Half Year Report2011 JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts for the six months ended 31st December 2011

Transcription

1 Half Year Report2011 JPMorgan Mid Cap Investment Trust plc Half Year Report & Accounts for the six months ended 31st December 2011

2 Features Contents About the Company 1 Half Year Performance 2 Chairman s Statement 4 Investment Managers Report Investment Review 5 List of Investments 7 Portfolio/Sector Analyses Accounts 8 Income Statement 9 Reconciliation of Movements in Shareholders Funds 10 Balance Sheet 11 Cash Flow Statement 12 Notes to the Accounts Shareholder Information 14 Interim Management Report 15 Glossary of Terms and Definitions 17 Information about the Company Objective JPMorgan Mid Cap Investment Trust plc (the Company ) aims to achieve capital growth from investment in medium-sized UK companies. The Company specialises in investment in FTSE 250 companies, using long and short term borrowings to increase returns to shareholders. Investment Policies - To focus on FTSE 250 stocks that deliver strong capital growth and income. - To have significant exposure to the UK economy. - To seek out both value stocks and growth stocks to deliver strong performance throughout the market cycle. - To use gearing to increase potential returns to shareholders. - To invest no more than 15% of gross assets in other UK listed investment companies (including investment trusts). Benchmark The FTSE 250 Index (excluding investment trusts). Capital Structure - UK domiciled. - Full listing on the London Stock Exchange. - At 31st December 2011, the Company s issued share capital comprised 25,986,022 ordinary shares of 25p each including 1,400,900 shares held in Treasury. Management Company The Company employs JPMorgan Asset Management (UK) Limited to manage its assets.

3 Half YearPerformance to 31st December 2011 Total returns(includes dividends reinvested) 13.9% Return to shareholders % 14.6% Return on net assets 2 Benchmark return 1,3 5.5p Interim Dividend (2010: 5.5p) Financial Data 31st December 30th June % change Shareholders funds ( 000) 112, , Number of shares in issue (excluding shares held in Treasury) 24,585,122 24,956, Net asset value per share 457.9p 543.2p 15.7 Share price 380.0p 455.0p 16.5 Share price discount to net asset value per share 17.0% 16.2% A glossary of terms and definitions is provided on page Source: Morningstar. 2 Source: J.P. Morgan. 3 The Company s benchmark is the FTSE 250 Index (excluding investment trusts). JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts

4 Chairman s Statement Performance After your Company delivered a 30% return to shareholders in the 12 months to 30th June 2011, stock markets sold off aggressively in the first two months of this review period as the continuing financial instability in the Eurozone and political wrangling in Washington undermined investor sentiment. In these two months alone the Company s benchmark index, the FTSE 250 (excluding investment trusts) fell by over 11%. The Company outperformed over the full six month period under review with the benchmark index falling by 14.6% on a total return basis, whilst the Company s total return on net assets faired better at 12.8%. The Company s return to shareholders (share price and net dividend) was 13.9%, reflecting a slight widening of the Company s discount to 17.0%. Revenue and Dividends Net revenue after taxation for the six months to 31st December 2011 was 1,756,000 (2010: 1,233,000) and earnings per share, calculated on the average weekly number of shares in issue, were 7.07p (2010: 4.92p). This is an encouraging improvement in net revenue from last year, which has been as a result of an improvement in the growth of dividends paid by the underlying companies in the portfolio and the receipt of some special dividends over the period. Furthermore in the second half of the financial year there will be a reduction in the Company s interest payments, following the repayment of the Company s debenture in December The Board has therefore decided to maintain the interim dividend at 5.5p (2010: 5.5p) again this year. The Board will give careful consideration to the level of the final dividend over the coming months having regard to the growth in dividends in the Company s portfolio and in its future earnings. The interim dividend will be paid on 5th April 2012 to shareholders on the register at the close of business on 9th March Loan Facilities and Gearing The Company has two 5 million loan facilities with ING Bank, one expiring in July 2012 and one expiring in July On 2nd December 2011, the Company redeemed its 9.5 million debenture and this will shortly be replaced with a 3 year 15 million loan facility with Scotiabank. Such facilities give the Manager the ability to gear tactically. The Board of Directors sets the overall gearing guidelines and reviews these at each meeting; gearing changes between meetings may be undertaken after consultation with the Board. At the half year, gearing was 102.0% and at the time of writing the Company is just over 104% geared. Share Buybacks During the period the Company repurchased 225,400 shares into Treasury and 146,158 for cancellation at an average discount to net asset value of 16.9%. The Board s objective remains to use the share repurchase authority to assist in managing any imbalance between supply and demand for the Company s shares, thereby reducing the volatility of the discount. The Board regularly reviews the level of discount at which the Company will repurchase its shares for cancellation. The total 2 JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts 2011

