Pre Close Period Trading Update
Associated British Foods plc issues the following update prior to entering the close period for its full year results, 52 weeks to 15 September 2012, which are scheduled to be announced on 6 November 2012.
The group's adjusted operating profit for the second half will be substantially ahead of last year and in line with expectations. The income statement will include a non-cash charge of some 100m for the impairment of property, plant and equipment at the meat factory in Australia. This is an exceptional charge which will be excluded from the calculation of adjusted earnings. Net interest expense in the second half will be a little higher than last year. The underlying tax rate for the year will be slightly lower than that used in the interim results, reflecting the further reduction in the UK corporation tax rate, but higher than last year. As previously indicated, both adjusted operating profit and adjusted earnings per share for the full year will be substantially ahead of last year.
