REG-UTV Media PLC: Half-yearly Report

UTV Media plc

("UTV" or "the Company" or "the Group")

Interim Results

for the six months ended 30 June 2009

Financial highlights:

* Group turnover down 10% to £54.5m (2008 : £60.9m)

* Group operating profit, including associates, is £11.0m (2008: £15.4m)

* Pre-tax profits before exceptional items of £7.8m (2008: £11.2m)

* Reduction in net debt of £12.1m

* As a result of refinancing in 2008, a reduction in debt and lower interest
rates, net finance costs reduced to £3.0m (2008: £4.3m)

* Radio operating profit, including income from associates, down 16% to £8.2m
(2008: £9.8m) accounting for 74% of total operating profit

* Television operating profits down 61% to £1.8m (2008 : £4.7m)

* New Media operating profits up by 9% to £1.0m (2008 : £0.9m)

* £3.0m of targeted annual savings of £5.0m achieved in H1 2009 - ahead of
budget

John McCann, Group Chief Executive, UTV Media plc, said:

"This has undoubtedly been a challenging six months. However, our results
demonstrate the resilience of the business. Over the last six months we have
actively sought to reduce costs and reduce our debt. Both have been successful
and have gone some way to moderate the impact of unprecedented advertising
markets. It is difficult to give a detailed outlook because of continuing
macroeconomic uncertainty, nonetheless we are expecting the rate of decline in
advertising to slow as comparatives ease over the coming months."

For further information contact:

Maitland +44 (0) 20 7379 5151
Anthony Silverman
Rowan Brown

UTV Media plc
John McCann, Group Chief Executive +44 (0) 28 9026 2202
Norman McKeown, Group Finance Director +44 (0) 28 9026 2098
Orla McKibbin, Head of Communications +44 (0) 28 9026 2188

Introduction

Your company's ability to cope with the severity of the recession is evidenced
in these results. Prompt action in disposing of loss making radio assets and in
implementing a disciplined cost reduction programme, which is ahead of target,
mitigated against an unprecedented slump in advertising markets. As a result,
while revenue fell by £6.4m, group operating profit was down by £4.4m to £11.0m
and pre-tax profit was £7.8m (2008: £11.2m). Our continuing focus on cash
management helped to drive down net debt during the period by £12.1m.

Results

Group turnover from continuing operations for the first six months of 2009
reduced by 10% to £54.5m (2008: £60.9m). Operating profit, including
associates, before exceptional items was down by 29% to £11.0m (2008: £15.4m)
with television profits falling by 61% to £1.8m (2008: £4.7m) and profits from
GB radio reducing by 26% to £4.6m (2008: £6.2m). Our Irish radio operating
profit of £3.6m was in line with last year (2008: £3.6m), assisted by exchange
gains and the acquisition of FM104 in April of 2008. New Media profits of £1.0m
also were comparable to last year (2008: £0.9m). After net interest costs of £
3.0m (2008: £4.3m), pre-tax profits before exceptional items were down by 30%
to £7.8m (2008: £11.2m). Diluted adjusted earnings per share were 6.17p (2008:
13.72p). Net debt reduced from £108.4m at the year end to £96.3m. Cash absorbed
during the six months included £1.3m in respect of restructuring and £1.4m in
respect of capital expenditure due to co-location of some of our radio
operations, while exchange rate movements had a beneficial impact of £4.4m.

Dividend

The inherent uncertainty as to the depth and duration of the recession and its
impact on advertising, forces us to adopt a more cautious approach to the
interim dividend. Whilst we remain committed to the longer term objective of
increasing dividends, we believe it is prudent at this time not to pay an
interim dividend but to review the full year dividend payout for 2009 and our
future dividend policy at the time of publication of our 2009 results in March
next year.

Radio

Total revenue from our radio operations was down by £2.1m to £33.1m, with
operating profit falling by £1.6m to £8.2m. Our GB radio division experienced
an improving trend, with a 16% decline in revenue in the first quarter moving
back to an 11% decline in the second quarter. An overall 13% reduction in the
six months outperformed a market which we believe was down by 16%. Revenue from
our continuing GB radio operations was £20.8m (2008: £23.8m) and operating
profit was £4.6m (2008: £6.2m).

