Reduction-Property Portfolio

Scottish American Investment Co PLC
05 April 2007

                THE SCOTTISH AMERICAN INVESTMENT COMPANY P.L.C.


                        Reduction in Property Portfolio.


The Board of The Scottish American Investment Company P.L.C. announces that it
has exchanged contracts for the sale of its hotel in Milton Keynes. The sale
price of £9m compares to a valuation of £8.5m at 31 December 2006.



                                                            Baillie Gifford & Co
                                                        Managers and Secretaries
                                                                    5 April 2007


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