Trading Update

In our AGM statement on 2nd May 2000 we indicated that the first quarter of the year had started well. We are pleased to report that trading has continued to show an improvement over the previous year, and sales and profits have both grown.

In the UK sales and profit have increased with improvements across all our main product areas of insulation, roofing, ceilings and partitioning.

In Europe, all our companies have made progress with the German businesses benefiting from some improvement in the market for insulation and dry-lining.

We have also strengthened our market position through five small acquisitions.

Our balance sheet, cash-flow and interest cover remain strong with gearing at a similar level to the year end.

Trading in the first six months gives further support to the Board’s confidence that the full year’s performance will be in line with market expectations.

SIG will be reporting its interim results on 31st August 2000.