Final Results

Cater Barnard PLC
23 December 2002



FOR IMMEDIATE RELEASE                                    Date:  23 December 2002


                               Cater Barnard plc
                                     (AIM)

            PRELIMINARY RESULTS FOR THE YEAR ENDED 30 SEPTEMBER 2002



Enquiries:

Cater Barnard plc                                                  0870 066 0830
Stephen Dean, Chairman                                              07785 938782
Adrian Stecyk, Executive Director (USA)                         001 646 258 7269


Beaumont Cornish Limited
Roland Cornish                                                     020 7628 3396


                              CHAIRMAN'S STATEMENT


The year under review has been one of much disappointment to your Board as stock
market conditions both in the UK and in the US have made it difficult to realize
much of our investments at realistic prices and therefore thwarted any
acquisition prospects. Equally, vendors of private companies have yet to become
more realistic as to their valuation expectations.

In August of this year the Board also decided to abort its rollout programme of
IFA acquisitions due to funding uncertainties and therefore released Mr.Jonathan
Everill and Mr. Mark Garratt from the Board.

Much of the losses shown in the profit and loss accounts and balance sheets, are
as a direct result of reducing asset carrying costs of the investments both here
and in our subsidiary, Cater Barnard (USA) plc.

Industry-wide declines in the level of activity significantly depressed revenues
in their investment banking and brokerage businesses. Similarly, stock market
declines have significantly decreased the value of their investment assets.

On a brighter note our investments in Envesta plc and IMX Pharmaceuticals, Inc.
(now the Dialog Group) continue to do well as public companies in their own
right: both are fully reporting businesses. This gives us substantial confidence
that our support will eventually bear fruit. Your Company currently has interest
and dividend income from these two investments of circa £150,000 per annum.

During the year shareholders at the EGM approved the cancellation of the share
premium account against which all previous losses can be set. This will provide
for a timely return to the dividend list once profitable trading is established.

The Board is in various discussions regarding the disposal of some of its
investments and, in particular, is reviewing its US investment banking business.

Once the investments have been realized your board, with approval from
shareholders can decide in which direction we should take the business. Our
overhead costs have been radically reduced.

During the year substantial monies have been lent to the Company by entities
connected with me at below market rate in order to support the Company until
such times as we can move forward. I remain firmly committed to producing a
satisfactory outcome for all shareholders.

I would like to take this opportunity to thank everyone involved in the business
for their continued support.


Stephen Dean
Chairman


CONSOLIDATED PROFIT AND LOSS ACCOUNT
Year ended 30 September 2002


                                                              
                                                              30 September 2002                 30 September 2001
                                                  Goodwill &
                                                 Investments            Trading          Total
                                                           £                  £              £                  £

TURNOVER - Continuing                                      -            783,494        783,494          4,121,642


COST OF SALES                                              -           (96,735)       (96,735)          (594,144)
                                                   _________            _______       ________          _________
GROSS PROFIT                                               -            686,759        686,759          3,527,498


Administrative expenses                            (105,748)        (1,401,045)    (1,506,793)        (1,011,807)
Goodwill impairment write off                    (1,056,848)                  -    (1,056,848)                  -
                                                   _________          _________      _________          _________
OPERATING (LOSS)/PROFIT                          (1,162,596)          (714,286)    (1,876,882)          2,515,691

-   Continuing                                   (1,162,596)          (714,286)    (1,876,882)          2,515,691

Losses on fixed asset investments               (11,362,440)                  -   (11,362,440)          (306,957)
Interest receivable and similar income                     -             85,362         85,362             17,337
Interest payable and similar charges                       -          (133,555)      (133,555)          (319,713)
                                                 ___________           ________     __________          _________
(LOSS)/PROFIT ON ORDINARY

ACTIVITIES BEFORE TAXATION                      (12,525,036)          (762,479)   (13,287,515)          1,906,358

                                                  __________           ________
Tax on (loss)/profit on ordinary
activities
                                                                                       305,825          (343,595)
                                                                                   ___________          _________
(LOSS)/PROFIT ON ORDINARY
ACTIVITIES AFTER TAXATION                                                         (12,981,690)          1,562,763
Minority interest                                                                      209,869           (92,535)
                                                                                   ___________          _________
Retained (LOSS)/profit for the
financial YEAR                                                                    (12,771,821)          1,470,228
                                                                                   ___________           ________

(Loss)/earnings per ordinary share                  (note 1)                           (2.45)p              1.16p
                                                                                         _____               ____
Diluted (loss)/earnings per ordinary                                                   (2.45)p              1.16p
share
                                                                                         _____               ____
All activities derive from continuing
operations.



