Update on IFRS

TT electronics PLC
27 July 2005



27 July 2005

                  International Financial Reporting Standards


TT electronics plc is required to prepare its consolidated financial statements
using International Financial Reporting Standards ('IFRS') from 1 January 2005.

Accordingly, TT electronics plc has sent a circular to shareholders setting out
the Group's interim and full year income statements, balance sheets and cash
flows for 2004 under IFRS. In each case a reconciliation of the figures is
provided to the previously reported UK GAAP results with explanatory notes. The
Group's accounting policies under IFRS are also contained in the circular.

The major effects under IFRS on TT electronics plc are that pension fund
obligations and the associated deferred tax, which were previously reported in a
note to the accounts, are recorded on the balance sheet; development costs which
were previously written off are capitalised and amortised, and dividends are not
accrued until the accounting period in which they are declared. Other changes
relate to accounting for deferred tax, financial instruments, share options,
leases and goodwill. There are also differences in presentation and terminology.

The effect of these changes on the results and balance sheets reported are:
profit before taxation for 2004 was £27.5 million (UK GAAP: £27.6 million); net
assets at 31 December 2004 were £166.7 million (UK GAAP: £199.5 million). The
overall cash flows of the Group are unchanged.

The consolidated statements in the circular are unaudited and will be the basis
for the comparative figures in the 2005 Interim and Annual Reports.

A copy of this circular can be obtained during normal business hours on any
weekday (excluding public holidays) from the Company's registered office: Clive
House, 12-18 Queens Road, Weybridge, Surrey, KT13 9XB.  The circular is also
available at www.ttelectronics.com


For further information please contact:

TT electronics plc
John Newman, Executive Chairman                       Tel: [phone]



                      This information is provided by RNS
            The company news service from the London Stock Exchange