We create some of the world’s most 
distinctive and technically advanced 
paper products, using materials from 
cotton and wood to carbon fibre. 
We support industries from packaging 
to digital imaging and aerospace with 
products that are at the cutting edge 
of performance.   © Steven Barber Photography - Invest in South Lakeland 11 STRATEGIC  
 REPORT
12 FINANCIAL HIGHLIGHTS
13 FINANCIAL SUMMARY
14 CHAIRMAN’S LETTER
18 CHIEF EXECUTIVE’S REVIEW
24 FINANCIAL REVIEW
41 GOVERNANCE
42 BOARD OF DIRECTORS
44 REPORT OF THE DIRECTORS
52 DIRECTORS REMUNERATION 
 REPORT
57  FINANCIAL 
 STATEMENTS
58 INDEPENDENT AUDITOR’S 
 REPORT
59 STATEMENT OF 
 COMPREHENSIVE INCOME
60 STATEMENT OF FINANCIAL 
 POSITION
61 STATEMENT OF CASH FLOWS
62 STATEMENT OF CHANGES 
 IN EQUITY
64 NOTES TO THE FINANCIAL 
 STATEMENTS
88 SHAREHOLDER INFORMATION
05
C ONTENT S In 2014 the board of James Cropper plc reviewed and 
redrafted the company’s vision and values. We attach great 
importance to both, not least as they provide the basis for 
much more, from our new branding and evolving business 
plans to the leadership attributes and culture we wish to 
protect and promote.  
Accordingly we dedicated a significant amount of time to 
the process of revision.  The resulting vision is shown on 
the first page of this report.  The values are shown opposite. 
We have chosen to expand on and explain nearly all of these
and provide objective measures of our performance where
possible.   Profitable growth – which was included as we felt it 
was something we needed to value even if an output – is only 
omitted as it is covered in the bulk of this report. 
PRIDE AWARDS 2015
This is the sixth year of the James Cropper Pride Awards. 
These continue to be a key way in which we celebrate outstanding
achievement and effort as well as reconfirming our commitment
to our values.  The six categories are closely tied to our values, 
as shown opposite.  
Employees are nominated by their colleagues and the winners 
selected by a panel comprising of employees across the group.  
More details on each category and the winners are shown 
within the pages expanding on our values.
Introduction
06
WHAT WE VALUE Introduction
07
Sustainability
Profitability
Trust, Dignity
and Respect
Continuous
Learning
Community
Focused
Support for
Colleagues
Safety
Community Environment
Innovation and
Creativity and
Customers
Taking Pride
Safety at
Work
Successful
Customers
Motivated
Workforce Our Values and Pride Awards
08
Pictured below with Sir James 
Cropper on the left is Richard 
Graham who joined in April 
2015 and is, at the time of this 
report,  our most recent recruit,  
and on the right is Peter Malin 
who joined in August 1966 
and is approaching 49 years 
of service with the company.
Also featured are a selection 
of photographs from the James 
Cropper archives capturing 
images through the generations.
OUR VALUES AND PRIDE AWARDS Our Values and Pride Awards
09
TRUST, DIGNITY AND RESPECT
At James Cropper, behaving and interacting with others 
with integrity is at the heart of what we do.  As long as a 
century ago we were known nationally as the ‘gentlemen 
of the paper trade’, though one origin of this value is perhaps 
even older – our founder James Cropper was a Quaker by 
birth, and the core tenet of the Quaker faith was adherence 
to truth in all matters. 
This is not an easy value to measure, although we believe the 
longevity of our relationships with employees, customers, 
suppliers and many others is testimony to this – we usually 
count in decades. Pictured right below is Peter Robinson 
(No. 4 Machineman) who joined the Company in 1970 
and is the sixth generation of his family to be employed 
by James Cropper.  
This value underpins all the others and much else besides.  
It is about valuing every individual we come across in 
our working lives. 
PRIDE: SUPPORT FOR COLLEAGUES
PRIDE AWARD WINNER: 
MARK PALMER 
(Process & Project Co-ordinator)
Mark is always happy to help the machine crews with 
problems and his knowledge of the steam and wet end systems 
across production is invaluable. Although he spends most  
of his time dealing with issues in the reclaimed fibre plant, 
Mark is always there to give a helping hand.
5 - 10
YEARS
24%
10 - 20
YEARS
25%
20 - 30
YEARS
17% 
OVER 30
YEARS
9% BETWEEN 0 - 5 YEARS
75% OF OUR EMPLOYEES HAVE BEEN WITH THE COMPANY FOR 5 YEARS OR MORE © Steven Barber Photography - Invest in South Lakeland S TRATEGIC
REPORT
Strategic Report
11
12 FINANCIAL HIGHLIGHTS
13 FINANCIAL SUMMARY
14 CHAIRMAN’S LETTER
18 CHIEF EXECUTIVE’S REVIEW
24 FINANCIAL REVIEW Strategic Report - Financial Highlights
12
FINANCIAL HIGHLIGHTS
(2011 included exceptional pension curtailment adjustment)
3.5
2.1
2.1
0.8
3.4
2015
2014
2013
2012
2011
PROFIT BEFORE TAX
(excluding IAS 19 Pension adjustments)
£3.5m
£83.1m
TOTAL REVENUE GEOGRAPHICAL % SEGMENTATION
OF REVENUE
83.1
84.5
79.2
78.2
83.3
2015
2014
2013
2012
2011
£2.6m
PROFIT BEFORE TAX
2.6
1.3
1.2
1.0
12.8
2015
2014
2013
2012
2011
(2011 included exceptional pension curtailment adjustment)
DILUTED EPS
20.1p
20.1
15.0
10.0
9.5
117.4
2015
2014
2013
2012
2011
(2011 included exceptional pension curtailment adjustment)
6.1
10.3
9.3
6.5
1.7
2015
2014
2013
2012
2011
£6.1m
NET DEBT
2.6
3.0
4.1
5.9
2.3
2015
2014
2013
2012
2011
CAPITAL EXPENDITURE
£2.6m
20
35
33
23
6
2015
2014
2013
2012
2011
2015
2014
2013
50 40 30 20 10
2012
2011
UK
(excluding IAS 19 Pension adjustments)
20%
GEARING
Europe
Americas
Asia
Other
2011 in all graphs have been re-presented to exclude the discontinued Paper Mill Shop operation. Strategic Report - Financial Summary
13
FINANCIAL SUMMARY
SUMMARY OF RESULTS
 2015 2014 2013  2012 2011 (i)
 £’000 £’000 £’000 £’000 £’000
Revenue 83,052 84,518 79,241 78,223 83,264
Operating profit before interest 
(excluding IAS 19 impact) 3,899 2,545 2,535 1,207 3,361
Profit before tax 
(excluding IAS 19 impact) 3,494 2,088 2,052 843 3,390
Impact of IAS 19 (919 ) (775 ) (806 ) 128 9,392
Profit before tax 
(after IAS 19 impact) 2,575 1,313 1,246 971 12,812
Earnings per share - diluted 20.1p 15.0p 10.0p 9.5p 117.4p
2011 (i) has been re-presented to exclude the discontinued Paper Mill Shop operation.
BALANCE SHEET SUMMARY
 2015 2014 2013  2012 2011
 £’000 £’000 £’000 £’000 £’000
Non-pension assets – excluding cash 50,810 51,093 48,426 46,278 44,000
Non-pension liabilities  – excluding borrowings (14,289 ) (11,230 ) (10,831 ) (11,956 ) (13,481 )
 36,521 39,863 37,595 34,322 30,159
Net IAS 19 pension deficit  (after deferred tax) (11,554 ) (9,312 ) (7,972 ) (5,850 ) (1,039 )
 24,967 30,551 29,623 28,472 29,120
Net borrowings (6,105 ) (10,277 ) (9,286 ) (6,505 ) (1,711 )
Equity shareholders’ funds 18,862 20,274 20,337 21,967 27,407
Gearing % - before IAS 19 deficit 20% 35% 33% 23% 6%
Gearing % - after IAS 19 deficit 32% 51% 46% 30% 6%
Capital expenditure £’000 2,619 2,958 4,072 5,934 2,276 Strategic Report - Chairman’s Letter
14
CHAIRMAN’S LETTER
MARK CROPPER 
Chairman, James Cropper plc.
Dear Shareholders
I am pleased to report that James Cropper plc made 
considerable progress in 2014/15.  
The strengthening of the business is evident in the many 
improvements that are being implemented across the  
Group and borne out in our improved profitability.
During the year, the operations of James Cropper Speciality 
Papers and James Cropper Converting were brought together 
and re-branded as James Cropper Paper under a management 
team drawn from both businesses.  This decision was 
well received by our customers and ensures we are able  
to offer them our full range of products, as well as access 
to excellence in supply chain management, service, quality, 
innovation, sustainability and brand development.
The operations of Technical Fibre Products (“TFP”) have 
been improved in the year by manufacturing developments 
which have reduced costs and increased capacity, all of 
which helped TFP to meet increased demand and more than 
double profitability year on year. Investment in additional 
manufacturing equipment will double our capacity for TFP 
in the UK and this is progressing according to plan with early 
commissioning expected to commence mid July of this year. 
This additional capacity will support our ambitious growth plans.
On the human resources side, we continue to strengthen the 
teams in both our businesses through selective recruitment, 
development and training.  Our commitment to investing 
in our people is encapsulated in our value “Continuous 
Learning”, which is covered elsewhere in this report, and in 
our focus on succession planning which forms another key 
part of our HR strategy.
The Group’s five strategic growth platforms, set out in 
detail in the CEO review (from page 18), are now firmly 
established across the company and are supporting its transition 
2011
2012
2013
2014
2015
7.9p
7.9p
7.9p
7.9p
8.5p
DIVIDEND PER SHARE 2015 Strategic Report - Chairman’s Letter
15
to a culture which focuses on sustained growth. It has been 
this determination to improve margins, build operational 
efficiencies and sustain growth whilst maintaining a focus  
on our strategic platforms that has served us well and enabled 
us to deliver the improvement in profitability reported herein. 
Together with the steps taken to preserve and promote our 
values we are hopeful that we are building strong foundations 
for future success.
John Denman retired from the Board at the AGM on 30 
July 2014. John served James Cropper plc for 19 years having 
joined the Group in 1995 and I would like to thank him for  
his tremendous contribution to the company over many years.   
I am also very pleased to congratulate Isabelle Maddock 
on her appointment to the Board on 31 July 2014 as Group 
Finance Director. Isabelle joined James Cropper plc in 2006  
as Group Financial Controller and served as Head of Finance 
from September 2013. 
Diluted Earnings per Share (after the adjustment for IAS 19) 
increased by 34% to 20.1 pence compared to 15.0 pence in 
the previous year. 
The Board is recommending a final dividend of 6.3 pence  
per share making a total dividend for the financial year  
of 8.5 pence, an increase of 7.6% on the prior year.
OUTLOOK
James Cropper Paper continues to operate in niche 
markets and we are honing our competitive edge, 
remaining focused on distinctive and technically advanced 
paper products, offering customers the expertise that comes 
from 170 years of papermaking and a continuous programme  
of investment in people, products and knowledge.  
Technical Fibre Products operates in high growth markets 
which offer many exciting opportunities including green 
technologies, aerospace, and defence. 
The Technology and Innovation division, which was set up  
in January 2014, has identified a diversification opportunity.  
A new business for James Cropper, manufacturing moulded  
products, which will build on our current strengths and  
knowledge, has been established. Investment in developing 
this business is underway.
I am delighted with the progress we have made in the past 
financial year. This was achieved as a result of the continued 
hard work and commitment of all my colleagues whom I wish 
to thank on behalf of the company and all its stakeholders. 
For many years I have communicated my belief that this 
company has great potential.  Now I see that this can 
and will be delivered in the coming years.
Mark Cropper
Chairman 16
Our Values and Pride Awards
SUCCESSFUL CUSTOMERS
Creating materials that make our customers successful has 
been a core driver for James Cropper plc for many decades.  
Tailoring products to meet exacting and often unique 
specifications is something we do every day but enabled 
by decades of investment in flexible equipment and wide-
ranging materials know-how.  Our capabilities are accordingly 
incredibly broad.
James Cropper Paper has a formidable reputation for 
supplying bespoke solutions to customers using its diverse 
range of capabilities that allows laminating, embossing, 
coating, watermarking and the creation of dazzling and 
stunning colours.  This flexibility, on one site, has made us a 
key partner for numerous leading players in branded goods, 
wine and spirits, framing, bookbinding, digital reproduction 
and electronic packaging.  
A recent example is the selection of our Obsidian black paper 
for the packaging of the Smartisan smartphone in China.  
James Cropper’s reputation  for quality and sustainability were 
cited as reflecting a key part of the brand story experience and 
we were featured as a key supplier at the launch event held in 
the China National Conference Centre in Beijing; over 
5,000 attended with nearly 3 million watching online.
TFP materials play an even more profound role in making 
customers’ successful, very often providing essential technical 
solutions in the industries served by the business.   
Not least TFP solutions are playing a key role in the aerospace 
industry as it develops lighter and more efficient aircraft 
based on composite carbon fibre materials.  TFP helps aircraft 
manufacturers and their suppliers to succeed and prosper  
by using our products to bond composites, to improve  
surface finish and to shield key electrical components.  
TFP products have also been used recently as part of a lower 
cost manufacturing system for primary aircraft structures, 
which has helped one of our customers win a significant  
new contract for a commercial passenger jet.
TFP is also taking a lead in recycling carbon fibre waste 
produced by aircraft manufacturers, further reducing  
the impact of this industry and providing customers with 
the means to demonstrate environmental responsibility.
PRIDE: INNOVATION &  CREATIVITY
PRIDE AWARD WINNER:  
BOB DUVALL 
(TFP Inc)
Bob continues to impress his colleagues with his knowledge 
and skills for plating. Plating operations have existed for 
decades, however Bob is always ready to try new ideas and 
applications. Even though certain plating concepts have been 
deemed unsuccessful in the past, Bob will come up with new 
suggestions and attempt to do things that have never been 
done before in the plating world.
PRIDE: CUSTOMER SERVICE
PRIDE AWARD WINNER: 
DEAN PENNINGTON 
(TFP Operator)
No job request or problem fazes Dean. He always takes it on 
positively and nothing is too much trouble. His standard of 
work and attention to detail is exemplary. Since joining TFP 
he has taken everything in his stride and does everything with 
a smile. He has quickly gained a reputation for going the extra 
mile and consistently works to a high standard. 
OUR VALUES AND PRIDE AWARDS Our Values and Pride Awards
01  TFP Recycled Carbon Veil
02   Bookbinding for 
international publications
03  James Cropper branded 
paper collections
04  Award winning packaging 
for the world’s leading 
manufacturer of high-quality 
chocolate and cocoa products
17
1
3
2
4 Strategic Report - Chief Executive’s Review
18
CHIEF EXECUTIVE’S REVIEW
PROFIT
I am pleased to report a 53.2% growth in operating profit 
before interest to £3.9m in the year to 28 March 2015, 
compared to £2.5m in the year to 29 March 2014  
(prior to the impact of IAS 19 pension adjustments). 
Profit before tax (after IAS 19 adjustments) in the year was 
£2.6m representing an increase of 96% on the prior year.
REVENUE
Group revenue for the financial year was £83.1m, down 1.7% 
on the prior year.
Across both businesses, UK sales were up 3.4% whilst export 
sales fell 6.9%. Across the Group, sales into the USA were down 
4.8%. Sales into continental Europe were down 11.4% partly 
reflecting the Euro, which weakened by 13% against Sterling 
over the period, and partly as a result of lower volumes.   
Exports represented 47% of revenue in the year (2014: 50%). 
By division, revenue for James Cropper Paper fell by 4.1%. 
This was affected by the planned exit of a non strategic line of 
display board business, de-stocking by a key customer and the 
Sterling’s strength against the Euro.  In order to grow exports 
in the paper division, we have invested in our regional sales 
teams, and this is starting to bear fruit. Sales in the Greater 
China area, where we established a sales and marketing 
subsidiary in April 2014, were up 32% on the prior year.
Revenue for Technical Fibre Products increased 11.5 % 
year on year, with particularly strong growth generated 
in our target sectors of aerospace, defence, industrial and 
infrastructure. The fastest growing geographical region was 
China with sales growth of 66%, albeit from a relatively 
small base. TFP’s sales in the UK grew by 31%, reflecting the 
successful re-organisation of the sales teams.  TFP has seen a 
strong recovery in the UK wind turbine industry and a year 
on year uplift in sales for the joint strike fighter programme.
RESEARCH AND DEVELOPMENT
Research and development (R&D) is a vital part of our 
growth strategy, adding to our capability, maintaining our 
competitiveness and bringing new product lines into our 
portfolios. We continue to invest in research and development 
REVENUE  OPERATING PROFIT BEFORE INTEREST 
(2014: £84.5m)  (Excluding IAS 19 Impact)
  (2014: £2.5m)
£83.1m -1.7% £3.9m +53.2%  
PROFIT BEFORE TAX NET BORROWINGS
(2014: £1.3M)  (2014: £10.3M)
£2.6m +96% £6.1m -41%
DILUTED EARNINGS PER SHARE FULL YEAR DIVIDEND PER SHARE
(2014: 15.0P)  (2014:  7.9P)
20.1p  +34% 8.5p +7.6% 
PHIL WILD 
Chief Executive Officer, James Cropper plc. Strategic Report - Chief Executive’s Review
19
JAMES CROPPER GLOBAL LOCATIONS
Worldwide presence with sales offices in Europe, China and USA
across the Group. Expenditure in R & D was £1.3m this year, 
up 7% on prior year. 
CAPITAL EXPENDITURE
Capital expenditure during the year was £2.6m (2014:£3.0m). 
The largest investment was on the additional capacity in TFP . 
This work will be completed in time for early commissioning 
in July 2015.  
PENSION
The Group operates three pension schemes. Close to 55% of 
employees have defined contribution personal payment plans. 
The Group operates two funded pension schemes providing 
defined benefits for a decreasing number of its employees.  
On the defined benefit schemes the overall value of the Schemes’ 
assets increased by 25% over the period, whilst the schemes’ 
liabilities also increased by 25%. The IAS 19 valuations of 
these schemes as at 28 March 2015 revealed a combined deficit 
of £14.4m compared with £11.6m at the previous year end, an 
increase of £2.8m. This increase in the schemes’ overall deficit 
was principally caused by a decrease in the discount rate which 
is driven by new lows on corporate bond yields. 
CASH AND DEBT
Having repaid £2.1m of debt during the year, the Group had 
gross debt of £8.8m at the balance sheet date.  At the same date, 
it had £2.7m of cash, giving a net debt of £6.1m (2014:£10.3m). 
The Group had un-drawn overdraft facilities of £4.7m. With 
short term borrowings of £2.7m to be repaid within 12 months 
of the balance sheet date, £4.7m remained available to the 
Group. Post year end, the Group has secured a £5.5m revolving 
credit facility, which further enhances it’s financial flexibility. 
Gearing at the financial year end, after deduction of the IAS 19 
pension deficit, was 32%, down from 51% on the previous year.
GLOBAL PRESENCE
The Group’s significant presence worldwide is built on 
our own international network of manufacturing, research 
and development and sales facilities and is supported by  
sales agents.
STRATEGY
Since 2013, James Cropper plc has embarked on a growth 
programme covering all functions within the group.  
The programme is built on five strategic platforms:-
• Superior levels of operational excellence
• High performance culture
• Existing market opportunities
• Gaining additional profitable market share
• Customer intimacy and market presence
BURNESIDE, UK
SCHENECTADY, USA
PHILADELPHIA, USA
BRAZIL
SOUTH AFRICA
DUBAI
INDIA
AUSTRALIA
MALAYSIA
HONG KONG, PRC
GUANGZHOU, PRC
SHANGHAI, PRC
FRANKFURT, GERMANY
CREWE, UK
PARIS, FRANCE
•
 HEAD OFFICE    
•
 MANUFACTURING    
•
 RESEARCH & DEVELOPMENT    
•
 SALES OFFICE    
•
 PARTNERS Strategic Report - Chief Executive’s Review
20
SUPERIOR LEVELS OF  
OPERATIONAL EXCELLENCE
Objective: To establish world-class standards 
for safety, quality, efficiency, capability,  
service and cost throughout our businesses.
Achievements in product development and improvement
In Paper: investment in equipment to enhance colour 
management, slitting and laminating capabilities.
In TFP: development of laminated and powder 
scattered products.
Accreditations
In Paper: Food contact papers have been approved to 
European (BfR XXXVI) and USA (FDA 176.170 and  
176.180) standards.
In TFP: FOD (Foreign Object Debris) controls and 
compliance with the AS9100 accreditation is being completed 
in support of our aerospace business.
Safety
The Group was awarded a Gold Award by the Royal Society 
for the Prevention of Accidents (RoSPA) in recognition of 
our safety work.  This recognised consistent high standards in 
monitoring health and safety on site and maintaining a process 
of continual improvement.
Supply chain
A focus on a lean supply chain has delivered significant 
increases in warehousing and storage capacities and improved 
delivery and service capabilities at a reduced overall cost.
HIGH PERFORMANCE CULTURE
Objective:  to develop our organisation by 
building on our existing skills and investing 
in our development programmes to maximise 
performance at all levels of the company,  
supported by external recruitment as necessary.
Development programmes
During the year the Group, in partnership with external 
professionals, committed substantial investment in 
employee development for our senior leadership and 
sales and marketing teams.  
External recruitment
The Group has made significant hires in operations,  
sales and marketing and technical, building further on the 
company’s capability.
In Paper we continue to invest in regional sales employees, 
with additions during the year across Europe and planned 
additions to follow in the USA.
Employee engagement
We implemented a number of actions following feedback from 
the 2013 employee engagement survey, including launching 
a new vision, values and leadership competencies.  
Our engagement levels will be measured again in our 
follow-up survey in 2015.
EXISTING MARKET OPPORTUNITIES
Objective:  to increase our market share 
within our prioritised existing markets.
Credentials
In Paper: with products containing increased levels of PCW 
(Post-Consumer Waste) as well as reclaimed fibre from 
our coffee cup recycling centre, we have enhanced our 
sustainability credentials across the product range.
In TFP: with products specified for use in the commercial 
aircraft sector and products specified into the F-35 Lightning 
II fighter jet we will benefit from higher sales as quantities for 
this programme and commercial applications increase.  
Phased exit of declining commodity markets
In Paper: an exit of a large portion of the display board market 
reducing sales by £2m, with minimal impact to profits.
Technical know-how
In Paper:  through businesses restructuring we have  
increased our ability to provide an overall solution for 
customers in specialist markets in the mid and higher  
value-add tiers. This is particularly notable within our  
luxury packaging business.  
In TFP: The provision of technical solutions in wind, energy 
and consumer electronics markets, solutions not available 
from other manufacturers. During the year, some key changes 
in the phosphoric acid fuel cell supply chain have left TFP  
well positioned to build a strong position in this market. Strategic Report - Chief Executive’s Review
21
GAINING ADDITIONAL PROFITABLE 
MARKET SHARE
Objective: to penetrate new geographic sectors  
and to grow specialised markets.
Geographical focus
In Paper: the expansion of our field-based sales team with 
additional coverage in key markets such as Germany, France 
and Spain. In 2015, a significant investment in the USA will  
be made. 
Also in Paper we have significantly strengthened the sales 
team’s language capability.
In TFP:  new business in China and Russia generates 
important revenue streams, and overall we have seen a 
double digit percentage increase in the number of new 
accounts. 
Also in TFP a more effective sales structure in Europe and 
a recognition that sales efforts are more effective when closely 
supported by members of the technology team.
Innovation and specialised markets
In Paper: a number of innovations branded under the James 
Cropper name have been launched, notably Khora, Coffee 
and Carvetian Suede.
Coffee is a new brand made from reclaimed coffee cup fibre 
separated from the plastic in the cups in James Cropper’s unique 
recycling plant.  This is a ground breaking product and has led 
to significant opportunities as well as raising the profile of James 
Cropper as a truly innovative player in the speciality paper sector.   Carvetian Suede was launched in Monaco late last year.  
It closely reproduces the soft, yet durable qualities of suede 
leathers in a paper-based form. Through the range of colours 
Carvetian Suede is manufactured with a minimum of 40% 
recycled, post-consumer waste. The product is intended 
to provide not only luxury brands with a lavish packaging 
solution, but also encourage those compiling business 
documents, brochures and creative advertising materials 
with a show stopping finish.
In TFP: investment focussed on a small number of funded 
programmes, which leverage government funding and 
relationships with primes and other supply chain partners 
with the aim of developing “future technologies.”  
The emphasis here is on composites, a fast growing market.
Also in TFP a number of development projects running 
directly with primes and tier 1 partners. These projects will 
see us strengthen our position through added know-how and 
capability in particle plating, electroplating, resistive heating 
and the application of thermoplastic veils in composites. 
Khora is a photographic quality paper with top class reproduction for creating high quality wall art.
Simple to assemble and fast to print, it serves the on-demand wall art market. CUSTOMER INTIMACY 
AND MARKET PRESENCE
Objective:  To increase customer intimacy 
and targeted geographic market presence.
Adaptation to customer needs
In Paper: development of the customer experience has been 
enhanced with extended customer service hours and improved 
product sampling, boosted by the brand experience through 
collateral and customer visits. Paper is implementing a 
relaunch of it’s brand which better reflects it’s strong heritage 
and the company’s values.
Customer reach
In TFP: significant marketing expenditure is helping to 
ensure that the company and its unique capabilities are 
better understood globally.  
Also in TFP strengthened relationships with both aerospace 
primes and tier 1 suppliers, leave us well placed to benefit  
from future growth in the aerospace sector.
Market presence
Both businesses exhibit at key events throughout Europe, 
Middle-East, Asia, Australasia and North America, and 
actively participate as subject matter experts in our field 
of expertise. Our exhibitions and PR strategy are proving 
effective in generating increased enquiries, visits to our web 
sites and attracting new customers.
BUSINESS PORTFOLIO ANALYSIS - 
DIVERSIFICATION & INNOVATION
Over the past 24 months we have reviewed and refined 
the focus for each of the James Cropper businesses. As the 
business strategy in Paper and TFP has taken hold it has 
allowed time to evaluate the opportunity for the company 
to innovate further to diversify the group. As a result in 2014 
the company established a new department: “Technology 
and Innovation” with the objective to build a third business 
for the company.
Following 18 months of testing and evaluation of a range 
of different opportunities, we have now concentrated our 
effort to develop one specific business. James Cropper 
3D Products will require significant up front investment 
and is expected to become profitable in 2018. More details 
of the business as it becomes established will follow through    
the year. 
Our strategy is now on a solid foundation and is starting to 
yield results across all of our businesses.  I am very encouraged 
with the progress made by the team and I remain highly 
confident on our ability to achieve significant future growth 
in both new and existing businesses.
Phil Wild
Chief Executive Officer
Strategic Report - Chief Executive’s Review
22 23 Strategic Report - Financial Review
24
FINANCIAL REVIEW
SUMMARY (excluding IAS 19 adjustments)
         PROFIT
         NET BEFORE
 PAPER TFP GROUP PAPER TFP OTHER GROUP INTEREST TAX
 £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000
2015 68,505 14,547 83,052 2,419 2,719 (1,239 ) 3,899  (405 ) 3,494
2014 71,471 13,047 84,518 2,023 1,278 (756 ) 2,545  (457 ) 2,088
Group turnover for the financial year was £83m, down 1.7% on last year. Reduced sterling revenues from the Euro zone 
markets, a key customer de-stocking and the exit of display board business all contributed to a deflated revenue line. Despite 
these headwinds strong sales in TFP , cost savings in energy and operational efficiencies have led to a 67% increase in profitability, 
with a profit before tax (excluding the impact of IAS 19) being £3.5m against £2.1m in the prior year. 
After taking account of IAS 19 the Group’s profit before tax in the year was £2.6m (2014: £1.3m). 
IMPACT OF IAS 19 PENSION ADJUSTMENTS  
      
