Interim Results

I2S PLC
11 December 2003


                                    I2S plc


                                Interim Results

                   For the six months ended 30 September 2003


Chairman's Statement

The six month period to 30 September 2003 has, from an uncertain start, seen a
gradual improvement in sentiment and economic outlook accompanied by strong
rises in equity markets. I2S remained cautious in its approach to costs and cash
and, having been unable to identify any suitable investment opportunities during
the period, your Directors took the decision to scale back operations to
preserve cash.

Financial Results

Turnover for the Group for the six months to 30 September 2003 (derived from
monies on deposit) was £70,786 (30 September 2002 £72,423) resulting in a net
loss before tax for the Group of £107,980 (30 September 2002 £68,010). As
before, your directors are not recommending the payment of a dividend for the
period.

As at 30 September 2003, your Group's portfolio was split 11% in unquoted
investments and 89% in cash.

The Group's net asset value per share was 59.5p as at 30 September 2003.

Portfolio Investments

Sit-up Limited launched its new channel, price-drop.tv, during the period and to
date the new format appears to be exceeding expectations. Bid-up.tv, Sit-up's
other channel, continues to trade in line with our expectations despite a
difficult trading environment at the start of the year.

As noted in the Annual Report, during the period the Directors of IX Imaging
placed the company into Creditors Voluntary Liquidation. The value of IX Imaging
had already been written down to nil in the year to 31 March 2003.
Other Events

Your Directors believe that, whilst exciting investment opportunities are
undoubtedly available to I2S, the climate for unquoted companies is still far
from certain and that to pursue a diversified portfolio strategy in this sector
would expose shareholders' cash to unacceptable risk. In light of this, your
Directors felt that it was necessary to minimise the operational costs of the
Group and, as a result, Ben Harrison resigned as a Director on 31 August 2003.
We would like to thank Ben for all his hard work since the inception of I2S and
wish him every success for the future.

Outlook

The market gains of the last few months have been long awaited and are very
welcome.

The Group's only investment, Sit-up, has continued to make very satisfactory
progress which should, in due course, be reflected in its investment value.

Running costs are now at a level which will enable I2S to remain profitable
whilst we explore ways of maximising shareholder value.


Unaudited and unreviewed

for the period ended 30th September 2003)

                                                     Half-year      Half-year
                                                         ended          ended
                                                  30 September   30 September
                                                          2003           2002
                                                             £              £

Interest receivable and similar items                   70,786         72,423

Administration expenses                               (178,767)      (140,433)
                                                     -----------    -----------

Operating loss                                        (107,980)       (68,010)


Loss on revaluation of investment                            -              -
Loss on disposal of investments                              -              -
                                                     -----------    -----------

Loss on ordinary activities before taxation           (107,980)       (68,010)

Taxation
                                                     -----------    -----------

Loss for the half year                                (107,980)       (68,010)
                                                     ===========    ===========

Loss per ordinary share                                   1.48p          0.92p

Net dividends per ordinary share                            -p             -p

Note:
Loss per ordinary share is based on the weighted average number of shares in
issue during the period of 7,299,000 (2002: 7,420,000).

STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES

Loss for the financial period                         (107,980)       (68,010)

Unrealised deficit on revaluation of                         -              -
investments                                          -----------    -----------

Total recognised gains and losses relating to
the half                                              (107,980)       (68,010)
year                                                 ===========    ===========



GROUP BALANCE SHEET
As at 30 September 2003
                                                                              £

FIXED ASSETS
Tangible                                                                    484
Investments                                                             464,000
                                                                      -----------
                                                                        464,484
CURRENT ASSETS
Debtors                                                                  56,902
Deposits and cash                                                     3,839,266
                                                                      -----------
                                                                      3,896,168

CREDITORS: amounts falling due
within one year                                                         (18,662)
                                                                      -----------

NET CURRENT ASSETS                                                    3,877,506
                                                                      -----------

TOTAL ASSETS                                                          4,341,991
                                                                      ===========

CAPITAL AND RESERVES
Called up share capital                                               1,824,750
Capital redemption reserve                                               30,250
Profit and loss account                                               2,486,991
                                                                      -----------

                                                                      4,341,991
                                                                      ===========



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