A members’ voluntary liquidation is a solvent liquidation process, where, once approved by shareholders, directors’ powers cease and a company is placed under the control of liquidators for the purpose of realising its assets, discharging its liabilities and distributing surplus capital to shareholders. In a members’ voluntary liquidation, it is expected that all creditors will be paid in full and that surplus assets will be available for distribution to shareholders.

2. How much am I likely to receive and when?

The first instalment of 200 pence per share was returned on 10 January, the second instalment of 43 pence per share on 18 August 2003, the third instalment of 9 pence per share on 24 December 2004 and the fourth instalment of 8.5 pence per share on 16 December 2005. Assuming no unknown liabilities arise, it is expected to issue a final payment of one penny per share following the sixth anniversary of the liquidation in 2008.

3. Why is cash being returned in instalments rather than a lump sum?

Cash can only be returned to the extent that the Liquidators are satisfied that it is not required to meet any outstanding liabilities. This process will take time, therefore the quickest way for the Liquidators to return cash to shareholders is by returning it in instalments.

4. Can I still sell my shares on the London Stock Exchange?

No. The Shares were delisted from the London Stock Exchange on 27 December 2002 and share trading ceased on that date.

5. Can I transfer my shares?

Probate transfers will be processed free of charge. A £10.00 fee is payable to the Registrars, Computershare Investor Services Plc, to process any non-probate transfers. Alternatively, your shares may be transferred to charity via Sharegift, an organisation that collects unwanted holdings of minimal value. Transfers to Sharegift will be processed free of charge and a transfer form was included with the Joint Liquidators’ annual report of 16 December 2005. If you have mislaid your form or require further details please contact the Registrars on 0870 702 0104.

6. What tax will I have to pay on the cash I receive?

For UK tax purposes, cash returned to Shareholders through a liquidation of Railtrack Group PLC will be treated as a distribution of capital rather than income. Broadly, if a Shareholder paid more for his Shares than he receives back by way of cash distribution, he should not have any tax to pay.

7. Why has the name changed to RT Group PLC?

Network Rail insisted that Railtrack Group agree to change its name to remove the word ‘Railtrack’ as part of the sale agreement, which was approved by Shareholders at the extraordinary general meeting on 23 July 2002.