1 Adjusted Results* Statutory Results~ (From Continuing

Not for public release until 7.00a.m. on 22 November, 2012

Daily Mail and General Trust plc (‘DMGT’) Group unaudited preliminary results for the year ended 30 September, 2012

Adjusted results* Statutory results~ (from continuing & Year on Year Change discontinued operations) in adjusted results* 2012 2011 Reported Underlying 2012 2011 (restated)+ (restated)+ Revenue £1,960 m £1,985 m -1% +3% £1,747 m £1,749 m Operating profit∞ £300 m £281 m +7% +7% £147 m £170 m Profit before tax £255 m £232 m +10% £206 m £126 m Earnings per share 49.4 p 46.1 p +7% 67.2 p 28.3 p Dividend per share 18.0 p 17.0 p +6%

GOOD YEAR OF PERFORMANCE

• Group revenues down 1%, an underlying# increase of 3%

• Good growth from B2B: revenues up 1%, an underlying# increase of 7%; with profits up 7%, an underlying# increase of 8%

• Associated’s underlying# revenues were up 2%, with a slight improvement in operating margins

• Operational focus at Northcliffe: profits up 54% despite underlying# revenues down 6%

• Group operating profit* of £300m, up 7% on a reported and underlying# basis; operating margin* increased from 14% to 15%

• Profit* before tax of £255m, up 10%

• Active portfolio management: purchase of Jobrapido; sale of Evanta and remaining stake in dmg radio Australia; creation of Zoopla Property Group joint venture and, in November 2012, disposal of A&N Media’s digital operations in central Europe

• Disposal of Northcliffe Media agreed in November 2012; adjusted results excluding discontinued operations shown on page 20

• Net debt reduced by £106 million to £613 million; net debt: EBITDA of 1.6 times

• Share buy back programme of up to £100m over the coming year

• Earnings per share* up 7% to 49.4p; full year dividend increased by 6% to 18.0p.

1 Martin Morgan, Chief Executive, said:

“DMGT has delivered a good set of results in the 12 months to 30 September. Group adjusted pre- tax profits* rose by 10%. Our international B2B companies have increased their revenues and profits* by 7% and 8% respectively on an underlying# basis. Although our UK consumer businesses were impacted by challenging trading conditions, it was particularly pleasing that Associated was able to grow its revenues by 2% on an underlying# basis and that underlying# profits* for the consumer businesses rose 12% - reflecting greater productivity and efficiency linked to continued digitisation in that division.

We continued to refine our portfolio of businesses during the year with further acquisitions and disposals aimed at improving our long term growth potential. Today we are a more focused and financially stronger Group, leaving us well positioned for 2013 and beyond.”

Enquiries Stephen Daintith, Finance Director Tel: +44 20 3615 2902 Adam Webster, Head of Management Information and Investor Relations Tel: +44 20 3615 2903

Kim Fletcher / Will Carnwath, Brunswick Group LLC Tel: +44 20 7404 5959

Analysts’ presentation and webcast A presentation of the Preliminary Results will be given to investors and analysts at 9.30 a.m. on 22nd November, 2012 at the London Stock Exchange, 10 Paternoster Square, London, EC4M 7LS. There will also be a live webcast available on our website: http://www.dmgt.com.

Next trading update The Group’s next scheduled announcement of financial information will be its first quarter interim management statement on 6th February, 2013.

Notes to Editors DMGT is an international group quoted on the London Stock Exchange, operating a portfolio of businesses in the information, digital and media markets serving both corporate and consumer audiences around the globe.

DMGT’s strategy is to retain and develop a group of high quality, entrepreneurial, market-leading information and media assets across both the B2B and consumer sectors. It aims to make these resources available to greater audiences in more places around the world, building on its track record of earnings and dividend growth.

Notes *before exceptional items, other gains and losses, impairment of goodwill and intangible assets, and amortisation of intangible assets arising on business combinations. These adjusted results, including revenue and operating profit, are for total operations, including those treated as discontinued, namely Northcliffe Media and the dmg radio Australia joint venture. Northcliffe Media contributed operating profit of £26 million (2011: £17 million) from revenues of £213 million (2011: £236 million) and is included in the adjusted results. Excluding Northcliffe Media, revenues of £1,747 million are in line with £1,749 million last year on a restated basis+, whilst operating profit of £274 million is 4% higher than last year’s restated+ £264 million. A reconciliation of adjusted results including discontinued operations to adjusted results excluding discontinued operations is shown on page 20.

2 George Little Management (GLM). For Euromoney the comparisons exclude Ned Davis Research and underlying profit excludes the acceleration of its CAP charge last year and the benefit of that acceleration this year. For Associated underlying comparisons exclude the effects of the sale of Teletext Retail last year and Teletext Holidays and motors.co.uk this year, the acquisition of Jobrapido in April 2012 and the merger of the Digital Property Group and Zoopla at the end of May 2012 and total underlying revenue excludes low margin contract printing revenue. Northcliffe’s underlying revenues exclude the effects of the sale, purchase and closure of titles and adjust for the move of several titles from daily to weekly publishing frequency and the move to a wholesale circulation model last year.

+ restated for the change in accounting treatment for the recognition of licence revenues at Hobsons, dmg::information’s education business. These revenues have previously been recognised on delivery of the licence at the start of the contract, but are now accounted for on a subscription basis and recognised over the contract period. The change reduced both revenue and operating profit by £5 million in a restatement of last year’s result. Prior year results are also restated to reflect Northcliffe Media and dmg radio Australia being treated as discontinued operations; see Note 2.

~ These statutory highlights are for continuing operations only (excluding Northcliffe Media from both years, since it is treated as a discontinued operation due to being held for sale as at the 30th September, 2012, and excluding the disposed-of dmg radio Australia joint venture), other than earnings per share which is the total statutory figure.

† Percentages are calculated on actual numbers to one decimal place. Figures in the Management Report are rounded to the nearest million pounds whilst figures to one decimal place are shown in note 3.

∞ Operating profit excludes DMGT’s share of operating profit from joint ventures and associates.

3 Daily Mail and General Trust plc

Contents

Management report 5 - 30

Condensed Consolidated Income Statement 31

Condensed Consolidated Statement of Comprehensive Income 32

Condensed Consolidated Statement of Changes in Equity 33

Condensed Consolidated Statement of Financial Position 34 - 35

Condensed Consolidated Cash Flow Statement 36 - 37

Notes to the Condensed Consolidated Financial Statements 38 - 61

4 Management report This management report focuses principally on the adjusted results to give a more comparable indication of the Group's underlying business performance. All year-on-year comparisons are on a like-for-like basis after adjusting the prior year results* for the change in the recognition of software licence revenues at Hobsons.

Northcliffe Media was held for sale as at 30th September, 2012 and an agreed sale was announced on 21st November, 2012. It is therefore required to be treated as a discontinued operation for the purposes of statutory reporting. However, Northcliffe Media is included within our adjusted results as shown in the table below and throughout the management report.

