Final Results

Newsplayer Group PLC
13 December 2001

                                                           13th December, 2001

                              NEWSPLAYER GROUP PLC

             PRELIMINARY RESULTS FOR THE YEAR ENDED 31ST OCTOBER, 2001

Newsplayer Group plc, (NPG) the new media company, today announces preliminary
results for the year ended 31st October 2001, the Company's first full year of
trading.


Financial Highlights:

*  Turnover reached £902k, up from £128k for the period ended 31st October,
   2000.
*  Pre-tax loss was reduced to £1.62 million, down from £2.67 million for
   the period ended 31st October 2000.
*  Operating loss was reduced to £1.91 million from £2.85 million.
*  Gross margin of 99%.
*  Cash reserves were £3.8 million at 31st October 2001.


Business Highlights:
Throughout the year, NPG has continued both to expand its portfolio of
quality video content and to increase the number of its on-line distribution
channels, in line with the Company's strategy of generating revenues by
exploiting content rights using new media technology. Significant business
developments during the year include:


* Licensed footage from EMI's catalogue of video material for NPG's new
  on-line music video subscription streaming service, VideoTV.
* Virgin Holdings Inc. (a division of EMI Recorded Music) took an equity
  stake of 4.76% in NPG.
* Distribution agreement with JVC (UK) Ltd. to supply the ucreatetvTM
  application and a 12-month subscription to Newsplayer.com with all JVC
  digital camcorders sold in the UK for a minimum of two years.
* Content and distribution agreement with the RSPB to manage the RSPB Film
  Collection and provide on-line access to filmmakers and consumers.
* Launch of Frost.tv, a joint venture with Sir David Frost to provide
  video-on-demand access to 40 years of celebrity interviews.
* Secured exclusive internet rights to the 'Passport International' catalogue
  of Hollywood-related material and launched Screenplayer.com.
* Distribution agreement with Freeserve Plus, the broadband portal, to share
  subscription fees and advertising revenue.

Commenting on the results, Paul Duffen, Chief Executive Officer, said:

'This set of results represents sustained progress by NPG financially,
commercially and strategically. On the financial side, revenues have grown
seven fold and losses have been reduced by almost 40% since our last
preliminary results. Our cash reserves remain healthy at £3.8 million.
Commercially we have substantially increased our portfolio of media assets
with the inclusion of deals with EMI, the RSPB, and Passport International
Productions. The combination of these factors means that we are ideally
positioned to strengthen further our position as the 'partner of choice' to
maximise revenues in television and cinema content through the use of
interactive technology.'

Enquiries:



Paul Duffen, Chief Executive          Tel: [phone]
Barry Llewelyn, Marketing Director    on 13th December 2001
Newsplayer Group plc                  thereafter Tel: [phone]
Harry Chathli/Pamela Small            Tel: [phone]
Brunswick Group


OVERVIEW

These results cover the year ended 31st October, 2001, NPG's first full year
of trading.

NPG's principal activity is exploiting rights and/or licences to quality
cultural and historical video content and marketing them globally to
business, educational and consumer audiences using interactive technology.
Revenues are generated from the licensing of content to third parties, from
subscription and pay-per-view fees paid by consumers, and from shared
advertising revenues.

FINANCIAL RESULTS

Revenues for the year were £902,101, up from £128,225 for the period ended
31st October 2000. Revenues were generated from subscriptions to the various
NPG websites, from licensing of content and from product licensing to third
parties.

Gross profit generated from activities was £897,662, compared with £127,786
for the period ended 31st October 2000.

The pre-tax loss for the year was reduced to £1.62 million, compared with a
loss of £2.67 million for the period ended 31st October 2001. This is largely
due to significantly increased revenues and a reduction in marketing
expenditure as management focus has shifted to the development of
distribution and partnership deals and the acquisition of new content.

Cash reserves in the bank on 31st October 2001 were £3.8 million. No dividend
has been paid or is proposed.

