Recommended Offer

Brands Hatch Leisure PLC 9 November 1999 RECOMMENDED OFFER by THE INTERPUBLIC GROUP OF COMPANIES, INC. for BRANDS HATCH LEISURE PLC SUMMARY The boards of Interpublic and Brands Hatch announce the terms of a recommended share for share offer to be made by Interpublic to acquire all of the issued and to be issued share capital of Brands Hatch. Brands Hatch will become part of Octagon, Interpublic's sports marketing and entertainment division. Based on the closing price of $39 1/8 per share of Interpublic Common Stock on the New York Stock Exchange on 8 November 1999 (being the latest practicable date prior to the release of this announcement) and using the Illustrative Exchange Rate, the Offer: - values each Brands Hatch Share at approximately 546p; - represents a premium of approximately 36 per cent over the average middle-market closing price of 402p per Brands Hatch Share for the 30 dealing days prior to 22 October 1999, the date on which Brands Hatch announced that it had received an approach that might lead to an offer being made for the company; - represents a premium of approximately 14 per cent over the middle-market closing price of 478p per Brands Hatch Share on 21 October 1999, the day immediately before the start of the Offer Period; - values the existing issued share capital of Brands Hatch at approximately £120 million; and - represents a multiple of 37.4 times Brands Hatch's basic earnings per share for the year ended 31 December 1998. Interpublic has received an irrevocable undertaking to accept the Offer from Awak Limited, a company owned by the J. G. Foulston Children's Settlement Trust, in respect of 6,519,015 Brands Hatch Shares, representing approximately 29.8 per cent of Brands Hatch's issued share capital. Further details of this undertaking are set out in paragraph 4 of the attached announcement. The board of Brands Hatch unanimously recommends acceptance of the Offer. Brands Hatch is a leading promoter of motorsport events, as well as an operator of leisure venues, in the United Kingdom. Interpublic is one of the largest advertising and marketing communications groups in the world. Interpublic is listed on the New York Stock Exchange and has a market capitalisation of approximately $11.0 billion (£6.8 billion). Octagon is the sports marketing and entertainment division of Interpublic, and is one of the leading sports and event marketing and television distribution agencies in the world. Through its specialist motorsports division, Octagon Motorsports, Octagon is a leading owner and manager of international motorsports series, including the Superbike World Championship. Interpublic believes that the combination of Brands Hatch's proven promotional and track management skills and Octagon's series ownership, international network and financial resources will create a powerful new force in motorsports. It is intended that Brands Hatch will be merged with Octagon Motorsports. Nicola Foulston, Chief Executive of Brands Hatch, will join the management board of Octagon. Interpublic believes that the combination of Octagon and Brands Hatch will strengthen both companies and help expand the sale of Brands Hatch's marketing services outside the United Kingdom. Frank Lowe, Chairman and Chief Executive Officer of Octagon, and a director of Interpublic, said: 'Nicola Foulston and her team have grown and developed the legendary Brands Hatch with great success. In the two years since its inception, Octagon has become a leading operator in the fast- growing sports marketing and entertainment sector. The success of Superbike has reinforced our belief that motorsport is one of the most exciting and fastest growing areas of sport. This move will bring together a unique and powerful combination of series ownership, event promotion and venue management. It will also unite two sets of highly skilled and talented management that will create a dynamic new force in international motorsport.' Commenting on the Offer, Nicola Foulston, Chief Executive of Brands Hatch, said: 'We are delighted to have agreed terms with the board of Interpublic and look forward to becoming part of Octagon. Our vision has long been to be the leading international event promoter and venue manager in world motorsports. To achieve this we need to expand our operations from our UK base around the world. Interpublic and Octagon offer us a unique opportunity to achieve this goal through their international strength and network, the funding they can provide for us to acquire international business and the international motorsports rights they already control. Brands Hatch has worked for some time with the management of Octagon Motorsports on the UK development of the Superbike World Championships. We enjoy working with them, we respect their expertise and we share a common corporate culture. We are very excited by the future prospects of Interpublic and believe the merger with Interpublic and Octagon will bring both immediate and long-term benefits to our shareholders, our clients and our employees.' 9 November 1999 ENQUIRIES The Interpublic Group of Companies, Inc. Philip Geier, Jr. (Chairman of the Board, President and Chief Executive Officer) Eugene Beard (Vice-Chairman, Finance and Operations) Telephone Number: +1 212 399 8000 Website Address: www.interpublic.com Octagon Frank Lowe (Chairman of the Board and Chief Executive Officer of Octagon and a director of Interpublic) Telephone Number: 0171 881 8888 or +1 212 888 8847 Website Address: www.octagon.com PricewaterhouseCoopers Philip Kendall Gerry Young Telephone Number: 0171 583 5000 Brands Hatch Leisure PLC Nicola Foulston (Chief Executive) Robert Bain (Group Finance Director) Telephone Number: 0171 466 5010 Website Address: www.brands-hatch.co.uk Pannell Kerr Forster Nick Whitaker Hugh Mathew-Jones Telephone Number: 0171 831 7393 This summary should be read in conjunction with the full text of the following announcement and the definitions in the following announcement shall have the same meanings in the summary. This announcement contains forward-looking statements including with respect to the consummation of the Offer, the integration of services and opportunities related to the Offer. As such statements apply to future events, they are subject to risks and uncertainties which may cause the actual results to differ materially, including, without limitation, the risk that the Offer will not be consummated, integration risks related to the Offer and the risk that the anticipated benefits of the Offer will not be realised. This announcement has been approved by PricewaterhouseCoopers as an investment advertisement solely for the purposes of Section 57 of the UK Financial Services Act 1986. PricewaterhouseCoopers, which is authorised to carry on investment business by The Institute of Chartered Accountants in England and Wales, is acting for Interpublic and no one else in connection with the Offer and will not be responsible to anyone other than Interpublic for providing the protections afforded to clients of PricewaterhouseCoopers or for giving advice in relation to the Offer. Pannell Kerr Forster, which is authorised to carry on investment business by The Institute of Chartered Accountants in England and Wales, is acting for Brands Hatch and no one else in connection with the Offer and will not be responsible to anyone other than Brands Hatch for providing the protections afforded to clients of Pannell Kerr Forster or for giving advice in relation to the Offer. This announcement does not constitute an offer or an invitation to purchase any securities. Copies of this announcement are not being, and must not be, mailed or otherwise distributed or sent in or into the United States, Canada, Australia or Japan and persons receiving this announcement (including custodians, nominees and