Roy Hodgson is confident of England's Euro 2016 chances after being drawn in Group B against Wales, Russia and Slovakia, but respects the "top-class" ability of Gareth Bale and Aaron Ramsey for Chris Coleman's Dragons.
Wales are competing in only their second major finals, after qualifying for the 1958 World Cup. Bale's team will meet neighbours England in the second match of Group B, which takes place in Lens on Thursday, June 16.
Hodgson says Coleman's men must be respected -- especially Real Madrid star Bale, Arsenal midfielder Ramsey and Swansea captain Ashley Williams -- but is confident his side can step up in the group stages after a disappointing 2014 World Cup campaign.
Speaking after the draw in Paris on Saturday, Hodgson told BBC Sport: "I feel good about it. There was always a very good chance we would meet one of the home nations.
"We are very pleased Wales have done so well, and whichever of the teams we got in that pot it would be tough. Why not have a tough one close to home?
"We know all the Wales players -- almost all of them play in England. But what we know most of all is the team is very organised, they have a strong spirit and a good spine. In Aaron Ramsey, Ashley Williams and Gareth Bale, they have three really top class players. We have a lot of respect for Wales.
"When it comes to draws though you are just happy your name is in the hat because it is such a lottery. You just take what you get."
Bale took to Twitter after the draw to say he was eagerly awaiting the tournament, writing: "Tough draw but cannot wait to get out to France, all starting to sink in now! #TogetherStronger"
Meanwhile, Ramsey wrote: "All getting very real now the draw has been made. Can't wait to face England."
Of England's Group B opponents, Hodgson continued: "Chris Coleman and I have been friends for a long time, and whatever happens we'll be friends after the game as well.
"Slovakia and Russia are interesting. I've not come across either of those two teams in my international career -- which is unusual given how many matches we play. They are two newcomers on my CV but we respect them and it will be a question of doing plenty of research now.
"I've been to Lens before with the Swedish Olympic team in the late 1980s. It was a great atmosphere and it is interesting we'll play at Marseille and St Etienne as well. Three quite iconic places. Now it's a question of making certain we produce on the field."
Coleman said of Wales' chances against the Three Lions: "We've got them [England] and it's going to a great game between two good teams. To win 10 games like they did in the qualifying campaign is a fantastic return. England are one of the best teams, but we're looking forward to it. When you get to a tournament, it's that 90 minutes and you've got to get it right.
"Sometimes you have an off-day and it doesn't matter who you play, so you just have to concentrate on yourselves. Slovakia had some great results and Russia are also going to be strong, they're going to be prepared and they're going to be ready -- so we have to make sure we are in the same way."
Russia coach Leonid Slutski would rule out the possibility of any of the four teams making the knockout stage.
"We've got a very interesting group," he said. "Of course, England are favourites in the group, but I think every team has a chance of making it through to the next round.
"I think the matches in our group will be very interesting. There are no weak teams at the European Championship. But in terms of our preparations, some of the teams' playing styles are more familiar than others.
"We don't know a huge amount about Slovakia or Wales because we've not come across them in official matches or friendlies. Now we will start actively gathering information."
Slovakia midfielder Marek Hamsik said it would be important to get off to a good start against Wales.
"It's a good draw for us. It could have been worse," he said. "I'm looking forward to facing England in the last group game. We will have to see if [playing the seeds last] will be an advantage or not. The most important game will be the first one against Wales."