     ADJUSTED 
 PROFIT SERVICE  IAS 19 PROFIT
 BEFORE TAX CHARGE  INTEREST ADJUSTMENTS BEFORE TAX
     PROFIT  
 £’000 £’000 £’000 £’000 £’000
2015 3,494 (418 ) (501 ) (919 ) 2,575
2014 2,088 (307 ) (468 ) (775 ) 1,313
The table below captures key expenses down to operating profit before interest (excluding IAS 19). The largest Group year 
on year savings are in energy charges with the overall cost of consumption being £5.2m compared to £6.0m in the comparable 
period.  The unit commodity cost of natural gas was down 19% on the previous financial year. Group raw material and 
consumable costs were £34.4m down 6.8% on last year driven by price, efficiency and volumes. Research and development 
expenditure is up 7% to £1.3m on prior year, the costs incurred are in materials and consumables used on trials and employment 
related expenditure.
The average number of people employed increased from 518 to 526 over the year. Included in employment costs are provisions 
for a profit related bonus payout due to employees as a result of the successful growth in profitability.  Prior to the IAS 19 
pension adjustment employment costs were £22.2m compared to £20.8m in the previous year. IAS 19 dictates that a charge  
be made against operating profits of £0.4m over and above the cost of future service contributions, (2014: £0.3m), the cost  
of employment after the impact of IAS 19  as presented in the Income Statement, is £22.6m  (2014: £21.1m). 
 2015  2014  CHANGE  CHANGE
 £’000  £’000  £’000  %
Paper Products 68,505   71,471   (2,966 ) -4.1%
Technical Fibre Products 14,547   13,047   1,500   11.5%
Revenue 83,052   84,518   (1,466 ) -1.7%
EXPENSES        
Raw materials and consumables used (34,415 ) (36,909 ) 2,494   -6.8%
Energy costs (5,186 ) (5,994 ) 808   -13.5%
Employee benefit costs  (22,189 ) (20,842 ) (1,347 ) 6.5%
Depreciation and amortisation (2,502 ) (2,654 ) 152   -5.7%
Other expenses (15,427 ) (16,100 ) 673   -4.2%
Other income and changes in inventory 566   526   40   7.6%
 (79,153 ) (81,973 ) 2,820   -3.4%
OPERATING PROFIT before Interest (Excluding IAS 19 impact) 3,899  2,545  1,354   53.2%
REVENUE
BEFORE IAS 19 ADJUSTMENTS IAS 19 ADJUSTMENTS
OPERATING PROFIT BEFORE INTEREST Strategic Report - Financial Review
25
  2015  2014  CHANGE  CHANGE
 £’000  £’000  £’000  %
OPERATING PROFIT before interest  3,899  2,545  1,354  53.2% 
(Excluding IAS 19 adjustment)    
Depreciation and amortisation 2,502  2,654  (152 ) -5.7%
EBITDA 
*
(before IAS 19 adjustment) 6,401  5,199  1,202  23.1%
*
EBITDA is operating profit before interest, tax, depreciation and amortisation.
The Group has a moderate 6% decrease in depreciation this year on the prior year.  EBITDA increased by 23% to £6.4m (2014:£5.2m).
TFP
REVENUE 11.5%
OPERATING PROFIT 113%
Revenue grew to £14.5m from £13.0m in the previous year,  
an 11.5% increase. Operating profit before interest more  
than doubled to £2.7m compared with the prior year of £1.3m.
The major drivers in performance came from the success 
of growth in markets outside of the US, the strong dollar 
increasing sterling revenues from the US where aerospace  
and defence business is on an upward trend. A large impact 
from operational efficiencies which helped the business  
meet demand in the year and overheads remaining under  
tight control.
Technical Fibre Products continues to invest in R&D  
with particle plating, powder scatter and nano fibre  
coating applications engaging key customers in early 
development work.
PAPER
REVENUE 4.1%
OPERATING PROFIT 20%
Revenue fell from £71.4m to £68.5m in the year, down 4.1% 
principally as a result of the strong sterling against the euro 
combined with the planned exit from non-strategic markets,  
a key customer de-stocking and weak demand from Europe.  
With a strong dollar affecting raw material input costs it 
has been a very challenging year.  Despite these headwinds 
operating profit before interest increased to £2.4m from  
£2.0m in the prior year. 
The cost of Northern Bleached Softwood Kraft (“NBSK”) 
wood-pulp opened at $920/tonne rising progressively to 
US$933/tonne by the end of December 2014 and only falling 
downwards at the year end to $886/tonne. The cost of 
Northern Bleached Hardwood Kraft (“NBHK”) wood-pulp 
opened at $766/tonne and ended the year at $755/tonne.  
James Cropper Paper continues to invest in R&D. In 2014 
the Group launched a range of 6 coffee themed colours which 
contain 50% reclaimed fibres, providing an environmentally 
conscious choice for a range of applications. The team are 
now placing an increasing emphasis on a range of food contact 
approved papers. Strategic Report - Financial Review
26
CURRENCY   $ € 
Opening rate April 2014 v. £  1.6641 1.2097
Closing rate March 2015 v. £  1.4826 1.3677
Exchange rate movement  10.9% -13.1% 
Strengthen/(Weaken) v. £
The majority of exports into continental Europe are invoiced in €s. €s are used to purchase € priced pulp and other € priced 
raw materials. Similarly, export sales outside Europe are invoiced in $ and the receipts fund the purchase of $ priced pulp. 
The situation is monitored to ensure that whenever possible currency receipts and payments are matched. These steps reduce 
exposure to foreign currency rate fluctuations and in the last year the exposure was closely matched in $ and not so well matched 
in €s. The table above compares the opening and closing exchange rates for the financial year against the exchange rate movement 
in the year,  the euro having weakened by 13% against sterling in the year whilst the dollar strengthened by 11% in the period. 
Potential foreign currency surpluses or deficits are dealt with by a combination of foreign currency forward selling and forward 
purchasing contracts. No forward contracts are in place at the balance sheet date, more detail of the Groups foreign exchange 
exposure is discussed under the Principal Risks section in this Annual Report. 
TAX 
The Group’s total tax charge for the year is £0.7m (2014: £0.1m credit) a tax rate of 27% on profit before tax. The effective rate 
is higher than the standard rate of corporation tax in the UK mainly as a result of the costs of overseas operations not being 
recognised for corporation tax purposes in the UK. 
The deferred tax balances as at 28th March 2015 have been calculated based on the rate of 20% substantially enacted at the 
balance sheet date.
BALANCE SHEET, CASH AND BORROWINGS
 2015 2014
 £’000 £’000
Non-pension assets – excluding cash 50,810  51,093
Non-pension liabilities – excluding borrowings (14,289 ) (11,230 )
 36,521  39,863
Net IAS 19 pension deficit (after deferred tax) (11,554 ) (9,312 )
 24,967  30,551
Net borrowings (6,105 ) (10,277 )
Equity shareholders’ funds 18,862  20,274
Gearing % - before IAS 19 deficit 20%  35%
Gearing % - after IAS 19 deficit 32%  51%
Capital expenditure £’000 2,619  2,958
Shareholders’ funds fell by £1.4m from £20.3m at the previous year end to £18.9m as at 28th March 2015. The overall IAS 19 
pension deficit increased by £2.8m to £14.4m. This was off-set by a deferred tax asset of £2.9m. The IAS 19 pension deficit,  
net of deferred tax increased by £2.2m over the year to £11.6m. Further analysis of IAS 19 on pensions is provided on page 31.
Over the year borrowings falling due after more than a year decreased by £1.8m from £7.9m to £6.1m. Net debt decreased  
by £4.2m, whilst other liabilities excluding pensions increased by £2.9m.  The Group’s aim is to provide continuity of financing 
via the generation of operating cash inflows and in the continuation of a range of financing facilities with varying maturities from 
a variety of sources. The Group has secured a £5.5m revolving credit facility post year end.  Strategic Report - Financial Review
27
 2015 2014
FACILITY PROFILE £’000 £’000
Overdraft facility 4,658 4,084
Loans 5,199 6,412
Leases 3,627 4,557
Total Facilities 13,484 15,053
Drawn 8,826 10,969
Undrawn 4,658 4,084
Undrawn facilities 4,658 4,084
Cash 2,721 692
Short term borrowings repayable within 1 year (2,720) (3,040)
Funds available in excess of 1 year 4,659 1,736
Net cash inflow from operating activities in the year was £7.8m after deducting past service pension deficit payments of £1.4m. 
The Group has focused on keeping working capital under tight control which resulted in a working capital cash inflow of £3.5m 
(2014: outflow of £1.4m). Capital expenditure was £2.6m (2014:£3.0m).
 2015 2014
CASH £’000 £’000
EBITDA (excluding IAS 19 impact) 6,401 5,199
Pension deficit payments (1,362) (853)
Decrease/ (increase) in working capital 3,475 (1,377)
Other (668) (599)
Net cash generated from operations 7,846 2,370
Capital expenditure (2,619) (2,958)
Dividends (708) (697)
Decrease in loans (2,497) (264)
Other 7 (8)
Increase/(decrease) in cash 2,029 (1,557)
Opening cash 692 2,249
Closing cash 2,721 692
Shareholders’ funds at the year-end were £18.9m and net debt was £6.1m, resulting in a gearing ratio of 32% post IAS 19 deficit. 
With EBITDA of £6.4m (2014: £5.2m) the Group’s leverage ratio (Net debt/EBITDA) is 1 (2014 leverage ratio of 2). SUSTAINABILITY
Sustainability, by which we principally mean environmental 
sustainability, is at the heart of what we do at James Cropper.   
It covers many aspects, from the way we manage our operations 
to the products we develop and the markets we choose to serve.  
More than ever we believe that embracing this value is closely 
aligned to the long-term growth and prosperity of the Group.
ENERGY
Paper-making is an energy intensive industry and as such it has 
always been important to manage our energy use as efficiently 
as possible.  We were one of the first British manufacturers 
(in any industry) to install a gas combined heat and power 
(CHP) plant in the mid-1980s, and since then have continually 
updated our generation systems.  
In 2013 we reintroduced hydroelectric power to our energy 
mix for the first time in nearly 50 years, and continue to 
exploit any opportunity to improve energy efficiency.   
The result is that our energy usage and associated emissions 
has not risen despite us adding a considerable amount of extra 
equipment over the last few years.     
Next steps for our energy management includes obtaining the 
ISO 50001 Energy Management System accreditation, which 
promotes best practice beyond statutory requirements by 
specifying a programme of continual improvement backed 
up by regular external audit.  The accreditation is underway 
and will help us better understand energy use and implement 
targeted reductions.
RAW MATERIALS
Our chief raw material is pulp, which is used by our Paper 
division.   This is only sourced from sustainably managed 
forests, which has been a long-term policy.  Details on the 
different sources of fibre we have procured over the last five 
years are given below.  In addition to virgin pulp, we are also 
sourcing a growing % of recycled fibres.  This includes recycled 
fibre certified post-consumer waste (PCW), which has grown 
five-fold in recent years.  This growth is set to continue.
The percentage of recycled fibres we derive from our 
Reclaimed Fibre (RCF) Plant also continues to rise.   
The £5m plant, opened by HM Queen in 2013, and 
predominantly recycling coffee cups, has seen its overall 
contribution to our fibre provision nearly double from 5%  
in the first few months of operation to nearly 10% in the  
last financial year.  Further process improvements will allow 
a further uplift this financial year.
Other materials we source such as mineral fillers, dyes and 
fibres and other substances procured for our TFP division, are 
carefully selected to ensure the lowest possible environmental 
impact, whether in production or the lifetime of a product. 
WATER 
James Cropper plc uses water abstracted from Cumbria’s river 
Kent.  This is as an integral part of the manufacturing process 
in both its Paper and TFP divisions.  
The abstraction is carefully managed in partnership with the 
regulator of  the Environment Agency, as is the treatment of 
all effluent arising from our operations.  Over many years 
we have sought to increase the efficiency of our water usage 
and reduce the volume of waste and waste-water.  This work 
continues apace, although it does not always result in absolute 
reductions as we continue to grow our businesses and the 
extent of operations.  Thus efficiency metrics such as cubic 
metres of water used per tonne of output (M3/T) are key 
performance indicators. 
Since 2007 we have operated a dewatering plant that allowed 
us to dry our sludge and divert it from landfill.  It is certified to 
be of agricultural benefit and supplied to local farms as a mild 
fertiliser.  Wastewater is sent via a dedicated sewer to Kendal 
Wastewater Treatment Works, where is it processed by United 
Utilities and restored to the river. 
Our Values and Pride Awards
OUR VALUES AND PRIDE AWARDS
2010/11
2,000,000
1,500,000
1,000,000
500,000
2014/15
2013/14
2012/13
2011/12
2010/11
2014/15
2013/14
2012/13
2011/12
5.0
10.0
15.0
20.0
25.0
30.0
35.0
40.0
RAW MATERIALS FIBRE SOURCE WATER ABSTRACTION RIVER KENT(M
3
/T)
2010/11
2011/12
2012/13
2013/14
2014/15
% FSC
% PEFC
% Controlled
Wood
% PCW
% RCF
28  Strategic Report - Financial Review
30
PENSIONS
The Group operates 3 pension schemes. An increasing number of employees, now close to 55%, have defined contribution 
personal payment plans, where the retirement benefits are determined by the value of funds arising from contributions paid 
in respect of each employee. The Group also operates 2 defined benefit plans which require contributions to be made into 
separately administered funds and the benefits are based on employee’s pensionable salary and length of service. The Group,  
or the Company makes contributions into employees’ personal pension plans and the defined benefit schemes. 
DEFINED BENEFIT SCHEMES : “ON-GOING” VALUATION
The Group operates two funded pension schemes providing defined benefits for a decreasing number of its employees;  
The James Cropper plc Pension Scheme (the “Staff Scheme”) and the James Cropper plc Works Pension Plan (the “Works 
Scheme”). The latest actuarial “on-going” valuations of the Group’s pension schemes at April 2013, determined the combined 
deficit of the schemes to be £12.7million. It is the Group’s legal responsibility to fund the defined benefit pension scheme deficits.
 STAFF WORKS TOTAL
 SCHEME SCHEME
TRIENNIAL “ON-GOING” VALUATION 2013 
Discount Rate 4.45% 4.45%   £’000 £’000 £’000
Assets 35,255  37,815  73,070
Liabilities (38,837 ) (46,925 ) (85,762 )
(Deficit)/Surplus (3,582 ) (9,110 ) (12,692 )
Funding level% 90.8%  80.6%
The “on-going” valuations are conducted on a tri-ennial basis and provide the Group with a steady platform to manage the 
deficit from one valuation to the next. The Group’s Operating Profit (excluding the impact of IAS 19) of £3.5m (2014:£2.1m)  
is based on the pension management in line with the latest “on-going” tri-ennial valuation. 
The schemes were closed to new members in 2000 in order to contain the Groups exposure to rising pension costs and to 
safeguard the accrued benefits to existing members. Future annual increases in pensionable pay were capped at a maximum  
of 2% as from 1st April 2011. Starting April 2014 increases in employee contributions are being phased in.  
The Company’s annual contributions to reduce the deficit have an impact on cash and the deficit as recognised on the Statement 
of Financial Position (SFP). The Group reached an agreement with the trustees on a schedule of annual cash contributions to 
eliminate the deficit as follows;
THE STAFF SCHEME
The actuarial valuation revealed a deficit of £3.6m. The Group  
has agreed that it will aim to eliminate the deficit over a period of 
4 years from 1 April 2014 by the payment of annual contributions 
of £0.6 in respect of the deficit and will meet expenses of the 
Scheme and levies to the Pension Protection Fund.
THE WORKS SCHEME
The actuarial valuation showed a deficit of £9.1m. The Group 
has agreed that it will aim to eliminate the deficit over a period 
of 11 years and 1 month from 5 April 2014 by the payment 
of annual contributions of £0.7m in respect of the deficit and 
will meet expenses of the scheme and levies to the Pension 
Protection Fund.
The defined benefit pension schemes are sensitive to a number of key factors: the value of the assets, the discount rate used to 
calculate the schemes liabilities (based on a premium above gilt yields), the rate of inflation and the mortality assumptions for 
members of the schemes. Changes in these assumptions will impact the deficit positively or negatively. The next tri-ennial  
“on-going” valuation is in April 2016 at this time payments to reduce the deficit are subject to a new agreement with the trustees.  
0
0.35
0.7
1.05
1.4
£m
2014
2015
STAFF
2016
WORKS
2017
2018
2019
2020
2021
2022
2024
2023 Strategic Report - Financial Review
31
IAS 19 PENSION VALUATION
IAS 19 “Employee Benefits” requires the Group’s actuaries to make assumptions including, but not limited to, future asset 
returns, rates of inflation, discount rates and current and future life expectancies, based on values and interest rates at the balance 
sheet date.  The use of assumptions can have a material effect on the accounting values of the relevant assets and liabilities 
recognised on the Group’s Statement of Financial Position (SFP), which in turn has an effect on the cost of such liabilities 
as recognised in the Income Statement (IS). 
As market values of the scheme assets and the discount factors applied to the scheme liabilities will fluctuate, this method of 
valuation will often lead to large variations in the “pension balance” year on year. The actuarial gains and losses arising from 
variances against previous actuarial assumptions are passed through to the balance sheet with corresponding movements in 
reserves. Specific movements are offset by actual contributions paid by the employer in the period. 
The overall value of the schemes’ assets increased by 25% over the period, whilst the schemes liabilities also increased by 25%. 
The IAS 19 valuations of these schemes as at 28 March 2015 revealed a combined deficit of £14.4m compared with £11.6m at the 
previous year end, an increase of £2.8m.
SCHEME DISCOUNT RATES AND 
PENSION DEFICITS UNDER IAS 19
IAS 19 VALUATION 2015      BOTH SCHEMES 
 STAFF  WORKS  TOTAL  TOTAL  CHANGE
 SCHEME  SCHEME  2015  2014  %
Discount Rate 3.30%  3.30%   £000s  £000s  £000s  £000s  
Assets 45,271  47,075  92,346  73,842  +25%
Liabilities (48,345 ) (58,443 ) (106,788 ) (85,482 ) +25%
(Deficit) (3,074 ) (11,368 ) (14,442 ) (11,640 ) +24%
Funding Level - % 94%  81%  86%  86%
The increase in the schemes overall deficit was principally 
caused by a decrease in the discount rate to 3.30% used to 
value the schemes liabilities (4.50% at March 2014). 
The fall in the discount rate which is driven by new lows on 
corporate bond yields has driven a substantial increase in 
the scheme’s liabilities over the year, off set in part by the 
increase in asset values over the period. 
Under IAS 19 the pension deficit is likely to be volatile 
and may in the future be very different from this current  
year end position.  An indication of the potential variability 
of the scheme deficits under IAS 19 is set out in the chart 
opposite. The Group’s IAS 19 deficit has fluctuated markedly 
since 2005. The large declines in the combined deficit in 2008 
and 2011 were as a result of significant reductions in future 
service benefits introduced in April of those years.
IMPACT ON PROFIT
The Group manages pensions based on the latest on-going valuation and this provides a steady basis by which the deficit can 
be managed. The Group is however, required to report the impact of IAS 19 on pensions. The Group’s Operating Profit before 
Tax is based on the adjustments required to incorporate IAS 19 “Employee Benefits”. 
The methodology set out under IAS 19 to calculate the pension scheme deficit is just one of a number of ways of calculating the 
deficit at a point in time and the assumptions used by the actuaries for their IAS 19 valuations are likely to be very different from 
those used with regard to their “on-going” valuations.  Upon valuation at subsequent year-ends the movement in value from the 
previous valuation is expressed in the following component parts:
‘05 ‘06 ‘07 ‘08
Scheme Discount Rates
‘09 ‘10 ‘11 ‘12 ‘13 ‘14 ‘15
0.0%
1.8%
3.5%
5.3%
7.0%
(£16m)
(£12m)
(£8m)
(£4m)
0
IAS 19 Pension Deficits (£m) Strategic Report - Financial Review
32
IAS 19 IMPACT ON OPERATING COSTS
The cost of providing post-employment benefits decreased 
from £1,718,000 in 2014 to £1,516,000 in 2015. This charge 
was included in full within Operating Profit on the Income 
Statement. Actual future service pension contributions paid 
in the period by the Group to its two final salary schemes in 
accordance with the actuaries’ recommendations, resulting 
from their 2010 “on-going” valuations, were £561,000. 
Under IAS 19 the charge against operating profit in the 
year was £979,000. This sum includes an excess charge of 
£418,000 required by IAS 19 over and above the future service 
contributions. The table above analyses employment costs 
charged against Operating Profit.
IAS 19 IMPACT ON FINANCE COSTS
The income from plan assets allowed for in the interest cost is 
based on the discount rate, this impacts the costs shown in the 
Income Statement. A charge of £0.5m is charged to the income 
statement this year (2014: £0.5m in 2014).
IAS 19 TOTAL IMPACT ON PROFIT
The Group’s Operating Profit before Tax is based on the 
adjustments required to Operating Profit to incorporate  
IAS 19 “Employee Benefits” as described in this section.
THE TOTAL CHARGE AGAINST PROFITS FOR THE 
YEAR END 28 MARCH 2015 IS £0.92M (2014: £0.78M).
 2015 2014  CHANGE 
TOTAL ADJUSTED EMPLOYMENT COSTS £000 £000  £000
Wages and salaries 19,403 17,806  (1,597 )
Social security costs 1,688 1,625  (63 ) 
Pension costs - future service pensions contributions paid 561 662  101
Other pension costs 537 749  212
Chargeable against Trading Operating Profit 22,189 20,842  (1,347 )
Wages and salaries 19,403 17,806  (1,597 )
Social security costs 1,688 1,625  (63 ) 
Pension costs - future service pensions contributions paid 979 969  (10 )
Other pension costs 537 749  212
Chargeable against Group Operating Profit 22,607 21,149  (1,458 )
Difference being: NET IAS 19 pension adjustment to operating profit 418 307  (111 )
MOVEMENTS WHICH AFFECT PROFIT 
OPERATING COSTS
•
  Current service charge, being the cost of benefits earned in 
the current period shown net of employees’ contributions.
•
 Past service costs, being the costs of benefit improvements.
•
 Curtailment and settlement costs.
FINANCE COSTS, BEING THE NET OF
•
 Expected return on pension scheme assets
•
 Interest cost on the accrued pension scheme liabilities
This chart sets out the 2 key impacts of IAS 19 on Profit before Tax (excluding the impact of IAS 19) at the year end 
to report a Profit before Tax in the Income statement on page 59, for the year to 28 March 2015 and 29 March 2014.
1,000
2,000
3,000
4,000
Mar ‘15  Profit
before tax
excluding IAS 19
Mar ‘14  SCI
Profit before tax 
IAS 19 impact on
Finance costs
IAS 19 impact on
Operating Costs
IAS 19 impact on
Finance costs
Mar ‘15 SCI
Profit before tax
Mar ‘14  Profit
before tax
excluding IAS 19
IAS 19 impact on
Operating Costs
3,494
1,313
468
307
501
2,575
2,088
418
£000 33
Our Values and Pride Awards
MOTIVATED WORKFORCE
Employee engagement is essential if James Cropper is 
to deliver its aspirations. 
In recent years we have recognised this more than ever,  
leading us to commission an Employee Survey in 2013.  
This was designed to measure engagement levels across  
three principal areas: 
1. Commitment to organisation’s goals and values 
2. Motivation to contribute to organisational success 
3. Ability to enhance their own sense of well-being
The results were mixed, however the response rate of 76% was 
above average.  81% said they were proud to work for James 
Cropper plc while 83% said they understood and supported 
the company’s values.  These were both high ranking scores.   
However, the survey highlighted a number of areas that 
needed to be addressed. This included performance 
management and leadership development, individual and 
collective employee development, employee recognition and 
knowledge of our competitors.
We have made many changes to consolidate the positives 
and address these shortcomings, including:
•  Leadership competencies introduced and launched based 
on input from line managers and designed to tie in with 
revised vision and values   
•  People managers and sales teams taking part in major 
development programmes focussing on performance 
management and commercial skills 
•  Regular discussions (formal and informal) to plan 
individual and team development. Staff appraisals include 
career development plans
• All employee business briefings several times per year 
• Monthly face-to-face briefings for each department 
•  Weekly news and updates provided by  
communications screensaver 
In 2015 we will be running the survey again to further measure 
progress and identify areas for improvement.
PRIDE: TAKING PRIDE
PRIDE AWARD WINNER:  
GRANT McDOUGALL 
(Process & Project Co-ordinator)
Grant’s dedication to helping Paper products run smoothly 
is exemplary. He often stays behind at night to help the 
operators out, to see the products run and to sort out any 
issues that may occur. Grant’s technical knowledge of 
converting is second to none and this has meant we have 
pushed the boundaries of our capabilities.
PRIDE: TEAM AWARD
PRIDE AWARD WINNER: 
IAN STANLEY (Management Accountant)  
STEVE ATKINSON (Finance Manager - Paper) 
STEVE GRABEK (IT Systems Developer) 
The team have supported Paper through implementation of 
TROPOS production monitoring;  training operators across 
all shifts; working early 6am starts and finishing late to assist 
each shift after go-live. Together they broke down road 
blocks, engaged end-users and resolved issues, remaining true 
to the success of the production monitoring.  Their support 
for users,  and assistance in understanding and resolving issues 
post implementation continues and has proven to be invaluable.  
OUR VALUES AND PRIDE AWARDS Strategic Report - Financial Review
34
PRINCIPLE RISKS
Effective management of risk is within the overall 
responsibility of the Board and is key to ensuring good 
governance  and to achieving the Group’s strategy. The Board 
has ownership of the risk management strategy and coordinates 
activity across the Group. There is an ongoing process for 
identifying, evaluating and managing significant risks faced by 
the Group, which has been in place for the year under review 
and up to the date of approval of this Annual Report. 
The Group manages risk by a combination of insurance and self-
insurance. Self-insurance refers to actions taken internally or in 
conjunction with other third parties. In broad terms, high risks in 
financial and operational areas are more dependent on insurance 
than risks in commercial and personnel areas, which because of 
their nature are more likely to be managed by self-insurance.
Each subsidiary company has a strategy and process for 
highlighting the key risk areas of their business, and explaining 
the control measures and risk exposure. 
It then takes appropriate steps to manage the risk exposure 
taking into consideration the likelihood, impact and cost/
benefit of each of the risks.  The Audit Committee monitors 
and reviews the effectiveness of the Group’s financial 
accounting process and system of internal controls.  
In addition to the Audit Committee the Board has departmental 
teams with risk management briefs. These include:
• Health & Safety • Environment 
• Insurance • Treasury
• Human Resources • Purchasing  
• Pensions • Information Systems
The principal risks and uncertainties that may adversely impact 
the performance of the Group are set out in the table on the 
following pages along with the steps taken to address these. 
Each risk should be considered independently. Other factors 
could adversely affect group performance and so the risks and 
uncertainties tabled should not be considered a complete set 
of potential risks. 
EMPLOYEE SAFETY
RISK DESCRIPTION AND IMPACT MITIGATION
Employee safety is paramount and the Group embraces the 
ethos that nothing we do is worth getting hurt for. 
It is essential that the Group operates a process of continuous 
improvement in maintaining high standards of safety. The 
risk of safe working practises being out of date or behavioural 
standards falling could result in a serious accident.  If an 
incident were to arise where unsafe practice was found to 
be taking place, this could potentially result in an employee 
getting seriously hurt , the interruption of operations, financial 
penalties and reputational damage. 
The Group has an extensive Health & Safety programme 
built around the ISO18001 framework which is proactively 
driven across every division. This is further supplemented with 
engagement from senior leaders in our proactive Safety Walk & 
Talk initiative where they take the time to review and endorse 
safe working practices with employees at all levels across 
the organisation. Our dedication to continuously improving 
occupational health and safety was recognised earlier this year 
when RoSPA (Royal Society For the Prevention of Accidents) 
accredited the James Cropper Group with a Gold Award.
The James Cropper Group remains fully committed to 
continuously improving its rigorous health and safety 
management system as it strives to deliver world class 
standards of safety. With this in mind, the James Cropper 
Group participates in external benchmarking and best practice 
set across the paper industry as a proactive committee member 
of PABIAC (Paper And Board Industry Advisory Committee), 
a tripartite strategic health and safety delivery partnership for 
the paper, board and recovered paper industries. 
ENVIRONMENT
RISK DESCRIPTION AND IMPACT MITIGATION
Environmental sustainability, is at the heart of what we 
do at James Cropper and the way we operate safeguarding 
against environmental incidents is key. Should a material 
environmental incident occur at a James Cropper site this 
could result in material financial costs and reputational 
damage that undermines our commercial position as an 
environmentally responsible provider of  sustainable products.
The Group has detailed processes in place to ensure as a 
minimum we comply with all environmental rules and 
regulations. In addition the Group engages proactively with 
the Environment Agency and seeks to enhance the way 
organisations can work together on environmental matters, 
controls and governance. Strategic Report - Financial Review
35
ENVIRONMENTAL TAXATION
RISK DESCRIPTION AND IMPACT MITIGATION
EUETS is a mandatory scheme for greenhouse gas emission 
allowance trading  introduced by the EU to tackle emissions 
of carbon dioxide and other greenhouse gases from a number 
of specific industrial activities. The Group’s combustion 
facilities became subject to this scheme as from 1st January 
2008 under Phase 2. Phase 3 of the scheme is now underway 
and the Group’s annual allowances have been reduced to an 
average of 16,000 tonnes of CO2 per annum (phase 2: 41,000 
tonnes) resulting in an average of 24,000 tonnes of CO2 to be 
purchased on the EU Emissions Trading Scheme.
Risk on price
Prices are presently low, thought to be due to over-supply in 
the market and this keeps the cost of carbon emissions low.  The 
risk is that the over-supply will be addressed by the EU and the 
actions taken will have a significant effect on prices. The likely 
result is that the current single figure prices rise significantly and 
create an increasing financial burden on the Group.
Risk on Energy Intensive Industries (EIIs).
The European Commission has recognised that EUETS 
could easily cause EIIs to move operations outside the 
European Economic Area or to close. The EC  has created 
a special category, “Industries at risk of carbon leakage”, to 
