Final Results

Majedie Investments PLC
22 November 2001



MAJEDIE INVESTMENTS PLC
22 November 2001

                     PRELIMINARY ANNOUNCEMENT OF RESULTS
                     for the year ended 30 September 2001

Financial Highlights  (per ordinary share)

                    Year ended             Year ended                 % change
                  30 September           30 September
                          2001                   2000

Net asset value         310.7p                 446.3p                     -30.4
Share price             242.5p                 358.5p                     -32.4
Dividends                7.90p                  7.65p                       3.3
Earnings                 7.73p                  7.01p                      10.3



Performance  (total return per ordinary share)


                                  Year ended                         Year ended
                                30 September                       30 September
                                        2001                               2000

Net asset value                       -29.0%                              18.4%
Share price                           -30.8%                              -0.2%
Benchmark                             -23.1%                              13.8%



Sources: AITC & The WM Company; benchmark is 70% FTSE All-Share Index + 30%
FTSE World ex UK Index.


Dividend


The proposed final dividend of 4.8p will be paid on 31 January 2002 to
shareholders on the register at the close of business on 18 January 2002.



CHAIRMAN'S STATEMENT



Over the last 12 months world stock markets have been very volatile with
significant falls over the period ending with the unexpected events and
aftermath of the 11 September tragedy.  It is disappointing to report a
reduction in net assets of 30.4% and a total return underperformance of 5.9%
compared with our benchmark.  The portfolio is managed on a medium risk basis
with a long term perspective and therefore will be affected by the course of
world stock markets over a particular period.  Nevertheless the main reason
for our underperformance was the level of gearing employed in the portfolio
which magnified the effect of the downturn in stock markets over the year.



In gross terms Majedie narrowly outperformed the benchmark over the year by
0.2% and over the last two years total assets outperformed by 3.9%.  This
gross basis calculated by The WM Company looks at the performance of Majedie's
total assets and the relevant dividends received whereas the net asset value
basis also takes account of expenses, debenture interest and the balance sheet
effect of gearing which magnifies the changes in the value of the portfolio
either up or down.

Performance


The portfolio outperformed in gross terms by 1.1% in the UK and underperformed
marginally elsewhere.  The good UK performance was due to reduced weightings
in telecoms, media and technology and increased weightings in oils, utilities,
insurance, banks and engineering.  Holdings in the US financial sector and in
the already underweight US technology and European media sectors hindered our
performance.


Portfolio & Markets


The first half of the financial year was characterised by a severe fall in US
economic activity which spread to Europe and the UK.  The central banks
responded by rapidly reducing interest rates.  The whole portfolio was
re-positioned with heavier weightings being taken in more recession-proof
industries such as food producers, beverages, food retailers and
pharmaceuticals.  Sectors specifically sensitive to interest rate reductions
were also increased such as banks, insurance, housebuilders and engineers.
Previously high growth sectors of telecoms, media and technology were reduced
further from already underweight positions.


In our third quarter world markets advanced for much of the period and the
portfolio made good progress - beating the benchmark by 1.7% on a NAV total
return basis.  However, in our last quarter the portfolio was badly affected
by the sudden fall in stock markets resulting from the events of 11 September.
Although we avoided specific problem areas such as the airline sector, the
portfolio was hurt by the rapid and substantial marking down of company
valuations - the effect of which was exacerbated by our gearing.



Income & Dividend



Income from investments over the period increased by 10.9%.  For much of the
year stock market conditions favoured companies which pay higher levels of
dividend and opportunities were taken to enhance our dividend income through
investing in such companies as referred to above.



The Board is recommending a final dividend of 4.8p per share giving a total of
7.9p for the year representing an increase of 3.3% on last year's total
dividend and a current yield of 3.3%.  Not only is Majedie one of the higher
yielding shares in the global growth investment trust sector but also this is
the thirteenth year in which our dividend has increased by more than the rate
of inflation.



Costs



Following the 28% reduction in costs last year, costs have again been reduced
by 9.5% this year.   The combination of increased income and reducing costs
has meant that the Revenue Account is much closer to returning to a covered
dividend position.  However as I have commented before, Majedie has very
strong revenue reserves for an investment trust and would consider using them
to maintain the dividend according to our current policy should the need
arise.



