Interim Results

Creston PLC
29 December 2000


CRESTON PLC

INTERIM REPORT FOR THE SIX MONTH PERIOD TO 30 SEPTEMBER 2000

CHAIRMAN'S STATEMENT


During the six months ended 30 September 2000 your Board continued to
consider its two options of returning the maximum possible cash to shareholders
or setting your company along a new strategic direction. The property portfolio
was sold in March 2000, special dividends amounting to 68.5p per ordinary share
have already been paid in cash and the shares in Industrial & Commercial Holding
plc, which held Creston's one remaining investment property, have been
distributed to shareholders in specie.

Your Board was also pleased to announce on the 20 December that Creston had sold
all of its interest in its subsidiaries for £2,867,306 payable in cash. The
disposal will result in a group profit on disposal not exceeding £78,000. Your
Board is convinced that this transaction is in the best interest of Creston as
it will allows your directors to concentrate on the present and future rather
than worrying about the Creston's past as a property company.

The results for the six months ended 30 September 2000 show a modest profit
before tax of £47,000 (six months 31 December 1999 -Loss £5,416,000). The only
major transaction was the completion of the sale of one property in Telford.
This was part of the portfolio of properties sold to Ashtenne Holdings plc, but
because of special conditions attaching to the sale completion Creston was
unable to account for the transaction in its accounts to the 31 March 2000.

After careful consideration, your Board has decided that neither a capital
reorganisation nor liquidation, which would be necessary to return further cash
to shareholders, could be implemented either expeditiously or cheaply and as a
result is not in the best interests of shareholders. Consequently your Board has
been engaged in a search for suitable acquisitions setting your company along a
new strategic path. It is your Boards hope that they will be able to announce
such an acquisition shortly.

DAVID MARSHALL
Chairman
29 December 2000

CRESTON PLC

GROUP PROFIT AND LOSS ACCOUNT

                                Audited six     Unaudited six    Audited nine
                                months to 30    mouths to 31     months to 31
                                September       December         March
                                2000            1999             2000
                                £'000           £'000            £'000
Turnover                               1,333              2,876         5,037

Cost of sales                         (1,200)              (765)       (2,282)

Gross profit                             133              2,111         2,755

Administrative expenses                 (402)              (824)       (1,127)

Operating (loss)/profit                 (269)             1,287         1,628

Loss on disposal of investment
properties                                 -                353         (174)

Exceptional losses arising from disposal
of property portfolio                      -             (4,833)      (4,322)

Exceptional costs arising on closure of
property operations                        -              (458)         (444)

Loss on ordinary activities before
interest                                (269)            (3,651)      (3,312)
Net interest receivable/(payable)        316             (1,759)      (1,942)

Profit/(loss) on ordinary activities
before tax                               47              (5,410)      (5,254)
Tax                                       -                   -            -

Profit/(loss) for the period             47              (5,410)      (5,254)

Dividends                                 -                  (6)      (6,581)

Retained profit/(loss) for the period    47              (5,416)     (11,835)

Basic earnings/(loss) per share         0.5p             (61.6p)      (59.2p)

CRESTON PLC

GROUP BALANCE SHEET

                                Audited to      Unaudited to 31  Audited to
                                30 September    December 1999    31 March
                                        2000                         2000
                                       £'000            £'000       £'000


Fixed assets

Investment properties                     86          35,248       1,086
Other tangible assets                      3              24          12

                                          89          35,272       1,098
Current assets
Stocks                                     -           2,665       1,200
Debtors                                2,434             895       2,385
Cash at bank and in hand               9,985             119      13,579

                                      12,419           3,679      17,164

Creditors - amounts filling due within
one year                              (4,154)         (5,098)    (10,038)

Net current assets                     8,265          (1,419)      7,126

Total assets less current liabilities  8,354          33,853       8,224

Creditors - amounts falling due after
more than one year                        -          (20,037)          -

Net assets                            8,354           13,816       8,224

Capital and reserves

Called up share capital                 960             890          952

Share premium accounts                3,490           2,620        3,415

Revaluation reserve                       -           7,019            -

Special reserve                       2,385           1,591        2,385

Other reserve                         1,385           1,562        1,385

Capital redemption reserve               72              72           72

Profit and loss account                  62              62           15

Shareholders funds                    8,354          13,816        8,224

CRESTON PLC

GROUP CASHFLOW

                                Audited to      Unaudited to 31  Audited to
                                30 September    December 1999    31 March
                                        2000                         2000
                                       £'000            £'000       £'000



