19 May 2011 – interim management statement

The first four months of the year saw the group experience strong demand for its silicon wafers, although recently this has weakened with the result that shipments in the first six months will be lower than previously expected.  However, these will still be significantly higher than the first half of 2010 and margins should also be higher thanks to a number of cost reduction programmes.  First half results should therefore be in line with expectations.  The group has continued to expand its customer base, with shipments to Asia exceeding 80% in the first four months of the year, whilst the expansion of the production capacity was completed on time and within budget.  We think that the shares have been treated harshly and rate them as a BUY.