Panel Supplies Limited - Limited company accounts 23.2

REGISTERED NUMBER: 06277416 (England and Wales)

Strategic Report, Report of the Directors and

Audited Financial Statements

For The Year Ended 30th April 2023

for

Panel Supplies Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

5

Income Statement

8

Other Comprehensive Income

9

Statement of Financial Position

10

Statement of Changes in Equity

11

Notes to the Financial Statements

12

DIRECTORS:

Mrs D G Attwood

I D Attwood

R Attwood

A J Draper

T A D McGregor

C Bell

SECRETARY:

M C Walker

REGISTERED OFFICE:

Unit 5, Javelin Park

Halpern Way

Haresfield

Stonehouse

Gloucestershire

GL10 3WT

REGISTERED NUMBER:

06277416 (England and Wales)

SENIOR STATUTORY AUDITOR:

Graham Wildin

AUDITORS:

Wildin (Auditors) Limited

Kings Buildings

Lydney

Gloucestershire

GL15 5HE

The directors present their strategic report for the year ended 30th April 2023.

REVIEW OF BUSINESS

The turnover of the company during the year has reduced due to the general economic slow down and overall profits decreased as a result . Turnover decreased by 11.28% to £49,414,169 and the gross profit margin reduced from 16.53% (2022) to 7.83% (2023) with pre tax profits decreasing from £6,875,896 (2022) to £1,471,233 (2023). The large decrease in the gross profit margin related to the volatile exchange rates which occurred as a result of the Government's disastrous budget, which greatly affected the value of the £ to the $ exchange rate, and most of the company's purchases are done in $ currency.

All of the directors/shareholders attend quarterly meetings where the progress of the company is discussed and they are therefore fully aware of the other financial aspects of the company.

PRINCIPAL RISKS AND UNCERTAINTIES

The principle risks relate to exchange variances, as the majority of all purchases come in from abroad, and increased competition. The results for this year show the dramatic affect that volatile exchange rates can have on the profitability of the company.

ON BEHALF OF THE BOARD:

Mrs D G Attwood - Director

27th July 2023

The directors present their report with the financial statements of the company for the year ended 30th April 2023.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of Timber Merchants.

DIVIDENDS

The total distribution of dividends for the year ended 30th April 2023 will be £ 2,000,000 .

DIRECTORS

The directors shown below have held office during the whole of the period from 1st May 2022 to the date of this report.

Mrs D G Attwood

I D Attwood

R Attwood

A J Draper

T A D McGregor

C Bell

LABOUR AND PERSONNEL COSTS

There are no staff directly employed by the company. All labour and personnel costs are recharged costs from International Plywood (Gloucester) Limited, being the primary employer of the labour and personnel used within the group.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

ON BEHALF OF THE BOARD:

Mrs D G Attwood - Director

27th July 2023

Opinion

We have audited the financial statements of Panel Supplies Limited (the 'company') for the year ended 30th April 2023 which comprise the Income Statement, Other Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 30th April 2023 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

-enquiry of management, those charged with governance around instances of actual and potential litigation and claims.

-enquiry of entity staff in tax and compliance functions to identify any instances of non-compliance with laws and regulations by way of data submission report, and whether they are aware of any instances of non-compliance.

-detecting and responding to the risks of fraud and whether they have knowledge of actual, suspected or alleged fraud,

-reviewed financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations in direct relation to the company.

- performed audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias.

-assessment of the nature of the industry and sector, control environment and business performance including the design of the company bonus levels.

-the matters discussed among the audit engagement team, including tax, regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential of fraud in the following areas: timing of recognition of income to despatch, posting of unusual journals and complex transactions and manipulation of company profits to meet bonus targets. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.

We also obtained an understanding of the legal and regulatory framework that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included UK Companies Act, employment law, pension legislation and tax legislation.