afford some shelter from the tax for those companies most at 
risk.  Industries in this category receive beneficial treatment 
through Phase 3 of EUETS in that they do not have their free 
allowances reduced on a sliding scale throughout the Phase, 
as will happen with non-EIIs.  The Group benefits from 
this concession as the paper sector is a carbon leakage sector. 
The risk is to the Group that in 2019 shelter from EUETS is 
removed prior to phase 4 of EUETS. Should the EC remove 
the carbon leakage status given to the paper industry the 
Group will face ever increasing costs of emissions, making 
operations unaffordable and it would be uncompetitive to stay 
within the EU.
Risk that the Carbon Price Floor exemptions  
are withdrawn.
The Carbon Price Floor is part of the government’s Electricity 
Market Reform package. It is a combination of the EUETS 
European Union Allowance (EUA) price and a top-up 
amount that, when added to the EUA price, forms the “Floor” 
price of carbon that HM Government has set. This levy is 
a UK “green” tax on the generation of electricity. From 1st 
April 2013 the Group has been subject to the Carbon Price 
Floor. HM Government announced changes to legislation that 
will largely exempt the Group from the Carbon Price Floor 
from 2015 onwards. The risk to the Group that government 
support could be withdrawn making the cost of manufacture 
rise and placing James Cropper at a distinct disadvantage to it’s 
EU competitors as well as those in the rest of the world.
As part of it’s energy strategy the Group considers 
diversification away from gas to alternative fuels and this also 
includes consideration of investments into sustainable energy 
saving solutions including technologies to reduce emissions or 
technologies which do not emit CO2 whilst generating energy. 
In order to comply with EUETS phase 3 the Group will meet 
it’s mandatory requirement to purchase around 24,000 tonnes 
of C02 a year. The Group actively considers forward contracts 
to manage it’s costs in this area. At the year end March 2015 
forward carbon emission purchase commitments are in place  
to December 2018, these provide the Group with some 
certainty over the future cost of emissions. 
EUETS Emissions
The Group’s energy strategy considers investments into 
technologies which reduce emissions or technologies which 
do not emit CO2 whilst generating energy. Until a suitable 
investment opportunity is found, the Group will continue to 
operate within the existing framework and be subject to EC 
regulation in this area as it develops.
James Cropper plc is a member of the Confederation of 
Paper Industries (CPI)  an organisation which works on 
behalf of the UK’s Paper-based Industries. The CPI  lobbies 
HM Government alongside other UK intensive energy users 
to protect UK industry and manufacturing from carbon 
leakage. The CPI also addresses issues that impact UK 
manufacturers such as the Carbon Price Floor and is a leading 
trade association that monitors proposals to tax carbon and 
represents industries which are threatened by new taxes. 
The Group evaluates operational energy efficient 
improvements on a continuous basis and is keen to recognise 
and adopt energy reduction measures  that may be derived 
through the  Energy Savings Opportunity Scheme (ESOS) a 
mandatory  initiative for large UK enterprises requiring regular 
audits of energy use.
16,000
20,000
24,000
28,000
32,000
36,000
40,000
44,000
Mar-09 Feb-10 Jan-11
Free Allowances Actual Emissions
Dec-11 Nov-12 Oct-13 Sep-14 Strategic Report - Financial Review
36
PENSION
RISK DESCRIPTION AND IMPACT MITIGATION
The Group operates 2 defined benefit pension schemes which 
are in deficit. Actuarial deficits are sensitive to a number of 
key factors: the value of the assets, the discount rate used to 
calculate the schemes liabilities (based on corporate bond 
yields), the rate of inflation and the mortality assumptions for 
members of the schemes. Changes in these assumptions could 
mean that the deficit increases further. 
The Group’s strategy is to ensure the profitable and sustainable 
growth of the Group whilst monitoring the longer term 
economic environment as conditions change. 
Membership of the Schemes was closed to new members in 
2000 in order to contain the Groups exposure to rising pension 
costs and to safeguard the accrued benefits to existing members. 
Future annual increases in pensionable pay were reduced to a 
cap of 2% as from 1st April 2011. Starting April 2014 increases 
in employee contributions are being phased in.  Annual 
contributions to reduce the deficit have been agreed with the 
trustees. The next tri-ennial valuation is in  April 2016 and an 
evaluation of pension liabilities will contribute to a  proactive 
consideration of liability management exercises and a new 
agreement with the trustees on payments to reduce the deficit.
The Group agrees an investment strategy with the trustees 
taking account of risk.  
COMMODITY PRICE VOLATILITY
RISK DESCRIPTION AND IMPACT MITIGATION
Pulp prices are affected by global supply and demand and 
price can be subject to significant fluctuations.
Factors that influence these include natural disasters, climate, 
political instability, conflicts , economic conditions and actions 
by major pulp producers.
The Group aims to recover costs in pricing with a typical  
4 to 8 month delay. In the event that competitor behaviours 
and global economic factors mean that the Group is unable  
to recover further price increases the profitability of the  
Group would be substantially reduced.
The Group’s ability to offer more than a quality product,   
in addition to supply chain management, service, innovation, 
sustainability and brand support, helps to provides some buffer 
against price sensitivity.
Pulp substitution from the reclaimed fibre plant works 
to mitigate some of the impact of virgin pulp costs.
ENERGY PRICE VOLATILITY
RISK DESCRIPTION AND IMPACT MITIGATION
Gas prices are affected by global supply and demand and price 
can be subject to significant fluctuations. 
Factors that influence these include natural disasters, climate, 
political instability, conflicts , economic conditions and actions 
by major oil & gas exporting countries
Price fluctuations can affect our business assumptions, margins 
and investment decisions.  
The Group aims to mitigate it’s exposure to energy costs by 
a combination of: strategically considering diversification  
away from gas to alternative fuels, investing in sustainable 
energy saving solutions and securing long term purchase 
forward prices.
At the time of this report forward purchase contracts are in 
place to secure prices for 24 months. This provides the Group 
with a degree of certainty over future energy costs. Strategic Report - Financial Review
37
EXCHANGE RATE VOLATILITY
RISK DESCRIPTION AND IMPACT MITIGATION
The Group operates on a global basis, and earns revenues, 
incurs costs and makes investments in a number of currencies; 
the 3 major operating currencies are Sterling, Euro and Dollar. 
The Group’s financial results are reported in Sterling.  
Volatile exchange rates could have a significant impact on  
the Group’s results. 
The Group matches receipts and payments in the same foreign 
currency due in the same period. The Group’s treasury 
function seeks to hedge anticipated unmatched cash flows 
using financial instruments. No transactions for this purpose 
have been entered into at the year ending March 2015. 
The Group prepares consolidated financial statements 
for reporting purposes, the consolidation process entails 
translating the financial statements of foreign subsidiaries  
from foreign to domestic currency.  A dollar hedge is in  
place to mitigate the impact of translation exposure with  
the subsidiaries based in the USA.
FALL IN DEMAND
RISK DESCRIPTION AND IMPACT MITIGATION
The profitability of the Group is sensitive to economic 
slowdown in non UK markets, volume, the mix of sales and 
product and service pricing. A 5% reduction in sales in any 
one division could result in a fall in operating profits if not 
mitigated by a cost reduction programme or growth in  
other areas. 
The global expansion of the Group helps to mitigate economic 
risks and plans are being deployed to grow our market 
presence and diversify product ranges and geographical 
markets. The Group will continue to build on existing skills, 
and the skills development of sales executives, recruitment 
of experienced sales and planning professionals also assist  
the effective deployment of these diversification plans. 
The Group is launching a new division which over time will 
bring greater resilience. 
NEW DIVISION
RISK DESCRIPTION AND IMPACT MITIGATION
In January 2014 the Group established the “Technology 
and Innovation” division, which has now identified a 
diversification opportunity. The  risk recognised is that  
the new division may cost more to set up and take longer  
to be cash generative.  
The Group supports the utilisation of existing employee 
resource at the start of this diversification opportunity.     
Initial investment is minimised  through the utilisation of 
existing factory resource  and infrastructure. The market   
will be tested before a significant upscale of operations. 
There will be discussion and updates at monthly meetings  
of the Executive and the Group Board on key strategic  
and operational matters affecting the development of the  
new operation.  
Isabelle Maddock,
Group Finance Director
On behalf of the Board. 38
Our Values and Pride Awards
COMMUNITY FOCUS
Community focus is a broad ranging value that goes beyond 
our relationships and support for the communities around our 
operations.  We believe in social responsibility more broadly.  
For instance, Patrick Willink, our Chief Technology Officer, is 
currently President of the Confederation of Paper Industries, 
which represents British paper industry interests on a national 
and international stage.  We also work on a national level on 
other fronts including education and safety. Chief Operations 
Officer, Dave Watson, sits on the Paper and Board Industry 
Advisory Committee which is a partnership between industry, 
unions and HSE responsible for health and safety.   
In our locality, we work broadly with schools and universities 
to promote careers in science and industry. This includes 
technology development projects with Lancaster University, 
Kendal’s Queen Katherine and Kirkbie Kendal secondary 
schools, and providing work experience to local students.
Closer to home, our community focus is channelled through 
our Community Support Committee, which provides modest 
grants to a wide range of local institutions, not least charitable 
but also cultural and sporting.  We are very proud of our 
long-standing involvement in the production of the paper 
remembrance poppy and are honoured to have worked with 
the Royal British Legion in support of their fund raising 
campaigns. In addition, for many years we have supported 
local schools with the provision of free paper.  Our lorries 
have also been a regular participant in the annual Kendal 
Torchlight Carnival for many decades.  
We hope to inject fresh ideas into our community focus.  
Over a period of many years our links with the village 
of Burneside, which grew on the back of our operations,  
have weakened.  The trend towards directors and employees 
living further afield, combined within modern safety and 
security considerations, has made our mills less accessible 
than they once were. We have sought to address this by 
participating alongside other key stakeholders, including 
the Burneside Parish Council, in the creation of a masterplan 
for a revitalised village in which we would like to play a clearer 
and stronger role.
OUR VALUES AND PRIDE AWARDS 39
Our Values and Pride Awards
PRIDE: COMMUNITY & ENVIRONMENT 
PRIDE AWARD WINNER: 
STUART BELL 
(Utilities Co-ordinator)
Stuart not only runs the power station on site, but also has the 
whole site services to look after. This ranges from supplying 
clean drinking water to local houses and farms to maintaining 
the reservoirs. A lot of his work goes unnoticed, but without 
his expertise and dedication the mill wouldn’t run as smoothly. 
Alongside this, Stuart is also the secretary of the Burneside 
Brass Band and spends a lot of his spare time organising 
concerts and helping the band raise money for charity.   GOVERNANCE
Strategic Report
41
42 BOARD OF DIRECTORS
44 REPORT OF THE DIRECTORS
52 DIRECTORS REMUNERATION REPORT Governance - Director’s Details
42
BOARD OF DIRECTORS
MARK A J CROPPER, MA
CHAIRMAN
Mark joined the Group and the 
Board in 2006, becoming Chairman 
in 2010, the sixth generation of the 
Cropper family to hold this position. 
He is a Director of Ellergreen Hydro 
Ltd, a developer and operator of 
hydro-electric schemes, and is a 
partner in Turquoise Capital LLP.
PHILIP I WILD, BEng
CHIEF EXECUTIVE OFFICER
Phil joined the Group and the 
Board as Chief Executive in 2012. 
A graduate of Loughborough 
University and the London 
Business School, he previously 
worked for 3M where he held 
roles and directorships covering 
industrial, healthcare, automotive 
and security market sectors. 
ISABELLE M MADDOCK
BSC, FCMA
GROUP FINANCE DIRECTOR
Educated at the University of 
Central Lancashire, Isabelle is a 
Fellow of the Chartered Institute  
of Management Accountants.  
Isabelle joined the Company in 
2006 and was appointed Head 
of Finance in 2013 and Group 
Finance Director in July 2014.
PATRICK J WILLINK
BSC, MBA
CHIEF TECHNOLOGY OFFICER
Educated at Newcastle University 
and Imperial College, Patrick joined 
the Group in 1990 and the Board 
in 1998. In 2014 he became Chief 
Technology Officer of the Group 
and was also appointed President 
of the Confederation of Paper 
Industries Ltd later that year. 
KARL D WATSON
B.Eng (Hons)
CHIEF OPERATING OFFICER
Educated at Sunderland 
University and London Business 
School, Karl has over 30 
years experience in industrial, 
automotive, pharmaceutical and 
secure documents and systems 
markets. Karl joined the Group 
and Board in January 2014.
MARTIN THOMPSON, MBA
MANAGING DIRECTOR,
TECHNICAL FIBRE PRODUCTS LIMITED
Prior to joining the Group, Martin  
held a variety of roles covering 
Business Systems, Technical and 
Operations Management. Martin 
joined the Group in 2003, he was 
appointed Managing Director of 
Technical Fibre Products Ltd in 2013 
and appointed to the Board in 2013.
Full disclosure on Directors credentials can be found at: www.cropper.com/corporate-governance/directors JOHN M DENMAN
BSC, FCA
John joined the Group and the 
Board from Cable & Wireless  
plc in 1995. A former trustee of the 
James Cropper plc Pension Scheme 
and former director of the Paper 
Federation of Great Britain Limited. 
John retired and resigned from the 
Board on 30 July 2014.
Governance - Director’s Details
43
DAVID R CAREY, FCCA
COMPANY SECRETARY
David joined the Group in 1974  
as Chief Accountant and he  
became Company Secretary  
in 1996. 
NIGEL A READ, BA
Nigel joined the Group in 1981 
from Robert Fletcher & Sons and 
to the Board in 1998. Nigel was the 
Sales and Marketing Director for 
James Cropper Speciality Paper 
Limited and a former trustee of  
the James Cropper plc Pension 
Scheme. Nigel retired and resigned 
from the Board on 2 May 2014.
DOUGLAS MITCHELL
BSC (HONS)
NON-EXECUTIVE DIRECTOR
Prior to his retirement in 2010, 
Douglas was Managing Director 
of 3M UK and Ireland, within 3M 
he held a number of senior roles in 
Management, Sales and Marketing, 
Logistics and Manufacturing. 
Douglas joined the Board in 
January 2012.
JAMES SHARP, BA
NON-EXECUTIVE DIRECTOR
James is a partner of Sirius Equity 
LLP, an investment firm which 
specialises in the retail and luxury 
goods sectors, whose investments 
include L K Bennett and  
feelunique.com. James joined 
the Board in 2009. He is also 
a Non-Executive Director of The 
Brunner Investment Trust plc.
DAVID R WILKS,
LLB (HONS)
NON-EXECUTIVE DIRECTOR
A Director of Wilks & Partners, 
a management consultancy 
company he founded, David joined 
the Board in April 2004. He has 
extensive manufacturing operations 
experience and is a former director 
of the Paper Federation of Great 
Britain Ltd.  Governance - Report of the Directors
44
REPORT OF THE DIRECTORS
REVIEW OF THE BUSINESS
The Group’s principal activities comprise the manufacture 
of specialist paper and advanced materials.
Details of the Group’s activities are included in the Strategic 
Report. The Chairman’s letter and the CEO’s review address  
business activities during the year and comment on strategic 
direction and prospects. 
RESULTS
The profit attributable to equity holders of the Company for 
the 52 weeks ended 28 March 2015 is set out in the Statement 
of Comprehensive Income. The dividends paid during the 
year, and the proposed final dividend, are set out in the  
Notes to the financial statements.
STATEMENT OF DIRECTORS’ 
RESPONSIBILITIES IN RESPECT 
OF THE ANNUAL REPORT AND  
THE FINANCIAL STATEMENTS
The Directors are responsible for preparing the Annual Report 
and the financial statements in accordance with applicable law 
and regulations.  
Company law requires the Directors to prepare Group and 
Parent Company financial statements for each financial year.  
As required by the AIM Rules of the London Stock Exchange 
they are required to prepare the Group financial statements in 
accordance with IFRSs as adopted by the EU and applicable 
law and have elected to prepare the Parent Company financial 
statements on the same basis.  
Under company law the Directors must not approve the 
financial statements unless they are satisfied that they give 
a true and fair view of the state of affairs of the Group and 
Parent Company and of their profit or loss for that period.   
In preparing each of the Group and Parent Company financial 
statements, the Directors are required to:  
•  select suitable accounting policies and then apply them 
consistently;  
•  make judgments and estimates that are reasonable and prudent;  
•  state whether they have been prepared in accordance 
with IFRSs as adopted by the EU; and  
•  prepare the financial statements on the going concern basis 
unless it is inappropriate to presume that the Group and 
the Parent Company will continue in business.
The Directors are responsible for keeping adequate accounting 
records that are sufficient to show and explain the Parent 
Company’s transactions and disclose with reasonable accuracy 
at any time the financial position of the Parent Company and 
enable them to ensure that its financial statements comply with 
the Companies Act 2006.  They have general responsibility for 
taking such steps as are reasonably open to them to safeguard 
the assets of the Group and to prevent and detect fraud and 
other irregularities.  
The Directors are responsible for the maintenance and 
integrity of the corporate and financial information included 
on the Company’s website.  Legislation in the UK governing 
the preparation and dissemination of financial statements may 
differ from legislation in other jurisdictions.
DIRECTORS’ RESPONSIBILITIES IN 
RESPECT OF CORPORATE GOVERNANCE
The Board is accountable to the Group’s shareholders for 
corporate governance. Whilst there is no requirement to 
comply with the Combined Code, the Group is committed 
to a high standard of corporate governance and this section 
describes how the relevant principles of governance are 
applied to the Group.
THE BOARD
The Group Board considers that it is well balanced and 
operates in an effective manner and is collectively responsible 
for the success of the Group. It comprises the Chairman 
together with five Executive Directors and three Non-
Executive Directors.
Sir James Cropper is the Company’s Honorary President,  
but is not a director of the Company.
Nigel Read retired from the Company on 2 May 2014 and 
ceased to be an Executive Director and Sales & Marketing 
Director of James Cropper Speciality Papers Ltd. 
John Denman retired from the Company on 30 July 2014 and 
ceased to be Finance Director of the Group. Isabelle Maddock, 
the Group’s Head of Finance was appointed Group Finance 
Director and a director of the Company on 31 July 2014.
Mark Cropper is the Chairman of the Group and is 
responsible for the running of the Board.
Although he is deemed not to be independent under the 
Combined Code as he has close family ties, the Board considers 
him to be independent as he displays sound business judgment, 
and provides unequivocal counsel and advice to the Board.
Phil Wild is the Chief Executive and is responsible for the 
running of the Group’s business.
David Wilks is the senior independent Non-Executive Director.
The Group Board met seven times during the year, with 
prepared agendas for discussion and formal schedules of items 
to be approved covering structure and strategy, management, 
financial reporting and controls, board membership and 
committees, and corporate governance.  There is a schedule  
of matters reserved for the Board’s decision.
The Executive Committee, under the chairmanship of Phil 
Wild, met twelve times during the year with prepared agendas 
for discussion.
All Directors have access to the advice and services of  
the Company Secretary.  The Board has also established  Governance - Report of the Directors
45
a formal procedure whereby Directors, wishing to do so in the 
furtherance of their duties, may take independent professional 
advice, if necessary, at the Group’s expense. All Directors are 
aware of their responsibility to regularly update their skills 
and knowledge.
BOARD COMMITTEES
There are four sub-committees reporting to the Group Board:
• Executive Committee
• Remuneration & Management Development Committee
• Audit Committee
• Nomination Committee
The Executive Committee comprises the Executive Directors 
and two Senior Executives. The Committee’s terms of 
reference include the development and implementation of 
strategies, operational plans, and the assessment and control 
of risk. Phil Wild, the Group’s Chief Executive, is Chairman 
of the Committee.
The Audit Committee, the Remuneration & Management 
Development Committee, and the Nomination Committee 
comprise the Non-Executive Directors of the Group. Jim 
Sharp is Chairman of the Audit Committee, David Wilks is 
Chairman of the Remuneration & Management Development 
Committee, and Mark Cropper is Chairman of the 
Nomination Committee.
The Committees’ terms of reference are displayed on the 
Group’s website.
RE-ELECTION
The Directors are subject to retirement on a periodic basis  
and re-election by the shareholders in accordance with the 
Articles of Association whereby a director shall retire from 
office at the first AGM after their appointment and thereafter 
shall retire at every third AGM after the AGM at which  
last appointed. 
Resolutions will be proposed at the Annual General Meeting  
for the re-election of P .J.Willink and I.M.Maddock 
as Directors of the Company.
PERFORMANCE EVALUATION
The Chairman undertakes an annual Group Board appraisal 
with each Executive Director.
The performance evaluation process includes the Chairman 
reviewing and monitoring the Chief Executive’s performance 
on an annual basis and the Chief Executive reviewing and 
monitoring the Executive Directors. The high level individual 
objectives agreed at the reviews are communicated to the 
Remuneration & Management Development Committee.
The Chairman reviews the Non-Executive Directors’ 
performance annually on an individual basis.
The Chairman’s performance is appraised by the senior 
independent director and the other non-executive directors 
without the Chairman being present, and the comments  
fed back to him for discussion.
FINANCIAL POLICIES 
AND INTERNAL CONTROLS
The Board is committed to presenting a full, balanced 
and understandable assessment of the Group’s position  
and prospects, both in the Annual Report and at other times  
as appropriate throughout the year.
The Directors are responsible for preparing the Annual 
Report, the Directors’ Remuneration Report and the  
financial statements in accordance with applicable law 
and International Financial Reporting Standards (IFRSs)  
as adopted by the European Union.
The Directors are responsible for preparing financial 
statements for each financial year which give a true and fair 
view, in accordance with IFRSs as adopted by the European 
Union, 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 judgments and estimates that are reasonable  
and prudent;
•  state whether the financial statements comply with  
IFRSs as adopted by the European Union; 
The Directors confirm that they have complied with the 
above requirements in preparing the financial statements.
The Directors are responsible for keeping proper accounting 
records that disclose with reasonable accuracy at any time 
the financial position of the company and the group and 
to enable them to ensure that the financial statements and 
the Directors’ Remuneration Report comply with the 
Companies Act and Article 4 of the IAS Regulation.  
They are also responsible for safeguarding the assets 
of the Company and the Group and hence for taking 
reasonable steps for the prevention and detection of  
fraud and other irregularities.
The Directors are responsible for the maintenance and 
integrity of the corporate and financial information included 
on the Group’s website. Legislation in the United Kingdom 
governing the preparation and dissemination of financial 
statements may differ from legislation in other jurisdictions.
The Board is responsible for and sets appropriate policies on 
internal control and seeks regular assurance, at least annually, 
that enables it to satisfy itself that processes are functioning 
effectively.  Such a system is designed to manage rather than 
eliminate the risk of failure to achieve business objectives and 
can provide reasonable, but not absolute, assurance against 
material misstatement or loss.  If a failure is discovered the 
Board will take remedial action. Governance - Report of the Directors
46
There is no internal audit function within the Group and the 
Board consider that this is appropriate given the nature of 
the Group’s activities.  The letter from the external auditors 
confirming their independence and objectivity was reviewed 
by the Audit Committee.  KPMG LLP have confirmed their 
independence and the Directors believe KPMG LLP to be 
independent and objective.
The Audit Committee monitors and reviews the effectiveness 
of the Group’s financial accounting process.
The Key Performance Indicators (KPIs) and principal risks 
and uncertainties affecting the Group are considered in the 
Strategic Report.
RELATIONS WITH SHAREHOLDERS
The Finance Director, the Chairman and the Chief Executive 
maintain contact with institutional investors as appropriate 
and any presentations made to them can be found on the 
Group’s website.
The Non-Executive Directors attend the Annual General 
Meeting and are available for discussions with shareholders.
Currently the Group makes available its financial results on 
the website www.cropper.com and issues printed copies of the 
Annual Report to shareholders. 
GOING CONCERN
The Directors consider that the principal risks noted in the 
Strategic Report are the most significant to the Group but 
these do not necessarily comprise all risks to which the  
Group is exposed. 
At 28 March 2015 the Group’s available cash and borrowing 
facilities were £7.4m of which £4.7m was undrawn. Having 
taken account of current borrowings to be repaid within 12 
months of the balance sheet date, £4.7m was available to the 
Group beyond 12 months. The Group has negotiated a £5.5m 
revolving credit facility post year end.
The Directors having considered the current trading prospects, 
identifiable risks, working capital requirements and the 
availability of finance are of the opinion that the Group 
and Company are going concerns.  The accounts have been 
prepared on this basis.
At the Annual General Meeting the Chairman will give an 
update on the current trading position and invites shareholders 
to table any questions and encourages their participation.
EMPLOYEE INVOLVEMENT
Regular consultative meetings are held with the employee 
trade union representatives to advise them on all aspects 
of Group developments.  A monthly briefing on Group 
performance is carried out for all employees and they have 
access to a copy of the Annual Report.  As a matter of policy, 
plans are formally discussed with those who will use new 
equipment, plant and computer systems before designs are 
finalised.  Safety improvement teams deal with day-to-day 
aspects of safety improvement. 
The Group operates bonus schemes and a Save as You Earn 
(“SAYE”) Scheme to encourage employee involvement.
Independent to the assets on the Group Balance Sheet there 
is an Employee Share Trust which currently holds approx 
122,000 shares in James Cropper plc for the benefit of all 
employees so that their interests are linked to the Group’s 
future growth. No director of the Group is a trustee of the 
Scheme, and the trustees confirm that they apply the assets for 
purely benevolent purposes.
EMPLOYMENT OF DISABLED PEOPLE
It is the Group’s policy to give equality of opportunity when 
considering applications from disabled people where the 
job requirements are considered to be within their ability.  
When existing employees become disabled they are retained 
wherever reasonable and practicable.  The Group tries to 
provide equal promotion opportunities wherever possible.
DONATIONS FOR POLITICAL 
AND CHARITABLE PURPOSES
It is the Group’s policy not to make any donations to, or 
incur expenditure on behalf of political parties, other political 
organisations or independent election candidates and the 
Board does not intend to change this policy. 
Donations totalling £5,000 (2014: £9,000) were made for 
various local charitable purposes.
AT THE FORTHCOMING ANNUAL 
GENERAL MEETING THE FOLLOWING 
RESOLUTIONS WILL BE PROPOSED:
DIRECTORS’ AUTHORITY TO  
ALLOT SHARES
A resolution will be proposed to renew an existing authority 
which expires at the Annual General Meeting and gives the 
Directors authority to exercise the powers of the Company  
to allot un-issued shares. 
DIRECTORS POWER TO DISAPPLY 
PRE-EMPTION RIGHTS
A resolution will be proposed which disapplies statutory  
pre-emption rights on the allotment of shares by empowering 
the Directors to allot shares for cash without offering them  
to existing shareholders first.
WAIVER OF THE OBLIGATION TO MAKE 
A GENERAL OFFER UNDER RULE 9 OF 
THE TAKEOVER CODE
A resolution will be proposed as an ordinary resolution, to 
seek the approval of independent shareholders to a waiver, 
which the Panel on Takeover and Mergers has agreed to give 
(subject to such approval to be sought by way of vote taken by 
poll), of the obligation that might otherwise arise under Rule 9 
of the City Code on Takeovers and Mergers for the members 
of the Cropper, Willink and Acland families (the “Concert 
Party”) to make a mandatory offer for the shares Governance - Report of the Directors
47
in the Company not already owned by the Concert Party as a result of any or all of (i) the vesting of shares under the LTIP 
awards granted in 2012-2014 and the grant (and subsequent vesting) of ordinary shares under the 2015 LTIP awards and (ii) 
the vesting of shares under the 2013 SAYE scheme. For more details on this waiver resolution, the City Code on Takeover 
and Mergers, the Concert Party and the awards under the LTIP and SAYE please see the Notice of Annual General Meeting 
accompanying this Annual Report.
SUBSTANTIAL INTERESTS
Shareholdings in excess of 3% of the issued capital at 1 June 2015 were as follows:
NAME OF SHAREHOLDING NUMBER % NOTE NO.   
 OF SHARES HOLDING BELOW 
Cropper Family - Beneficial and Non Beneficial Interests 3,039,366 33.1 
Willink Family – Beneficial and Non Beneficial Interests 512,995 5.6 
Acland Family – Beneficial Interests 52,386 0.6 
Total 3,604,747 39.3 1
    
