Palace Capital plcLSE: PCA

Notifiable Interest

· Issued by Palace Capital plc
Leo Insurance Services PLC 22 March 2007 Leo Insurance Services PLC ('the Company') Notifiable Interest A form TR-1 containing the following information has been received by the Company. TR-1 notification of major interests in shares 1. Identity of the issuer or the underlying issuer of existing shares to which voting rights are attached: Leo Insurance Services PLC 2. Reason for the notification Previously notified holding 3. Full name of person(s) subject to the notification obligation: Eaglet Investment Trust PLC 4. Full name of shareholder(s) (if different from 3): HSBC Global Custody Nominees Ltd (a/c designation 866379) 5. Date of the transaction (and date on which the threshold is crossed or reached if different): N/A 6. Date on which issuer notified: 19 March 2007 7. Threshold(s) that is/are crossed or reached: Over 19% 8. Notified details: A: Voting rights attached to shares Class/type of Situation previous to Resulting situation after the triggering transaction shares Triggering transaction Notification required under DTR transitional provision 7 if possible using ISIN CODE Number of Number of Number of Number of voting rights % of voting rights Shares Voting shares Rights Direct Direct Indirect Direct Indirect Ordinary Shares N/A 1,412,476 N/A N/A 1,412,476 N/A 19.574% GB00B0NN1H91 B: Financial Instruments Resulting situation after the triggering transaction Type of financial Expiration date Exercise/ Number of voting % of voting rights instrument Conversion Period/ rights that may be Date acquired if the instrument is exercised/ converted N/A N/A N/A N/A N/A Total (A+B) Number of voting rights % of voting rights 1,412,476 19.574% of class 9. Chain of controlled undertakings through which the voting rights and/or the financial instruments are effectively held, if applicable: N/A 10. Name of the Proxy holder: N/A 11. Number of voting rights proxy holder will cease to hold: N/A 12. Date on which proxy holder will cease to hold voting rights: N/A 13. Additional information: N/A 14. Contact name: N/A 15. Contact telephone number: N/A This information is provided by RNS The company news service from the London Stock Exchange

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