Pre-Close Trading Update

 

TIDMCMM 
 
RNS Number : 1705G 
Commoditrade Inc. 
27 January 2010 
 

27 January 2010 
Commoditrade Inc 
("Commoditrade"or the "Group") 
 
 
Pre-Close Trading Update 
 
 
Commoditrade (AIM: CMM) announces a trading update following the completion of 
the financial year ended 31 December 2009. 
 
 
During the year Commoditrade completed a substantial programme of restructuring 
involving the entire Group, which included the following: 
 
 
  *  Renegotiation of base metals trading revenue share agreement with Sucden 
  Financial Limited. 
  *  Establishment of energy desk which commenced initial trading late in 2009. 
  *  Build-out of London-based trading platforms and adoption of new technical and 
  support partners including GL Sungard and opening of new London office. 
  *  Acquisition of remaining equity in AMCO Fund Management LLP. 
  *  Rebranding of the Group's principal operating companies to the new name of 
  'Mentum Group'. As the final part of this process the Board will also be 
  proposing a change of name from Commodtrade Inc. to Mentum Group at the 
  Company's next Annual General Meeting. 
 
 
 
On 24 September 2009 Commoditrade announced its interim results (reported in US$ 
for the first time) which included a loss for the six months ended 30 June 2009 
of US$12.3 million (after including non-cash items totalling US$9.3 million) and 
reported on the challenging trading conditions experienced in the base metals 
market from which the Group derives the majority of its revenues. 
 
 
Although the second half results show a clear improvement on the first half, the 
expectation is that the Group will report a loss for the year (inclusive of 
amortisation, share option and goodwill write off costs). At the year end the 
Group remained cash positive with no borrowings. 
 
 
The Company anticipates announcing the final results for the year ended 31 
December 2009 in April 2010. 
 
 
Commenting on outlook, David Phipps, Chief Executive, said: 
"Following the extensive reorganisation of the Group last year we are now in a 
stronger position to build our revenue streams.  We have a more favourable 
revenue share agreement in relation to our core base metals revenues, which now 
have a reduced fixed cost component. Across the Group we will continue to focus 
on strict cost control and the Board is confident that the Group is well 
positioned to capitalise on more stable trading conditions in 2010. In addition, 
we expect to launch new products to broaden the Groups revenue streams as we 
progress through the year." 
 
 
-ends- 
 
 
+--------------------------------------------------+--------------------------+ 
|   Enquiries:                                     |   www.commoditrade.net   | 
|                                                  |                          | 
+--------------------------------------------------+--------------------------+ 
|   Commoditrade Inc, David Phipps, Chief          |   tel: [phone]     | 
|   Executive                                      |   1100                   | 
|                                                  |                          | 
+--------------------------------------------------+--------------------------+ 
|   Strand Hanson, James Harris / Angela Peace     |   tel: [phone]     | 
|                                                  |   3494                   | 
+--------------------------------------------------+--------------------------+ 
|   Liberum Capital, Chris Bowman / Ellen Francis  |   tel: [phone]     | 
|                                                  |   2000                   | 
+--------------------------------------------------+--------------------------+ 
|   Hansard Communications, John Bick / Justine    |   tel: [phone]    | 
|   James                                          |   1100                   | 
|                                                  |   tel: [phone]       | 
|                                                  |   061007                 | 
+--------------------------------------------------+--------------------------+ 
 
 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
 TSTUNRWRRBAAUAR