BUSINESS REVIEW

Overview

NPG has continued to grow significantly throughout 2001. By securing
additional rights and/or licences to quality cultural and historical video
content, and adding new revenue-generating media channels through which to
exploit that content, the Company is positioning itself as the partner of
choice in the fast-growing new media sector.

Over the past year NPG has acquired the rights to over 1,000 hours of
additional quality content. New content for which rights and/or licences were
acquired in 2001 include decades of music video footage from the EMI
Catalogue, award-winning nature footage from the Film Archive of the Royal
Society for the Protection of Birds, hundreds of interviews conducted by Sir
David Frost in The Frost Collection, and Hollywood-related programming from
Passport International Productions. These complement NPG's existing content
portfolio of approximately 2,000 hours of newsreel footage from ITN and
Reuters, Hollywood-related programming from the Alison Mercer Collection, and
sports footage from Stock Video of Boston.

During the year, NPG also expanded its distribution network for this content
by launching a number of new on-line media channels and signing distribution
agreements with third parties. New websites launched in 2001 or soon to be
launched include: video.tv, birdstream.com, ucreate.tv, frost.tv, and
screenplayer.com. Distribution agreements were signed in 2001 with JVC and
with the broadband portal Freeserve Plus.

Newsplayer.com

Newsplayer.com is NPG's original and flagship website. It is a
subscription-based site that enables consumers to search for and view by
'streaming', video and audio clips of major news events around the world
since 1896. The content for Newsplayer.com is provided via NPG's 20-year
non-exclusive licence (acquired in 1999) to the ITN archives, which include
news from ITN, Reuters, French Pathe, Gaumont, Paramount, Empire News, and
Visnews. The base subscription model of £25 per annum was launched in August
2000.

Whilst all the material on the site is encoded at both narrowband and
broadband speeds, it is significant that almost one third of all the footage
streamed by customers has been over broadband connections. This supports the
Directors' belief that the Company is well positioned to benefit from the
roll-out of high speed Internet connections around the world.

VideoTV

In November 2001, NPG announced a five-year, non-exclusive agreement with EMI
Recorded Music to licence footage from EMI's catalogue of historic and
current video material to VideoTV NPG's new on-line subscription music video
streaming service. VideoTV will provide subscribers with an interactive,
on-line database of EMI music videos and video footage featuring artists and
groups spanning the 20th Century. EMI will also make available some
additional audio and visual material for the service.

VideoTV will be a retrospective music video subscription service offering a
decade-by-decade view of the history of music and music videos. Subscribers
will be able to search and retrieve music videos by type of music, artist and
year of recording, and those who also subscribe to Newsplayer.com will be
able to view news footage together with contemporary music videos from
VideoTV.

NPG expect the worldwide rollout of VideoTV, which will generate revenues on
a subscription basis, in the new year.

The Company also announced that Virgin Holdings Inc. (a division of EMI
Recorded Music) was taking an equity stake in NPG.

Ucreate.tv

In April 2001, NPG and JVC UK Ltd. signed a joint venture to distribute NPG's
website Newsplayer.com and a new NPG product, ucreate.tv, to support JVC
Miniature - a new digital camcorder launched by JVC in the UK and Ireland in
May.

Ucreate.tv is a proprietary, value-added application designed by NPG, which
allows customers to upload home-shot video footage to their PCs and edit them
on-line to create films. As part of the joint venture with JVC, purchasers of
the JVC Miniature in the UK and Ireland receive pre-paid subscriptions to
Newsplayer.com (see above) and ucreate.tv. Using ucreate.tv and
newsplayer.com together, subscribers can select newsreel footage from the ITN
archives and edit them together with their home shot video to create montages
and mini films for their own entertainment. The websites are also accessible
to the general public for a subscription fee of £75 per annum for ucreate.tv
and £25 per annum for Newsplayer.com.

The website ucreate.tv was launched in June 2001.

NPG receives a licence fee from JVC for the ucreate.tv application as well as
revenues from the pre-paid subscriptions to Newsplayer.com sold together with
the JVC Miniature package.

