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Alumasc Group Plc (ALU)

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Monday 17 January, 2005

Alumasc Group Plc

Disposal of G E Bissell & Co

Alumasc Group PLC
17 January 2005



                              THE ALUMASC GROUP PLC
                                        
            Disposal of G E Bissell & Co / Interim Announcement Date

Alumasc, the high specification engineering and building products group,
announces the sale on 14 January 2005 of the business and certain assets of G E
Bissell & Co ("Bissell"), to a private company. Bissell manufactures and
supplies spring pins and disc springs. Bissell lost £0.2 million on turnover of
£2.95 million in the year to 30 June 2004 and has remained in loss during the
first 6 months of the current financial year.

Chief Executive Paul Hooper stated: "This transaction has enabled the Group to
dispose of a small, loss-making, non-core business which will generate cash for
our stated plan to focus development on our core activities of Precision
Components and Specification Building Products where acquisitions were announced
in July and September 2004."

The sale comprises an initial payment for goodwill, together with an option to
purchase plant and equipment. The purchaser will pay for stock over a period of
6 months at a rate and value dependent on usage. During this time, Alumasc will
liquidate the remaining working capital. Ownership of the freehold site will be
retained by Alumasc.

The assets subject to the transaction, including working capital, have a book
value of
£1.5 million and are expected to realise £1 million in cash before costs of £0.2
million. The freehold site will be written down by £0.3 million to its estimated
market value of
£0.5 million. Alumasc intends to account for this transaction in its accounts
for the half year ended 31 December 2004 as a discontinued business.

The cash released by the transaction will be used for developing the Group's
core business.

Alumasc intends to announce its Interim Results for the 6 months ended 31
December 2004 on 10 February 2005.

Enquiries:

The Alumasc Group plc                                            01536-383 844
John McCall (Chairman)
Paul Hooper (Chief Executive)

Bankside Consultants Limited
Charles Ponsonby                                                 020-7444 4166




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