Pretax profits in 2001, before goodwill amortisation, were down 11.5%, at GBP 68.6m, for Britsh Vita (GB-Manchester M24 2DB; www.britishvita.com) in what it termed a difficult year with subdued market demand. Turnover fell 3.5%, to GBP 910.6m, and operating profit, before goodwill amortisation, was GBP 56.8m, down 11.5% compared with 2000. Trading in continental Europe, which had been strong, experienced some deterioration and the US performance was affected by the weak economy there and the events of 11 September. Strong performances in the cellular business were achieved in The Netherlands and eastern Europe, but in the industrial sector both thermoplastic sheet and compounding traded in difficult markets with reduced volumes. Liquid compounding had a good year.

US associate company Spartech is selling 8.25m of its shares, including 6m held by British Vita. Proceeds of Vita´s interest from the sale, an estimated GBP 90m, will be returned to the UK company´s shareholders, leaving it with a stake in Spartech of 20%, down from the previous 46%. The remaining 20% will be sold in a subsequent transaction.

Chairman Jim Mercer said he believes the group is in excellent shape to benefit from improved market conditions in 2002. “The difficulty of market conditions will clearly influence the priorities of our businesses,” said Mercer, “but selective acquisitions and the divestment of non-core assets will continue to be an important part of our strategy.”