Chase Manhattan Offer for Robert Fleming Holdings

Caledonia Investments PLC
11 April 2000


          Offer by The Chase Manhattan Corporation ('Chase')
           for Robert Fleming Holdings Limited ('Flemings')


Caledonia  Investments plc ('Caledonia') announces  that  its  wholly-
owned  subsidiary, Caledonia Financial Limited ('CFL'),  has  entered
into  a  binding irrevocable undertaking to accept the offer by  Chase
for  Flemings,  the  global asset management  and  investment  banking
group, in respect of CFL's 0.96% holding in Flemings.

The  offer  values  the whole of the issued and  to  be  issued  share
capital  of Flemings at approximately £4,880 million and CFL's holding
at  approximately £46.65 million. The book value of CFL's  holding  in
Flemings  in  Caledonia's interim accounts to 30  September  1999  was
£16.0m  and  dividend  income of £0.5m  was  included  in  Caledonia's
accounts for its year ended 31 March 1999.

The  offer values each Flemings share at approximately £27.44  and  is
structured  on the basis of, for each Flemings share, £14.47  in  cash
and  a fraction of between 0.2012 and 0.2460 of a new Chase share. The
precise fraction will be determined according to a  formula  based  on 
the average Chase share price over the  20  trading  days  immediately
preceding the fifth business day prior to the date on which the  offer
is  declared unconditional in all respects. A mix and match  election,
subject  to availability, and a loan note alternative in lieu  of  the
cash element will also be available.

The  board of CFL will decide on the mix of consideration that it will
accept in due course.



Enquiries      Peter Buckley
               Chairman and Chief Executive
               Caledonia Investments plc               020 7481 4343

Issued by      Bill Trelawny
               Citigate Dewe Rogerson                  020 7638 9571