Brewin Nominees Ltd 531,797 5.8 2
BNY (OCS) Nominees Ltd 343,162 3.7 
The Bank of New York Nominees Ltd 321,688 3.5 
Platform Securities Nominees Ltd 297,294 3.2 
Nortrust Nominees Ltd 279,151 3.0 
Notes on Shareholding Table: 
1.  The Cropper, Willink and Acland families are related and are deemed to be acting in concert with a total holding 
of 39.3% holding in the Company.
2. Included in this percentage is 5.2% disclosed in the shareholding of the concert party.
AUDITOR AND DISCLOSURE OF INFORMATION TO AUDITOR
Each Director, as at the date of this report, has confirmed that insofar as they are aware there is no relevant audit information 
(that is, information needed by the Company’s auditor in connection with preparing their report) of which the Company’s 
auditor is unaware, and they have taken all the steps that they ought to have taken as a Director in order to make themselves 
aware of any relevant audit information and to establish that the Company’s auditor is aware of that information.
AGM resolutions will be proposed that KPMG LLP be and are hereby reappointed auditors of the Company and will hold 
office from the conclusion of this year’s Annual General Meeting until the conclusion of next year’s Annual General Meeting 
at which accounts are laid before the Company, and that their remuneration be fixed by the Directors.  Governance - Report of the Directors
48
DETAILS OF DIRECTORS’ INTERESTS
 AT 28 MARCH 2015 AT 29 MARCH 2014
  ORDINARY OPTIONS ON ORDINARY OPTIONS ON
  SHARES ORDINARY SHARES ORDINARY
   SHARES  SHARES
DIRECTOR INTEREST    
M A J Cropper Beneficial 1,205,593 10,695 1,205,549 4,673
 Non-beneficial 660,826 - 60,000 -
P I Wild Beneficial 1,143   78,872 1,058 56,630
I M Maddock Beneficial 11,019 14,036 10,707 6,168
M Thompson Beneficial 37,630 32,469 27,785 52,852
K D Watson Beneficial 1,021 11,084 1,000 2,252
P J Willink Beneficial 44,210 35,748 47,595 39,880
 Non-beneficial 1,132,408 - 1,132,408 -
D R Wilks Beneficial 9,112 - 9,112 -
 Non-beneficial 101,255 - 60,000 -
J E Sharp Beneficial 7,950 - 7,950 -
 Non-beneficial 101,255 - 60,000 -
D.Mitchell Beneficial 1,000 - 1,000 -
 Non-beneficial 101,255 - 60,000 -
DETAILS OF DIRECTORS’ INTERESTS
The Directors who served throughout the period are detailed 
in the Directors’ Remuneration Report, and details of their 
interests in shares of the Company are listed above.
Any material related party transactions between the Directors 
and the Company are set out in the Notes to the Accounts.
Further information relating to the interests of the Directors 
regarding options on ordinary shares is given in the Directors’ 
Remuneration Report.
Non-beneficial interests include shares held jointly as trustee 
with other Directors. M A J Cropper resigned as a Director of 
James Cropper EBT Ltd on 1 June 2015 and his non-beneficial 
interest reduced from 660,826 shares to 559,571 shares.
There have been no other material changes between the year 
end and 22 June 2015.
Approved by the Board of Directors on 22 June 2015  
and were signed on its behalf by
M A J Cropper, Chairman. Burneside Mills. Kendal. 49
Pride Awards
CONTINUOUS LEARNING
We are committed to developing our employees and the 
Company’s aim is to provide training and development which 
enables all employees to perform their role competently and 
efficiently, thus supporting our business needs and growth plans.
By providing opportunities, facilities and in some cases, 
making available financial assistance, the Company aims to 
improve skills in the workplace, promote job satisfaction and 
encourage career development.
In addition to the above we also continue to offer several 
apprenticeships every year.  In the last five years we have 
supported 20 apprentices across all areas of our business 
from engineering to business administration, purchasing and 
sales and marketing.  Twelve of this number have continued  
to be supported in higher education, progressing to degree  
or HND qualifications.
Our engineering apprentices have won several awards in 
recent years, in many cases outclassing apprentices from much 
larger companies.  This year Liam Moffat won four awards at 
the annual T2000 Engineering Awards in Burnley, including 
First Year Off-the-job Apprentice of the Year award and 
accolades for fitting, behavioural safety and conventional 
machining.  His colleague Brett Ashley also won an award  
for Fabrication and Welding.
OUR VALUES AND PRIDE AWARDS  51
Our Values and Pride Awards
SAFETY AT WORK
The health and safety of our staff and all those who visit our 
operations is always a top priority – nothing we do is worth 
getting hurt for.   
The importance of this value transcends our numerous 
activities in this area, which are not only led by dedicated 
safety personnel but also across every level of our workforce.  
It is everyone’s responsibility - as communicated by the  
Safety Charter we launched this year. 
The key measures of our safety performance are Lost Time 
Accidents (injuries which have prevented an employee 
returning to work the next day) and Reported Hazards.  
We encourage hazard reporting as it is a proactive way 
of preventing potential safety incidents ahead of time.  
Our target is zero lost time accidents. 
The rationale is very clear: we simply do not accept that 
anyone can go home hurt to the extent they cannot return  
to work the next day. 
Quality and compliance standards can integrate strongly  
with a safe work environment, TFP operate a F.O.D.  
(Foreign Object Debris) prevention programme in  
accordance with NAS 412 and are completing accreditation 
to AS9100. 
In 2015 we were delighted to be awarded a Gold Award by 
the Royal Society for the Prevention of Accidents (RoSPA)  
in recognition of our safety work.  This is the highest level  
of award presented by RoSPA and recognised consistent 
high standards in monitoring health and safety on site 
and maintaining a process of continual improvement.  
PRIDE: SAFETY IMPROVEMENT
PRIDE AWARD WINNER: 
LEE WILSON
(Machineman)
Lee has without question exceeded his duty in reporting 
potential hazards in production over the past year. He will 
report any unsafe condition and will not work with any 
faulty equipment. Most, if not all, of the hazards reported 
have been dealt with either at the time or via the Engineering 
Department. Lee is a true representative of the Company 
safety culture.
OUR VALUES AND PRIDE AWARDS
April 10 -
March 11
April 11 -
March 12
April 12 -
March 13
April 13 -
March 14
April 14 -
March 15
0
200
400
600
800
362
508
614
623
751
REPORTED HAZARDS Governance - Directors Remuneration Report
52
DIRECTORS’ REMUNERATION REPORT
THIS REPORT DETAILS THE 
DIRECTORS REMUNERATION
SERVICE CONTRACTS
The Chief Executive, the Group Finance Director, and the 
Chief Operating Officer are employed on rolling six month 
contracts. The Chairman and other Executive Directors are 
employed on rolling one year contracts.
Non-Executive Directors are employed on contracts of one 
month’s notice by either side.
SALARIES AND FEES
The remuneration and emoluments of Executive Directors 
and the Chairman are determined by the Remuneration 
Committee. The remuneration of the other Non-Executive 
Directors is agreed by the Group Board and they are not 
entitled to participate in pension schemes, bonus arrangements 
or share schemes.  The basic salaries of the Directors are 
reviewed annually and take into consideration cost of living 
and overall accountability.  Also considered is remuneration 
paid to senior executives in comparable public companies.  
This information is checked by reference to published 
surveys, but no formula is in place to determine any 
specific relationship.
The remuneration of senior management is discussed by  
the Chairman of the Remuneration Committee and the 
Chief Executive and their recommendations endorsed  
by the Remuneration Committee.
No Director can take part in the decision on his own 
salary or reward.
ANNUAL BONUS
The Group operates an Executive Bonus Scheme which is 
structured to reward the Executive Directors if targets are 
achieved on budgeted earnings, yearly earnings improvement, 
and year on year working capital control. The total bonus 
payable to a director is capped at 25% of their contractual 
salary and is not pensionable.
The Executive Directors are also eligible to participate  
in the Employee Group Bonus Scheme (‘the Scheme’)  
and any beneficial interest they hold in Company shares  
in the Scheme is included in their beneficial holding of  
shares in the Directors’ Report.
EMPLOYEE SHARE SCHEME
The Group operates a Long Term Incentive Plan (LTIP) 
Scheme for the Executive Directors, of which details of the 
options granted and awarded are shown later in this Report. 
Other senior management personnel are entitled to participate 
in the LTIP Scheme.
The Group also operates a Save as You Earn Scheme (SAYE) 
for employees, and details of the SAYE options currently held 
by Executive Directors are also shown later in this Report.
TOTAL SHAREHOLDER RETURN
REBASED
0
113
225
450
James Cropper FTSE AIM All Share FTSE All Share
3/31/05 3/20/06 3/9/07 2/28/08 2/18/09 2/9/10 1/31/11 1/23/12 1/14/13 1/3/14 12/22/14
To enable shareholders to assess 
the Company’s performance 
against the London Stock 
Exchange, the cumulative TSR 
for the period ended 28 March 
2015 is shown in the graph below.  
The FTSE All Share is deemed 
to be the most appropriate 
comparison in terms of 
performance.  TSR is the  
total return to shareholders 
in terms of capital growth  
and dividends reinvested.
COMPARISON OF FIVE YEAR CUMULATIVE TOTAL SHAREHOLDER RETURN (TSR) Governance - Directors Remuneration Report
53
DETAILS OF DIRECTORS’ REMUNERATION
The financial details within this report have been audited. The following table brings together the various elements 
of remuneration of each director for the financial year period ended 28 March 2015: -
 2015 2014 2015 2014 2015 2014 2015 2014 2015 2014 2015 2014 
 £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000
EXECUTIVE            
M A J Cropper 72 65   10 7   3 2 85 74
P I Wild 170 166   55 36 20 14 11 11 256 227
J M Denman 
(retired July 2014) 34 98   7 20  5  30 41 153
N A Read  
(retired May 2014) 9 93 59  1 22  5 7 17 76 137
G T Quayle  
(retired July 2013)  32  125  3    28  188
I M Maddock  
(appointed July 2014) 67    12  8  4  91 
M Thompson  105 81   23 22 25 8 7 5 160 116
K D Watson  113 27   23 5 13 1 7 2 156 35
P J Willink 101 94   20 20 12 5 16 19 149 138
NON-EXECUTIVE           
J A Cropper  
(retired July 2013)  6          6
D Mitchell  25 26         25 26
J E Sharp 25 20         25 20
D R Wilks 27 23         27 23
 748 731 59 125 151 135 78 38 55 114 1,091 1,143
HIGHEST PAID DIRECTOR
           2015 2014 
           £’000 £’000
Aggregate emoluments           245 216
Pension cost           11 11
DETAILS OF DIRECTORS’ REMUNERATION
The Chief Executive and the Chairman are members of the Company’s defined contribution scheme. Other Executive Directors 
are either members of the Company’s defined benefit scheme or the Company’s defined contribution scheme. Non-Executive 
Directors are not in any of the Company pension schemes.
The annual cost borne by the Company is shown above in the Directors’ Remuneration table.
 
