Top of Form

24 July 2002

___________________________________________________________________

DAEJAN HOLDINGS PLC

PRELIMINARY RESULTS ANNOUNCEMENT for the year ended 31 March 2002

___________________________________________________________________

The Chairman, Mr B S E Freshwater today announced Preliminary Results for the year to 31 March 2002.

· · Investment Property holdings £534 million (2001 - £465 million)

· · Properties held for trading valued at £232 million

· · Profit before tax £30.1 million (2001 - £29.8 million)

· · Proposed Final Dividend 30p per share giving a total for the year of 52p (2001 - 49p)

· · Earnings Per Share 127.4p (2001 restated 128.3p)

The Group’s investment portfolio was professionally valued as at 31 March 2002 and the resultant increase has been incorporated into the accounts of that date.  The Net Asset Value per Share attributable to equity shareholders based on the Balance Sheet figures including trading stock at the lower of cost and net realisable value at that date is £27.17 (2001 restated £23.49).

Net Asset Value per share – equity, with the trading stock included at a professional valuation as at 31 March 2002, but after full allowance is made for tax (at applicable UK and US rates) on realisation on investment and trading properties and for the deduction of the Fair Value Adjustment as calculated under FRS 13, is £31.93.

DAEJAN HOLDINGS PLC

Earnings per share is calculated by reference to profit on ordinary activities after taxation and minority interests, of £20,766,000 (2001 restated £20,900,000 and to the 16,295,357 (2000 – 16,295,357) Ordinary Shares in issue throughout the year.

Following adoption of FRS19 – Deferred Tax, the Group has restated the previous year’s results. The effect of adopting this standard was a decrease in opening reserves of £6,275,000 and an increase in the tax charge of £644,000 for the prior year. The increase in the current year’s tax charge in respect of FRS19 is £726,000.

The financial information set out above does not constitute the Company’s statutory accounts for the years ended 31 March 2002 or 2001.  The financial information for 2001 is derived from the statutory accounts for 2001 which have been delivered to the Registrar of Companies.  The Auditors have reported on the 2001 accounts; their report was unqualified and did not contain a statement under Section 237 (2) or (3) of the Companies Act 1985.  The statutory accounts for 2002 will be finalised on the basis of the financial information presented by the Directors in this preliminary announcement and of policies consistent in all material respects with the policies applied in the Company’s statutory accounts for 2001, with the exception of the implementation during the year ended 31 March 2002 of Financial Reporting Standards 17 Retirement Benefits, 18 Accounting Policies, 19 Deferred Tax and Urgent Issues Task Force Abstract 28 Operating Lease Incentives.  The statutory accounts for 2002 will be delivered to the Registrar of Companies following the Company’s next Annual General Meeting.

The Annual General Meeting with be held at 12.00 noon on Friday 4 October 2002 in The Methven Room, CBI, Centre Point, New Oxford Street, London WC1A 1DU.

If approved, the final dividend will be paid on 1 November 2002 to Shareholders registered at the close of business on 4 October 2002.

For further information call:

Mark Jenner

Company Secretary

Daejan Holdings PLC

020 7836 1555

Ben Padovan

Weber Shandwick Square Mile

020 7950 2800

CONSOLIDATED PROFIT AND LOSS ACCOUNT for the year ended 31 March 2002

		UNAUDITED
		2002	2001
			Restated
		£000	£000
		___________________________
Turnover  -	Rents and Service Charges Receivable	79,157	75,009
	Sale of trading properties	6,666	5,057
		___________	___________
		85,823 ==========	80,066 ==========
		___________________________
Net Rental Income		40,972	38,006
Surplus on sale of Trading Properties		5,591	4,622
Other Income		143	1,679
		___________	___________
Gross Profit		46,706	44,307
Administrative and Other Expenses		(7,063)	(5,642)
		___________	___________
Operating Profit from Continuing Operations		39,643	38,665
Surplus on Sale of Investment Properties		307	691
Net Interest Payable and Other Similar Items		(9,869)	(9,591)
		___________	___________
Profit on Ordinary Activities before Taxation		30,081	29,765
Tax on Profit of Ordinary Activities		(9,262)	(8,436)
		___________	___________
Profits on Ordinary Activities after Taxation		20,819	21,329
Minority Interests – Equity		(53)	(429)
		___________	___________
Profit Attributable to Equity Shareholders		20,766	20,900
Dividends: Interim		(3,585)	(3,096)
Final (proposed)		(4,889)	(4,889)
		___________	___________
		(8,474)	(7,985)
		___________	___________
Retained Profit for the Year		£12,292	£12,915
		==========	==========
Earnings per Share		127.4p	128.3p
Interim Dividend already paid per share		22.0p	19.0p
Proposed Final Dividend per share		30.0p	30.0p
Total Dividend for the year per share		52.0p	49.0p

