P R E L I M I N A R Y R E S U L T S3 March 2004

Financial Highlights - 2003

£ million 2003 2002 % inc

Group sales 146.1 138.0 5.9%

Operating profit before exceptional items– continuing operations

21.1 18.4 15.0%

Operating margin – continuing operations14.4% 13.3%

8.3%

Exceptional items 0.0 (1.8)

Net interest (3.0) (2.9)

Profit before tax 18.0 13.7 31.3%

Earnings per share 7.9p 7.2p 9.7%

Earnings per share before exceptional items

7.9p 6.0p 31.7%

Dividend per share 3.5p 3.0p 16.7%

Key Features

Continued steady trading

Good volume growth

Strong Eastern European performance

Stable pricing

Margin improvement from productivity and plant yields

Further reduction in net debt

Purchase of Cutisin minority shareholding

Sales Analysis 2003

Sales change vs 2002

2003

Volume 5.3%

Price / Mix (1.3)%

Operations 4.0%

Foreign Exchange 1.9%

Total 5.9%

Regional sales by destination 2003

Sales change vs 2002

Steady performance in UK / Ireland Recovery in Germany Strong growth in Eastern European

markets Good Cutisin performance in both edible

and non-edible collagen

2003£m Operations Exchange Total

Europe 86.5 2.9% 4.2% 7.1%

Regional sales 2003

Sales change vs 2002

Market share gain in domestic US market Strong growth in Latin America Adverse price / mix impact Impact of weak US$

2003£m Operations Exchange Total

Americas 30.9 7.8% (8.8)% (1.0)%

Regional sales 2003

Sales change vs 2002

Solid collagen sales performance in Australia / New Zealand

Reduction of volumes in South East Asia Strong recovery of volumes in Japan Positive exchange

2003£m Operations Exchange Total

Asia / Pacific 28.7 3.3% 7.4% 10.7%

Regional sales by destination 2003

Sales change vs 2002

Full Year

2003£m Operations Exchange Total

Europe 86.5 2.9% 4.2% 7.1%

Americas 30.9 7.8% (8.8)% (1.0)%

Asia / Pacific 28.7 3.3% 7.4% 10.7%

Total 146.1 4.0% 1.9% 5.9%

Profit and Loss - 2003

£ million 2003 2002

Group sales 146.1 138.0

Operating profit before exceptional items– continuing operations

21.1 18.4

Operating margin – continuing operations 14.4% 13.3%

Exceptional items 0.0 (1.8)

Net interest (3.0) (2.9)

Profit before tax 18.0 13.7

Tax 5.2 1.01

Minority interest 0.2 0.2

Profit for year 12.7 12.5

12002 includes an exceptional credit of £3.2m

Earnings and Dividend - 2003

2003 2002

Earnings per ordinary share

Basic 7.9p 7.2p

Diluted 7.9p 7.2p

Before exceptional items 7.9p 6.0p

Dividend per ordinary share 3.5p 3.0p

Balance Sheet

£ million 2003 2002

Fixed assets 89.2 89.2

Net current assets 25.8 25.2

Long term creditors and provisions (50.2) (55.7)

64.8 58.7

Share capital, share premium and reserves 56.6 56.6

Retained earnings 8.2 (0.6)

64.8 56.0

Minority interest 0.0 2.7

64.8 58.7

Net debt (26.7) (35.2)

Net gearing 41.2% 62.9%

Cash Flow

£ million 2003 2002

Net cash inflow from operating activities28.6

29.3

Net interest paid(3.1)

(3.0)

Taxation(3.2)

1.8

Capital expenditure(7.3)

(5.6)

Acquisitions and disposals(0.2)

(1.2)

Preference dividend paid0.0

(2.3)

Equity dividend paid(5.0)

(3.2)

Net cash flow before financing 9.8 15.8Redemption of preference shares 0.0 (27.7)Exchange (1.2) 1.3

Decrease / (increase) in net debt 8.6 (10.6)

Interest cover 7.0 6.4*

*calculated on operating profits – continuing operations before exceptional items

Outlook

Regulatory issues on collagen sourcing

Initial investigations into development of new products

Reasonable start to the year in general trading