FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
For the month of 14 November, 2003
Commission File Number
WATERFORD WEDGWOOD PLC
(Translation of registrant's name into English)
1/2 UPPER HATCH ST, DUBLIN 2, IRELAND
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports
under cover Form 20-F or Form 40-F.
Form 20-F..X.. Form 40-F.....
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes ..... No ..X...
If "Yes" is marked, indicate below the file number assigned to the registrant
in connection with Rule 12g3-2(b): 82- ________
Waterford Wedgwood plc
("Waterford Wedgwood" or "the Group")
Interim Results for the six months to 30 September 2003
Announcement of New Capital Structure
Interim Results to 30 September 2003
- - First half Group sales totalled EUR405.8 million (2002: EUR471.2
million) - down 3.7% at constant exchange rates and 13.9% at prevailing exchange
rates. First quarter sales were down 9%, second quarter sales equal to last
year, and September sales up 3% (all at constant exchange rates). Sales trends
improving.
- - Second quarter trading stronger with operating profit of EUR16.1 million
against operating loss of EUR11.9 million in first quarter; first quarter
heavily influenced by loss of sales caused by the war in Iraq and SARS epidemic
- - First half EBITDA before restructuring charges of EUR22.7 million (2002:
EUR60.7 million); group pre-tax loss of EUR12.1 million (2002: profit of EUR24.5
million on a comparable basis) before previously announced exceptional
restructuring charge of EUR32.7 million; year on year variances mainly caused by
difficult trading environment, lower capacity utilisation and adverse exchange
movements
- - Restructuring programme on track: total annual cost savings of EUR38.5
million anticipated. EUR2 million was achieved in the first half and EUR14
million is expected in the second half of this fiscal year
- - Encouraging trend in current trading:
- October worldwide sales up 3% at constant exchange rates
- second quarter US sales of Waterford and Wedgwood up 8% at constant exchange
rates (against first quarter sales down 12%); outlook for stronger Christmas
this year
New Capital Structure
- - Extends average term of our debt to approximately 5.5 years
- - New Capital Structure, to include rights issue, bond and senior debt
structure, with debt terms to maturity ranging from 4.5 to 7 years, will provide
a long-term, stable and flexible capital structure resulting in better liquidity
and support for long-term growth, underpinning the value of our brands
- - Proposed 3 for 11 rights issue at a price of 18 cent (euro) issuing
approximately 213 million new shares to raise gross EUR38.5 million of new
equity, fully underwritten by Davy Stockbrokers, with confirmed participation by
major shareholders, the O'Reilly and Goulandris families, in respect of their
full rights issue entitlements
- - Proposed seven-year bond in the principal amount of EUR165 million
- - New senior debt structure which reduces the revolving credit facility
from EUR338.4 million to EUR224.0 million, reduces the amended US private
placement notes from US$95 million (EUR81.2 million) to US$62.9 million
(EUR53.8 million), and partially repays other senior debt facilities
"We are pleased with the reversal of the first quarter performance to produce
operating profit of EUR16.1 million in the second quarter. Like virtually all
luxury goods businesses, we experienced a very challenging first quarter.
"During the first half of this year, we continued to focus on our fixed cost
base by implementing important restructuring and outsourcing programmes and by
investing in cost saving technology. These programmes include the closure of two
factories in England, the shrinking of our workforce by some 1000 people this
year, and the outsourcing of our entire Johnson Brothers production to Asia at
significantly enhanced profit margins. These programmes, all at a once-off cost,
are beginning to generate an improvement in profitability and we expect to
generate total annual cost savings of EUR38.5 million. EUR2 million was
achieved in the first half and EUR14 million is expected to be achieved in the
second half of this fiscal year.
"We are greatly encouraged by our improving sales trends, the signals that a
meaningful recovery in US retail sales is starting to take hold, and the
enhanced profit margins which should flow from our important restructuring and
productivity programmes. We have confidence in the Group's prospects for the
second half.
"This outlook, combined with the Group's proposed new capital structure
announced today, confirms our belief that, having weathered the economic
uncertainties of the markets over the last two years, Waterford Wedgwood is now
much better positioned to take advantage of the upturn in economic activity."
Sir Anthony O'Reilly
Chairman
14 November 2003
An analyst presentation will be held at 8.30am today at The Shelbourne Hotel
(The Constitution Room).
