Interim Results

City of Oxford Geared Inc Tst PLC
24 October 2000


PRELIMINARY ANNOUNCEMENT OF RESULTS FOR SIX MONTHS TO 30 SEPTEMBER 2000


Chairman's Statement

This is my first report to shareholders since the Company changed its name to
The City of Oxford Geared Income Trust, and it covers the six months to 30
September 2000.  Looking first at performance, the total return on the
portfolio including income was 5.2%.  This represents a creditable performance
against the All Share Index which saw a negative return of -1.5%.  The Higher
Yield Index was bolstered by the strong performance of the Oil sector and
returned 10.7%.  A second interim dividend of 2.86p per Geared Ordinary share
and 2.05p per Income share has been declared by the Directors, which is in
line with the assumptions made in the September 1999 reconstruction
prospectus.

In the last Annual Report I ventured that after a sustained period during
which growth companies had been to the fore, a more realistic approach to
valuing companies was re-emerging which, if it continued, would be beneficial
to the portfolio.  This approach has continued but rather half-heartedly.  The
frequent switchbacks into growth stocks suggest that despite warnings of
tougher trading conditions from some high profile companies in the technology
orientated sectors, the market preoccupation with growth may still not be
over.

Part of the problem is that conditions for companies in the old or established
economy have themselves been far from ideal.  The effect of the high level of
Sterling against the Euro has been compounded by the sharp rise in oil prices.
As most investors recognise, this is not as serious as the oil crises of the
1970s but it does start to jeopardise one of the central tenets of equity
market valuations - that inflation remains at current low levels.  It also
means, and we have started to see this recently, that company profits are
squeezed by higher raw material and transportation costs.  This has meant that
some of the portfolio's industrial holdings have performed poorly.  However
the very full weightings that we have in more defensive stocks, for example in
foods, insurance and utilities have more than made up for these
disappointments.  The split capital portfolio has likewise performed well,
with higher yields providing downside protection.

We have seen recently another major setback in the TMT sectors which may
provide some opportunities to purchase oversold stocks.  As a principle
however we are still concerned that valuations in these areas fail to take
account of the long term demand risks and rising competition, not to mention
the rising debt levels, which are currently preoccupying telecom investors. 
The portfolio's generally defensive positioning looks right for the shorter
term at least, but we would hope to be able to take a more optimistic stance
early in the new year on prospects of a more certain earnings background.


Fred Carr
24 October 2000

 
CONSOLIDATED STATEMENT OF TOTAL RETURN (incorporating the Revenue Account) OF
THE GROUP for the six months ended 30 September 2000
(Unaudited)

                6 months to 30 September 2000  11 months to 30 September 1999
                       (unaudited)                 (unaudited - restated*)
                  Revenue   Capital    Total     Revenue    Capital    Total
                   £'000    £'000      £'000      £'000      £'000     £'000  

                        
Gains on
investments          -      4,478      4,478          -      2,448     2,448  
 
Income           4,042          -      4,042      2,952          -     2,952 

Investment 
management fee    (166)      (384)      (550)      (124)      (288)     (412)

Other expenses     (78)         -        (78)       (91)         -       (91)
                 -----      -----      -----      -----      -----     -----
Net return 
before finance
costs and
taxation         3,798      4,094      7,892      2,737      2,160     4,897

Interest payable  (522)    (1,217)    (1,739)      (332)      (774)   (1,106) 
                 -----      -----      -----      -----      -----     ----- 
Return on 
ordinary 
activities
before taxation  3,276      2,877      6,153      2,405      1,386     3,791

Taxation           (78)        78          -       (117)        95       (22)
                 -----      -----      -----      -----      -----     -----
Return on
ordinary
activities
after taxation   3,198      2,955      6,153      2,288      1,481     3,769

Dividends and
other
appropriations
in respect
of non-equity
shares          (2,145)    (1,704)    (3,849)    (1,636)    (1,152)   (2,788)
                 -----      -----      -----      -----      -----     -----
Return
attributable to
Geared Ordinary
shareholders     1,053      1,251      2,304        652        329       981

Interim
dividends paid
to Geared
Ordinary
shareholders      (992)         -       (992)      (605)         -      (605)
                 -----      -----      -----      -----      -----     -----
Transfer to
equity reserves     61      1,251      1,312         47        329       376
                 -----      -----      -----      -----      -----     -----

Return per
Geared Ordinary
Share             6.07p      7.21p     13.28p     10.78p      5.43p    16.21p

Return per
Income Share      4.35p         -       4.35p      7.73p         -      7.73p

Dividends per
Geared Ordinary
Share             5.72p                           10.00p

Dividends
per Income Share 4.10p                             7.17p
 

*  The income and tax on ordinary activities figures for the period to
   30 September 1999 show income net of tax credits, in accordance with
   Financial Reporting Standard No. 16 'Current tax'.                         
           
