Themis FTSE Fldg Idx

Interim Results - Capital NAV Up 20.8%

21 October 1999

Chairman's Statement                                                 
The Board of Themis FTSE Fledgling Index Trust PLC (the 'Company') presents its
interim results for the six months to 30 September 1999.                      
In line with the generally good performance of the small company sector during
the period under review, the capital net asset value per share increased from
112.4 pence on 1 April 1999 to 135.8 pence on 30 September 1999, an increase
of 20.8%.  This compares with a rise of 21.3% in the FTSE Fledgling Index
(excluding investment trusts) on a capital gains basis, for the same period.  
The Board has declared an interim dividend of 1.0 pence (net) per share on the
ordinary 25p shares of the Company (1998 - 1.0 pence net) which is payable on
3 December 1999 to those shareholders who are registered at the close of
business on 5 November 1999.                                          
Year 2000                                                 
Many computer and digital storage systems express dates using only the last
two digits of the year and will thus require modification or replacement to
accommodate the Year 2000 and beyond in order to avoid malfunctions and
resulting widespread commercial disruption.                                   
The Manager has instigated a programme to establish the precise scope of the
risks posed to Themis FTSE Fledgling Index Trust by the consequence of the
Year 2000 date change and to address those risks. The Manager's strategy is to
ensure that its computer systems achieve Year 2000 conformity and to require
its suppliers, the Custodian and other suppliers to the Trust to ensure that
their computer systems achieve the same or any equivalent standard. The
Manager is not aware of any costs associated with implementing Year 2000
Compliance which will be incurred directly by the Trust.                      
Share Buy-Backs                                                 
Changes to UK tax legislation from 6 April 1999 have allowed investment trust
companies to buy in their own shares for cancellation without incurring any
Advance Corporation Tax liability. Alterations to the Companies Act 1985,
effective from 8 November 1999, will allow investment trust companies to use
realised capital profits for this purpose. Accordingly, it is the intention of
the Board to propose the necessary resolutions at the next Annual General
Meeting to seek shareholders' authority to buy back shares in the Company.
Meanwhile, the Board will continue to monitor the effect of share buy-backs as
they are implemented.                                                 
10 Park Place                                                 
London SW1A 1LP                                                 
21 October 1999                                                 

Interim Results                                                 

                                   UNAUDITED       UNAUDITED       AUDITED
                                      1999           1998           1999
                                  6 months to    6 months to     12 months to
                                    30 Sept        30 Sept         31 March
                                Note   £              £               £
Revenue Return                                                 
Investment income                   1,138,892      1,335,121       2,228,369
Interest receivable                    30,342         32,778         116,565
Stock lending income                   27,520         25,672          48,685
                                    1,196,754      1,393,571       2,393,619
Management fees                      (362,820)      (349,714)       (645,295)
Other administration expenses        (103,898)       (89,053)       (203,586)
Net return before 
finance costs and taxation            730,036        954,804       1,544,738
Tax on ordinary activities         1 (113,890)      (266,880)       (410,790)
Return on ordinary activities after                                           
tax for the financial period          616,146        687,924       1,133,948
Dividends on equity shares         2 (502,704)      (502,704)     (1,131,084)
Transfer to reserves                  113,442        185,220           2,864
Revenue Return per Ordinary Share  3    1.23p          1.37p           2.26p

Balance Sheet                        UNAUDITED       UNAUDITED       AUDITED
                                       As At          As At           As At
                                  30 Sept. 1999   30 Sept. 1998  31 March 1999
                                         £               £             £
Fixed Assets                                                 
Investments                          67,419,728      48,638,651    55,764,483
Current Assets                                                 
Debtors and prepayments               1,095,995         487,094       962,505
Short term deposits
and bank balances                     1,048,527       2,298,566     1,063,674
                                      2,144,522       2,785,660     2,026,179
Creditors : Amounts falling 
due within one year                  (1,006,011)       (576,391)   (1,121,101)
Net Current Assets                    1,138,511       2,209,269       905,078
Total Assets 
Less Current Liabilities             68,558,239      50,847,920    56,669,561
Capital And Reserves                                                 
Called Up Share Capital              12,567,600      12,567,600    12,567,600
Share Premium                        40,299,118      40,299,118    40,299,118
Capital Reserve                      15,417,475      (2,361,763)    3,642,239
Revenue Reserve                         274,046         342,965       160,604
Total Equity Shareholders' Funds     68,558,239      50,847,920    56,669,561
Net Asset Value per Ordinary Share 4    136.38p         101.15p       112.73p
Share Price Middle Market Quotation     112.50p          75.50p        83.75p

Notes to the accounts                                                 
(1) The charge for taxation is calculated by applying the Directors' best
estimate of the annual tax rate to the revenue for the period. Taxation
deferred or accelerated is accounted for in respect  of all material timing
differences to the extent that it is probable that a liability or asset will
(2) The Board has declared the payment on 3 December 1999 of an interim
dividend of 1.0 pence (net) to ordinary shareholders (1998 - 1.0 pence) on the
register at the close of business on 5 November 1999. 
(3) Revenue return per Ordinary Share has been calculated on the basis of
50,270,400 ordinary shares in issue throughout the period (1998 - 50,270,400
ordinary shares), and net revenue attributable to these shares of £616,146
(1998- £687,924). 
(4) Net asset value per Ordinary Share has been calculated on the basis of
50,270,400 ordinary shares in issue throughout the period (1998 - 50,270,400
ordinary shares), and net assets at the period end of £68,558,239 (1998 -
(5) Copies of the interim report will be sent to shareholders and will also be
available from the Company's registered office at 10 Park Place, London SW1A
1LP in early November.                                          
The figures for the year ended 31 March 1999 are abridged from the published
accounts which received an unqualified auditor's report and have been filed
with the Registrar of Companies. The interim results have been prepared on the
basis of the accounting policies set out in the Company's statutory accounts
for the year ended 31 March 1999. The accounts are not the Company's statutory
accounts for the purposes of Section 240 of the Companies Act 1985.