James Halstead Regulatory News (JHD)

2 October 2017

Board Changes

James Halstead plc, the commercial flooring manufacturer and distributor, is today announcing certain Board changes.

Mr Geoffrey Halstead will stand down as Chairman at the upcoming annual general meeting to be held on 1 December 2017. Mr Halstead has been a Director of the company for 55 years, the last 17 as Chairman. In the light of this achievement the Board has extended to Mr Halstead the honorary title of President.

In addition to this, Mr Eberhard Lotz has notified his intention to retire at the upcoming AGM after 9 years on the Board and 21 years with the group (having previously been the Managing Director of Objectflor, our German subsidiary).

Consequent to these departures the Board proposes the following changes. Mr Anthony Wild, who has held the role of Senior Independent Director since 2001, will step up to the position of Chairman and Mr Stephen Hall, a Director since 2012, will succeed Mr Wild as the Senior Independent Director.

With regard to restoring the Board to a full complement it is proposed to bring on to the Board two new Non-Executive Directors effective from the date of the upcoming AGM, on 1st December 2017.

Mr Russell Whiting, aged 51, who is a local businessman and a Director and shareholder of Associated Credits Holdings Ltd. Mr Whiting has extensive experience of offering leasing solutions to a broad range of commercial enterprises.

Mr Michael Halstead, aged 60, is an executive of many years standing in the advertising industry, in recent years for his own company (HH&S Group Ltd) and formerly as an account director for Saatchi & Saatchi.

Commenting on the Board changes Mark Halstead, Chief Executive said:

"On behalf of the Board I would firstly like to thank Eberhard for his major contribution to the Group over the last 20 years and wish him well for the future. We also pay tribute to the exceptional contribution Geoffrey has made to the success of James Halstead over the last 55 years. Under his leadership the Company has been transformed from a largely textile based business to a leading global supplier of largely UK manufactured product that has consistently delivered market leading shareholder returns. His industry knowledge and passion for the business is unrivalled and we are very glad that he has accepted the honorary title of President.

In addition, I welcome Russell Whiting and Michael Halstead to the Board and look forward to their contribution as James Halstead seeks to exploit the exciting opportunities that lie ahead."

Please refer to Annex 1 for all further disclosures relating to Rule 17 or paragraph (g) of Schedule 2 of the AIM Rules for Companies.

Annex 1

Michael James Halstead (age 60) is, or has been in the previous five years, a director or partner of the following companies:

Michael Halstead was appointed as a director of Carchase Limited on 24 March 2000. On 18 June 2002, the company was issued with a notice of winding up order. A final meeting of creditors was held on 23 October 2003 and the deficiency to creditors was £161,555. The company was dissolved on 4 February 2004.

Michael Halstead was appointed as a director of Sterling Marketing Limited on 22 August 2015. On 25 April 2017, the company was issued with a notice of winding up order. The company is still in the process of being wound up and the deficiency to creditors is yet to be determined. The statement of affairs as at 12 April 2017 shows a deficiency as regards to creditors or £274,965. The principal creditor is HH&S Group Limited totalling £190,006, which is 50% owned by Michael Halstead.

Michael Halstead has a direct interest in 2,000 ordinary shares in James Halstead plc, which represents 0.001% of James Halstead's issued share capital.

In addition, the estate of his late father, Arthur Halstead, holds 1,500,000 ordinary shares in James Halstead plc.

Russell Peter Whiting (age 51) is, or has been in the previous five years, a director or partner of the following companies:

Russell Whiting does not have an interest in any ordinary shares of James Halstead plc.

Associated Credits Limited has arranged motor vehicles leasing finance solutions to James Halstead plc.

There are no other disclosures required in relation to Rule 17 or paragraph (g) of Schedule 2 of the AIM Rules for Companies.