Interim Management Statement

Hill & Smith Hldgs PLC
09 May 2008

AGM and Interim Management Statement


Hill & Smith Holdings PLC is today issuing its first Interim Management
Statement ahead of its Annual General Meeting to be held at 11.00 a.m. 9th May
2008 at the National Motorcycle Museum, Solihull. This Interim Management
Statement covers the period from 1 January 2008 to 9 May 2008.


Group Overview

The positive momentum reported in our Report & Accounts for the year ended 31
December 2007 has continued with our core markets benefitting from healthy
demand in each of the three divisions of the Group. The resulting sales growth
continues to demonstrate the benefit of the Group's innovative product
development strategy and provides confidence in its future growth prospects.


Divisional Overview

Infrastructure Products Group ('IPG')

During the period the IPG division has experienced robust demand for its core
products, particularly for its temporary crash barrier, 'Varioguard'. Similarly,
our pipe supports business continues to benefit from the sale of the engineering
products required for the growing liquid natural gas market and the location of
its low cost Thai operating facilities. Techspan has received its first order
call-off for the Highways Agency variable message signage contract and we have
successfully launched our innovative temporary car parking solution, 'TopDeck',
with an order from a major UK airport.


Galvanizing Services

Volumes are consistent with prior year and margins have been maintained. The
price of zinc used in the companies galvanizing processes has reduced to a more
realistic base level and continued to fluctuate with a downward trend during the
period.

The Voigt & Schweitzer operation in the USA has advanced its plans to expand its
plant capacity in Delaware to service its growing customer base.


Building and Construction Products

Overall, demand for the division's products has been healthy, particularly for
industrial flooring where we are confident the development of our GRP (glass
reinforced plastic) railway platforms will generate future growth.


Finance

The Group generates a proportion of its earnings through its overseas businesses
where the current strength of the Euro will have a favourable translational
impact in comparison to 2007. Our overseas operations are financed through
foreign currency denominated borrowings and therefore the strength of the Euro
has increased both the Sterling carrying value of net assets and net debt.

Steel prices have risen significantly during the period and have been managed
through both increased selling prices and forward buying albeit at the expense
of increased investment in working capital.


Acquisitions

As part of our strategy for growth we continue to review opportunities offering
potential for increasing our product portfolio and market share.


Summary

Our performance remains in line with expectations and the Board anticipates
being able to report continued progress in the year.

There have been no other material events since the announcement of our annual
results on 11 March 2008.



Enquiries:

Hill & Smith Holdings PLC
D L Grove Chairman Tel: [phone]
Mobile: [phone]

D W Muir Chief Executive Tel: [phone]
Mobile: [phone]










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