Re Joint Venture

Sainsbury(J) PLC
22 November 2000


CARLTON AND SAINSBURY'S ANNOUNCE
TASTE NETWORK JOINT VENTURE

J Sainsbury plc and Carlton Communications Plc announce that they have agreed
terms for the creation of a 50:50 joint venture.  Following the memorandum of
understanding signed in May, a new company - Taste Network - has been formed. 
It will be Britain's first television and internet food and drink channel. 

Taste Network will bring together Carlton's SimplyFood website, the Carlton
Food Network television channel and Sainsbury's food and drink heritage from
its tasteforlife website. The two websites will merge to form a new website,
taste.co.uk, and a new television channel, 'tasteTV', which will be launched
in Spring  2001.  Forty staff will also transfer to the new company from
Sainsbury's and Carlton.

Taste Network will enable viewers to watch their favourite cooking shows,
download the latest recipes, check out new restaurants and order food and
drink on television and the internet. 

Anthony Ellis has been appointed Chief Executive of the new company. 
Previously Managing Director of Clever Media, a WPP Group company, Anthony
said:

'Taste Network represents a unique partnership, bringing the very best brands
together in television, web, food and drink.  We will be merging Carlton's
strength in multimedia entertainment with Sainsbury's unrivalled food and
drink knowledge'.

Gerry Murphy, Chief Executive of Carlton, said:

'Together we will create the definitive interactive food and drink television
channel and website.  Carlton has content, production and interactive
expertise, while Sainsbury's has a nationwide retail presence, a strong e-tail
business and distribution and fulfilment experience'.

Patrick McHugh, Sainsbury's Group Director of e-commerce, said:

'This alliance is another step in the roll-out of Sainsbury's e-commerce
strategy and recognises the importance of new media in e-commerce. The new
venture will bring to life the promise of digital interactive television and
enable viewers to place orders for their home grocery deliveries directly from
their living rooms.'

Sainsbury's believes that the UK online grocery market will be worth around
£7.5 billion by 2005.  Nearly 15 million people in the UK now have access to
the internet.  The Henley Research Centre suggests that shopping via the
television will overtake internet shopping by 2004 and that over 90 per cent
of UK homes will have interactive shopping via digital television by 2010.  
ONdigital, the 50:50 joint venture between Carlton and Granada, has almost 1
million customers and offers full internet access via the television.   

For enquires

David Cameron  Carlton Communications Plc     020 7663 6363
Greg Dawson    J Sainsbury plc                020 7695 0100