2005 Second Half Trading

    Trading Performance in Line With Expectations: Events and PRN Performing
Well

    LONDON, December 16 /PRNewswire-FirstCall/ -- Group Summary
    UBM has continued to achieve profitable underlying revenue growth in its
exhibitions, online and news distribution businesses, although in common with
the Industry, print remains challenged. Our strategy to increase UBM's
presence in online and exhibitions continues, through acquisitions, disposals
and organic initiatives. Acquisitions made in 2004 and 2005 continue to
achieve their targeted returns.
    Overall trading performance is in line with expectations. PRN and CMP
Asia continue to achieve good growth. CMP Medica is performing in line with
its business case. CMP Information's exhibitions are strong, however it has
experienced revenue pressure in print. CMP Media is performing in line with
expectations overall: events are growing and online growth is strong,
offsetting continuing declines in print.
    Operating Highlights of The Second Half of 2005
    CMPI
    CMP Information is performing in line with expectations, with strong
results in its exhibitions business. In the UK, print revenues have weakened
in certain areas, in particular, around recruitment. We have continued to
make acquisitions and disposals. In the second half we sold Exchange & Mart
and Auto Exchange for GBP50.2m. We have made acquisitions totalling GBP51.7m
for the year, including the Publican titles and events, ABI Building Data,
Informex chemicals show and the Mondial properties "Theme" magazine and "Bar"
exhibition.
    CMP ASIA
    The strong performance of our Asian exhibitions business has continued in
the second half, with successful events including the Hong Kong Jewellery &
Watch Fair and the All China Leather Exhibition in Shanghai, in September. We
continue to explore opportunities for expansion through acquisitions, such as
Tissue World and the Japan Jewellery Fair, and through brand extensions and
new product launches.
    CMPMEDICA
    CMPMedica's performance overall is in line with expectations. The
performance of the important French business reflects the good progress made
on integrating the French medical trade press and marketing services
acquisition. Market conditions have been more challenging in Asia Pacific,
particularly for Trade Press, but cost savings have offset any revenue
shortfalls.
    CMP MEDIA
    CMP Media is performing in line with expectations with revenue in H2
broadly flat. Growth in exhibitions and online is offset by declines in
print. In Healthcare, CME's events revenues have largely recovered following
changes in the regulatory environment for pharmaceutical companies. Revenue
in the US Entertainment business is flat, in line with our expectations.
During the second half we have acquired Tech-Online, Light Reading, ICMI and
Black Hat for GBP27.3m, which strengthen CMP's position in events and online.
    PR NEWSWIRE
    PR Newswire continues to achieve increases in message volumes, length and
yield whilst further expanding its product offering and providing additional
services to members; the business is therefore growing in line with
expectations. Outside the US, PR Newswire is on track to exceed its 10%
margin target.
    OPERATING EFFICIENCIES
    UBM is continuing its programme of offshoring and outsourcing - this is
delivering cost savings and quality improvements.
    INVESTMENTS
    In the second half we have disposed of a number of the remaining
television assets. Our investment in Five was sold to RTL for GBP247.6m and
we have disposed of SIS for GBP23m. Total disposals year to date are in
excess of GBP730m.
    The acquisitions made in 2004 (GBP192m) and 2005 year to date (GBP106m)
are performing well and are on track to generate the returns targeted.
    ONE OFF ITEMS
    The disposals made in 2005 have given rise to significant one-off profits
for the year of around GBP400m. During 2005, following the disposals, we have
also undertaken a number of restructuring and business reorganisation
projects across several of our continuing businesses. These projects take
account of the consequences of the sale of some businesses (principally NOP
and Exchange and Mart), the geographic realignment of our publishing
divisions and a number of other restructuring actions across the divisions to
achieve greater customer and product focus whilst delivering lower operating
costs. The costs of these projects will be reported as a one-off item for the
year ended 31 December 2005 and will be around GBP40m for the full year.
    FINANCING
    During the second half we have continued to return capital; in total
GBP550m has been returned in the year to date. We have now repurchased and
cancelled all except $5.7m of the US$250m 7.75% bond due 2009. We have also
repurchased and cancelled over 55% of the $400m 2.375% Convertible Bonds due
2006.
    CMPMEDICA ANNOUNCEMENT
    Following the acquisition and integration of CMPMedica, Stephen Warshaw
has decided to leave his post as CEO of CMPMedica and he will stand down next
April to pursue new career opportunities. We are pleased that Stephen will be
helping with the transition in a consultancy capacity after his departure.
UBM has appointed Egon Zehnder to search for a new CEO for CMPMedica.
    *UBM is scheduled to announce its preliminary results for 2005 on 28
February 2006. This announcement is the routine update prior to entering the
January and February close season associated with the preliminary results
    This press release includes statements which are not historical facts and
are considered "forward-looking" within the meaning of Section 27 of the
Securities Act of 1933, as amended. These forward-looking statements reflect
UBM's current views about future events, business and growth strategy and
financial performance. These forward-looking statements are identified by
their use of terms and phrases such as "believe," "expect," "plan,"
"anticipate," "on target" and similar expressions identifying forward-looking
statements. Investors should not rely on forward-looking statements because
they are subject to a variety of risks, uncertainties and other factors that
could cause actual results to differ materially from UBM's expectations. UBM
expressly does not undertake any duty to update forward-looking statements.
Management does not attempt to update forecasts unless conditions materially
change.

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