RNS Number:8816I
CSS Stellar PLC
18 March 2003

The following replaces the Final Results announcement released on 18 March 2003
at 07:01 under RNS No. 8495I.

In the Chairman's Statement, the adjusted profit before tax figure of #3.7
million also excludes interest. In the Profit and Loss Account, Turnover for
2001 from continuing operations and share of joint venture should read
#23,542,000, not #25,542,000. Consequently Group Turnover should read
#23,002,000 and not #25,002,000.  Also Operating Profit from continuing
operations should read a loss of #237,000, not a profit of #1,762,000, and from
acquisitions should read a loss of #447,000, not a profit of #672,000.

The full amended version appears below.

Embargoed until 07.00

18 March 2003




                                CSS Stellar plc
                             ("CSS or "the Group")

                            2002 Preliminary Results

CSS Stellar, the AIM listed sports and entertainment management and marketing
group operating in Europe, the US and Asia, today announces preliminary results
for the year ended 31 December 2002.

HIGHLIGHTS

- Excellent strategic progress made in 2002 despite difficult market conditions

- Acquisition programme outlined at flotation now completed. Acquisitions /
  Investments during 2002 included Craigie Taylor, the Echo group and Target 
  Entertainment

- Results in line with December statement. Turnover during the year up to #48.5
  million (2001: #23.0 million)

- EBITDA increased 33% to #5.3 million from #4.0 million in 2001

- Adjusted pre-tax profit up 16% to #3.7 million

- Inaugural dividend recommended.

- Focus in 2003 will be on consolidation and debt reduction

Chairman, John Webber, today said:

"The group has made excellent strategic progress in 2002, building an
infrastructure of businesses in sports and entertainment, where we can now
credibly represent both individual and corporate clients on a global basis.

"Despite the prevailing market conditions, we remain cautiously optimistic that
our range of operations, broad geographical spread, and enthusiasm to succeed
will help us to drive the business forward this year."

                                    - Ends -

Enquiries:
CSS Stellar plc                                                    020 7078 1400
Julian Jakobi, Chief Executive
Sean Kelly, Finance Director and Deputy Chief Executive

Weber Shandwick Square Mile                                        020 7067 0700
Ben Padovan or Sally Lewis

CHAIRMAN'S STATEMENT

Overview and Strategy

At flotation we said that our strategy would be to acquire businesses in our
chosen specialist areas in order to represent both individual and corporate
clients on a global basis. This has been achieved during 2001 and 2002.  The
Group can now represent both individual and corporate clients on a global basis.

The Group is now a much changed, and far more broadly-based, business than it
was a year ago.  As a result, we also believe we are much more resilient in the
current market than many of our competitors, many of whom have found 2002 an
even more difficult year than we have.

At the year end we represented or worked for more than 1,500 clients and had
over 600 employees, divided equally between North America and Europe.  Having
achieved the strategic objectives which we set ourselves at flotation, the Board
is now determined to move to the next stage of CSS's growth.

Our key aims for 2003 are to digest and integrate the acquisitions made over the
past two years and to improve the cross-selling between the talent, marketing,
and media arms of our business.

Financial Results

We told the market three months ago that the 2002 profit was likely to be more
disappointing that we had originally hoped and the eventual outcome is in line
with those reduced expectations.

On turnover of #48.5 million (2001: #23.0 million), adjusted EBITDA increased
33% to #5.3 million (2001: #4.0 million) and adjusted profit before tax
(excluding goodwill, non-recurring and exceptional items) was up 16% to #3.7
million (2001: #3.2 million).

The profit before tax was #6,000 compared with #2.3 million in 2001.

The fully diluted earnings per share showed a loss per share of 1.71p (2001:
earnings of 7.19p per share)

Adjusted fully diluted earnings per share before non-recurring items and
goodwill was 10.15p (2001: 10.75p).

While the results are not as good as we had hoped, we take comfort from the
one-off nature of this year's problems, which amounted to #1.5 million of
non-recurring or exceptional costs. These costs are described in more detail in
the Financial Review below.

In April we raised a net #9.3million through a placing and open offer to
shareholders. This was partly, as we stated at the time, to complete our
strategic acquisitions, details of which are set out below.

The balance sheet shows a strong financial position with loan facilities and
cash available for the development of the Group.

With effect from 1 January 2003, the Group will report by the following four
divisions: Talent Management; Marketing; Event Services and Television.

Acquisitions

We made a total of 8 acquisitions or strategic investments during 2002 for an
initial aggregate consideration of #9.6 million. These acquisitions were across
all our divisions and performed in line with, or above, expectation since
joining the Group. Further information on these acquisitions is included in the
Chief Executive's Review, which follows my statement.

Board Changes and Employees

We announced in September that Sean Kelly would be moving to New York to become
President of our significant North American businesses, as well as continuing to
serve as Group Finance Director.  In December we informed the market that Rick
Jones had left as former CEO of GEM and that he had also relinquished his
non-executive position on the plc board.  Sean Kelly was subsequently appointed
Chairman of GEM.

In January 2003 Barrie Gill, who had served as a non-executive Director on the
plc board since flotation, very sadly died after a long fight against cancer.