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Company's ability to operate or to avoid a material penalty.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Graham Wildin (Senior Statutory Auditor)

for and on behalf of Wildin (Auditors) Limited

Kings Buildings

Lydney

Gloucestershire

GL15 5HE

27th July 2023

TURNOVER

49,414,169

55,701,596

Cost of sales

45,541,813

46,496,372

GROSS PROFIT

3,872,356

9,205,224

Administrative expenses

2,401,123

2,325,213

OPERATING PROFIT

4

1,471,233

6,880,011

Interest receivable and similar income

-

1,753

1,471,233

6,881,764

Interest payable and similar expenses

5

146,022

5,868

PROFIT BEFORE TAXATION

1,325,211

6,875,896

Tax on profit

6

271,132

1,307,067

PROFIT FOR THE FINANCIAL YEAR

1,054,079

5,568,829

PROFIT FOR THE YEAR

1,054,079

5,568,829

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,054,079

5,568,829

FIXED ASSETS

Tangible assets

8

220,757

201,239

CURRENT ASSETS

Inventories

9

5,880,166

6,621,445

Debtors

10

9,166,345

11,012,708

Cash at bank

128,620

140,242

15,175,131

17,774,395

CREDITORS

Amounts falling due within one year

11

7,792,103

9,447,082

NET CURRENT ASSETS

7,383,028

8,327,313

TOTAL ASSETS LESS CURRENT LIABILITIES

7,603,785

8,528,552

PROVISIONS FOR LIABILITIES

14

55,189

34,035

NET ASSETS

7,548,596

8,494,517

CAPITAL AND RESERVES

Called up share capital

15

501,000

501,000

Retained earnings

16

7,047,596

7,993,517

SHAREHOLDERS' FUNDS

7,548,596

8,494,517

The financial statements were approved and authorised for issue by the Board of Directors and authorised for issue on 27th July 2023 and were signed on its behalf by:

Mrs D G Attwood - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1st May 2021

501,000

4,424,688

4,925,688

Changes in equity

Dividends

-

(2,000,000

)

(2,000,000

)

Total comprehensive income

-

5,568,829

5,568,829

Balance at 30th April 2022

501,000

7,993,517

8,494,517

Changes in equity

Dividends

-

(2,000,000

)

(2,000,000

)

Total comprehensive income

-

1,054,079

1,054,079

Balance at 30th April 2023

501,000

7,047,596

7,548,596

1.	STATUTORY INFORMATION

Panel Supplies Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Turnover

Turnover represents amounts receivable from the sale of plywood, net of VAT, trade discounts and volume rebates

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer ( usually on dispatch of goods), the amount of revenue can be measured reliably , it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Customer rebates are calculated and accounted for within the balance sheet. They are recognised in the profit & loss when paid.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Plant and machinery

-

20% on reducing balance

Fixtures and fittings

-

25% on reducing balance

Motor vehicles

-

25% on reducing balance

Tangible fixed assets are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Inventories

Inventories are held at the lower of cost and estimated selling price less costs to complete and sell.

Financial instruments

The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and section 12 'Other Financial Instruments Issues' of FRS to all its financial instruments

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basis Financial Assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method. Financial assets classified as receivable within one year are not amortised.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the fixed asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic Financial Liabilities

Basic financial liabilities, including creditors and loans are initially recognised at transaction price. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from supplies. Amounts payable are classified as current labilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

The company have in issue £8.5million on preference shares at the year end.

Derecognition of financial liabilities

Financial liabilities are derecognised when the company's contractual obligations expire or are discharged or cancelled.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that is probable that they will be recovered against the reversal of deferred tax liabiltiies or future taxable profits. Such assets and liabilities are not recognised if the timing differences arises from goodwill or form the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The carrying amounts of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

Cash & cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, bank overdrafts, invoice finance facilities. Bank overdrafts and invoice finance facilities are shown within borrowings in current liabilities.

3.	EMPLOYEES AND DIRECTORS

30.4.23

30.4.22

£

£

Wages and salaries

1,108,958

984,828

The average number of employees during the year was as follows:

30.4.23

30.4.22

Directors

7

7

Admin

24

24

31

31

There are no staff directly employed by the company. All labour and personnel costs are recharged costs from International Plywood (Gloucester) Limited, being the primary employer of the labour and personnel used within the group.

The cost of short term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.

30.4.23

30.4.22

£

£

Directors' remuneration

-

-

4.	OPERATING PROFIT

The operating profit is stated after charging/(crediting):

30.4.23

30.4.22

£

£

Depreciation - owned assets

52,653

59,676

(Profit)/loss on disposal of fixed assets

(74,540

)

1,117

Auditors' remuneration

13,250

12,000

5.

