Trading Statement

Elementis PLC 13 December 2001 13 December 2001 ELEMENTIS plc TRADING UPDATE Elementis plc today issues its usual pre-close period trading update in advance of the Group's preliminary results for 2001 which are due to be announced on 28 February 2002. Since the trading update issued on 16 October 2001, short-term trading conditions have worsened, other than for Elementis Specialties. Elementis Chromium sales in the second half of the year are now expected to be down by around 12 per cent compared with the same period last year. Elementis Pigments results have been particularly impacted by the cost of temporary plant closures to reduce inventory. As a result, it is likely that the Group will make a negligible profit before goodwill amortisation and exceptionals in the second half of 2001. The Group continues to have tight controls over working capital and capital expenditure which should ensure that net borrowings at the year end will be well below that at the half year. Looking to 2002, visibility remains poor and trading conditions across the Group are likely to continue to be difficult, particularly with regard to Chromium. We do however anticipate benefits from lower energy and other cost savings, lack of further downstream destocking and selected volume improvements. - Ends - An analyst conference call is scheduled for 2.45pm today. Dial-in number: +44 (0) 20 8781 0576 Password: Elementis Replay (48 hours) +44 (0) 20 8288 4459 Access code: 613542 Enquiries Elementis plc 020 7398 1400 Geoff Gaywood Chief Executive George Fairweather Group Finance Director Anna Passey Head of Corporate Communications Brunswick Group Ltd 020 7404 5959 Andrew Fenwick Rupert Young

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Elementis (ELM)
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