Interim Results

The Edinburgh Investment Trust plc                       

                 Preliminary Announcement of Unaudited Results                 

                  for the six months ended 30 September 2003                   

The Edinburgh Investment Trust plc is the UK's largest investment trust
focussed entirely on the UK. The objectives of The Edinburgh Investment Trust
plc are the achievement of capital growth at a higher rate than the FTSE
All-Share Index and dividend growth above the rate of UK inflation.

                                  Highlights                                   

  * Encouraging six month period of positive performance, exceeded FTSE
    All-Share Index by 3.9% on a capital only basis and 4.9% on a total return
    basis
   
  * Performance assisted by
   
  * 
      + positive stock and sector selection
       
      + overweight exposure to FTSE 250 securities
       
      + beneficial effect of gearing
       
  * NAV per share rose on a capital basis by 20.7% compared to a rise in the
    FTSE All-Share Index of 16.8%.
   
  * Share price rose by 20.8%
   
  * Interim dividend of 4.2p per share maintained.
   
  * Nicola Ralston and Will Samuel appointed to the Board.
   
For further information, please contact:

Fidelity Investments International                            020 7961 4409
                                                                           
Anne Read                                                      01737 837847
                                                                           
Niki Bolton                                                                

Chairman's Review

I begin my first Review to shareholders by thanking my predecessor, Lord
Eglinton, on your behalf for his contribution to the Company in the 11 years
for which he served as Director and Chairman. Archie Eglinton, a man of strong
commitment and integrity, led us wisely over a very difficult period. I am sure
you will join me in wishing him happiness and success in the years ahead.

The UK Equity Market

The end of the Iraq war in early April removed a key source of uncertainty and
led investors to focus on the more favourable prospects for recovery in the
global economy and in corporate earnings. The resulting change in attitude to
equity investment drove prices sharply higher, and the FTSE All-Share Index
(capital only) rose by 16.8% in the six months under review with most of the
increase occurring in the three months to 30 June. The overall advance was led
by sectors - for example those technology-related and media - seen most likely
to benefit from an improving economy. On the other hand, the more defensive
sectors, such as food and tobacco under-performed.

Performance

Against this background the Company's portfolio performed well, with Net Asset
Value (NAV) rising by 20.7%, 3.9 percentage points more than the FTSE All-Share
Index. The share price rose by 20.8%. On a total return basis the NAV grew by
4.9 percentage points more than the relevant benchmark. About 4 5% of the
out-performance was due to the positive effect of stock/sector selection, where
overweight exposure to FTSE 250 securities was particularly beneficial. Gearing
- the use of the Company's borrowings - was the other principal contributor to
performance. At the start of the period the Manager utilised a relatively high
proportion of the Company's borrowings. Following the strong market rally,
increasing caution led the Manager to reduce net gearing during the period, in
part by taking a short position in FTSE 100 Index Futures contracts.

Gearing

The 2003 Annual Report provided a detailed analysis of the Company's balance
sheet, and of the Board's attitude to the two debenture stocks. We have
subsequently continued to review these borrowings in the light of movements in
the UK equity and fixed interest markets. This review, given our cautiously
optimistic view of the equity market and expectation of firming bond yields,
leads us to the conclusion that this is not an appropriate time to seek to
redeem either debenture. Changes in market levels or expectations may lead us
to change this position, which is tested regularly.

Dividend

Shareholders will be aware of the Company's two objectives - to grow assets at
a higher rate than the FTSE All-Share Index, and to increase dividends by more
than the rate of UK inflation. The Company did not meet the asset performance
objective in aggregate over the six year period 199 8-200 3, thus the capital
base from which it derives income has fallen, relative to the benchmark Index.
On the other hand, dividend payments to shareholders have been increasing in
line with inflation. The result is that net income from the Company's portfolio
was not sufficient last year to cover these dividend payments; the same
position is likely to occur this year.

In the expectation of long-term growth in capital and income, it remains the
Board's objective to raise dividends at a rate faster than inflation. In the
meantime it is prepared to draw further from the Company's substantial revenue
reserves to maintain the existing dividend which is currently equivalent to a
yield approximately 40% higher than the FTSE All-Share Index. The Board will,
however, be reluctant to recommend an increase in payments from the current
level until the Company's capital base has shown a period of growth and
dividend cover has increased.

In the light of this, an unchanged interim dividend of 4.2p per share will be
paid on 3 December 2003 to shareholders on the register on 7 November 2003. The
ex dividend date will be 5 November.

