Trading Results

Leeds Group PLC
09 September 2002


Issued by Leeds Group plc
Date: Monday 9th September 2002



                                Leeds Group plc
                                Trading Update


Trading at Leeds Group's Italian subsidiary, Nemesis S.p.A., continues to be
disappointing, with second-half losses expected to be above the level of the
previous year. Leeds continues to make every effort to improve the Nemesis
trading performance and to investigate satisfactory routes to separate Nemesis
from the Group.


The reorganisation of the Group's German and Dutch subsidiaries, Hemmers and
Itex, is nearing completion. Progress has been satisfactory and the trading
performance of the division soon to be centred on Hemmers is meeting our
expectation. The cost of consolidation, highlighted in the interim report, will
be charged against operating profit at the year-end.


Levels of new business at Leeds Leasing and expectations of profit growth in the
year continue to be satisfactory. We remain optimistic about its growth
prospects going forward, although profit next year will be restricted by the
need, as the Group's sole UK business, to absorb a greater share of the
establishment expenses currently included within Head Office costs.


Overall the result for the year is expected to show a small loss before the
reorganisation costs in Germany and Holland and the exceptional losses on sale
of businesses, which were included in the interim accounts.


The Group remains committed to a resumption of dividend payments, and a
repayment of capital to shareholders, but it is unlikely that this can be
achieved until Nemesis has left the Group.


Enquiries


Malcolm Wilson (Managing Director)

Dawn Bowler (Finance Director)


Tel : [phone]

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