SALARY
AND FEES
 
BENEFITS
 
ANNUAL
BONUS
 
PENSION
COST
 
 
TOTAL
COMPENSATION 
FOR LOSS 
OF OFFICE Governance - Directors Remuneration Report
54
LONG TERM INCENTIVE PLAN
Under the Plan, awards to acquire ordinary shares in the Company can be made to executive directors and employees of the 
Company and its subsidiaries selected by the Remuneration Committee.
Awards made during the financial year to 28 March 2015 under the Plan to executive directors were as follows:
 NUMBER  MID-MARKET   NUMBER 
 AT 29 NUMBER  PRICE (£) OF NUMBER OPTIONS AT 28
 MARCH GRANTED OPTIONS EXERCISED LAPSED MARCH 
 2014 IN PERIOD AWARDED  IN PERIOD  IN PERIOD 2015
P I Wild 52,120 22,242 £3.828 - - 74,362
M A J Cropper 4,673 6,022 £3.828 - - 10,695
J M Denman* 39,601 - - - 39,601 -
N A Read* 39,029 -  - 39,029 -
P J Willink 38,978 7,868 £3.828 - 12,000 34,846
I M Maddock 1,808 7,868 £3.828 - - 9,676
M Thompson 34,601 7,868 £3.828 - 10,000 32,469
K D Watson 2,252 8,832 £3.828 - - 11,084
*  previous directors
The number of options that can be awarded to any participant in a financial year under the Plan, determined by reference to 
Company’s 20 day average mid-market share price at the time of the award, is limited to a maximum of 50% of the participant’s 
basic salary. 
The LTIP awards are subject to the achievement of certain performance conditions, specific to each director, as set out below:  
 
EARNINGS PER SHARE CONDITIONS EBITDA TARGETS CONDITIONS
 PERCENTAGE OF AWARD PERCENTAGE OF AWARD
P I Wild 60% 40%
M A J Cropper 60% 40%
P J Willink 100% -
I M Maddock 100% -
K D Watson 100% -
M Thompson 100% - Governance - Directors Remuneration Report
55
(i) Earnings per share conditions
Awards will vest in full on the third anniversary of the Award provided the growth in the Company’s earnings per share, adjusted 
for IFRS pension adjustments, between the preceding financial year end when the award was granted and the preceding financial 
year end when the grant is vested exceed the increase in retail price index plus 10% per annum; 
Awards will vest at 10% on the third anniversary of the Award if the growth in the Company’s earnings per share, adjusted for 
IFRS pension adjustments, between the preceding financial year end when the award was granted and the preceding financial 
year end when the grant is vested exceed the increase in retail price index plus 2.5% per annum;
Awards will vest proportionally between 10% and 100% on the third anniversary of the Award if the growth in the Company’s 
earnings per share, adjusted for IFRS adjustments, between the preceding financial year end when the award was granted and the 
preceding financial year end when the grant is vested exceed the increase in retail price index by more than 2.5% but less than 
10% per annum; and
Awards will lapse on the third anniversary of the Award if the growth in the Company’s earnings per share, adjusted for IFRS 
pension adjustments, between the preceding financial year end when the award was granted and the preceding financial year 
end when the grant is vested, does not exceed the increase in retail price plus 2.5% per annum.
(ii) EBITDA target conditions
Awards will vest in full on the third anniversary of the Award if the third year EBITDA target as set out in the Company’s   
3 Year Business Plan approved in the year that the award was granted has been met or exceeded; 
Awards will vest at 30% on the third anniversary of the Award if at least 95% but less than 100% of the third year EBITDA 
target as set out in the Company’s 3 Year Business Plan approved in the year that the award was granted has been met or 
exceeded;
Awards will vest at 20% on the third anniversary of the Award if a least 90% but less than 95% of the EBITDA target as set  
out in the Company’s 3 Year Business Plan approved in the year that the award was granted has been met or exceeded; and
Awards will lapse on the third anniversary of the Award if less than 90% of the EBITDA target as set out in the Company’s  
3 Year Business Plan approved in the year that the award was granted has been achieved.
SAYE OPTIONS
The details of the SAYE options that are open to the Executive Directors at 28th March 2015 are as follows:
DATE OF SAYE GRANT 01 SEPTEMBER 2013 01 SEPTEMBER 2013
Term of Option 3.25 years 5.25 years
Exercise price £1.9952 per share £1.9952 per share
   Total Share Options available
Executive Director No. of shares  No. of shares as at 28 March 2015
P I Wild 4,510 - 4,510
P J Willink 902 - 902
I M Maddock - 4,360 4,360
On behalf of the Board.
D R WILKS
Chairman of the Remuneration Committee
 22 June 2015 © Steven Barber Photography - Invest in South Lakeland FINANCIAL
Financial Statements
57
58 INDEPENDENT AUDITOR’S REPORT
59 STATEMENT OF COMPREHENSIVE INCOME
60 STATEMENT OF FINANCIAL POSITION
61 STATEMENT OF CASH FLOWS
62 STATEMENT OF CHANGES IN EQUITY
64 NOTES TO THE FINANCIAL STATEMENTS
88 SHAREHOLDER INFORMATION
S T A TEMENT S We have audited the financial statements of James Cropper plc 
for the year ended 28 March 2015 set out on pages 59 to 87.  
The financial reporting framework that has been applied in 
their preparation is applicable law and International Financial 
Reporting Standards (IFRSs) as adopted by the EU and, as 
regards the parent company financial statements, as applied in 
accordance with the provisions of the Companies Act 2006.  
This report is made solely to the company’s members, as 
a body, in accordance with Chapter 3 of Part 16 of the 
Companies Act 2006.  Our audit work has been undertaken so 
that we might state to the company’s members those matters 
we are required to state to them in an auditor’s report and 
for no other purpose.  To the fullest extent permitted by law, 
we do not accept or assume responsibility to anyone other 
than the company and the company’s members, as a body, for 
our audit work, for this report, or for the opinions we have 
formed.  
 
Respective responsibilities of directors and auditor  
As explained more fully in the Directors’ Responsibilities 
Statement set out on page 44, the directors are responsible 
for the preparation of the financial statements and for being 
satisfied that they give a true and fair view.  
Our responsibility is to audit, and express an opinion on,  
the financial statements in accordance with applicable law  
and International Standards on Auditing (UK and Ireland).   
Those standards require us to comply with the Auditing 
Practices Board’s Ethical Standards for Auditors.  
 
Scope of the audit of the financial statements  
A description of the scope of an audit of financial  
statements is provided on the Financial Reporting Council’s 
website at www.frc.org.uk/auditscopeukprivate
 
Opinion on financial statements  
  
In our opinion:  
• the financial statements give a true and fair view of the 
state of the group’s and of the parent company’s affairs 
as at 28 March 2015 and of the group’s profit for the year 
then ended;  
• the group financial statements have been properly 
prepared in accordance with IFRSs as adopted by the 
EU;  
• the parent company financial statements have been 
properly prepared in accordance with IFRSs as adopted 
by the EU and as applied in accordance with the 
provisions of the Companies Act 2006; and  
• the financial statements have been prepared in accordance 
with the requirements of the Companies Act 2006.  
 
Opinion on other matter prescribed by the Companies  
Act 2006  
In our opinion the information given in the Strategic Report 
and the Directors’ Report for the financial year for which 
the financial statements are prepared is consistent with the 
financial statements. 
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters 
where the Companies Act 2006 requires us to report to you if, 
in our opinion:  
• adequate accounting records have not been kept by the 
parent company, or returns adequate for our audit have 
not been received from branches not visited by us; or  
• the parent company financial statements are not in 
agreement with the accounting records and returns; or  
• certain disclosures of directors’ remuneration specified 
by law are not made; or  
• we have not received all the information and explanations 
we require for our audit.  
 
Michael Frankish  
for and on behalf of KPMG LLP , Statutory Auditor  
Chartered Accountants   
Edward VII Quay 
Navigation Way 
Preston 
PR2 2YF 
22 June 2015 
Financial Statements
58
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF JAMES CROPPER PLC JAMES CROPPER PLC 
GROUP STATEMENT OF COMPREHENSIVE INCOME
   52 week period  52 week period  
  to 28 March 2015  to 29 March 2014 
 Note £’000  £’000
Continuing operations      
Revenue 2 83,052  84,518
Other income   314  350
Changes in inventories of finished goods and work in progress   252  176
Raw materials and consumables used   (34,415 ) (36,909 )
Energy costs   (5,186 ) (5,994 )
Employee benefit costs 20 (22,607 ) (21,149 )
Depreciation and amortisation 4 (2,502 ) (2,654 )
Other expenses   (15,427 ) (16,100 )
Operating profit 2 3,481  2,238
Interest payable and similar charges 3 (906 ) (927 )
Interest receivable and similar income 3 -  2
Profit before taxation 4 2,575  1,313
T ax (expense)/income 5 (694 ) 58
Profit for the period   1,881  1,371
Earnings per share - basic 6 20.8p  15.4p
Earnings per share - diluted 6 20.1p  15.0p  
   
OTHER COMPREHENSIVE INCOME     
Profit for the period  1,881  1,371
 
Items that are or may be reclassified to profit or loss
Foreign currency translation  (47 ) 55
 
Items that will never be reclassified to profit or loss
Retirement benefit liabilities – actuarial losses  17 (3,244 ) (1,365 )
Deferred tax on actuarial losses on retirement benefit liabilities 18 560  (53 )
Deferred tax on share options 5 (225 ) 361
Income tax on other comprehensive income 5 214  67
Other comprehensive expense  for the year  (2,742 ) (935 )
Total comprehensive income for the period attributable  
to equity holders of the Company  (861 ) 436
Financial Statements
59 JAMES CROPPER PLC 
STATEMENT OF FINANCIAL POSITION
    Group as at  Group as at  Company as at  Company as at  
  28 March 2015  29 March 2014  28 March 2015  29 March 2014 
  Note £’000  £’000  £’000  £’000 
Assets           
Intangible assets 8 297  480  184  325
Property, plant and equipment 9 21,707  21,294  1,703  2,121
Investments in subsidiary undertakings 10 -  -  7,350  7,350
Deferred tax assets 18 1,174  820  2,878  2,552
Total non- current assets  23,178  22,594  12,115  12,348
Inventories 11 13,089  13,300  -  -
Trade and other receivables 12 15,717  16,019  31,399  29,600
Cash and cash equivalents  2,721  692  1,903  257
Current tax assets  -  -  290  -
Total current assets  31,527  30,011  33,592  29,857
Total assets  54,705  52,605  45,707  42,205
Liabilities
Trade and other payables 13 12,445  9,509  13,910  10,428
Other financial liabilities 14 -  11  -  11
Loans and borrowings 15 2,720  3,040  1,139  1,328
Current tax liabilities  130  202  -  6
Total current liabilities  15,295  12,762  15,049  11,773
Long-term borrowings 15 6,106  7,929  1,104  2,243
Retirement benefit liabilities 17 14,442  11,640  14,442  11,640
Total non-current liabilities  20,548  19,569  15,546  13,883
Total liabilities  35,843  32,331  30,595  25,656
Equity
Share capital 19 2,292  2,243  2,292  2,243
Share premium  1,034  915  1,034  915
Translation reserve  264  311  -  -
Reserve for own shares  (269 ) (102 ) -  -
Retained earnings  15,541  16,907  11,786  13,391
Total shareholders’ equity  18,862  20,274  15,112  16,549
 
Total equity and liabilities  54,705  52,605  45,707  42,205
The financial statements on pages 59 to 87 were approved by the Board of Directors on 22 June 2015 and were signed  
on its behalf by:
M A J Cropper 
Chairman
Company Registration No: 30226
Financial Statements
60 STATEMENT OF CASH FLOWS 
For the period ended 28 March 2015 (2014: for the period ended 29 March 2014)
  Group 2015  Group 2014  Company 2015  Company 2014 
  £’000  £’000  £’000  £’000
Cash flows from operating activities 
Net profit    1,881  1,371  1,643  1,791
Adjustments for: 
T ax  694   (58 )  225   (37 ) 
Depreciation and amortisation  2,502   2,654   237   375 
Net IAS 19 pension adjustments within SCI   919   775  919   775
Past service pension deficit payments   (1,362 ) (853 ) (1,362 ) (852 )
Foreign exchange differences   41  109   71   69 
(Profit)/loss on disposal of property , plant and equipment  (2 )  27  6   - 
Net bank interest income / (expense)   405   457   (1,171 ) (1,263 )
Share based payments   155   71   155   71 
Dividends received from Subsidiary Companies   - -  (2,800 ) (2,000 )
Changes in working capital: 
Decrease / (increase)  in inventories   236   (1,462 )  -  - 
Decrease / (increase)  in trade and other receivables  196  (1,143 )  (4,132 )  (1,388 ) 
Increase / (decrease)  in trade and other payables  3,043  1,228  3,726  (848 ) 
Interest received   -   2  1,265   1,377 
Interest paid   (414 ) (462 ) (103 ) (118 )
Tax paid   (448 ) (346 ) (448 )  - 
Net cash generated from / (used by) operating activities 7,846  2,370  (1,769 ) (2,048 )
Cash flows from investing activities 
Purchase of intangible assets   (136 ) (336 ) (136 ) (309 ) 
Purchases of property, plant and equipment   (2,483 ) (2,622 ) (81 ) (267 )
Proceeds from sale of property, plant and equipment  41   13   428   1,153 
Dividends received    -  -   2,800   2,000 
Net cash (used in) / generated from investing activities (2,578 ) (2,945 ) 3,011  2,577
Cash flows from financing activities  
Proceeds from issue of ordinary shares   168   127   168   127 
Proceeds from issue of new loans   -   2,238   -   600 
Repayment of borrowings   (2,497 ) (2,502 ) (1,328 ) (1,448 )
Issue of inter-company loans   -  -  2,333   -
Purchase of LTIP investments   (167 ) -  -   - 
Dividends paid to shareholders   (708 ) (697 ) (708 ) (697 )
Net cash (used  in) / generated from financing activities (3,204 ) (834 ) 465  (1,418 )
Net increase / (decrease)  in cash and cash equivalents 2,064  (1,409 ) 1,707  (889 )
Effect of exchange rate fluctuations on cash held  (35 )  (148 ) (61 )  (63 )
Net increase / (decrease) in cash and cash equivalents 2,029  (1,557 ) 1,646  (952 )
Cash and cash equivalents at the start of the period 692  2,249  257  1,209
Cash and cash equivalents at the end of the period 2,721  692  1,903  257
Cash and cash equivalents consists of: 
Cash at bank and in hand  2,721  692  1,903  257
Financial Statements
61 STATEMENT OF CHANGES IN EQUITY
GROUP
All figures in £’000
     Share  Share  Translation  Own  Retained 
     capital  premium  reserve  Shares  earnings  Total
30 March 2013     2,217  814  256  (102)  17,152  20,337
Profit for the period     -  -  -  -  1,371  1,371 
Exchange differences     -   -  55   -   -   55 
Actuarial gains on retirement benefit  
liabilities (net of deferred tax)     -  -  -  -   (1,418 ) (1,418 )
Tax on share options     -  -  -  -  361  361
Other comprehensive income tax     -    -  -   -              67            67 
Total other comprehensive income     -  -  55  -   (990 ) (935 )
Dividends paid     -  -  -  -  (697 ) (697 )
Share based payment charge     -  -  -  -  71  71 
Proceeds from issue of ordinary shares     26  101  -  -  -  127 
Total contributions by and distributions 
to owners of the Group     26  101  -  -  (626 ) (499 )
At 29 March 2014     2,243  915  311  (102 ) 16,907  20,274
Profit for the period     -  -  -  -  1,881  1,881
Exchange differences     -  -  (47 ) -  -  (47 )
Actuarial gains on retirement benefit 
liabilities (net of deferred tax)     -  -  -  -  (2,684 ) (2,684 )
Tax on share options     -  -  -  -  (225 ) (225 )
Other comprehensive income tax     -   -    -  -  214            214 
Total other comprehensive income     -  -  (47 ) -  (2,695 ) (2,742 )
Dividends paid     -  -  -  -  (708 ) (708)
Share based payment charge     -  -  -  -  156  156 
Proceeds from issue of ordinary shares     49  119  -  -  -  168 
Consideration paid for own shares     -              -  -  (167 ) -  (167 )
Total contributions by and distributions 
to owners of the Group     49  119  -  (167 ) (552)  (551 )
At 28 March 2015     2,292  1,034  264  (269 ) 15,541  18,862
Financial Statements
62 STATEMENT OF CHANGES IN EQUITY
COMPANY
All figures in £’000
         Share  Share  Retained   
         capital  premium  earnings  Total
At 30 March 2013         2,217  814  13,215  16,246 
Profit for the period          -   -   1,791  1,791
Actuarial gains on retirement benefit liabilities  
(net of deferred tax)         -    -   (1,418 ) (1,418 )
Tax on share options         -  -  361  361
Other comprehensive income tax         -   -   67   67
Total other comprehensive income         -   -   (990 ) (990 )
Dividends paid         -   -   (697 ) (697 )
Share based payment charge         -   -   71   71 
Proceeds from issue of ordinary shares         26   101   -   127 
Total contributions by and distributions  
to owners of the Group         26   101   (626 ) (499 )
At 29 March 2014         2,243   915   13,391   16,549 
Profit for the period         -    -   1,643   1,643 
Actuarial gains on retirement benefit liabilities  
(net of deferred tax)         -  -  (2,684 ) (2,684 )
Tax on share options         -  -  (225 ) (225 )
Other comprehensive income tax         -   -   214   214
Total other comprehensive income         -   -   (2,695 ) (2,695 )
Dividends paid         -   -   (708 ) (708 )
Share based payment charge         -   -   155   155 
Proceeds from issue of ordinary shares         49   119   -   168 
Total contributions by and distributions  
to owners of the Group         49   119   (553 ) (385 )
At 28 March 2015         2,292   1,034   11,786  15,112 
Financial Statements
63 1. ACCOUNTING POLICIES 
The principal accounting policies adopted in the preparation 
of these financial statements are set out below.  These policies 
have been consistently applied to all the years presented, 
unless otherwise stated.
Basis of preparation 
The accounting “year” for the Group is a 52 week period 
ending 28 March 2015, (2014: 52 week period ended  
29 March 2014).
Throughout these notes, the following references apply:
The Statement of Comprehensive Income is referenced as “SCI”
The Statement of Financial Position is referenced as “SFP”
Both the parent company financial statements and the Group 
financial statements have been prepared and approved by the 
directors in accordance with International Financial Reporting 
Standards as adopted by the EU (“Adopted IFRSs”).
On publishing the parent company financial statements 
here together with the Group financial statements, the 
Company is taking advantage of the exemption in s408 of the 
Companies Act 2006 not to present its individual Statement of 
Comprehensive Income and related notes that form a part of 
these approved financial statements.  
Use of estimates and judgements 
The preparation of financial statements in conformity with 
generally accepted accounting principles requires the use of 
estimates and judgements that affect the reported amounts 
of assets and liabilities at the date of the financial statements 
and the reported amounts of revenues and expenses during 
the reporting period. Although these estimates are based on 
management’s best knowledge of the amount, event or actions, 
actual results ultimately may differ from those estimates. 
The following are the policies and accompanying notes are 
where the assumptions and judgements made by management 
could have an impact on the Group’s consolidated financial 
statements.
Note 9 Property, plant and equipment 
It is the Group’s policy to depreciate categories within 
property, plant and equipment on a straight line basis over 
their estimated useful lives. A key element of this policy is 
the estimate of the useful life applied to each category of asset 
which in turn determines the annual depreciation charge. 
Variations in asset lives could affect Group profit through an 
increase or decrease in the depreciation charge.
Note 11 Inventories 
In the course of normal trading activities management uses it’s 
judgement to establish the net realisable value of it’s stocks. 
Provisions are established for obsolete or slow moving stocks, 
based on past practice, current conditions and aged inventory 
facts available to management. 
 
