Provident Financial Jul 2007

Provident Financial plc ("Provident"), announced on 7 June 2007 the details of the proposed demerger of its international home credit business ("IHC"). Following the demerger, IHC will be transferred to International Personal Finance plc, a newly established listed company.

Provident has been engaged in the supply of small sum credit since 1880 and is the largest provider of home collected credit in the UK. Provident established IHC in 1997 to develop home credit in overseas markets and has since successfully developed operations in six countries with combined profit before tax of £42.3mlion (December 2006). As at 13 July 2007 Provident had a market capitalisation of £2.3 billion.

Canaccord Genuity acted as joint financial advisor to Provident Financial.