Acquisition

Headlam Group PLC
3 January 2002

3 January 2002

Headlam Group plc


Headlam Group plc ('Headlam'), the leading UK floorcoverings distributor,
announces that on Friday, 21 December 2001 it acquired the trade, stock and
exclusive marketing and distribution rights of Georgian Carpets ('Georgian').

Georgian, a national supplier of high quality residential tufted carpets will
be relocated to Headlam's West Midlands distribution centre and is in keeping
with Headlam's strategy of operating multiple trade brands to achieve an
enhanced market presence from existing facilities.

Consideration will be based on the assets acquired and will be established
when the final asset position has been determined. Annualised sales for this
business amount to approximately £3.0 million.


Enquiries:  Gary Phillips   Headlam Floorcoverings Divisional Finance Director

Tel : [phone]


End

3 January 2002