Final Results

Harrier Group PLC
4 March 2002



                               HARRIER GROUP PLC

         PRELIMINARY RESULTS ANNOUNCEMENT YEAR ENDED 31ST DECEMBER 2001



CHAIRMAN'S STATEMENT

FOR THE YEAR ENDED 31 DECEMBER 2001


I am pleased to announce that we have successfully built on the progress made at
the half year, in the face of challenging business conditions.

Our revenues for the year ended 31 December 2001 increased by 52.7% to
£17,052,456 (2000: £11,163,749), enabling us to report an operational loss
before exceptional severance costs and goodwill of £48,172, (2000: £526,708).

Summary of Trading Highlights for the year ended 31 December 2001:

                                                                                      2001                  2000
                                                                                         £                     £

Turnover                                                                        17,052,456            11,163,749

Earnings/(Loss) before interest, tax, depreciation and amortisation ('             199,526             (328,456)
EBITDA')

Depreciation                                                                     (247,698)             (198,212)

Net Operating Loss before goodwill, amortisation and exceptional service          (48,172)             (526,668)
costs

Net Interest Received                                                               80,634               111,814

Net Trading Profit/(Loss) before goodwill, amortisation and exceptional             32,462             (414,854)
service costs


The demanding task of continuing the evolution of the business mix of the Group
in favour of professional and managed services combined with the increasing
efficiencies is showing good progress, with turnover for these services
increasing to £6.26m during the year from £3.88m in the previous year.  We have
maintained tight control over expenditure while developing the sales and
professional services departments, placing greater emphasis on the recruitment
and retention of service and solutions focussed personnel.

During the year we delivered the largest project in the Group's history - the
provision of the design, technology and supporting consultancy services of a
major network infrastructure installation for a global corporate client.  Our
membership of industry organisations such as the Information Security Forum, the
Information Assurance Advisory Council and the Fibre Channel Industry
Association has enabled us to provide this solution along with a range of other
ground breaking services, many of which we have provided to the 80 new clients
which have been added to the Group's customer base during 2001.

We have continued to increase our focus on expanding our technical and
commercial capabilities and developing our strategic technology offering.  Our
service delivery capabilities have grown with an additional concentration on
accreditations and industry endorsements.  This greatly increases the value of
our offering to our client base.

We completed the acquisition of IKAN in early January 2002, which adds
extensively to our services capabilities and also enables us to develop a two
tier channel model for our Operational Risk and Training services.

I would like to thank the staff and management of Harrier for continuing to
refine and execute our strategy and for the excellent progress made during the
year.

Harrier continues to have a strong prospect list with high levels of activity.
Without doubt events during the latter part of 2001 have produced both
uncertainties and opportunities in the market and we firmly believe that these
events will create continued demand for the Group's portfolio of services.

As the company continues to refocus in order to grow profits, revenue targets
for 2002 are weighted towards the second half of the year and we look forward to
the future with confidence.


A L R Morton
Chairman

4th March  2002


CONSOLIDATED PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2001

                                                                                      2001                  2000
                                                                                         £                     £

Turnover                                                                        17,052,456            11,163,749
Cost of sales                                                                 (10,207,318)           (6,274,993)

Gross profit                                                                     6,845,138             4,888,756
Administration expenses                                                        (6,893,310)           (5,415,464)

Operating loss before goodwill amortisation and exceptional severance             (48,172)             (526,708)
costs

Exceptional severance costs                                                      (187,479)             (275,622)
Amortisation of goodwill                                                         (989,733)             (635,007)

Operating loss                                                                 (1,225,384)           (1,437,337)

Interest receivable                                                                807,674               646,602
Interest payable                                                                 (727,040)             (534,788)

Loss on ordinary activities before taxation                                    (1,144,750)           (1,325,523)

Taxation                                                                                 -                     -

Loss for the financial year                                                    (1,144,750)           (1,325,523)

Basic loss per share                                                               (4.00p)               (5.16p)

Diluted loss per share                                                             (3.59p)               (4.76p)

IIMR 'headline' loss per share                                                     (0.54p)               (2.69p)


CONSOLIDATED BALANCE SHEET
AS AT 31 DECEMBER 2001


                                                     2001                               2000
                                                     £                 £                £                 £

Fixed assets
Intangible assets                                             17,878,082                         18,867,815
Tangible assets                                                  798,209                            790,671
                                                              18,676,291                         19,658,486

Current assets
Stocks                                          21,140                             34,249
Debtors                                      3,173,711                          2,672,693
Cash and bank balances                       2,275,448                          2,443,310
Term deposit                                14,000,000                         14,000,000
                                            19,470,299                         19,150,252

Creditors: Amounts falling due within      (4,045,314)                        (3,567,859)
one year

Net current assets                                            15,424,985                         15,582,393

