SALE & LEASEBACK OF SWEDISH WAREHOUSE

7.00am, 1 June 2011

DIXONS RETAIL PLC

SALE & LEASEBACK OF SWEDISH WAREHOUSE

Dixons Retail plc, Europe's largest specialist electrical retailer and services company announces that it has today exchanged contracts with a syndicate of investors advised by Ness, Risan and Partners AS for the sale and leaseback of its Nordic distribution centre in Jönköping, Sweden.

The sale and leaseback is expected to be completed on 23 June 2011 and the total cash consideration payable on completion is expected to be approximately SEK600 million (£59 million). The estimated book value of the property as at 30 May 2011 was SEK 214.5 million (approximately £21 million).

The proceeds of the sale will be used for general corporate purposes, including offsetting drawings on the Group's revolving credit facility and for repayment of the 6.125% November 2012 Bonds.

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For further information

David Lloyd-Seed, Group Communications Director, Dixons Retail 01727 205065

Laura Cummings

Nick Cosgrove Brunswick 020 7404 5959

Information on Dixons Retail plc is available at http://www.dixonsretail.com