TIDMCPE
RNS Number : 0435V
Charter European Trust plc
02 July 2009
For Immediate Release 2nd July 2009
CHARTER EUROPEAN TRUST plc
HALF-YEARLY FINANCIAL REPORT
For the six months ended 31st May 2009
Highlights
* NAV return for six month period of 17.8% (twice the benchmark return of 8.9%)
* The Board congratulates the Manager on his excellent performance
Interim Management Report
Net Asset Value
The net asset value per Ordinary Share at 31st May 2009 was 209.0p, representing
a capital return of 17.8% for the six months since 30th November 2008 compared
with a return of 8.9% on the Company's benchmark, the FTSE World Europe (ex UK)
Index (GBP).
The Board would like to take this opportunity to congratulate the Manager for
delivering such strong performance for shareholders in both weak and strong
markets over this very difficult period.
Interim Dividend
The Board recommends an interim dividend of 1.40p per Ordinary Share (2008:
1.40p per Ordinary Share), payable on 25th August 2009 to shareholders on the
Register at 24th July 2009.
Manager's Review
European stock markets rose in the period under review, a welcome relief after
the heavy falls in 2008. Volatility and overall uncertainty in the profile of
this economic cycle remained dominant themes although, against the backdrop of
extremely low valuations, it was encouraging to see some risk appetite return to
markets.
The year started with investors in extremely downbeat mood. Economic growth
contracted aggressively in the final few months of 2008 as the corporate sector
adjusted to the prospect of a global depression. De-stocking added to the
negative sales trends and the effect of this adjustment was compounded by the
fact that many companies were holding higher levels of stock than normal, in an
attempt to deal with commodity price inflation which emerged in 2008.
Sentiment towards equities changed towards the end of February when tentative
evidence emerged that the monetary and fiscal stimuli put in place by
authorities around the world was starting to be successful in stemming the
aggressive rate of economic contraction. In terms of the stimuli, while there is
little doubt that they were slow to respond, the subsequent reaction of
Government and monetary authorities has strong academic support. In essence,
the central focus has been on ensuring both adequate financial liquidity and an
expansion of Government balance sheets to offset the powerful moves to reduce
debt across many segments of the economy, and most potently in the banking
system. Whether this stimulus can generate a sustainable recovery is the key
call for investors over the next few months.
For the Trust's portfolio, it was encouraging to see good absolute and relative
performance in the period under review. In this first half of the year, two
factors dominated the delivery of the strong outperformance. First, a number of
the key holdings helped drive overall portfolio performance; these included
Tandberg, the global leader in video conference products and services, and AXA,
the French insurance company. The second contribution came from repositioning
the Trust for the anticipated economic and stock market environment over the
next 18 months. The turmoil in the first few months of 2009 created some
fabulous opportunities to make selective investments in certain economically
sensitive sectors which had been heavily de-rated; and we responded to these
opportunities with a number of purchases funded by reducing a number of
defensive holdings which had done so well in 2008. These changes contributed
substantially to the outperformance of the Trust.
In the present market environment, we are seeing an increasing number of high
quality investment opportunities across Europe, and these are not focused in any
one category by geography, industry or size. We are currently favouring selected
companies from across the size bands including large, blue chips such as
Nokia (mobile communications), to mid caps such as Sodexo (contract catering and
facilities), DSM (Dutch speciality chemicals) and Saipem (oil services). In the
mid cap arena, we are presently seeing a number of investment opportunities in
highly attractive niche markets such as the satellite companies, SES Group and
Eutelsat. Both companies have investment characteristics which we favour in the
present economic environment; they have highly visible business models and
earnings streams, reflecting the fact that satellites are only launched with
capacity pre-sold to clients who bear the risk from any change in the economic
climate. In addition, they have excellent growth opportunities from
multi-channel television, including in emerging markets, and innovations such as
high definition - a technology which requires additional transponder capacity.
In addition, both businesses have good quality management teams motivated to
deliver shareholder returns. This combination of visibility, growth and pricing
power is rare in any market, yet satellite companies are currently trading at
highly attractive valuations.
Outlook
While there is some tangible evidence that the worst of the economic contraction
is behind us, we enter a critical period for the future shape of the economic
cycle, in as much as we need to see the stimuli put in place around the world
translate into more broad based economic stability, and then recovery. We
anticipate that economic stability should return during the second half of 2009
with recovery building over subsequent quarters. The recovery, however, will be
constrained by various factors including the ongoing debt deleveraging, and we
anticipate that the economic recovery will be more muted than is traditional
after a period of economic contraction. A couple of years of trend, or even
below trend, economic growth is a possibility and may actually be desirable in
terms of re-balancing the global economy.
