Fthr re Lrd Rothschild Letter

Coats Viyella PLC
20 July 2000


                             Coats Viyella Plc

On May 31 Coats Viyella announced that it had received a letter from Lord
Rothschild on behalf of a concert party including RIT Capital Partners plc
and Finance and Trading Ltd ('the Concert Party'), in which he indicated
interest in putting forward, subject to the receipt of further information,
recommended proposals to take the company private.

Since that time Coats Viyella has not received any more detailed proposal
from the Concert Party and has not been in discussions with the Concert Party
or its advisers, save as to understand the position of Lord Rothschild.

Accordingly, the Board of Coats Viyella wishes to make it clear that no
discussions have been held or are being held regarding an Offer for the
Company.  In these circumstances the board of Coats Viyella considers the
matter of Lord Rothschild's approach to be closed.


Enquiries:

Patrick Handley           Brunswick Group Limited          020 7404 5959