In the light of the above, the Board is currently looking at the appointment of
a further non-executive Director.

Once again, as a result of the acquisitions, strategic investments, and options
issued during the year, we have increased our employee equity base. Internal
presentations for the Share Incentive Plan ('SIP') are taking place. Most of our
employees will be able to make monthly tax-free contributions to buy shares
within the SIP, which the company will then match on the basis of 1 share for
every 3 shares purchased.

At the forthcoming Annual General Meeting the Board also intends to seek the
necessary approval to enable it to buy-in the Company's shares.

We thank all our employees for their whole-hearted efforts in 2002 and our
shareholders for their support in trying times.

Final dividend

We said in December that we expected to recommend payment of an inaugural final
dividend for 2002.  The Board is pleased to recommend payment of 1p per share to
shareholders on the register on 25 April 2003.

Outlook

I remain cautiously optimistic that our range of operations, broad geographical
spread, and enthusiasm to succeed will enable us to drive the business forward
this year despite the prevailing economic conditions.

John Webber
Chairman

GROUP CHIEF EXECUTIVE'S OPERATIONAL REVIEW

The Group now encompasses a cross-section of businesses, evenly divided between
sport and entertainment during 2002. In the current year we are expecting
revenues and gross profits to be greater in our entertainment companies, three
of which were only included for part of 2002.

This review will be presented regionally, split between the four new reporting
divisions comprising:

- Talent Management
- Marketing (including Sponsorship Sales)
- Event Services; and
- Television

Europe

2002 was a year of mixed fortunes for the European division.  Overall revenues
grew to #24.8 million (2001: #16.7 million). At the operating level, profits
were #2.9million, prior to goodwill and non-recurring items (2001: #2.4
million).

In comparative terms, in 2002 the European client division generated operating
profits prior to goodwill and non-recurring items of #2.7 million (2001: #1.8
million).

Events Services made #0.2 million  (2001: #0.6 million) after a disappointing
performance from ARB.

Talent Management

During 2002 we made one investment in the European Talent Management division.
Stellar Financial Partners ('SFP') provides bespoke financial services to high
net worth individuals from our offices in Covent Garden and began trading in the
final quarter of the year. Initial cash consideration of #10,000 was paid with a
future maximum 7.6 million CSS shares to be issued on the achievement of
exacting profit targets over the next two years. SFP performed ahead of
expectations for the period following acquisition.

Operationally the division as a whole had a solid year. Entertainment clients
Kiera Knightley, Sandy Powell and Simon Schama have been nominated for industry
awards; Nicholas Hytner was appointed new artistic director of the National
Theatre and Rosamund Pike starred in the latest Bond film. At the recent British
Book Awards, Allison Pearson won Newcomer of the Year, whilst Alan Bennett won
the prestigious Lifetime Achievement Award. Motorsport saw the first full year
contribution from Juan Pablo Montoya.  SFP, our new financial services division,
also made an impressive start accessing clients across several divisions.

Marketing

We acquired Craigie Taylor (now GEM Europe) in April for an initial
consideration of #3.4 million. GEM Europe's clients include Vodafone and
Powergen. The company had a good eight months under our ownership exceeding our
expectations. The highlight was the securing of the Powergen Challenge Cup a
deal which GEM Europe conceived and to which GEM now provides marketing support.

TSC, our sponsorship consultancy, fared well, winning the Group's first
government contract for the Foreign Office and the first entertainment
sponsorship deal bringing together Muller and Blind Date.

Despite a difficult year for sports sponsorship sales, our businesses had some
notable successes, with motorsport deals for Oris and Nicorette and, in cricket,
Frizzell's four-year sponsorship of the English Cricket Board County
Championship.

Event Services

We made one acquisition during the year, Backporch, which is now part of ARB and
hires out audio and visual equipment to events. Total consideration of #117,000
was paid.

Icon again performed well over the year, providing signage to the BBC Music Live
concerts in honour of the Queen's Jubilee in 25 UK cities. They also secured a
four year contract with the English Cricket Board. On an ongoing basis, Icon
services 14 of the Champions League grounds as well as The Royal and Ancient,
PGA European Tour and Wimbledon.  ARB had another difficult year. Management
changes have been made and new systems installed, which will enable us to better
analyse asset utilisation and improve margins.

Television.

We spent a considerable amount of time identifying the right investment to grow
our existing television business.

In September we announced we had acquired 58.5% of Target Distribution Limited
('Target') from Tiger Aspect Group, for #568,183 cash and the issue of shares to
Tiger Aspect.

Target, managed by Alison Rayson, the other shareholder, is an international
television distribution company with a catalogue of approximately 1,000 hours of
programming, including Popstars, Popstars The Rivals, Bad Girls and Footballers
Wives.

A busy year was capped with the launch of the brand licensing division in the
final quarter. The company had a good three months under our ownership exceeding
our expectations.

2003

The current year has begun promisingly across most of our divisions in Europe.

Talent Management

For the entertainment division one of the key aims for 2003 is to secure a
bridgehead for its clients on the US West Coast.

In Motorsport Richard Burns has signed a new long term contract and Allan McNish
is the new test driver for the Renault team in the new Formula 1 season.

