Interim Results

Throgmorton Trust PLC
6 July 2000

KEY POINTS

*   PORTFOLIO NOW SUBSTANTIALLY REPOSITIONED FOR NEW GROWTH OBJECTIVE

*   INTERIM DIVIDEND 0.5p (1999 - 0.95p)FOLLOWING DISPOSAL OF INCOME STOCKS

*   NET ASSET VALUE PER ORDINARY SHARE AT 31 MAY 2000, 112.36p                

  
 
NET ASSET VALUE                                
                           30.11.99       31.5.00      CHANGE
The Throgmorton Trust       115.22p       112.36p       - 2.5%
FTSE All-Share             3086.90       3017.23        - 2.3%
FTSE SmallCap (ex IT)      2815.50       3141.81        +11.6%


THE CHAIRMAN, LORD STEWARTBY, COMMENTED:

The six month period to May 2000 has been one of profound change for the
Company.  At the Annual General Meeting last February, shareholders approved a
new objective for the Trust, dispensing with a reference to income, in order
to enable the managers to concentrate on growth.  Implementation of the new
policy required replacement of about one third of the portfolio, and despite
severe market turbulence this has now been largely achieved.

The directors have declared an interim dividend of 0.5p per share (1999: 
0.95p).  As explained in my previous Chairman's Statement, the new portfolio
will have a significantly lower yield, resulting in a reduced level of
dividend. Your board expects to recommend a final dividend for the current
year of 1.0p per share.
 
At 31 May 2000 the net asset value of the Trust was 112.4p per share, compared
with 99.6p twelve months previously and 115.2p at 30 November 1999.  Although
closely in line with the movement in the FTSE 100 and All-Share indices over
the same period, the reduction in net asset value of 2.5 per cent during the
six months to May 2000 is disappointing, particularly when compared with the
rise of 11.6 per cent in the SmallCap index.  However, as explained in the
manager's report, this underperformance was largely due to reinvestment in
February and March in service growth sectors, just before the sudden shake-out
in those markets.  The portfolio also had to bear the impact of disposing of a
number of relatively illiquid income stocks in highly volatile markets.

During the period the Company repurchased 25,163,250 ordinary shares,
equivalent to 8.8 per cent of its capital at 30 November 1999.

Now that the portfolio has been substantially repositioned, the relative
underperformance of the previous six month period has already begun to be
reversed.  In the month of June 2000 the net asset value (excluding current
year revenue reserves) rose from 111.9p to 120.4p, an increase of 7.6 per cent
compared with the SmallCap index figure of 5.6 per cent and the All-Share
figure of 0.4 per cent.  Prospects for the United Kingdom economy remain
healthy and the Trust's portfolio of smaller companies selected for growth
should increasingly benefit.

                               MANAGER'S REPORT 
                               
The trends that had developed in the last quarter of the year ended 30
November 1999 continued into the current financial year. During the two months
of December and January, the FTSE SmallCap (ex Investment Companies) Index
rose by nearly 11%, as investors concentrated their efforts on acquiring the
anticipated explosive growth stocks contained within the Telecommunications,
Media and Technology ('TMT') sectors of the economy, seemingly ignoring
everything else.

In early March analysts in the United States began to voice concerns over the
valuations of technology stocks and prices began to fall. These fears were
quickly translated across the Atlantic and in the last three weeks of March
the FTSE SmallCap (ex Investment Companies) Index fell by 7%. Panic selling
replaced panic buying within the retail market, with the aggressive pricing of
Lastminute.com and its resultant weakness adding to the general problem.

As cash was redeemed from the TMT sectors, very little of it found its way as
re-investment into the sound but less explosive growth stocks in either the
'New Economy' or 'Old Economy'. Investors moved towards companies and sectors
that were perceived to be cheap and significant rallies were seen in
utilities, distribution, automotives and leisure and hotels as they worked on
the basis that if TMT stocks fall then value investments will go up. Given the
economic backdrop of a growing economy this is not a sound argument in
anything beyond the short term.

The Portfolio

Due to the reconstruction of the portfolio during an abnormally volatile
period of the market, the Trust's undiluted net asset value in the six months
to 31 May 2000 disappointingly fell by 2.5%. This compares with the 11.6% rise
recorded by the benchmark index.

