Dividend Declaration

Merchants Trust PLC
10 January 2000

                     THIRD QUARTERLY DIVIDEND

                     Year Ending 31st January 2000

Third Quarterly Dividend

The Board has declared a third quarterly dividend per Ordinary Share of 4.05p
net, payable on 22nd February 2000 to holders of record at the close of
business on 21st January 2000.

This compares with a third quarterly dividend of 4.34p for the previous year,
made up of a 1.36p Ordinary Dividend and a 2.98p Foreign Income Dividend.  Had
the FID payment not been made the Directors would have declared a third
quarterly Ordinary Dividend of 3.75p for the year ended 31st January 1999.

By Order of the Board

P L Longcroft
Company Secretary

For further information please contact:

Dresdner RCM Global Investors (UK) Limited:
Simon White                0171 475 2700
Nigel Lanning              0171 475 2700