Trading Statement

Swallowfield PLC
06 June 2007

                                Swallowfield plc

                      Update on Eastern European operation



Swallowfield plc is pleased to announce further details of its planned operation
in Eastern Europe.

In pursuance of our objectives to increase competitiveness, the Board has
decided to establish a manufacturing base in the Czech Republic; a country
renowned for its engineering and production skills and one which has good
infrastructure and communication links to the UK. This facility will be
established under the ownership and control of Swallowfield, and will operate to
the high standards of quality, management and good manufacturing practice for
which Swallowfield is known.

The Group has recently signed a five-year contract for the rental of a 3,266 sq
metre factory, which will be built to Swallowfield's specification. The building
is scheduled to be competed at the end of November this year, and we anticipate
first production in January 2008.

This operation will undertake filling, finishing and packing operations for
toiletries and cosmetics and will complement our UK operations. We anticipate
that this operation will have a positive impact on the Group's trading results
from the financial year commencing July 2008.

Ian Mackinnon, CEO, says 'This facility will enhance our position as a global
provider of high quality toiletries and cosmetics. In addition to providing
competitive improvements to the Group's current operations, we believe this move
will enable us to access new and growing markets in the medium-term.'



For Further Information:

Swallowfield plc:
Ian Mackinnon, Chief Executive Officer                       [phone]
Peter Houston, Group Finance Director                        [phone]

Blue Oar Securities plc:
Barrie Newton                                                [phone]
Mike Coe                                                     [phone]



Swallowfield plc: 'Creating and Delivering Solutions for our Customers' Success'


Notes to Editors:

Swallowfield formulates, manufactures and packages fine quality household goods,
toiletries and cosmetics across the whole spectrum of consumer markets for own
label and brand names.



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