Chairman's Statement

Dunedin Enterprise Inv Trust PLC
23 August 2000


Statement by Chairman at Annual General Meeting on 23 August 2000

In my Chairman's Statement with the Report and Accounts on 7 June 2000 I
reported that in the new financial year starting 1 May,  Dunedin  Enterprise
Investment Trust PLC had made new investments in Ehrmanns Holdings Limited and
OSS Group Limited. I am pleased to say that three further new investments have
been made giving total new investment in the year to date as follows:

                                                 Transaction      Amount
Date      Company                          Type      Size       Invested

May       Ehrmanns Holdings Limited      MBI/MB0     £15m        £4.9m
May       OSS Group Limited               Acq'n      £15m        £5.2m
June      Davenham Group Limited          MBO        £60m        £5.0m
June      Blaze Acquisitions Limited      MBO        £14m        £3.8m
August    Letts Holdings Limited          MBO        £17m        £3.1m
                                                    £121m       £22.0m

Ehrmanns Holdings Limited is one of the United Kingdom's five largest
independent wine importers and distributors.  OSS Group Limited collects and
recycles waste oil and is the United Kingdom market leader.  Davenham Group
Limited is a specialist finance house providing short term lending products to
growing businesses throughout the United Kingdom. Blaze Acquisitions Limited  is
one of the United Kingdom's leading sign manufacturers supplying national
signage roll-outs for high street retailers, banks, building societies and the
leisure sector.  Letts Holdings Limited is the United Kingdom's leading diary
manufacturer.

Realisations in the year to date totalled £9.4 million including the sale of our
investment in Golden Wonder Holdings Limited and a reduction in our holding in
Latchways plc.

This has been an extremely active period for new investment and realisations
within the Dunedin Enterprise portfolio. The new investments, which are  all  in
the company's target area in both nature and size of transactions, should  lay
the foundations for growth in the years ahead.

Edward Dawnay, Chairman
23 August 2000