Agreement Signed

e-district.net PLC 19 June 2000 E-DISTRICT.NET PLC CONTENT SUPPLY AGREEMENT SIGNED WITH FREESERVE FOR BROADBAND PORTAL e-district.net plc ('e-district'), the AIM-quoted owner and developer of LeisureDistrict.net, a leading interactive family entertainment community channel and content provider for interactive digital television, has signed an agreement with Freeserve plc ('Freeserve') to participate in the Freeserve broadband web portal trial. e-district will supply specially formatted leisure-related content for the duration of the trial of Freeserve's broadband portal which can be accessed using BT's ADSL platform. ADSL is becoming increasingly available in London and other major conurbations, and offers Internet service at speeds that are ten times faster than today and permanent connection without the need to dial up. Participation in the broadband portal trial will provide e- district with valuable experience of this new medium and, in particular, will enable e-district to compare results with those gained from the interactive digital TV platforms being delivered by cable. During the trial, Freeserve is providing a hypertext link to LeisureDistrict's home page and e-district's content will not be substantially duplicated by other content providers elsewhere within the trial portal. Research will be a key element for all those participating in this broadband trial. Participants should be able to obtain operating and experience statistics which include the average times spent by site visitors on pages within the broadband site. e-district will also obtain important information relating to the effectiveness of new advertising technologies which are to be tested including superstitial and interstitial advertisements. Both e-district and Freeserve have the right to test e- commerce technology on the service but will waive any entitlement to a share of revenues for the trial period. This will be reviewed if the agreement is extended beyond the trial. This is the third significant content supply agreement signed by e-district in recent weeks. e-district's leisure content is being made available in the UK through the two leading providers of digital cable services : Telewest Communications plc (announced on 5 June 2000) and Cable & Wireless Communications plc (announced on 30 March 2000). In the US, a large number of US digital cable operators make LeisureDistrict available through a distribution agreement with Worldgate Communications Inc. announced earlier this year. LeisureDistrict features include Games, Library, PetZone, Chat, Greeting Cards, Virtual Flowers, Private Messaging and Pal Pilot (buddies). Steve Laitman, e-district's Chief Executive said : 'We are thrilled to be an integral part of this landmark UK trial for delivering broadband services through the Freeserve broadband ADSL portal. ADSL broadband is expected to bring internet content and associated interactive advertisements to 75 per cent of the UK within two to three years. This trial marks a convergence of technologies which we expect to contribute towards a rapid growth in demand for broadband internet-related services delivered across technology platforms bringing together ADSL, digital cable and interactive TV sets.' John Pluthero, Chief Executive Officer of Freeserve, commented: 'Freeserve is the portal destination of choice in narrowband with over 3 million unique users, and we fully expect to replicate our market-leading position in broadband. e-district joins over 20 rich media partners, including Virgin Music, ITN, peoplesound.com and @jakarta, who have all been experiencing with the Freeserve broadband ADSL trial excellent results from providing innovative new content and e-commerce via high-speed, 'always on' Internet.' About e-district e-district is quoted on the Alternative Investment Market. e- district is the owner and developer of the LeisureDistrict global interactive entertainment network, a family leisure environment capable of being delivered through multiple platforms including the internet and interactive TV. LeisureDistrict continues to attract significant numbers of new registered users. The annualised compound rate of growth in the first quarter of 2000 was 99% to 1.8 million as at 31 March 2000 with 60% in North America, 28% in the UK and the balance of 12% in continental Europe and around the world. In addition to the distribution agreements with Telewest Communications plc, Cable & Wireless Communications plc and Worldgate Communications Inc., e-district has arrangements with a number of other strategic partners including WH Smiths Online, Expedia Inc. and Remarq Inc. LeisureDistrict is accessible via PC through www.LeisureDistrict.net. More information on e-district.net plc is available through the company's web site ( www.e- district.net). About freeserve Freeserve is the UK's leading portal with an integrated offering of UK-focused content, e-commerce and services and free Internet access. At 12 March 2000, Freeserve had 1.912 million active registered accounts and in February 2000 recorded 162 million page impressions. Freeserve was launched in September 1998 as part of Dixons, Europe's leading consumer electronics retailer. Freeserve distributes its access software through Dixons' network of over 1,000 Dixons, Currys, PC World, The Link and @jakarta stores. For further information, please contact : e-district Frank Lewis, Chairman Steve Laitman, Chief Executive 020 8201 1915 Freeserve Shane Stratmore 01442 353300 Buchanan Communications Steve Liebmann / Suzanne Dunne 020 7466 5000

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