Trading Statement

Hornby PLC
30 January 2006

   HORNBY REPORTS PRE-CHRISTMAS TRADING IN LINE WITH EXPECTATIONS AND POSITIVE
                                 FORWARD OUTLOOK


Hornby Plc ('Hornby' or 'the Company') is today issuing an update on trading,
including comment on sales performance in the pre-Christmas period.

As advised at the time of the interim results in November 2005, the UK retail
market experienced a more difficult pre-Christmas trading period in 2005 than in
previous years. This had the effect of depressing sales of both Scalextric and
Hornby sets. However sales of hobby accessories performed well, particularly in
the model railway sector. This demonstrates further the robust nature of the
model railway market.

The beneficial impact of the acquired businesses in Spain, Italy and France is
expected to offset partially the effects of lower sales in the UK. As a result
of this, the Company expects to achieve full year profits prior to IFRS
adjustments broadly in line with market expectations.

The Company is continuing to make very good progress in re-establishing the
brands it acquired in Continental Europe. The process of transferring production
of the acquired Italian Lima Group ranges to China continues apace. Hornby
introduced the first product ranges in Spain, Italy, France and Germany prior to
Christmas and the market reaction was excellent. The model railway enthusiasts
in Continental Europe are now beginning to benefit from improvements in quality
and detail of the products. This is a similar scenario to that which Hornby
encountered in the UK market five years ago. The Board remains confident that
the Company will be able to rebuild the Lima brands in the same way as Hornby's
fortunes improved in the UK market. With the benefit of the large bank of tools
acquired, and the brand leading positions of Electrotren, Jouef, Rivarossi, Lima
and Arnold in their respective markets, Hornby is in the process of establishing
itself as a strong contender in all key European markets. This strategy of
targeting stable, collector markets across Europe will have the effect of
reducing permanently the Company's dependence on the UK market.

Scalextric USA has continued its improvement over last year's performance, and
this bodes well for the full year result in that market.

London Toy Fair

The Company's new products launched at the London Toy Fair last week were
extremely well received.

In particular the introduction of the Hornby Digital Control system is expected
to revolutionise the way model railway enthusiasts operate their layouts.
Digital Control has been popular in the USA and Continental Europe for some
time. However the UK market has hitherto lacked a system dedicated to its
particular requirements. The Hornby Digital Control system draws on the lessons
learnt from earlier systems marketed overseas and caters to the requirements of
the UK model railway enthusiast.

In Scalextric, the Company launched the first products based on its exclusive
licence to market slot racing products based on A1 Grand Prix , 'The World Cup
of  Motorsport'. Scalextric products featuring this licence are expected to
become important contributors to Group sales. The Company is confident that this
range will open up new markets as the series itself continues to gather
momentum. The Scalextric Digital and Sport World systems, have been supplemented
by a number of new sets and accessories. Of particular note is the launch of the
Scalextric 'Digital Ignition' set at a price point similar to the existing
analogue sets. This will bring Scalextric Digital into the mainstream of slot
racing sets both in the UK and overseas.

Note: IFRS adjustments in respect of share schemes and amortisation of
intangibles are currently expected to result in a charge of approximately
£360,000.

Chairman, Neil Johnson commented:

' In spite of a background of difficult trading conditions in the UK, the model
enthusiast market remains robust and we expect to report a satisfactory result
for the current financial year.

' More importantly, we are making very good progress in building a profitable
hobby business across Europe. There is excellent potential to re-establish this
business and the initial market reaction has been extremely encouraging. We will
also be able to channel the technological developments recently launched in the
UK into the revamped Lima product ranges. The actions we have taken in acquiring
brands and distribution businesses, coupled with the move of manufacturing of
those brands into our Chinese sources lays the ground for future profit growth.
The Board remains confident about the long term performance that Hornby will
deliver.'

                                    -ends -
Date: January 2006
For further information contact:

Hornby Plc                                          cityPROFILE
Neil Johnson, Chairman                              Simon Courtenay
Frank Martin, Chief Executive                       Lynn Mah
01843-233500                                        020-7448-3244

Web: www.hornby.com
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