Outlook



In the immediate aftermath of 11 September the Federal Reserve Board cut
interest rates followed by the UK and European Central Banks.  The US
Government also announced a $170bn economic stimulus package comprising of tax
cuts and spending increases equivalent to 1% of US GDP in order to support and
boost its economy. This led to a rebound in world stock markets to
pre-September levels as confidence returned, in the belief that these measures
would underpin economic activity.  Obviously, with the major economies having
to adapt to recent events, the effect is likely to be a sharper downturn in
the short term, which may facilitate some recovery towards the second half of
2002.



Henry S Barlow

21 November 2001




For further information please contact Robert Clarke on 020 7626 1243; E-mail:
[e-mail]



UNAUDITED CONSOLIDATED STATEMENT OF TOTAL RETURN
for the year ended 30 September 2001


                            Year ended 30 September     Year ended 30 September
                            2001                        2000
                            Revenue  Capital    Total   Revenue Capital   Total
                               £000     £000     £000      £000    £000    £000

Net realised gains on sales          10,801   10,801             4,326   4,326

(Decrease)/increase in
unrealised appreciation             (78,923) (78,923)           31,896  31,896
                                    

Total capital (losses)/             (68,122) (68,122)           36,222  36,222
gains on investments

Dividends and interest       5,937             5,937     5,328           5,328

Rents and other income          41                41        64              64

Gross revenue and capital    5,978  (68,122) (62,144)    5,392  36,222  41,614
gain/(loss)

Administrative expenses       (800)  (1,120)  (1,920)     (870) (1,207) (2,077)

Return on ordinary
activities before finance
costs and taxation           5,178  (69,242) (64,064)    4,522  35,015  39,537


Finance costs                 (812)  (2,435)  (3,247)     (515) (1,546) (2,061)

Return on ordinary           4,366  (71,677) (67,311)    4,007  33,469  37,476
activities before taxation


Taxation on ordinary          (297)     200      (97)     (312)    238     (74)
activities

Return on ordinary
activities after taxation
attributable to equity       4,069  (71,477) (67,408)    3,695  33,707  37,402
shareholders

Dividends*                  (4,152)           (4,152)   (4,033)         (4,033)


Transfer (from)/to reserves    (83) (71,477) (71,560)     (338) 33,707  33,369



Basic return per ordinary     7.73p(135.80)p(128.07)p     7.01p  63.99p  71.00p
share**                        


Diluted return per ordinary      -        -        -      7.01p  63.99p  71.00p
share


The revenue column of this statement is the consolidated profit and loss
account of the Group.

All revenue and capital items in the above statement derive from continuing
operations. No operations were acquired or discontinued in the year.


*    see note 1.

** see note 2.



UNAUDITED CONSOLIDATED BALANCE SHEET


                                         30 September              30 September

                                                 2001                      2000
                                                 £000                      £000

Fixed assets:
Tangible assets                                   86                       141
Investments *                                196,550                   275,487

                                             196,636                   275,628
Current assets:
Debtors                                        2,627                       792
Cash at bank and on deposit                    7,680                     2,836
                                              10,307                     3,628

Creditors: Amounts falling due
within one year                                3,876                     4,636

Net current assets/(liabilities)               6,431                    (1,008)
Total assets less current
liabilities                                  203,067                   274,620
Creditors: Amounts falling due
after more than one year                     (39,358)                  (39,351)
Total net assets                             163,709                   235,629


Called up share capital                        5,272                     5,272
Share premium account                            785                       785
Capital reserve - realised                   103,364                    95,915
Capital reserve - unrealised                  28,609                   107,535
Capital redemption reserve                        37                        37
Revenue reserve                               25,642                    25,725

Shareholders funds                           163,709                   235,269


Net asset value per share **                   310.7p                    446.3p
Market price                                   242.5p                    358.5p


*    see note 3.

** see note 4.


SUMMARISED UNAUDITED CONSOLIDATED
CASH FLOW STATEMENT


                                             30 September          30 September
                                                     2001                  2000
                                                     £000                  £000

Net cash inflow from operating activities          3,501                 3,568


Servicing of finance

Interest paid                                     (4,580)                 (570)
Debenture issue costs                                 (3)                 (238)

Net cash outflow from servicing of finance        (4,583)                 (808)


Taxation

Tax recovered/(paid)                                  48                  (271)

Capital expenditure and financial investment

Purchases of investments                         (77,341)              (57,386)
Sales of investments                              87,254                26,541
Purchases of tangible assets                         (29)                  (37)
Sales of tangible assets                              22                    22

