Reduction of Capital

Progressive Euro Alt. Portfolio Ltd
12 May 2003


PROGRESSIVE EUROPEAN ALTERNATIVE PORTFOLIO LIMITED
REDUCTION OF CAPITAL

Progressive European Alternative Portfolio Limited confirms that, as envisaged
in its prospectus dated 10 December 2002, it has established a reserve available
to be used to redeem the nominal value of its Redeemable Preference Shares and
to repurchase its own Redeemable Preference Shares.  This follows confirmation
given by the Royal Court of Guernsey of the reduction of the share premium
account by £8,068,500 from £16,137,000 to £8,068,500.


12 May 2003

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