CONSOLIDATED BALANCE SHEET as at 31 March 2002

	UNAUDITED
		2002		2001
				Restated
	£000	£000	£000	£000
	_______	_______	_______	_______
Fixed Assets
Tangible Assets		533,581		465,481
Investments		617		617
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		534,198		466,098
Current Assets
Properties held for Trading	57,288		80,375
Debtors: Due within one year	28,251		25,811
Due after one year	2,042		2,726
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	30,293		28,537
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Investments	142		147
Cash at Bank	47,679		26,888
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	135,402		135,947
Creditors: Amounts falling due
within one year	(91,218)		(95,495)
__________________________________________________________________________________________________
Net Current Assets		44,184		40,452
__________________________________________________________________________________________________
Total Assets Less Current Liabilities		578,382		506,550
Creditors: Amounts falling due after
more than one year		(127,271)		(116,154)
Provisions for liabilities and charge		(8,168)		(7,451)
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Net Assets		442,943		382,945
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Capital and Reserves
Called up Share Capital		4,074		4,074
Share Premium Account		555		555
Revaluation Reserve		230,919		183,766
Other Reserves		6,784		7,134
Profit and Loss Account		200,443		187,322
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Equity Shareholders’ Funds	442,775	382,851
Minority Interests – Equity	168	94
__________________________________________________________________________________________________
	442,943	382,945
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Equity Shareholders’
Funds per Share	£27.17	£23.49

CONSOLIDATED CASH FLOW STATEMENT for the year ended 31 March 2002

			2002		2001
	£000		£000	£000	£000
	_______		_______	_______	_______
Operating Activities
Net Cash Inflow from
operating activities (note i)			42,307		9,740
Returns on Investments and
servicing of finance
Interest received	1,865			3,131
Interest paid	(11,499)			(13,288)
Minority Interests	23			(448)
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Net Cash outflow from returns
on investments and servicing
of finance			(9,611)		(10,605)
Taxation
UK Corporation tax paid	(9,639)			(7,471)
Overseas tax paid	(889)			(66)
_________________________________________________________________________________________________
			(10,528)		(7,537)
Capital Expenditure
Purchase of Investment Properties	(59)			(11,341)
Sale of Investment Properties	1,385			3,253
_________________________________________________________________________________________________
Net Cash inflow/(outflow) for
Capital Expenditure			1,326		(8,088)
Equity Dividends Paid			(8,474)		(7,496)
_________________________________________________________________________________________________
Cash inflow/(outflow) before financing			15,020		(23,986)
Financing
Repayment of secured loans		(10,554)		(5,271)
Loans		-		6,158
Repayment of mortgage advances		(6,677)		(2,310)
New mortgage advances		24,133		2,943
_________________________________________________________________________________________________
Net cash inflow from financing			6,902		1,520
_________________________________________________________________________________________________
Increase/(Decrease) in cash in the
year (note ii)			21,922		(22,466)
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_________________________________________________________________________________________________
NOTES TO THE CASH FLOW STATEMENT	2002	2001
	£000	£000
_________________________________________________________________________________________________
(i)   Reconciliation of operating profit to net cash inflow
from operating activities
Operating profit	39,643	38,665
Decrease/(Increase) in properties held for trading*	1,315	(20,346)
Increase in debtors	(1,806)	(8,159)
Increase/(Decrease) in creditors	3,150	(399)
Decrease/(Increase) in investments held as current assets	5	(21)
_________________________________________________________________________________________________
Net cash inflow from operating activities	42,307	9,740
_________________________________________________________________________________________________

* Properties held for trading purposes of £21m were re-classified as Investment Properties during the year.

(ii) (ii) Analysis of changes in net debt

	1 April	Cash	Exchange	31 March
	2001	flow	movements	2002
	£000	£000	£000	£000
_______________________________________________________________________________________________
Cash at bank and in hand	26,888	20,835	(44)	47,679
Overdrafts	(1,087)	1,087	-	-
_________________________________________________________________________________________________
	25,801	21,922	(44)	47,679
Secured loans	(150,892)	10,554	212	(140,126)
Unsecured loan stock	(1,792)	-	-	(1,792)
Mortgage advances	(24,340)	(17,456)	326	41,470
_________________________________________________________________________________________________
	(151,223)	15,020	494	(135,709)
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