Trading Update

SIG plc today issues its pre-closed period trading update for the year ended 31st December 2000. SIG will issue its preliminary results on 9th March 2001.

Against a background of market conditions which continue to be challenging, the Group has traded well in the year to 31st December 2000. A good second half performance has complemented a strong first half and results for the year are anticipated to be in line with market expectations. Good profit growth in UK distribution businesses and further improvement in Germany have been the main contributors to the overall performance.

Sales and operating profits have increased in all SIG’s principal businesses, and the Group has consolidated and improved its position in its main markets. Several small bolt-on acquisitions have been made during the period and these will further strengthen SIG’s operations. Trading cash flow has, once again, been strong and interest cover remains very healthy.