PURCHASE OF HEAD OFFICE

PURCHASE OF HEAD OFFICE PROPERTY

Park, the UK’s leading gift voucher and prepaid gift card provider, is pleased to announce the purchase from its landlord today of Units 1-11 and Unit 37, currently occupied by the Company, at Valley Road Business Park, Valley Road, Birkenhead, Wirral, Merseyside.  Park has purchased the freehold on the site, which is the location of the great majority of Park’s operations, for a cash consideration of £4.75 million plus VAT.  Stamp duty is also payable arising from the purchase of £228,000.

 The consideration will be satisfied from Park’s own cash resources.  The purchase of the freehold will generate a saving of approximately £459,000 per year in rent.  Park would, under the terms of the original lease, have been subject to a rent review due in December 2012 and December 2017 with the lease due to expire in December 2019.

Chris Houghton, Managing Director Park, commented: “An opportunity has arisen to consolidate our freehold properties on the estate and the Board believes that by taking this opportunity we will significantly reduce our fixed costs, enhancing both our profitability and our future cashflow and secure the operational base of the group for the future.”

- ends -

For further information please contact: