1. PRELIMINARY RESULTS 1999/2000 abcabc “Cash to Secure Transactions”

2. IAN MUCH Chief Executive abcabc

3. Main Achievements  Creation of a more focused organisation following the Card activities disposal  Recovery in Currency margins  Return to profitability with more to come next year from Cash Systems  Excellent cash generation with an inflow on working capital for the first time since 1994

4. Main Achievements Continued...  Business is now more customer facing with the emphasis on service and solutions not just products  Overhaul of the top management team which has seen 75% of the top 60 management positions changed  Strong balance sheet with zero debt provides platform to exploit future growth opportunities  Re-orientation of the Group towards sustainable sales growth, particularly in Cash Systems and the new Global Services

5. PAUL HOLLINGWORTH Finance Director abcabc

6. Financial Highlights * Before exceptional items/re-organisation costs

7. Security Paper & Print  Strong second half performance boosted by overspill business in Currency  Margins have risen as a result of reorganisation actions and improved mix  Paper volumes down by 19% but improved mix partly offsets impact on profits  Increased holographic usage and higher sales of Microsoft covers have benefited sales of non banknote security products  Costs associated with set up of Global Services and investments made in Transaction Services and Brand Protection  Excellent cash generation

8. Currency KPIs Average banknote prices Value per banknote (per order book) Banknote volumes Base/overspill split Paper volumes +7.4% +6.1% +5.2% 77/23 -19.0% 1999/00 +7.3% +11.4% -11.7% 82/18 -2.6% 1998/99

9. Cash Systems  Sales down as result of consolidation of distribution but next year should see a return to sales growth  Second half saw a modest return to profitability (£4.0m)  Reorganisation is on track to deliver 10% operating margins for final quarter of 2000/2001

10. Cash Systems KPIs New product sales as a % of total product sales Product development expenditure (£m) (% of product sales) Sales: product (£m) service/software (£m) 1998/99 14 19.4 10.0 193.4 74.8 268.2 1999/00 20 15.1 8.4 179.4 77.9 257.3

11. Reorganisation Summary  Original restructuring complete, but up to £2.5m to be spent integrating Ascom acquisition  Higher non-cash costs then anticipated as a result of asset write-offs mainly with respect to old stock  On track to achieve targeted savings  New IT system (MFG.Pro) successfully installed at Portsmouth

12. Global Services  Sales for 1999/2000 of £50.5m up £4.0m or 8.6%  Operating profits for year ended 1 April 2000 were £5.1m  Results included within SPPD division, but will be separately accounted for from 2 April 2000  Holographics and Microsoft were main drivers behind sales growth  Next year’s results will be impacted by £5m net revenue investment to drive top line growth

13. Associates  Increased marketing spend at Camelot reduced profits  Results of lottery rebid due in June 2000, current licence expires September 2001  Second half contribution from DLRG well down as a result of poor order book  Giori arbitration ongoing; arbitration panel still hearing preliminary arguments - case could take 2-3 years to conclude; £2.0m legal fee provision raised to rebut claim

14. Earnings per Share

15. Cashflow / Borrowings / Interest

16. Outlook  Cash Systems re-organisation will continue to deliver benefits into next year  Benefits of large banknote overspill order received in 1998/99 will run down during current year which will limit growth in SPPD. Prospects for non-banknote operations are positive  Weak orderbooks within De La Rue Giori  Current year will benefit from lower number of shares in issue following buyback and benefits of Cash Systems re-organisation

17. IAN MUCH Chief Executive abcabc

18. Currency - Key Achievements  Successful reorganisation and restructuring  Ongoing investment in R&D for differentiating value added technologies:  Intaglio Gold  Starwide ®  Cleartext ®  Platinum ® durable paper  Upgrading second paper machine for wide threads  Valora, JV with Bank of Portugal, for production of Euro banknotes up and running  Clear strategy in place

19. Currency - Strategic Summary  Low growth businesses (c2-3% per annum)  Strategy is long term ‘finessed’ milk  Optimise profit and cash flow on a sustainable basis  Differentiated customer strategy  Leverage Currency technologies across other parts of the Group

20. Security Products - Key Achievements  Appointment of new MD in February 2000  UK print operations increased profits  Portals Bathford, security paper plant, at capacity but tougher year ahead  De La Rue Tapes building new high security facility to increase capacity  Centralising sales and marketing functions

