Restructure Proposals

Baring Emerging Europe Trust PLC
19 September 2002

The Board of the Baring Emerging Europe Trust PLC wishes to make the following
announcement:

The circular to shareholders dated 30 August 2002 referred to resolutions
requisitioned on behalf of Laxey Partners Limited ('Laxey') proposing changes to
the membership of the Board.

For some months, the Board had been investigating ways of allowing shareholders
who wish to do so to realise the value of their shareholdings in the Company at
a price related to net asset value, without disadvantaging those shareholders
who wish to continue with their investment.

Since receiving the requisition submitted on behalf of Laxey, the Company's
advisers have again consulted a wide range of shareholders. Following these
discussions and after further careful consideration of the available options,
the Board has decided to put forward proposals for the reconstruction of the
Company.

Accordingly, the Board proposes to convene an extraordinary general meeting to
consider the voluntary liquidation of the Company in order that there should be
a reconstruction which will entitle shareholders either to realise their
shareholdings for cash or to rollover their holdings into a closed end
investment company with the same investment policy and investment management
team. Shareholders who elect for cash will bear the costs payable by the Company
of implementing the reconstruction proposals, and a deduction of 2 per cent of
net asset value to a maximum of US$2million which will be paid to the rollover
company. Warrantholders will receive their entitlements under the terms of the
warrants and any such amounts will be taken into account in calculating net
asset value.

It is expected that a circular will be sent lo shareholders by mid-November 2002
containing full details of the proposals.

Laxey has agreed to support these reconstruction proposals and has undertaken
not to put forward the AGM resolutions which were requisitioned on its behalf.
Should it prove necessary, Laxey has also undertaken to vote against those
resolutions.

The Company's Annual General Meeting will take place as planned on 23 September
2002 and shareholders will be invited to vote on the ordinary business of the
meeting, including resolutions for the reappointment of two current directors.
Prince Abbas Hilmi and Mr Charles Harman. Laxey has stated that it will vote in
favour of their re-election.

Further enquiries please contact:
Patrick Toyne-Sewell/Jonathan Flint
Citigate Dewe Rogerson
London Wall Buildings
London EC2M 5SY
Telephone: [phone]


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