AGM Statement

Hornby PLC
26 July 2001


                                  Hornby PLC

                       HORNBY CHAIRMAN'S AGM STATEMENT

Speaking at today's Annual General Meeting of Hornby PLC, ('Hornby') the
models and collectables group, Neil Johnson Chairman, made the following
statement:

' In my first Chairman's Statement for the year ended 31 March 2001, I
announced that the Company's performance represented a significant improvement
on the previous year.

' I am delighted to report that in the first three months of the new financial
year, the Company's performance is in line with our expectations. Sales of
both Hornby locomotives and our Scalextric slot car racing systems are very
encouraging.

' We have made great strides in recent years to strengthen the Company's
financial position and the quality of our products. The move of production to
China has had major benefits. Both the Hornby locomotives and the Scalextric
cars are more detailed, offer better value for money and are more appealing to
our customers.

' One of the key areas of growth for the Company is to boost sales by focusing
on evolving new products. Recent innovations include the Hornby 'Virtual
Railway' CD-ROM, which has been received exceptionally well by the market. It
is helping to bridge the gap between different age groups and is broadening
the appeal of our products. We have high hopes for our PC based Scalextric
interactive products, which will be released early in 2002.

' The Hornby and Scalextric brands are both very strong and the Company is
exploring other ways of delivering robust revenue streams from our brands. One
initiative that we will be launching shortly with a significant partner will
provide large, multi-laned Scalextric slot car racing systems in major leisure
venues. They will enable the public to enjoy Scalextric racing on a
pay-per-use basis.

' Hornby is stronger now than it has been for years. The financial position is
sound, costs are under control, the products are excellent in terms of quality
and value for money and we have a superb management team. The Company has made
some hard decisions over the past three years, but Hornby has now turned the
corner and our strategy is now demonstrably successful. Looking to the future,
the Board is confident that following the Company's restructuring, Hornby can
look forward to a period of solid growth and profitability.'

                                    -ends-

Date: 26 July 2001

For further information contact:

Hornby Plc                                     City Profile Group

Frank Martin, Chief Executive                  Simon Courtenay

John Stansfield, Finance Director              Ed Senior

01843-233500                                   020-7726-8588

Web: www.hornby.com or: www.scalextric.com     e-mail: [e-mail]