Circuler re Sale of Danway LLC Posted

Associated British Engineering PLC 5 November 1999 Associated British Engineering plc ('ABE or the Company') announces that it is today posting to shareholders a Class 1 Circular inter alia seeking approval for the sale of Danway LLC, ('Danway') details of which were included in the announcement of 4 October 1999. Under the terms of the Danway Sale Agreement, the purchaser, Emirates Holdings, will purchase the share capital of Danway and certain trade licences held in connection with Danway's business for 1.5 million Dhs (£247,934) and will also provide the necessary funding to enable Danway to repay 35.5 million Dhs (£5,867,769) of debt owed to the ABE Group pursuant to the terms of a management agreement. The monies payable to the ABE Group pursuant to the Danway Sale Agreement are currently held in an escrow account at HSBC in Abu Dhabi. The necessary general meeting of the Company will be held at 11.00 am on 22 November 1999 at the registered office of the Company, 78 Chapel Street, Thatcham, Berkshire RG18 4QN