1. Preliminary Results Year Ended 31 March 2004

2. Preliminary Results - 2003/04 Laying the foundations for Growth & Change…

3. Highlights 2004£m2003£m Sales*68.674.1 Operating Profit* 3.24.5 Profit Before Tax* 1.62.9 Cash inflow from operating activities 5.54.2 Net Debt – pre pref redemption 19.119.7 Net Debt – post pref redemption 24.719.7 * Continuing operations, before goodwill amortisation and exceptional items

4. Key Issues – Aerospace Record Eclipse contract secured (USD 380m) Record Eclipse contract secured (USD 380m) New business from MTU, Snecma & Goodrich New business from MTU, Snecma & Goodrich Improved competitiveness now bearing fruit Improved competitiveness now bearing fruit Unprecedented current quote activity Unprecedented current quote activity Low cost sourcing plans gaining momentum Low cost sourcing plans gaining momentum Targeting further significant opportunities Targeting further significant opportunities

5. Key Issues – Aerospace Record Eclipse contract secured…

6. Positive leading indicators of cyclical recovery now apparent (calendar 2004 should be low point) Airline profitability improving (Q4 2003) Airbus relatively bullish Overall, improved customer/industry sentiment (particularly Biz jets) BUT; volatility & price pressure expected to remain a feature in 2004/05; AND Caution over potential impact of oil price rise? Aerospace - Market Outlook General

7. Key Issues – Precision Automotive Continuing strong demand, as projected. Sales up 14% in 2003/04 Continuing strong demand, as projected. Sales up 14% in 2003/04 S&W penetration increasing; capacity expansion proceeding to plan. Automatic balancing cell commissioned S&W penetration increasing; capacity expansion proceeding to plan. Automatic balancing cell commissioned Low costs sourcing integration plans well progressed. Discussions with potential partners on-going Low costs sourcing integration plans well progressed. Discussions with potential partners on-going Major new customer secured (Bosch), & targeting Hitachi Major new customer secured (Bosch), & targeting Hitachi Positive outlook for continuing strong growth… Positive outlook for continuing strong growth…

8. Key Issues – Precision Automotive Strong growth in turbocharger penetration expected to continue, driven by tightening fuel emission regulations

9. Patchy glass demand in 2003/04 (OEM consolidation activity) Patchy glass demand in 2003/04 (OEM consolidation activity) Patent applications in preparation for new, higher performance products, following successful trials Patent applications in preparation for new, higher performance products, following successful trials Strategic relationship with major customer continues to develop Strategic relationship with major customer continues to develop Key Issues – Precision Industrial

10. Reason for the Equity Funding 1.Attractive growth opportunities in Precision Automotive 2.Execution of Low Cost Sourcing strategy 3.Funding Eclipse 4.Constraint of existing debt levels – customer perceptions

11. Equity Funding - Update Uses£mUpdate Precision Auto capacity growth 5.0 Investment on-going (£1.9m in 2003/04) Low Cost Sourcing investment 5.0 JV discussions & Indian Greenfield feasibility study in progress Eclipse investment funding 4.0 Pre production activity running well Less: expenses (0.6) Total13.4

12. Summary Results in line with expectations Results in line with expectations Major strategic contracts secured. More in cross-hairs Major strategic contracts secured. More in cross-hairs Low cost strategy moving forward. Significant opportunities visible (outsourcing & new programmes) Low cost strategy moving forward. Significant opportunities visible (outsourcing & new programmes) Cost base further reduced in 2003/04 Cost base further reduced in 2003/04 Civil aerospace demand showing faltering steps towards recovery. Oil prices may have dampening effect Civil aerospace demand showing faltering steps towards recovery. Oil prices may have dampening effect Precision Automotive following strong growth curve Precision Automotive following strong growth curve Board strengthened Board strengthened Funding successfully closed. Investment plans taking shape Funding successfully closed. Investment plans taking shape

13. Preliminary Results Year Ended 31 March 2004

14. Highlights 2004£m2003£m Sales*68.674.1 Operating Profit* 3.24.5 Profit Before Tax* 1.62.9 Cash inflow from operating activities 5.54.2 Net Debt – pre pref redemption 19.119.7 Net Debt – post pref redemption 24.719.7 * Continuing operations, before goodwill amortisation and exceptional items

15. Sales Analysis 2004£m2003£m Aerospace45.451.9 Precision Engineering 23.222.2 Total68.674.1

16. Profit & Loss Account 2004£m2003£m Profit Before Tax* 1.62.9 Tax(0.5)(0.5) Profit After Tax* 1.12.4 Preference Dividend (0.2)(0.4) Earnings*0.92.0 Earnings per Share* 0.8p1.7p * Continuing operations, before goodwill amortisation and exceptional items

17. Operating Free Cash Flow 2004£m2003£m EBITDA6.98.3 Exceptionals(3.2)(0.6) Provisions0.5(4.9) Working Capital 1.31.3 Other-0.1 Cash Flow from Operations 5.54.2 Cap-ex(2.6)(4.0) Disposals0.14.1 Tax(0.4)0.3 Operating Free Cash Flow 2.64.6

18. Capital Expenditure 2004£m2003£m 2.64.0 Depreciation3.74.0 As a % of Depreciation 69%97%

19. Capital Expenditure 2004£m2003£m Precision Automotive 1.91.4 Aerospace0.72.6 Total2.64.0

20. Change in Net Debt 2004£m2003£m Operating Free Cash Flow 2.64.6 Debt Service (1.4)(1.5) Preferred Equity Service (0.4)(0.4) FX translation (0.1)- Change in Underlying Net Debt 0.72.7 Preference Shares Redeemed (5.6)(0.1) Change in Net Debt (5.0)2.6

21. Shareholders’ Funds & Net Debt 2004£mEquityIssue£mProForma£m2003£m Net Debt 24.7(13.4)11.319.7 Shareholders’ Funds Ordinary Ordinary11.213.424.615.8 Preference Preference---5.6 Total Equity Total Equity11.213.424.621.4 Net Debt/Equity 220%46%92%

22. Equity Subscription & Rights Issue Successful closure 14 May 2004 Successful closure 14 May 2004 Acceptances for 88.5% Acceptances for 88.5% Rump placed at 2p premium Rump placed at 2p premium 4 new Institutional holders 4 new Institutional holders Positive aerospace marketing stimulus – already bringing business development benefits Positive aerospace marketing stimulus – already bringing business development benefits

23. Summary Aggressive cost base management continues Aggressive cost base management continues Continuing tight cash control Continuing tight cash control Shareholder value management (“VBM”) driving increased asset efficiency Shareholder value management (“VBM”) driving increased asset efficiency Strategic benefits from substantial deleveraging Strategic benefits from substantial deleveraging Increased liquidity Increased liquidity Pump now primed for growth… Pump now primed for growth…

24. Preliminary Results - 2003/04 Laying the foundations for Growth & Change…

25. Preliminary Results Year Ended 31 March 2004