2002 Full Year Results2002 Full Year Results

2

Johnston Press plcJohnston Press plc

AgendaAgenda

• Introductions and Introductions and OverviewOverview

• 2002 Prelims2002 Prelims

• Operating ReviewOperating Review

• OutlookOutlook

3

Key Financial HighlightsKey Financial Highlights

Like for like advertising revenue Up 2%

Profit before taxation Up 35%

Headline earnings per share Up 13%

Turnover Up 43%

Operating profit Up 45%

- Like for like pre exceptionals

Up 7%

Dividend per share Up 18%

Free cash flow Up 127%

4

Operational HighlightsOperational HighlightsOperational HighlightsOperational Highlights

• Modest advertising revenue growthModest advertising revenue growth• Modest advertising revenue growthModest advertising revenue growth

• Weekly circulations increased for sixth successive yearWeekly circulations increased for sixth successive year• Weekly circulations increased for sixth successive yearWeekly circulations increased for sixth successive year

• Successful integration of RIMSuccessful integration of RIM• Successful integration of RIMSuccessful integration of RIM

• Completion of major press upgrades with Completion of major press upgrades with substantiallysubstantially increased colour capabilityincreased colour capability

• Completion of major press upgrades with Completion of major press upgrades with substantiallysubstantially increased colour capabilityincreased colour capability

• Excellent cost control and lower newsprint pricesExcellent cost control and lower newsprint prices• Excellent cost control and lower newsprint pricesExcellent cost control and lower newsprint prices

• Growing contribution from electronic Growing contribution from electronic publishingpublishing• Growing contribution from electronic Growing contribution from electronic publishingpublishing

5

Corporate GovernanceCorporate GovernanceCorporate GovernanceCorporate Governance

• Proposed new non executive appointmentsProposed new non executive appointments• Proposed new non executive appointmentsProposed new non executive appointments

• 2 year CE contract removed2 year CE contract removed• 2 year CE contract removed2 year CE contract removed

• Introduction of LTIPIntroduction of LTIP• Introduction of LTIPIntroduction of LTIP

• Appointment of new auditorsAppointment of new auditors• Appointment of new auditorsAppointment of new auditors

• ConsultationConsultation• ConsultationConsultation

Financial ReviewFinancial Review

7

Profit & Loss Account – EBITDAProfit & Loss Account – EBITDA20022002 20012001

TurnoverTurnover

ContinuingContinuing

AcquisitionsAcquisitions

Total TurnoverTotal Turnover

EBITDAEBITDADepreciationDepreciation

Operating exceptionalsOperating exceptionalsExceptional itemsExceptional items

EBITEBITNet interestNet interest

Profit before taxationProfit before taxation

TaxationTaxation

Earnings per shareEarnings per share

306.4306.4

120.4120.4

428.4428.4

148.2148.2(16.7)(16.7)

(1.7)(1.7)(4.4)(4.4)

(32.7)(32.7)

92.792.7

26.7526.75

65.965.9

(26.8)(26.8)

131.5131.5

%%

1.91.9

44.344.3

44.344.3

35.335.3

300.6300.6

300.6300.6

102.7102.7(11.6)(11.6)

(1.2)(1.2)(5.0)(5.0)

(16.3)(16.3)

68.668.6

(20.0)(20.0)

23.6523.65

91.191.1

48.648.6

£’m£’m£’m£’m

13.113.1

ChangeChange

Profit after taxationProfit after taxation

HeadlineHeadlineBasicBasic 24.6524.65 21.6821.68 13.713.7

35.635.6

125.4125.4 84.984.9 47.947.9

52 weeks to 31 December 200252 weeks to 31 December 2002

DiscontinuedDiscontinued 1.61.6----

8

209.3209.3 210.0210.0

20022002 £’m£’m

20012001 £’m£’m

VarianceVariance %%

Publishing and PrintingPublishing and Printing

Advertising VolumeAdvertising Volume

Advertising YieldAdvertising Yield

Advertising SalesAdvertising Sales

Newspaper SalesNewspaper Sales

Contract PrintingContract Printing

Other SalesOther Sales

Total RevenueTotal Revenue

Total Production CostsTotal Production Costs

EditorialEditorial

Advertising & MarketingAdvertising & Marketing

DistributionDistribution

AdministrationAdministration

DepreciationDepreciation

Total CostsTotal Costs

Operating Profit –pre exceptionalsOperating Profit –pre exceptionals

Operating MarginOperating Margin

109.7109.7 109.8109.8 00

2.142.14 2.092.09 22

234.3234.3 229.5229.5 22

36.736.7 35.135.1 5 5

14.014.0 15.715.7 (11)(11)

