Pre Close Trading Update

For Release at 7.00 am Wednesday 27th September 2006              

          Johnson Matthey Pre Close Trading Update for the Half Year           

The first half of Johnson Matthey's current financial year ends on 30th
September 2006 and its interim results for the half year will be announced on
22nd November 2006. Prior to entering its closed period the company is today
issuing the following update on current trading:

"Trading in the first half of Johnson Matthey's financial year has been in line
with expectations. The encouraging start made in the first quarter continued in
the second, which saw slightly stronger growth.

Catalysts Division has achieved good growth in sales and profits in the half
year. Environmental Catalysts and Technologies (ECT) has benefited from
increased sales of catalysts for diesel cars in Europe. Sales of catalysed soot
filters have grown significantly, reflecting increasing consumer demand for the
early fitment of these products. Autocatalyst sales are well up in Asia with
ECT continuing to achieve strong growth in Japan and China, however demand is
weaker in the USA as a result of production cutbacks by the domestic car
manufacturers. Process Catalysts and Technologies has also achieved good
results with a useful contribution from Davy Process Technology, which was
acquired at the end of last year, and further strong demand for synthesis gas
catalysts.

Precious Metal Products Division has continued to benefit from the favourable
trading conditions for platinum group metals and good demand for manufactured
products and refining services. Trading results for the remaining parts of the
group are in line with their performance in the first quarter with
Pharmaceutical Materials Division's sales ahead of last year and Ceramics
trading in line with its performance in 2005.

The outlook for the rest of the year remains very much as we set out in the
outlook statement in our annual report. We expect growth in the second half of
the year to be stronger than the first, with increased sales of catalysts for
heavy duty diesel vehicles in Europe and North America as the new emissions
legislation comes fully into effect."

Enquiries:

Ian Godwin                 Director, IR and Corporate            020 7269 8410 
                           Communications                                      
                                                                               
John Sheldrick             Group Finance Director                020 7269 8438 
                                                                               
Howard Lee                 The HeadLand Consultancy              020 7367 5225 
                                                                               
Laura Hickman              The HeadLand Consultancy              020 7367 5227 

www.matthey.com