1 July 2011 – disposal

The group has disposed of one of its Polish businesses for cash consideration of €20m following an unsolicited approach.  The proceeds of the sale will be used to pay down bank debt.  The business sold produced a Polish national newspaper, a business daily and a weekly magazine and related websites.  Mecom remains committed to its wholly-owned regional newspaper business and will look to expand this.  This seems a sensible move for the group given the fact that the future of the business disposed of is uncertain – the shares remain a BUY.