5 number of ordinary shares held in Treasury as at the period end was 1,400,900. The Company will only repurchase shares at a discount to their prevailing net asset value, and issue shares when they trade at a premium to their net asset value, so as not to prejudice existing shareholders. Prospects Eurozone uncertainties continue and the UK economy is in the early stages of a period of deleveraging which may take several years to complete. Consequently the economic growth rate may therefore be lower than in the past and the degree of volatility around this trend somewhat higher given the UK s sensitivity to external shocks. It is encouraging, however, that the US economy is showing signs of recovery. Interest rates everywhere also are expected to remain low, which is a helpful backdrop to equity markets and equities could become the preferred asset class once again. Valuations are the key and here in the UK they are not overly demanding. Corporate earnings and dividends are exceeding expectations. Our investment managers continue to select individual companies that they believe have solid fundamentals and growth prospects, which should reward investors over the coming years. Andrew Barker Chairman 17th February 2012 JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts

6 Investment Managers Report Performance and Market Background The Company s benchmark, the FTSE 250 (excluding Investment Trusts) fell by 14.6% on a total return basis over the six months under review. This compares with a 12.8% return on the net asset value of the Company. As stock markets fell and liquidity reduced the Company s discount widened from 16.2% to 17.0% resulting in a 13.9% return to shareholders. Jeremy Wells After a strong start to the calendar year stock markets globally sold off sharply in July and August as investors priced in reduced growth prospects for the global economy. The failure to resolve, or for politicians at least to articulate a credible plan to address, Europe s Sovereign debt crisis also weighed heavily on investor sentiment. The high level of macro economic uncertainty meant that we kept gearing within the portfolio at low levels throughout the first half of the Company s year. Christopher Llewelyn Portfolio Despite the difficult consumer backdrop the portfolio is overweight in the consumer services and goods sectors, mainly due to our holdings in the bus and rail stocks and selected pub companies. We believe valuations already reflect the challenging trading conditions and the majority of our holdings in this sector have reported resilient trading over the last few months. The portfolio is underweight in the basic materials sector which includes chemical and mining stocks. We believe many of these stocks will find trading tough against a backdrop of slowing global growth. Cash received from the bids for Charter and Northumbrian Water was reinvested in new positions in stocks such as IG Index (the spread betting company), Wood Group (the international energy services company) and Millennium & Copthorne (an international hotel operator). Notable sales over the six month period included Meggitt on its promotion to the FTSE 100 and mining stocks such as Hochschild and Kenmare. Outlook Investors do not like uncertainty and the inability of politicians to present a comprehensive and decisive plan to resolve Europe s sovereign debt crisis has weighed on markets and adversely impacted growth. Sentiment has swung wildly from hope of a resolution to complete despair as yet another European Summit failed to result in definitive action. Until this political stalemate is resolved equity markets will remain volatile and are unlikely to make significant progress. We take comfort, however, from the reasonable valuations of many mid cap stocks, many of which have strong balance sheets and also are trading well. Jane Lennard William Meadon Investment Managers 17th February JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts 2011

