2009
ANNUAL REPORT AND ACCOUNTS
Walker Greenbank PLC 
Luxury interior 
furnishings group 
www.walkergreenbank.com Walker Greenbank PLC 
Chalfont House 
Oxford Road 
Denham 
UB9 4DX 
T: 08708 300 365 
F: 08708 300 364 
Walker Greenbank PLC ANNUAL REPORT AND ACCOUNTS 2009 Highlights from 2009
Contents
£63.70
m
 
Revenue up 2% (2008: £62.45 million) supported by 
the continued progress of the Sanderson brand.
£2.79
m
Profit before taxation down 10% (2008: £3.10 million).
£3.56
m 
Operating profit down 10% (2008: £3.96 million).
2.96
p
Earnings per share (2008: 14.49p). Adjusted 
earnings per share 4.97p (2008: 5.44p) after 
excluding the impact of deferred tax.
31 %
Gearing reduced to 31% (2008: 35%) with Shareholders’ 
Funds of £19.91 million (2008: £20.80 million) and 
interest cover improved to 5.1 times (2008: 4.0 times).
Overview
02 Our business at a glance
06 Our brands
07 Our manufacturing
08 Chairman’s Statement
10 Chief Executive’s Review
12 Financial Review
14 Directors and Advisers
Directors’ Report
16 Report of the Directors
18 Statement of Directors’ Responsibilities
Accounts
19  Independent Auditors’ Report on 
Consolidated Financial Statements
20 Consolidated Income Statement
21  Consolidated Statement of Recognised 
Income and Expense
22 Consolidated Balance Sheet
23 Consolidated Cash Flow Statement
24 Notes to the Consolidated Accounts
52  Independent Auditors’ Report on 
Company Financial Statements
53 Company Balance Sheet
54 Notes to the Accounts
62 Five Year Record
Inside back cover: Collection - Arkona
Design - Deco & Amalfi
Right: Le Temple De Jupiter, Chantemerle 
Papers, Zoffany.
Walker Greenbank PLC is a luxury interiors group whose brands 
include Harlequin, Sanderson, Morris & Co. and Zoffany. Our  
brands are targeted at the mid to upper end of the premium market.  
They have worldwide distribution including prestigious showrooms  
at Chelsea Harbour, London and the D&D building, Manhattan,  
New York. Half of the brand’s turnover is sourced in-house from  
the Group’s own specialist manufacturing facilities. Walker Greenbank PLC 
Annual Report and Accounts 2009
01
Overview
Luxury  
interior 
furnishings  
group  02
Walker Greenbank PLC 
Annual Report and Accounts 2009
Our business  
at a glance
Our Brands
Collection - Identity
Design - Perception
Harlequin
Harlequin is a core supplier of high quality, design lead 
collections to the mid to premium end of the worldwide 
furnishings market.
Sanderson
Founded in 1860 and granted a Royal warrant in 1923, 
Sanderson is one of the most renowned brands in interiors 
worldwide, offering classic, inspirational product often based 
on documents from its extensive archive. It is aimed at the mid 
to upper end of the interiors market.
Morris & Co.
The Morris & Co. business has a heritage that dates back to 
the mid 19th century when it was founded by William Morris, 
the acclaimed designer. Its unique heritage is preserved  
in the modern interpretation of its high quality fabrics  
and wallcoverings.
Zoffany
Zoffany offers a range of products of the highest quality 
including wallpaper, fabrics, trimmings, carpets, paint and 
furniture. The designs are inspired by the rich traditions of  
the past but look equally at home in contemporary interiors.
Walker Greenbank PLC is a luxury interior furnishings group  
of companies which design, manufacture, market and distribute 
wallcoverings, furnishing fabrics and associated products for  
the consumer market. 03
Overview
Walker Greenbank PLC 
Annual Report and Accounts 2009
Anstey
Anstey Wallpaper Company is the world’s leading 
specialist commission printer. The business operates 
at the premium end of the market, offering a unique 
combination of design, printing and finishing of 
wallcoverings by gravure, rotary, flexo, surface,  
screen and hand block printing methods. As well  
as producing for the Walker Greenbank brands it  
also produces for third party customers.
Standfast
Standfast & Barracks is situated in Lancaster and  
was bought by Walker Greenbank in March 2000.  
The business is acknowledged as a worldwide leader 
in its field. Standfast specialises in high quality volume 
vat printing and dyeing, and rotary screen-printing of 
fabrics. Barracks specialises in flatbed printing, 
concentrating on very high specification for the 
exclusive furnishing and apparel markets, printing  
on a wide range of fabrics.
USA
Our distribution in the USA is carried out by Walker 
Greenbank Inc. utilising third party showrooms 
supported by Walker Greenbank Inc. offices based  
in New Jersey and our own showroom in Manhattan.
France
Our distribution in France is by Arthur Sanderson 
France through a network of sales agents, our own 
sales force and a showroom in Rue du Mail, Paris.
Italy
We have a showroom and offices in Rome utilising 
sales agents throughout the country.
Our Manufacturing Our Distribution
Oakwood, Options 9, 
Sanderson.
Collection - Iznik  
Design - Kasuri & Pasha 04
Walker Greenbank PLC 
Annual Report and Accounts 2009
Our brands
www.harlequin.uk.com
Despite increasingly tough market conditions in the 
second half, Harlequin has managed to maintain its 
sales at the same level as last year having been 7% up 
at the half year, and to continue its position as the 
leading mid-market contemporary brand in the UK.
UK and Export markets flat >
Growth in emerging markets of the Far East, Middle East  >
and Australia
Contract sales up 19% >
Collection - Iznik
Design - Kasuri & Pasha
Collection - Tamika
Design - Kimiko 05
Overview
Walker Greenbank PLC 
Annual Report and Accounts 2009
www.sanderson-uk.com
Significant investment in product and marketing 
over recent years has helped Sanderson to exploit 
the unrivalled global recognition of the 
Sanderson and Morris & Co brand names and to 
grow its sales this year by 15%, having been up 
25% at the half year.
UK growth 9% >
Export markets up 31% >
Contract sales up 34% >
Chrysanthemum,  
Morris Volume V, Morris & Co.
Dandelion Clocks, 
Options 9, Sanderson. 06
Walker Greenbank PLC 
Annual Report and Accounts 2009
Our brands
www.zoffany.com
Having established Zoffany as a leading brand at the 
premium end of the market and having invested 
heavily in new product over recent years, we reported 
last year that the design community had shown 
increasing interest in the older collections of Zoffany 
and that this had reinvigorated the sales of those 
collections. This year we have experienced an 
accelerating decline of those older collections but in 
their place our newer collections have performed well. 
Overall year on year sales have declined 1% having 
been up 7% at the half year.
 UK sales declined 2% >
Export markets up 5% >
Contract sales up 2% >
Anjolie & Venice collections, Zoffany.
Anjolie & Venice collections, Zoffany. 07
Overview
Walker Greenbank PLC 
Annual Report and Accounts 2009
Our manufacturing
Anstey
Standfast
www.anstey.uk.com www.standfast-barracks.com
Anstey continues to benefit from the demand for 
wallpaper and its unique position as market 
leader in the UK for wallpaper manufacture  
at the mid to premium end of the market.  
Overall sales have grown year on year by 4%, 
sales having been up at the half year by 5%.
Third party sales up 2% >
Sales to Group brands represents 51% >
Standfast has suffered particularly difficult trading 
conditions with overall sales falling 9% over the same 
period last year, sales were down 3% at the half year.
Third party sales down 16% >
Sales to Group brands represents 41% > Walker Greenbank PLC 
Annual Report and Accounts 2009
08
Chairman’s 
Statement
Overview
The year started well with a continuation of 
the strong growth momentum of recent years 
but performance was impacted by the 
economic downturn as the year progressed. 
Total revenues increased by 2% for the year 
with growth of 7% at the half year and a 
decline of 3% in the second half. In 
challenging market conditions our 
performance was supported by successful 
design innovation and our strong portfolio of 
brands including Sanderson and Harlequin 
positioned at the mid market and Morris & Co 
and Zoffany at the upper end of the interior 
furnishings market. Revenues from these 
brands have grown year on year by 5%.
Collection - Tamika  
Design - Miya
Approximately half our manufacturing output 
was to third parties and this business 
declined by 9% in contrast to production for 
our own brands which increased by 4%.
We have strengthened our balance sheet 
during the year reducing net debt at the year 
end to £6,218,000 from £7,289,000 in 2008.
The current economic environment is clearly 
unfavourable. However many global 
opportunities are available to us in the 
medium term and a clear strategy to develop 
the Group for a strong future and to manage 
the downturn is set out in the Chief 
Executive’s Review. Walker Greenbank PLC 
Annual Report and Accounts 2009
09
Overview
Financials
Revenue increased 2% to £63,698,000, from 
£62,448,000 over the same period last year. 
The operating profit for the year decreased 
10% to £3,561,000 (2008: £3,961,000). The 
profit before tax decreased 10% to 
£2,787,000 (2008: £3,099,000). The profit 
after tax declined to £1,622,000 (2008: 
£8,171,000), due almost entirely to non-cash 
deferred tax movements as a consequence of 
the recognition for the first time last year of a 
deferred tax asset. This related predominantly 
to historical corporation tax losses.
The earnings per share were 2.96p (2008: 
14.49p). An adjusted earnings per share that 
excludes the deferred tax movements and 
reflects the cash tax of the Group is 4.97p 
(2008: 5.44p).
Interest cover increased to 5.1 times, 
compared with 4.0 times last year.
The Group’s net indebtedness at the year end 
reduced to £6,218,000 (2008: £7,289,000). 
This represents a reduction in gearing to 31% 
(2008: 35%). The cash inflow from operating 
activities was £2,830,000 (2008: £3,542,000), 
reflecting higher stock levels as a result of 
extensive brand product launches during the 
year. At the year end, the Group had available 
banking facilities of £12,773,000 (2008: 
£14,183,000) representing headroom of 
£6,555,000 (2008: £6,894,000).
Dividend
The Directors do not recommend the 
payment of a dividend at this point in time. In 
this current economic environment we remain 
focused on continued cash generation and 
reduction in net debt.
People
On 31 January 2009, Ian Kirkham retired from 
the Board. He has served as Non-executive 
Chairman for a period of five years and during 
that time has overseen the transformation of 
the Group’s fortunes. I would like to offer our 
grateful thanks to Ian on behalf of the Board.
Following Ian’s retirement, I am delighted to 
have become Chairman at the start of the 
2009/10 financial year.
On 17 December 2008, Fiona Goldsmith 
joined the Board as a Non-executive Director. 
Her extensive financial background across a 
variety of business sectors will be of great 
value to the Group in future years.
 
Finally I would like to offer sincere thanks to all 
of our management and employees for their 
loyalty and commitment during the year. 
Outlook
Over the past five years the Group has 
established itself as a leader in its field 
increasing revenue and profits significantly, 
Collection - Arkona Weaves
Design - Arcadia
generating cash and building a strong balance 
sheet. In the current uncertain global 
environment in which we operate we have 
focused on reducing our cost base, improving 
manufacturing efficiency and reducing net 
debt. In addition we continue to invest in the 
strength of our exceptional brand portfolio. 
Revenues in the first half will be significantly 
down on a buoyant period last year, though 
the impact of this reduction will to some 
extent be mitigated by our focus on costs and 
efficiency. With a clear strategy and a robust 
balance sheet we believe that the Group is 
well positioned to take advantage of an upturn 
in its markets.
Terry Stannard 
Non-executive Chairman
17 June 2009 Walker Greenbank PLC 
Annual Report and Accounts 2009
10
Chief Executive’s  
Review
Strategy
Despite the turbulent economic conditions in 
which we are trading, we remain committed 
to the five key elements of our growth strategy 
which is supported by the Group’s cash 
generation and a robust balance sheet.  
In addition we benefit from world renowned 
brands all of which can be expected to  
return to strong growth on any upturn in  
the trading environment. The key elements  
of the strategy comprise:
UK growth – to continue to exploit   >
the medium term organic growth 
opportunities that exist for our Group in  
the UK retail market.
Geographic expansion – to invest in  >
marketing and distribution in the North 
American market, where our Group is 
currently immature relative to our peers, 
and to focus on the distribution and 
marketing of our brands in Europe and the 
Rest of the World, where again as a Group 
we are presently underdeveloped.
Contract sales – to drive the expansion of  >
our developing contracts business through 
further investment in people and contract 
specific product supported by the strength 
of our brand names and our manufacturing 
capability, predominantly focusing at the 
mid to upper end of the contract market;
Licensing income – to exploit the global  >
recognition of the Sanderson and Morris & 
Co. brand names and to develop further  
the licensing opportunities that exist for 
Harlequin in the UK. 
Acquisitions – to evaluate acquisition  >
opportunities that may fit with our current 
brand portfolio and potentially provide 
synergistic and earnings enhancing 
opportunities. 
Overview
Our brand sales have remained flat in the UK 
retail market. In mainland Europe, retail sales 
have grown 10% due to the strength of the 
euro, although this equates to a 4% decline in 
constant currency. In the Rest of the World 
sales have grown by 16%. Sales in our US 
retail business, which remains a relatively 
small part of our Group, have increased 3% 
due to the strength of the dollar, but fallen 7% 
in constant currency. Within our brand 
segment our Contract business continues to 
benefit from strong investment and has 
delivered 17% year on year growth. Our 
licence business has grown 21% reflecting the 
strength of our brands and their potential to 
stretch into adjacent categories. Finally, our 
manufacturing units have suffered from the 
overall decline in the market with their third 
party sales falling 9%.
The brands
Total sales have grown year on year by 5% 
reflecting no growth in sales in the second 
half due to a much tougher trading 
environment, sales having been up 10% at the 
Collection - Pasha
Design - Pasha
Hana, Options 9, Sanderson Walker Greenbank PLC 
Annual Report and Accounts 2009
11
Overview
brands, the factories print for third party 
customers.
Anstey
Anstey continues to benefit from the demand 
for wallpaper and its unique position as 
market leader in the UK for wallpaper 
manufacture at the mid to premium end of the 
market. Overall sales have grown year on year 
by 4%, sales having been up at the half year 
by 5%. Sales to Group company brands have 
grown 5% representing 51% of the overall 
sales, whilst external third party sales have 
grown 2%, reflecting the relative success of 
our brands in difficult markets. Margins have 
fallen slightly due to increased energy costs 
and overall profitability has slightly improved 
over the same period last year. We remain 
focused on improving factory efficiency and 
service to our customers. 
Standfast
Standfast has suffered particularly difficult 
trading conditions with overall sales falling 9% 
over the same period last year, sales were 
down 3% at the half year. Sales to Group 
company brands which represent 41% of the 
overall sales were up 3%, whilst external third 
party sales fell 16%, suggesting our Group 
brands are performing well in very difficult 
market conditions. Standfast has suffered 
margin decline due to less production 
throughput in the factory and increased 
energy costs, two factors which combined 
with the sales fall has led to a loss in the year.
At the beginning of the second half of the year 
management took action to reduce the cost 
base of this business in order to reflect the 
lower level of volume activity, resulting in a 
redundancy cost of £146,000.
Summary
All of our brands continue to perform 
competitively in a difficult market. The 
considerable investment we have made in 
product and marketing in recent years places 
us in a strong position to withstand the 
current economic environment and ultimately 
exploit the continuing and new business 
opportunities that exist within the Group.  
We remain confident about the progress the 
Group will make in the medium term given  
the global recognition of its brands and the 
robustness of the Group’s finances.
John Sach 
Group Chief Executive
17 June 2009
 
half year. Over recent years we have strongly 
increased our investment in our product 
launches across all our brands and this has 
helped protect our market share in a much 
tougher trading environment. We have a 
strong portfolio of brands covering a wide 
variety of market segments in the mid to 
upper end of the interior furnishings market, 
supported by a wide offering of product. We 
are however conscious of the tougher market 
in which we operate and, going forward, will 
keep tight control of the amount of product 
we launch to reduce cost while the current 
economic environment prevails. 
Harlequin
Despite increasingly tough market conditions 
in the second half, it is pleasing to report that 
Harlequin has managed to maintain its sales 
at the same level as last year having been 7% 
up at the half year and to continue its position 
as the leading mid-market contemporary 
brand in the UK. Overall both the UK market 
and export markets were essentially flat. 
However, within our export markets, Europe 
was down year on year by 7% and by 14% in 
constant currency. This was offset by growth 
in the emerging markets of the Far East, 
Middle East and Australia where overall sales 
were up 21%. Woven product continued to 
grow, up 4% on the same period last year, 
whilst wallpaper sales declined by 4% and 
printed fabrics declined by 8%.
Continued commitment and investment in our 
Contract business has helped grow year on 
year sales by 19%. Harlequin has also grown 
its licensing income principally with the 
development of a range of product lines in  
the John Lewis Partnership. More than half of 
Harlequin’s sales are from woven product 
which is sourced primarily from Europe. For 
this product category the gross margins have 
declined due to the strengthening of the euro 
which has led to a fall in profits.
Zoffany
Having established Zoffany as a leading brand 
at the premium end of the market and having 
invested heavily in new product over recent 
years, we reported last year that the design 
community had shown increasing interest  
in the older collections of Zoffany and that  
this had reinvigorated the sales of those 
collections. This year we have experienced  
an accelerating decline of those older 
collections but in their place our newer 
collections have performed well. 
Overall year on year sales have declined 1% 
having been up 7% at the half year. UK sales 
declined 2% but export markets continued to 
see overall growth of 5%, with Europe 
growing 6%, representing an 11% decline in 
constant currency and the Rest of the World 
up 5% helped by strong growth from the 
Middle East and Australasia. Woven fabric, 
which now represents more than half of 
Zoffany’s sales, grew 2% with both wallpaper 
and printed fabrics having declined by 1% 
each. Zoffany’s Contract business has grown 
year on year 2%. The strong euro has led to a 
decline in margins and this combined with 
additional stock provisioning due to the faster 
decline of the older collections has led to a 
reduction in profits. 
 