Our Irish radio division increased revenue by £0.9m, or 8%, to £12.3m, with the
inclusion of FM104 for the full six months accounting for a 17% uplift and
sterling translation exchange gains adding 12%. On a like for like basis, Irish
Radio revenue fell by 21% in the period, with the second quarter decline being
somewhat worse than anticipated at 23%. Irish radio operating profit was
maintained at £3.6m for the first half.

Television

After an 18% decline in the first quarter, television advertising revenue fell
more sharply in the second quarter, resulting in a 23% reduction to £14.0m
(2008: £18.3m) for the period as a whole. While television advertising revenue
from GB moved broadly in line with the market, our advertising revenue from the
Republic of Ireland dropped by 40% in the half year largely reflecting reduced
revenue from multi-national customers. Television advertising revenue from the
Northern Ireland market was relatively resilient, suffering only a 6% decline.
Our rigorous cost reduction programme helped to offset some of the £4.4m
reduction in total television revenue from £19.9m to £15.5m to give a
television operating profit for the six months of £1.8m (2008: £4.7m).

New Media

Our continued emphasis on achieving higher margins for broadband and telephony
and our focus on content delivery through Tibus have ensured a solid
performance in difficult trading conditions. In the six months to 30 June 2009,
new media revenues were up by 1% to £5.9m (2008: £5.8m) and operating profits
were up by 9% to £1.0m (2008: £0.9m)

Prospects

The task of providing guidance about future trading has never been more
difficult. Nevertheless, our expectation is that as the comparative numbers
become softer, the rate of decline in advertising revenue will slow.

The effect of those comparatives is beginning to be felt in GB Radio which had
started to turn negative in the summer of last year. Our expectation is that GB
radio revenue, which had declined by 13% in the first half of 2009, will ease
to no more than a 6% reduction in the third quarter. Irish radio revenue, which
was down by 21% on a like for like basis in the first 6 months of this year, is
expected to be down by 20% in the current three months. The rate of decline in
the television advertising marketplace is slowing in this quarter and
television revenue for the 3 months to the end of September should be down by
16%. Thereafter, in both television and radio, the advertising market will be
responsive to the changing macroeconomic situation, with any improvement in the
latter being rewarded with enhanced demand in the former.

Our New Media division is expected to deliver revenue in line with forecasts
and generate operating profit somewhat ahead of 2008. We are continuing to
drive down costs wherever possible and, in the full year, expect to deliver
savings of £6m compared to the targeted £5m.

Fundamentally, UTV is a strong business with excellent assets, diversified
across multiple media platforms and is run by a highly experienced management
team. We believe we are well positioned for the upturn when this current
unpredictable period comes to an end.

John B McGuckian
Chairman
27 August 2009

Group Income Statement

for the six months ended 30 June 2009

Results Result
before before
Exceptional Exceptional Exceptional Exceptional
Items Items Total Items Items Total
30 30 30 30 30 30
June June June June June June
Notes 2009 2009 2009 2008 2008 2008
£000 £000 £000 £000 £000 £000

Continuing operations

Revenue 3 54,505 - 54,505 60,899 - 60,899

Operating costs (43,634) - (43,634) (45,580) - (45,580)

----- ----- ----- ----- ----- -----

Operating profit 3 10,871 - 10,871 15,319 - 15,319
from continuing
operations before
tax and finance
costs

Exceptional costs 6 - - - - (487) (487)

Share of results of 143 - 143 101 - 101
associates accounted for
using the equity method

----- ----- ----- ----- ----- -----

Profit from continuing 11,014 - 11,014 15,420 (487) 14,933
operations before tax
and finance costs

Finance revenue 104 - 104 188 - 188

Finance costs (3,071) - (3,071) (4,459) - (4,459)

