Re Contract

NWF Group PLC
5 February 2001



                                NWF GROUP PLC


               OCCUPATION OF NEW BOUGHEY DISTRIBUTION WAREHOUSE


NWF Group is very pleased to announce that agreement has been reached with
Princes Limited to store and distribute its retail food products. This
long-term agreement will occupy the 12,500 new pallet spaces constructed at
Boughey Distribution's site at Wardle, Cheshire.


Princes Foods is a division of Princes Limited, a wholly-owned subsidiary of
the Mitsubishi Group, and a leading brand and private label supplier of
ambient products to the UK grocery market.


Boughey Distribution is a leader in grocery consolidation with storage and
packing facilities, daily order-picking and national delivery to supermarket
RDC's and other destinations.


The new warehouse was built by Pochins plc and handed over within budget and
ahead of time. It is 11m to the eaves, 93,000 sq ft and is fully racked. It
complements the existing 375,000 sq ft of ambient warehousing already on the
site.


Mike Guest, Managing Director of Boughey Distribution, said 'I am very pleased
to have reached an agreement with such an established and respected company
whose distribution requirements fit in so well with our existing activities.
Together with our existing business we have a platform to further improve
service levels and take the Boughey business to yet higher standards.'