Arthur Sanderson & Sons incorporating 
the Morris & Co. brand
Significant investment in product and 
marketing over recent years has helped 
Sanderson to exploit the unrivalled global 
recognition of the Sanderson and Morris & 
Co. brand names and to grow its sales this 
year by 15%, having been up 25% at the half 
year. The growth continues to be broad-
based with all geographic markets growing 
strongly. The UK market delivered year on 
year sales growth of 9% whilst overseas 
markets were up 31%. This impressive export 
sales growth was driven by European markets 
up 32%, 17% in constant currency and the 
Rest of the World up 28%. The growth has 
been led by woven fabric, up by 22%, with 
wallpaper up 19% and printed fabrics up 4%. 
The growth has been supported by strong 
progress in its Contract business up 34%. 
Gross margins improved as the strengthening 
euro benefited margins with Sanderson selling 
more in Europe than it purchases. This margin 
gain combined with the sales growth has 
helped to improve profits significantly.
Overseas
USA
Sales in our US business have increased year 
on year by 7% however they have fallen in 
constant currency by 4% due to the 
strengthening dollar. Sales at the half year in 
local currency were broadly flat. The US still 
forms a relatively small part of the overall 
Group but we firmly believe in the medium to 
long term potential for the Group in this 
market. However economic conditions are 
becoming increasingly challenging and whilst 
this prevails we will remain tightly focused on 
the level of investment in marketing, 
patterning and sample support. Lower sales 
have led to a continued loss.
Europe
The Group’s distribution businesses in Rome, 
for Zoffany and Harlequin, and in Paris, for 
Zoffany and Sanderson, remain relatively small. 
Both these markets saw challenging trading 
conditions but the appointment of an 
experienced Export development director 
towards the end of last year brought 
improvements to both operations. Combined 
revenues have increased by 14%, representing 
a decline of 3% in constant currency.
Manufacturing
We have two freehold printing facilities in the 
UK: Anstey, our wallpaper factory in 
Loughborough; and Standfast, our fabric 
printing factory in Lancaster. Both factories 
offer highly specialised printing, and their UK 
location brings benefits including the ability to 
print very short runs and easy accessibility for 
UK designers to visit the factories during the 
printing process. In addition to printing the 
wallpaper and fabrics for the Group’s own  Walker Greenbank PLC 
Annual Report and Accounts 2009
12
Financial  
Review
Income Statement and exceptional items
The Chairman’s Statement and Chief 
Executive’s Review provide an analysis of the 
key factors impacting the revenue and operating 
profit. In addition to the information on our 
brands and production facilities included in 
these reports, the Group has included in note  
4 of the Consolidated Financial Statements, 
information on our business segments.
Disposals
There were no major disposals during the year. 
Interest
The net interest charge for the year was 
£695,000 (2008: £981,000) including 
amortisation of debt issue costs capitalised.  
The reduced cost reflects the reduction in 
interest rates over the year.
Net defined benefit pension
The charge during the year was £79,000 
(2008: income £119,000). This is a 
consequence of the increase in corporate 
bond rates from the start of the financial year 
compared with that at the beginning of the 
previous year. The charge is also impacted if 
the pension deficit increases which will be the 
case in the coming year. 
Mereville, Sanderson
Current taxation
There is a small corporation tax charge arising 
from the taxable profits at the Italian subsidiary 
and overseas licence income. The Group 
continues to review the overseas tax position 
to ensure every opportunity is considered to 
minimise the amount incurred.
Deferred taxation
Due to the substantial nature of corporation 
tax losses £21.3 million (2008: £23.7 million) 
the Group does not anticipate incurring or 
paying UK corporation tax in the immediate 
future. However, as the majority of the 
corporation tax losses have now been 
recognised as a deferred tax asset, in the 
current and future years there will be a 
deferred tax charge in the Income Statement 
until such time as the losses have been fully 
utilised at which point the Group will incur and 
pay UK corporation tax.
There is a one-off deferred tax charge of 
£320,000 arising from the phasing out of 
Industrial Building Allowances in the Finance 
Act 2008.
The Group also continues to recognise the 
deferred tax asset arising from the Pension 
Deficit. As the Pension Deficit has increased 
during the year an increase in the associated 
deferred tax asset has been recognised.
Earnings per share (‘EPS’)
Last year the Group recognised a deferred  
tax asset of £5,101,000 as the Group was,  
and remains, confident of utilising historical 
corporation tax losses as a result of 
foreseeable sustainable future profits.  
The impact of deferred tax in both years has 
been removed in the analysis of adjusted EPS 
discussed below, to enable better comparison 
of the underlying performance of the Group.
The basic and diluted EPS was 2.96p (2008: 
14.49p). The adjusted EPS was 4.97p for the 
current year (2008: 5.44p), and is calculated  
as follows:
 
  2009 2008
  £000 £000
Profit after tax per  
 the accounts  1,622 8,171
Exclude the impact  
 of deferred tax  1,108 (5,101)
Adjusted profit after tax 2,730 3,070
Adjusted EPS  4.97p 5.44p
The number of shares in issue remained 
constant, however, on 1 July 2008 275,000 
shares were purchased and brought into 
Treasury. The weighted average number of 
shares reduced to 54,880,000 for the year 
ended 31 January 2009 from 56,397,000 in  
the year ended 31 January 2008.
  Walker Greenbank PLC 
Annual Report and Accounts 2009
13
Overview
Operating cash flow
The Group generated net cash inflow from 
operating activities during the year of 
£2,830,000 (2008: £3,542,000) reflecting 
higher stock levels as a result of extensive 
brand product launches during the year. 
The Group paid interest of £704,000 (2008: 
£956,000) and capital expenditure of 
£1,687,000 (2008: £1,674,000). Due to the 
timing of actual payments the additions in the 
fixed asset notes were £1,500,000 (2008: 
£1,797,000). The depreciation and 
amortisation charge during the period of 
£1,846,000 (2008: £1,822,000) continue to be 
greater than required capital expenditure.
The Group made additional payments to the 
pension schemes of £1,052,000 (2008: 
£1,059,000) to reduce the deficit, part of the 
ongoing planned reduction, along with 
£275,000 (2008: £231,000) of regular 
contributions to fund scheme expenses. 
The Group purchased 275,000 shares at a 
cost of £83,000 in July 2008.
Net debt in the Group has reduced by 
£1,071,000 to £6,218,000 (2008: £7,289,000). 
Net debt to EBITDA ratio improved to 1.1 
(2008: 1.3) and is set out below;
  2009 2008
EBITDA  £000 £000
Profit after tax  1,622 8,171
Interest  774 862
Tax  1,165 (5,072)
Depreciation and  
 amortisation  1,846 1,822
EBITDA  5,407 5,783
  
Net debt  6,218 7,289
  
Net debt : EBITDA  1.1 1.3
Pension deficit
The pension deficit has increased this year. 
The key factors affecting the movement in the 
deficit have been; firstly ongoing contributions 
of £1,327,000 from the Company to reduce 
the deficit; secondly a reduction in the 
liabilities of the scheme arising predominantly 
from the increase in discount rates during the 
year and lastly the significant reduction in 
scheme assets due to the current economic 
climate. The impact of these factors is shown 
as follows:
   2009
   £000
Deficit at beginning of period  (3,409)
Scheme expenses   (275)
Other finance income  196
Contributions   1,327
Actuarial loss on scheme assets  (7,458)
Actuarial gains from the  
 change in discount factor  5,458
Gross deficit at the end of the year (4,161)
Long-Term Incentive Plan
There have not been any further awards 
during the year under the Long-Term Incentive 
Plan (‘LTIP’). There has been a charge of 
£373,000 (2008: £429,000) in the Income 
Statement for current awards.
Gearing 
The gearing level for the Group fell during the 
year to 31% at 31 January 2009 (2008: 35%). 
Funding
The Group utilises facilities provided by 
Barclays Bank Plc. The facilities were put in 
place on 17 July 2007 replacing previous 
facilities from another provider. There is a 10 
year term property facility of £3,400,000 (2008: 
£3,800,000) at the year end. 
There is also a facility linked to working capital 
which allows the Group to manage its cash 
more effectively during the seasonal 
fluctuations in working capital associated with 
the industry in which the Group operates. This 
facility has an initial three year term. The 
borrowings at the end of the year under this 
facility were £3,868,000 (2008: £5,506,000). 
The available facility at the end of the year was 
£9,373,000 (2008: £10,383,000) of which 
£3,000,000 (2008: £3,000,000) is from a stock 
facility which is effectively permanently 
available due to the level of stocks in the 
Group. The remainder of the working capital 
facility arises from trade debtors and fluctuates 
with the level of trade debtors. The total 
facilities have a current limit of £16.4m. 
All of the Group bank facilities remain secured 
by first fixed and floating charges over the 
Group’s assets. 
Going concern
The Directors are confident, after having made 
appropriate enquiries that the Group and 
Company have adequate resources to 
continue in the foreseeable future. For this 
reason they continue to adopt the going 
concern basis in preparing the accounts.
Treasury policy
The Group’s treasury policy is controlled 
centrally in accordance with procedures 
approved by the Board. It is run prudently as 
a central Group function, providing services to 
the other Group companies and adopts a risk 
averse strategy.
The main risks covered by this policy are 
interest rate risk, foreign currency risk and 
liquidity risk.
Interest rate risk
The Group has continued to maintain its debt 
in floating rate instruments in order to benefit 
from the lower rates available and the 
increasing reduction in borrowings. This 
policy remains constantly under review to 
ensure interest cost is minimised. The viability 
of hedging instruments that would limit the 
impact of interest rate movements will 
continue to be reviewed based on the Board’s 
perception of future rate increases and the 
reducing level of borrowings.
Foreign currency risk
All foreign currencies are bought and sold 
centrally on behalf of the Group. Regular 
reviews take place of the foreign currency 
cash flows and unmatched exposures are 
covered by forward contracts wherever 
economically practical.
The Group does not trade in financial 
instruments and hedges are only used for 
anticipated cash flows. There is a hedging 
reserve of £812,000 (2008: £110,000) at the 
end of the year.
The fluctuation in exchange rates during the 
year has benefited the trading at the US 
subsidiary but conversely the strengthening 
euro has impacted negatively at the brands as 
more product is sourced in euro than sold.
Liquidity risk
The Group ensures that it has adequate 
facilities available to cover both its short term 
and medium term commitments. The facility 
available at the end of the year was 
£12,773,000 (2008: £14,183,000) which 
represents an additional borrowing capacity 
of £6,555,000 (2008: £6,894,000).
Credit risk
The Group seeks to obtain credit insurance 
on all its significant overseas customers. 
However, credit insurers have been taking a 
much more conservative position in recent 
months on the level of credit insurance 
provided or the insurance has even been 
removed. The aging profile of trade debtors 
shows that customers do pay to terms or 
soon thereafter. Where credit insurance has 
been removed and the customer has kept to 
terms internal credit limits are set and strictly 
adhered to, otherwise internal credit limits are 
reduced and then strictly adhered to. 
Alan Dix 
Group Finance Director
17 June 2009 Walker Greenbank PLC 
Annual Report and Accounts 2009
14
Overview
Directors
and Advisers
Terry Stannard (59)
Non-executive Chairman (A, R, N)
Terry joined the Board as a Non-executive 
Director in September 2007 and became 
Non-executive Chairman on 31 January 2009 
following the retirement of Ian Kirkham from 
the Board. He has particular expertise in 
international brand-based businesses and his 
executive career included senior roles at 
United Biscuits and the positions of Chief 
Executive of Uniq plc and Terranova Foods 
plc. Since 2001, he has focused on non-
executive appointments at both quoted and 
unquoted businesses. He is currently 
Chairman of Gardman Holdings Ltd and holds 
non-executive roles at Brintons Ltd, Daniels 
Chilled Foods Ltd, International Cuisine Ltd, 
Bradford & Sons Ltd, Macphie of Glenbervie 
Ltd and Moloney Ventures Ltd. 
Fiona Goldsmith (42)
Non-executive Director (A,R,N)
Fiona joined the Board as a Non-executive 
Director on 17 December 2008. She is a 
Chartered Accountant who started her career 
with KPMG, where for nine years she focused 
on the retail and leisure sectors in various 
roles. She then moved to First Choice 
Holidays plc, where she became European 
Finance Director. From 2004 until October 
2008 she was Finance Director of Land 
Securities Trillium, a division of Land 
Securities Group plc.
Directors Advisers
John Sach (53)
Chief Executive Officer
John joined the Group in 1994 as Group 
Financial Controller and was appointed to  
the Board as Group Finance Director in 1999. 
He was appointed Chief Executive Officer in 
May 2004.
David Smallridge (53)
Executive Director
David joined the Group in 2002 with a wide 
experience as a managing director in the 
consumer products services. He was 
appointed to the Board in December 2004 
following his appointment as Managing 
Director of the Group’s four main fabric and 
wallcovering brands, Harlequin, Sanderson, 
Morris & Co. and Zoffany.
Alan Dix (50)
Group Finance Director
In July 2005, Alan Dix was appointed Group 
Finance Director. He is a Chartered 
Accountant with experience from a broad 
range of industries.
A – Audit Committee
R – Remuneration Committee
N – Nominations Committee
Stockbrokers and Advisers
Arden Partners plc
Nicholas House
3 Laurence Pountney Hill
London EC4R 0EU
Auditors
PricewaterhouseCoopers LLP
Donington Court
Pegasus Business Park
Castle Donington
East Midlands DE74 2UZ
Tax Advisers 
BDO Stoy Hayward LLP
55 Baker Street 
London W1U 7EU
Public Relations
Buchanan Communications Ltd
45 Moorfields
London EC2Y 9AE
Solicitors
DLA Piper
Princes Exchange
Princes Square
Leeds LS1 4BY
Registrars
Capita Registrars
Northern House
Woodsome Park
Fenay Bridge
Huddersfield
West Yorkshire HD8 0LA
Bankers
Barclay’s Commercial Bank
Ashton House
497 Silbury Boulevard 
Milton Keynes MK9 2LD Walker Greenbank PLC 
Annual Report and Accounts 2009
15
Directors’ Report
and Accounts
Directors’ Report
and Accounts
In this section
Directors’ Report
16 Report of the Directors
18 Statement of Directors’ Responsibilities
Accounts
19  Independent Auditors’ Report on 
Consolidated Financial Statements
20 Consolidated Income Statement
21  Consolidated Statement of Recognised 
Income and Expense
22 Consolidated Balance Sheet
23 Consolidated Cash Flow Statement
24 Notes to the Consolidated Accounts
52  Independent Auditors’ Report on 
Company Financial Statements
53 Company Balance Sheet
54 Notes to the Accounts
62 Five Year Record
Pondicherry, Options 9, Sanderson. Walker Greenbank PLC 
Annual Report and Accounts 2009
16
Report of the Directors
The Directors submit their Annual Report together with the audited 
financial statements of the Company and its subsidiary undertakings 
(‘the Group’) for the year ended 31 January 2009.
Principal activities and Business Review
The principal activities of the Group are the design, manufacture, 
marketing and distribution of wallcoverings, furnishing fabrics and 
associated products for the consumer market. A review of activities is 
given in the Chief Executive’s Review, which, taken with the Chairman’s 
Statement, the Financial Review and the other information in the Report 
of the Directors, represents the Group’s Business Review. 
The Directors do not expect there to be any significant change in the 
principal activities of the Group in the foreseeable future.
Group result
The profit before taxation amounted to £2,787,000 (2008: £3,099,000). 
The Directors do not recommend payment of a final ordinary dividend 
(2008: no dividend paid), which leaves a surplus of £1,622,000 to be 
transferred to reserves (2008: £8,171,000).
Key Performance Indicators
The KPIs for the business are primarily financial.
    2009 2008
Sales growth    2% 15%
Operating profit margin before  
exceptional items    5.6% 6.3%
Gearing    31% 35%
Pension deficit as a percentage of  
shareholders’ funds    21% 16%
Adjusted EPS    4.97p 5.44p
Business risks
The Directors have identified a number of financial risks for the Group 
and these are explained and the degree of risk highlighted in note 2 of 
the financial statements and in the Financial Review. Where 
commercially appropriate the Group insures against financial loss 
caused by unforeseen events by the means of insurance policies. 
Apart from the impact of an event of a global nature or a significant 
downturn in the UK market there are no other significant business 
risks. Whilst the trading conditions in North America remain difficult, 
this will affect trading of our business in North America but this 
business is not currently a significant profit contributor to the  
overall Group.
Pensions
The Group operates defined benefit and defined contribution schemes 
in the UK and overseas for all qualifying employees. Further 
information on the schemes and details of the valuations are given in 
note 22 to the accounts.
Employees
The Group keeps its employees informed on matters affecting them 
and on the progress of the Group by way of informal meetings and 
consultation with employees’ representatives. All Group businesses 
apply the principles of equal opportunity in recruitment, career 
progression and remuneration. Disabled persons are given full and fair 
consideration for employment where an appropriate vacancy occurs, 
having regard to their particular aptitudes and abilities. Whenever 
possible, arrangements are made for the continuing employment of 
persons who have become disabled during service and for appropriate 
training of all disabled employees, who are given equal consideration 
with all other employees in promotion and career development.
Payments to suppliers
The Group agrees terms and conditions for its business transactions 
with suppliers and makes payment in accordance with those terms 
and conditions subject to the supplier meeting its obligations. The 
amount of trade creditors shown in the consolidated balance sheet at 
31 January 2009 represents 92 days (2008: 98 days) of average 
purchases during the year for the Group.
The Company is a holding company and has no meaningful equivalent 
of creditor days.
Market value of interests in land including buildings
The Directors do not believe there is a significant difference between 
the current market value of the Group’s interests in land including 
buildings and their carrying values in the financial statements.
Political and charitable donations
The Group has not made any political donations (2008: nil). During the 
year the Group made no charitable donations (2008: nil).
Directors and their interests
The Directors in office at 31 January 2009 and their interests in the 
shares of the Company were as follows:
    1p ordinary 1p ordinary 
     shares shares 
    31 January 31 January 
     2009 2008 
    Number Number
I Kirkham*    900,000 800,000
T Stannard    35,000 35,000
F Goldsmith    nil nil
J D Sach    610,000 590,000
D H Smallridge    120,000 100,000
A N Dix     132,000 70,000
* Includes 100,000 shares held by Mr Kirkham’s wife. Walker Greenbank PLC 
Annual Report and Accounts 2009
17
Directors’ Report
On 17 December 2008 Fiona Goldsmith was appointed as a  
Non-executive Director. 
On 31 January 2009 Ian Kirkham retired from the Board and Terry 
Stannard was appointed Chairman.
The Board of Directors as at the date of this report is set out on page 
14, together with biographical details. 
At the forthcoming Annual General Meeting (‘AGM’) Fiona Goldsmith 
will stand for election following her appointment since the last AGM. 
John Sach will retire by rotation and being eligible will offer himself  
for re-election. 
On 23 April 2009 T Stannard purchased 35,000 ordinary shares.
The share price on 1 February 2008 was 40.75p and on 31 January 
2009 was 10.25p.
Long-Term Incentive Plan
There were no awards made under the Group’s Long-Term Incentive 
Plan (‘LTIP’) during the year. 
At the year end awards have been granted for a maximum of 
3,964,093 shares. 
As at the balance sheet date the awards granted to the Executive 
Directors were:
    Vesting  1p ordinary 
    date shares
J D Sach    25.07.2009 805,298
    23.05.2011 495,283
D H Smallridge    25.07.2009 745,297
    23.05.2011 353,774
A N Dix    25.07.2009 498,405
    23.05.2011 283,019
On 27 May 2009 further awards were made to the Executive Directors, 
a total of 1,700,000 ordinary shares.
Directors’ interests in material contracts
None of the Directors had any material interest in any contract during 
the year which was significant to the business of the Group.
Acquisition of own shares
On 1 July 2008 the Company made market purchases into treasury of 
275,000 ordinary shares of 1p each at a price of 30p per ordinary 
share. The total number of shares held in Treasury is 1,690,093. It is 
intended that these ordinary shares will be used to satisfy future 
awards made under the Company’s LTIP.
Substantial shareholdings
At 7 June 2009 the Company is aware of the following substantial 
shareholdings in its ordinary share capital, comparatives at 30 May 
2008 are shown. Gartmore Investment Limited 20.2% (2008: 22.7%), 
Blackrock Investment Management 5.8% (2008: 5.21%), Brewin 
Dolphin 4.45% (2008: 4.71%), Barclays Wealth 4.06% (2008: 4.03%), 
Royal London Asset Management 3.75% (2008: 0%), Axa Framlington 
3.49% (2008: 3.39%), NW Brown Investment 3.2% (2008: 0%) and 
Walker Greenbank EBT 4.45% (2008: 4.43%).
Environmental and social matters
The Group acknowledges the importance of environmental matters 
and where possible uses environmentally friendly policies in all its 
facilities, such as recycling, energy savings and efficiency initiatives, 
and encouraging environmentally friendly travel.
Special Business
At the AGM on 22 July 2009 items 5, 6 and 7 will be proposed as 
Special Business. Details of the business can be found in the Notice of 
the Annual General Meeting separately distributed to shareholders.
Auditors
A resolution to reappoint PricewaterhouseCoopers LLP as auditors of 
the Company will be proposed at the AGM.
So far as each of the Directors in office at the date of this report is 
aware, there is no relevant audit information of which the Group’s 
auditors are unaware. Relevant information is defined as information 
needed by the Group’s auditors in connection with preparing their 
report. Each Director has taken all the steps that he ought to have 
taken to make himself aware of any relevant audit information and to 
establish that the auditors are aware of that information.
By order of the Board
Julian Wilson
Company Secretary 
17 June 2009
Registered Office
Chalfont House
Oxford Road
Denham UB9 4DX
Registered number 61880 Walker Greenbank PLC 
Annual Report and Accounts 2009
18
The Directors are responsible for preparing the Annual Report and the 
Group and the parent Company 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 financial statements in accordance with International Financial 
Reporting Standards (IFRSs) as adopted by the European Union and in 
accordance with the AIM Rules for Companies, and the parent 
Company financial statements in accordance with applicable law and 
United Kingdom Accounting Standards (United Kingdom Generally 
Accepted Accounting Practice). The Group and parent Company 
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 those 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 Group financial statements comply with IFRSs as  >
adopted by the European Union, and with regard to the parent 
Company financial statements, that applicable UK Accounting 
Standards have been followed, subject to any material departures 
disclosed and explained in the financial statements.
Statement of Directors’ Responsibilities
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 
Group and parent Company financial statements comply with the 
Companies Act 1985. 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 Directors are responsible for the maintenance and integrity of the 
Company’s website. Legislation in the United Kingdom governing the 
preparation and dissemination of financial statements may differ from 
legislation in other jurisdictions. Walker Greenbank PLC 
Annual Report and Accounts 2009
19
Accounts
Independent Auditors’ Report 
To the members of Walker Greenbank PLC
We have audited the Group financial statements of Walker Greenbank 
PLC for the year ended 31 January 2009 which comprise the 
Consolidated Income Statement, the Consolidated Statement of 
Recognised Income and Expense, the Consolidated Balance Sheet, 
the Consolidated Cash Flow Statement, and the related notes to the 
Consolidated Accounts. These group financial statements have been 
prepared under the accounting policies set out therein.
We have reported separately on the parent company financial 
statements of Walker Greenbank PLC for the year ended 31  
January 2009. 
Respective responsibilities of directors and auditors
The directors’ responsibilities for preparing the Annual Report and the 
group 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 group financial statements 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 group financial statements 
give a true and fair view and whether the group financial statements have 
been properly prepared in accordance with the Companies Act 1985. We 
also report to you whether in our opinion the information given in the 
Directors’ Report is consistent with the group financial statements. The 
information given in the Directors’ Report includes that specific information 
presented in the Chairman’s Statement, the Chief Executive’s Review, and 
the Financial Review that is cross referred from the Business Review 
section of the Directors’ Report.
In addition we report to you if, in our opinion, 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 read other information contained in the Annual Report and 
consider whether it is consistent with the audited group financial 
statements. The other information comprises only the Highlights from 
2009, the Chairman’s Statement, the Chief Executive’s Review, the 
Financial Review, the information on Directors and Advisers, the 
Report of the Directors, the Statement of Directors’ Responsibilities 
and all of the other information listed on the contents page. We 
consider the implications for our report if we become aware of any 
apparent misstatements or material inconsistencies with the group 
financial statements. Our responsibilities do not extend to any  
other information.
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 group financial statements. It also includes an 
assessment of the significant estimates and judgments made by the 
directors in the preparation of the group financial statements, and of 
whether the accounting policies are appropriate to the group’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 group 
financial statements 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 group financial statements.
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 January 2009 and of its profit 
and cash flows for the year then ended;
the group financial statements have been properly prepared in  >
accordance with the Companies Act 1985; and
the information given in the Directors’ Report is consistent with the  >
group financial statements.
PricewaterhouseCoopers LLP
Chartered Accountants and Registered Auditors
East Midlands, UK
17 June 2009 Walker Greenbank PLC 
Annual Report and Accounts 2009
20
Consolidated Income Statement
Year ended 31 January 2009
       2009 2008 
      Note £000 £000
Revenue      4 63,698 62,448
   