As shareholders will recall from the Chairman's Statement in the last Annual
Report & Accounts, the profound structural changes taking place in the economy
led to the recommendation that the investment policy should be adjusted from a
portfolio managed to provide a growing income in line with the average of
smaller companies, to one which takes fuller advantage of opportunities in
sectors with the greatest potential for growth.

This change of policy, which was approved by shareholders at the AGM on 25
February 2000, meant that approximately one third of the portfolio by value
was required to be sold and reinvested in higher growth companies. This
restructuring has been virtually completed, with more than 90% of the
portfolio now in the desired shape. However, the portfolio has suffered from
the one-off costs of this action. It was unfortunate that a considerable
amount of changes had been implemented before 10 March 2000 when the
correction in the Technology, Media and Telecommunications sectors occurred.

The fall was of a totally indiscriminate nature and we feel confident that the
Trust's purchases in this area will prosper over the longer term. The central
theme of the changes, notably increasing the portfolio weighting towards the
service economy at the expense of the traditional manufacturing base is, we
believe, the correct one.

As at 1 June 2000 Cyclical and Non-Cyclical services accounted for
approximately 43% of the portfolio, whilst Basic and General Industrials
accounted for 21%. The largest overweighting in the portfolio is within Media
and the largest underweighting is within General Retailers.

Outlook

As already mentioned the economy is continuing to grow, with interest rates
being used as a tool to stop it moving too fast. The good performance of UK
consumer price inflation means that it is easier to see why economic
forecasters expect interest rates to peak shortly. This type of economic
backdrop has historically led to a healthy environment for equities and, in
particular, smaller domestic companies. With services inflation running above
the government's general inflation target of 2.5%, the caveat to this is the
question of how long the traditional manufacturing base can continue to
retrench before this target comes under pressure.

The market is likely to remain volatile until investors are satisfied that
more normal valuation differences have been reached. Then the market should
return to be driven by fundamentals and good quality growth companies in all
sectors should return to the fore.


Interim Revenue Statement                       Restated        Restated
                                 Six Months to  Six Months to   Full Year to
                                 31 May 2000    31 May 1999     30 Nov 1999
                                 £000's         £000's          £000's
                                 (unaudited)    (unaudited)
                                         


Income from fixed asset 
investments

UK dividend income                4,340           5,113          10,790
Unfranked income                    433             470           1,087
                                  _____           _____          ______
                                  4,773           5,583          11,877
                                  _____           _____          ______

Other income
Dividends from subsidiary 
undertakings                         -               10              35
Interest receivable                  75             445             575    
Sundry income                        56               9              37
                                  _____           _____          ______
                                    131             464             647
                                  _____           _____          ______

Total income                      4,904           6,047          12,524 
                                  _____           _____          ______

Management Fee                     (880)           (839)         (1,731) 
Administrative expenses            (142)           (139)           (317)
Interest Payable                 (1,311)         (1,389)         (2,797)
                                  _____           _____           _____
Net revenue from ordinary                    
activities before taxation        2,571           3,680           7,679

Tax on net revenue from
ordinary activities                 (78)             (4)           (200)
                                  _____           _____           _____


Net revenue from ordinary
activities after taxation         2,493           3,676           7,479

Dividends
    Preference shares                 -             (25)            (25)
    

    Ordinary shares               
    Interim     0.5p  (0.95 p)   (1,296)         (2,886)         (2,886)
    Final         -   (1.55 p)        -               -          (4,315)
                                  _____           _____           _____
                                 (1,296)         (2,911)         (7,226)
                                  _____           _____           _____

Net revenue retained              1,197             765             253

Revenue reserve brought forward   3,594           3,431           3,431       

Premium on redemption                 -             (90)            (90)
                                  --------------------------------------

Revenue reserve carried forward   4,791           4,106           3,594
                                  --------------------------------------
Number of ordinary               
  shares in issue           259,603,592     303,799,842     284,766,842
                                  --------------------------------------
Earnings per share
- basic                            0.92p           1.20p           2.46p
- fully diluted                    0.96p           1.25p           2.55p
                                  --------------------------------------
Net asset value per 
ordinary share                   112.36p          99.60p          115.22p
                                  --------------------------------------


The Throgmorton Trust PLC

Notes:

1. The Trust's figures to 31 May 2000 and the comparative figures for the
   corresponding period are unaudited; those for the year to 30 November 1999
   are based on the Trust's accounts for that period, which carry an
   unqualified report from the auditors and have been filed with the Registrar
   of Companies. 