Note 12 Trade receivables 
In estimating the collectability of trade receivables judgement 
is required and the policies in regard to credit risk are further 
described in note 16.2.
Note 17 Retirement benefits 
Assumptions used in the calculation of the Group’s retirement 
liability have the biggest impact on these financial statements 
and are detailed in note 17.
 
Impairment of assets 
At each reporting date, the Group assesses whether there 
is any indication that an asset may be impaired. Where an 
indicator of impairment exists, the Group makes an estimate 
of recoverable amount. Where the carrying value of an asset 
exceeds its recoverable amount the asset is written down to its 
recoverable amount. Recoverable amount is the higher of fair 
value less costs to sell and value in use and is deemed for an 
individual asset. If the asset does not generate cash flows that 
are largely independent of those from other assets or groups 
of assets, the recoverable amount of the cash generating unit 
to which the asset belongs is determined. Discount rates 
reflecting the asset specific risks and the time value of money 
are used for the value in use calculation.
Basis of consolidation 
The financial statements of the Group consolidate the accounts 
of the company and those of its subsidiary undertakings.  No 
subsidiaries are excluded from consolidation.  The results and 
cash flows of subsidiary undertakings acquired are included 
from the effective date of acquisition. Intragroup balances and 
any unrealised income and expenses arising from intra-group 
transactions are eliminated in preparing the consolidated 
financial statements. 
Subsidiaries are entities controlled by the Group. Control 
exists when the Group has the power, directly or indirectly, to 
govern the financial and operating policies of an entity so as 
to obtain benefits from its activities. The financial statements 
of subsidiaries are included in the consolidated financial 
statements from the date that control commences until the 
date that control ceases.
Revenue recognition 
Revenue is recognised when the significant risks and rewards 
of ownership have been transferred to the customer. For the 
majority of customers this is when delivery has been made 
or specifically when title has passed, the point at which title 
passes varying in accordance with the terms and conditions 
of trade. Revenue is recognised when the amount of the 
revenue and related costs can be measured reliably and the 
collectability of the related receivables is reasonably assured.
Revenue is measured at the fair value of the amount received 
or receivable which is arrived at after deducting trade rebates, 
customer returns and value added tax. Shipping and handling 
costs, such as freight to our customers’ destination are 
included in cost of sales. These costs, when included in the 
sales price charged for our products are recognised in net sales.
Operating segments  
IFRS 8 Operating Segments has been adopted by the Group 
and requires that entities reflect the ‘management approach’ to 
reporting the financial performance of it’s operating segments. 
Management has determined the segments that are reported 
in a manner consistent with the internal reporting provided to 
the chief operating decision-maker, identified as the Executive 
Committee that makes strategic decisions. The committee 
considers the business principally via the three main operating 
segments. Operating segments are those components of 
the Group that are engaged in providing a group of related 
products that are subject to risks and returns that are 
different to other operating segments.  Geographical areas 
are components where the eventual product destination is in 
a particular geographic environment which is subject to risks 
and returns that are different from other such areas.  Costs  
 
 
Notes to the Financial Statements
64 are allocated to segments based on the segment to which they 
relate.  Central costs are recharged on an appropriate basis.
Management responsibility and reporting for the two paper 
subsidiaries has been merged into one operating segment 
referred to as Paper products in order to achieve greater 
customer and operational synergies.
Foreign currencies 
Transactions in foreign currencies are translated at the foreign 
exchange rate ruling at the date of the transaction. Monetary 
assets and liabilities denominated in foreign currencies at 
the Statement of Financial Position date are translated at the 
foreign exchange rate ruling at that date. Foreign exchange 
differences arising on translation are recognised in the 
Statement of Comprehensive Income. Non-monetary assets 
and liabilities that are measured in terms of historical cost in a 
foreign currency are translated using the exchange rate at the 
date of the transaction. 
The assets and liabilities of foreign operations are translated 
at foreign exchange rates ruling at the Statement of Financial 
Position date. The revenues and expenses of foreign operations 
are translated at an average rate for the period where this 
rate approximates to the foreign exchange rates ruling at the 
dates of the transactions. Exchange differences arising from 
translation of foreign operations are taken directly to the 
translation reserve; they are released into the Statement of 
Comprehensive Income upon disposal.
The portion of gain or loss on foreign currency borrowings 
that are used to hedge a net investment in a foreign operation, 
that is determined to be an effective hedge, is included 
as a movement in the cumulative translation reserve. On 
subsequent disposal such gains or losses will form part of the 
profit/loss on disposal within the Statement of Comprehensive 
Income. Any ineffective portion is recognised immediately in 
the Statement of Comprehensive Income.
Research and development 
Research expenditure is recognised as an expense as incurred. 
Costs incurred on development projects (relating to the design 
and testing of new or improved products) are recognised as 
intangible assets when the IAS 38 conditions are met. Other 
development expenditures are recognised as an expense as 
incurred. Development costs with a finite useful life that have 
been capitalised are amortised from the commencement of the 
commercial production of the product on a straight-line basis 
over the period of its expected benefit, not exceeding 5 years.
Retirement benefits 
The Group operates various pension schemes.  The 
schemes are generally funded through payments to trustee-
administered funds, determined by periodic actuarial 
valuations.  The Group has both defined benefit and defined 
contribution plans.  A defined benefit plan is a pension plan 
that defines an amount of pension benefit that an employee 
will receive on retirement.  A defined contribution plan is a 
pension plan under which the Group pays fixed contributions.
The liability recognised in the Statement of Financial Position 
in respect of defined benefit pension plans is the present value 
of the defined benefit obligation at the Statement of Financial 
Position date less the fair value of plan assets.  The defined 
benefit obligation is calculated annually by independent 
actuaries using the projected unit credit method.  The present 
value of the defined benefit obligation is determined by 
discounting the estimated future cash flows using 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 to the terms of the related 
pension liability.
Actuarial gains and losses arising from experience adjustments 
and changes in actuarial assumptions are recognised in 
the period in which they occur outside of Statement of 
Comprehensive Income in the Statement of Changes in 
Equity.
Past service costs are recognised immediately in income, 
unless the changes to the pension plan are conditional on the 
employees remaining in service for a specified period of time 
(the vesting period).  In this case, the past-service costs are 
amortised on a straight-line basis over the vesting period.
For defined contribution plans, the Group pays agreed 
contributions to the schemes.  The Group has no further 
payment obligations once the contributions have been paid.  
The contributions are recognised as an employee benefit 
expense when they are due.
Share based payments 
Options granted to employees are recognised as employee 
expenses based on fair value at grant date, with a 
corresponding increase in equity, over the period in which the 
employees become unconditionally entitled to the options.  
The fair value of the options granted is measured using an 
option valuation model, taking into account the terms and 
conditions upon which the options were granted. The amount 
recognised as an expense is adjusted to reflect the actual 
number of share options that vest except where forfeiture 
is due only to share prices not achieving the threshold for 
vesting.
The group has a wholly owned subsidiary EBT Limited, 
which is a trustee of an Employee Benefit Trust in favour of 
former, current and future employees of James Cropper plc 
and its subsidiaries. Its purpose is to acquire market shares 
in James Cropper plc, with the intention that these should be 
made available to such employees on such terms or basis as 
the trustee of the Employee Trust so decides, and includes the 
granting of awards under a long term incentive plan. 
 
Intangible fixed assets 
Intangible assets are stated at cost less accumulated 
amortisation and accumulated impairments losses, if any.   
The following useful lives have been determined for intangible 
assets.
Trade secrets such as processes or unique recipes     10 years
Computer software 3 - 10 years
Emission Allowances 0 – 1 year  
(refer to note below on Emissions trading scheme for policy)
Property plant and equipment 
Property, plant and equipment are stated at cost less 
accumulated depreciation.  Depreciation is provided on all 
property, plant and equipment, other than freehold land, at 
rates calculated to write off the cost less residual value of each 
asset evenly over its expected useful life, as follows:
Freehold land and buildings 14 – 40 years
Plant and machinery 4 – 20 years
Residual values and useful lives are reviewed annually.
Notes to the Financial Statements
65 Inventories 
Inventories are stated at the lower of cost and net realisable 
value. The cost of finished goods and work in progress 
comprises design costs, raw materials, direct labour, other 
direct costs and related production overheads (based on 
normal operating capacity). It excludes borrowing costs. Net 
realisable value is the estimated selling price in the ordinary 
course of business, less applicable variable selling expenses. 
Engineering spares are included within inventories.
Emissions trading scheme  
The Group’s power generation facilities became subject to 
the European Union Emission Trading Scheme (“EUETS”) 
as from 1 January 2008. The Group is permitted to emit 
an average of 16,000 tonnes of carbon dioxide per calendar 
year up to the year ended 31 Dec 2020. Credits for this 
quantum are issued to the Group free of charge by HM 
Government. The Group has adopted an accounting policy 
which recognises the emission allowances as an intangible 
asset and an associated liability.  The intangible asset is 
valued at the market price on the date of issue. The liability 
is valued at the market price on the date of issue up to the 
level of allocated allowances held. Should emissions exceed 
the annual allowance any excess of liability above the level 
of the allowances held is valued at the market price ruling at 
the Statement of Financial Position date and charged against 
operating profit. Un-utilised allowances are maintained against 
a potential future shortfall. When allowances are utilised both 
the intangible asset and liability are amortised to the Statement 
of Comprehensive Income. After entering phase 3 of the 
EUETS annual emissions in a calendar year are expected to 
exceed allowances received and the impact is taken to the SCI 
under “Other expenses”. At 28 March 2015 the intangible 
asset was valued at £59,000 (2014 £87,000) and the associated 
liability at £59,000 (2014 £73,000). The liability is categorised 
under current liabilities. 
Grants 
Capital grants are credited to a deferral account and released 
to income over the expected useful lives of the relevant assets.  
Grants of a revenue nature are credited to the Statement of 
Comprehensive Income in the period to which they relate.
Leasing 
Leases are classified as finance leases at inception where 
substantially all of the risks and rewards of ownership are 
transferred to the Group.  Assets classified as finance leases 
are capitalised on the Statement of Financial Position and are 
depreciated over the expected useful life of the asset.  The 
interest element of the rental obligation is charged to the 
Statement of Comprehensive Income over the period of the 
lease and represents a constant proportion of the balance of 
capital repayments outstanding. Operating lease payments 
are charged to the Statement of Comprehensive Income in the 
appropriate period.
Taxation  
Tax on the Statement of Comprehensive Income for the 
year comprises current and deferred tax. Tax is recognised in 
the Statement of Comprehensive Income, according to the 
accounting treatment of the related transaction.
Deferred tax is provided on temporary differences between 
the carrying amounts of assets and liabilities for financial 
reporting purposes and the amounts used for taxation 
purposes. The following temporary differences are not 
provided for: the initial recognition of goodwill; the initial 
recognition of assets or liabilities that affect neither accounting 
nor taxable profit other than in a business combination, and 
differences relating to investments in subsidiaries to the extent 
that they will probably not reverse in the foreseeable future. 
The amount of deferred tax provided is based on the expected 
manner of realisation or settlement of the carrying amount of 
assets and liabilities, using tax rates enacted or substantively 
enacted at the Statement of Financial Position date.
A deferred tax asset is recognised only to the extent that it is 
probable that future taxable profits will be available against 
which the asset can be utilised. 
Research & development tax credit  
Research and development expenditure credit (RDEC) is 
recognised within other operating income.
Financial instruments 
Derivatives are initially recognised at fair value on the date 
a derivative contract is entered into and are subsequently 
re-measured at their fair value at each Statement of Financial 
Position date.  The resulting gain or loss on re-measurement 
is recognised in the Statement of Comprehensive Income, 
unless hedge accounting is applicable. There were no material 
balances at the year end.
Loans and receivables are non-derivative financial assets with 
fixed or determinable payments that are not quoted in an 
active market.  They arise when the Group provides money, 
goods or services directly to a debtor with no intention of 
trading the receivable.  They are included in current assets, 
except those with maturities greater than twelve months after 
the Statement of Financial Position date, which are classified as 
non-current assets.  Loans and receivables are included within 
trade and other receivables in the Statement of Financial 
Position.
The fair value of financial instruments traded in active markets 
is based on quoted market prices at the Statement of Financial 
Position date. 
Investments 
Trade investments are stated at cost less any impairment in 
value.
The Group’s share of the profit is included in the Statement of 
Comprehensive Income on the equity accounting basis.  
Cash and cash equivalents 
Cash and cash equivalents includes cash in hand, deposits held 
at call with banks, other short-term highly liquid investments 
with original maturities of three months or less, and bank 
overdrafts.  Bank overdrafts are shown as borrowings within 
current liabilities on the Statement of Financial Position. 
Bank overdrafts that are repayable on demand and form an 
integral part of the Group’s cash management are included as a 
component of cash and cash equivalents for the purpose only 
of the Statement of Cash Flows.
Borrowing costs 
Borrowings are recognised initially at fair value, net of 
transaction costs incurred.  Borrowings are subsequently 
stated at amortised cost; any difference between the proceeds 
(net of transaction costs) and the redemption value is 
recognised in the Statement of Comprehensive Income over the 
period of the borrowings using the effective interest method.  
 
 
Notes to the Financial Statements
66 Interest  
Interest is recognised in the Statement of Comprehensive 
Income on an accruals basis using the effective interest method.
Trade receivables 
Trade receivables are recorded at their initial fair value after 
appropriate revision of impairment.
Trade payables 
Trade payables are stated at their fair value.
Capital management  
Group and Company’s capital includes share capital, reserves 
and retained earnings. The Group and Company’s policy is to 
maintain the ability to continue as a going concern, in order 
to provide returns to the shareholder and benefits to other 
stakeholders. The Group, and Company, invest in financial 
assets that will provide an adequate level of return to the 
shareholder commensurate with the level of risk.
The Group and Company manages the capital structure and 
adjusts this in light of the changes in the economic conditions 
and risk associated with the underlying assets. In order 
to maintain or adjust the capital structure, the Group and 
Company may adjust the amount of any dividend paid to the 
shareholder, return capital to the shareholder, issues new shares, 
or sell assets to reduce debt. Details of borrowings can be seen 
in note 15 and share holdings can be referred to in note 19. 
The Group, and Company, are not subject to any externally 
imposed capital requirements. There have been no material 
changes in the management of capital during the period.
Going concern 
The directors have prepared the accounts for James Cropper 
plc on a going concern basis. See the Report of the Directors 
for the basis of the going concern assumption.
New standards and interpretation not applied 
A number of new standards, amendments to standards and 
interpretations have been issued during the year ended 28 
March 2015 but are not yet effective, and therefore have not 
yet been adopted by the Group.
IFRS 9 ‘Financial Instruments’ is applicable from 2018. 
If endorsed, this standard will simplify the classification 
of financial assets for measurement purposes, but is not 
anticipated to have a significant impact on the financial 
statements.
IFRS 15 “Revenue from contracts with customers” is 
applicable from January 2017. This standard replaces IAS 11 
“Construction Contracts” , IAS 18 “Revenue”, IFRIC 13 
“Customer Loyalty Programmes”, IFRIC 15 “Agreements 
for the Construction of Real Estate”, IFRIC 18 “Transfer 
of Assets from Customers” and SIC-31 “Revenue – Barter 
Transactions Involving Advertising Services”. It applies to 
contracts with customers but does not apply to insurance 
contracts, financial instruments or lease contracts, which fall 
in the scope of other IFRSs. It also does not apply if two 
companies in the same line of business exchange  
non -monetary assets to facilitate sales to other parties. The 
standard introduces a new revenue recognition model that 
recognizes revenues either at a point in time or over time. 
The model features a contract-based five-step analysis of 
transactions to determine whether, how much and when 
revenue is recognised.
 
