Disposal and Acquisition

NWF Group PLC
02 November 2004


Embargoed until 7.00 am Tuesday, 2 November

                                  NWF Group plc

      Disposal of Country Stores and Acquisition of Victoria Garden Centre

NWF Group plc ('NWF Group' or the 'Group'), the diversified sales and
distribution company, announces the completion of the sale of the business of
its five Country Stores to Countrywide Farmers plc and the acquisition of
Victoria Garden Centre.

The Country Stores are located at Wardle (Cheshire), Whitchurch (Shropshire),
Market Drayton (Shropshire), Melton Mowbray (Leicestershire) and Wrexham (North
Wales). The Whitchurch and Wrexham sites are freehold while the Wardle site
remains in the ownership of NWF with a lease granted to Countrywide. A sixth
Country Store on the Isle of Man has already been closed.

The aggregate initial consideration for the five Country Stores is £1.8
milliontermined byvaluation in cash with a further £0.6 million of deferred
consideration payable on 1 December 2006. The closure of Managrakem on the Isle
of Man and the disposal of the five Country Stores will incur goodwill
write-offs which will result in an exceptional net loss for the Group of £0.6
million in the current financial year.

At the same time, NWF Group announces the acquisition of Victoria Garden Centre
('Victoria') which is located near Wakefield in Yorkshire. Victoria was
established ten years ago. The consideration for the business and its assets is
£6.1 million termined byof which £3.2 million is deferred, spread equally over
the next three years. This acquisition will be financed by bank borrowings.

In the year ended 30 April 2003, Victoria had audited revenues of £4.1 million,
achieving a profit before taxation of £0.6 million. The net assets of Victoria
at 30 April 2003 were £2.0 million.

Graham Scott, Chief Executive of NWF Group, commented 'I am delighted that we
have succeeded in repositioning our Retail division by the sale of our Country
Stores while at the same time demonstrating our commitment to building a major
force in the garden centre sector where we have expertise and where we believe
there are substantial opportunities for growth.'


For further information please visit www.nwf.co.uk or contact:

Graham Scott, Chief Executive               John West / Claire Melly
NWF Group plc                               Tavistock Communications
Tel: [phone]                          Tel: [phone]


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