21.421.4 20.420.4 55

306.4306.4 300.7300.7 22

73.473.4 77.177.1 ( 5 )( 5 )

30.730.7 30.130.1 22

32.432.4 32.632.6 ( 1 )( 1 )

22.522.5 22.122.1 22

37.637.6 36.536.5 33

12.712.7 11.611.6 99

00

97.197.1 90.790.7 77

31.7%31.7% 30.2%30.2%

52 weeks to 31 December 2002 - Existing Business -like for like52 weeks to 31 December 2002 - Existing Business -like for like

(cms)(cms)

(£/ccm)(£/ccm)

9

37.637.6 87.987.9

15 15 WeeksWeeksPre acqPre acq

£m£m

37 37 WeeksWeeks

Post acq.Post acq.£m£m

20022002£m£m

Former RIM CompaniesFormer RIM Companies

Advertising SalesAdvertising Sales

Newspaper SalesNewspaper Sales

Contract PrintingContract Printing

Other SalesOther Sales

Total RevenueTotal Revenue

Total CostsTotal Costs

Operating Profit (pre exceptionals)Operating Profit (pre exceptionals)

Operating MarginOperating Margin

35.835.8 87.587.5 123.3123.3

8.98.9 21.721.7 30.630.6

2.02.0 5.15.1 7.17.1

3.53.5 7.77.7 11.211.2

50.250.2 122.0122.0 172.2172.2

125.5125.5

12.612.6 34.134.1 46.746.7

25.1%25.1% 28.0%28.0%

52 weeks to 31 December 200252 weeks to 31 December 2002

20012001£m£m

123.6123.6

31.431.4

7.97.9

12.412.4

175.3175.3

135.1135.1

40.240.2

27.1%27.1% 22.9%22.9%

2001 includes Valpak losses of £0.9m2001 includes Valpak losses of £0.9m

10

Display

Motors

Property

Other Classified

TOTAL

Advertising Revenue Analysis Advertising Revenue Analysis

Employment

RevenueRevenueIncreaseIncrease %%

Proportion of businessProportion of business 2002 20012002 2001 % % %%

1.71.7 30.930.9 31.031.0

2.32.3 14.014.0 13.913.9

0.30.3 25.925.9 26.426.4

3.73.7 13.913.9 13.713.7

4.54.5 15.315.3 15.015.0

2.12.1 100.0100.0 100.0100.0

52 weeks to 31 December 2002 - Existing Business - like for like52 weeks to 31 December 2002 - Existing Business - like for like

11

Display

Motors

Property

Other Classified

TOTAL

Advertising Revenue Analysis Advertising Revenue Analysis

Employment

RevenueRevenueIncreaseIncrease %%

Proportion of businessProportion of business 2002 20012002 2001 % % %%

1.01.0 31.531.5 31.631.6

(2.1)(2.1) 10.510.5 10.810.8

2.32.3 33.433.4 33.233.2

1.31.3 9.89.8 9.89.8

3.03.0 14.814.8 14.614.6

1.41.4 100.0100.0 100.0100.0

52 weeks to 31 December 2002 - Newly Acquired Business - like for like52 weeks to 31 December 2002 - Newly Acquired Business - like for like

12

Advertising increase by divisionAdvertising increase by division

VolumeVolume %%

VolumeVolume %%

YieldYield%%

YieldYield%%

RevenueRevenue %%

RevenueRevenue %%

ScotlandScotlandScotlandScotland

NortheastNortheastNortheastNortheast

North of EnglandNorth of EnglandNorth of EnglandNorth of England

North MidlandsNorth MidlandsNorth MidlandsNorth Midlands

East MidlandsEast MidlandsEast MidlandsEast Midlands

South MidlandsSouth MidlandsSouth MidlandsSouth Midlands

South of EnglandSouth of EnglandSouth of EnglandSouth of England

TotalTotalTotalTotal

(0.5(0.5))

