Statement re Approach

London Stock Exchange Plc
13 December 2004


The Board of London Stock Exchange plc ("LSE") announces that it has received a
proposal from Deutsche Borse AG with a view to Deutsche Borse making an offer to
acquire London Stock Exchange plc for 530p per share in cash.


The Board of LSE firmly believes that the proposal undervalues the Company and
the substantial synergies that would be available from the combination of LSE
with another major exchange group.  Furthermore, the Board of LSE has been
advised that there can be no assurance that any transaction could be
successfully implemented.  Accordingly, the Board of LSE has rejected the
proposal.


The Board of LSE believes in the Company's strong growth prospects as the
largest equity market in Europe with a unique position in global capital
markets.  The Board of LSE is fully committed to continuing to deliver value to
shareholders and customers as an independent group.


Nevertheless, LSE has agreed to hold discussions with Deutsche Borse to
ascertain whether a significantly improved proposal that would be in the
interests of LSE's shareholders and customers and that would be capable of being
implemented can be agreed.




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