21. Security Products - Strategic Summary  Diverse businesses, common customers and technologies/expertise  Changing emphasis to a service/solution provider  Three markets  Commercial (growing) Invest for Growth  Financial (decline) Milk  Government (stable) Niche opportunities  Move to centres of process excellence

22. Cash Systems - Key Achievements  Profitability in second half demonstrates business on track  Acquisition of Ascom - market leader in cash recyclers (Twinsafe)  Launch of several new products across all three business streams  NMD OEM Platform - ATM mechanism  6000 Sorter - multi pocket banknote sorter  8000C - compact banknote recycler  Updated 3700E - desktop fitness sorter  1250 Spindle Verifier - banded banknote counter  New MACH coin range - high speed coin sorting solutions  New product sales 20% versus 14% last year

23. Key Achievements continued...  Branch Cash Solutions - rejuvenated product range and introduced new solution-orientated connectivity software  Cash Processing forecasting software achieved new high profile installations  Desktop Products ready for Euro  Emphasis on service offering which accounts for over 20% of sales

24. Cash Systems - Strategic Summary - customer based transactions - back office operations  Division  To facilitate the secure and cost effective exchange of value in:  primary market  secondary market  Emphasis is to offer the customer a total service giving them flexibility, choice and value in order to reduce their cash handling costs

25. Cash Systems - Strategic Summary  Branch Cash Solutions  right products and solutions to facilitate increased automation of cash dispensing and depositing transactions as traditional bank branches are revamped  Cash Processing  Continued modernisation of current range of sorters  Increased emphasis on software where there are significant opportunities  Build on success of our outsourcing contract with the central bank of Brazil

26. Cash Systems - Strategic Summary  Desktop Products  Broaden product range  Build strategic relationship  Exploit Euro opportunity  Ongoing reduction of cost structure in Distribution  Customer Services  Expand sales and service offerings in this area  Spread best practice across division

27. Global Services Brand Protection Services Digital & Identity Securing Systems Related Services to Core Customers Consultancy services and facilities management for Central Banks Royal Mint Services Holographics Brand Protection Identity Systems (IDS) Transaction Services InterClear (Digital Security)

28. Strategic Objectives for Global Services  To develop a world class, customer-facing services and solutions business that leverages De La Rue’s brand, market position and technical strengths  To build a business that is big enough to become an engine of growth for De La Rue and to create real shareholder value

29. Global Services - Strategic Status Report  Clear view on our overall strategic direction  Digital and Brand Protection will be the key growth drivers of the division  Acquired InterClear as our entry into Digital Protection  Secured solutions contracts with major brand owners in Brand Protection  Refined our stance on Currency Related Services  Broadened scope of offering to “Consulting Services to Central Banks”  Takeoff longer than anticipated  Update to be given in Autumn

30. Global Services Recent Highlights  Digital Protection  Brand Protection  Services to Central Banks  Transaction Services  IDS  Holographics  Acquired InterClear  Seeking strategic stakes in relevant technology companies  Contracts with major sportswear manufacturer  Good progress with major FMCG group  Appointed specialist Sales Director  Licences with three major mobile phone operators  Mexico Passport contract  Euro security accreditation We have made progress across the board…..

31. Global Services - Financial Impact  Net revenue investment of £5m in 2000/2001.  Expect to start delivering strong profits and sales growth in 2001/2002  Targeting annualised sales of circa £150m in 3 years

32. GLOBAL SERVICES SPW FM BP Hologs CASH SYSTEMS CURRENCY SECURITY PRODUCTS IDS PKI services Trans Svcs Banknote Substrate Banknote Printing Branch Cash Products OEM mechanisms ATM Servicing Desk Top Products Cash Process Products Cash Process Software Cash Process FM Tapes Security Paper Cheque Print / Perso TC Print Voucher Print Passports / IDs, certificates Post Stamp Print Fiscal Stamp Print Fiscal Stamp Solution Threads BP Print/ labels CB Services ID substrates E-Business Current Structure: Current & Potential Links Financial Institution Example Current relationship Potential scope for further leverage Financial Institution Track & Trace / detector solution? Dispenser solution?

