Trading Statement

Carphone Warehouse Group PLC
18 January 2001



Thursday 18 January 2001

                       THE CARPHONE WAREHOUSE GROUP PLC

                       Third quarter trading statement

          Appointment of Sir Brian Pitman as non-executive director

The Carphone Warehouse Group PLC, Europe's largest independent retailer of
mobile communications services, today announces its third quarter trading
statement and the appointment of Sir Brian Pitman as non-executive director.

Trading Statement (13 weeks from 1 October 2000 to 30 December 2000)

  * Total Group sales grew by 98% to £335m and retail and online connection
    numbers grew

by 75% to 1, 216,000 compared to the corresponding period last year

  * 38% (455,000) of the connections were subscription customers
  * Retail gross margins continued to improve with a 1.5% increase compared
    to the corresponding period last year
  * Average revenue per connection continued in line with expectations
  * Store numbers increased from 1,009 to 1,078 (including 58 Tandy stores)
    across 15 markets
  * Telecoms Services base increased from 78,000 to 160,000
  * Mviva subscription numbers increased from 30,000 to 105,000

Christmas Trading (4 weeks to 30 December 2000)

  * Total Group sales for the 4 weeks to 30 December 2000 grew by 81% to £
    124m and retail and online connection numbers grew by 70% to 569,000
    compared to the corresponding period last year

All the above numbers exclude Tandy

Trading period for 2000 is 90 days (1999 is 88 days)

Charles Dunstone, Chairman and Chief Executive Officer said:

'We are delighted with our strong Q3 trading. We have continued to build
market share in key European markets. Effective management of our
relationships with network operators and equipment manufacturers, close
control of our stock levels and the increased scale of our European operations
have enabled us to increase retail gross margin by 1.5%.

'Whilst the UK remains our largest market, we are encouraged by the growth and
performance of our continental European businesses.

'In addition, our turnover mix remains positively skewed towards high value
subscription customers. In the UK we accounted for over 25% of the entire
subscription market for the period. This is testimony to the value of the
Group proposition to network operators and customers alike.

'We continue to believe that the increasing complexity of products as the
mobile data revolution evolves will support our core proposition of 'simple,
impartial advice.'

Telecoms and Wireless Internet Services

'We are delighted that the projections made for Telecom Services and Mviva at
the time of our IPO continue to be exceeded.'

Full Year Expectations

'We remain confident that we will achieve full year results in line with
market expectations.'

Appointment of Sir Brian Pitman

Sir Brian Pitman today joins the board of The Carphone Warehouse Group PLC
becoming the Group's fourth non-executive director.

Sir Brian is currently Chairman of Lloyds TSB Group PLC and Next Group PLC. He
is also non-executive director of Carlton Communications PLC and Tomkins Group
PLC.

Charles Dunstone said:

'I am delighted to welcome Sir Brian as a non-executive director. He brings
enormous experience of both running and advising PLC businesses and we look
forward to his contribution as The Carphone Warehouse continues its
development across Europe.'

Sir Brian Pitman said:

'The Carphone Warehouse has established a distinct position in its marketplace
and has demonstrated the ability to expand the brand across Europe. I have
great regard for the company and its management philosophy.'

Preliminary Results

The Carphone Warehouse Group PLC will be issuing its preliminary results on 29
May 2001.

Enquiries

The Carphone Warehouse Group PLC - 0208 896 5573

Charles Dunstone

David Ross

Roger Taylor

Tristia Clarke

www.carphonewarehouse.com

Citigate Dewe Rogerson - 0207 638 9571

Anthony Carlisle (0973 611 888)

Notes:


  * There are no other details required by paragraphs 6F.2(b) to (g) of the
    listing rules relating to Sir Brian Pitman which are required to be
    disclosed under paragraph 16.4 (b) of the Listing Rules

  * Current board members of The Carphone Warehouse Group PLC:


    Charles Dunstone, chairman and chief executive officer

    David Ross, chief operating officer

    Roger Taylor, chief financial officer

    Guy Johnson, group purchasing and logistics director

    Nigel Spray, managing director of wireless internet services

    Geoffroy Roux de Bezieux, managing director of southern european
    operations

    Sir Brian Pitman, non-executive director

    John Gildersleeve, non-executive director

    Des Wilson, non-executive director

    Adrian Martin, non-executive director

  * For further detail on The Carphone Warehouse please visit
    www.carphonewarehouse.com



 Sales comparison for 13 weeks ending 30 December 2000 / 1999
                  13 weeks ending 30 December 2000              13 weeks ending

                                              £000               1 January 2000

                                                                           £000
Distribution
  * Retail                                 183,815                      121,070

  * Online                                  10,639                        7,627

  * Insurance                               12,353                        5,887

  * Other distribution                     119,765                       31,979

Distribution Total                         326,572                      166,563
Telecoms and WIS                             8,245                        2.609
TOTAL                                      334,817                      169,172





Connections, mix and store number comparisons for 13 weeks ending 30 December
2000 / 1999
                                    13 weeks ending 30 December 13 weeks ending
                                                           2000
                                                                 1 January 2000
                                                            000             000
Connections (including online)
  * UK                                                      687             421

  * Europe                                                  529             274

  * Total                                                 1,216             695


Store numbers (excluding Tandy)
  * UK                                                      402             232

  * Europe                                                  618             272

  * Total                                                 1,020             504

Mix (prepay)                                              62.5%           52.2%



The above figures are exclusive of 'Tandy' revenue of £13m (1999 - £35m) and
related data for the 13 week period.