Interim Results

INTERIM REPORT OF THE ALLIANCE TRUST PLC FOR THE HALF YEAR ENDED 31 JULY 2003
(UNAUDITED)

Issued Stock

                                     No. of Units
Ordinary stock units of 25p            50,400,000
4% 'A' Cum. Pref. stock of £1             100,000
4% Cum. Pref. stock of £1                 650,000
4.25% Cum. Pref. stock of £1              700,000
5% Cum. Pref. stock of £1                 750,000
4.5% Debenture stock 1956 or After     £1,648,600

This  interim  report will be made available on the website  of  Alliance  Trust
Savings  Limited (www.alliancetrusts.com) upon publication of this announcement.
Copies will be posted to stockholders on Monday, 25 August 2003 and will also be
made  available to the public at the Company's registered office, Meadow  House,
64  Reform  Street,  Dundee DD1 1TJ and at the offices of the  Company's  paying
agents,  Computershare Investor Services PLC, Owen House,  8  Bankhead  Crossway
North, Edinburgh EH11 4BR.

This  interim  report  was approved by the Board on 18 August  2003.  It  brings
stockholders  up to date  about the performance of the Alliance Trust  over  the
six months to 31 July 2003, the environment in which we have been operating over
this  period,  and  how we see the outlook over the next six months,  before  we
report to them again with the final results for the year to 31 January 2004.

The  figures we report are unaudited. The last audited figures are in  the  2003
annual report which was sent to stockholders in March 2003 and is available  for
reference at www.alliancetrusts.com.

FINANCIAL HIGHLIGHTS

Income                                
31 July                         2003     2002
                                      
interim dividend (1)             35p      29p
gross dividend yield (2)          3%     3.1%
                                      
Capital                               
six months to 31 July           2003   Change
                                      
net asset value                2789p    16.9%
stock price                    2645p    24.3%
FTSE All-Share Index            2046    18.8%
                                      
Savings business                      
six months to 31 July           2003   Change
                                      
net inflows (3)                 £69m   -22.5%
total investor numbers        35,791     1.3%
total valuation (4)          £1,098m    28.1%
                                             
Alliance Trust holding (5)     15.9%     8.8%


(1)  Amount payable 3 October 2003 per ordinary stock unit.
     Ex dividend 17 September 2003
     
(2)  Annual dividend (including tax credit) expressed as a % of stock price at 31 July 2003.
     
(3)  Receipts of cash, securities and dividends less withdrawals.  Change compares 6 months
     to 31 July 2002.
     
(4)  Aggregate value of assets invested in ATS products.
     
(5)  % of ordinary capital of the Alliance Trust held for ATS investors.


RESULTS FOR THE HALF YEAR

Income and Dividend

Dividend  growth from the companies held in our portfolio has been  better  than
expected  and  investment of cash into higher yielding equities  has  helped  to
boost  our  earnings.  This should enable us to increase the total dividend  for
this year by at least 1p per ordinary stock unit.

Over  the  last few years we have been gradually reducing the disparity  between
the  interim  and final dividends. We have now decided to take this further  and
raise  the interim to a level closer to 50% of the total dividend.  Accordingly,
we shall pay an interim dividend of 35p per ordinary stock unit on 3 October and
we expect to recommend a final of not less than 35.5p payable in May 2004.  Last
year  the  interim dividend was 29p and the final dividend 40.5p.  Substantially
reducing the difference between the interim and final dividends will, this year,
allow  charities and those holding their stock in ISAs and PEPs to receive  more
in  the  form  of tax credits before the ability to reclaim these  is  abolished
after 5 April 2004.

Capital

We  are  pleased  to report a 16.9% increase in our net asset  value  after  the
relentless erosion of equity values experienced over the last three years.  This
increase reflects the rise in all major markets and the fall in sterling on  our
overseas  holdings  and  cash.   Although we  have  now  invested  much  of  our
liquidity,  our relatively cautious approach has slightly restrained  the  asset
value  increase.  However, we believe the lower risk profile adopted over recent
years,  with  policy  unconstrained  by debt,  compensates  for  this  in  these
uncertain times.

The  increase  in  the stock price exceeded the rise in asset  value  as  demand
remained strong.

Savings Business

The  growth  of Alliance Trust Savings' (ATS) business slowed during  the  first
half year having previously been resistant to the gloom pervading the UK market.
The  run up to April is an important season for savings investment, but activity
this  year was subdued, as many lump sum investors, faced with a seemingly large
number  of  uncertainties,  found that doing nothing was  the  most  comfortable
investment  stance to take.  The volatility of markets, although a  disincentive
to  lump  sum  investors, has benefited regular savers.  The proportion  of  the
Company's stock now held through ATS increased from 14.7% to 15.9%.


