Elizabeth House, Cliff Street, Mexborough,
South Yorkshire, S64 9HQ
Telephone: 01709 586261
Facsimile: 01709 570006
www.ben-bailey.co.uk
Annual Report 2006
ANNUAL REPORT 2006 BEN BAILEY PLC
62504 Ben Bailey 00 cover  12/3/07  08:22  Page 1 Ben Bailey Plc Ben Bailey Plc
T ypeset and Printed by T aylor Bloxham Corporate and Financial, Leicester and London
Contents
Pages
Financial Highlights 1
Chairman’s Statement 2-3
Chief Executive’s Review 4-7
Directors’ Profiles 8
Directors’ Report 9-11
Directors’ Remuneration Report 12-16
Corporate Governance 17-20
Statement of Directors’ Responsibilities 21
Independent Auditors’ Report 22-23
Consolidated Income Statement 24
Consolidated Statement of Recognised Income 
and Expense 25
Balance Sheets 26
Cash Flow Statements 27
Notes to the Financial Statements 28-45
Five Year Financial Summary 46
Notice of Meeting 47-48
*Member of Audit Committee
#Member of Remuneration Committee
‡Senior Independent Non-Executive Director
†Member of Nominations Committee
Directors of the Company
B R Bailey, Chairman*†
P A Russell, ACMA, Chief Executive
N J Godfrey, BSc (Econ), CA, Finance Director
R M T eare, BSc (Econ), FCA, Non-Executive Director*#†‡
C M McDowell, Non-Executive Director*#†
A M Peacock, Non-Executive Director*#†
Secretary and Registered Office
N J Godfrey, BSc (Econ), CA
Elizabeth House
Cliff Street
Mexborough
South Yorkshire
S64 9HQ
Independent Auditors
PricewaterhouseCoopers LLP
Chartered Accountants
Benson House
33 Wellington Street
Leeds
LS1 4JP
Bankers
The Royal Bank of Scotland Plc
2 Whitehall Quay
Leeds
LS1 4HR
Solicitors
DLA Piper UK LLP
1 St Paul’s Place
Sheffield
S1 2JX
Brokers
Hanson Westhouse Limited
Clements House
14-18 Gresham Street
London
EC2V 7NN
Registrars
Computershare Services Plc
PO Box 82
The Pavilions
Bridgwater Road
Bristol
BS99 7NH
Directors and Advisers
62504 Ben Bailey 00 IF-IB  12/3/07  08:29  Page 1 Financial Highlights
1
Ben Bailey Plc
2006 2005
£000 £000 % Change
Results:
Revenue 122,435 103,220 +18.6%
Operating profit 16,379 16,056 +2.0%
Profit on ordinary activities before tax 11,153 12,654 -11.9%
Profit on ordinary activities after tax 7,823 8,963 -12.7%
Dividends paid in the year (1,911) (1,790) +6.8%
Basic earnings per share 65.4p 75.2p -13.0%
Dividend per share – paid 16.0p 15.0p +6.7%
Key Ratios:
Homes sold                                                                           712 686 +3.8%  
Average selling price (£) 171,959    150,466 +14.3%
Operating margin 13.4% 15.6% -2.2%
T otal capital employed 
1
(£000) 124,742 95,552 +30.5%
Return on average capital employed 14.9% 19.6% -4.7%
Gearing 
2
163.0% 134.7% +28.3%
Net asset value per share 
3
396.5p 340.9p +16.3%
Interest cover (times) 3.1 4.7
Dividend cover (times) 4.1 5.0
Land bank (owned plots) 2,850 2,030 +40.4%
Land bank 
4
(years) 4.0       3.0                  +33.3%
1
T otal equity plus short term and long term borrowings.
2
Short term and long term borrowings divided by total equity.
3
T otal equity divided by year end number of ordinary shares in issue.
4
Owned plots at year end divided by actual homes sold in the year.
62504 Ben Bailey 01-08  12/3/07  09:17  Page 1 Chairman’s Statement
our expectations for the year.  The average
selling price of homes increased to £171,959
from £150,466 in 2005 as a result of
changes in the mix of properties sold and a
4.1% increase in the price per square foot of
units sold in the year.
One of the most significant achievements in
2006 has been the increase in the number
of plots held for future development. The
land bank has risen to 2,850 plots (2005:
2,030) with a further 209 plots under
contract. This expansion in the land bank
has been financed from our existing bank
facilities and those borrowings are
satisfactorily matched against the value of
the land held for development.
We have a strong and skilled management
team and I wish to thank all our employees
for their efforts during the past year.
Board Changes
As we have already announced both
Stephen North and Brian Leesing retired
from the Board during the year and I would
like, on behalf of the Board, to extend our
sincere thanks for their contributions to the
Company. I would also like to welcome
both Malcolm McDowell and Nick
Godfrey to the Board.  Malcolm replaces
Brian as an independent non-executive
director and chairman of the Audit
Committee, whilst Nick assumed the role
of Finance Director and Company Secretary
on Stephen North’s retirement.
Future Prospects
The housing market remains competitive in
our area of operations.  The impact of
recent rises in interest rates on the demand
for new homes is so far uncertain but it is
possible that this monetary tightening will
deter some first time buyers from entering
the market and this will have a knock on
dampening effect on the demand for all
new homes. Recent competitive tenders for
land have indicated that the cost of land is
increasing significantly faster than house
price inflation and this factor, together with
Results
Your Company has continued to grow in
2006 and has achieved record revenue,
completions of new homes and size of land
bank.
Revenue increased by 18.6% to £122.4m
from £103.2m in the previous year from
the sale of 712 homes as against 686 in
2005. 
Profit before taxation was £11.2m
compared with £12.7m in 2005, partly as a
result of an additional £1.8m interest
charge incurred in financing the significant
increase in our future land bank. At the
operating level, Operating Profits increased
to £16.4m from £16.1m, although margins
declined to 13.4% from 15.6%, as the
volume growth was achieved through the
increased use of incentives and we incurred
certain one-off costs within overheads.
As a result Earnings per Share fell by 13%
to 65.4p (2005: 75.2p).
Review of Operations
2006 was a challenging year in our region
of operations with buyers requiring a
higher level of incentives than in recent
years. Against this background the increase
in sales was hard won and slightly short of
2
Ben Bailey Plc
62504 Ben Bailey 01-08  12/3/07  09:17  Page 2 Chairman’s Statement
3
Ben Bailey Plc
receive the final dividend of 12p per
ordinary share on 4 May 2007. 
Strategic Review
It was announced on 21 February 2007
that the Company is considering its
strategic options, which may or may not
lead to the Company seeking an offer for
the entire issued share capital of Ben
Bailey Plc.
This review of strategic options is ongoing
and the Company is not presently in
discussions with any potential offerors.
There is no certainty that any sale process
will be undertaken or that if it is, any offer
for the Company will be forthcoming. A
further announcement will be made in
due course.
Richard Bailey 23 February 2007
Chairman
the cost of certain raw materials rising at
well in excess of the general rate of
inflation, may impact on our future
operating margins.
The continuing imbalance between the
demand for and supply of homes in the UK
appears no closer to resolution. However, the
Company has a broad range of homes sited in
attractive locations backed by a strong four
year land bank and this gives us confidence 
in the medium term in delivering satisfactory
returns to shareholders in the future. Our
forward order book for 2007 is also
encouraging - at the date of this report we
already have reservations for 41% of our
forecast output for 2007. 
Dividend
The Board is proposing a final dividend for
2006 of 12p per share, which together with
the interim dividend of 6p per share paid in
September 2006, will make a total dividend
of 18p for 2006. This is an increase of 20%
compared with 2005 and is a reflection of
the Board’s confidence in the future.
Ordinary Shareholders on the register at the
close of business on 10 April 2007 will
62504 Ben Bailey 01-08  12/3/07  09:17  Page 3 Ben Bailey Plc
Chief Executive’s Review
4
Your Company continued to move forward
in 2006 with record revenue achieved from
712 unit completions – another record
output of new homes. These achievements
have improved gross profits to £23.7m from
£22.1m in 2006, although higher finance
charges and overhead costs have reduced
our pre-tax profits to £11.2m from £12.7m
in 2006.
Our continued investment in development
land – up from 2,030 plots last year to 2,850
plots at the end of 2006 – has caused the
increased finance costs necessary to secure a
four year landholding. This will form a
solid base from which the Company can
plan ahead with greater certainty in an
increasingly complex planning
environment.
The Market
Selling became more difficult as the year
progressed and two interest rate increases
compounded the difficulty. Demand for our
new homes remained strong, but we had to
manage customers’ expectations of values
on their existing properties as they traded-
up. Increasing the use of sales incentives
and allowances to maintain throughput
became necessary as customers expected
inducements in order to trade. These costs
affected margin and coupled with plot sales
to investors caused our operating margin to
fall to 13.4% from 15.6% in 2005.
Revenue
T otal revenue for 2006, all of which was
derived from the sale of new homes, was
£122.4m, an increase of 18.6% over the
2005 figure of £103.2 m.
The Company sold 712 homes in the year
(2005: 686) an increase of 3.8%. Average
selling prices increased 14.3% to £171,959
largely as a result of the increased
proportion of larger detached houses and
fewer affordable homes. The analysis of the
change in mix is shown below.
Mix 2006 2005
4/5 Bed Detached Houses 256 193
2/3/4 Bed T ownhouses 359 403
Apartments 72 26
Affordables 19 47
Bungalows/Conversions 6 17
T otal 712 686
The average price per square foot across
the product range increased by 4.1% to
£154.
The completions of new homes in the year
came from a total of 47 sites spanning
Yorkshire, Lincolnshire, Nottinghamshire
and Derbyshire, half of which were from
developments completed during the year.
We have an established expertise and long
record of developing brownfield sites and
in 2006 72% of homes sold were from
previously brownfield sites (2005: 73 %).
62504 Ben Bailey 01-08  12/3/07  09:17  Page 4 Chief Executive’s Review
5
Ben Bailey Plc
Profits 
Gross profit was £23.7m - 7.0% ahead of
last year’s £22.1m but gross margin fell
from 21.4% to 19.3%.
The year was a challenging one with an
increased use of incentives being required
to achieve sales and a higher proportion of
sales to investors. Overheads increased
from £6.1m to £7.3m in 2006 partly due to
one-off costs relating to the various board
changes, higher pension costs and costs
relating to the proposed relocation of head
office. These factors coupled with rising
build costs depressed the operating margin
which fell to 13.4% (2005:15.6%).
Balance Sheet
The total capital employed at December
2006 was £124.7m, an increase of 30.5%
over the year before. Stocks, comprising
land and work in progress increased over
50% from £112.9m to £169.8m at the end
of 2006. Shareholders’ equity was £47.4m
equivalent to 396.5p per ordinary share.
Land Bank
We have been successful in building up the
land bank despite a very competitive land
market in our region, with several new
entrants trying to establish a presence in the
area.
Plots held with planning permission at the
end of 2006 totalled 2,850 compared with
2,030 at December 2005. At the 2006 level
of completions this represents 4.0 years
supply up from 3.0 years at the end of
2005. In addition we have a further 209
plots which are under contract.
Expenditure on land in 2006 totalled
£69.6m.
At 31 December At 31 December
Land bank 2006 2005
Plots with full planning 2,449 1,932
Plots with outline planning 401 98
_______ _______
Owned plots with planning 2,850 2,030
Plots under contract subject to planning 209 1,003
_______ _______
3,059 3,033
62504 Ben Bailey 01-08  12/3/07  09:17  Page 5 Chief Executive’s Review
6
Ben Bailey Plc
Borrowings 
The increased investment in the land bank
was largely financed by increased
borrowings. Net debt at 31 December 2006
was £77.3m (2005: £54.8m), which equates
to net gearing of 163.0% (2005: 134.7%).
The average net debt in the year was
£72.7m.
Treasury and Interest Rate Risk
The Company finances its activities
through a mixture of shareholder funds and
debt. As part of the annual review of
facilities the Company has this month
signed a new overdraft facility which
supports the profile of the cash
requirements of the Company over the
next 12 months. On signing, the facility
increased to £45m and reduces back down
to £30m on 1 October 2007 for the balance
of the term. In addition the Company has a
committed term facility of £65m.
The Company has a policy to manage its
interest rate exposure through interest rate
swap agreements. During 2006 we have
entered into two interest rate swap
agreements which fix interest on £50m of
debt at 5.2%. The Company’s interest
expense is thus largely protected from
interest rate rises.
Risks to the Business
The Board reviews the principal risks to the
business on an ongoing basis. Major risks
that have been identified include:
• Impact of increased interest rates on
demand for new homes.
• Reduction in the level of employment
in the region of operation.
• Continued availability of land to
maintain ongoing business.
