Forever Broadcast

Acquisition

Forever Broadcasting PLC
1 May 2001



                                PRESS RELEASE

 Forever Broadcasting Acquires 10 Per Cent Equity Stake In Production Company
                          Somethin' Else For £1.75m



Newcastle, 1st May 2001 - Forever Broadcasting plc the independent radio
company, announces the acquisition of a 10 per cent equity stake in Somethin'
Else Sound Directions Ltd. ('Somethin' Else'), a leading independent radio and
television production company. The consideration for the acquisition is £1.75
million, of which £300,000 is being paid to the founders of Somethin' Else,
and the balance is a subscription for new Shares in Somethin' Else, thereby
providing the funding for the company's expansion. Forever Broadcasting
already owns a 15 per cent stake in XY Network Ltd ('XY Network'), which is an
85 per cent held subsidiary of Somethin' Else. John Josephs, Chairman of
Forever Broadcasting, will be joining the Board of Somethin' Else.

The cash investment is to be used to fund the expansion of Somethin' Else's
radio and television production business taking advantage of the increasing
opportunities for independent production in the digital arena. In the year
ended 30 November 2000, Somethin' Else increased turnover by 58 per cent to £
1.68 million with an operating loss of £97,000 (1999: turnover £1.06 million;
operating profit £102,000).

The deal values the Somethin' Else group at £16.1 million, before the
introduction of new money, of which £9 million is attributable to the radio
and television production business of the parent company. Current trading in
the radio and television production business indicates that the execution of
the growth strategy is continuing with turnover of £0.7 million for the four
months ended March 2001 being 51 per cent ahead of the same period last year.

Background to Somethin' Else

Somethin' Else is one of the leading independent audio and multimedia
production companies in the UK. Based in Shoreditch, East London, it has, over
its ten years of trading, built up an enviable programming portfolio, with
contracts to produce programming for all of the BBC's national radio networks,
the World Service, BBC Digital Radio and the UK's independent commercial radio
stations. Somethin' Else also provides over half of British Airways' in-flight
audio entertainment and syndicates audio programming to over 16 countries
worldwide.

In recent years Somethin' Else has exploited its creative and technical
expertise in television production, winning commissions from BBC1, Channel 4,
youth cable & satellite channel Rapture TV and Jeremy Isaacs' digital channel
Artsworld TV. In digital and multimedia work, Somethin' Else produces websites
for the BBC and has partnered the Corporation in the development of digital
audio broadcasting.

Somethin' Else is the only UK production house to have won two Gold Sony
Awards for radio production, a BAFTA Award for interactive multi-media, and
the Radio Academy BT Award For Innovation for excellence in radio innovation.

The company is headed up by a strong team of directors with complimentary
skills: Jez Nelson is Director of Programming & Production, Sonita Alleyne is
Commercial Director, Paul Bennun is Director of Interactive Broadcasting, and
John Sanderson (a former City media anaylst and Director of media consultancy
firm Hydra) is non-executive director.

XY Network

In Autumn 2000 Somethin' Else launched the XY Network, a news and
entertainment service for both the conventional and mobile internets. X Y
Network subsequently secured a development deal with Ericsson UK and a
carriage deal with BT Genie (Europe's largest mobile ISP), and Forever
Broadcasting acquired a 15% stake in the Company in June 2000 for £1 million.
As a result of this transaction, Forever Broadcasting's effective interest in
XY Network will be 23.5 per cent.

XY Network is believed to be the only mobile internet service in the world to
carry on-demand interactive audio feeds, including music, literature, film
reviews and Reuters audio news bulletins. In early 2001 Somethin' Else became
the audio partner of Reuters UK to produce the financial news and information
agency's audio news bulletins for Reuters clients, significantly expanding its
own offices to include both the XY Network and the Reuters audio news teams.

The Directors of Somethin' Else regard the initial trading of XY Network to be
encouraging and anticipate that XY Network will be self-sufficient in its
operational cash generation and expenditure in the current financial year.

Commenting on the announcement, John Josephs, Chairman of Forever
Broadcasting, said:

' We are very happy to have been given the opportunity to invest in Somethin'
Else, XY's parent company. In the 18 monthsshort time we have been involved
with the management team of Sonita Alleyne, Jez Nelson and Paul Bennun, we
have developed a high regard for their creativity and drive, and we have
enjoyed working with them. We look forward to helping them develop Somethin'
Else and to working more closely with them.'

Sonita Alleyne, Commercial Director for the Somethin' Else Group, said:

'We welcome this partnership with Forever Broadcasting PLC. They have a strong
positioning in the independent radio sector and have a good consistently
displayed a deep understanding of the potential of audio content in the
digital arena.Somethin' Else's position within the media industry.

'We have established an excellent working relationship with John Josephs and
his team since their acquisition of a stake in our mobile internet arm the XY
Network. Forever's unique combination of programming and business acumen will
be a powerful catalyst for the future growth and development of Somethin'
Else. John will be an excellent and exciting addition to the board.'

Enquiries:
Forever Broadcasting
John Josephs, Chairman
Eric Lawrence, Managing Director             Tel: 0191 286 0000

Somethin' Else
Sonita Alleyne, Commercial Director          Tel: 020 7613 3211

Merlin Financial Communications
David Simonson
[email protected]
Sadhbh O'Gorman                              Tel: 020 7606 1244

Links:                                       www.foreverbroadcasting.com
                                             www.somethin-else.com
                                             www.xynetwork.com