Disposal

De La Rue PLC
09 March 2005



                                 DE LA RUE PLC

                    DISPOSAL OF SEQUOIA VOTING SYSTEMS INC.

De La Rue announces the sale of Sequoia Voting Systems its US based election
systems business to Smartmatic Corporation, a US based device networking and
election systems company. The total cash consideration comprises an immediate
payment of £7.3m (US$14m), and a further payment of £1.0m (US$2m) due on 30 June
2006.

At the interim results in December 2004, the Board announced its intention to
exit the Sequoia business by the current year end. In the year ended 27 March
2004, the business had sales of £44.2m (US$74.7m) and operating losses of £1.9m
(US$3.2m). Net assets at completion are estimated at £2.6m (US$4.9m).

Commenting on the sale, Leo Quinn, chief executive of De La Rue, said:

'De La Rue is pleased to have successfully completed the sale of Sequoia, which
is in line with the timetable for exiting the business that we detailed in
December. We are also confident that the transaction we have concluded with
Smartmatic represents a good outcome for our shareholders.'

Moreover, we are particularly satisfied to have achieved such a good strategic
fit for Sequoia. We believe Sequoia and Smartmatic, with their respective
strengths in the US domestic and international markets, will combine to create a
strong force in the electronic voting industry.'


                                     -ends-

For further information please contact:

Stephen King Group Finance Director               [phone]
Mark Fearon Head of Corporate Affairs             [phone]
Richard Mountain Financial Dynamics               [phone]

9 March 2005


Notes to Editors:

 1. De La Rue acquired Sequoia Voting Systems Inc. on 29 May 2002. Sequoia offers
    hardware products in all major segments of the North American elections
    market, including direct recording equipment and optical scan systems. The
    company is based in Oakland, CA and currently employs about 100 people.


 2. De La Rue is the world's largest commercial security printer and papermaker,
    involved in the production of over 150 national currencies and a wide range
    of security documents such as travellers cheques and authentication labels.
    The Company is a leading provider of cash handling equipment and software
    solutions to banks and retailers worldwide, helping them to reduce the cost
    of handling cash. Employing over 6,600 people across 31 countries, De La Rue
    is also pioneering new technologies worldwide in government identity
    solutions for national identification, drivers licence, passport issuing
    schemes.


For more information visit www.delarue.com

3. Eureka Capital Markets, LLC acted as De La Rue's financial adviser in the
   disposal

                      This information is provided by RNS
            The company news service from the London Stock Exchange