Final Results

JPMorgan Fleming Smaller Cos IT PLC
18 October 2004


                          STOCK EXCHANGE ANNOUNCEMENT


            JPMORGAN FLEMING SMALLER COMPANIES INVESTMENT TRUST PLC


                   PRELIMINARY ANNOUNCEMENT OF ANNUAL RESULTS



The Directors of JPMorgan Fleming Smaller Companies Investment Trust plc
announce the Company's preliminary results for the year ended 31st July 2004.



Year Under Review

The year to 31st July 2004 proved to be a positive one for investors in UK
Smaller Companies. The Company produced a total return on net assets of 17.6%
against the total return of the FTSE Small Cap Index (excluding investment
trusts) of 11.9%.  Once again, the primary factor in this outperformance was
stock selection, helped by positive contributions from both asset allocation and
gearing. Strong returns were generated from the overweight positions in the
Construction and Building and Speciality and Other Financials sectors. In
addition, the Company's positioning in the Oil and Gas sector was built up over
the course of the year and contributed strongly.



Since the end of the period performance has remained strong with the Company
continuing to outperform the benchmark index. As at 6th October 2004 the net
asset value per share was 307.1p, the share price was 241.0p and the discount
was 21.5%.



In December 2003 the Board decided that, given the strong performance of the
Company and the Smaller and Mid Cap indices over the previous eighteen months,
it would be prudent to reduce the Company's level of gearing. The investment
managers were therefore requested gradually to reduce the Company's gearing to a
maximum of 7.5% of net assets. As at the year end the Company was 7.0% geared
and at the date of this report 5.0%.



Revenue and Dividends

With earnings per share for the year of 3.8p, the Directors are recommending a
final dividend of 3.75p per share (2003: 2.85p), representing an increase of
31.6% which, if approved by shareholders will be payable on 15th December 2004
to shareholders on the register at the close of business on 29th October 2004.
Each year the level of income received varies according to the Company's
gearing, its investment stance and market practice and, whilst it remains the
Company's policy to distribute substantially all the available income each year,
shareholders should note that the Company's dividends will vary accordingly.



Retirement of Director

Rupert Carington, who had been a member of the Board of the Company since its
formation in 1990, retired as a Director on 31st May 2004. I would like to thank
him for his invaluable contribution and independence of thought during his years
as a Director.



Investment Philosophy

The investment philosophy employed by the investment managers has remained
unchanged over the whole period. The investment process is one of bottom up
stock selection, combined with disciplined portfolio construction and risk
controls. The investment managers look for securities that exhibit a combination
of factors that provide a high probability of outperformance over time. Examples
of these factors include value, high earnings growth rates, and stocks where
earnings expectations are being upgraded. The investment managers validate that
these factors exist for each stock through their own research, and that the
companies they invest in are financially sound. Tight risk controls are
maintained and the final portfolio is diversified, with no single security or
sector being allowed to rise to too great a proportion of the portfolio. An
effect of this is that while less risk is represented by individual stocks, more
is embodied by the style factors such as value, and earnings momentum. The
average number of stocks in the portfolio over the period has been approximately
130.



Authority to Repurchase the Company's Shares

At last year's Annual General Meeting shareholders gave the Directors authority
to repurchase the Company's shares for cancellation. During the year no shares
were repurchased, however the Board will continue to use this authority as and
when appropriate, and is seeking approval from shareholders to renew the
facility at the forthcoming Annual General Meeting.



Annual General Meeting

The Annual General Meeting this year will be held at 10 Aldermanbury, London
EC2V 7RF on 23rd November 2004 at 3.30 p.m.



Outlook

UK small cap stocks remain well supported by solid earnings growth forecasts and
relatively undemanding valuations. Whilst the slowing of GDP growth in the UK
and rising interest rates abroad may lead to short term volatility, we remain
cautiously optimistic for the prospects for the small cap market.



