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Alumasc Group Plc (ALU)

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Tuesday 07 December, 1999

Alumasc Group Plc

Profitability Improved by Disposal of Subsidiaries

Alumasc Group PLC
7 December 1999

                    THE ALUMASC GROUP plc

   Disposals of Crew Stainless & Special Alloys and Thermex
                          Industries
                               

Alumasc, the premium engineering and building products  group,
announces  that it has recently disposed of Crew  Stainless  &
Special   Alloys  and  Thermex  Industries.   These  disposals
complete the restructuring programme announced in August  1999
which  in  aggregate  has  generated  cash  and,  through  the
elimination   of  their  trading  losses,  has   significantly
improved the profitability of the ongoing group.


The business and certain operating assets of Crew, a stainless
steel profile cutting business based in Birmingham, have  been
sold to its management.


Of the businesses comprising Thermex Industries, the business,
plant  and  stock  of Halesowen based Express Heat  Treatments
Limited  have been sold to the Folkes Group plc, the business,
plant and stock of Birmingham based ADI Limited have been sold
to  a UK subsidiary of Hulverhorn, Eisengiesserei GmbH & Co KG
of Bocholt, Germany, and the remaining Thermex Industries site
at Halesowen has been closed.


Full  provision  was  made for discontinuance  costs  and  the
impairment of the value of fixed assets and goodwill  relating
to  these  discontinued  businesses in the  group's  financial
statement at 30 June 1999.


The  consideration  to be received for these  assets  will  be
approximately  £0.8  million in cash, slightly  in  excess  of
their  written  down value at 30 June 1999.  These  businesses
made  an operating loss before tax of £1.0 million in the year
ended 30 June 1999.


Enquiries:

The Alumasc Group plc                             01536-383844
  John McCall (Chairman and Chief Executive)

Bankside Consultants Limited                     0171-220 7477
  Charles Ponsonby

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