SAR - Alvis PLC

BAE SYSTEMS PLC
3 September 2003



                                                        FORM SAR 3


                                       Date of disclosure.2 SEPTEMBER 2003..

                 DISCLOSURE UNDER RULE 3 OF THE RULES GOVERNING
                   SUBSTANTIAL ACQUISITIONS OF SHARES ('SARs')

                 
Date of acquisition.......2 SEPTEMBER 2003...............................

Acquisition in............ALVIS PLC.....................(name of company)


(1) Class of voting shares    Number of shares/rights   If rights over shares
    (eg ordinary shares)      over shares acquired      acquired, as opposed
                                                        to the shares
                                                        themselves, specify
                                                        nature of rights

   ORDINARY SHARES OF 25P     31,882,534..shares       THE ACQUISITION OF SHARES
                              ...N/A..........rights   FOLLOWING THE COMPLETION
                                                      OF AN AGREEMENT TO ACQUIRE
                                                       THOSE SHARES FROM GKN 
                                                       (UNITED KINGDOM) PLC. THE
                                                      RIGHTS OVER SHARES ARISING
                                                       IN FAVOUR OF BAE SYSTEMS
                                                       PLC UNDER THAT AGREEMENT
                                                       WERE NOTIFIED ON FORM SAR
                                                       3, DATED 22 AUGUST 2003.


(2) Resultant total holding   Resultant total holding   Total percentage
    of voting shares (and %   of rights over shares
    of total voting shares    (and % of total voting
    in issue)                 shares in issue)

    ..31,882,534...(28.95%)   .....0.....(    %)        ...28.95....(  %)


(3) Party making disclosure.......BAE SYSTEMS PLC.....................  

(4)  (a)  Name of person acquiring shares or rights over shares BAE SYSTEMS PLC
          and, if different, beneficial owner............................... 

     (b)  Names of any other persons acting by
          agreement or understanding (see SAR 5)........N/A.............


Signed, for and on behalf of the party named in (3) above...................

(Also print name of signatory)...DAVID PARKES...........................

Telephone and extension number......01252 383857...................

Note. Under SAR 5, the holdings of and acquisitions by persons acting by
agreement or understanding must be aggregated and treated as a holding of or
acquisition by one person.  Note 3 on SAR 5 requires persons who must aggregate
holdings to disclose certain disposals.

For full details of the SARs disclosure requirements, see Rules 3 and 5 of the
SARs.  If in doubt, contact the Panel on Takeovers and Mergers, Monitoring 
Section, Tel. No: 020 7638 0129.





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