RNS Number:6022O
AGA Foodservice Group PLC
07 July 2005


7th July 2005
FOR IMMEDIATE RELEASE


        AGA FOODSERVICE GROUP PLC - PRE-CLOSE INTERIM TRADING UPDATE

In line with market practice, Aga Foodservice Group (Aga) is issuing its regular
trading update, ahead of its close period prior to its interim results for the
half year ended 30th June 2005, which will be announced on 9th September 2005.

Overview

The Group performed well in the first half of the year. The consumer markets are
clearly slower than a year ago and the growth achieved by Aga and Rangemaster
was particularly commendable. In contrast, investment levels are rising in
commercial markets. Overall, the first half of 2005 will be in line with
expectations and up on the half year 2004 IFRS pre-tax profit of #15.5 million.
Expectations for the remainder of the year should also be met.

Consumer

Within Consumer, although the housing market is quiet and consumers cautious,
Aga had another record first half. The new electric and 3-oven Agas helped to
sustain momentum. UK volumes were level with overseas markets growing and
exports reached close to 25% out of sales of 6,200 cookers. Rangemaster, the
inventor of the original range cooker, this year celebrated its 175th
anniversary with the launch of a new generation of the Victorian 'Kitchener'
cooker. Rangemaster continues to increase market share in the UK and is growing
well overseas. The home fashions retail operations, Fired Earth in the UK and
Domain in the US, saw sales down 5% and unchanged, respectively, but are now
obtaining sales benefits from being part of the Group through enhanced product
offerings and customer referrals. Domain's margins are also reflecting the
benefits of sourcing from Asia. Marvel, the US refrigeration business, had a
good first half.

Foodservice

In Foodservice, after a relatively slow start to the year our Aga Bakery
operations saw a distinct pick up in orders at the end of the period. The French
artisan bread market, a key market for Aga Bakery, is up year on year and some
of the international supermarket chains are indicating more ambitious investment
programmes. Having a single European structure for our bakery business is
bringing product and production benefits. In the US, further inroads were made
into the bakery markets - with doughnut equipment sales again being strong.

In Refrigeration the first half was very strong in the UK and also strong in
China and Australia. In the US volumes were up, but margins remain under
pressure.

Sales of our new revolutionary Infinity Fryer are growing. Research findings
show that overcooked food can contain toxins that are health hazards, and
controlling contamination is set to become a major issue for the foodservice
sector. With its push-button in-built filtration, Infinity helps to control
process contamination.

Strategic Investments

The Group remained in a cash positive position at the end of the period showing
there is continuing scope for strategic investments; the Group will continue to
take opportunities to strengthen its operations by acquiring complementary
businesses with the ability to bring new opportunities to existing operations.
This has been seen with the recent acquisition of Waterford Stanley, the Irish
cooker operation acquired for up to Euros 13.8 million and the increased
shareholding in Grange, the French international furniture group, from 40.7% to
75.0% for Euros 7.5 million.

IFRS

Prior to the interim results announcement, the Group will issue a restatement of
its 2004 results under IFRS. The half year IFRS pre-tax profit for 2004 is
expected to be #15.5 million compared with #12.7 million under UK GAAP. The
principal adjustments are to add back goodwill amortisation of #4.0 million and
to deduct a pension charge of #1.2 million.

-ENDS-
Enquiries:
William McGrath, Chief Executive, Aga Foodservice Group plc     0121 711 6015
Jonathan Glass/Simon Sporborg, Brunswick                        020 7404 5959




                      This information is provided by RNS
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