Issue of Debt

Securities Trust of Scotland PLC
4 April 2001

Securities Trust of Scotland plc

Issue of £50,000,000 Secured Bonds due 2031



Securities Trust of Scotland plc (the 'Company') announces the issue of £
50,000,000 Secured Bonds due 2031 (the 'Secured Bonds').

The Secured Bonds will be secured by a first floating charge over the whole of
the Company's assets, which will rank pari passu with the Company's existing
secured debt.

The lead-manager of the issue is Cazenove & Co. JPMorgan is co-manager.

The Secured Bonds will be issued at a price and coupon to be determined later
today, such that the gross redemption yield on the Secured Bonds at the issue
price will be a margin of 1.78 per cent. over that of the 4 1/4% Treasury
Stock 2032 at the time of pricing. A second announcement later today will
state the issue price, interest rate and initial yield on the bonds, but no
other details.

The Secured Bonds will bear interest from 4th May, 2001 payable semi-annually
in equal instalments on 4th May and 4th November in each year.  The closing
date is 4th May, 2001 and the maturity date is 4th May, 2031.

Application will be made to the UK Listing Authority and London Stock Exchange
to list and trade the bonds.



For further information, please contact:

The Company       Tom Maxwell                  0131 479 5989

                  Mike Woodward                0131 479 5930

Cazenove & Co.    Francis Burkitt               020 7825 9942

                  Tim Waters                    020 7214 7533



In connection with the issue of the Secured Bonds, Cazenove & Co. may
over-allot or effect transactions which stabilise or maintain the market price
of the existing or the Secured Bonds at a level which might not otherwise
prevail.  Such stabilising, if commenced, may be discontinued at any time.