The Core Business (the "Company)
Trading Statement
02 June 2009
The Company has experienced a decline in demand during the last quarter of its
financial year as a result of its retailers destocking and a slowdown in
consumer demand in the retail sector.
Sales for the year as a whole will above those achieved last year, with the poor
last quarter being balanced up by a stronger first half.
The Company imports all its product ranges and makes its purchases in American
and Australian dollars and Euros. As a consequence the Company has seen its
gross margins severely eroded by the weakness of the Sterling, while current
market conditions have limited new product development. The Company expects
losses for the year to be lower than in either of the last two years.
As an early stage business that has made and continues to make losses, the
Company has been and remains dependent on regularly raising additional capital.
The current challenging economic environment is not conducive to raising fresh
capital for early stage businesses. The Company is in discussions with both
existing and potential sources of capital. If the Company is unable to raise
fresh capital then the board will have to consider whether the Company is able
to continue in its current form.
For further information, please contact:
The Core Business PLC www.thecorebusiness.co.uk
Stirling Murray, Chief Executive 020 8559 8244
Alastair Kennedy, Finance Director 020 8559 8244
Blomfield Corporate Finance Ltd (Nomad)
Nick Harriss/Emily Morgan 020 7489 4500
SVS Securities plc (Broker)
Ian Callaway 020 7638 5600
Notes to Editors
The Core Business was established in May 2004 by Stirling Murray to create,
develop, launch and distribute personal care and beauty brands. It also provides
consultancy and brand management services. The Company was listed on AIM in March
2006 under the ticker `CORE.'
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