Strone Macpherson
Chairman
18th October 2004



For further information, please contact:

Andrew Norman
For and on behalf of
J.P. Morgan Fleming Asset Management (UK) Limited - Secretary
020 7742 6000



JPMorgan Fleming Smaller Companies Investment Trust plc

Unaudited figures for the year ended 31  July 2004



Statement of Total Return


                                               Year ended 31 July 2004                  Year ended 31 July 2003
                                                              Unaudited                         Audited
                                                   Revenue      Capital       Total   Revenue   Capital       Total
                                                     £'000        £'000       £'000     £'000     £'000       £'000


Realised gains/(losses) on investments                   -        1,923       1,923         -      (83)        (83)
Net unrealised gains on investments                      -        8,931       8,931         -     9,985       9,985
Other capital charges                                    -         (15)        (15)         -      (26)        (26)
Income from investments                              1,768            -       1,768     1,432         -       1,432
Other income                                            22            -          22        47         -          47
                                                   _______     ________     _______   _______   _______     _______

Gross return                                         1,790       10,839      12,629     1,479     9,876      11,355

Management fee                                       (368)        (368)       (736)     (265)     (265)       (530)

Other administrative expenses                        (282)            -       (282)     (280)         -       (280)

Interest payable                                     (174)        (174)       (348)     (186)     (186)       (372)

                                                   _______      _______     _______   _______   _______     _______

Net return before taxation                             966       10,297      11,263       748     9,425      10,173

Taxation                                                 -            -           -       (5)         5           -

                                                   _______      _______     _______   _______   _______     _______

Total return attributable to ordinary                  966       10,297      11,263       743     9,430      10,173
shareholders

Dividend payable                                     (953)            -       (953)     (723)         -       (723)

                                                   _______      _______     _______   _______   _______     _______

Transfer to reserves                                    13       10,297      10,310        20     9,430       9,450

                                                   _______      _______     _______   _______   _______     _______



Return per ordinary share                            3.80p       40.51p      44.31p     2.85p    36.10p      38.95p






JPMorgan Fleming Smaller Companies Investment Trust plc

Unaudited figures for the year ended 31 July 2004


BALANCE SHEET                                                                     31 July          31 July
                                                                                     2004             2003
                                                                                Unaudited          Audited
                                                                                    £'000            £'000

Investments at valuation                                                           78,470           71,639


Net current assets/(liabilities)                                                      394          (3,085)

Long term loan                                                                    (5,600)          (5,600)
                                                                                  _______          _______
Total net assets                                                                   73,264           62,954
                                                                                    =====            =====
                                                                                  _______          _______
Ordinary shareholders' funds                                                       73,264           62,954
                                                                                    =====            =====

Net asset value per ordinary share                                                 288.3p           247.7p




CASH FLOW STATEMENT
                                                                            Year ended 31    Year ended 31
                                                                                     July             July
                                                                                     2004             2003
                                                                                Unaudited          Audited
                                                                                    £'000            £'000

Net cash inflow  from operating activities                                            801              575

Net cash outflow from servicing of finance                                          (333)            (332)

Net cash inflow from capital expenditure and financial investment                   3,840            3,968

Dividends paid                                                                      (724)            (799)

Net cash outflow from financing                                                   (2,594)          (6,006)
                                                                                  _______           ______
Increase/(decrease) in cash for the period                                            990          (2,594)
                                                                                    =====             ====





The above financial information does not constitute statutory accounts for the
years ended 31 July 2004 or 2003.  The financial information for the year ended
31 July 2003 is derived from the statutory accounts for that year that have been
delivered to the Registrars of Companies.  The auditors reported on those
accounts; their report was unqualified and did not contain a statement under
s237(2) or (3) Companies 1985.  The statutory accounts for the year ended 31
July 2004 will be finalised on the basis of the financial information presented
by the directors in this preliminary announcement and will be delivered to the
Registrar of Companies following the company's annual general meeting.



J.P. MORGAN FLEMING ASSET MANAGEMENT (UK) LIMITED



18th October 2004




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