Independent.News.&.Media.PLC.Full.Year.Results.2001

1. Independent News & Media PLC Full Year Results 2001 17th April 2002

2. GLOBALISATION DELIVERING GROWTH • Global Portfolio of Leading Brands • Market Leaders • Strong Cost Management • Highly CASH generative business GLOBAL VISION LOCAL CONTENT

3. 2001 HIGHLIGHTS • Circulation Revenue UP + 7.2% • Newspaper Advertising Revenue only down (1.6%) But UP in constant currency by + 4.5% • Operating Costs downdespite Newsprint Price increase • Operating Margins maintained at 2000 levels • Successful €105m share placement • Successful restructuring of Australasian assets

4. RESTRUCTURING OF AUSTRALASIAN ASSETS • Sale of Wilson & Horton to APN News & Media • Total cash gain on sale of €53.7m, with €32.5m recognised in P&L (39.5% deferred as inter-group) • Cash received by Group of €455m less re-investment in APN of €241m; net inflow €214m • Increased shareholding in APN to 44.55% • EPS enhancing for both Independent & APN • Opens new opportunities in Australasia

5. PEER GROUP COMPARISON – 2001

6. PEER GROUP EXCEPTIONAL CHARGES – 2001

7. 2001 HEADLINE NUMBERS

8. 2001 SUMMARY BALANCE SHEET

9. 2001 SUMMARY CASH FLOWS

10. GROUP TURNOVER BY MARKET: €1,341.4m

11. GROUP PROFIT BY MARKET: €229.6m * * Excluding exceptional items

12. EARNINGS PER SHARE: 10 YEAR PERFORMANCE Earnings per Share (€) (Fully diluted before exceptionals & goodwill amortisation) • 10 Year C.A.G.R. • Turnover + 21% • Operating Profit * + 27% • Pre-Tax Profit + 21% • Earnings Per Share * + 12% • Dividends Per Share + 14% * Excluding exceptional items

13. NEW ZEALAND DIVISION COMPANY PROFILE • No. 1 NEWSPAPER publisher • No. 1 REGIONAL publisher • No. 1 RADIO operator • No. 1 COMMERCIAL PRINTER • No. 1 SECURITY PRINTER • No. 1 News Website • Turnover by Activity 2001 PERFORMANCE & OUTLOOK • Revenue up, driven by cover price and advertising rate increases • Continuing strong cost management • Strong performance from Radio • Expansion of security printing to Australia • Acquired by APN in Dec. 2001 & achieved targets in APN Explanatory Memorandum • Revenues strengthening into 2002

14. AUSTRALIAN DIVISION COMPANY PROFILE • No. 1 REGIONAL publisher • No. 1 OUTDOOR operator • No. 1 Australasian RADIO operator • JV in Pan TV’s World Movies • Growing Asian OUTDOOR business • Turnover by Activity 2001 PERFORMANCE & OUTLOOK • Tough advertising market in 2001 • Continuing tight cost control • Achieved 2001 targets set out in APN Explanatory Memorandum • Key tender & license wins for Outdoor & Radio • Expansion into fast-growing Asian market on-track

15. SOUTH AFRICAN DIVISION COMPANY PROFILE • No. 1 METROPOLITAN/ NATIONAL publisher (14 out of 25 titles) • No. 1 OUTDOOR operator (55% share) through acquisition ofJV with Clear Channel • No. 1 NewsCurrent Affairs Website • Turnover by Activity 2001 PERFORMANCE & OUTLOOK • Revenue growth from both circulation & advertising • Circulations: 10 out of 14 titles UP – all competitors significantly down • Strong cost management • Outdoor Acquisition - EPS enhancing • Realisation of Pension Fund surplus

16. UNITED KINGDOM DIVISION COMPANY PROFILE • Leading NATIONAL titles in G.B. • No. 1 PUBLISHER in Northern Ireland • No. 2 London REGIONAL publisher • No. 1 RECRUITMENT mag. Publisher • No. 1 EDUCATIONAL mag. Publisher • Turnover by Activity 2001 PERFORMANCE & OUTLOOK • Core circulations UP • Aggressive cover pricing • Attractive advertising readership profiles • Strong cost control – headcount down 8.5% • Newsprint price reductions achieved for 2002

17. IRISH DIVISION COMPANY PROFILE • No. 1 NATIONAL publisher • No. 1 REGIONAL publisher • No. 1 COMMERCIAL PRINTER • No. 1 WHOLESALER/ DISTRIBUTOR • Turnover by Activity 2001 PERFORMANCE & OUTLOOK • Successful commissioning of CITYWEST • Strong ADVERTISING growth & significant gains in MARKET SHARE • Strong CIRCULATION growth • - Irish Independent achieves 19 year high • - The Star achieves all-time high • Strong cost management & Newsprint price reduction

18. NEW MEDIA • PRUDENT New Media strategy and execution • Extension of CORE brands • Pro-active cost • management – Headcount • down 43% from high point • during 2001 • Significant REDUCTION • in losses, as forecasted • Minimal investment exposure - €11.5m, excl. iTouch & Chorus

19. Excellent 2001 – 260% revenue growth on 2000 Six consecutive quarters of good growth Controlling costs Cash outflow, excluding acquisitions, only Stg£7.7m Key acquisitions during 2001 Growth continuing into 2002 Well positioned for mobile future with:- Fully funded business model – Stg£36.1m in hand Powerful international relationships Carrying value supported by current market value iTOUCH PLC

20. GEOGRAPHICALLY diversified - with tight focus on core competencies Unique BRAND leadership positions - dominant in 4 out of 5 markets Major capital expenditure programme now COMPLETED HIGHLY cash generative business Significantly REDUCED exposure to New Media Clear strategy for operating margin ENHANCEMENTS SUMMARY

21. OUTLOOK • CORE businesses performing well • CIRCULATION revenues trending UP • ADVERTISING showing signs of vitality • Continued focus on COSTS – ‘run rate’ down • Interest costs DOWN • GLOBAL diversity underpinning growth • Cautiously optimistic for IMPROVEMENT on 2001

22. Independent News & Media PLC Full Year Results 2001 17th April 2002 GLOBAL VISION LOCAL CONTENT