Related Party Issue

EmdexTrade PLC
23 July 2002

                              PRESS ANNOUNCEMENT


                                 EmdexTrade PLC
                         Related Party Transaction


On 13 June 2002 EmdexTrade Plc formed a company based in New York called
EmdexTrade Delaware LLC ('ETD LLC'). The purpose of this is to act as a service
company to an existing NASD and SEC registered broker dealer, Emerging Markets
Securities Delaware LLC, ('EMS') wholly owned by Ken Mackay who at the time was
a non executive director of EmdexTrade PLC.


Concurrent with this Ken Mackay took over from Stephen Corley as Managing
Director of EmdexTrade PLC.


EMS has current revenue from a collateral management agreement for a USD 100
million securitised trade paper fund with the management of additional
securitised funds currently under negotiation. ETD LLC has the rights to all of
the income generated by EMS in return for assuming the EMS running costs.


There are no Directors' service contracts in the new entity, however Ken Mackay
is now remunerated from 1 July 2002 as MD of the parent company (EmdexTrade PLC)
with a salary of USD 250,000 per annum.


With the exception of Ken Mackay who is involved in the transaction as a related
party, the Directors of EmdexTrade PLC consider, having consulted with their
Nominated Adviser, Nabarro-Wells & Co Limited, that the terms of the transaction
are fair and reasonable insofar as its shareholders are concerned.


Enquiries to:

EmdexTrade PLC
Patrick Kennedy, (CFO): 0208 939 0125
Ken Mackay, (MD):               001 212 486 1370





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