trustees) must not distribute or send it into or from the United States, Canada, Australia or Japan. Not for release, publication or distribution in or into the United States, Canada, Australia or Japan. NOTES TO EDITORS Interpublic is one of the largest advertising and marketing communications groups in the world. The Interpublic Group employs more than 34,000 people and conducts business in 120 countries worldwide. Interpublic's primary holdings include two wholly-owned global advertising agency networks, McCann-Erickson WorldGroup and The Lowe Group, which includes Lowe Lintas & Partners Worldwide, as well as four specialised communication services units, Western Initiative Media Worldwide, Draft Worldwide, International Public Relations, Octagon and other related companies. Octagon was formed in 1997 following the acquisition by Interpublic of two leading global sports marketing companies, Advantage International and API. It was launched with the intention of creating an international group involved in all aspects of global sports and entertainment marketing. As part of Interpublic, Octagon has brought a distinctive marketing perspective to the industry. Octagon operates in the following areas: athlete representation, consultancy, event management, property representation, television rights sales and distribution, television production and archive, rights ownership and licensing and merchandising. Octagon ranks among the top three sports marketing agencies in the world with over 800 employees in 17 countries around the world. Brands Hatch is the largest single organiser and promoter of motorsport events in the United Kingdom, owning and operating four motorsport circuits at Brands Hatch, Oulton Park, Snetterton and Cadwell Park. Over the past ten years it has organised and promoted an average of over 150 motorsports events each year. Brands Hatch also operates a successful motorsport leisure business, which offers a wide range of activities including motor racing and rally schools, corporate entertainment days, testing and track- hire, supported by its own catering and merchandising operation. Earlier this year Brands Hatch expanded its leisure operations with the acquisition of the Rebel Group, a karting group whose venues are branded Daytona. RECOMMENDED OFFER by THE INTERPUBLIC GROUP OF COMPANIES, INC. for BRANDS HATCH LEISURE PLC 1. Introduction The boards of Brands Hatch and Interpublic jointly announce today a recommended offer to be made by Interpublic to acquire the whole of the issued and to be issued share capital of Brands Hatch. Brands Hatch will become part of Octagon, Interpublic's sports marketing and entertainment division. 2. The Offer Interpublic offers to acquire all the issued and to be issued Brands Hatch Shares on the following basis: for every 100 Brands 22.67 shares of New Hatch Shares Interpublic Common Stock Based on the closing price of $39 1/8 per share of Interpublic Common Stock on the New York Stock Exchange on 8 November 1999 (being the latest practicable date prior to the release of this announcement) and using the Illustrative Exchange Rate, the Offer: - values each Brands Hatch Share at approximately 546p; - represents a premium of approximately 36 per cent over the average middle-market closing price of 402p per Brands Hatch Share for the 30 dealing days prior to 22 October 1999, the date on which Brands Hatch announced that it had received an approach that might lead to an offer being made for the company; - represents a premium of approximately 14 per cent over the middle-market closing price of 478p per Brands Hatch Share on 21 October 1999, the day immediately before the start of the Offer Period; - values the existing issued share capital of Brands Hatch at approximately £120 million; and - represents a multiple of 37.4 times Brands Hatch's basic earnings per share for the year ended 31 December 1999. Brands Hatch Shares will be acquired by Interpublic under the Offer fully paid and free from all liens, equities, charges, encumbrances and other interests of any nature and together with all rights attaching to them from 9 November 1999, including the right to receive and retain all dividends and other distributions declared, made or paid on or after 9 November 1999. The Offer extends to Brands Hatch Shares which are unconditionally allotted or issued while the Offer remains open for acceptance (or, subject to the City Code, until such earlier date as Interpublic may decide) including any Brands Hatch Shares unconditionally allotted or issued pursuant to the exercise of Options under the Brands Hatch Share Option Schemes or otherwise. The financial effects of acceptance are set out in Appendix I. 3. Dealing facility The New Interpublic Common Stock will be traded on the New York Stock Exchange but will not be listed or traded on the London Stock Exchange. Since Brands Hatch Shareholders may not be able to deal easily or economically in the US market, a dealing facility has been established utilising the services of Charles Schwab Europe Limited and Durlacher Limited. This arrangement will enable Brands Hatch Shareholders who wish to sell their New Interpublic Common Stock to deal at a competitive rate of commission. 4. Irrevocable undertakings An irrevocable undertaking to accept the Offer has been received by Interpublic from Awak Limited, a company owned by the J.G. Foulston Children's Settlement Trust, in respect of 6,519,015 Brands Hatch Shares (representing approximately 29.8 per cent of Brands Hatch's entire issued share capital). The J.G. Foulston Children's Settlement Trust is a trust settled by the late John Foulston for the benefit of his children. Irrevocable undertakings to accept the Offer have been received by Interpublic from Nicola Foulston and from Sir Rodney Walker and Roger North, non-executive directors of Brands Hatch, in respect of an aggregate of 54,789 Brands Hatch Shares (representing approximately 0.25 per cent of Brands Hatch's entire issued share capital). Interpublic has also received an irrevocable undertaking from Robert Bain, a director of Brands Hatch, that, if he exercises any of his Options, he will accept the Offer in respect of all Brands Hatch Shares issued to him on exercise. Robert Bain has Options over 200,000 Brands Hatch Shares. All of these irrevocable undertakings will cease to be binding if a third party makes a competing offer in cash in excess of the value of the Offer. 5. Background to, and reasons for, the Offer The boards of Interpublic and Brands Hatch believe that the merger of Interpublic and Brands Hatch represents an important opportunity for their respective businesses. The board of Brands Hatch believes that: - Brands Hatch Shareholders will achieve an uplift in capital value and a significant improvement in liquidity by exchanging their Brands Hatch Shares for New Interpublic Common Stock; - the merger with Interpublic and Octagon, Interpublic's sports marketing and entertainment division, will provide Brands Hatch with the financial and operational resources to exploit strategic opportunities and expand its venues and venue promotion activities without the funding constraints to which it is currently subject; - the merger with Interpublic and Octagon will allow Brands Hatch to expand its motorsport event promotion and leisure venue operation services using the international network and series management expertise of Octagon; and - the Brands Hatch business, which is marketing-led, will benefit from becoming part of one of the largest advertising and marketing communications groups in the world and Brands Hatch's position as a leading promoter of motorsport events, as well as an operator of leisure venues, in the United Kingdom will be enhanced, improving its ability to serve global clients and providing better career opportunities for staff. The board of Interpublic believes that the merger with Brands Hatch will: - mark the continuation of Interpublic's successful growth strategy to build incremental revenue streams through diversification, as the combination of Brands Hatch and Octagon will result in a multinational sports and event group with more than 40 offices in 17 countries, making it one of the largest multinational sports marketing and entertainment organisations in the world; - establish Octagon as a leading operator in the fast growing motorsport event promotion and venue management industry; - provide Octagon with racing circuit and motorsports venue management skills to add to its series ownership, a powerful combination leading to strategic and revenue- enhancing benefits; and - complement Octagon's multinational business base and provide additional proven management strength in sports marketing and entertainment. 