Peel Group - Press Statement

13 December 2010

Peel Group - Press Statement

Below is the text of a statement released by Peel Group this morning.

Susan Folger

Company Secretary

Capital Shopping Centres Group PLC

"Statement on behalf of Peel Group, in response to Simon Property Group Inc's letter to Capital Shopping Centres Group, December 12th 2010

Peel Group is aware of the letter from Simon Property Group Inc to Capital Shopping Centres Group plc, proposing fundamental changes to CSC's agreed Trafford Centre transaction with Peel.

Peel Group remains committed to the agreed transaction with CSC, subject to approval of CSC shareholders on 20th December 2010. Peel has no intention of selling the Trafford Centre for cash and this has never been an aim of the group - in spite of the fact that Peel has been advised a cash sale would achieve a higher price - and nor does Peel intend entering into such a discussion. Rather, Peel's stated objective is to increase and diversify its exposure to the UK shopping centre market via a long-term investment in CSC.

The transaction will bring to CSC the value of John Whittaker's extensive experience in the retail and leisure property sectors and, through the addition of the Trafford Centre, will create an unrivalled portfolio of UK regional shopping centre assets.

The transaction is part of Peel's ongoing strategy to broaden its investment in property and infrastructure through partnerships with complementary businesses.

Peel believes the combination of the Trafford Centre within the CSC portfolio, together with an improved capital structure and a strong and supportive shareholder, will significantly improve the growth prospects for CSC for the next cycle and for the long term. Peel looks forward to supporting the CSC Board, for the benefit of all shareholders, to further enhance CSC's position as a leading UK shopping centre investor.

Ends

Further information:

Dominic Morgan Financial Dynamics 020 7269 9343

Andrew Rieley Financial Dynamics 020 3077 0409

Robert Fowlds JP Morgan Cazenove 020 7742 4000

Edouard Asselin JP Morgan Cazenove 020 7742 4000"