Trading Update November 29, 2019 RNS Number : 0700V Reach PLC 29 November 2019

29 November 2019 This announcement contains inside on.

Reach plc ('Reach' or 'the Company') Trading Update

Reach plc is today issuing a trading update for the 52 weeks ending 29 December 2019, covering the period from 1 July to 29 November 2019 ('the period').

Improved like-for-like (1) revenue trend Trading during the period has been steady and remains in line with our expectaons.

On a like-for-like basis, revenue during the five months ended 24 November 2019 fell by 4.4%, an improvement on the 6.6% like-for-like decline in the comparable period in 2018. Within like-for-like revenue, Print(2) fell by 7.3% and Digital(2) grew by 14.0%, with the prior year comparable period showing a fall of 8.2% and an increase of 9.3% respecvely.

As previously ancipated, good progress has been made with a number of digital iniaves over the second half of the year. We connue to be encouraged by strong audience growth across our porolio of naonal and regional sites. This has provided us with the confidence to further extend our network of digital regional brands into new territories, with at least seven new 'Live' launches planned for 2020 and approximately 50 journalists to be recruited.

Strong cash flow reduces net debt Cash generaon connued strongly during the period and the Company's balance sheet remains robust. In light of this favourable ongoing performance, we expect to show a net posive cash balance at the year end.

Outlook for the full year The Board remains confident that the full-year performance will meet its expectaons.

Update on review of JPI Media's assets Further to the Company's announcement on 18 July 2019, the Board of Reach confirms that it is no longer in acve discussions about acquiring certain of JPI Media's assets. Merger and acquision opportunies which would accelerate the Company's strategy will connue to be reviewed on a regular and disciplined basis.

Jim Mullen, Chief Execuve Officer of Reach plc, commented: "Since joining the business in August, 've been impressed by the strength of Reach's naonal and regional brands, the quality of our content and the wide geographic distribuon of our products through both print and digital channels. I've also been encouraged by the wealth of talented and inspiraonal staff working in the business.

"We have made good financial and operaonal progress during the period, including an improved like-for-like revenue trend and a further reducon in net debt. The Reach brands connue to have real relevance at both a naonal and local level, as is demonstrated by our considerable audience growth. We are working to complement our audience reach with a significant depth of customer insight and data that will allow us to build an intelligent, relevant and trusted content business for the long term."

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Capital Markets Day We are planning to present a strategy update in the first quarter of 2020. Further details will be issued early in the New Year.

Enquiries Reach 020 7293 3000 Jim Mullen, Chief Execuve Officer Simon Fuller, Chief Financial Officer and Company Secretary Angus Prence, Interim Investor Relaons Director Tulchan Communicaons 020 7353 4200 David Allchurch, Partner

This announcement can be downloaded from www.reachplc.com. Reach will announce its FY2019 results on 24 February 2020.

The person who arranged for the release of this announcement on behalf of Reach was Simon Fuller, Chief Financial Officer and Company Secretary.

Forward-looking statements You are not to construe the content of this announcement as investment, legal or tax advice and you should make your own evaluaon of the Company and the market. If you are in any doubt about the contents of this announcement or the acon you should take, you should consult a person authorised under the Financial Services and Markets Act 2000 (as amended) (or if you are a person outside the UK, otherwise duly qualified in your jurisdicon). This announcement has been prepared in relaon to the financial results for the five months ended 24 November 2019 and trading in the period 1 July to 29 November 2019. The financial informaon referenced in this announcement is not audited and does not contain sufficient detail to allow a full understanding of the results of the Group. Nothing in this announcement should be construed as either an offer or invitaon to sell or any offering of securies or any invitaon or inducement to any person to underwrite, subscribe for or otherwise acquire securies in any company within the Group or an invitaon or inducement to engage in investment acvity under secon 21 of the Financial Services and Markets Act 2000 (as amended). Certain informaon contained in this announcement may constute "forward- looking statements", which can be idenfied by the use of terms such as "may", "will", "would", "could", "should", "expect", "ancipate", "project", "esmate", "intend", "connue", "target", "plan", "goal", "aim" or "believe" (or the negaves thereof) or other variaons thereon or comparable terminology. These forward-looking statements include all maers that are not historical facts and include statements regarding the Company's intenons, beliefs or current expectaons concerning, among other things, the Company's results of operaons, financial condion, changes in global or regional trade condions, changes in tax rates, liquidity, prospects, growth and strategies. By their nature, forward-looking statements involve risks, assumpons and uncertaines that could cause actual events or results or actual performance of the Company to differ materially from those reflected or contemplated in such forward-looking statements. No representaon or warranty is made as to the achievement or reasonableness of and no reliance should be placed on such forward-looking statements. The Company does not undertake any obligaon to update or revise any forward-looking statement to reflect any change in circumstances or in the Company's expectaons.

(1) The like-for-like trends for the five months ended 24 November 2019 exclude from the 2018 comparave the impact of porolio changes and the disposal of Communicator Corporaon. (2) Print revenue comprises circulaon, adversing (including digital classified which is predominantly upsold from print), prinng (including third party prinng contracts) and other (contract publishing, syndicaon, reader offers and events). Digital revenue comprises the combined display and transaconal revenue streams.

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