12th Dec 2006 07:00
Fuller,Smith&Turner PLC12 December 2006 12 December 2006 Fuller Smith & Turner P.L.C. Disposal of Hotel Site Fuller Smith & Turner P.L.C. ("Fuller's" or "the Company") today announces thatTesco Stores Limited has exercised its option to acquire Fuller's freehold andleasehold interests in the Master Brewer Hotel site at Hillingdon, West London,for a total cash consideration of £18.5m. The 105-bedroom Master Brewer Hotel has been trading on this site since 1969.The net book value at 30 September 2006 was £4.86m and losses in the six monthperiod to 30 September 2006 were £0.03m. An exceptional pre-tax profit of approximately £13.2m will be generated, themajority of which is unlikely to give rise to a corporation tax liability undercurrent legislation due to the anticipated availability of roll over relief. Theprofit on the sale will incur a deferred tax liability under IFRSs. The consideration payable in cash will be used in the medium-term to acquireadditional sites for the Fuller's estate currently comprising 363 pubsand hotels and, in the short-term, to reduce debt. The disposal will be earningsenhancing. The sale will allow Fuller's Inns to retain its focus on its moretraditional pubs and hotels business comprising its remaining six hotels and the17 pubs with bedrooms, which form part of the recently combined Fuller's/Galesestate. - Ends - For further information please contact: Fuller Smith & Turner P.L.C.Press Office: 020 8996 2048 Mob: 07748 657854 Email: [email protected] Turner (press): 020 8996 2048Paul Clarke (analysts): 020 8996 2048 Merlin 020 7653 6620Vanessa Maydon 07802 961 902 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Fuller Smith & Turner