Acquisition, etc.

Fisher (James) & Sons PLC
17 July 2000


            James Fisher to invest £40 million
               in two new Cable Laying Ships

Leading  specialist shipping group James Fisher  and  Sons
Public Limited Company ('James Fisher') is set to increase
its  presence in the growing cable laying market with  the
purchase of two ships currently undergoing conversion work
at  the Rijeka yard of Croatian shipbuilders Viktor Lenac.
The  total  cost  of each vessel, including  the  purchase
consideration  and conversion costs, will be approximately
£20m.

On  completion,  which is expected to be mid-October  2000
for  one  ship  and end December 2000 for the  other,  the
vessels will be chartered to it-International Telecom USA,
a  subsidiary  of  General  Dynamics  Advanced  Technology
Systems, a US company whose activities include the  laying
of telecommunications cable.

As  part  of  its  specialist shipping  activities,  James
Fisher, a leader in the ownership and management of  small
to  medium  sized  clean product tankers  in  the  UK  and
Europe, already operates a highly successful cable  laying
ship,  the 'Nexus', currently on time charter with  Global
Marine  Systems Limited.  James Fisher sourced, purchased,
designed  and  supervised the conversion of the  Nexus  in
1993.   The  ship  has consistently performed  technically
above  specification, has been under regular charter since
conversion and makes a significant contribution  to  group
profits.

Commenting, David B. Cobb, Chairman of James Fisher, said:
'We are delighted to be increasing our involvement in this
growing  sector  of  the market and in  particular  to  be
forming a strong partnership with it-International Telecom
USA.

'Worldwide  cable  laying activity is expected  to  remain
high,   driven   by  the  growing  use  of   fibre   optic
telecommunication   cable.   The  new   vessels,   Oceanic
Princess  with  5,000  tonnes of cable  capacity  and  the
Oceanic  Pearl with 3,000 tonnes, effectively will  double
our participation in this market and provide a significant
contribution to group profitability going forward.'

Don Dean, President of it-International Telecom USA, said:
'We   are   expanding  our  cable  laying  activities   in
international waters and chose James Fisher as  a  partner
because  we  were  well  aware of  its  expertise  in  the
ownership  and  management  of  ships  for  a  variety  of
specialist purposes.  We look forward to a long and  happy
association with the company.'

The  consideration for the purchase and conversion of  the
two  vessels will be financed from James Fisher's existing
cash  resources  and  from a new  loan  facility,  secured
principally by mortgages on the vessels.  Each vessel will
be  the  subject  of a firm five year time  charter,  with
further options to extend on the charterer's behalf.

After operating and financing costs and depreciation,  the
two  vessels  being  acquired are expected  to  contribute
significantly to group profitability.



Current Trading and Prospects

In  a letter to shareholders setting out the terms of  the
purchase, Mr Cobb says:.

  'Overall,  current trading is in line with expectations,
with  the  group's  ships  working  satisfactorily.    The
directors  are  confident  about  the  prospects  for  the
group.'

The  board expects to announce the interim results for the
group  for  the six months ended 30 June 2000 in September
2000.

A   circular   has  been  despatched  to  James   Fisher's
shareholders containing details of the proposed investment
and calling a meeting of the Company on Monday 31 July  to
approve it.




Press Enquiries:

David B. Cobb CBE
James Fisher and Sons Public Limited Company
Tel: [phone]

Brad Waters
Vice President
Finance & Information Systems
General Dynamics Advanced Technology Systems
Tel:  [phone]
Fax: [phone]