Enquiries:
Waterford Wedgwood Tel: +44 (0)7798 843276
Redmond O'Donoghue, Group Chief Executive Officer
Richard Barnes, Group Finance Director
College Hill Associates (UK/Europe)
Kate Pope Tel: +44 (0)7798 843276
James Henderson Tel: +44 (0)7774 444163
Tom Allison Tel: +44 (0)207 457 2020
Dennehy Associates (Ireland) Tel: + 353 (0)1 676 4733
Michael Dennehy
Waterford Wedgwood plc
("Waterford Wedgwood" or "the Group")
Chairman's Statement
Trading at Waterford Wedgwood has been substantially improving since June. At
constant exchange rates, the Group's fiscal second quarter sales were equal to
last year, a significant improvement over first quarter sales, which were 9%
down on last year. In September, which is the beginning of the holiday season
that leads up to Christmas, sales were 3% ahead of last year at constant
exchange rates.
As we pointed out at our Annual General Meeting, an unusual confluence of events
assured that the first quarter of this fiscal year would be challenging: the
conflict in Iraq, its aftermath and fears of a SARS epidemic raised difficulties
for virtually all luxury goods businesses. Naturally, earnings in our first
quarter were affected by the resulting volume loss, leading to an operating loss
of EUR11.9 million. We are encouraged, however, by the fact that improving sales
in the second quarter have reversed this first-quarter under-performance and
allowed us to generate an operating profit of EUR16.1 million in the months of
July, August and September. Consequently, the Group recorded an operating profit
of EUR4.2 million for the six months to 30 September 2003; first half EBITDA
before restructuring charges was EUR22.7 million (2002: EUR60.7 million). This
year on year variance was caused mainly by lower sales volumes, lower capacity
utilisation and by adverse exchange movements.
Benefits from restructuring programmes
During the first half of this year, we continued to focus on our fixed cost base
by implementing restructuring and outsourcing programmes and by investing in
cost saving technology. These programmes include the closure of two factories
in England, the shrinking of the Group's workforce by some 1000 people this year
and the outsourcing of our entire Johnson Brothers production to Asia at
significantly enhanced profit margins.
These programmes, all completed at a once-off cost, are on track and are
expected to generate total annual cost savings of EUR38.5 million. EUR2million
was achieved in the first half and EUR14 million is expected to be achieved in
the second half of this fiscal year.
The first Johnson Brothers products from the new Far Eastern sources are already
in the market. At the same time we have completed, on budget and on schedule,
the periodic re-build of our continuous-melt tank furnace in Waterford, an
investment in Waterford of EUR15.5 million.
Financial Results
Six months to Six months to
30 September 2003 30 September 2002
EUR million EUR million
Total sales 405.8 471.2
- crystal 135.4 158.9
- ceramics 170.3 211.1
- premium cookware 50.0 59.7
- other products 50.1 41.5
Operating profit (pre-exceptionals & amortisation) 4.2 40.6
EBITDA (pre-exceptionals) 22.7 60.7
Pre-tax (loss)/profit
- pre-exceptional (12.1) 24.5
- post-exceptional (44.8) 39.2
Net debt 429.9 402.1
(Loss)/Earnings per share
- pre goodwill amortisation/exceptional items (0.85) cents 3.12 cents
- post goodwill amortisation/exceptional items (5.51) cents 4.50 cents
First Quarter vs Second Quarter Breakdown
3 months to 3 months to Six months to
30 June 2003 30 September 2003 30 September 2003
EUR million EUR million EUR million
Sales 175.1 230.7 405.8
Operating (loss)/profit (11.9) 16.1 4.2
(pre-exceptionals & amortisation)
EBITDA (pre-exceptionals) (2.7) 25.4 22.7
Total Group sales of EUR405.8 million were 3.7% down at constant exchange rates
(13.9% down at prevailing rates; 2002: EUR471.2 million). Operating profit was
EUR4.2 million (2002: EUR40.6 million) with first half EBITDA before
restructuring charges at EUR22.7 million (2002: EUR60.7 million). The difference
compared with the same period last year was caused mainly by lower sales volume,
lower capacity utilisation and by adverse exchange movements. Pre-tax loss
before exceptional restructuring costs was EUR12.1 million (2002: profit of
EUR24.5 million on a comparable basis); additionally, a one-off exceptional
charge of EUR32.7 million for these previously announced restructuring
programmes has been included in these financial results. Loss per share was 0.85
cent (2002: earnings 3.12 cent). In the light of first half trading, the Board
is not recommending payment of an interim dividend.
