SVC Salvesen (C)

RNS Number:6451U
Salvesen (Christian) PLC
24 November 2000

Christian Salvesen Acquires remainder of Wohlfarth Group

Full ownership of strategically important German industrial logistics
operation

Christian Salvesen PLC announces that it has agreed to increase its
shareholding in the Wohlfarth Group to 100 per cent. The remaining interests
are being acquired from members of Wohlfarth's management team and a number of
venture capital funds for a cash consideration of #0.2m. Completion is subject
to approval by the German competition authorities.

Wohlfarth is a German industrial logistics business, with a network of 18
sites  throughout Germany's industrial regions. In addition, it is the largest
partner in a consortium, Spedition 2000, which gives Wohlfarth access to a
further 27 depots and the ability to provide a nationwide service, 
around-the-clock.

Wohlfarth provides groupage, tanker and logistics activities in the
automotive, chemical, paper and printing, electronics, and packed lubricants
sectors. Customers include DaimlerChrysler, Q8, Dupont, Somer Alibert, Hebro
Chemie and TotalFinaElf.

Germany represents a strategically important market for Christian Salvesen.
Through Wolfarth, it has access to the logistics volumes generated by the
German industrial base and the country's position as a gateway to central and
eastern Europe. This acquisition is another step in Christian Salvesen's
stated objective of creating a European-wide network.

As at 31 March 2000, Wohlfarth's net assets were #0.6 million including as
equity #6.9 million of shareholder loans, the bulk of which will be
capitalised following completion of the acquisition.

As announced in June 2000 by Christian Salvesen with its annual results, in
the year to 31 March 2000 Wohlfarth recorded a loss before taxation of #5.5
million of which #2.2 million was included in Salvesen's accounts reflecting
its 40% investment in Wohlfarth Swift Holdings GmbH. Turnover in the period
was #56 million.

This loss arose from the business operating in a recently deregulated and
oversupplied market and from escalating fuel prices. The automatic recovery of
fuel price increases from customers is not yet well established in continental
Europe.

The Wohlfarth management team has recently been strengthened and both the
results and cash position have now been stabilised. As a result, at the
operating level Wohlfarth will achieve a break-even position in November 2000.
By assuming full ownership of Wohlfarth, Salvesen will be able to implement
further management and operational enhancements and integrate the business
under the Christian Salvesen brand.

Edward Roderick, Chief Executive of Christian Salvesen PLC, said:

"Now that the initial goal of restoring Wohlfarth to a break-even trading
position has been achieved, we are very pleased to be taking full ownership as
it represents a strategically important operation within our developing
European shared-user network.

"We see opportunities to improve Wohlfarth's efficiency and performance,
through enhancement of the depot infrastructure, the introduction of our
web-enabled SHARP and ULTIMA technology solutions, and the introduction of
quality and efficiency standards applied elsewhere in Christian Salvesen."

Editor's notes

Christian Salvesen is a leading logistics business specialising in the
strategic management of the outsourced supply chain for blue-chip customers
across Europe. It operates primarily in the food, consumer and industrial
sectors for companies such as General Motors, Ford, Mercedes, Marks & Spencer,
Unilever, Danone and Galbani.

Salvesen is a technology-driven company that uses a range of e-business and
web-enabled solutions to ensure efficient and time-critical logistics services
to its customers across Europe. Its unique shared-user networks guarantee
flexible and dynamic consignment delivery. It has operations in the UK,
Belgium, France, Germany, Holland, Italy, Portugal and Spain.

For further information, please contact:

Christian Salvesen PLC                                 01604 662600
Edward Roderick, Chief Executive
Peter Aspden, Finance Director
Frances Gibson-Smith, Head of Investor Relations

Hogarth Partnership (for Christian Salvesen PLC)       020 7357 9477

John Olsen/Nick Lockwood

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