An explanation of restructuring and impairment charges and other items included in the statutory results is set out after the divisional performance review and in the segmental note. The adjusted results are summarised below:

2012 2011 Change† Adjusted results* £m (restated)+ £m Revenue 1,960 1,985 -1% Operating profit 300 281 +7% Income from JVs and associates 13 5 Net finance costs (58) (54) Profit before tax 255 232 +10%

Tax charge (39) (34) Minority interest (27) (22) Group profit 189 177 +7%

Adjusted earnings per share 49.4 p 46.1 p +7%

*Adjusted results are stated before exceptional items, other gains and losses, impairment of goodwill and intangible assets, and amortisation of intangible assets arising on business combinations. For a reconciliation of Group profit to adjusted Group profit, see Note 10. These adjusted results, including revenue and operating profit, are for total operations, including those treated as discontinued, namely Northcliffe Media and the dmg radio Australia joint venture. Northcliffe Media contributed operating profit of £26 million (2011: £17 million) from revenues of £213 million (2011: £236 million) and is included in the adjusted results. Excluding Northcliffe Media, Group revenues of £1,747 million are in line with £1,749 million last year on a restated basis+, whilst operating profit of £274 million is 4% higher than last year’s restated+ £264 million. A reconciliation of adjusted results including discontinued operations to adjusted results excluding discontinued operations is shown on page 20.

#Underlying revenue or profit* is revenue or profit* on a like-for-like basis, adjusted for acquisitions, disposals, closures and non- annual events in the current and prior year and at constant exchange rates; see pages 21 and 22. For RMS, underlying percentage movements exclude RMSI. For dmg::information, movements exclude Sanborn and the effects of acquisitions made this year and last year. For dmg::events, the comparison is between events held in the year and the previous time the same event was held and excludes George Little Management (GLM). For Euromoney the comparisons exclude Ned Davis Research and underlying profit excludes the acceleration of its CAP charge last year and the benefit of that acceleration this year. For Associated underlying comparisons exclude the effects of the sale of Teletext Retail last year and Teletext Holidays and motors.co.uk this year, the acquisition of Jobrapido in April 2012 and the merger of the Digital Property Group and Zoopla at the end of May 2012 and total underlying revenue excludes low margin contract printing revenue. Northcliffe’s underlying revenues exclude the effects of the sale, purchase and closure of titles and adjust for the move of several titles from daily to weekly publishing frequency and the move to a wholesale circulation model last year.

+ Adjusted revenue, adjusted operating profit*, the adjusted tax charge and adjusted earnings per share for the prior year have been restated due to the change in accounting treatment for the recognition of licence revenues at Hobsons, dmg::information’s education business. These revenues have previously been recognised on delivery of the licence at the start of the contract, but are now accounted for on a subscription basis and recognised over the contract period. The change reduced both revenue and operating profit by £5 million in a restatement of last year’s results. Prior year results are also restated to reflect Northcliffe Media and dmg radio Australia being treated as discontinued operations; see Note 2.

The average £: US$ exchange rate for the year was £1: $1.58 (against £1:$1.61 last year). The rate at the year end was $1.62 (2011 $1.56).

Summary • Group performance: DMGT has delivered a good set of results. Group revenue for the year was £1,960 million compared with £1,985 million for the prior year, a decrease of 1% on a reported basis but an underlying# increase of 3%. Operating profit* was up 7% on the equivalent figure for the prior year at £300 million. Overall operating margin* increased from 14% to 15% due to margin improvement in both the B2B and consumer businesses.

The Group’s B2B companies increased their overall profit* by 7%, an underlying# increase of 8%. Within consumer media, the profits* of A&N Media were up 12%. The Group’s B2B operations generated 73% of this year’s operating profit*, with 27% coming from consumer operations, in line with last year. Nearly two-thirds of the Group’s operating profits* were derived from outside the UK with over half coming from North America. Excluding Northcliffe Media, the proportion of this year’s operating profit* generated from B2B operations and from outside the UK was 79% and 71% respectively.

Adjusted profit* before tax rose by 10% to £255 million, due to the 7% increase in operating profit and the benefit of increased income from joint ventures and associates. The statutory profit before tax for the year, including discontinued operations, was £270 million, after charging £61 million of amortisation charges and impairment losses, £84 million of exceptional operating charges and generating £158m of profits on disposals. Adjusted Group profit* after tax and minority interests and including Northcliffe Media was up 7% to £189 million. Statutory profit was £257 million, up from £109 million, due to the profits on disposal more than offsetting the increased tax charge in the current year. Adjusted earnings per share* rose by 7% to 49.4p whilst the Statutory earnings per share increased from 28.3p to 67.2p. The full year dividend increased by 6% to 18.0p.

Revenue growth, Reported revenue Underlying# revenue Year on year change H1 H2 Year H1 H2 Year Group -2% -1% -1% +3% +3% +3% B2B -1% +4% +1% +8% +6% +7% RMS +3% +3% +3% +8% +5% +6% dmg::information +8% +10% +9% +10% +12% +11% dmg::events -45% -13% -33% +12% +14% +13% Euromoney +13% +5% +9% +5% 0% +2% Consumer -3% -4% -3% 0% 0% 0% Associated -1% -3% -2% +2% +2% +2% Northcliffe -10% -10% -10% -6% -6% -6%

• Net debt and financing: net debt fell by £106 million to £613 million due to continued strong cash flow generation and disposal proceeds from businesses sold during the year. At the year end, most of the Group’s debt remained in the form of long-term bonds, with a cash balance of £107 million. The Group’s ratio of year end net debt to EBITDA was 1.6 times, well below the

6 Group’s internal limit of 2.4 times and significantly below the requirements of the Group’s bank covenants.

Outlook

• Group: we have entered the new financial year with our businesses performing well and in line with our expectations. All our B2B businesses are expected to make good progress in the year ahead. On the consumer side, revenue progress will be largely dependent on the advertising environment, balanced against further growth in digital areas. First quarter consumer trading to date has been a little slow and we remain cautious about the medium term outlook, given continuing external uncertainties, particularly for UK advertising. A continued focus on cost efficiencies should provide margin stability.

• RMS: has started the year as we expected, with a solid sales pipeline and a range of significant development programmes in place. RMS expects to achieve revenue growth in the high/mid single digit percentage range, a slight decline from the trend of recent years, as it focuses its sales efforts on preparing for the new generation of products. RMS is expected to deliver a slightly reduced margin of around 30% as investment increases ahead of the new product launch in 2014.

• dmg::information: is expected to deliver around 10% organic revenue growth as the portfolio of businesses continues to benefit from new product initiatives and stronger customer demand. The Education and Property businesses will continue to be key drivers of overall growth, with Energy expected to gather further momentum during the year. We expect operating margins to be maintained at around 20%.

• dmg::events: the positive momentum experienced through 2012 has continued into the Autumn, with our three largest events of the year (ADIPEC, Gastech and Big 5) expected to deliver growth of c.13% compared to the previous time the events were held. The reported results for 2012/13 will be negatively affected by the disposal of Evanta and positively affected by two of our three major biennial shows taking place. On an underlying# basis, and fuelled by our launch plans, revenue growth is expected to continue at around 10%, with operating margins* of around 25% though we expect the reduction in reported revenues to be in the mid single digit percentage range.

• Euromoney: given continuing volatility and uncertainty in financial markets, the broad outlook for the first quarter of the new financial year is challenging and this is expected to continue with limited revenue visibility other than for subscriptions.

• Associated: underlying advertising revenues in the first seven weeks of the new financial year were down 5% on last year, with continued limited visibility of future trends. Circulation revenues will continue to be impacted by declining volumes despite market share gains. Overall, Associated expects to maintain stable underlying# revenues, underpinned by continued strong growth in the digital businesses, albeit with a low single digit percentage decline on a reported basis. Operating margins are expected to be in the high single digits, with cost efficiencies helping to protect profitability.

• Northcliffe: the sale of Northcliffe Media to Local World, a new venture in which DMGT will retain a 39% stake, was agreed on 21st November, 2012. The transaction will complete following an employee consultation process and DMGT will receive £52.5m cash in addition to its 39%

7 stake in the new business. In the meantime Northcliffe continues to operate as normal. Advertising revenues have declined by 7% on last year on a like-for-like basis in the first seven weeks of the new financial year (11% on a reported basis).