We have fixed our effective US$/EUR rate for this fiscal year at $1.10 by
selling forward our dollar revenues.
Sector Overview
Crystal
The Group's crystal brands recorded sales of EUR135.4 million (2002: EUR158.9
million), down 3.9% at constant exchange rates (14.8% at prevailing rates) due
to difficult first quarter trading, particularly in the Unites States. However,
there were some notable successes. Waterford Crystal's co-branding alliances
continue to flourish. Sales of our John Rocha and Jasper Conran crystal
collections grew by a combined 34%. Bold new product programmes were
enthusiastically welcomed at a major trade show in New York at the end of
October. These include Evolution by Waterford, Waterford Crystal's stunning new
collection of imposing, hand-made coloured glass pieces for the home. Waterford
Great Room follows on the striking success of Waterford Fine China with a
superbly designed and crafted collection of casual products for everyday luxury
living. We have completed, on budget and on schedule, the re-build of our
continuous-melt tank furnace in Waterford, a EUR15.5 million investment in
refurbishment and cost-saving technology.
Ceramics
Sales of ceramic products were EUR170.3 million (2002: EUR211.1 million), down
12.3% at constant exchange rates and 19.3% at prevailing rates, as the European
ceramics market continued to prove difficult. Despite this, the combined
Waterford and Wedgwood share of the US formal china market has grown from 21.5%
to 24.5%, placing the Group a strong and rapidly growing second in the vast US
market. The US has seen continued success with "Vera Wang at Wedgwood" which
continues to grow at a significant rate. Furthermore, we have seen increased
consumer confidence and spend in Asia in recent months. Sales performance from
the "Jasper Conran at Wedgwood" range in the UK continues to expand. The first
Johnson Brothers products from the new Far Eastern sources are now in the
market. At the end of October, Wedgwood launched its marvellous new flagship
store on Regent Street, London, which has been very well received.
Premium cookware
Premium cookware sales were EUR50.0 million (2002: EUR59.7 million), down just
0.8% at constant exchange rates and 16.2% at prevailing rates. All-Clad sales in
the US have been resilient in a difficult market environment. Spring, our
European premium cookware brand, has now been fully integrated into the Group
and firmly leads our entry in the premium cookware market in Europe.
Other products
Our other products sales grew to EUR50.1 million (2002: EUR41.5 million), an
increase of 38.8% at constant exchange rates and 20.7% at prevailing rates. Our
W-C Designs linen business grew 8.5% at constant exchange rates while sales of
our Waterford Holiday Heirlooms more than doubled.
Sales Channels
We greatly value our longstanding relationships with our department store
partners, relationships which we anticipate will continue to grow and prosper.
At the same time, the Group has been steadily diversifying its sales channel
base through productive collaborations with rapidly growing lifestyle retailers
such as Williams Sonoma and others. It is anticipated that this trend will
continue.
New Capital Structure
Following a strategic review of our requirements in light of current economic
and business conditions, the Board of Directors has decided to implement a new
capital structure which will enable the Group to focus on maximising the
long-term value of our brands. The capital structure reduces total and senior
leverage and will include a rights issue, a bond issue and a new senior debt
structure.
The components of Waterford Wedgwood's new capital structure are:
- - Rights Issue: the Group proposes to offer to qualifying stockholders 3
new stock units for every 11 stock units held in a rights issue at a price of 18
cent (euro) per new stock unit, representing a discount of 38% relative to the
closing market price of 29 cent (euro) on the Irish Stock Exchange on 13
November 2003. This will result in the issuance of approximately 213 million new
stock units, which will raise EUR35.7 million, net of expenses, of new equity
for the Group. The major shareholders, the O'Reilly and Goulandris families,
have undertaken to participate in the rights issue to the full extent of their
combined entitlements, representing 24.6% of the issued share capital of the
Company.
The rights issue is fully underwritten by Davy Stockbrokers and is conditional
on the successful completion of the bond, as well as agreement for an amended
revolving credit facility and private placement notes.
The allotment of the new stock units under the rights issue will be within the
Group's existing authorities and share capital headroom and will not therefore
require stockholder approval. It is expected that the conditions of the rights
issue will be satisfied on or around 2 December 2003 (and in any event, no later
than 5 December 2003). Rights Issue documents will then be posted to qualifying
stockholders.
