Persimmon
Persimmon is a house building company, which has been trading since 1972, and operates under three main brands, Persimmon Homes, Charles Church and Westbury Partnerships.
Persimmon cuts total borrowings by 34%
Housebuilder Persimmon PLC said it expects full-year results to be in line with market expectations, having legally completed 10,202 units at an average selling price of around £172,000 in the year to end-December 2008, representing a turnover of £1.76 billion.
It said its emphasis on cash control has resulted in a reduction of total borrowings at the year-end to around £600 million from £906 million previously.
Until there is an improvement in the restricted credit conditions currently experienced it will continue to focus on conserving cash. As a consequence the board does not intend to pay a final dividend this year.
It also has begun talks for the planned refinancing of its credit facilities. Its bank syndicate and private placement investors are actively engaged in establishing facilities appropriate for the future needs of the business together with covenants reflective of current credit market conditions.
“Whilst we believe that the long term future for the UK housing market remains good, the short term outlook is challenging. However, we currently have forward sales of around £400 million,” Persimmon said.
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