In Football, we signed a new agreement to represent the commercial rights for
Team England, which runs until after the next World Cup in 2006. We also
negotiated the personal terms of the deal for the eighteen year old, Philippe
Senderos, to move from Switzerland to Arsenal. Philippe is regarded as one of
the outstanding young football talents in Europe.

SFP are continuing to establish themselves as experts in their specialist
financial areas and are already providing tax and financial advice for a number
of Group clients.

Marketing

We are targeting growth sectors and hope to secure additional work from our
existing clients. GEM Europe and Design @ Large are also involved in brand
strategy work for the Group.

Television

Target has recently moved to Drury House, alongside our talent management
division and has secured the rights to distribute several new productions.

Appointment

Anthony Baring (Managing Director PFD) was appointed Chief Operating Officer for
Europe on 1 February 2003 and has quickly embraced this important role.

NORTH AMERICA

2002 was a year of substantial change for our North American operations.  The
acquisition of the Toronto-based Echo group at the end of July virtually doubled
the number of employees: we now have over 300 operating from 6 offices in the
region. The vast majority (85%) work in marketing but we have a growing talent
management business and a new television division.

On turnover of #23.7million (2001: #6.3 million), we made adjusted profits of
#0.8 million (2001: #0.8 million).

Marketing

At the start of 2002 we acquired Vertical Mix Marketing Inc ('VMM') for an
initial consideration of #267,000.  Now part of GEM, the company's current
clients include NBC, A&E, National Geographic and Comcast.  It was a
disappointing year for the company since acquisition following the deferral of
several important projects. New client wins such as National Geographic and
Comcast make us hopeful of achieving better results this year.

The purchase of the Echo group meant that the Group could for the first time
offer both above and below the line marketing and advertising services to
clients. Echo retains many of its early entertainment clients, including film
distributor Alliance Atlantis for whom the group has acted for 15 years. It now
applies these specialist marketing techniques to a far-broader client range,
such as Labatt Breweries, Microsoft and Starbucks. Echo also continues to do
work for the Toronto International Film Festival, the Toronto Stock Exchange,
and the popular groups U2 and the Rolling Stones.

The initial consideration for Echo was #4.1million and as a result of the better
than targeted performance in 2002 a further cash payment of CDN$3.6million
(#1.5million) is payable in the next twelve months. In the period since
acquisition, Echo performed well. In particular, the company handled all the
publicity for its long-term client Alliance Atlantis around the launch of the
highly successful second film of the Lord of the Rings trilogy, "The Two Towers"
and also for "Chicago" and "About Schmidt".

Sean Kelly, Finance Director and Deputy Chief Executive, relocated to New York
on 1 October 2002 to take charge of the Group's increased operations in the
region. He immediately conducted a review of all our offices to see how the
businesses could best be structured to achieve better results. In most of GEM's
offices he found a committed team ready to embrace change.

Following Rick Jones's departure, operations have now been restructured at GEM,
reducing the cost base, including staff cuts and exiting unnecessary and
expensive properties.  The impact of some of these cost reductions will take
time to filter through, although the majority will take effect in the first half
of 2003.

Talent Management

This small but growing division was focused on motorsport clients but the
strategic investment we made in Rocky Hambric's golf-management businesses in
September has already had an impact, and we are confident of Rocky's ability to
grow our golf client business on both sides of the Atlantic. Golf clients
include Justin Leonard, Bob Tway and the new star of the Ladies US Tour, Lorena
Ochoa. We invested a total of #0.5 million of which #0.45 million was working
capital for the businesses.

2003

Trading in the current year in the region has begun satisfactorily in all
divisions and in line with the Group's expectations.

GEM has signed Domino's Pizza and Fingerhut (a significant direct-mail retailer)
as clients and has project work for Diageo, Labatt and the History Channel
amongst others. GEM Toronto will shortly be moving in to the same premises as
the Echo group which will greatly benefit the integration of certain back office
functions. In sponsorship sales, General Motors has extended its contract and we
are doing work for the Canadian Olympic Committee.

In motorsport, we have moved into NASCAR to complement GEM's marketing expertise
in the sport and NASCAR drivers Hank Parker, Jason Sarvis and Michelle Thierault
have been signed by the Talent Management division. Rocky Hambric has already
added Mitchell Spearman to his impressive client roster and Justin Leonard won
the US Tour event last weekend. We plan to expand the entertainment client
representation in New York and we want to open a small office in Los Angeles
during 2003.

The Television division has expanded to the USA with the recruitment of Target's
first employee in New York.  Ellen Lovejoy joins with much experience both in
the US and in Europe and will be looking to add to the UK catalogue and, as in
the UK, grow the licensing capability.

The region is now run from New York and managed by a North American board,
chaired by Sean Kelly, with representatives from all our divisions and with
Kevin Rose as Chief Financial Officer for the region.

ASIA

In June 2002 we acquired 20% of Sportsunite (Asia) Limited with an option to
purchase the remainder, for an initial investment of #50,000. The importance of
this region and its growth prospects have led to further expansion culminating
in us setting up CSS Stellar Asia on 1 January 2003, which is run out of Hong
Kong, by Chris Guinness.  The office is already generating revenues and we look
forward to reporting on its progress.  Chris Guinness now reports to Sean Kelly
on all Asian activities.