Operating profit      4–6 3,561 3,961
   
Net defined benefit pension (charge)/income      7 (79) 119
Net finance costs      8 (669) (906)
Amortisation of issue costs      8 (26) (75)
       (774) (862)
Profit before taxation       2,787 3,099
Deferred tax – exceptional      11 (320) 5,101
Deferred tax – other      11 (788) –
Current taxation      11 (57) (29)
Total tax (charge)/credit      11 (1,165) 5,072
Profit for the year      25 1,622 8,171
Earnings per share – basic and diluted      12 2.96p 14.49p
All results arise from continuing operations 
The notes on pages 24 to 51 form an integral part of the consolidated financial statements. Walker Greenbank PLC 
Annual Report and Accounts 2009
21
Accounts
Consolidated Statement of Recognised Income and Expense
Year ended 31 January 2009
       2009 2008 
      Note £000 £000
Actuarial losses on scheme assets      22 (7,458) (1,364)
Changes in actuarial mortality assumptions      22 – (2,868)
Other actuarial gains on scheme liabilities      22 5,458 4,932
Currency translation differences      25 (350) 27
Cash flow hedges      25 (702) (110)
Reduction in deferred tax relating to pension liability due to rate reduction     – (110)
Recognition/(reduction) of deferred tax asset relating to pension scheme liability     211 (573)
Net expense recognised directly in equity       (2,841) (66)
Profit for the year       1,622 8,171
Total recognised (expense)/income for the year       (1,219) 8,105
The notes on pages 24 to 51 form an integral part of the consolidated financial statements.  Walker Greenbank PLC 
Annual Report and Accounts 2009
22
Consolidated Balance Sheet
At 31 January 2009
       2009 2008 
      Note £000 £000
Non-current assets
Intangible assets      13 5,877 5,833
Property, plant and equipment      14 8,734 8,991
Deferred income tax assets      15 5,158 6,055
Trade and other receivables      16 12 253
       19,781 21,132
Current assets
Trade and other receivables      16 12,552 13,475
Inventories      17 13,887 12,546
Cash and cash equivalents      18 1,050 2,017
       27,489 28,038
Total assets       47,270 49,170
Current liabilities
Trade and other payables      19 (15,118) (15,546)
Derivative financial instruments      20 (812) (110)
Borrowings      21 (400) (400)
       (16,330) (16,056)
Net current assets       11,159 11,982
Non-current liabilities
Borrowings      21 (6,868) (8,906)
Retirement benefit obligation      22 (4,161) (3,409)
       (11,029) (12,315)
Total liabilities       (27,359) (28,371)
Net assets       19,911 20,799
Equity
Share capital      24 590 590
Share premium account      25 457 457
Foreign currency translation reserve      25 (340) 10
Retained earnings      25 (20,491) (20,655)
Other reserves      25 39,695 40,397
Total equity       19,911 20,799
The notes on pages 24 to 51 form an integral part of the consolidated financial statements.
J D Sach A N Dix 
Director Director 
These accounts were approved by the Directors on 17 June 2009. Walker Greenbank PLC 
Annual Report and Accounts 2009
23
Accounts
Consolidated Cash Flow Statement
Year ended 31 January 2009
       2009 2008 
      Note £000 £000
Cash flows from operating activities
Cash generated from operations      27 3,536 4,623
Interest paid       (704) (956)
Debt issue costs       – (123)
Interest received       35 5
Income tax paid       (37) (7)
       2,830 3,542
Cash flows from investing activities
Purchase of intangible fixed assets       (420) (365)
Purchase of property, plant and equipment       (1,267) (1,309)
Proceeds on sale of property, plant and equipment       7 3
       (1,680) (1,671)
Cash flows from financing activities
Purchase of treasury shares       (83) (612)
Proceeds from borrowings       – 11,296
Repayment of borrowings       – (11,296)
Net repayment of borrowings       (2,064) (1,315)
       (2,147) (1,927)
Net (decrease)/increase in cash, cash equivalents and bank overdrafts      (997) (56)
Cash, cash equivalents and bank overdrafts at beginning of year     2,017 2,065
Exchange gains on cash and bank overdrafts       30 8
Cash, cash equivalents and bank overdrafts at end of year     28 1,050 2,017
The notes on pages 24 to 51 form an integral part of the consolidated financial statements. Walker Greenbank PLC 
Annual Report and Accounts 2009
24
Notes to the Consolidated Accounts
1. Accounting policies and general information
General information
Walker Greenbank PLC is a luxury interior furnishings group whose brands include Harlequin, Sanderson, Morris & Co. and Zoffany. The brands 
are targeted at the mid to upper end of the premium market. They have worldwide distribution including prestigious showrooms at Chelsea 
Harbour, London and the D&D building, Manhattan, New York. Half of the brand’s turnover is sourced in-house from the Group’s own specialist 
manufacturing facilities of Standfast & Barracks, the fabric printing business situated in Lancaster, and Anstey Wallpaper Company situated in 
Loughborough. The manufacturing businesses produce for other interior furnishing businesses both in the UK and throughout the world. The 
Company is a public limited company which is listed on the Alternative Investment Market of the London Stock Exchange and is registered and 
domiciled in the UK. 
Basis of preparation
The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as adopted by 
the European Union and International Financial Reporting Interpretation Committee (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 valuation of derivative financial instruments at fair value, on a going concern basis and with the accounting policies set out 
below which have been consistently applied to all periods presented unless otherwise indicated. 
In preparing these financial statements the Group has applied the IFRS adopted by the European Union and the IFRIC interpretations where the 
effective date is relevant to the financial year commencing on 1 February 2008 or ending 31 January 2009. 
Since the Group’s previous annual financial report for the year ended 31 January 2008 the following pronouncements are now effective and have 
been adopted by the Group:
IFRIC 11 ‘Group and treasury transactions’. >
Amendment to IAS 39 ‘Financial instruments: Recognition and measurement’ and IFRS 7 ‘Financial instruments: Disclosures’ on the  >
‘Reclassification of financial assets’ (reclassifications after 1 July 2008).
The pronouncements above have had no impact on these consolidated financial statements.
The Group has not applied the following pronouncements for which adoption is not mandatory for the year ending 31 January 2009 and/or which 
have not yet been endorsed by the EU. The Group has not concluded its evaluation of the impact of these pronouncements but at this stage does 
not expect there to be any material impact on operating profit or cash flow.
(i)  Standards, amendments and interpretations effective for the year ending 31 January 2009 but which have not yet been endorsed by 
the EU:
IFRIC 14 ‘The limit on a defined benefit asset, minimum funding requirements and their interaction’ (effective for years commencing on or after  >
1 January 2008 but EU endorsed for years commencing on or after 1 January 2009).
(ii)  Standards, amendments and interpretations which have been endorsed by the EU but are not yet mandatory and have not been 
early adopted for the year ending 31 January 2009:
IAS 1 (revised) ‘Presentation of financial statements’ >
IAS 23 (revised 2007) ‘Borrowing costs’ >
Amendment to IAS 32 ‘Financial Instruments: Presentation’ and IAS1 ‘Presentation of financial statements’ on ‘Puttable financial instruments  >
and obligations arising on liquidation’
Amendment to IFRS 1 ‘First time adoption of IFRS’ and IAS 27 ‘Consolidated and separate financial statements’ on the ‘Cost of an investment  >
in a subsidiary, jointly controlled entity or associate’
Amendment to IFRS 2 ‘Share based payments’ on ‘Vesting conditions and cancellations’ >
IFRS 8 ‘Operating segments’ >
IFRIC 12 ‘Service concession arrangements’ >
IFRIC 13 ‘Customer loyalty programmes relating to IAS 18, Revenue’ >
Annual improvements to IFRS (2007) >
(iii)  Standards, amendments and interpretations which have not yet been endorsed by the EU and which are not yet effective for the 
year ending 31 January 2009:
IAS 27 (revised) ‘Consolidated and separate financial statements’ >
Amendment to IAS 39 ‘Financial Instruments: recognition and measurement’ on ‘Eligible hedged items’ >
IFRS 1 (revised) ‘First time adoption of IFRS’ >
IFRS 3 (revised) ‘Business combinations’ >
Amendment to IFRS 7 ‘Financial instruments: Disclosures’ > Walker Greenbank PLC 
Annual Report and Accounts 2009
25
Accounts
1. Accounting policies and general information continuedd
Amendment to IFRIC 9 and IAS 39 regarding ‘Embedded derivatives’ >
IFRIC 15 ‘Agreements for construction of real estates’ >
IFRIC 16 ‘Hedges of a net investment in a foreign operation’ >
IFRIC 17 ‘Distributions of non-cash assets to owners’ >
IFRIC 18 ‘Transfers of assets from customers’ >
The preparation of financial statements in conformity with IFRS requires the use of certain critical accounting estimates. It also requires 
management to exercise its judgement in the process of applying the Group’s accounting policies. The areas involving a higher degree of 
judgement or complexity, or areas where assumptions and estimates are significant to the consolidated financial statements, are disclosed in 
note 3.
The financial statements of the Company as an entity continue to be prepared under United Kingdom Generally Accepted Accounting Practice 
and are presented separately from the consolidated financial statements (pages 53 to 61).
Basis of consolidation
The consolidated financial information incorporates the financial statements of the Company and all its subsidiary undertakings made up to  
31 January each year. Subsidiaries are entities where the Company has the power to govern the financial and operating policies, generally 
accompanying a shareholding of more than one half of the voting rights. The existence and effect of potential voting rights that are currently 
exercisable or convertible are considered when assessing whether the Group controls another entity.
The results of subsidiaries acquired or disposed of during the year are included in the Consolidated Income Statement from the effective date on 
which control is transferred to or from the Group, as appropriate.
Where necessary, adjustments are made to the financial statements of subsidiaries to bring accounting policies used into line with those used by 
the Group.
The acquisition of subsidiaries is accounted for using the purchase method. The cost of the acquisition is measured as the aggregate of the fair 
values, at the date of exchange, of the assets given, liabilities incurred or assumed, and equity instruments issued by the Group, in exchange for 
control of the acquirer. The identifiable assets, liabilities and contingent liabilities assumed in a business combination are measured initially at their 
fair values at the acquisition date, except for non-current assets (or disposal groups) that are classified as held for sale in accordance with IFRS5 
‘Non Current Assets Held for Sale and Discontinued Operations’, which are recognised and measured at fair value less costs to sell.
Goodwill arising on acquisition is recognised as an asset and initially measured at cost, being the excess of the fair value of the consideration for 
the business combination over the Group’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised. If, 
after reassessment, the Group’s interest in the net fair value of the acquirer’s identifiable assets, liabilities and contingent liabilities exceeds the 
cost of the business combination, the excess is recognised immediately in the income statement.
All inter-company transactions and balances are eliminated on consolidation. Profits and losses resulting from inter-company transactions that are 
recognised in assets, such as inventory, are eliminated in full. Unrealised losses are also eliminated unless the transaction provides evidence of an 
impairment of the assets transferred.
Foreign currencies
For the purpose of the consolidated financial statements, the results and financial position are expressed in sterling, which is the functional 
currency of the Company, and the presentation currency for the consolidated financial statements.
Transactions in foreign currencies, which are those other than the functional currency of an entity, are recorded at the rate ruling at the date of the 
transaction. Monetary assets and liabilities denominated in foreign currency are translated at the balance sheet date. All unhedged exchange 
differences are recognised in the income statement for the period and classified as other operating income or charges.
The assets and liabilities of the Group’s overseas subsidiaries on consolidation are translated at the rates of exchange ruling at the balance sheet 
date. The income and expenses are translated at the weighted average rate during the period. Differences on translation are recognised in a 
separate foreign currency translation reserve within equity. On disposal of an overseas subsidiary, the cumulative exchange differences for that 
subsidiary are recognised in the income statement as part of the profit or loss on disposal.
Intangible assets – Goodwill
Goodwill arising on acquisition is initially measured at cost, being the excess of the fair value of the consideration for the acquisition over the 
Group’s interest in the net fair value of the acquired entity’s identifiable assets and liabilities at the date of acquisition. Goodwill is not amortised, 
but reviewed for impairment annually, any impairment is recognised immediately in the income statement and is not subsequently reversed. 
Goodwill is allocated to cash-generating units for the purpose of impairment testing. The allocation is made to those cash-generating units that 
are expected to benefit from the business combination in which the goodwill arose.
On disposal of a subsidiary or cash generating unit the attributable amount of goodwill is included in the determination of the profit or loss  
on disposal. Walker Greenbank PLC 
Annual Report and Accounts 2009
26
1. Accounting policies and general information continuedd
Intangible assets – Archive 
The Arthur Sanderson and William Morris archive comprises a historic record of unique designs that are used to generate a significant royalty 
income in the business. The archive is valued at a historical cost. The Directors believe that the archive has an indefinite useful life and is therefore 
not subject to amortisation. The carrying value of this asset will be reviewed annually and provision made for any impairment in the carrying value 
if required.
Intangible assets – Software assets
Acquired computer software licences are capitalised at the cost incurred to bring the asset into use, including where relevant directly attributable 
internal costs incurred in preparing the software for operation. The costs are amortised to their estimated residual value over their estimated 
useful life which range from three to six years.
Intangible assets – Collection design
Research expenditure is recognised as an expense as incurred. Costs incurred on development projects relating to the design of new collections 
are recognised as intangible assets when the following criteria are fulfilled:
It is technically feasible to complete the new collection so that it will be available for use or sale. >
Management intends to complete the new collection and use it or sell it. >
There is an ability to use or sell the new collection. >
It can be demonstrated how the new collection will generate probable future economic benefits. >
Adequate technical, financial and other resources to complete the development and to use or sell the new collection are available. >
The expenditure attributable to the new collection during its development can be reliably measured. >
Any costs relating to design of new collections that do not meet these criteria are recognised as an expense as incurred. Any such costs 
recognised as an expense in previous periods are not recognised as an asset in a subsequent period. Capitalised collection design costs are 
recognised as intangible assets and are amortised to their estimated residual value at 25% on a straight-line basis over the life of the asset, and 
are tested for impairment if any impairment trigger events are identified in accordance with IAS 36.
Property, plant and equipment
Property, plant and equipment are stated at historical cost less accumulated depreciation and any recognised impairment loss. Historical cost 
comprises the purchase price and costs directly incurred in bringing the asset into use. The assets residual values and useful lives are reviewed 
annually and adjusted if appropriate, at each balance sheet date.
Depreciation is charged on a straight-line basis on the original costs (excluding freehold land) after deduction of any estimated residual value. The 
principal annual rates are:
Freehold buildings 2%
Leasehold improvements Over the length of the lease
Plant, equipment and vehicles  Between 5% and 33%
Computer assets 33%
Government grants received for property, plant and equipment are classified within the cost of property, plant and equipment and released to the 
income statement over the life of the asset. 
Impairment of non-financial assets
Intangible assets with finite useful lives and property, plant and equipment are tested for impairments if events or changes in circumstances 
(assessed at each reporting date) indicate that the carrying amount may not be recoverable. When an impairment test is conducted, the 
recoverable amount is assessed by reference to the higher of the value in use (net present value of expected future cash flows of the relevant 
cash generating unit), or the fair value less cost to sell.
Goodwill and other intangible fixed assets with an indefinite useful life are tested for impairment at least annually. 
If a cash generating unit is impaired, provision is made to reduce the carrying amount of the related assets to their estimated recoverable amount. 
Impairment losses are allocated firstly against goodwill, and secondly on a pro rata basis against intangible and other assets.
Non-financial assets other than goodwill that suffer impairment are reviewed for possible reversal of the impairment at each reporting date.
Inventories
Inventories are stated at the lower of cost and net realisable value. Cost comprises direct materials, on a first-in, first-out basis, and direct labour, 
plus attributable production overheads based on a normal level of activity. Net realisable value is based on estimated selling prices less 
anticipated costs of disposal. Provision is made for any slow moving and obsolete inventory.
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
27
Accounts
1. Accounting policies and general information continuedd
Marketing materials
Marketing materials consist of patterning books and other marketing assets that will be used to support the sale of the Group’s products. They 
are recognised at the lower of cost and net realisable value. Cost comprises direct materials plus costs of production. Net realisable value is 
based on estimated recoveries less anticipated costs of disposals. An impairment allowance is made for any slow moving and obsolete marketing 
materials. The Group’s policy is to classify marketing materials on the balance sheet within trade and other receivables. 
Financial assets and liabilities – measurement basis
Financial assets and liabilities are recognised on the date on which the Group becomes a party to the contractual provisions of the instrument 
giving rise to the asset or liability. Financial assets and liabilities are initially recognised at fair value plus transaction costs. Any impairment of a 
financial asset is charged to the consolidated income statement when incurred. Financial assets are derecognised when the Group’s rights to 
cash inflows from the asset expire: financial liabilities are derecognised when the contractual obligations are discharged, cancelled or expire.
Non-derivative financial assets are classified according to the purpose for which the asset was acquired. The Group’s financial assets are 
classified as either:
‘trade and other receivables’ – these are non derivative financial assets with fixed or determinable payments that are not quoted in an active  >
market. They arise when the Group provides goods directly to a debtor, or advances money, with no intention of trading the loan or receivable. 