Amendments to IAS 19 ‘Employee benefits’ is applicable 
from February 2015. The amendments introduce a relief 
that will reduce the complexity and burden of accounting 
for certain contributions from employees or third parties. 
When contributions are eligible for the practical expedient, a 
company is permitted (but not required) to recognise them 
as a reduction of the service cost in the period in which the 
related service is rendered. This is not anticipated to have a 
significant impact on the financial statements.
The Group continues to monitor the potential impact of other 
new standards and interpretations which may be endorsed by 
the European Union and require adoption by the Group in 
future reporting periods.
The Group does not consider that any other standards, 
amendments or interpretations issued by the IASB, but not 
yet applicable, will have a significant impact on the financial 
statements.  
2. SEGMENTAL REPORTING 
 
IFRS 8 Operating Segments - requires that entities adopt the 
‘management approach’ to reporting the financial performance 
of its operating segments. Management has determined the 
segments that are reported in a manner consistent with the 
internal reporting provided to the chief operating decision- 
maker, identified as the Executive Committee that makes 
strategic decisions. The committee considers the business 
principally via the three main operating segments, principally 
based in the UK:
• James Cropper Paper Products: comprising: 
 
• JC Speciality Papers – relates to James Cropper  
 Speciality Papers, a manufacturer of specialist paper  
 and boards.  
• JC Converting – relates to James Cropper  
 Converting, a converter of paper.
• Technical Fibre Products – a manufacturer of advanced 
materials.
• Group Services – comprises central functions providing 
services to the subsidiary companies.
“Eliminations” refers to the elimination of inter-segment 
revenues, profits and investments. “Trading Operating Profit 
before Interest” refers to profits prior to other income and 
expenditure and the IAS 19 pension adjustment. The “IAS 19 
pension adjustment” refers to the impact on operating profits 
of the pension schemes’ operating costs, as described in the 
IAS 19 section of the Financial Review. “Interest Expense” 
incorporates the IAS 19 pension impact of the pension 
schemes’ finance costs, as described in the IAS 19 section of 
the Financial Review. The net IAS 19 pension adjustments to 
Operating profit and interest can be seen in the Summary of 
Results “Profit before tax” is consistent with that reported 
in the Statement of Comprehensive Income. Inter segment 
transactions are performed in the normal course of business 
and at arms length.
Notes to the Financial Statements
67 Notes to the Financial Statements
68
2. SEGMENTAL REPORTING (CONTINUED)  
Operating Segments 
Period Ended 28 March 2015
 James Cropper  Technical  Group   Other  Eliminations  Continuing    
 Paper Products  Fibre Products  Services      Operations 
 £’000  £’000  £’000  £’000  £’000  £’000
Revenue      
- External 68,505  14,547  -  -  -  83,052
- Inter-segment -  -  -  -  -  -                   
 68,505  14,547  -  -  -  83,052 
Segment Profit      
Trading Operating Profit  
before Interest 2,419  2,719  (1,184 ) -   (55 ) 3,899
IAS 19 Pension adjustments  
to profit -  -  (418 ) -  -  (418 )
Operating Profit 2,419  2,719  (1,602 ) -  (55 ) 3,481 
Interest Expense           (906 )
Interest Income           - 
Profit before tax           2,575 
Tax on profit for year           (694 )
Profit for the year           1,881 
 
Total Assets 50,299  27,928  45,707  1,916  (71,145 ) 54,705
Total Liabilities (40,533 ) (26,076 ) (30,595 ) (269 ) 61,630  (35,843 )
Period Ended 29 March 2014
 James Cropper  Technical  Group   Other  Eliminations  Continuing    
 Paper Products  Fibre Products  Services      Operations 
 £’000  £’000  £’000  £’000  £’000  £’000
Revenue      
- External 71,471  13,047   -   -               -   84,518 
- Inter-segment -  -  -  -  -  -
 71,471  13,047   -   -               -  84,518
Segment Profit
Trading Operating Profit  
before Interest 2,023  1,278   (734 ) -   (22 )                  2,545
IAS 19 Pension adjustments  
to profit -  -   (307 ) -   -  (307 )
Operating Profit 2,023  1,278   (1,041 ) -                  (22 )                  2,238 
Interest Expense           (927 )
Interest Income           2 
Profit before tax           1,313 
Tax on profit for year           58
Profit for the year            1,371 
Total Assets 48,068  23,801  42,204  1,749  (63,217 ) 52,605
Total Liabilities (38,460 ) (22,025 ) (325,656 ) (102 ) 53,912   (32,331 ) Notes to the Financial Statements
69
2. SEGMENTAL REPORTING (CONTINUED)
The Group’s country of domicile is the UK. Revenue from external customers is based on the customer’s location.  
Non - current assets are based on the location of the assets and exclude financial assets, deferred tax assets and  
post - employment benefit net assets.
 Revenues from   
 external customers Non – current assets
     2015  2014    2015  2014
     £’000  £’000    £’000  £’000
UK     44,083  42,652    19,689  19,619
Europe     15,016  16,943    -  -
Asia     7,193  6,939    1  -
The Americas     14,631  15,377    2,314  2,155
Australasia     1,595  2,214    -  -
Africa     534  393    -  -
Total     83,052  84,518    22,004  21,774
3. FINANCE COSTS      
           2015  2014
           £’000  £’000
Interest expense
Interest payable on bank borrowings 229  249
Interest payable on finance leases 176  210
Expected return on pension scheme assets (3,309 ) (3,459 )
Interest on pension scheme liabilities 3,810  3,927
Total interest expense 906  927
 
Interest income
Interest receivable on bank borrowings -  1
Other Interest received -  1
Total interest income -  2
Finance costs – net 906  925 4. PROFIT BEFORE TAX
  2015  2014
  £’000  £’000
The following items have been charged / (credited) in arriving at profit before tax:
Staff costs  22,607  21,149
Depreciation of property, plant and equipment - owned assets 1,926  1,994
 - leased assets 395  400
 - amortisation of intangibles 182  261
(Profit) / loss on disposal of  fixed assets  (2 ) 27
Other operating lease rentals payable - plant & machinery 138  322
Repairs and maintenance expenditure on property, plant and equipment  3,757  4,024
Research & development tax credits  (128 ) (119 )
Government grants received  (136 ) (188 )
Research and development expenditure  1,281  1,194
Foreign exchange differences  17  367
Trade receivables impairment  11  17
Government grants relate to assistance received for research projects and the development of new technology
Services Provided by the Group’s Auditor and network firms 
During the year the group obtained the following services from the group’s auditor at costs as detailed below:
  2015  2014
  £’000  £’000
Audit Services
- Fees payable to the company’s auditor for the audit of parent company and consolidated accounts  18  17
Other services
- Remuneration payable to the company’s auditor for the auditing of subsidiary accounts and associates  
 of the company pursuant to legislation (including that of countries and territories outside Great Britain) 44  42
- Fees in respect of debt strategy assessment  25  -
- Fees in respect of risk assessment undertaken for TFP Ltd  -  75
- Fees in respect of other accountancy matters  11  9
- Fees in respect of other assurance services  -  2
- Tax advisory services  -  9
   98  154
Notes to the Financial Statements
70 5. TAXATION
Analysis of charge in the period 
   2015  2014
Continuing operations Note £’000  £’000
Current tax  714  570
Adjustments in respect of prior period current tax  (1 ) (52 )
Total current tax  713  518
Deferred tax  (47 ) (161 )
Adjustments in respect of prior period deferred tax  27  (135 )
Effects of changes in tax rate  1  (280 )
Total deferred tax 18 (19 ) (576 )
Taxation  694  (58 )
 
Tax on items charged to equity
Deferred tax on actuarial gains on retirement benefit liabilities  560  (53 )
Deferred tax on share options  (225 ) 361
Income tax charged to OCI  214  67
 
The tax for the period is higher (2014: lower) than the standard rate of corporation tax  
in the UK of 21% (2014: 23%). The differences are explained below:
   2015  2014
  £’000  £’000
Profit before tax  2,575  1,313
 
Profit on ordinary activities multiplied by rate of corporation tax in the UK  
of 21% (2014: 23%)  540  302
Effects of:
Adjustments to tax in respect of prior period  26  (187 )
 
Overseas tax   158  56
Expenses not deductible for tax purposes  15  71
Income not taxable  (46 ) -
Rate change on deferred tax  -  (280 )
Other   1  (20 )
Total tax charge / (credit) for the period  694  (58 )
Notes to the Financial Statements
71 Notes to the Financial Statements
72
6. EARNINGS PER SHARE
Basic earnings per share is calculated by dividing the earnings attributable to ordinary shareholders by the weighted average 
number of shares outstanding during the year. 
For diluted earnings per share, the weighted average number of ordinary shares in issue is adjusted to assume conversion of all 
dilutive potential ordinary shares.  The Group has one class of dilutive potential ordinary shares - those share options granted 
to employees where the exercise price is less than the average market price of the company’s ordinary shares during the year. 
Reconciliations of the earnings and weighted average number of shares used in the calculations are set out below.
 
     2015   2014  
   Earnings Weighted Per Share Earnings W eighted  Per Share 
     average amount  average amount
    number   number 
    of shares   of shares
   £’000 ‘000 pence £’000 ‘000 pence
Basic EPS      
Earnings attributable to ordinary  shareholders  1,881 9,046 20.8 1,371 8,904 15.4
Effect of dilutive securities
- Options   - 303 - - 235 -
Diluted EPS   1,881 9,349 20.1 1,371 9,139 15.0
7. DIVIDENDS
         2015  2014
       £‘000  £’000
Final paid for the period ended 29 March 2014 / period ended 30 March 2013   508  501
Interim paid for the period ended 28  March 2015/period ended 29 March 2014   199  196
Final dividend payment paid pence per share for the period ended 29 March  
2014 / period ended 30 March 2013       5.7  5.7
Interim dividend payment paid pence per share for the period ended 28 March 
2015 / period ended 29 March 2014       2.2  2.2
In addition, the directors are proposing a final dividend in respect of the financial period ended 28 March 2015 of 6.3p per share 
(2014: 5.7p per share) which will absorb an estimated £571,000 (2014: £508,000) of shareholders’ funds.  If approved by members 
at the Annual General Meeting, it will be paid on 7 August 2015 to shareholders who are on the register of members at 10 July 
2015. There are no tax implications in respect of this proposed dividend.
The proposed dividend is not accounted for until it is formally approved at the Annual General Meeting. 8. INTANGIBLE ASSETS 
 Group          Company 
  Computer  Trade  Emission    Computer  Emission 
 Software  Secrets  Allowances  Total  Software  Allowances  Total
 £’000  £’000  £’000  £’000  £’000  £’000  £’000
Cost              
At 29 March 2014 3,852  300  2,715  6,867  3,744  2,715  6,459
Additions - externally generated 20  -   206  226  20  206  226
Disposals -  -  (39 ) (39 ) -  (39 ) (39 )
Effects of movements in  
foreign exchange -  7  -  7  -  -  -
At 28 March 2015 3,872  307  2,882  7,061  3,764  2,882  6,646
Aggregate amortisation
At 29 March 2014 3,534  225  2,628  6,387  3,506  2,628  6,134
Charge for Period 151  31  195  377  133  195  328
At 28 March 2015 3,685  256  2,823  6,764  3,639  2,823  6,462
 
Net book value at 28 March 2015 187  51  59  297  125  59  184
Net book value at 29 March 2014 318  75  87  480  238  87  325
 Group          Company 
  Computer  Trade  Emission    Computer  Emission 
 Software  Secrets  Allowances  Total  Software  Allowances  Total
 £’000  £’000  £’000  £’000  £’000  £’000  £’000
Cost              
At 30 March 2013 3,714  308  2,400  6,422  3,584  2,400  5,984
Additions - externally generated 187  -   315  502  160  315  475
Disposals (49 ) -  -  (49 ) -  -  -
Effects of movements in  
foreign exchange -  (8 ) -   (8 ) -  -  -
At 29 March 2014 3,852  300  2,715  6,867  3,744  2,715  6,459
Aggregate amortisation
At 30 March 2013 3,314  193  2,400  5,907  3,291  2,400  5,691
Charge for Period 229  32  228  489  215  228  443
Disposals (9 ) -  -  (9 ) -  -  -
At 29 March 2014 3,534  225  2,628  6,387  3,506  2,628  6,134
 
Net book value at 29 March 2014 318  75  87  480  238  87  325
Net book value at 30 March 2013 400  115  -  515  293  -  293
The computer software capitalised principally relates to the ongoing development of the Group’s Enterprise Resource Planning 
and Financial systems.  There is a separate Enterprise Resource Planning system for the Technical Fibre Products Business 
segment and the remaining amortisation period of this asset at the period end is 6 years.
The trade secrets relate to certain recipes and know how acquired within the TFP division. The remaining amortisation period of 
the assets at the period end is 4 years.
The Emission Allowances relate to the allowances received through the European Emissions Trading Scheme (EUETS) and are 
valued at market value at the date of initial recognition.  The allocated allowances are held throughout each compliance period 
and are used to meet the Group’s emissions obligations.
Notes to the Financial Statements
73 9. PROPERTY, PLANT AND EQUIPMENT
Group
 Freehold land & buildings  Plant & machinery  Total
  £’000  £’000  £’000
Cost    
Brought forward at 29 March 2014 11,085  75,892  86,977
Additions at cost 53  2,430  2,483
Disposals -  (716 ) (716 )
Effects of movements in foreign exchange -  251  251
At 28 March 2015 11,138  77,857  88,995
 
Accumulated Depreciation
Brought forward at 29 March 2014 6,018  59,665  65,683
Charge for Period 267  2,054  2,321
Disposals -  (716 ) (716 )
At 28 March 2015 6,285  61,003  67,288
 
Net book value at 28 March 2015 4,853  16,854  21,707
 
Net book value at 29 March 2014 5,067  16,227  21,294
 Freehold land & buildings  Plant & machinery  Total
  £’000  £’000  £’000
Cost    
Brought forward at 30 March 2013 10,842  73,827  84,669
Additions at cost 243  2,379  2,622
Disposals -  (160 ) (160 )
Effects of movements in foreign exchange -  (154 ) (154 )
At 29 March 2014 11,085  75,892  86,977
Accumulated Depreciation
Brought forward at 30 March 2013 5,754  57,696  63,450
Charge for Period 264  2,129  2,393
Disposals -  (160 ) (160 )
At 29 March 2014 6,018  59,665  65,683
Net book value at 29 March 2014 5,067  16,227  21,294
 
Net book value at 30 March 2013 5,088  16,131  21,219
Assets held under finance leases, capitalised and included in tangible fixed assets:
       Group    Company
     2015  2014  2015  2014
     £’000  £’000  £’000  £’000
B/f NBV     5,828  6,801  811  2,049
Additions in period     -  573  -  -
Reclassification to assets owned     (402 ) (1,146 ) (402 ) (1,146 )
Depreciation in period     (395 ) (400 )  (36 ) (92 )
Net book value     5,031  5,828  373  811
Notes to the Financial Statements
74 Notes to the Financial Statements
75
9. PROPERTY, PLANT AND EQUIPMENT (CONTINUED)
Company
 Freehold land & buildings  Plant & machinery  Total
  £’000  £’000  £’000
Cost    
Brought forward at 29 March 2014 1,610  2,675  4,285
T ransfers -  (473 ) (473 )
Additions at cost 53  28  81 
Disposals -  (245 ) (245 )
At 28 March 2015 1,663  1,985  3,648
 
Accumulated Depreciation
Brought forward at 29 March 2014 360  1,804  2,164
Charge for Period 33  71  104
T ransfers -  (77 ) (77 )
Disposals -  (246 ) (246 )
At 28 March 2015 393  1,552  1,945
 
Net book value at 28 March 2015 1,270  433  1,703
 
Net book value at 29 March 2014 1,250  871  2,121
 Freehold land & buildings  Plant & machinery  Total
  £’000  £’000  £’000
Cost    
Brought forward at 30 March 2013 1,367  4,336  5,703
T ransfers -  (1,685 ) (1,685 )
Additions at cost 243  24  267
At 29 March 2014 1,610  2,675  4,285
Accumulated Depreciation
Brought forward at 30 March 2013 334  2,202  2,536
Charge for Period 26  134  160
T ransfers -  (532 ) (532 )
At 29 March 2014 360  1,804  2,164
Net book value at 29 March 2014 1,250  871  2,121
 
Net book value at 30 March 2013 1,033  2,134  3,167 10. INVESTMENTS
Investments in subsidiary undertakings:
       Group     Company
     2015  2014    2015  2014
     £’000  £’000    £’000  £’000
At 28 March 2015 and 29 March 2014     -  -    7,350  7,350
 
Investments in subsidiary undertakings are stated at cost.  A list of principal subsidiary undertakings is given below:
 Country of % holding 
 incorporation  (of ordinary shares)                               Nature of business 
James Cropper Speciality Papers Limited England 100 Manufacture of specialist paper and boards
James Cropper (Guanghzou) Trading Co Limited China 100 Sales and marketing organisation
James Cropper Converting Limited England 100 Paper converter
Technical Fibre Products Limited England 100 Manufacture of advanced materials
Tech Fibers Inc USA 100 Holding Company
Technical Fibre Products Inc USA 100 Sales and marketing organisation
Metal Coated Fibers Inc USA 100 Manufacturer of metal coated carbon fibres
Electro Fiber Technologies LLC USA 100 Manufacturer of metal coated fibres
James Cropper EBT Limited England 100 Trustee of an employee benefit trust
Melmore Limited England 100 Dormant company
Papermilldirect.com Limited England 100 Dormant company
The Paper Mill Shop Company Limited England 100 Dormant company
 
11. INVENTORIES
       Group    
     2015  2014    
     £’000  £’000   
Materials     7,592  8,052
Work in progress     1,382  1,122
Finished goods     4,115  4,126
      13,089  13,300
Inventories are stated after a provision for impairment of £46,000 (2014: £96,000).
The cost of inventories recognised as expenses and included in cost of sales for the year ended 28 March 2015 was £67,292,000 
(2014: £68,242,000). The Company does not have inventories.
12. TRADE AND OTHER RECEIVABLES
       Group     Company
     2015  2014    2015  2014
     £’000  £’000    £’000  £’000
Trade receivables      14,610  15,059    -  -
Less: Provision for impairment of receivables     (68 ) (79 )    -  -
Trade receivables - net     14,542  14,980     -  -
Amounts owed by group undertakings     -  -    30,704  29,004
Other receivables     262  77    262  77
Prepayments     913  962    433  519
      15,717  16,019     31,399  29,600
Management believe there is no further credit risk provision required in excess of normal provision for doubtful receivables.
Notes to the Financial Statements
76 13. TRADE AND OTHER PAYABLES
        Group      Company
      2015  2014     2015  2014
      £’000  £’000    £’000  £’000
Trade payables      5,795  3,152     2,079  588
Amounts owed to group undertakings     -  -     10,355  8,851
Other tax and social security payable     458  428    116  95
Other payables     287  314     268  291
Accruals     5,905  5,615     1,092  603
     12,445  9,509    13,910  10,428
14. OTHER FINANCIAL LIABILITIES
    
        Group
     2015  2014
     £’000  £’000 
Interest rate swap       -  11
        
The Group uses an interest rate swap to hedge the risk associated with interest rate increases against a proportion  
of it’s existing borrowings.        
The gain arising in the Income Statement on fair value hedging instruments was £11,000 (2014: £21,000).    
   
15. BORROWINGS
        Group      Company
      2015  2014     2015  2014
  Note    £’000  £’000    £’000  £’000
Current
Bank loans and overdrafts due within one year or on demand:
Unsecured bank loans     1,825  2,110    1,070  1,220
Secured finance lease     895  930    69  108
 16.3    2,720  3,040    1,139  1,328
Non-current loans:
Unsecured bank loans     3,375  4,302    930  2,000
Secured finance lease      2,731  3,627    174  243
 16.3    6,106  7,929    1,104  2,243
Bank loans bear interest at rates between 1% and 4.5% above UK bank base rates.
The future minimum lease payments under finance leases held, together with the value of principal are as follows:
 
 Minimum  Interest  Principal     Minimum  Interest  Principal 
 lease payments        lease payments
 2015  2015  2015    2014  2014  2014
 £’000  £’000  £’000    £’000  £’000  £’000
Group 
Within one year 1,027  132  895    1,106  176  930
Greater than one year and 
less than five years 2,919  188  2,731    3,477  314  3,163
Greater than 5 years -  -                 -    469  6   463
Company
Within one year 84  15  69    128  20  108
Greater than one year and 
less than five years 189  15  174    273  30  243
Notes to the Financial Statements
77 Notes to the Financial Statements
16. FINANCIAL INSTRUMENTS AND RISK
The Group has exposure to the following risks from its use of financial instruments:
•  Credit risk     •  Liquidity risk     •  Currency risk     •  Interest rate risk
This note presents information about the fair value of the Group’s financial instruments, the Group’s exposure to each of 
the risks noted and the Group’s objectives, policies and processes for measuring and managing risk. The Board has overall 
responsibility of the risk management strategy and coordinates activity across the Group. This responsibility is discussed further 
in the Director’s report.
Exposure to the financial risks noted, arise in the normal course of the Group’s business. 
16.1  CATEGORIES OF NON-DERIVATIVE FINANCIAL ASSETS AND LIABILITIES  
 AND FAIR VALUES
The fair values of the financial assets and liabilities of the Group together with their book values are as follows:
Group   Book Value   Fair Value   Book Value   Fair Value
     2015  2015     2014  2014
 Note   £’000  £’000    £’000  £’000
Financial assets
Bank loans and overdrafts due within one year or on demand:
Current
Trade receivables 12   14,610  14,542    15,059  14,980
Cash and cash equivalents    2,721  2,721    692  692
    17,331  17,263    15,751  15,672
Financial liabilities
Current
Trade payables 13   5,795  5,795    3,152  3,152
Short term borrowings 15   2,720  2,720    3,040  3,040
    8,515  8,515    6,192  6,192
Non-current
Long term borrowings  15   6,106  6,106    7,929  7,929
Company   Book Value   Fair Value   Book Value   Fair Value
     2015  2015     2015  2014
 Note   £’000  £’000    £’000  £’000
Financial assets
Current
Cash and cash equivalents    1,903  1,903    257  257
    1,903  1,903    257  257
Non-current
Investments in subsidiary undertakings 10   7,350  7,350    7,350  7,350
Financial liabilities  
Current 
Trade payables 13   2,079  2,079    588  588
Short term borrowings 15   1,139  1,139    1,328  1,328
    3,218  3,218    1,916  1,916
Non-current
Long term borrowings  15   1,104  1,104    2,243  2,243
The fair values are stated at the reporting date and may be different from the amounts which will be actually paid or received on 
settlement of the instruments. The fair values are based on book values as the directors do not consider that there is a material 
difference between the book values and the fair values.
78 16.2 CREDIT RISK
Credit risk is the risk of financial loss to the Group if a customer or counterparty fails to meet its contractual obligations. Credit 
risk arising from the Group’s normal commercial activities are controlled by individual business units operating in accordance 
with Group policies and procedures. Exposure to credit risk arises from the potential of a customer defaulting on their invoiced 
sales. Some of the Group’s businesses have credit insurance in place. For un-insured customers, the financial strength and credit 
worthiness of the customer is assessed from a variety of internal and external information, and specific credit risk controls that 
match the risk profile of those customers are applied. 
Trade receivables recorded by business held at the 28 March 2015 were: 2015    2014
 £’000    £’000 
JC Speciality Papers 9,452    10,355
JC Converting 2,117    2,192
Technical Fibre Products 2,973    2,433
 14,542    14,980
The Company does not have trade receivables.
The ageing of trade receivables at the reporting date was: 2015    2014
 £’000    £’000 
Not past due 12,473    12,288
Past due 0-30 days 2,104    2,771
Past due 31 -60 days 33    -
  14,610    15,059
Less impairment (68 )   (79 )
  14,542    14,980
At the end of each reporting period a review of the provision for bad and doubtful debts is performed. It is an assessment of the 
potential amount of trade debtors which will not be paid by customers after the balance sheet date. This amount is calculated by 
reference to the age, status and risk of each receivable.
Provision for doubtful debts. 
Group 2015    2014
 £’000    £’000 
Balance at start of period 79    200
Released during the period (11 )   (21 )
Utilised during the period -    (100 )
Balance at end of period 68    79
Included in the outstanding trade receivables balance are debtors with an overdue amount of £2,069,000 (2014: £2,692,000) that 
the Group has not provided for. The directors believe that these amounts are still considered recoverable from customers for 
whom there is no recent history of default.
Notes to the Financial Statements
79 Notes to the Financial Statements
16.3 LIQUIDITY RISK
Liquidity risk is the risk that the Group will not have sufficient funds to meet liabilities.  The Group’s policy is to maintain a 
mix of short, medium and long term borrowings with a number of banks.  Short term flexibility is achieved through overdraft 
facilities.  In addition, it is the Group’s policy to maintain undrawn committed borrowing facilities in order to provide flexibility 
in the management of liquidity.
Current and non- current financial liabilities
The maturity profile of the carrying amount of the current and non-current financial liabilities, at 28 March 2015, was as follows: 
        Finance      Finance 
        lease      lease
      Debt  obligations  Total  Debt  obligations  Total
      2015  2015  2015  2014  2014  2014
 Group     £’000  £’000  £’000  £’000  £’000  £’000
In less than one year     1,825  895  2,720  2,110  930  3,040
In more than one year but not more than two years    755  843  1,598  1,191  894  2,085
In more than two years but not more than five years   2,618  1,888  4,506  3,101  2,268  5,369
In more than five years     2  -  2  10  465  475
      5,200  3,626  8,826  6,412  4,557  10,969
  
