Potential Issue of Non-equity Securities

22 March 2012

                      Small Companies Dividend Trust PLC                       

                   Potential Issue of Non-Equity Securities                    

The Directors of Small Companies Dividend Trust PLC announce they are
contemplating a potential issue of non-equity securities such as Zero Dividend
Preference Shares to replace the borrowing facilities and to increase the gross
assets.  The current facilities are due to expire in 2014 and the interest rate
exposure is hedged by a swap agreement which expires in July 2012.  Any such
non-equity issue may be accompanied by the issue of additional Ordinary Shares.

The Company has appointed Fairfax I.S. PLC as its adviser and broker.

A further announcement will be made in due course.


For further information contact:

Chelverton Asset Management

William van Heesewijk
Tel: [phone]

Fairfax I.S. PLC

Gillian Martin / John Korwin-Szymanowski
Tel: [phone]