Subsidiary's Investment in Dolphin Software Inc.

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Wednesday 5 February 1997

DMGT has expanded the US information publishing interests of Harmsworth Publishing by investing US$3 million for an initial 30% stake in Dolphin Software Inc. (+Dolphin+). The arrangement provides for Dolphin to become a 95% owned subsidiary by the year 2002, for a consideration based on the performance of the company. In addition, DMGT will have the right to acquire the final 5% from Mark Wysong, the managing director, should he leave Dolphin's employment.

Dolphin is based in Portland, Oregon and was founded in 1991 by Mark Wysong and fellow director Debora Sepich. It supplies information on the use, storage and transport of hazardous chemicals in electronic form, and provides related services required by US regulations to users of such chemicals, typically manufacturers, universities and hospitals. DMGT already has exhibition and magazine interests in the field of materials handling.

Dolphin made a profit before tax of US$0.2 million on a turnover of US$1.7 million in the 9 months ended 30th September 1996 and had net assets of US$0.7 million at that date.

The original directors and shareholders of Dolphin continue in their existing positions and are joined on the Board by two representatives of DMGT's Harmsworth Publishing division.

Inquiries: Peter Williams 0171 938 6000
Martin Morgan, Managing Director, Harmsworth Publishing 01223-354551