Interim Results

McInerney Holdings PLC
26 September 2001



                            McInerney Holdings plc

                            Interim Statement 2001


Overview

The Directors report the Group's interim results for the period ended 30th
June 2001.


A profit before tax of Euro4.130m was recorded. This compares with Euro7.639m
for the corresponding period in 2000.


Group turnover in the six-month period increased by 3% from Euro66.711m to
Euro68.724m.


Basic earnings per share were 9.51 cents compared with 18.24 cents for the
same period in 2000. The profit attributable to Group shareholders was Euro
3.016m compared with Euro5.785m for the first half of 2000.


As it has been achieved in a more challenging economic environment, we are
satisfied with this performance.


These first half results are in line with indications given at our Annual
General Meeting that earnings would be more pronounced towards the second half
of the year. The profit shortfall in the first half is mainly due to the
number of start up projects that have commenced but will only contribute to
our profits in the second half.


We still expect a stronger second half performance from all our divisions that
will provide a satisfactory full year result.


As is our practice no dividend is proposed based on our interim results. The
Directors expect to propose a dividend in 2002 based on the results for the
year ending 31st December 2001.




Review of Operations

The Group's operations are divided into Irish housebuilding and contracting,
commercial property development, Spanish leisure development and UK
activities.


Housebuilding Division

The number of house completions for the six-month period was 245 compared with
227 for the same period in 2000. However it should be noted that margins on
the completions in 2000 were higher than the current period due to the product
mix.


The Group has control of a quality, broadly spread land bank, which will be
sufficient to meet the requirements of our housebuilding division over the
coming years. The bulk of this land bank is focussed on servicing the first
time buyer market in urban areas, where demand remains strong.


In recent years our contracting operations have been generating strong
returns. We have secured a number of local authority housing contracts in
Dublin, Cork and Waterford and we anticipate further opportunities to emerge
in this area.


Commercial Division

Hillview Securities' Millennium Business Park at Ballycoolin in west Dublin
made solid progress in the first half. This project of 56,000 square metres is
being developed in four phases. The first phase of 12,000 square metres has
sold well. Profit recognition from the closure of these sales will come in the
second half of the year.


Spanish Division

The Spanish division is completing its successful Carib Playa freehold
development near Marbella. The bulk of the sales completions at this location
will take place in the second half of the year.


The Group has also commenced development of a second major freehold
development at Los Flamingos in the same region and a significant number of
deposits have already been achieved at this new location. Demand at Los
Flamingos has been well ahead of initial expectations. Seventy units are
already reserved representing a total sales value of Euro25m.


The focus on rentals at the Group's Four Seasons Country Club at Marbella
continues to pay dividends with increased operating profits from this activity
during the period.


UK Division

William Hargreaves, continues to develop, though slowly, under McInerney's
guidance. A new Regional Director was appointed for the UK at the start of
2001 followed by further strengthening of management personnel. The Group,
therefore, intends to increase the rate of capital investment in our UK
operations as opportunities arise. A number of other specific opportunities
are currently being examined.


Outlook

The Group looks forward to a stronger second half performance that should
bring a satisfactory result for the full year.


We believe the Company is well placed for the opportunities and challenges of
2002.



Roy B. Ferris

Chairman



MC INERNEY HOLDINGS PLC
CONSOLIDATED PROFIT AND LOSS ACCOUNT
For the period ended 30 June 2001
                                           30 June     30 June     31 December
                                             2001        2000        2000
                                           Euro'000    Euro'000    Euro'000
                                           (unaudited) (unaudited) (audited)
TURNOVER INCLUDING GROUP SHARE OF
JOINT VENTURES                               71,083      67,947      178,120
Less: Share of Joint Ventures Turnover      (2,359)     (1,236)      (3,784)
GROUP TURNOVER                               68,724      66,711      174,336
COST OF SALES                              (57,055)    (52,945)     (141,17)
GROSS PROFIT                                 11,669      13,766       33,160
Administrative Expenses                     (6,400)     (5,405)     (12,525)
GROUP OPERATING PROFIT                        5,269       8,361       20,635
Share of Operating Profits in Joint             396         498        1,210
Ventures
TOTAL OPERATING PROFITS INCLUDING JOINT       5,665       8,859       21,845
VENTURES
Surplus on disposal of Investment                51         191          277
Properties
Interest Payable and Similar Charges        (1,586)     (1,411)      (3,019)
PROFIT ON ORDINARY ACTIVITIES BEFORE          4,130       7,639       19,103
TAXATION
Taxation Charge arising on Ordinary         (1,114)     (1,854)      (4,432)
Activities
PROFIT ON ORDINARY ACTIVITIES AFTER           3,016       5,785       14,671
TAXATION
Proposed Dividend                                 -           -      (1,110)
PROFIT RETAINED FOR THE PERIOD                3,016       5,785       13,561
BASIC EARNINGS PER SHARE                       9.51  c    18.24  c     46.32 c
FULLY DILUTED EARNINGS PER SHARE               9.04  c    17.36  c     43.98 c




