Interim Management Statement

Johnson Matthey PLC
29 January 2008


               For release at 7.00 am on Tuesday 29th January 2008

                              Johnson Matthey Plc
                          Interim Management Statement


Johnson Matthey is hosting an analysts' visit today at its Process Technologies
Business in Billingham.  At the meeting Neil Carson, Chief Executive of Johnson
Matthey, will provide the following statement on trading in the company's third
quarter:


'Trading has been strong in the third quarter of Johnson Matthey's financial
year.  Sales for the continuing businesses were up 18% as a result of good
underlying volume growth and higher prices for platinum group metals (pgms).
Sales excluding the value of precious metals increased by 23%.  Operating profit
for the continuing businesses rose by 17%.


Environmental Technologies Division's sales were well ahead of the third quarter
of last year.  Emission Control Technologies (ECT) achieved good growth in sales
of autocatalysts in Asia and increasing sales of diesel particulate filters in
Europe.  Sales of heavy duty diesel catalysts were also well ahead of last year.
Market conditions for Process Technologies continue to be favourable with good
demand for syngas catalysts and high energy prices encouraging demand for new
process technology.


Precious Metal Products Division achieved good sales growth in the quarter
benefiting from high prices for platinum group metals and good growth in its
manufacturing businesses.  Fine Chemicals & Catalysts Division was also well
ahead of the same period last year with continued growth in the US.


On 29th November 2007 we announced that two new emission control catalyst plants
would be constructed over the next two years.  The first of these will be
located in Macedonia to serve the European market and will manufacture both
light duty diesel autocatalysts and selective catalytic reduction (SCR)
catalysts for heavy duty diesel vehicles.  The initial investment in the
Macedonian plant will be approximately £34 million.


The second plant will be constructed in south west Pennsylvania in the USA and
will be a dedicated facility to produce SCR catalysts for the North American
market.  Initial investment will be approximately £21 million.


On 10th December 2007 we announced that we had signed an agreement to buy
Argillon Group for €214 million.  Argillon is an international group
specialising in catalysts and advanced ceramic materials, with leading
technology for the control of emissions of oxides of nitrogen (NOx).  The
transaction is conditional upon regulatory clearance in Germany.


The acquisition of Argillon will be financed using existing borrowing
facilities.  At 30th September 2007 the group had net debt of £419 million and
equity of £1,065 million.  On a pro forma basis the acquisition of Argillon
would increase the group's debt by £160 million and increase the group's gearing
(debt / equity) from 39.3% to 54.4% which is within the target range for gearing
announced last year.  As a result we have suspended the share buy-back programme
for the time being.


The outlook for the fourth quarter is encouraging despite some signs of weakness
in the North American car market.  Operating profit growth in the fourth quarter
of 2006/07 was strong with Precious Metal Products benefiting from trading
profits on minor pgms which we do not expect to be repeated at the same level
this year.  Consequently, this year's fourth quarter profit growth will be less
than in the third quarter, but we expect profit before tax for the full year to
be towards the top end of current market expectations.'


Enquiries:


Ian Godwin             Director, IR and Corporate Communications    0207269 8410
John Sheldrick         Group Finance Director                       020 7269 8408
Howard Lee             The HeadLand Consultancy                     020 7367 5225





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