ELH Eurodis Elect.

RNS Number:6793F
Eurodis Electron PLC
25 November 2004


                                PRESS RELEASE

For Immediate Release                                         25 November 2004


                                Pre-Close Update

Summary
The Board of Eurodis Electron PLC (the "Group") announces that it expects the
overall result before restructuring costs for the six months ending 30 November
2004 to be in line with market expectations. We expect to announce these results
on 27 January 2005.

Market
In our AGM statement released on 28 September 2004 we said that we believed a
short-term global inventory correction was occurring and this remains the case.

Trading
Although, in the short-term, sales are likely to continue to be impacted by the
current market conditions, this excludes the potential benefit from net new
franchise arrangements anticipated and expected sales from the co-operation with
Advanced Technology Group ("ATeG"), announced on 4 November 2004.

We are continuing to review the operating costs' base, to ensure it is aligned
with the Group's requirements without affecting sales reach. Additional savings
have been identified, which, once fully implemented, will reduce the operating
costs' base by Eur 6m to a revised annual run rate of Eur 63m. Some
restructuring costs are likely to arise; these will be reported with the results
for the six months ending 30 November 2004.

Inventory is currently at a similar level to that reported as at 31 May 2004. By
maximising the benefits of our Advanced Logistics Centre we intend to reduce
inventory further whilst maintaining good levels of customer service. We expect
that net debt at 30 November 2004 will be below Eur 60m. Our facilities headroom
is in line with our expectations and, notwithstanding the usual Christmas
seasonal dip, we expect headroom to remain adequate going forward.

Joint Venture
Together with World Peace Group ("WPG") we have signed an agreement to set up a
Hong-Kong based joint venture company, Eurodis WPG Asia Limited. This will
strengthen the existing alliance between Eurodis and WPG and enable both parties
to benefit by supporting companies transferring production from Europe to Asia
Pacific.

Outlook
The benefits of the ATeG co-operation and reduced operating costs will assist in
returning the business to profitability, although the timing of this remains
difficult to predict.

Forthcoming results
Our provisional timetable for results announcements is as follows:

Six months to 30 November 2004 27 January 2005
Ten months to 31 March 2005 Late May 2005
Sixteen months to 30 September 2005 Late November 2005



For further information, please contact:

Eurodis Electron PLC
Doug Rogers, Non-Executive Chairman             01737 242 464
Steven Swayne, Chief Executive                  01737 242 464
Peter Grant, Group Finance Director             01737 242 464

Bell Pottinger Financial
Zoe Sanders/Chris Birks                         020 7861 3232




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