Untitled

Accounting Policies
Basis of preparation
The consolidaed finanoal statements are prepared under the
historical cost convention and in accordance with applicable
accounting standards. The resufs for the years ended 31 March
2000 and 31 March 1999 represent continuing operations.
The geographical segmen6 shq,'rn in llote t ha\€ been re/ised to
reflect rnore accurately the way the business is currently managed.
The prior-par comparatrves hale been restated to reflect this.
Basis of consolidation
The consolidated financial statements comprise the accounts of
the Company and its subsidiaries. the resuls of all subsidiaries are
taken from therr accoun6 made up to 31 March. The resuls of
subsidiaries, joint ventures and asociated undertakings disposed
of or acquired during the year are included up to, or from, the
date that control pass6.
Changes in accounting policies and presentation of
financial information
The Accounting Standards Board isued the {ollowing Financial
Reporting Standard effectrve for the CompanyS year ended 31
Mirch 2000: FPSIS - Tangible Fixd Asse6. lhis standard was
ad@ted by the Group Wth effect from 1 April 1999 and has had
no material impact on the accounB as transitional anangements
have been adopted. Addibonally, a naau accounting policy for
na,v media holdings, as detailed below, has been applied during
the year.
Foreign currencies
Transaictions denominated in foreign currencies are recorded
at the rates of exchange ruling at the date of the transaction.
Monetary asse6 and liabilities denominated in foreign cunencies
are retranslated into sterling either at year+nd rates or, where
there are related forward foreign exchange contracb. at contact
rates. The resuhing o(hange differences are dealt with in the
determination of profrt for the financial year.
On consolidation, a\erage exchange rates hale been used to
translate the resulB of overseas subsidiaries, joint ventures and
associated undertakings. The assets and liabilities of cwerseas
subsidiaries and associated undertakings are translated into sterling
at year+nd rates.
Exchange differencs arising from the retranslation at year€nd
exchange rates of:
(i) the opening net investment in o/erseas subsdiaries, joint
lenttjres anid associated undertakings and foreign currency
bonor,rurngs in so far as they are matched by those overseas
investments; and
(ii) the resulb of o/erseas subsidiaries, Joint venturcs and
associated undertakings,
are dealt with in Group reserves.
Tumover
Turnover represents the invoiced value or contracted amount of
gmds and services supplied by the Company and is subsdiaries.
Turnoer excludes value added tax and similar sales-related taxes.
Pension cosE
Pension cosb, which are determined in xcordance with
Statement of Standard Accountrng Practice 24 - Accounting
for ftnsrbn CosB (SSAP 24), are charged to the profit and loss
account so as to spread the cost of pensions over the woking
li\es of the employees within the Group. Valuation surpluses or
deficlts are amortised wer the expected remaining working life
within the Group of the relevant emplqpes (6tjmated to be 8 years
in respect of the UK). The amortisation of valuation surpluses
is rcstricted to an amount equal to the regular pension cost.
Accordingly, emplqpr expense in respect of the main scheme,
which covers employees in the UK. has been taken as nilfor
each of the two yeam ended 31 March 2000 for reasons of
conservatism.
Joint ventures and associated undertakings
Where the Group has an in€stment in an entrty which is sufflcient
to give the Group a participating interest, and over vvhich it is in
a posrtion to exercise significant influence, the entity is treated as
an associated undertaking and is rcounted for using the equity
method. Entities in vvhich the Group holds an interest on a longterm
basis and which are jointly controlled by the Group and one
or more other parties under a contractual anangement, are
treated as joint ventum and are accounted for using the gros
equity method.
fhe resutts of joint \€ntures and associated undertakings are taken
from their accounts made up to 31 March or such earlier date (not
prior to 31 December)which represents their financial period end
as adjusted for.material items that have occuned in the
rntervenrng penod.
Goodwill and other intangibles
Goodwill and recorded catalogue intangibles arising on
acquisitions made after 31 March 1998 are opitalised and
amortised c €r their expected useful life, principally restricted
to 20 vea6, in accordance wth FRS10. They are revis/'/ed for
rmpairhent at the end of the finl {ull iinancial year follorrurng
acquietion and in other penods if orens or changes in
ciromstances indicate that the carrying value may not be
recoverable.
Goodwill arising on acquisitions made before 31 March 1998
has been charged directly against shareholders' funds in the year
of acquisitron and is included within the profit and loss reserve,
yet sebarately identffied within the reserves note. This goodwill will
iemaiir in reirves until, on the disposl or closure of any business,
the profn and loss account includes a charge in respect of the
good\,,/ill prs/iously witten off against shareholders' funds on
the acquisition of the business.