Such an economic backdrop should be relatively positive for equity investors,
particularly in regions such as Europe where the valuation attractions are still
very evident, and we foresee a number of investment opportunities in which we
would anticipate investing our remaining cash. With a portfolio of only 30
holdings, Charter European Trust can focus solely on the type of high quality
investment opportunities outlined above and ignore broad areas of the European
index which appear destined to slower growth and inferior financial returns. Our
plan is to ensure that the Trust's portfolio should deliver the type of positive
investment returns which can challenge the negative sentiment around Europe as
an investment region.
Share Buy Backs and Treasury Share Transactions
During the period under review the Company purchased 375,700 Ordinary Shares for
cancellation and a further 50,000 Ordinary Shares into treasury. In the period
from 31st May 2009 to 1st July 2009, a further 50,000 Ordinary Shares have been
purchased into treasury.
Principal Risks and Uncertainties
The principal risks facing the Company were outlined in the Directors' Report on
page 17 of the Annual Financial Report of the Company for the year ended 30th
November 2008. These risks fall broadly under the following categories:
Investment and Strategy, Market, Accounting, Legal and Regulatory, Corporate
Governance and Shareholder Relations, Operational and Financial. In the opinion
of the Board these principal risks have not changed. Action by central banks
and governments to supply liquidity and capital to the financial system has
alleviated some of the extreme concern witnessed over the last year. However,
many of the techniques employed to achieve this stability have not been used on
this scale before and therefore the consequences cannot be predicted with any
certainty.
Material Events and Transactions
In the six month period ended 31st May 2009 the following material events and
transactions have taken place.
At the Annual General Meeting of the Company held on 17th March 2009, all the
resolutions put to shareholders were passed, including the continuation vote..
The final dividend of 2.65p per share and a special dividend of 0.25p per share
were paid on 3rd April 2009 to shareholders on the register on 27th February
2009.The total dividend payment for the year ended 30th November 2008 was 4.30p
per share.
There were no related party transactions in the period.
On 11th May 2009 the Company received from RCM (UK) Limited an additional refund
of VAT on management fees and interest thereon of GBP62,395.71 for the period
from 2005 to 2007.
Responsibility Statement
The Directors confirm to the best of their knowledge that:
· the condensed set of financial statements contained within the half-yearly
financial report has been prepared in accordance with the Accounting Standards
Board's Statement 'Half-Yearly Financial Reports; and
· the interim management report includes a fair review of the information
required by Disclosure and Transparency Rule 4.2.7R, of important events that
have occurred during the first six months of the financial year, and their
impact on the condensed set of financial statements, and a description of the
principal risks and uncertainties for the remaining six months of the financial
year; and
· the interim management report includes a fair review of the information
concerning related parties transactions as required by Disclosure and
Transparency Rule 4.2.8R.
The half-yearly financial report was approved by the Board on 1st July 2009 and
the above responsibility statement was signed on its behalf by the Chairman.
By Order of the Board
C G H Weaver
Chairman
155 Bishopsgate
London EC2M 3AD
2nd July 2009
CHARTER EUROPEAN TRUST plc
TOP 20 HOLDINGS AS AT 31st MAY 2009
+------------------------------+-------------+------------+-------------------------------+
| | Valuation | % of | Principal Activities |
| | 31st May | Total | |
| | 2009 | Assets* | |
| | GBP'000s | | |
+------------------------------+-------------+------------+-------------------------------+
| Total | 2,721 | 5.44 | Oil and Gas Producers |
+------------------------------+-------------+------------+-------------------------------+
| Nokia | 2,427 | 4.86 | Technology Hardware and |
| | | | Equipment |
+------------------------------+-------------+------------+-------------------------------+
| SES | 2,345 | 4.69 | Media |
+------------------------------+-------------+------------+-------------------------------+
| Eutelsat Communications | 2,321 | 4.64 | Media |
+------------------------------+-------------+------------+-------------------------------+
| BNP Paribas | 2,261 | 4.52 | Banks |
+------------------------------+-------------+------------+-------------------------------+
| Sanofi-Aventis | 2,248 | 4.50 | Pharmaceuticals and |
| | | | Biotechnology |
+------------------------------+-------------+------------+-------------------------------+
| Unilever | 2,205 | 4.41 | Food Producers |
+------------------------------+-------------+------------+-------------------------------+
| Tandberg | 2,045 | 4.09 | Technology Hardware and |
| | | | Equipment |
+------------------------------+-------------+------------+-------------------------------+
| Société Générale | 1,842 | 3.69 | Banks |
+------------------------------+-------------+------------+-------------------------------+
| Saipem | 1,830 | 3.66 | Oil Equipment, Services and |
