Annual General Meeting

McInerney Holdings PLC
12 May 2005



















                                                         Thursday, 12th May 2005

CHAIRMAN'S STATEMENT

ANNUAL GENERAL MEETING



It is a great pleasure to report that the Group recorded an excellent
operational performance in 2004.  Profit before tax was €40.7m, which is an
increase of 43% on our 2003 result. Earnings per share also rose by some 46% to
106.43 cent, with the total dividend increasing 65% to 18 cent per share.



During the year, market and trading conditions remained strong across the
Group's three core regions of Ireland, the UK and Spain.  In particular, our
business benefited from continued buoyancy for affordable homes in both Ireland
and the UK. We successfully endeavoured to closely match our product portfolio
with consumer requirements.



Our focus on achieving strong growth in the UK was fruitful. The acquisition of
Alexander Developments in May 2004 provided the Group with the foothold required
in the North East of England to match our positioning in the North West.  Our
activities now span across the North of England and we are particularly
satisfied with the platform for further growth now in place.  We have strong
ambitions for the future growth of our UK business.



Dividend

The Board's objective to put in place a more progressive dividend policy has
progressed substantially. The Board proposes to pay a final dividend of 11 cent
gross per share.  This will result in a total dividend of 18 cent per share
equating to a dividend cover of 5.9 times.  It is proposed that the final
dividend will be paid on 16 May 2005.



Operations

So to our 2004 operational highlights for each division. There were a total of
1,614 private home completions across all our divisions representing an increase
of 9% on the 1,481 units completed in 2003.



Ireland

In Ireland, the housing market continued to be excellent with the Irish
operation increasing its profits to Group earnings by some 37% in 2004.   There
was strong unit delivery with some 1,101 private home completions in 2004,
compared to 969 in 2003. The first quarter of 2005 has shown strong sales
interest.  We are operating from some 30 sites around the country with a well
placed landbank and we anticipate 2005 completions of a similar high level to
2004.

                                     - 2 -



We remain strongly positioned to take best advantage of continuing good demand
going forward which is underpinned by favourable demographics and high levels of
employment.



2004 also recorded a favourable outcome for our commercial division, Hillview
Securities. It sold 50,000 sq. ft., of industrial units and also sold its
interest Eyre Square Shopping centre in Galway. These funds were reinvested in
new development opportunities in both Ireland and the UK.



Our Irish contracting business had a good year, increasing its contribution from
€2.2m to €3.4m.  Very good progress has been made in increasing its order book
and we anticipate further growth in this business in 2005.



UK

We stated last year that our ambition with our UK business was to achieve growth
through geographic expansion and organic growth. I am pleased to report today
that our ambition is on target with the UK business performing strongly in 2004.



We have actively grown our land bank and now have over thirty strategically
chosen sites under construction representing some 1,900 plots. Operations span
Greater Manchester, Lancashire, Staffordshire, Derbyshire, Cheshire, Liverpool,
Merseyside and Durham. A regional office has recently opened in Leeds - marking
our organic expansion into Yorkshire.  The UK operation now targets its products
to a market of some eight million people.  The Group's strategy will continue to
be aimed at providing housing for the entry level of the market where demand is
greatest and supply constrained.


The UK housing market in the North of England continues to experience good
demand. In addition, an element of undersupply is prevalent and combined with
relatively low interest rates benefits our product offering.  It is our view
that the UK division will complete in the region of 800 units in 2005.



The Board is pleased that this division is now structured to achieve progressive
growth going forward and our objective will be to further increase unit output
in 2006 and add further regions.



The commercial division sold 39,000 sq. ft., in the UK at its Park Royal project
near London.  In addition, two new sites at Croydon and Chesham have opened, as
well as a joint venture in Watford.



Spain

Whilst our activity was somewhat slower in Spain than we would have liked,
nevertheless, a 4% increase in profits was achieved in 2004.  Our Spanish
business completed 13 units at its high end luxury development, Los Flamingos.
Those units that were not completed in 2004 will be made up in 2005.  In
addition, a significant land sale provided good profit recognition during 2004.
We have two new very exciting sites at Sotogrande and Mijas. The planning
process is moving ahead on both sites, with Sotogrande most recently having its
application reviewed favourably by the local planners. We are confident of
future growth in our Spanish developments in 2005 and beyond.

                                     - 3 -



Conclusion

Our growth strategy has shown exceptional progress in 2004. The Group performed
strongly, delivering good volumes and strong operating margins.  Market
conditions remain favourable for each of our businesses and they are well placed
to provide continued revenue growth going forward.



Earnings visibility is strong with a good level of deposits on hand to date.
Profit recognition will largely be achieved in the second half of the year due
to the pattern of site starts.  We anticipate strong unit increases from the UK
and Spain in 2005. In line with our strategy, this will further diversify our
income stream.



Our key markets continue to be favourable. We look forward to another strong
result and performance for the full year of 2005.



Ned Sullivan, Chairman, McInerney Holdings plc.





                                      ENDS



FOR INFORMATION:

Siobhan Molloy, Weber Shandwick FCC       Tel: [phone] or (086) 817 50 66



About McInerney Holdings plc

McInerney Holdings plc is one of Ireland's leading development companies, with
divisions specialising in various aspects of the construction market. McInerney
Holdings plc comprises four divisions operating in Ireland, Spain and the United
Kingdom. Established in 1909, the Group is Ireland's largest national
homebuilder, and undertakes extensive commercial and leisure projects both in
Ireland and abroad. The company is listed on the Dublin and London Stock
Exchanges (ISE: MCI.I/LSE: MCI).









This announcement has been issued through the Companies Announcement Service of



                            The Irish Stock Exchange








                      This information is provided by RNS
            The company news service from the London Stock Exchange