Disposal

Caffyns PLC
1 July 2002


For immediate release

Further to the company's announcement on 30 May 2002 concerning the sale of its
Mercedes Benz franchises, Caffyns plc announces that it has today exchanged
unconditional contracts for the sale of certain assets from its Mercedes Benz
businesses in Salisbury and Dorchester to Jacksons Bournemouth Limited.

Assets sold comprise freehold premises at Dorchester, goodwill, fixed assets and
trading stocks for both sites for an approximate cash consideration of £3.3m
which is due to be paid in July 2002. An exceptional gain before taxation of
approximately £1.0m will arise on the sale. The proceeds will be applied in
reducing group borrowings.

Profits attributable to these two dealerships for the year ended 31 March 2002
were £423,000.


CAFFYNS PLC


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