Acquisition

Headlam Group PLC
01 November 2002



For immediate release 1 November 2002


                               Headlam Group plc


Headlam Group plc ('Headlam'), the leading UK floorcoverings distributor,
announces that on Thursday, 31 October it acquired the business and certain
assets and liabilities of Wolff Contract Carpet Mills Limited ('Wolff'), a
national supplier of contract floorcoverings located in County Durham.


Wolff will be relocated to Headlam's distribution centre in Tamworth, increasing
it's commercial market presence and is in keeping with the group's strategy of
operating multiple trade brands from existing facilities to achieve improved
operating efficiencies and an enhanced market presence.


Initial consideration based on the net assets acquired was £185,000 in cash,
subject to a further payment of c£40,000 once the net assets are finalised.
Turnover for the year ended 31 September 2002 was £2.6m.


End

1 November 2002


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