Investment Policy

Further to the announcement of forthcoming amendments to the Listing Rules, the
Board has resolved that it is the Company's policy to invest no more than 15%
of its gross assets in other listed investment companies , including investment
trusts.

The Board

We have made two appointments to the Board since the Annual General Meeting in
July. Nicola Ralston, who has considerable experience at senior level in the
investment management business, joined the Board on 29 September. I am pleased
now to announce that Will Samuel, formerly Vice Chairman, European Investment
Banking, Citicorp, will also join the Board with immediate effect. Will is a
very highly regarded corporate advisor who worked for many years in Schroders'
Corporate Finance department, of which he ultimately became head.

The addition of these two experienced people, selected with the help of leading
recruitment consultants, will significantly strengthen the Board of your
Company.

Prospects

The market has moved much higher from the over-sold position seen at the start
of the period. Most commentators believe the outlook for the UK economy to be
sound, with increasing expectations of strong growth in corporate earnings.
These positives are offset by expectations of higher domestic interest rates
which may dampen sentiment towards UK equities. The UK market will also be
affected by international pressure, particularly from the US where the market,
after recent upward trends, could be vulnerable to setback if corporate
earnings disappoint. Against this generally positive background for investment,
the Manager has positioned the portfolio to provide a relatively low-risk
exposure to the UK market. The Board believes that The Edinburgh Investment
Trust will provide shareholders with a highly appropriate vehicle for long-term
savings.

Scott Dobbie

Chairman

22 October 2003

The Edinburgh Investment Trust plc

Statement of Total Return (incorporating the revenue account)

For the six months ended 30 September 2003

                    for the six months           for the six months               for year ended   
                         ended                          ended                            
                       30.09.03                       30.09.02                       31.03.03      
                      unaudited                       unaudited                      audited       

                revenue  capital     total    revenue  capital     total   revenue    capital    total 
                                                                                                       
                  £'000    £'000     £'000      £'000    £'000     £'000     £'000     £'000     £'000 
                                                                                                       
Realised              -  (13,348)  (13,348)        -  (121,208) (121,208)        -  (171,217) (171,217)
losses on                                                                                              
investments                                                                                            
                                                                                                       
Increase/             -   155,980   155,980         - (320,457) (320,457)         - (315,766) (315,766)
(Decrease)                                                                                             
in                                                                                                     
unrealised                                                                                             
appreciation                                                                                           
                                                                                                       
Income from      17,654         -    17,654    17,828         -    17,828    32,672         -    32,672
investments                                                                                            
                                                                                                       
Interest            175         -       175     1,137         -     1,137     1,682         -     1,682
receivable                                                                                             
on short                                                                                               
term                                                                                                   
deposits                                                                                               
                                                                                                       
Interest          1,479         -     1,479         -         -         -       914         -       914
receivable                                                                                             
on other                                                                                               
securities                                                                                             
                                                                                                       
Underwriting          -         -         -        43        -         43        43        -         43
commissions                                                                                            
                                                                                                       
Investment        (415)     (968)   (1,383)     (755)   (1,762)   (2,517)  (1,174))   (2,738)   (3,912)
management                                                                                             
fee                                                                                                    
                                                                                                       
Other             (526)         -     (526)     (752)        -      (752)   (1,222)         -   (1,222)
expenses                                                                                               
                                                                                                       
Exchange              -         -         -         -       (2)       (2)         -       (2)       (2)
gains/                                                                                                 
(losses)                                                                                               
                                                                                                       
Net return/      18,367   141,664   160,031    17,501 (443,429) (425,928)    32,915 (489,723) (456,808)
(loss)                                                                                                 
before                                                                                                 
finance                                                                                                
costs and                                                                                              
taxation                                                                                               
                                                                                                       
Interest        (2,944)   (6,870)   (9,814)   (2,944)  (6,870)    (9,814)   (5,850) (13,651)   (19,501)
payable                                                                                                
                                                                                                       
Return/          15,423   134,794   150,217    14,557 (450,299) (435,742)    27,065 (503,374) (476,309)
(loss) on                                                                                              
ordinary                                                                                               
activities                                                                                             
before                                                                                                 
taxation                                                                                               
                                                                                                       
Tax on                          -                   -         -         -         -         -         -
ordinary           (14)                (14)                                                            
activities                                                                                             
                                                                                                       
Return/          15,409   134,794   150,203    14,557 (450,299) (435,742)    27,065 (503,374) (476,309)
(loss) on                                                                                              
ordinary                                                                                               
activities                                                                                             
after                                                                                                  
taxation                                                                                               
                                                                                                       