33. GLOBAL SERVICES SPW FM BP Hologs CASH SYSTEMS CURRENCY SECURITY PRODUCTS IDS PKI services Trans Svcs Banknote Substrate Banknote Printing Branch Cash Products OEM mechanisms ATM Servicing Desk Top Products Cash Process Products Cash Process Software Cash Process FM Tapes Security Paper Cheque Print / Perso TC Print Voucher Print Passports / IDs, certificates Post Stamp Print Fiscal Stamp Print Fiscal Stamp Solution Threads BP Print/ labels CB Services ID substrates E-Business

34. GLOBAL SERVICES SPW FM BP Hologs CASH SYSTEMS CURRENCY SECURITY PRODUCTS IDS PKI services Trans Svcs Banknote Substrate Banknote Printing Branch Cash Products OEM mechanisms ATM Servicing Desk Top Products Cash Process Products Cash Process Software Cash Process FM Tapes Security Paper Cheque Print / Perso TC Print Voucher Print Passports / IDs, certificates Post Stamp Print Fiscal Stamp Print Fiscal Stamp Solution Threads BP Print/ labels CB Services ID substrates E-Business Gov Future

35. GLOBAL SERVICES SPW FM BP Hologs CASH SYSTEMS CURRENCY SECURITY PRODUCTS IDS PKI services Trans Svcs Banknote Substrate Banknote Printing Branch Cash Products OEM mechanisms ATM Servicing Desk Top Products Cash Process Products Cash Process Software Cash Process FM Tapes Security Paper Cheque Print / Perso TC Print Voucher Print Passports / IDs, certificates Post Stamp Print Fiscal Stamp Print Fiscal Stamp Solution Threads BP Print/ labels CB Services ID substrates E-Business Finance Future Fin

36. GLOBAL SERVICES CASH SYSTEMS CURRENCY SECURITY PRODUCTS Commercial Future SPW FM BP Hologs IDS PKI services Trans Svcs Banknote Printing Branch Cash Products OEM mechanisms ATM Servicing Desk Top Products Cash Process Products Cash Process Software Cash Process FM Tapes Security Paper Cheque Print / Perso TC Print Voucher Print Passports / IDs, certificates Fiscal Stamp Print Fiscal Stamp Solution Threads BP Print/ labels CB Services ID substrates E-Business Post Stamp Print Banknote Substrate Comm

37. GLOBAL SERVICES SPW FM BP Hologs CASH SYSTEMS CURRENCY SECURITY PRODUCTS IDS PKI services Trans Svcs Banknote Substrate Banknote Printing Branch Cash Products OEM mechanisms ATM Servicing Desk Top Products Cash Process Products Cash Process Software Cash Process FM Tapes Security Paper Cheque Print / Perso TC Print Voucher Print Passports / IDs, certificates Post Stamp Print Fiscal Stamp Print Fiscal Stamp Solution Threads BP Print/ labels CB Services ID substrates E-Business Dependencies Future

38. GLOBAL SERVICES SPW FM BP Hologs CASH SYSTEMS CURRENCY SECURITY PRODUCTS IDS PKI services Trans Svcs Banknote Substrate Banknote Printing Branch Cash Products OEM mechanisms ATM Servicing Desk Top Products Cash Process Products Cash Process Software Cash Process FM Tapes Security Paper Cheque Print / Perso TC Print Voucher Print Passports / IDs, certificates Post Stamp Print Fiscal Stamp Print Fiscal Stamp Solution Threads BP Print/ labels CB Services ID substrates E-Business Dependencies Future Gov Future Finance Future Fin Commercial Future Comm

39. Cross Divisional Links  Common Customers  Common Customer Needs  Common Technologies  Common Competencies  Common Requirements

40. Cross Divisional Initiatives 1 Internet Business Development Group 2 Technology 3 Key Account Management 4 Regional Selling 5 Purchasing 6 Manufacturing 7 Internal / External Communications

41. Strategic Direction  Maintain and nurture our high margin Security Paper and Print operations whilst recognising top line growth will be limited  Increased emphasis within Cash Systems on generating sales growth  Invest in new business opportunities within our Global Services division which have the potential to achieve substantial sales and earnings growth  Use the strong balance sheet, where appropriate, to make acquisitions to complement organic growth

42. Strategic Direction continued...  Strengthen the cross-divisional links, to better serve our customer base and utilise our resources, through developing a more cohesive operational structure  Continue to develop our e-business strategy to improve efficiency and better meet the needs of our customers  Continue to invest in the development, training and strengthening of the De La Rue management team to deliver on the above

43. Key Messages  Emphasis now on sales growth  Scope for acquisitions  Ongoing drive for productivity and efficiency  Exploit Group synergies  Improved quality of earnings