ABC CO LIMITED            Date: 21-Feb-95             Page: 1



              FIRST YEAR REPORT - ABC CO LIMITED
              

This First Year Report covers the twelve months to end Dec 1996
based on detailed monthly projections and assumptions.

The following table analyses sales and gross profit margins by
main product group for the full year:


Year to end Dec 1996  Total         Gross          Gross
                      Sales        Profit      Profit as
Product Group          000          000        % Sales

Group 1               287.0         107.6          37.5
Group 2               311.0          94.6          30.4
Group 3               266.0         101.9          38.3
                                     
Totals                864.0         304.1          35.2

     [ Press (1) F10, A, M, S and (2) F10, R, M, R ]

This shows that Group 1 will account for 33% of projected
sales (35% of gross profits); that Group 2 will account
for a further 36% (31% of gross profits); and that Group 3
will account for the balance of 31% (34% of gross profits).

The projected overall gross profit margin is 35%.

Based on projected sales of 864,000, ABC CO LIMITED
expects to report a pretax profit of 8,000 for the year.
The following table analyses these projections:


Result - 12 mths to end Dec 1996     000        % Sales

Sales                               864.0         100.0
Cost of sales                       559.9          64.8
                                   
Gross Profit                        304.1          35.2
Overheads:
 -Operational                        47.4           5.5
 -Selling & distribution             65.9           7.6
 -Management/admin staff             66.0           7.6
 -Research & Development:            41.0           4.7
 -Administration                     21.0           2.4
 -Establishment & general            34.2           4.0
                                   
Total overhead costs                275.4          31.9
                                   
Trading profit                       28.6           3.3
Less: Bad debts                       4.3           0.5
      Depreciation                   15.3           1.8
      Intangible asset writedowns    12.0           1.4
      Interest payable               13.0           1.5
      Finance lease charges          13.5           1.6
      Operating lease & HP payments  13.2           1.5
Plus: Interest receivable             0.3           0.0
      Other income                   24.0           2.8



ABC CO LIMITED            Date: 21-Feb-95             Page: 2


      Revenue grants receivable      12.0           1.4
      Capital grant amortisation      2.7           0.3
      Profit(loss) sale of F Assets  12.0           1.4
                                   
Net profit before tax                 8.3           1.0

              [ Press F10, R, 1, P ]

Based on detailed monthly projections, the net cash OUTFLOW
for the twelve months will be 54,000. The projected year-end
bank position will be a 76,000 OVERDRAFT.

The next table compares the projected results with those for
the previous year which ended in Dec 1995.


                Year to end   Year to end   Year on Year
                   Dec 1995      Dec 1996        Percent
                       000          000         Change

Sales                 380.0         864.0         127.4
Cost of sales         270.0         559.9         107.4
                             
Gross profit          110.0         304.1         176.4
Overheads             198.0         275.4          39.1
                             
Trading profit        -88.0          28.6            NA
Depn.interest etc.      0.5         -20.3            NA
                             
Net profit before tax -87.5           8.3            NA
Tax                      ..           0.6            NA
                             
Profit after tax      -87.5           7.8            NA
Dividends                ..            ..            NA
                             
Retained              -87.5           7.8            NA

              [ Press F10, R, 1, P ]

This indicates that sales could increase by 484,000 while
the pretax position could improve by 96,000 over the year.

The following key assumptions regarding rates etc. were used
in compiling the projections for the year to end Dec 1996.


  Items              Value         Basis

Employment:
  Direct                 11   Average monthly numbers
  All other              20   Average monthly numbers

Bad debts               0.5   As percent sales

Depreciation:
  Land & Buildings      3.0   Annual % rates
  Plant, Machinery et  10.0   Annual % rates
  Motor Vehicles       25.0   Annual % rates

Interest rates (% pa):



ABC CO LIMITED            Date: 21-Feb-95             Page: 3


  Cash at bank          4.0   Monthly average
  Overdraft            13.5   Monthly average
  Longterm debt        12.5   Monthly average

Working capital:
  Debtor days            51   Based on full-year sales
  Stock days             33   Based on full-year sales
  Creditor days          36   Based on full-year costs

VAT rates (%):
  Sales                13.2   Effective overall rate
  Inputs               10.9   Effective overall rate


The following key ratios have been derived from the 12-month
projections for the year ending Dec 1996:


                                  Max/min      Full Year
                            monthly value    or Year End

Profitability:
  Gross profit margin (%)            39.5 Max      35.2
  Net profit margin (%)              12.3 Max       1.0

Current asset ratio (times)           1.0 Min       1.1
Debt/equity - max. is 200 (%)       200.0 Max     200.0

Sales/capital employed (times)                      3.0
Trading profit/capital employed (%)                 9.8
Projected sales as % breakeven                    110.4

    [ Press (1) F10, R, M, R and (2) F10, R, 3, R ]

This table indicates that the following financial indicators
derived from the detailed projections, may be out-of-line with
generally-accepted norms:
    * Current asset ratio may be too low
    * Debt/equity asset ratio may be too high

    * Return on capital employed may be low






















ABC CO LIMITED            Date: 21-Feb-95             Page: 4


              FIVE YEAR REPORT - ABC CO LIMITED
              

This Report covers the five years to the end of Dec 2000. It has
been based on detailed monthly projections for the first year and
quarterly/full-year projections for the following years.