| | | | Distribution |
+------------------------------+-------------+------------+-------------------------------+
| Reed Elsevier | 1,806 | 3.61 | Media |
+------------------------------+-------------+------------+-------------------------------+
| Zurich Financial Services | 1,788 | 3.58 | Non Life Insurance |
+------------------------------+-------------+------------+-------------------------------+
| Fresenius Medical Care | 1,778 | 3.56 | Healthcare Equipment and |
| | | | Services |
+------------------------------+-------------+------------+-------------------------------+
| Veolia Environnement | 1,664 | 3.33 | Gas, Water and Multi |
| | | | Utilities |
+------------------------------+-------------+------------+-------------------------------+
| BG Group | 1,544 | 3.09 | Oil and Gas Producers |
+------------------------------+-------------+------------+-------------------------------+
| EDP- Energias de Portugal | 1,540 | 3.08 | Electricity |
+------------------------------+-------------+------------+-------------------------------+
| Sodexo | 1,408 | 2.82 | Travel and Leisure |
+------------------------------+-------------+------------+-------------------------------+
| Ashmore | 1,407 | 2.82 | Financial Services |
+------------------------------+-------------+------------+-------------------------------+
| Groupe Danone | 1,375 | 2.75 | Food Producers |
+------------------------------+-------------+------------+-------------------------------+
| Allianz | 1,163 | 2.33 | Non Life Insurance |
+------------------------------+-------------+------------+-------------------------------+
| | 37,718 | 75.47 | |
+------------------------------+-------------+------------+-------------------------------+
* Total assets are stated net of current liabilities
PORTFOLIO ANALYSIS AS AT 31st MAY 2009
+-----------------------------+-------------+------------+-------------+
| | Valuation | % of | Benchmark |
| | 31st May | Total | % |
| | 2009 | Assets* |(FTSE World |
| | GBP'000s | | Europe (ex |
| | | | UK) |
+-----------------------------+-------------+------------+-------------+
| Basic Materials | 2,962 | 5.93 | 6.91 |
+-----------------------------+-------------+------------+-------------+
| Consumer Goods | 3,580 | 7.16 | 14.02 |
+-----------------------------+-------------+------------+-------------+
| Consumer Services | 8,218 | 16.44 | 5.43 |
+-----------------------------+-------------+------------+-------------+
| Financials | 9,933 | 19.87 | 25.04 |
+-----------------------------+-------------+------------+-------------+
| Health Care | 4,027 | 8.06 | 8.76 |
+-----------------------------+-------------+------------+-------------+
| Industrials | 2,266 | 4.53 | 12.73 |
+-----------------------------+-------------+------------+-------------+
| Oil and Gas | 6,094 | 12.19 | 7.74 |
+-----------------------------+-------------+------------+-------------+
| Technology | 5,472 | 10.95 | 3.88 |
+-----------------------------+-------------+------------+-------------+
| Utilities | 4,247 | 8.50 | 8.28 |
+-----------------------------+-------------+------------+-------------+
| Telecommunications | - | - | 7.21 |
+-----------------------------+-------------+------------+-------------+
| Net Current Assets | 3,181 | 6.37 | - |
+-----------------------------+-------------+------------+-------------+
| | 49,980 | 100.00 | 100.00 |
+-----------------------------+-------------+------------+-------------+
* Total assets are stated net of current liabilities
SUMMARY OF UNAUDITED RESULTS
INCOME STATEMENT
for the six months ended 31st May 2009
+---------------------------------------+------------+--------------+--------------+
| | Revenue | Capital | Total Return |
+---------------------------------------+------------+--------------+--------------+
| | GBP'000s | GBP'000s | GBP'000s |
+---------------------------------------+------------+--------------+--------------+
| | | | (Note 2) |
+---------------------------------------+------------+--------------+--------------+
| Net gains on investments at fair | - | 7,496 | 7,496 |
| value | | | |
+---------------------------------------+------------+--------------+--------------+
| Net gains on foreign currency loan | - | 2 | 2 |
+---------------------------------------+------------+--------------+--------------+
| Other capital charges | - | - | - |
+---------------------------------------+------------+--------------+--------------+
| Income | 1,226 | - | 1,226 |
+---------------------------------------+------------+--------------+--------------+
| Investment management fee | (42) | (213) | (255) |
+---------------------------------------+------------+--------------+--------------+
| Administration expenses | (152) | (6) | (158) |
+---------------------------------------+------------+--------------+--------------+
| Net return before finance costs and | 1,032 | 7,279 | 8,311 |
| taxation | | | |
+---------------------------------------+------------+--------------+--------------+
| Finance costs: interest payable and | (1) | - | (1) |
| similar charges | | | |
+---------------------------------------+------------+--------------+--------------+
| Net return on ordinary activities | 1,031 | 7,279 | 8,310 |
| before taxation | | | |
+---------------------------------------+------------+--------------+--------------+
| Overseas taxation | (144) | - | (144) |
+---------------------------------------+------------+--------------+--------------+