7 List of Investments at 31st December 2011 Valuation Company Sector 000 % 1 Pennon Utilities 3, Go-Ahead Consumer Services 3, FirstGroup Consumer Services 3, Jardine Lloyd Thompson Financials 3, Hiscox Financials 3, Babcock International Industrials 2, Derwent London Financials 2, Cable & Wireless Communications Telecommunications 2, Catlin Financials 2, Travis Perkins Industrials 2, IG Index Financials 2, William Hill Consumer Services 2, Imagination Technologies Technology 2, Dunelm Consumer Services 2, Persimmon Consumer Goods 2, Phoenix Financials 2, Wood (John) Oil & Gas 2, Mitchells & Butlers Consumer Services 2, London Stock Exchange Financials 2, Taylor Wimpey Consumer Goods 1, Shaftesbury Financials 1, Balfour Beatty Industrials 1, Petropavlovsk Basic Materials 1, Aegis Consumer Services 1, Marston s Consumer Services 1, Fenner Industrials 1, Bellway Consumer Goods 1, Misys Technology 1, Daily Mail & General Consumer Services 1, Logica Technology 1, DS Smith Industrials 1, Great Portland Estates Financials 1, Barratt Developments Consumer Goods 1, Howden Joinery Industrials 1, Morgan Crucible Industrials 1, Greene King Consumer Services 1, JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts

8 List of Investments continued at 31st December 2011 Valuation Company Sector 000 % 1 Cranswick Consumer Goods 1, Tullet Prebon Financials 1, Centamin Egypt Basic Materials 1, RPC Industrials 1, CSR Technology 1, Shanks Industrials 1, United Business Media Consumer Services 1, International Personal Finance Financials 1, Millennium & Copthorne Hotels Consumer Services 1, Sports Direct International Consumer Services 1, Kier Industrials 1, Laird Technology 1, Unite Financials 1, Bovis Homes Consumer Goods 1, Brewin Dolphin Financials 1, Beazley Financials 1, African Barrick Gold Basic Materials 1, Close Brothers Financials 1, Soco International Oil & Gas 1, SIG Industrials 1, Rathbone Brothers Financials Cape Oil & Gas Supergroup Consumer Services Heritage Oil Oil & Gas Senior Industrials Cable & Wireless Worldwide Telecommunications Invensys Technology Hansteen Financials Sthree Industrials BTG Health Care Bwin.Party Digital Entertainment Consumer Services Exillon Energy Oil & Gas JPMorgan Sterling Liquidity Fund Liquidity Fund Net current liabilities (87) (0.1) Total 116, Based on total assets less current liabilities of 116.1m, before deducting loan facilities repayable within one year. 6 JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts 2011

9 Portfolio Analysis 31st December th June 2011 % % FTSE 250 Index companies FTSE small cap Index companies 0.5 Liquidity fund Net current liabilities (0.1) (0.9) Total Based on total assets less current liabilities of 116.1m(30th June 2011: 145.1m) before deducting loan facilities repayable within one year. Sector Analysis 31st December th June 2011 Portfolio Benchmark Active Position Portfolio Benchmark Active Position % % % % % % Financials Consumer Services (1.1) Industrials (7.5) (5.3) Consumer Goods Technology Oil & Gas (1.2) (2.7) Basic Materials (5.9) (2.5) Utilities Telecommunications Health Care (1.2) Liquidity fund Net current liabilities (0.1) (0.1) (0.9) (0.9) Based on total assets less current liabilities of 116.1m (30th June 2011: 145.1m) before deducting loan facilities repayable within one year. JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts

10 Income Statement for the six months ended 31st December 2011 (Unaudited) (Unaudited) (Audited) Six months ended Six months ended Year ended 31st December st December th June 2011 Revenue Capital Total Revenue Capital Total Revenue Capital Total (Losses)/gains on investments held at fair value through profit or loss (19,899) (19,899) 25,706 25,706 28,009 28,009 Income from investments 2,177 2,177 1,637 1,637 3,768 3,768 Other interest receivable and similar income Gross return/(loss) 2,178 (19,899) (17,721) 1,637 25,706 27,343 3,835 28,009 31,844 Management fee (79) (185) (264) (78) (182) (260) (166) (388) (554) Other administrative expenses (189) (189) (157) (157) (364) (364) Net return/(loss) on ordinary activities before finance costs and taxation 1,910 (20,084) (18,174) 1,402 25,524 26,926 3,305 27,621 30,926 Finance costs (148) (345) (493) (169) (394) (563) (343) (800) (1,143) Net return/(loss) on ordinary activities before taxation 1,762 (20,429) (18,667) 1,233 25,130 26,363 2,962 26,821 29,783 Taxation (6) (6) (1) (1) Net return/(loss) on ordinary activities after taxation 1,756 (20,429) (18,673) 1,233 25,130 26,363 2,961 26,821 29,782 Return/(loss) per share (note 4) 7.07p (82.21)p (75.14)p 4.92p p p 11.81p p p All revenue and capital items in the above statement derive from continuing operations. No operations were acquired or discontinued in the period. The Total column of this statement is the profit and loss account of the Company and the Revenue and Capital columns represent supplementary information prepared under guidance issued by the Association of Investment Companies. The Total column represents all the information that is required to be disclosed in a Statement of Total Recognised Gains and Losses ( STRGL ). For this reason a STRGL has not been presented. 8 JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts 2011

