Vehicle Manufacturer Notice

Lookers PLC
12 April 2006


NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTO THE UNITED STATES OF
AMERICA, CANADA, AUSTRALIA OR JAPAN

12 April 2006

Lookers plc ('Lookers')

Vehicle manufacturer notifications


In its offer document posted to Lookers shareholders last week, Pendragon plc
('Pendragon') sought to convince Lookers shareholders that the acquisition of
Lookers was low risk from a manufacturer perspective.

The Board of Lookers has previously stated its concerns about the high level of
commercial risk for Pendragon in relation to manufacturer relationships that
could lead to a loss of value for Lookers shareholders if they were to exchange
their shares in Lookers for shares in Pendragon.

With regard to Pendragon's claim, Lookers announces that in total, franchises
generating £326 million of revenues in the year ended 31 December 2005,
representing 26.5% of Lookers' total revenues, are considered to be at risk.

In the event of a change of control of Lookers, the manufacturers that are
represented by these franchises have the right under the existing franchise or
other agreements to terminate their agreements, or to require the franchise
business to be transferred back to the manufacturer.

Indeed, Lookers announces today that it has already received written
notifications from three of its vehicle manufacturer partners stating their
intention to discontinue in whole or in part their relationships with Lookers in
the event of Lookers being acquired by Pendragon. These operations generated
£224 million of revenues in the year ended 31 December 2005, representing 18.2%
of Lookers' total revenues.

Ken Surgenor, Chief Executive, said: 'On 20 March we announced outstanding
results for 2005 and excellent current trading. This reflects the success of our
development strategy which is supported by our manufacturer partners. The
notifications that we have recently received highlight the substantial
commercial risks of Pendragon's all paper offer. We strongly urge Lookers
shareholders not to put the value of their investment in Lookers at risk by
accepting this wholly inadequate offer from Pendragon'

The Board of Lookers will be writing to shareholders next week to explain its
reasons for recommending rejection of this all share offer from Pendragon.
Shareholders are urged to take no action before receiving the document to be
sent to Lookers shareholders which will be posted by no later than 20 April
2006.


Enquiries:

 Ken Surgenor                                           0161 291 0043
 David Dyson
 Lookers plc

 Andrew Thomas                                          0161 827 3800
 N M Rothschild & Sons Limited

 Andrew Hayes                                           020 7796 4133
 Nick Lyon
 James Hill
 Hudson Sandler

 Christopher Wilkinson                                  020 7776 1530
 Numis Securities




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