SHARES STRONGLY UP/DOWN this week 19/12/05 (Master RSI)

Busy morning for me but just had time to fully read the bprg rns. The acquisition and jv are both excellent and create huge opportunity. however, easy to overlook the last section which imho contains fantastic news:

"Finally, the Board is also pleased to announce a positive organic trading and development outlook and an expectation of near term growth. Due to the rapid restructuring initiatives undertaken since the appointment of the new
management team in May of this year, the Group is in an improved financial position with cash burn reduced by over 75% on an operational basis in line with the comments made in the interim statement.

All key partnerships have also either been renegotiated or are being renegotiated and the Company is in late stage discussions with a number of top 10 pharmaceutical companies for new commercialisation initiatives across its range of technologies. Feasibility programmes are taking place across the ingestible and non-ingestible product range with new partners, emphasising BioProgress' rapid commercialisation solutions. In addition, the Company has entered into evaluation contracts with a number of large pharmaceutical companies.

As a consequence of restructuring and refocusing at BioProgress, the Group's film production division BioTec Films is now producing a monthly net profit, and the division's client list has been expanded. Measured investment is now being undertaken to add to BioTec Films' offering and to link in and support other new initiatives across the Group."

In April 05 bprg issued a profit warning for the tampa biotec site which caused the sp to drop by 50%. therefore the fact that this has been turned around and is now profitable is amazing (with net profit) and with expanded client list. the sp now is only the same as the march sp (i.e. pre profit warning) so the sp currently doesn't have any of the good news priced in. the other news in this section is very good.