Return of capital

Leeds Group PLC
14 May 2003


Issued on behalf of Leeds Group plc
Date: Wednesday, 14th May 2003

                                                               Embargoed: 7.15am

The Board of Leeds Group, today announced the interim results for the six months
ended 31 March 2003.  In the announcement, the Board explained that it has been
actively seeking ways in which to return surplus capital to shareholders and it
is currently preparing proposals for a capital reduction including a return to
shareholders of capital in the Company by a special capital repayment ('Capital
Reduction').

Under the current proposals being considered by the Board it is intended to make
a payment to shareholders of an amount up to 13 pence per share held by them on
the date that the Capital Reduction becomes effective.

The proposals will require the approval of shareholders and the approval of the
High Court. A circular regarding the detailed proposals and convening an
Extraordinary General Meeting will be despatched to shareholders, in the next
few weeks, when the proposals are finalised.

Enquiries:

Leeds Group plc                                 Citigate Dewe Rogerson Ltd
Malcolm Wilson, Group Managing Director         Fiona Tooley
Today: 07801 224618                             Today: 020 7282 8000
Thereafter: 0113 391 9000                       Thereafter: 0121 455 8370
                                                Mobile: [phone]

Dawn Bowler, Group Finance Director             KPMG Corporate Finance
                                                Bob Bigley
Tel: [phone]                              Tel: [phone]







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