Subsequent to initial recognition loans and receivables are included in the balance sheet at amortised cost using the effective interest method 
less any amounts written off to reflect impairment, with changes in carrying amount recognised in the consolidated income statement within 
administrative expenses. 
‘cash and cash equivalents’ – these comprise of deposits with an original maturity of three months or less with banks and financial institutions,  >
bank balances, bank overdrafts and cash in hand.
A provision for impairment of trade and other receivables is established when there is objective evidence that the Group will not be able to collect 
all amounts due according to the original terms of the receivables. Significant financial difficulties of the debtor, probability that the debtor will 
enter bankruptcy or financial reorganisation, and default or delinquency in payments are considered indicators that the trade receivable may be 
impaired. The amount of the provision is the difference between the asset’s carrying amount and the net present value of estimated future cash 
flows, discounted at the original effective interest rate. The carrying amount of the asset is reduced through the use of provision account, and the 
amount of the loss is recognised in the income statement within administrative expenses. When a trade receivable is uncollectible, it is written off 
against the provision account for trade receivables. Subsequent recoveries of amounts previously written off are credited against administrative 
expenses in the income statement.
The Group’s non-derivative financial liabilities are classified as ‘Other liabilities’. ‘Other liabilities’ are financial liabilities with fixed or determinable 
payments that are not quoted in an active market. They arise when the Group receives goods or services directly from a creditor or supplier, or 
borrows money, with no intention of trading the liability. This category includes:
‘trade and other payables’ – these are typically non-interest bearing and following initial recognition are included in the balance sheet at  >
amortised cost;
‘bank loans and overdrafts’ – these are initially recorded at fair value based on proceeds received net of issue costs. Finance charges are  >
accounted for on an accruals basis and charged to the Consolidated Income Statement using the effective interest rate method;
‘borrowings’ – these are recorded initially at the fair value, net of direct issue costs, and are subsequently stated at amortised cost. Finance  >
charges, including premiums payable on settlement, or redemption and direct issue costs, are accounted for on an accruals basis in the 
income statement, using the effective interest method, and are included within the carrying amount of the instrument to the extent that they 
are not settled in the period in which they arise.
The Group does not have any non-derivative financial assets or liabilities classified as ‘at fair value through profit and loss’.
Derivative financial instruments and hedge accounting – measurement basis 
The Group’s activities expose it to the financial risks of changes in exchange rates, and the Group uses forward exchange rate contracts to 
manage these exposures. The use of derivative financial instruments is governed by the Group’s policies approved by the Board of Directors, 
which provide written principles on the use of derivative financial instruments.
The Group documents at the inception of the transaction the relationship between hedging instruments and hedged items. The Group also 
documents its assessment, both at hedge inception and on an ongoing basis, of whether the derivatives that are used in hedging transactions 
are highly effective in offsetting changes in fair values or cash flows of hedge items. The effective portion of changes in the fair value of derivatives 
that are designated and qualify as cash flow hedges is recognised in equity. The gain or loss relating to the ineffective portion is recognised 
immediately in the income statement within ‘other gains/(losses) – net’. Amounts accumulated in equity are released to the income statement 
when the hedged item effects the income statement. 
Derivatives that do not qualify for hedge accounting under IAS 39 are classified as ‘financial assets or liabilities at fair value through the profit or 
loss’. They are initially recognised at fair value, with fair value being remeasured at each reporting date. The fair value of the derivative is based on 
market price of comparable instruments at the balance sheet date. Changes in fair value are included in the consolidated income statement within 
finance costs.  Walker Greenbank PLC 
Annual Report and Accounts 2009
28
1. Accounting policies and general information continuedd
The Group has no embedded derivatives that are not closely related to the host instrument.
Cash and cash equivalents
Cash and cash equivalents represent only liquid assets with original maturity of 90 days or less. Cash and cash equivalents include cash in hand, 
deposits held at call with banks and bank overdrafts. Bank overdrafts that cannot be offset against other cash balances are shown within 
borrowings in current liabilities on the balance sheet.
For the purposes of the cash flow statement it is the Group’s policy to classify interest income and expense, and other finance costs, within ‘cash 
flows from operating activities’. 
Provisions
Provisions are recognised when the Group has a present obligation as a result of a past event and it is probable that the Group will be required to 
settle that obligation. Provisions are measured at the Directors’ best estimate of the expenditure required to settle the obligation at the balance 
sheet date, and are discounted to present value where the effect is considered material.
Leases
Leases are classified as finance leases where the terms of the lease transfer substantially all the risks and rewards of ownership to the Group. All 
other leases are classified as operating leases.
Assets used by the Group which have been funded through finance leases are capitalised in property, plant and equipment and the resulting lease 
obligations are included in liabilities. The assets are depreciated over their useful lives and the interest element of the rental obligations is charged to 
the income statement over the period of the lease, and represents a constant proportion of the balance of capital repayments outstanding.
Operating lease rentals are charged to the income statement on a straight-line basis over the period of the lease. Rent free periods receivable on 
entering an operating lease are released on a straight-line basis over the term of the lease. 
Employee benefits – Pension obligations 
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. 
For defined benefit retirement schemes, the funding of benefits is determined using the Projected Unit Credit Method, with full actuarial valuations 
being carried out triennially.
Actuarial gains and losses are recognised in full in the period in which they occur. They are recognised outside the income statement and 
presented in the statement of recognised income and expense. 
Past service costs are recognised immediately to the extent that the benefits are already vested, and otherwise are amortised on a straight-line 
basis over the average period until the benefits become vested.
The retirement benefit obligation recognised in the balance sheet represents the present value of the defined benefit obligation as adjusted for 
unrecognised service cost, and as reduced by the fair value of the scheme assets. Any asset resulting from this calculation is limited to past 
service cost, plus present value of available refunds and reductions in future contributions to the plan.
The defined benefit obligation is calculated annually by qualified independent actuaries using the projected unit credit method.
Scheme expenses met by the Group, expected returns on plan assets, and interest on pension scheme liabilities are classified within ‘Net defined 
benefit pension costs’ on the consolidated income statement. 
Employee benefits – share based payments under long term incentive plans (LTIP)
The Group issues equity-settled share based payments to certain employees which must be measured at fair value and recognised as an 
expense in the income statement with a corresponding increase in equity. The fair values of these payments are measured at the dates of grant, 
taking into account the terms and conditions upon which the awards are granted. The fair value is recognised over the period during which 
employees become conditionally entitled to the awards, subject to the Group’s estimate of the number of awards which will lapse, either due to 
employees leaving the Group prior to vesting or due to non-market based performance conditions not being met. The total amount recognised in 
the income statement as an expense is adjusted to reflect the actual number of awards that vest.
Employee benefits – short-term bonus plans
The Group recognises a liability and an expense for bonuses where contractually obliged or where there is a past practice that has created a 
constructive obligation. 
Share capital
Ordinary shares are classified as equity. Costs directly attributable to the issue of new ordinary shares are shown in equity as a deduction, net of 
tax, from the proceeds.
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
29
Accounts
1. Accounting policies and general information continuedd
Treasury shares
Consideration paid including any directly attributable incremental costs (net of income taxes) on the purchase of the Company’s equity share 
capital (treasury shares) is deducted from equity attributable to the Company’s equity holders until the shares are cancelled or reissued. Where 
such shares are subsequently reissued, any consideration received, net of any directly attributable incremental transaction costs and the related 
income tax effects is included in equity attributable to the Company’s equity shareholders.
Revenue
The Group revenue is measured at fair value of the consideration received or receivable and represents amounts recoverable by the Group for 
goods and services provided in the normal course of business, net of discounts, VAT and other sales related taxes. Revenue comprises:
Sale of goods – sales of goods are recognised when the Group has transferred to the buyer the significant risks and rewards of ownership,  >
which is usually at the point of delivery of the goods.
Royalty revenue – royalties are received from licence holders under the terms of various agreements, and are recognised on an accruals basis  >
in accordance with the substance of the relevant agreement.
Exceptional items
Items that are both material and whose nature is sufficient to warrant separate disclosure and identification are disclosed within the financial 
statements and classified within their relevant income statement category. 
Taxation including deferred tax
The tax expense represents the sum of the current tax and deferred tax charges or credits. 
Current tax is based on the taxable profit for the year. Taxable profits differs from the net profit as reported in the income statement because 
it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or 
deductible. The Group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the balance  
sheet date. 
Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts of assets and liabilities in the financial 
statements and the corresponding tax bases used in the computation of taxable profit and is accounted for using the balance sheet liability 
method. Deferred tax liabilities are generally recognised for all taxable temporary differences and deferred tax assets are recognised to the extent 
that it is probable that taxable profits will be available against which deductible temporary differences can be utilised. Such assets and liabilities 
are not recognised if the temporary difference arises from goodwill or from the initial recognition (other than in a business combination) of other 
assets and liabilities in a transaction that effects neither the tax profit nor the accounting profit.
IAS 12 Income taxes requires that the measurement of deferred tax should have regard to the tax consequences that would follow from the 
manner of expected recovery or settlement at the balance sheet date of the carrying amount of its assets and liabilities. In calculating its deferred 
tax liability the Group’s policy is to regard the depreciable amount of the carrying value of its property, plant and equipment to be recovered 
through continuing use in the business, unless included within assets held for resale, where the policy is to regard the carrying amount as being 
recoverable through sale.
Deferred tax liabilities are recognised for taxable temporary differences arising on investments in subsidiaries except where the Group is able to 
control the reversal of the temporary difference and it is probable that the temporary difference will not reverse in the foreseeable future.
The carrying amount of deferred tax assets is reviewed at each balance sheet date and reduced to the extent that it is no longer probable that 
sufficient taxable profits will be available to allow all or part of the asset to be recovered.
Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax 
is charged or credited in the income statement, except when it relates to items charged or credited directly to equity, in which case the deferred 
tax is also dealt with in equity.
Segmental reporting
Walker Greenbank is a designer, manufacturer and distributor of furnishings, fabrics and wallpaper. The Group predominantly manages its 
operations as two business segments which are the brands and manufacturing. 
A business segment is a group of assets and operations engaged in providing products or services that are subject to risks and returns that are 
different to those of other business segments. A geographical segment is engaged in providing products and services within a particular economic 
environment that are subject to risks and returns which are different from those of segments operating in other economic environments.
Interest received
Interest income is accrued on a time basis, by reference to the principal outstanding and at the effective interest rate applicable. Walker Greenbank PLC 
Annual Report and Accounts 2009
30
2. Financial risk management 
The Group’s activities expose it to a variety of financial risks: market risk (including currency risk, fair value interest rate risk, cash flow interest rate 
risk and price risk), credit risk and liquidity risk. The Group’s overall risk management programme focuses on the unpredictability of financial 
markets and seeks to minimise potential adverse effects on the Group’s financial performance. The Group uses derivative financial instruments to 
hedge certain risk exposures.
Risk management is carried out at Board level under policies approved by the Board of Directors. Executive Directors identify, evaluate and 
hedge financial risks in close co-operation with the Group’s operating units. 
Foreign exchange risk
The Group operates internationally and is exposed to foreign exchange risk arising from various currency exposures, primarily with respect to the 
US dollar and the euro. Foreign exchange risk arises when future commercial transactions or recognised assets or liabilities are denominated in a 
currency that is not the entity’s functional currency.
The Group’s policy is, where possible to allow the Group entities to settle liabilities in their functional currency with the cash generated from their 
operations in that currency. Where the Group entities have liabilities denominated in a currency other than their functional currency (and have 
insufficient reserves of that currency to settle them) cash already denominated in that currency will, where possible be transferred from elsewhere 
in the Group.
To manage the foreign exchange risk arising on future transactions, it is the Group’s policy to enter into forward currency contracts to hedge  
the exposure.
 
For the year ended 31 January 2009, the average sterling to US dollar translation rate applied by the Group including the impact of hedging 
contracts was £1:US $2.06. If the rate had been £1:US $1.96 lower with all other variables held constant, profit before tax would have been higher 
by £127,000. If the rate had been £1:US $2.16 higher with all other variables held constant, profit before tax would have been lower  
by £115,000. 
For the year ended 31 January 2009, the average sterling to euro translation rate applied by the Group was £1:euro 1.24. If the rate had been 
£1:euro 1.14 lower with all other variables held constant, profit before tax would have been lower by £381,000. If the rate had been £1:euro 1.34 
higher with all other variables held constant, profit before tax would have been higher by £324,000. 
The sensitivity of movements in other currencies is not considered material to the performance of the Group. 
Interest rate risk
As the Group has no significant interest bearing assets its revenue and cash generated from operations are substantially independent of changes 
in market interest rates. 
The Group’s interest rate risk arises from long-term borrowings. Borrowings issued at variable rates expose the Group to cash flow interest rate 
risk. The Group’s borrowings at variable rate are denominated in UK pounds or euros. The Group regularly analyses its interest rate exposure 
calculating the impact on profit and loss of a defined interest rate shift. Based on the calculations the Board consider refinancing, renewal of 
existing positions, alternative financing and hedging. 
In July 2007 the Group entered into a new financing contract with Barclays Bank PLC, variable interest rates were negotiated on all the loans. The 
Board continues to monitor the interest rates monthly.
For the year ended 31 January 2009, had benchmark interest rate levels been 0.5% higher/lower than actual experience, with all other variables 
held constant, the profit before tax of the Group would have been lower/higher by £62,000 due to the change in interest rate expense on variable 
rate borrowings. 
Credit risk
Credit risk arises from the Group’s trade receivables, cash held with banks, and derivative financial instruments. It is the risk that the counterparty 
fails to discharge its obligation in respect of the instrument.
The Group does not have any significant credit risk exposure to any single company or group of companies, as the nature of the Group’s 
operations mean that trade receivables consist of a large number of customers spread across diverse industries and geographical areas. 
Prior to accepting new customers an independent credit check is obtained. Based on this information individual credit limits and payment terms 
are established and where appropriate credit guarantee insurance cover is sought. If no independent credit ratings are available, customers are 
asked to pay on a proforma basis until creditworthiness can be established. The utilisation of credit limits is regularly monitored. Credit limits may 
only be exceeded with the authorisation from key management, this is dependent on the amount expected to exceed the limit and the Group’s 
trading history with that customer.
There is no difference between the carrying amount and the maximum credit risk exposure.
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
31
Accounts
2. Financial risk management continued
Liquidity risk
Liquidity risk arises from the Group’s management of working capital and the finance charges and principal repayments on its debt instruments. It 
is the risk that the Group will encounter difficulty in meeting its financial obligations as they fall due. The maturity profile of the Group’s debt and 
other financial liabilities is disclosed in note 21.
During the year the Group had facilities with Barclays Bank PLC. A significant element of the facility is linked to working capital, which allows the 
Group to manage its cash more effectively during the seasonal fluctuations in working capital associated with the industry. This element of the 
facility is due to expire in July 2010.
Management monitors rolling forecasts of the Group’s cash and loan facility on a monthly basis. The Group ensures that it has adequate facilities 
available to cover both its short-term and medium-term commitments. In addition, the Group’s liquidity management policy is to project cash 
flows in major currencies and consider the level of liquid assets necessary to meet these.
 
