Not for release before 07:00 14th July 2008

INTERIM RESULTS FOR the six months ended 31 may 2008

Low & Bonar PLC ("Low & Bonar" or "the Group"), the international technical textiles and contract flooring manufacturer, today announces its interim results for the six months ended 31 May 2008. 

Highlights Include: 

• Total revenue up 50% to £213.4m (2007: £142.1m)

• Operating profit margin* increase of 1.6% to 8.1%

• Profit before tax* up 62% to £12.0m (2007: £7.4m)

• Earnings per share* increased by 59% to 5.43p (2007: 3.41p) 

• Interim dividend increased by 10% to 1.925p (2007: 1.75p)

• Mehler Texnologies (MTX) has performed ahead of expectations in the period

• Continued emphasis on product innovation and geographic expansion, including the previously announced joint venture in Abu Dhabi

* before amortisation and non-recurring items

Commenting on the Group's outlook, Duncan Clegg, Low & Bonar's Chairman, said: 

 "Whilst we monitor the macroeconomic environment closely, we continue to see significant opportunities to expand our business and improve margins. Our focus will remain on growing the business, both organically and through prudent acquisitions, when suitable opportunities present themselves. The breadth and geographic diversity of our customers and operations have assisted our performance in the first half and we are confident that these factors will continue to maintain the Group's progress during the second half and beyond." 

For further information, please contact:

NOTE TO EDITORS 

1.        Low & Bonar is a world leading technical textiles and contract flooring manufacturer, operating from over 20 
           sites in 9 countries. The Group is quoted on the London Stock Exchange and is committed to delivering 
           shareholder value through a strategy of organic and acquisitive growth. Recent acquisitions include the 
           acquisitions of Mehler Texnologies, the German-based manufacturer of technically coated fabrics, and 
           Westbond, the specialist UK producer of fusion-bonded carpet tiles.  

Low & Bonar comprises two divisions: Technical Textiles and Contract Flooring. The key characteristics of its businesses are that they manufacture added-value products based on advanced technology and address markets with strong growth potential. Many of Low & Bonar's products are leaders in their niche markets.

2.        You can view or download copies of this announcement and our latest Half Year and Annual reports from our

            website at www.lowandbonar.com or request free printed copies by contacting Matthew Joy, Company

            Secretary.

Chairman's Statement

Results

* Operating profit before amortisation and non-recurring items    ** Profit before tax and amortisation

During the six months ended 31 May 2008, we have seen further good progress in both organic and acquired growth. Total revenue grew by 50% to £213.4m (2007: £142.1m). Profit before tax, amortisation and non-recurring items increased by 62% to £12.0m (2007: £7.4m).

These results were improved by first time contributions from both MTX and Westbond, and by the translation benefit from the strengthening of the Euro.

In total, before the impact of acquisitions and exchange rate movements, revenues were increased by 4.2%, and operating profit before amortisation and non-recurring items by 17.0%.

Earnings per share were increased by 41% to 3.57p (2007: 2.54p) on a statutory basis. Earnings per share before amortisation and non-recurring items were increased by 59% to 5.43p (2007: 3.41p).

Net debt

The net debt at the end of May 2008 was £208.2m. The increase from £50.5m at 30 November 2007 was driven principally by the acquisitions of MTX (£122m) and Westbond (£6m). It was also impacted by the Euro exchange rate on our Euro denominated borrowings, causing an increase of around £20m.

Dividends

Continuing the progressive dividend policy, the Board has declared an Interim Dividend of 1.925p, payable on 2 October 2008 to ordinary shareholders on the register on 5 September 2008. (2007: 1.75p). This represents an increase of 10%.

  Review of Operations

Technical Textiles

* before amortisation and non-recurring items

The Division produced a material step forward in sales and operating profit before amortisation and non-recurring items of 64% and 108% respectively, being significantly impacted by the acquisition of Mehler Texnologies ("MTX") on 3 January 2008. Excluding MTX, revenue (before exchange adjustments) was up 4% and operating profit before amortisation and non-recurring items was up 29%.

The strengthening of the Euro against sterling in the period has also positively affected these results as around two thirds of sales are Euro denominated.

MTX has performed well during the period and was slightly ahead of our expectations at the end of the first half, with demand in transport, architecture and print sectors all proving resilient. Our integration process remains very firmly on track and we continue to identify opportunities to develop the business further.

The Grass Yarns business has continued to improve its financial performance and has benefited from significant market volume growth especially in North America. Additional benefits have been delivered by the operational improvements initiated by the new management team put in place some 18 months ago.

Within the other business segments, performance of our markets has been broadly as anticipated, specifically with the expected areas of weakness in US auto and residential being offset by stronger performance in the European and Middle Eastern civil engineering markets. Colbond, the acquisition made in 2006, in particular has grown operating margins through increased operational efficiencies.

As anticipated, raw material prices have been, in aggregate, at broadly similar levels to those at the start of the period. Within this overall picture there have been noticeable differences with polypropylene declining recently but polyethylene increasing in price.

  Floors

* before amortisation and non-recurring items

Trading was satisfactory during the period and, despite the anticipated softness in the UK commercial market, organic sales have increased. Sales and operating profits before amortisation and non-recurring items were assisted by the acquisition of Westbond which continues to perform to expectations, and where the integration plan remains on track. Excluding Westbond (before exchange adjustments) revenue was up 5% and operating profit before amortisation and non-recurring items was up 7%.

Revenues were underpinned by refurbishment spending from retail banks, offsetting a weaker general UK commercial office sector. Sales in our continental European markets were more resilient, particularly in France and Spain. Public sector spending also remained robust.

Our focus on product innovation as well as geographic expansion was maintained with digitally printed Flotex demonstrating good sales growth.

Current trading and outlook  

Whilst we monitor the macroeconomic environment closely, we continue to see significant opportunities to expand our business and improve margins. Our focus will remain on growing the business, both organically and through prudent acquisitions, when suitable opportunities present themselves. The breadth and geographic diversity of our customers and operations have assisted our performance in the first half and we are confident that these factors will continue to maintain the Group's progress during the second half and beyond.

LOW & BONAR PLC                                

Consolidated Income Statement 

All results derive from continuing activities

LOW & BONAR PLC

Condensed Consolidated Group Balance Sheet