Notes to the accounts |
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1. Basis of preparation |
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These interim statements, which are unaudited, comply with relevant accounting standards. The accounting policies have been applied on a basis consistent with those applied in the 2000 Annual Report and Accounts, which were prepared in accordance with accounting principles generally accepted in the United Kingdom (UK GAAP). |
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The periods to 28 February 2001 and 29 February 2000 are regarded as distinct financial periods for accounting purposes with the exception of taxation where the periods are allocated an appropriate proportion of the expected total annual charge. |
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The figures for the year to 31 August 2000 are an abridged version of the group's published financial statements which have been reported on by the group's auditor and filed with the Registrar of Companies. The report of the auditor was unqualified and did not contain a statement under section 237 (2) or (3) of the Companies Act 1985. |
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These interim financial statements were approved by the Board on 30 April 2001. |
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2. Activity analysis |
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1999/00 |
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2000/01 |
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1999/00 |
12 months |
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6 months |
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6 months |
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Turnover |
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Trading profit * |
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Turnover |
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Trading profit * |
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Turnover |
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Trading profit * |
£m |
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£m |
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£m |
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£m |
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£m |
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£m |
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2,297 |
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414 |
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Spirits & Wine |
1,327 |
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253 |
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1,157 |
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225 |
305 |
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64 |
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QSR |
130 |
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21 |
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127 |
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19 |
- |
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9 |
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Britannia |
- |
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3 |
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- |
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2 |
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2,602 |
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487 |
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Continuing operations |
1,457 |
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277 |
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1,284 |
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246 |
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Discontinued operations - |
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- |
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9 |
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Panrico |
- |
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- |
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- |
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6 |
18 |
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4 |
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UK Retail |
- |
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- |
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18 |
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4 |
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2,620 |
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500 |
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1,457 |
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277 |
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1,302 |
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256 |
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* Trading profit above is before goodwill and exceptional items which for the six months to 28 February 2001 relate wholly to Spirits & Wine activities (£10m). |
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3. Geographical analysis |
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1999/00 |
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2000/01 |
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1999/00 |
12 months |
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6 months |
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6 months |
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Trading |
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Trading |
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Trading |
Turnover |
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profit * |
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Turnover |
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profit * |
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Turnover |
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profit * |
£m |
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£m |
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By country of destination |
£m |
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£m |
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£m |
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£m |
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968 |
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193 |
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Europe |
524 |
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95 |
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530 |
|
99 |
1,392 |
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251 |
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Americas |
751 |
|
144 |
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676 |
|
130 |
242 |
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43 |
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Rest of World |
182 |
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38 |
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78 |
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17 |
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2,602 |
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487 |
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Continuing operations |
1,457 |
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277 |
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1,284 |
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246 |
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Discontinued operations - |
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- |
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9 |
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Panrico |
- |
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- |
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- |
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6 |
18 |
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4 |
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UK Retail |
- |
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- |
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18 |
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4 |
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2,620 |
|
500 |
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1,457 |
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277 |
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1,302 |
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256 |
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* Trading profit above is before goodwill and exceptional items which for the six months to 28 February 2001 relate to Europe (£8m) and Rest of World (£2m). |
3. Geographical analysis (continued) |
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1999/00 |
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2000/01 |
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1999/00 |
12 months |
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6 months |
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6 months |
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Turnover |
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Trading profit * |
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Turnover |
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Trading profit * |
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Turnover |
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Trading profit * |
£m |
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£m |
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By country of operation |
£m |
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£m |
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£m |
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£m |
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1,484 |
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199 |
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Europe |
813 |
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116 |
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796 |
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121 |
1,568 |
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271 |
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Americas |
873 |
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146 |
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763 |
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123 |
147 |
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17 |
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Rest of World |
134 |
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15 |
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33 |
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2 |
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3,199 |
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487 |
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Continuing operations |
1,820 |
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277 |
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1,592 |
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246 |
