Interim Results

Fidelity Special Values PLC
5 April 2001

FIDELITY SPECIAL VALUES PLC

Announcement of unaudited results for the six months ended 28 February 2001

Extract from the Interim Report

Chairman's Statement

Performance - Our Investment Management team at Fidelity, led by Anthony
Bolton, has continued to produce an excellent performance during the first six
months of our current year. Our fully diluted net asset value rose 11.0% to
265.14p per share and this compares with a fall of 10.6% in the FTSE All Share
Index, the index that we use as a benchmark against which we compare our
performance. There is no doubt that this is both excellent absolute as well as
relative performance. As I commented in the Chairman's Statement in last
year's Annual Report, your Board regard as important the achievement of
absolute capital gains - and this is what Fidelity has achieved in a difficult
market environment.

The Stockmarket Environment and Future Prospects - There has been a marked
change in stockmarket sentiment during the last six months. This is fuelled by
the fear that the extraordinary growth in the US economy, boosting as it did
growth of the global economy, was in part due to stock market excesses and
that therefore US and global economic growth will slow right down, with the
possibility of there being a recession. This in turn, it is feared, will cause
a decline in corporate profits (and we are seeing an increasing number of
corporate profits warnings), causing a further decline in share prices.

Thus for the first time in many years, investors are concerned about a bear
market that may not only severe in its extent but also quite long-lasting. The
origins of the current situation undoubtedly stem from the excessive optimism
and ridiculous valuations concerning the shares of many companies,
particularly those of technology, media and telecommunications companies. The
excess optimism seems to have given way to excess pessimism with most markets
in the world having fallen significantly during the past 12 months.

Whilst your Board of Directors is concerned about the situation, they do not
feel that it should result in an extended global recession. The central banks
of most major countries are aware of the need to provide monetary liquidity to
their economies, and are doing so, and their fiscal policies are also quite
expansive. So, while global economic growth - and that includes the UK's
economic growth - may well slow down during 2001, it seems reasonable to
suppose that it will recover in 2002. If so, stockmarkets should begin to
recognise the prospects for recovery and start recovering themselves.

In any event, Anthony Bolton finds that there are plenty of reasonably valued
special situations in the UK market and that gives your Board of Directors
confidence that, in anything but the short-term, we will be able to continue
to produce good absolute, as well as relative, returns for our shareholders.

Alex Hammond-Chambers

Chairman

5 April 2001

Enquiries: Barbara Powley - Fidelity Investments International 01737 836883





Fidelity Special Values PLC

Statement of Total Return (incorporating the revenue account)

for the six months ended 28 February 2001 and 29 February 2000 - unaudited

                                             2001                  2000
                                  revenue capital total revenue capital  total

                             notes  £'000   £'000  £'000  £'000   £'000  £'000

Gains on investments                    -  10,315 10,315      -   3,853  3,853

Income                           3  1,488       -  1,488  1,559       -  1,559

Investment management fee            (609)      -   (609)  (489)      -   (489)
Other expenses                       (136)      -   (136)  (178)      -   (178)
Exchange gains/(losses)                 -      36     36      -     (14)   (14)
Repurchase of warrants                  -       -      -      -     (64)   (64)

Net return before finance             743  10,351 11,094    892   3,775  4,667
costs and taxation

Interest payable                     (599)      -   (599)  (355)      -   (355)
Revaluation of Loan Stock               -       -      -      -  (1,049)(1,049)

Return on ordinary activities         144  10,351 10,495    537   2,726  3,263
before taxation

Tax on ordinary activities             12       -     12     (2)      -     (2)

Return on ordinary activities    4    156  10,351 10,507    535   2,726  3,261
after tax for the period,
transferred to reserves

Return per ordinary share        5
Basic                               0.44p  29.15p 29.59p  1.51p   7.67p  9.18p
Fully-diluted                       0.39p  25.84p 26.23p  1.43p   7.26p  8.69p

These accounts have been prepared in accordance with the AITC Statement of
Recommended Practice (SORP) issued in December 1995


Balance Sheet
                                                    28.02.01  31.08.00 29.02.00

                                              notes unaudited audited unaudited


                                                        £'000   £'000     £'000
Fixed assets

Investments                                           112,281 104,522    87,431


Current assets

Debtors                                                 1,548     398     1,299

Cash at bank                                            6,982   3,650       534

                                                        8,530   4,048     1,833

Creditors - amounts falling due within one
year

Fixed rate unsecured loans                        6    (6,000) (6,000)   (2,500)
Other Creditors                                        (2,814) (1,527)   (1,131)
                                                       (8,814) (7,527)   (3,631)
Net current liabilities                                  (284) (3,479)   (1,798)

Total assets less current liabilities                 111,997 101,043    85,633


Creditors - amounts falling due after more        6   (10,000)(10,000)  (10,000)
than one year

Total net assets                                      101,997  91,043    75,633

Capital and reserves

Called up share capital                                 8,951   8,839     8,852
Capital redemption reserve                                404     404       392
Share premium account                                  24,558  24,098    24,098

Other reserves

Warrant reserve                                         1,200   1,325     1,358
Capital reserve - realised                             54,694  49,074    42,390
Capital reserve - unrealised                           10,859   6,128    (3,028)
Revenue reserve                                         1,331   1,175     1,571

Total equity shareholders' funds                      101,997  91,043    75,633

Net asset value per ordinary share:               7

Basic                                                 284.87p 257.49p   213.61p
Fully-diluted                                         265.14p 238.93p   199.93p

The balance sheet as at 31 August 2000 has been extracted from the accounts
for the year ended 31 August 2000 which have been delivered to the Registrar
of Companies and on which the auditors gave an unqualified report.



