Withdrawal of Securitised Bond Offering

Peel Hldgs PLC 1 November 1999 Withdrawal of Securitised Bond Offering The Board of Peel Holdings p.l.c. ('Peel') regrets to announce that it has decided to postpone the proposed C£600 million multi-tranche securities bond offering. Since commencing the marketing process on 11 October, market conditions for new issues of fixed and floating rate bonds have deteriorated significantly due to increased volatility in interest rate markets, current lack of liquidity in the bond market and a number of other bond issues competing for funds from the same investors. These conditions have adversely affected the proposed pricing and size of the Peel issue and consequently the Board of Peel has concluded that it is not appropriate to issue securitised bonds at this time. The response from the rating agencies prospective investors to the underlying quality of The Trafford Cente and its management has been most encouraging and the Board is optimistic that it will be possible to reconsider an issue of securitised bonds in the future. In terms of its present requirements and current projects Peel is soundly financed and has adequate resources. Despite this setback, the Board continues to view the future with confidence. Enquiries: Peel Peter Scott, Managing Director 0161 629 8200 N M Rothchile Stephen Louis, Director 0171 280 5711 Richard Bailey/Peter Bates 0161 827 3800 Deutsche Bank Lemy Gresh, Managing Director 0171 547 3339