Dividend                        -            (10,286)         -  (10,286)  (32,016)         -  (32,016)
               (10,197)            (10,197)                                                            
                                                                                                       
Transfer to/      5,212   134,794   140,006     4,271 (450,299) (446,028)   (4,951) (503,374) (508,325)

(from)                                                                                                 
reserves                                                                                               
                                                                                                       
Return/           6.35p    55.52p    61.87p     5.91p           (176.91p)    11.05p   (205.49 (194.44p)
(loss) per                                            (182.82p)                            p)          
ordinary                                                                                               
share                                                                                                  
                                                                                                       
Interim           4.20p                         4.20p                        13.15p                    
Dividend per                                                                                           
ordinary                                                                                               
share                                                                                                  

These financial statements have been prepared in accordance with the AITC
Statement of Recommended Practice (SORP) issued in January 2003.  

The Edinburgh Investment Trust PLC

Balance Sheet

As at 30 September 2003

                                      30.09.03   30.09.02  31.03.03
                                                                   
                                     unaudited  unaudited   audited
                                                                   
                                         £'000      £'000     £'000
                                                                   
Fixed assets                                                       
                                                                   
Investments                            931,340    895,658   806,197
                                                                   
Current assets                                                     
                                                                   
Debtors                                 10,711     19,365    12,380
                                                                   
Fidelity Institutional Cash             93,893     20,131    68,414
Fund                                                               
                                                                   
Cash and other short term                    -     45,643    14,808
deposits                                                           
                                                                   
Amounts held at futures                  2,332          -         -
clearing houses and brokers                                        
                                                                   
                                       106,936     85,139    95,602
                                                                   
Creditors - amounts falling           (21,724)   (32,828)  (25,380)
due within one year                                                
                                                                   
Net current assets                      85,212     52,311    70,222
                                                                   
Total assets less current            1,016,552    947,969   876,419
liabilities                                                        
                                                                   
Creditors - amounts falling          (195,228)  (194,977) (195,101)
due after more than one                                            
year                                                               
                                                                   
Total net assets                       821,324    752,992   681,318
                                                                   
Capital and reserves                                               
                                                                   
Called up share capital                 60,699     61,549    60,699
equity                                                             
                                                                   
Other reserves                         760,625    691,443   620,619
                                                                   
Total equity shareholders'             821,324    752,992   681,318
funds                                                              
                                                                   
Net asset value per                    336.31p    303.81p   278.59p
ordinary share:                                                    
                                                                   
                                                                   

The balance sheet as at 31 March 2003 has been extracted from the accounts for
the year ended 31 March 2003 which have been delivered to the Registrar of
Companies and on which the auditors gave an unqualified report.

The statement of total return and the balance sheet do not represent full
accounts in accordance with Section 240 of the Companies Act 1985.

 

The Edinburgh Investment Trust plc

Cash Flow Statement

For the six months ended 30 September 2003

                             30.09.03  30.09.02   31.03.03          
                                                                    
                            unaudited unaudited    audited          
                                                                    
                                £'000     £'000      £'000          
                                                                    
Net revenue before finance     18,367    17,501     32,915          
costs and taxation                                                  
                                                                    
Decrease in debtors             3,018     4,801      2,779          
                                                                    
Increase in creditors           2,038       690        437          
                                                                    
Expenses charged to             (968)   (1,762)    (2,738)          
capital                                                             
                                                                    
Net cash inflow from           22,455    21,230     33,393          
operating activities                                                
                                                                    
Net cash outflow from         (9,625)   (9,625)   (19,250)          
servicing of finance                                                
                                                                    
Overseas taxation paid           (14)         -          -          
                                                                    
Net cash inflow/(outflow)      21,917  (22,605)     12,022          
from financial investment                                           
                                                                    
Equity dividends paid        (21,730)  (21,296)   (31,636)          
                                                                    
Net cash inflow/(outflow)      13,003  (32,296)    (5,471)          
before use of liquid                                                
resources and financing                                             
                                                                    
Net cash (outflow)/inflow    (25,479)    77,700     29,417          
from management of liquid                                           
resources                                                           
                                                                    
Net cash outflow from               -   (2,558)   (11,935)          
financing                                                           
                                                                    
Decrease/(increase) in       (12,476)    42,846     12,011          
cash                                                                

Copies of the interim report will be posted to shareholders as soon as
practicable. Copies will also be available to the public at the Company's
registered office and from the Secretary at Beech Gate, Millfield Lane, Lower
Kingswood, Tadworth, Surrey KT20 6RP