AWE Management Contract to be Handed Over in 2000

Hunting PLC 1 December 1999 HUNTING-BRAE TO HAND OVER AWE MANAGEMENT CONTRACT IN 2000 Hunting PLC ('Hunting') announces that the Hunting-BRAE DERA team, consisting of Hunting Engineering Limited (which is part of Hunting's Defence Division), AEA Technology Limited, Brown & Root Limited and the Defence Evaluation Research Agency, has been informed by the Ministry of Defence that it has been unsuccessful in the competition for the award of the new contract starting in April 2000 to manage the UK Atomic Weapons Establishment. The team submitted a highly professional and competitive bid and is disappointed not to have been selected. However, Hunting Engineering and other companies within Hunting's Defence Division have won a substantial amount of new business - £200 million so far this year including £100 million for Temporary Field Accommodation for British Troops in Kosovo - and are in a strong position to pursue other significant contracts. These include Expeditionary Campaign Infrastructure (worth £250 million) and the Airfield Support Services Project (worth £1.5 billion). Hunting has a 51% interest in Hunting-BRAE, current holder of the AWE management contract. Hunting-BRAE had turnover of £289 million and a profit before taxation of £13.7 million in the year ended 31st December 1998. The earnings after taxation attributable to Hunting's interest were £4.7 million in the year ended 31st December 1998. Ken Miller, Chief Executive of Hunting said:- 'Although the news on AWE is disappointing, with the many new contract opportunities due to occur in our sectors of the market, I have every confidence in the future of our Defence Division.' For further information, contact: Ken Miller Hunting plc 0171 321 0123 Sara Musgrave/Philippa Power Brunswick Group Ltd 0171 404 5959

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