I endorse our Chairman's comments for the current year. We have cautious
expectations, but the breadth of our business and quality of our employees makes
me confident about the Group's prospects for the future.


Julian Jakobi
Chief Executive

FINANCIAL REVIEW

The purpose of this review is to highlight matters of interest to shareholders
and to provide guidance on reasons for alterations in some of the key operating
areas of the business.

Profit and Loss Account

Turnover

There has been a substantial rise in turnover, which has more than doubled to
#48.5 million (2001: #23.0 million). Turnover was evenly split between Europe
and North America.

The turnover rise is mainly due to the expansion of the business but also
because of the acquisition of the Echo group, which undertakes media buying for
clients. This has increased turnover and the cost of sales by #9.1 million in
the five months since acquisition.

There has been a decrease in turnover in the Events Services division,
particularly at ARB, which is referred to in the Chief Executive's Report, to
#9.8 million (2001: #10.6 million).

Cost of Sales

Cost of Sales in 2002 was #15.1 million (2001: #6.8 million). The increase is
due to the Echo purchase as noted above. There was a fall in the cost of sales
in the Event Services division to #5.9 million (2001: #6.8 million). This
decrease was largely due to the fall in turnover. However, it is encouraging to
see some improvement in gross profit margins to 39.6% (2001: 35.4%) in the event
service division.

Administration Costs excluding Goodwill and Exceptional Costs

These have risen substantially as would be expected from the increase in
turnover to #29.7 million (2001: #12.9 million). The largest component is staff
costs, which have increased to #20.8 million (2001: #9.4 million). The average
number of employees is 484 (2001: 205).

This substantial increase means the average cost per employee was #42,966,
against #45,700.

However staff costs as a proportion of gross profit rose to 61.8% (2001: 58.0%),
a reversal from last year and a reflection of the relatively high North American
remuneration costs.

Exceptional Items

The items totalling #1.55 million are referred to earlier and are analysed in
the Notes.

During the year we suffered a number of bad debts. The well-documented demise of
the Arrows Formula 1 racing team had a major effect on the disappointing results
in our sponsorship business. The talent management division also suffered a
small number of large bad debts.

In our marketing division, GEM in North America performed below expectation in
2002. We outlined in December the actions we have taken.  The reduced cost base
for the North American operations was implemented during the final quarter of
2002.  We believe the short term cost of making changes was both necessary and
appropriate for the anticipated level of business in 2003.

We referred to the non-recurring dilapidation and relocation costs in moving to
Covent Garden in the interim results statement last September.  There is however
no doubt as to the considerable operational benefits of integrating the talent
management businesses together into Drury House.

The Board believes these are non-recurring and are due to important operational
benefits, in the case of the move to Covent Garden, and the restructuring of the
North American business. Bad debts are unusual in the industry. 2002 however,
has been an exceptional year and the Group has suffered disproportionately. The
losses have arisen from a few large debts. The Board does not believe this
raises concerns about the credit control systems generally in the Group

Amortisation

The charge for the year of #1.96 million (2001: #0.78 million) results from the
acquisition programme undertaken in the period since flotation. Overall, the
Group has accumulated goodwill of #42.5 million since flotation, with
amortisation being spread over a period of 5 to 20 years.

Dividend

The Board is to commence payment of a dividend in line with the pledge given at
flotation. The amount of the recommended dividend is 1p. Assuming approval by
shareholders, the dividend will be paid on 20th May 2003 to shareholders on the
register on 25th April 2003.

Earnings per Share - Fully Diluted

This key performance indicator unadjusted shows a loss of 1.71p per share (2001:
earnings 7.19p).

Once the figure is adjusted for amortisation and non-recurring items the fully
diluted earnings per share is 10.15p (2001: 10.75p).  Earnings have therefore
reduced by 5.9%, reflecting the Group's relative performance over the year.

However, this is against the backdrop of a very challenging market and the
substantial improvements in the infrastructure of the business made in 2002.

Balance Sheet

Share Capital and Acquisitions

Overall, the Group significantly increased its share capital over the year:

1. Issue of 1.52 million shares at an average issue price of 225p for
acquisitions.

2. Issue of 4.42 million shares at 225p by means of a Placing and Open Offer to
shareholders.

Deferred consideration has been accrued in the 2002 financial statements as
shares to be issued. The total value of #4.1 million is primarily in relation to
the Canadian former shareholders of GEM and Echo. The share values of these
transactions were 270p and 240p respectively.

It is difficult to predict future deferred consideration share payments other
than to note that the only businesses which could receive a substantial payment
are GEM Europe, Echo and Stellar Financial Partners. The minimum price at which
shares can be issued for these companies is 180p, 190p and 250p respectively.

The remainder of the financial information is explained in the notes to the
Financial Statements.

