Following a period of encouraging performance, the Board of Panmure Gordon (“the Board”) expects the results for the year ending 31 December 2005 to exceed current market expectations. 6 December 2005 Panmure Gordon & Co. plc (“Panmure Gordon”) Trading Update Following a period of encouraging performance, the Board of Panmure Gordon (“the Board”) expects the results for the year ending 31 December 2005 to exceed current market expectations. The Board now expects revenue for the year to 31 December 2005 to be not less than £28.0 million, of which £20.9 million will have been earned in the second half of the year. Having continued to invest in high quality staff and having made a provision for staff bonuses, the Board expects operating profit before FRS20 option related charges and exceptional charges to be not less than £4.3 million, of which £4.1 million will have been earned in the second half of the year. On the basis of 44,687,572 being the estimate of the average number of shares in issue and an assumed tax charge of 20%, the Board expects Earnings per Share on continuing activities before exceptional charges and FRS 20 option related charges to be not less than 8.8p. We continue to make good progress in establishing Panmure Gordon as a leading corporate and institutional stockbroker. The integration of the Panmure Gordon and Durlacher businesses in the first half exceeded expectations and the second half of the year has seen the firm gain further momentum against a background of helpful market conditions. We seek to service corporate clients at all levels of market capitalisation and this year has seen good additions to the corporate client list. This has offset the ceasing of activity for some clients where the economic relationship was unfavourable to Panmure Gordon. Our institutional equities business remains focused on client facilitation rather than proprietary trading and we continue to gain market share. The financial performance for the year ending 31 December 2005 includes the results of Durlacher alone for the period 1 January 2005 to 26 April 2005 and for the combined business for the rest of the period. It is intended that the preliminary results for the year ended 31 December 2005 will be announced on 14 March 2006. Cancellation of share premium account and deferred capital account Following the resolution passed at the Extraordinary General Meeting on 22 April 2005, a Court Order on 12 October 2005 confirmed that the share premium account and deferred share capital were cancelled and extinguished. The effect of this is to eliminate the brought forward deficit on the profit and loss account and thus enable the Company to pay dividends out of future distributable profits. Although the board is not proposing to declare dividends in respect of the current year, it may wish to do so in future years as the business generates surplus cash. - ends - Enquiries: Panmure Gordon Tim Linacre 020 7459 3600 David Liddell 020 7459 3600 Bell Pottinger Corporate & Financial David Rydell/Nick Lambert 020 7861 3232 About Panmure Gordon Panmure Gordon is a UK-focused corporate and institutional stockbroker which provides corporate finance advice, distributes and trades securities and publishes investment research on behalf of a wide range of clients. The firm is one of the oldest established stockbrokers in the City, having been founded in 1876 by Harry Panmure Gordon. The business merged with Durlacher Corporation Plc at the end of April 2005 and is focused on UK equities, ranging from FTSE 100 to fast growing AIM stocks. Panmure Gordon is quoted on AIM (PMR.L). One third of the Company’s ordinary shares are held on behalf of management Panmure Gordon currently advises or is stockbroker to approximately 100 companies. Its institutional client base is served by a very experienced sales team and supported by in-depth research on more than 250 companies and 300 investment trusts.