3rd May 2006 11:40
3 May 2006 AGM STATEMENT Rolls-Royce Group plc is today holding its 2006 Annual General Meeting at theExcel Centre in London.Sir John Rose, Chief Executive, presented the Group's strategy to shareholdersand made the following comments on the Group's outlook:"We continue to make good progress and are well positioned for long-termgrowth, despite the challenges of commodity price inflation and the continuingweakness of the US dollar."We have recently made proposals to our employees in order to address thepension fund deficit. The key points are that we are offering to inject ‚£500min cash in return for agreement on certain measures. The proposals are intendedto reduce the size and volatility of the deficit and include a move fromdefined benefit to defined contribution schemes for new employees.We would, however, maintain existing benefits for current scheme members."Looking to the future, our strong order book, long-term services revenuestream and our focus on operational performance underpin our expectations for2006, of positive cash flow, before the impact of any additional cashinjections to the pension schemes, and a continued growth in profits."Current trading is consistent with these expectations."For further information please contact:Caroline Harris Peter Barnes-WallisActing Director of Corporate Communications Director of Financial CommunicationsTel: +44 (0)20 7227 9232 Tel: +44 (0)20 7227 9141caroline.harris@rolls-royce.com peter.barnes-wallis@rolls-royce.comENDROLLS-ROYCE GROUP PLCRelated Shares:
Rolls-Royce