CONSOLIDATED BALANCE SHEET
30 September 2002
                                                                 30 September 2002         30 September 2001
                                                                                 £                         £

FIXED ASSETS

Intangible assets                                                                -                 1,149,966

Tangible assets                                                             35,020                    54,612
Investments                                                              8,629,307                18,536,683
                                                                         _________                 _________
                                                                         8,664,327                19,741,261
                                                                         _________                 _________
CURRENT ASSETS

Debtors                                                                    364,906                 1,144,424
Cash at bank and in hand                                                    18,678                   162,598
                                                                         _________                 _________
                                                                           383,584                 1,307,022
CREDITORS: amounts falling due within one
year                                                                   (1,578,912)               (2,484,887)
                                                                         _________                 _________
NET CURRENT LIABILITIES                                                (1,195,328)               (1,177,865)

                                                                         _________                 _________



TOTAL ASSETS LESS CURRENT LIABILITIES                                    7,468,999                18,563,396

CREDITORS: amounts falling due after more
than one year
                                                                         (139,515)               (4,200,000)
Equity minority interest                                                  (81,815)                 (289,184)
                                                                          ________                 _________
NET ASSETS                                                               7,247,669                14,074,212
                                                                          ________                 _________

CAPITAL AND RESERVES

Called up share capital                                                  7,862,386                 1,663,457
Share premium account                                                   13,103,185                13,346,836
Revaluation reserve                                                              -                    10,000
Profit and loss account                                               (13,717,902)                 (946,081)
                                                                         _________                 _________
EQUITY SHAREHOLDERS' FUNDS                                               7,247,669                14,074,212

                                                                         _________                 _________

Net assets per ordinary share                                                0.92p                     8.46p
                                                                            ______                    ______



CASH FLOW STATEMENT
Year ended 30 September 2002


                                                                 30 September 2002         30 September 2001
                                                                                 £                         £

Net cash (outflow)/inflow from operating
activities (note 2)                                                      (526,847)                 2,087,866
                                                                       
Returns on investments and servicing of finance
Interest received                                                           85,362                    17,337
Interest paid                                                            (133,555)                  (32,510)
                                                                          ________                   _______
Net cash outflow  from returns on

Investments and servicing of finance                                      (48,193)                  (15,173)
                                                                          ________                   _______

Taxation Paid                                                                    -                   (8,300)
                                                                          ________                   _______

Capital expenditure and financial

Investment
Payments to acquire tangible fixed assets                                 (33,287)                  (62,532)
Receipts from sales of tangible fixed assets                                34,678                         -
Payments to acquire investments                                        (3,296,817)              (14,986,832)
Receipts from sales of investments                                       1,831,753                 9,579,748
                                                                         _________                __________
Net cash outflow from investing activities                             (1,463,673)               (5,469,616)

                                                                         _________                __________

Acquisitions and disposals

Purchase of subsidiary undertakings                                              -                 (554,033)
                                                                         _________                 _________
Net cash outflow from acquisitions and
disposals                                                                        -                 (554,033)
                                                                         _________                __________

Net cash outflow before financing                                      (2,038,713)               (3,959,256)

                                                                         _________                __________
Financing

Issue of ordinary share capital                                          6,198,925                 1,352,504
Debt finance (repaid)/raised                                           (4,060,485)                 2,729,807
Expenses on issuing equity shares                                        (243,647)                  (23,796)
                                                                         _________                __________
Net cash inflow from financing                                           1,894,793                 4,058,515

                                                                         _________                __________
(Decrease)/increase in cash in the year                                  (143,920)                    99,259

                                                                         _________                __________


NOTES

     1    Earnings Per Share
               
          The basic earnings per share are calculated by dividing the loss for 
          the financial year attributable to shareholders by the weighted 
          average number of shares in issue. In calculating the diluted earnings 
          per share, share options and warrants outstanding have been taken into 
          account.

          The weighted average number of shares was:
                                                                     30 September 2002       30 September 2001
                                                                                Number                  Number


          Basic weighted average number of shares ('000)                       521,214                 126,389

          Dilutive potential ordinary shares:
             Share warrants ('000)                                                   -                       -
                                                                               _______                  ______
                                                                               521,214                 126,389
                                                                               _______                  ______



2    Net cash (outflow)/inflow from operating activities
     
                                                                30 September 2002        30 September 2001
                                                                                £                        £

Operating (loss)/profit                                               (1,876,882)                2,515,691
Depreciation charge                                                        18,201                    9,640
Amortisation                                                              105,748                   18,609
Goodwill impairment                                                     1,056,848                        -
Loss on disposal of fixed assets                                                -                    2,150
Decrease/(increase) in debtors                                            779,518              (1,039,020)
(Decrease)/increase in creditors                                        (610,280)                  580,796
                                                                         ________                  _______
                                                                        (526,847)                2,087,866

                                                                         ________                  _______



3    The financial information set out in this document does not constitute 
     statutory group accounts.

4    The above financial information for the year ended 30 September 2002 and 
     2001 have been extracted from the statutory accounts for those years on
     which the auditors gave an unqualified opinion. Statutory accounts for the 
     year ended 30 September 2001 have been delivered to the Registrar of 
     Companies. The statutory accounts for the year to 30 September 2002 will be 
     posted to shareholders  and, after being laid before the Annual General 
     Meeting, will be delivered to the Registrar of Companies.

5    The preliminary announcement was approved by the Board of Directors on 23 
     December 2002.

6    The Board of Directors does not propose to pay a dividend.


Copies of the Report and Accounts will be available to the public, free of
charge, from the office of Cater Barnard plc, Lloyd's Avenue House, 6 Lloyd's
Avenue, London, EC3N 3AX during normal office hours, with the exception of
Saturdays, Sundays and bank holidays, for one month from today.


Enquiries:

Cater Barnard plc                                                  0870 066 0830
Stephen Dean, Chairman                                              07785 938782
Adrian Stecyk, Executive Director (USA)                         001 646 258 7269

Beaumont Cornish Limited
Roland Cornish                                                     020 7628 3396

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