| UK taxation | (90) | 90 | - |
+---------------------------------------+------------+--------------+--------------+
| Net return attributable to Ordinary | 797 | 7,369 | 8,166 |
| Shareholders | | | |
+---------------------------------------+------------+--------------+--------------+
| Net return per Ordinary Share (Note | 3.31p | 30.63p | 33.94p |
| 1) | | | |
+---------------------------------------+------------+--------------+--------------+
| | | | |
+---------------------------------------+------------+--------------+--------------+
BALANCE SHEET
as at 31st May 2009
+-----------------------------------------------------------------+--------------+
| | GBP'000s |
| | |
+-----------------------------------------------------------------+--------------+
| Investments held at fair value through profit or loss | 46,799 |
+-----------------------------------------------------------------+--------------+
| Net Current Assets | 3,181 |
+-----------------------------------------------------------------+--------------+
| Total Net Assets | 49,980 |
+-----------------------------------------------------------------+--------------+
| | |
+-----------------------------------------------------------------+--------------+
| Called up Share Capital | 258 |
+-----------------------------------------------------------------+--------------+
| Capital Redemption Reserve | 278 |
+-----------------------------------------------------------------+--------------+
| Special Reserve | 35,257 |
+-----------------------------------------------------------------+--------------+
| Capital Reserves: Realised | 10,933 |
+-----------------------------------------------------------------+--------------+
| Unrealised | 1,185 |
+-----------------------------------------------------------------+--------------+
| Revenue Reserve | 2,069 |
+-----------------------------------------------------------------+--------------+
| Shareholders' Funds | 49,980 |
+-----------------------------------------------------------------+--------------+
| | |
+-----------------------------------------------------------------+--------------+
| Net Asset Value per Ordinary Share | 209.0p |
+-----------------------------------------------------------------+--------------+
| | |
+-----------------------------------------------------------------+--------------+
| The net asset value is based on 23,916,417 Ordinary Shares in | |
| issue | |
+-----------------------------------------------------------------+--------------+
| As at 31st May 2009 there were an additional 1,874,500 Ordinary | |
| Shares held in treasury | |
+-----------------------------------------------------------------+--------------+
SUMMARY OF UNAUDITED RESULTS
INCOME STATEMENT
for the six months ended 31st May 2008
+---------------------------------------+------------+--------------+--------------+
| | Revenue | Capital | Total Return |
+---------------------------------------+------------+--------------+--------------+
| | GBP'000s | GBP'000s | GBP'000s |
+---------------------------------------+------------+--------------+--------------+
| | | | (Note 2) |
+---------------------------------------+------------+--------------+--------------+
| Net gains on investments at fair | - | 752 | 752 |
| value | | | |
+---------------------------------------+------------+--------------+--------------+
| Net gains on foreign currency loan | - | - | - |
+---------------------------------------+------------+--------------+--------------+
| Other capital charges | - | (2) | (2) |
+---------------------------------------+------------+--------------+--------------+
| Income | 1,576 | - | 1,576 |
+---------------------------------------+------------+--------------+--------------+
| Investment management fee | (65) | (169) | (234) |
+---------------------------------------+------------+--------------+--------------+
| Administration expenses | (145) | - | (145) |
+---------------------------------------+------------+--------------+--------------+
| Net return before finance costs and | 1,366 | 581 | 1,947 |
| taxation | | | |
+---------------------------------------+------------+--------------+--------------+
| Finance costs: interest payable and | (13) | - | (13) |
| similar charges | | | |
+---------------------------------------+------------+--------------+--------------+
| Net return on ordinary activities | 1,353 | 581 | 1,934 |
| before taxation | | | |
+---------------------------------------+------------+--------------+--------------+
| Overseas taxation | (194) | - | (194) |
+---------------------------------------+------------+--------------+--------------+
| UK taxation | (159) | 159 | - |
+---------------------------------------+------------+--------------+--------------+
| Net return attributable to Ordinary | 1,000 | 740 | 1,740 |
| Shareholders | | | |
+---------------------------------------+------------+--------------+--------------+
| Net return per Ordinary Share (Note | 3.96p | 2.93p | 6.89p |
| 1) | | | |
+---------------------------------------+------------+--------------+--------------+
| | | | |
+---------------------------------------+------------+--------------+--------------+
BALANCE SHEET
as at 31st May 2008
+-----------------------------------------------------------------+--------------+
| | GBP'000s |
| | |
+-----------------------------------------------------------------+--------------+
| Investments held at fair value through profit or loss | 64,004 |
