Interim Results

INTERIM REPORT OF THE ALLIANCE TRUST PLC FOR THE HALF YEAR ENDED 31 JULY
2004 (UNAUDITED)

This interim report will be made available on the website www.alliancetrusts.com
upon publication of this announcement.  Copies will be posted to stockholders on
Tuesday, 31 August 2004 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, Lochside House, 7 Lochside Avenue, Edinburgh Park, Edinburgh EH12 9DJ.

This interim report was approved on 23 August 2004. It brings stockholders up to
date about the performance of the Alliance Trust over the six months to 31 July
2004, 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 2005.

The figures we report are unaudited. The last audited figures are in the 2004
annual report which was sent to stockholders in March 2004 and is available for
reference at www.alliancetrusts.com

INCOME AND DIVIDEND

Compared with the six month period to 31 July 2003, our total income increased
by £2.7 million to £30.8 million. Although dividend earnings from the companies
in our portfolio increased, the strength of sterling relative to the same period
last year reduced the overall value of our foreign currency income. Our interest
income was boosted by higher interest rates, particularly in the UK.



An interim dividend of 35.5p per ordinary stock unit will be paid on 1 October
2004. We expect to be able to recommend a final dividend of at least 35.5p
payable in May 2005.

                        2004          2003      Change
Interim                35.5p         35.0p        1.4%
dividend

Amount payable 1 October 2004 per ordinary stock unit
Ex dividend 15 September 2004

                     6 months    6 months     year to
                           to          to     January
                    July 2004   July 2003        2004

Company income         27,591      25,479      45,504

Subsidiary
income
Alliance Trust          2,408       1,945       4,056
Savings *
Alliance Trust            214         223         415
(Finance)
                      _______     _______     _______
                       30,213      27,647      49,975
                      _______     _______     _______

*  Income from Alliance Trust Savings is shown net of interest paid on customer
deposits.

CAPITAL

Approximately half of the Company's assets are invested overseas with the
balance in the UK. In the six months to 31 July  our net asset value grew by
0.2% in line with the increase in the FTSE All-Share Index, but exceeded the
sterling-adjusted FTSE World Index which fell by 2.7%.

In the same period our stock price fell by 6%. At 31 July 2004 the discount at
which the Company's stock price stood relative to its net assets widened to
16.4% from 10.8% at 31 January 2004.  This widening of discount affected much of
the investment trust sector over the period.

                       31 July   31 January      Change
                          2004         2004

Net Asset Value        2926.6p      2921.5p        0.2%
Stock price            2448.0p      2605.0p       -6.0%
FTSE All-Share         2192.22      2187.10        0.2%
Index
FTSE World Index        228.93       235.38       -2.7%
ex UK(sterling adjusted)


SAVINGS BUSINESS

Gross inflows over the six months are up 16% compared with the same period last
year.  Net inflows to Alliance Trust Savings ("ATS") are positive, but less than
the previous year. We attribute this to a loss of confidence in equity markets,
amongst some of the investing public, as well as to the reduction in the tax
benefits of PEPs and ISAs following the Government's withdrawal of the tax
credit reclaim in April 2004.

Total assets under administration continued to rise to over £1.2 billion and the
amount of the Company's stock held in the plans provided by ATS increased by
3.9%. Over 17% of the Company's ordinary stock is now held in these plans.

Six months to 31 July 2004                          Change

Net inflow during                £61m              -11.6%
period

Receipts of cash and securities less withdrawals during the period.  Change
compares six months to 31 July 2003.

At 31 July 2004                                Change (1)

Number of ATS                  36,183               -0.1%
customers
Total customer                £1,226m                2.8%
assets (2)
Alliance Trust                  17.4%                3.9%
holding (3)


(1)  Change is since 1 February 2004

(2)  Aggregate value of assets invested in ATS products

(3)  % of ordinary stock of the Alliance Trust held by ATS for is customers

ECONOMIC AND MARKET BACKGROUND

The global economic recovery has broadened in the last six months, driven by
strong demand from the US and China. Gains in production, particularly in Asia,
have encouraged job creation, income growth and consumer spending. Japan's
recovery has lagged the rest of the region as an overhang of bad debt, the weak
labour market and deflation have all hindered domestic activity there. However,
recent positive economic data has raised hopes that Japan will achieve a
sustainable recovery. European economies have also trailed the upward economic
cycle, but we are now seeing some encouraging signs of strengthening business
confidence and structural reform to increase labour market flexibility.

