Sale of Harcourt Assessment

Reed Elsevier PLC
04 May 2007



                                  NEWS RELEASE


For immediate release                                                 4 May 2007


           Issued on behalf of Reed Elsevier PLC and Reed Elsevier NV

   Reed Elsevier announces sale of Harcourt Assessment and Harcourt Education
                 International to Pearson plc for $950 million

Reed Elsevier is pleased to announce today that it has entered into a definitive
agreement to sell the Harcourt Assessment and Harcourt Education International
businesses of its Harcourt Education division to Pearson plc for a consideration
of $950 million payable in cash.

Harcourt Assessment, headquartered in San Antonio, Texas, is a leader in testing
and performance measurement services for educational and clinical use. Harcourt
Education International, headquartered in Oxford, UK, is a leading publisher of
educational materials in international markets, including the UK, South Africa,
Botswana, Australia and New Zealand.

The sale of the businesses is expected to complete in stages following
regulatory review by the relevant authorities where required.

Harcourt Assessment and Harcourt Education International had in 2006 revenues of
$524 million and operating profits before the amortisation of acquired
intangible assets of $31 million, before taking account of $21 million of
restructuring and non recurring costs. As at 31 December 2006, the combined
capital employed in these businesses including acquired goodwill and intangible
assets was $601 million. Gross assets were $741 million.

In February 2007, Reed Elsevier announced the planned disposal of its Harcourt
Education division in order to sharpen its strategic focus on the growing
digital opportunities in its key markets of Science, Medical, Legal and
Business.

The sale process for the US Schools basal and supplemental publishing businesses
of the Harcourt Education division is proceeding satisfactorily and the disposal
is expected to complete in the second half of 2007. These remaining businesses
reported in 2006 revenues of $1,113 million and operating profit before the
amortisation of acquired intangible assets of $228 million.

The net proceeds from the disposal of Harcourt Assessment and Harcourt Education
International will be included in the intended return to shareholders following
completion of the sale of the Harcourt Education division.

Sir Crispin Davis, Chief Executive of Reed Elsevier, said:

'We are delighted to have successfully sold the Harcourt assessment and
international education businesses to a good home, achieving an excellent price
for our shareholders that reflects the quality of the businesses. The Harcourt
sale process is off to a good start.'

UBS Investment Bank is acting as financial adviser to Reed Elsevier on the sale
of the Harcourt Education division.

                                    - ENDS -

Enquiries

Sybella Stanley (Investors)
[phone]

Patrick Kerr (Media)
[phone]


This statement contains forward looking statements within the meaning of Section
27A of the Securities Act 1933, as amended, and Section 21E of the Securities
Exchange Act 1934, as amended. These statements are subject to a number of risks
and uncertainties and actual results and events could differ materially from
those currently being anticipated as reflected in such forward looking
statements. The terms 'expect', 'should be', 'will be', and similar expressions
identify forward looking statements.


Notes to editors

Reed Elsevier is a world leading publisher and information provider. It is owned
equally by its two parent companies, Reed Elsevier PLC and Reed Elsevier NV. The
parent companies are listed on the London, Amsterdam and New York Stock
Exchanges, under the following ticker symbols: London: REL; Amsterdam: REN; New
York: RUK and ENL. In 2006, Reed Elsevier made adjusted profit before taxation
of £1,052 million on turnover of £5,398 million. The group employs 37,000
people, including approximately 20,000 in North America. Operating in the
scientific, legal, educational and business-to-business sectors, Reed Elsevier
provides high value and flexible information solutions to professional end
users, with increasing emphasis on internet delivery.




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