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					Independent News & Media PLC
           Interim Results 2001
             5th September, 2001
GLOBALISATION DELIVERS CONTINUED GROWTH


  • Global Portfolio of Leading Brands
  • Market Leaders
  • Strong Cost Management
  • Prudent New Media Strategy & Execution




       GLOBAL VISION            LOCAL CONTENT
                                    Independent News & Media PLC
2001 HIGHLIGHTS


 • Group Advertising Revenue
 • Group Circulation Revenue
 • Operating Costs tightly controlled
 • Operating Margins
 • €60m Irish production facility fully operational
 • Successful integration of Belfast Telegraph Group


                                    Independent News & Media PLC
HEADLINE NUMBERS

                                                 2001        2000         Change
                                                Euro'm    Euro'm            %
                                                          (as restated)


 Group Turnover                                  656.0      629.4                4.2%

 Operating Profit *                              109.3        96.3              13.5%

 Profit Before Tax                                57.6        69.6          -17.2%

 Net Profit                                       29.1        34.0          -14.4%



 Earnings per Share (EPS) **                      7.68        7.53               2.0%

 Dividend per Share (DPS)                         2.75        2.50              10.0%

 Weighted Shares Outstanding (m)                 516.7      514.4                0.4%



 Operating Margins                              16.7%       15.3%                8.9%

 * Continuing activities before exceptionals

 ** Before exceptional items and amortisation

                                                         Independent News & Media PLC
2001 SUMMARY BALANCE SHEET

                                                 30 June             30 June
                                                   2001                 2000
                                                 Euro'm              Euro'm
                                                                     (as restated)


Fixed Assets *                                    2,653                2,106

Other Net Assets/ (Liabilities)                     118                      49

Net Debt                                         (1,563)                (967)


Total Shareholders' Funds                         1,208               1,188



Interest Cover (EBITDA/ Interest)                  3.1x                  4.5x

Net Debt to EBITDA                                 5.8x                  4.0x

* Including the revalued elements of mastheads

                                                   Independent News & Media PLC
2001 SUMMARY OPERATING CASH FLOWS

                                   2001        2000         Change
                                  Euro'm    Euro'm            %
                                            (as restated)


 Operating Profits                 101.8        96.3               5.7%

 Share of Associates & JVs           6.0        (0.4)                 -

 Depreciation & Amortisation        27.2        24.1              12.9%


 EBITDA                            135.0      120.0               12.5%

 Working Capital Movements         (6.4)      (10.6)          -39.6%


 Operating Cash Flow               128.6      109.4               17.6%



 Operating Cash Flow Conversion     95%          91%               4.5%



                                           Independent News & Media PLC
H1 GROUP TURNOVER BY MARKET:                  €656.0m


          United               South
         Kingdom               Africa
           19%                  13%




                                           Ireland
      New
                                             26%
    Zealand
      20%

                   Australia
                     22%

                                   Independent News & Media PLC
H1 GROUP PROFIT BY MARKET:                    €109.3m


               United     South
              Kingdom     Africa
                10%        8%

      New
    Zealand
      22%
                                           Ireland
                                             35%


              Australia
                25%

                                   Independent News & Media PLC
EARNINGS PER SHARE: 10 YEAR PERFORMANCE



   Earnings per Share (€)                                      10 Year C.A.G.R.
                                                               •   Turnover                  + 24%
 (Fully diluted before exceptionals & goodwill amortisation)

8.00
                                                7.53
                                                       7.68
                                                               •   Operating Profit *        + 26%
                                         6.54                  •   Pre-Tax Profit            + 23%
6.50                                  6.29
                                                               •   Earnings Per Share        + 17%
                               5.16                            •   Dividends Per Share       + 15%
5.00
                        4.45
                   3.88
              3.31
3.50
       2.94
   2.40

2.00
       '92 '93 '94 '95 '96 '97 '98 '99 '00 '01
                                                                             * Excluding exceptional items