• Impact on build costs caused by
availability of skilled labour and
materials costs rising above general
inflation.
62504 Ben Bailey 01-08  12/3/07  09:17  Page 6 Chief Executive’s Review
7 Ben Bailey Plc
Health and Safety
The Company works hard to uphold its
good record in health and safety.
Construction management liaise closely
with our external advisers and regular
seminars are held to reinforce the
Company’s commitment.
Staff Training 
We continue to make a significant
investment in the craft based
apprenticeships of bricklaying and joinery
with a further 12 new recruits in 2006.
Time and money spent on their close
supervision in their early years with us is
repaid with loyalty through a high retention
rate.
Head Office staff are encouraged to
continue their vocational training and many
do so in their own time through evening
studies.
Design and Development
A number of new houses and apartments
have been prototyped in 2006 and now
form part of our sales product range.
The constant raising of building standards
affecting such factors as noise, energy
conservation and  sustainable drainage
solutions now means that the designs of all
our range have to be regularly revisited for
best practice to be achieved.
The Government has an increasingly green
agenda and has already asked our industry
to build carbon free homes within the next
10 years. Such demands ask a great deal of
our suppliers and sub-contractors and cost
pressures are evident.
People
The year’s results could not have been
achieved without the commitment,
enthusiasm and hard work of all our
employees, sub-contractors and
consultants, together with the continued
support of our customers and shareholders
and I would like to express the Board’s
gratitude to all those members of the team.
Paul Russell 23 February 2007
Chief Executive
62504 Ben Bailey 01-08  12/3/07  09:17  Page 7 Directors’ Profiles
8 Ben Bailey Plc
Richard Bailey
Chairman (61)
Joined the Company in 1968. He became Managing
Director in 1975 and Chairman in 1983.
Paul Russell ACMA
Chief Executive (50)
Joined the Group in 1989 and became Managing
Director of Ben Bailey Homes in 1995. He was
appointed to the Group Board as Operations Director
in 1995 and to Chief Executive in March 1997.
Nick Godfrey B.Sc (Econ.), CA
Finance Director (49)
Qualified as a Chartered Accountant with Thomson
McLintock in 1982.  Previously held positions of
Group Financial Controller of T aylor Woodrow plc,
Finance Director at Planestation Group plc and has
undertaken consultancy within the housebuilding
sector.  He was appointed to the Group Board as
Finance Director in August 2006.
Max Teare B.Sc (Econ.), FCA
Non-Executive Director (61)
Joined the Group Board in February 2003.
Previously a business assurance partner with
PricewaterhouseCoopers. His responsibilities
included the audits of the financial statements of
listed companies, including those of the Group from
1998 to 2000.
Alan Peacock
Non-Executive Director (59)
Appointed to the Group Board in January 1998.
He is currently Marketing and Procurement
Director for Saint-Gobain Building Distribution.
He was previously Managing Director of Jewson’s
Timber Products. He has extensive marketing
experience with Asda and he was an Associate
Director of Somerfield.
Malcolm McDowell 
Non-Executive Director (58)
Appointed to the Group Board in July 2006.  He has
37 years of experience in the Royal Bank of Scotland
Group where he was Managing Director, RBS Retail
Bank and Managing Director, Direct Sales until his
retirement.
62504 Ben Bailey 01-08  12/3/07  09:17  Page 8 9 Ben Bailey Plc
The directors have pleasure in submitting their report and the audited financial statements for the year
ended  31 December 2006.
Principal activities
Ben Bailey Plc is the holding company of a group, which is engaged principally in housebuilding in
northern England. Details of operating subsidiaries are given in note 12 to the financial statements. Ben
Bailey Plc, a public limited company whose shares are listed on the London Stock Exchange, and its
subsidiaries are domiciled and incorporated in Great Britain.
Business review 
Details of the Group’s results for the year are set out in the Consolidated Income Statement on page 24.
A review of the activities and future development of the Group together with a description of the
principal risks and uncertainties it faces, are given in the Chairman’s Statement on pages 2 and 3, the
Chief Executive’s Review on pages 4 to 7, and on the financial highlights page. The directors consider
the year end financial position of the Group to be satisfactory.
Share issue
The Company issued 20,000 ordinary shares of 10p each during the year.  Details of the share issues are
contained in note 19 to the financial statements. No shares were re-purchased by the Company during
the year.
Details of the authority in place for the Company to purchase its own shares are given in the 2005
Annual Report. The renewal of this authority will be proposed at the forthcoming Annual General
Meeting and is described in Resolution 9 in the Notice of Meeting on page 48.
Dividends
A final dividend for the year ended 31 December 2005 of 10.0 pence per share was paid to shareholders
on 5 May 2006. An interim ordinary dividend of 6.0 pence per share was paid on 8 September 2006
(2005: 5.0 pence). The directors are proposing a final dividend for the year ended 31 December 2006 of
12.0 pence per share (2005: 10.0 pence) which will bring the total dividend payable in respect of 2006 to
18.0 pence (2005: 15.0 pence), an increase of 20%. Subject to approval by the shareholders, the final
dividend will be payable on 4 May 2007 to shareholders on the register at 10 April 2007.
Directors
The directors of the Company during the year ended 31 December 2006 were as follows:
B R Bailey
P A Russell
N J Godfrey (appointed 21 August 2006)
A M Peacock 
In accordance with the Articles of Association, B R Bailey retires by rotation at the Annual General
Meeting, and being eligible, offers himself for re-election. C M McDowell and N J Godfrey, who were
appointed since the last Annual General Meeting, will stand for re-election as directors in accordance
with the Articles of Association.
The interests of the directors in the shares of the Company at 1 January 2006, 31 December 2006 and
21 February 2007 are disclosed in the Directors’ Remuneration Report on page 16. Profiles of the
directors are given on page 8.
Directors’ Report
for the Year Ended 31 December 2006
R M T eare  
C M McDowell (appointed 3 July 2006)
S W North (retired 11 August 2006)
B Leesing  (retired 29 September 2006)
62504 Ben Bailey 09-48  13/3/07  08:58  Page 9 Substantial shareholdings
In addition to the directors’ shareholdings disclosed on page 16, the directors are aware of the following
shareholdings in excess of 3% of the ordinary shares at 21 February 2007:
Number of Percentage
Shares Held
___________ ___________
%
B J Bailey 803,504 6.72
J M Bailey 758,000 6.34
E H Bailey 742,000 6.20
P E Wainwright 369,104 3.09
Employees and health and safety at work
The Safety Policy introduced in accordance with the Health and Safety at Work Act 1974 continues to
operate satisfactorily.
The Group places considerable value on the involvement of its employees and has a policy of keeping
them informed of matters affecting them as employees as well as on factors affecting the performance of
the Group. It is the policy of the Group to give equal consideration to all job applicants and employees
irrespective of sex, race, creed and disability. Arrangements are made wherever possible, for training staff
who become disabled to enable them to perform work identified as appropriate to their aptitude and
abilities.
Charitable and political contributions
During the year, the Group made no political contributions (2005: £nil) and charitable donations
amounted to £117,425 (2005: £240,184). The majority of the charitable donations were made for
educational purposes.
Policy on payment of suppliers
The Group’s policy concerning the payment of its suppliers is to:
• settle the terms of payment with suppliers when agreeing the terms of each transaction;
• ensure that suppliers are made aware of the terms of payment by inclusion of the relevant terms
in contracts; and
• pay in accordance with contractual and other legal obligations.
Wherever possible the payment policy applies to all payments to creditors for revenue and capital
supplies of goods and services.
The average creditor payment period at 31 December 2006 for the Group was 56 days (2005: 55 days)
and for the Company was 35 days (2005: n/a).
Derivatives and other financial instruments
The Group’s financial instruments comprise cash, borrowings and other items such as trade debtors and
trade creditors which arise directly from operations. It is, and has been throughout the period under
review, the Group’s policy that no trading in financial instruments shall be undertaken. Detailed
information is included in the accounting policies and in the notes to the financial statements.
Taxation status
The Company is not a close company within the meaning of the Income and Corporation T axes Act
1988 and there has been no change in this respect since 31 December 2006.
Directors’ Report (continued)
10 Ben Bailey Plc
62504 Ben Bailey 09-48  13/3/07  08:58  Page 10 11 Ben Bailey Plc
Directors’ Report (continued)
Auditors and disclosure of information to auditors
In the case of each of the persons who are directors at the time when the report is approved, the
following applies: 
• so far as the director is aware, there is no relevant audit information of which the Company’s
auditors are unaware, and
• he has taken all the steps that he ought to have taken as a director in order to make himself aware of
any relevant audit information and to establish that the Company’s auditors are aware of that
information. 
The auditors, PricewaterhouseCoopers LLP , have indicated their willingness to continue in office, and a
resolution that they be re-appointed will be proposed at the Annual General Meeting.
Annual General Meeting
A notice convening the Annual General Meeting of the Company at 12 noon on 27 April 2007 at the
Doncaster Holiday Inn is set out on pages 47 to 48, and a proxy form for use in relation to such meeting
accompanies this document. Your attention is drawn to the items of special business, being resolutions
8 and 9 set out in such Notice of Meeting.
Resolution 8
Under Section 89(1) of the Companies Act 1985, if the directors wish to allot any of the unissued shares
for cash, they must first offer them to existing shareholders in proportion to the number of shares they
each hold at that time. Resolution 8, a special resolution, proposes to grant limited power to the directors
to allot shares for cash without the need to first offer them to existing shareholders. The power being
sought will permit the directors to deal with problems arising from fractional entitlements in any rights
issue, to allot shares pursuant to the Company's Executive Share Option Schemes and to allot up to
598,169 shares (representing approximately five per cent of the current issued share capital as at the date
of this document) and will expire no later than fifteen months from the passing of the resolution. The
directors intend to comply with the cumulative limits on exercise of the disapplication entitlement
which are contained in the Pre-Emption Group guidelines of the Investment Committees.
Resolution 9
This resolution seeks authority from shareholders for the Company to purchase up to 1,196,339
ordinary shares, an aggregate nominal amount of £119,634, which is equivalent to approximately 10% of
the Company’s issued ordinary share capital at 31 December 2006. The authority will expire on the
earlier of the conclusion of the next Annual General Meeting or 27 October 2008 and the resolution
specifies the maximum and minimum prices at which the shares may be bought. Other investment
opportunities, appropriate gearing levels and the overall financial position of the Company will be taken
into account before deciding upon this course of action. Any shares purchased in this way will be
cancelled and the number of shares in issue will accordingly be reduced. The directors have no
immediate intention of exercising the proposed authority when it becomes effective, but believe that the
ability of the Company to buy its own shares if, in the directors’ opinion, market prices do not reflect
the Company’s worth, will be in the best interests of the Company and its shareholders. The directors
intend to exercise this power only if they believe the effect of such purchases will increase earnings per
ordinary share.
By order of the Board
N J Godfrey 23 February 2007
Company Secretary
Company Registration No: 405045
62504 Ben Bailey 09-48  13/3/07  08:58  Page 11 The Remuneration Committee is comprised exclusively of non-executive directors who are R M T eare
(Chairman of the Committee), A M Peacock and C M McDowell. 
The Company’s Remuneration Committee (“the Committee”) decides the remuneration policy that
applies to executive directors and the Group’s other senior management. In determining that policy, it
has given full consideration to the principles of the Combined Code.
In setting the remuneration policy, the Committee considers the basic salary and benefits available to
executive directors of comparable companies both in size and within the housebuilding sector.  
The Remuneration Committee takes into account the need to attract and retain directors of an
appropriate calibre and the need to ensure the commitment of executive directors to the continued
success of the Company. No external consultants were used by the Committee in the year in advising
the Remuneration Committee on remuneration policy. 
The terms of reference of the Remuneration Committee will be available for inspection at the
forthcoming Annual General Meeting.
These parts of the Directors’ Remuneration Report are unaudited.
Remuneration of non-executive directors
The non-executive directors each receive a fee for their services which is approved by the Board,
following recommendation by the Chairman of the Company. The level of remuneration paid to non-
executive directors reflects the time commitment and responsibilities required by the role.
The non-executive directors do not receive any pension or other benefits from the Company, nor do
they participate in any of the bonus or incentive schemes or share option schemes.
The non-executive directors do not have service contracts with the Company . They are appointed on the
basis of serving at least a period of one year.
Remuneration policy for all executive directors
The Group provides competitive remuneration packages in order to attract, retain and motivate
executives who are expected to meet high levels of performance. The structure of the remuneration
package has been designed to:
• ensure that the performance related elements of remuneration (annual bonus and long-term
incentives) constitute a significant proportion of an executive’s performance criteria, which are
aligned to the interests of shareholders; and
• provide employment related benefits including the provision of a company car, life assurance,
medical insurance and pension.