The economic upturn has accelerated corporate profit growth as relatively high
levels of labour productivity and improved pricing power have boosted margins.
However, most major equity markets ended the six months unchanged or weaker,
reflecting increased investor concerns that higher oil prices could dampen
demand and spur inflation. One notable exception has been Japan where better
prospects for a domestic recovery and improved levels of profitability have
attracted investors.

INVESTMENT ACTIVITY

We started our financial year fully invested, but concerns about the impact on
corporate margins of higher oil prices and rising interest rates led us to use
periods of market strength to raise cash, particularly in the US and UK where
personal debt levels are high. Asian economies are vulnerable to the price of
oil and to any significant short-term drop in activity in China, but we remain
positive about the region over the longer term and have recently increased our
exposure to Japan. On a global basis, the growth in dividends reported in recent
months is encouraging.

OUTLOOK

The upswing in world activity is expected to continue over the next six months
since US fiscal and monetary policy will remain relatively loose ahead of the
Presidential election in November. Once the electoral campaign is over, however,
the key to consumer confidence and spending will be the strength of the US
labour market. There are some signs that income and employment will grow in
Japan and Europe, which is necessary to achieve sustainable recoveries. UK
exporters could gain from this increase in world activity.  However, although UK
domestic demand is buoyant at present  it could be vulnerable to any sharp
correction in the housing market.

Investors' concerns centre on the risks of slower growth, rising inflation,
especially if the oil price rises further, and the ballooning US budget and
trade deficits. Further dollar weakness is possible particularly if US interest
rate increases are less than anticipated. Such concerns have already brought
equities back to more realistic valuations relative to other asset classes.
Higher levels of corporate activity may help to boost returns from here. We
expect profits to continue to grow but at a more moderate pace over the next few
months. We will use periods of market weakness to continue adding to our
holdings in Asia. Our focus remains on strong, well-managed companies with good
prospects for the medium and longer term.


The Portfolio by Geography
figures as at 31 July 2004

                               £m
UK                            818
Europe                        142
North America                 298
Japan                          75
Rest of World                 142
                            _____
Total                       1,475
                            _____


The Portfolio by Sector

                                      £m
Resources and Basic                  303
Industries
Capital Goods                        158
Consumer Goods and                   232
Products
Services                             319
Financials                           334
Investment Companies                  32
Fixed Income and Other Net Asset      97
                                  ______
Total                              1,475
                                  ______

CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

RETURNS £000                       6       6  year to
                              months  months  January
                                  to      to  2004
                                July    July
                                2004    2004

Revenue Return
Dividend and interest         29,239  26,888   48,336
Other income                   1,608   1,307    2,714
                             ------- -------  -------

Total income                  30,847  28,195   51,050
Expenses                     (4,646) (3,734)  (7,297)
                             ------- -------  -------

Net revenue before interest   26,201  24,461   43,753
payable and taxation
Interest payable               (672)   (587)  (1,152)
                             ------- -------  -------

Revenue before taxation       25,529  23,874   42,601
Taxation                     (3,152) (2,550)  (4,103)
                             -------   ------  ------

Revenue after taxation        22,377  21,324   38,498
Minority interest - equity      (91)    (80)    (260)
                             ------- -------  -------

                              22,286  21,244   38,238
Dividend on preference          (49)    (49)     (97)
stock - non-equity
                             ------- -------  -------

Revenue return attributable   22,237  21,195   38,141
to ordinary stockholders
                             ------- -------  -------

Revenue return per ordinary   44.12p  42.05p   75.68p
stock unit

Capital Return
Realised gains(losses) on     37,715  (7,170)  (2,915)
investments
Unrealised                   (34,871) 208,027  268,118
(depreciation)appreciation
Surplus on revaluation of          -       -       50
office premises
Foreign exchange               (281)   2,592    2,427
(losses)gains
                             ------- -------  -------

                               2,563 203,449  267,680
Minority interest - equity        35      18       73
                             ------- -------  -------

Capital return attributable    2,598 203,467  267,753
to ordinary stockholders
                             ------- -------  -------

Capital return per ordinary    5.15p 403.70p  531.26p
stock unit

Total Return
Total return attributable     24,835 224,662  305,894
to ordinary stockholders
                             ------- -------  -------

Total return per ordinary     49.27p 445.75p  606.94p
stock unit


SUMMARISED BALANCE SHEET     31 July  31 July       31
£000                            2004     2003  January
                                                  2004

Investments at valuation     1,403,3  1,390,1  1,466,1
                                  87       77       43
Net current assets            85,088   28,622   19,676
                             -------  -------  -------

