7
XP Power
Effect of US Dollar Exchange Rate Changes
(£0.2)
Approximate effect on pre tax clean
-10.1%
£20.8
£18.7
USA revenue at 2006 rate
-19.2%
£20.8
£16.8
USA revenue as reported
-11.2%
1.78
1.98
Average US$/£ exchange rate
-10.5%
$37.1
$33.2
USA revenue
Change
2006
2007
Translation effect (North America)
Transaction effect (Europe)
Approximately 25% of revenues and 50% of cost of sales
are denominated in US$.
11%
weakening of US$ versus Euro and Sterling results in a margin pick up of approximately £0.1 million or 0.3% of revenue.
Own
brand business
Own brand
business grew 17% after normalising effects of the weakening US Dollar