Foreign exchange (244) - (244) 78 - 78
(loss)/gain

----- ----- ----- ----- ----- -----

Profit from continuing 7,803 - 7,803 11,227 (487) 10,740
operations before tax

Taxation (1,767) (1,500) (3,267) (2,558) 136 (2,422)

----- ----- ----- ----- ----- -----

Profit from continuing 6,036 (1,500) 4,536 8,669 (351) 8,318
operations after tax

Discontinued operations

Loss from discontinued (222) - (222) (615) (43) (658)
operations

----- ----- ----- ----- ----- -----

6 5,814 (1,500) 4,314 8,054 (394) 7,660

----- ----- ----- ----- ----- -----

Attributable to:

Equity holders of 5,667 (1,500) 4,167 7,923 (394) 7,529
the parent

Minority interests 147 - 147 131 - 131

----- ----- ----- ----- ----- -----

5,814 (1,500) 4,314 8,054 (394) 7,660

----- ----- ----- ----- ----- -----

Notes 2009 2008

Earnings per share

Continuing operations

Basic 8 4.60p 13.17p

Diluted 8 4.60p 13.15p

Adjusted 8 6.17p 13.74p

Diluted adjusted 8 6.17p 13.72p

------ ------

Continuing and discontinued operations

Basic 8 4.37p 12.11p

Diluted 8 4.37p 12.09p

Adjusted 8 5.94p 12.75p

Diluted adjusted 8 5.94p 12.73p

------ ------

£000 £000

Dividends

Declared and paid during the period 7

Nil pence per share (2008: 8.30p) - 4,759

------ ------

Group Statement of Comprehensive Income

for the six months ended 30 June 2009

30 30
June June
2009 2008
£000 £000

Profit for the period 4,314 7,660

------ ------

Other comprehensive income

Exchange difference on translation of foreign operations (8,850) 2,964

Actuarial loss on defined benefit pension schemes (5,960) (3,640)

Gain on cash flow hedges 89 970

Tax relating to other comprehensive income 1,646 577

------ ------

Other comprehensive (loss)/income for the period, net of (13,075) 871
tax

------ ------

Total comprehensive (loss)/income for the period, net of (8,761) 8,531
tax

------ ------

Attributable to:

Equity holders of the parent (8,908) 8,400

Minority interests 147 131

------ ------

(8,761) 8,531

------ ------

Group Balance Sheet

as at 30 June 2009

30 30 31
June June December
2009 2008 2008
Notes £000 £000 £000

ASSETS

Non-current assets

Property, plant and equipment 5 11,468 10,589 11,581

Intangible assets 256,491 251,598 270,542

Investments accounted for using the equity 258 298 151
method

Other investments - 300 -

Deferred tax asset 16,758 16,078 16,783

------ ------ ------

284,975 278,863 299,057

------ ------ ------

Current assets

Inventories 522 480 491

Trade and other receivables 28,146 28,658 30,895

Financial assets - 1,872 -

Cash and short term deposits 9,864 8,144 9,280

------ ------ ------

38,532 39,154 40,666

------ ------ ------

TOTAL ASSETS 323,507 318,017 339,723

------ ------ ------

EQUITY AND LIABILITIES

Equity attributable to equity holders of the parent

Equity share capital 55,557 8,086 55,557

Capital redemption reserve 50 50 50

Treasury Shares (1,258) (998) (1,258)

Foreign currency reserve 9,796 4,317 18,646

Cash flow hedge reserve (1,393) 1,872 (1,455)

