Transaction completion

EPIC Reconstruction PLC
17 November 2003

Monday 17th November 2003

                              PRESS RELEASE

                         EPIC RECONSTRUCTION PLC

     EPIC RECONSTRUCTION PLC BACKS MBO OF ABINGDON FLOORING FROM CARPETS
                    INTERNATIONAL (UK) RECEIVERSHIP

EPIC Reconstruction plc ('EPIC Reconstruction') today announces that on Friday
31st October 2003 it agreed terms to invest together with management in Abingdon
Flooring Limited ('Abingdon') a newly formed company incorporated for the
purpose of acquiring certain of the assets of Carpets International (UK) Limited
('CIL') which was in Administrative Receivership for an undisclosed sum.

Transaction:

Funding of the transaction was provided by EPIC Reconstruction, Euro Sales
Finance (Euro Sales) part of the Royal Bank of Scotland Group and State
Securities. Andrew Castle and Giles Brand led and structured the transaction on
behalf of EPIC Reconstruction. Management were advised by Corporate Solutions.
Ross McFarlane and Tom Flannery for Euro Sales provided the structured loan and
invoice finance facility.



Company:

Abingdon will manufacture medium to high quality wool and synthetic fibre
carpets at a facility in Newbridge, Gwent. Abingdon will market and further
develop its products under the Abingdon, Kossett and Wilton Royale brands.



Comments:

Speaking on behalf of the management team Jim Taylor said: 'The prospects for
Abingdon are extremely encouraging. The products produced under the Abingdon,
Kosset and Wilton Royale brands have proved to be robust sellers even in the
worst market conditions. The MBO has safe-guarded 285 jobs at Newbridge plant
and facilitates the continued supply of UK manufactured products to several
major customers.'

Giles Brand of EPIC Specialist Investments noted that: 'Abingdon has a
significant potential now it is freed from the encumbrance of previous head
office costs and unprofitable manufacturing plants. We wish management success
and look forward to working with them further to realise their ambitions.
Abingdon is EPIC Reconstruction's first transaction in the distressed finance
market, and we look forward to making many more investments of this type and
quality.'



Enquiries:

EPIC Specialist Investments: Giles Brand                       020 7984 8646

Haggie Financial: David Haggie                                 020 7417 8989


People:

Jim Taylor: Managing Director of Abingdon Flooring Ltd. Jim joined CIL as
Managing Director in November 2002. Prior to this he held positions at
Associated Weavers International as UK Managing Director and Sales Marketing
Director Rest of the World.



Giles Brand: Director of EPIC Specialist Investments and responsible for EPIC
Investment Partners' ('EIP') private equity interests. Prior to joining EIP he
worked for five years in London and Paris in the Mergers & Acquisitions
department of ING Barings.



Andrew Castle: Special adviser to EPIC Specialist Investments. He has over 25
years' experience in the Corporate Finance and Legal professions.



Ross McFarlane: UK Managing Director of Euro Sales possesses over 15 years
banking and financial services experience in various senior management
positions.



Tom Flannery: Director of Euro Sales and founder of the ESF Leeds Strategic
Business Unit.  He has 20 years experience within the banking and financial
services industry.



Notes to editors:



EPIC Reconstruction Plc: An Isle of Man registered company which raised £30
million in September 2003 to arrange financing for businesses emerging from
distressed situations. EPIC Reconstruction is managed by EPIC Specialist
Investments Limited part of EPIC Investment Partners.



EPIC Investment Partners: A growing fund management group employing an
experienced and highly successful team of investment professionals that offer
clients a range of high performance and often innovative investment solutions.



Euro Sales Finance: A specialist provider of factoring and invoice discounting
services, is a wholly owned subsidiary of The Royal Bank of Scotland Commercial
Services and part of The Royal Bank of Scotland Group. The acquisition of Euro
Sales Finance has provided RBS Commercial Services with an additional business
stream in the UK and an immediate foothold in France and Germany.



Corporate Solutions: A leading UK advisory business focussed on the
reorganisation of distressed companies.


                      This information is provided by RNS
            The company news service from the London Stock Exchange