Trading Statement

20 January 2011

Trading update

Headlam Group plc, Europe's leading floorcoverings distributor, provides a trading update prior to the release of its results for the year ended 31 December 2010 on Friday 11 March 2011.

Total group revenue for the twelve month period to 31 December 2010 increased by 0.4% compared with the previous year.

In the UK, like for like revenues increased by 0.4%. Revenues from the group's Continental European businesses reduced by 0.7% on like for like basis.

Based on this revenue performance, earnings for the twelve months to 31 December 2010 are likely to be marginally ahead of market expectations.

Enquiries:

Headlam Group plc

Tony Brewer, Group Chief Executive Tel: 01675 433000

Stephen Wilson, Group Finance Director