Final Results

Foreign & Colonial Eurotrust PLC
11 November 2002


Date:       11 November 2002

Contact:    Stephen White, F&C Management Limited, 020 7628 8000 / Lisa Stanley, 
            Lansons Communications, 020 7294 3692


                        FOREIGN & COLONIAL EUROTRUST PLC
                   Unaudited Preliminary Statement of Results
                      for the year ended 30 September 2002


HIGHLIGHTS


•    The Company's net assets per share fell from 478.3 pence at 30 September 
     2001 to 351.8 pence at 30 September 2002, a decline of 26.4%. This compares 
     with a fall of 27.0% in the FTSE AWI- Europe Index over the same period.

•    We maintained a relatively cautious approach throughout the year. Our
     gearing remained negligible, having been cut back the year before, given 
     the uncertain outlook. Our slight outperformance came thus from stock 
     selection.

•    Net revenue attributable to shareholders rose from £2.737 million to
     £3.659 million as a result of two factors. A further fall in the management 
     fee, in the wake of last year's renegotiation of the rate, and of the 
     decline in the value of the portfolio, and significantly lower interest 
     costs, owing to the absence of gearing.

•    The Board is recommending an unchanged ordinary dividend of 1.70 pence per 
     share, in addition to a special ordinary dividend of 3.00 pence per share.
     The combined dividend is an increase of 104.3% on the corresponding amount 
     for last year and enables shareholders to enjoy the benefit of this year's 
     buoyant revenue account without any commitment to the higher level for 
     future years.

•    The background for European equity markets remains difficult. Military
     action in Iraq and the continued worldwide threat of terrorism are worries; 
     the economic outlook remains uncertain and structural problems continue to 
     beset many industries. However, we have been able to find companies whose 
     market valuations look reasonable by traditional standards, and since our 
     year end there has been something of a bounce in markets. At 7 November our 
     net asset value per share was 398.0 pence, 13.1% above the level at 30 
     September 2002.


SUMMARY OF RESULTS
                                        30 September 2002       30 September 2001               % Change

Net assets                                       £264.56m                £359.90m                  -26.5

Net assets per share                              351.82p                 478.29p                  -26.4

Earnings per share                                  4.86p                   3.64p                  +33.5

Dividends per share                                 4.70p                   2.30p                 +104.3

Share price                                       277.00p                 438.50p                  -36.8



Extracts from the Chairman's Statement

Dear Shareholder,

Capital Performance

The past year saw further falls in the continental European stock markets. The
Company's net assets per share fell from 478.3 pence at 30 September 2001 to
351.8 pence at 30 September 2002, a decline of 26.4%. This compares with a fall
of 27.0% in the FTSE AWI-Europe Index, excluding the UK and adjusted to
sterling, over the same period.

Having moved at first largely sideways, the European markets fell again sharply
in the second half of our financial year. Fears of a forthcoming war with Iraq,
mixed economic news, corporate earnings disappointments and accounting scandals
in the US all undermined investor confidence. Heavy selling came both from
mutual funds suffering from major redemptions and insurance companies obliged to
rebalance their portfolios towards bonds for solvency reasons. Within the
markets, the best performing sectors over the year were again the more defensive
ones, such as pharmaceuticals, foods, utilities and oils. The poorer performers
included insurers, banks and technology.

We maintained a relatively cautious approach throughout the year. Our gearing
remained negligible, having been cut back the year before, given the uncertain
outlook. Our slight outperformance came thus from stock selection.


Revenue

Our gross income for the year fell by 11%, however, our expenses fell more
sharply. This was due primarily to a further fall in the management fee, in the
wake of last year's renegotiation of the rate, and of the decline in the value
of the portfolio. Interest costs are also down significantly owing to the
absence of gearing. The result of these two factors is that net revenue
attributable to shareholders rose from £2.737 million to £3.659 million.


Dividend

As last year, the Board is declaring both an ordinary and a special dividend. In
setting the amounts, the Board has had again to take account of the risk of
setting a precedent for next year which would be difficult to repeat should
expenses rise again. This might happen should, for example, equity markets
recover or gearing be resumed. The Board is thus recommending an unchanged
ordinary dividend of 1.70 pence per share, in addition to a special ordinary
dividend of 3.00 pence per share declared on 8 November 2002. The combined
dividend is an increase of 104.3% on the corresponding amount for last year and
enables shareholders to enjoy the benefit of this year's buoyant account without
any commitment to the higher level for future years.


Share Buy Backs and Demand for Shares

The Company bought back and cancelled 50,000 shares during the financial year,
and a further 131,500 shares from the year end to date. The Board will propose
to the Annual General Meeting that powers for further purchases should be taken.
We continue to review the level of discount to net asset value at which your
shares trade and believe that share buy backs can be an important factor in
addressing supply/demand imbalances while increasing the net asset value per
share.

At the end of September, there were over two thousand individuals participating
in the private investor plan on a regular monthly basis. It is a very attractive
way for the private investor to buy shares, and we believe it justifies fully
its cost to the Company. We now have some 25,000 shareholders and the percentage
of the Company's share capital directly owned by private individuals is over
78%. This is one of the highest levels of individual ownership in the investment
trust sector, and a feature of the Company we are keen to see continue.


Annual General Meeting

We hope that as many shareholders as possible will attend the Annual General
Meeting which will be held on Tuesday 17 December at 3:00 p.m. at the offices of
F&C Management at Exchange House, Primrose Street, London EC2A 2NY. If you wish
to attend, please return the card, which will be enclosed with the Annual
Report. Directions how to get there will be shown on the card. We look forward
to meeting all those of you who can come.