• Net debt and capital allocation: the net debt to EBITDA ratio is well below our stated internal limit of 2.4 and the Board remains confident in the overall outlook for the Group and its operating cash flows. We believe that the creation of shareholder value over the long term requires a balanced approach to investing in growth and returning excess capital to shareholders whilst maintaining a strong balance sheet. We will therefore continue to look for attractive acquisitions and actively manage our business portfolio alongside maintaining our dividend policy. In reviewing our capital management programme, the Board has also decided to utilise part of its authority to make on market purchases of the ‘A’ Ordinary Non-Voting shares. We anticipate spending up to approximately £100 million on these purchases over the coming year.

Divisional Review

Business to business (B2B) Our B2B operations achieved another year of good growth with combined revenues of £899 million, 1% higher than last year, with an underlying# increase of 7%. Operating profits* increased by £16 million (7%) to £237 million whilst the underlying# increase was 8%. The overall B2B margin* was 26% (2011 25%).

Risk Management Solutions

2012 2011 Movement Underlying £m £m %

Revenue 163 159 +3% +6% Operating profit* 56 47 +18% +7% Operating margin* 34% 30%

RMS had a solid year of revenue and profit* growth. Revenues increased by 3% on a reported basis, with an underlying# increase of 6%. Operating profit* rose by 18% reflecting the disposal of RMSI’s loss making, non-core elements, which were included in the prior year’s results. Underlying# profit* grew by 7%. Subscriptions continued to grow well, with a renewal rate of approximately 96% during the year.

RMS continues to focus primarily on its core commercial catastrophe modelling business, which includes modelling of natural hazards risks such as earthquake, hurricane and flood, as well as terrorism risk and risk from pandemic diseases. RMS also continues to pursue selected growth areas such as Capital Markets, where longevity risk transfer presents a growth opportunity, and models for the life insurance industry.

RMS’s primary strategic focus continues to be the development of its new software platform which is expected to generate future, multi-year revenue growth. This Next Generation platform is expected to launch in 2014 and is designed to provide complete solutions in the cloud for clients across the

8 re/insurance value chain, including access to sophisticated models, an ability to integrate those models into enterprise-wide business processes, as well as analytics to help clients make better decisions. Outlook For 2012/13, RMS expects to achieve high/mid single digit percentage revenue growth and an operating margin* of around 30% as investment increases ahead of the new product launch in 2014.

dmg::information

2012 2011 Movement Underlying £m £m % % (restated)+ Revenue 253 232 +9% +11% Operating profit* 48 42 +14% +19% Operating margin* 19% 18%

+ The results for the prior year to 2nd October, 2011 have been restated due to the change in accounting treatment for the recognition of software licence revenues at Hobsons, dmg::information’s education business. These revenues have previously been recognised on delivery of the software licence at the start of the contract, but are now accounted for on a subscription basis and recognised over the contract period. The change reduced both revenue and operating profit by £5 million in a restatement of last year’s results.

Summary dmgi had a good year, with reported revenue up 9% at £253 million reflecting the execution of organic growth plans complemented by bolt-on acquisitions. Underlying# revenues grew by 11% following the 2011 disposal of dmgi’s geospatial business, Sanborn. Operating profits* increased by 14% to £48 million, an underlying# increase of 19% year on year.

Property information

2012 2011 Movement £m £m

Revenue 106 89 +20% Operating Profit 24 21 +13%

In the US, Environmental Data Resources (‘EDR‘) increased both revenues and profits* as it continued to deepen its market penetration and enhance product offerings against the backdrop of a relatively benign commercial real estate market.

In Europe, Landmark also increased both revenues and profits*. This robust performance reflected particularly strong growth from its German business where OnGeo has been successfully integrated following its acquisition last year. Market conditions in the UK commercial real estate and housing markets were reasonable, though the volumes of UK housing transactions remain significantly below the pre-2008 norm.

BuildFax, a provider of planning consent and related property information to the US insurance and financial services markets, is an early stage business and has progressed nicely throughout the year. In April we made a strategic investment in Xceligent, one of only two companies in the US that provides fully researched property and listing information to the commercial real estate community.

9 Financial, Education and Energy

2012 2011 Movement £m £m % (restated)+ Revenue Continuing 147 128 +16% Disposal - 16 -100% Total 147 144 +3% Operating Profit 28 25 +13% + The results for the prior year to 2nd October, 2011 have been restated due to the change in accounting treatment for the recognition of software licence revenues at Hobsons, dmg::information’s education business. These revenues have previously been recognised on delivery of the software licence at the start of the contract, but are now accounted for on a subscription basis and recognised over the contract period. The change reduced both revenue and operating profit by £5 million in a restatement of last year’s results.

The other markets of financial, education and energy account for 58% of dmgi’s revenues in aggregate.

• Financial: Trepp and Lewtan increased underlying# revenues by 2%. Trepp is the market leader providing information to the Commercial Mortgage-Backed Securities (‘CMBS’) market and produced positive revenue growth in the year. New issuance in the CMBS market remains muted and longer-term investors are holding off on re-building their activity. Trepp expanded its product offerings with new products targeted at banks and other loan providers.

Lewtan, which offers products to both investors and issuers in the asset-backed securities market, continued to improve its market position although market conditions remained challenging.

• Education: Hobsons increased revenues by 28%, underlying# revenues by 20% and also improved margins* slightly. During the year Hobsons acquired Intelliworks, providing subscription based software services to higher education institutions, and PrepMe, providing sophisticated software to guide students in college preparation tests. Hobsons is growing strongly in both its K-12 division, serving US high schools, and its HE division, serving higher education institutions in both the US and internationally.

• Energy: Genscape, the market leading provider of real-time energy supply information, increased underlying# revenues by 7%. During the year Genscape launched a compliance and information service that will provide physical verification of biodiesel production in the US and also completed a small acquisition, SpringRock, to enhance modelling and forecasting capabilities.

Outlook For 2012/13, dmgi expects to achieve revenue growth of around 10% and to maintain its operating margin* at around 20%.

10 dmg::events

2012 2011 Movement Underlying £m £m % %

Revenue 89 132 -33% +13% Operating profit* 21 39 -46% +21% Operating margin* 24% 29% dmg::events had a good year with underlying# revenues increasing by 13% and underlying# profits* by 21%. Reported revenues and profits* declined following the disposal of George Little Management (‘GLM’) in September 2011 and the cycle of biennial shows which meant that only one of our three large biennials, the Global Petroleum Show (‘GPS’), occurred this year compared to two (Gastech and ADIPEC) in 2010/11.

The sale of Evanta, a leadership and conferences business, was completed in September 2012. Evanta reported operating profits* for the year of £6 million on revenues of £18 million. dmg::events is now organised into three operating units, covering the energy and digital marketing sectors and a regional business in the Middle East.

In the Energy sector, underlying# revenue growth was 22% with a particularly good performance from the GPS (which was held in Calgary, Canada) and a number of launches also fuelling growth. Looking forward, Gastech, which takes place in London in November 2012, is one of dmg::events’ market leading brands and, while the major global event remains biennial, regional events are being launched as complements to the main show. dmg::events operates a number of market leading events in the Middle East. This year the annual Big 5 event for the construction sector grew despite difficult economic conditions and an aggressive launch programme enabled the business to deliver 14% underlying# revenue growth.

Our Digital Marketing unit, where the main events are operated under the Ad:tech brand, delivered underlying# revenue growth of 5%. New events were recently launched in New Delhi and Singapore.