- - Bond: the Group proposes to raise EUR165 million of subordinated debt
through the capital markets
- - New Senior Debt Structure:
- amended revolving secured credit facility with its existing lenders for an
amount of EUR224.0 million, down from EUR338.4 million, with a maturity date of
31 March 2008
- amended US Private Placement notes of US$62.9 million (EUR53.8 million),
down from US$95 million (EUR81.2 million)
- partial repayment of other senior debt facilities
Current Trading
We are definitely beginning to see a bounce come back into the consumer's step -
particularly in our important US and Japanese markets.
In September, the beginning of the holiday season leading up to Christmas, our
sales were 3% up on last year (at constant exchange rates). Our October sales
again were up 3% (at constant exchange rates). In the US, which accounts for
over 50% of our worldwide business, combined Waterford and Wedgwood sales were
up 8% versus last year in the second quarter, having been down by 12% in the
April to June quarter at constant exchange rates.
The United States Christmas selling season is always important. Given this
encouraging improvement in trading in September and October, and signs of an
encouraging early start to November, we are optimistic of a stronger Christmas
this year.
We are greatly encouraged by our improving sales trends, the signals that a
meaningful recovery in US retail sales is starting to take hold, and the
enhanced profit margins which should flow from our important restructuring and
productivity programmes. We have confidence for the Group's prospects for the
second half.
This outlook, combined with the Group's proposed new capital structure announced
today, confirms our belief that, having weathered the economic uncertainties of
the markets over the last two years, Waterford Wedgwood is now much better
positioned to take advantage of the upturn in economic activity.
Sir Anthony O'Reilly
Chairman
14 November 2003
THIS PRESS RELEASE IS NOT AN OFFER FOR SALE OF SECURITIES IN THE UNITED STATES
(INCLUDING HOLDERS OF ADRS) NOR SHALL IT CONSTITUTE AN OFFER TO SELL, OR THE
SOLICITATION OF AN OFFER TO BUY, AND THERE SHALL NOT BE ANY SALE OF THESE
SECURITIES IN ANY JURISDICTION IN WHICH SUCH OFFER, SOLICITATION OR SALE WOULD
BE UNLAWFUL PRIOR TO REGISTRATION OR QUALIFICATION UNDER THE SECURITIES LAWS OF
ANY SUCH JURISDICTION. THE SECURITIES MAY NOT BE OFFERED OR SOLD IN THE UNITED
STATES ABSENT REGISRATION OR AN EXEMPTION FROM REGISTRATION UNDER THE U.S.
SECURITIES ACT OF 1933, AS AMENDED.
For the purpose of Section 21 of the Financial Services and Markets Act 2000 of
the United Kingdom ("FSMA"), to the extent that this press release constitutes a
financial promotion in respect of the issuance of any securities of Waterford
Wedgwood, any invitation or inducement to engage in any investment activity
included within this press release is directed only at (i) persons who are
investment professionals within the meaning of Article 19(5) of the Financial
Services and Markets Act 2000 (Financial Promotion) Order 2001 (as amended) of
the United Kingdom (the "Financial Promotion Order"); or (ii) persons who fall
within Articles 49(2)(a) to (d) ("high net worth companies, unincorporated
associations etc.") of the Financial Promotion Order; and (iii) any other
persons to whom this press release for the purposes of Section 21 of FSMA can
otherwise lawfully be made (all such persons together being referred to as
"relevant persons"), and must not be acted on or relied upon by persons other
than relevant persons. Any invitation or inducement to engage in any investment
activity included within the press release is available only to relevant persons
and will be engaged in only with relevant persons.
For the purpose of Section 4 of the Public Offers of Securities Regulations 1995
("POS Regs"), Waterford Wedgwood will not offer or sell any of the bonds
contemplated under its new capital structure to persons in the United Kingdom,
except (a) to persons whose ordinary activities involve them in acquiring,
holding, managing or disposing of investments (as principal or agent) for the
purposes of their business; (b) in the circumstances in which such bonds qualify
as "Euro-securities" and are offered in compliance with section 7(2)(s) of the
POS Regs; or (c) otherwise in circumstances which have not resulted in and will
not result in an offer to the public in the United Kingdom within the meaning of
the POS Regs.
