Chairman's Statement

365 Corporation PLC
6 July 2000

Thursday 6 July 2000

                     AGM July 2000 - Chairman's Statement

At the Annual General Meeting of 365 Corporation plc today at 12.00 noon, Ian
Martin made the following Chairman's statement:

'This has been a very important year for 365 Corporation. Our results for  the
year ended 31 March 2000 were fully in line with indications given at the time
of  the  flotation in December, and highlight the outstanding growth  for  the
year  across  the Group. Our successful flotation also gave us  the  financial
flexibility  to maintain our strong growth, as well as increasing the  ongoing
participation by key employees in the ownership of the business.

In  the  full year to 31 March 2000, group turnover was £22.4 million compared
to  £2.6m  for  the  8  months to 31 March 1999 and gross  profits  were  £9.8
million. Total unique users grew to 1.75m for March 2000, a five-fold increase
on March 1999.

I  am  pleased  to  report that 365 continues to trade strongly  in  both  the
Consumer and Business sectors.  Last week, we announced our deal with  Energis
Communications  plc and have also signed direct mobile supply agreements  with
both  Vodafone  and BT Cellnet. Under these agreements, 365 will  be  able  to
offer  a  full  range  of  Consumer and Business  mobile  services,  including
handsets,  WAP telephones and competitive air-time packages. The  introduction
of  consumer mobile services is part of a broad Consumer Telecoms strategy and
builds on the three year deal with Energis.

We have noted the recent uncertainty over the outlook for companies in the
internet and technology sectors during the first half of this year. We believe
that those companies with strong business plans and strong balance sheets to
support those plans, will emerge as the clear leaders in the digital
revolution that we are now witnessing.  365 is one of these companies.

We  believe that 365 should continue to invest aggressively in growth in order
to  maximise  long-term profitability and shareholder  value.   We  are  well-
financed,  as  evidenced by the £52.6 million of cash and liquid resources  at
year end, and have sufficient cash to execute this business plan.

Our Consumer Division now operates over 29 web sites worldwide  - in English,
French, Spanish, German and Italian.  In particular, Euro2000 was a great
success for 365 during the first quarter, both in terms of the large numbers
of users visiting our sites and the related advertising and sponsorship
revenues that were generated.  We also completed the acquisition of Teletalk
in April to strengthen our position as the UK's leading provider of audiotext
and companionship services.  In April 2000 unique users stood at 1.81m and
during the quarter our internet users and related revenues have continued to
show strong growth.

Our  Business Division has continued to grow strongly during the first quarter
and  we are actively seeking additional acquisitions in the SME communications
sector.   In particular, our mobile service offerings have been well received,
and  the recent announcement of our partnership with Energis is indicative  of
our  belief  in  the importance and growth of data services  to  the  business
market.

We  continue  to see substantial opportunities for the growth of our  business
and look forward to the remainder of the year with confidence.'


Enquiries:

365 Corporation plc
Ian A Martin, Chairman                            Tel: [phone]
Dan Thompson, Chief Executive Officer             Tel: [phone]
Martin Turner, Finance Director
www.365corp.com

Financial Dynamics                                Tel: [phone]
Giles Sanderson
Fiona Meiklejohn