The authorised share capital of the Company is £39,576,626.60 divided into ordinary shares of 1p each, 5.25p convertible cumulative redeemable preference shares 2012 of 70p each, deferred shares of 1/8 p each.

As at 31 March 2011 the allotted, called up and fully paid share capital was:

	31 March 2011 £000	31 March 2010 £000
118,137,522 ordinary shares of 1p each (2010: 107,407,522)	1,182	1,074
212,145,300 deferred shares of 1/8 p	265	265
Total share capital	1,447	1,336

As at 1 April 2010 the Company had 118,137,522 ordinary 1p shares in issue. On 8 December 2010 the Company issued 10,730,000 new ordinary 1p shares to shareholders as a part of a Placing. At 31 March 2011 there were 118,137,522 ordinary 1p shares in issue.

The Group’s capital management objectives are:
– to ensure the Group’s ability to continue as a going concern; and,
– to provide an adequate return to shareholders.

The Group sets the amount of capital in proportion to its overall financing structure. It manages the capital structure and makes adjustments to it in the light of changes in economic conditions and the risk characteristics of the underlying assets. In order to maintain or adjust the capital structure, the Group may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares, or sell assets to reduce debt. Capital is defined as being issued share capital, retained earnings and other reserves. (2011: £247,797,000, 2010: £235,005,000).

The deferred shares were issued on 23 December 2004 to those shareholders electing to receive a dividend, rather than a capital repayment or further shares in the Company, as part of the Return of Cash approved by shareholders on 20 December 2004. The deferred shares carry no voting rights and have no right to a dividend or capital payment in the event of a winding up of the Company. The Company’s Articles of Association give the Company irrevocable authority to purchase all or any of the deferred shares for a maximum aggregate total of 1 penny for all deferred shares in issue on the date of such purchase.