AGM Statement

Morgan Sindall PLC
10 April 2002


                               MORGAN SINDALL PLC
                       ('Morgan Sindall' or 'the Group')
                        AGM Statement and Trading Update


John Morgan, Executive Chairman of Morgan Sindall, will make the following
comments at the Group's Annual General Meeting to be held today:

Market conditions in the first quarter of 2002 remained strong. The total Group
order book now stands at a record £1.3 billion compared with £425 million at the
same time last year. This is substantially due to the Group's increased presence
in the Affordable Housing and Infrastructure Services markets following last
year's acquisitions. Both of these Divisions are well positioned to benefit from
increased levels of public expenditure.

Trading in the Group's Fit Out, Affordable Housing and Infrastructure Services
Divisions remains strong and these businesses are continuing to perform in line
with our expectations.

Structural changes in the Regional Construction Division were announced in
January 2002 when Morgan Sindall's six regional contracting companies were
merged into one branded Company with national capability, Bluestone plc. This
move was designed to concentrate resources to improve profitability and
efficiency and to enable the Division to provide a more co-ordinated response to
market demand in both the public and private sectors.

In conjunction with these changes, the Group decided to apply a more stringent
and consistent assessment to Bluestone's forecasted results. Expected profits
from a number of  contracts have been re-evaluated, recognising the work
required to secure our contractual entitlements, and the time it will take to
achieve them. This review, together with the costs of restructuring and the
refocusing of each profit centre's client and work mix, will adversely impact on
the Division's results this year. Whilst it is still early in the year, the
Board is now projecting that the Regional Construction Division will make a loss
of around £4 million in the current financial year.  However, the Board is
confident that the Division will benefit in the longer term from the
restructuring investment committed and that improved margins and profitability
will be demonstrated in 2003 and beyond.

Three of the Group's Divisions are performing well and, with the expected
improvement from Bluestone, the Group is well positioned to secure sustainable
quality earnings for the future.

                                                                  10 April 2002


ENQUIRIES:

Morgan Sindall plc                                    Tel: [phone] (today)
John Morgan, Executive Chairman                  Tel: [phone] (thereafter)
John Bishop, Finance Director

College Hill                                                  Tel: [phone]
Matthew Smallwood/Kate Pope



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