AGM

Ashtead Group PLC
8 October 2001


                              ASHTEAD GROUP PLC

At  today's Annual General Meeting of Ashtead Group plc, the equipment rental
company, Henry Staunton, Chairman, will say:

'Overall  Ashtead has continued to show good year-on-year growth in the  five
months  ended  30  September with total revenues up  14%.  Our  US  business,
Sunbelt Rentals, which accounted for two-thirds of our profits in the year to
30  April 2001, achieved like-for-like growth of 8% in the five-month period,
demonstrating  a  continued  ability to  outperform  the  market  in  slowing
economic  conditions. When we announced our preliminary results in  July,  we
indicated  that  US management had set itself the target  of  adding  30  new
profit  centres  in  the  year  to  30  April  2002,  through  'cold  starts'
(greenfield  openings),  or  'warm starts' (the acquisition  of  small  local
businesses). To date, 18 new profit centres have been added, the majority  in
the  geographic areas served by the former BET businesses, as we continue our
strategy of 'clustering', ie having a significant presence in major towns and
cities.  For  example, we now have ten profit centres in  the  Seattle  area,
compared with two when BET was acquired.

In  the UK and Ireland, like-for-like growth was 1%, as our concentration  on
good  quality business continued in a very competitive market. The much lower
capital  expenditure,  which  characterised  the  second  half  of  the  last
financial year, has continued with the result that A-Plant is expected to  be
cash  positive in the second half and beyond. At the time of the  preliminary
results  we indicated that our concentration in the UK would be on  improving
cash  generation and our return on invested capital. As part of this process,
a  review of all aspects of the A-Plant business has been conducted. We  have
concluded that our current profit centre structure is appropriate, but it has
been  decided  to withdraw from certain low margin, high debt risk  areas  of
business.  A review of under-utilised assets is therefore being conducted and
it  is anticipated that there will be a resultant exceptional non-cash charge
of no more than £25 million.

On  a  Group  basis, cash flow will further benefit from  a  lower  level  of
capital   expenditure.   We  anticipate  that  this  year,  we   will   spend
approximately one half of last year's unusually high figure of £238  million.
Our  rental fleet continues to be well below industry average in terms of its
age profile.

Ashtead  Technology  continues to make excellent progress with  like-for-like
growth  of  28% in the first five months.  In addition, we have seen  a  good
performance  from  Response  Rentals acquired in  October  2000  and  so  not
included in the above comparative figures.

While we can take comfort from a sound start to the financial year, what  are
the  prospects following the terrible events of 11 September? The number  and
estimated  value of rental contracts today is at the same level  as  a  month
ago. The level of Government spending in both the UK and US on infrastructure
and  other  public  services is scheduled to increase.  Interest  rates  have
fallen  to  historically very low levels. On the other hand,  concerns  mount
regarding the onset of recessionary conditions in both the USA and UK. To the
extent  that there is a downturn, we believe we will derive some benefit,  as
former  purchasers of equipment will turn to the rental option; to the extent
that there is a severe recession we are unlikely to be immune.  We do however
consider  that our experience of managing through the UK's deep recession  in
the 1990s will stand us in good stead.

In  the  UK,  we continue our policy of developing major accounts  where  our
market leadership enables us to meet the national outsourcing requirements of
these  important customers through sole and preferred supply  agreements.  In
the  US  our  successful operating model enables us to continue to outperform
our  major  competitors  as fourth largest player in a  $25  billion  market,
which, despite the present uncertainties is forecast to grow at a faster rate
than  the  economy generally over the next five to ten years.   We  have  the
opportunity  to increase our current 2% market share.  Our specialist  rental
business,  Ashtead  Technology  in serving its  oil,  gas  and  environmental
markets has growth potential in the short and long term.

Demand for the rental product is not only fundamental to the market places in
which  we  trade,  but  will  in  the medium term  be  considerably  greater,
particularly  in  the United States.  The customers we serve  -  governments,
local  authorities,  utilities,  major  industrial  companies,  construction,
railways,  oil  and gas, will continue to require our services.  Accordingly,
while  it is appropriate to be cautious as we enter our more seasonal  second
half, we remain confident of the long-term opportunities for your Group.'

8 October 2001


Contacts:

George Burnett      Chief Executive               01372 362300
Ian Robson          Finance Director

Andrew Grant        Tulchan Communications        0207 353 4200
Nigel Fairbrass


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