpA, in particular, has made a
strong start to the year, having recently restarted production of the 81mm
white-light illumination round. The first batch of new product has been
delivered, and a multi-year order for the supply of 140,000 white-light and
50,000 black-light illumination rounds has been received.

I am also pleased to announce that the Group has successfully completed the
acquisition of Titan Dynamic Systems, Inc. ("Titan") for a cash consideration
of $4.75 million, having received the necessary regulatory approvals. Titan,
based in Marshall, Texas, USA, is a leading manufacturer of battlefield effects
simulators, which are incorporated into the US Army's and Marine Corps' digital
training ranges. The acquisition of Titan is an important step towards
consolidating our leading position in the battlefield effects simulation
market, particularly in the USA.

In November 2007, the Group completed a $150 million private placement of ten
year fixed interest loan notes in the USA with a number of institutional
investors. The proceeds from the loan notes, which carry an interest rate of
approximately 6.30%, were used to repay short term dollar debt and have
provided the Group with additional working capital facilities. The
strengthening of our balance sheet gives us greater flexibility as we continue
to pursue our growth strategy.

The Board remains confident that the prospects for growth in 2008 continue to
be excellent."

For further information:

Ken Scobie Chairman, Chemring Group PLC 01489 881880

Dr David Price Chief Executive, Chemring Group PLC 01489 881880

Rupert Pittman Cardew Group 0207 930 0777 



END

Chemring (LSE:CHG)
과거 데이터 주식 차트
부터 6월(6) 2024 으로 7월(7) 2024

Chemring (LSE:CHG)
과거 데이터 주식 차트
부터 7월(7) 2023 으로 7월(7) 2024