Further re Scheme

WPP Group PLC 25 October 2005 Announcement that the Scheme of Arrangement has become Effective 25 October 2005 WPP Group plc Scheme of Arrangement becomes effective The order made by the High Court on 24 October 2005 sanctioning the scheme of arrangement (the Scheme) between WPP Group plc (WPP) and the holders of the Scheme Shares (as defined in the Scheme), and confirming the related reduction of share capital of WPP, has today been delivered to the Registrar of Companies in England and Wales for registration and to be registered by him. Accordingly, the Scheme has today become effective in accordance with its terms and a new parent company for the WPP Group has been created. This new parent company was called WPP 2005 plc (New WPP), but has been today renamed WPP Group plc. WPP has been renamed WPP 2005 plc. Furthermore, dealings on the London Stock Exchange in New WPP shares commenced at 8.00 a.m. today and dealings on NASDAQ in New WPP ADSs will begin at 9.30 a.m. As a result of the Scheme of Arrangement, 1,256,650,040 New WPP shares of 475p each have been issued to former WPP Share Owners. The last day of dealings in WPP Shares and WPP ADSs was 24 October 2005. The share certificates for the New WPP Shares will be despatched on or before 8 November 2005. It is proposed that the nominal value of each ordinary share of New WPP will be reduced by 465p from 475p to 10p. It is currently proposed that, subject to Court approval, such reduction will become effective on 27 October 2005. Enquiries: Feona McEwan Tel: +44 (0)20 7408 2204 Additional information Unless the context otherwise appears, terms defined in WPP's scheme circular dated 31 August 2005 have the same meaning in this announcement. The directors of WPP accept responsibility for the information contained in this announcement and, to the best of their knowledge and belief (having taken reasonable care to ensure that such is the case), the information contained in this announcement is in accordance with the facts and does not omit anything likely to affect the import of such information. Merrill Lynch International, which is authorised and regulated in the UK by the Financial Services Authority, is acting exclusively for WPP and New WPP in connection with the Scheme Proposals and for no-one else and will not be responsible to anyone other than WPP and New WPP for providing the protections afforded to their respective clients, for the contents of this announcement, or for providing advice in relation to the Proposals. Securities may not be offered or sold in the United States unless they are registered under the US Securities Act of 1933, as amended, (the "US Securities Act") or exempt from such registration. The New WPP Shares being issued to WPP Share Owners under the Scheme have not been and will not be registered under the US Securities Act (nor under the securities laws of any state of the United States), but will be issued in reliance upon the exemption from the registration requirements of the US Securities Act provided by section 3(a)(10) thereof. Neither the SEC nor any US state securities commission has approved or disapproved of the New WPP Shares or passed upon the adequacy or accuracy of any document relating to the Scheme. Any representation to the contrary is a criminal offence in the United States. This information is provided by RNS The company news service from the London Stock Exchange BPTMMTTMLA

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