Outlook For 2012/13, dmg::events expects to achieve underlying# revenue growth of around 10%. The reported results will be reduced by the disposal of Evanta and by the absence of the GPS, but will benefit from the fact that ADIPEC and Gastech, two of our three major biennial shows, are taking place. Overall dmg::events expects a mid single digit percentage decline in total reported revenues with an operating margin* of around 25%.

Euromoney Institutional Investor

2012 2011 Movement Underlying £m £m % %

Revenue 394 363 +9% +2% Operating profit* 112 93 +20% +2% Operating margin* 28% 26%

11 Euromoney released its preliminary results on 15 November, achieving an operating profit* of £112 million on revenues up 9% to £394 million. The 2010/11 operating performance was stated after deducting a £7 million accelerated charge for its management incentive scheme, the CAP, due to the earlier than expected achievement of its profit target. This year’s profit would have been £1 million lower if the charge had not been accelerated into 2010/11. Underlying# revenue growth was 2% which, combined with tight control of headcount, helped Euromoney to improve its margin (before the acceleration of CAP charges) to 28%.

Subscription revenues, which account for the majority of Euromoney’s revenue, increased at a rate of 17% or 5% on an underlying# basis. This growth continues to be driven largely by electronic information services such as BCA, the independent macroeconomic research house, and CEIC, the emerging market data provider.

Delegate revenues, accounting for 20% of total revenues, were up 6% on an underlying# basis whilst sponsorship revenues have a 12% share and were down 4% on an underlying# basis. Event sponsorship is heavily financial market focused whilst events outside the financial sector tend to be more delegate driven and performed well, particularly during the first half of the year.

Advertising, which accounts for 15% of revenues, was down 8% on an underlying# basis with reductions from global financial institutions being partly offset by increases in online advertising, a greater appetite for print advertising from emerging markets and growth in advertising from sectors outside finance, particularly energy.

Outlook The uncertainty over Europe remains as does a solution to the pending US fiscal cliff. Global financial institutions have been cutting costs and this challenging market is expected to continue at least into the early part of 2013. Subscriptions account for half Euromoney’s revenues and therefore provide some protection against weak markets in 2013, as does Euromoney’s reliance on emerging markets for more than a third of its revenues. The negative trends in advertising and delegate revenues in the last quarter are expected to continue into the first quarter of 2012/13, although the outlook for event sponsorship is more positive. As usual, forward revenue visibility beyond the first quarter is limited other than for subscriptions.

Consumer media

2012 2011 Movement Underlying £m £m % %

Revenue 1,060 1,098 -3% 0% Operating profit* 104 93 +12% +12% Operating margin* 10% 8%

A&N Media’s revenues for the year were £1,060 million, in line with last year on an underlying# basis. Revenues were 3% lower on a reported basis reflecting the disposal or closure of various underperforming businesses as well as a full year of revenues from the Digital Property Group (‘TDPG’) having been included in 2010/11. TDPG was merged with Zoopla at the end of May 2012 and DMGT’s share of profits of the joint venture post its formation are not included in operating profit* but are shown within joint ventures.

12 Investment in the digital businesses continues, while there was a 5% overall reduction in costs attributable to a reduction in the price of newsprint, a lowering of headcount during the year by 12% (from 6,873 to 6,053) and continued tight control over all other expenditure. These cost efficiencies meant that operating profits* increased by £11 million (12%) to £104 million and operating margin* improved from 8% to 10%.

An exceptional operating charge of £71 million (£45 million of which was non-cash) was made for restructuring and closure costs, with the largest portion relating to printing facilities, and for severance costs relating to the reduction in staff. Exceptional impairment and depreciation charges were incurred in the year in respect of printing operations in Derby and Stoke. Derby closed during the year and Stoke will close in December. By the end of 2012/13 we expect to be operating just two UK printing plants, Didcot and Thurrock, which will result in a much more efficient printing operation for A&N Media going forward.

Associated Newspapers

2012 2011 Movement Underlying £m £m % %

Revenue 848 862 -2% +2% Operating profit* 78 76 +2% +3% Operating margin* 9% 9%

Summary Underlying# revenues were up 2% on last year. This was primarily due to improved revenues from our digital operations as well as the benefit of cover price increases on circulation revenues. Total revenues were down £14 million mainly owing to the impact of sold businesses, lower display revenues from the two Mail titles, and the cessation of certain low margin printing contracts, principally the Evening Standard.

After a difficult first half of the year which saw profits significantly lower than last year, the second half of the year saw a marked improvement in profitability with stronger print display advertising, non-repeated net costs incurred last year following the closure of The News of the World and a reduction in newsprint prices from July 2012.

Despite the decline in reported revenues, the range of cost efficiencies resulted in an increase in operating profit* for the year of £2 million to £78 million, an underlying# increase of 3%, and operating margin* also increased slightly.

UK Newspaper related operations Circulation revenues increased by £10 million, 3%, to £353 million. This was attributable to the impact of lower copy sales being more than offset by the full year benefit of cover price increases in the second half of 2011, and by the effect of temporary price discounting by The Mail on Sunday last year following the closure of the The News of the World. Circulation revenues of the Daily Mail increased by 4.4%, while those of The Mail on Sunday fell by 0.8% overall, though they increased by 0.6% after adjusting for there being one less edition this year. Both titles achieved record market shares during the year of 21.6% and 20.8% respectively.

Advertising revenues were 2% lower at £332 million, with a strong performance by MailOnline and

13 Metro in particular, being offset by lower display revenues at both Mail print titles. Our two largest advertising categories, retail and travel, saw revenues decline by 7% and 16% respectively, but there was 4% growth in total from other categories. Print advertising revenues declined by 6% this year, but digital revenue from the newspaper titles’ companion sites increased by 72% to £31 million. After a difficult first half of the year, which saw advertising 6% lower than the prior year, advertising revenues were up 2% during the second half of the year.

MailOnline had another strong year of growth, recording a 74% increase in revenue to £28 million. There was also a significant increase in the audience, with MailOnline becoming the world’s largest online news site, surpassing The New York Times and reaching in excess of 100 million unique browsers a month. During the year, an Indian version of the site was launched, supported by content from Mail Today. Over the next year there will be increased investment in expanding the New York and Los Angeles editorial bureaus, as well as the teams of UK and US video editors, which will be accompanied by significant investment in technology.

Metro increased revenues by £6 million, 8% to £89 million with a particularly strong performance during the Olympics. Metro is the UK’s third largest daily newspaper, read by 3.6 million commuters every weekday with a series of multi-platform innovations designed to enhance readership and advertising revenues. Metro.co.uk has 7.5 million unique browsers per month and Metro’s tablet edition won Newspaper App of the Year. Metro delivered record profits in the year of £20 million.

Digital operations During the year our digital recruitment business, which includes Jobsite, OilCareers and Broadbean, was renamed Evenbase; and in April we acquired Jobrapido, the number two global job search engine. Jobrapido delivers over 850 million visits per year in more than 50 countries.

At the end of May, the Digital Property Group was merged with Zoopla to form Zoopla Property Group, an entity in which DMGT holds a 52.3% stake. Only pre-merger results are included in Associated Newspapers’ results; DMGT’s share of the post-merger profits of Zoopla Property Group is reported as a share of joint ventures.

Wowcher, Associated’s daily deals and online discounts business, was launched in April 2011 and has grown rapidly to become the number two business in the UK market.

The motors and Teletext travel businesses were disposed of during the year.

Reported revenues from the portfolio of digital companies were £93 million and underlying# revenue growth for the retained digital businesses was 23% year on year. Evenbase delivered an operating profit* of £11 million whilst Wowcher remained in its investment phase.

