RNS Number:2833I
Claims People Group PLC
05 March 2003

PRELIMINARY RESULTS

YEAR ENDED 31 DECEMBER 2002





CHAIRMAN'S STATEMENT



The Board of The Claims People Group plc announces the preliminary results for
the year ended 31 December 2002. Turnover for the year has increased by over
240% from #302,985 to #1,035,024 with losses reduced from #934,186 to #304,032.



The Group's penetration of the market has continued to progress. The close
working relationship with Norwich Union is well established and further
important sources of new business were added during 2002 including HSBC, British
Telecom, Heath Lambert and Zenith. Most encouragingly, following a tender
process in the final quarter of 2002, the Group secured a place as one of two
adjusters on the panel of Liverpool Victoria Insurance Company Limited. The
contract is for a three year term which commenced on   1 January 2003 and
improves the Group's visibility of earnings in 2003 and beyond.



During 2002 we successfully achieved a further issue of shares securing net new
funding of #403,224, providing improved working capital and an enhanced balance
sheet asset base.



The Group enters 2003 with a broader client base and new business opportunities.
The Board believes that it is in a strong position to take advantage of the
market opportunities arising.









John French

Chairman

5th March 2003



Note for editors



The Claims People Group plc provides claims handling, consultancy and website
facilities to the insurance industry. The Group employs leading edge technology
with a unique web-based claims notification and monitoring system and utilises a
low cost centralised operating model.

The Group listed on AIM in October 2000. It entered into a joint venture
software development programme with New Planet Solutions (now part of The
Innovation Group) and successfully tendered to Norwich Union for the supply of
loss adjusting services, commencing October 2001. More recently it secured a
place as only one of two loss adjusting firms on the Liverpool Victoria panel.
It is currently involved in various further tender opportunities.



CONSOLIDATED PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2002




                                                       Notes         2002                     2001
                                                                     Unaudited                Audited
                                                                     #                        #

Turnover                                                             1,035,024                302,985

Administrative expenses                                              (1,337,462)              (1,264,176)

Operating loss                                                       (302,438)                (961,191)

Interest receivable                                                  2,704                    29,129
Interest payable                                                     (4,298)                  (2,124)

Loss on ordinary activities before taxation                          (304,032)                (934,186)

Taxation                                                 2           -                        -

Retained loss                                                        (304,032)                (934,186)


Loss per share - ordinary                                3           (0.52)p                  (1.82)p

               - fully diluted                           3           (0.52)p                  (1.82)p



The profit and loss account has been prepared on the basis that all operations
are continuing operations.

There are no recognised gains and losses other than those passing through the
profit and loss account.


CONSOLIDATED BALANCE SHEET
31 DECEMBER 2002


                                    Notes                         2002                              2001
                                                                  Unaudited                         Audited
                                                                  #                                 #
Fixed assets
Tangible assets                                                   219,007                           304,380

Current assets
Work in progress                                128,068                             64,954
Debtors                                         232,695                             135,674
Cash                                            100,979                             191,031

                                                461,742                             391,659

Creditors: Amounts falling due
  within one year                               (375,954)                           (465,610)

Net current assets/(liabilities)                                  85,788                            (73,951)

Total assets less current
liabilities                                                      304,795                           230,429

Creditors: Amounts falling due
  after one year                                                  (10,766)                          (35,592)

                                                                  294,029                           194,837


Share capital and reserves
Called up share capital                                           1,123,780                         771,280
Share premium account                                             832,123                           781,399
Profit and loss account                                           (1,661,874)                       (1,357,842)

Equity shareholders' funds            4                           294,029                           194,837




This preliminary announcement was approved by the board of directors on 5 March
2003.

P M Morgan
Director



CONSOLIDATED CASHFLOW STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2002

RECONCILIATION OF OPERATING LOSS TO NET CASH OUTFLOW FROM
OPERATING ACTIVITIES
                                                                       2002                                2001
                                                                       Unaudited                        Audited
                                                                       #                                      #

Operating loss                                                         (302,438)              (961,191)
Depreciation of tangible fixed assets                                  108,228                69,713
(Increase) in work in progress                                         (63,114)               (64,194)
(Increase) in debtors                                                  (97,021)               (93,152)
(Decrease)/increase in creditors                                       (124,438)              354,859

Net cash out flow from operating activities                            (478,783)                      (693,965)


CASH FLOW STATEMENT

                                                                       2002                                2001
                                                                       Unaudited                        Audited
                                                                       #                                      #

Net cash out flow from operating activities                            (478,783)              (693,965)
Returns on investment and servicing of finance                         (1,594)                27,005
Capital expenditure                                                    (22,855)               (199,087)

Cash out flow before use of liquid resources and financing             (503,232)                      (866,047)

Financing                                                              379,749                         (18,532)

Decrease in cash                                                       (123,483)                      (884,579)






RECONCILATION OF CASH FLOW TO MOVEMENT IN NET FUNDS



                                                                       2002                                2001
                                                                       Unaudited                        Audited
                                                                       #                                      #


Decrease in case in the year                                           (123,483)              (884,579)
Cashflow from decrease in debt and lease financing                     23,475                 18,532

Change in net funds from cash flows                                    (100,008)                      (866,047)

New finance leases                                                     -                               (31,211)
Opening net funds                                                      131,922                        1,029,180

Closing net funds                                                      31,914                           131,922






NOTES TO THE PRELIMINARY ANNOUNCEMENT
FOR THE YEAR ENDED 31 DECEMBER 2002


1          Financial information


1.         The financial information included in the above statement is
an abridged version of the Group's accounts for the period ended 31 December
2002, and does not constitute statutory accounts within the meaning of Section
240 of the Companies Act 1985.

The Group's statutory accounts for the period ended 31 December 2002 have not
been signed and have not been reported on by the Company's auditors.



2.        Taxation



There is no liability to taxation in the period due to the loss incurred.



3.        Loss per share



The calculation of loss per share is based on the results for the period and on
the weighted average number of ordinary shares in issue and ranking for dividend
in the period.




                                                     2002                          2001
                                                     Unaudited                     Audited
                                                     #                             #


Loss for the year                                    (304,032)                     (934,186)

Weighted average number of shares                    58,550,174                    51,418,667



There is no difference between the basic earnings per share and the fully
diluted earnings per share as the options in existence are not considered
dilutive.



4.         Reconciliation of movement in shareholders' funds


                                                     2002                             2001
                                                     Unaudited                        Audited
                                                     #                                #


Loss for the financial year                          (304,032)                        (934,186)
Issue of ordinary share capital                      411,250                          -
Issue costs                                          (8,026)                          -

                                                     99,192                           (934,186)
Opening shareholders' funds                          194,837                          1,129,023

Closing shareholders' funds                          294,029                          194,837




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

FR BLGDXBBGGGXS