 Cash Flow Statement

for the six months ended 28 February 2001 and 29 February 2000 - unaudited
                                                               2001       2000
                                               notes          £'000      £'000
Operating activities
Investment Income                                             1,221      1,449
Underwriting commission                                           -          6
Deposit interest                                                112         52
Investment management fee                                      (600)      (499)
Directors' fees                                                 (29)       (20)
Other cash payments                                            (135)       (96)

Net cash inflow from operating activities          8            569        892

Returns on Investment and servicing of finance                 (609)      (336)

Interest paid

Net cash outflow from servicing of finance                     (609)      (336)

Tax recovered/(paid)                                             12        (60)

Financial Investment
Purchase of investments                                     (22,510)   (31,810)
Realised currency gain/(loss)                                    26        (14)
Disposal of investments                                      26,200     37,995

Net cash inflow from financial investment                     3,716      6,171

Equity dividend paid                                           (813)      (817)

Net cash inflow before financing                              2,875      5,850

Financing

Repurchase of ordinary shares                                     -       (398)
Repurchase of warrants                                            -        (98)
Exercise of warrants                               9            447        145
Repayment of Equity Index-Linked Loan Stock                       -    (17,620)
Fixed rate unsecured loan drawn down                              -     12,500

Net cash inflow/(outflow) from financing                        447     (5,471)

Increase in cash                                              3,322        379


Notes

1.    Accounting policies - The interim financial statements have been prepared
      on the basis of the accounting policies set out in the Company's annual
      report and accounts dated 31 August 2000.

2.    Franked investment income - Franked dividends are accounted for net of
      any tax credit. This is in accordance with Financial Reporting Standard
      16 'Current Taxation' which has replaced Statement of Standard Accounting
      Practice 8. Under the latter standard, dividends (other than foreign
      income dividends) were recognised inclusive of an attributable tax credit
      which also formed part of the tax charge. The effect of this change is
      that the return on ordinary activities before taxation is £103,000 lower
      (2000: £133,000 lower).

3.    Income - for the six months ended 28 February 2001 and 29 February 2000

                                                                2001       2000
      UK dividends                                               927      1,195
      UK scrip dividends                                         347        237
      Overseas dividends                                          65         61
      Overseas scrip dividends                                    28          8
      Interest                                                     9          -
      Deposit interest                                           112         52
      Underwriting commission                                      -          6
                                                               1,488      1,559

4.    Return on ordinary activities - Attributable to equity shareholders.

5.    Return per ordinary share - Basic returns per ordinary share are based on
      the return on ordinary activities after taxation of £156,000 (2000: £
      535,000) and the capital appreciation in the period of £10,351,000 (2000:
      £2,726,000) and on 35,503,381 ordinary shares (2000: 35,515,582), being
      the weighted average number of shares in issue during the period.
      According to the provisions of FRS14, the fully-diluted returns have been
      calculated on the assumptions that the warrants in issue were converted
      on the first day of the financial period on a weighted average basis for
      the period over which they were outstanding, and that the proceeds from
      conversion have been used by the Company to purchase its own shares at a
      fair market price.

6.    Loan Facility - On 28 January 2000, the Company drew down a fixed rate
      loan facility of £10 million at an interest rate of 7.82% per annum
      repayable after five years. The Company has also put in place a five year
      committed revolving credit facility for up to £6 million. An amount of £6
      million has been drawn down for value on 1 February 2001 for a period of
      six months under this facility, at a fixed interest rate of 6.43484%
      (2000: £2.5 million).

7.    Net asset value per share - The basic net asset value per ordinary share
      is based on net assets of £101,997,000 (31.08.2000: £91,043,000;
      29.02.2000 £75,633,000) and on 35,804,506 (31.08.2000: 35,357,755;
      29.02.2000: 35,407,755) ordinary shares, being the number of ordinary
      shares in issue at the period end.
      The fully-diluted net asset value per share has been calculated on the
      assumption that the outstanding warrants of 4,277,374 at 28 February 2001
      (31.08.2000: 4,724,125; 29.02.2000: 4,844,125) were exercised on that
      date. This basis of calculation is considered to be more appropriate than
      the basis given in FRS14 as it is consistent with the calculation of
      fully-diluted net asset value which is prepared in accordance with the
      guidelines laid down by the Association of Investment Trust Companies and
      is provided to the London Stock Exchange on an ongoing basis.

8.    Reconciliation of net revenue before finance costs and taxation to net
      cash flow from operating activities - for the six months ended 28
      February 2001 and 29 February 2000

                                                               2001       2000
      Net return before finance costs and taxation              743        892
      Scrip dividends                                          (375)      (245)
      Increase in other creditors                                33         52
      Decrease in other debtors                                 173        188
      Tax on investment income                                   (5)         5
                                                                569        892

9.    Exercise of warrants - On 2 January 2001, 446,751 ordinary shares of 25p
      per share were issued and allotted, fully paid at a price of 100p,
      following an exercise of warrants. The number of warrants in issue at 28
      February 2001 was 4,277,374 (31.08.2000: 4,724,125; 29.02.2000:
      4,844,125).