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Wireless Group PLC (TWG)

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Thursday 08 July, 2004

Wireless Group PLC

AGM Statement

Wireless Group PLC
08 July 2004


                         Wireless Group Revenues Soar:
                                 AGM Statement


At the Company's Annual General Meeting this morning, Kelvin MacKenzie, Chairman
and Chief Executive of The Wireless Group plc (the 'Group'), will make the
following statement:

   • 2003 year of considerable achievement
   • Strong start to 2004
   • FANtastic 2004 second quarter performance with Group revenues up 36%
     (like for like 23%)
   • Very successful EURO 2004 for talkSPORT - revenues up 87% in June
   • Forever Broadcasting acquisition fully integrated and making a positive
     contribution

'For the year 2003 we announced our first ever adjusted operating profit a year
ahead of expectation. All of our key financial indicators improved: turnover
increased by 14.3 per cent to £32.6million against a sector average of 6.8 per
cent, net debt was reduced to £3.3 million, interest cover increased to three
times and both our national and local radio businesses turned in significant
operating profits.

We have made a strong start to the first half of 2004. The second quarter to
June has been particularly fantastic for the Group. Our local stations report
revenues up 34% (like for like 13%) and talkSPORT has done what others couldn't
and won the Radio Cup with revenues up for the quarter by 40% and up some 87%
for June alone.

Bill Shankley was right. Football - and sport generally - is much more important
than life or death. It is the last arena in a politically correct environment
where we are free, in the office, bar or home, from being booed or sued for
expressing our true opinions. This is one of the immense attractions of sport
where men and women can cheer on their favourites in all manner of ways without
fear of repercussion.

Unlike any other cultural form, sport allows people to wear their hearts on
their sleeves and say the things we really feel. Sport's powerful mainstream
position uniquely positions talkSPORT as the UK's only commercial national
sports-based radio station and allows it to capitalise on this huge thirst for
sports-related information and entertainment. This is reflected in the very
strong current trading at talkSPORT.

As well as reaping the advertising and audience rewards of Euro 2004, talkSPORT
also exploited an excellent commercial opportunity by teaming up with Gut
Records and launching the football anthem, 'Come on England', which went
straight into the singles chart at Number 2.

In January we announced the acquisition of Forever Broadcasting for £8.1 million
which strengthened our ILR portfolio. The new stations in Chesterfield,
Wolverhampton and Bolton complement the existing portfolio in the Midlands and
the North West and all three are now trading profitably. We continue to seek
further opportunities.

Our legal battle to receive the correct audience for talkSPORT - measured by
passive technology not a human error-strewn paper diary - continues with RAJAR.
The first High Court round will be in November with the main event taking place
early next summer.

For what it's worth, RAJAR, the snake oil salesmen of the research business,
announced in its last quarterly audience results, that talkSPORT had a record
market share of 1.9%, reach of 2,141,000 and 21 million listening hours. This is
39% up quarter on quarter and 13% up on last year. Technology says we have an
audience of 5.8 million. Go figure. Samuel Pepys or Bill Gates. You choose.

The Group continues to ensure our costs are properly managed and that investment
is wisely targeted. In the second half of the year we will embark on raising the
profile of talkSPORT with a national marketing campaign to capitalise on the
start of the football season and bring entertaining and provocative sports
broadcasting to a wider audience.

I would like to extend my thanks to the Board and the staff of The Wireless
Group whose efforts and enthusiasm have contributed to an excellent 2003 and an
even better start to the new financial year. I look forward to the future with
confidence.'

                                    - ends -


For further information, please contact:

Kelvin MacKenzie
The Wireless Group
Tel: 020 7959 7850

David Rydell / Dan de Belder / Robin Tozer
Bell Pottinger Financial
Tel: 020 7861 3232





                      This information is provided by RNS
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