Disposal of Subsidiary

Ross Group PLC 18 July 2000 ROSS GROUP PLC DISPOSAL OF SUBSIDIARY Ross Group PLC ('the Company') has been reviewing its non- core activities and on 13 July 2000 agreed to dispose of its subsidiary Foray Control Systems Limited ('Foray') to Huntley Malet Group Limited for a total consideration of £120,000. £100,000 of the consideration is payable now in cash and the remaining £20,000 is deferred until 1 July 2000 and thereafter paid in monthly instalments of £5,000 per month ('the Disposal'). Foray designs and manufactures electronic control systems for use in domestic and industrial applications. In the twelve months to 31 December 1998, the last year for which audited accounts are available, Foray made a pre-tax loss of approximately £333,000 and ended the year with a negative shareholder value of £493,000. The existing directors of Foray all resigned on completion of the Disposal. The net proceeds from the Disposal will be used to reduce the bank debt of the Company and provide working capital and the Directors of the Company believe that the Disposal is in the best interests of the Company and its shareholders. Enquiries: Paul Binney Ross Group PLC 020 8581 9194 Tim Redfern Beeson Gregory 020 7488 4040

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Ross Group (RGP)
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