Capital risk management
The Group’s objectives when managing capital are:
to safeguard the entities ability to continue as a going concern, so that it can provide returns for shareholders and benefits for other  >
stakeholders; and
to provide an adequate return for shareholders by pricing products and services commensurately with the level of risk. >
The Group sets the amount of capital in proportion to risk. The Group manages the capital structure and makes adjustments to it in light of 
changes in economic conditions and the risk characteristics of the underlying assets. In order to maintain or adjust the capital structure, the 
Group may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares, buy back issued shares, or sell 
assets to reduce debt.
The Group monitors capital on the basis of the average net debt to adjusted capital ratio (or ‘gearing ratio’). The ratio is calculated as average net 
debt divided by adjusted capital. Average net debt is calculated as the total debt less cash and cash equivalents during the year. Adjusted capital 
comprises all components of equity (i.e. share capital, share premium, retained earnings, and other reserves) other than amounts recognised in 
equity relating to cash flow hedges and forward currency contracts.
During the year to 31 January 2009, the Group’s strategy, which was unchanged from the previous year, was to reduce the average gearing ratio. 
The average gearing ratios for 2009 and 2008 were as follows:
       31 January 31 January 
        2009 2008 
Year ended       £000 £000
Average net debt        11,233 10,777
  
Total equity       19,911 20,799
  
Less: amounts recognised in equity relating to currency contracts      812 110
  
Adjusted capital       20,723 20,909
  
Average net debt to adjusted capital ratio       54% 52%
Year end net debt to adjusted capital ratio       31% 35%
The Group considers the average debt to adjusted equity ratio to be too high currently, and will continue to reduce debt and the pension deficit by 
cash generated from operations until the ratio is at a level considered appropriate.
The gearing ratio at the year end is lower than the average gearing ratio as the level of trade debtors is lower at the year end than the average 
during the year due to the seasonal nature of trading in the months of December and January.
Fair value estimation
The fair value of forward foreign exchange contracts is determined using quoted forward exchange rates at the balance sheet date provided by 
relationship banks.
The carrying value less impairment provision of trade receivables and payables and cash and cash equivalents are assumed to approximate their 
fair values.  Walker Greenbank PLC 
Annual Report and Accounts 2009
32
3. Critical accounting estimates and assumptions
The Group makes estimates and assumptions concerning future events. The resulting accounting estimates will seldom precisely equal the 
related actual results. The Group applies its best endeavours in setting accounting estimates, and uses historical experience and other factors, 
including input from experienced and specialist management. Estimates and assumptions are continually re-evaluated and the resulting 
accounting balances updated as new information including actual outcomes become apparent. 
The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within 
the next financial year are discussed below. 
a) Retirement benefit obligations
The Group recognises its obligations to employee retirement benefits. The quantification of these obligations is subject to significant estimates 
and assumptions regarding life expectancy, discount and inflation rates, wage and salary changes, the rate of increase in pension payments, and 
the market values of equities, bonds and other pension assets. In making these assumptions the Group takes advice from a qualified actuary 
about which assumptions reflect the nature of the Group’s obligations to employee retirement benefits. The assumptions are regularly reviewed to 
ensure their appropriateness. 
The Group determines the appropriate discount rate at the end of each year. This is the interest rate that should be used to determine the present 
value of estimated future cash outflows expected to be required to settle pension obligations. In determining the appropriate discount rate, the 
Group considers the interest rates of high quality corporate bonds that are denominated in the currency in which the benefits will be paid, and 
that have terms to maturity approximating the terms of the related pension liability. Details of the estimates and assumptions applied, and carrying 
amounts of retirement benefit obligations and pension assets, are set out in note 22.
b) Impairment of non-financial assets
The Group tests annually whether goodwill or its indefinite life intangible asset has suffered any impairment, in accordance with its accounting 
policy. The recoverable amounts of cash generating units have been determined based on value in use (VIU) calculations. These calculations 
require use of estimates of future sales, margins, and other operating and administrative expenses, and of discount rates. Further disclosures 
relating to the estimates and assumptions applied, and carrying amounts of the non-financial assets, are set out in note 13.
The Group makes provision for impairment in the carrying amount of its inventories and marketing materials. The nature of the Group’s products 
are exposed to changes in taste and attitudes from time to time, which can affect the demand for those products. The Group has skilled and 
experienced management who utilise historical sales information, and exercise their judgement, in making estimates about the extent of 
provisions necessary based on the realisable value of inventory and expected future benefit to the Group of marketing materials taking into 
account the estimated price and volume of future sales or usage less the further costs of sale and holding costs. Further disclosures relating to 
the effect on the income statement of the establishment and reversal of such provisions against inventory are included in note 6. Details of the 
carrying amount of marketing materials is disclosed in note 16 and of inventories in note 17. 
c) Deferred tax recognition
Following the completion of the Group’s recovery programme and return to sustained profitability over recent years, the Group has considered it 
appropriate to recognise at the balance sheet date deferred tax assets resulting from historical trading losses. The amount of deferred tax 
recognised is based on estimates of the timing and amount of future taxable profits of companies within the Group, which in turn relies upon 
estimates of future operating profits and the occurrence, timing and tax treatment of significant items of income and expenditure including 
contributions to pension schemes and the vesting of share based payment awards. Further disclosures relating to the effect on the income 
statement of the recognition of deferred tax assets are included in note 11, and the amount of deferred tax asset recognised and other relevant 
disclosures are included in note 15. 
d) Share based payment awards
The Group has granted awards to Executive Directors and Senior Management which include vesting conditions relating to the future financial 
performance of the Group as measured by Profit before tax (PBT). The number of awards that will ultimately vest, if any, varies based on the PBT 
achieved by the Group in the years ending 31 January 2009 and 2011 and the continued employment of award recipients. The PBT target for the 
year ending 31 January 2009 has been achieved. The fair value of the awards granted is charged against the income statement over the vesting 
period; the amount of that charge is dependent upon the Group’s estimates of how many awards will ultimately vest, which is linked directly to its 
estimates regarding future PBT achievement. Further disclosures relating to the effect on the financial statements of share awards is included in 
note 24. 
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
33
Accounts
4. Segmental analysis
Walker Greenbank is a designer, manufacturer and distributor of luxury interior furnishings, fabrics and wallpaper. The Group predominantly 
manages its operations as two segments which are the brands and manufacturing. Segmental information is also presented in respect of the 
Group’s geographical segments. Unallocated expenses predominantly relate to head office and other corporate functions, including long term 
incentive plan costs. This is the basis on which the Group presents its results: 
a) Primary reporting format – business segment
       Eliminations 
        and 
     Brands Manufacturing unallocated Total 
Year ended 31 January 2009     £000  £000 £000 £000
Revenue – external     50,735 12,963 – 63,698
Revenue – internal     – 10,992 (10,992) –
Total revenue     50,735 23,955 (10,992) 63,698
    
Operating profit     5,082 785 (2,306) 3,561
Financial costs     – – (695) (695)
Net pension charge     – – (79) (79)
Profit before tax     5,082 785 (3,080) 2,787
Tax     – – (1,165) (1,165)
Profit for the year     5,082 785 (4,245) 1,622
       Eliminations 
        and 
     Brands Manufacturing unallocated Total 
     £000  £000 £000 £000
Assets     29,496 15,841 1,933 47,270
Liabilities     (14,390) (5,003) (7,966) (27,359)
Total net assets     15,106 10,838 (6,033) 19,911
    
Capital expenditure – intangible assets     275 145 – 420
Capital expenditure – property, plant and equipment     475 632 – 1,107
Depreciation     730 733 7 1,470
Amortisation     358 18 – 376
Impairment losses – trade receivables     279 25 – 304
Reversal of prior period impairment losses – trade receivables    – (5) – (5)
Impairment losses – inventory     632 4 – 636
Reversal of prior period impairment losses – inventory     – (95) – (95)
Write off of marketing material products (refer note 5)     615 – – 615
Insurance proceeds receivable (refer note 5)     (465) – – (465)
Share based payment charges     – – 373 373
       Eliminations 
        and 
     Brands Manufacturing unallocated Total 
Year ended 31 January 2008     £000  £000 £000 £000
Revenue – external     48,206 14,242 – 62,448
Revenue – internal     – 10,570 (10,570) –
Total revenue     48,206 24,812 (10,570) 62,448
    
Operating profit     4,624 1,486 (2,149) 3,961
Financial costs     – – (981) (981)
Net pension income     – – 119 119
Profit before tax     4,624 1,486 (3,011) 3,099
Tax     – – 5,072 5,072
Profit for the year     4,624 1,486 2,061 8,171 Walker Greenbank PLC 
Annual Report and Accounts 2009
34
4. Segmental Analysis continued
       Eliminations 
       and 
     Brands Manufacturing unallocated Total 
     £000  £000 £000 £000
Assets     28,506 15,406 5,258 49,170
Liabilities     (13,463) (4,278) (10,630) (28,371)
Total net assets     15,043 11,128 (5,372) 20,799
    
Capital expenditure – intangible assets     273 92 – 365
Capital expenditure – property, plant and equipment     821 611 – 1,432
Depreciation     615 703 3 1,321
Amortisation     480 21 – 501
Impairment losses – trade receivables     38 84 – 122
Reversal of prior period impairment losses – trade receivables    (13) (53) – (66)
Impairment losses – inventory     734 25 – 759
Reversal of prior period impairment losses – inventory     – (15) – (15)
Share based payment charges     – – 429 429
Inter-segment transactions are entered into under the normal commercial terms and conditions that would also be available to unrelated  
third parties. 
Segment assets consist primarily of goodwill, intangible assets, property plant and equipment, trade and other receivables including inter-
segment receivables, and inventories. Segment liabilities consist primarily of trade and other payables including inter-segment payables. 
Unallocated assets and liabilities consists primarily of cash, deferred tax assets, borrowings, derivative financial instruments, and retirement 
benefit obligations and elimination of inter-segment balances. 
b) Secondary reporting format – geographical segments
       2009 2008 
Revenue by geographical location of customers       £000 £000
United Kingdom       41,026 41,540
Continental Europe       10,987 9,710
United States of America       7,893 7,927
Rest of the World       3,792 3,271
       63,698 62,448
The geographical segments have changed to reflect the strategic objectives of the Group. The 2008 comparative figures have been amended to 
reflect this new analysis.
       2009 2008 
Total assets by geographical segment       £000 £000
United Kingdom       44,955 47,436
Continental Europe       893 712
United States of America       1,422 1,022
       47,270 49,170
       2009 2008 
Capital expenditure by geographical segment       £000 £000
United Kingdom       1,470 1,695
Continental Europe       3 19
United States of America       54 83
       1,527 1,797
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
35
Accounts 
5. (a) Analysis of operating profit by function of expense
       2009 2008 
       £000 £000
Turnover       63,698 62,448
Cost of sales       (25,567) (25,362)
Gross profit       38,131 37,086
Net operating expenses:
Distribution costs       (17,578) (16,265)
Administration expenses       (17,354) (16,464)
Other operating income/(expense)       362 (396)
Net operating expenses       (34,570) (33,125)
Operating profit       3,561 3,961
During the year ended 31 January 2009 redundancies took place at the Standfast factory at a cost of £146,000. This item is presented within 
administration expenses. In January 2009 marketing material products held at a third party’s premises were destroyed in a fire, and the carrying 
amount of £615,000 has been written off. This item is presented within distribution expenses. Expected recoveries from the third party to 
compensate the Group for the loss of products destroyed in the fire have been estimated at £465,000, and are presented within other operating 
income. In May 2009, an interim payment was received from the third party which was in line with the expected recoveries.
Analysis of revenue by category:
       2009 2008 
       £000 £000
Sale of goods       62,423 61,397
Royalty income       1,275 1,051
       63,698 62,448
(b) Analysis of expense by nature
       2009 2008 
       £000 £000
Changes in inventories of finished goods and work in progress      1,093 342
Raw materials and consumables used       19,405 17,211
Employee benefit expense       18,682 18,536
Depreciation, amortisation and impairment charges       1,846 1,822
Transportation expenses       2,068 1,833
Advertising costs       981 1,117
Operating lease payments        1,712 1,604
Other expenses       14,712 15,626
Total cost of sales, distribution costs and administrative expenses      60,499 58,091 Walker Greenbank PLC 
Annual Report and Accounts 2009
36
6. Group operating profit
       2009 2008 
       £000 £000
Group operating profit is stated after charging/(crediting):  
Auditor’s remuneration:  
Fees payable to Company’s auditor for the audit of parent  •	
Company and consolidated financial statements       50 50
Audit of Company’s subsidiaries pursuant to legislation      •	 75 75
Other services       •	 – 8
Accounting advice with respect to IFRS       •	 – 10
Depreciation of property, plant and equipment       1,470 1,321
Amortisation of intangibles       376 501
Cost of inventories recognised as expense in cost of sales       20,498 17,553
Impairment of inventories       636 759
Reversal of impairment of inventories       (95) (15)
Impairment of trade receivables       304 122
Reversal of impairment of trade receivables       (5) (66)
Net foreign exchange (gains)/losses       (472) 396
Operating lease rentals:  
Hire of motor vehicles and plant and machinery       •	 494 399
Land and buildings       •	 1,218 1,205
Loss/(profit) on disposal of fixed assets       6 (3)
7. Net defined benefit pension costs
       2009 2008 
       £000 £000
Expected return on pension scheme assets       2,829 2,721
Interest on pension scheme liabilities       (2,633) (2,371)
Scheme expenses met by Group       (275) (231)
Net (charge)/income       (79) 119
8. Net finance costs
       2009 2008 
       £000 £000
Interest expense:
Interest payable on bank borrowings       (685) (875)
Interest and similar charges payable       (19) (36)
Total interest expense       (704) (911)
Interest income:  
Interest receivable on bank deposits       35 5
Net finance costs       (669) (906)
  
Amortisation of issue costs of bank loan       (26) (75)
Total finance costs        (695) (981)
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
37
Accounts
9. Emoluments of Directors
       2009 2008 
   Salary Bonus Benefits Pension Total Total 
   £000 £000 £000 £000 £000 £000
Executive Directors:      
John Sach    220 – 5 33 258 342
David Smallridge   160 – 1 16 177 234
Alan Dix    126 – 1 13 140 187
      
Non-executive Directors:
Ian Kirkham (retired 31 January 2009)   65 – – – 65 62
Terry Stannard    26 – – – 26 9
Fiona Goldsmith (appointed 17 December 2008)   4 – – – 4 –
Charles Gray (retired 12 February 2008)   – – – – – 22
   601 – 7 62 670 856
Executive Directors have been granted awards under long term incentive plans, no amounts are currently receivable by the Directors.
In both years, retirement benefits were accruing to one Director under a defined benefit scheme, who is the highest paid Director. Accrued annual 
pension benefits at the year end were £10,188 (2008: £20,210). Benefits are accruing under defined contribution schemes for three Directors 
(2008: three Directors).
 
10. Employee Information
       2009 2008 
       £000 £000
Wages and salaries       15,971 15,858
Social security costs       1,659 1,581
Other pension costs       679 668
Share based payment awards, including NIC thereon       373 429
Employee benefit expense       18,682 18,536
 
       2009 2008 
The average monthly number of employees (including Directors) during the year      Number Number
Sales, warehousing and administration       344 320
Manufacturing       250 266
       594 586
Compensation of key management personnel
       2009 2008 
       £000 £000
Short term employee benefits (including short term incentives)      2,164 2,460
Post employment benefits (including pension costs)       126 119
Share based payment awards       373 429
       2,663 3,008
The Group regards its key management personnel to be its Directors and Senior Management having authority and responsibility for planning, 
directing and controlling the activities of the Group, either directly or indirectly. Share based payment awards reflects the charge in the income 
statement and does not reflect the market value of shares expected to vest.  Walker Greenbank PLC 
Annual Report and Accounts 2009
38
11. Tax
       2009 2008 
       £000 £000
Current tax – overseas tax       (57) (29)
  
Deferred tax – ordinary       (788) –
Deferred tax – exceptional       (320) 5,101
Deferred tax        (1,108) 5,101
Tax (charge)/credit for the year       (1,165) 5,072
       2009 2008 
       £000 £000
Profit on ordinary activities before tax       2,824 3,099
  
Tax on profit on ordinary activities at standard rate 28% (2008: 30%)      (791) (930)
Non deductible expenditure       (48) (73)
Utilisation of losses and origination and reversal of temporary differences during the year    – 974
Utilisation of parent losses and reversal of temporary differences not previously recognised as assets   (6) –
Impact of phasing out of Industrial Building Allowances       (320) –
Recognition of deferred tax asset at end of year        – 5,101
Tax credit/(charge) for year       (1,165) 5,072
Factors affecting current and future tax charges
The Finance Bill 2008 announced the phasing out of the relief for Industrial Building Allowances by 31 March 2011. An additional deferred tax 
liability of £320,000 has been recognised as a consequence, and is classified as an exceptional item. 
The deferred tax credit of £5.1 million in 2008 arose from the recognition of deferred tax losses incurred by the Group in prior years and 
temporary differences. Because of the nature and size of this item it was disclosed as an exceptional item.
Following the recognition of deferred tax assets arising from losses and temporary differences the future effective tax rate will be influenced by 
changes in deferred tax positions.
The Group does not anticipate that UK corporation tax will become payable on profits within the immediate future due to the availability of tax 
losses of approximately £21.3 million.
 