Salaries and benefits
The Committee meets at least once a year in order to consider and set the annual salaries for executive
directors.  
Directors’ Remuneration Report 
12 Ben Bailey Plc
62504 Ben Bailey 09-48  13/3/07  08:58  Page 12 Directors’ Remuneration Report (continued)
13 Ben Bailey Plc
Share options
Throughout the year the Company has operated an Inland Revenue Approved Executive Share Option
Scheme and an Unapproved Executive Scheme. These arrangements, which were established in 1998,
were approved at the 1998 Annual General Meeting of the Company.
Following changes to the relevant legislation in 1996, the maximum value of shares over which options
may be granted under an Inland Revenue approved scheme to any one individual may not exceed
£30,000. The Unapproved Scheme will enable additional options to be granted to employees and
directors on an unapproved basis in excess of this limit. However, the Remuneration Committee has
imposed a limit on the grant of options under this scheme to any one individual. T aking into account
options granted to an individual in the previous ten years, under any option scheme of the Company,
options granted under the Unapproved Scheme to that individual may not exceed four times his
remuneration for the current or preceding financial year. 
Options granted under the Approved Scheme will normally be exercisable within the period of between
three to ten years after the date of grant and, for options granted under the Unapproved Scheme, within
three to seven years. In establishing the executive schemes, the Committee has decided to subject grants
made under the Approved and Unapproved Schemes to performance criteria, such that options may
only be exercised if, over a consecutive three year period, there has been a growth in the Company’s basic
earnings per share in excess of the Retail Price Index plus 2.5% per annum. Options granted under the
Approved Scheme are not offered at a discount.
The Committee supports employee participation in the Company through employee share schemes and
believes that these schemes play a useful role in aligning the interests of employees and shareholders.
Annual and long term bonus scheme
The Company operates an annual and long term bonus scheme (“the Bonus Scheme”) for the executive
directors, including B R Bailey , the Chairman of the Company . The Bonus Scheme runs for a fixed three
year period to 31 December 2008. It is linked to the amount by which the average annual growth in the
Company’s basic earnings per share (“EPS”) exceeds the Retail Price Index plus 3% per annum over the
three year period.  Basic earnings per share is believed to be an appropriate measure for growth given the
size and structure of the Company.   
The key elements of the Bonus Scheme are:
a) A discretionary annual bonus based upon the achievement of certain financial and operational
targets set by the Remuneration Committee. The amount of such bonus shall not exceed 20% of
the executive director’s basic salary for the year;
b) An annual bonus based on the percentage increase in the Group’s earnings per share. The
percentage bonus payable will be reduced by the percentage increase in the Retail Price Index for
the same period plus 3% and the resulting rate will be applied to 60% of the executive director’s
basic salary for that accounting period.  The bonus so calculated shall be reduced by the amount
of any bonus awarded under a) above; and
c) The final bonus is paid at the end of the three year period and will be based upon the average
annual EPS growth factor for the period and applied to basic annual salary , less any annual bonuses
paid under the Bonus Scheme. Over the three year period, the maximum bonus payable to any
director shall not exceed three times the executive director’s average basic salary for the three year
period.
62504 Ben Bailey 09-48  13/3/07  08:58  Page 13 Service contracts
The service contract of B R Bailey is subject to one year’s notice of termination by the Company and
one year’s notice of termination by B R Bailey.
The service contract of  P A Russell is subject to one year’s notice of termination by the Company and
six months’ notice of termination by P A Russell.
The service contracts of B R Bailey and P A Russell are rolling one year contracts.
The services of N J Godfrey are supplied under an interim management contract by Odgers Interim, a
trading division of International Resources Group Limited, which is terminable by either party giving
one month’s written notice.
Total shareholder return
Schedule 7A to the Companies Act requires the Company to publish in the Directors’ Remuneration
Report a line graph which shows the total shareholder return on a holding of the Company’s shares
against a holding of hypothetical shares measured by reference to a broad equity index.  T otal shareholder
return is the measure of the returns that a company has provided for its shareholders reflecting share
price movements and assuming reinvestment of dividends. It is, therefore, considered to be a good
indicator of a company’s overall performance.
The performance chart shown below illustrates the Company’s total return over the past five years
compared to the performance of the Small Capital Index, which the Remuneration Committee believes
to be the most appropriate index to be used given the size of the Company.
Directors’ Remuneration Report (continued) 
14 Ben Bailey Plc
1200
1100
1000
900
800
700
600
500
400
300
200
100
0
04/01/2002
04/04/2002
04/07/2002
04/10/2002
04/01/2003
04/04/2003
04/07/2003
04/10/2003
04/01/2004
04/04/2004
04/07/2004
04/10/2004
04/01/2005
04/04/2005
04/07/2005
04/10/2005
04/01/2006
04/04/2006
04/07/2006
04/10/2006
FTSE Small Capital Index Ben Bailey
62504 Ben Bailey 09-48  13/3/07  08:58  Page 14 Directors’ Remuneration Report (continued) 
15 Ben Bailey Plc
The following information has been audited by the Company’s auditors, PricewaterhouseCoopers LLP , as
required by Schedule 7A to the Companies Act 1985.
Directors’ detailed emoluments
Details of the directors’ emoluments for the year are as follows:
Annual and
Salary long-term bonus T otal T otal
& Fees Benefits Current Deferred 2006 2005
££ £ £ £ £
Executive
B R Bailey 90,050 1,191 - - 91,241 71,436
P A Russell 150,000 13,922 20,000 - 183,922 134,358
N J Godfrey (a) 52,800 4,079 - - 56,879 -
S W North (b) 106,667 7,511 - - 114,178 107,796
Non-Executive
A M Peacock 26,000 - - - 26,000 24,000
R M T eare 27,200 - - - 27,200 24,000
C M McDowell (c) 13,200 - - - 13,200 -
B Leesing (d) 26,000 - - - 26,000 24,000
_______ _______ _______ _______ _______ _______
491,917 26,703 20,000 - 538,620 385,590
_______ _______ _______ _______ _______ _______
Notes:
(a) N J Godfrey was appointed on 21 August 2006.  
(b) S W North’s retirement on 11 August 2006 was prompted by health considerations.  Salary and fees disclosed above include severance pay of
£30,000; a payment of £145,000 in lieu of salary and benefits was made direct to S W North’s personal pension plan and is disclosed below. 
(c) C M McDowell was appointed on 3 July 2006.
(d) B Leesing retired on 29 September 2006.
Long-term bonus scheme
Interest in deferred Interest in deferred
element of scheme at Paid in the element of scheme at
1 January 2006 year   31 December 2006
Executive £ £ £
B R Bailey 25,417 (25,417) -
P A Russell 47,779 (47,779) -
S W North 37,758 (37,758) -
_______ _______ _______
T otal 110,954 (110,954) -
___ ____ _______ _______
No long-term bonus awards were made in respect of 2006.
Directors’ pension entitlements
In addition to the remuneration disclosed above, the following directors received contributions paid to
personal pension plans.
Director 2006 2005
______ ______
£ £
B R Bailey 10,861 23,250
P A Russell 201,676 140,176
S W North 152,667 85,600
______ ______
Only one director, B R Bailey, had any pension entitlement under the Group’s former final salary pension
scheme. The pension entitlement of B R Bailey has been calculated as at 31 March 1997, being the date that
all contributions ceased to be paid to this scheme, and has been based upon his salary at 31 December 1997.
The accumulated total accrued annual pension at 31 March 1997 is £34,979.
62504 Ben Bailey 09-48  13/3/07  08:58  Page 15 16 Ben Bailey Plc
Directors’ Remuneration Report (continued) 
Directors’ interests in share options
Details of options held by directors at 31 December 2006 and 1 January 2006 are set out below:
Number of Number of
Options Lapsed Options Date from
Date of 1 January during the 31 December Exercise which Expiry
Director Grant 2006 Y ear 2006 Price Exercisable Date
________ _____ __ ________ ________ ___________ _______ __________ ______
P A Russell 19.04.04 6,465 - 6,465 464.0p 19.04.07 19.04.14
S W North 19.04.04 2,316 (2,316) - 464.0p 19.04.07 19.04.14
______ ______ ______
8,781 (2,316) 6,465
___ ___ ___ ___ ___ ___
No directors have been granted options in the shares of the Company in the year. S W North’s options
lapsed on his retirement from the Company .
The mid-market share price at 31 December 2006 was 635.0p per share and the range during 2006 was
376.0p to 635.0p per share.
Options granted to P A Russell and S W North were made under the terms of the Executive Share Option
Scheme, as referred to on page 13.  
The remainder of the Directors’ Remuneration Report is unaudited.
Directors’ interests
The interests of the directors, who held office at 31 December 2006, in shares of the Company (all beneficial
holdings) at the beginning, end of the year and 21 February 2007 were as follows:
Number of Ordinary Shares of 10p Each
__ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ _
Director 21 February 2007 31 December 2006 1 January 2006
________ _______________ _________________ _________________
B R Bailey 1,737,956 1,737,956 1,737,956
P A Russell 77,270 77,270 77,270
A M Peacock 20,000 20,000 20,000
R M T eare 20,350 20,350 10,450
C M McDowell 9,798 9,798 -
By order of the Board
R M T eare 23 February 2007
Chairman of the Remuneration Committee
Company Registration No: 405045 17 Ben Bailey Plc
Corporate Governance
Statement of Compliance with the Combined Code
Following the publication of the Combined Code (2003) which is appended to the Listing Rules of the
Financial Services Authority (“the Code”), the Board has continued to review its Corporate Governance
practices and an explanation of how the Principles of Good Governance have been applied are contained in
this report and the Directors’ Remuneration Report on pages 12 to 16 .
The Board is accountable to the Company’s shareholders for good governance and this statement describes
how the relevant principles of governance are applied to the Company and the Company’s compliance with
the code provisions set out in Part 1 of the Combined Code on Corporate Governance.
The Board considers that, throughout the period under review, the Company has complied with the
provisions recommended in Section 1 of the Combined Code with the following exception:
• B R Bailey, Chairman and executive director of the Board, has been a member of the Audit
Committee.
Group Objectives and Board of Directors
The objective of the Group is to build quality homes at realistic prices for its customers whilst securing the
optimum return from its assets for the benefit of its shareholders.
The Board comprises three Non-Executive Directors who are all considered to be independent. The Board
considers that the current composition provides an appropriate segregation of responsibilities and
independent non-executive director representation for the current size of the Group. One third of directors,
including Non-Executive Directors, are subject to retirement by rotation annually .
Individual profiles of the directors are given on page 8. The Board has the necessary knowledge and
experience to achieve the stated objectives of the Group and retain effective control over the Group.
Board Practices
The Board meets regularly on a formal basis and not less than eight times per annum to monitor the
performance of the Group, to authorise capital expenditure and purchases of land, to approve annual budgets
and to monitor business performance.  Strategy on interest rate exposures is approved by the Board.  In the
year ended 31 December 2006, the Board met sixteen times. Information is provided to the Board in a
detailed and timely manner in order to allow informed decisions to be taken on all matters.
The Board has adopted a formal schedule of reserved powers as well as an agreed procedure for a director
to take independent professional advice, if necessary, at the Group’s expense, and to have full access to the
services of the Company Secretary who is responsible to the Board for ensuring that the Board procedures
are followed and that applicable rules and regulations are complied with. Directors’ and Officers’ Liability
Insurance is in place for directors and officers. This insurance does not cover any fraudulent or dishonest
actions.
The Board is scheduled to hold ten meetings in 2007 and ad hoc meetings may be convened to deal with
urgent matters.
62504 Ben Bailey 09-48  12/3/07  10:37  Page 17 18 Ben Bailey Plc
Corporate Governance (continued) 
The following table sets out the frequency of, and attendance at scheduled monthly Board meetings and
principal Board Committee meetings for the period under review:
Annual
Main Audit Remuneration Nominations General
Board Committee Committee Committee Meeting
No. of Meetings held10 3411
Director
B R Bailey 10 3 4(*) 1 1
P A Russell 9 - 1(*) - 1
A M Peacock 9 2411
R M T eare 10 3411
S W North (a) 7 2(*) - - 1
B Leesing (b) 8 2311
C M McDowell (c) 3 1 1 - -
N J Godfrey (d) 3 1(*) 2(*) - -
Notes: 
(*) In attendance by invitation only.
(a) S W North retired on 11 August 2006
(b) B Leesing retired on 29 September 2006
(c) C M McDowell was appointed on 3 July 2006
(d) N J Godfrey was appointed on 21 August 2006
S W North, B Leesing and N J Godfrey attended all scheduled monthly Board meetings they were eligible to attend, C M McDowell gave
apologies in respect of two scheduled monthly Board meetings he was eligible to attend.
