08 May 2010

Smiths Group PLC Closes Euro 300M Bond Offering

Smiths Group plc today announces that it has closed a euro denominated offering totalling €300m in Senior Notes ("the Notes") following its successful launch last week.

The Notes have a seven year maturity and were priced at a fixed coupon of 4.125%.

Smiths Group will use the net proceeds from the Notes for general corporate purposes and to repay certain existing indebtedness of the Company.

John Langston, Finance Director, said: "This successful bond issue was met with strong demand and is a further step in implementing our financing strategy and in extending the debt maturity profile. This new debt capital assists the Group in pursuing its corporate strategy over the medium to long term."

This press release contains certain forward-looking statements with respect to the operations, performance and financial condition of the Company and its subsidiaries (the "Group"). By their nature, these statements involve uncertainty since future events and circumstances can cause results and developments to differ materially from those anticipated. The forward-looking statements reflect knowledge and information available at the date of preparation of the press release and the Company undertakes no obligation to update these forward-looking statements. Nothing in this press release should be construed as a profit forecast.

Neither this press release nor any copy of it may be taken or transmitted into, or distributed, directly or indirectly in, the United States, its territories or possessions. This document is not a public offer of securities for sale in the United States absent registration or an exemption from registration under the Securities Act of 1933, as amended. The Company has not registered, and does not intend to register, any portion of the offering in the United States, and does not intend to conduct a public offering of securities in the United States.

This press release is only being distributed to and is only direct as (i) persons who are outside the United Kingdom or (ii) to investment professional falling within Article 9(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "Order") or (iii) high net worth entities, and other persons to whom it may lawfully be communicated, failing within Article 49(2)(a) to (d) of the Order (all such persons together being referred to as "relevant persons"). Any investment activity to which this communication may relate is only available to, any invitation, offer, or agreement to engage in such investment activity will be engaged in only with, relevant persons. Any person who is not a relevant person should not act or rely on this document or any of its contents.

In any EEA Member State that has implemented Directive 2003/71/EC (together with any applicable implementing measures in any Member State, the "Prospectus Directive"), this communication is only addressed to and is only directed at qualified investors in that Member State within the meaning of the Prospectus Directive.