Result of Strategic Review

BPT PLC 4 December 2000 BPT plc ('BPT') BPT PLC CONFIRMS EXCLUSIVE NEGOTIATIONS On 3 August 2000, the Board of BPT announced that as a result of its strategic review, it had decided to investigate with a number of parties whether the interests of its existing shareholders would be best served by a cash offer being made for all of the share capital of BPT. The Independent Committee of the Board, comprising the non-executive directors, confirms that BPT has now entered into a period of exclusive negotiations, expiring on 31 January 2001, with a third party consortium with a view to agreeing a cash offer for the entire issued share capital of BPT. The proposals made by this consortium (the 'Proposals') enjoy the full support of the executive directors of BPT, who would continue to lead the business in the event of the Proposals resulting in a successful offer being made for BPT. This consortium is led by Deutsche Bank Real Estate Private Equity Group ('Deutsche Bank REPEG') and includes Grainger Trust plc ('Grainger'). The consortium is working with BPT's financial advisers to agree measures, to be incorporated into any offer, to mitigate capital gains tax for BPT's shareholders, including the provision of a partial loan note alternative. Tim Watts, Managing Director of BPT, said, 'I am delighted that we are able to announce that we have entered into exclusive negotiations. My team and I look forward to continuing to develop the business in the private arena with the support of Deutsche Bank REPEG and Grainger, both of whom understand the business and its long term nature.' Alistair Dixon, Managing Director of Deutsche Bank REPEG, said, 'We are excited that the independent directors of BPT have agreed to take forward our proposals on an exclusive basis. We and our partners very much look forward to the opportunity to work with Tim and his experienced team to develop the business outside the constraints of public ownership.' A further announcement will be made in due course as appropriate. Enquiries: BPT plc Philip Warner, Chairman 020 7487 3312 Tim Watts, Managing Director 01372 743113 Schroder Salomon Smith Barney James Brent 020 7986 6000 Iain Robertson Deutsche Bank REPEG Alistair Dixon 020 7545 8000 Deutsche Bank Debbie Robertson-Bond 020 7545 8000 David Church Salomon Brothers International Limited, trading as Schroder Salomon Smith Barney ('SSSB'), which is regulated in the United Kingdom by The Securities and Futures Authority Limited, is acting exclusively for BPT and no one else in connection with the Proposals and will not be responsible to anyone other than BPT for providing the protections afforded to customers of SSSB or for giving advice in relation to the Proposals. Deutsche Bank AG London, which is regulated in the United Kingdom by The Securities and Futures Authority Limited, is acting exclusively for Deutsche Bank Real Estate Private Equity Group and Grainger Trust plc and no one else in connection with the Proposals and will not be responsible to anyone other than Deutsche Bank Real Estate Private Equity Group and Grainger Trust plc for providing the protections afforded to customers of Deutsche Bank AG London or for giving advice in relation to the Proposals. Salomon Brothers International Limited (trading as Schroder Salomon Smith Barney) is regulated in the United Kingdom by the Securities and Futures Authority Limited. Salomon Smith Barney is a service mark of Salomon Smith Barney Inc. Schroders is a trademark of Schroders Holdings PLC and is used under licence.