Sean Kelly
Finance Director and Deputy Chief Executive

CONSOLIDATED PROFIT AND LOSS ACCOUNT 
Year ended 31st December 2002 
                                                                      Unaudited     Audited   
                                                                           2002        2001 
                                                               Notes       #000        #000 
Turnover                                                                                     
- Continuing operations and share of joint venture                       32,467      23,542  
- Acquisitions                                                           15,990           - 
- Less: Share of joint venture                                                -        (540) 
                                                                       _________    ________
Group Turnover                                                     1     48,457      23,002  
Cost of sales                                                           (15,069)     (6,841) 
                                                                       _________    ________
Gross profit                                                             33,388      18,161  
Exceptional administrative expenses                                2     (1,547)           - 
Amortisation of goodwill                                                 (1,955)       (780) 
Other administrative expenses                                           (29,676)    (12,947) 
Administrative expenses - Total                                         (33,178)    (13,727) 
                                                                       _________    ________
Operating profit                                                   1                         
- Continuing operations                                                    (237)      2,434  
- Acquisitions                                                             (447)          - 
                                                                            210       2,434  
Share of operating loss of joint venture                                      -         (82) 
Exceptional items                                                             -          42  
                                                                            210       2,394  
Interest receivable                                                         230         170  
Interest payable                                                           (434)       (234) 
                                                                       _________    ________
Profit on ordinary activities before taxation                                 6       2,330  
Tax on profit on ordinary activities                               3       (388)       (842) 
                                                                       _________    ________
Profit on ordinary activities after taxation                               (382)      1,488  
Minority interest                                                           (56)         29  
                                                                       _________    ________
                                                                           (438)      1,517  
Proposed dividend                                                          (258)          - 
                                                                       _________    ________
Profit retained                                                            (696)      1,517  
                                                                       =========    ========
(Loss) / Earnings per Ordinary share (pence)                       4          p.          p. 
Basic                                                                     (1.84)       9.00  
Diluted                                                                   (1.71)       7.19  
                                                                       _________    ________
Adjusted Earnings per Ordinary share (pence)                       4                         
Basic                                                                     10.93       13.45  
Diluted                                                                   10.15       10.75  

                                                                           #000        #000 
STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES                                               
Profit for the financial year                                              (438)      1,517  
Translation adjustment on opening reserves                                  (78)          - 
                                                                       _________    ________
Total gains and losses recognised since last annual report                 (516)      1,517  
                                                                       =========    ========

CONSOLIDATED BALANCE SHEET 
As at 31st December 2002 

                                                                                                           
                                                      Unaudited               Audited              
                                                        2002                    2001         
                                        Notes      #000        #000       #000        #000   
FIXED ASSETS                                                                                  
Intangible assets                           5                39,293                 29,225 
Tangible assets                             6                 4,990                  3,507 
Trade investments                           7                 1,093                     66 
                                                            _______                _______
                                                             45,376                 32,798 
CURRENT ASSETS                                                                                
Stocks and work in progress                         344                    266            
Debtors                                          16,963                 10,580            
Cash at bank and in hand                          5,302                  1,896            
                                                 ______                 ______
                                                 22,609                 12,742            
CREDITORS: AMOUNTS FALLING                                                                    
DUE WITHIN ONE YEAR                             (23,355)               (12,209)            
Net Current (liabilities) / assets                             (746)                   533 
                                                            _______                _______
Total assets less current liabilities                        44,630                 33,331 

CREDITORS: AMOUNTS FALLING DUE                                                                
AFTER MORE THAN ONE YEAR                                     (3,523)                (5,214) 
Minority interests                                              169                      - 
                                                            _______                _______
                                                             41,276                 28,117 
                                                            =======                =======
CAPITAL AND RESERVES                                                                          
Called up share capital                     8                12,880                  9,913 
Share premium                               8                22,976                 13,176 
Shares to be issued                         8                 4,098                  2,932 
Revaluation reserve                                             171                    171 
Profit and loss account                                       1,151                  1,925 
                                                            _______                _______
Shareholders' funds                         9                41,276                 28,117 
                                                            =======                =======

CONSOLIDATED CASH FLOW STATEMENT 
Year ended 31st December 2002 

                                                                                                                   
                                                                         Unaudited               Audited             
                                                                            2002                   2001         
                                                           Note        #000        #000       #000       #000   
Cash inflow from operating activities                        10                   1,892                 2,564 

Returns on investments and servicing of finance                                                               
Interest paid                                                          (434)                  (204)            
Interest received                                                       230                    170            
                                                                      _____                  _____
Net cash (outflow) from returns on investments                                     (204)                  (34) 
and servicing of finance                                                                                      

Taxation                                                                         (1,026)                 (534) 

Capital expenditure and financial investment                                                                  
Purchase of tangible fixed assets                                    (1,072)                  (482)            
Purchase of intangible fixed assets                                     (10)                     -            
Sale of tangible fixed assets net of relocation costs                    94                     64            
                                                                      _____                  _____
Net cash (outflow) from capital                                                                               
expenditure and financial investment                                               (988)                 (418) 

Acquisitions and disposals                                                                                    
Purchase of subsidiaries                                             (3,570)                (6,471)            
Net overdraft from purchase of subsidiaries                               -                   (613)            
Purchase of investments                                                (894)                     -            
Sale of investment                                                       66                     81            
                                                                      _____                  _____
Net cash outflow from acquisitions and disposals                                 (4,398)               (7,003) 

