Board Change & Trading Update

Northacre PLC
11 May 2004

Northacre PLC

Northacre PLC ('Northacre' or 'the Group'')

Board Changes & Trading Update



Board Changes

The Board of Northacre announces the departure of Mr Paul Vesty as an executive
director of Northacre PLC. Paul Vesty joined the company in December 1999 and
has been a board director responsible for Development Management since 1st
January 2002. Paul Vesty is leaving on 29th May 2004 to set up his own
Development Management consultancy.



Property developments

The Phillimores (QEC) continues to make good progress with practical completion
due before December 2004. It is anticipated that the Group will begin to receive
its profit participation within the Group's current financial year.



Allbeit that further sales at KINGS Chelsea have been secured, the directors now
anticipate receipt of the Group's entitlement to profits during the Group's
financial year 2006.



As a result of local objections delays have been incurred in securing a planning
consent on the Vicarage Gate House development. In the light of this it may now
be necessary to appeal the application to the Planning Inspectorate. If this
course of action was pursued a decision would probably be delayed by a further
12 months from the date of the appeal.



Trading

Lifestyles (Interiors) and Nilsson Design have both experienced lower levels of
fee income which has impacted on the current trading of the Group. Some new
appointments and assignments for both companies are in the process of being
secured.



The directors are currently undertaking a review of the Group's operations, a
component of which is likely to include some reduction of the Group's on going
overhead.



Negotiations continue with our bankers and the Trustees of the Northacre PLC
Directors' Retirement and Death Benefit Scheme regarding ongoing loan facilities
to the Group. In April the Group secured an additional working capital facility
for £2.25m to assist the Group to continue to support its contractual
obligations on its current development programme.



The Group expects to release its financial results for the year ended 28th
February 2004 in June 2004.



                                                                     11 May 2004

Enquiries:

Northacre
    Simon Elgar, Finance Director     020 7349 8000

College Hill
    Kate Pope                         020 7457 2020





                      This information is provided by RNS
            The company news service from the London Stock Exchange