Re Agreement

Acal PLC
18 December 2001


FOR RELEASE            7:00AM                 18 DECEMBER  2001

                                 ACAL plc

(Leading pan-European, value added distributor providing specialist design-in,
          sales and marketing services for international suppliers)


                        HEADWAY DISPLAYS ITS STRENGTH

Headway Technology, Europe's premier specialist distributor for document
management and imaging products, and an Acal Group company, has become the
exclusive distributor outside the USA of high resolution display products for
Cornerstone Peripherals Technology.


Cornerstone, a Californian based company, has been supplying high performance
screens and graphics controllers world wide for some time and has a reputation
for high specification, affordable products.


Headway will add Cornerstone's customers to its own and form a new Display
Technology Division, based in Munich.  The new division will employ Headway
staff along with the existing Cornerstone European staff.  With new display
technologies becoming more important to today's business solutions, this new
distribution agreement will provide an opportunity for growth in a key sector
of the market.


Cornerstone will focus its attention on the USA market and will continue to
maintain a strong partnership with the Acal group.


This agreement builds on the strong relationship that Headway and Cornerstone
have had around Europe for many years. The new division will be introducing
new Cornerstone products and extending the range to include best of breed 17
to 21 inch TFTs, large plasma screens and high performance graphic cards for
split screen applications and multi screen wall displays.


Tony Laughton, Chief Executive of Acal commented:


' Headway has a wealth of knowledge and experience in display technology. This
agreement with Cornerstone will allow us to focus more attention on developing
this growing sector of our business and strengthen our product range to
include best of breed solutions from other key manufacturers to complement the
Cornerstone products.'



For further information:


Tony Laughton Chief Executive                            01483 544500
David Lewis Divisional Director
Jim Virdee Finance Director



Brian Coleman-Smith                                      020 7786 9600
Binns & Co. Public Relations




Notes to Editors:


1   The Acal Group is a leading European, value-added distributor providing 
specialist design-in, sales and marketing services for international suppliers 
in the fields of Electronic Components, Information Technology Products, IT 
Parts Services and Industrial Controls.  Its value-added philosophy and 
geographic coverage enables Acal to provide specialist knowledge and support to 
customers on a pan-European basis.


2   Headway Technology is focused as a specialist distributor in the document 
management and imaging market.  Established in 1986, Headway has become a 
leading supplier of document management technologies being the first European 
distributor to enter this market.  By entering the market at the time when 
document technologies on a PC platform were conceived, Headway has accumulated a
wealth of knowledge and experience and is acknowledged by the industry's major 
suppliers as a leader in its field.


Sourcing only the 'Best of Breed' products that meet the demanding
requirements of mission critical applications, Headway provides a single
source for all specialist requirements at competitive prices.  All products
are supplied with extensive pre and post sales support.

As part of the Acal Group, Headway provides wide coverage throughout Europe
and sustains competitive advantage by being at the forefront of technologies.

3   Acal has operating companies in the UK, Netherlands, Belgium, Germany, 
France, Italy, Scandinavia and the USA.