On 20 April 2011, the Group announced the sale on a conditional basis of Vietnam Sugar to TH Milk Food Joint Stock Company for cash consideration of £33 million in addition to the Group’s share of the value of working capital and net cash to be retained in the business. The disposal is expected to be completed during the first half of the 2012 financial year.
On 26 May 2011, the Group took the decision to re-open the mothballed facility in McIntosh, Alabama and restart production of sucralose there. The Group estimates that the re-opening process will take about 12 months and that production will commence in the first half of the financial year ending 31 March 2013. Capital expenditure of around £13 million is anticipated before the plant can restart. The decision will result in the reversal of impairment of around £50 million and the release of around £20 million of the McIntosh mothball provision at current exchange rates. Both the reversal of the impairment and the release of the provision will be recognised as exceptional items in the 2012 financial year.