Central Europe A&N International’s operating profits* of £4 million were up 7% on last year, whilst revenues declined 8% to £27 million due to weaker local currencies. On an underlying# basis revenues grew by 5%, with print advertising revenues declining by 7% but circulation and digital revenues growing by 2% and 14% respectively. Digital advertising now represents 58% of total advertising revenue. In November 2012, the business disposed of its digital consumer jobs and motors businesses for proceeds of £27 million. These businesses accounted for £6 million of the £27 million revenues in the year.

Outlook For 2012/13, Associated currently expects to maintain stable underlying# revenues with digital

14 advertising growth offsetting circulation and print advertising declines. Due to the exclusion of Zoopla Property Group and disposed of businesses, reported revenues are expected to show a low single digit decline. Associated expects to deliver an operating margin* in the high single digits.

Northcliffe Media

2012 2011 Movement Underlying £m £m % %

Revenue 213 236 -10% -6% Operating profit* 26 17 +54% +54% Operating margin* 12% 7%

Summary Northcliffe continued its restructuring and process innovation and delivered total year-on-year cost savings of £33 million or 15%. Total headcount reduced by a further 13%, or 324 people. Northcliffe’s titles continued to be challenged by sluggish advertising markets and during the year there was a change of national advertising agency to AMRA. Revenue decreased by 10% to £213 million, though down only 6% on a like-for-like basis1. The improvement in the operating margin* from 7% to 12% and the 54% increase in operating profit* to £26 million reflect the successful execution of the restructuring programme and a growth in digital revenues.

Advertising Underlying# advertising revenues were down 8% for the year. Print advertising was down 13% on a reported basis and 9% on an underlying# basis. Digital advertising increased by 2% and digital revenues now account for 9% of Northcliffe’s total revenues.

Circulation Reported newspaper sales revenues fell by 5% to £57 million. On a like-for-like basis (excluding a change in accounting treatment for distribution costs, daily to weekly switches and divestments), revenues were up 1%. Cover price increases were implemented across the majority of titles where prices had historically been below the industry average. Our weekly paid-for portfolio continues to perform ahead of the industry average.

Costs The year on year cost savings included staff costs, following last year’s structural changes and a 324 reduction in staff numbers in the current year. Production and distribution costs were down and some savings were as a consequence of lower activity levels. However, more significant reductions have been made through the changes to the product portfolio, distribution changes and lower newsprint costs.

Outlook The sale of the business to Local World will complete following an employee consultation process. DMGT will hold a 39% stake in a newly formed business, Local World, which will combine Northcliffe Media’s existing portfolio with additional titles currently owned by the Yattendon Group. Kevin Beatty, Chief Executive of A&N Media, will become a member of the Board of Local World² on

1 Excluding impact of disposals, closures, conversion of daily titles to weekly titles and the acquisition of ‘The Topper’. 2 This disclosure fulfils DMGT’s obligations under LR 9.6.11.

15 completion. In the meantime, the business continues to operate as normal.

Other income statement items

• Net finance costs

2012 2011 Movement £m £m % Net interest payable and similar charges (61) (69) -13% Premium on bond buy back (6) - Pension finance item 9 12 Investment Income 1 3 Total (57) (54) +6%

Net interest payable and similar charges (including deemed finance charges and interest receivable) fell by £8 million to £61 million due to lower average debt levels and management of the debt portfolio. Net finance costs of £57 million included a £6 million charge for the premium on redemption of £110 million of 7.5% Bonds due 2013, purchased in December 2011.

There was a £3 million reduction in the pension finance credit due to the increase in the pension fund deficit over the year to 2nd October, 2011. Other investment revenue fell by £2 million owing to the absence of last year’s dividend from an internet investment fund.

• Other items The Group’s share of the results* of its joint ventures and associates rose by £8 million to £13 million. It includes £10 million income from dmg radio Australia, up from £7 million last year, which was disposed of in September 2012, as well as £4 million from Zoopla Property Group (‘ZPG’) for the four months to September 2012. DMGT owns a 52.3% stake in ZPG, but does not have control of the ZPG Board, following the merger of DMGT’s Digital Property Group with Zoopla at the end of May 2012.

The Group has charged £86 million as exceptional operating costs, principally within A&N Media. This charge includes reorganisation, redundancy and consultancy costs of £40 million, principally at A&N Media, and accelerated depreciation and impairment of property, plant and equipment of £46 million, principally relating to the closure of the Derby and Stoke printing facilities and the move to Thurrock.

Exceptional operating costs over the past four years have totalled £277 million. During this period headcount at A&N Media has reduced by 4,060, or 40% to 6,053 and the number of UK printing facilities has been reduced from eight to three and we expect there to be two, Thurrock and Didcot, by the summer of 2013.

The charge for amortisation of intangible assets fell by £7 million to £39 million. The Group also made an impairment charge of £21 million including a £16 million goodwill impairment charge in respect of Lewtan, which has been performing below expectations following challenging market conditions.

16 The Group recorded other net gains on disposal of businesses and investments of £158 million, compared to £15 million last year. These gains included the sales of Evanta, a leadership and conferences business, and DMGT’s remaining 50% stake in dmg radio Australia, as well as the formation of the Zoopla Property Group.

Northcliffe Media was held for sale as at 30th September, 2012, and is treated as a discontinued operation for the purposes of the statutory results. Operating profit attributable to operations treated as discontinued amounted to £26 million (2011 £17 million).

• Taxation The adjusted tax charge of £39 million (2011 £34 million as restated) is stated after adjusting for the effect of exceptional items. The adjusted tax rate for the year rose to 15.2%, from 14.4% in 2010/11 as restated, due to a change in the mix of chargeable profits. The continued low rate reflects tax reductions from tax-efficient financing and tax deductible amortisation in the USA, although we expect the adjusted tax rate to continue increasing as the mix of chargeable profits continues to change.

There were net exceptional tax credits of £49 million (2011: £39 million as restated), arising on disposals, assets held for sale, operating exceptional costs, the accelerated depreciation of property and equipment and the recognition of tax losses.

Pensions The Group’s defined benefit pension schemes provide retirement benefits for UK staff, largely in A&N Media. The deficit in these schemes has fallen from £336 million at the beginning of the year to £324 million at 30th September, 2012 (calculated in accordance with IAS 19). Corporate bond yields continued to fall over the period, (from 5.2% to 4.4%) which resulted in a higher value of the defined benefit obligation. However, this has been more than offset by an increase in the schemes’ assets and funding payments into the main schemes of £64 million, in accordance with the funding agreements with the Trustees, which included £24 million of surplus properties, previously solely used by the regional newspapers. The property transfer, in combination with a £12 million funding payment made in October 2012, satisfies the £36 million October 2012 funding payment requirement previously agreed with the Trustees under the payment recovery plan.

In July 2012, DMGT created a guarantee structure in collaboration with its principal defined benefit pension scheme, Harmsworth Pension Scheme (HPS). The structure provides HPS with a valuable contingent asset, a £150 million guaranteed loan note, and will reduce the need for additional cash contributions to HPS in the medium term. Whilst the loan note is treated as an asset of the scheme and reduces the actuarial deficit within the scheme, under IAS 19 it is not included as an asset and is excluded from the calculation of the £324 million year end deficit.

The defined benefit pension schemes are closed to new entrants, and measures were introduced in April 2011 to reduce costs and risks, in particular to eliminate longevity risk on accrued pensions since that date, and help secure the schemes’ and employers’ financial health into the future. All new employees of A&N Media are now being offered a defined contribution pension plan, in line with our other newer and more internationally focused divisions where we have long considered this type of pension plan to be the most appropriate.