6. Information relating to Interpublic Interpublic is one of the largest advertising and marketing communications groups in the world. The Interpublic Group employs more than 34,000 people and conducts business in 120 countries worldwide. Interpublic's primary holdings include two wholly-owned global advertising agency networks, McCann Erickson WorldGroup and The Lowe Group, which includes Lowe Lintas & Partners Worldwide, as well as four specialised communication services units, Western Initiative Media Worldwide, Draft Worldwide, International Public Relations, Octagon and other related companies. The advertising agency business is the primary business of Interpublic. This business is conducted throughout the world through McCann-Erickson WorldGroup and The Lowe Group. Interpublic also carries on a media-buying business through its ownership of Western Initiative Media Worldwide and its affiliates, a direct and promotional marketing business through its ownership of Draft Worldwide, a global public relations business through its ownership of International Public Relations and a multinational sports and entertainment marketing business through its ownership of Octagon. Other activities conducted by Interpublic within the area of 'marketing communications' include brand equity and corporate identity services, graphic design and interactive services, management consulting and market research, sales meetings and events, sales promotion and other related specialised marketing and communications services. Octagon was formed in 1997 following the acquisition by Interpublic of two leading global sports marketing companies, Advantage International and API. It was launched with the intention of creating an international group involved in all aspects of global sports and entertainment marketing. Octagon operates in the following areas: athlete representation, consultancy, event management, property representation, television rights sales and distribution, television production and archive, rights ownership and licensing and merchandising. Octagon ranks among the top three sports marketing agencies in the world with over 800 employees in 17 countries around the world. Interpublic Common Stock is traded on the New York Stock Exchange. Based on the closing price of $391/8 per share of Interpublic Common Stock on 8 November 1999 (being the latest practicable date prior to the release of this announcement), Interpublic had a market value of approximately $11.0 billion. For the year ended 31 December 1998, Interpublic reported net income of $309.9 million (1997: $200.4 million) on gross income of $4.0 billion (1997: $3.5 billion), reported net income per share of $1.14 (1997: $0.77) and paid dividends of $0.29 per share (1997: $0.25). As at 31 December 1998, Interpublic reported gross assets of $6.9 billion (1997: $6.0 billion). For the six months ended 30 June 1999, Interpublic reported net income of $184.2 million (1998: $156.3 million) on gross income of $2.1 billion (1998: $1.9 billion) and reported net income per share of $0.67 (1998: $0.58). As at 30 June 1999, Interpublic reported gross assets of $7.7 billion (1998: $6.3 billion). For the nine months ended 30 September 1999, Interpublic reported net income of $243 million (1998: $203 million) on gross income of $3.1 billion (1998: $2.8 billion) and reported net income per share of $0.89 (1998: $0.75). 7. Information relating to Brands Hatch Brands Hatch is the largest single organiser and promoter of motorsport events in the United Kingdom, owning and operating four motorsport circuits at Brands Hatch, Oulton Park, Snetterton and Cadwell Park. Over the past ten years it has organised and promoted an average of over 150 motorsports events each year. Brands Hatch also operates a successful motorsport leisure business, which offers a wide range of activities including motor racing and rally schools, corporate entertainment days, testing and track- hire, supported by its own catering and merchandising operation. Earlier this year Brands Hatch expanded its leisure operations with the acquisition of the Rebel Group, a karting group whose venues are branded Daytona. For the year ended 31 December 1998, Brands Hatch reported operating profit of £5.06 million (1997: £4.01 million) on turnover of £19.33 million (1997: £16.01 million), reported earnings per share of 14.6p (1997: 11.1p) and paid dividends of 4.0p per share (1997: 3.7p). As at 31 December 1998, Brands Hatch reported net assets of £33.96 million (1997: £18.18 million). For the six months ended 30 June 1999, Brands Hatch reported operating profit of £2.36 million (1998: £2.00 million) on turnover of £10.41 million (1998: £8.32 million) and reported earnings per share of 6.6p (1998: 5.5p). As at 30 June 1999, Brands Hatch reported net assets of £35.40 million (1998: £19.39 million). 8. Accounting treatment Pooling of interests It is a condition of the Offer that Interpublic receives a letter from PricewaterhouseCoopers LLP, Interpublic's auditors, dated as of the date on which the Offer becomes or is declared unconditional in all respects (equivalent to the consummation of the transaction under US law), confirming that they concur with Interpublic management's conclusion that the acquisition of Brands Hatch may be accounted for as a pooling of interests under US GAAP. PricewaterhouseCoopers LLP has confirmed to Interpublic that they are not currently aware of any information which would contradict Interpublic management's current conclusion that the acquisition of Brands Hatch may be accounted for as a pooling of interests under US GAAP. Affiliate agreements In connection with the intended treatment of the acquisition of Brands Hatch by Interpublic as a pooling of interests for accounting purposes, certain directors and shareholders of Brands Hatch have agreed not to sell, transfer or otherwise dispose of, or reduce their risk relative to, any New Interpublic Common Stock or Brands Hatch Shares during the period commencing 30 days before the consummation of the transaction until the date that Interpublic notifies the director or shareholder that it has published financial results covering at least 30 days of combined operations of Brands Hatch and Interpublic following the consummation of the transaction. Assuming that the Offer becomes or is declared wholly conditional on or before 1 December 1999, it is expected that such notification will be given in February 2000 when Interpublic expects to publish its results for the year ending 31 December 1999. 