Takeover Panel
14 October 2003

2003/23

OFFERS BY

LARAGROVE LIMITED ('LARAGROVE')

AND

BARONESS RETAIL LIMITED ('BARONESS')

FOR

DEBENHAMS PLC ('DEBENHAMS')




On 4 August, Laragrove posted an offer to Debenhams' shareholders. On 29 September, Baroness posted an offer to
Debenhams' shareholders, such offer to be implemented by way of a scheme of arrangement. Neither offer has yet been
declared final and either offer may therefore be increased or otherwise revised.

In order to provide an orderly framework for resolution of the competing offers and in accordance with Rule 32.5, the
Panel Executive has ruled, following discussions with the parties, that except with the consent of the Panel
Executive:


if either Laragrove or Baroness wishes to revise or increase its offer (other than in
accordance with the following procedure) after 5.00 p.m. on Thursday 30 October then that
bidder must lodge any increased offer with the Panel Executive by 4.00 p.m. on Friday 31
October (the 'Auction Start Date'), such increased offer to be announced at approximately 5.00
p.m. that day;


if the bidder with the lower offer at 5.00 p.m. on Thursday 30 October, or if both bidders,
announce(s) an increased offer by approximately 5.00 p.m. on the Auction Start Date then an
open auction procedure shall begin and the bidder with the lower offer following such
announcement(s) shall have until 4.00 p.m. on Saturday 1 November to lodge an increased offer
with the Panel Executive, such increased offer to be announced at approximately 5.00 p.m. that
day;


if the bidder with the lower offer after the announcement(s) at approximately 5.00 p.m. on the
Auction Start Date, or if both bidders, announce(s) an increased offer on Saturday 1 November,
the bidder which then has the lower offer outstanding shall have until 4.00 p.m. on Sunday 2
November to lodge an increased offer with the Panel Executive, such increased offer to be
announced at approximately 5.00 p.m. that day. If the bidder with the lower offer after the
announcement(s) at approximately 5.00 p.m. on Saturday 1 November, or if both bidders,
announce(s) an increased offer on Sunday 2 November, the lower bidder shall have until 4.00
p.m. on Monday 3 November to lodge an increased offer with the Panel Executive, such increased
offer to be announced at approximately 5.00 p.m. that day;


if such an increased offer is announced on Monday 3 November, then the open auction procedure
shall cease to operate. Both bidders shall be invited to submit sealed bids to the Panel
Executive by 1.00 p.m. on Tuesday 4 November specifying a fixed maximum price that each bidder
is prepared to pay. Formula offers will not be permitted. An announcement by the bidder
with the highest offer will, unless otherwise agreed by the Panel Executive, be released by
5.00 p.m. that day;


if, during the open auction, the bidder with the lower offer does not lodge an offer with the
Panel Executive by 4.00 p.m. the next day or if a party is the under-bidder in the sealed bid
process (as appropriate) then that bidder will not be able to amend its offer thereafter;


a further announcement will be made regarding the offer timetable once the above process has
been completed; and


the Panel Executive reserves the discretion to amend the above procedure as appropriate.



Each of the parties has accepted this ruling.

14 October 2003

Not doing too well at the open but Shares magazine tip from xmas edition.......

Debenhams (DEB) BUY - 83.4p - Stop loss: 66.7p

A debt reduction programme, shrewd acquisitions and likely profit margin improvement all
mean retailer Debenhams is worth buying for 2010.

Wed 20:43 Times Article



Self-centred shopping meant that Boxing Day and Monday were the two busiest online shopping days of the year, according to Hitwise, the online research group.

Robin Goad, research director of Hitwise, said that the number of internet hits beat even the pre-Christmas peaks on December 6 and 7. However, he said that there was less of a Christmas Day surge this year than last.

On Boxing Day, online retailers that received an above-average spike in traffic included Next, Currys, Debenhams, Tesco Direct, Comet and PC World.

The top site was eBay possibly buoyed by a wave of customers hoping to sell unwanted presents followed by Amazon, Argos, Next and Play.com. Mr Goad said that online retailers with a bricks-and-mortar presence outperformed pureplay online retailers during the sales period.

think personaly that we will get higher margins at DEB and a stonking return from the online business, the TA is certainly very bullish, please see chart:

Fundies certainly backing up the chart.

analysts by and large very positive on the stock with a very cheap P/E of just over 9 going into 2011, way too cheap I reckon.

Debenhams PLC

FORECASTS
2010 2011

Date Rec Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Panmure Gordon
31-12-09 HOLD 134.00 7.45 150.60 8.37 3.00

SG Securities
30-12-09 HOLD 8.14 9.34 3.00

Arden Partners
30-12-09 BUY 134.97 7.55 2.00 155.21 8.68 3.30

Shore Capital
25-12-09 BUY 142.10 7.60 0.90 161.00 8.50 0.90

Oriel Securities
22-12-09 BUY 145.00 7.50 0.50 153.00 8.00 0.80

KBC Peel Hunt Ltd
22-12-09 BUY 140.77 7.82 152.80 8.49 2.50

Investec Securities
21-12-09 BUY 135.00 7.55 1.00 159.00 8.90 2.50

Seymour Pierce
18-12-09 HOLD 135.00 7.80 140.00 8.00

Numis Securities Ltd
16-12-09 ADD 141.90 8.10 156.00 8.90

Singer Capital Markets Ltd
07-12-09 BUY 144.40 8.10 165.00 9.20 4.60

Altium Securities
30-11-09 BUY 143.90 8.00 163.70 9.10 1.50

Nomura Research Institute
23-10-09 BUY 134.10 7.34 151.80 8.35

Pali International [R]
21-08-09 NEUT 145.00 8.00 2.90

2010 2011
Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Consensus 138.18 7.68 0.27 155.02 8.60 2.05
1 Month Change -3.97 -0.05 -0.15 -0.64 -0.11 0.40
3 Month Change -0.91 -0.14 -0.06 2.71 -0.13 0.26


