Plant reorganisation

Yule Catto & Co PLC
01 August 2007



Yule Catto & Co. plc



Investment in China and plant rationalisation



Yule Catto is an international producer of speciality chemicals, supplied to
global customers for use in a wide range of industries including
pharmaceuticals, FMCG, paints and adhesives


Yule Catto announces that it has entered into employee consultations regarding
the closure of the Dieburg, Germany facility within its James Robinson business
and the Milan, Italy facility within its Uquifa business. Subject to the outcome
of such consultations it is anticipated that these closures will be completed by
the end of H2 2008.  The existing cytotoxic and pilot plants in Italy will
remain open.


Production from both plants will be selectively moved within the Group
predominantly to other Uquifa facilities in Spain and Mexico. The overall
closure costs are expected to be cash neutral following the sale of the
respective sites.


In parallel the Company intends to invest in a small scale greenfield Fine
Chemicals facility in Guangzhou, China. The purpose of this plant will be to
accelerate sales growth into Asia and enhance the cost effective supply of
intermediary products into Yule Catto's existing Fine Chemical and Pharmachem
businesses.


The changes outlined above are a strategic response to current market dynamics
and in addition will deliver enhanced utilisation of fine chemical assets within
the Yule Catto group of companies.



                                                                   1 August 2007





ENQUIRIES:


YULE CATTO                                                   Tel: [phone]
Adrian Whitfield, Chief Executive

COLLEGE HILL                                                 Tel: [phone]
Gareth David








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