Company Profile

YooMedia plc is one of the fastest growing interactive entertainment companies in the UK.
Since 1997 we have been developing and launching leading B2C consumer brands in the gaming and community sectors. We also work in a B2B capacity with leading brand owners, agencies, content developers and broadcasters to design and develop their interactive content strategies.

Led by Executive Chairman Dr. Michael Sinclair and Group Managing Director Neil MacDonald, YooMedia has assembled a highly experienced management team that possesses a unique blend of skills and experience in the areas of Digital TV, Internet and mobile phone services and technology.

With main office locations in London, Exeter and Maidstone, YooMedia manages core assets including:

Over 30 office locations throughout the UK alone

State-of-the-art studio, production and post-production facilities at our Wapping location.

UK broadcast return path & bandwidth owner

Fully fledged UK Bookmaker License

Database with over 350K UK singles

SMS Engine access with international reach

Fully staffed 50 seat Customer Contact Centre in Maidstone, Kent

YooMedia Dating & Chat - Our dating subsidiary company manages the oldest and largest UK-owned dating brands including Dateline, Club Sirius and Avenues. YooMedia Dating has over 20 office locations throughout the UK and also manages YooChat, our world-leading interactive chat service found on UK digital cable on the Telewest platform (platform extensions planned for 2005).

YooMedia Gambling & Games - Combining the brands of Avago and Channel 425 (in partnership with William Hill) YooMedia is on the leading-edge of interactive fixed odds, casino and poker gambling services for digital TV, the web and 3G mobile phones. Our gaming business also manages YooPlay, the only interactive just for fun games channel found on all four Digital TV platforms in the United Kingdom.

YooMedia Enhanced Solutions (YES) - YES works with brand owners, agencies, content owners and broadcasters to clarify the options, define the strategies and deliver the interactive content that enhances consumer and audience experiences. YES customers include the BBC, Nestle, Celador, William Hill, Channel 4, ZipTV, The Cartoon Network and HR Owen.

The Enlarged Group's key strengths to be:

. its position as one of the UK's leading iTV entertainment and digital solutions companies;

. a balanced portfolio of revenue streams and profit centres in the key high growth market sectors;

. an ability to achieve higher operating margins, through the realisation of revenue enhancing and cost saving synergies after the Acquisitions;

. ownership of customer brands and channels and the ability to market and promote other Enlarged Group products and services across other interactive media platforms;

. a number of strong strategic partnerships, including a close working relationship with Sky; and

. significant technological and contractual barriers to entry with a limited number of competitors.

The Enlarged Group Board considers that it will be able to utilise these key strengths and maximise its growth opportunities in the future. The Acquisitions will create one of the largest independent iTV and media businesses in the UK. The key strategy of the Enlarged Group will be to exploit fully the operating strengths within YooMedia, DITG and TGC and in so doing build on the benefits and opportunities that are provided by combining the businesses into a single entity.

The new Board has identified the following as key objectives:

. achieve positive cashflow for the Enlarged Group by 31 March'05 based on anticipated revenue growth and margin improvements within the Enlarged Group.

. cement its position and become one of the largest broadcasters of gambling channels and interactive services in the UK. A key element of this strategy will be the continued promotion of Channel 425 by working closely with William Hill to develop the channel and expand the service to cable;

. launch of new broadcasting channels to expand the Group's dating and games brands using DITG's existing technology, infrastructure and other resources;

. expand the service offering of the iPublic division, taking advantage of the Government's desire to provide public information and transaction services through iTV and mobile;

. expand the business into new international territories following the growth of digital television, particularly in the US where the new Board believes digital television will continue to grow; and

. develop and expand its portfolio of mobile and text to TV services both for broadcasters looking to increase interactivity and for retailers looking to increase consumer awareness of their brands.

iturama

Morals and ethics have no place in the city, never have done. Not sure if you sold out or not. Your call, your money.

EVO will be producing a new research note next week, you can bank on it. EVO will be looking to win back friends in the city. The shares HAVE ALL been taken at the 15p placement. So the SP reaction to EVO's research note, will be interesting.

I can't see EVO producing a hold or weak buy note. They would get hung, drawn and quartered by the fund managers. LOL.

iPublic
Yes I sold out at 18p on Friday. That is now behind me and I really shouldn't be here any more. I hope things go well for you all in the future.

iturama

Thanks.

Very gracious of you. Hope you find a good home for your money.

Buried in the letter is a comment that Yoodating, enjoys margins of 65%, currently running at breakeven.

With new dating products planned on TV, Web, mobile and the expansion into America, Europe next year, any further upturn in business, will deliver a substantial profit.

