Deal Group Media PLC 12 December 2007 Press Release 12 December 2007 Deal Group Media plc ("DGM" or "the Group") Trading update Deal Group Media plc (AIM: DGM), an independent online marketing group, is pleased to give the following update on current trading on its operations. The Board remains confident that the Group will return to profitability next year and that the overseas business units will deliver positive cash flow within the first half of 2008. The Australian business has increased its sales with a client base of over 140 advertisers including many major international brands. From the Group's base in Singapore two distinct business units have been successfully launched. AKTIV Group is an advertising network which aggregates and sells advertising inventory from online publishers to agencies and advertisers. AKTIV Group has already secured several clients. In addition, DGM has been launched in Singapore with a multi-channel offering with a greater initial focus on search engine marketing. Both businesses share a common client base. The South African operation is now profitable, albeit at a low level. In India, DGM has launched a multi-channel offering to advertisers and agencies and is already generating sales from rapidly increasing client list. These offerings include affiliate marketing, search engine, email marketing and technology solutions. Following an earlier announcement today the Group has disposed of a 51 per cent. stake in its UK operations including the central technology team. Trading in the affiliate and search engine marketing remains profitable and has enjoyed a recent upturn in customer acquisitions. The sale of the majority stake will reduce the Group's central operating costs and UK based overheads while enabling our shareholders to benefit from any uplift in the value of the ongoing UK operations. Adrian Moss, CEO of DGM, commented: "We are very pleased with our progress in the Asia Pacific region. All overseas business units are building revenues as well as establishing themselves as key players in their region. We remain excited by the prospects and are looking to the future with confidence." -Ends- For further information, please contact: Deal Group Media plc Adrian Moss, CEO Evolution Securities Limited Tom Price, Corporate Finance Tel: +44 (0) 20 7071 4300 Jeremy Ellis, Corporate Finance www.uk.evosecurities.com Abchurch Communications Ariane Comstive/Franziska Boehnke Tel: +44 (0) 20 7398 7700 franziska.boehnke@abchurch-group.com www.abchurch-group.com Notes to Editors Deal Group Media plc is an independent online media-marketing and technology group, which provides a range of stand alone and multi-channel marketing solutions including: affiliate marketing, search marketing, email marketing, and online display advertising. The Group works alongside advertisers and online partners to help them achieve their e-business objectives specifically return on investment (ROI). Deal Group Media's delivery is powered by sophisticated technology which includes the Group's proprietary software, dgmPro. Deal Group Media currently employs over 100 staff worldwide in offices in the UK, South Africa, Australia, New Zealand, Singapore and India. The Group operates across the spectrum of vertical sectors and its clients includes Avis, Dell, Demon, nPower, Pipex, Sainsbury's Bank, Sky, Virgin, Vodafone, and The World Wildlife Fund. More information is available at www.dealgroupmediaplc.com This information is provided by RNS The company news service from the London Stock Exchange