Total assets less current    1,488,4  1,418,7  1,485,8
liabilities                       75       99       19
Long term liabilities and    (13,454) (13,273) (13,396)
prior charges
                             -------    -------   ------
Ordinary stockholders'
funds                      1,475,021 1,405,526 1,472,423
                           ---------  --------  --------

Net asset value per           £29.27   £27.89   £29.21
ordinary stock unit

CASHFLOW STATEMENT £000            6        6  year to
                              months   months  January
                                  to       to  2004
                                July     July
                                2004     2003

Net cash inflow from          30,755   32,826   53,769
operating activities
Servicing of finance           (721)    (848)  (1,462)
Taxation paid                (1,977)  (1,893)  (3,827)
Investment purchases        (97,011) (85,080)(178,067)
settled
Investment sales settled     162,059   55,547  127,957
Equity dividends paid        (17,892) (20,412) (38,052)
Financing                      4,000        -        -
                             -------   -------  -------

Increase(decrease) in cash    79,213  (19,860)  (39,682)

                             -------   -------   -------


NOTES TO FINANCIAL STATEMENTS

1  These results are unaudited.  They should not be
   taken as a guide to the full year and do not
   constitute the statutory accounts.

2  The revenue returns statement is the profit and loss
   account of the Group.

3  Expenses comprise £2,539,000 (£2,066,000) incurred
   by the Alliance Trust, and £2,107,000 (£1,668,000)
   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 £17,892,000
   (£17,640,000) for payment of the interim dividend
   and £4,325,000 (£3,555,000) being the balance of
   revenue attributable to ordinary stockholders.

5  The figures for 31 January 2004 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 35.5p 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, 1 October 2004 to holders on
the  register on 17 September 2004 and the ex dividend date for all  ordinary
and preference stocks is 15 September 2004.


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   £1,648,600
After

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

PRESS RELEASE

THE ALLIANCE TRUST PLC
PRESS RELEASE

23 August 2004
For immediate release

HALF-YEAR CAPITAL AND INCOME UP AT ALLIANCE TRUST

-    Capital growth in dull markets
-    Income rose £2.7m to £30.8m for six months ending 31 July 2004
-    Alliance Trust Savings (ATS), our financial services subsidiary, saw income
     grow by 23.8%

The Alliance Trust PLC, the third-largest UK investment trust by assets*, today
(Monday) announced that its income rose by £2.7m to £30.8m in the first half of
its financial year. Higher interest rates, particularly in the UK, a broadening
global recovery and rising dividend earnings boosted income at the Trust, which
has been investing since 1888.

Half-year earnings also climbed 2.07p to 44.12p for the six months to July 31
this year, compared to the same period last year, although the strength of the
pound affected foreign currency income.  Dundee-based Alliance Trust said it
would pay an interim dividend of 35.5p per stock unit.

Chief Executive Alan Harden said, "As a long-term global investor, we believe
this solid performance in capital appreciation and increase in income shows the
benefits of Alliance Trust's commitment to seek quality investments. Investors
will be pleased to see that our earnings have also gone up by 4.9%. Around half
of our assets are invested overseas and our investment performance has compared
favourably with the FTSE world index."

Harden said, "We are disappointed with the widening of the discount of share
prices to Net Asset Values in the core investment trust sector. We attribute
this to the fact that confidence has not yet been restored since the split-
capital crisis, institutional selling and general slowdown in demand for
equities."

Alliance Trust owns 75% of ATS, which has been growing in importance as a
supplier of pensions and other investment wrapper products renowned for its good
value, wide choice and straightforward approach. Through ATS a route is offered
directly to invest in UK equities including investment trusts. ATS now has more
than £1.2bn of assets under administration and its half-yearly income rose to
£2.4m from £1.9m."

In the half-year to the end of July 2004, Alliance Trust's Net Asset Value per
ordinary stock unit rose 0.2% to £29.27.

Alliance Trust Investment Director Alan Young said, "Concerns about the impact
on corporate margins of higher oil prices and rising interest rates led us to
increase our allocation to cash, having started the half-year almost fully
invested."

Young said, "Equity markets have not reflected better company profits lately and
may begin to appear more competitively valued if economic strength and
profitability can be maintained.  We are also strengthening our investment team
in order to ensure we have expertise across a broader range of assets to help
manage future opportunities."


Note to editors

*The Alliance Trust PLC is listed as the third-largest UK investment trust by
size in latest performance figures from Standard & Poor's.


For more information contact:
Jane Holligan
Media Relations Manager
Alliance Trusts
Phone: [phone]
Email: [e-mail]




ENDS