Disposal

Associated British Foods PLC
19 December 2002

19 December 2002

                   ABF streamlines its UK milling operations


Associated British Foods plc ('ABF'), the international food, ingredients and
retail group, today announced the sale of its British third party flour milling
business to ADM Milling Limited ('ADM'), a wholly owned subsidiary of Archer
Daniels Midland Company, including its flour mills at Edinburgh, Castleford,
Knottingley, Liverpool, Corby and Tewkesbury.  Completion is subject to
regulatory approval in the UK.

Those parts of the business to be sold to ADM generated sales outside the ABF
group in the year to 14 September 2002 of £96 million and had net tangible
assets of £41 million at 14 September 2002.

ABF 's remaining UK mills at Tilbury, Manchester and Belfast will now
concentrate on providing the efficient supply of flour to its Allied Bakeries
business, the seller of Kingsmill and other bread brands. It will also retain
the existing milling operations of Westmill Foods.

Earlier this week, ABF also announced the sale of its glass packaging business,
Allied Glass Containers.

Commenting on the announcement, ABF Chief Executive, Peter Jackson, said, 'The
disposal of the British third party flour milling business leaves ABF with a
very effective, integrated flour milling operation, streamlining flour supplies
to Allied Bakeries in a very competitive market.'


For further information please contact:


Associated British Foods                           Tel: [phone]
Peter Jackson
Chief Executive

John Bason
Finance Director

Geoff Lancaster                                    Tel: [phone]
Head of External Affairs


Citigate Dewe Rogerson                             Tel: [phone]
Jonathan Clare / Chris Barrie / Sara Batchelor


                      This information is provided by RNS
            The company news service from the London Stock Exchange