for more information about stanelco click on the links.

driver's research page link
http://www.moneyam.com/InvestorsRoom/posts.php?tid=7681#lastread
website link
http://www.stanelco.co.uk/index.htm

At least one share should go up today then.....

Stanelco PLC
24 March 2005

24 March 2005

Stanelco PLC ('Stanelco' or the 'Group')

ASDA adopt Stanelco's GREENSEAL technology

Stanelco PLC, the RF (radio frequency) applications group, is pleased to
announce that it has signed a binding contract with ASDA for a 12-month
exclusive agreement for the application of the Group's GREENSEAL tray lidding
and thermoforming RF technology in the UK and Ireland. ASDA anticipate that
several hundred machines will be adapted to utilise the technology due to the
significant benefits it delivers.

The agreement follows successful trials at a number of different ASDA suppliers
and will mean that the suppliers involved in the programme will, where
practical, convert from traditional heat-sealing to Stanelco's revolutionary RF
technology.

The main benefits of Stanelco's GREENSEAL technology are:

- An up to 20% lower cost of packaging material;
- A higher integrity seal substantially reducing the possibility of packs
leaking;
- A removal of laminated plastics in favour of mono plastics, which can be
easily recycled providing significant environmental benefits and
- A saving of up to 70% on power usage in the traylidding/thermoforming
machines.

The costs associated with conversion will be greatly outweighed by the financial
and other benefits indicated. It is expected that, according to plan, this
agreement will generate a revenue stream for Stanelco significantly in excess of
5m in the first year alone. Even before the first machine has been converted
ASDA and Stanelco are working together to look at other areas of opportunity for
the technology.

The 12-month agreement will commence from the first Monday following two weeks
of further successful trials with three ASDA suppliers. This is expected to be
in April. These commercial trials are in addition to the completed trial
announced on 1 March 2005. The underlying access agreement to adopt the
technology will be between Stanelco and each of ASDA's packaged food suppliers
with Stanelco taking on responsibility for installation and maintenance of the
tray-lidding technology.

Ian Balchin, Chief Executive of Stanelco commented:

'We are delighted to have signed a formal agreement with ASDA. This is the final
step of the first phase in the commercialising of this technology, and a very
significant step in the transformation of Stanelco into an intellectual property
business, exploiting the Group's core technologies. This contract is excellent
news for Stanelco and its shareholders and reflects the hard work put in by all
our staff. We look forward to working with ASDA on the implementation.'

Tony Ruane, Technical Manager, Meal Solutions category at ASDA said:

'This is a first to market for ASDA - real innovation. This could well turn out
to be the biggest thing in packaging for years. The benefits for both the
environment, our customers and suppliers from this technology are far reaching.
The potential for the use of Stanelco's technology grows every time we look at
it. Every visit to both stores and suppliers identifies new areas and ways in
which the technology can be used. We are looking forward to working with
Stanelco.'

Ends

For further information please contact:

Ian Balchin, Chief Executive
Stanelco PLC
Tel: +44 (0)2380 867100

Jonathon Brill/Billy Clegg
Financial Dynamics
Tel: +44 (0)20 7831 3113

a very, very good and wonderful morning to you all.

and it just gets better and better. hows this for a seal of approval.

'This is a first to market for ASDA - real innovation. This could well turn out
to be the biggest thing in packaging for years. The benefits for both the
environment, our customers and suppliers from this technology are far reaching.
The potential for the use of Stanelco's technology grows every time we look at
it. Every visit to both stores and suppliers identifies new areas and ways in
which the technology can be used. We are looking forward to working with
Stanelco.'

it just got bigger, folks!!!!!!

strange thing on my screen. bid=17.25p offer=17p spread= -1.47%

Now you can buy and sel for 17.25p Bos :-)

What a beautiful morning it is! Good morning all!

Roll on Walmart.

Mes Amities / d'accord completement !! 1 guess this is what weve all been waiting for. Everyone enjoy your day ...Looking at BPRG s/p; and wondering when we surpass it ,,,,hehe .@+ J .

LIFE IS GETTING BETTER. COULD NOT STOP MYSELF BY TOPPING UP ANOTHER 40000 SHARES-BLOODY WELL SHOULD HAVE DONE SO YESTERDAY AS MY INSTINCT TOLD ME TO. OH WELL...THEY WILL BE TOUCHING 25 PENCE A SHARE VERY SOON NOW ANYWAY

All appears wonderful, am I alone in thinking the rise is very modest? I would have thought 20p would be breached by now ..

chiva, agree with you on that one. May be some standing sell orders are being executed? Let us see how market digest news later in the morning

It's made it onto "risers" on the London Stock Exchange,which means SEO is finally on the big radar.
Incidentally,MMG has never been shown there!
I am amazed at the amount of sellers on such excellent news.The small rise of the sp is unnerving.

Any suggestion of the speculative rise in price of recent weeks getting ahead of the value of the deal? Or perhaps just buy on rumour, sell on news profit taking?

I think its fair to say that the news was reasonably priced in - perhaps was bound to be some sellers post news, but its still at least twice the number of buyers to sellers.

IMHO we will see a gradual rise through to lunch & maybe jump this afternoon as mm needs stock. Not convinced we will see 20 today, but 19 would be nice

I'm resigning myself to a state of baffled newbie confusion here, thanks for your comments robinhood, g6 et al .. Can't help thinking there would be more more than enough reason for a couple of ticks up even in the light of some market expectation, sell on news types etc. Agree with Ethel the volume of sellers is unnerving. Exercise some patience or something up? Comments from our regulars here? Andysmith, bosley, Eric, Driver etc?

Thanks
Chiva

Well my own view is that a lot of people got in SEO at very cheap prices and have made a huge profit. They have been waiting for the Asda deal and now are selling some of their stock. I've done the same. However, most will keep a large holding for the next upward trend which will happen but not on such a fast rise. SEO is definitely a stock to hold for a great future investment and will make us all lots more money with patience. All IMHO DYOR etc.
Di

Thanks Di - on a steep learning curve :o)

Oh yes and don't forget the MM it is in their interests to push the price down to get them stock to sell after letting the price go back up. They have done it many times on SEO and they must be short of stock as there has been much buying today and more Institutions and big investors will really take note now so expect lots of buying in over the next few weeks/months.
Di

Chiva

A couple of points about the relatively small price rise. First, the actual revenue projection from the deal at 5m in first year is not that big against some expectations. That can be qualified by statement "significantly in excess". There is no mention of royalties but on previous statements they would ruun at 75% of revenue figure in each suucceeding year. Also, ASDA refer to several hundred machines being adapted. 5m can't be more than 200 machines at 25K a pop.

The other point is that the market is generally against the small caps. One explanation is that there is a lot of propfit taking ahead of the year end. Markets are likely to be tight next week because of Easter hols.

What is likely to happen to the sp over the next few weeks? Short term profit taking could offset buying. However, there must be a significant flow of news stories which will bring in new buyers. We should also get updated and improved projections from advisors. There is nothing in this announcement that could be said to be unexpected so you could argue that the good news is priced in. However, the main argument for a rising sp is that SEO has broken through and that news flow from here on will all be positive. Unlikely too that there will be need for more funds with a nice early cashflow from ASDA. All these suppliersw will supply other supermarkets, etc though presumably with other machines. So Tesco, etc are going to be lining up for quick action in 12 month's time. Could tehre be a better emerging comapny scenario on the market?

Eric

Incredibly tight spread at the moment, 17.53 sell and 17.65 buy in latest trades. Any more experienced investors like to take a guess at the reason for this? My primitive mental calculator estimates that at about 0.66% practical spread! This seems very small to me?