Outlook

The background for European equity markets remains difficult. Military action in
Iraq and the continued worldwide threat of terrorism are worries; the economic
outlook remains uncertain and structural problems continue to beset many
industries. However, we have been able to find companies whose market valuations
look reasonable by traditional standards, and since our year end there has been
something of a bounce in markets. At 7 November our net asset value per share
was 398.0 pence, 13.1% above the level at 30 September 2002.


Management

I should like to thank our manager, Stephen White, and his colleagues at F&C
Management for their efforts during another difficult year.


Douglas McDougall
8 November 2002



Balance Sheet
at 30 September
                                                                                2002                   2001
                                                                              £'000s                 £'000s
Fixed assets
Investments                                                                  274,890                359,512


Current assets
Debtors                                                                        1,429                  4,995
Taxation recoverable                                                             537                    507
Cash at bank                                                                     382                  2,316
                                                                               2,348                  7,818

Current liabilities
Creditors: amounts falling due within one year
Foreign currency loans                                                       (6,913)                      -
Other                                                                        (5,770)                (7,435)
                                                                            (12,683)                (7,435)

Net current (liabilities)/assets                                            (10,335)                    383

Net assets                                                                   264,555                359,895

Capital and Reserves
Called up equity share capital                                                18,799                 18,811
Capital redemption reserve                                                        12                      -
Share premium                                                                123,749                123,749
Capital reserves                                                             118,569                214,035
Revenue reserve                                                                3,426                  3,300
Total equity shareholders' funds                                             264,555                359,895

Net asset value per ordinary share - pence                                    351.82                 478.29



The geographical distribution of investments at 30 September 2002 was: France -
38.9%, Switzerland - 12.9%, Netherlands - 10.3%, Germany - 9.8%, Italy - 8.1%,
Spain - 6.0%, Sweden - 4.6%, Denmark - 3.9%, Finland - 3.7%, United Kingdom -
1.4%, Greece - 0.4%.

Statement of Total Return (incorporating the Revenue Account*) for the year
ended 30 September

                                                                   2002                                   2001

                                      Revenue      Capital        Total      Revenue      Capital        Total
                                       £'000s       £'000s       £'000s       £'000s       £'000s       £'000s          
             
Losses on
Investments                                 -     (95,160)     (95,160)            -    (158,845)    (158,845)

Exchange losses                           (6)        (138)        (144)         (18)      (1,847)      (1,865)

Income                                  7,427            -        7,427        8,366            -        8,366

Management fee                        (2,136)            -      (2,136)      (2,669)            -      (2,669)

Other expenses                          (841)         (24)        (865)        (950)         (23)        (973)

Net return before finance costs
and taxation                            4,444     (95,322)     (90,878)        4,729    (160,715)    (155,986)
                                        
Interest payable and similar
charges                                 (209)            -        (209)      (1,131)            -      (1,131)
                                        
Return on ordinary activities
before taxation                         4,235     (95,322)     (91,087)        3,598    (160,715)    (157,117)
                                        
Taxation on ordinary activities         (576)            -        (576)        (861)            -        (861)
                                       
Return attributable to equity
shareholders                            3,659     (95,322)     (91,663)        2,737    (160,715)    (157,978)
                                       
Dividends on ordinary shares
(equity)

Proposed final of 1.7p  (2001:
1.7p)                                  (1,279)            -      (1,279)      (1,279)            -      (1,279)

Special dividend of 3.0p (2001:
0.6p)                                  (2,254)            -      (2,254)        (452)            -        (452)
                                     
Amount transferred
to/(from) reserves                        126     (95,322)     (95,196)        1,006    (160,715)    (159,709)

Return per ordinary share -
pence                                    4.86     (126.68)     (121.82)         3.64     (213.59)     (209.95)


*   The revenue column of this statement is the profit and loss account of the
    Company.

All revenue and capital items in the above statement derive from continuing
operations.


Cash Flow Statement
For the year ended 30 September
                                                                                    2002                   2001
                                                                                  £'000s                 £'000s


Net cash inflow from operating activities                                          4,363                  4,291
Interest paid                                                                      (190)                (1,235)
Taxation paid                                                                      (612)                  (288)
Net cash (outflow)/inflow from financial investment                             (10,559)                 46,038
Equity dividends paid                                                            (1,730)                (1,279)
Net cash (outflow)/inflow before use of liquid resources
and financing
                                                                                 (8,728)                 47,527
(Increase)/decrease in short-term deposits                                         (152)                    293
Net cash inflow/(outflow) from financing                                           6,583               (46,010)
(Decrease)/increase) in cash                                                     (2,297)                  1,810



Notes

The Directors propose a final dividend of 1.70p (2001 - 1.70p) per share payable
on 20 December 2002 to shareholders on the register at close of business on 22
November 2002.

The Directors have declared on 8 November 2002 a special dividend of 3.00p (2001
- 0.60p) per share payable on 20 December 2002 to shareholders on the register
at close of business on 22 November 2002.

The above financial information comprises non-statutory accounts within the
meaning of section 240 of the Companies Act 1985. The financial information for
the year ended 30 September 2001 has been extracted from published accounts for
the year ended 30 September 2001 that have been delivered to the Registrar of
Companies and on which the report of the auditors has been unqualified.

The Annual General Meeting will be held at Exchange House, Primrose Street,
London EC2A 2NY on Tuesday 17 December 2002 at 3.00 p.m.

The Report and Accounts will be posted to shareholders in mid November 2002.
Copies may be obtained during normal business hours from the Company's
Registered Office, Exchange House, Primrose Street, London EC2A  2NY.


By order of the Board

F&C Management Limited, Secretary

8 November 2002


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