Fiberweb makes good progress in H2 2009

15 December 2009, New York - Fiberweb plc, the international nonwoven fabrics producer, has published a pre close trading update, ahead of preliminary results for the twelve month period ending 31 December 2009, which are expected to be announced in February 2010. The company continues to make significant progress in the second half of 2009 and expects to exceed expectations for the full year to 31 December 2009.

The company says that sales trends have continued to stabilise with second half volumes now slightly up versus prior year on a like-for-like basis for the period July to November. This improving trend is expected to continue into 2010.

European Industrial has continued to perform well with encouraging sales growth from new products in both medical and construction markets, Fiberweb says.

“Americas Industrial is also making satisfactory progress in a stabilising construction sector benefiting from new roofing products and initial DefenCell revenues. Consumer Fabrics has seen sustained robust volumes in both North America and Europe. The FitesaFiberweb joint venture has been trading in line with expectations,” the company says.

“Underlying operating profit for the year to date is significantly ahead of 2008, with a further improvement in operating margins evident. As a result, we expect net debt to be slightly below forecast levels at the year-end.”

Fiberweb says that the cost reduction programme in European Consumer Fabrics will be completed by the year end and this marks the end of the major turnaround activities within the Company. Consequently, restructuring and impairment charges in the second half are not expected to be significant.