RNS No 6380p
NETWORK TECHNOLOGY PLC
6 October 1999

                   NETWORK TECHNOLOGY PLC
                              
                Refinancing and Restructuring

Network Technology Plc ("The Group") announces that it has successfully
restructured its finances. As a result, National Westminster Bank will no longer
be a lender to the Group and the existing facilities will be replaced by an
asset lending financier, secured on debtors and the property in Burgess Hill.

The Board has decided to place two of the Group's main companies Ringdale UK
Limited and H. Bollmann Manufacturers Limited into Administration, which it
believes to be in the best interest of the Group's shareholders, during the re-
structuring process.

The assets of the Group are ringfenced and as a result the Group will be in a
better position to work with the administrator to ensure that the Group remains
well placed to exploit the market opportunities presented by the technologies
that it has within its portfolio of products.

Two smaller subsidiaries N&R Circuits UK Limited and Bits per Second will also
go into Administration. Although both companies were engaged in providing Group
companies with services or products, they had both been making significant
losses.

The current management has worked closely with the Administrator to establish a
plan which will return the Group to profitability, and to this end 50 employees
were made redundant last week leaving more appropriate staffing levels in line
with the current turnover of the business.

The management is confident that this action will allow the Group to bring its
new products to market and turn the situation around.

For further information:

Lulu Bridges Tavistock Communications Tel: 0171 600 2288

END

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