Retained earnings 56,355 60,695 56,475

------ ------ ------

119,107 74,022 128,015

Minority interest 740 443 593

------ ------ ------

TOTAL EQUITY 119,847 74,465 128,608

------ ------ ------

Non-current liabilities

Interest bearing loans and borrowings 9 97,298 112,026 108,267

Pension liability 11 13,718 4,225 8,593

Provisions 1,623 923 1,100

Deferred tax liabilities 49,244 49,454 49,037

------ ------ ------

161,883 166,628 166,997

------ ------ ------

Current liabilities

Trade and other payables 29,963 29,923 31,612

Current portion of interest bearing loans 9 8,255 45,005 8,650
and borrowings

Financial liabilities 1,869 - 1,958

Tax payable 1,348 1,545 1,556

Provisions 342 451 342

------ ------ ------

41,777 76,924 44,118

------ ------ ------

TOTAL LIABILITIES 203,660 243,552 211,115

------ ------ ------

TOTAL EQUITY AND LIABILITIES 323,507 318,017 339,723

------ ------ ------

Group Statement of Changes in Equity

for the six months ended 30 June 2009

Cash
Equity Capital Foreign flow Share-
share redemption Treasury currency hedge Retained holder
capital reserve shares reserve reserve earnings equity
£000 £000 £000 £000 £000 £000 £000

Balance at 1 January 8,086 50 (740) 1,353 902 61,405 71,056
2008

Acquisition of treasury - - (258) - - - (258)
shares

Total net comprehensive - - - 2,964 970 4,466 8,400
income in the period

Share based payment (417) (417)

Dividends paid to - - - - - (4,759) (4,759)
equity shareholders

---- ---- ---- ---- ---- ---- ----

Balance at 30 June 2008 8,086 50 (998) 4,317 1,872 60,695 74,022

Acquisition of treasury - - (260) - - - (260)
shares

Rights issue proceeds 49,869 - - - - - 49,869

Rights issue costs (2,398) - - - - - (2,398)

Total net comprehensive - - - 14,329 (3,327) (1,072) 9,930
income/(loss) in the
period

Dividends paid to - - - - - (3,148) (3,148)
equity shareholders

---- ---- ---- ---- ---- ---- ----

Balance at 31 December 55,557 50 (1,258) 18,646 (1,455) 56,475 128,015
2008

Total net comprehensive - - - (8,850) 62 (120) (8,908)
(loss)/income in the
period

---- ---- ---- ---- ---- ---- ----

Balance at 30 June 2009 55,557 50 (1,258) 9,796 (1,393) 56,355 119,107

---- ---- ---- ---- ---- ---- ----

Shareholder Minority
equity interest Total
£000 £000 £000

Balance at 1 January 2008 71,056 312 71,368

Acquisition of treasury shares (258) - (258)

Total net comprehensive income in the period 8,400 131 8,531

Share based payments (417) - (417)

Dividends paid to equity shareholders (4,759) - (4,759)

------ ------ ------

Balance at 30 June 2008 74,022 443 74,465

Acquisition of treasury shares (260) - (260)

Rights issue proceeds 49,869 - 49,869

Rights issue costs (2,398) - (2,398)

Total net comprehensive income/(loss) in the 9,930 150 10,080
period

Dividends paid to equity shareholders (3,148) - (3,148)

------ ------ ------

Balance at 31 December 2008 128,015 593 128,608

Total net comprehensive (loss)/income in the (8,908) 147 (8,761)
period

------ ------ ------

Balance at 30 June 2009 119,107 740 119,847

------ ------ ------

Group Cash Flow Statement

for the six months ended 30 June 2009

30 30
June June
2009 2008
£000 £000

Operating activities

Cash generated from operations before exceptional costs 14,573 17,141

Discretionary pension payment (950) (950)

Exceptional costs (1,340) (730)

Tax received/(paid) 120 (605)

------ ------

Net cash inflow from operating activities 12,403 14,856

------ ------

Investing activities

Interest received 105 208

Proceeds on disposal of property, plant and equipment 65 -

Purchase of property, plant and equipment (1,758) (568)

Payment to acquire investments (236) (44,929)

------ ------

Net cash flows from investing activities (1,824) (45,289)

------ ------

Financing activities

Borrowing costs (2,905) (4,929)

Dividends paid to equity holders of the parent (9) (4,759)

Repayment of borrowings (6,778) (475)

Proceeds from borrowings - 38,705

Acquisition of treasury shares - (258)

Rights Issue costs (23) -

------ ------

Net cash flows used in financing activities (9,715) 28,284

------ ------

Net increase/(decrease) in cash and cash equivalents 864 (2,149)

Net foreign exchange differences (280) 56

Cash and cash equivalents at 1 January 9,280 10,237

------ ------

Cash and cash equivalents at 30 June 9,864 8,144

------ ------

Notes to the accounts

1. Basis of preparation

The interim financial statements have been prepared in accordance with IAS34
"Interim Financial Reporting" and the Disclosure and Transparency Rules of the
Finance Services Authority.

