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                                                                                                                F&C Asset Management plc
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Press Release
                                                                             Embargoed until 00:00 hours, Monday 16 October 2006




   Asset managers of $12 trillion back fight
                                               against corruption
At a conference in Oslo today hosted by the Norwegian Ministry of Foreign Affairs, a group of over 70
international investment institutions representing combined assets of $12.3 trillion will signal its strong
support for an inter-governmental effort to boost transparency standards in the oil, gas and mining sectors of
developing countries. Known as the Investors' Statement on Transparency in the Extractives Sector,
the initiative gathers fund managers and pension funds from the UK, Continental Europe, North America and
South Africa, and is evidence of the growing interest taken by the institutional investment community in
matters related to governance and corruption.


The investors, co-ordinated by F&C Asset Management, include asset managers such as Fidelity, Merrill
Lynch Investment Managers, JPMorgan Asset Management, Schroders, UBS, ING and HSBC, as well as
major pension funds such as ABP, PGGM, CalPERS, TIAA-CREF and the Ontario Teachers' Pension Plan.
The group supports the Extractive Industries Transparency Initiative (EITI), which was launched by the
British Prime Minister Tony Blair in Johannesburg in 2003, and has since won the support of the Group of
Eight (G8) governments, as well as the governments of some 20 resource-rich developing countries,
including Nigeria, Azerbaijan and Kazakhstan.


The investors are concerned that legitimate payments by companies to governments - such as taxes,
royalties and signature bonuses - can, through their large size and confidential nature, be open to misuse.
This can fuel corruption, poverty and conflict in developing countries which, in turn, creates unstable and
high-cost operating environments for multinational companies. The statement notes: "This is a significant
Registered in Scotland, Company Registration No. 73508 Registered Office: 80 George Street, Edinburgh EH2 3BU
F&C Asset Management plc is Authorised and regulated by the Financial Services Authority (FSA).
business risk, making companies vulnerable to accusations of complicity in corrupt behaviour, impairing their
local and global "licence to operate", rendering them vulnerable to local conflict and insecurity, and possibly
compromising their long-term commercial prospects in these markets."


Speaking on behalf of the signatories, Robert Jenkins, Chairman of the Board of F&C Asset Management,
comments: "The reason the EITI has won the support of this powerful alliance of investors is that it brings
together the forces of business, government and civil society behind a simple, compelling message: we need
energy and raw materials to feed the growing appetite of the global economy ­ but we also need good
governance and the rule of law if we are to do business in the places that hold these scarce resources."


Jenkins continued: "EITI can bring more stable government and prosperity for the citizens of resource-rich
developing countries, a safe and attractive business climate for extractive companies, and cheaper capital
for the governments who are seeking to lift their people out of poverty. Given the clear benefits this brings to
all parties, one has to ask why anyone would not support it?"


Jenkins explained that whilst the leading multinational oil and mining companies are playing a vital role in
promoting the EITI, the Initiative's success hinges on the active participation of key resource-rich
governments in the Emerging Markets, along with their National Oil Companies (NOCs). "We've covered a
lot of ground since the EITI's launch in 2003, but the biggest challenge lies ahead with the state-owned
companies. The silver lining is that many of these NOCs need capital and have now entered the public
markets, which puts pressure on them to move towards higher standards of corporate governance. Our
challenge as investors is to engage them and persuade them that it is in their interest to embrace the EITI."


                                                                              - ends -

Press enquiries

Sergei Cristo                                    Communications Manager                                         +44 (0) 20 7506 1402
                                                 F&C Asset Management
Karolina Adamkiewicz                             Communications Manager                                         +44 (0) 20 7770 5011
                                                 F&C Asset Management


Notes to Editors
      ·     F&C Asset Management plc (F&C) was created on 11 October 2004 from the merger of F&C (Group
            Holdings) Limited and ISIS Asset Management plc.
      ·     Shares in F&C are listed on the London Stock Exchange under the code FCAM. Friends Provident,
            the FTSE 100 insurance group, is F&C's majority shareholder.
      ·     F&C is a pan-European business managing £107 billion (as at 30th June 2006) for a diverse range of
            institutional, insurance and retail clients. F&C has offices in seven countries: France, Germany,
            Ireland, Netherlands, Portugal, UK and United States.

Registered in Scotland, Company Registration No. 73508 Registered Office: 80 George Street, Edinburgh EH2 3BU
F&C Asset Management plc is Authorised and regulated by the Financial Services Authority (FSA).
      ·     F&C is one of the largest UK fund manager by assets under management, has major market share
            in the Netherlands and is a leading provider of fund services to the Portuguese and German retail
            markets.
      ·     F&C has a major presence in the UK retail market with strength in corporate bonds, UK and
            European equities, US smaller companies, multi-manager and ethical funds.
      ·     F&C is a leading force in the UK investment trust industry. The flagship Foreign & Colonial
            Investment Trust was the first such trust, launched in 1868.
      ·     F&C is the leading European socially responsible investor through its reo® (responsible
            engagement overlay) service and the Stewardship suite of ethically screened funds, the oldest retail
            ethical funds in the UK.
      ·     F&C, through its partnership with ISIS Equity Partners LLP, is a leading distributor of Venture Capital
            Trusts under the Baronsmead brand.




Registered in Scotland, Company Registration No. 73508 Registered Office: 80 George Street, Edinburgh EH2 3BU
F&C Asset Management plc is Authorised and regulated by the Financial Services Authority (FSA).
Registered in Scotland, Company Registration No. 73508 Registered Office: 80 George Street, Edinburgh EH2 3BU
F&C Asset Management plc is Authorised and regulated by the Financial Services Authority (FSA).