28 June 2010

Rugby Estates Plc

(the "Company" or the "Group")

Result of Annual General Meeting and Management Update

Annual General Meeting

At the Annual General Meeting held at 10.30 am today, resolutions 1 to 8 inclusive were duly passed.

Disposals

Since 31 January 2010, sales of directly held properties have been contracted with an aggregate sale consideration of £15.8 million. The sales of four properties have been completed and completion of the remaining property is due shortly. The properties sold were:

·      St Johns Square, London EC1;

·      Sydenham, London SE26;

·      Somers Road, Rugby;

·      Wylds Road, Bridgwater; and

·      Birstall Portfolio, Leeds.

At 31 January 2010, the aggregate valuation of these properties was £16.9 million.

In addition, £3.8 million has been received since 31 January 2010 in respect of the Group's co-investments, comprising £3.1 million for the Group's shareholding in Rugby Estates Investment Trust Plc and a £0.7 million capital distribution from ING Covent Garden Limited Partnership.

Return of Cash

In the Company's announcement of its final results on 30 April 2010, the Board expressed its intention, in the absence of unforeseen circumstances, to return 100p per share to shareholders in the next few months.

As a consequence of the completion of these sales and the realisations from co-investments, the Board now intends to return between 150p and 175p per share to shareholders in the near future. During July, the Board expects to send a circular to shareholders convening a General Meeting to approve arrangements to enable the return of between 150p and 175p per share. Subject to the approval of shareholders and the Court, the cash payments are expected to be made by 30 September 2010.

Commenting, David Tye, Chairman of Rugby Estates said:

"The market remains difficult other than for certain central London locations and assets with long leases to strong covenants, so we are pleased to have been able to achieve these sales which will enable a substantial return of cash to shareholders in the next few months."

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