Fthr re US Strategy Formation

Old Mutual PLC
8 January 2001

                              
                       OLD MUTUAL PLC
                              
    Old Mutual Announces Further Phase in its US Strategy
         Formation of Old Mutual Asset Managers (US)



Following   its  acquisition  of  United  Asset   Management
Corporation  ('UAM') in the US, completed in September  last
year,  Old  Mutual has embarked on a further  phase  in  the
development of its US businesses.

Recently,   the   company  announced  the   acquisition   of
additional revenue streams from Pilgrim Baxter, its major US
mutual  funds  franchise  and retail distribution  platform.
Today's  announcement relates to the formation,  subject  to
regulatory approval, of an aligned group of affiliates to be
called Old Mutual Asset Managers (US) ('OMAM(US)').

The  aligned  affiliates, representing  total  assets  under
management  of  $70  billion as at 30th  November  2000  and
aggregate earnings before interest, taxes, depreciation  and
amortisation  of $81 million (run-rate as at  30th  November
2000),  began operating as part of the OMAM(US) division  as
from  1  January 2001.  The combined revenue is $206 million
(run-rate as at 30th November 2000).

The  formation  of  OMAM(US) creates a  substantial,  multi-
style,  multi-product asset management business in  the  US.
It  comprises  the following six firms: Analytic  Investors,
Barrow, Hanley, Mewhinney & Strauss, Inc., Clay Finlay Inc.,
Dwight  Asset Management Company, NWQ Investment  Management
Company  and Provident Investment Counsel. (Further  details
of  these  firms are attached).   The affiliates  that  have
agreed to become part of OMAM(US) cover a broad spectrum  of
complementary, non-overlapping asset classes and  investment
styles,   and  collectively  represent  a  wide   range   of
investment  capabilities.  In choosing to  align  themselves
with  OMAM(US),  the  firms  have  agreed  to  modify  their
economic relationship with Old Mutual from a revenue-sharing
to  a profit-sharing basis.  Over time a number of other UAM
affiliates may also join OMAM(US).

Each  affiliate that has agreed to join OMAM(US) will retain
its   own   identity,  brand,  investment   philosophy   and
investment process, as well as responsibility for its client
relationships.   The firms will seek opportunities  to  work
together co-operatively for the benefit of their clients and
staff.  They will also provide comprehensive coverage of  US
asset  markets and broad-based global product  offerings  to
existing  Old  Mutual Group clients in  Africa  and  Europe.
OMAM(US)  will  work   closely  with  all  of  Old  Mutual's
international  asset  management businesses,  in  particular
with  OMAM(UK)  and  OMAM(South  Africa)  and  with  Pilgrim
Baxter.

Kevin  Carter of Old Mutual will be Chief Executive  Officer
of  OMAM(US).  Carter will head a small team of  high  level
executives,  based  in  Boston and  London,  which  will  be
responsible for executing strategy for OMAM(US).   The  team
will  also  act  as business consultants to the  affiliates,
helping them to grow their businesses, both individually and
collectively.

Brian  Malone (as Finance Director) and Brian Baskir of  Old
Mutual  will  join  Kevin Carter on the board  of  OMAM(US),
which  will also include Richard Robie and George McClelland
from  UAM.  Representative CEOs from  the  OMAM(US)  aligned
affiliates  will  also serve on that  board.   Eric  Anstee,
Chief Executive Financial Services, of Old Mutual plc,  will
be Chairman.

Kevin Carter commented:

'With the creation of OMAM(US), we are able to offer a range
of exceptional international investment capabilities both in
the  US  and  to  our customer base in Europe  and  southern
Africa, and grow these substantially over time.  Significant
new   revenue   synergies  are  obtainable  through   active
cooperation  between  the affiliates within  OMAM(US).   The
affiliates  are  world-class in terms  of  their  investment
processes and teams of investment professionals, and have an
exciting  and  diverse range of products,  with  outstanding
performance track records.'