                                                                         Independent News & Media PLC
NEW ZEALAND DIVISION
         COMPANY PROFILE              €'m (constant FX)        2001     2000 Change
No. 1 NEWSPAPER publisher
                                      Turnover                138.7    140.0    -0.9%
No. 1 REGIONAL publisher
                                      EBITDA                   37.1      34.0    9.1%
No. 1 RADIO operator
                                      Operating Profit         27.4      25.4    7.9%
No. 1 COMMERCIAL PRINTER
                                      Operating Margin        19.8%    18.1%
No. 1 SECURITY PRINTER
Turnover by Activity:                       2001 PERFORMANCE & OUTLOOK
                                      •Marginal revenue decline compared to
      18%          1%
                                64%
                                       strong H1 2000
17%
                                      •Compensated by strong cost management
                                      •H1 2001 Operating Profits + 7.9%

                                      •Full year of Shared Services benefits
      Publishing        Print
      Radio             New Media     •Revenues strengthening into H2 2001

                                                          Independent News & Media PLC
AUSTRALIAN DIVISION
            COMPANY PROFILE           €'m (constant FX)        2001     2000 Change
No. 1 REGIONAL publisher
                                      Turnover                154.9    159.5    -2.9%
No. 1 OUTDOOR operator
                                      EBITDA                   38.7      40.6   -4.7%
No. 1 Australasian RADIO operator
                                      Operating Profit         30.8      32.0   -3.8%
JV in Pan TV’s World Movies
                                      Operating Margin        19.9%    20.1%
Growing Asian OUTDOOR business
Turnover by Activity:
                                            2001 PERFORMANCE & OUTLOOK

      20%          1%                 •Tough advertising market in 1st half
                                43%
                                      •Continued tight cost control
                                      •Operating Profits down compared to a very
36%                                    strong H1 2000; Net Profit up

      Publishing        Outdoor       •Full year of Shared Services benefits
      Radio             New Media
                                      •Asian expansion on-track

                                                          Independent News & Media PLC
SOUTH AFRICAN DIVISION
        COMPANY PROFILE              €'m (constant FX)        2001     2000 Change
No. 1 METROPOLITAN/ NATIONAL
  publisher (14 out of 25 titles)    Turnover                 96.5      92.3       4.6%

Acquisition of No. 1 OUTDOOR         EBITDA                   12.7      11.8       7.6%
  operator through new JV with       Operating Profit         10.7       9.5   12.6%
  Clear Channel pending
                                     Operating Margin        11.1%    10.3%
No. 1 News & Current Affairs
  Website                                  2001 PERFORMANCE & OUTLOOK
Turnover by Activity:                •Revenue growth in 1st half
        14%      1%
                            85%      •Strong cost management
                                     •H1 2001 Operating Profits +12.6%
                                     •Pending acquisition of Corpcom - EPS
                                      enhancing

    Publishing   Print   New Media   •Circulations: 10 out of 14 titles UP – all
                                      competitors significantly down

                                                         Independent News & Media PLC
UNITED KINGDOM DIVISION
           COMPANY PROFILE              €'m (constant FX)           2001          2000 Change
Leading NATIONAL titles in G.B. &
 Northern Ireland                       Turnover                   129.7          84.2   54.0%
No. 1 PUBLISHER in Northern Ireland     EBITDA                      14.8           1.0       -
No. 2 London REGIONAL publisher         Operating Profit            10.9           0.0       -
No. 1 London RECRUITMENT
 magazine publisher                     Operating Margin            8.4%          0.0%

No. 1 EDUCATIONAL COURSES
 magazine publisher                           2001 PERFORMANCE & OUTLOOK

Turnover by Activity:                   •Core circulations & readership UP
                                         - The Independent readership up 28.4%
             6% 1%
      8%                     74%         - Belfast Telegraph readership up 8.9%
11%
                                        •Aggressive cover pricing implemented
                                        •Strong cost management
                                        •Newsprint price reductions achieved in Q2
  Nationals          London Regionals
  Magazines          Print
  New Media
                                                             Independent News & Media PLC
IRISH DIVISION
          COMPANY PROFILE          €'m                           2001       2000 Change