(0.5(0.5))

0.0.55

0.0.55

0.00.0 0.00.0

(6.4)(6.4) (6.4)(6.4) 11.11.44

11.11.44

4.4.33

4.4.33

(0.3)(0.3)(0.3)(0.3) 5.35.35.35.3 4.94.9 4.94.9

(1.7)(1.7)(1.7)(1.7) 9.89.89.89.8 7.97.9

7.97.9

3.03.0 3.03.0 1.21.21.21.2 4.24.2 4.24.2

0.70.70.70.7 (1.1(1.1))

(1.1(1.1))

(0.5(0.5))

(0.5(0.5))

0.10.10.10.1 (0.4(0.4))

(0.4(0.4))

(0.4(0.4))

(0.4(0.4))

(0.1)(0.1)(0.1)(0.1) 2.22.22.22.2 2.12.1 2.12.1

52 weeks to 31 December 2002 - 52 weeks to 31 December 2002 - Existing BusinessExisting Business - like for likelike for like

13

Display

Motors

Property

Other Classified

TOTAL

Advertising Increases by CategoryAdvertising Increases by Category

Revenue

Employment

YearYear

%%

Half Year toHalf Year to June DecemberJune December % % %%

1.71.7 2.92.9 0.50.5

2.32.3 (0.2)(0.2) 5.05.0

0.30.3 (1.9)(1.9) 2.72.7

3.73.7 0.90.9 6.96.9

4.54.5 5.35.3 3.83.8

2.12.1 1.21.2 3.03.0__________ __________ __________

______________________________

Existing Business - 2002Existing Business - 2002

14

Display

Motors

Property

Other Classified

TOTAL

Advertising Increases by CategoryAdvertising Increases by Category

Revenue

Employment

YearYear

%%

Half Year toHalf Year to June DecemberJune December % % %%

1.01.0 2.02.0 0.10.1

(2.1)(2.1) (1.0)(1.0) (3.2)(3.2)

2.32.3 (0.2)(0.2) 5.25.2

1.31.3 0.70.7 2.02.0

3.03.0 4.34.3 1.81.8

1.41.4 1.11.1 1.81.8__________ __________ __________

______________________________

Newly Acquired Business - 2002Newly Acquired Business - 2002

15

Cash FlowCash Flow

Operating ProfitOperating Profit 129.5129.5 89.589.5

ExceptionalsExceptionals (5.0)(5.0) (0.6)(0.6)

Depreciation – and other non cash movementsDepreciation – and other non cash movements 16.616.6 11.611.6

Net cash flow from operating activitiesNet cash flow from operating activities 151.5151.5 97.697.6

Interest paid - netInterest paid - net (33.5)(33.5) (16.0)(16.0)

TaxationTaxation (17.7)(17.7) (19.3)(19.3)

Capital expenditure and financial investmentCapital expenditure and financial investment (14.2)(14.2) (24.3)(24.3)

Free Cash FlowFree Cash Flow 86.186.1 38.038.0

66%66% 42%42%

10.410.4 (2.9)(2.9)Movement in working capitalMovement in working capital

Conversion of operating profit to free cash flowConversion of operating profit to free cash flow

20022002£m£m

20012001£m£m

%%IncreaseIncrease

44.744.7

55.255.2

126.6126.6

16

Cash FlowCash Flow

FREE CASH FLOWFREE CASH FLOW 86.186.1 38.038.0

AcquisitionsAcquisitions (573.3)(573.3) (6.0(6.0))DisposalsDisposals 5.65.6

Net cash flow before financingNet cash flow before financing (493.3)(493.3) 22.722.7

Financed by Issue of SharesFinanced by Issue of Shares 223.1223.1 0.50.5

Increase / (Decrease) in Net DebtIncrease / (Decrease) in Net Debt 270.2270.2 (23.2)(23.2)

