Ann: Appendix 4D and Half Yearly Report, page-13

We have all had a good chance to digest the financial reports by now. Most investors would be well aware of the 8% EPS growth, with which I was very satisfied. The lower rate of sales growth in January is of some concern, but I don't place much faith in month by month fluctuations.

What I did manage to find that most investors may not be aware of is the following:

* Pre-tax operating cash flow increased by 17.3%. Tax payments fluctuate considerably over half year periods, so the pre-tax cash flow gives a better comparison on how GXL is growing its cash flow.

* GXL's operating cash flow (after tax and finance costs) was able to pay for all of its investments over the 6 months, plus all but $3M of the dividend payment. That $3M shortfall is only just over 1% of the net debt. So, GXL is very close to reaching that enviable stage of self funding its investments and dividends (another half of growth should do this), while using growing cash flows to pay down debt as well.