Total assets less current liabilities                         34,101,276                         35,240,879

Creditors: Amounts falling due after                        (14,000,000)                       (14,000,000)
more than one year

Net assets                                                    20,101,276                         21,240,879

Capital and reserves
Called up share capital                                          287,197                            286,237
Share premium account                                         23,939,703                         23,935,516
Capital redemption reserve                                       268,972                            268,972
Profit and loss account                                      (4,394,618)                        (3,249,868)

Equity shareholders' funds                                    20,101,254                         21,240,857
Minority interests                                                    22                                 22

Total shareholders' funds                                     20,101,276                         21,240,879




CONSOLIDATED CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2001

                                                    2001                               2000
                                                     £                £                 £                 £

Net cash inflow from operating                                  367,222                             192,029
activities

Returns on investments and servicing
of finance
Interest received                              807,674                            646,602
Interest paid                                (727,040)                          (534,788)
                                                                 80,634                             111,814

Taxation
Corporation tax paid                                          (257,840)                            (51,844)

Capital expenditure and financial
investment
Purchases of tangible fixed assets           (290,685)                          (480,857)
Sales of tangible fixed assets                  35,449                            106,284

Net cash outflow from investing                               (255,236)                           (374,573)
activities

Acquisitions and disposals
Purchase of subsidiary undertaking                   -                          (112,500)
Net cash acquired with subsidiaries                  -                            578,476

                                                                      -                             465,976

Net cash (outflow)/inflow before                               (65,220)                             343,402
financing

Financing
Issue of ordinary share capital                  5,147                         14,761,490
Costs of issue of ordinary share                     -                          (594,465)
capital
Issue of shares to minority                          -                                 22
Other loans repaid                                   -                           (27,455)
Hire purchase loans repaid                    (16,834)                           (21,522)

                                                               (11,687)                          14,118,070

(Decrease)/Increase in cash                                    (76,907)                          14,461,472

Reconciliation of net cash flow to
movement in net funds
(Decrease)/Increase in cash in the                             (76,907)                          14,461,472
year
Change in net debt resulting from                                16,834                              48,977
cashflows
Loan notes issued for acquisition of                                  -                        (14,000,000)
subsidiaries
Finance leases acquired with                                          -                            (19,276)
subsidiaries
Debt acquired with subsidiaries                                       -                            (27,455)

Movement in net funds in the year                              (60,073)                             463,718
Net funds at start of year                                    2,335,521                           1,871,803

Net funds at end of year                                      2,275,448                           2,335,521



NOTES TO THE FINANCIAL INFORMATION
FOR THE YEAR ENDED 31 DECEMBER 2000


1.      The preliminary announcement of results has been prepared under the
historical cost convention in accordance with the Group's accounting policies
for the year ended 31 December 2001.

2.      The above financial information does not constitute statutory accounts
as defined in Section 240 of the Companies Act 1985. The summarised balance
sheet at 31 December 2001 and the summarised profit and loss account and cash
flow statement for the year then ended have been extracted from the Group's
financial statements. These financial statements have not yet been delivered to
the Registrar of Companies.

3.      A total of 96,001 shares were issued in November 2001 as a result of
employees exercising their share options under the Unapproved Share Option
Scheme.

4.      The calculation of basic and diluted loss per ordinary share of 1p each
is based on the loss on ordinary activities after taxation and minority
interests of £1,144,750 divided by the weighted average number of ordinary
shares of 1p each 28,635,968 (basic) and 31,867,048 (diluted). The IIMR
'headline' loss per share is the basic figure excluding the goodwill
amortisation and is therefore based on a loss of £(155,017) and a weighted
average number of shares of 28,635,968.

5.      Reconciliation of loss to net cash inflow from continuing operating
activities

                                                   2001                    2000
                                                      £                       £
Operating loss                               (1,225,384)             (1,437,337)
Amortisation of goodwill                        989,733                 635,007
Depreciation                                    221,027                 150,314
Loss on sale of fixed assets                     26,671                  47,904
Decrease in stock                                13,109                 634,444
Increase in debtors                            (501,018)               (332,875)
Increase in creditors                           843,084                 494,572

Net cash inflow from operating activities       367,222                 192,029


6.      All of the Group's activities are classed as continuing and there are no
gains and losses other than disclosed above.

7.      No dividends are proposed or were paid during the period.

8.      The Annual General Meeting will be held at 12.00pm on 25 April 2002 at
the Novotel London West, 1 Shortlands, London W6 8DR

9.      The Report and Accounts will be sent to shareholders on, or  before 25
March 2002. Further copies may be obtained on application to the Company's
Registered Office (Pacific House, Imperial Way, Reading, Berkshire RG2 0TD) or
will be available for collection at the same address for a period of 1 month
from the date of publication.


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