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LucasVarity plc Change of Domicile: Results of Shareholder Meetings

9 November 1998

LucasVarity plc Change of Domicile: Results of Shareholder Meetings

    LONDON, Nov. 7 -- LucasVarity plc (London: LVA, NYSE: LVA)
today announced that at the Court Meeting and Extraordinary General Meeting of
the Company held yesterday, the resolutions to approve the proposed Scheme of
Arrangement to change the domicile of the LucasVarity Group to the United
States were not passed by the requisite majorities of the Company's
shareholders.  The proposal will not therefore proceed at this time.
    At the Court Meeting, a 57.2% majority in number representing 74.42% in
value of the shareholders present and voting in person or by proxy voted in
favour of the proposal, which required a 50% majority in number representing
75% in value of the shareholders present and voting in person or by proxy to
be approved.
    At the Extraordinary General Meeting, 73.9% voted in favour of the
proposal, which required 75% approval.
    Approximately 80% of the share capital of the Company was voted at each
meeting.
    Ed Wallis, Chairman of LucasVarity, said "We would like to thank the large
majority of shareholders who supported the proposal.  The Board is committed
to the Company's strategy to maintain and strengthen its leadership positions
in its core businesses that offer attractive growth opportunities, and is
confident of Management's ability to achieve these objectives."
    "It's business as usual."