| Fri 8 May 2009, 16:30 | | SER/SRN - Seardel - Trading Statement |
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SER SRN
SER
SER/SRN - Seardel - Trading Statement
SEARDEL INVESTMENT CORPORATION LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1968/011249/06)
Share code: SER ISIN Code: ZAE000029815
Share code: SRN ISIN Code: ZAE000030144
("Seardel" or "the company" and, together with its subsidiaries, "the group")
TRADING STATEMENT
In terms of the Listings Requirements of the JSE Limited, companies are required
to publish a trading statement as soon as they become aware that the financial
results for the period to be reported upon next would differ by at least 20%
from the previously corresponding period.
Seardel accordingly advises that for the 9 month period ended 31 March 2009 the
company expects its headline loss to be between R190 million and R210 million
and the attributable loss to be between R270 million and R295 million. The
headline loss per share is expected to be between 43 cents and 48 cents and the
attributable loss per share to be between 61 cents and 67 cents.
This would translate to an increase in headline loss of between 92% and 112%,
and an increase in attributable loss of between 51% and 66% to the previous
corresponding period. However, as per the announcement published on SENS on 8
December 2008, Seardel changed its year end from 30 June to 31 March to align
its financial year end with that of its majority shareholder being Hosken
Consolidated Investment Limited. Accordingly, the results for the previous
corresponding period are the company`s results for the year ended 30 June 2008.
Shareholders are further advised that the headline loss per share and
attributable loss per share have been calculated on an increased number of
Seardel ordinary shares in issue compared to the previous corresponding period.
This resulted from an additional 613,057,249 Seardel ordinary shares being
issued during the 9 month period ended 31 March 2009 pursuant to a rights offer.
A contributing factor to the results to 31 March 2009 were the poor trading
results from the Textile Division`s vertical pipeline being spinning, weaving,
finishing and denim divisions. Shareholders are referred to the announcement
regarding the proposed closure of these divisions released on SENS on 9 April
2009. Other factors contributing to the losses were retrenchment and relocation
costs incurred as part of the group`s turnaround plan, impairments to plant and
equipment and inventory obsolescence provisions and write offs.
Further details will be contained in the groups` results which are expected to
be published on SENS by 18 May 2009.
The financial information on which this trading statement is based has not been
reviewed or reported on by the company`s auditors.
8 May 2009
Sponsor
Java Capital (Proprietary) Limited
Date: 08/05/2009 16:30:01 Produced by the JSE SENS Department.
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