Merger Update

F&C Capital & Income Inv Tst PLC
05 May 2005


NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN OR INTO
AUSTRALIA, CANADA, JAPAN, THE REPUBLIC OF IRELAND OR THE UNITED STATES OF
AMERICA OR TO US PERSONS. THIS ANNOUNCEMENT DOES NOT CONSTITUTE OR FORM PART OF
AN OFFER TO SELL, PURCHASE, EXCHANGE OR SUBSCRIBE FOR ANY SECURITIES OR
SOLICITATION OF SUCH AN OFFER IN THE UNITED STATES OF AMERICA OR ANY OTHER
JURISDICTION.  THE SECURITIES REFERRED TO IN THIS ANNOUNCEMENT HAVE NOT BEEN AND
WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS
AMENDED, AND WILL NOT BE OFFERED OR SOLD IN THE UNITED STATES EXCEPT PURSUANT TO
AN APPLICABLE EXEMPTION FROM REGISTRATION



                  F&C CAPITAL AND INCOME INVESTMENT TRUST PLC
                                      AND
                     F&C INCOME GROWTH INVESTMENT TRUST PLC

      Merger of F&C Capital and Income Investment Trust PLC ('FCIIT') and
               F&C Income Growth Investment Trust PLC ('FIGIT').


5 May 2005

On 4 May 2005 the High Court sanctioned the Scheme of Arrangement for the merger
of FCIIT and FIGIT. Under the terms of the Scheme of Arrangement, the FAVs per
share of FCIIT and FIGIT have been calculated as at the close of business on 28
April 2005 at 193.403p and 146.764p respectively, and the FAV ratio at 0.75885.

FIGIT Shareholders on the register at the close of business on 29 April 2005
will receive 758.85 New FCIIT Shares for every 1,000 FIGIT Shares held by them
and so on in proportion for any greater or lesser number of FIGIT Shares held.
Fractions of New FCIIT Shares will not be issued to FIGIT Shareholders, but will
be aggregated and sold in the market for the benefit of the Enlarged FCIIT.

It is expected that dealings in the New FCIIT Shares will commence on 6 May
2005. The New FCIIT Shares will rank pari passu with those currently in issue.
Share certificates for the New FCIIT Shares will, where appropriate, be posted
to shareholders by 19 May 2005. Following the Merger, FCIIT will have 82,191,279
ordinary shares in issue (including 80,000 treasury shares).

Defined terms in this announcement shall have the same meaning as in the Listing
Particulars and Circulars to shareholders issued by FCIIT and FIGIT on 18 March
2005.


Enquiries

Michael Wrobel                                                     020 7628 8000
F&C Management Limited

Howard Myles
Ernst & Young LLP, advisers to FCIIT                               020 7951 5324

Paul Fincham                                                       020 7426 7736
Jonathan Becher                                                    020 7426 3269
Teather & Greenwood, advisers to FIGIT


The directors of FIGIT accept responsibility for the information relating to
FIGIT and its directors contained in this document.  To the best of the
knowledge and belief of such directors (who have taken all reasonable care to
ensure that such is the case), the information relating to FIGIT and its
directors contained in this document, for which they are solely responsible, is
in accordance with the facts and does not omit anything likely to affect the
import of such information.

The directors of FCIIT accept responsibility for the information relating to
FCIIT and its directors contained in this document.  To the best of the
knowledge and belief of such directors (who have taken all reasonable care to
ensure that such is the case), the information relating to FCIIT and its
directors contained in this document, for which they are solely responsible, is
in accordance with the facts and does not omit anything likely to affect the
import of such information.

Ernst & Young LLP and Teather & Greenwood Limited are acting exclusively for
FCIIT and FIGIT respectively and for no one else in connection with the matters
described herein and will not be responsible for anyone other than FCIIT and
FIGIT respectively for providing the protections afforded to clients of Ernst &
Young LLP and Teather & Greenwood Limited, nor for providing advice in relation
to the matters described herein.

End


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