2nd Aug 2007 07:01
Northumbrian Water Group PLC02 August 2007 2 August 2007 Northumbrian Water Group plc ("the Company") Interim Management Statement The Company is today publishing its first Interim Management Statement whichrelates to the period 1 April 2007 to 1 August 2007. The Board confirms that trading has been in line with expectations and thatthere have been no material events or transactions during the period. Whilst the adverse weather conditions during recent weeks have caused someflooding in the north east, this has not been as serious or extensive as inother parts of the country. Operating costs are being managed and energy costs are likely to be around £6mlower for 2007/08 reflecting the fact that 77% of our power requirement has nowbeen contracted. Capital investment is proceeding according to plan and we expect to submit theplanning application to expand the capacity of our reservoir at Abberton inEssex later this year. As stated at the time of the announcement of our preliminary results on 6 June2007, we have already secured funding for the capital programme up to 2010.Gearing levels are expected to remain stable with net debt approaching £2.2bn byMarch 2008. In preparation for the next Periodic Review of Price Limits, we will bepublishing our Strategic Direction Statement in the autumn, as required by theWater Services Regulation Authority (Ofwat). Separate statements will bepublished for our northern and southern operating areas. They will provide alonger term view on key areas including water resources, leakage, metering,sewer flooding and maintenance. We also continue to contribute fully to Ofwat's consultation and discussiondocuments ahead of the next Price Review and look forward to Ofwat's Methodologyfor that Review which should be published in October 2007. Outlook We have made a good start to the year and are confident that this performancewill continue throughout the year to 31 March 2008. At the Annual GeneralMeeting to be held later today, we will propose a final dividend of 7.52p pershare which will be payable on 14 September 2007 to shareholders on the registeras at 17 August 2007. For further information contact: Northumbrian Water 0191 301 6419 John Cuthbert, Managing DirectorChris Green, Finance DirectorAlistair Baker, Communications & PR Manager Pelham PR 020 7743 6679James HendersonChelsea HayesArchie Berens This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Natwest