RSPB Film Collection

On 7th December 2001, NPG announced an agreement with the Royal Society for
the Protection of Birds (RSPB) that contains both content and distribution
elements and targets both consumers and professional filmmakers.

NPG will manage the archives of the RSPB Film Collection to make them easily
available, for a licensing fee, to professional programme-makers at
www.rspb.org.uk/films. The Film Collection is one of the most comprehensive
resources for UK and European bird footage. The archive dates back to 1953
and features more than 100 different species of birds.

NPG has at the same time launched a new website, www.birdstream.com,
providing consumers and educational institutions with the same access to the
RSPB Film Collection archives on a subscription basis. Subscription fees are
priced at £7.95 per annum until 31st December, 2001. The RSPB will be
marketing the service in its member publications.

NPG receives a monthly service fee from RSPB, a commission for licensing
material to programme-makers, and a share of birdstream.com subscription
revenues.

Frost.tv

Frost.tv was launched in September 2001 following the signing of a joint
venture in December 2000 between NPG and Sir David Frost, the internationally
known television interviewer. NPG acquired the exclusive rights to The Frost
Collection of hundreds of interviews with leading politicians and celebrities
conducted over 40 years, much of which has not been seen since its original
screening. The material has been catalogued, tagged and digitised by NPG and
can now be searched and viewed on-line at Frost.tv. The subscription fee for
Frost.tv is £25 per annum although those who are already subscribers to
newsplayer.com receive a 50% discount.

The joint venture agreement gives NPG exclusive rights to exploit
opportunities in both on-line and off-line syndication. NPG also intends to
make the content in the Frost Collection available to broadcasters and
programme makers on-line on a licence-fee basis. Further revenue
opportunities exist in the post-production of the material, the syndication
to third party websites and portals, and the production and sale of DVDs.

The joint venture is structured as a revenue share between NPG and Sir David
Frost.

Screenplayer.com

Screenplayer.com was launched in November 2001, to provide an additional
revenue stream for NPG by distributing the content from the Passport
International archives on a subscription basis. In June 2001, NPG obtained an
exclusive 12-year worldwide licence from Passport International Productions
for over 600 hours of programming related to the stars of Hollywood cinema,
20th century musicians and musicals, comedians and other entertainers.

The subscription fee for Screenplayer.com is £25 per annum although those who
are already subscribers to other NPG websites receive a 50% discount.

NPG will pay royalties to Passport International of 50% of gross revenues
received.

Other Content Rights

In addition to the content currently distributed over NPG's new media
channels, NPG maintains the rights, obtained in 2000, to exploit additional
video content from the Alison Mercer Collection and Stock Video of Boston
that will provide opportunities for future revenue growth.

NPG holds 20-year exclusive rights for Internet distribution of The Alison
Mercer Collection, comprising 1,400 video clips and 280 hours of material of
cinema-related and newsreel footage. NPG intends to generate revenues from
licensing the material to third-party websites and from video-on-demand
streaming direct to consumers.

NPG holds 10-year exclusive rights for Internet distribution of The Stock
Video of Boston archive, comprising 800 hours of US sports footage and
originating from Columbia Sports News and Castlefilms. NPG intends to
generate revenues from licensing the material to third-party websites and
from video-on-demand streaming direct to consumers. Together with the Alison
Mercer Collection, this material represents an important addition of content
specifically relevant to a US audience, a key target market for the Company.

Other Strategic Partnerships

In June 2001, NPG signed a distribution agreement with Freeserve Plus, the
broadband portal, to share subscription and advertising revenue generated
from NPG properties. According to the terms of the agreement, Freeserve Plus
promotes and thereby drives traffic to the NPG subscriber sites
Newsplayer.com, Frost.tv, and Screenplayer.com.

Since March 2000, NPG has had a technology partnership agreement with
Microsoft and is exclusively using Windows Media Player as an on-line video
streaming format. In return, Microsoft promotes Newsplayer.com on its
streaming media websites such as Windowsmedia.com, as part of the product
launch of Windows 7, and through press releases and its international on-line
newsletter.