17 Net debt and cash flow Net debt has fallen by £106 million during the year from £719 million to £613 million and by £196 million since the half year. The Group generated operating cash flows of £339 million, a 113% conversion rate of operating profits*. These funded capital costs at Thurrock of £39 million, capitalised software development of RMS’s Next Generation product of £18 million, taxation of £34 million, interest of £70 million, pension funding of £40 million and dividends totalling £76 million. Operating cash flows are stated after capital expenditure of £42 million, excluding that on Thurrock and RMS’s Next Generation product, and exceptional operating items of £37 million. Net proceeds from disposals and acquisitions were £42 million.

Acquisitions totalled £75 million and included Jobrapido for closing consideration of £29 million; Intelliworks, Xceligent, PrepMe and Spring Rock within the dmg::information portfolio; Praedicat by RMS, and Global Grain Geneva and Global Grain Asia by Euromoney. Business disposals totalled £117 million and included the sale of Evanta and the remaining 50% stake in dmg radio Australia in September.

The Group’s principal debt remains in long-term bonds. At the year end, the Group had £725 million of Bonds with repayments due in 2013 (£47 million), 2018 (£307 million), 2021 (£171 million) and 2027 (£199 million). In December 2011, the Group acquired £100 million of the 7.5% Bonds due 2013 and will consider acquiring further bonds where financially sensible. The Group had unutilised committed facilities of £298 million at the year end and surplus cash of £107 million.

The Group’s ratio of year end net debt to adjusted profits* before interest, depreciation and amortisation (EBITDA) was 1.6 times, comfortably below the Group’s internal limit of 2.4 times and preferred level of around 2.0 times, and well within the requirements of the Group’s bank covenants. The Group’s corporate credit ratings are BBB- from Fitch, and BB+ from Standard & Poor's.

The Directors consider that the Group has adequate resources to continue in operational existence for the foreseeable future. Accordingly, they continue to adopt the going concern basis in preparing this preliminary announcement.

Financing The Group acquired 7.5 million ‘A’ Ordinary Non-Voting shares for £30 million in order to meet obligations to provide shares under its incentive plans. It also utilised 7.0 million shares out of Treasury to provide shares under various incentive plans valued at £32 million. DMGT has 382.8 million shares in issue, including 19.9m Ordinary shares, together with 10.2 million ‘A’ Ordinary Non- Voting shares held in Treasury to meet further obligations that may arise.

During the year, DMGT took its share of dividends from Euromoney in the form of a scrip.

Dividend The Board is recommending payment on the issued Ordinary and 'A' Ordinary Non-Voting shares of the Company of a final dividend of 12.4 pence per share for the year ended 30th September, 2012 (2011 11.7 pence). This will make a total for the year of 18.0 pence (2011 17.0 pence per share). The final dividend will be paid on 8th February 2013 to shareholders on the register at close of business on 30th November 2012.

18 Share buy back DMGT’s strong operational cash flow and disciplined management of our portfolio of businesses has resulted in a net debt to EBITDA ratio of 1.6, falling to well below our stated internal limit of 2.4 times. The Board remains confident in the overall outlook for the Group and the operating cash flow that our businesses will generate. We believe that the creation of shareholder value over the long term requires a balanced approach to investing in growth and returning excess capital to shareholders whilst maintaining a strong balance sheet. We will therefore continue to look for attractive acquisitions and actively manage our business portfolio while maintaining our dividend policy of growing dividends by between 5% and 7% in real terms over the economic cycle. In reviewing our capital management programme, the Board has also decided to utilise part of its authority to make on market purchases of the ‘A’ Ordinary Non-Voting shares. We anticipate spending up to approximately £100m over the coming year.

Weighting of DMGT’s ‘A’ shares in the FTSE Indices On 18 April 2012, FTSE announced that DMGT’s ‘A’ Ordinary Non-Voting Shares would no longer be eligible for inclusion in the UK Series Index. The Board of DMGT has considered at length, with the assistance of its advisors, the options available to it and the suitability of such options to meet the needs of its stakeholders to make the ‘A’ Ordinary Non-Voting Shares eligible for inclusion in the UK Series Index but no solution has to date been found. The FSA’s recently issued consultation paper on ‘Enhancing the effectiveness of the Listing Regime and feedback on CP12/2’ makes it more difficult to envisage how we can regain our premium listing. It is unlikely, therefore, that the ‘A’ Ordinary Non- Voting Shares will become eligible for inclusion in the index in the foreseeable future. However, DMGT’s ‘A’ Ordinary Non-Voting shares will continue to be standard listed and traded on the London Stock Exchange and to be a member of other important indices such as MSCI, STOXX, S&P and the FTSE Global Equity Index Series and DMGT will continue to maintain the highest standard of governance and disclosure.

19 Reconciliation: Adjusted results including and excluding discontinued operations

FY 2011/12 FY 2010/11 £m Adjusted results Discontinued Adjusted results Adjusted results Discontinued Adjusted results including operations excluding including operations excluding discontinued discontinued discontinued discontinued operations operations operations operations

Revenues Continuing operations 1,747 - 1,747 1,749 - 1,749 Discontinued operations 213 213 - 236 236 - Total Revenue 1,960 213 1,747 1,985 236 1,749

Operating Profit Continuing operations 274 - 274 264 - 264 Discontinued operations 26 26 - 17 17 - Total Operating Profit 300 26 274 281 17 264

Operating margin % 15% 12% 16% 14% 7% 15%

20 Underlying Analysis – Revenues

FY 2011/12 FY 2010/11 £m % Underlying M&A Other Reported Underlying M&A Exchange Other Reported

B2B RMS +6% 163 - - 163 154 (8) 3 - 159 dmg::information +11% 256 1 2 253 230 (5) 3 - 232 dmg::events +13% 85 - (4) 89 75 (45) 1 (13) 132 Euromoney +2% 374 (20) - 394 366 - 3 - 363 +7% 879 (19) (2) 899 825 (58) 10 (13) 886

Consumer Associated Newspapers +2% 834 (14) - 848 820 (25) (4) (14) 862 Northcliffe Media (6%) 207 (5) - 213 220 (16) - - 236 0% 1,041 (19) - 1,060 1,040 (41) (4) (14) 1,098

DMGT Group +3% 1,920 (38) (2) 1,960 1,865 (99) 6 (27) 1,985

Notes: M&A includes the disposals of Sanborn, RMSI, GLM, Teletext Retail, Teletext Holidays & various regional newspapers; the acquisition of Ned Davis Research, Jobrapido, Intelliworks and various other bolt-on acquisitions, and the disposal of The Digital Property Group to form Zoopla Property Group.

Figures, including totals, are rounded to the nearest million pounds whilst percentages are calculated on actual numbers to one decimal place.

21 Underlying Analysis – Adjusted profit before tax*

FY 2011/12 FY 2010/11 £m % Underlying M&A Other Reported Underlying M&A Exchange Other Reported

B2B RMS +7% 56 - - 56 52 4 1 - 47 dmg::information +19% 49 - 1 48 42 (1) 1 - 42 dmg::events +21% 21 - - 21 17 (16) - (6) 39 Euromoney +2% 103 (8) (1) 112 101 - 1 7 93 +8% 229 (8) - 237 212 (14) 3 1 221 Consumer Associated Newspapers +3% 76 (2) - 78 74 (2) - - 76 Northcliffe Media +54% 26 - - 26 17 - - - 17 +12% 102 (2) - 104 91 (2) - - 93

Head office costs (26%) (41) - - (41) (33) - - - (33) Operating profit +7% 289 (10) - 300 270 (16) 3 1 281 Joint ventures and associates 8 (5) - 13 5 - - - 5 Net Finance charges (66) - (9) (57) (66) - - (12) (54)

Adjusted profit before tax* +11% 232 (15) (9) 255 208 (16) 3 (11) 232

Figures, including totals, are rounded to the nearest million pounds whilst percentages are calculated on actual numbers to one decimal place.

