COA - Coats Group plc (formerly GPG - Guinness Peat Group Plc)

[k1w1]

quote:Originally posted by Gryffyn

k - hardly overpaid given the returns to shareholders to date. What would you base their pay on?

Berkshire Hathaway.

[k1w1]

quote:Originally posted by Gryffyn

k - hardly overpaid given the returns to shareholders to date. What would you base their pay on?

Berkshire Hathaway.

[limegreen]

I'm out. So much for support at $2.

[Placebo]

LG: Given the price is the same as last year and they do a 1 for 10 split, you're actually up 10 percent? Correct me if I'm wrong.

Interesting observation the other day, when I plotted by portfolio's performance on a month-to-month basis, the lines of four of my stocks (I have six) all described identical downward paths (CEN, AIA, WAM, FBU). Now, none of those shares had any particular news of note, the only common factor was the interest rate rise and general market sentiment.

Oddly enough, the one I was sweating on the most (SKC) showed the least reduction in the period...

Funny old world

[limegreen]

Your point with reference to the split is a valid one. I hold FBU & WAM, but while the market is generally weak, there is no falling OBV etc. for those stocks. Also, although I know that I've held GPG over a longer term than say FBU & WAM, GPG was slowly becoming a weaker and weaker part of my portfolio. I'd happily consider buying back in, but I'd want to see some signs of returning strength. Assuming it dips below $1.90, I'll be up if I do end up buying back in.

I purchased on August 14 1998, and calculated as annualised interest compounded monthly (so as to be comparable with the floating component of my mortgage), I've made 13.76% per annum. Not spectacular, but it's more than made up for some poorer ill-informed calls from the past.

[Phaedrus]

Ted2 - You ask "Are you still holding most of your stocks or is the overall market trend reason enough to have got rid of many, even if there is no other reason for a particular stock going down than just being a victim of the overall market?"
Ted, I sell purely on the technical aspects of each individual stock. As such, I do not concern myself with the "reasons" (known or unknown) for the weakness triggering the Sell. I worry about the overall market trend when/if buying, but do not attempt to factor that in when selling. I would not get rid of any stock on the basis of an overall market trend downward.
So, I am still holding stocks like AIA, WAM, CEN. I have sold down others like FBU. I have completely sold out of FPA, NPX, STU and the like, including GPG of course - as per the chart in this thread.
If you look at the individual charts I have posted for these stocks, I believe you could tell exactly when or if I have sold, and, more importantly, why.

[Gryffyn]

Heads up.

If you've elected to receive script instead of divvies then my reading of the documents suggest that it is better to revoke your script mandate this year as the share price has fallen since the calculations etc.

[Gryffyn]

GPG
29/04/2005
GENERAL

REL: 0856 HRS Guinness Peat Group Plc

GENERAL: GPG: Information regarding Subsidiary

Guinness Peat Group plc

The following unaudited results of Coats Group Limited ("the Company") for
the year to 31 December 2004 are released by Guinness Peat Group plc ("GPG")
for information only. The Company, which became a subsidiary of GPG on 1
April 2004, is the holding company of the Coats Group. The operations of the
Coats Group comprise almost entirely the operations of Coats Holdings
Limited, previously named Coats Ltd, which was acquired by the Company's
subsidiary, Coats plc, on 7 April 2003.

Richard Russell
Company Secretary
Guinness Peat Group plc

28 April 2005

Contact:
Blake Nixon (UK) 020 7484 3370
Gary Weiss (Australia) 00 61 2 8298 4302
Tony Gibbs (New Zealand) 0064 9 379 8888

28 April 2005

Coats Group Limited: unaudited results* for the year to 31 December 2004

Financial Summary

2004
US$m
Like-for-like1
2003
US$m Period ended
31 December
2003
US$m
Turnover - Thread
- Total 1,588
1,712 1,535 1,139
1,236

Operating profit before reorganisation, impairment
of fixed assets, goodwill amortisation and
exceptional items - Thread
- Total 105
103 110 94
89

Operating Profit 36 69

Pre-tax (loss)/profit (4) 47

Net cash inflow from operating activities 200 135

Capital expenditure 94 47

Net debt 402 672

Net gearing 86% 193%

1 The 2003 like-for-like comparatives include a full twelve months for 2003
and exclude the impact of exchange translation, acquisitions and disposals.

*See note 8 for basis of preparation of this statement.

Contacts:
Roger Bevan Coats plc 020 8210 5000
Blake Nixon Guinness Peat Group plc 020 7484 3370

Chairman's statement

Results

In 2004, Coats Group Limited, in line with its operational objectives,
delivered an exceptionally strong cash performance, albeit at the expense of
underlying profit which was slightly lower.

Net cash inflow from operating activities was US$199.7 million, including
US$93.0 million due to improved management of working capital, and net debt
was reduced by US$270.8 million. Although cash generation was the main
priority, good progress was made in sales. Good growth of industrial thread
in low-cost markets and strong crafts sales in North America more than offset
the expected continued decline in industrial thread markets in Western Europe
and North America. Overall, like-for-like growth in sales was 3% (see
Operating and financial review), with 6% in crafts and 2% in industrial.

The main disappointment was a slight decrease in underlying Thread operating
margin - from 7.2% to 6.6% (as set out in the Operating and financial review)
- due almost entirely to a sharp decline in activity in certain Western
European industrial thread plants, as a result of accelerated migration of
customers to low-cost regions and our stock reduction program. This offset
benefits from earlier reorganisation projects. All other regions outside
Europe delivered underlying growth in operating profit.

The Company became a subsidiary of Guinness Peat Group plc on 1 April 2004.
The operations of the Coats Group ("the Group") comprise almost entirely the
operations of Coats Holdings Ltd, previously named Coats Ltd, which was
acquired by the Company's subsidiary, Coats plc, on 7 April 2003. The
reported comparative figures in the profit and loss and cash flow statements
for 2003 therefore reflect Coats Holdings operations since that date. However
in order to assist understanding of changes in underlying trading
performance, pro-forma full year figures for 2003 have been provided in the
segmental analysis in the Operating and financial review.

Investment, reor

[Gryffyn]

And agan about the divvy / script - anyone else taking the cash over the script?

[Gryffyn]

Market seems to be reacting favourably to the result.