In addition to the scheduled monthly Board meetings there were a further six meetings in 2006 which were
attended by executive directors and dealt with more immediate business. In the instances when a Director
has not been able to attend a Board or Committee meeting, his comments on the papers to be considered at
that meeting have been relayed in advance to the Company Secretary .
Board Committees
Audit Committee C M McDowell  (Chairman)
B R Bailey
R M T eare
A M Peacock
The responsibilities of the Audit Committee, which meets three times a year, include the appointment of
and liaison with external auditors, the review of annual and interim financial statements and the review of
the suitability and effectiveness of the Group’s internal controls. The Committee reviews the findings of the
external auditors and reviews key accounting policies and judgements.  It also reviews the independence of
the external auditors on an annual basis.
The fees relating to non-audit services provided by PricewaterhouseCoopers LLP are disclosed in note 6 to
the accounts. The main area of non-audit work relates to the provision of taxation compliance work and
taxation advice. The Audit Committee has reviewed the level of non-audit work and has concluded that this
level of fee does not affect the independence of the audit.
62504 Ben Bailey 09-48  12/3/07  10:37  Page 18 19 Ben Bailey Plc
Corporate Governance (continued) 
Remuneration Committee R M T eare (Chairman)
A M Peacock
C M McDowell
The responsibilities of the Remuneration Committee include the recommendation of terms of
employment, including remuneration, and grant of bonuses and share options for all executive directors, as
may be appropriate from time to time.
Under Resolution 2 the Remuneration Committee report will be put before shareholders for approval at the
Annual General Meeting on 27 April 2007.  
Nominations Committee B R Bailey (Chairman)
R M T eare
A M Peacock
C M McDowell
The responsibilities of the Nominations Committee include the identification and recommendation to the
Board of suitable Executive and Non-Executive Directors.
Board Remuneration
The Group’s Remuneration Committee decides the remuneration policy that applies to executive directors
and senior management of the Group. In setting the remuneration policy, the Remuneration Committee
considers the basic salary and benefits available to executive directors of comparable companies, the need to
attract and retain directors of an appropriate calibre, and the need to ensure the commitment of executive
directors to the continued success of the Group. Bonus packages for executive directors are linked to the
Group’s objective of securing optimum return from its assets for the benefit of its shareholders. No director
participates in the decision on his own remuneration.
Shareholder Communication
The majority of the shareholders of the Group are private individuals. Presentations to City Analysts have
been made in the past year by the Chief Executive and Finance Director. All shareholders are welcome to
attend the Annual General Meeting at which they have the opportunity to ask questions of the Board.
Performance Evaluation
During 2006, the Board undertook performance evaluations of the Board and its principal committees. This
process will be repeated on an annual basis.
This performance evaluation covered assessment of the working of the Board and assessment of each
individual director’s contribution to the working of the Board. The appraisals of Non-Executive Directors
were carried out by the Chairman.
The Chief Executive and Finance Director are subject to an appraisal of their performance as executive
directors which is conducted by the Chairman and the Chief Executive respectively .  
Going Concern
After making appropriate enquiries, the directors have a reasonable expectation that the Company and the
Group have adequate resources to continue in operational existence for the foreseeable future. For this
reason, they continue to adopt the going concern basis in preparing the Group’s financial statements.
62504 Ben Bailey 09-48  12/3/07  10:37  Page 19 20 Ben Bailey Plc
Corporate Governance (continued) 
Internal Control
The Group’s control environment is the responsibility of the Group’s directors and managers at all levels.
The Board is, therefore, responsible for the Group’s system of internal control and for reviewing its
effectiveness. Although no control system can provide absolute protection against material mis-statement or
loss, it is designed to manage the risk of failure to achieve business objectives and to provide the directors
with reasonable assurance that problems should be identified on a timely basis and dealt with appropriately .
The Board has reviewed the effectiveness of the Group’s system of internal control throughout the period
and up to the date of this report. In accordance with the T urnbull Guidance, the Group has reviewed its
operations and identified risk areas, which have been assessed for their potential impact on the business.  
The size of the Group, together with the fact that virtually all of the Group’s operations derive from one
company , Ben Bailey Homes Limited, allows the Executive Directors of the Group to monitor performance,
evaluate and manage on a continual basis the risks faced by the Group. No internal audit function is
considered necessary . The need for an internal audit function is reviewed annually .
The key features of the Group’s internal controls are as follows:
• Defined authorisation levels for the purchases of land and capital expenditure.
• Defined authorisation levels for the placing of orders and contracts.
• A formalised reporting structure which includes the setting of detailed annual budgets, which are
updated on a regular basis to form forecasts and which are reviewed by the Board.
• Bi-monthly Board/Executive Meetings are held within Ben Bailey Homes Limited at which all key
aspects of the business are discussed including comparison of actual performance with budgets.
• A monthly meeting is held within Ben Bailey Homes Limited to review the production progress on
all sites, sales position, technical and development issues arising from each development.  
• All sites are visited on a monthly basis by the Group Chairman together with the Construction,
Development and Sales Directors of Ben Bailey Homes Limited to review progress on site. 
During 2006, the Non-Executive Directors have on one occasion attended these site visits.
• The Group’s reporting systems provide weekly updates on key statistics including sales, production
and gross margin analysis by development.
• Daily cash movements are reconciled and monitored by the Finance Director. The Group’s cash flow
is also monitored monthly in comparison with budget and forecast.
The Board reviews management letters prepared by the external auditors and considers the suitability of
suggested improvements to the system of internal financial controls.
By order of the Board
N J Godfrey 23 February 2007
Company Secretary
62504 Ben Bailey 09-48  12/3/07  10:37  Page 20 21 Ben Bailey Plc
Statement of Directors’ Responsibilities
The directors are responsible for preparing the Annual Report, the Directors’ Remuneration Report and
the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year.  Under that
law the directors have prepared the Group and parent company financial statements in accordance with
International Financial Reporting Standards (IFRSs) as adopted by the European Union. The financial
statements are required by law to give a true and fair view of the state of affairs of the Company and the
Group and of the profit or loss of the Group for that period.
In preparing these financial statements the directors are required to:
• Select suitable accounting policies and then apply them consistently.
• Make judgements and estimates that are reasonable and prudent.
• State that the financial statements comply with IFRSs  as adopted by the European Union.
• Prepare the financial statements on the going concern basis, unless it is inappropriate to presume
that the Group will continue in business, in which case there should be supporting assumptions
or qualifications as necessary.
The directors confirm that they have complied with the above requirements in preparing the financial
statements.  
The directors are responsible for keeping proper accounting records that disclose with reasonable
accuracy at any time the financial position of the Company and the Group and to enable them to ensure
that the financial statements and the Directors’ Remuneration Report comply with the Companies Act
1985 and, as regards the group financial statements, article 4 of the IAS Regulation. They are also
responsible for safeguarding the assets of the Company and the Group and hence for taking reasonable
steps for the prevention and detection of fraud and other irregularities.
The financial statements are also published on the Company’s website, the maintenance and integrity of
which is the responsibility of the directors. The work carried out by the auditors does not involve
consideration of these matters and accordingly, the auditors accept no responsibility for any changes that
may have occurred to the financial statements since they were initially presented on the web site.
Legislation in the United Kingdom governing the preparation and dissemination of financial statements
may differ from legislation in other jurisdictions and third parties in such jurisdictions should take their
own legal or professional advice as appropriate.
By order of the Board
N J Godfrey
Company Secretary 23 February 2007
62504 Ben Bailey 09-48  12/3/07  10:37  Page 21 Independent Auditors’ Report to the Members of
Ben Bailey Plc
22 Ben Bailey Plc
We have audited the Group and Parent Company financial statements (the ‘‘financial statements’’) of
Ben Bailey Plc for the year ended 31 December 2006 which comprise state the Consolidated Income
Statement, the Group and Parent Company Balance Sheets, the Group and Parent Company Cash Flow
Statements, the Consolidated Statement of Recognised Income and Expense and the related notes.
These financial statements have been prepared under the accounting policies set out therein. We have
also audited the information in the Directors’ Remuneration Report that is described as having been
audited.
Respective responsibilities of directors and auditors
The directors’ responsibilities for preparing the Annual Report, the Directors’ Remuneration Report and
the financial statements in accordance with applicable law and International Financial Reporting
Standards (IFRSs) as adopted by the European Union are set out in the Statement of Directors’
Responsibilities.
Our responsibility is to audit the financial statements and the part of the Directors’ Remuneration
Report to be audited in accordance with relevant legal and regulatory requirements and International
Standards on Auditing (UK and Ireland). This report, including the opinion, has been prepared for and
only for the company’s members as a body in accordance with Section 235 of the Companies Act 1985
and for no other purpose.  We do not, in giving this opinion, accept or assume responsibility for any
other purpose or to any other person to whom this report is shown or into whose hands it may come
save where expressly agreed by our prior consent in writing.
We report to you our opinion as to whether the financial statements give a true and fair view and whether
the financial statements and the part of the Directors’ Remuneration Report to be audited have been
properly prepared in accordance with the Companies Act 1985 and, as regards the group financial
statements, Article 4 of the IAS Regulation. We also report to you whether in our opinion the
information given in the Directors' Report is consistent with the financial statements. The information
given in the Directors’ Report includes that specific information presented in the Chairman’s Statement
and Chief Executive’s Review that is cross referred from the Business Review section of the Directors’
Report.
In addition we report to you if, in our opinion, the company has not kept proper accounting records, if
we have not received all the information and explanations we require for our audit, or if information
specified by law regarding directors’ remuneration and other transactions is not disclosed.
We review whether the Corporate Governance Statement reflects the company’s compliance with the
nine provisions of the Combined Code (2003) specified for our review by the Listing Rules of the
Financial Services Authority, and we report if it does not. We are not required to consider whether the
board’s statements on internal control cover all risks and controls, or form an opinion on the
effectiveness of the group’s corporate governance procedures or its risk and control procedures.
We read other information contained in the Annual Report and consider whether it is consistent with
the audited financial statements. The other information comprises only the Directors’ Report, the
unaudited part of the Directors’ Remuneration Report, the Financial Highlights, the Chairman’s
Statement, the Chief Executive’s Review, the Corporate Governance Statement and the other items
listed in the contents section. We consider the implications for our report if we become aware of any
apparent misstatements or material inconsistencies with the financial statements. Our responsibilities do
not extend to any other information.
Independent Auditors’ Report to the Members of
Ben Bailey Plc
62504 Ben Bailey 09-48  12/3/07  10:37  Page 22 23 Ben Bailey Plc
Independent Auditors’ Report to the Members of
Ben Bailey Plc (continued)  
Basis of audit opinion
We conducted our audit in accordance with International Standards on Auditing (UK and Ireland) issued
by the Auditing Practices Board. An audit includes examination, on a test basis, of evidence relevant to
the amounts and disclosures in the financial statements and the part of the Directors’ Remuneration
Report to be audited. It also includes an assessment of the significant estimates and judgments made by
the directors in the preparation of the financial statements, and of whether the accounting policies are
appropriate to the group’s and company’s circumstances, consistently applied and adequately disclosed.
We planned and performed our audit so as to obtain all the information and explanations which we
considered necessary in order to provide us with sufficient evidence to give reasonable assurance that the
financial statements and the part of the Directors’ Remuneration Report to be audited are free from
material misstatement, whether caused by fraud or other irregularity or error.
In forming our opinion we also evaluated the overall adequacy of the presentation of information in the
financial statements and the part of the Directors’ Remuneration Report to be audited.
Opinion
In our opinion:
• the group financial statements give a true and fair view, in accordance with IFRSs as adopted by
the European Union, of the state of the group’s affairs as at 31 December 2006 and of its profit
and cash flows for the year then ended;
• the parent company financial statements give a true and fair view, in accordance with IFRSs as
adopted by the European Union as applied in accordance with the provisions of the Companies
Act 1985, of the state of the parent company’s affairs as at 31 December 2006 and cash flows for
the year then ended;
• the financial statements and the part of the Directors’ Remuneration Report to be audited have
been properly prepared in accordance with the Companies Act 1985 and, as regards the group
financial statements, Article 4 of the IAS Regulation; and
• the information given in the Directors' Report is consistent with the financial statements.
PricewaterhouseCoopers LLP
Chartered Accountants and Registered Auditors
Leeds
23 February 2007
23 Ben Bailey Plc
62504 Ben Bailey 09-48  12/3/07  10:37  Page 23 24 Ben Bailey Plc
Notes 2006 2005
£000 £000
REVENUE 1,2 122,435 103,220
Cost of sales (98,756) (81,095)
______ ______
GROSS PROFIT 23,679 22,125
Administrative expenses (7,300) (6,069)
______ ______
OPERATING PROFIT 16,379 16,056
Finance costs 5 (5,226) (3,402)
______ ______
PROFIT BEFORE TAXATION 2,6 11,153 12,654
T axation 7 (3,330) (3,691)
______ ______
PROFIT FOR THE YEAR 8 7,823 8,963
______ ______
EARNINGS PER SHARE – Basic 10 65.4p 75.2p
______ ______
EARNINGS PER SHARE – Diluted 10 65.3p 74.9p
______ ______
The results above relate wholly to continuing operations of the Group.