INVESTMENT REPORT


Economic and Market Background

During  the  first half of our financial year, the long-awaited global  economic
recovery  was further delayed by the impact of war in Iraq and the  outbreak  of
Sars. The heightened geopolitical tension in the run up to war dented confidence
at both the business and consumer level, and hit business spending as investment
plans were postponed. More recently, confidence levels have improved, helped  by
tax  cuts  in the US and Europe and by the reflationary policies of the  world's
key central banks.  In many countries, interest rates now stand close to 50 year
lows  as  the  authorities attempt to stimulate sufficient economic activity  to
minimise any lingering threat of deflation.
Equity  markets  fell  sharply at the start of our  year  as  institutional  and
private investors continued to display a strong preference for bonds, and doubts
remained over the prospects for profitable economic recovery. Since March,  less
geopolitical  uncertainty, better economic signals and more  corporate  activity
have all helped to maintain a steady upward momentum in equity markets, allowing
the UK market to rally 28% from its 7 year low.


Geographical distribution of assets

UK                   52%
USA                  22%
Europe                9%
Japan                 4%
Rest of World         9%
Fixed Interest        3%
Net Current Assets    1%


Investment Activity

We  used  the  turbulence  of  the  last 6 months  to  reduce  our  cash  levels
significantly.   Net  equity  purchases amounted to £34m,  concentrated  in  the
resources,  media  and  financial sectors where valuations  had  either  reached
unduly  depressed levels or did not reflect better prospects.  On  a  geographic
basis  the  focus  was  on  the  UK,  where there  are  some  attractive  income
opportunities, and Asia, where economic activity should remain a positive  force
over the long term, particularly in China.

Outlook
Although the global economy remains vulnerable to unforeseeable shocks,  we  are
hopeful that the reflationary policies which have been put into place will prove
successful.  In  the US, we are now seeing some encouraging signs  of  the  long
awaited  recovery in economic activity, and this is already feeding  through  to
confidence  levels  in  both  Europe and Japan.  However,  with  the  US  dollar
vulnerable  to  large  government  budget  and  trade  imbalances  and  business
investment  dependent  on  profitable expansion prospects,  the  risk  that  the
recovery is not sustainable remains.
Equity  valuations  have  risen in anticipation of  a  recovery  in  the  global
economy.   Further strength may be elusive until there is firmer  evidence  that
increased activity is feeding through to profits and a better employment outlook
in  the  US.   Meanwhile, corporate activity is expected to increase,  as  often
happens  at  this  point  in the cycle.  We will continue  to  invest  our  cash
cautiously, seeking a diversified range of companies with growth prospects,  but
also  with  sound  management and the cash flow to deliver  reasonable  dividend
growth.

CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

returns £000                                            6 months to   6 months to          year to
                                                       31 July 2003  31 July 2002  31 January 2003
                                                                                  
revenue return                                                                    
dividends and interest                                       26,888        25,947           46,185
other income                                                  1,307         1,521            2,141
                                                         ----------    ----------       ----------
total income                                                 28,195        27,468           48,326
expenses                                                    (3,734)       (3,597)          (6,381)
additional pension contribution                                   -             -            (641)
                                                         ----------    ----------       ----------
net revenue before interest payable and taxation             24,461        23,871           41,304
interest payable                                              (587)         (528)          (1,120)
                                                         ----------    ----------       ----------
revenue before taxation                                      23,874        23,343           40,184
taxation                                                    (2,550)       (2,536)          (4,104)
                                                         ----------    ----------       ----------
revenue after taxation                                       21,324        20,807           36,080
minority interest - equity                                     (80)         (187)            (289)
                                                         ----------    ----------       ----------
                                                             21,244        20,620           35,791
dividend on preference stock - non-equity                      (49)          (49)             (97)
                                                         ----------    ----------       ----------
revenue return attributable to ordinary stockholders         21,195        20,571           35,694
                                                                                                  
revenue return per ordinary stock unit                       42.05p        40.82p           70.82p
                                                                                  
capital return                                                                    
realised (losses)gains on investments                       (7,170)         3,551         (22,006)
unrealised appreciation(depreciation)                       208,027     (292,769)        (446,912)
foreign exchange gains(losses)                                2,592         (414)              235
                                                         ----------    ----------       ----------
                                                            203,449     (289,632)        (468,683)
minority interest - equity                                       18             -             (41)
                                                         ----------    ----------       ----------
capital return attributable to ordinary stockholders        203,467     (289,632)        (468,724)
                                                                                                  
capital return per ordinary stock unit                      403.70p     (574.66p)        (930.01p)
                                                                                  
total return                                                                      
total return attributable to ordinary stockholders          224,662     (269,061)        (433,030)
                                                                                                  
total return per ordinary stock unit                        445.75p     (533.84p)        (859.19p)