22 Principal risks and uncertainties

The principal risks and uncertainties that the Group faces vary across the different businesses and are the focus of the Risk Committee. These risks are identified in the DMGT Group Risk Register. The materiality of each risk is assessed against a framework to determine its significance and likelihood of occurrence. The Risk Register is used to determine the agenda and activity of the Risk Committee. The most material risks identified in the Risk Register, together with the steps taken to mitigate them, are described below.

The geographic spread and diverse portfolio of businesses within the Group help to dilute the impact of some of the Group’s key risks. Certain risks are interdependent and should not be considered in isolation.

1) Changes in our key markets The information provided to our customers and the way in which our businesses deliver this information are subject to constant change. This can result in structural market changes that have the potential to redefine or eliminate current markets served by our businesses. Technological innovations such as tablet and other mobile devices, cloud computing and the proliferation of social media impact all of our businesses. Our products and services, and their means of delivery, are also affected by competitor activity and changing customer behaviour.

Potential impact Mitigation The impact is both positive and negative. Failure The Group’s strategy of diversification reduces to identify and respond to changes in the key the impact of technological and market markets in which the Group operates increases changes to some degree. However, a number the risk of being left behind by both competitors of recent global trends have impacted several and our customers with a resultant direct impact of our businesses. on Group results. The DMGT Leadership Team constantly The transition from traditional publishing and monitors the markets in which DMGT print advertising to online and mobile has businesses operate, the competitive landscape affected a number of businesses including and technological developments. The Euromoney and Associated Newspapers. autonomous culture of the Group encourages an entrepreneurial approach to the Conversely, new technologies present development of organic growth opportunities opportunities for the Group. An example of this is and new products. the success of the mobile and tablet apps by Mail Online and Metro. Both have proved successful in driving traffic and engagement. Mail Online has five times more UK app users than any other newspaper and Metro’s iPad app was named Newspaper App of the Year at the 2012 Newspaper Awards.

24 2) Exposure to a downturn in the global economy A significant (although decreasing) proportion of the Group’s revenue (especially in the UK newspaper divisions) is derived from advertising which is impacted by fluctuations in the wider economy. A similar, although reduced, effect has been seen in group businesses that rely on non- advertising revenues, especially in the financial and property markets.

Potential impact Mitigation Advertising revenues have been heavily affected Experience has demonstrated that the long- by the downturn in the global economy. term strategy of diversifying the Group’s portfolio into business information and A continued recession, or a further downturn in subscription revenue streams, along with the economy or market sectors served by the investment in strong brands, makes the Group, gives rise to a risk of not achieving Group’s results both more strategically and forecast results. commercially robust.

We continue to manage costs around the Group to minimise our cost base.

3) Acquisition and disposal risk As well as launching and building new businesses, an integral part of the Group’s strategy has, and will continue to be, the acquisition (and successful integration) of businesses that expand expertise whilst supporting existing products. The strategy also results in the disposal of businesses that no longer fit the Group’s investment criteria.

Potential impact Mitigation Failure to identify acquisition targets could result The majority of acquisitions are in related in an opportunity cost to the business. markets and are smaller businesses with a high potential for growth. This reduces the risk Equally, an unsuccessful integration of acquired from any one acquisition. subsidiaries, or an acquired business that fails to generate the expected returns, could result in the Acquisitions are approved by the Investment & underperformance of the Group or impairment Finance Committee, and managed by divisional losses. This could also divert management time and local management with oversight from the from other operational matters. centre. Detailed due diligence is performed by internal teams and external advisors on all Our ability to achieve optimal value from potential acquisitions. disposals, as well as the failure to realise other anticipated benefits of a disposal, could also The retention of key employees in the impact financial results. acquired business is often required as part of the purchase. Board level monitoring is performed post-acquisition.

Disposals, including the decision to divest, are overseen by the Board and the Group Finance Director.

4) Pension scheme shortfalls Our defined benefit pension schemes are now closed to new entrants, although existing members still employed by the Group can continue to accrue benefits on a cash basis. Deficits identified by

25 actuarial valuations completed in 2011 are being addressed by means of a funding arrangement agreed with the trustees which will reduce the deficits over a period of thirteen years to 2023.

Potential impact Mitigation Reported earnings may be adversely affected by Measures to mitigate the risks that impact the changes in our pension costs and funding company’s balance sheet are under requirements due to lower than expected continuous review. Recent examples include: investment returns or changes made to the risk - benefits in the schemes are now accrued profile of our investment portfolio. on a cash basis which reduces the risk of an increase to pension liabilities arising from improving longevity. - the Group provided the principal scheme with a £150 million guaranteed loan note to reduce the need for additional cash contributions. - The Group has transferred a portfolio of properties to the schemes, valued at £24 million, reducing the net cash required to be transferred to the schemes during the year. In addition, a Joint Working Party assesses and monitors de-risking options available to the schemes.

5) Successfully managing change projects At any given time, a number of active capital and IT projects are underway around the Group. The two most significant change projects continue to be RMS’s new software solution project and A&N Media’s new print site at Thurrock.

Potential impact Mitigation A successful project delivers improvements in Every active capital project around the Group product offerings, efficiency gains and cost is subject to a rigorous planning process savings. There is, however, a risk of increased involving all key stakeholders. Significant costs or lost revenues as a result of delays, capital projects are approved by the unforeseen problems, loss of access to systems Investment & Finance Committee. On-going and data or production and delivery issues. project management is in place to ensure that plans are delivered to timetable and specification.

All key projects are monitored by the local board to ensure that risks and opportunities are managed throughout the process. The Group’s most significant projects are monitored by the Risk Committee.

6) Data integrity, availability and security The quality and availability of the information products that DMGT businesses provide to their clients are key to their success. This is true for many businesses in the group, most notable within dmg::information and Euromoney.

Information security has always been a key focus across DMGT. However, changing technology, mobile working, cloud-based systems, the consumerisation of IT and the growing use of social media create opportunities but also threats to information security and the protection of our data, and that of our customers. The increasing threat of cyber-attack from organised crime increases this risk further.

Potential impact Mitigation Any challenge to the integrity of information Every DMGT business understands that quality within a DMGT product could damage the of data is key to the reputation and on-going reputation of that business resulting in lost success of the Group. Quality controls revenue and potentially increased costs of including rigorous checks, review and remediation. A similar impact would be felt if a restricted access to amend and publish exist in product was unavailable for a time. every business with information products. Availability is managed through detailed and An information security incident or cyber-attack tested business continuity plans. resulting in the loss, theft, corruption or unavailability of sensitive information held by the Information security risks are managed locally Group could lead to operational and regulatory by the individual businesses, with support challenges, and could impact on financial results. from divisional management and DMGT Risk & Assurance. The Risk Committee monitors and Information security breaches could have a oversees information security, data protection reputational impact on the Group. and cyber risks and controls around the Group.

Businesses are expected to comply with the published information security policy and minimum baseline standards.

