Purchase of Own Securities

SCOTTISH AMERICAN INVESTMENT COMPANY PLC
14 July 1999


Scottish American Investment Company plc

Purchase of Ordinary Shares for Cancellation

Scottish American Investment Company plc (the 'Company')
announces that it has today acquired for cancellation
16,251,350 Ordinary Shares at 258p per share.

The Company has now purchased 21,951,350 Shares under the
authority granted at the Annual General Meeting in March, 1999
which enabled it to purchase up to 33,518,839 Ordinary Shares.

As mentioned in the interim statement published on 14th July,
1999 the Company will consider acquiring, through Cazenove &
Co., further Ordinary Shares for cancellation.

Enquiries:

Angus Gordon Lennox  Cazenove & Co.    0171 588 2828

Teddy Tulloch        Stewart Ivory     0131 226 3271