493.3493.3 (22.7)(22.7)

(11.7)(11.7) (9.3)(9.3)DividendsDividends

20022002£m£m

20012001£m£m

--

17

Net Debt / Interest CoverNet Debt / Interest CoverNet Debt / Interest CoverNet Debt / Interest Cover

As atAs atAs atAs at

Net assetsNet assets (£’M)(£’M)

Net DebtNet Debt (£’M)(£’M)

GearingGearing (%) (%)

Interest CoverInterest Cover (times)(times)

31.12.0231.12.02 30.06.0230.06.02 31.12.0131.12.01

561.5561.5 535.7535.7 288.0288.0

502.8502.8 557.0557.0 236.9236.9

9090 104104 8282

4.34.3 5.35.3 5.55.5

31.12.0031.12.00 31.12.9931.12.99

249.0249.0 212.8212.8

259.3259.3 263.0263.0

104104 124124

4.54.5 5.55.5

Net Debt / EBITDANet Debt / EBITDA 3.13.1 3.63.6 2.32.3 2.72.7 3.53.5

18

£’m£’m

Summary Balance SheetSummary Balance Sheet

Fixed AssetsFixed Assets

IntangiblesIntangibles

OtherOther

Current AssetsCurrent Assets

Stocks and DebtorsStocks and Debtors

CashCash

Creditors within one yearCreditors within one year

Creditors over one yearCreditors over one year

Shareholders FundsShareholders Funds

927.6927.6

159.2159.2 1086.81086.8

64.564.5

10.710.7

75.275.2

(122.0)(122.0)

(46.8)(46.8)

(478.5)(478.5)

561.5561.5

561.5561.5

£’m£’m £’m£’m

425.5425.5

123.7123.7 549.2549.2

44.044.0

9.19.1

53.153.1

(89.8)(89.8)

(36.7)(36.7)

(224.5)(224.5)

288.0288.0

288.0288.0

£’m£’m31 December 200231 December 2002 31 December 200131 December 2001

19

Capital Expenditure / DepreciationCapital Expenditure / Depreciation

Net Capital Expenditure (Cash)Net Capital Expenditure (Cash)Net Capital Expenditure (Cash)Net Capital Expenditure (Cash)

DepreciationDepreciationDepreciationDepreciation

9.09.0 19.919.9 24.324.3 13.613.6

9.79.7 11.511.5 11.611.6 16.716.7

1999199919991999 2000200020002000 2001200120012001 2002200220022002

ForecastForecast

ForecastForecast£’m£’m£’m£’m

21.021.0

18.518.5

2003200320032003

Year to 31 DecemberYear to 31 December

20

RIM AcquisitionRIM Acquisition

Fixed AssetsFixed Assets

PropertyProperty

PlantPlant 11.011.0

StocksStocks 0.20.2

Debtors – mainly doubtful debtsDebtors – mainly doubtful debts 0.50.5

Additional creditorsAdditional creditors 0.90.9

Provision for pension deficitProvision for pension deficit 8.88.8

TaxationTaxation (13.9)(13.9)

4.64.6InvestmentsInvestments

________

________

£m£m

(1.6)(1.6)

12.612.6

12.112.1________

Fair Value AdjustmentsFair Value Adjustments

21

RIM AcquisitionRIM Acquisition

Termination and redundancies costsTermination and redundancies costs

RIM Board members and support staffRIM Board members and support staff 2.22.2

Closure of Harrogate PressClosure of Harrogate Press 0.50.5

Termination of superfluous contractsTermination of superfluous contracts 0.10.1

0.40.4Closure of London and Manchester national sales officesClosure of London and Manchester national sales offices

________

£m£m

4.44.4________

Central ActivitiesCentral Activities 1.21.2

Non Operating Exceptional ItemsNon Operating Exceptional Items

22

Pensions / FRS 17Pensions / FRS 17Pensions / FRS 17Pensions / FRS 17

• 2 defined benefit schemes2 defined benefit schemes• 2 defined benefit schemes2 defined benefit schemes

• Both closed since 1998/9Both closed since 1998/9• Both closed since 1998/9Both closed since 1998/9