Hollinger International (Telegraph Group) is a multinational media company
based in Canada that is a strategic investor and partner of NPG. As an owner
of numerous media titles (such as The Daily Telegraph, The Chicago Sun Times
and The Jerusalem Post) and an investor in on-line ventures (such as
telegraph.co.uk and handbag.com), Hollinger continues to provide an important
and valuable resource to the Company.


BOARD APPOINTMENT

Sir David Frost OBE, joined the Board as a Non-Executive Director with effect
from 16th January 2001.


ADR FACILITY

On 2nd October 2001, NPG established a sponsored American Depositary Receipts
(ADR) facility with The Bank of New York. NPG's ADRs trade on the US
Over-the-Counter (OTC) market in New York, under the symbol NWPGY. Each ADR
represents 10 ordinary shares.

OUTLOOK

NPG has significantly increased the amount of unique television and cinema
content to which it has rights as well as developing added value applications
such as ucreate.tv. The two primary areas of revenue generation from this
content are syndication of stock footage to professional buyers and
video-on-demand streaming to consumers. The Company remains well positioned
to generate revenue from the traditional television industry as well as the
emerging broadband market over the coming year.


FINANCIAL RESULTS
_________________


Extract of the unaudited preliminary financial information for the year ended
31st October, 2001 is as follows:

Profit and loss account



                                                 Year ended    Period from 14th
                                              31st Oct 2001        Oct 1999 to
                                                                 31st Oct 2000
                                                (unaudited)          (audited)
                                        Note              £                  £

  Turnover                                 2        902,101            128,225

  Cost of sales                                     (4,439)              (439)

  Gross profit                                      897,662            127,786

  Operating expenses                            (2,809,651)        (2,978,255)

  Operating loss                                (1,911,989)        (2,850,469)

  Net interest receivable                           291,546            176,348

  Loss on ordinary activities before            (1,620,443)        (2,674,121)
  taxation

  Taxation                                7         (1,333)                  -
                                                ___________        ___________
  Loss on ordinary activities after             (1,621,776)        (2,674,121)
  taxation

  Loss per ordinary share - basic         3         (2.46p)            (4.65p)
  Loss per ordinary share - diluted       3         (2.52p)            (4.65p)


No statement of total recognised gains and losses has been presented as there
are no recognised gains and losses other than the loss for the financial year.

Balance Sheet

                                         31st Oct 2001           31st Oct 2000
                                           (unaudited)               (audited)
              Note                      £            £         £             £
  Fixed assets:
  Intangible assets                          1,007,793                 305,000

  Tangible assets                              217,520                  57,828
                                          ____________           _____________
                                             1,225,313                 362,828
                                          ____________           _____________

  Current assets:
  Debtors                      1,793,980               1,797,282

  Investments                          -               5,100,000

  Cash at bank and in hand     3,798,221     5,592,201 1,771,646     8,668,928
                               _________               _________

  Creditors due within                       (311,984)               (904,450)
  one year
                                          ____________           _____________

  Net current assets                         5,280,217               7,764,478
                                          ____________           _____________
  Net assets                                 6,505,530               8,127,306
                                          ____________           _____________
                                          ____________           _____________


Capital and Reserves


                                                     £                       £
  Called up share capital               5      658,054                 658,054

  Share premium account                     10,652,759              10,652,759

  Merger reserve                             (509,386)               (509,386)

  Profit and loss account                  (4,295,897)             (2,674,121)
                                          ____________           _____________
  Shareholders' funds                        6,505,530               8,127,306
                                          ____________           _____________
                                          ____________           _____________


Cash Flow Statement


                                            Year ended             Period from
                                          31st Oct 2001          14th Oct 1999
                                                                            to
                                                                 31st Oct 2000
                                            (unaudited)              (audited)
                                      Note           £                       £

  Net cash outflow from operating        6 (2,335,360)             (3,737,829)
  activities

