Disposal

RNS Number:3628L
Walker Greenbank PLC
21 May 2003





21st May 2003



     Walker Greenbank sells Weavestyle and Contract Fabrics for #2.8m





Walker Greenbank PLC, the wallcoverings and furnishing fabrics Group, has agreed
the sale of the fabric weaving businesses of Weavestyle and Contract Fabrics to
Project Riverside OPCO Limited, a private company, for a consideration of #2.8m.



The consideration will be satisfied by payment in cash in full today.



This sale will result in a loss on disposal of #3.5m after impairing goodwill
and related costs. The assets have a book value of #5.1m.



In the financial year ended 31st January 2003 the businesses incurred an
operating loss of  #140,000.



This disposal will not affect any of the other businesses in the Group.



David Medcalf, Group Chief Executive, said " The sale forms part of the Group's
strategy to realise value for its non-core businesses and reduce indebtedness.
The Directors were unable to justify the necessary future capital expenditure
believing that there are better returns available elsewhere within the Group's
operations. The Directors believe the consideration represents fair value in the
current marketplace. The sale will allow management to increase its focus on
bringing the Group's core businesses back to profitability. In addition, the
proceeds from the sale will accelerate the reduction in the Group's
indebtedness."



For further information:

David Medcalf, Chief Executive
Walker Greenbank PLC
01509 225209



Richard Evans - Brewin Dolphin
0161 214 5553



Ian Seaton -Bankside Consultants
0207 444 4157


                      This information is provided by RNS
            The company news service from the London Stock Exchange
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