Highlights

Significant improvement in the Group’s results

Revenue up 13% to £344.6m (2009: £304.8m) Profit before tax* up 18% to £18.6m (2009: £15.8m) Operating margin* increased to 7.5% (2009: 7.3%) Return on operating capital improved to 15.2% (2009: 11.4%) * - continuing operations before tax, amortisation and non-recurring items

Strengthened financial position

• €45m private placement
• Successful refinancing of committed bank facilities
• Another year of strong cash conversion

Dividends increased to 1.6p (2009: 0.8p)

Yarns restructuring on track

• Abu Dhabi manufacturing facility in full commercial production
• Closure of Ostend site progressing to plan

Sales growth initiatives

• Increased contribution from high-growth emerging markets
• Over 14% of sales from new products
• Development pipeline continuing to improve

New Saudi joint venture agreement signed in January 2011

• 50:50 geotextile joint venture with NATPET
• Well positioned to service high-growth Middle East and Indian subcontinent markets

Case Study

Duracover: the first Bonar fully bio- based groundcover

Bonar Technical Fabrics has developed Duracover, a biodegradable groundcover fabric produced from renewable sources. Duracover combines the ecological and aesthetic benefits of a bio-based fabric with the durability and flexibility of a synthetic groundcover. Duracover is designed for use in landscaping, weed control and preservation of green spaces.