Chairman's Statement at AGM 21 May 2003

    HR OWEN PLC                                  

                          Chairman's Statement at AGM                          

                                  21 May 2003                                  

Since the beginning of the year, a number of key transactions have taken place:

At the time of the preliminary announcement of the annual results, we confirmed
that we had reached agreement to develop an `all new' BMW/Mini dealership in
northwest London at Park Royal. This was followed by the acquisition of a
second BMW/Mini franchise in west London on 31 March at Heathrow. These two
franchises further expand our existing BMW/Mini franchise at Holland Park.

On 30 April, we closed the Group's SEAT dealership in Chiswick, London, and
shortly plan to sell the Group's Land Rover franchise in Stockport,
simultaneously acquiring a franchise in north London for Jaguar, returning the
brand to our London portfolio. This will be the third Jaguar franchise held by
the Group and follows a number of important acquisitions last year for Land
Rover and Volvo, supporting the company's two Premier Automotive Group areas of
influence in London and East Anglia, bringing our PAG total to fourteen
franchises.

On 19 May, the Group opened a new Lamborghini London showroom and has also
agreed to redevelop an existing dealership in Manchester, which will be opened
later in the year and will trade as "Lamborghini Manchester". These two new
facilities have been opened to coincide with the launch later in the year of
the world-acclaimed Lamborghini Gallardo sports car.

Following our appointment as the distributor for Rolls-Royce in London, the
Group opened a new temporary facility in Park Lane, since which time we have
agreed terms to acquire a larger facility in Park Lane that will open later in
the year.

The Group has agreed to acquire the Mercedes-Benz franchise for Brighton on 1
July, which will support our three existing Mercedes-Benz and Smart franchises
covering our Sussex area of influence.

I am pleased to confirm that, as previously announced, we have won a large
number of new `super areas' for representation. We believe that our decision to
dispose of or close a number of franchises during the last three years, to
reposition the business at the top end of the market, and to spread our
franchise base from the expensive areas of London out into the Home Counties,
has been vindicated. During the next nine months the Group will be announcing
further key specialist car acquisitions, and we believe that our concentration
of working with four prime manufacturers will substantially increase
profitability in future years.

During the first five months, world events have clearly affected retail
confidence. Nevertheless, the Group achieved its objectives for the first
quarter, but April and May have been tougher. We hold strong forward orders for
many of our brands, and will significantly benefit in the second half of the
year through the introduction of important new models.

J P MacArthur

Enquiries:

Nicholas R Lancaster

Chief Executive

Tel: [phone]



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