Disposal

Schroders PLC
17 September 2002


The sale of Schroder Pensions and Schroder Hermes


17th September 2002


In pursuit of our strategy of concentrating on our core active fund management
business, Schroders plc today announces that Schroder Pensions Limited, its DC
administration arm, has been sold to the Alexander Forbes Group. As part of this
transaction, Schroder Hermes Limited, a company related to Schroder Pensions
Limited, which provides passive fund management services, will be sold to Hermes
Pensions Management Limited.

The completion of these purchases is subject to regulatory approval, and both
Alexander Forbes and Hermes will submit applications for such approval to the
Financial Services Authority.

These disposals will involve £74 million of funds under management being
transferred to the Alexander Forbes Group and £2.2 billion of funds under
management being transferred to Hermes Pensions Management Limited. The sales
are for an estimated total consideration of up to £27 million before costs
associated with the sales.

Schroders plc will continue to provide investment management services in the DC
market and a range of life wrapped active DC investment products, available in
conjunction with third party administrators.


Ends


For further information, please contact:

Lester Gray, Chief Operations Officer     [phone]

Schroders plc

Julian Samways, Group Head of Corporate Communications     [phone]

Schroders plc


                      This information is provided by RNS
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