Trading Statement

CRH PLC
1 November 2001

                           TRADING UPDATE STATEMENT

CRH plc, the international building materials group, today issued the
following trading statement which updates the statement on outlook for 2001
which was included in the Interim Report dated September 4, 2001.


Seven weeks have passed since the appalling terrorist attacks in New York,
Washington and Pennsylvania and, while CRH's Materials and Distribution
operations in the New York metropolitan area suffered major disruption in the
immediate aftermath of the attacks, our other U.S. operations were not
significantly affected. However in more recent weeks, due to the impact of
declining consumer confidence, increasing job-layoffs and security fears,
there has been a softening of demand patterns, particularly for those of our
U.S. operations exposed to the residential and non-residential construction
sectors. Our European operations have also been impacted and the negative
trends already identified in the Interim Report have gathered pace. On the
positive side however, energy costs remain low and US infrastructure demand,
underpinned by TEA 21, remains healthy. We are continuing our ongoing process
of ensuring our businesses are efficient and that costs are reduced. In this
context we have decided to close a further clay products facility in Germany.


While the net effect of the above factors is adverse, we expect that 2001
profit before tax, and after goodwill amortisation, will be in the range Euro
760 million to Euro 790 million compared with the record 2000 out-turn of Euro
697 million.


For 2002 there have been downward reductions in forecast GDP growth rates for
almost all of the world's economies. While strong infrastructural programmes
will underpin construction activity in a number of CRH's major markets and may
well be boosted by further employment-generating public spending measures,
these public programmes may not compensate fully for weakness in private
sector construction despite recent reductions in interest rates. Thus, while
the medium term impact of the recent terrorist action and ensuing events is
impossible to quantify precisely, we anticipate continued challenging trading
conditions in the first half of 2002.


Commenting on recent events, Mr. Liam O'Mahony, CRH Group Chief Executive said
today; 'Despite the current difficult and uncertain outlook we are confident
that CRH's balanced geographic, sectoral and product spread will underpin our
performance and form a sound basis for future progress. We are taking all
necessary cost reduction and efficiency generating actions in response to the
anticipated trading environment. Our cash flow and balance sheet remain strong
and with comfortable interest cover we remain alert for the development
opportunities that are inevitably generated by uncertain markets'.


Contact CRH at Dublin 404 1000 ([phone])

Liam O'Mahony, Chief Executive

Harry Sheridan, Finance Director

Myles Lee, General Manager-Finance

CRH plc, Belgard Castle, Clondalkin, Dublin 22, Ireland TELEPHONE
+353.1.4041000 FAX [phone]

E-MAIL [e-mail] WEBSITE www.crh.com Registered Office, 42 Fitzwilliam
Square, Dublin 2, Ireland