        Finance      Finance 
        lease      lease
      Debt  obligations  Total  Debt  obligations  Total
      2015  2015  2015  2014  2014  2014
 Company     £’000  £’000  £’000  £’000  £’000  £’000
In less than one year     1,070  69  1,139  1,220  108  1,328
In more than one year but not more than two years    620  74  694  1,220  243  1,463
In more than two years but not more than five years   310  100  410  780  -  780
In more than five years     -  -  -  -  -  -
      2,000  243  2,243  3,220  351  3,571
Trade payables
Trade payables at the reporting date was:         Group      Company
         2015  2014     2015  2014
         £’000  £’000    £’000  £’000
Trade payables at the reporting date was       5,795  3,152    2,079  588
Total contractual cash flows       5,795  3,152    2,079  588
Borrowing facilities
The Group has the following undrawn committed borrowing facilities available at 28 March 2015: 
    Group at 28 March 2015  Group at 29 March 2014 
    Floating rate £’000  Floating rate £’000
Expiring within one year (renewable annually)       4,658      4,084
The Group’s expiry profile of the drawn down facilities is as follows:
    Group   Group  Company   Company
    at 28 March 2015   at 29 March 2014  at 28 March 2015  at 29 March 2014 
    £’000  £’000  £’000  £’000
December 2014     -    769   -      -   
September 2015     450    1,050   450    1,050 
December 2015     621    -  -    - 
June 2016     2,023    1,803  -    -
July 2016     -    569  -    - 
August 2016     512    -  -    -
April 2017     800    1,200   800    1,200 
March 2018     300    400  300    400
January 2019     450    570  450    570
August 2019     28    33  -     -   
November 2019     16    18  -    -
      5,200    6,412  2,000    3,220 
80 Notes to the Financial Statements
16.4 CURRENCY RISK
The Group publishes its consolidated financial statements in sterling but also conducts business in foreign currencies. As a result 
it is subject to foreign currency exchange risk arising from exchange rate movements which will be reflected in the Group’s 
transaction costs or in the underlying foreign currency assets of its foreign operations. The Group has operations in the US. 
The Group is exposed to foreign exchange risks primarily with respect to US Dollars and the Euro.  Where possible, the Group 
maintains a policy of balancing sales and purchases denominated in foreign currencies.  Where an imbalance remains, the group 
has also entered into certain forward exchange contracts. No material contracts were outstanding at the year end.  
The management of foreign currency is described in further detail in the Financial Review.
Represented below is the net exposure to foreign currencies, reported in pounds sterling, and arising from  
all Group activities, as at 28 March 2015.
     USD  Euro  RMB  GBP  Total
      £’000  £’000  £’000  £’000  £’000
Trade Receivables     3,727  2,257  -  8,558  14,542
Cash and cash equivalents     465  15  72  2,169  2,721
T rade Payables     (1,209 ) (494 ) -  (4,092 ) (5,795 )
Unsecured current loans     (747 ) -  -  (1,078 ) (1,825 )
Finance lease current     -  -  -  (895 ) (895 )
Unsecured non-current loans     (2,409 ) -  -  (965 ) (3,374 )
Finance lease non-current     -  -  -  (2,731 ) (2,731 )
Net exposure     (173 ) 1,778  72  966  2,643
At the 29 March 2014 the Group’s exposure to foreign  
currency risk was as follows:     USD  Euro  RMB  GBP  Total 
     £’000  £’000  £’000  £’000  £’000
Trade Receivables     2,997  3,066  -  8,917  14,980
Cash and cash equivalents     763  5  119  (195 ) 692
T rade Payables     (475 ) (358 ) -  (2,319 ) (3,152 )
Unsecured current loans     (882 ) -  -  (1,228 ) (2,110 )
Finance lease current     -  -  -  (930 ) (930 )
Unsecured non-current loans     (2,259 ) -  -  (2,043 ) (4,302 )
Finance lease non-current     -  -  -  (3,626 ) (3,626 )
Net exposure     144  2,713  119  (1,424 ) 1,552
This represents the net exposure to foreign currencies, reported in pounds Sterling, and arising from all Group activities.
At the 28 March 2015 the Company’s exposure to foreign  
currency risk was as follows:       USD  Euro  GBP  Total 
       £’000  £’000  £’000  £’000
Cash and cash equivalents       2  5  1,896  1,903
Trade Payables       -  (3 ) (2,076 ) (2,079 )
Unsecured current loans       -  -  (1,070 ) (1,070 )
Finance lease current       -  -  (69 ) (69 )
Unsecured non-current loans       -  -  (930 ) (930 )
Finance lease non-current       -  -  (174 ) (174 )
Net exposure       2  2  (2,423 ) (2,419 )
At the 29 March 2014 the Company’s exposure to foreign 
currency risk was as follows:       USD  Euro  GBP  Total 
       £’000  £’000  £’000  £’000
Cash and cash equivalents       481  3  (227 ) 257
Trade Payables       -  -  (588 ) (588 )
Unsecured current loans       -  -  (1,220 ) (1,220 )
Finance lease current       -  -  (108 ) (108 )
Unsecured non-current loans       -  -  (2,000 ) (2,000 )
Finance lease non-current       -  -  (243 ) (243 )
Net exposure       481  3  (4,386 ) (3,902 )
81 Notes to the Financial Statements
A one percent strengthening of the pound against the Euro and the US Dollar at 28 March 2015 would have had the following 
impact on equity and profit by the amounts shown below. 
     Equity  SCI          Equity  SCI
Group     £’000  £’000     Company      £’000  £’000
28 March 2015   USD  Nil  (25 )   28 March 2015   USD  Nil  Nil
28 March 2015   Euro  (18 ) (17 )   28 March 2015   Euro  Nil  Nil
29 March 2014   USD  (1 ) (25 )   29 March 2014   USD  (5 ) Nil
29 March 2014   Euro  (27 ) (27 )   29 March 2014    Euro  Nil  Nil
This sensitivity analysis is indicative only and it should be noted that the Group’s exposure to such market rate changes is 
continually changing. The calculations assume all other variables, in particular interest rates, remain constant.
16.5 INTEREST RATE RISK
Interest rate risk derives from the Group’s exposure to changes in value of an asset or liability or future cash flow through 
changes in interest rates. The group finances its operations through a mixture of retained profits and bank borrowings.  The 
group borrows in the desired currencies at fixed or floating rates of interest. As part of the Group’s interest rate management 
strategy the Company entered into an interest rate swap which matured in January 2015.  The exposure is measured on variable 
rate debt and instruments. 
The net exposure to interest rates at the Statement of Financial Position date can be summarised as follows:
       Group    Group    Company    Company
       2015    2014    2015    2014
        £’000    £’000    £’000    £’000
Interest bearing liabilities - floating
Borrowings       5,157    6,360    2,000    3,220
Finance lease       2,327    2,809    -    -
       7,484    9,169    2,000    3,220
Interest bearing liabilities - fixed
Borrowings       43    52    -    -
Finance lease       1,299    1,748    243    351
       1,342    1,800    243    351
Interest bearing liabilities       8,826    10,969    2,243    3,571
The effective interest rates at the balance sheet date were as follows:
               2015    2014 
               %    %
Bank overdraft               1.5    1.5
Borrowings               3.9    3.9
The sensitivity analysis below assumes a 100 basis point change in interest rates from their levels at the reporting date, with all 
other variables held constant. A 1% rise in interest rates would result in an additional £75,000 for the Group and £20,000 for the 
Company in interest expense being incurred per year. The impact of a decrease in rates would be an identical reduction in the 
annual charge.
               Group    Company
               SCI    SCI 
               £’000    £’000
28 March 2015               75    20
29 March 2014               62    2
82 Notes to the Financial Statements
17. RETIREMENT BENEFITS
The Group operates a number of pension schemes.  Two of these schemes, the James Cropper PLC Works Pension Plan  
(“Works Scheme”) and the James Cropper PLC Pension Scheme (“Staff Scheme”) are funded schemes of the defined benefit 
type.  The Group also operates a defined contribution scheme and makes contributions to personal pension plans for its 
employees in the USA.
Pension costs for the defined contribution scheme and personal pension contributions are as follows:
             2015  2014 
Group             £’000  £’000
Defined contribution schemes             286  370
Personal Pension contributions             25  19
Other pension costs totalled £226,000 (2014: £359,000) and represent life assurance charges and government pension protection 
fund levies.
Defined benefit plans
As from 1 April 2011 active members’ benefits have been reduced such that future increases in pensionable salaries are restricted 
to RPI up to a maximum of 2% per annum. Thus the Staff and Works Schemes will remain defined benefit schemes but they will 
no longer be “final salary” schemes. The most recent actuarial valuations of the Staff Scheme and the Works Scheme have been 
updated to 28 March 2015 by qualified independent actuaries.  The major assumptions used by the actuary for each scheme were 
as noted below.  The expected return on plan assets is calculated by using a weighted average across each category of asset:
 
         Staff Scheme  Works Scheme
         2015  2014  2015  2014 
         %  %  %  %
Inflation assumption         3.0  3.3  3.0  3.3
Rate of increase in pensionable salaries         2.0  2.0  2.0  2.0
Discount rate         3.3  4.5  3.3  4.5
Allowance for pension in payment increases of RPI  
or 5% p.a. if less (subject to minimum of 3% p.a)         3.4  3.5  3.4  3.5
Allowance for revaluation of deferred pensions of CPI or 5% p.a if less  
on the Staff scheme or  RPI or 2.5% p.a. if less on the Works scheme     2.0  2.3  2.0  2.3
In respect of mortality for the Works members the assumptions adopted at 28 March 2015 are 145% of the standard tables 
S1PxA, with no age rating, projected using CMI_2014 converging to 1.25%. For the Staff members the S1PxA tables with a 
95% rating has been used with no age rating, projected using CMI_2014 converging to 1.25%.  The different tables and methods 
applied to each Scheme reflect the different characteristics of the members within these Schemes.  The long-term expected rate 
of return on cash is determined by reference to bank base rates at the SFP dates. The long-term expected return on bonds is 
determined by reference to UK long dated government and corporate bond yields at the SFP date. The long-term expected rate 
of return on equities is based on the rate of return on bonds with an allowance for out-performance.
The amounts recognised in the Statement of Financial Position are determined as follows:
       2015  2014  2013  2012  2011 
       £’000  £’000  £’000  £’000  £’000
Present value of scheme liabilities       (106,788 ) (85,482 ) (85,112 ) (78,005 ) (69,593 )
Fair value of plan assets       92,346  73,842  74,759  70,307  68,189
Net liability recognised in the SFP       (14,442 ) (11,640 ) (10,353 ) (7,698 ) (1,404 )
83 Notes to the Financial Statements
The fair value of the plan assets comprises the following categories
of asset in the stated proportions:         Staff Scheme  Works Scheme
         2015  2014  2015  2014
          %  %  %  %
Equities         64  74  72  81
Bonds         -  -  -  -
Annuities         4  5  -  -
Cash         1  -  1  -
Corporate Bonds         -  -  -  -
Real Liability Strategy         9  -  4  -
Nominal Liability Strategy         22  21  23  19
The pension plan assets do not include any investments in the shares of the Company (2014:  nil).  
The amounts recognised in the Statement of Comprehensive Income are as follows:       2015  2014
              £’000  £’000
Total included within employee benefit costs - current service cost         979   969 
Expected return on plan assets             (3,309 ) (3,459 )
Interest on pension scheme liabilities             3,810  3,927
Total included within interest             501  468
Total             1,480  1,437
Analysis of the movement in the Statement of Financial Position liability:
             2015  2014
              £’000  £’000
At B/f             (11,640 ) (10,353 )
Total expense as above             (1,480 ) (1,437 )
Contributions paid             1,922  1,515
Actuarial losses recognised in SCI             (3,244 ) (1,365 )
At 28 March 2015             (14,442 ) (11,640 )
The actual return on plan assets was £18,900,000 (2014: £371,000 deficit).  The Company expects to pay £928,000 (2014: 
£667,000) in contributions to the Staff Scheme and £1,137,000 (2014: £950,000) in contributions to the Works Scheme in the next 
financial period.
The cumulative amount of losses recognised in the Statement of Comprehensive Income, since the adoption of IAS 19, are 
£15,243,000 (2014:  £11,999,000).
 Works Scheme  Staff Scheme  Works Scheme  Staff Scheme
 2015  2015  2015  2015  2014  2014  2014  2014
  Assets  DBO  Assets  DBO  Assets  DBO  Assets  DBO
B/f 37,604  (46,018 ) 36,238  (39,464 ) 37,548  (45,027 ) 37,211  (40,085 )
Expected return on assets 1,686  -  1,623  -  1,744  -  1,715  -
Current service costs -  (568 ) -  (411 ) -  (527 ) -  (442 )
Benefits paid (1,407 ) 1,407  (1,397 ) 1,397  (1,159 ) 1,159  (1,392 ) 1,392
Contributions by plan participants 317  (317 ) 168  (168 ) 305  (305 ) 185  (185 )
Employer contributions 1,044  -  879  -  784  -  731  -
Interest cost -  (2,053 ) -  (1,757 ) -  (2,086 ) -  (1,841 )
Actuarial (losses)/gains 7,831  (10,894 ) 7,760  (7,942 ) (1,618 ) 768  (2,212 ) 1,697
At 28 March 2015 / 29 March 2014 47,075  (58,443 ) 45,271  (48,345 ) 37,604  (46,018 ) 36,238  (39,464 )
   
Experience adjustments       2015  2014  2013  2012  2011
        £’000  £’000  £’000  £’000  £’000
Arising on plan assets       15,591  (3,830 ) 1,855  (1,759 ) 112
Percentage of scheme assets       16.88%  (5.19% ) 2.48%  (2.50% ) 0.20%
Arising on plan liabilities       (18,836 ) 2,621  (143 ) -  2,717
Percentage of scheme liabilities       (17.64% ) 3.07%  (0.17% ) -  3.90%
84 Notes to the Financial Statements
18. DEFERRED TAXATION
The movement on the deferred tax account is shown below:
        Group      Company
      2015  2014     2015  2014
      £’000  £’000    £’000  £’000
At 29 March 2014     820  (64 )   2,552  2,007
Deferred tax on actuarial gains on retirement liabilities     560  (53 )   560  (53 )
Deferred tax on share options recognised in OCI     (225 ) 361    (60 ) 361
SCI credit / (charge)      19  576    (174 ) 237
At 28 March 2015     1,174  820    2,878  2,552
Deferred tax assets have been recognised in respect of all temporary differences giving rise to deferred tax assets because it is 
probable that these assets will be recovered.  No deferred tax is recognised on the un-remitted earnings of overseas subsidiaries.   
Based on the combined distributable reserves in the US Companies of £2,268,000 (2014: £1,257,000), tax at 21% of £476,000 
could be receivable, before any application for double tax relief, which could be expected to reduce the UK liability to nil.
Deferred tax liabilities       Accelerated    
        capital allowances  Other  Total
          £’000  £’000  £’000
At 29 March 2014         (2,317 ) 809  (1,508 )
SCI credit         384  (365 ) 19
Deferred tax on share options recognised in OCI         -  (225 ) (225 )
At 28 March 2015         (1,933 ) 219  (1,714 )
Deferred tax assets             Pension  Total
            £’000  £’000
At 29 March 2014           2,328  2,328
Deferred tax on actuarial gains on retirement liabilities           560  560
At 28 March 2015           2,888  2,888
             
         Total
              £’000
Net deferred tax asset             1,174
 
 
19. CALLED UP EQUITY SHARE CAPITAL
Group and Company        
       2015  2014
Authorised           £’000  £’000
10,000,000 (2014:10,000,000) ordinary shares of 25p each           2,500  2,500
Issued and fully paid     Number of 
     ordinary shares  £’000
At 29 March 2014           8,971,150  2,243
Issued during the period           195,616  49
At 28 March 2015           9,166,766  2,292
 
 
Potential issue of ordinary shares
Under the Group’s long-term incentive plan for executive directors and senior executives, such individuals hold rights over 
ordinary shares that may result in the issue of up to 173,999 25p ordinary shares by 2018 (2014: 213,062 25p ordinary shares by 
2016). There were no share options exercised in the period (2014: none were exercised). Further information on directors share 
options can be seen in the Directors Remuneration Report.
85 Notes to the Financial Statements
The Save As You Earn (SAYE) schemes were introduced in August 2009, September 2010 and September 2013 and run for either 
a three or five year period. Options were valued using a Black-Scholes option pricing model.  The fair value per option and 
assumptions used in the calculation are as follows:
  Aug ‘09 Sept ‘10 Sept ‘13  Sept ‘13
  5 year scheme 5 year scheme 3 year scheme 5 year scheme
Fair value per option   23p  46p  57p  71p
Date of grant   18 August 30 September 1 September 1 September 
  2009 2010 2013 2013
Exercise Price   85p  130p  199.52p  199.52p
Market Price at date of grant   112p  163p  313.5p  313.5p
Volatility   27%  35%  26%  26%
Net dividend yield   6%  4%  3%  2%
Term of option   5.25 years  5.25 years  3.25 years  5.25 years
Risk free rate of interest   2.8%  1.6%  0.8%  1.5%
 
During the period 195,616 options were exercised (2014: 104,803 options were exercised).
20. EMPLOYEES AND DIRECTORS
Staff costs during the period             Group    Company
           2015  2014   2015  2014
        Note   £’000  £’000  £’000  £’000
Wages and salaries           19,403  17,806  3,322  2,208
Social Security costs           1,688  1,625  271  234
Pension costs            17   1,516  1,718  451  547
           22,607  21,149  4,044  2,989
 
The average monthly number of people (including executive directors) employed in the Group during the year, analysed by 
division was as follows:
               2015  2014
               Number  Number
James Cropper Paper Products                359  362
Technical Fibre Products               92  91
James Cropper plc               75  65
               526  518
 
21. COMMITMENTS UNDER OPERATING LEASES
Group 2015 2015 2014 2014
  Plant &   Plant &
 Property Machinery Property Machinery
 £’000 £’000 £’000 £’000
Commitments under non-cancellable operating leases expiring:
Within one year 26 - 33 -
Later than one year and less than five years 391 501 45 505
After five years 1,185 - 1,199 -
 1,602 501 1,277 505
86 21. COMMITMENTS UNDER OPERATING LEASES (CONTINUED) 
Company 2015 2015 2014 2014
  Plant &   Plant &
 Property Machinery Property Machinery
 £’000 £’000 £’000 £’000
Commitments under non-cancellable operating leases expiring:
Within one year - - 24 -
Later than one year and less than five years 391 501 - 505
 391 501 24 505
 
22. CAPITAL COMMITMENTS 
  Group  Company
 2015 2014 2015 2014
 £’000 £’000 £’000 £’000
Contracts placed for future capital expenditure not    
provided in the financial statements. 1,791 90 33 53
 
 
23. CONTINGENT LIABILITIES
There were no contingent liabilities at the period end for the group.  The Company is included in a cross guarantee between  
itself and its subsidiaries.
24. RELATED PARTY TRANSACTIONS
Group
The Group has taken advantage of the exemption not to disclose intra-group transactions that are eliminated on consolidation.
Company
The Company pays £40,000 (2014: £38,750) annually to Sir James Cropper for the use of reservoirs to supply water to the factory 
premises.  The contract is based on a twenty year repairing lease with rent reviews every five years.  The rent is negotiated 
through independent advisers representing each party. The Company paid £45,550 (2014: £76,231) to Ellergreen Hydro, a 
company in which M A J Cropper is Managing Director, in the period for a maintenance project.  The Company paid £23,909 
(2014: £12,736) to Ellergreen Estate (trading name of the J A Cropper (1989) Settlement), a trust of which M A J Cropper is a 
beneficiary, for imports of electricity from the hydro-electric plant owned and operated by the Trust.
The Company also has the following transactions with related entities:
2015     Loans and net
   Management   /intercompany
   charges Receivable funding
   £’000 £’000 £’000
James Cropper Speciality Papers Limited   4,309 1,746 8,071
James Cropper Converting Limited   763 467 8,997
Technical Fibre Products Limited   896 325 474
James Cropper EBT Limited   - - 269
   5,968 2,538 17,811
2014     Loans and net
   Management   /intercompany
   charges Receivable funding
   £’000 £’000 £’000
James Cropper Speciality Papers Limited   3,927 2,048 13,495
James Cropper Converting Limited   720 139 7,665
Technical Fibre Products Limited   904 385 (3,199 ) 
Tech Fibers Inc   - - (481 )
James Cropper EBT Limited   - - 101
   5,551 2,572 17,581
87
Notes to the Financial Statements 2014 - 2015 SHAREHOLDER INFORMATION
Reporting
Interim Results announced and sent to: 
Ordinary Shareholders 11 November 2014
Final results announced 23 June 2015
Annual Report issued by 7 July 2015
Annual General Meeting - at Bryce Institute, Burneside, Kendal, Wednesday 29 July 2015 at 11.00am.
Dividends on Ordinary Shares 
Interim dividend paid on 9 January 2015 to Ordinary Shareholders registered on 12 December 2014.
Final dividend to be paid on 7 August 2015 to Ordinary Shareholders registered on 10 July 2015.
Shareholder Information
Bankers and Advisers
Bankers 
Svenska Handelsbanken AB (publ) 
Barclays Bank plc 
HSBC Bank plc
Independent Auditor 
KPMG LLP , Preston
Tax Advisers 
PriceWaterhouseCoopers LLP , Newcastle upon Tyne
NOMAD & Stockbrokers 
Westhouse Securities Limited, London
Corporate Lawyers 
Bond Dickinson, Newcastle upon Tyne
Registrars 
Capita Asset Services, Beckenham
Pension Adviser 
Towers Watson, Manchester
James Cropper plc
Burneside Mills  
Kendal, Cumbria LA9 6PZ
Telephone. +44 (0)1539 722002 
Fax. +44 (0)1539 720001 
Email. info@cropper.com
www.cropper.com
 
Company Registration No: 30226
Design 
Plain Creative Ltd 
 
Photography 
Pantling Studio 
James Cropper Archives 
Steven Barber Photography
 
Print 
Dixons Printing Company Ltd
Annual Report Production
All the paper used in this report has been made in England by James Cropper PLC.
Duplex Cover 
Kirkbie Green with Cambric texture 
Dyers Broom with Elation feltmark, 540gsm
Strategic Report 
Paper from G . F Smith  
Zen, Pure White, 120gsm
Governance 
Dyers Broom, 135gsm
Financial Statements 
Vanguard Jade, 120gsm
88