Purchase of Own Securities

FOREIGN & COLONIAL US SMALLER COMPANIES PLC
18 October 1999


PURCHASE OF WARRANTS FOR CANCELLATION

Please note that Foreign & Colonial US Smaller Companies Plc has today purchased
for cancellation 200,000 of its warrants to subscribe for ordinary shares at a
price of 85p each.

Following this purchase, the total number of warrants outstanding stands at
6,148,876.