Net cashflow from 
operating activities                 (1,454)             (578)     2,327

Returns on investments and 
 servicing of finance
Net interest received/(paid)           316             (1,759)   (1,767)

Exceptional costs paid relating to
redemption of loans                      -                  -    (1,085)

                                       316             (1,759)   (2,852)

Capital expenditure and financial investment

Additions to investment properties       -                 -     (2,042)

Sale of investment properties        1,000              1,850    34,831

Sale of plant, vehicles and equipment    -                  -         7
                                     1,000              1,850    32,796

Equity dividends paid               (3,456)              (262)     (268)
Management of liquid resources       3,440                  -   (12,950)

Net cash (outflow)/inflow before financing
                                      (154)              (749)   19,053
Financing
Issue of share capital                  83                101       158
Repayment of loans                       -                  -   (19,349)
Repurchase of 6% convertible redeemable
unsecured loanstock                    (83)                 -         -

Net cash inflow/(outflow) from financing -                101   (19,191)

Decrease in cash                      (154)              (648)     (138)

CRESTON PLC

STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES

                                  Audited to Unaudited to  Audited to
                                30 September  31 December    31 March
                                        2000         1999        2000
                                       £'000        £'000       £'000

Profit/(loss) for the financial period    47       (5,410)     (5,254)
Unrealised surplus on revaluation of
properties                                 -        1,229       1,229
Prior period revaluation charged to 
profit and loss account in period          -        1,637       1,784

Total recognised gains and losses for the
period                                    47       (2,544)     (2,241)

1      BASIS OF PREPARATION

      The principal accounting policies of the group are set out in the group's
      2000 annual report and financial statements. The policies have remained
      unchanged from the previous annual report.

2     DIVIDENDS

                                 Audited to    Unaudited to  Audited to
                               30 September    31 December   31 March
                                       2000         1999       2000
                                      £'000        £'000      £'000

       Additional dividend charge 
       relating to 1999 final dividend 
       of 3p per share                    -            6          6
       Special dividend paid 
       5 May 2000 of 36p
       per share                          -            -      3,456
       Proposed final dividend 
       32.5p per share                    -            -      3,119
                                          -            6      6,581

3     EARNINGS/(LOSS) PER SHARE

      The calculation of the basis earnings/(loss) per share is based on the
      profit/(loss) attributable to ordinary shareholders divided by the
      weighted average number of shares in issue for each period,

4     CASH AND LIQUID RESOURCES
                                  At 1 April   Cash flow         At 30
                                        2000            September 2000
                                       £'000    £'000            £'000
           Cash at bank and in hand              (154)
           Short term treasury 
           deposits                   12,950   (3,440)           9,510
                                      13,579   (3,594)           9,985

      Liquid resources comprise short term treasury deposits of less than one
      month.
 
5     POST BALANCE SHEET EVENTS

      Following the period end the shares of Industrial & Commercial Holdings
      plc ('ICH') were distributed to Creston Shareholders, in the form of a
      dividend in specie, on the basis of one share in ICH for every share held
      in Creston.

      On 20 December 2000 Creston sold a number of its subsidiaries for a cash
      consideration of £2,867,306. The directors estimate that this transaction
      will result in a profit on disposal not exceeding £78,000.

6     COPIES OF THE INTERIM STATEMENT

      Copies of the interim statement will be sent to shareholders. Further
      copies will be available from the company's registered office for the
      next 14 days.

7     PUBLICATION OF NON-STATUTORY ACCOUNTS

      The financial information set out in this interim report does not
      constitute statutory accounts as defined in Section 240 of the Companies
      Act 1985.

      The financial information for the period ended 31 March 2000 has been
      extracted from the Group's statutory accounts for that year which
      contained an unqualified audit report and which have been filed with the
      Registrar of Companies.

      The financial information for the period ended 30 September 2000 has been
      extracted from non-statutory interim financial statements for that        
      period which have been audited by the Company's auditors. The auditors'   
      report, which was addressed to the directors of Creston PLC, was          
      unqualified.