Net cash inflow/(outflow) from capital
expenditure and financial investment               9,906               (30,860)

Equity dividends paid                             (4,028)               (3,854)


Cash inflow/(outflow) before financing             4,844               (32,225)

Financing

Issue of £25m 7.25% debenture stock                    -                24,771
Issue of ordinary share capital                        -                   192

Net cash inflow from financing                         -                24,963


Increase/(decrease) in cash in the period          4,844                (7,262)


NOTES


1                 Dividends


Following the granting of share options to RE Clarke and GM Leates on 14
February 2001 under the new discretionary share option scheme, the Company's
employee incentive trust acquired 169,151 shares on 30 March 2001.  The shares
will be held by the trust until the relevant options are exercised and are
included on the balance sheet as an asset of the Company.  The trust has
waived its rights to receive dividends from the Company and therefore the
total dividend included in the Statement of Total Return has been reduced
accordingly.


2                 Calculation of Returns per ordinary share


Basic and diluted returns per ordinary share in each period are based on the
return on ordinary activities after taxation attributable to equity
shareholders.  Basic return per ordinary share is based on 52,634,266 ordinary
shares, being the weighted average number of shares in issue having adjusted
for the shares held by the employee incentive trust referred to above; (2000:
52,674,372).


No diluted return per ordinary share is shown for the year ended 30 September
2001 since the share options referred to above would, if exercised, be
satisfied by the shares already held by the employee incentive trust.
Furthermore there are no longer any other share options or LTIP awards
outstanding under previous incentive schemes.  Diluted return per ordinary
share for the year ended 30 September 2000 is based on 52,674,372 shares,
being the weighted average number of shares in issue.


3                          Investments

Fixed asset investments are stated at closing mid-market value and include £
410,000 (2000: nil) in respect of shares held in the employee incentive trust
as referred to above.


4                          Net Asset Value per ordinary share

The net asset value per share has been calculated in accordance with the
principles of FRS 14: Earnings per Share, i.e. after deducting the carrying
value of the shares held by the employee incentive trust from net assets and
the number of shares in question from the shares in issue at the year end.


5  Financial Information for the years ended 30 September 2001 and 2000


The preliminary figures for the year ended 30 September 2001 are an extract
from the Company's latest accounts, prepared under the same accounting
policies, consistently applied, as the audited financial statements for the
year ended 30 September 2000.


The financial information set out in the announcement does not constitute the
Company's statutory accounts for the years ended 30 September 2001 or 2000.
The financial information for the year ended 30 September 2000 is derived from
the statutory accounts for that year, which have been delivered to the
Registrar of Companies. The auditors reported on those accounts; their report
was unqualified and did not contain a statement under Section 237(2) or 237(3)
of the Companies Act 1985.  The statutory accounts for the year ended 30
September 2001 will be finalised on the basis of the financial information
presented by the Directors in this preliminary announcement and will be
delivered to the Registrar of Companies following the Company's Annual General
Meeting.



ANNUAL REPORT


The annual report and accounts will be sent to shareholders on 6 December 2001
from which time copies will be available to the public at the Company's
registered office: 1 Minster Court, Mincing Lane, London EC3R 7ZZ.


ANNUAL GENERAL MEETING


The Annual General Meeting will be held at 12.15pm on Wednesday 16 January
2002 at the London Underwriting Centre, 3 Minster Court, Mincing Lane, London
EC3R 7DD.



DIVIDEND


The proposed final dividend of 4.8p per share will be paid on 31 January 2002
to shareholders on the register at the close of business on 18 January 2002.


NOTES FOR EDITORS

Majedie Investments PLC is a self managed investment trust with total assets
under management of over £200 million. The Company's objective is to maximise
total shareholder return over the long term whilst increasing dividends by
more than the rate of inflation. The Company's benchmark is 70% FTSE All-Share
Index and 30% FTSE World ex UK Index (sterling) on a total return basis.


The Majedie Share Plan is a straightforward and low cost way of investing in
Majedie shares with a minimum lump sum of £250, or on a regular monthly basis
with £25 or more. The Majedie Corporate ISA provides a tax efficient way of
investing or saving in Majedie shares at extremely low cost. There is no
initial or annual management fee. Both maxi and mini ISAs are available with a
minimum lump sum investment of £500 or £50 per month for direct debit
subscribers.