Re Joint Venture

RNS Number:3556L
Watermark Group PLC
21 May 2003

Strictly embargoed until 07:30, 21 May 2003


                        WATERMARK TO FORM JOINT VENTURE
                              COMPANY WITH AEROBOX

Watermark Group plc ("Watermark"), the airline industry's support services
supplier is pleased to announce today that it has entered into heads of terms
with AeroBox plc ("AeroBox").  Watermark and AeroBox will form a joint venture
company ("the Company"), in which each party will own (for a subscription of a
nominal amount of #100) a 50% share, to market and supply worldwide the
lightweight and durable airfreight containers produced by AeroBox.  Watermark
will provide its worldwide marketing expertise in support of the Company.

Under the proposed agreement, Watermark will receive a sales commission and a
marketing fee and will have the right to exchange (after a period of 12 months)
its interest in the Company, at no further consideration, in return for new
shares in AeroBox representing 10% of AeroBox's enlarged share capital.
Watermark may also be entitled to an additional 2.5% of AeroBox's enlarged share
capital (again at no further consideration) depending on the Company meeting
performance targets.  AeroBox, which is admitted to the Alternative Investment
Market had a market capitalisation on 20th May 2003 of around #17m.  The number
of shares in AeroBox to which Watermark will be entitled will be subject to
adjustment to ensure that Watermark remain entitled (notwithstanding certain
pre-existing potentially dilutive agreements) to a shareholding equal to 10% (or
12.5% as the case might be) of the enlarged issued share capital of AeroBox.

The proposed agreement is subject to contract and necessary regulatory approval.

John Caulcutt, Chief Executive of Watermark, said, "It is intended that this
project will further expand the range of services which Watermark can provide to
the airline industry.  AeroBox has developed an exciting new technology with
significant potential cost reduction benefits for customers, with which we are
pleased to be associated."

Bob Bushman, Chief Executive of AeroBox, added: "This tie up will allow us far
quicker access to the global airline community than we had earlier envisaged
through a proven international sales force.  It will bring forward our business
plan and allow us to focus on training, production and development."

For further information please visit www.watermarkplc.com or contact:

John Caulcutt, Chief Executive                     John West
Crispin Quail, Finance Director                    Rosie Brown
Watermark Group plc                                Tavistock Communications
Tel: [phone]                                  Tel: [phone]
e-mail: [e-mail]                    e-mail: [e-mail]




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