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Discontinued operations - |
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- |
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9 |
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Panrico |
- |
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- |
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- |
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6 |
18 |
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4 |
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UK Retail |
- |
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- |
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18 |
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4 |
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3,217 |
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500 |
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1,820 |
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277 |
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1,610 |
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256 |
(597) |
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- |
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Turnover with group companies |
(363) |
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- |
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(308) |
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- |
2,620 |
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500 |
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1,457 |
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277 |
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1,302 |
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256 |
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* Trading profit above is before goodwill and exceptional items which for the six months to 28 February 2001 relate to Europe (£8m) and Rest of World (£2m). |
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4. Reconciliation to normalised earnings |
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1999/00 |
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2000/01 |
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1999/00 |
12 months |
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6 months |
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6 months |
£m |
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£m |
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£m |
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317 |
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Earnings as reported |
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161 |
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171 |
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(10) |
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Adjustments for discontinued operations net of tax |
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- |
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(7) |
(19) |
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Adjustments for exceptional items net of tax |
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6 |
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(15) |
2 |
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Adjustments for goodwill amortisation net of tax |
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3 |
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- |
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290 |
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Normalised earnings |
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170 |
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149 |
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1,059 |
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Weighted average number of ordinary shares (millions) |
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1,056 |
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1,062 |
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27.4p |
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Normalised earnings per ordinary share |
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16.1p |
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14.0p |
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The weighted average number of ordinary shares is shown after deducting the ordinary shares owned by the Allied Domecq employee trusts. |
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Diluted earnings per share of 15.2p (2000: 16.1p) has been calculated on earnings of £161m (2000: £171m) and, after including the effect of all dilutive potential ordinary shares, the average number of shares of 1,057m (2000: 1,062m). |
5. Goodwill amortisation and exceptional items |
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1999/00 |
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2000/01 |
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1999/00 |
12 months |
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6 months |
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6 months |
£m |
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£m |
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£m |
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(3) |
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Goodwill amortisation |
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(4) |
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- |
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Exceptional items |
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(8) |
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Euro and Year 2000 costs |
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(1) |
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(6) |
- |
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Aborted acquisition costs |
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(5) |
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- |
(6) |
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Asset write-downs |
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- |
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- |
(40) |
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Restructuring and other costs |
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- |
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- |
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(54) |
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Operating costs |
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(6) |
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(6) |
13 |
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Profit on sale of businesses |
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- |
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- |
46 |
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Profit on disposal of fixed assets |
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- |
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19 |
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5 |
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Total exceptional items |
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(6) |
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13 |
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2 |
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Goodwill amortisation and exceptional items before taxation |
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(10) |
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13 |
15 |
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Taxation |
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1 |
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2 |
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17 |
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Goodwill amortisation and exceptional items after taxation |
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(9) |
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15 |
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6. Taxation |
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The £59m (2000: £54m) total taxation charge for the six months ended 28 February 2001 comprises UK taxation of £6m (2000: £5m), overseas taxation of £51m (2000: £45m) and taxation on the profits of associated undertakings of £2m (2000: £4m). |
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7. Reconciliation of movements in shareholders' funds |
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1999/00 |
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2000/01 |
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1999/00 |
12 months |
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6 months |
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6 months |
£m |
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£m |
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£m |
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317 |
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Profit earned for ordinary shareholders in the period |
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161 |
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171 |
7 |
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Currency translation differences on foreign currency net investments |
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(23) |
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17 |
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324 |
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Total recognised gains and losses for the period |
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138 |
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188 |
(116) |
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Dividends |
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(47) |
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(42) |
(2,294) |
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Capital reduction due to disposal of UK Retail business |
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- |
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(2,294) |
3 |
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Goodwill written back on disposals |
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- |
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- |
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(2,083) |
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Net movement in shareholders' funds |
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91 |
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(2,148) |
2,273 |
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At the beginning of the period |
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|
190 |
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2,273 |
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190 |
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At the end of the period |
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281 |
|
125 |
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