News

Imperial Tobacco Group PLC Preliminary results for the twelve months ended 30 September 2008

Highlights

Results include the contribution from Altadis since completion of the acquisition on 25 January 2008 and 2007 per share figures have been restated to reflect the bonus element of the related rights issue.

(1) Adjusted measures exclude where applicable amortisation of acquired intangibles (£309m), restructuring costs (£463m), fair value losses on derivatives in respect of commercially effective net investment hedges (£314m), an exceptional gain on brand divestments (£174m), charges for one-off acquisition accounting adjustments (£161m), fair value gains on derivatives in respect of commercially effective interest rate hedges (£42m), retirement benefit net financing income (£45m) and related taxation effects.

(2) Following the rights issue there are currently 1,011.3m shares eligible for the final dividend (2008 interim dividend: 672.8m)

(3) Earnings per share is calculated using the weighted average shares in issue of 846.5m (2007: 775.5m)

Summarising today's announcement, Gareth Davis, Chief Executive, said:

"In a year of significant achievement we have completed the acquisition of Altadis and grown our cigarette volumes and shares in mature and emerging markets. Our performance has enabled us to increase our dividend distribution by 26 per cent to £588 million, building on our long track record of creating sustainable value for our shareholders.

"Excellent results in Eastern Europe, Africa and the Middle East were complemented by further share gains in the European Union and rapid expansion in the USA.

"Our international premium cigarette brands Davidoff and Gauloises Blondes are driving growth in emerging markets, while our strength in value brands and products has enabled us to capitalise on downtrading in mature markets, a trend which is likely to continue in the current environment.

"We have made further very good progress with the integration of Imperial Tobacco and Altadis, particularly in France where we recently completed the consultation process and where we expect to begin implementing our projects in early 2009.

"We are comfortable with our current financing position and our business is highly cash generative. We are resilient in times of economic downturn and remain focused on efficiently integrating the two businesses, whilst maximising the enhanced growth opportunities presented by our versatile portfolio and extended geographic reach."

Notes to editors

Imperial Tobacco Group PLC is a multi-national tobacco company, with international strength in cigarette and world leadership in fine cut tobacco, cigars, rolling papers and tubes. Following the acquisition of Altadis in January 2008 the enlarged Group has 58 manufacturing sites and employs around 40,000.

Enquiries

Alex Parsons
Head of Corporate Communications
+44 (0)7967 467 241

Simon Evans
Group Press Officer
+44 (0)7967 467 684

Nicola Tate
Investor Relations Manager
+44 (0)7967 467 082

John Nelson-Smith
Investor Relations Manager
+44 (0)791 939 1866

Download the full announcement in PDF (196K)