• Both schemes fully funded at 31/12/00Both schemes fully funded at 31/12/00• Both schemes fully funded at 31/12/00Both schemes fully funded at 31/12/00

• FRS17 deficits at 31/12/02FRS17 deficits at 31/12/02 Existing £50mExisting £50m• FRS17 deficits at 31/12/02FRS17 deficits at 31/12/02 Existing £50mExisting £50m

• Employer / employee contributions increased during 2002Employer / employee contributions increased during 2002• Employer / employee contributions increased during 2002Employer / employee contributions increased during 2002

• MFR – status, emergency contributions under reviewMFR – status, emergency contributions under review• MFR – status, emergency contributions under reviewMFR – status, emergency contributions under review

Acquired £25mAcquired £25mAcquired £25mAcquired £25m

Operational ReviewOperational Review

24

OverviewOverviewOverviewOverview

• Strategic theme …. “Life is Local”Strategic theme …. “Life is Local”• Strategic theme …. “Life is Local”Strategic theme …. “Life is Local”

• Organic Revenue Growth Organic Revenue Growth • Organic Revenue Growth Organic Revenue Growth

• Focus on CirculationsFocus on Circulations• Focus on CirculationsFocus on Circulations

• Maximising RIM integration benefitsMaximising RIM integration benefits• Maximising RIM integration benefitsMaximising RIM integration benefits

• Continuing cost control / operating efficienciesContinuing cost control / operating efficiencies• Continuing cost control / operating efficienciesContinuing cost control / operating efficiencies

• Controlling newsprint costsControlling newsprint costs• Controlling newsprint costsControlling newsprint costs

• Ongoing capex programme – presses / systemsOngoing capex programme – presses / systems• Ongoing capex programme – presses / systemsOngoing capex programme – presses / systems

• Progressing electronic publishing strategyProgressing electronic publishing strategy• Progressing electronic publishing strategyProgressing electronic publishing strategy

• Investment in training / management developmentInvestment in training / management development• Investment in training / management developmentInvestment in training / management development

• Pursuit of acquisitive growth / media ownershipPursuit of acquisitive growth / media ownership• Pursuit of acquisitive growth / media ownershipPursuit of acquisitive growth / media ownership

• Prospects for 2003Prospects for 2003• Prospects for 2003Prospects for 2003

25

Revenue Growth InitiativesRevenue Growth InitiativesRevenue Growth InitiativesRevenue Growth Initiatives

• Driving proactive categoriesDriving proactive categories• Driving proactive categoriesDriving proactive categories

• Better tailored packagingBetter tailored packaging• Better tailored packagingBetter tailored packaging

• Dissemination of best practiceDissemination of best practice• Dissemination of best practiceDissemination of best practice

• New revenue streamsNew revenue streams• New revenue streamsNew revenue streams

26

Circulation PerformanceCirculation Performance

WeekliesWeeklies

SixSix months tomonths toJune 2002June 2002

Six months toSix months toDecember 2002December 2002

ExistingExisting

%%

Newly Newly AcquiredAcquired

%%

ExistingExisting

%%

Newly Newly AcquiredAcquired

%%

0.70.7

(2.6)(2.6)

(2.1)(2.1)

1.81.8

(4.1)(4.1)

(1.5)(1.5)

1.31.3

(2.5)(2.5)

(1.8)(1.8)

2.92.9

(4.2)(4.2)

(3.3)(3.3)

DailiesDailies(total sale)(total sale)

DailiesDailies(excluding(excludingBulk sales)Bulk sales)

27

Circulation – Action PlansCirculation – Action Plans

• Focus on content and design Focus on content and design

• Dissemination of best practice Dissemination of best practice

• Review of underlying trendsReview of underlying trends

• Added value supplements and daily Added value supplements and daily

platformsplatforms• Improved direct delivery and supply Improved direct delivery and supply

arrangementsarrangements• Canvassing programmesCanvassing programmes

• Conservative approach to cover pricesConservative approach to cover prices

28

Daily CirculationDaily Circulation0 10000 20000 30000 40000 50000 60000 70000 80000 90000

