Sale and leaseback of 29 pub portfolio

14th January 2011

Enterprise Inns plc

Sale and leaseback of 29 pub portfolio for a consideration of £42.6m.

Enterprise Inns plc is pleased to announce that it has reached agreement for the sale and leaseback of a portfolio of 29 freehold pubs situated in London, to MPG Pubs LP a wholly owned property vehicle of Max Property Group plc, leased back to Enterprise Inns plc for 35 years with minimum uplifts throughout the term, for total cash consideration of £42,560,800. The sale proceeds of the pubs being disposed of are above the total book value of £33,975,000 as at 30 September 2010 prior to this leaseback agreement.

All of the properties will be held on full repairing and insuring leases with annual upward only increases for the first five years and five-yearly increases thereafter, with all increases in line with RPI subject to a minimum uplift of 3% per annum and a maximum uplift of 4% per annum. The initial rent roll is £2,975,000 per annum.

This sale and leaseback is in line with Enterprise Inns' stated objective to seek efficient sources of capital, and the disposal proceeds will be used for debt repayment.

Enquiries:

Tulchan Communications, Andrew Honnor/Mal Patel 0207 353 4200

Ted Tuppen, Chief Executive 0121 733 7700

David George, Chief Financial Officer 0121 733 7700

Emma Baines, Investor Relations Manager 0121 733 7700/07990 550210