Trading Statement

Carclo PLC
22 October 2001



22 October 2001


                                  CARCLO plc


Carclo Technical Plastics Reorganisation


Carclo plc announces the completion of its review of UK manufacturing capacity
following the demand reduction for telecom components.  On 19 September we
announced the closure of two businesses and action at a third, CTP Alan, to
reduce its cost base.  We have now completed consultations with the affected
employees and can confirm that the reorganisation of CTP Alan will result in
an exceptional charge of £1.3 million.  In addition, we have concluded that
the goodwill provisionally associated with this business is fully impaired and
will result in a charge to the profit and loss account of some £6.0 million.


Trading update


On 3 December 2001 we will be announcing our interim results for the six
months to 30 September 2001.  We expect these to show operating profits from
ongoing businesses of £3.9 million (2000:  £6.0 million) before central costs
of £0.6 million, exceptional items of £5.3 million and goodwill amortisation.
The interest charge is expected to be around £1.6 million.



We expect trading in the second half to remain challenging but the elimination
of loss making activities achieved by this reorganisation puts the group in a
good position to meet these challenges.



In these uncertain times the Board of Carclo remains committed to taking early
action to control costs and preserve cash to ensure that our core businesses
have the resources to grow and prosper.  Accordingly, the Board is now
reviewing the appropriateness of maintaining the interim dividend at last
year's level of 3.44p per share.



                                   - End -


For further information please contact:

Carclo plc

Ian Williamson, Chief Executive             01924 330 500
Chris Mawe, Finance Director


Golin/Harris Ludgate
Richard Hews/Trish Featherstone             0207 324 8888