Consolidated Income Statement
for the Year Ended 31 December 2006
62504 Ben Bailey 09-48  12/3/07  10:37  Page 24 25 Ben Bailey Plc 25 Ben Bailey Plc
Consolidated Statement of Recognised Income 
and Expense
for the Year Ended 31 December 2006
2006 2005
______ ______
£000 £000
Profit for the financial year 7,823 8,963
Cash flow hedges:
– fair value gains/(losses) net  of tax 722 (632)
______ ______
Net gains/(losses) not recognised in
income statement 722 (632)
______ ______
T otal recognised income for the year 8,545 8,331
______ ______
The Parent Company has no recognised income or expense other than the profit for the year.
62504 Ben Bailey 09-48  12/3/07  10:37  Page 25 26 Ben Bailey Plc
Balance Sheets
at 31 December 2006
Notes Group Company
2006 2005 2006 2005
______ ______ ______ ______
£000 £000 £000 £000
ASSETS
Non current assets
Property , plant and equipment 11 563 496 342 325
Investment in subsidiaries 12 - - 1,300 1,300
Deferred tax asset 7 75 422 - 59
Derivative financial instruments 17 52 - - -
______ ______ ______ ______
690 918 1,642 1,684
______ ______ ______ ______
Current assets
Inventories 13 169,758 112,869 - -
T rade and other receivables 14 2,085 2,348 25,063 19,677
Derivative financial instruments 17 48 - - -
Cash and cash equivalents - - 583 3
______ ______ ______ ______
171,891 115,217 25,646 19,680
______ ______ ______ ______
LIABILITIES
Current liabilities
Financial liabilities
Short-term borrowings 16 (23,777) (10,284) - -
Derivative financial instruments 17 - (235) - -
T rade and other payables 15 (46,330) (17,766) (194) (352)
Current tax liabilities (1,509) (1,894) - (24)
______ ______ ______ ______
(71,616) (30,179) (194) (376)
______ ______ ______ ______
Net current assets 100,275 85,038 25,452 19,304
Non current liabilities
Financial liabilities
Long-term borrowings 16 (53,532) (44,551) - -
Derivative financial instruments 17 - (688) - -
Deferred T ax Liability 7 - - (6) -
______ ______ ______ ______
(53,532) (45,239) (6) -
______ ______ ______ ______
NET ASSETS 2 47,433 40,717 27,088 20,988
______ ______ ______ ______
Shareholders’ equity
Ordinary shares 19 1,196 1,194 1,196 1,194
Share premium 22 1,935 1,883 1,935 1,883
Retained earnings 23 44,232 38,292 23,957 17,911
Other reserves 24 70 (652) - -
______ ______ ______ ______
TOTAL EQUITY 25 47,433 40,717 27,088 20,988
______ ______ ______ ______
The financial statements on pages 24 to 45 were approved by the Board of Directors on 23 February 2007
and were signed on its behalf by:
B R BAILEY
Chairman
62504 Ben Bailey 09-48  12/3/07  10:37  Page 26 27 Ben Bailey Plc
Cash Flow Statements
for the Year Ended 31 December 2006
Group Company
2006 2005 2006 2005
______ ______ ______ ______
£000 £000 £000 £000
Cash flows (used in)/generated from
operating activities
Cash (used in)/generated from operations (11,610) (11,585) 2,423 1,668
Interest received - - 60 60
Interest paid (5,108) (3,246) - -
T ax paid (3,669) (4,277) (23) (17)
______ ______ ______ ______
Net cash (used in)/generated from operating activities (20,387) (19,108) 2,460 1,711
______ ______ ______ ______
Cash flows from investing activities
Proceeds from sale of plant and equipment 24 - - -
Purchase of plant and equipment (254) (116) (24) -
______ ______ ______ ______
Net cash used in investing activities (230) (116) (24) -
______ ______ ______ ______
Cash flows from financing activities
Net proceeds from issue of ordinary share capital 54 63 54 63
Proceeds from borrowings 22,474 20,951 - -
Dividends paid to shareholders (1,911) (1,790) (1,911) (1,790)
______ ______ ______ ______
Net cash generated from/(used in) financing activities 20,617 19,224 (1,857) (1,727)
______ ______ ______ ______
Net increase/(decrease) in cash and
cash equivalents - - 579 (16)
Cash and cash equivalents at 1 January - - 3 19
Cash and cash equivalents at 31 December - - 582 3
______ ______ ______ ______
Cash generated from operations
Net profit 7,823 8,963 7,957 8,030
Adjustments for:
Tax 3,330 3,691 (12) 6
Depreciation 183 148 7 8
Interest expense 5,226 3,402 - -
Interest income - - (60) (60)
Profit on disposal of plant and equipment (20) - - -
Changes in working capital:
Increase in inventories (56,888) (29,068) - -
Decrease/(increase) in trade and other receivables 263 165 (5,309) (6,368)
Increase/(decrease) in trade and other payables 28,473 1,114 (160) 52
______ ______ ______ ______
Cash (used in)/generated from operations (11,610) (11,585) 2,423 1,668
______ ______ ______ ______
62504 Ben Bailey 09-48  12/3/07  10:37  Page 27 Notes to the Financial Statements
for the Year Ended 31 December 2006
28 Ben Bailey Plc
1 ACCOUNTING POLICIES
The principal accounting policies adopted in the preparation of these financial statements are set out below .
These policies have been consistently applied to all the years presented, unless otherwise stated.
Basis of preparation
The consolidated financial statements of Ben Bailey Plc have been prepared in accordance with EU
endorsed International Financial Reporting Standards (IFRSs), IFRIC interpretations and the Companies
Act 1985 applicable to companies reporting under IFRS. The consolidated financial statements have been
prepared under the historical cost convention, as modified by the revaluation of derivative financial
instruments.  
The preparation of financial statements in conformity with IFRS requires management to exercise its
judgement in the process of applying the Group’s accounting policies. There are no areas involving a
significantly higher degree of judgement or complexity, or areas where assumptions and estimates are
significant to the consolidated financial statements.
A number of Standards amendments and interpretations were effective in 2006 but were not relevant to the
Group.
The following Standards, amendments and interpretations are not yet effective and have not been early
adopted by the Group.
IAS 1, (Amendment), ‘Presentation of Financial Statements – Capital Disclosures’.
IFRS 7, ‘Financial instruments: Disclosures’.
IFRIC 7, Applying the restatement approach under IAS 29, Financial reporting in hyperinflationary
economies.
IFRIC 8, Scope of IFRS 2 (effective for annual periods beginning on or after 1 May 2006).
IFRIC 9, Reassessment of embedded derivatives (effective for annual periods beginning on or after 1 June
2006).
IFRIC 10, Interim Financial Reporting and Impairment (effective for annual periods beginning on or after
1 November 2006).
IFRIC 11 ‘IFRS2 – Group and T reasury Share T ransactions’.
IFRIC 12 ‘Service Concession Arrangements’.
The directors are currently assessing the impact of these changes on the Group. The impact is not expected
to be significant.
Basis of consolidation
The consolidated income statement and balance sheet include the audited financial statements of the
Company and all of its subsidiary undertakings made up to the year end. Intra-group sales and profits are
eliminated fully on consolidation.
Revenue
Revenue, which excludes value added tax, sales between group companies and trade discounts, represents
the invoiced value of new houses and land, less any allowances given, and relates wholly to operations in the
United Kingdom. Proceeds from the sales of part exchange houses and undeveloped land, purchased for
immediate resale, are excluded from revenue.
Revenue and profits on housebuilding sales are recognised in the financial statements on legal completion.
The purchase and disposal of land held for development is recognised when unconditional contracts have
been exchanged.
Notes to the Financial Statements
for the Year Ended 31 December 2006
62504 Ben Bailey 09-48  12/3/07  10:37  Page 28 29 Ben Bailey Plc
Notes to the Financial Statements (continued)
Property, plant and equipment
The cost of property, plant and equipment is their purchase cost, together with any incidental costs of
acquisition.
Depreciation is calculated at rates intended to write off the cost of property , plant and equipment to their
residual values on a straight line basis over the expected useful lives of the assets concerned. The
principal useful lives used for this purpose are as follows:
Freehold buildings 50 years
Plant and machinery 5 to 10 years
Motor vehicles 4 years
Fixtures and fittings 2 to 5 years
Showhouse furniture 2 years
No depreciation is provided on freehold land.  Depreciation is charged on property , plant and equipment
from when the asset is available for use.  Residual values and useful lives are reviewed annually.
Investments
Investments are shown in the balance sheet at cost less any provision for impairment which is charged
to the income statement.
Land held for development, stocks and work in progress
Land held for development, stocks and work in progress are valued at the lower of cost and net realisable
value. Cost comprises direct expenditure together with an appropriate proportion of production
overheads. The cost of land held for development is transferred into housing developments in progress
as building work on each unit commences.
Net realisable value represents the estimated amount at which stock could be realised after allowing for
costs of realisation. Provision is made, where necessary, for obsolete, slow moving and defective stocks.
Interest is written off to the income statement as incurred.
Loans and receivables
Loans and receivables are non-derivative financial assets with fixed or determinable payments that are
not quoted in an active market. They are included in current assets, except for maturities greater than 12
months after the balance sheet date. These are classified as non-current assets. Loans and receivables are
classified as ‘trade and other receivables’ in the balance sheet.
Cash and cash equivalents
Cash and cash equivalents include cash in hand and deposits held at call with banks. Bank overdrafts are
shown within financial liabilities in current liabilities on the balance sheet. Bank overdrafts have been
excluded from cash and cash equivalents as these balances are primarily borrowings that are used to fund
the ongoing investment in work in progress rather than being used to fund short term fluctuations in
working capital.
Dividend distribution
Dividend distribution to the Company’s shareholders is recognised as a liability in the Group’s financial
statements in the period in which the dividends are approved by the Company’s shareholders.
29 Ben Bailey Plc
62504 Ben Bailey 09-48  12/3/07  10:37  Page 29 Notes to the Financial Statements (continued)
30 Ben Bailey Plc
1 ACCOUNTING POLICIES (continued)
Leases
Leases in which a significant portion of the risks and rewards of ownership are retained by the lessor are
classified as operating leases. Payments made under operating leases (net of any incentives received from
the lessor) are charged to the income statement on a straight line basis over the period of the lease.
Pensions
The Group operates a Group Personal Pension Plan, a defined contribution scheme, which was
established on 1 April 1997. Pension contributions made to this and other personal pension plans, on
behalf of employees, are charged to the income statement in the year in which the contributions become
payable.
Financial Risk Management
The Group’s significant debt financing exposes it to the effects of changes in interest rates. The Group
has in place a risk management programme that seeks to limit the adverse effects on the financial
performance of the Group by using financial instruments to fix interest rates.
a)  Interest rate risk
The Group has interest bearing liabilities. The Group has a policy of maintaining approximately 50% of
interest bearing liabilities at fixed rates by utilising interest rate swaps. At the year end 65% of interest
bearing liabilities were at fixed rates.  The Group has used interest rate swaps as cash flow hedges of
future interest payments, which have the effect of increasing the proportion of fixed interest debt.  
b)  Credit risk
The Group has no significant concentrations of credit risk. The Group has implemented policies that
require full settlement for the property before the property is handed over for occupation by the
customers.
c)  Liquidity risk
The Group actively maintains a mixture of medium term and short term committed facilities that are
designed to ensure the Group has sufficient available funds for operations and planned expansion. At 31
December 2006, the Group had a short term facility of £30m, of which £8.95m remained undrawn at
that date. In February 2007, this facility was increased to £45m for the period until 30 September 2007
and reduces back down to £30m for the balance of the term.  In addition, there are other facilities
totalling £65m, expiring on 31 March 2009, of  which £11.47m remained undrawn at the year end.
Notes to the Financial Statements (continued)
62504 Ben Bailey 09-48  12/3/07  10:37  Page 30 31 Ben Bailey Plc
Notes to the Financial Statements (continued)
Accounting for derivative financial instruments and hedging activities under IAS 39
Derivatives are initially accounted for and measured at fair value on the date a derivative contract is
entered into and subsequently measured at fair value. The gain or loss on re-measurement is taken to
the income statement except where the derivative is a designated cash flow hedging instrument. The
Group designates derivatives as a hedge of the income/cost of a highly probable forecasted transaction or
commitment (‘cash flow hedge’).