 
                                              17 months to 31 March 2000
                                                  (audited - restated*)

                                             Revenue      Capital      Total
                                              £'000        £'000       £'000  
Gains on 
investments                                       -        1,872       1,872 
   
Income                                        6,647            -       6,647  

Investment management 
fee                                            (280)        (655)       (935) 
     
Other expenses                                 (141)           -        (141) 
                                              -----        -----       -----  
Net return before finance
costs and taxation                            6,226        1,217       7,443  
          
Interest payable                               (839)      (1,956)     (2,795)
                                              -----        -----       -----
Return on ordinary
activities before
taxation                                      5,387         (739)      4,648  
                                
Taxation                                       (236)         214         (22) 
                                              -----        -----       -----  
Return on ordinary
activities after taxation                     5,151         (525)      4,626  
                   
Dividends and other
appropriations in respect
of non-equity shares                         (3,548)      (2,758)     (6,306)
                                              -----        -----       -----
Return attributable to
Geared Ordinary shareholders                  1,603       (3,283)     (1,680)

Interim dividends paid
to Geared Ordinary shareholders              (1,597)           -      (1,597)
                                              -----        -----       -----
Transfer to equity reserves                       6       (3,283)     (3,277)
                                              -----        -----       ----- 
Return per Geared Ordinary
Share                                         16.19p      (33.15)p    (16.96)p

Return per Income Share                       11.54p           -       11.54p

Dividends per Geared
Ordinary Share                                15.72p

Dividends per Income Share                    11.27p




CONSOLIDATED BALANCE SHEET
AS AT 30 SEPTEMBER 2000      30 September    30 September     31 March
(UNAUDITED)                      2000            1999           2000
                             (unaudited)     (unaudited)      (audited)
                             ------------    ------------     --------  
                                £'000           £'000           £'000 

Listed Investments             153,250         100,599         145,894
                                         
Current Assets:
Debtors                          3,570          40,387           1,432
Cash at bank                     2,696           2,010           6,266
                                ------          ------         -------
                                 6,266          42,397           7,698
Creditors: amounts
falling due within
one year                         5,190          19,072           2,404
                                ------          ------          ------
 
Net Current Assets               1,076          23,325           5,294
                                ------          ------          ------
                               154,326         123,924         151,188  

Creditors: amounts
falling due after
more than one year             (47,550)        (18,150)        (47,550)
                               -------         -------         -------
Net assets                     106,776         105,774         103,638
                               =======         =======         =======
         
CAPITAL AND RESERVES

Called up share
capital                          5,152           5,152           5,152

Share premium                   98,991          98,975          98,994

Redemption reserve               4,462           1,152           2,758

 Capital reserve
    -realised                   (3,328)           (429)         (2,133)
 Capital reserve
    -unrealised                  1,296             757          (1,150)

Revenue reserve                    203             167              17
                              --------          ------          ------
Total shareholders'
funds                          106,776         105,774         103,638
                              ========         =======         =======


Net asset value per
Income Share                    100.28p         100.24p         100.02p

Net asset value per
Zero Dividend
Preference Share                116.79p         107.70p         112.11p

Net asset value per
Geared Ordinary Share            85.48p          98.89p          77.94p



Consolidated Cash Flow Statement
for the six months ended 30 September 2000



                          Six months to   Period ended     Period ended
                          30 September    30 September       31 March
                              2000            1999             2000
                           (unaudited)     (unaudited)      (audited)
                              £'000           £'000            £'000

Cash inflow from
operating activities          3,386           2,186            4,368
 
Taxation
UK taxation paid                  -             (22)             (22)

Return on investments and
servicing of finance
Interest paid                (1,730)           (912)          (2,253)

Capital expenditure and 
financial investment
                             ------          ------          -------
Purchases of investments    (23,743)        (67,312)        (164,410)
Sales of investments         21,603          10,555           46,202
                             ------          ------          -------
                             (2,140)        (56,757)        (118,208)

Dividends paid               (3,086)         (1,405)          (3,554)
                             ------          ------          -------
                              
Cash outflow before  
management of liquid 
resources and financing      (3,570)        (56,910)        (119,669)

Management of liquid 
resources
Money market deposits
withdrawn/(placed)            2,428          (1,600)          (4,530)

Financing
Gross proceeds from          ------          ------           ------
issue of shares                   -          42,195           81,939
Issue expenses paid               -          (1,438)          (3,567)
Bank loans drawn down             -          18,150           47,550
                             ------          ------          -------
                                  -          58,907          125,922
                             ------          ------          -------
(Decrease)/increase in cash  (1,142)            397            1,723
                             ======          ======          =======

Reconciliation of net
cash flow to movement
in net debt
(Decrease)/increase in cash  (1,142)            397            1,723
Bank loans drawn down             -         (18,150)         (47,550)
Cash used to (decrease)/
increase liquid resources    (2,428)          1,600            4,530
                              -----          ------           ------
Change in net debt           (3,570)        (16,153)         (41,297)

Net (debt)/funds at
start of period             (41,284)             13               13   
                             ------          ------           ------
Net (debt)/funds at
end of period               (44,854)        (16,140)         (41,284)
                             ======          ======           ======

Liquid resources comprise short term money market deposits.

Approved by the board of Directors on 24 October 2000.

The Second Interim dividend in respect of the year ending 31 March 2001 will
amount to 2.86p per Geared Ordinary share and 2.05p per Income share.  The
dividend will be payable on 20 November 2000 to eligible shareholders on the
register at the close of business on 3 November 2000.