13 December 2004

The FSA stated in December 2003 that it had launched a formal investigation into the short selling of Room Service Group plc securities prior to the suspension of the securities from trading on AIM on 22 October 2003. A final notice was issued on 12 November concerning the conduct of Evolution Beeson Gregory Limited and Mr Christopher Potts in relation to Room Service shares. We can confirm that we are not pursuing any other lines of enquiry and our investigation into the trading of Room Service securities has now been closed.

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