Final Results

Fidelity Special Values PLC
30 October 2001

FIDELITY SPECIAL VALUES PLC

Preliminary Announcement of Unaudited Results

for the year ended 31 August 2001

CHAIRMAN'S STATEMENT


The Year's Performance: Diluted NAV 270.76p +13.3% - Although the UK stock
market, as measured by the FTSE All Share Index - our performance benchmark -
declined by 17.3% on a total return basis, I am happy to be able to report to
you that our own diluted net asset value ended the year at 270.76p, 13.3%
higher than a year ago. Your Directors believe that this is a highly
creditable performance given that many, if not most UK shares have been in a
bear market since the spring of 2000. The credit for this fine performance
goes to Anthony Bolton and his team at Fidelity, who have managed to insulate
the portfolio of investments from the problems that followed the bursting of
the technology share bubble.

The decline in the share prices of technology, media and telecoms companies
('TMT') has now spread to the market as a whole; we are in what can be
described as an old fashioned bear market, one that is broadly based and has
persisted for quite some time. And, while I should point out that our net
asset value performance did not reflect the technology share price boom, it is
very gratifying that it has managed to rise in the aftermath of it. In the
last year and a half, since the end of February 2000 (the approximate turning
point for the share prices of TMT companies), the diluted net asset value of
your Company has risen by 35.4% against a decline of 9.9% for the Index.

One of the consequences of this performance has been that the Company's shares
have been much in demand. During the last year our share price has risen by
29.8% - from 223.5p to 290.0p, which valued it at a 7.1% premium to our year
end net asset value.

The Issue of 1,767,589 New Shares - At the Annual General Meeting in December
last year shareholders granted authority to the Board of Directors to issue
new shares up to 5% of the number of shares in existence. For much of the year
the shares have been trading at a premium to the diluted net asset value,
often in excess of 2%, the level at which the Directors believe it attractive
to existing shareholders to issue new shares. During the year the Directors
issued 1,767,589 shares at market price to investors investing through the
Fidelity Share Plan and the Fidelity ISA.

By August 2001 the Directors had exhausted the 5% limit and, as a consequence,
an Extraordinary General Meeting was convened for 14 September 2001, at which
shareholders granted authority to the Directors to issue another 5% of the
number of shares in existence, always assuming the terms and conditions were
beneficial to existing shareholders. Since that date, a further 408,768 new
shares have been issued. This authority expires at the forthcoming Annual
General Meeting at which another Resolution to renew the Board's authority to
issue new shares will be put to shareholders.

Gearing: Borrowings increased to £20 million, 18.3% of shareholders' equity -
On 30 July 2001 the Board of Directors renewed the £6 million of borrowings
that were then due and on 29 August increased the amount borrowed under that
facility to £10 million. As a consequence the total borrowings amounted to £20
million. However short term caution about share prices generally meant that at
the year end we had cash of £9.4 million - leaving our gearing, net of cash,
at 9.7% of shareholders' equity.

Dividend: 2.50p per share - Your Board of Directors is recommending a dividend
of 2.50p per share, to be paid on 17 December 2001, to shareholders on the
Register on 16 November 2001 (ex dividend date14 November 2001). This compares
with a payment of 2.30p per share made last year. The amount paid as a
dividend is dependent on the portfolio and the changes made to it during the
course of the year. The amount of income earned will vary from year to year
and as a consequence so will the dividend.

Annual General Meeting, 12 December 2001 - The shareholders' Annual General
Meeting will take place at 12 noon on 12 December 2001 at Fidelity's offices
at 25 Cannon Street, near St Paul's Cathedral. As we emphasise in the report
on Corporate Governance, 'the Annual General Meeting is the pivotal point in
the relationship between the Board of Directors and shareholders and is the
occasion when the Board accounts for itself in public meeting'. We do
encourage you, the shareholders, to attend, be you individuals or
institutions, as it gives you the opportunity to air any views or ask any
questions you may have of Board or Management. Indeed following the formal
proceedings there will be a presentation by Anthony Bolton during which he
will review the past year and look at the prospects for the current one.