                                                                                       
summarised balance sheet £000                         31 July 2003  31 July 2002  31 January 2003
                                                                       
investments at valuation                                 1,390,177     1,347,680        1,155,412
net current assets                                          28,622        46,298           60,071
                                                        ----------    ----------       ----------
total assets less current liabilities                    1,418,799     1,393,978        1,215,483
long term liabilities and prior charges                    (13,273)      (13,491)         (13,422)
                                                         ----------    ----------       ----------
ordinary stockholders' funds                             1,405,526     1,380,487        1,202,061
                                                                                       
net asset value per ordinary stock unit                     £27.89        £27.39           £23.85
                                                                                       
cashflow statement £000                                6 months to   6 months to          year to
                                                      31 July 2003  31 July 2002  31 January 2003
                                                                       
net cash inflow from operating activities                   32,826        32,879           51,577
servicing of finance                                          (848)         (789)          (1,642)
taxation paid                                               (1,893)       (1,992)          (4,312)
investment purchases settled                               (85,080)     (103,279)        (163,274)
investment sales settled                                    55,547        79,118          151,034
equity dividends paid                                      (20,412)      (20,412)         (35,028)
                                                         ----------    ----------       ----------
decrease in cash                                           (19,860)      (14,475)          (1,645)
                                                                                       

Notes to Financial Statements

1  These results should not be taken as a guide to the full year and do not constitute the statutory accounts.
   
2  The revenue return statement is the profit and loss account of the Group.
   
3  Expenses include £1,668,000 (£1,673,000) incurred by subsidiary companies.
   
4  The accounting policies are consistent with those applied in the preparation of the annual statutory
   accounts.  In the interim statements, net current assets are stated after the provision of £17,640,000
   (£14,616,000) for payment of the interim dividend and £3,555,000 (£5,955,000) being the balance of revenue
   attributable to ordinary stockholders.
   
5  The figures for 31 January 2003 are extracted from the full accounts which have been filed with the
   registrar of companies and which contain an unqualified report from the auditor.

Dividend

Interim dividend of 35p per ordinary stock unit.

The interim dividend on the Company's ordinary stock and half year dividends  on
its  preference stocks are payable on Friday, 3 October 2003 to holders  on  the
register on 19 September 2003 and the ex dividend date is 17 September 2003.

The press release summarising these interim results follows and questions should
be addressed to Mr. Gavin Suggett or Mr. Alan Young (Tel. [phone]).


Press Release
                                        
                             The Alliance Trust PLC
          Interim Report and Results for the half year to 31 July 2003
                                   (unaudited)


¤  Interim dividend increase to 35p from 29p
   
¤  Net Assets increase 16.9%
   
¤  Continued growth of Alliance Trust Savings
   

The  Alliance  Trust  PLC, the 115 year old investment  company,  announced  its
results today for the half year to 31 July 2003.

Commenting on the results Gavin Suggett, Chief Executive, said:

"The  last six months have seen a huge seesaw in asset valuations which  are  up
28%  from  their  7 year low in March.  This background has not  been  an  ideal
investment   climate  but  we  have  continued  to  invest  our  cash   reserves
successfully  on  both  capital and income fronts.  The large  increase  in  the
interim  dividend  accelerates the process of reducing the differential  between
interim  and  final  dividends which we started several years  ago.   This  will
particularly  help charities, and the many individuals who hold  their  Alliance
stock through PEPs and ISAs."

Alan Young, Investment Director added:

"  We  invested £34m over the 6 months when valuations had either reached unduly
depressed  levels or did not reflect better prospects.  Much of this  investment
was  in  the  UK, which provided income enhancing opportunities,  and  in  Asia,
particularly  China.  We plan to continue to invest, concentrating on  companies
with  sound  management, strong cash flows and those able  to  offer  reasonable
dividend growth - a feature which we still view as a crucial support for growing
valuations."


ENDS