9. Compulsory acquisition and delisting If all the Conditions are satisfied or (to the extent permitted) waived and Interpublic has acquired, or agreed to acquire, pursuant to the Offer or otherwise, at least 90 per cent in nominal value of the Brands Hatch Shares to which the Offer relates (as defined in the Acceptance Condition), Interpublic intends to apply the Compulsory Acquisition Procedures to acquire any outstanding Brands Hatch Shares on the same terms as the Offer. If the Brands Hatch Shares become subject to the Compulsory Acquisition Procedures in this manner, Interpublic intends (subject to applicable requirements of the London Stock Exchange) that Brands Hatch should apply to the London Stock Exchange for the cancellation of the listing of the Brands Hatch Shares (if it has not already done so). 10. New Interpublic Common Stock The New Interpublic Common Stock will rank pari passu in all respects with the existing Interpublic Common Stock, including the right to any dividends and other distributions declared, paid or made after the date on which the Offer becomes or is declared unconditional in all respects. For the avoidance of doubt, Brands Hatch Shareholders will not be entitled to Interpublic's quarterly dividend of 81/2 cents per share payable to Interpublic Stockholders of record on 29 November 1999. The New Interpublic Common Stock will be delivered in accordance with the terms of the Offer without regard to any lien, right of set-off, counterclaim or other analogous rights to which Interpublic may otherwise be, or claim to be, entitled against Brands Hatch Shareholders. 11. Board, management and employees Interpublic has assured the board of Brands Hatch that the existing employment rights of employees of Brands Hatch and its subsidiaries, including pension rights, will be fully safeguarded. It is intended that Nicola Foulston, Chief Executive of Brands Hatch, will join the management board of Octagon. 12. Brands Hatch Share Option Schemes The Offer will extend to any Brands Hatch Shares which are unconditionally allotted or issued while the Offer remains open for acceptance (or, subject to the City Code, until such earlier date as Interpublic may decide), including Brands Hatch Shares unconditionally allotted or issued pursuant to the exercise of Options under the Brands Hatch Share Option Schemes. If the Offer becomes or is declared unconditional in all respects, all outstanding Options will become exercisable at that time. Optionholders may then exercise their Options and either sell their Brands Hatch Shares in the market (to the extent that a market in Brands Hatch Shares exists at that time) or accept the Offer. A letter explaining these alternatives will be sent to Optionholders at that time. 13. Recommendation The directors of Brands Hatch, who have been so advised by Pannell Kerr Forster, consider the terms of the Offer to be fair and reasonable. In providing advice to the directors of Brands Hatch, Pannell Kerr Forster has taken into account the commercial assessments of the directors of Brands Hatch. Accordingly, the directors of Brands Hatch unanimously recommend that Brands Hatch Shareholders accept the Offer, as they have each irrevocably undertaken to do in respect of their own beneficial shareholdings and those of certain persons connected with them amounting to 6,573,804 Brands Hatch Shares, which represent approximately 30.0 per cent in aggregate of the Brands Hatch Shares. 14. Formal documentation The formal documentation relating to the Offer is being sent to Brands Hatch Shareholders today. The Offer Document specifies the actions that should be taken by Brands Hatch Shareholders. 15. General The Offer will be subject to the Conditions set out in Appendix II to this announcement and to such other terms to be set out in the Offer Document as may be required to comply with the Companies Act and the provisions of the City Code. Persons not resident in the United Kingdom may be affected by the laws of the relevant jurisdiction. Persons who are not resident in the United Kingdom should inform themselves about and observe any applicable requirements. If the Offer becomes or is declared unconditional in all respects, fractions of shares of Interpublic Common Stock will not be issued to accepting Brands Hatch Shareholders who will instead receive from Interpublic an amount in cash in lieu of any entitlements to a fraction of a share of Interpublic Common Stock. However, individual entitlements of less than £3.00 will not be paid to Brands Hatch Shareholders but will be retained for the benefit of the Enlarged Interpublic Group. Definitions of certain expressions used in this announcement are set out in Appendix III. This announcement contains forward-looking statements including with respect to the consummation of the Offer, the integration of services and opportunities related to the Offer. As such statements apply to future events, they are subject to risks and uncertainties which may cause the actual results to differ materially, including, without limitation, the risk that the Offer will not be consummated, integration risks related to the Offer and the risk that the anticipated benefits of the Offer will not be realised. This announcement has been approved by PricewaterhouseCoopers as an investment advertisement solely for the purposes of Section 57 of the UK Financial Services Act 1986. PricewaterhouseCoopers, which is authorised to carry on investment business by The Institute of Chartered Accountants in England and Wales, is acting exclusively for Interpublic and no one else in connection with the Offer and will not be responsible to anyone other than Interpublic for providing the protections afforded to clients of PricewaterhouseCoopers nor for giving advice in relation to the Offer. Pannell Kerr Forster, which is authorised to carry on investment business by The Institute of Chartered Accountants in England and Wales, is acting exclusively for Brands Hatch and no one else in connection with the Offer and will not be responsible to anyone other than Brands Hatch for providing the protections afforded to clients of Pannell Kerr Forster nor for providing advice in relation to the Offer. This announcement does not constitute an offer or an invitation to purchase any securities. Copies of this announcement are not being, and must not be, mailed or otherwise distributed or sent in or into the United States, Canada, Australia or Japan and persons receiving this announcement (including custodians, nominees and trustees) must not distribute or send it into or from the United States, Canada, Australia or Japan. 9 November 1999 Appendix I Financial effects of acceptance The following tables set out, for illustrative purposes only and on the bases and assumptions set out below, the financial effects of acceptance on capital value and income for a holder of 100 Brands Hatch Shares accepting the Offer if the Offer becomes or is declared unconditional in all respects: (a) Capital value(1) A B Sterling equivalent value of 22.67 shares of New Interpublic Common Stock(2) £546.19 £546.19 Market value of 100 Brands Hatch Shares(3) £401.98 £478.00 Increase in value £144.21 £68.19 Percentage increase 35.9% 14.3% Notes: (1) No account has been taken of any liability to taxation or for the treatment of fractional entitlements to Interpublic Common Stock. The New Interpublic Common Stock will not include Interpublic's quarterly dividend of 81/2 cents per share payable to Interpublic Stockholders of record on 29 November 1999. (2) The sterling equivalent value of New Interpublic Common Stock is based on the closing price of $39 1/8 per share of Interpublic Common Stock on the New York Stock Exchange on 8 November 1999 (being the latest practicable date prior to the release of this announcement) and using the Illustrative Exchange Rate. (3) The market value of Brands Hatch Shares is based, in column A, on the average middle-market closing price of 401.98p per Brands Hatch Share for the 30 dealing days prior to 22 October 1999, the date on which Brands Hatch announced that it had received an approach that might lead to an offer being made for the company, and, in column B, on the middle-market closing price