Interim Results

Cropper(James) PLC
19 November 2001

Issued on behalf of James Cropper PLC

Date: Monday, 19 November 2001     Embargoed: 7.30am


                              James Cropper PLC

                          'Specialist Paper Makers'

                               Interim Results

                   for the 26 weeks ended 29 September 2001

                                      Half-year to   Half-year to Full year to
                                    September 2001 September 2000   March 2001

  * Group profit/(loss) before               £0.8m          £0.5m      (£0.8m)
    tax

  * Earnings per share                        6.2p           3.6p       (7.9p)

  * Dividend per share                        1.8p           1.8p         6.3p

  * Gearing                                    36%            20%          34%

  * All divisions have traded profitably in the first six months

  * Papermaking Division returns to profit after a 2.5% like for like volume
    increase and a reduction in the Division's cost base

  * Joint development with Johnson Matthey of fuel cell components continues
    to make steady progress

  * Maintained interim dividend at 1.8p


    'The uncertainty generated by the terrorist attack on the United States
    and consequent actions on top of the global slowdown makes it extremely
    difficult to forecast the outcome for the full year. Demand in all three
    of our businesses is anticipated to be subdued in the second half. The
    Group is well equipped and ready to take full advantage of the return to
    normal market and economic conditions.'

    'We expect increasing benefits from the Papermaking Division's plans to
    improve efficiency and reduce costs.'

    'Capital expenditure for the current year will be lower than the previous
    year thus strengthening cash flow and reducing borrowings ensuring that
    the Group remains financially strong.'

                                                         J A Cropper, Chairman



                           FULL STATEMENT ATTACHED


Enquiries:
Alun Lewis, Chief Executive                     Alan Cooke
John Denman, Finance Director
James Cropper PLC                               Citigate Dewe Rogerson
Today: 020 7282 8000 (8.00am-11.00am)           Today: 020 7282 8000
Thereafter: 01539 722002                        Thereafter: 0121 455 8370
www.cropper.com                                 Mobile: [phone]


                                     -2-




                              James Cropper PLC

                               Interim Results

                   for the 26 weeks ended 29 September 2001




STATEMENT BY THE CHAIRMAN, J A CROPPER

I am pleased to report that the Group's three divisions have traded profitably
in the opening half of the current financial year.


Group turnover has increased to £27.6m (2000: £26.3m) with profit before tax
increasing to £763,000 (2000: £459,000) and basic and diluted earnings per
share to 6.2p (2000: 3.6p).


The interim dividend is being maintained at 1.8p.


Papermaking Division

Papermaking moved back into profit in April 2001 after the relentless increase
in the cost of pulp reversed. Although demand for speciality paper is still
weak our selling prices have remained stable and sales volume has increased by
2.5% over the same period last year. Papermaking's recovery plan with its
action on overheads has started to deliver savings with more to come from
efficiency improvements both in raw material usage and working practices.


Converting Division

Converting's operating profit is at the same level as last year with a slight
reduction in volume but turnover is marginally up.


Technical Fibre Products ('TFP')

TFP is trading profitably but at a lower level than expected due to the global
industrial slowdown over the past six months. This predominantly affects sales
to customers in traditional industries in Europe and Japan. Business in the
United States has shown growth over last year but has slowed down from a peak
in the first quarter. Our joint development with Johnson Matthey of fuel cell
components continues to make steady progress.


Outlook

The uncertainty generated by the terrorist attack on the United States and
consequent actions on top of the global slowdown makes it extremely difficult
to forecast the outcome for the full year. Demand in all three of our
businesses is anticipated to be subdued in the second half. The Group is well
equipped and ready to take full advantage of the return to normal market and
economic conditions.


We expect the Papermaking Division to remain profitable despite lower demand.
We believe that pulp prices are now close to the bottom of the cycle and
producers are attempting to increase prices from the current level. We will
continue to refocus our business sector mix in favour of high value book
publishing, luxury packaging and design grades. We expect increasing benefits
from the Papermaking Division's plans to improve efficiency and reduce costs.


The Converting Division will be affected by falling sales of mountboard to the
United States and a more general slowdown across all markets in the UK.
However every effort will be made to maintain profits at a similar level to
last year with cost saving investments and initiatives.


We expect the current trading conditions in TFP to continue through the rest
of the year though at a reduced level to last year due to the current
uncertainties.


Capital expenditure for the current year will be lower than the previous year
thus strengthening cash flow and reducing borrowings ensuring that the Group
remains financially strong.


                                     -3-




                              James Cropper PLC

                               Interim Results

    Group Profit and Loss Account for the 26 weeks ended 29 September 2001

                                              Half-year   Half-year  Full year
                                                     to          to         to

                                              September   September      March 
                                                   2001        2000       2001
                                                                        
                                                  £'000       £'000      £'000

Turnover                                         27,578      26,290     54,242

Operating profit/(loss)                           1,080         674      (260)

Other non-operating income                           21          19         30

Net interest payable and similar charges          (338)       (234)      (549)

Profit/(loss) on ordinary activities before
taxation                                            763         459      (779)

Taxation                                          (244)       (161)        121

Profit/(loss) on ordinary activities after
taxation                                            519         298      (658)

Dividend                                          (150)       (150)      (527)

