Loyalty Programme

Sainsbury(J) PLC
5 June 2002

J Sainsbury's plc announces it has joined with Barclaycard, BP and Debenhams to
create a new loyalty programme operated by Loyalty Management UK (LMUK).



Details follow:



    FOUR CORPORATE GIANTS JOIN FORCES FOR UK's BIGGEST EVER CONSUMER LOYALTY
                                   PROGRAMME





LONDON - 05 June 2002: - Four of the UK's best known companies, Sainsbury's,
Barclaycard, Debenhams, and BP, are coming together to create a revolutionary
loyalty programme that is expected to sign up 50 per cent of all UK households,
making it the largest and most comprehensive loyalty programme the UK has ever
seen.



The new programme, Nectar, will be available to consumers from the autumn,
offering them an unrivalled ability to collect points from more than 1,800
Sainsbury's, Debenhams and BP outlets and with all Barclaycard purchases.
Points collected in the Nectar programme card will be exchangeable for a wide
range of rewards like grocery shopping, consumer goods, flights, holidays,
restaurant meals, family days out and cinema tickets.



The significant advantages for the sponsors will include access to shared
resources, increased customer loyalty and the opportunity to attract new
customers. In addition each founding sponsor will have sector exclusivity within
the programme.



Nectar will be launched and operated on behalf of the sponsors by Loyalty
Management UK (LMUK), a subsidiary of Loyalty Management International (LMI).
Keith Mills, chairman of LMUK, is the founder of large coalition loyalty
programmes in Holland, Spain and Canada where up to 70 per cent of households
participate.



Announcing the programme to the business community Mills said: 'We are delighted
that four of the UK's best known and respected companies are coming together
with us to launch Nectar. It will transform the UK loyalty market. LMUK will be
working with trusted household names that are market leaders in their sectors.
We will also be adding other sponsors to the programme in the future which will
mean that consumers will have even more opportunities to earn points.'



Sir Peter Davis, Group Chief Executive for Sainsbury's said: 'We think our
customers will welcome and value the benefits that Nectar offers.  It offers
them a huge opportunity to earn more points in a range of complementary retail
outlets.  And it gives Sainsbury's a powerful tool with which to reward our
existing customers and attract new ones.'



Barclaycard CEO Gary Hoffman said: 'We are hugely excited about what Nectar has

to offer our customers.  Barclaycard brought rewards to financial services back
in 1987, and it's fantastic now for us to be part of the biggest loyalty scheme
ever to hit the UK.'



Belinda Earl, Chief Executive of Debenhams, said: 'I am delighted Debenhams is
one of the key sponsors in this unique loyalty scheme and believe it is a truly
exciting development for our customers.  It will further enhance our overall
offer and give our customers yet another great reason to shop at Debenhams.  It
will provide us with an excellent opportunity to acquire new customers and to
grow market share.'



Graham Sims, BP's Retail Director, Western Europe, said: 'We know our customers
love loyalty schemes and Nectar represents a great opportunity to satisfy
further their increasingly sophisticated needs. In the new scheme, our customers
will be able to earn points faster from a larger number of retailers, accessing
a greater value of rewards.'



For further information, please contact:



MS&L, on behalf of LMUK

Megan Ratcliffe                                  Tel: [phone]
                                                 Mob: [phone]

Steffan Williams                                 Tel: [phone]
                                                 Mob: [phone]

Damian Beeley                                    Tel: [phone]
                                                 Mob: [phone]

e-mail                                           [e-mail]



Sainsbury's

Lindsay Muir                                     Tel: [phone]
e-mail                                           [e-mail]



Barclaycard
Ian Barber                                       Tel: [phone]
e-mail                                           [e-mail]



Debenhams
Joanna Lane-Jones                                Tel: [phone]
e-mail                                           [e-mail]



BP
Shaun Harley                                     Tel: [phone]
e-mail                                           [e-mail]



                      This information is provided by RNS
            The company news service from the London Stock Exchange