12. Earnings per share
Basic earnings per share (‘EPS’) is calculated by dividing the earnings attributable to ordinary shareholders by the weighted average number  
of shares outstanding during the year, excluding those held in the employee share trust (note 24) and those held in treasury, which are treated  
as cancelled. 
Adjusted earnings per share is also presented as, in the opinion of the Directors, this provides additional information to shareholders on the 
results of the Group’s activities. Adjusted earnings per share has been calculated to remove any charge or credit arising from deferred tax in the 
current and comparative periods. The impact on after tax profit of deferred tax during these periods has been significant, and varies from an 
exceptional credit of £5,101,000 in the comparative year following the first time recognition of historical corporation tax losses, to a charge for the 
current year of £1,108,000, including an exceptional charge of £320,000 (refer note 11), as the corporation tax losses are utilised and the impact of 
the removal of IBA’s in the 2008 Finance Act takes effect. In the opinion of the Directors, the exclusion of the deferred tax charges or credits 
creates a more comparable earnings base on which to assess the performance of the Group.
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
39
Accounts
12. Earnings per share continued
 2009    2008 
  
    Weighted   Weighted 
    average   average  
    number Per share  number Per share 
   Earnings of shares amount Earnings of shares amount 
   £000 (000s) Pence £000 (000s) Pence
Basic and diluted:       
Basic and diluted earnings per share    1,622 54,880 2.96 8,171 56,397 14.49
       
Adjusted:       
Earnings attributable to ordinary shareholders    1,622 54,880 2.96 8,171 56,397 14.49
Reversal of impact of deferred tax charge/(credit)   1,108 – 2.01 (5,101) – (9.05)
Adjusted earnings per share   2,730 54,880 4.97 3,070 56,397 5.44
On 1 July 2008 Walker Greenbank PLC purchased 275,000 ordinary shares of 1p each in the Company at 30p per ordinary share. Following this 
transaction Walker Greenbank’s issued ordinary share capital with voting rights consists of 59,006,162 (2008: 59,006,162) ordinary shares of 
which 1,690,093 (2008: 1,415,093) ordinary shares are held in treasury and a further 2,549,146 (2008: 2,549,146) ordinary shares are held by the 
Walker Greenbank PLC Employee Benefit Trust (‘EBT’). Shares held in treasury or by the EBT are treated as cancelled when calculating EPS. At 
31 January 2009 the market value of the treasury shares was £173,235.
13.  Intangible assets
     Arthur  
     Sanderson 
     and William Collection  
     Morris design Software 
    Goodwill archive assets assets Total 
    £000 £000 £000 £000 £000
Cost:     
1 February 2007    1,400 4,300 480 4,467 10,647
Additions    – –  209 156 365
31 January 2008    1,400 4,300 689 4,623 11,012
     
Additions    – – 268 152 420
31 January 2009    1,400 4,300 957 4,775 11,432
     
Amortisation:     
1 February 2007    841 – 146 3,691 4,678
Charge    – – 105 396 501
31 January 2008    841 – 251 4,087 5,179
     
Charge    – – 148 228 376
31 January 2009    841 – 399 4,315 5,555
     
Net book amount:     
31 January 2009    559 4,300 558 460 5,877
31 January 2008    559 4,300 438 536 5,833
The Arthur Sanderson and William Morris archive was purchased as part of the acquisition of Arthur Sanderson & Sons on 29 August 2003.  
It comprises an historical record of unique designs that are used to generate royalty income in the business. 
Amortisation of £376,000 (2008: £501,000) is included in administrative costs. 
Impairment tests for goodwill and Arthur Sanderson and William Morris Archive 
The carrying value of goodwill at the year end of £559,000 (2008: £559,000) is attributable to the manufacturing segment. The Archive is 
attributable to the brands.  Walker Greenbank PLC 
Annual Report and Accounts 2009
40
13. Intangible Assets continued
The Group tests goodwill and the Archive for impairment annually or more frequently if there are indications that they might be impaired. There 
was no impairment charge recognised in the year (2008: none). 
In assessing whether an impairment of goodwill is required the carrying value of the cash generative unit (‘CGU’) or group of CGUs is compared 
with its recoverable amount. The recoverable amount for each CGU and collectively for groups of CGUs that make up the segments of the 
Group’s business have been based on the value in use (‘VIU’). 
The Group estimates the VIU using a discounted cashflow model (‘DCF’), where the projected cash flows for separate or collective groups of 
CGUs are discounted using a pre-tax rate of 9.50% (2008: 8.48%). The discount rate used is the same across all segments.
The Group has used formally approved budgets for the first two years (2008: one year) of its VIU calculation, with extrapolation beyond the last 
explicit year using an assumption of growth for future years ranging from 1% to 2% (2008: no growth) depending upon the CGU being tested. The 
cash flows used in the calculation of the VIU are derived from past experience and are based on operating profit forecasts, which in turn rely upon 
assumptions relating to sales growth, margins and operating and administrative expenses. The cash flows have not included the benefits arising 
from any future asset enhancement expenditure, as this is not permitted by IAS 36. The VIU calculations therefore exclude significant benefits 
anticipated from future capital expenditure. The growth rates included within the assumptions supporting the VIU calculations do not therefore 
represent the Group’s anticipated total forecast growth, but rather only the growth deriving from capital expenditure completed at the balance 
sheet date.
The recoverable amount of the Archive intangible asset is estimated based on VIU, and comprises estimated future cash flows from royalty 
income relating to the Archive. A discount rate of 9.50% (2008: 8.48%) is applied.
The Group does not consider there to be reasonably probable changes to the key assumptions that would result in impairment of either goodwill 
or the Archive as at 31 January 2009. 
 
14. Property, plant and equipment
      Plant,  
     Land and equipment Computer 
      buildings and vehicles assets Total 
     £000 £000 £000 £000
Cost:
1 February 2007     6,281 14,216 1,093 21,590
Additions     40 1,171 221 1,432
Disposals     (917) (534) (19) (1,470)
Currency movements     – 27 – 27
31 January 2008     5,404 14,880 1,295 21,579
Additions     – 1,079 28 1,107
Disposals     – (361) (27) (388)
Currency movements     – 198 38 236
31 January 2009     5,404 15,796 1,334 22,534
Depreciation:
1 February 2007     1,797 10,054 875 12,726
Charge     103 1,042 176 1,321
Disposals     (917) (534) (19) (1,470)
Currency movements     – 11 – 11
31 January 2008     983 10,573 1,032 12,588
Charge     109 1,220 141 1,470
Disposals     – (348) (27) (375)
Currency movements     – 83 34 117
31 January 2009     1,092 11,528 1,180 13,800
Net book amount:
31 January 2009     4,312 4,268 154 8,734
31 January 2008     4,421 4,307 263 8,991
Depreciation expense of £1,470,000 (2008: £1,321,000) has been charged in administrative expenses.
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
41
Accounts
14. Property, plant and equipment continued
       2009 2008 
The net book amount of land and buildings comprises:        £000 £000
Freehold land        450 450
Freehold buildings        3,862 3,971
Net book value       4,312 4,421
Land and buildings are stated at historical cost.
The carrying value of assets providing security under the Barclays facility was land and buildings of £4,312,000 (2008: £4,421,000).
15. Deferred income tax assets
A deferred tax asset of £5,158,000 (2008: £6,055,000) is recognised in respect of tax losses and other timing differences and £1,108,000 has 
been charged to the income statement during the year as some of the tax losses have utilised and Industrial Buildings Allowances were phased 
out in the Finance Act 2008.
       2009 2008 
       £000 £000
Taxable temporary differences on property, plant and equipment      (872) (533)
Taxable temporary differences on intangible assets       (128) (106)
Tax losses       4,993 5,740
       3,993 5,101
Pension scheme obligations       1,165 954
       5,158 6,055
The movements in the deferred tax asset on pension scheme obligations are recognised in the Statement of Recognised Income and Expense.
At the balance sheet date the Group has unused tax losses of £21.3 million (2008: £23.7 million) available for offset against future profits. A 
deferred asset is recognised in respect of £17.7 million (2008: £20.5 million) of such losses as the Group believes that realisation of the related tax 
benefit through future taxable profit is probable and can be readily accessed under existing tax legislation. No deferred tax has been recognised 
on the remaining £3.6 million (2008: £3.2 million) as these losses are not readily available for offset against the Group’s future profits under 
existing tax legislation and therefore the realisation of these losses is not considered probable. The recognition of deferred tax on losses will be 
assessed at each reporting date.
Potential deferred tax assets at 31 January 2009 of £1,269,000 (2008: £1,068,000) relating to tax losses and deductible temporary differences 
have not been recognised as it is not considered probable that recovery of the potential deferred tax asset will arise under existing tax legislation. 
       2009 2008 
       £000 £000
Tax losses       997 893
Other deductible temporary differences       272 175
       1,269 1,068
There are also capital tax losses at 31 January 2009 of £2,485,000 (2008: £2,485,000) but no deferred tax asset has been recognised as it is not 
considered probable that these losses will be utilised.  Walker Greenbank PLC 
Annual Report and Accounts 2009
42
16. Trade and other receivables
       2009 2008 
Current       £000 £000
Trade receivables       9,053 10,403
Less: provision for impairment of trade receivables       (423) (186)
Net trade receivables       8,630 10,217
  
Other receivables       1,111 214
Marketing materials       1,385 1,872
Prepayments       1,426 1,172
       12,552 13,475
       2009 2008 
Non-current       £000 £000
Other receivables       12 253
The value of trade receivables providing funding under the Barclays facility was £6,721,000 (2008: £7,621,000).
There is no material difference between the carrying amount and the fair value of the trade and other receivables. 
Credit quality of financial assets
(i) Neither past due nor impaired
Included in the Group’s trade receivable balances are debtors with a carrying value of £4,849,000 (2008: £7,058,000) which are neither past due 
nor impaired at the reporting date. The nature of the Group’s business means that it has a long standing relationship with the majority of its 
customers, who either have no experience of historical default or only temporary late payments with full recovery of balances due. 
For the Group’s cash at bank, and the receivable leg of derivative financial instruments, the counterparty to the financial instruments is a major UK 
bank, and the Group does not consider there to be any significant credit risk from holding these financial assets. 
(ii) Past due – not impaired
Included in the Group’s trade receivable balances are debtors with a carrying value of £3,561,000 (2008: £2,930,000) which are past due at the 
reporting date for which the Group does not consider the receivable to be impaired as there has not been a significant decline in credit quality 
and the Group believes that the amounts are still fully recoverable. The table below shows the aging analysis of the receivables:
       2009 2008 
       £000 £000
1–30 days past due       1,653 1,528
31–60 days past due       1,490 1,189
61–90 days past due       339 213
91+ days past due       79 –
       3,561 2,930
(iii) Past due – impaired
As at 31 January 2009, trade receivables of £643,000 (2008: £415,000) were individually determined to be impaired and provided for. The amount 
of the provision was £281,000 (2008: £186,000). The main factors used to assess the impairment of trade receivables is the age of the balance 
and circumstances of the individual customer. It has been assessed that a proportion of the receivables is expected to be recovered. The 
Directors believe that in the current economic environment there is objective evidence of credit deterioration and an impairment of £142,000 
representing a collective assessment of risk has been made. Due to the nature of Group’s products, there is limited amount of stock left in the 
possession of customers that could act as collateral under terms of trade. As the value of this stock is immaterial, it has not been disclosed in the 
financial statements.
The carrying amounts of the Group’s trade and other receivables are denominated in the following currencies: 
       2009 2008 
       £000 £000
Sterling        7,101 8,337
Dollars        522 393
Euros        2,064 1,826
Other        66 128
       9,753 10,684
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
43
Accounts
16. Trade and other receivables continued
The Group considers that any exposure to concentrations of credit risk will be impacted principally by underlying economic conditions in the 
principal geographical segments in which the Group operates. As at the balance sheet date the carrying value of trade receivables by 
geographical segment was:
       2009 2008 
       £000 £000
United Kingdom        5,284 6,625
Continental Europe        2,117 2,271
United States of America       833 775
Rest of the World        396 546
       8,630 10,217
As part of the Group’s credit risk management the Group seeks credit insurance on large overseas customers and also on large UK customers of 
the manufacturing segment. 
Provisions for impairment
Movements on the Group provision for impairment of trade receivables are as follows:
       2009 2008 
       £000 £000
At 1 February       (186) (232)
Provision for receivables impaired       (304) (122)
Receivables written off in the year as uncollectible       68 105
Unused amounts reversed        5 66
Exchange difference       (6) (3)
At 31 January       (423) (186)
The creation and release of provision for impaired trade receivables have been included within ‘administrative expenses’ in the income statement.
 
17. Inventories
       2009 2008 
       £000 £000
Raw materials       1,368 1,120
Work in progress        1,069 1,904
Finished goods       11,450 9,522
       13,887 12,546
The cost of inventories recognised as an expense and included in ‘cost of sales’ amounted to £20,498,000 (2008: £17,553,000). 
The value of inventories providing security under the Barclays facility, if it were to be fully drawn, was £8,637,000 (2008: £7,645,000).
18. Cash and cash equivalents
       2009 2008 
       £000 £000
Cash at bank and in hand       1,050 2,017
There is a set off arrangement for bank accounts held with the UK clearing bank, and accordingly the amounts stated above represent the net of 
accounts in funds and in overdraft. Walker Greenbank PLC 
Annual Report and Accounts 2009
44
19. Trade and other payables
       2009 2008 
       £000 £000
Trade payables       9,973 10,570
Corporation tax       85 65
Other taxes and social security       1,043 741
Other creditors       780 439
Accruals       3,237 3,731
       15,118 15,546
20. Derivative financial instruments
       2009 2008 
       £000 £000
Forward foreign exchange contracts – cash flow hedges       (812) (110)
Forward foreign exchange contracts
The Group’s US based subsidiary, Walker Greenbank Inc., sells products to local customers with sales invoiced in US dollars. As the Group’s 
presentation currency is sterling it is exposed to changes in the reported sterling value of these sales. The Group considers that it is highly 
probable that future sales of this nature will continue to arise over at least the next 12 months. During the year Walker Greenbank PLC has 
entered into monthly forward foreign exchange contracts up to January 2010, with a third party, to buy sterling and sell dollars. The Group has 
designated these contracts as cash flow hedges of the foreign currency risk arising from the highly probable future forecast sales transactions. As 
at the reporting date the fair value of the forward foreign contracts deferred in the hedging reserve relating to the exposure on these anticipated 
future transactions is a liability of £820,000 (2008: £110,000). The amounts deferred in equity will be released into the income statement in the 
period or periods during which the hedged forecast transactions effect the income statement, which is expected to be within 12 months of the 
balance sheet date. 
The brands make more purchases from the euro zone than sales made to the euro zone. As the Group’s presentation currency is sterling it is 
exposed to changes in the reported sterling value of the purchases. The Group considers that it is highly probable that future purchases of this 
nature will continue to arise over at least the next 12 months. During the second half of the year Walker Greenbank PLC has entered into monthly 
forward foreign exchange contracts up to December 2009, with a third party, to buy euros and sell sterling. The Group has designated these 
contracts as cash flow hedges of the foreign currency risk arising from the highly probable future forecast purchase transactions. As at the 
reporting date the fair value of the forward foreign contracts deferred in the hedging reserve relating to the exposure on these anticipated future 
transactions is an asset of £8,100 (2008: £nil). The amounts deferred in equity will be released into the income statement in the period or periods 
during which the hedged forecast transactions effect the income statement, which is expected to be within 12 months of the balance sheet date. 
21. Borrowings
       2009 2008 
       £000 £000
Non-current:
Term loan       3,000 3,400
Trade receivables loan       3,862 5,502
Stock loan       6 4
       6,868 8,906
Current:
Term loan       400 400
Total borrowings       7,268 9,306
In July 2007, the Group agreed terms for new facilities from Barclays Bank PLC replacing the Burdale Financial Limited funding. The facilities 
comprises: a variable rate Term Loan secured on the Group’s freehold property of £4 million which is being repaid on a 10 year profile, and 
Receivables and Inventory Financing Agreements which provide three year variable rate floating loans secured on the eligible trade receivables 
and eligible inventories at any point in time (the working capital facilities). The working capital facilities may be drawn down in either sterling or 
euros. The total Barclays loan facility is capped at £17 million; the utilisation of the facility at the year end was £7,268,000 (2008: £9,306,000). The 
term loan bears interest at variable rates based on a margin above the Bank of England base rate. The working capital facilities bear finance costs 
in the form of discount charges which are calculated periodically and vary at margins above the base rate published by Bank of England (for 
sterling loans) or the European Central Bank (for euro loans).
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
45
Accounts
21. Borrowings continued
Under the Barclays Bank PLC facilities, the Group is subject to various financial covenants which apply to the term loan, including interest cover 
and debt service. The receivables and inventory financing agreements require compliance with a number of operational covenants. Any non-
compliance with covenants could, if not remedied or waived, constitute an event of default with respect to any such arrangements. The Group 
has reported to its financiers that it was in full compliance with its financial and operational covenants throughout each of the periods presented. 
The fair value of current borrowings equal their carrying amount, as the impact of discounting is not significant. The carrying amounts and fair 
value of the non-current borrowings are as follows:
   Carrying amount  Fair value
  
     2009 2008 2009 2008 
     £000 £000 £000 £000
Property loan     3,000 3,400 3,000 3,400
Trade receivables loan     3,862 5,502 3,918 5,584
Stock loan     6 4 6 4
     6,868 8,906 6,924 8,988
The fair values are based on cash flows discounted using a rate based on the borrowing rate of 2.75% (2008: 7.00%). 
The table below analyses the Group’s financial liabilities and net-settled derivative financial liabilities into relevant maturity groupings based on the 
remaining period to contractual maturity at the balance sheet date. The amounts disclosed in the table are the contractual undiscounted cash flows. 
The maturity profile of undiscounted cash flows on variable interest rate borrowings has assumed interest rates as at the balance sheet date.
     Less than Between Between Over 
     1 year 1 to 2 years 2 to 5 years 5 years 
31 January 2009     £000  £000 £000 £000
Borrowings     494 4,339 1,365 1,510
Derivative financial instruments     812 – – –
Trade and other payables     13,990 – – –
     15,296 4,339 1,365 1,510
     Less than Between Between Over 
     1 year 1 to 2 years 2 to 5 years 5 years 
31 January 2008     £000  £000 £000 £000
Borrowings     1,041 1,009 7,206 2,080
Derivative financial instruments     110 – – –
Trade and other payables     14,740 – – –
     15,891 1,009 7,206 2,080
The carrying amounts of the Group’s borrowings are denominated in the following currencies:
       2009 2008 
       £000 £000
Sterling       7,215 9,306
Euro       53 –
Total       7,268 9,306
22. Retirement benefit obligations
Defined contribution schemes
The Group contributes to the defined contribution section of the Abaris Holdings Limited Pension Scheme and to a Group Personal Pension Plan 
which is also a defined contribution scheme. Contributions are charged to the income statement as incurred, and amounted to £404,000 (2008: 
£437,000). Active members of the schemes are also able to make contributions. 
Defined benefit schemes
The Group operates the following funded defined benefit pension schemes in the UK which offer pensions on retirement and death benefits to 
members: the Walker Greenbank Pension Plan, the Abaris Holdings Limited Pension Scheme and the WG Senior Management Pension Scheme. 
Pension benefits are related to the members’ salary at retirement and their length of service. The schemes are closed to new members and the 
future accrual of benefits. The most recent triennial funding valuation for the defined benefit schemes was April 2006. An updated valuation for 
IAS 19 financial reporting purposes has been completed at the balance sheet date. The Group’s contributions to the schemes for the year 
beginning 1 February 2009 are expected to be £1,342,000.  Walker Greenbank PLC 
Annual Report and Accounts 2009
46
22. Retirement benefit obligations continued
The principal assumptions applied when valuing the defined benefit schemes were:
       2009 2008
Discount rate       6.90% 6.10%
Rate of salary increase       3.20% 3.40%
Rate of increase to LPI pensions in payment       3.20% 3.40%
Rate of increase to pensions (in excess of GMP) in deferment      3.20% 3.40%
Rate of inflation       3.20% 3.40%
Expected return on plan assets       6.60% 7.00%
Members are assumed to commute 25% of their pension (2008: 25%). 
The assumptions used in determining the overall expected return on assets of the scheme have been set with reference to yields available on 
government bonds and appropriate risk margins for equities and other classes of assets.
The mortality assumptions applied are based on the PA92 year of birth with medium cohort tables (2008: PA92 with medium cohort tables). The 
mortality assumptions imply the expected future lifetime from age 65 as follows:
       2009 2008
Non-pensioner male currently 45       23.1 23.1
Pensioner male currently 65       21.9 21.9
Non-pensioner female currently 45       25.9 25.9
Pensioner female currently 65       24.8 24.8
The amounts recorded in the balance sheet are determined as follows:
       2009 2008 
       £000 £000
Equities       22,458 22,512
Property       – 3,607
Fixed interest        10,526 12,653
Insured annuities       1,609 1,739
Cash and other       470 340
Fair value of plan assets       35,063 40,851
Present value of funded defined benefit obligations       (39,224) (44,260)
Net liability in balance sheet       (4,161) (3,409)
Reconciliation of opening and closing balances of the present value of the defined benefit obligation
       2009 2008 
       £000 £000
Benefit obligation at beginning of year       44,260 45,508
Scheme expenses       275 231
Interest cost       2,633 2,371
Contributions by plan participants       – –
Actuarial loss – change in mortality assumptions       – 2,868
Actuarial (gain) – other        (5,458) (4,932)
Benefits paid       (2,486) (1,786)
Past service cost       – –
Curtailments and settlements       – –
Benefit obligation at end of year       39,224 44,260
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
47
Accounts
22. Retirement benefit obligations continued
Reconciliation of opening and closing balances of the fair value of plan assets
       2009 2008 
       £000 £000
Fair value of plan assets at beginning of year       40,851 39,990
Expected return on plan assets       2,829 2,721
Actuarial (loss)       (7,458) (1,364)
Contributions by employers       1,327 1,290
Contributions by plan participants       – –
Benefits paid       (2,486) (1,786)
Fair value of plan assets at end of year       35,063 40,851
The amounts recognised in the income statement are:
       2009 2008 
       £000 £000
Scheme expenses       275 231
Interest on obligation       2,633 2,371
Expected return on plan assets       (2,829) (2,721)
Settlement and curtailments       – –
Net defined benefit pension charge/(income)       79 (119)
The actual return on assets over the period was a loss of £4,629,000 (2008: profit of £1,357,000). 
Actuarial gains and (losses) to be shown in Statement of Recognised Income and Expense
       2009 2008 
       £000 £000
Actual return on scheme assets less than expected return       (7,458) (1,364)
Change in mortality assumptions        – (2,868)
Other actuarial gains on scheme liabilities       5,458 4,932
       (2,000) 700
Other actuarial gains on scheme liabilities in the period arise mainly from increases in the discount rate used in determining the present value of 
scheme liabilities. The cumulative amount of actuarial losses reported in the Statement of Recognised Income and Expense (including amounts 
reported in the equivalent statement prior to the adoption of IFRS) before deferred taxation was £16,351,000 (2008: £14,351,000).
History of schemes’ assets, obligations and experience adjustments
     2009 2008 2007 2006 
     £000 £000 £000 £000
Present value of defined benefit obligation     39,224 44,260 45,508 47,222
Fair value of scheme’s assets     35,063 40,851 39,990 39,189
(Deficit) in the schemes     (4,161) (3,409) (5,518) (8,033)
    
