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GB Group PLC (GBG)

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Thursday 22 July, 2004

GB Group PLC

AGM Statement

GB Group PLC
22 July 2004

For Immediate Release
Thursday, 22 July 2004

                                  GB GROUP PLC
                              ('GB' or 'the Group')

                          AGM Trading Update Statement

At the Annual General Meeting of GB held today in Chester, John Walker-Haworth
(GB's Chairman) gave the following trading update statement to shareholders:

'In my statement of 25 May 2004, as published in the Annual Report and Accounts,
I said that the financial year ended 31 March 2004 had been a year of investment
in the Group's existing and new businesses and that this would continue in the
current year, funded largely if not entirely by cash generated from our existing
businesses. In the quarter to 30 June 2004, the Group performed in line with
this expectation and cash balances at 30 June 2004 were £7.0 million (31 March
2004: £6.9 million, 30 June 2003: £6.7 million).


Existing Business

Our existing DataIntegrity and DataSolutions businesses have generated
like-for-like turnover in the first quarter ahead of that for the same period
last year. Following on from the increase in turnover achieved last year, this
indicates that our increased investment in sales and marketing is beginning to
take effect.

It is now our objective to accelerate our growth and improve the consistency of
sales performance and this will be influenced both by the effectiveness of our
new sales resource and the development of the markets into which they sell.

As a comment, the markets for our DataIntegrity products, which are used to
capture data rapidly and are a building block for CRM systems, have become more
mature and competitive in the year-to-date; whilst our DataSolutions business,
whose services are more focused following its withdrawal from the reselling of
third party software in March, has seen growth in its present markets.

New Business

The Group has continued to invest in its new business initiative, URU(TM), the web
services based identity authentication application, which it has developed and
is marketing alongside BT. Investment in the first quarter has been principally
in sales, marketing, technical development and the acquisition of new sources of
data. I am pleased to report that in June we announced that TD Waterhouse, the
UK's second largest execution-only stockbroker, had become a customer of the
URU(TM) anti-fraud and anti-money laundering service. This contract is an
important endorsement of URU(TM) and demonstrates the potential in this market.

The URU(TM) strategy is to prove the effectiveness of the service by winning
reference customers across the key sectors of Telecommunications, Financial
Services, Gaming and Retail and then expanding sales within those sectors. URU(TM)
now has six commercial customers operating within the Telecommunications,
Financial Services and Gaming sectors, including, in addition to TD Waterhouse,
4U Limited, part of the Caudwell Group, and Bibby Financial Services. It also
has a growing number of enthusiastic prospective customers and trialists.

The development of the market for electronic identity checks provided by URU(TM)
is still at an early stage and it is therefore difficult to predict how quickly
existing manual methods of Identity Verification will be replaced. We know from
our research, however, that the market as represented by the cost of current
manual checks is significant, and we are confident that URU(TM) represents a more
cost efficient and effective alternative to manual checks.


With regard to the prospects for the coming year, the turnover and profitability
of the existing businesses, which accounts for the majority of our revenue,
continue to be weighted towards the second half of the year and accordingly it
is prudent to remain cautious until new contracts are closed and existing
contracts renewed. There are, however, positive signs of market acceptance of
the URU(TM) product and we are particularly encouraged by the prospects for this

                                    - Ends -

For further information, please contact:

GB Group plc
Richard Law, Chief Executive                                        01244 657333
Mona Navin-Mealey, Finance Director

Weber Shandwick Square Mile                                        020 7067 0700
Richard Hews
Rachel Taylor


Notes to Editors

About GB Group plc

GB Group plc provides a range of products and services to enable organisations
to capitalise on one of their greatest assets - customer data. The Company has
expertise across a range of sectors and is able to transform customer data into
valuable information, enabling clients to make better, more informed decisions.

The development of innovative software and services, through to the provision of
the UK's most comprehensive consumer business databases - The National Register
(R) and the National Authentication Register - positions GB Group as a widely
acknowledged industry leader in its specialist markets.

GB Group plc has three business areas:

   • The DataIntegrity business helps companies capture and maintain accurate
     customer contact data, an essential foundation for any profitable customer

   • The DataSolutions business empowers companies to consolidate and analyse
     customer data from various sources, enabling them to make better, more
     informed decisions.

   • The DataAuthentication business helps businesses validate personal
     identity information and provides anti-fraud solutions to fight crime.

Established since 1989, GB's core competencies combined with industry sector
knowledge have enabled the company to deliver significant value to organisations
such as npower, WH Smith and Coral Racing, in helping them derive maximum value
from their customer data and sustain real advantage over their competition.

GB Group is supported by its key relationships with major organisations with
whom it partners on major initiatives (an example being British Telecom),
together with a team of highly talented and motivated staff successfully
delivering business solutions.

GB Group plc is listed on the London Stock Exchange (

About URU(TM)

BT and GB Group have jointly developed the service, URU(TM), to help companies
protect themselves from the growing problem of identity theft and fraud, which
is estimated by the Cabinet Office to cost the UK economy over £1.3 billion per
annum. URU(TM) enables companies subscribing to the service to make an instant
decision whether to accept the identity claimed by any given individual and
confirm their age in seconds.

URU(TM) works by cross checking personal information provided by an individual at
the point of acquisition, against a vast range of up-to-date UK and
International population datasources including Passport, Driving Licence,
Utility Bill and Voters Roll to confirm that an individuals is who they claim to
be, live where they claim to live and meet certain minimum legal age

No personal data is disclosed by the reference databases and as a result URU(TM)
is compliant with the Data Protection Act.

URU(TM) also provides a valuable audit trail demonstrating that the necessary
checks have taken place, thereby helping companies comply with legislation,
including the 2nd European Money Laundering Directive, Proceeds of Crime Act and
Minimum Legal Age requirements of certain industry sectors.

The addition of data from CallCredit also enables users of URU(TM) to incorporate
credit reference data.

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

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