Once again, if you can be patient, the 29m of tax losses, makes Yoomedia a hot favourite for a takeover from H2 2005. Infact, this is an important aspect of the deal. Preditors will note the 29m of tax losses.

If not, then no tax to pay for years. How much in pence per share is this worth?

Allow 6 months for the merger to 'bed in' then it's 'takeover alert' in my opinion. As Nissi mentioned several weeks ago, a buyer will target us when we have just moved into profit and all the hard work is done, rather than wait until the group enjoys profits of 10m+. Anytime from H2 onwards is a possibilty.

Enjoyable evening out with a good meal and Marti Webb oin "Tell me on a Sunday". You win some and lose some so YOO is no great deal: ASC and, hopefully, PET on Monday. Pretty well lost interest in YOO already - small shareholders shafted by Board and evolution; Board shafted by evolution. Not even anything illegal to act on. We had our dreams: they say it is better to travel hopefully than arrive. evolution should have a good story but this will hardly carry the cap. above 100m or 22p a share. Might be worth holding until the annual results and forecast for 2005, but I suspect that is unlikely because there are competitors for my limited funds. Probably a sitting duck for a takeover, with directors and their allies holdings much reduced from the 42% guaranteed to vote for the resolution. Its sad what you say, iPublic, about the morals of the city. Fair enough in a way as the game is to try and outflank the city. I've personally beaten all known pundits into a cocked hat since January last year and jolly pleased about it, I expect many of you have, but you can't beat the system and it will eat up your equity value whilst you are not looking. Why else did evolution have a 500K fine; chicken feed when they extort 2m+ out of YOO and are laughing all the way to the bank.

Keep your pecker up! Eric

http://media.guardian.co.uk/broadcast/story/0,,1180539,00.html


Interactive gameshows head for terrestrial TV

Owen Gibson, chief reporter
Tuesday March 30, 2004

Gameshows that enable viewers to win cash prizes by playing through their remote controls are set to become a common sight after the UK's biggest interactive TV company signed a deal with the team behind Stars in Their Eyes and You've Been Framed.

The Digital Interactive Television Group, which has nine channels on Sky including bingo channel Avago, said today it was weeks away from signing the first in a series of deals with terrestrial channels to develop gameshows.

It has unveiled a partnership with Ludus, the company set up by the Action Time founders, Stephen Leahy and Trish Kinane, to produce and sell TV formats around the world.

Mr Leahy said the technology would be virtually invisible to the viewer, making it even more attractive.

"We were dazzled by Avago - in particular the way in which the advanced and sophisticated technology is disguised to give the viewer 'easy entertainment' in a new and unique format," he said.

Mr Leahy and Ms Kinane sold Action Time, which developed You've Been Framed, Catchphrase and Stars in Their Eyes for ITV, to Carlton in 2002 before launching Ludus.

Debbie Mason, the creative director of DITG and the founder of Avago, said the attempts of ITV, Channel 4 and Channel Five to involve viewers through the red button on their remotes had largely fallen flat.

"Interactive works best when it's totally contextualised. They haven't got the sense of interacting with the viewer," said Ms Mason, adding the deal would take the company "to the heart of the mass entertainment market".


DITG, which recently bought rival GoInteract TV, had a turnover of 50m last year, largely thanks to the success of Avago, a bingo-style game during which the presenter talks directly to the viewers by name.

The company, which is headed by former BT and Dixons executive Neil MacDonald, recently launched iSports TV.

The virtual sports channel uses computer simulations of races and Ms Mason said it had already proved its appeal to more committed gamblers.

She said DITG would launch a second sports gambling channel, a City-based channel, a travel channel and another general entertainment channel this year.

"One, if not two" deals with terrestrial channels would be unveiled in the next few weeks, Ms Mason added.

"The Enlarged Group Board also anticipates finalising agreements with two other broadcasters within three months from Admission."

Yet another company trying to run before it can walk.

Well, they are running faster and faster perhaps to the satisfaction of the Directors, who will all have had a personal rights issue at 15p, but to the detriment of the smaller shareholder. Just writing to Shares in the hope that they will take up the injustice!

Eric

EW....just typical of the new EVO.... They have become so aggressive in their placings recently, that they are not to be trusted. Is it that they have undervalued this share? or are they even more greedy than before?.... Richard Griffiths is a manipulative ba***rd who doesn't miss a trick...Just take a look at what they did in placing BSS 6 months ago, and what happened after a trading update last week... I hope the FSA don't take him to the cleaners as he is shorting his own company.....and that is fact....Don't it make you sick!!!

