AGM Statement

Genus PLC
23 August 2001

Embargoed for release at 2.00pm 23 August 2001





                                  GENUS PLC



                           CHAIRMAN'S AGM STATEMENT





At the Annual General Meeting of Genus plc ('Genus') to be held today at 2.30
p.m., the Chairman, John Beckett, will update shareholders on current trading
conditions.  He will say:



'The impact on the Group from foot and mouth disease has not been as severe as
indicated in the overview of forward trading given with the preliminary
announcement of results for the year ended 31 March 2001.



Despite the disease continuing, the mitigating actions taken and the strong
international reputation of the company's largest division, Breeding, have
completely offset the predicted effect on first quarter trading.  This
division has performed strongly in its international markets and has benefited
from an improved mix in the UK, as farmers have sought to increase the
proportion of dairy replacements.



However, as indicated in the trading statement issued on 3 April, in the
smaller sized Consulting Division, mitigation of foot and mouth has been less
easy.  In the UK agricultural and related sectors (about 50% of the consulting
business), the deferral of consultants' visits to farms and the delays or
suspension of UK Government sponsored and multi-national client consultancy
projects have reduced fee income.  The loss making software subsidiary, Hylton
Nomis, has now been sold for a consideration slightly below its net asset
value.  However, there will be a £1 million write-off of unamortised goodwill.'



He will go on to say,  'We are pleased that the Distribution Division is now
showing signs of the slow recovery we expected, despite the veterinary
distribution market remaining flat.  We announced on 9 July 2001 that we had
been awarded a product licence from the Veterinary Medicines Directorate (VMD)
for an inhalation anaesthetic, Isoflurane, which is marketed under the trade
name Isocare.  The UK market for inhalation anaesthetic for small animals is
currently worth approximately £7 million per annum.  Isocare is one of a few
products competing in the sector and sales since its launch have been in line
with expectations.



Over the last two years, Genus has taken a minority interest in Gensel
Biotechnologies Limited ('Gensel'), a company listed on the Canadian Venture
Capital Exchange, to gain certain commercial rights to its semen sexing
technology in the cattle sector.  The book value in the Group's balance sheet
of the accumulated investment is £1.809 million.  Since the end of the
financial year on 31 March 2001, the quoted value of that investment has
fallen sharply and, in line with the reduction in value, the Board has decided
to make a provision in the Group's balance sheet as at 30 September 2001.  In
the meantime, we will be reviewing the options for the development of this
patented technology.'



He will conclude by saying, 'Although the foot and mouth outbreak in the UK is
likely to continue for some months, the strength of Genus' international
Breeding Division, which is the world's market leader, gives me great
confidence in the robustness of the company and hence in our ability to
continue to contain the impact on profits of this exceptional situation to
well within the £3 million included in the Broker's forecast.  Once foot and
mouth is fully eradicated, we will be looking forward to the predicted upturn
in the UK agricultural market so that the Consulting Division can recover.  In
the meantime, we expect the Distribution Division to continue the recovery
progress it has shown to date.'








For further information:

Genus                                                Tel:  + 44 (0)1270 536 500
Richard Wood, Chief Executive
Philip Acton, Finance Director

Buchanan Communications                              Tel:  + 44 (0)20 7466 5000
Charles Ryland