of 478p per Brands Hatch Share on 21 October 1999, the day immediately before the start of the Offer Period. (b) Income(1) Dividend income from 100 Brands Hatch Shares(2) £4.00 Dividend income from 22.67 shares of New Interpublic Common Stock (3) £4.30 Increase in dividend income £0.30 Percentage increase 7.5% Notes: (1) No account has been taken of any liability to taxation of income. (2) Being the 4.0 pence (net) final dividend for the financial year ended 31 December 1998 (no interim dividend was declared for the financial year ending 31 December 1999). (3) Based on aggregate dividends of 31.0 cents, being the four quarterly dividends of $0.075, $0.075, $0.075 and $0.085 in respect of the three month periods ended 30 September 1998, 31 December 1998, 31 March 1999 and 30 June 1999, respectively, converted at exchange rates of £1.00 for $1.6989, $1.6580, $1.6143 and $1.5753, respectively, being the US dollar to pound sterling spot exchange rate in respect of the relevant period end date. Appendix II Conditions of the offer The Offer is governed by English law and is subject to the following Conditions: (a) valid acceptances being received (and not, where permitted, withdrawn) by not later than the Initial Closing Date in respect of not less than 90 per cent (or such lower percentage as Interpublic may decide) of the Brands Hatch Shares to which the Offer relates and Interpublic (together with any of its wholly owned subsidiaries) having acquired or agreed to acquire (pursuant to the Offer or otherwise) Brands Hatch Shares carrying in aggregate more than 50 per cent of the votes then normally exercisable at a general meeting of Brands Hatch. For the purposes of this Condition: (i) the expression 'Brands Hatch Shares to which the Offer relates' is to be construed in accordance with Sections 428 to 430F of the Companies Act; and (ii) Brands Hatch Shares which have been unconditionally allotted but not issued are deemed to carry the voting rights which they will carry on being entered in the register of members of Brands Hatch; (b) the Registration Statement, and any post-effective amendments thereto, having become effective under the Securities Act and no stop order suspending the effectiveness of such registration statement or any part thereof having been issued and no proceeding for that purpose having been initiated or threatened by the SEC; (c) Interpublic having received a letter from PricewaterhouseCoopers LLP, dated as of the date on which the Offer becomes or is declared unconditional in all respects, confirming their concurrence with Interpublic management's conclusion that the acquisition of Brands Hatch may be accounted for as a pooling of interests under US GAAP; (d) no Authority having, before the date when the Offer otherwise becomes unconditional in all respects, intervened in a manner which would or might reasonably be expected to: (i) make the Offer, its implementation or the acquisition or proposed acquisition of any or all Brands Hatch Shares or of control of Brands Hatch by Interpublic or any member of the Wider Interpublic Group, void, illegal or unenforceable under the laws of any jurisdiction, in each case to a material extent; (ii) directly or indirectly restrict, restrain, prohibit, delay or otherwise interfere in the implementation of the Offer or the acquisition or proposed acquisition of any or all Brands Hatch Shares or of control of Brands Hatch by Interpublic or any member of the Wider Interpublic Group or impose additional conditions or obligations with respect to the Offer or otherwise challenge the Offer or such acquisition or proposed acquisition, in each case to a material extent; (iii) result, directly or indirectly, in a material delay in the ability of any member of the Wider Interpublic Group, or render any member of the Wider Interpublic Group unable, to acquire some or all of the Brands Hatch Shares; (iv) require, prevent or delay the divestiture by any member of the Wider Interpublic Group of any shares or other securities (or the equivalent) in Brands Hatch; (v) require, prevent or delay the divestiture by any member of the Wider Interpublic Group or by any member of the Wider Brands Hatch Group of all or any material part of their respective businesses, assets or properties or impose any limitation on the ability of any of them to conduct any of their respective businesses or own their respective assets or properties or any material part of them; (vi) impose any material limitation on, or result in a material delay in, the ability of any member of the Wider Interpublic Group or any member of the Wider Brands Hatch Group to acquire or to hold or exercise effectively, directly or indirectly, all or any rights of ownership in respect of shares or other securities (or the equivalent) in, or to exercise management control over, any member of the Wider Interpublic Group or any member of the Wider Brands Hatch Group respectively; (vii) save pursuant to the Offer or Part XIII A of the Companies Act, require any member of the Wider Interpublic Group or the Wider Brands Hatch Group to acquire, or to offer to acquire, any shares or other securities (or the equivalent) or interest in any member of the Wider Interpublic Group or any member of the Wider Brands Hatch Group owned by any third party, in each case to an extent which is material; (viii)impose any material limitation on the ability of any member of the Wider Interpublic Group or any member of the Wider Brands Hatch Group to integrate or co- ordinate its business, or any part of it, with all or any part of the businesses of any other member of the Wider Interpublic Group or any member of the Wider Brands Hatch Group; (ix) result in any member of the Wider Interpublic Group or any member of the Wider Brands Hatch Group ceasing to be able to carry on business under any name under which it presently does so, in each case to an extent which is material; or (x) otherwise adversely affect any or all of the businesses, assets, profits or prospects of any member of the Wider Interpublic Group or any member of the Wider Brands Hatch Group, in each case to an extent which is material in the context of the relevant group taken as a whole; and all applicable waiting and other time periods (including any extensions of these) during which any Authority could intervene under the laws of any jurisdiction having expired, lapsed or been terminated; (e) save as disclosed in the Annual Report and Accounts of Brands Hatch or as disclosed in the interim statement of Brands Hatch for the six months ended 30 June 1999 or as otherwise publicly announced in accordance with the Listing Rules by Brands Hatch before 9 November 1999 or as disclosed to Interpublic or its advisers before 9 November 1999, no member of the Wider Brands Hatch Group having (since 31 December 1998): (i) recommended, declared, paid or made or proposed to recommend, declare, pay or make, any dividend, bonus or other distribution (payable in cash or otherwise) other than to Brands Hatch (or wholly-owned subsidiaries of Brands Hatch); (ii) issued or agreed to, authorised, proposed or announced an intention to authorise or propose, the issue or grant of, additional shares of any class or securities convertible into shares of any class or rights, warrants or options to subscribe for or acquire, shares of any class or securities into shares of any class (save as between Brands Hatch and wholly-owned subsidiaries of Brands Hatch and save for Options granted, and the issue of shares pursuant to the exercise of Options granted, before 9 November 1999); (iii) issued or agreed to, authorised, proposed or announced an intention to authorise or propose, the issue of, any debentures or incurred or increased any indebtedness or contingent liability (save as between Brands Hatch and wholly owned subsidiaries of