You will also be aware that the Board of Directors made a commitment to
shareholders to put a 'continuation vote' before the shareholders every third
AGM. Your Board of Directors believes that the medium term prospects for the
Company (outlined below) are encouraging, particularly with stock markets at
these levels, and recommend to you that you vote in favour of the Continuation
Resolution.

Railtrack Group plc - Along with other shareholders of Railtrack Group plc, we
were disgusted and dismayed by the Government's action on 7 October, placing
the company into administration. This amounts to a re-nationalisation without
appropriate compensation and we urge the Government to reconsider its
position.

Outlook - The outlook for the current year could not be more difficult to
assess. In the aftermath of that terrible Tuesday on 11 September 2001 there
is a great deal of uncertainty as to how our economy will perform, affected as
it will be by the performance of the American and global economies, as well as
by the effects of the military response to the terrorist attacks. Furthermore,
it also seems a certainty that the United States economy is now in recession
and that most other major economies in the world will follow suit. Military
action and economic recession together with the uncertainty of their extent
and duration, are causing investors worldwide to be nervous; uncertainty is
the foodstuff of bear markets.

The management of the American, our own British, and other economies in the
world in the wake of both the TMT burst bubble and the terrorist attacks will
be a difficult task. During the course of 2001 the Federal Reserve Board in
the United States has increased the supply of money, cutting interest rates
from 61/2% to 21/2%, its government has cut taxes and, in the aftermath of the
11th, will almost certainly increase its own expenditure in areas such as
defence. All of this should help prevent the American economy from falling
into a deep and lasting recession. However consumer confidence is shaken and
frail and will take some time to rebuild. Furthermore, there is some thought
that these measures may result in an increase in the rate of American
inflation which, if mishandled, could prolong any recession.

I have dwelled upon the prospects for the United States because of its
importance to the global and thence our own economy. Many of the economic
issues that the United States is dealing with are similar to our own which I
believe are rather less severe. The reduction in UK interest rates and our
Government's quite aggressive spending plans should stimulate the economy and
help it fend off recession, hopefully but not certainly, without raising the
level of inflation. The most important consequence of all this for investors
however is the future performance of corporate profits. It is difficult to
envisage strong corporate profits growth generally but, if the extent of any
recession can be limited by wise economic management, then there will be
companies whose profits continue to grow.

Stockmarkets all over the world, including in the UK, have fallen a long way
from their highest levels established in 1999 or 2000. Share prices tend to
become undervalued in the wake of bad news and uncertainty just as they become
overvalued at the top of bull markets. In the current circumstances there are
quite probably a number of situations which are now undervalued in relation to
their long-term prospects. It is the ability of Anthony Bolton and his team to
identify special situations which has been responsible for the good
performance of the portfolio and indeed your Trust is now buying some special
situations stocks on a selective basis. The next few years will probably be an
excellent time for astute 'stockpickers' in most stock markets around the
world. It is in this medium term environment that your Board of Directors
believe we will continue to do well.



Alex Hammond-Chambers

Chairman

29 October 2001



Enquiries: Barbara Powley - Fidelity Investments International

01737 836883



FIDELITY SPECIAL VALUES PLC

STATEMENT OF TOTAL RETURN (unaudited)

(incorporating the revenue account) of the Company for the year ended

31 August 2001
                                       2001                      2000
                              Revenue Capital  Total    Revenue Capital  Total
                               £'000   £'000   £'000     £'000   £'000   £'000

Gains on investments             -    12,330  12,330       -    19,854  19,854

Income - dividends             3,676     -     3,676     3,108     -     3,108
- interest                      22       -      22         5       -       5
- other                         227      -      227       137      -      137

Investment Management Fee     (1,313)    -    (1,313)   (1,055)    -    (1,055)

Other Expenses                 (330)     -     (330)     (380)     -     (380)

Exchange gains/(losses)          -      19      19         -     (21)    (21)

Repurchase of warrants           -       -       -         -     (136)   (136)

Net return before finance      2,282  12,349  14,631     1,815  19,697  21,512
costs and taxation

Interest payable              (1,186)    -    (1,186)    (858)     -     (858)

Revaluation of Loan Stock        -       -       -         -    (1,049) (1,049)

Return on ordinary activities  1,096  12,349  13,445      957   18,648  19,605
before tax

Tax on ordinary activities       -       -       -        (5)      -      (5)

Return on ordinary activities  1,096  12,349  13,445      952   18,648  19,600
after tax attributable to
equity shareholders

Dividends                      (939)     -     (939)     (813)     -     (813)

Transfer to reserves            157   12,349  12,506      139   18,648  18,787

Return per ordinary share

Basic                          3.04p  34.27p  37.31p     2.69p  52.69p  55.38p
Fully-diluted                  2.71p  30.53p  33.24p     2.54p  49.69p  52.23p



The revenue column of this statement is the profit and loss account of the
Company.