In order to qualify for hedge accounting, the Group is required to document in advance the relationship
between the item being hedged and the hedging instrument. The Group is also required to document
and demonstrate an assessment of the relationship between the hedged item and the hedging
instrument, which shows that the hedge will be highly effective on an on-going basis. This effectiveness
testing is re-performed at each period end to assess whether the hedge remains highly effective.
Gains or losses on cash flow hedges that are regarded as highly effective are recognised in equity. Where
the forecast transaction results in a financial asset or liability only gains or losses previously recognised
in equity are reclassified to profit or loss in the same period as the asset or liability affects the profit or
loss. If the forecasted transaction or commitment results in future income or expenditure, gains or losses
deferred in equity are transferred to the income statement in the same period as the underlying income
or expenditure. The ineffective portions of the gain or loss on the hedging instrument are recognised in
profit and loss.
For the portion of hedges deemed ineffective or transactions that do not qualify for hedge accounting
under IAS 39, any change in assets or liabilities is recognised immediately in the income statement.
Where a hedge no longer meets the effectiveness criteria, any gains or losses deferred in equity are only
transferred to the income statement when the committed or forecasted transaction is recognised in the
income statement. When a hedging instrument expires or is sold, any cumulative gain or loss existing in
equity at the time remains in equity and is recognised when the forecast transaction is ultimately
recognised in the income statement.
Fair value estimation
The fair value of the interest rate swaps is based on the market price of comparable instruments at the
balance sheet date if they are publicly traded.
The fair values of short term deposits, loans and overdrafts with a maturity of less than one year are
assumed to approximate to their book values. In the case of bank loans and other loans due in more than
one year the fair value of financial liabilities for disclosure purposes is estimated by discounting the
future contractual cash flows at the current market interest rate available to the Group for similar
financial instruments.
Deferred income tax
Deferred income tax is provided in full, using the liability method, on temporary differences arising
between the tax bases of assets and liabilities and their carrying amounts in the consolidated financial
statements. However, if the deferred income tax arises from initial recognition of an asset or liability in
a transaction other than a business combination that at the time of the transaction affects neither
accounting nor taxable profit or loss, it is not accounted for. Deferred income tax is determined using
tax rates (and laws) that have been enacted or substantially enacted by the balance sheet date and that are
expected to apply when the related deferred income tax asset is realised or the deferred income tax
liability is settled. 
Deferred income tax assets are recognised to the extent that it is probable that future taxable profit will
be available against which the temporary differences can be utilised.
Deferred income tax is provided on temporary differences arising on investments in subsidiaries and
associates, except where the timing of the reversal of the temporary difference is controlled by the Group
and it is probable that the temporary difference will not reverse in the foreseeable future.
31 Ben Bailey Plc
62504 Ben Bailey 09-48  12/3/07  10:37  Page 31 Notes to the Financial Statements (continued)
32 Ben Bailey Plc
1 ACCOUNTING POLICIES (continued)
Share based payments
The Group issues equity-settled share based payments to certain employees. In accordance with IFRS 2,
‘Share based payments’, equity-settled share based payments are measured at fair value at the date of
grant, in respect of options granted after 7 November 2002 and which had not vested at 31 December
2004. The fair value determined at the grant date of the equity-settled ‘share based payments’ is expensed
on a straight line basis over the vesting period, based on the Group’s estimate of the shares that will
eventually vest. At each balance sheet date, the entity revises its estimates of the number of options that
are expected to become exercisable. It recognises the impact of the revision of original estimates, if any,
in the income statement and a corresponding adjustment to equity over the vesting period.
The proceeds received net of any directly attributable transaction costs are credited to share capital
(nominal value) and share premium when the options are exercised.
2    SEGMENTAL ANALYSIS BY CLASS OF BUSINESS
The Group’s revenue, profit before taxation and net assets relate wholly to housebuilding in the United
Kingdom.
3   DIRECTORS’ EMOLUMENTS
Detailed disclosures of Directors’ individual remuneration (including remuneration to the highest paid
director) and share options are given in the audited section of the Directors’ Remuneration Report on
pages 15 and 16.
2006 2005
_____ _____
£000 £000
Aggregate emoluments 539 430
Adjustment to prior years’ deferred bonus under long-term incentive schemes - (44)
Company pension contributions to personal pension plans 365 249
_____ _____
904 635
_____ _____
No share options were exercised by any of the directors during 2006.
Notes to the Financial Statements (continued)
62504 Ben Bailey 09-48  12/3/07  10:37  Page 32 33 Ben Bailey Plc
Notes to the Financial Statements (continued)
4  EMPLOYEE INFORMATION
The average number of persons (including executive directors) employed by the Group during the year, 
all of whom are engaged in the Group’s principal activities, was as follows:
2006 2005
_____ _____
Number Number
Production 207 166
Selling and administration 190 168
_____ _____
397 334
_____ _____
2006 2005
_____ _____
£000 £000
Staff costs (for the above persons):
Wages and salaries 10,873 8,865
Social security costs 1,150 904
Other pension costs (see note 18) 980 664
Share based payments 28 70
_____ _____
13,031 10,503
_____ _____
Key management compensation
Salaries and short-term benefits 791 656
Adjustment to prior years’ deferred bonus under long-term incentive schemes - (44)
Post employment benefits 585 267
Share based payments 5 11
_____ _____
1,381 890
_____ _____
5 FINANCE COSTS
Group
_________________________________
2006 2005
______ ______
£000 £000
Interest expense:
Interest payable on borrowings 4,813 2,941
Bank loan facility costs 413 461
______ ______
Finance costs 5,226 3,402
______ ______
62504 Ben Bailey 09-48  13/3/07  08:59  Page 33 Notes to the Financial Statements (continued)
34 Ben Bailey Plc
6 PROFIT ON ORDINARY ACTIVITIES BEFORE TAXATION
2006 2005
______ ______
£000 £000
Profit on ordinary activities before taxation
is stated after charging:
Depreciation charge for the year:
Owned property, plant and equipment 183 148
Hire of plant, equipment and vehicles - operating leases 2,695 2,697
Staff costs (note 4) 13,031 10,503
______ ______
Auditors’ remuneration
Services provided by the Group’s auditor and network firms. 
During the year the Group obtained the following services from the Group’s auditor at costs as detailed
below:
2006 2005
______ ______
£000 £000
Audit services:
Fees payable to the Company’s auditor for the audit
of parent company and consolidated accounts 20 18
Non-audit services:
Fees payable to the Company’s auditor and its
associates for other services:
The audit of the Company’s subsidiaries pursuant to legislation 31 27
T ax services 31 23
All other services 10 16
______ ______
92 84
______ ______
62504 Ben Bailey 09-48  13/3/07  08:59  Page 34 35 Ben Bailey Plc
Notes to the Financial Statements (continued)
7 TAXATION CHARGE ON PROFIT ON ORDINARY ACTIVITIES
2006 2005
______ ______
£000 £000
Current tax:
UK corporation tax charge at an average rate of 30% (2005: 30%) 3,283 3,767
Under/(over) provision in respect of prior years 2 (13)
______ ______
3,285 3,754
Deferred tax:
Origination and reversal of timing differences 45 (63)
______ ______
3,330 3,691
______ ______
The tax assessed for the period is lower (2005: lower) than the standard rate
of corporation tax in the UK (30%). The differences are explained below:
2006 2005
______ ______
£000 £000
Profit on ordinary activities before tax 11,153 12,654
Profit on ordinary activities multiplied by standard rate of corporation tax
in the UK of 30% (2005: 30%) 3,346 3,796
Effects of:
Expenses not deductible for tax purposes 55 15
Accelerated capital allowances and other timing differences (53) -
Adjustments in respect of previous periods 2 (13)
Benefit of small companies rate in certain subsidiaries (9) (16)
Other permanent differences (11) (91)
______ ______
T ax charge for the year 3,330 3,691
______ ______
The deferred tax asset recorded in the financial statements has arisen as follows:
Group Company
___________________ _________________
2006 2005 2006 2005
_______ ______ ______ ______
£000 £000 £000 £000
Accelerated capital allowances (44) (42) 12 -
Short term timing differences (31) (380) (6) (59)
_______ ______ ______ ______
(75) (422) 6 (59)  
_______ ______ ______ ______
Group Company
___________________ _________________
2006 2005 2006 2005
_______ ______ ______ ______
Deferred T ax £000 £000 £000 £000
At 1 January 2006 (422) (88) (59) (35)
Deferred tax credited/(charged) to the
income statement 45 (63) 65 (24)
Deferred tax credited/(charged) to equity 302 (271) - -
_______ ______ ______ ______
At 31 December 2006 (75) (422) 6 (59)  
_______ ______ ______ ______
62504 Ben Bailey 09-48  13/3/07  08:59  Page 35 Notes to the Financial Statements (continued)
36 Ben Bailey Plc
8 PROFIT FOR THE FINANCIAL YEAR
As permitted by Section 230 of the Companies Act 1985, the parent company’s income statement has
not been included in these financial statements. The profit for the year is made up as follows:
2006 2005
______ ______
£000 £000
Parent company’s profit for the financial year 7,957 8,030
(Loss)/profit retained by subsidiary companies (134) 933
______ ______
7,823 8,963
______ ______
9 DIVIDENDS
2006 2005
______ ______
£000 £000
Dividends on equity shares:
Ordinary – Final paid of 10.0p per share (2005: 10.0p) 1,194 1,193
Ordinary – Interim dividend paid of 6.0p per share (2005: 5.0p) 717 597
______ ______
1,911 1,790
______ ______
In addition, the Directors are proposing a final dividend in respect of the financial year ending 31
December 2006 of 12.0p per share, which will utilise an estimated £1,436,000 of shareholders’ funds.  It
will be paid on 4 May 2007 to shareholders who are on the register at 10 April 2007.
10 EARNINGS PER ORDINARY SHARE
The calculation of earnings per share on the net basis is based on the profit for the year attributable to
ordinary shareholders of £7,823,000 (2005: £8,963,000) and on 11,950,266 (2005: 11,926,088) ordinary
shares, being the weighted average of the number of ordinary shares in issue and ranking for dividend
during the year.
Diluted earnings per share include the dilutive effect of all the ordinary shares issuable under the
Company’s Executive Share Option Scheme. Diluted earnings per share is based on the profit for the
year attributable to ordinary shareholders of £7,823,000 (2005: £8,963,000) and calculated on a weighted
average of 11,976,588 (2005: 11,972,636) ordinary shares.
62504 Ben Bailey 09-48  13/3/07  08:59  Page 36 37
Notes to the Financial Statements (continued)
Ben Bailey Plc
11    PROPERTY, PLANT AND EQUIPMENT
Group Company
_________________________________ ________________________________
Freehold Plant, Freehold Plant,
land and vehicles and land and vehicles and
buildings equipment T otal buildings equipment T otal
__________ ____________ _____ __________ ____________ _____
£000 £000 £000 £000 £000 £000
Cost
At 1 January 2006 402 706 1,108 402 19 421
Additions 24 230 254 24 - 24
Disposals - (129) (129) - - -
_____ _____ _____ _____ _____ _____
At 31 December 2006 426 807 1,233 426 19 445
_____ _____ _____ _____ _____ _____
Accumulated
depreciation
At 1 January 2006 77 535 612 77 19 96
Charge for the year 7 176 183 7 - 7
Disposals - (125) (125) - - -
_____ _____ _____ _____ _____ _____
At 31 December 2006 84 586 670 84 19 103
_____ _____ _____ _____ _____ _____
Net book value
At 31 December 2006 342 221 563 342 - 342
_____ _____ _____ _____ _____ _____
Group Company
_________________________________ ________________________________
Freehold Plant, Freehold Plant,
land and vehicles and land and vehicles and
buildings equipment T otal buildings equipment T otal
__________ ____________ _____ __________ ____________ _____
£000 £000 £000 £000 £000 £000
Cost
At 1 January 2005 402 744 1,146 402 19 421
Additions - 116 116 - - -
Disposals - (154) (154) - - -
_____ _____ _____ _____ _____ _____
At 31 December 2005 402 706 1,108 402 19 421
_____ _____ _____ _____ _____ _____
Accumulated
depreciation
At 1 January 2005 69 549 618 69 19 88
Charge for the year 8 140 148 8 - 8
Disposals - (154) (154) - - -
_____ _____ _____ _____ _____ _____
At 31 December 2005 77 535 612 77 19 96
_____ _____ _____ _____ _____ _____
Net book value
At 31 December 2005 325 171 496 325 - 325
_____ _____ _____ _____ _____ _____
A first fixed charge has been given over the Company’s freehold land and buildings together with
floating charge over the Company’s plant, vehicles and equipment.