2. On 16 December 1999 the Accounting Standards Board published Financial     
   Reporting Standard 16 'Current Tax' which replaces SSAP8.  The standard
   is mandatory for accounting periods ending on or after 23 March 2000. 
   The effect of adopting this standard is that UK dividends are no longer
   grossed-up by the tax credit.  However, overseas dividends and other
   income that is subject to withholding tax continue to be grossed-up.  
   The comparative figures have been restated accordingly.

3. Management fees payable and finance costs of debt are each currently    
   allocated 50% to capital and 50% to revenue. 

4. The 1.5 million 7 1/4% preference shares of £1 each were redeemed on 1     
   April 1999 at a cost of £1,590,000.  The premium of £90,000 was
   deducted from Revenue Reserves.

5. Due to share buy backs between the date that the accounts were signed
   and the ex-dividend date of the 1999 final dividend, the total final       
   dividend paid was less than that accrued in the 1999 accounts.  The      
   comparative figures have been restated to reflect the actual payment.
    
6. The directors have declared an interim dividend of 0.5p per share
   (1999 - 0.95p) payable on 11 August 2000 to shareholders on the
   register at the close of business on 21 July 2000.  

7. The net asset value per ordinary share of 5p (loan stock not converted and
   prior charges at par value) is based on the shares in issue, the market
   value of listed investments and other net assets and liabilities.  Unlisted
   investments are carried at directors' valuations.  There have been no
   additions to unlisted investments since 30 November 1999.
 
8. Copies of the 1999 annual report and further copies of these interim      
   results are available from the Trust's registered office, 155
   Bishopsgate, London EC2M 3XJ.

9. The Trust's balance sheets as at 31 May 2000 and 30 November 1999 are shown
   below in summary form and have been extracted from unaudited and       
   audited accounts respectively as described in Note 1.  

10.Each of the Trust's service providers have undertaken projects to deal
   with the Year 2000 systems issue or 'millennium bug'.  The Trust's board   
   has been advised by the service providers that no systems errors occurred
   due to any date changes prior to and after 31 December 1999 and that the     
  operations to support the Trust continue as normal.  The Trust has
   been assured that continued testing will be undertaken by its service
   providers to ensure that any future date changes will not cause any          
  problems.

11.Group accounts have not been prepared as, in the opinion of the directors, 
   the inclusion of the remaining subsidiary undertakings, taken together, is 
   not material for the purpose of giving a true and fair view.


Summarised Balance Sheet
                                                                  Restated
                                              31 May 2000      30 Nov 1999
                                                 £000's             £000's
                                              (unaudited)

Fixed asset investments                        
  Portfolio investments                         333,181            373,153    
  Subsidiary undertakings                         3,577              3,577
                                                -------            -------
                                                336,758            376,730
                                                -------            -------
Current assets
  Debtors                                         3,384              8,124
  Cash at bank                                    3,038              4,043
                                                -------            -------
                                                  6,422             12,167
                                                -------            -------
Creditors - due within 1 year                   ( 6,368)           (15,659)
                                                -------            -------
Total assets less current liabilities           336,812            373,238
                                                -------            -------
 
Creditors - due after 1 year:
  Debenture stock                               (19,119)           (19,119)
  Convertible loan                              (11,008)           (11,008)
  Loan from group company                       (15,000)           (15,000)
                                                -------            -------
                                                (45,127)           (45,127)
                                                -------            -------
                                                291,685            328,111
                                                =======            =======
Capital and reserves
  Share capital                                  12,980             14,238
  Share premium                                  30,852             35,267
  Revenue reserves                                4,791              3,594
  Other reserves                                243,062            275,012
                                                -------            -------
Total shareholders' funds                       291,685            328,111
                                                =======            =======