Re: Trading Update

McInerney Holdings PLC
1 February 2002


EMBARGO 8.00am Friday, 1st February 2002


                            MC INERNEY HOLDINGS PLC

                     TRADING UPDATE FOR YEAR ENDED 31/12/01

McInerney Holdings plc is today pleased to provide a trading update relating to
the 12-month period ending 31st December 2001. Following an exceptional 2000
result, the Group will record a solid performance in 2001, which the Director's
anticipate will exceed recent market expectations. This will be reflected in the
Group's preliminary results to be published in early March 2002.

Trading highlights:

*     Private house completions up 13% from 586 in 2000, to 663 in 2001.

        *     Year end housing deposits on hand rise by 27% to 233 compared to
              183 at 31/12/00.

        *     Contract housing activities increase by 15% to €22.5m in 2001,
              compared to €19.6m in 2000.



        *     As part of the Group's strategic land management policy land sales
              of €20m were closed in 2001, with an additional €10m in contracted 
              land sales to close in first half of 2002.

        *     A strong performance at McInerney Spain, including the successful
              Los Flamingos' Phase 1 development launch, with 73 deposits on 
              hand with a sale value of €27m.

        *     William Hargreaves Limited realised €2m of capital for
              reinvestment as a result of the sale of its interest in the 
              Riverside Joint Venture Project.

        *     A strong year-end balance sheet resulting from the above, enabled
              the recent Charlton acquisition to be financed from internal funds
              to enhance future earnings base.


Barry O'Connor, Managing Director stated 'Despite what was undoubtedly a
turbulent period, the Group experienced a very strong fourth quarter. The
Group's strategy of focussing on first time buyers and maintaining an active
land management policy is clearly reflected in the 2001 performance. This has
placed the Group in a very robust financial position. In addition, our
acquisition of the Charlton Group in the UK earlier this month represents
important progress in diversifying our income stream. It is part of our policy
to spread our capital base, targeting the highest growth opportunities in our
specified markets. 2001 has left the Group well placed to continue the
implementation of its focussed strategy, which includes further investment in
the UK and Spain.'

'In Ireland, the Group's residential land bank at the end of December was 3,915
plots, down from 4,800 at the start of 2001. 75% of these plots have full
planning permission. With an increasingly diversified income stream, the
increased level of business already written for 2002 and the improvement in
demand for our products in all our markets, the Group looks forward with
optimism,' Mr O'Connor.


                                      ENDS

FOR INFORMATION:

Siobhan Molloy, FCC Shandwick   Tel: Dublin 01 676 01 68/ mobile: [phone]



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