Yorkshire Evening Post

The Star,Sheffield

The News, Portsmouth

Yorkshire Post

Sunderland Echo

Lancashire Evening Post

Blackpool Gazette

Northants Evening Telegraph

Northampton Chronicle & Echo

Halifax Evening Courier

Peterborough Evening Telegraph

Shields Gazette

Hartlepool Mail

Scarborough Evening News

Wigan Evening Post

July to Dec 2002 ABC

29

• ExperienceExperience

15 Acquisitions in 10 years15 Acquisitions in 10 years including Emap’s newspapers, Portsmouth & Sunderland, RIMincluding Emap’s newspapers, Portsmouth & Sunderland, RIM

• Detailed planning pre-completionDetailed planning pre-completion

• Act early / be decisiveAct early / be decisive

• Ensure immediate Johnston Press management controlEnsure immediate Johnston Press management control

• Quick introduction of Johnston Press reporting and proceduresQuick introduction of Johnston Press reporting and procedures

• Drive cost savings / restructuringDrive cost savings / restructuring

• Encourage revenue growth initiativesEncourage revenue growth initiatives

• Clear responsibility / monitor progress regularlyClear responsibility / monitor progress regularly

• Consult and communicateConsult and communicate

Acquisition Integration LessonsAcquisition Integration Lessons

30

RIM Integration BenefitsRIM Integration BenefitsAlready achievedAlready achieved

• Implementation of new organisation structureImplementation of new organisation structure• Closure of head officeClosure of head office• Termination of advisory arrangementsTermination of advisory arrangements• Savings on newsprint and other major purchasesSavings on newsprint and other major purchases• Closure / rationalisation of central functionsClosure / rationalisation of central functions• Disposal of non-core assetsDisposal of non-core assets• Withdrawal from radio interestsWithdrawal from radio interests• Closure of Harrogate press and pre-pressClosure of Harrogate press and pre-press

• Extended title packaging where appropriateExtended title packaging where appropriate

• Harmonisation of IT systemsHarmonisation of IT systems

• Optimisation of printing facilitiesOptimisation of printing facilities

• Integration of overlapping publicationsIntegration of overlapping publications

• Regionalisation of back room functionsRegionalisation of back room functions

Ongoing plansOngoing plans

31

Containing Costs / Improving Containing Costs / Improving EfficiencyEfficiency

•Common systems across regionsCommon systems across regions

•Group-wide interconnectivityGroup-wide interconnectivity

•Contingency plansContingency plans

•Group Intranet Group Intranet

•Printing optimisationPrinting optimisation

•Regionalised administrationRegionalised administration

•Letterbox DirectLetterbox Direct

32

Newsprint Newsprint

•Price reductions 2002/03Price reductions 2002/03

•Standardising on reduced web-widthStandardising on reduced web-width

•Reducing wastageReducing wastage

33

Capital Expenditure PlansCapital Expenditure Plans

•Front end systemsFront end systems

•Press upgrades …. Leeds/SunderlandPress upgrades …. Leeds/Sunderland

•Computer-to-plateComputer-to-plate

•Longer term - Sheffield site/pressLonger term - Sheffield site/press

34

Electronic PublishingElectronic Publishing

•Withdrawal from Fish4Withdrawal from Fish4

•New property portalNew property portal

•Individual job uploadsIndividual job uploads

•Jobs and motors upgradesJobs and motors upgrades

•Integration of RIMIntegration of RIM

•Over 140 sitesOver 140 sites

35

0

2000000

4000000

6000000

8000000

10000000

12000000

14000000

DecNovOctSeptAugJulJunMayAprMarFebJan

2001 2002

Page Impressions 2002Page Impressions 2002

36

Electronic Publishing Profit Contribution Electronic Publishing Profit Contribution

£ million£ million 20022002 20012001 % change% change

RevenueRevenue 2.922.92 2.562.56 14.114.1

CostsCosts 1.651.65 2.092.09 (21.1)(21.1)