Experience adjustments arising on scheme liabilities     5,458 2,064 (1,284) *
Experience adjustments arising on scheme assets     (7,458) (1,364) (1,310) *
* Information not readily available for periods prior to the date of transition to IFRS.
  Walker Greenbank PLC 
Annual Report and Accounts 2009
48
23. Financial instruments by category
The accounting policies for financial instruments have been applied to the line items below:
       Derivatives 
     Loans and  Assets at used for 
     receivables fair value hedging Total 
31 January 2009     £000 £000 £000 £000
Assets as per balance sheet    
Trade and other receivables      9,753 – – 9,753
Cash and cash equivalents     1,050 – – 1,050
Total     10,803 – – 10,803
      Other Derivatives 
     Liabilities at financial used for 
      fair value liabilities hedging Total 
31 January 2009     £000 £000 £000 £000
Liabilities as per balance sheet
Derivative financial instruments     – – 812 812
Borrowings     – 7,268 – 7,268
Trade and other payables      – 13,990 – 13,990
Total     – 21,258 812 22,070
       Derivatives 
     Loans and  Assets at used for  
     receivables fair value hedging Total 
31 January 2008     £000 £000 £000 £000
Assets as per balance sheet    
Trade and other receivables     10,684 – – 10,684
Cash and cash equivalents     2,017 – – 2,017
Total     12,701 – – 12,701
      Other Derivatives 
     Liabilities at  financial used for 
     fair value liabilities hedging Total 
31 January 2008     £000 £000 £000 £000
Liabilities as per balance sheet    
Derivative financial instruments     – – 110 110
Trade and other payables     – 9,306 – 9,306
Borrowings     – 14,740 – 14,740
Total     – 24,046 110 24,156
24. Share Capital
Ordinary shares of 1 pence each      Number of shares £
Authorised share capital:  
1 February 2008 and 31 January 2009       85,000,000 850,000
   
Allotted, called up and fully paid:  
1 February 2008 and 31 January 2009        59,006,162 590,062
All holders of ordinary shares have the right to vote at general meetings of the Company and to distributions from dividends or on winding up of 
the Company. 
The Walker Greenbank PLC Employee Benefit Trust (‘the trust’) holds 2,549,146 shares (2008: 2,549,146) with a cost of £601,202 (2008: 
£601,202) and the market value at 31 January 2009 of £261,287 (2008: £1,038,777).
During the year Walker Greenbank PLC purchased 275,000 ordinary shares of 1p at a price of 30p per share and at a total cost of £82,748. The 
total number of shares held in treasury are 1,690,093 (2008: 1,415,093) and represent 2.9% (2008: 2.4%) of the issued shares. The market value 
of these shares at 31 January 2009 was £173,235 (2008: £576,650).
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
49
Accounts
24. Share Capital continued
The shares held by the trust and the treasury shares are held for the purpose of satisfying awards under long term incentive plans to Executive 
Directors and senior management. 
Long Term Incentive Plans (LTIPs)
The Group operates a Long Term Incentive Plan. At the balance sheet date two awards had been previously granted under this plan, in which 
Executive Directors and senior management of the Group participate. The LTIP has previously been approved by the shareholders at an Annual 
General Meeting. 
Awards under the scheme are granted in the form of nil-priced share options, and are to be satisfied either using market-purchased shares or by 
the issuing of new shares. The awards vest in full or in part dependent on the satisfaction of specified performance targets at the end of the 
vesting period applying to each plan. The number of award that vest is dependent upon the profit before tax (‘PBT’) achieved for the relevant year. 
As the awards carry a nil-value exercise price, the grant date fair value corresponds to the share price of the Group on the grant date. Details are 
set out below:
     Award One Award Two
Grant date of awards     25 July 2007 24 May 2008
Grant date fair value of award (pence per award)     26.75 53.00
Vesting date of awards     25 July 2009 24 May 2011
Maximum number of awards     2,549,000 1,415,093
Relevant year ending date for determination of PBT     31 January 2009 31 January 2011
Based on the performance of the Group for the year ended 31 January 2009 the Award One awards have satisfied the PBT vesting condition in 
full, and are expected to vest on 25 July 2009. 
Movements during the year in the number of awards outstanding, assuming maximum achievement of PBT targets, are as follows:
       2009 2008 
       £000 £000
At 1 February       3,964,093 2,549,000
Granted       – 1,415,093
Forfeited       – –
Exercised       – –
Expired       – –
At 31 January       3,964,093 3,964,093
 
Refer to note 10 for disclosure of the charge to the consolidated income statement arising from share based payments. 
On 27 May 2009 further awards were made to the Executive Directors, a total of 1,700,000 ordinary shares.
25. Consolidated statement of changes in equity
  Other reserves  
 
  Share  
 Share  premium Retained Capital Merger Hedge Translation 
 capital account earnings reserve reserve reserve reserve Total 
 £000 £000 £000 £000 £000 £000 £000 £000
1 February 2007 590 457 (28,594) 43,457 (2,950) – (17) 12,943
Actuarial losses on scheme assets – – (1,364) – – – – (1,364)
Changes in actuarial mortality assumptions – – (2,868) – – – – (2,868)
Other actuarial gains on scheme liabilities – – 4,932 – – – – 4,932
Deferred tax – – (683) – – – – (683)
Currency translation differences – – – – – – 27 27
Hedging reserve – – – – – (110) – (110)
Net income/(expense) recognised  
 in equity via SORIE – – 17 – – (110) 27 (66)
Reserve for long term incentive plan – – 363 – – – – 363
Purchase of treasury shares – – (612) – – – – (612)
Profit for the year – – 8,171 – – – – 8,171
31 January 2008 590 457 (20,655) 43,457 (2,950) (110) 10 20,799 Walker Greenbank PLC 
Annual Report and Accounts 2009
50
25. Consolidated Statement of changes in equity continued
  Other reserves  
 
  Share  
 Share  premium Retained Capital Merger Hedge Translation 
 capital account earnings reserve reserve reserve reserve Total 
 £000 £000 £000 £000 £000 £000 £000 £000
1 February 2008 590 457 (20,655) 43,457 (2,950) (110) 10 20,799
Actuarial losses on scheme assets – – (7,458) – – – – (7,458)
Other actuarial gains on scheme liabilities – – 5,458 – – – – 5,458
Deferred tax – – 211 – – – – 211
Currency translation differences – – – – – – (350) (350)
Cash flow hedging reserve – released to 
 income statement – – – – – 110 – 110
Cash flow hedging reserve – recognised in equity  
 during the period – – – – – (812) – (812)
Net income/(expense) recognised in  
 equity via SORIE – – (1,789) – – (702) (350) (2,841)
Reserve for long term incentive plan – – 414 – – – – 414
Purchase of treasury shares – – (83) – – – – (83)
Profit for the year – – 1,622 – – – – 1,622
31 January 2009 590 457 (20,491) 43,457 (2,950) (812) (340) 19,911
Capital reserve represents        £000
Share premium of companies acquired under merger accounting principles      1,276
Capital reserve arising on consolidation        293
Capital redemption reserve for deferred shares        1,003
Capital redemption reserve for ‘B’ shares        40,885
        43,457
26. Dividends
The Directors do not propose a final dividend in respect of the year ended 31 January 2009 (2008: no dividend proposed).
27. Cash generated from operations
     2009 2009 2008 2008 
     £000 £000  £000  £000 
Operating profit      3,561  3,961
Depreciation     1,470  1,321 
Amortisation     376  501 
Charge for long-term incentive plan recognised in equity     414  363 
Loss/(profit) on disposal of property, plant and equipment     6  (3) 
Unrealised foreign exchange (gains)/losses included in operating profit    (499)  2 
Changes in working capital    
Increase in inventories     (1,341)  (410) 
Decrease/(increase) in trade and other receivables     1,164  (2,212) 
(Decrease)/increase in trade and other payables      (288)  2,390 
Defined benefit pension cash contributions     (1,327)  (1,290) 
      (25)  662
Cash generated from operating activities      3,536  4,623
Notes to the Consolidated Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
51
Accounts
28. Analysis of net debt
      Other   
    1 February   non-cash Exchange 31 January 
    2008 Cash flow changes movement 2009 
    £000 £000 £000 £000 £000
Cash and cash equivalent    2,017 (997) – 30 1,050
     
Borrowings due within one year    (400) – – – (400)
Borrowings due after one year    (8,906) 2,064 (26) – (6,868)
    (9,306) 2,064 (26) – (7,268)
Net debt    (7,289) 1,067 (26) 30 (6,218)
Other non-cash changes are amortisation of issue costs relating to the loan financing.
 
29. Commitments
a) Capital commitments
Capital expenditure contracted for at the balance sheet date but not yet incurred is as follows:
       2009 2008 
       £000 £000
Property, plant and equipment       96 203
       96 203
b) Lease commitments
Operating lease payments represent rentals payable by the Group for certain office properties and other assets. Land and building leases are 
negotiated for an average of 16 years and rentals are fixed for an average of five years. Other leases are negotiated for an average term of three 
years and rentals are fixed for an average of three years. 
Total commitments due under non-cancellable operating leases are as follows: 
     Land and  Land and 
      buildings Other buildings Other 
     2009 2009 2008 2008 
     £000 £000  £000 £000
Within one year      960 396 1,151 287
Between one and five years      3,305 512 3,161 359
Over five years      4,282 – 5,018 –
     8,547 908 9,330 646
The Group expects to receive total sub-lease rental income of £81,000 (2008: £109,000) under the terms of sub-lease agreements entered into 
with third parties. 
Other leases include hire of plant, machinery and motor vehicles.
30. Principal subsidiary undertakings
The principal Group operating companies that traded during the year, and are wholly owned, and which are included in these consolidated financial 
statements are as follows:
Abaris Holdings Limited – registered in England and Wales
Walker Greenbank Inc.* – incorporated in the USA
Arthur Sanderson & Sons Inc* – incorporated in the USA
Arthur Sanderson & Sons SARL * – incorporated in France
Whittaker & Woods SRL – incorporated in Italy
Investments in Group companies are ordinary shares.
* Shares held by subsidiary company.
The principal activities of the Group are design, manufacture, marketing and distribution of wallcoverings, furnishing fabrics and associated 
products for the consumer market. Walker Greenbank PLC 
Annual Report and Accounts 2009
52
We have audited the parent company financial statements of Walker 
Greenbank PLC for the year ended 31 January 2009 which comprise 
the balance sheet and the related notes. 
We have reported separately on the group financial statements of 
Walker Greenbank PLC for the year ended 31 January 2009. 
Respective responsibilities of directors and auditors
The directors’ responsibilities for preparing the Annual Report and the 
parent company financial statements in accordance with applicable 
law and United Kingdom Accounting Standards (United Kingdom 
Generally Accepted Accounting Practice) are set out in the Statement 
of Directors’ Responsibilities.
Our responsibility is to audit the parent company financial statements 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 parent company 
financial statements give a true and fair view and whether the parent 
company financial statements have been properly prepared in 
accordance with the Companies Act 1985. We also report to you 
whether in our opinion the information given in the Directors’ Report is 
consistent with the parent company financial statements. The 
information given in the Directors’ Report includes that specific 
information presented in the Chairman’s Statement, the Chief 
Executive’s Review, and the Financial 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 read other information contained in the Annual Report and 
consider whether it is consistent with the audited parent company 
financial statements. The other information comprises only the 
Highlights from 2009, the Chairman’s Statement, the Chief Executive’s 
Review, the Financial Review, the information on Directors and 
Advisers, the Report of the Directors, the Statement of Directors’ 
Responsibilities and all of the other information listed on the contents 
page. We consider the implications for our report if we become aware 
of any apparent misstatements or material inconsistencies with the 
parent company financial statements. Our responsibilities do not 
extend to any other information.
Independent Auditors’ Report 
To the members of Walker Greenbank PLC
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 parent company financial statements. 
It also includes an assessment of the significant estimates and 
judgments made by the directors in the preparation of the parent 
company financial statements, and of whether the accounting policies 
are appropriate to the 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 
parent company financial statements 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 parent company financial statements.
Opinion
In our opinion:
the parent company financial statements give a true and fair   >
view, in accordance with United Kingdom Generally Accepted 
Accounting Practice, of the state of the company’s affairs as at  
31 January 2009; and 
the parent company financial statements have been properly  >
prepared in accordance with the Companies Act 1985; and
the information given in the Directors’ Report is consistent with the  >
parent company financial statements.
PricewaterhouseCoopers LLP
Chartered Accountants and Registered Auditors
East Midlands, UK
17 June 2009 Walker Greenbank PLC 
Annual Report and Accounts 2009
53
Accounts
Walker Greenbank PLC Company Accounts – UK GAAP
Company Balance Sheet
At 31 January 2009
        2008 
       2009 £000 
      note £000 (restated)
Fixed assets      5 4,335 4,453
Investments      6 43,755 43,676
       48,090 48,129
Current assets and liabilites   
Debtors      7 15,307 18,919
Creditors: amounts falling due within one year      8 (9,639) (9,044)
Net current assets       5,668 9,875
Total assets less current liabilities       53,758 58,004
   
Creditors: amounts falling due after more than one year      9 (3,000) (3,400)
Provisions      10 – (74)
Net assets       50,758 54,530
Capital and reserves:   
Share capital      11 590 590
Share premium account      12 457 457
Retained earnings      12 7,823 11,595
Other reserves      12 41,888 41,888
Total shareholders’ funds       50,758 54,530
The notes on pages 54 to 61 form an integral part of the Company financial statements.
J D Sach A N Dix 
Director Director  
These accounts were approved by the Directors on 17 June 2009.
  Walker Greenbank PLC 
Annual Report and Accounts 2009
54
Notes to the Accounts
1. Accounting policies
Accounting convention
The financial statements are prepared on a going concern basis and under the historical cost convention. They have been prepared in 
accordance with applicable accounting standards and United Kingdom Generally Accepted Accounting Practice, with the Companies Act 1985, 
and with the accounting policies set out below which have been consistently applied to all periods presented unless otherwise indicated. 
Profit and loss account
No profit and loss account is presented for Walker Greenbank PLC (‘the Company‘) as it has applied the exemption provided by Section 230 of 
the Companies Act 1985. A loss of £4,103,000 (2008: profit £275,000) has been dealt with in the accounts of the parent company.
Consolidation
These financial statements present information relating to the entity Walker Greenbank PLC, and are not consolidated. The consolidated financial 
statements of the Group of which the Company is the parent are separately presented within this Annual Report and Accounts under IFRS. 
Fixed assets
Depreciation is charged on tangible fixed assets (excluding freehold land) on a straight-line basis on the original cost after deduction of any 
estimated residual value. The principal annual rates are:
Freehold buildings 2% 
Short leasehold improvements Over the unexpired period of the lease
Plant, equipment and vehicles Between 5% and 33%
Computer assets Between 12.5% and 33% 
Land and buildings are stated at cost less any provision for impairment.
Impairment of fixed assets and investments
Fixed assets and investments are subject to review for impairment in accordance with Financial Reporting Standard No.11. Where impairment 
triggers are identified the recoverable amount of the relevant asset, or group of assets within an income generating unit, is determined, being the 
higher of value in use and net realisable value. If the carrying amount of the asset exceeds its recoverable amount an impairment loss is 
calculated. Any impairment is recognised in the profit and loss account in the year in which it occurs. Where impairments have been identified in 
prior years and recoverable amount was based on value in use, an updated discounted cash flow is prepared annually to assess whether the 
previous impairment in value has reversed. When all conditions are met, the impairment is reversed and recognised in the profit and loss in the 
year in which the reversal occurs.
Financial instruments
The Company is listed on the Alternative Investment Market regulated by The London Stock Exchange. It is not required to adopt FRS26 
‘Financial Instruments: Measurement’ or FRS29 ‘Financial Instruments: Disclosures’ in these financial statements, and has not elected to 
voluntarily do so. 
The Company continues to adopt the amortised cost basis of accounting for financial instruments, and had not elected to voluntarily apply fair 
value measurements of financial instruments, including derivative financial instruments. 
Foreign currencies
Monetary assets and liabilities denominated in foreign currencies are translated at the rates of exchange ruling at the balance sheet date. 
Transactions in foreign currencies are recorded at the rates ruling at the date of transaction. All differences are taken to the profit and loss 
account. Further disclosure of the Group’s financial risk management policies is included in note 2 of the consolidated financial statements of the 
Group which are separately presented from these Company accounts. 
Employee share ownership plan (‘ESOP’)
Where the Company’s issued share capital is acquired by an ESOP trust sponsored by the Company the cost of acquisition is deducted from 
profit and loss reserves in accordance with UITF Abstract 38. 
 