Other UAM affiliates, apart from Pilgrim Baxter, will remain
with  UAM's  current  management,  led  by  Jim  Orr,  Chief
Executive  Officer.  In addition to Jim Orr, the  management
team  at  UAM  includes  Frank Kettle,  Joe  Ramrath,  Kevin
O'Brien and Stuart Nagode, all of whom have entered into new
three  year  employment agreements  with  UAM.   Old  Mutual
expects  to  continue to hold a number of  affiliates  on  a
completely stand-alone basis.  It also expects that some UAM
affiliates  may  join OMAM(US) over time.   All  discussions
with  these affiliates about their future strategy will take
place  collaboratively, with the objective of  aligning  the
interests   of   each  firm's  clients,   their   investment
professionals and Old Mutual as the shareholder.  Old Mutual
has  stressed  that  there will be no mass  sale  or  forced
consolidation of firms.

The  acquisition  and development of UAM is consistent  with
Old Mutual's strategic goal of building a world-class global
asset  management  business.  Eric Anstee, Chief  Executive,
Financial Services, said:

'We  have  now gained a strong foothold in the  critical  US
market  on a basis which we are confident will significantly
enhance  shareholder  value  over  the  years  ahead.    The
acquisition  of  UAM has provided us with a  wide  range  of
exceptional  asset  management operations  serving  a  broad
community  of investors. The creation of OMAM(US),  combined
with  our  UK  and  South  African operations,  gives  us  a
significant international platform in asset management.'

                                              8 January 2001

Further Enquiries:

Old Mutual plc (UK)
James Poole                   [phone]
Anna Quenby                   [phone]

Old Mutual plc (SA)
Paul Dold                     [phone]

College Hill Associates (UK)
Gareth David                  [phone]
Nicholas Williams             [phone]

United States
Kevin Carter                  [phone]
Tucker Hewes                  [phone]


NOTES TO EDITORS

Analytic Investors

Analytic  Investors  is  an  investment  management  company
widely   recognised   for  its  commitment   to   innovative
investment  research, a disciplined quantitative  management
approach and its ability to implement sophisticated  trading
and  portfolio management strategies. Analytic's  investment
philosophy  is  founded on the premise that  the  systematic
application of quantitative techniques has the potential  to
deliver  superior risk-adjusted performance,  regardless  of
market cycle.  With vast amounts of information available on
demand,  the  company believes that the proper weighting  of
the  right variables in the selection process is pivotal  to
their  success.  Based in Los Angeles, California,  Analytic
manages   some  $1.7  billion  on  behalf  of  institutional
investors  and individuals through its highly  rated  mutual
funds.

Chairman: Roger G. Clarke, Ph.D.
President/Portfolio Mgr: Harindra de Silva, Ph.D., CFA
CIO/Portfolio Mgr.: Gregory M. McMurran
COO: Marie Nastasi Arlt

Barrow, Hanley, Mewhinney & Strauss, Inc.

Barrow,  Hanley, Mewhinney and Strauss, founded in 1979,  is
one  of the largest value-orientated investment managers  of
institutional assets in the US and has demonstrated a  long-
standing commitment to this investment style. With some  $26
billion   under  management,  the  company's  21  investment
professionals, with an average experience in  excess  of  23
years,  manage  domestic equity and fixed income  portfolios
for a variety of institutional clients. BHM&S is located  in
Dallas, Texas.

Principal,  Large Cap Value Equity Portfolio Manager:  James P. Barrow
Principal,  Large  Cap Value Equity Portfolio  Manager:  Ray Nixon, Jr.
Principal, Large Cap Value Equity Portfolio Manager: Richard A. Englander, CFA
Principal, Large Cap Value Equity Portfolio Manager:  Robert J. Chambers, CFA
Principal, Large Cap Value Equity Portfolio Manager: Timothy J. Culler, CFA
Principal,  Large Cap Value Equity Portfolio  Manager:  Jane Gilday, CFA
Principal, Fixed Income Portfolio Manager: John S. Williams,CFA
Principal, Director of Marketing: Robert D. Barkley
Principal, Senior Equity Analyst: H. Monroe Helm, III

Clay Finlay Inc.

