Disposal

Senior PLC
12 August 2004



DISPOSAL OF FIVE INDUSTRIAL HOSE BUSINESSES


Senior plc ('Senior') is pleased to announce the disposal of its five industrial
hose operations, historically forming part of Senior's Industrial Division, to
Hose Acquisition Company Limited (the 'Purchaser') for a total anticipated
consideration, on a debt-free / cash-free basis, of £8.3m.

The consideration, which is subject to a net asset purchase price adjustment, is
being discharged by way of £5.8m of cash at completion and the issue of a £2.5m
convertible loan note and £2.5m in convertible preference shares. The cash
element of the sale proceeds will be used to reduce Group borrowings.

These convertible instruments, which pay market rates of interest and dividends
at quarterly intervals, are each convertible at Senior's option into 12.5% of
the ordinary share capital of the Purchaser. The Purchaser has the option of
redeeming, for cash, both instruments at a discount to face value of 50% within
the first year and, in calculating the anticipated total consideration of £8.3m,
it has been assumed that the Purchaser exercises this option.

In total, the five industrial hose operations, located in the USA, UK, Sweden,
Holland and France, reported profit before interest and tax of £0.5m on third
party turnover of £16.6m for the six month period to 30 June 2004. The net
assets attributable to the five hose operations at completion were £10.8m.

After taking into account disposal costs and the write-off of £1.3m of goodwill
held on the balance sheet in respect of these operations, the transaction is
expected to result in a reduction in shareholders' funds of £4.5m. A loss on
disposal of £13.2m is expected when £8.7m of goodwill previously written off
directly to reserves is taken back through the profit and loss account.

Commenting on the disposal, Graham Menzies, Group Chief Executive said: 'This
disposal reflects the continuing implementation of the Group's strategy, set out
in May 2000, to focus its activities on the aerospace and automotive markets and
to reduce its borrowing levels. Prior to this transaction, the Group's net
borrowings, of £57.9m at 30 June 2004, had fallen by over £104m since the
strategy was implemented.'

For further information please contact:

Senior plc

Graham Menzies, Group Chief Executive                     01923 714702

Mark Rollins, Group Finance Director                      01923 714738
Finsbury Group

Morgan Bone / Gordon Simpson                              020 7251 3801


This announcement, together with other information on Senior plc may be found
at: www.seniorplc.com

Note to Editors:

Senior is an international manufacturing group with operations in 12 countries.
Senior designs, manufactures and markets high technology components and systems
for the principal original equipment producers in the worldwide aerospace,
automotive and specialised industrial markets.


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