Holding in Company

Headlam Group PLC
3 January 2001

Headlam Group plc announces that it has today received the following
notification in respect of notifiable interests in the ordinary voting shares
of 5p of the company.

'We refer to the letter dated 17 October 2000, disclosing a Notifiable
Interest of the Zurich Financial Services Group in the shares of your company.

In accordance with the provisions of the above Section, we would inform you of
a change to the notifiable interest over shares in your company. This arises
from a further corporate re-organisation within the Zurich Financial Services
Group which means that at 20 December 2000 the following companies became
intermediate holding companies with disclosable interests viz.,

Scudder Kemper Investments Inc; Zurich Holding Company of America Inc; ZKI
Holding Corporation and Zurich Insurance Company.

There have not been any transactions in your shares that would otherwise have
required a notification. Details of the holdings are available on request.'

End