| |
REG-Clyde Process Solutions PLC: Successful resolution of contract
Released: 07/09/2009
Clyde Process Solutions plc
("CPS" or the "Group")
Successful Resolution of Turkish Fertilizer Contract
Clyde Process Solutions plc (AIM: CPSP), a global provider of pneumatic
conveying and air filtration solutions for process industries, is pleased to
announce the successful resolution of a long running contractual dispute with a
Turkish producer of fertilizer products. It is expected this will contribute an
additional unforecasted £0.9 million to the Group's earnings during the current
financial year.
CPS provided the fertilizer producer with a range of material handling systems
that were installed on their fertilizer pellet plant. However, the customer
declined to pay the contract in full, which resulted in the Group initiating
legal proceedings in Turkey thirteen years ago. The Group has relentlessly
pursued the full recovery of this debt, but felt it prudent to fully provide
the debt in its accounts. The successful outcome to the court proceedings and
the receipt of the debt in cash now enables CPS to release the bad debt
provision built up on the Group's balance sheet. The final amount of £0.9
million consists of an award from the Turkish courts as well as interest
covering the long delay in resolving this payment.
Commenting on the successful resolution of this contract, Alex Stewart, Chief
Executive of Clyde Process Solutions plc said: "We are delighted to close this
contract after a thirteen year period and I wish to thank, in particular, our
legal and commercial teams for their perseverance and determination in securing
this outcome. This recovered item will contribute an additional unforecasted £
0.9 million to our earnings result and also strengthens our cash flow in this
current financial period."
- Ends-
For further information please contact:
Clyde Process Solutions plc
Alex Stewart, Chief Executive Tel: +44 (0) 1355 575 000
www.clydeprocesssolutions.com
Nominated Adviser
James Caithie Tel: +44 (0) 207 492 4777
Dowgate Capital Advisers Limited
Broker
Chris Hardie Tel: +44 (0) 207 398 1600
Arden Partners
Media enquiries:
Abchurch
Chris Lane / George Parker Tel: +44 (0) 20 7398 7719
george.parker@abchurch-group.com www.abchurch-group.com
Notes to Editors
Clyde Process Solutions plc is a global provider of pneumatic conveying and air
filtration solutions for process industries. The Group is primarily involved
with the design and implementation of energy efficient, environmentally
beneficial solutions, which are used to handle the raw materials required to
produce commodities such as metals, cement, chemicals and ethanol. The use of
pneumatic conveying and air filtration technologies enables CPS's clients to
solve challenges associated with other methods of conveying, including dust and
material spillage and subsequent possible contamination of both operational
environments and the local communities in which the manufacturing facilities
are based.
The Group has an extensive, global reference list and has used its technologies
to improve the operational effectiveness of their customers' production
processes.
The Group has two principal subsidiaries:
MAC Equipment ("MAC") is a leading provider in the US market, focused
on the design, engineering and manufacturing of customised pneumatic
conveying and air filtration systems to customers in manufacturing
environments, including food, chemicals, building products, plastics,
ethanol and biodiesel industries.
Clyde Materials Handling ("CMH") provides pneumatic conveying,
pneumatic injection and dome valve solutions to a global and diverse
customer base which primarily operates in the metals and minerals
markets. Focused on the innovation, design and engineering of tailored
solutions, CMH has helped generate an array of operational, economic
and environmental benefits within their customers' processes.
Clyde Process Solutions has close to 40 years of experience in the pneumatic
conveying and air filtration industry, backed by a wealth of process knowledge.
The company employs over 500 staff throughout 10 worldwide offices to support
its global customer base.
For further information, please see www.clydeprocesssolutions.com
END
|