Jules

Why should they worry about the value of the shares so long as it is easy to do the placing, they pick up their money and don't have any risk from underwriting. What amazes me is that the YOO Board should fall for it. OK they will pick up extra shares themselves but they are paying good money for services that are vastly over-charged. What's a 500K fine when you can pick up several times that for next to nothing at YOO? If you know more you should say it so as much as possible is in the public domain.

Eric

Eric: Well we now have the details of the placing and seen the market reaction...and at this point I see no point in adding to any holding. In fact IMO all the chart signals are still to find a good bottom. Will advise when this changes. By the way I also think that with market sentiment so heavily against their advisors right now, even if they publish a strong buy note it is unlikely to get much market support. So until YOO start turning in a profit, this placing has really dented the short term hopes of its shareholders. Some time ago I posted a message to Mactavish suggesting that the management had their hands full delivering on all the planned products plus integration issues associated with the acquisitions/mergers. That statement stands and even more so today. A dangerous move to alienate your shareholders, and I do believe that good companies should look after small shareholders in the same way they look after large ones! So to ensure a balanced note, I want you to know that I will sell my holding until the company changes its advisors and demonstrates to us that it plans to change its' spots...John

I think questions should be asked at the EGM (if possible!) - something like - 2 questions : 1- Would the directors assure shareholders that they will not be so cavalier with existing shareholder value in the future (fat cat bastards don't give a toss about us anyway) 2 - Were the directors stuck using Evolution and paying such high fees because no-one else would touch the deal?

Personally - I thought YOO were interesting but there were two things I didn't like (there are more noe of course!) These were that there were no senior women at high management or Board level, which I think is a mistake in a modern media company - plus that the majority of the directors/managers are accountants - not visionary folk normally!

I think YOO have been a little too avaricious for anyones good with this new deal.

In close cooperation with another Yoomedia shareholder, I'm attempting to judge the percentage of shares owned, by retail investors, reading the Yoomedia BB's. We do have access to professional advice if needed. Please e.mail the number of Yoomedia shares held and your BB nickname, to the address below. All information will be treated in the stricted confidence.

mrbenbond@yahoo.co.uk

Meanwhile, if you hold the share certificate, expect your Proxy Voting Form soon.

If your shares are held in a Nominee account, please contact your broker as a matter of the utmost urgency, requesting a Proxy Voting Form. It will NOT be sent to you otherwise.

We only have three weeks, time is not on our side. Please contact your Nominee provider and request a Proxy Voting Form.

Please contact me, via the above e.mail address, with your shareholding and BB nickname.

mrbenbond@yahoo.co.uk

Thanks

Well done, iPublic, for taking the initiative with regard to the EGM. I will send details of holdings (not a lot, but it is the principle) to your e-mail address. I have written to Jeremy Lacey (he published my last letter re PET) with objective not just of him printing my letter but that he should take up the cudgels on our behalf and on behalf of all his readers who could be similarly bitten elsewhere. mactavish - your perspective please or are you a bit close to the company?

One positive piece of news is that Scottish Widows Investment Partnership have subscribed for 25.7m of the existing shares or 15.4% of the equity. In other words, the enlarged company comes into the range of a significant part of the institutional market. If there are buyers like Scottish Widows around, it could hold the share price up with some share shortage, that is until the EGM floods the market with the placed shares. Personally, its a matter of finding the right time to sell (which could already be past!).

evolution were hammered in the Sunday Times yesterday with news of short-sellers swooping on the company. Great news if they go belly up although too late for YOO investors. Agree with jgt that anything evolution says is likely to be treated with disdain and disbelief. Another article on BT's interest in this market-place does highlight the potential attraction of YOO as a tasty morsel to swallow. I am less concerned that YOO will not be able to make the acquisitions work for them - they have certainly made good progress with other acquisitions. This just makes the nature of the deal all the more frustrating.

Eric

Hi Eric, Good for you that you are writing to shares, I agree with what you say. Its a disgrace that we are getting ripped off, someone warned me of this Evolution a long time ago but I never took any notice. I never thought YOO would be so niave to let them get away with this placing at 15p.

iPublic - what are your intentions? I doubt the users of this board have 1M shares between them - so what can we do? We can't stop the deal now - with the board and their chums owning 40% plus.

All the shares are placed apparantly - plus the large holders are restricted in selling them until March 2006.

May I remind all shareholders to REQUEST their Proxy Voting form, A.S.A.P.

If your shares are held in your nominee account, please contact your provider TODAY, to REQUEST a Proxy Voting form. Please hold on to the form at this stage.

Do not let apathy, stand in your way.

Please e.mail me, stating the number of Yoomedia shares owned and your BB nickname.

mrbenbond@yahoo.co.uk

iPublic on moneyam = TriggerTV on a d v f n . c o m ;-)