Management of liquid resources                                                                                
Sale of short-term bank deposits                                                      -                 3,500 
                                                                                _______               _______
Net cash outflow before financing                                                (4,724)               (1,925) 

Financing                                                                                                     
New shares issued for cash                                            9,937                  2,028            
Less associated costs                                                  (580)                   (98)            
Receipt from borrowings                                                   -                  3,205            
Repayment of borrowings                                              (1,973)                (1,809)            
Capital element of finance lease rentals                               (881)                  (363)            
                                                                      _____                  _____
Net cash inflow from financing                                                    6,503                 2,963 
                                                                                _______               _______
Increase in cash                                                                  1,779                 1,038 
                                                                                =======               =======
NOTES TO THE FINANCIAL INFORMATION 
Year Ended 31st December 2002 

                                                                                                                     
1. Analysis of Trading and Net Assets                                                                             

Class of Business                                                                                                 
                                                                               Profit before                            
Divisions                                              Turnover                  Taxation               Net Assets      
                                                    2002      2001             2002     2001          2002      2001 
                                                    #000      #000             #000     #000          #000      #000 
Client representation                             38,648    12,407            2,001    2,619        30,499    20,905 
Events                                             9,809    10,595              164      595         2,763     2,985 
                                                 _______    ______           ______   ______       _______   _______
                                                  48,457    23,002            2,165    3,214        33,262    23,890 
                                                 =======    ======
Goodwill amortisation                                                        (1,955)    (780)                         
                                                                             _______  ______
Operating profit                                                                210    2,434                         
Share of operating profit and net assets                                                                          
of Joint Venture                                                                  -      (82)            -         - 
                                                                             ______   ______       _______   _______
                                                                                210    2,352        33,262    23,890 
Net interest                                                                   (204)     (64)            -         - 
Exceptional items                                                                 -       42             -         - 
Unallocated                                                                       -        -         8,014     4,227 
                                                                             ______   ______       _______   _______
Group profit before taxation/net assets                                           6    2,330        41,276    28,117 
                                                                             ======   ======       =======   =======
Geographical                                                                                                      
Europe                                            24,783    16,695            1,632    2,424        25,993    20,190 
North America                                     23,674     6,307              533      790        15,283     7,927 
                                                 _______    ______           ______   ______       _______   _______
                                                  48,457    23,002            2,165    3,214        41,276    28,117 
                                                  ======    ======           ======   ======       =======   =======

                                                                                                                      
2. Exceptional administrative expenses                                                                              
                                                                                                        2002     2001 
                                                                                                        #000     #000 
Relocation costs of the Group's head office                                                              395        - 
Provision for significant bad debts                                                                      914        - 
North America's cost of restructuring                                                                    238        - 
                                                                                                       _____     ____
                                                                                                       1,547        - 
                                                                                                       =====     ====
3. Tax on Profit on Ordinary Activities                                                                             
United Kingdom corporation tax charge at 30% (2001: 30%)                                                            
based on the profit for the year                                                                         516      783 
Adjustment in respect of prior year charge                                                                (9)    (159) 
                                                                                                       _____     ____
                                                                                                         507      624 
Overseas taxation                                                                                        104      218 
Adjustment in respect of prior year charge                                                              (122)       - 
                                                                                                       _____     ____
                                                                                                         489      842 
                                                                                                       _____     ____
Deferred Tax                                                                                                        
United Kingdom                                                                                                      
  - current year                                                                                         (19)       - 
  - prior year                                                                                           (85)       - 
Overseas - current year                                                                                    3        - 
                                                                                                       _____     ____
                                                                                                        (101)       - 
                                                                                                       _____     ____
                                                                                                         388      842 
                                                                                                       =====     ====
Tax chargeable in relation to the non-operating exceptional item in 2001 
amounted to #12,000.                       

The tax charge is more than would be expected on profits of #6,000 (2001:
#2,330,000) at the standard 30% rate of corporation tax. The
differences are explained as follows:                                           

Tax on profits on ordinary activities at 30%                                                               2      699 
Effects of:                                                                                                         
Goodwill amortisation and other expenses not deductible for tax purposes                                 586      297 
Capital allowances in excess of depreciation                                                              16       (6) 
Expenses not deductable for tax purposes                                                                 114        - 
Share of joint venture loss                                                                                -       34 
Higher tax rate on overseas earnings                                                                      21       57 
Losses in overseas subsidiaries                                                                           71          
Use of losses from previous periods                                                                      (35)     (83) 
Adjustment to tax charge in respect of previous period                                                  (153)    (159) 
Exchange differences on inter-company balances                                                           (55)       - 
Other timing differences                                                                                 (78)       3 
                                                                                                         ____    ____
Tax charge on profit on ordinary activities                                                              489      842 
                                                                                                         ====    ====
4. Earnings Per Share                                                                             
                                                               Weighted        Basic     Adjusted  
                                                                average    per share    per share 
                                              Earnings    no. of shares       amount       amount 
2002                                              #000           Shares        Pence        Pence 
Attributable to ordinary shareholders:                                                            