Clay  Finlay  Inc.  is  a  New  York  based,  global  equity
management  firm  with offices in London, Geneva,  Melbourne
and  Tokyo managing approximately $5 billion.  Clay Finlay's
highly  experienced investment professionals work as a  team
to  manage  concentrated,  yet risk-controlled,  global  and
regional  equity  portfolios on behalf  of  clients  located
worldwide.   Clay  Finlay's investment  approach  is  growth
oriented  and  is driven primarily by a disciplined,  price-
sensitive stock selection process.

Francis Finlay, CFA - Chairman and CEO
John Clay - Chairman Emeritus
Arthur Barton - Director
Frances Dakers - Director
Greg Jones, CFA - Director
Susan Kenneally - Director
Peter Lyon - Director
Virginie Maisonneuve, CFA - Director
Robert Schletter, CFA - Director

Dwight Asset Management Company

Dwight   Asset  Management  Company  has  focused   on   the
management   of   stable   value  portfolios   for   defined
contribution  plans.  The  primary investment  objective  is
capital    preservation.    Secondary   objectives   include
competitive  yield,  investment  diversification  and   real
return  over a market cycle.  The objectives are met through
rigorous  risk  management,  credit  research  and  duration
management.  Dwight offers a variety of portfolio allocation
strategies  tailored around the core philosophy  of  capital
preservation.   Their  disciplined  investment  and   credit
research has historically allowed Dwight to achieve superior
returns with low volatility and high credit quality.  Dwight
has  also  developed  an excellent fixed income  capability,
recently augmented by the addition of the Dewey Square fixed
income   business   and  three  of  the  senior   investment
professionals previously with Dewey Square.   Dwight manages
some $14 billion on behalf of its institutional clients  and
is located in Burlington, Vermont.

President: John K. Dwight
Managing Director, Portfolio Manager: Laura P. Dagan, CFA
Managing  Director, Portfolio Manager: David W.  Richardson,
CFA

NWQ Investment Management Company

NWQ Investment Management Company, founded in 1982, utilizes
a  value  oriented  style  in  managing  a  broad  array  of
portfolio  strategies including large,  mid  and  small  cap
equity,  balanced and fixed income.  Clients include  public
entities,  foundations,  endowments,  corporate  and  multi-
employer  plans as well as high net-worth individuals.   The
company is based in Los Angeles, California and manages over
$5 billion in assets.

NWQ's  thirteen  member  team  of  investment  professionals
average  21 years of experience and 9 years tenure.  Drawing
on  a  single  underlying value-oriented  philosophy,  NWQ's
opportunistic  valuation framework  is  designed  to  select
securities with favorable risk-reward characteristics.   The
firm's  hallmark  continues to be  the  ability  to  uncover
companies and industries where positive change is  about  to
occur,   through   a  research-intensive   bottom-up   stock
selection process.

Chairman, CIO: David A. Polak, CFA
President & CEO: Michael Mendez
Managing Director: E.C. (Ted) Friedel, CFA
Managing Director: Jon D. Bosse, CFA

Provident Investment Counsel

Provident   Investment   Counsel   manages   accounts    for
institutional   clients  according  to   a   growth   equity
investment  style, emphasizing fundamental  research  and  a
team  approach to portfolio management.  The research  staff
at  Provident  seek  out  companies  with  strong  financial
characteristics,  which are thought to be  in  a  period  of
high,  sustainable  earnings growth.   Over  the  long  run,
Provident's investment success has been a function of  their
commitment  to their investment style.  Based  in  Pasadena,
California,  the  company has $17 billion in  Institutional,
Mutual  Fund, and brokerage sponsored program assets  across
the  spectrum  of growth strategies as well as Balanced  and
Fixed Income strategies.


Chairman/PM                        
Robert Kommerstad

Executive  Managing Director/CEO/PM 
Larry D.  Tashjian  CFA,CIC

Executive  Managing Director/PM     
George E. Handtmann  III, CFA, CIC