11 Reconciliation of Movements in Shareholders Funds Called up Capital Six months ended share redemption Capital Revenue 31st December 2011 capital reserve reserves reserve Total (Unaudited) At 30th June ,533 3, ,279 5, ,572 Repurchase of shares into Treasury (927) (927) Repurchase and cancellation of the Company s own shares (37) 37 (534) (534) Net (loss)/return on ordinary activities (20,429) 1,756 (18,673) Dividends appropriated in the period (2,860) (2,860) At 31st December ,496 3,504 98,389 4, ,578 Called up Capital Six months ended share redemption Capital Revenue 31st December 2010 capital reserve reserves reserve Total (Unaudited) At 30th June ,533 3,467 94,046 6, ,643 Net return on ordinary activities 25,130 1,233 26,363 Dividends appropriated in the period (2,885) (2,885) At 31st December ,533 3, ,176 4, ,121 Called up Capital Year ended share redemption Capital Revenue 30th June 2011 capital reserve reserves reserve Total (Audited) At 30th June ,533 3,467 94,046 6, ,643 Repurchase of shares into Treasury (588) (588) Net return on ordinary activities 26,821 2,961 29,782 Dividends appropriated in the year (4,265) (4,265) At 30th June ,533 3, ,279 5, ,572 JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts

12 Balance Sheet at 31st December 2011 (Unaudited) (Unaudited) (Audited) 31st December 31st December 30th June Fixed assets Equity investments held at fair value through profit or loss 115, , ,703 Investments in liquidity funds held at fair value through profit or loss 840 1,500 2,640 Total investments 116, , ,343 Current assets Debtors ,270 Cash and short term deposits ,305 Creditors: amounts falling due within one year (4,330) (3,497) (4,580) Net current liabilities (3,587) (2,774) (1,275) Total assets less current liabilities 112, , ,068 Creditors: amounts falling due after more than one year (9,492) (9,496) Net assets 112, , ,572 Capital and reserves Called up share capital 6,496 6,533 6,533 Capital redemption reserve 3,504 3,467 3,467 Capital reserves 98, , ,279 Revenue reserve 4,189 4,945 5,293 Total equity shareholders funds 112, , ,572 Net asset value per share (note 5) 457.9p 534.6p 543.2p Company registration number: JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts 2011

13 Cash Flow Statement for the six months ended 31st December 2011 (Unaudited) (Unaudited) (Audited) Six months ended Six months ended Year ended 31st December 31st December 30th June Net cash inflow from operating activities (note 6) 1,819 1,200 2,743 Net cash outflow from returns on investments and servicing of finance (571) (501) (1,136) Tax recovered 5 6 Net cash inflow/(outflow) from capital expenditure and financial investment 9,266 (661) 2,980 Dividends paid (2,860) (2,885) (4,265) Net cash (outflow)/inflow from financing (7,462) 2,942 (366) Increase/(decrease) in cash for the period (38) Reconciliation of net cash flow to movement in net debt Increase/(decrease) in cash for the period (38) Redemption of debenture 9,500 Net loans drawn down (3,500) (3,000) Changes in net debt arising from cash flows 6,192 (2,900) (38) Net debt at the beginning of the period (9,461) (9,417) (9,417) Amortisation of issue expenses (4) (2) (6) Net debt at the end of the period (3,273) (12,319) (9,461) Represented by: Cash and short term deposits Debt falling due within one year (3,500) (3,000) Debt falling due after more than one year (9,492) (9,496) Net debt (3,273) (12,319) (9,461) JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts

14 Notes to the Accounts for the six months ended 31st December Financial statements The information contained within the financial statements in this half year report has not been audited or reviewed by the Company s auditors. The figures and financial information for the year ended 30th June 2011 are extracted from the latest published accounts of the Company and do not constitute statutory accounts for that year. Those accounts have been delivered to the Registrar of Companies and included the report of the auditors which was unqualified and did not contain a statement under either section 498(2) or 498(3) of the Companies Act Accounting policies The accounts have been prepared in accordance with United Kingdom Generally Accepted Accounting Practice and with the Statement of Recommended Practice Financial Statements of Investment Trust Companies and Venture Capital Trusts issued in January All of the Company s operations are of a continuing nature. The accounting policies applied to these interim accounts are consistent with those applied in the accounts for the year ended 30th June Dividends (Unaudited) (Unaudited) (Audited) Six months ended Six months ended Year ended 31st December st December th June Final dividend in respect of the year ended 30th June 2011 of 11.5p (2010: 11.5p) 2,860 2,885 2,885 Interim dividend in respect of the six months ended 31st December 2010 of 5.5p 1,380 2,860 2,885 4,265 An interim dividend of 5.5p has been declared in respect of the six months ended 31st December 2011, costing 1,352, JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts 2011

15 4. Return/(loss) per share (Unaudited) (Unaudited) (Audited) Six months ended Six months ended Year ended 31st December st December th June Return/(loss) per share is based on the following: Revenue return 1,756 1,233 2,961 Capital (loss)/return (20,429) 25,130 26,821 Total (loss)/return (18,673) 26,363 29,782 Weighted average number of shares in issue 24,848,671 25,086,680 25,078,189 Revenue return per share 7.07p 4.92p 11.81p Capital (loss)/return per share (82.21)p p p Total (loss)/return per share (75.14)p p p 5. Net asset value per share Net asset value per share is calculated by dividing shareholders funds by the number of shares in issue at 31st December 2011 of 24,585,122 (31st December 2010: 25,086,680 and 30th June 2011: 24,956,680), excluding shares held in Treasury. 6. Reconciliation of total (loss)/return on ordinary activities before finance costs and taxation to net cash inflow from operating activities (Unaudited) (Unaudited) (Audited) Six months ended Six months ended Year ended 31st December st December th June Total (loss)/return on ordinary activities before finance costs and taxation (18,174) 26,926 30,926 Add back capital loss/(return) before finance costs and taxation 20,084 (25,524) (27,621) Scrip dividends received as income (60) Decrease/(increase) in accrued income (147) Decrease/(increase) in other debtors 20 (9) (15) Decrease in accrued expenses (46) (40) (11) Tax on unfranked investment income (1) (1) Management fee charged to capital (185) (182) (388) Net cash inflow from operating activities 1,819 1,200 2,743 JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts

16 Interim Management Report The Company is required to make the following disclosures in its half year report. Principal Risks and Uncertainties The principal risks and uncertainties faced by the Company have not changed and fall into the following broad categories: investment and strategy; financial; accounting legal and regulatory; corporate governance and shareholder relations and operational. Information on each of these areas is given in the Business Review within the Annual Report and Accounts for the year ended 30th June Related Parties Transactions During the first six months of the current financial year, no transactions with related parties have taken place which have materially affected the financial position or the performance of the Company during the period. resources, an appropriate financial structure and suitable management arrangements in place to continue in operational existence for the foreseeable future. For these reasons, they consider there is sufficient evidence to continue to adopt the going concern basis in preparing the accounts. Directors Responsibilities The Board of Directors confirms that, to the best of its knowledge: (i) the condensed set of financial statements contained within the half year financial report has been prepared in accordance with the Accounting Standards Board s Statement Half Yearly Financial Reports ; and (ii) the half year management report includes a fair review of the information required by 4.2.7R and 4.2.8R of the UK Listing Authority Disclosure and Transparency Rules. Going Concern The Directors believe, having considered the Company s investment objectives, risk management policies, capital management policies and procedures, nature of the portfolio and expenditure projections, that the Company has adequate For and on behalf of the Board Andrew Barker Chairman 17th February JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts 2011

