Scotty Group Plc : Trading Update

24 January 2012

SCOTTY Group SE

("SCOTTY" or the "Group")

Trading update

SCOTTY is providing the market with an update on the Group's progress.

At the time of our interim report on the results for the half year ended 30 June 2011, we said that our trading had started to see the predicted acceleration in the rate of delivery of PV systems for Eurocopter contracted for 2011. We also said that negotiations were at an advanced stage for the supply of additional aero-certified systems for Diamond customers and for other government organisations, though it was difficult to be precise as to what proportion of this revenue would benefit the fourth quarter of 2011.

We can now report that our Eurocopter PV system deliveries for 2011 were completed successfully during the year as planned. However, negotiations on some of the other contracts are not yet finalised, with the result that deliveries for these contracts are expected to take place in 2012 instead.

Turnover in our second half-year has shown an improvement of approximately 50 per cent. on the first half, with the result that turnover for the financial year ended 31 December 2011 will be in the region of Euros 6 million. While this is significantly less than expected, as stated above we expect delayed deliveries to benefit 2012 revenues. Profit for the year will be adversely affected by the lower turnover and by various one-off costs including the conversion of the Group's holding company to an SE, the ongoing move of the Group's corporate seat to Austria and reorganisation costs associated with developments in the Group's long-term strategy. SCOTTY is making positive progress in streamlining the Group's distribution network, and also in resolving the outstanding issues relating to its leasehold property in Bristol, and we anticipate being in a position to make further announcements shortly.

Enquiries:

SCOTTY Group SE Kurt Kerschat, CEO	[phone]
Nominated Adviser Cairn Financial Advisers LLP Tony Rawlinson / Avi Robinson	[phone]
Broker Northland Capital Partners Limited Katie Shelton	[phone]