Retained profit/(loss) for the period               369         148    (1,185)
                                                    
Earnings per share - basic and diluted
(note 3)                                           6.2p        3.6p     (7.9p)

Dividend pence per share (note 4)                  1.8p        1.8p       6.3p
                                                   


                                     -4-




                              James Cropper PLC

                               Interim Results

                 Group Balance Sheet as at 29 September 2001



                                         September      September 2000    March
                                              2001                         2001
                                                    (as restated - see
                                             £'000             note 5)    £'000

                                                                 £'000

Tangible assets                             27,610              27,085   27,927

Investments                                    738                 738      738

Fixed assets                                28,348              27,823   28,665
                                            
Stocks                                       6,152               6,100    6,223
                                             
Debtors                                     11,449              11,367   12,888

Cash at bank and in hand                        77                 212        2

Current assets                              17,678              17,679   19,113
                                            
Creditors (amounts falling due within 1   (10,867)            (11,171) (12,340)
year)

Net current assets                           6,811               6,508    6,773
                                             
Total assets less current liabilities       35,159              34,331   35,438
                                            
Creditors (amounts falling due after       (4,525)             (2,882)  (5,188)
more than 1 year)

Deferred taxation                          (3,964)             (3,815)  (3,949)

                                            26,670              27,634   26,301

Called up share capital                      2,090               2,090    2,090

Share premium account                          454                 454      454

Revaluation reserve                            292                 329      292

Profit and loss account                     23,834              24,761   23,465

Capital and reserves                        26,670              27,634   26,301
                                            

             Statement of Group Total Recognised Gains and Losses

Profit/(loss) for the year                      519                298    (658)
Total recognised gains and (losses) for
the year                                        519                298    (658)
Prior year adjustment                             -            (2,849)  (2,849)
Total gains and (losses) since last
Annual Report                                   519            (2,551)  (3,507)


                                     -5-




                              James Cropper PLC

                               Interim Results

      Group Cash Flow Statement for the 26 weeks ended 29 September 2001

                                                Half-year Half-year    Full
                                                       to        to year to

                                                September September   March
                                                     2001      2000    2001

                                                    £'000     £'000   £'000

Operating profit/(loss)                             1,080       674    (260)

Depreciation charges                                1,905     1,740   3,645

Profit on fixed asset disposals                         -         -      (1)

Decrease/(increase) in stocks                          71      (202)   (325)

Decrease/(increase) in debtors                      1,016       820    (262)

(Decrease)/increase in creditors                   (2,456)     (125)    536

Cash flow from operating activities                 1,616     2,907   3,333
                                                    
Interest received                                      24         7      35

Interest paid (including interest element of finance (276)     (111)   (622)
leases)

Dividends received                                     21        19      19

Tax paid                                              (25)     (266)   (670)

Purchase of tangible fixed assets                  (1,591)   (1,652) (4,400)

Proceeds from disposal of tangible fixed assets         3         -       3

Equity dividends paid                                (377)     (377)   (527)

Net cash (outflow)/inflow before financing           (605)      527  (2,829)
                                                     
Financing
New debt due beyond 1 year                              -         -   4,000

Repayment of bank loans                              (652)     (295)   (661)

Capital element of finance lease payments               -         -    (880)

(Decrease)/increase in net cash in period          (1,257)      232    (370)

                                                   
Reconciliation of net cash flow to movement in net debt

                                                      £'000   £'000      £'000

(Decrease)/increase in cash for the period          (1,257)     232       (370)

Decrease/(increase) in debt and finance leases         652      295     (2,459)

Movement in net debt in the period                    (605)     527     (2,829)
                                                      
Net debt at start of period                         (8,954)  (6,125)    (6,125)

Net debt at end of period                           (9,559)  (5,598)    (8,954)
                                                    


                                     -6-




                              James Cropper PLC

                               Interim Results

                                    Notes





        1.     The summarised results for the half-year ended 29 September
        2001, which have not been audited or reviewed, have been prepared in
        accordance with the accounting policies adopted in the accounts for
        the year ended 31 March 2001.


        2.     The financial information set out above does not constitute
        statutory accounts within the meaning of the Companies Act 1985. The
        figures for the year to 31 March 2001 are an extract from the full
        accounts for that year which have been filed with the Registrar of
        Companies and on which the auditors gave an unqualified opinion.


        3.     Earnings per share for the six months ended 29 September 2001
        has been calculated on the profit available for distribution and on
        8,359,114 (2000: 8,359,114) Ordinary Shares, being the weighted
        average number of shares in issue during the period.


        4.     The interim dividend of 1.8p per share (2000: 1.8p per share)
        is proposed and will be paid on 11 January 2002 to holders on the
        register at the close of business on 21 December 2001. The dividend
        for the year to 31 March 2001 was made up of a paid interim dividend
        of £150,000 (1.8p per share) and a proposed final dividend of £377,000
        (4.5p per share).


        5.     The Group adopted FRS 19 'deferred tax' in the year to 31 March
        2001. As a consequence the Balance Sheet as at September 2000 has been
        restated to reflect this change.


        6.     The above information is being sent to all shareholders and is
        available from the Company's registered office:


     James Cropper PLC

     Burneside Mills

     Kendal

     Cumbria

     LA9 6PZ


or website:     www.cropper.com