Additional Funding

Internet Music & Media PLC
20 June 2001



                                 EMBARGOED - Not to be released until 7.00a.m.

                                                               20th June, 2001


                          INTERNET MUSIC & MEDIA PLC

                           ('IMM' or 'the Company')


Additional Funding For Working Capital



Additional Funding



Further to the announcement made on 25th April, 2001, the Company announces
that a further £250,000 of short term unsecured loan funding has been provided
by Nicholas Cowan, Chairman of the Company.



This loan has been made on the following terms:



*         Interest, payable on the repayment of the loans, calculated at 7.75
          per cent. per annum; and


*         Redemption on the earlier of 30th September, 2001 and the date of
          any pre-emptive issue of Ordinary Shares.



It is intended that the Company will repay the loans out of the proceeds of a
pre-emptive issue to shareholders in the near future.  At such time the above
lenders have agreed to be placees to the extent of their loans, subject to
clawback by shareholders, with the result that the loans will be effectively
capitalised.



The Directors consider, having consulted with John East & Partners Limited,
its nominated adviser, that the terms of the loans are fair and reasonable
insofar as IMM ordinary shareholders are concerned.



Enquiries

Internet Music & Media PLC       Tel:  [phone]
Nicholas Cowan

John East & Partners Limited     Tel:  [phone]
John East
David Worlidge

Holborn Public Relations         Tel:  [phone]
David Bick