The following table summarises the projected trading performance:


Years to end Dec       1995   1996   1997   1998   1999   2000
                     Act/Est  Proj   Proj   Proj   Proj   Proj
                       000   000   000   000   000   000

Sales                   380    864   1048   1259   1448   1593
Cost of sales           270    560    670    761    890    972
                          
Gross profit            110    304    378    498    557    621
Overheads               198    275    329    371    410    450
                          
Trading profit          -88     29     49    127    147    171
Depn.interest etc.        1    -20     -7     -7    -23    -33
                          
Net profit before tax   -88      8     41    120    124    138
Tax                      ..      1      3     10      6     10
                          
Profit after tax        -88      8     39    110    118    129
Dividends                ..     ..     10     25     30     35
                          
Retained                -88      8     29     85     88     94

                 [ Press F10, R, Y, P ]

For the first 3 years under review, sales should change by 231%
and projected pre-tax profits for the third year are 120,000.

For the fifth year, sales should reach 1593,000 and projected
pre-tax profits could be 138,000.

The projected cashflows for ABC CO LIMITED during the years
under review are summarised below:


Years to end Dec              1996   1997   1998   1999   2000
                              000   000   000   000   000

Net cashflows from:
  Operations                   -31     15     69     96    127

  Investments & servicing
    of finance                  -2      7     -9     -2    -16

  Taxation                      ..     -1     -3    -10     -6

  Investing activities        -129    -20    -10    -15    -35

  Financing                    108     78    -39    113     40
                                
Increase (decr) in cash        -54     80      7    182    109




ABC CO LIMITED            Date: 21-Feb-95             Page: 5


              [ Press F10, R, Y, C ]

The projected cumulative net cash inflow over the five years is
323,000.

The next table shows projected balance sheets.


Years to end Dec       1995   1996   1997   1998   1999   2000
                     Act/Est  Proj   Proj   Proj   Proj   Proj
                       000   000   000   000   000   000

Fixed & intan. assets   144    276    303    311    360    368

Current assets:
  Cash                    2     ..      3     11    192    301
  Other                 133    241    251    309    366    395
                          
  Total                 135    241    254    319    558    696

Current liabilities:
  Overdraft              24     76     ..     ..     ..     ..
  Other                 109    147    222    237    327    350
                          
  Total                 133    224    222    237    327    350

Net current assets        2     17     32     82    231    347

Creditors after one y    59    193    177    150    199    229

Capital employed         87    100    158    244    392    486
                     

Share capital           170    175    205    205    265    265
Reserves                -83    -75    -47     39    127    221
                          
Shareholders' funds      87    100    158    244    392    486

                 [ Press F10, R, Y, B ]

The projected change in shareholders' funds is 399,000 and the
expected closing net cash position is 301,000.

The overall projected performance of ABC CO LIMITED for
the years under review is assessed in the following table:


Years to end Dec              1996   1997   1998   1999   2000
                              Proj   Proj   Proj   Proj   Proj

Gross profit margin (%)       35.2   36.0   39.5   38.5   39.0
Net profit margin (%)          1.0    4.0    9.5    8.6    8.7
Sales as % breakeven           110    115    134    136    138

Trading profit/cap empl (%)    9.8   14.5   32.2   24.9   23.9
Sales/cap empl (times)         3.0    3.1    3.2    2.4    2.2
Net borrowings as percent
shareholder funds (Max=200%)   200    105     53     NA     NA

Net assets per share ()      0.97   1.29   1.98   2.84   3.52



ABC CO LIMITED            Date: 21-Feb-95             Page: 6


Earnings per share ()        0.08   0.34   0.90   0.91   0.93
Dividend per share ()          ..   0.08   0.20   0.22   0.25

                     [ Press F10, R, Y, R ]

This table indicates that the following financial ratios may be
out-of-line with generally accepted norms for one or more years:

    * Net borrowings as % shareholder funds may be too high

    * Return on capital employed may be low


      ******** End of EASI-PLAN's Textual Summary Report ********
