REUTERS GROUP PLC ANNUAL REPORT AND ACCOUNTS 1999

Summary of 1998 and 1999 results continued1999 1998H1 H2 FY H1 H2 FYContribution margin £M £M £M £M £M £MReuters Information 14% 17% 16% 12% 8% 10%Reuters Trading Systems 31% 28% 29% 35% 34% 35%Instinet 31% 18% 25% 36% 34% 35%Reuters Ventures (7%) (12%) (10%) (16%) (19%) (18%)RBB (3%) n/a (3%) (32%) (18%) (23%)TSI (29%) n/a (29%) (7%) (4%) (6%)Total contribution margin 19% 19% 19% 19% 17% 18%Total divisional contribution margin excluding TSI/RBB 20% 19% 19% 21% 18% 19%Net currency gain 3 3 6 22 17 39Goodwill amortisation (24) (23) (47) (25) (21) (46)Operating profit 278 271 549 278 272 550Operating margin 17.8% 17.3% 17.6% 19.1% 17.2% 18.2%Profit on disposal of fixed asset investments 29 21 50 – 26 26(Loss)/profit from associates (1) (16) (17) 2 (3) (1)Income from fixed asset investments – 2 2 3 – 3Net interest (payable)/receivable (6) 2 (4) 11 (9) 2Profit on disposal of subsidiary – 52 52 – – –Profit before taxation 300 332 632 294 286 580Taxation on profit on ordinary activities (98) (109) (207) (99) (97) (196)Profit after taxation attributable to ordinary shareholders 202 223 425 195 189 384Tax rate on profit before goodwill 30% 30% 31% 31%Earnings per ordinary share 14.3p 30.2p 13.3p 26.7pEarnings per ADS (USD rate = $1.61) $1.38 $2.91 $1.29 $2.58Dividend per ordinary share 3.65p 11.0p 14.65p 3.4p 11.0p 14.4pNumber of ordinary shares ranking for dividend (millions) 1,413 1,402 1,409 1,40984 Reuters Group PLC Annual Report 1999