INTEREST PAYABLE AND SIMILAR EXPENSES

30.4.23

30.4.22

£

£

Bank Interest

193

1,039

Factoring Costs & Charges

145,829

4,829

146,022

5,868

6.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

30.4.23

30.4.22

£

£

Current tax:

UK corporation tax

249,977

1,313,698

Prior Years & Interest

-

(4,210

)

Total current tax

249,977

1,309,488

Deferred tax

21,155

(2,421

)

Tax on profit

271,132

1,307,067

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

30.4.23

30.4.22

£

£

Profit before tax

1,325,211

6,875,896

Profit multiplied by the standard rate of corporation tax in the UK of 19.500% (2022 - 19%)

258,416

1,306,420

Effects of:

Expenses not deductible for tax purposes

6,334

647

Depreciation in excess of capital allowances

6,382

-

Total tax charge

271,132

1,307,067

7.

DIVIDENDS

30.4.23

30.4.22

£

£

Ordinary A shares of £1 each

Interim

2,000,000

2,000,000

8.	TANGIBLE FIXED ASSETS

Fixtures

Plant and

and

Motor

machinery

fittings

vehicles

Totals

£

£

£

£

COST

At 1st May 2022

25,650

21,437

805,755

852,842

Additions

-

-

123,964

123,964

Disposals

-

-

(412,288

)

(412,288

)

At 30th April 2023

25,650

21,437

517,431

564,518

DEPRECIATION

At 1st May 2022

25,369

21,437

604,797

651,603

Charge for year

60

-

52,593

52,653

Eliminated on disposal

-

-

(360,495

)

(360,495

)

At 30th April 2023

25,429

21,437

296,895

343,761

NET BOOK VALUE

At 30th April 2023

221

-

220,536

220,757

At 30th April 2022

281

-

200,958

201,239

Leases

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

9.	INVENTORIES

30.4.23

30.4.22

£

£

Inventories

5,880,166

6,621,445

10.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30.4.23

30.4.22

£

£

Trade debtors

8,663,346

10,882,209

Amounts owed by group undertakings

418,624

92,438

VAT

48,467

-

Prepayments & Other Debtors

35,908

38,061

9,166,345

11,012,708

11.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30.4.23

30.4.22

£

£

Bank loans and overdrafts (see note 12)

3,865,647

1,782,731

Trade creditors

1,725,391

1,329,699

Amounts owed to group undertakings

1,038,816

4,289,787

Tax

171,748

437,698

VAT

-

11,921

Accrued expenses

990,501

1,595,246

7,792,103

9,447,082

12.

LOANS

An analysis of the maturity of loans is given below:

30.4.23

30.4.22

£

£

Amounts falling due within one year or on demand:

Bank overdrafts

3,865,647

1,782,731

The company factors it's debts and the factoring company have a charge over those debts. The company also gives a cross guarantee in respect of all bank borrowings within the International Plywood plc group of companies.

13.	SECURED DEBTS

The following secured debts are included within creditors:

30.4.23

30.4.22

£

£

Bank overdrafts

3,865,647

1,782,731

14.	PROVISIONS FOR LIABILITIES

30.4.23

30.4.22

£

£

Deferred tax

55,189

34,035

Deferred

tax

£

Balance at 1st May 2022

34,035

Charge to Income Statement during year

21,154

Balance at 30th April 2023

55,189

The deferred taxation movement relates to accelerated capital allowances.

15.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

30.4.23

30.4.22

value:

£

£

800

Ordinary A

£1

800

800

500,000

Preference

£1

500,000

500,000

200

Ordinary B

£1

200

200

501,000

501,000

16.

RESERVES

Retained

earnings

£

At 1st May 2022

7,993,517

Profit for the year

1,054,079

Dividends

(2,000,000

)

At 30th April 2023

7,047,596

17.	ULTIMATE PARENT COMPANY

International Plywood PLC is regarded by the directors as being the company's ultimate parent company.

The company is 100% owned subsidiary of International Plywood PLC, Unit 5, Javelin Park, Halpern Way, Haresfield, Stonehouse, Gloucestershire, GL10 3WT

18.	RELATED PARTY DISCLOSURES

The Company has taken advantage of the exemptions granted by Financial Reporting Standard 8 not to disclose transactions within the group.The parent of the group is International Plywood PLC.

19.	ULTIMATE CONTROLLING PARTY

The ultimate controlling party is David Attwood.