Result of EGM

LPA Group PLC 17 July 2000 LPA Group Plc EGM Results Excil acquisition and Share Option Scheme changes approved Difficult trading conditions in the short term Excellent prospects for the enlarged Group Teather & Greenwood appointed as brokers LPA Group Plc ('LPA' or 'Group'), the Saffron Walden based specialist electrical equipment manufacturer, is pleased to announce that at the Extraordinary General Meeting held today shareholders approved the acquisition of Excil Electronics Limited and amendments to the Share Option Schemes. Michael Rusch Chairman commented as follows; 'As I said in my interim statement, when this important acquisition of Excil was announced, trading conditions in the current year are continuing to be difficult. While Channel Electric continues to do well, LPA Industries is suffering from delays in the award of rail vehicle contracts caused by the re-negotiation of rail franchises. The market for LPA's industrial products has also been slow. This year will fall short of current published expectations despite the contribution that the new acquisitions Haswell and Excil may make. Although this year is likely to be disappointing the board believes future prospects remain excellent and preparations continue to be made to meet increased demand. In addition to committed demand from the rail sector for next year for West Coast Mainline, Cross Country and Tangarra Fourth Generation, we expect to see a resumption of orders for Juniper, Corradia, Turbostar and Electrostar trains to satisfy the demand for rolling stock replacement. In particular, up to 1500 trains are required to replace the slam door stock on the old Southern Region, which the Health & Safety Executive has directed must be withdrawn from service by 1st January 2003 or, if certain safety modifications are implemented, by 1st January 2005. The Shadow Strategic Rail Authority Franchise Director has undertaken to order these trains and has already requested bids from the train manufacturers. Consequently future prospects for the Group are excellent with LPA Industries, Haswell and Excil having a major exposure to the rail market. Channel, in addition to its exposure to the aerospace market, is also becoming a more significant supplier to the rail market. Channel has added circuit breakers, windscreen wipers, rail sanding equipment and Cytolok cable terminals to their existing range of products comprising relays, terminal rails, fans and instrumentation already supplied to the rail market. I am delighted to announce the appointment of Teather & Greenwood, who have been enthusiastically following the development of the Group, as brokers to the Group. I look forward to a long and fruitful relationship.' Enquiries: Peter Pollock Chief Executive 0788 1626123 or 01799 512844 Ian Dighe Singer & Friedlander 020 7623 3000 Russell Cook/ Teather & Greenwood 020 7426 9534/9026 Peter Ashworth