SOURCE: Enodis PLC

July 07, 2005 14:31 ET

Enodis PLC Announces Capital Reduction Approved by Court

LONDON, UK -- (MARKET WIRE) -- July 7, 2005 --

                                   Enodis plc

                      Capital Reduction Approved by Court


On 6 July 2005, the High Court approved a capital reduction of Enodis plc in
accordance with the capital restructuring programme announced on 17 May 2005.

The Company has given specific undertakings to the High Court relating to the
protection of existing Enodis plc creditors that have to be satisfied before a
dividend can be paid.  The main condition to be satisfied relates to holders of
approximately £23m of the Company's 10 3/8% Notes that remain outstanding
following the Notes buy-back.

To satisfy this condition, the Company intends to transfer into a Trust (managed
by an independent trustee) sufficient funds in the form of Gilts and cash to
meet all outstanding principal and interest payable on the Notes through to
their first redemption date, including the redemption premium.  Upon this
transfer and payment of certain other small Enodis plc creditors, the Company
will be in a position to resume the declaration and payment of dividends.

As previously announced, the board intends in the absence of unforeseen
circumstances to declare an initial dividend in November 2005 payable in
February 2006 following approval by shareholders at the Annual General Meeting.

Trading in the ADSs on the New York Stock Exchange was suspended on 22 June 2005
and application has been made for delisting from the New York Stock Exchange,
subject to SEC confirmation.  It is still our intention to file for US
deregistration.

We therefore remain on track to deliver the intended benefits of our capital
restructuring programme.


7 July 2005


Contacts:

Dave McCulloch            Chief Executive Officer            +44 (0)20 7304 6006
Dave Wrench               Chief Financial Officer            +44 (0)20 7304 6006
Richard Mountain          Financial Dynamics                 +44 (0)20 7269 7121


This announcement contains "forward-looking statements," within the meaning of
the U.S. federal securities laws, that represent the Company's expectations or
beliefs regarding future events, based on currently available information,
including statements concerning its anticipated payment of debts and dividends.
The forward-looking statements, by their nature, involve risks and
uncertainties, many of which are beyond the Company's control.  The Company's
actual results could differ materially from those expressed in the
forward-looking statements due to a variety of factors, including unfavorable
changes in the price of commodities or raw materials; consolidation or loss of
large customers; adverse changes in customer purchasing patterns; competitive
pricing pressures; the Company's ability to successfully innovate, develop and
market new products; currency fluctuations; the outcome of lawsuits against the
Company; the Company's ability to recognize deferred tax assets; and other risks
related to the Company's U.S., U.K. and foreign operations. A more complete
description of the Company's risk factors is included under "Risk Factors" in
the Company's Annual Report on Form 20-F which was filed with the SEC during
December 2004.



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