AGM Statement

Grafton Group PLC
1 May 2002

                               Grafton Group plc

                       AGM Trading Statement and Outlook


The Group's consistent and focused strategy in building strong market positions
and brands across the UK and Ireland has created a broadly diversified earnings
base as a sound platform for continuing growth. Group results for the first
quarter have been positive and match our expectations.

In the UK, which is now our most important market, our merchanting businesses
have experienced strong growth in a favourable trading environment. Like for
like sales have increased, and since year end the Group added seven branches
bringing its merchanting network to over 180 locations. EuroMix, the Group's
silo mortar division, has also grown its turnover and profitability and
increased its market share.

In Ireland, trading conditions have been less favourable in the construction
sector, and as expected, this has affected the results of our building materials
businesses in the first quarter. Woodie's DIY continues to perform well, growing
its turnover and profits. The opening of two new stores in Newbridge and Tralee
in the summer as part of its expansion programme will bring to 14 the number of
Woodie's stores in Ireland.

Overall the Group is confident of further growth in profits in 2002.

Ends                                         1 May 2002


For reference

Michael Chadwick
Executive Chairman
Grafton Group plc
Telephone: (++353) [phone]

Joe Murray / Grainne O'Brien
Murray Consultants
Telephone: (++353) [phone]

Ginny Pulbrook
Citigate
Telephone: (++44) [phone]


  A copy of this statement is also available on our website www.graftonplc.com





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