Brands Hatch); (iv) merged with or demerged or acquired or disposed of any body corporate or authorised, proposed or announced an intention to authorise or propose the merger, acquisition, demerger or transfer of any asset of material value or any right, title or interest in any material asset (including, without limitation, shares and trade investments), save as between Brands Hatch and its wholly-owned subsidiaries and to an extent which is material in the context of the Wider Brands Hatch Group taken as a whole; (v) made, proposed, authorised or announced an intention to make, propose or authorise, any change in its share or (save as between Brands Hatch and its wholly-owned subsidiaries) loan capital, save for any shares allotted pursuant to the exercise of Options granted before 9 November 1999; (vi) without limitation to paragraph (e)(v) of this Part A of Appendix I, purchased, redeemed or repaid or proposed the purchase, redemption or repayment of any of, its own shares or other securities (or equivalent) or reduced or made any other change to any part of its share capital which is in any such case material (save as between Brands Hatch and its wholly owned subsidiaries); (vii) entered into, varied, authorised, proposed or announced its intention to enter into or vary any contract, transaction, arrangement or commitment (in respect of capital expenditure or otherwise) which: (aa) is of a loss making, long-term, onerous or unusual nature or magnitude; (bb) would be restrictive on the business of any member of the Wider Brands Hatch Group or any member of the Wider Interpublic Group; or (cc) involves or could involve an obligation which is of a loss making, long term, onerous or unusual nature or magnitude or could be restrictive on the business of any member of the Wider Brands Hatch Group or any member of the Wider Interpublic Group; (viii)mortgaged, charged, encumbered or created any other security interest over any material right, title or interest in the whole or any part of the business, property or assets of any member of the Wider Brands Hatch Group; (ix) entered into or varied or made any offer (which remains open for acceptance) to enter into or vary the terms of any agreement, arrangement or commitment with any of the directors, officers or employees of any member of the Wider Brands Hatch Group or increased in any manner the compensation or benefits of any director, officer or employee of any member of the Wider Brands Hatch Group, in each case to an extent which is material; (x) taken or proposed any corporate action or had any legal proceedings instituted or threatened or petition presented for its winding-up (voluntarily or otherwise), dissolution or reorganisation or for the appointment of a receiver, administrator, administrative receiver, trustee or similar officer of all or any of its assets and revenues or for any analogous proceedings or steps in any jurisdiction or for the appointment of any analogous person in any jurisdiction; (xi) been unable or admitted in writing that it is unable to pay its debts or having stopped or suspended (or threatened to stop or suspend) payment of its debts generally or ceased or threatened to cease carrying on all or a substantial part of its business; (xii) made any alteration to its memorandum and articles of association or any other incorporation documents; (xiii)waived, compromised or settled any material claim; or (xiv) entered into any agreement, arrangement or commitment or passed any resolution or made any offer (which remains open for acceptance) or announced any proposal or intention with respect to any of the transactions, matters or events referred to in this paragraph (e). (f) save as disclosed in the Annual Report and Accounts of Brands Hatch or as disclosed in the interim statement of Brands Hatch for the six months ended on 30 June 1999 or as otherwise publicly announced by Brands Hatch in accordance with the Listing Rules before 9 November 1999 or as disclosed to Interpublic or its advisers before 9 November 1999 and since 31 December 1998: (i) there having been no adverse material change or deterioration of the business, assets, financial or trading position or profits or prospects of the Wider Brands Hatch Group taken as a whole; (ii) no litigation or arbitration proceedings, prosecution or other legal proceedings having been instituted, threatened, announced, intimated or remaining outstanding to which any member of the Wider Brands Hatch Group is or may become a party (as claimant or defendant or otherwise); (iii) no enquiry or investigation by or complaint or reference to any Authority (save as a result of the Offer) having been instituted, threatened, announced by or against or remaining outstanding in respect of any member of the Wider Brands Hatch Group which in any of those cases might have a materially adverse effect on the Wider Brands Hatch Group taken as a whole; or (iv) no contingent or other liability having arisen or become apparent or increased which might be likely to have a materially adverse effect on the Wider Brands Hatch Group taken as a whole; (g) save as disclosed to Interpublic or any of its advisers before 9 November 1999, there being no provision of any Instrument to which any member of the Wider Brands Hatch Group is a party or by or to which any member of the Wider Brands Hatch Group or any of its assets may be bound, entitled or subject or any circumstance, which could, as a consequence of the making of the Offer or the acquisition or proposed acquisition by Interpublic of the share capital of Brands Hatch or any part of it or a change in the control or management of any member of the Wider Brands Hatch Group or otherwise, result in: (i) any monies borrowed by, or any other indebtedness or liabilities (actual or contingent) of, or grant available to, any member of the Wider Brands Hatch Group being or becoming repayable or capable of being declared repayable, immediately or before the stated repayment date in the relevant Instrument, or the ability of any member of the Wider Brands Hatch Group to borrow monies or incur any indebtedness being withdrawn or inhibited or becoming capable of being withdrawn or inhibited; (ii) the creation or enforcement of any mortgage, charge or other security interest on or in relation to the whole or any part of the business, property, assets or interests of any member of the Wider Brands Hatch Group or any mortgage, charge or other security interest (whenever arising or having arisen) becoming enforceable; (iii) any Instrument or the rights, liabilities, obligations or interests of any member of the Wider Brands Hatch Group arising under any Instrument being, or becoming capable of being, terminated or adversely modified or affected or any adverse action being taken or any obligation or liability arising under any Instrument; (iv) any interest, assets or property of any member of the Wider Brands Hatch Group being or becoming capable of being required to be disposed of or charged otherwise than in the ordinary course of business; (v) the rights, liabilities, obligations interests or business of any member of the Wider Brands Hatch Group in or with any other venture, person, firm, company or body, or any arrangements relating to those interests or that business, being terminated, adversely modified or affected; (vi) any member of the Wider Brands Hatch Group ceasing to be able to carry on business under any name under which it presently does so; (vii) the respective value, or the financial or trading position, profit or prospects of any member of the Wider Brands Hatch Group being adversely affected; or (viii)the creation of any liabilities (actual or contingent) by any member of the Wider Brands Hatch Group, otherwise than in the ordinary course of business; (in any case to an extent which is