+-----------------------------------------------------------------+--------------+
| Net Current Assets | 2,282 |
+-----------------------------------------------------------------+--------------+
| Total Net Assets | 66,286 |
+-----------------------------------------------------------------+--------------+
| | |
+-----------------------------------------------------------------+--------------+
| Called up Share Capital | 266 |
+-----------------------------------------------------------------+--------------+
| Capital Redemption Reserve | 270 |
+-----------------------------------------------------------------+--------------+
| Special Reserve | 37,099 |
+-----------------------------------------------------------------+--------------+
| Capital Reserves: Realised | 18,017 |
+-----------------------------------------------------------------+--------------+
| Unrealised | 8,626 |
+-----------------------------------------------------------------+--------------+
| Revenue Reserve | 2,008 |
+-----------------------------------------------------------------+--------------+
| Shareholders' Funds | 66,286 |
+-----------------------------------------------------------------+--------------+
| | |
+-----------------------------------------------------------------+--------------+
| Net Asset Value per Ordinary Share | 266.4p |
+-----------------------------------------------------------------+--------------+
| | |
+-----------------------------------------------------------------+--------------+
| The net asset value is based on 24,883,317 Ordinary Shares in | |
| issue | |
+-----------------------------------------------------------------+--------------+
| As at 31st May 2008 there were an additional 1,758,000 Ordinary | |
| Shares held in treasury | |
+-----------------------------------------------------------------+--------------+
SUMMARY OF UNAUDITED RESULTS
INCOME STATEMENT
for the year ended 30th November 2008
+---------------------------------------+------------+--------------+--------------+
| | Revenue | Capital | Total Return |
+---------------------------------------+------------+--------------+--------------+
| | GBP'000s | GBP'000s | GBP'000s |
+---------------------------------------+------------+--------------+--------------+
| | | | (Note 2) |
+---------------------------------------+------------+--------------+--------------+
| Net losses on investments at fair | - | (21,076) | (21,076) |
| value | | | |
+---------------------------------------+------------+--------------+--------------+
| Losses on foreign currencies | - | (2) | (2) |
+---------------------------------------+------------+--------------+--------------+
| Other capital charges | - | - | - |
+---------------------------------------+------------+--------------+--------------+
| Income | 2,080 | - | 2,080 |
+---------------------------------------+------------+--------------+--------------+
| Investment management fee | (60) | (249) | (309) |
+---------------------------------------+------------+--------------+--------------+
| Administration expenses | (298) | (4) | (302) |
+---------------------------------------+------------+--------------+--------------+
| Net return before finance costs and | 1,722 | (21,331) | (19,609) |
| taxation | | | |
+---------------------------------------+------------+--------------+--------------+
| Finance costs: interest payable and | (14) | - | (14) |
| similar charges | | | |
+---------------------------------------+------------+--------------+--------------+
| Net return on ordinary activities | 1,708 | (21,331) | (19,623) |
| before taxation | | | |
+---------------------------------------+------------+--------------+--------------+
| Overseas taxation | (225) | - | (225) |
+---------------------------------------+------------+--------------+--------------+
| UK taxation | (177) | 177 | - |
+---------------------------------------+------------+--------------+--------------+
| Net return attributable to Ordinary | 1,306 | (21,154) | (19,848) |
| Shareholders | | | |
+---------------------------------------+------------+--------------+--------------+
| Net return per Ordinary Share (Note | 5.25p | (84.95)p | (79.70)p |
| 1) | | | |
+---------------------------------------+------------+--------------+--------------+
| | | | |
+---------------------------------------+------------+--------------+--------------+
BALANCE SHEET
as at 30th November 2008
+-----------------------------------------------------------------+--------------+
| | GBP'000s |
| | |
+-----------------------------------------------------------------+--------------+
| Investments held at fair value through profit or loss | 42,069 |
+-----------------------------------------------------------------+--------------+
| Net Current Assets | 1,125 |
+-----------------------------------------------------------------+--------------+
| Total Net Assets | 43,194 |
+-----------------------------------------------------------------+--------------+
| | |
+-----------------------------------------------------------------+--------------+
| Called up Share Capital | 262 |
+-----------------------------------------------------------------+--------------+
| Capital Redemption Reserve | 274 |
+-----------------------------------------------------------------+--------------+
| Special Reserve | 35,939 |
+-----------------------------------------------------------------+--------------+