Waterford Wedgwood plc
("Waterford Wedgwood" or "the Group")
Consolidated Profit and Loss Account
6 months ended
(unaudited)
30 September 30 September
2003 2002
Note EURm EURm
Sales by category
Crystal 135.4 158.9
Ceramics 170.3 211.1
Premium cookware 50.0 59.7
Other products 50.1 41.5
Total Group sales 405.8 471.2
Group operating profit 4.2 40.6
Exceptional restructuring charge (32.7) -
Gain arising on conversion of $ loan - 9.7
Profit on sale of fixed asset - 5.0
Goodwill amortisation (3.4) (3.3)
Group (loss)/profit before interest (31.9) 52.0
Net interest payable (12.9) (12.8)
(Loss)/profit on ordinary activities before taxation (44.8) 39.2
Taxation on (loss)/profit on ordinary activities 1.7 (4.9)
(Loss)/profit on ordinary activities after taxation (43.1) 34.3
Minority interests 0.4 (0.2)
(Loss)/profit attributable to members of the parent company (42.7) 34.1
Dividends - (5.5)
Retained (loss)/profit for the period (42.7) 28.6
(Loss)/earnings per ordinary share before goodwill amortisation
and exceptional items (cents) 3 (0.85c) 3.12c
(Loss)/earnings per ordinary share (cents) 3 (5.51c) 4.50c
Waterford Wedgwood plc
("Waterford Wedgwood" or "the Group")
Consolidated Balance Sheet
As at
(unaudited)
30 September 30 September
2003 2002
Note EURm EURm
Fixed assets
Intangible assets 4 106.5 111.3
Tangible assets 207.9 243.4
Financial assets 14.8 15.4
329.2 370.1
Current assets
Stocks 307.2 314.8
Debtors 193.2 213.2
Cash and deposits 32.3 58.2
532.7 586.2
Creditors (amounts falling due within one year) (201.6) (197.4)
Bank loans and overdrafts (49.4) (26.5)
Net current assets 281.7 362.3
Total assets less current liabilities 610.9 732.4
Creditors (long and medium debt) (412.8) (433.8)
Other long term creditors (36.2) (35.2)
Provisions for liabilities and charges (1.1) (1.5)
160.8 261.9
Capital and reserves
Called up share capital 57.2 55.4
Share premium account 194.3 190.2
Revaluation reserve 9.3 9.8
Revenue reserves (106.3) (0.1)
Capital conversion reserve fund 2.6 2.6
Shareholders' funds - equity interests 157.1 257.9
Minority interests - equity interests 3.7 4.0
160.8 261.9
Waterford Wedgwood plc
("Waterford Wedgwood" or "the Group")
Consolidated Cash Flow
6 months ended
(unaudited)
30 September 30 September
2003 2002
EURm EURm
Group operating profit 4.2 40.6
Restructuring spend (11.3) (10.6)
Depreciation 18.5 20.1
Working capital (52.7) (49.9)
Cashflow from operations (41.3) 0.2
Interest (14.1) (11.3)
Capital expenditure (net) (19.8) (1.9)
Taxation paid (5.9) (2.9)
Dividends paid (7.6) (15.9)
Other - 0.1
Net Group cashflow (88.7) (31.7)
Exchange 15.5 30.0
Royal Doulton investment - (6.7)
Spring acquisition - (3.5)
Opening debt (356.7) (390.2)
Closing debt (429.9) (402.1)
Waterford Wedgwood plc
("Waterford Wedgwood" or "the Group")
Reconciliation of movement in shareholders' funds
6 months ended
(unaudited)
30 September 30 September
2003 2002
EURm EURm
(Loss)/profit for the period (42.7) 34.1
Exchange translation effect on net overseas investments (1.7) (12.3)
Total recognised (losses)/gains for the period (44.4) 21.8
Scrip dividend 1.7 1.5
Dividend - (5.5)
New share capital subscribed - 0.1
Shareholders' funds at beginning of period 199.8 240.0
Shareholders' funds at end of period 157.1 257.9
Notes to the Interim Consolidated Financial Statements
1. Basis of Preparation of Unaudited Interim Consolidated Financial Statements
These unaudited interim consolidated financial statements have been prepared
applying the accounting policies described on page 13 of the published accounts
for the year ended 31 March 2003. As described in note 1 of those accounts, the
Group's bankers have agreed to the suspension of loan covenants and a
renegotiation of the terms of the Group's existing facilities. The Group has
today announced details of a new capital structure, containing a rights
offering, seven year bond, new secured revolving credit facility and amended
private placement notes. The Group's projections suggest adequate profitability
and cash flows to meet its financial needs and obligations. The Directors,
having regard to the Group's business plans, the current trading position and
the new capital structure, consider it appropriate to adopt the going concern
basis in preparing these interim accounts.