(Loss)                                           (438)                                            
                                             _________
Adjusted earnings                               2,600                                             
                                             _________
(Loss) / earnings per share                                 23,783,309        (1.84)       10.93  
                                                                             =======       =====
Dilutive effect of securities                                                                     
Options, warrants and shares to be issued                    1,830,331                            
                                                           ___________
Diluted earnings per share                                                                        
(Loss) / earnings per share                                 25,613,640        (1.71)       10.15  
                                                           ===========       =======       =====
2001                                                                                              
Attributable to ordinary shareholders:                                                            

Earnings                                         1,517                                            
                                                ______
Adjusted earnings                                2,268                                            
                                                ______
Earnings per share                                          16,858,009         9.00        13.45  
                                                                             ======        =====
Dilutive effect of securities                                                                     
Options, warrants and shares to be issued                    4,243,238                            
                                                           ___________
Diluted earnings per share                                                                        
Earnings per share                                          21,101,247         7.19        10.75  
                                                           ===========       ======        =====

The Adjusted earnings per share is based on the retained results adjusted by the
amortisation of goodwill and the exceptional administrative expenses and
exceptional items net of taxation at 30%. 

                                                                                               
5. Intangible Assets                                                   
                                       Goodwill    TV Rights     Total 
                                           #000         #000      #000 
Cost:                                                                  
At 1 January 2002                        30,583            -    30,583 
Subsidiaries acquired in year            11,870            -    11,870 
Acquired with subsidiaries                    -          249       249 
Additions                                     -           10        10 
                                        _______      _______   _______
At 31 December 2002                      42,453          259    42,712 
                                        _______      _______   _______
Amortisation:                                                          
At 1 January 2002                         1,358            -     1,358 
Charge for the year                       1,955          106     2,061 
                                        _______      _______   _______
At 31 December 2002                       3,313          106     3,419 
                                        _______      _______   _______
Net book value at 31 December 2002       39,140          153    39,293 
                                        =======      =======   =======
Net book value at 31 December 2001       29,225            -    29,225 
                                        =======      =======   =======                                                  
                                                                  
6. Tangible Fixed Assets                                                                                           
                                                                                     Plant &    Furniture            
                                                           Freehold       Motor        event          and             
                                                           property    vehicles    equipment    equipment      Total 
                                                               #000        #000         #000         #000       #000 
The Group                                                                                                          
Cost or valuation:                                                                                                 
  1 January 2002                                                530       1,726        1,573        3,400      7,229 
  Translation                                                     -           -            -         (109)      (109) 
  Additions                                                       -         320        1,124          865      2,309 
  Acquired on acquisition                                         -         149           38        1,852      2,039 
  Disposals                                                       -        (373)        (341)        (305)    (1,019) 
                                                              _____      ______       ______        _____     ______
At 31 December 2002                                             530       1,822        2,394        5,703     10,449 
                                                              _____      ______       ______        _____     ______
Accumulated depreciation:                                                                                          
  1 January 2002                                                 15       1,044          632        2,031      3,722 
  Translation                                                     -           -            -          (36)       (36) 
  Charge for the year                                            15         340          432          721      1,508 
  Acquired on acquisition                                         -          68            -        1,122      1,190 
  Disposals                                                       -        (279)        (341)        (305)      (925) 
                                                              _____      ______       ______        _____     ______
At 31 December 2002                                              30       1,173          723        3,533      5,459 
                                                              _____      ______       ______        _____     ______
Net book value:                                                                                                    

At 31 December 2002                                             500         649        1,671        2,170      4,990 
                                                              =====      ======       ======        =====      =====
At 31 December 2001                                             515         682          941        1,369      3,507 
                                                              =====      ======       ======        =====      =====

7. Trade Investments                                                                                               
At 1 January 2002                                                                                                 66 
Additions during the year:                                                                                         
Hambric Sports Management Inc.                                                                                     
  - 17.5% shareholding                                                                                           424 
  - convertible loan stock (12.5% of shareholding)                                                               322 
StandOut Sports and Entertainment Inc.                                                                             
  - 50% shareholding                                                                                             162 
  - loan at 8% interest                                                                                          129 
Sportsunite (Asia) Limited                                                                                        56 
                                                                                                               _____
                                                                                                               1,159 
Disposal of share option in CSS Stellar Golf Limited                                                             (66) 
                                                                                                               _____
At 31 December 2002                                                                                            1,093 
                                                                                                               =====    
  
8. Called Up Share Capital                                                                                          

The following is the movement in shares, shares capital and share premium during
in the year:                       

                                              Date                  Shares        Share       Share           Share  
                                                                                  Price      Capital        Premium 
                                                                       No.            #         #000           #000 
At 1 January 2002                                               19,826,530                     9,913         13,176 
Acquisition of:                                                                                                     
Vertical Mix Marketing                        22 January            46,894         2.97           23            116 
The GEM Group (Europe)                        26 April             840,000         2.50          420          1,680 
Backporch                                     26 April              16,400         2.44            8             32 
Hambric Sports Management Inc.                18 September         114,000         1.25           57             85 
StandOut Sports and Entertainment Inc.        18 September          46,000         1.25           23             34 
Target Entertainment                          25 September         155,000         1.55           78            162 
Deferred consideration for:                                                                                         
The GEM Group                                 18 April             109,903         2.52           55            222 
The Peters Fraser & Dunlop Group              17 September         190,502         2.18           95            320 
New Shares issued for cash:                   22 April           4,416,316         2.25        2,208          7,729 
Costs of issuing shares                                                                                        (580) 
                                                                __________                __________     __________
At 31 December 2002                                             25,761,545                    12,880         22,976 
                                                                ==========                ==========     ==========