No. 1 NATIONAL publisher
                                   Turnover                     172.6      153.4    12.5%
No. 1 REGIONAL publisher           EBITDA                        45.1        36.5   23.6%
No. 1 WHOLESALER/ DISTRIBUTOR      Operating Profit              39.6        33.0   20.0%

                                   Operating Margin            22.9%       21.5%

Turnover by Activity:
                                           2001 PERFORMANCE & OUTLOOK
                2%
    21%                    77%     •Successful commissioning of CITYWEST
                                   •Strong ADVERTISING growth & significant
                                    gains in MARKET SHARE
                                   •Strong CIRCULATION growth
                                    -    Irish Independent achieves 18 year high
                                    -    The Star achieves all-time high
   Publishing        Wholesaling
                                   •Strong cost management
   New Media

                                                          Independent News & Media PLC
NEW MEDIA

• Prudent New Media strategy and execution
• Extension of core brands
• Pro-active cost management
  -   Headcount down 43%

• Significant reduction in Operating Losses, as
  forecasted                             N EW MEDIA STATS
                           €'m                           2001       2000
                           Turnover                         4.3       4.8
                           Operating Losses               (3.3)     (7.2)

                           Group Web Stats:
                            No. of Web Sites                 45       46
                            Page Impressions / month       83m       57m

                           Headcount                        162      284
                                                  Independent News & Media PLC
iTOUCH PLC

• Excellent first half - 89% revenue growth on H2 2000
• Controlling costs – Q2 cash outflow only £1.8m,
  same as Q1
• Growth continuing into 2nd half
• Well positioned for mobile future with:-
   - Fully funded business model
   - Powerful international relationships
   - Strong cash position – Stg£44.2m in hand



                                      Independent News & Media PLC
 iTOUCH PLC - Global Spread
      Strategic alliances with local media
    providers and mobile network operators                                           Greece
                                                                              Media Partner:      Netmed & M-Web (MIH)
                                                                              Network Operator:   (Being negotiated)
                                Ireland
Media Partner:    Independent News & Media PLC
Network Operator: Eircell                                                                                                   Israel
                                                                                                                  Media Partner: Globes/Monitin
                            United Kingdom                                                                        Network Operator: Cellcom,
                                                                                                                                     Pelephone, MIRS
Media Partner:       Independent News & Media
                     (UK) Limited
Network Operator:    Vodafone, BT Cellnet                                                                                Indonesia

                                                                                                                  Media Partner: M-Web & Astrada
                                                                                                                                 (MIH)
                                                                                                                  Network Operator: Excelcomindo


                                 Thailand

        Media Partner:        UBC & M-Web (MIH)
        Network Operator:     (Being negotiated)


                                   South Africa
      Media Partner:        Independent News & Media
      Network Operator:     Vodacom and MTN
                                                                             Australia                                      New Zealand

                                          Media Partner:      APN                                       Media Partner:        Wilson & Horton
                                          Network Operator:   Vodafone, Optus, Telstra, Orange          Network Operator:     Vodafone




                                                                                                  Independent News & Media PLC
SUMMARY


• GEOGRAPHICALLY diversified - with tight focus on core
 competencies
• Unique BRAND leadership positions - dominant in 4
 out of 5 markets
• Advertising UP in contrast to competitors
• Circulations UP in contrast to competitors
• Major capital expenditure programme now COMPLETED
• HIGHLY cash generative business
• Clear strategy for operating margin ENHANCEMENTS
                                      Independent News & Media PLC
OUTLOOK



• CORE businesses performing well

• ADVERTISING & CIRCULATION revenues trending UP

• Continued focus on COSTS

• GLOBAL diversity underpinning growth




                                    Independent News & Media PLC
   Independent News & Media PLC
                Interim Results 2001
                  5th September, 2001




GLOBAL VISION      LOCAL CONTENT

				
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