| Capital Reserves: Realised | 16,730 |
+-----------------------------------------------------------------+--------------+
| Unrealised | (11,981) |
+-----------------------------------------------------------------+--------------+
| Revenue Reserve | 1,970 |
+-----------------------------------------------------------------+--------------+
| Shareholders' Funds | 43,194 |
+-----------------------------------------------------------------+--------------+
| | |
+-----------------------------------------------------------------+--------------+
| Net Asset Value per Ordinary Share | 177.4p |
+-----------------------------------------------------------------+--------------+
| | |
+-----------------------------------------------------------------+--------------+
| The net asset value is based on 24,342,117 Ordinary Shares in | |
| issue | |
+-----------------------------------------------------------------+--------------+
| As at 30th November 2008 there were an additional 1,824,500 | |
| Ordinary Shares held in treasury | |
+-----------------------------------------------------------------+--------------+
RECONCILIATION OF MOVEMENTS IN SHAREHOLDERS' FUNDS
For the six months ended 31st May 2009 and comparative periods
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | Capital | Special | Capital | Capital | Revenue | Total |
| | Called | Redemption | Reserve | Reserve | Reserve | Reserve | GBP'000s |
| | up | Reserve | GBP'000s | Realised | Unrealised | GBP'000s | |
| | Share | GBP'000s | | GBP'000s | GBP'000s | | |
| | Capital | | | | | | |
| | GBP'000s | | | | | | |
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Six months ended | | | | | | | |
| 31st May 2009 | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Net Assets at 30th | 262 | 274 | 35,939 | 16,730 | (11,981) | 1,970 | 43,194 |
| November 2008 | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Revenue Return | - | - | - | - | - | 796 | 796 |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Shares repurchased | (4) | 4 | (682) | - | - | - | (682) |
| during the period | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Dividends on | - | - | - | - | - | (697) | (697) |
| Ordinary Shares | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Capital Return | - | - | - | (5,797) | 13,166 | - | 7,369 |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Net Assets at 31st | 258 | 278 | 35,257 | 10,933 | 1,185 | 2,069 | 49,980 |
| May 2009 | | | | | | | |
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Six months ended | | | | | | | |
| 31st May 2008 | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Net Assets at 30th | 275 | 261 | 39,827 | 16,395 | 9,508 | 1,511 | 67,777 |
| November 2007 | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Revenue Return | - | - | - | - | - | 1,000 | 1,000 |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Shares repurchased | (9) | 9 | (2,728) | - | - | - | (2,728) |
| during the period | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Dividends on | - | - | - | - | - | (503) | (503) |
| Ordinary Shares | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Capital Return | - | - | - | 1,622 | (882) | - | 740 |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| Net Assets at 31st | 266 | 270 | 37,099 | 18,017 | 8,626 | 2,008 | 66,286 |
| May 2008 | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
| | | | | | | | |
+----------------------+----------+------------+----------+----------+------------+----------+----------+
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| Year ended 30th | | | | | | | |
| November 2008 | | | | | | | |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| Net Assets at 30th | 275 | 261 | 39,827 | 16,395 | 9,508 | 1,511 | 67,777 |
| November 2007 | | | | | | | |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| | | | | | | | |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| Revenue Return | - | - | - | - | - | 1,307 | 1,307 |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| | | | | | | | |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| Shares repurchased | (13) | 13 | (3,888) | - | - | - | (3,888) |
| during the year | | | | | | | |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| | | | | | | | |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| Dividends on | - | - | - | - | - | (848) | (848) |
| Ordinary Shares | | | | | | | |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| | | | | | | | |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| Capital Return | - | - | - | 335 | (21,489) | - | (21,154) |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| | | | | | | | |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| Net Assets at 30th | 262 | 274 | 35,939 | 16,730 | (11,981) | 1,970 | 43,194 |
| November 2008 | | | | | | | |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| | | | | | | | |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
| | | | | | | | |
+----------------------+-------+---------+---------+--------+----------+--------+----------+
SUMMARY OF UNAUDITED RESULTS
CASH FLOW STATEMENT
For the six months ended 31st May 2009 and comparative periods
+--------------------------------------+-------------+-+-------------++--+-------------+
| | Six months | | Six months | | Year ended |
| | ended | | ended | | 30th |
| | 31st May | | 31st May | | November |
| | 2009 | | 2008 | | 2008 |
+--------------------------------------+-------------+-+--------------+--+-------------+
