Interim Management Statement

INTERIM MANAGEMENT STATEMENT

For Quarter Ending 31 October 2007

MATERIAL DEVELOPMENTS

  * During the third quarter, NAV rose 4.2%, which reflected strong equity
    markets led higher by Asia in particular. At present, equities represent
    91% of gross assets.
   
  * The fall out from the US sub-prime mortgage market caused extreme
    volatility in financial markets in Q3. What started as a US event quickly
    translated into an international crisis. In Europe and elsewhere, large
    amounts of funds were made available to the markets and the UK saw its
    first bank run in some 150 years on Northern Rock. Despite this, equity
    markets moved higher as investors reacted positively to looser monetary
    conditions and prospects of further interest rate cuts.
   
  * Market turbulence in early August gave us an opportunity to use gearing and
    make purchases at attractive valuation levels (we borrowed £145m or about
    5% of assets). The money raised was invested primarily in Western markets.
   
  * We reduced our UK equity exposure at the end of Q3 by approximately 2% of
    total assets. This move reflected a more cautious outlook for the UK
    economy where the consumer looks increasingly stretched.
   
  * Elsewhere, exposure to private equity was increased both through direct
    investment and capital committed to this area. Overall, we added £16m of
    new investment.
   
There was no activity in the property portfolio.

KEY FACTS

Total Net Assets:        £3,065.0m                              
                                                                
Total Return from 31/07/07                                                              
to 31/10/07:             +2.67%                                 
                                                                
NAV*:                    452.8p                                 
                                                                
The NAV is published daily on our website                       
www.alliancetrust.co.uk                                         
                                                                
Share price*:            371.5p                                 
                                                                
Discount*:               18.0%                                  
                                                                
Total Expense Ratio                                             
(year to 31/01/07):      0.35%                                  
                                                                
Year End:                31 January 2008                        
                                                                
Date of Incorporation:   21 April 1888                          
                                                                
Dividend:                Dividends are paid quarterly on or     
                         around the last day of January, April, 
                         July and October. The total dividend   
                         payable for the year to 31 January 2007
                         was 7.575p.                            
                                                                
Capital:                 671,909,760 shares of 2.5p             
                                                                
ISIN:                    GB00B11V7W98                           
                                                                
* Source: Datastream                                            

ASSET ALLOCATION %

Equities            91.5
                        
Private Equity       4.7
                        
Fixed Income         0.8
                        
Subsidiaries         1.5
                        
Real Estate          3.3
                        
Cash                 2.7
                        
Other Net            0.2
Assets                  
                        
Gross Assets       104.7
                        
Gearing            (4.7)
                        
Net Assets         100.0

EQUITY PORTFOLIO DISTRIBUTION

GEOGRAPHIC EQUITY ONLY                  INDUSTRY EQUITY ONLY       
                                                                   
                               %                                  %
                                                                   
UK (Large & Mid)            42.4        Financials             28.0
                                                                   
Europe (Large & Mid)        18.0        Oil & Gas              14.1
                                                                   
N America (Large & Mid)     15.5        Industrials            11.2
                                                                   
Asia Pacific Ex Japan       13.8        Consumer Goods          9.3
                                                                   
UK (Small)                   9.1        Consumer Services       9.2
                                                                   
Japan                        1.2        Basic Materials         8.6
                                                                   
                                        Health Care             5.6
                                                                   
                                        Telecommunications      5.0
                                                                   
                                        Technology              4.6
                                                                   
                                        Utilities               4.5

TOP 20 INVESTMENT+

        Move-    Rank                                                       Value
                                                                                 
Rank    ment     last qtr Name                                                 £m
                                                                                 
------  -------  -------  ---------------------------------------------- --------
                                                                                 
1       â–²        (6)      Royal Bank of Scotland                             95.5
                                                                                 
2       â–¼        (1)      Alliance Trust Real Estate Partnership             91.2
                                                                                 
3       â–¼        (2)      Royal Dutch Shell `B'                              89.9
                                                                                 
4       â–¼        (3)      BP                                                 81.4
                                                                                 
5       â–¼        (4)      Vodafone                                           71.0
                                                                                 
6       â–¼        (5)      HSBC                                               63.5
                                                                                 
7       -        (7)      BHP Billiton                                       55.7
                                                                                 
8       â–²        (9)      Premier Alliance Trust Asia Pacific Fund           47.9
                                                                                 
9       â–²        (11)     Rio Tinto                                          46.9
                                                                                 
10      â–²        (17)     Tesco                                              44.1
                                                                                 
11      â–¼        (10)     Lloyds TSB                                         42.4
                                                                                 