62504 Ben Bailey 09-48  13/3/07  08:59  Page 37 Notes to the Financial Statements (continued)
38 Ben Bailey Plc
12 INVESTMENTS IN SUBSIDIARIES
Shares
in subsidiary
companies Loans T otal
_____________ ______ ______
£000 £000 £000
Company:
Cost
At 1 January 2006 and 31 December 2006 9 1,300 1,309
______ ______ ______
Provisions
At 1 January 2006 and 31 December 2006 (9) - (9)
______ ______ ______
Net Book Value
At 31 December 2006 and 31 December 2005 - 1,300 1,300
______ ______ ______
The loans to subsidiary companies comprise interest free loans made by Ben Bailey Plc to certain
subsidiaries. The loans are repayable only at the option of the subsidiaries and in the opinion of the
directors they are long term. Accordingly they have been included within investments in subsidiaries.
Details of principal subsidiary companies, both of which are incorporated in Great Britain, are as follows:
Proportion of
nominal value of
Principal Description of issued shares held by 
Name of company activities shares held the Company
Ben Bailey Homes Limited Residential
housebuilding Ordinary £1 shares 100%
Milton House Investments Limited Property investment Ordinary £1 shares 100%
13 INVENTORIES
Group Company
___________________ _________________
2006 2005 2006 2005
_______ ______ ______ ______
£000 £000 £000 £000
House building developments in progress 65,662 44,504 - -  
Part exchange houses 2,410 4,173 - -  
Land held for development 101,686 64,192 - -
_______ ______ ______ ______
169,758 112,869 - -  
_______ ______ ______ ______
The whole of the Group’s inventories is held as security by the Group’s bankers.
Land held for development includes an amount of £78,655,000 (2005: £51,810,000) which, the directors
estimate will be realised in the ordinary course of business more than twelve months after the balance
sheet date.
62504 Ben Bailey 09-48  13/3/07  08:59  Page 38 39 Ben Bailey Plc
Notes to the Financial Statements (continued)
14 TRADE AND OTHER RECEIVABLES
Group Company
___________________ ___________________
2006 2005 2006 2005
______ ______ ______ ______
£000 £000 £000 £000
Amounts falling due within one year:
T rade debtors 373 448 - -
Amounts owed by group undertakings - - 24,364 18,169
Other debtors 1,189 1,531 657 1,475
Prepayments and accrued income 523 369 42 33
______ ______ ______ ______
2,085 2,348 25,063 19,677
______ ______ ______ ______
15 TRADE AND OTHER PAYABLES
Group Company
___________________ ___________________
2006 2005 2006 2005
______ ______ ______ ______
£000 £000 £000 £000
T rade payables 16,818 15,546 30 -
Other taxation and social security payable 405 366 12 15
Other creditors 27,463 48 - -
Accruals 1,644 1,806 152 337
______ ______ ______ ______
46,330 17,766 194 352
______ ______ ______ ______
16   FINANCIAL LIABILITIES
Group Company
___________________ ___________________
2006 2005 2006 2005
______ ______ ______ ______
£000 £000 £000 £000
Current 
Bank loans and overdrafts due within one year
(secured) 21,049 10,284 - -
Other secured borrowings 2,728 - - -
______ ______ ______ ______
23,777 10,284 - -
______ ______ ______ ______
Non current
Bank loans and overdrafts due between two
and five years (secured) 53,532 44,551 - -
______ ______ ______ ______
The bank loans, which are all sterling based, are secured by first fixed charges over land held for
development and freehold properties, together with floating charges over the Group’s assets and book
debts.
Other borrowings relate to the sale and leaseback of certain of the Group’s completed housing stock.
62504 Ben Bailey 09-48  13/3/07  08:59  Page 39 Notes to the Financial Statements (continued)
40 Ben Bailey Plc
16   FINANCIAL LIABILITIES (continued)
Interest rate profile
The interest rate profile of the Group’s financial liabilities, all of which are sterling denominated, at
31 December 2006 was:
T otal Floating Fixed Rate
______ _________ ______ ______
£000 £000 £000 %
Bank loans – variable 21,049 21,049 - 6.25
Bank loans – variable 3,532 3,532 - 6.375
Bank loans – fixed 50,000 - 50,000 5.2
Other borrowings 2,728 2,728 - 8.75
______ ______ ______ ______
At 31 December 2006 77,309 27,309 50,000 5.77
______ ______ ______ ______
At 31 December 2005 54,835 24,835 30,000 6.23
______ ______ ______ ______
Bank loans - fixed of £50m above reflects the interest rate swap agreements as disclosed in note 17.
Narrative disclosures in respect of financial instruments are disclosed in the Directors’ Report on page
10 and page 6 in the Chief Executive’s Review.  
Borrowing facilities
The Group has the following undrawn committed facilities at 31 December 2006 in respect of which all
conditions precedent have been met at that date.
Floating Fixed 2006 2005
rate rate T otal T otal
________ ______ ______ ______
£000 £000 £000 £000
Expiring within 1 year 8,951 - 8,951 3,216
Expiring in more than 2 years 11,468 - 11,468 13,449
______ ______ ______ ______
20,419 - 20,419 16,665
______ ______ ______ ______
17   FINANCIAL INSTRUMENTS
Numerical financial instrument disclosures are set out below. Additional disclosure requirements are set
out in the accounting policies relating to risk management.
Assets Liabilities
2006 2005 2006 2005
______ ______ ______ ______
£000 £000 £000 £000
Interest rate swap – current 48 - - 235
– non current 52 - - 688
______ ______ ______ ______
100 - - 923 
______ ______ ______ ______
The notional principal amounts of the outstanding interest rate swap agreements at 31 December 2006
totalled £50 million (2005: £30 million).
62504 Ben Bailey 09-48  13/3/07  08:59  Page 40 41 Ben Bailey Plc
17   FINANCIAL INSTRUMENTS (continued)
At 31 December 2006 the fixed interest rate of the interest rate swaps was 5.2% (2005: 6.575%). The
floating rate was 6.25% to 6.375%.
Fair value of financial assets and financial liabilities 
2006                                            2005
Book value Fair value Book value Fair value
£000 £000 £000 £000
Group
T rade and other receivables  (note 14) 2,085 2,085 2,348 2,348
T rade and other payables  (note 15) (46,330) (46,330) (17,766) (17,766)
Short-term borrowings  (note 16) (23,777) (23,777) (10,284) (10,284)
Long-term borrowings (53,532) (53,532) (44,551) (44,551)
2006                                            2005
Book value Fair value Book value Fair value
£000 £000 £000 £000
Company
T rade and other receivables  (note 14) 25,063 25,063 19,677 19,677
T rade and other payables  (note 15) (194) (194) (352) (352)
The fair value of borrowings equates to their book values due to all borrowings being floating rate in
nature.  The fair value of other financial assets and liabilities equate to their book values due to their short
term nature.
18 PENSIONS
As described in note 1, the Group has operated a Group Personal Pension Plan with effect from 1 April
1997. Until 31 March 1997, the Group operated a defined benefit pension scheme, which has now been
wound up. Sufficient funds were available in the scheme to effect the wind-up.
The total pension cost to the Group under all pension arrangements was £980,000 (2005: £664,000).
The pension creditor at 31 December 2006 was £36,000 (2005: £31,000).
19 CALLED UP SHARE CAPITAL
Group and Company
____________________
2006 2005
______ ______
£000 £000
Authorised
13,900,000 (2005: 13,900,000) ordinary shares of 10p each 1,390 1,390
______ ______
Allotted, called up and fully paid
11,963,389 (2005: 11,943,389) ordinary shares of 10p each 1,196 1,194
______ ______
There are no restrictions of dividends or repayment of capital.
On 11 August 2006 the Company issued 10,000 ordinary shares of 10p each for a total cash consideration
of £27,350 under the terms of the Executive Share Option Scheme.
On 15 September 2006 the Company issued 10,000 ordinary shares of 10p each for a total cash
consideration of £27,350 under the terms of the Executive Share Option Scheme.
Notes to the Financial Statements (continued)
62504 Ben Bailey 09-48  13/3/07  08:59  Page 41 Notes to the Financial Statements (continued)
42 Ben Bailey Plc
20 OPTIONS IN SHARES OF BEN BAILEY PLC
Executive Share Option Scheme
Under the Executive Share Option Scheme, directors and senior employees of Group Companies have
options to subscribe for ordinary shares of 10p each. Share options were exercised by two senior
employees for 20,000 shares during the year. No options were granted in the year. Including options held
by the directors, options outstanding in respect of senior employees under the share option scheme at
31 December 2006, together with the option prices and dates, were as follows:
2006 2005 Date 
Date of Number of Number of Exercise from which Expiry
Grant Options Options Price Exercisable Date
_______ _______ _______ _______ ___________ _______
04.09.01 10,000 10,000 59.5p 04.09.04 04.09.11
07.08.03 8,793 28,793 273.5p 07.08.06 07.08.13
19.04.04 84,168 92,949 464.0p 19.04.07 19.04.14
The mid-market share price at 31 December 2006 was 635.0p per share and the range during 2006 was
376.0p to 635.0p per share. The interests of the directors in share options are disclosed on page 16 in the
Directors’ Remuneration Report.
21    SHARE BASED PAYMENTS 
Options are granted under the Executive Share Option Scheme and are exercisable at a price equal to the
average quoted market price of the Company’s shares on the date of grant. The vesting period of the grant
is 3 years. If the options remain unexercised after a period of 10 years from the date of grant, the options
expire. Options are forfeited if the employee leaves the Group before the options vest.
Options were valued using the Black-Scholes Option Pricing model. The fair value per option granted
and the assumptions used in the calculation are as follows:
Date of Grant 07.08.2003 19.04.2004
Share price at grant date 273.5p 464.0p
Exercise Price 273.5p 464.0p
Number of employees 1 28
Shares under option 8,793 84,168
Under option vesting period (years) 3 3
Expected volatility 43% 47%
Option life (years) 10 10
Expected life (years) 3 3
Risk Free Rate 5.0% 5.0%
Expected dividends expressed as a dividend yield 3.3% 3.3%
Possibility of ceasing employment before vesting nil nil
Expectations of meeting performance criteria 90% 90%
Fair value per option 94.7p 172.8p
Expected volatility was determined by calculating the historical volatility of the Group’s share price over
the previous 3 years.
The expected life used in the model has been adjusted, based on management’s best estimates, for the
effect of non-transferability exercise restrictions and behavioural considerations.
62504 Ben Bailey 09-48  13/3/07  08:59  Page 42 43 Ben Bailey Plc
Notes to the Financial Statements (continued)
21    SHARE BASED PAYMENTS (continued)
A reconciliation of option movements in the year to 31 December 2006 is as follows:-
2006 2005
Weighted Weighted
average average
exercise exercise
Number price (p) Number price (p)
Outstanding at 1 January 131,742 392 219,925 291
Granted -- --
Forfeited (8,781) (464) (13,183) (464)
Exercised (20,000) (274) (75,000) (84)
________ ________ ________ ________
Outstanding at 31 December 102,961 408 131,742 392
________ ________ ________ ________
22 SHARE PREMIUM ACCOUNT
Group and Company £000
At 1 January 2005 1,827
Premium on shares issued under the Executive Share Option
Scheme 56
______
At 31 December 2005 1,883
Premium on shares issued under the Executive Share Option
Scheme 52
______
At 31 December 2006 1,935
______
23   RETAINED EARNINGS
Group Company
_______ ________
£000 £000
At 1 January 2006 38,292 17,911
Profit for the year 7,823 7,957
Dividends paid  (note 9) (1,911) (1,911)
Share options:  value of employee services 28 -
_______ ________
At 31 December 2006 44,232 23,957
_______ ________
Group Company
_______ ________
£000 £000
At 1 January 2005 31,049 11,671
Profit for the year 8,963 8,030
Dividends paid  (note 9) (1,790) (1,790)
Share options:  value of employee services 70 -
_______ ________
At 31 December 2005 38,292 17,911
_______ ________
62504 Ben Bailey 09-48  13/3/07  08:59  Page 43 Notes to the Financial Statements (continued)
44 Ben Bailey Plc
24 OTHER RESERVES
Group
Hedging
Reserve
________
£000
At 1 January 2005 -
Adoption of IAS 39 (20)
Cash flow hedges: fair value loss net of tax (632)
________
At 31 December 2005 (652)
Cash flow hedges: fair value gains net of tax 722
________
At 31 December 2006 70
________
25 STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY
Share Retained Hedging
Group Share Capital Premium Earnings Reserve Total
______ ______________ __________ _________ ________ _____
£000 £000 £000 £000 £000
At 1 January 2005 1,187 1,827 31,049 - 34,063
Adoption of IAS 39 - - - (20) (20)
Net profit - - 8,963 - 8,963
Share options:
- proceeds from shares issued 7 56 - - 63
- value of employee services - - 70 - 70
Dividends - - (1,790) - (1,790)
Cash flow hedges:
- fair value loss net of tax - - - (632) (632)
______ ______ ______ ______ ______
At 31 December 2005 1,194 1,883 38,292 (652) 40,717
Net profit - - 7,823 - 7,823
Share options:
- proceeds from shares issued 2 52 - - 54
- value of employee services - - 28 - 28
Dividends - - (1,911) - (1,911)
Cash flow hedges:
- fair value gains net of tax - - - 722 722
______ ______ ______ ______ ______
At 31 December 2006 1,196 1,935 44,232 70 47,433
______ ______ ______ ______ ______
Share Retained
Company Share Capital Premium Earnings Total
_________ ______________ __________ _________ _____
£000 £000 £000 £000
At 1 January 2005 1,187 1,827 11,671 14,685
Net profit - - 8,030 8,030
Share options:
- proceeds from shares issued 7 56 - 63
Dividends - - (1,790) (1,790)
______ ______ ______ ______
At 31 December 2005 1,194 1,883 17,911 20,988
Net profit - - 7,957 7,957
Share options:
- proceeds from shares issued 2 52 - 54
Dividends - - (1,911) (1,911)
______ ______ ______ ______
At 31 December 2006 1,196 1,935 23,957 27,088
______ ______ ______ ______
Notes to the Financial Statements (continued)
62504 Ben Bailey 09-48  13/3/07  11:49  Page 44 26 OPERATING LEASE COMMITMENTS
At 31 December 2006 the Group had future aggregate minimum lease payments for non-cancellable
operating leases for plant, equipment and vehicles as follows:
Group Company
2006 2005 2006 2005
______ ______ ______ ______
£000 £000 £000 £000
Expiring within one year 37 55 - -
Expiring between two and five years 180 126 18 18
______ ______ ______ ______
217 181 18 18
______ ______ ______ ______
27 CONTINGENT LIABILITIES
The Group has entered into performance guarantees in the normal course of business which at 31
December 2006 amounted to £4,063,000 (2005: £4,065,000).
