Disposal

Berkeley Berry Birch PLC
16 March 2006


Disposal of the business of Berry Birch & Noble Financial Planning (Weston)
Limited ('Weston')


Further to the announcement made on 6 March 2006, Berkeley Berry Birch plc 
('BBB') announces that its wholly owned subsidiary, Berry Birch & Noble 
Financial Planning ('Weston') Limited, has sold its business to Bates Investment
Services Limited ('Bates'). The United Kingdom Listing Authority has granted a 
waiver under Listing Rule 10.8 in respect of the requirement to issue a circular
and obtain shareholder approval for this disposal.

Weston is a national Independent Financial Adviser ('IFA') business which
provides personal financial planning advice services to individual clients via
its self-employed IFAs. Weston currently has approximately 80 self-employed
IFAs.

The initial consideration is £1. Deferred consideration is payable based on the
level of renewals commission received, less the share paid to the self-employed
IFA, in respect of the business in the year following completion. Based on
previous levels of such commissions, it is estimated that this deferred
consideration will be in the region of £100,000. In addition, Bates has assumed
estimated liabilities with a book value of approximately £450,000, largely in
respect of indemnity commissions and commission payable to Weston's IFAs. In
addition, there are a contingent liabilities in respect of indemnity commissions
which, if they crystallise, will be payable by Bates up to a maximum of around
£400,000. The book value of the gross assets sold is approximately £1,250,000,
including goodwill of £945,000 recorded in BBB's consolidated balance sheet.

All of the staff working for Weston have transferred to Bates, who has assumed
the liability for all payroll liabilities since 1 March 2006.

For the year ended 31 March 2005, Weston reported turnover of £8,053,000 and a
loss before tax of £1,606,000.


Working capital

The working capital position of the BBB Group was set out in the announcement
made on 28 February 2006.


Application of proceeds

The proceeds will be applied by Weston to meet its liabilities to its remaining
creditors.


Future of the BBB Group

The position on the future of the BBB Group was set out in the announcement made
on 6 March 2006.


Financial position of BBB

The directors of BBB confirm that in respect of the disposal of the Weston
business:

(a)  negotiation does not allow time for shareholder approval;

(b)  all alternative methods of financing have been exhausted and the only 
     option remaining is to dispose of its remaining businesses; and

(c)  by taking the decision to dispose of this business to raise cash, the 
     directors believe that they are acting in the best interests of the
     Company and shareholders as a whole.

Arden Partners Limited, which is acting as the Company's sponsor, confirms that,
in its opinion and on the basis of information available to it, BBB is in severe
financial difficulty and it will not be in a position to meet its obligations as
they fall due without this disposal taking place today.


Enquiries:

Andrew Shortis
Group Managing Director
Berkeley Berry Birch plc
024 7623 2010



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