Placing of Further 8% Debenture Stock 2022

Scottish American Investment Co PLC
24 November 1999


Placing of a further tranche of 8 per cent. Debenture Stock
2022

In April 1997, the Company issued £25,000,000 of 8 per cent.
Debenture Stock 2022 (the 'Existing Stock').  Today it has
announced the issue of a further £25,000,000 in nominal amount
(the 'New Stock') which, on issue, will be consolidated with,
form a single series with, and be fully fungible with, the
Existing Stock.

The Company has today entered into an agreement with Cazenove
& Co. whereby the New Stock will be placed at an Issue Price
of 124.701 (representing a gross redemption yield of 5.98 per
cent., or 1.45 per cent. over the 8 per cent. Treasury Stock
2021) plus accrued interest from 10 October 1999 to 13
December 1999.

The New Stock will be secured by a first floating charge over
the whole of the Company's assets.  The charge will rank pari
passu with the Existing Stock.

The closing date for the issue will be 13 December 1999, and
it is expected that official dealings in the New Stock will
commence at 8.00 a.m. on that day.  The Bonds will be
available in registered form.


For further information, please contact:

Teddy Tulloch
The Scottish American Investment Company        0131 473 2257

Christopher Smith
Cazenove & Co.                                  0171 588 2828

In  connection with the issue of the New Stock, Cazenove & Co.
may  over-allot  or  effect transactions  which  stabilise  or
maintain the market price of the New Stock and Existing  Stock
on  the  London  Stock  Exchange at a level  which  might  not
otherwise  prevail  on that exchange. Such  stabilisation,  if
commenced, may be discontinued at any time.