The Company, jointly and severally with other group companies, has given a multilateral guarantee to its
bankers in connection with loan and overdraft facilities. At 31 December 2006 the Company was
contingently liable under these arrangements in respect of the net bank loans and overdrafts of group
companies amounting to £77,309,000 (2005: £54,835,000).
In the opinion of the directors, no loss will arise in respect of any of the above matters.
28 RELATED PARTY TRANSACTIONS
During the year transactions between Ben Bailey Plc and its subsidiaries, which comprise management
and rental charges, were as follows:
Management/rental charges Amounts owed by subsidiaries
Year ended
31 December 31 December 31 December 31 December
2006 2005 2006 2005
_______ ________ ________ ________
£000 £000 £000 £000
Subsidiary Company:
Ben Bailey Homes Limited 1,125 945 23,979 17,794
Milton House Investments Limited 10 10 385 375
_______ ________ ________ ________
1,135 955 24,364 18,169
_______ ________ ________ ________
45 Ben Bailey Plc
Notes to the Financial Statements (continued)
45 Ben Bailey Plc
62504 Ben Bailey 09-48  13/3/07  11:49  Page 45 Five Year Financial Summary
46 Ben Bailey Plc
Y ear Ended 31 December
2002 2003 2004 2005 2006
As As As
restated restated restated
______ ______ ______ ______ ______
£000 £000 £000 £000 £000
Units sold 405 450 527 686 712
______ ______ ______ ______ ______
Revenue 49,201 62,774 81,502 103,220 122,435
______ ______ ______ ______ ______
Operating profit 8,078 13,723 18,202 16,056 16,379
Interest payable (568) (846) (1,790) (3,402) (5,226)
______ ______ ______ ______ ______
Profit before taxation 7,510 12,877 16,412 12,654 11,153
T ax on ordinary activities (2,211) (3,906) (4,640) (3,691) (3,330)
______ ______ ______ ______ ______
Profit for the financial period 5,299 8,971 11,772 8,963 7,823
______ ______ ______ ______ ______
Net assets employed
Non current assets 496 559 616 918 690
Net current assets 13,998 36,527 59,872 85,038 100,275
______ ______ ______ ______ ______
14,494 37,086 60,488 85,956 100,965
Non current liabilities - (13,399) (26,425) (45,239) (53,532)
______ ______ ______ ______ ______
Net assets 14,494 23,687 34,063 40,717 47,433
______ ______ ______ ______ ______
Ratios
Operating margin 16.4% 21.9% 22.3% 15.6% 13.4%
Return on average capital employed 32.0% 37.1% 33.5% 19.6% 14.9%
Earnings per share – basic 49.3p 79.2p 100.0p 75.2p 65.4p
Earnings per share – diluted 48.3p 77.4p 98.7p 74.9p 65.3p
Dividend per share (paid in year) 5.1p 9.0p 13.0p 15.0p 16.0p
Dividend cover (times) 9.7p 8.8p 7.7 5.0p 4.1p
Interest cover (times) 14.2p 16.2p 10.2p 4.7p 3.1p
Net asset value per share 131.1p 201.8p 287.0p 340.9p 396.5p
______ ______ ______ ______ ______
The results above have been prepared under IFRS.
62504 Ben Bailey 09-48  13/3/07  08:59  Page 46 47 Ben Bailey Plc
NOTICE IS HEREBY GIVEN that the SIXTY FIRST ANNUAL GENERAL MEETING of the
Company will be held at the Holiday Inn, Warmsworth, Doncaster DN4 9UX on 27 April 2007 at 12
noon to transact the following business:
ORDINARY BUSINESS
1 T o receive and adopt the Report of the Directors and Financial Statements and the Auditors’ Report
for the year ended 31 December 2006.
2 T o approve the Directors’ Remuneration Report for the year ended 31 December 2006.
3 T o declare the dividend recommended by the directors.
4 T o re-elect Mr B R Bailey as a director.
5 T o re-elect Mr C M McDowell (who has been appointed by the Board since the last Annual General
Meeting) as a director.
6 T o re-elect Mr N J Godfrey (who has been appointed by the Board since the last Annual General
Meeting) as a director.
7 To re-appoint PricewaterhouseCoopers LLP as auditors of the Company to hold office until the
conclusion of the next general meeting at which accounts are laid before the Company and that their
remuneration be fixed by the directors.
SPECIAL BUSINESS
8 T o consider and if thought fit to pass the following resolution as a special resolution:
THAT the directors be and are hereby generally empowered pursuant to Section 95 of the
Companies Act 1985 (the “Act”) to allot equity securities (within the meaning of Section 94 of the
Act) for cash pursuant to the authority conferred by the resolution under Section 80 of the Act
passed at the annual general meeting of the Company held on 2 May 2003 as if sub-section (1) of
Section 89 of the Act did not apply to any such allotment PROVIDED THAT this power shall be
limited to:
(a) the allotment of equity securities in connection with an offer (whether by way of a rights issue,
open offer or otherwise) to holders of ordinary shares in the capital of the Company in
proportion (as nearly as practicable) to the respective numbers of ordinary shares held by them,
subject to such exclusions or other arrangements as the directors may deem necessary or
expedient for the purpose of dealing with fractional entitlements or any legal or practical
problems under the laws of any territory or the requirements of any regulatory body or stock
exchange in any territory; and 
(b) the allotment (otherwise than pursuant to sub-paragraph (a) above) of equity securities up to an
aggregate nominal value of £59,817;
and this authority shall expire on the earlier of the date fifteen months from the date of the passing of
this resolution and the conclusion of the next Annual General Meeting of the Company held after the
passing of this resolution SAVE THAT the Company may before such expiry make an offer or
agreement which would or might require equity securities to be allotted after such expiry and the
directors may allot equity securities in pursuance of such offer or agreement as if the power conferred
hereby had not expired. This power applies in relation to a sale of shares which is an allotment of equity
securities by virtue of section 94 (3A) of the Act as if in the first paragraph of this resolution the words
“pursuant to the authority conferred by the resolution under Section 80 of the Act passed at the annual
general meeting of the Company held on 2 May 2003” were omitted.
Notice of Meeting
62504 Ben Bailey 09-48  13/3/07  08:59  Page 47 48 Ben Bailey Plc
Noice of Meeting (continued)
9 T o consider and if thought fit to pass the following resolution as a special resolution:
THAT the Company be and is hereby granted general and unconditional authority to make market
purchases (within the meaning of Section 163 of the Companies Act 1985) of the ordinary shares of
10 pence each in its capital PROVIDED THAT:
(i)   this authority shall be limited so that the number of ordinary shares of 10 pence each which may
be acquired pursuant to this authority does not exceed an aggregate of  1,196,339 ordinary shares
and shall expire on the earlier of the conclusion of the next annual general meeting of the
Company in 2008 or 27 October 2008; and
(ii)  the maximum price which may be paid for an ordinary share shall not be more than 5% above
the average of the middle market quotations for an ordinary share as derived from the London
Stock Exchange Daily Official List for the five business days immediately preceding the date on
which the purchase is made and the minimum price which may be paid for an ordinary share
shall be 10 pence in each case exclusive of expenses.
Notes:
1 A member entitled to attend and vote is entitled to appoint one or more proxies to attend and, on a
poll, vote instead of him.  A proxy need not be a member of the Company.
2 T o be valid, the form of proxy must be deposited at the registered office of the Company not later
than 48 hours prior to the annual general meeting (or any adjourned meeting).  The completion and
return of a form of proxy will not prevent a shareholder from attending the meeting and voting in
person.
3 In accordance with Regulation 41 of the Uncertificated Securities Regulations 2001, only those
members entered on the Company’s Register of Members not later than 12 noon on 25 April 2007
or, if the meeting is adjourned, shareholders entered on the Company’s Register of Members not
later than 48 hours before the time fixed to the adjourned meeting shall be entitled to attend and
vote at the meeting.
4 The following information is available for inspection during normal business hours at the registered
office of the Company (excluding weekends and public holidays).  It will also be available for
inspection at the place of the annual general meeting from 11.45 am on the day of the meeting until
the conclusion of the meeting:
a)  the register of interests of directors and their connected persons in the share capital of the
Company;
b)  copies of the directors’ service contracts.
By order of the Board Registered Office
Elizabeth House
Cliff Street
Mexborough
South Yorkshire
S64 9HQ
N J Godfrey
Company Secretary 23 February 2007
62504 Ben Bailey 09-48  13/3/07  08:59  Page 48 Ben Bailey Plc Ben Bailey Plc
T ypeset and Printed by T aylor Bloxham Corporate and Financial, Leicester and London
Contents
Pages
Financial Highlights 1
Chairman’s Statement 2-3
Chief Executive’s Review 4-7
Directors’ Profiles 8
Directors’ Report 9-11
Directors’ Remuneration Report 12-16
Corporate Governance 17-20
Statement of Directors’ Responsibilities 21
Independent Auditors’ Report 22-23
Consolidated Income Statement 24
Consolidated Statement of Recognised Income 
and Expense 25
Balance Sheets 26
Cash Flow Statements 27
Notes to the Financial Statements 28-45
Five Year Financial Summary 46
Notice of Meeting 47-48
*Member of Audit Committee
#Member of Remuneration Committee
‡Senior Independent Non-Executive Director
†Member of Nominations Committee
Directors of the Company
B R Bailey, Chairman*†
P A Russell, ACMA, Chief Executive
N J Godfrey, BSc (Econ), CA, Finance Director
R M T eare, BSc (Econ), FCA, Non-Executive Director*#†‡
C M McDowell, Non-Executive Director*#†
A M Peacock, Non-Executive Director*#†
Secretary and Registered Office
N J Godfrey, BSc (Econ), CA
Elizabeth House
Cliff Street
Mexborough
South Yorkshire
S64 9HQ
Independent Auditors
PricewaterhouseCoopers LLP
Chartered Accountants
Benson House
33 Wellington Street
Leeds
LS1 4JP
Bankers
The Royal Bank of Scotland Plc
2 Whitehall Quay
Leeds
LS1 4HR
Solicitors
DLA Piper UK LLP
1 St Paul’s Place
Sheffield
S1 2JX
Brokers
Hanson Westhouse Limited
Clements House
14-18 Gresham Street
London
EC2V 7NN
Registrars
Computershare Services Plc
PO Box 82
The Pavilions
Bridgwater Road
Bristol
BS99 7NH
Directors and Advisers
62504 Ben Bailey 00 IF-IB  12/3/07  08:29  Page 1 Elizabeth House, Cliff Street, Mexborough,
South Yorkshire, S64 9HQ
Telephone: 01709 586261
Facsimile: 01709 570006
www.ben-bailey.co.uk
Annual Report 2006
ANNUAL REPORT 2006 BEN BAILEY PLC
62504 Ben Bailey 00 cover  12/3/07  08:22  Page 1