7) Impact of a major disaster or outbreak of disease There is a risk of disruption of Group operations as a result of a major disaster, outbreak of disease or other external threat. The Group’s operations are geographically diversified which limits the impact of any given incident. The largest locations are Northcliffe House and Harmsworth Quays in London, Euromoney’s offices in London and New York, and RMS’s headquarters in California. Northcliffe House is the Group’s headquarters as well as housing Associated Newspapers and some businesses within dmg::events. Harmsworth Quays is A&N Media’s main printing centre and a contingency location for Northcliffe House.

The success of the events and training businesses within dmg::events and Euromoney relies heavily on the confidence in, and ability of, delegates and speakers to travel internationally.

Potential impact Mitigation A major incident (particularly in a key location) Business continuity plans, which are tested could affect operation of the business at that regularly, are in place across all businesses. location and impact their ability to produce or deliver its products, which could reduce the Contingency planning is in place in the events demand for them or increase costs. businesses and virtual events alternatives are being developed. Where appropriate, Any disaster which significantly affects the wider cancellation insurance is taken out. environment or the infrastructure in an area in

27 which the group operates could adversely impact Recently the Group’s business continuity Group results. planning helped its North East American and Canadian offices to recover quickly and Significant disruptions to, or reductions in, effectively from the significant disruption international travel for any reason could lead to caused by Superstorm Sandy. events and training courses being postponed or cancelled and could have an impact on the Group's performance.

8) Reliance on key management and staff retention DMGT is reliant on the talented and successful management and staff across all of its businesses. Many businesses and products are dependent upon specialist, technical expertise. Potential impact Mitigation The inability to recruit and retain talented people The DMGT Human Resources Director works could impact the Group’s ability to maintain its with divisional and executive management performance and deliver growth. across the Group on a formal approach to talent management and succession planning. When key staff leave or retire, there is a risk that This includes payment of competitive rewards, knowledge or competitive advantage is lost. employee performance and turnover monitoring and a variety of approaches to staff communication.

Succession planning and long-term incentive plans are in place for senior management.

9) Commercial relationships, including volatility of newsprint prices The Group is reliant on a number of commercial relationships with key customers, suppliers and third parties. Key examples include large advertising agencies and major retailers in A&N Media, key venues and agents in dmg::events and Euromoney, and data providers in dmg::information and RMS.

Additionally, newsprint continues to represent a significant proportion of our costs. Newsprint prices are subject to volatility arising from variations in supply and demand.

Potential impact Mitigation The loss of, or damage to, any key commercial Significant time and resources are dedicated to relationship could have a material impact on the managing and developing these relationships Group’s ability to produce and deliver its to ensure they continue to operate products. satisfactorily.

An increase in newsprint prices would impact the The Group’s newsprint requirements are cost base of A&N Media. managed by a dedicated newsprint buying team and monitored by the board of Harmsworth Printing. Where possible, long- term arrangements are agreed with suppliers to limit the potential for volatility.

10) Compliance with Laws and regulations Group businesses are subject to legislation and regulation in the jurisdictions in which they

28 operate. The key laws and regulations that impact the Group cover areas such as bribery and corruption, competition, data protection, privacy (including e-privacy), health and safety and employment law. Additionally, specific regulations from the Press Complaints Commission and the Audit Bureau of Circulation apply to the newspaper divisions.

The Group generates a significant amount of its revenue from publishing, be it newspapers, magazines, trade journals or information and data published online. As a result, there is an inherent risk of error which, in some instances, may give rise to legal claims (e.g. for libel).

The Leveson Inquiry, scheduled to report at the end of November 2012, may recommend increased (and potentially statutory) regulation of the industry which could affect our newspaper and other publishing businesses.

Potential impact Mitigation A breach of legislation or regulations could have Compliance with laws and regulations is taken a significant impact on the Group both in terms seriously throughout the Group. The DMGT additional costs, management time and Code of Conduct (and supporting policies) sets reputational damage. Equally, the management out appropriate standards of business time and cost of defending legal cases can be behaviour and highlights the key legal and significant. regulatory issues affecting Group businesses. Divisional and local management are Increasing regulation of the newspaper industry responsible for compliance with applicable could limit our editorial output and have a local laws and regulations, overseen by the corresponding commercial impact on the Risk Committee. business. All of our publications have controls in place, including legal review, to approve content that that may carry a libel/legal risk. Journalists receive regular training on the PCC Code, Data Protection and the Bribery Act.

Controls are also in place surrounding compliance with the Audit Bureau of Circulation’s regulations and other regulatory bodies to which we adhere.

11) Treasury operations The Group Treasury function is responsible for executing treasury policy which seeks to manage the Group’s funding, liquidity and treasury derivatives risks. More specifically, these include currency exchange rate fluctuations, interest rate risks, counterparty risk and liquidity and debt levels.

Potential impact Mitigation If the treasury policy does not adequately The Investment & Finance Committee is mitigate the financial risks summarised above, or responsible for reviewing and approving Group is not correctly executed, it could result in Treasury policies which are executed by the unforeseen derivative losses or higher than Group Treasury function, overseen by the expected finance costs. Deputy Finance Director.

29 The Group Treasury function undertakes high Segregation of duties and authorisation limits value transactions, hence there is an inherent are in place for all payments made. The high risk of payment fraud or error having an Treasury Function is subject to an annual adverse impact on Group results. internal audit.

12) Unforeseen tax liabilities The Group’s operations are global and therefore earnings are subject to taxation at differing rates across a number of jurisdictions. Whilst endeavouring to manage the Group’s tax affairs in an efficient manner, there will always be a certain level of uncertainty when provisioning for tax liabilities due to an ever more complex international tax environment.

Potential impact Mitigation Changing tax laws could increase tax liabilities The team of in-house specialists, in and have an adverse impact on financial results. conjunction with divisional management and external experts, review all tax arrangements Due to the diverse and global nature of the within the Group and keep abreast of changing group, internal or external factors could give rise legislation. to unplanned tax liabilities.

Statement of Directors’ responsibilities The Directors are responsible for preparing the full year financial report, in accordance with applicable law and regulations.

The Directors confirm that to the best of their knowledge: a) the financial statements, prepared in accordance with International Financial Reporting Standards, give a true and fair view of the assets, liabilities, financial position and profit or loss of the Company and the undertakings included in the consolidation taken as a whole; and b) the management report includes a fair review of the development and performance of the business and the position of the Company and the undertakings included in the consolidation taken as a whole, together with a description of the principal risks and uncertainties that they face.

By order of the Board of Directors

The Viscount Rothermere Chairman 21st November, 2012

For further information

For analyst and institutional enquiries: Stephen Daintith, Finance Director Tel: +44 20 3615 2902 Adam Webster, Head of Management Information and Investor Relations Tel: +44 20 3615 2903

For media enquiries: Kim Fletcher / Will Carnwath, Brunswick Group LLC Tel: +44 20 7404 5959

Next trading update The Group’s next scheduled announcement of financial information will be its first quarter interim management statement on 6th February, 2013.

Notes *Adjusted results are stated before exceptional items, other gains and losses, impairment of goodwill and intangible assets, and amortisation of intangible assets arising on business combinations. For a reconciliation of Group profit to adjusted Group profit, see Note 10. These adjusted results, including revenue and operating profit, are for total operations, including those treated as discontinued, namely Northcliffe Media and the dmg radio Australia joint venture. Northcliffe Media contributed operating profit of £26 million (2011: £17 million) from revenues of £213 million (2011: £236 million) and is included in the adjusted results. A reconciliation of adjusted results including discontinued operations to adjusted results excluding discontinued operations is shown on page 20.

The average £: US$ exchange rate for the year was £1: $1.58 (against £1:$1.61 last year). The rate at the year end was $1.62 (2011 $1.56).