| | GBP'000s | | GBP'000s | | GBP'000s |
+--------------------------------------+-------------+-+--------------+--+-------------+
| | | | | | |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Net cash inflow from operating | 620 | | 1,064 | | 1,475 |
| activities | | | | | |
+--------------------------------------+-------------+-+--------------+--+-------------+
| | | | | | |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Return on investment and servicing | | | | | |
| of finance | | | | | |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Interest paid | (1) | | (13) | | (13) |
+--------------------------------------+-------------+-+--------------+--+-------------+
| | | | | | |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Capital expenditure and financial | | | | | |
| investment | | | | | |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Purchases of fixed asset investments | (37,351) | | (19,508) | | (39,903) |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Sales of fixed asset investments | 39,798 | | 19,677 | | 40,324 |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Net cash inflow from capital | 2,447 | | 169 | | 421 |
| expenditure and financial investment | | | | | |
+--------------------------------------+-------------+-+--------------+--+-------------+
| | | | | | |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Equity dividends paid | (697) | | (503) | | (848) |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Net cash inflow before financing | 2,369 | | 717 | | 1,035 |
+--------------------------------------+-------------+-+--------------+--+-------------+
| | | | | | |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Financing | | | | | |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Purchase of Ordinary Shares for | (682) | | (2,726) | | (3,887) |
| cancellation and held in treasury | | | | | |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Net cash outflow from financing | (682) | | (2,726) | | (3,887) |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Increase (Decrease) in cash | 1,687 | | (2,009) | | (2,852) |
+--------------------------------------+-------------+-+--------------+--+-------------+
| | | | | | |
+--------------------------------------+-------------+-+--------------+--+-------------+
| Reconciliation of Return on Ordinary | | | | | |
| Activities before Taxation to Net | | | | | |
| Cash Flow from Operating Activities | | | | | |
+--------------------------------------+-------------+-+-------------+---+-------------+
| | | | | | |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Total Return before taxation | 8,310 | | 1,934 | | (19,623) |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Add: Finance costs: interest payable | 1 | | 13 | | 14 |
| and similar charges | | | | | |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Less: Special dividends credited to | - | | (175) | | - |
| capital | | | | | |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Less: Net (gains) losses on | (7,496) | | (577) | | 21,251 |
| investments at fair value | | | | | |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Less: Net (gains) losses on foreign | (2) | | - | | 2 |
| currency loan | | | | | |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Less: Overseas tax suffered | (144) | | (194) | | (225) |
+--------------------------------------+-------------+-+-------------+---+-------------+
| | 669 | | 1,001 | | 1,419 |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Decrease in debtors | 28 | | 437 | | 259 |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Decrease in creditors | (77) | | (374) | | (203) |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Net cash inflow from operating | 620 | | 1,064 | | 1,475 |
| activities | | | | | |
+--------------------------------------+-------------+-+-------------+---+-------------+
| | | | | | |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Reconciliation of net cash flow to | | | | | |
| movement in net debt | | | | | |
+--------------------------------------+-------------+-+-------------+---+-------------+
| | | | | | |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Net cash inflow (outflow) | 1,687 | | (2,009) | | (2,852) |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Foreign currency movements | 2 | | - | | (2) |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Movement in net funds | 1,689 | | (2,009) | | (2,854) |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Net funds brought forward | 1,529 | | 4,383 | | 4,383 |
+--------------------------------------+-------------+-+-------------+---+-------------+
| Net funds carried forward | 3,218 | | 2,374 | | 1,529 |
+--------------------------------------+-------------+-+-------------+---+-------------+
| | | | | | |
+--------------------------------------+-------------+-+-------------++--+-------------+
Notes
Note 1
The return per Ordinary Share is based on a weighted average number of shares in
issue of 24,061,696 (31st May 2008: 25,249,898; 30th November 2008: 24,903,316).
Note 2
The total return column of this statement is the profit and loss account of the
Company.
All revenue and capital items derive from continuing operations. No operations
were acquired or discontinued in the period.
A Statement of Total Recognised Gains and Losses is not required as all gains
and losses of the Company have been reflected in the Income Statement.