ContributionContribution 1.271.27 0.470.47 170.2170.2

Existing business -like for likeExisting business -like for like

37

Investment in PeopleInvestment in People

•Enhanced skill-based trainingEnhanced skill-based training

•Succession planningSuccession planning

•Management developmentManagement development

•SIP SchemeSIP Scheme

38

Acquisitive Growth / Acquisitive Growth / Regulatory EnvironmentRegulatory Environment

•Further consolidation anticipatedFurther consolidation anticipated

•Strategic focusStrategic focus

•SMG titlesSMG titles

•Communications BillCommunications Bill

•Regulators approachRegulators approach

39

OutlookOutlook

•Uncertain economic outlookUncertain economic outlook

•Positive startPositive start

•Continued modest advertising revenue growthContinued modest advertising revenue growth

•Colour availability helping yieldsColour availability helping yields

•Continued cost controlContinued cost control

•Reduced newsprint pricesReduced newsprint prices

•Benefits of RIMBenefits of RIM

•Cautious but progress continuesCautious but progress continues

AppendicesAppendices

41

Acquisitions since flotationAcquisitions since flotation• 1992 TR Beckett (Sussex)1992 TR Beckett (Sussex)

• 1994 Halifax Courier, (incl. Isle of Man)1994 Halifax Courier, (incl. Isle of Man)

• 1995 W&J Linney (Nottinghamshire)1995 W&J Linney (Nottinghamshire)

• 1996 South Yorkshire Newspapers1996 South Yorkshire Newspapers

• 1996 Emap’s newspaper interests1996 Emap’s newspaper interests

• 1997 Pocklington, Driffield, and Bridlington newspapers1997 Pocklington, Driffield, and Bridlington newspapers

• 1997 North Derbyshire Newspapers1997 North Derbyshire Newspapers

• 1998 Amberstock Publishing; Archant’s Beds and Bucks newspapers 1998 Amberstock Publishing; Archant’s Beds and Bucks newspapers

• 1999 Portsmouth & Sunderland Newspapers; Tweeddale Press1999 Portsmouth & Sunderland Newspapers; Tweeddale Press

• 2000 Lincolnshire Standard Group and Four Counties Newspapers2000 Lincolnshire Standard Group and Four Counties Newspapers

• 2001 Glasgow East News; Mortons Media’s Lincolnshire newspapers 2001 Glasgow East News; Mortons Media’s Lincolnshire newspapers

• 2002 Regional Independent Media2002 Regional Independent Media

42

Growth in market capitalisation Growth in market capitalisation since flotationsince flotation

0

200

400

600

800

1000

1200

1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002

£ milli

on

NotesNotes1996: Rights Issue of £109m net1996: Rights Issue of £109m net2002: Rights Issue of £220m net 2002: Rights Issue of £220m net

43

0

50

100

150

200

250

300

350

400

450

1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002

£mill

ion

Operating profit Turnover

Growth in turnover and operating profitGrowth in turnover and operating profit

44

SHAREHOLDER PROFILE* SHAREHOLDER PROFILE*

Directors & Family

20%

Institutions70%

Other3%

Private individuals

7%

* As at December 2002* As at December 2002

45

SHAREHOLDER PROFILE* – SHAREHOLDER PROFILE* – GEOGRAPHIC SPLITGEOGRAPHIC SPLIT

UK (excl Scotland)

54%

Scotland34%

Europe2%

USA9%

Other1%

* As at December 2002* As at December 2002

46

SHAREHOLDER PROFILE* – PRINCIPAL SHAREHOLDER PROFILE* – PRINCIPAL INSTITUTIONSINSTITUTIONS

FUND MANAGERFUND MANAGER Total % of issueTotal % of issue

Fidelity InvestmentsFidelity Investments 6.216.21

Baillie GiffordBaillie Gifford 5.245.24

M&G Invest. Mgmt.M&G Invest. Mgmt. 4.254.25

Standard LifeStandard Life 4.124.12

AvivaAviva 4.064.06

Barclays Global InvestorsBarclays Global Investors 3.743.74

Royal LondonRoyal London 3.663.66

Insight InvestmentsInsight Investments 2.742.74

Legal & GeneralLegal & General 2.592.59

Isis Asset Mgmt.Isis Asset Mgmt. 1.691.69

* As at December 2002* As at December 2002