material in the context of the Wider Brands Hatch Group taken as a whole) and no event having occurred which, under any provision of any Instrument to which any member of the Wider Brands Hatch Group is a party, or to which any member of the Wider Brands Hatch Group or any of its assets may be bound, entitled or subject, could result in any of the events or circumstances referred to in this paragraph (g); and (h) Interpublic not having discovered, after 8 November 1999, that: (i) any financial, business or other information concerning the Wider Brands Hatch Group disclosed at any time by or on behalf of any member of the Wider Brands Hatch Group (publicly, to any member of the Wider Interpublic Group or otherwise) is misleading or contains a misrepresentation of fact or omits to state a fact necessary to make any information contained in it not misleading in any case which has not been corrected by any subsequent public announcement before 9 November 1999 and which is material in the context of the Wider Brands Hatch Group taken as a whole; (ii) any member of the Wider Brands Hatch Group will, or is likely to, be adversely affected by any failure of any computer hardware, software or embedded chip technology relied on by any member of the Wider Brands Hatch Group to be Year 2000 Compliant or by the cost or disruption to normal activities caused by work carried out or to be carried out to ensure that the relevant computer hardware, software or embedded chip technology is Year 2000 Compliant; (iii) any member of the Wider Brands Hatch Group or partnership, company or other entity in which any member of the Wider Brands Hatch Group has an interest and which is not a subsidiary undertaking of Brands Hatch, is subject to any liability, contingent or otherwise, which is not disclosed in the Annual Report and Accounts of Brands Hatch or in the interim statement of Brands Hatch for the six months ended 30 June 1999 or has not otherwise been disclosed to Interpublic or publicly announced by Brands Hatch in accordance with the Listing Rules before 9 November 1999 which is material in the context of the Wider Brands Hatch Group taken as a whole; (iv) any past or present member of the Wider Brands Hatch Group has not complied with all applicable legislation or regulations in any jurisdiction or any contractual term or arrangement with regard to the storage, disposal, discharge, spillage, leak or emission of any waste or hazardous substances or any substance likely to impair the environment or harm human health, or otherwise relating to environmental matters, or that there has otherwise been such disposal, discharge, spillage, leak or emission (whether or not the same constituted a noncompliance by any person with any such legislation or regulations or contractual term or arrangement and wherever the same may have taken place) which would or might give rise to any liability for cost (actual, prospective or contingent) on the part of any member of the Wider Brands Hatch Group which is material in the context of the Wider Brands Hatch Group taken as a whole; (v) (aa) there has been, or is likely to be, a disposal, discharge, spillage or leak of waste or hazardous substances or any substance likely to impair the environment or harm human health, on; or (bb) there has been, or is likely to be, an emission of waste or hazardous substances or any substance likely to impair the environment or harm human health, from; any property now or previously owned, occupied or made use of by any past or present member of the Wider Brands Hatch Group or in which any past or present member of the Wider Brands Hatch Group may have or previously have had or be deemed to have or to have had an interest under any environmental legislation, regulation, notice, circular or order of any Authority or otherwise which would be likely to give rise to any liability (actual, prospective or contingent) on the part of any member of the Wider Brands Hatch Group; (vi) there is, or is likely to be, any liability (actual, prospective or contingent) or requirement to make good, repair, reinstate or clean up any property now or previously owned, occupied or made use of by any past or present member of the Wider Brands Hatch Group or in which any member of the Wider Brands Hatch Group may have or previously have had or be deemed to have or to have had an interest under any statute, regulation, notice, circular, order or decision of any Authority or otherwise; or (vii) circumstances exist (as a result of the making of the Offer or otherwise): (aa) which would be likely to lead to any Authority instituting; or (bb) in which any member of the Wider Interpublic Group or any present or past member of the Wider Brands Hatch Group would be likely to be required to institute; any environmental audit or take any other steps which would in any case be likely to result in any actual, prospective or contingent liability to make good, repair, reinstate or clean up any property now or previously owned, occupied or made use of by any past or present member of the Wider Brands Hatch Group or in which any member of the Wider Brands Hatch Group may have or previously have had or be deemed to have or to have had an interest under any statute, regulation, notice, circular, order or decision of any Authority or otherwise. For the purposes of these Conditions: (1) 'Authority' means any government, government department or governmental, quasi-governmental, state or local government, supranational, statutory, regulatory, administrative or investigative body, authority (including any national antitrust or merger control authorities), court, trade agency, association, institution or professional or environmental body or any other person or body in any jurisdiction; (2) an Authority shall be regarded as having 'intervened' if it has decided to take, institute, implement or threaten any action, proceedings, suit, investigation, inquiry or reference or made, proposed or enacted any statute, regulation, decision or order or taken any measures or other steps or required any action to be taken or information to be provided or otherwise having done anything and 'intervene' is to be construed accordingly; and (3) 'Instrument' means any arrangement, agreement, lease, licence, permit, franchise or other instrument. Interpublic may waive in whole or in part all or any of the Conditions, except the Acceptance Condition and Condition (b). Interpublic will not invoke any of the Conditions (e) to (h) (inclusive) in relation to circumstances which would otherwise give rise to the right to invoke any of these Conditions where there has been fair disclosure of the relevant circumstances to Interpublic or its advisers by or on behalf of Brands Hatch before 9 November 1999. Conditions (b) to (d) must be satisfied or (to the extent permitted) waived by midnight (London time) on 21 December 1999 or, if later, by midnight on the 21st day after the date on which the Acceptance Condition is fulfilled or is declared fulfilled (or in each case, any later date as the Panel may agree), failing which the Offer will lapse. Interpublic will not be obliged to waive (to the extent permitted) or treat as satisfied any of Conditions (b) to (d) before the latest date specified in this paragraph for the satisfaction of these Conditions even if the other Conditions of the Offer may have already been waived or satisfied and there are no circumstances indicating that any of Conditions (b) to (d) may not be capable of satisfaction. If Interpublic is required by the Panel to make an offer or offers for Brands Hatch Shares under Rule 9 of the City Code, Interpublic may make those alterations to the terms and Conditions of the Offer, including to the Acceptance Condition, as may be necessary to comply with that Rule. Unless the Panel agrees otherwise the