Siemens to Acquire Schroder Leasing

Schroders PLC
28 February 2000

                                Schroders plc
                     Siemens to Acquire Schroder Leasing
                     -----------------------------------

Schroders  plc  today announced that it has agreed to sell its  small  ticket
leasing business, the Schroder Leasing Group of Companies (Schroder Leasing),
to  Siemens  Financial  Services, part of the world-wide  Siemens  AG  Group,
subject to regulatory approvals.

Schroder  Leasing has an outstanding reputation in small ticket  leasing  and
asset  finance  in the United Kingdom with 170 employees and a  portfolio  of
over 80,000 agreements.  The business has an excellent profit record achieved
through  constant strategic innovation and cost control.  Its profits  before
tax   in  the  year  ended  31st  December  1999  were  £8.7  million.    Its
shareholders' funds at that date were £36.3 million.  However, for some  time
the  Board  has  been conscious that further development in Europe  would  be
required  to  enable  it to achieve its full potential and  that  this  might
entail a partnership with a European institution.

Siemens  AG, with net sales of DM 134 billion and more than 400,000 employees
world-wide  (1999),  is  a  global powerhouse in electrical  engineering  and
electronics.   Siemens Financial Services (SFS), a division of  Siemens  with
its  head offices in Munich, has approximately 900 employees in more than  20
countries.   SFS' services range from sales and investment financing  through
treasury  services  to  fund  management.   The  company  has  a  diversified
portfolio  of  equipment  financing instruments and therefore  represents  an
ideal  strategic partner for Schroder Leasing in the future.   Schroders  plc
believes  Schroder Leasing will be an excellent fit in the  SFS  organisation
both in terms of complementary products and customer bases.

Schroder  Leasing will be granted a licence by Schroders plc to use its  name
in relation to the leasing business for a transitional period.

Commenting  on the transaction, Jeff Addison, Managing Director  of  Schroder
Leasing, said:

'The  joining of Schroder Leasing with Siemens will create a financing  force
of  formidable  competitive strength.  We are very much  looking  forward  to
working  with  Siemens Financial Services to help create a  new  and  dynamic
operation  in European small ticket leasing.  Together we will  be  a  strong
combination  and we are convinced that the new arrangement  will  be  to  the
benefit of our customers and staff.'

For further information please contact:

Nicholas MacAndrew, Schroders plc, Tel: [phone]
Jeff Addison, Schroder Leasing, Tel: [phone]
James Brent, J. Henry Schroder & Co. Limited, Tel: [phone]
Laura Hotham, Corporate Communications, Siemens plc, Tel: [phone]
Hartmut Huebner, Siemens Financial Services, Siemens AG, Tel: [phone]
34183