2nd Jul 2014 10:49
LONDON (Alliance News) - CPPGroup PLC Wednesday said that it is continuing to work on plans to restructure its balance sheet as it looks to form a base from which to build in the future, adding that it is exploring the possible requirement to raise funds and review the "appropriate" UK listing for its shares.
In a statement ahead of its interim results, CPP, which is currently listed on the London Stock Exchange's main market and a member of the FTSE Fledgling Index, indicated that trading has been challenging.
The group has been rocked by its part in a scandal that saw its products mis-sold to clients through a number of the UK's high street banks. CPP is currently assessing claims under a GBP1.3 billion scheme set up to repay customers who were mis-sold insurance products such as card protection and identity protection. CPP itself has set aside GBP69.8 million for potential claims.
"Scheme claims continue to track within expectations and the total cost provided to date remains unchanged from the year-end," CPP said in a statement.
The group reiterated that it has a clear short-term plan to help it return to health.
"The immediate focus is to complete the scheme, manage costs tightly and return the group to a position of stability. A number of positive changes have taken place as part of the group's on-going review of its existing activities, including the continued focus on the required improvements to the operating environment and IT infrastructure, which will contribute to providing a sustainable business proposition for the long term," CPP said in a statement.
It said it will report interim results for the six months ended June 30 at some point in August.
CPP shares were Wednesday quoted at 10.30 pence, down 2.0%.
By Samuel Agini; [email protected]; @samuelagini
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