The economic recession hit home in early 2009 and set the scene for a challenging year for PNE and for many of its tenants and clients. However many proved to be resilient and resourceful and ended the year pretty well where they started which in itself was no small achievement. PNE activity had its ups and downs but we are looking to 2010 with a realistic degree of optimism.

PNE Property is in good shape and facilitates some of our other activities; PNE Development is scheduled to reveal a selection of new products towards the end of 2010; PNE Enterprise continues to deliver assistance and combat disadvantage where required via training workshops and the provision of loans. PNE retains the confidence of Shell in delivering the contracts for LiveWIRE in the UK and internationally. The Group is well aware of the need to embrace new technology and innovation, and as well as developing our own products we are nurturing a new service providing PNE IT services and products to others. You can read more about all of these in this report.

Looking ahead is challenging but PNE has strength and enthusiasm to adapt and innovate and through its Talent Management programme continues to enhance and develop staff skills. I am confident that the combined expertise of the staff and Board will enable PNE to flourish and continue to have an impact on society for the better both in the North East and beyond.