Holding(s) in Company - Amendment

Yesterday Associated British Engineering plc announced that it had been advised by David Newlands that his beneficial holding of £2.00 Ordinary Shares in the company was 53,000 shares which amounted to 4.04% of the issued ordinary share capital. We were in error in indicating that his prior holding was less than 3.0%.

On 1 December 2009 the company announced that David Newlands' beneficial holding of £2.00 Ordinary Shares in the company was 39,500 which amounted to 3.01% of the issued ordinary share capital.

We would apologise for the error which has occurred.

David Brown

Chairman

16 December 2010