02 Mar 2000

The financial year has started well across all businesses, with Countermeasures in particular, benefiting from the important decoy development programmes moving into production in both the UK and the USA.
We welcome the recent protocol between the UK and USA on Defence co-operation which, we believe, will enhance the potential for technology transfer and export sales for both our UK and USA operations. The Group's order book stands at £56 million and prospects for the financial year are good. The Board, therefore, confirms its confidence that 2000 will be a further year of growth.

K C SCOBIE
Chairman

For further information please contact:

David Evans Chief Executive, Chemring Group PLC - 01489 881880
Emma Davies, Cardew & Co. - 020 7930 0777