Aug 22nd Klin & KFC Staements

Klin Investment (UK) Ltd has made an offer in writing (today dated Aug 22nd 2003) to the Principal Shareholder of Kilmarnock Football Club to acquire the controlling interest of the club. The Company was formed as the investment arm of the Klin Group, a Kilmarnock based private business with a background in property development.

Managing director Marie Macklin today (Friday) revealed that an offer has gone to the principal shareholder of Kilmarnock Football Club, Mr. Jamie Moffat, who has a 90 per cent stake in the club. It follows an approach to Klin by Mr. Moffat who joined Killie chairman Sir John Orr last week in appealing to fans to raise one million pounds to prop up the club.

Supporters attending a special meeting in the club's pitch-side hotel were told that Kilmarnock Football Club were expecting to post a loss of two million pounds this year. Marie Macklin said: "My father, who is a lifelong Killie fan, always wanted to be part of the club. Ill health prevented this, and when I took over as Managing Director of the business at the start of the year, I agreed to pursue this ambition on his behalf. The negotiations between myself and the principal shareholder have been amicable but no deal has yet been signed."

"The club have asked supporters to contribute their own money in an effort to stabilise finances and give the business a fresh start. We have drawn together a package in excess of two million pounds, which will remove the need for any financial input from fans. This is a friendly bid at an opportune moment for Kilmarnock Football Club. Klin Investment (UK) Ltd are presently sitting by the touchline, waiting to be signaled on. Our involvement can only be good news for the club, the fans and everyone with Kilmarnock Football Club at heart."

NOTES:
Marie Macklin is 37 and has worked in management/accountancy within the banking and constructions industries. She is married to Drew Macklin, a quantity surveyor, and they live in Kilmarnock. The Klin group is a privately-owned company of property developers which was established in 1988. The company, which operates from a head office in Kilmarnock, has specialised in housing and retail regeneration projects in the West of Scotland.

Official Club Response

(Aug 22nd 2003)

Kilmarnock Football Club confirm that they have received an approach on behalf of the Dick family to purchase a 75% controlling interest in the Club.

The Club and their advisors are surprised to hear of this announcement, as they understood the discussions to be private and confidential at this stage.

Kilmarnock Football Club and Mr Moffat, the majority shareholder, have previously stated they wish to encourage new investment in the Football Club as they develop the plans for the future. The supporters were made aware of these plans and the need to bring new money into the club at an open meeting at the Park Hotel last Tuesday evening.

Although the Dick family proposal did include new investment in the Club, it totally undervalued the Club and the investment made by the Moffat family over many years and therefore has not been accepted.

The Club also takes this opportunity to comment on the recent press speculation in relation to Mr Costley, a previous Chairman of the Club who chose to resign in September of last year. The Board has had no dialogue or communication with Mr Costley since that time, and therefore, is intrigued by recent press comment on the issue of his involvement with the club.

The Club has embarked on a plan to secure its financial future. The fact that there would appear to be two parties interested in becoming involved has to be a positive sign.