Announcement of Interim Results 2010

Shepherd Neame, the Kent-based brewer and pub operator, today announces results for the 26 weeks ended 25 December 2010.

Highlights include:

• Turnover up 1.6% to £61.7m (2009: £60.8m) 
• Operating profit level at £6.4m (2009: £6.4m)
• Earnings per £1 share 26.7p (2009: 28.7p)
• Interim dividend 4.80p per £1 'A' "Ordinary Share (2009: 4.75p)
• Record beer volume
• Strong performances from Spitfire, Bishop's Finger and Asahi
• Like-for-like retail sales up 3.6%
• Strong like-for like retail sales in nine weeks since year end - up 11.4%

Miles Templeman, Chairman, commented:

This has been another good performance for the company. We have achieved record turnover and record total beer volume against a background of adverse weather conditions and pressure on disposable income.

Total beer volume increased by 0.6%, with strong performances from our core portfolio. Overall like-for-like sales in our managed estate have grown by 3.6%, with growth in liquor, food and accommodation and a particularly encouraging performance in the last nine weeks. In the tenanted estate we are experiencing similar encouraging underlying trends and average EBITDA per tenanted pub was stable at -0.6%.

2011 will place a further squeeze on consumers' disposable income through tax rises and inflationary pressures, but we remain focused on driving the business for the long term, on developing the quality of our brands and pubs and on maintaining our strong cash generation.