2. Exchange Rates
The exchange rates used for consolidation purposes between the euro and the
principal currencies in which the Group does business were as follows:
Profit and loss
transactions
6 months ended Balance sheet as at
30.09.03 30.09.02 30.09.03 30.09.02
U.S. Dollar $1.13 $0.96 $1.17 $0.98
Sterling GBP0.70 GBP0.63 GBP0.70 GBP0.63
Yen Y133.59 Y117.11 Y129.57 Y120.71
3. (Loss)/earnings per Ordinary Share
6 months ended 30 September 2003 6 months ended 30 September 2002
Profit/ No. of Profit/ No. of
(loss) shares Per share (loss) shares Per share
EURm millions Cents EURm millions cents
(Loss)/profit for the financial period
before goodwill amortisation and
exceptional items (6.6) 775.6 (0.85) 23.7 758.3 3.12
Exceptional charge (32.7) 775.6 (4.22) - - -
Gain arising on conversion of $ loan - - - 9.7 758.3 1.28
Profit on sale of fixed asset net of
capital gains tax - - - 4.0 758.3 0.53
Goodwill amortisation (3.4) 775.6 (0.44) (3.3) 758.3 (0.43)
(Loss)/profit for the financial period (42.7) 775.6 (5.51) 34.1 758.3 4.50
4. Intangible assets - Goodwill
EURm
Balance at 31 March 2003 115.8
Goodwill amortisation (3.4)
Exchange (5.9)
Balance at 30 September 2003 106.5
5. Restructuring and rationalisation provision
EURm
Balance at 31 March 2003 7.9
Charged to the profit and loss account 29.5 *
Utilised (11.3)
Exchange (0.1)
Balance at 30 September 2003 26.0
* In addition EUR3.2 million has been charged to profit and loss to write-down
inventory
6. Net debt
Net debt at 30 September 2003 comprising short and long term borrowing less cash
and deposits amounted to EUR429.9 million (30 September 2002: EUR402.1 million).
7. Listed investment
The Group holds 21.16% of the issued share capital of Royal Doulton plc. The
market value of this investment at 30 September 2003 was EUR3.0 million based
upon a share price of GBP0.03. The book carrying value at 30 September 2003 was
EUR8.7 million.
Independent review report to Waterford Wedgwood plc
Introduction
We have been instructed by the company to review the financial information set
out on pages 8 to 13. We have read the other information contained in the
interim report and considered whether it contains any apparent misstatements or
material inconsistencies with the financial information.
Directors' responsibilities
The interim report, including the financial information contained therein, is
the responsibility of, and has been approved by the Board of Directors. The
directors are responsible for preparing the interim report in accordance with
the Listing Rules of the Irish Stock Exchange which require that the accounting
policies and presentation applied to the interim figures should be consistent
with those applied in preparing the preceding annual accounts except where any
changes, and the reasons for them, are disclosed.
Review work performed
We conducted our review in accordance with guidance contained in Bulletin 1999/4
issued by the Auditing Practices Board applicable in Ireland. A review consists
principally of making enquiries of management and applying analytical procedures
to the financial information and underlying financial data, and based thereon,
assessing whether the accounting policies and presentation have been
consistently applied unless otherwise disclosed. A review excludes audit
procedures such as tests of controls and verification of assets, liabilities and
transactions. It is substantially less in scope than an audit performed in
accordance with Auditing Standards applicable in Ireland and, therefore,
provides a lower level of assurance than an audit. Accordingly, we do not
express an audit opinion on the financial information. This report has been
prepared for and only for the company for the purpose of the Listing Rules of
the Irish Stock Exchange and for no other purpose. We do not, in producing this
report, accept or assume responsibility for any other purpose or to any other
person to whom this report is shown or into whose hands it may come save where
expressly agreed by our prior consent in writing.
Review conclusion
On the basis of our review, we are not aware of any material modifications that
should be made to the financial information as presented for the six months
ended 30 September 2003.
PricewaterhouseCoopers
Chartered Accountants
Dublin
14 November 2003
END
Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Waterford Wedgwood PLC
(Registrant)
By: Patrick Dowling
(Signature)*
Date: 14 November, 2003