23rd Feb 2005 15:58
Menzies(John) PLC23 February 2005 Response to OFT announcement John Menzies plc notes the announcement by the Office of Fair Trading (OFT) ofits provisional conclusions on newspaper and magazine distribution. Thestatement supports the existing territory distribution arrangements fornewspapers whilst introducing the potential for some fragmentation in magazinedistribution. Menzies Distribution is one of the country's most efficient magazinedistribution businesses and its focus on the customer has enabled it tointroduce industry-leading solutions for the benefit of both the publisher andthe retailer, such as its Sales Based Replenishment system recently implementednationally with the major retailers. Menzies therefore considers that it iswell placed in this market. Commenting on the OFT statement, Patrick Macdonald, Chief Executive, said; "We note the OFT's provisional conclusions and welcome the commitment toterritorial distribution. We believe it important to recognise that newspapersand magazines share the same economic route to market. We look forward toreceiving the OFT's draft advisory opinion and to playing our part in theensuing consultation process." Enquiries: InvestorsAlastair Couper, Investor Relations, John Menzies plc 0131 459 8060 MediaAnthony Kennaway, Citigate Dewe Rogerson 020 7282 1076 1. John Menzies plc, the time-critical logistics company, is one of Scotland's largest companies. The company has two operating divisions, Menzies Distribution and Menzies Aviation. Both divisions whilst operating in two distinct sectors, are characterised by the need to provide an efficient, high quality, time-critical service to its customers and partners. 2. In the half-year ended 26 June 2004, Menzies reported turnover of £687.3m (2003 - £641.9m) and Group operating profit before tax of £13.4m (2003 - £3.9m). Turnover at the Distribution division was £562.4m (2003 - £524.0m) whilst operating profit was £15.0m (2003, £12.0m). In the Aviation division turnover was £124.9m (2003, £117.9m) and operating profit was £4.0m against £(1.5m) in 2003. 3. The company was established in 1833 and its head office is in Edinburgh, Scotland. Today the company is an international operation with offices, partners and contracts located in Europe, North and South America, Australasia and Africa. 4. Menzies Distribution is a leading provider of added value distribution and marketing services to the newspaper and magazine supply chain in the UK. The division handles over 3,000 magazine titles and 4 million newspapers each day (5 million on Sundays) which are delivered to more than 21,200 customers. 5. Menzies Aviation is one of the world's major independent suppliers of ground handling services to the aviation market providing passenger, ramp and cargo services for many of the world's leading airlines and some of the busiest international airports. The division employs over 8,000 people across the globe, at 90 airports in 21 countries servicing in excess of 500 airline customers. 6. Further information on John Menzies plc can be found at: www.johnmenziesplc.com; www.menziesdistribution.com; and www.menziesaviation.com. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
MNZS.L