At the Extraordinary General Meeting held in Birmingham, all the resolutions in connection with the proposed demerger were passed. As a result, British Gas's Gas sales, Services, and Retail businesses, together with the gas production business of the North and South Morecambe gas fields, will be demerged into Centrica plc and British Gas will change its name to BG plc with effect from 17 February 1997.

Dealings in Centrica and BG plc shares are expected to commence at 8.30am on 17 February 1997.

Subject to dealings commencing on that day, Centrica and BG plc share certificates will be sent to shareholders on or before 28 February 1997. Shareholders who own 1,000 or fewer shares on 17 February 1997, and who have a registered address in the UK, will be sent details of the small shareholder dealing facility at the same time.

Richard Giordano, Chairman of British Gas said today:

"I am delighted that shareholders from individuals to institutions have shown such overwhelming support for the demerger of British Gas. Both BG plc and Centrica can now look forward to successful futures as independently quoted companies."