Debenhams

                             Debenhams plc
                    Scheme of arrangement effective

Debenhams plc ("Debenhams") announces that the Court sanctioned the Scheme at
the First Court Hearing on 28 November 2003 and that it confirmed the reduction
of capital associated with the Scheme at the Second Court Hearing on 2 December
2003. Following the filing and registration of the relevant Court orders in
relation to the Scheme and the associated reduction of capital earlier today,
the Scheme has now become effective.

Debenhams Shares will be delisted at 8.00am on 5 December 2003.

The latest date for the despatch of cheques to Scheme Shareholders is 18
December 2003.

Note: the defined words and terms used in this announcement shall have the
meanings given to them in the original and revised scheme documents.

Enquiries:
For Debenhams:
Joanna George                 Debenhams                 020 7408 3459
Kirstie Hamilton              Tulchan Communications    020 7353 4200
For Baroness Retail:
Sue Pemberton/Chris Barrie    Citigate Dewe Rogerson    020 7638 9571