Five year record

Year ended February 1991(2) 1992(1) 1993(2) 1994 1995 * * * ---------------------------------------------------------------------- Financial statistics Łm Turnover excluding VAT UK 6,346 7,097 7,581 8,347 9,655 Rest of Europe - - - 253 446 --------------------------------------- 6,346 7,097 7,581 8,600 10,101 --------------------------------------- Operating profit (2) UK operations before buildings depreciation 388 463 529 549 642 Depreciation of buildings(2) 22 29 33 36 42 --------------------------------------- UK 366 434 496 513 600 Rest of Europe - - - 8 17 --------------------------------------- 366 434 496 521 617 Operating margin (3) UK 5.8% 6.1% 6.5% 6.1% 6.2% Rest of Europe - - - 3.2% 3.8% Total group 5.8% 6.1% 6.5% 6.1% 6.1% Net interest (payable) /receivable 19 66 31 7 (22) -------------------------------------- Underlying profit (4) 385 500 527 528 595 Net margin (3) 6.1% 7.0% 7.0% 6.1% 5.9% Wm Low integration costs - - - - (39) Net (loss)/surplus on disposal of properties (5) 19 1 (2) (93) (5) -------------------------------------- Profit before taxation 404 501 525 435 551 Taxation (133) (150) (163) (136) (170) -------------------------------------- Profit after taxation 271 351 362 299 381 -------------------------------------- Underlying fully diluted earnings per share (4) 14.8p 17.8p 18.3p 18.8p 20.1p Earnings per share 16.4p 18.1p 18.6p 15.2p 18.9p Dividends per share 5.25p 6.30p 7.10p 7.75p 8.60p -------------------------------------- Net worth - Łm (6) 2,139 2,410 2,693 2,749 3,104 Return on shareholders' funds (7) 27.5% 22.1% 20.7% 19.4% 20.3% Return on capital employed (8) 19.7% 17.7% 16.7% 15.7% 16.2% Net assets per share (9) 111p 124p 138p 140p 151p -------------------------------------- UK food retail productivity Ł Turnover per employee (10) 106,044 119,246 130,612 138,658 140,842 Profit per employee (10) 6,116 7,292 8,545 8,522 8,752 Wages per employee (10) 10,579 12,250 13,172 13,922 13,941 Weekly sales per sq ft (11 &12) 15.06 15.47 15.69 16.37 17.00 -------------------------------------- UK food retail statistics Market share in food & drink shops (13) 9.1% 9.4% 9.8% 10.1% 11.4% Number of stores 384 396 412 430 519 Total sales area - '000 sq ft (12) 8,956 9,661 10,352 11,006 12,641 Sales area opened in year '000 sq ft 798 889 859 790 830 Average store size (sales area) - sq ft (14) 23,300 24,400 25,200 25,700 24,900 Average sales area of stores opened in year - sq ft (14) 38,100 35,500 35,400 33,100 28,200 Full-time equivalent employees (15) 59,846 59,519 58,046 60,199 68,552 -------------------------------------- Share price - pence Highest 246 296 293 260 255 Lowest 194.5 207 197.5 179 202 Year end 246 271 235 223.5 252 --------------------------------------

Notes
* 1991, 1992 and 1993 figures are restated.
1 53 week period.
2 Depreciation of freehold and long leasehold buildings was introduced with effect from 1993/94. In order to compare profits, earnings per share and returns on a consistent basis, a notional charge has been calculated as if buildings depreciation had been introduced from 1990/91.
3 Based upon turnover exclusive of VAT.
4 Underlying profit and fully diluted earnings per share is after charging notional buildings depreciation and excludes net (loss)/surplus on disposal of properties and Wm Low integration costs.
5 Net (loss)/surplus on the disposal of properties for 1994 includes Ł85m in respect of the write down of surplus development sites to their estimated net realisable value.
6 Total shareholders' funds at the year end.
7 Underlying profit divided by weighted average shareholders' funds.
8 Operating profit divided by average capital employed.
9 Based on number of shares at year end.
10 Based on turnover exclusive of VAT, operating profit and total staff cost per full-time equivalent employee.
11 Based on weighted average sales area and turnover inclusive of VAT.
12 Store sizes exclude lobby and restaurant areas.
13 Based on Tesco food, grocery, non-food and drink sales and Institute of Grocery Distribution/Department of Trade and Industry data.
14 Average store sizes exclude Metro and Express stores.
15 Based on average number of full-time equivalent employees in the United Kingdom.