Re SIS Dividend Policy

15 Jan 2007 07:01

Catalyst Media Group PLC15 January 2007 15 January 2007 Catalyst Media Group Plc ("CMG" or the "Company") Re SIS Dividend Policy CMG owns a 22.2% stake in Satellite Information Services (Holdings) Limited("SIS"), the leading producer of video, audio and data to over 9,700 licensedbetting offices in the UK and Ireland whose major customers include Ladbrokes,William Hill, Coral and the Tote. In the Company's Interim Statement for the six month period ended 30 September2006, the Board stated "SIS has, in the recent past, had a policy of declaring adividend every four years. In line with this policy, the Board believes asignificant dividend from SIS will be paid in the first quarter of 2007 which,if paid will have a direct impact on profits and earnings." CMG has been advised that it is no longer the intention of SIS to pay a dividendin the first quarter of 2007 and that the future SIS dividend policy is morelikely to be that it will pay regular annual dividends consistent with annualprofits instead of significant four yearly payments. SIS's future dividendpolicy is to be discussed by the Board of SIS over the next few months, as willthe timing and quantum of the next dividend. As a result of this possible change in policy by the board of SIS, the directorsof CMG will be discussing the implications of that possible change on itsfunding arrangements and a further announcement will be made as appropriate. SIS reported on 5th January 2007 that Britain's, third biggest betting shopchain Coral followed the example of the two market leaders, William Hill andLadbrokes, by signing a long term deal to take live pictures, audio and dataprovided by SIS until April 2011. SIS now has 68% of its customer base in longterm contracts, thus underpinning the future long term profitability of thebusiness. EnquiriesMichael RosenbergCatalyst Media Group plc 020 7927 6699 This information is provided by RNS The company news service from the London Stock Exchange