12      â–¼        (8)      GlaxoSmithKline                                    39.9
                                                                                 
13      â–²        (14)     Anglo American                                     38.2
                                                                                 
14      â–¼        (13)     Barclays                                           35.1
                                                                                 
15      â–¼        (12)     Premier Alliance Trust Japan Fund                  33.3
                                                                                 
16      *(new)            Prudential                                         31.7
                                                                                 
17      â–²        (20)     British American Tobacco                           30.0
                                                                                 
18      -        (18)     Exxon Mobil                                        29.5
                                                                                 
19      â–¼        (16)     Reckitt Benckiser                                  29.2
                                                                                 
20      *(new)            Telefónica                                         29.0

Alliance Trust Savings and HBOS have dropped out of the top 20

+ includes preference holdings

Total Investments (ex       â–² 8.4%    
Cash):                                
                            â–² 2.6%    
Top 10 as % of Total: 22.6%           
                                      
Top 20 as % of Total: 33.7% â–² 3.7%    

SECTOR WEIGHTINGS

Top 5 overweight/underweight sector holdings**

                                Overweight/(underweight)
                                                       %
                                                        
Mining                                              3.45
                                                        
Nonequity Investment                                3.30
Instruments                                             
                                                        
Oil & Gas Producers                                 3.27
                                                        
Banks                                               2.48
                                                        
Household Goods                                     1.28
                                                        
General Financial                                 (3.22)
                                                        
Software & Computer Services                      (2.55)
                                                        
Pharmaceuticals & Biotechnology                   (1.89)
                                                        
Automobiles & Parts                               (1.80)
                                                        
Industrial Metals                                 (1.66)

Top 5 active overweight/underweight holdings**

                                Overweight/(underweight)
                                                       %
                                                        
Royal Bank of Scotland                              2.80
                                                        
Royal Dutch Shell                                   2.20
                                                        
BP                                                  2.01
                                                        
Vodafone                                            1.77
                                                        
HSBC                                                1.47
                                                        
Microsoft                                         (0.63)
                                                        
Exxon Mobil                                       (0.29)
                                                        
JP Morgan Chase                                   (0.25)
                                                        
Bank of America                                   (0.25)
                                                        
Societe Generale                                  (0.16)

Portfolio weight is calculated as a % of Net Asset Value less Cash and Other
Net Assets

**FTSE Global Equity Index Series All Cap used

OBJECTIVE

Alliance Trust is a self-managed investment company with investment trust
status. Alliance Trust has the objective of being a core investment for
investors seeking a long term store of increasing value.
We allocate our capital across a broad range of asset classes to enhance and
preserve total returns and to provide shareholders with real growth over the
medium to long term.

INVESTMENT POLICY

We use investment techniques such as gearing and hedging to enhance returns and
reduce risks within its portfolio. We do not benchmark against any equity index
as we retain the freedom to move not only between equity markets as
opportunities arise but also to invest in other asset classes.

We pursue our objective by:

  * investing in quoted and unquoted equities across the globe in different
    sectors and industries;
   
  * investing internationally in preference shares and in debt securities
    including government and corporate bonds;
   
  * investing in other assets, including property, cash and other financial
    instruments and investment vehicles;
   
  * retaining the ability to borrow, from time to time, and thereby to gear our
    portfolio; and
   
  * investing in subsidiary and associated businesses which allows us to expand
    into other related activities with the objective of enhancing shareholder
    value.
   
IMPORTANT INFORMATION

Alliance Trust PLC is a self-managed investment trust company, operating from
Meadow House in Dundee.

The views, information and data in this publication should not be deemed as a
financial promotion or recommendation. Alliance Trust PLC is not authorised to
give financial advice.

For security and compliance monitoring purposes telephone calls may be
recorded.

Please remember past performance is not a guide to future performance. You may
not get back the amount you invest. The value of your investment and any income
form it may fall as well as rise.

Exchange rate changes may cause the value of overseas investments to go down as
well as up.

Investment trusts may borrow to finance further investment (gearing). The use
of gearing is likely to lead to volatility in the Net Asset Value (NAV) meaning
that a relatively small movement, down or up, in the value of a trust's assets
will result in a magnified movement, in the same direction, of the NAV. This
may mean that you could get back nothing at all.

CONTACT

Kelly O'Donnell                     
                                    
Head of Investor Relations          
                                    
Alliance Trust PLC, Meadow House,   
                                    
64 Reform Street, Dundee DD1 1TJ    
                                    
Tel     [phone]          
                                    
Fax     [phone]          
                                    
Email   [e-mail]
                                    
Web     www.alliancetrust.co.uk