New GBP900m Banking Facility

Grainger Trust PLC
01 July 2004






FOR IMMEDIATE RELEASE

1st July 2004


                              GRAINGER TRUST plc:

                  NEW £900 MILLION COMMITTED BANKING FACILITY


Grainger Trust plc ('Grainger' or 'the Group') today announces that it has
entered into a new £900 million committed banking facility.


The new facility comprises three tranches: a £225 million 5-year term loan, a
£475 million 5-year bullet revolving credit facility, and a £200 million term
loan amortising evenly between 7 and 10 years from signing. The margin on
drawings is 0.90% for the 5-year tranches, and 1.00% for the 7-10 year
amortising tranche. The facility is secured by way of floating charges over most
of the Group's property-owning companies.


The new facility has been provided by Barclays Bank PLC, The Royal Bank of
Scotland plc and Lloyds TSB Bank plc (as Joint Mandated Lead Arrangers and Joint
Bookrunners) and Allied Irish Bank plc, Bradford & Bingley plc, HBOS PLC,
National Australia Bank Limited and Nationwide Building Society (as Senior Lead
Arrangers). It has been arranged on a 'club' basis, and will not be syndicated
further. Cazenove acted as Debt Financial Adviser to Grainger.


Commenting on the new facility, Andrew Cunningham, Deputy Chief Executive and
Finance Director of Grainger said: 'The majority of the new facility will be
used to replace some £665 million of our existing facilities, and will reduce
the average interest margin we pay, reduce associated costs, and provide us with
greater flexibility in the way we manage our property portfolios and financing.
The remainder of the new facility will initially be undrawn, but will provide us
with committed headroom to pursue our growth strategy.'


                                     Ends.

Enquiries:

Grainger Trust: Andrew Cunningham, Deputy Chief Executive and Finance Director,
0191 269 5902.

Cazenove: Francis Burkitt, Managing Director, 020 7155 8855.


Baron Phillips Associates: Baron Phillips, 020 7920 3161.







                      This information is provided by RNS
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