17 Glossary of Terms and Definitions Return to Shareholders Total return to the investor, on a mid-market price to mid-market price basis, assuming that all dividends received were reinvested, without transaction costs, into the shares of the Company at the time the shares were quoted ex-dividend. Return on Net Assets Total return on net asset value ( NAV ) per share, on a bid value to bid value basis, assuming that all dividends paid out by the Company were reinvested, into the shares of the Company at the NAV per share at the time the shares were quoted ex-dividend. In accordance with industry practice, dividends payable which have been declared but which are unpaid at the balance sheet date are deducted from the NAV when calculating the total return on net assets. Share Price Discount/Premium to Net Asset Value If the share price of an investment trust is lower than the net asset value ( NAV ) per share, the shares are said to be trading at a discount. The discount is shown as a percentage of the NAV per share. The opposite of a discount is a premium. It is more common for an investment trust s shares to trade at a discount than at a premium. Active Position The active position shows the difference between the Company s holding of an individual stock or sector versus that stock or sector in the benchmark. A positive number indicates an active decision by the investment manager to own more of (i.e. be overweight) that stock or sector versus the benchmark and a negative number indicates, a decision to hold less of (i.e be underweight) that stock or sector versus the benchmark. Benchmark Return Total return on the benchmark, on a mid-market value to mid-market value basis, assuming that all dividends received were reinvested, without transaction costs, into the shares of the underlying companies at the time the shares were quoted ex-dividend. The benchmark is a recognised index of stocks which should not be taken as wholly representative of the Company s investment universe. The Company s investment strategy does not track this index and consequently, there may be some divergence between the Company s performance and that of the benchmark. JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts

18 Notes 16 JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts 2011

19 Information about the Company Financial Calendar Financial year end Interim results announced Final results announced Half yearly dividends on ordinary shares paid Annual General Meeting 30th June February October November, April November History JPMorgan Mid Cap Investment Trust plc was launched in 1972 as Crossfriars Trust Limited. The Company changed its name to The Fleming Enterprise Investment Trust plc in It adopted its current investment policy of concentrating on FTSE 250 companies in The Company changed its name to The Fleming Mid Cap Investment Trust plc in October 1998, JPMorgan Fleming Mid Cap Investment Trust plc in October 2001 and adopted its present name on 9th November Directors Andrew Barker (Chairman) John Emly Michael Hughes Margaret Littlejohns Gordon McQueen Company Numbers Company registration number: London Stock Exchange Sedol number: Bloomberg code: JMF LN Reuters code: JMF L Market Information The Company s net asset value ( NAV ) per share is published daily via the London Stock Exchange. The Company s shares are listed on the London Stock Exchange. The market price is shown daily in The Daily Telegraph, Financial Times, The Independent, The Scotsman, The Times, The Guardian, on BBC Ceefax and on the Company s website at where the share price is updated every 15 minutes during trading hours. Website Share Transactions The Company s shares may be dealt in directly through a stockbroker or professional adviser acting on an investor s behalf. They may also be purchased and held through the J.P. Morgan Investment Account, J.P. Morgan ISA and J.P. Morgan SIPP. These products are all available on the online wealth manager service, J.P. Morgan WealthManager+ available at Manager and Company Secretary JPMorgan Asset Management (UK) Limited Company s Registered Office Finsbury Dials 20 Finsbury Street London EC2Y 9AQ Telephone number: For company secretarial and administrative matters please contact Alison Vincent. Custodian JPMorgan Chase Bank, N.A. 125 London Wall London EC2M 5AJ Registrars Equiniti Limited Reference 1082 Aspect House Spencer Road Lancing West Sussex BN99 6DA Telephone number: Notifications of changes of address and enquiries regarding certificates or dividend cheques should be made in writing to the Registrar quoting reference Registered shareholders can obtain further details on individual holdings on the internet by visiting Independent Auditors PricewaterhouseCoopers LLP Chartered Accountants and Statutory Auditors 7 More London Riverside London SE1 2RT Brokers Numis Securities Limited The London Stock Exchange Building 10 Paternoster Square London EC4M 7LT Savings Product Administrators For queries on the J.P. Morgan Investment Account, J.P. Morgan ISA and J.P. Morgan SIPP, see contact details on the back cover of this report. A member of the AIC JPMorgan Mid Cap Investment Trust plc. Half Year Report & Accounts

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