Offer will lapse if: (a) it is referred to the UK Competition Commission by the UK Secretary of State for Trade and Industry; or (b) the European Commission either initiates proceedings under Article 6(1)(c) of the Council Regulation or makes a referral to a competent authority of the United Kingdom under Article 9(1) of the Council Regulation and there is a subsequent reference to the UK Competition Commission; in each case, before 3.00 pm on 30 November 1999 or the date when the Offer becomes or is declared unconditional as to acceptances, whichever is the later. If the Offer lapses, the Offer will cease to be capable of further acceptance and Brands Hatch Shareholders accepting the Offer and Interpublic will immediately cease to be bound by acceptances delivered on or before the date on which the Offer lapses. Appendix III Definitions The following definitions apply throughout this announcement, unless the context requires otherwise: 'Acceptance Condition' means the Condition set out in paragraph (a) of Appendix II; 'Annual Report and means the annual report and audited Accounts of Brands accounts of the Brands Hatch Group Hatch' for the year ended 31 December 1998; 'Brands Hatch' means Brands Hatch Leisure PLC; 'Brands Hatch Group' means Brands Hatch and its subsidiary undertakings; 'Brands Hatch Share means the Brands Hatch Approved Option Schemes' Executive Share Option Scheme and the Brands Hatch Unapproved Executive Share Option Scheme; 'Brands Hatch means holders of Brands Hatch Shareholders' Shares; 'Brands Hatch Shares' means ordinary shares of 25p each in the capital of Brands Hatch; 'City Code' means the City Code on Takeovers and Mergers; 'Companies Act' means the Companies Act 1985 of Great Britain; 'Compulsory Acquisition means the compulsory acquisition Procedures' procedures set out in Sections 428 to 430F of the Companies Act; 'Conditions' means the conditions of the Offer set out in Appendix II and 'Condition' means any one of them; 'Council Regulation' means Council Regulation (EEC) 4064/89; 'Enlarged Interpublic means the Interpublic Group Group' following the acquisition of Brands Hatch pursuant to the Offer; 'Illustrative Exchange means $1.6239: £1.00, being the mid- Rate' point of the closing spread of the dollar to sterling spot rate, as shown in the Financial Times (UK edition) on 8 November 1999 (being the latest practicable date prior to the release of this announcement); 'Initial Closing Date' means 3.00 pm (London time) on 30 November 1999, unless and until Interpublic in its discretion extends the Offer, in which case the term 'Initial Closing Date' means the latest time and date at which the Offer, as so extended by Interpublic, will expire; 'Initial Offer Period' means the period from the date of the Offer Document to and including the Initial Closing Date; 'Interpublic' means The Interpublic Group of Companies, Inc.; 'Interpublic Common means common stock of $0.10 each in Stock' the share capital of Interpublic; 'Interpublic Group' means Interpublic and its subsidiary undertakings; 'Interpublic means holders of Interpublic Common Stockholders' Stock; 'Listing Rules' means rules made by the London Stock Exchange under the authority of the UK Financial Services Act 1986 relating to the admission of securities to the Official List and the continuing obligations of listed companies; 'London Stock Exchange' means London Stock Exchange Limited; 'New Interpublic Common means Interpublic Common Stock to Stock' be delivered pursuant to the Offer; 'Octagon' means the sports marketing and entertainment division of Interpublic; 'Offer' means the recommended offer to be made by Interpublic to acquire all the issued and to be issued Brands Hatch Shares on the terms and subject to the Conditions set out in the Offer Document including, where the context so requires, any subsequent revision, variation, extension or renewal of that offer; 'Offer Document' means the document being posted today to Brands Hatch Shareholders and any other document containing the Offer; 'Offer Period' means, in relation to the Offer, the period commencing on 22 October 1999 until the end of the Initial Offer Period; 'Official List' means the Daily Official List of the London Stock Exchange; 'Optionholders' means holders of Options; 'Options' means options granted pursuant to the terms of the Brands Hatch Share Option Schemes; 'Panel' means the Panel on Takeovers and Mergers; 'Pannell Kerr Forster' means Pannell Kerr Forster, a firm which has provided independent financial advice to the board of Brands Hatch for the purposes of Rule 3.1 of the City Code; 'PricewaterhouseCoopers' means PricewaterhouseCoopers, the financial adviser to Interpublic for the purposes of the City Code and for the purposes of approving this announcement as an investment advertisement in accordance with Section 57 of the UK Financial Services Act 1986; 'PricewaterhouseCoopers means PricewaterhouseCoopers LLP, LLP' independent public accountants to Interpublic; 'Registration means the Registration Statement on Statement' Form S-4 relating to the Offer and filed by Interpublic with the SEC under the Securities Act; 'SEC' means the United States Securities and Exchange Commission; 'Securities Act' means the United States Securities Act of 1933 and the rules thereunder; 'UK' or 'United Kingdom' means the United Kingdom of Great Britain and Northern Ireland; 'US', 'USA' or 'United means the United States of America, States' its territories and possessions, any State of the United States of America and the District of Columbia; 'Wider Brands Hatch means the Brands Hatch Group and Group' associated undertakings and any other body corporate, partnership, joint venture or person in which Brands Hatch and those undertakings (aggregating their interests) have an interest of more than 20 per cent of the voting or equity capital or the equivalent; 'Wider Interpublic means the Interpublic Group and Group' associated undertakings and any other body corporate, partnership, joint venture or person in which Interpublic and those undertakings (aggregating their interests) have an interest of more than 20 per cent of the voting or equity capital or the equivalent; and 'Year 2000 Compliant' means complying with the year 2000 conformity requirements promulgated by the British Standards Institute whose definition is as follows: 'Year 2000 conformity shall mean that neither performance nor functionality is affected by dates before, during and after the year 2000. In particular: Rule 1 no value for current date will cause any interruption in operation; Rule 2 date-based functionality must behave consistently for dates before, during and after the year 2000; Rule 3 in all interfaces and data storage, the century in any date is specified either explicitly or by unambiguous algorithms or inferencing rules; and Rule 4 the year 2000 must be recognised as a leap year.'. For the purposes of this announcement, unless the context otherwise requires: (1) 'subsidiary', 'subsidiary undertaking', 'associated undertaking' and 'undertaking' have the respective meanings given by the Companies Act (but for this purpose ignoring paragraph 20(1)(b) of Schedule 4A of the Companies Act); (2) references to the singular include the plural and vice versa; (3) references to any appendix, paragraph and subdivisions of them are references to the appendices and paragraphs of this announcement and any subdivisions of them respectively; (4) references to any statute, regulation or provision thereof include a statute, regulation or provision thereof which amends, consolidates or replaces it whether before or after the date of this announcement; and (5) references to '$' are to US dollars and references to '£' and 'p' are to pounds sterling and pence, respectively.
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