Shares to be issued:                                                          1 January    Movements    31 December  
                                                                                   #000         #000           #000 
The GEM Group acquisition                                                                                           
705,186 ordinary shares at #2.70                                                  1,900            -          1,900 
Share options to be granted at a discount to market value                           256            -            256 
Deferred consideration                                                              276         (113)           163 

The Peters Fraser & Dunlop Group acquisition                                                                        
Deferred consideration                                                              500         (500)             - 

The Echo group of companies acquisition                                                                             
701,526 ordinary shares at #2.40                                                      -        1,684          1,684 

Other deferred consideration for acquisitions                                                                       
The Sponsorship Consultancy                                                           -           35             35 
Stellar Financial Partners                                                            -           60             60 
                                                                                _______      _______         ______
                                                                                  2,932        1,166          4,098 
                                                                                =======      =======         ======     
            
9. Reconciliation of Movements in Shareholders' Funds                                                      
                                                                                          2002       2001 
                                                                                          #000       #000 
(Loss) / profit for the financial year                                                    (696)     1,517 
Translation adjustment on opening reserves                                                 (78)            
New shares issued (including share premium)                                             13,347     12,274 
Costs of issuing shares charged to share premium                                          (580)       (98) 
Shares to be issued                                                                      1,166      2,582 
                                                                                        ______     ______
Net addition to shareholders' funds                                                     13,159     16,275 
Opening shareholders' funds                                                             28,117     11,842 
                                                                                        ______     ______
Closing shareholders' funds                                                             41,276     28,117 
                                                                                        ======     ======

10. Reconciliation of Operating Profit to Net Cash Inflow from Operating Activities                        

Operating profit                                                                           210      2,434 
Dividend paid to minority interest                                                           -        (22) 
Depreciation charge                                                                      1,508        796 
Amortisation of intangibles                                                              2,061        812 
(Increase)/decrease in stocks                                                              (78)         9 
Decrease /(increase) in debtors                                                          1,210       (784) 
(Decrease) in creditors                                                                 (3,019)      (681) 
                                                                                        ______     ______
Cash inflow from operating activities                                                    1,892      2,564 
                                                                                        ======     ======

11. Reconciliation of net cash flow to movement in net cash/debt                                           
Increase in cash in period                                                               1,779      1,038 
(Decrease) in short term bank deposits                                                       -     (3,500) 
Cash outflow / (inflow) from increase in net debt and lease financing                    2,854     (1,033) 
Net debt acquired on acquisition                                                          (912)    (4,870) 
                                                                                        ______     ______
Change in net (debt)/cash                                                                3,721     (8,365) 
Inception of finance leases                                                             (1,237)      (207) 
                                                                                        ______     ______
                                                                                         2,484     (8,572) 
Net (debt)/cash brought forward                                                         (5,760)     2,812 
                                                                                        ______     ______
Net (debt) carried forward                                                              (3,276)    (5,760) 
                                                                                        ======     ======               
                                                                                     
Analysis of Net Cash/(Debt)                                                       
                                   At 1        Cash Flow    Non-cash       At 31 
                                January    /Acquisitions       items    December 
                                   2002                                     2002 
                                   #000             #000        #000        #000 
Cash at bank                      1,896            3,406           -       5,302 
Overdrafts                         (472)          (1,627)          -      (2,099) 
                                 ______            _____      ______     _______
                                  1,424            1,779           -       3,203 
Bank debt due after 1 year       (2,387)           1,137           -      (1,250) 
Bank debt due within 1 year      (1,136)             261           -        (875) 
GEM loan notes                        -             (440)          -        (440) 
ECHO loan notes                       -             (394)          -        (394) 
Unsecured equity bonds 2004        (104)              22           -         (82) 
Guaranteed loan notes            (2,500)             553           -      (1,947) 
Finance leases                   (1,057)             803      (1,237)     (1,491) 
                                 ______            _____      ______     _______
Total                            (5,760)           3,721      (1,237)     (3,276) 
                                 ======            =====      ======     =======

12. Principal Accounting Policies

The principal accounting policies of the Group are set out in the Group's 2001
Annual Report and Financial Statements.  The policies have remained unchanged
from the previous Annual Report apart from the policy in relation to deferred
tax which has been amended in line with FRS 19.

13. Financial Information

The financial information set out in this preliminary announcement does not
constitute Statutory Accounts as defined in Section 240 of the Companies Act
1985.  The summarised Balance Sheet at 31 December 2002 and the summarised
Profit and Loss Account, the summarised Cash Flow Statement and associated notes
for the year then ended have been extracted from the Group's Financial
Statements.  Those Financial Statements have not yet been delivered to the
Registrar, nor have the Auditors reported on them.

The financial information relating to the period ended 31 December 2001 is
extracted from the statutory accounts, which incorporated an unqualified audit
report and which has been filed with the Register of Companies.


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