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BRIEF-Treasury Wine Says Co To Operate Under Three New Internal Divisions From FY22

Published 17/02/2021, 08:52 am
© Reuters.
TWE
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Feb 17 (Reuters) - Treasury Wine Estates Ltd TWE.AX :

* H1 NET PROFIT AFTER TAX A$ 120.9 MILLION

* FROM F22, TWE WILL OPERATE UNDER THREE NEW INTERNAL DIVISIONS BEING PENFOLDS, TREASURY PREMIUM BRANDS AND TREASURY AMERICAS

* WILL EXPLORE DIVESTMENT AND EXIT OF OTHER NON-PRIORITY BRANDS, OPERATING ASSETS AND LEASES

* ACTIVELY IMPLEMENTING ITS GLOBAL RESPONSE PLAN FOLLOWING ANNOUNCEMENT OF PROVISIONAL MEASURES BY MOFCOM

* PLANNING FOR CONTINUATION OF CONDITIONS CONSISTENT WITH RECENT TRADING IN AMERICAS, ANZ, EMEA & ASIAN MARKETS OUTSIDE OF CHINA

* TWE EXPECTS THAT 2H21 EBITS WILL BE BELOW THAT OF 1H21

* IN CHINA, TWE EXPECTS THAT DEMAND FOR ITS PORTFOLIO WILL REMAIN EXTREMELY LIMITED

* INCREASING CONFIDENCE IN REALLOCATION PLANS FROM MOFCOM PLAN OF PENFOLDS BINS AND ICON RANGE FROM CHINA TO OTHER MARKETS

* NET DEBT TO EBITDAS IS EXPECTED TO INCREASE MODESTLY IN 2H21

* EXPECTS TO RECOGNISE ABOUT $100M IN TOTAL ONE-OFF COSTS AS PART OF RESTRUCTURE OF AMERICAS DIVISION

* EXPECTS TO GENERATE NET CASH INFLOW OF AT LEAST $300M FROM DIVESTMENTS AND RESTRUCTURING STEPS

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