All revenue and capital items in the above statement derive from continuing
operations.

No operations were acquired or discontinued in the year.



BALANCE SHEET (unaudited)

as at 31 August 2001
                                                             2001      2000
                                                             £'000     £'000
Fixed assets
Investments                                                 119,769   104,522

Current assets
Debtors - amounts falling due within one year                2,230      398
Cash at Bank                                                 9,416     3,650
                                                            11,646     4,048
Creditors - amounts falling due within one year
Fixed rate unsecured loans                                 (10,000)   (6,000)
Other creditors                                             (2,382)   (1,527)
                                                           (12,382)   (7,527)
Net current liabilities                                      (736)    (3,479)
Total assets less current liabilities                       119,033   101,043

Creditors - amounts falling due after more than one year
Fixed rate unsecured loans                                 (10,000)  (10,000)
Total net assets                                            109,033   91,043

Capital and Reserves
Called up share capital                                      9,393     8,839
Share premium account                                       29,153    24,098
Capital redemption reserve                                    404       404

Other reserves
Warrant reserve                                              1,200     1,325
Capital reserve - realised                                  60,732    49,074
Capital reserve - unrealised                                 6,819     6,128
Revenue reserve                                              1,332     1,175
Total equity shareholders' funds                            109,033   91,043

Net asset value per ordinary share:
Basic                                                       290.20p   257.49p
Fully-diluted                                               270.76p   238.93p


CASH FLOW STATEMENT (unaudited)

for the year ended 31 August 2001
                                                             2001       2000
                                                            £'000      £'000
Operating activities
Investment income received                                  2,647      2,386
Underwriting commission received                              -          6
Deposit interest received                                    227        131
Investment management fee paid                             (1,269)    (1,022)
Directors' fees paid                                         (54)       (52)
Other cash payments                                         (208)      (298)
Net cash inflow from operating activities                   1,343      1,151

Returns on Investments and servicing of finance
Interest paid                                              (1,191)     (816)
Net cash outflow from servicing of finance                 (1,191)     (816)
Taxation

UK income tax recovered                                       14         2
UK income tax paid                                            -         (62)
Tax recovered/(paid)                                          14        (60)
Financial Investment
Purchase of investments                                    (60,503)   (58,521)
Realised currency gains/(losses)                              19        (21)
Disposals of investments                                    57,410     64,739
Net cash (outflow)/inflow from financial investment        (3,074)     6,197
Equity dividend paid                                        (813)      (817)
Net cash (outflow)/inflow before financing                 (3,721)     5,655

Financing
Repurchase of ordinary shares                                 -        (480)
Repurchase of warrants                                        -        (203)
Exercise of warrants                                         447        144
Repayment of Equity Index - Linked Loan Stock                 -       (17,621)
Fixed rate 5.65% unsecured loan drawn down                  4,000        -
Fixed rate 5.9704% unsecured loan drawn down                6,000        -
Fixed rate 7.82% unsecured loan drawn down                    -        10,000
Repayment of fixed rate 7.095% unsecured loan              (3,500)     3,500
Repayment of fixed rate 7.04094% unsecured loan            (2,500)     2,500
Issue of ordinary shares                                    5,037        -

Net cash inflow/(outflow) from financing                    9,484     (2,160)
Increase in cash                                            5,763      3,495


The above statements have been prepared on the basis of the accounting
policies as set out in the most recently published set of annual financial
statements.

The figures for the year to 31.08.00 have been extracted from the accounts for
the year ended 31.08.00 which have been delivered to the Registrar of
Companies and on which the Auditors gave an unqualified report.

 The annual report and accounts will be posted to shareholders by no later
than 14 November 2001.