MC INERNEY HOLDINGS PLC
CONSOLIDATED BALANCE SHEET
As at 30 June 2001
                                                        30 June     31 December
                                                          2001         2000
                                                        Euro'000     Euro'000
                                                       (unaudited)  (audited)
FIXED ASSETS
Intangible Assets                                           5,724        5,733
Tangible Assets                                             9,448        7,007
Financial Assets
Joint Ventures:           Share of Gross Assets            11,158       12,353
                          Share of Gross Liabilities     (10,789)     (12,111)
                          Loans                             1,859        1,858
                                                            2,228        2,100
TOTAL FIXED ASSETS                                         17,400       14,840
CURRENT ASSETS
Stocks                                                    138,311      105,710
Debtors                                                    19,487       13,405
Cash at Bank and in Hand                                    5,363       11,582
                                                          163,161      130,697
CREDITORS (Amounts falling due within one year)
Bank Loans and Overdrafts                                  28,270       13,925
Trade and Other Creditors                                  55,646       54,830
                                                           83,916       68,755
NET CURRENT ASSETS                                         79,245       61,942
TOTAL ASSETS LESS CURRENT LIABILITIES                      96,645       76,782
CREDITORS (Amounts falling due after more than one
year)
Bank Loans                                                 45,834       29,817
Other Creditors                                             2,580        1,786
                                                           48,414       31,603
PROVISIONS FOR LIABILITIES AND CHARGES
Deferred Taxation                                             651          651
                                                           47,580       44,528
FINANCED BY :
CAPITAL AND RESERVES
Called up Share Capital                                     3,964        3,964
Capital Conversion Reserve Fund                                62           62
Share Premium Account                                      16,295       16,294
Revaluation Reserve                                           138          171
Profit and Loss Account                                    27,121       24,037
TOTAL SHAREHOLDERS' FUNDS - ALL EQUITY                     47,580       44,528


MC INERNEY HOLDINGS PLC
CONSOLIDATED CASH FLOW STATEMENT
For the period ended 30 June 2001
                                                      30 June       31 December
                                                        2001            2000
                                                      Euro'000        Euro'000
                                                    (unaudited)       (audited)
Net Cash Outflow from operating activities            (27,527)         (8,039)
DIVIDENDS RECEIVED FROM JOINT VENTURES                     103             76
RETURNS ON INVESTMENTS AND
SERVICING OF FINANCE
Interest Received                                           49            124
Interest Paid                                          (1,626)         (2,969)
Interest element of Finance Lease payments                 (4)             (6)
                                                       (1,581)         (2,851)
TAXATION                                               (4,044)         (4,479)
CAPITAL EXPENDITURE AND FINANCIAL INVESTMENT
Purchase of Tangible assets                            (2,786)         (3,457)
Sale of Tangible Assets                                    185             940
Investment in Financial Assets                             268             525
                                                       (2,333)         (1,992)
EQUITY DIVIDENDS PAID                                  (1,110)           (804)
Net Cash Outflow before Financing                     (36,492)        (18,089)
FINANCING
Share Capital Subscribed                                     1              32
Repayment of Loans                                     (4,552)        (17,373)
Proceeds from Borrowings                                33,887          35,358
Capital Element of Finance Lease Rentals                  (91)           (165)
                                                        29,245          17,852
Decrease in cash in period                             (7,247)           (237)


MC INERNEY HOLDINGS PLC
NOTES TO THE INTERIM REPORT
For the period ended 30 June 2001


1. Basis of preparation of Interim Financial Information

   The Interim Financial Information has been prepared on the going concern
   basis, and on the basis of the other
   accounting policies set out in the Group's published accounts for the year
   ended 31 December 2000.


2. Segmental Analysis of Turnover and Profit

                                             30 June     30 June    31 December
                                              2001         2000        2000
                                            Euro'000     Euro'000    Euro'000
                                           (unaudited)  (unaudited) (audited)
   Group Turnover
   Private Housing                              39,664      34,715      90,756
   Land & Sites                                  5,118         447      13,526
   Contracts                                    10,447       6,211      19,650
   Leisure                                       5,236       1,270       7,304
   Commercial                                    1,531       6,157      10,631
   UK Construction                               6,728      17,911      32,469
   Total Group Turnover                         68,724      66,711     174,336
   Profit before Interest & Taxation
   Private Housing                               4,516       6,491      14,453
   Land & Sites                                    909         409       2,662
   Contracts                                       969       1,124       2,398
   Leisure                                       1,073         380       2,089
   Commercial                                      176       1,427       2,341
   UK Construction                               (505)         477         767
   Segment Profits                               7,138      10,308      24,710
   Common Costs                                (1,077)       (932)     (2,088)
   Costs incurred in on-going Development
   / Acquisition
   Activities                                    (345)       (326)       (500)
   Net Interest Payable                        (1,586)     (1,411)     (3,019)
   Profit Before Taxation                        4,130       7,639      19,103


3. Taxation

   The taxation charge for the period is estimated based on the
   results for the period.


4. Reconciliation of movement in Group Shareholders' Funds
                                                                     Euro'000
                                                                    (unaudited)
   Opening Shareholders' Funds as at 1                                  44,528
   January 2001
   Retained Profit for the period                                        3,016
   Proceeds of new Share Subscription                                        1
   Currency Translation Adjustment                                          35
   Closing Shareholders' Funds as at 30                                 47,580
   June 2001
   During the period 4,500 options were exercised at a
   price of Euro0.44 per share.


26 September, 2001