  Returns on investment and                    346,988                 120,330
  servicing of finance

  Taxation                                     (1,000)                       -

  Capital expenditure and financial        (1,084,053)               (312,282)
  investment

  Management of liquid resources             5,100,000             (5,100,000)

  Financing:
  Issue of ordinary share capital                    -              11,398,500

  Expenses paid in connection with                   -               (597,073)
  ordinary share issues
                                          ____________           _____________
  Increase in cash                           2,026,575               1,771,646
                                          ____________           _____________

Notes to the Financial Highlights

   The preliminary results for the year ended 31st October 2001 are unaudited
   and the comparative results for the period from 14th October 1999 to 31st
   October 2000 are taken from the Company's statutory accounts. The financial
   information set out in the announcement does not constitute the Company's
   statutory accounts for the year ended 31st October 2001. The statutory
   accounts for the period ended 31st October 2001 will be finalised by the
   Directors on the basis of the financial information contained in this
   preliminary announcement and will be delivered to the Registrar of Companies
   following the Company's Annual General Meeting.


Accounting policies

   This preliminary statement of the 2001 results has been prepared under the
   historical cost convention as modified by the revaluation of certain assets
   and in accordance with applicable accounting standards. There have been no
   changes in accounting policies over the previous year.

Turnover

   Turnover is subscription income for access to web sites and fees from
   licensing of content and applications.

Loss per share

   The calculation of loss per share is based on a weighted average of
   65,805,357 issued ordinary shares (2000: 57,533,569) and on the loss
   attributable to ordinary shareholders of £1,621,776 (2000: £2,674,121).

   The diluted loss per share is based on a weighted average of 64,059,033
   ordinary shares (2000: 57,533,569) calculated in accordance with FRS 14 which
   assumes that all dilutive options will be exercised. The loss attributable to
   ordinary shareholders of £1,621,776 (2000: £2,674,121) has been calculated on
   a similar basis.

4. Debtors
                                                                           £
   Debtors includes the following amounts:      prepayments         1,430,042
                                                trade debtors         275,265
                                                other debtors          88,673
                                                                    _________
                                                                    1,793,980


5. Share Capital

                                                                 £
   Authorised:
   90,000,000 ordinary shares of 1 pence each               900,000

   Allotted, issued and fully paid:
   65,805,357 ordinary shares of 1 pence each               658,054

   There have been no alterations in the authorised and issued share capital
   during the year.

   At 31st October 2001 there were 3,729,330 unapproved share options
   outstanding under the Executive Share Option Scheme. Of these, 1,250,303
   options are exercisable at any time between 30th May 2003 and 30th May 2010
   at an exercise price of 84p, and the remaining 2,479,027 options are
   exercisable between 19th January 2001 and 19th January 2011 at an exercise
   price of 49.17p.

   There are also 429,800 warrants in issue at 46.54p, exercisable at any time
   up to and including the date which falls 28 days after the publication of the
   Company's final results for the year ending 31st October 2005.

Reconciliation of operating loss to operating cashflows



                                                           £             £
    Operating loss                                (1,911,989)   (2,850,469)
    Depreciation                                       43,876         8,143
    Amortisation                                      177,692       130,000
    Increase in debtors                              (52,140)   (1,741,263)
    (Decrease)/Increase in creditors                (592,799)       715,760
                                                  ___________   ___________
    Net cash outflow from operating activities    (2,335,360)   (3,737,829)
                                                  ___________   ___________
                                                  ___________   ___________

7. Taxation

The tax charge represents the minimum payable by one of the group
subsidiaries, Newsplayer International Limited, a Guernsey registered company.

BOARD APPROVAL OF PRELIMINARY ANNOUNCEMENT
__________________________________________


This report was approved by the Board on 12th December 2001.


ANNUAL REPORT
_____________


The Annual Report, which will contain the audited financial statements, will
be issued to shareholders in due course and will be available to members of
the public from the Company's registered office at 12 Gough Square, London
EC4A 3DW and from the Company's website at www.npg-plc.com.


END