GROWTH
2009 (A) 2010 (E) 2011 (E)

Norm. EPS 15.99% -23.36% 11.98%
DPS -92.06% -46.00% 659.26%

INVESTMENT RATIOS
2009 (A) 2010 (E) 2011 (E)

EBITDA 278.50m 286.09m 300.79m

EBIT 182.40m 195.02m 205.41m

Dividend Yield 0.64% 0.35% 2.63%

Dividend Cover 20.04x 28.44x 4.20x

PER 7.77x 10.14x 9.06x

PEG 0.49f -0.43f 0.76f

Net Asset Value PS -32.22p 41.00p 48.00p

Broker BUY note just out (digital look).....

05-Jan-10 Debenhams DEB Merrill Lynch Buy 79.65p - - Reiteration

Well looks like the Brokers are pretty confident DEB are going to at least meet forecasts, just look at how bullish they have been in the new year....

Debenhams PLC

FORECASTS
2010 2011

Date Rec Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Panmure Gordon
07-01-10 HOLD 134.00 7.45 150.60 8.37 3.00

Investec Securities
07-01-10 BUY 135.00 7.55 1.00 159.00 8.90 2.50

SG Securities
07-01-10 HOLD 8.14 9.34 3.00

Arden Partners
06-01-10 BUY 134.97 7.55 2.00 155.21 8.68 3.30

Oriel Securities
05-01-10 BUY 145.00 7.50 0.50 153.00 8.00 0.80

Numis Securities Ltd
05-01-10 ADD 141.90 8.10 156.00 8.90

Shore Capital
04-01-10 BUY 142.10 7.60 0.90 161.00 8.50 0.90

Cant get much more bullish than that.

PRESS DIGEST - British business - Jan 8
08 Jan 2010 - 04:00


MORE RECORD SALES FIGURES CREATE HIGH STREET CONFUSION

Record takings over the Christmas period from Sainsbury's , New Look and JD Sports have painted a confusing picture as they join a growing list of store groups to report better-than-expected figures, despite the country being in the grips of the worst recession since World War Two. Sainsbury's like-for-like sales growth over the festive period was 4.2 percent, New Look boasted figures of 5.9 percent and JD Sports said its figures climbed 6.6 percent in the five weeks to Jan. 2. Analysts pointed out the "sales windfall" retailers experienced following the collapse of Woolworths and Zavvi

Debenhams raised to buy from add at Numis.

You still in GF ? ,looking at this in the 60s ,may be worth a punt .

.

.

good results - 10 % drop since - another dog to avoid imho

Interim Management Statement.

Financial Performance



Gross transaction value for the period increased by 8.9% compared with the previous year including Magasin du Nord ("Magasin") and by 1.1% excluding Magasin. Like-for-like sales decreased by 0.4% over the 42 weeks. Like-for-like sales continued to be impacted by c.1.5% due to the strategy of improving gross margins by increasing the penetration of own bought trading space, which was predominantly undertaken in the fourth quarter of 2009, and by stronger comparatives in the third quarter of 2009.



We continue to make market share gains, particularly in menswear and childrenswear which have seen share gains of 20 basis points and 40 basis points respectively (source: Kantar Worldpanel Fashion 24 weeks market share data to 23 May 2010 vs. 2009). Womenswear share continues to be impacted by lower own bought sales densities.



Gross margin performance has been strong, driven by the performance of own bought ranges and our focus on tight stock control and markdown management in light of fragile consumer confidence. As a result of this, gross margin for the year is now expected to exceed our previous guidance of an increase of 80 basis points excluding Magasin and flat including Magasin.



Magasin continues to perform in line with our expectations and we are encouraged by the customer reaction to the introduction of Debenhams' own bought ranges into the stores. The Field's and Odense stores which have the highest proportion of Debenhams merchandise are showing good early signs of success. Consequently, we are confident in reiterating the guidance for Magasin set out at the interim results in April.

Waiting for confirmation but looks like a bullish pattern developed at DEB, Debenhams.

.

Mwa Mwa.

FULL YEAR RESULTS FOR 52 WEEKS ENDED 28 AUGUST 2010


Financial Highlights



Gross transaction value up 9.6%

Like-for-like sales flat

Gross margin* up 70 bps

Headline profit before tax** up 20.6% to 151.0m

Net debt at 28 August 2010 516.8m, down 73.5m from a year ago

Dividend expected to be reinstated at interim 2011

Interim Management Statement.

DEBENHAMS PLC - INTERIM MANAGEMENT STATEMENT

-- Group gross transaction value +4.2%

-- Like-for-like sales +0.3% inc VAT

-- Like-for-like sales -1.3% ex VAT

-- Continuing market share gains

-- Gross margin improvement

-- Debt and financing costs improved

Trading Update.

.

.

Debenhams will post its full-year results on Thursday and something less rocky is expected. Things have been pretty much "steady as she goes" at Debenhams of late, with the shares, priced at 66p on a P/E of around 7. And since payments were resumed, the dividend looks like ticking along at a nice 5%.

Although the share price has recovered of late -- it has dipped as low as 51p this year -- it's still looking like a pretty reasonable bargain to me, and is presumably unloved mainly because it's "retail" and "high street".