Employee benefits – share based payments under Long Term Incentive Plans (LTIP)
In accordance with the transitional provisions, FRS20 has been applied to all grants of equity instruments after 7 November 2002 that had not 
vested as of 1 January 2005.
The Group issues equity-settled share based payments to certain employees which must be measured at fair value and are recognised as an 
expense in the income statement with a corresponding increase in equity. The fair values of these payments are measured at the dates of grant, 
taking into account the terms and conditions upon which the awards are granted. The fair value is recognised over the period during which 
employees become conditionally entitled to the awards, subject to the Group’s estimate of the number of awards which will lapse, either due to 
employees leaving the Group prior to vesting or due to non-market based performance conditions not being met. The total amount recognised in 
the income statement as an expense is adjusted to reflect the actual number of awards that vest. Walker Greenbank PLC 
Annual Report and Accounts 2009
55
Accounts
1. Accounting policies continued
The Company has adopted UITF Abstract 44 ‘FRS20 – Group and treasury shares’. The adoption of UITF 44 has resulted in restatement of 
comparative financial statements, with the portion of the fair value of awards granted to employees providing services to the Company’s 
subsidiary companies being recognised as an additional investment in those subsidiaries, and not as an expense of the Company. This has been 
applied retrospectively and has resulted in restatement of profit and loss account for year ended 31 January 2008 (note 12). 
Employee benefits – pensions
The Walker Greenbank Group operates both defined benefit and defined contribution pension schemes for the benefit of its employees. Further 
details of these schemes are included in note 22 of the consolidated financial statements of the Group presented within the Annual Report and 
Accounts. Defined benefit pension schemes are now accounted for within the separate Financial Statements of Group’s trading subsidiary,  
Abaris Holdings Limited. The parent company recognises contributions to defined contribution schemes in respect of its employees as expenses 
when incurred.
Share capital
Ordinary shares are classified as equity. Costs directly attributable to the issue of new ordinary shares are shown in equity as a deduction, net of 
tax, from the proceeds.
Treasury shares
Consideration paid including any directly attributable incremental costs (net of income taxes) on the purchase of the Company’s equity share 
capital (treasury shares) is deducted from equity attributable to the Company’s equity holders until the shares are cancelled or reissued. Where 
such shares are subsequently reissued, any consideration received, net of any directly attributable incremental transaction costs and the related 
income tax effects is included in equity attributable to the Company’s equity shareholders.
Deferred taxation
Deferred taxation is recognised in respect of timing differences that have originated but not reversed at the balance sheet date and that give rise 
to an obligation to pay more tax or a right to pay less tax in the future. Deferred tax is calculated using the average rates that are expected to 
apply when the timing differences reverse, based on tax rates that have been substantively enacted by the balance sheet date. No provision has 
been made for any liability arising from the distribution of past earnings of subsidiary undertakings. Deferred tax assets are only recognised when 
it is more likely than not that they will be recovered in the foreseeable future. 
Leases
Leases are classified as finance leases where the terms of the lease transfer substantially all the risks and rewards of ownership to the Company. 
All other leases are classified as operating leases.
Assets used by the Company which have been funded through finance leases are capitalised in tangible fixed assets and the resulting lease 
obligations are included in liabilities. The assets are depreciated over their useful lives and the interest element of the rental obligations is charged to 
the profit and loss account over the period of the lease, and represents a constant proportion of the balance of capital repayments outstanding.
Operating lease rentals are charged to the profit and loss account on a straight-line basis over the period of the lease. Rent free periods 
receivable on entering an operating lease are released on a straight-line basis to the next break point in the lease. 
Related party
The Company has applied the exemption available in FRS 8 and has decided not to disclose transactions with wholly owned subsidiary undertakings.
2. Auditors’ remuneration 
       2009 2008 
       £000 £000
Audit fee – fees payable to the Company auditor for the audit of the parent company and the  
 consolidation of the Group accounts       50 50 Walker Greenbank PLC 
Annual Report and Accounts 2009
56
3. Emoluments of Directors
       2009 2008 
   Salary Bonus Benefits Pension Total Total 
   £000 £000 £000 £000 £000 £000
Executive Directors:      
John Sach    220 – 5 33 258 342
David Smallridge   160 – 1 16 177 234
Alan Dix    126 – 1 13 140 187
      
Non-executive Directors:      
Ian Kirkham (retired 31 January 2009)   65 – – – 65 62
Terry Stannard    26 – – – 26 9
Fiona Goldsmith (appointed 17 December 2008)   4 – – – 4 –
Charles Gray (retired 12 February 2009)   – – – – – 22
   601 – 7 62 670 856
In both years, retirement benefits were accruing to one Director under a defined benefit scheme, who is the highest paid Director. Accrued annual 
pension benefits at the year end were £10,188 (2008: £20,210). 
Benefits are accruing under defined contribution schemes for three Directors (2008: three Directors).
4. Employee information
       2009 2008 
       £000 £000 
        (restated)
Wages and salaries       916 1,084
Social security costs       100 134
Other-pension costs       100 71
Share based payments, including NIC thereon       299 344
       1,415 1,633
The average monthly number of employees (including Directors) during the year      Number Number
Administration       10 13
5. Tangible fixed assets
      Plant,   
     Land and  equipment Computer 
     buildings and vehicles assets Total 
     £000 £000 £000 £000
Cost:    
31 January 2008     5,404 50 18 5,472
Additions     – – – –
Disposals     – – – –
31 January 2009     5,404 50 18 5,472
    
Depreciation:    
31 January 2008     983 20 16 1,019
Charge     109 8 1 118
Disposals     – – – –
31 January 2009     1,092 28 17 1,137
    
Net book amount:     
31 January 2009     4,312 22 1 4,335
31 January 2008     4,421 30 2 4,453
Notes to the Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
57
Accounts
5. Tangible fixed assets continued
       2009 2008 
The net book amount of land and buildings comprises:       £000 £000
Freehold land        450 450
Freehold buildings        3,862 3,971
Net book value       4,312 4,421
The value of assets secured under the Barclays facility was property of £4,312,000 (2008: £4,421,000).
6. Investments
       2009 2008 
       £000 £000 
Shares in subsidiary undertakings        (restated)
Cost:
As at 1 February       44,714 44,639
Additions       79 75
As at 31 January        44,793 44,714
Provision for impairment:
Beginning of year and end of year       (1,038) (1,038)
Net book amount       43,755 43,676
Additions in both years relate to the adoption of UITF44.
Walker Greenbank PLC is registered and domiciled in the United Kingdom. It is the parent company of the Walker Greenbank Group. The 
principal Group operating companies that traded during the year and are wholly owned are as follows:
Abaris Holdings Limited – registered in England and Wales
Walker Greenbank Inc.* – incorporated in the USA
Arthur Sanderson & Sons Inc* – incorporated in the USA
Arthur Sanderson & Sons SARL * – incorporated in France
Whittaker & Woods SRL – incorporated in Italy
Investments in Group companies are ordinary shares.
* Shares held by subsidiary company.
The principal activities of the Group are design, manufacture, marketing and distribution of wallcoverings, furnishing fabrics and associated 
products for the consumer market.
The carrying value of the investment in Abaris Holdings Limited is reviewed annually by reference to its value in use to the Company. The value in 
use was calculated using future expected cash flow projections, discounted at 9.5% (2008: 8.48%) on a pre-tax basis, and is not intended to 
reflect a realisable value on disposal. The review as at 31 January 2008 resulted in a reversal of the impairment of £10,329,000 to investments in 
subsidiary undertakings held by the Company.
7. Debtors 
       2009 2008 
       £000 £000
Amounts owed by subsidiary undertakings        15,005 18,458
Other debtors        165 268
Prepayments        137 193
       15,307 18,919
Included within other debtors is an amount repayable after one year of £12,000 (2008: £253,000). Amounts owed by subsidiary undertakings are 
non-interest bearing and are unsecured. These loans are callable on demand by the Company should payment be required, but full settlement 
within the next 12 months is unlikely to be sought. Walker Greenbank PLC 
Annual Report and Accounts 2009
58
8. Creditors: due within one year
       2009 2008 
       £000 £000 
        (restated)
Bank term loans (note 9)       400 400
Bank overdrafts        1,069 106
Trade creditors        94 107
Amounts owed to subsidiary undertakings       7,500 7,500
Other taxes and social security       40 42
Other creditors       139 240
Accruals       397 649
       9,639 9,044
Amounts owed to subsidiary undertakings are non-interest bearing and are unsecured. These loans are payable on demand by the Company 
should payment be required, but full settlement within the next twelve months is unlikely to be sought.
9. Creditors: due after more than one year
       2009 2008 
       £000 £000
Bank term loan       3,000 3,400
The term loan is secured by a floating charge over the property (note 5). Interest is charged at 1.25% (2008: 1.25%) over base rate.
Repayment of total borrowings
       2009 2008 
       £000 £000
Over five years       1,400 1,800
Between two and five years       1,200 1,200
Between one and two years       400 400
After more than one year       3,000 3,400
  
Within one year (note 8)       400 400
       3,400 3,800
In July 2007, the Company agreed terms for new facilities from Barclays Bank PLC replacing the Burdale Financial Limited funding. The facilities 
comprise of a variable rate Term Loan secured on the Group’s freehold property of £4 million which is being repaid on a 10 year profile.
Under the Barclays Bank PLC facilities, the Group are subject to a various financial covenants which apply to the term loan, including interest 
cover and debt service. The Group was also subject to similar covenants under the previous Burdale Financial Limited funding facilities.
Any non-compliance with covenants could, if not remedied or waived, constitute an event of default with respect to any such arrangements.  
The Group has reported to its financiers that it was in full compliance with its financial and operational covenants throughout each of the  
periods presented.
There is a set off arrangement for Group bank accounts held with the UK clearing bank. 
10. Provisions – deferred tax liability
       2009 2008 
       £000 £000
Balance at start of the year       74 –
(Credit)/charge to profit and loss account       (74) 74
Balance at end of the year       – 74
Notes to the Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
59
Accounts
10. Provisions – deferred tax liability continued
The deferred tax liability arises from:
       2009 2008 
       £000 £000
Capital allowances in excess of depreciation       – 74
Unrecognised net deferred tax assets at 31 January 2009 are £1,269,000 (2008: £1,068,000) relating to tax losses and other short-term timing 
differences. These will be realised as and when they reverse against suitable future taxable profits.
       2009 2008 
       £000 £000
Depreciation in excess of capital allowances       7 15
Tax losses       997 893
Other timing differences       265 160
       1,269 1,068
There is also capital tax loss of the Company at 31 January 2009 of £4,885,000 (2008: £4,885,000) but no deferred tax asset has been 
recognised as it is not considered probable that these losses will be utilised.
 
11. Share capital
       Number of 
Ordinary shares of 1p each:        shares £
Authorised share capital:  
1 February 2008 and 31 January 2009       85,000,000 850,000
  
Allotted, called up and fully paid:  
1 February 2008 and 31 January 2009        59,006,162 590,062
The Walker Greenbank PLC Employee Benefit Trust (‘the trust’) holds 2,549,146 shares (2008: 2,549,146) with a cost of £601,202 (2008: 
£601,202) and the market value at 31 January 2009 of £261,287 (2008: £1,038,777).
During the year Walker Greenbank PLC purchased 275,000 ordinary shares of 1p each at a price of 30p and at a total cost of £82,748. The total 
number of shares held in treasury are 1,690,093 (2008: 1,415,093) and represent 2.9% (2008: 2.4%) of the issued shares. The market value of 
these shares at 31 January 2009 was £173,235 (2008: £576,650).
The shares held by the trust and the treasury shares are held for the purpose of satisfying awards under long term incentive plans to Executive 
Directors and senior management. 
Long Term Incentive Plans (LTIPs)
The Group operates a Long Term Incentive Plan. As at the balance sheet date there had been two awards under this plan, in which Executive 
Directors and senior management of the Group participate. The LTIP has previously been approved by the shareholders at an Annual General 
Meeting. Further details are included in note 24 of the consolidated financial statements of the Group which are separately included within this 
Annual Report and Accounts. 
On 27 May 2009 further awards were made to the Executive Directors, a total of 1,700,000 ordinary shares. Walker Greenbank PLC 
Annual Report and Accounts 2009
60
12. Shareholders fund and reserve movement
     Share Profi t  
    Share premium and loss Capital 
     capital account account reserve Total 
    £000 £000 £000 £000 £000
1 February 2007 
(as previously reported)    590 457 11,541 41,888 54,476
Restatement retained profit 31 January 2007    – – 28 – 28
1 February 2007  
(as restated)    590 457 11,569 41,888 54,504
     
Accrual for long term incentive plan liabilities     – – 363 – 363
Profit for the year     – – 275 – 275
Treasury shares    – – (612) – (612)
31 January 2008    590 457 11,595 41,888 54,530
Accrual for long term incentive plan liabilities     – – 414 – 414
Loss for the year     – – (4,103) – (4,103)
Treasury shares    – – (83) – (83)
31 January 2009    590 457 7,823 41,888 50,758
The restatement referred to above arises from the adoption of UITF 44 and has resulted in an increase in profit for the year ended 31 January 
2008 of £85,000 and an increase in net assets and share holders funds at 31 January 2008 of £113,000.
Capital reserve represents:        £000
Capital redemption reserve for deferred shares        1,003
Capital redemption reserve for ‘B’ shares        40,885
        41,888
13. Dividends
The Directors do not propose a final dividend in respect of the year ended 31 January 2009 (2008: no dividend proposed).
14. Operating lease commitments
Annual commitments due under non-cancellable operating leases are as follows:
 
     Land and   Land and  
     buildings Other buildings Other 
     2009 2009 2008 2008 
     £000 £000 £000 £000
Operating leases which expire:    
Within one year      – – – –
Between one and five years      – – – –
Over five years      453 – 447 –
     453 – 447 –
Notes to the Accounts continued Walker Greenbank PLC 
Annual Report and Accounts 2009
61
Accounts
15. Disclosure of fair values of derivative financial instruments
       2009 2008 
       £000 £000
Forward foreign exchange contracts        (812) (110)
The Group’s US based subsidiary, Walker Greenbank Inc., sells products to local customers with sales invoiced in US dollars. As the Group’s 
presentation currency is sterling it is exposed to changes in the reported sterling value of these sales. The Group considers that it is highly 
probable that future sales of this nature will continue to arise over at least the next 12 months. During the year Walker Greenbank PLC has 
entered into monthly forward foreign exchange contracts up to January 2010, with a third party, to buy sterling and sell dollars. As at the reporting 
date the fair value of the forward foreign contracts is a liability of £820,000 (2008: £110,000). 
The Group make more purchases from the euro zone than sales made to the euro zone. As the Group’s presentation currency is sterling it is 
exposed to changes in the reported sterling value of the purchases. The Group considers that it is highly probable that future purchases of this 
nature will continue to arise over at least the next 12 months. During the second half of the year Walker Greenbank PLC has entered into monthly 
forward foreign exchange contracts up to December 2009, with a third party, to buy euros and sell sterling. As at the reporting date the fair value 
of the forward foreign contracts is an asset of £8,100 (2008: £nil).
16. Contingent liability
The Company is party to a cross guarantee relating to the borrowings of its subsidiary Abaris Holdings Limited under the funding arrangement 
with Barclays Commercial Bank. Walker Greenbank PLC 
Annual Report and Accounts 2009
62
Five Year Record
    2005 2006 2007 2008 2009 
    UK GAAP UK GAAP IFRS IFRS IFRS 
    £000 £000 £000 £000 £000
Turnover    50,611 48,392 54,369 62,448 63,698
Overseas turnover by location of customer    19,724 18,916 18,374 20,908 22,672
Operating profit/(loss)     (2,690) 5,018 3,757 3,961 3,561
Operating profit/(loss) before exceptional items and discontinued operations  (3,062) 758 2,481 3,961 3,561
EBITDA    (322) 2,845 4,323 5,783 5,407
Profit/(loss) before taxation    (807) 2,625 2,694 3,099 2,787
Capital expenditure     1,187 710 1,447 1,797 1,527
Profit/(loss) per share    (1.48p) 4.51p 4.67p 14.49p  2.96p
Average number of employees    613 539 548 586 594
Dividends    – – – – –
Shareholders’ funds     7,070 8,597 12,943 20,799 19,911
Dividend per share    – – – – –
The data for 2007 has been restated from UK GAAP to International Financial Reporting Standards. Data prior to 2007 has not been restated.
The operating loss for 2005 has been restated to reflect the impact of FRS 4. 
EBITDA is based on operating profit before exceptional items.
Financial Calendar
Annual General Meeting  22 July 2009 Announcement of half-year results  October 2009
Walker Greenbank PLC
Chalfont House
Oxford Road
Denham
UB9 4DX
T: 08708 300 365
F: 08708 300 364 
www.walkergreenbank.com 
  Walker Greenbank PLC 
Annual Report and Accounts 2009
63
Notes Walker Greenbank PLC 
Annual Report and Accounts 2009
64
Notes Highlights from 2009
Contents
£63.70
m
 
Revenue up 2% (2008: £62.45 million) supported by 
the continued progress of the Sanderson brand.
£2.79
m
Profit before taxation down 10% (2008: £3.10 million).
£3.56
m 
Operating profit down 10% (2008: £3.96 million).
2.96
p
Earnings per share (2008: 14.49p). Adjusted 
earnings per share 4.97p (2008: 5.44p) after 
excluding the impact of deferred tax.
31 %
Gearing reduced to 31% (2008: 35%) with Shareholders’ 
Funds of £19.91 million (2008: £20.80 million) and 
interest cover improved to 5.1 times (2008: 4.0 times).
Overview
02 Our business at a glance
06 Our brands
07 Our manufacturing
08 Chairman’s Statement
10 Chief Executive’s Review
12 Financial Review
14 Directors and Advisers
Directors’ Report
16 Report of the Directors
18 Statement of Directors’ Responsibilities
Accounts
19  Independent Auditors’ Report on 
Consolidated Financial Statements
20 Consolidated Income Statement
21  Consolidated Statement of Recognised 
Income and Expense
22 Consolidated Balance Sheet
23 Consolidated Cash Flow Statement
24 Notes to the Consolidated Accounts
52  Independent Auditors’ Report on 
Company Financial Statements
53 Company Balance Sheet
54 Notes to the Accounts
62 Five Year Record
Inside back cover: Collection - Arkona
Design - Deco & Amalfi
Right: Le Temple De Jupiter, Chantemerle 
Papers, Zoffany.
Walker Greenbank PLC is a luxury interiors group whose brands 
include Harlequin, Sanderson, Morris & Co. and Zoffany. Our  
brands are targeted at the mid to upper end of the premium market.  
They have worldwide distribution including prestigious showrooms  
at Chelsea Harbour, London and the D&D building, Manhattan,  
New York. Half of the brand’s turnover is sourced in-house from  
the Group’s own specialist manufacturing facilities. 2009
ANNUAL REPORT AND ACCOUNTS
Walker Greenbank PLC 
Luxury interior 
furnishings group 
www.walkergreenbank.com Walker Greenbank PLC 
Chalfont House 
Oxford Road 
Denham 
UB9 4DX 
T: 08708 300 365 
F: 08708 300 364 
Walker Greenbank PLC ANNUAL REPORT AND ACCOUNTS 2009