Included in the cost of investments are transaction costs on purchases which
amounted to 57,183 (31st May 2008 - GBP19,378; 30th November 2008 - GBP89,866)
and transaction costs on sales which amounted to GBP38,527 (31st May 2008 -
GBP23,941; 30th November 2008 - GBP50,442).
Note 3
Investments are designated as held at fair value through profit or loss in
accordance with FRS 26 'Financial Instruments: Recognition and Measurement'.
Listed investments are valued at bid market prices.
Note 4
In accordance with FRS 21 'Events after the Balance Sheet Date', the final
dividend payable on Ordinary Shares is recognised as a liability when approved
by shareholders. Interim dividends are recognised only when paid.
Dividends paid on Ordinary Shares in respect of earnings for each period are as
follows:
+---------------------------------------+-------------+-------------+---------------+
| | Six months | Six months | Year to |
| | to | to | |
+---------------------------------------+-------------+-------------+---------------+
| | 31st May | 31st May | 30th November |
| | 2009 | 2008 | 2008 |
| | GBP'000s | GBP'000s | GBP'000s |
+---------------------------------------+-------------+-------------+---------------+
| Interim dividend 1.40p paid 23rd | - | - | 345 |
| August 2008 | | | |
+---------------------------------------+-------------+-------------+---------------+
| Final dividend 2.65p paid 3rd April | 637 | 503 | 503 |
| 2009 (2008 - 2.00p) | | | |
+---------------------------------------+-------------+-------------+---------------+
| Special dividend 0.25p paid 3rd April | 60 | - | - |
| 2009 (2008 - nil) | | | |
+---------------------------------------+-------------+-------------+---------------+
| | 697 | 503 | 848 |
+---------------------------------------+-------------+-------------+---------------+
The above dividends are after adjusting for dividends proposed but not paid, due
to share buy backs.
Dividends payable at the period end are not recognised as a liability under FRS
21 'Events after the Balance Sheet Date'. Details of these dividends are set out
below.
+---------------------------------------+-------------+-------------+---------------+
| | Six months | Six months | Year to |
| | to | to | |
+---------------------------------------+-------------+-------------+---------------+
| | 31st May | 31st May | 30th November |
| | 2009 | 2008 | 2008 |
| | GBP'000s | GBP'000s | GBP'000s |
+---------------------------------------+-------------+-------------+---------------+
| Interim dividend 1.40p payable 25th | 335 | 348 | - |
| August 2009 (2008: 1.40p) | | | |
+---------------------------------------+-------------+-------------+---------------+
| Special dividend 0.25p | - | - | 61 |
+---------------------------------------+-------------+-------------+---------------+
| Final dividend 2.65p | - | - | 645 |
+---------------------------------------+-------------+-------------+---------------+
| | 335 | 348 | 706 |
+---------------------------------------+-------------+-------------+---------------+
The interim and final dividends above are based on the number of shares in issue
at the period end. However, the dividends payable will be based on the number of
shares in issue on the record date and will reflect any purchases and
cancellations of shares by the Company settled subsequent to the period end.
Note 5
The half-yearly financial report has neither been audited nor reviewed by the
Company's auditors. The financial information for the year ended 30th November
2008 has been extracted from the statutory accounts for that year which have
been delivered to the Registrar of Companies. The accounting policies and
presentation are consistent with those applied in the latest published financial
statements. The auditors' report on those accounts was unqualified and did
not contain a statement under either Section 237(2) or Section 237(3) of the
Companies Act 1985.
In accordance with recently introduced changes to the UK's disclosure
requirements for listed companies, the Company is now required to make limited
additional and updated disclosures, mainly relating to the first and third
quarters of the financial year. These Interim Management Statements will be
released via the Regulatory News Service and posted on the Company's website
www.chartereuropean.co.uk on or shortly before 19th April and 19th October each
year.
The half-yearly financial report will be sent to shareholders in mid July 2009
and will be available to members of the public from the Company's registered
office at 155 Bishopsgate, London EC2M 3AD.
For further information, please contact:-
Peter Ingram
Company Secretary
Tel: 020 7065 1467
or
Simon White
Head of Investment Trusts, RCM (UK) Limited
Tel: 020 7065 1539
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR ILFLEDRIFIIA
Charter Pan-european Trust (LSE:CPE)
Historical Stock Chart
From Jun 2024 to Jul 2024
Charter Pan-european Trust (LSE:CPE)
Historical Stock Chart
From Jul 2023 to Jul 2024