In addition the interim financial statements have been prepared on a basis
consistent with the accounting policies set out in the Group's Annual Report
and Accounts for the year ended 31 December 2008 except for the adoption of
IAS1 (revised) "Presentation of Financial Statements", IAS8 "Operating
Segments" and IAS32 (revised) "Borrowing Costs".

The adoption of IAS1 (revised) has required the reconciliation of movements in
equity, previously disclosed in note 29 to the Group Financial Statement for
the year ended 31 December 2008, to be presented as a primary statement
entitled "Group Statement of Changes in Equity". In addition the Group
Statement of Recognised Income and Expense has been replaced with the Group
Statement of Comprehensive Income resulting in some presentational changes from
the previous statement.

In adopting IFRS8 the Group concluded that the operating segments were the same
business segments determined under IAS14 "Segment Reporting". Details of these
operating segments are disclosed in note 3. In adopting IAS23 (revised) the
Group has amended its accounting policy and, from 1 January 2009, now
capitalises borrowing costs on qualifying assets. The implementation of this
policy has had no material impact on the Group's financial statements.

The interim results are unaudited but have been formally reviewed by the
auditors and their report to the Company is set out at the end of this Interim
Report. The information shown for the year ended 31 December 2008 does not
constitute statutory accounts within the meaning of Section 434 of the
Companies Act 2006 and has been extracted from the Group's 2008 Annual Report,
which has been filed with the Registrar of Companies. The report of the
auditors on the accounts contained within the Group's 2008 Annual Report was
unqualified and did not contain a statement under either Article 245(2) or
Article 245(3) of the Companies (Northern Ireland) Order 1986 regarding
inadequate accounting records or a failure to obtain necessary information and
explanations.

2. Seasonality and cyclicality

There is no significant seasonality or cyclicality affecting the interim
results of the operations.

3. Segmental information

The Group operates in four principal areas of activity - radio in GB, radio in
Ireland, commercial television and new media. These four principal areas of
activity also form the basis on which the Group is managed and reports are
provided to the Chief Executive and the Board. The following is an analysis of
the revenue and results for the period, analysed by reportable segment.

Revenue

Six months ended 30 June 2009

Radio Radio Television New Media Total
GB Ireland

£000 £000 £000 £000 £000

Sales to third parties 20,783 12,324 15,534 5,864 54,505

Intersegmental sales 464 667 806 - 1,937

----- ----- ----- ----- ----

Total segment revenue 21,247 12,991 16,340 5,864 56,442

----- ----- ----- ----- ----

Six months ended 30 June 2008

Radio Radio Television New Media Total
GB Ireland

£000 £000 £000 £000 £000

Sales to third parties 23,829 11,395 19,883 5,792 60,899

Intersegmental sales 517 574 607 - 1,698

----- ----- ----- ----- -----

Total segment revenue 24,346 11,969 20,490 5,792 62,597

----- ----- ----- ----- -----

Results

Six months ended 30 June 2009

Radio Radio Television New Media Total
GB Ireland

£000 £000 £000 £000 £000

Segment operating profit before 4,468 3,580 1,815 1,008 10,871
exceptional costs

Share of results of associates 143 - - - 143

----- ----- ----- ----- -----

Profit before tax and finance 4,611 3,580 1,815 1,008 11,014
costs

----- ----- ----- -----

Net finance costs (2,967)

Foreign exchange loss (244)

-----

Profit before tax 7,803

Taxation (3,267)

-----

Net profit for the period 4,536

-----

Six months ended 30 June 2008

Radio Radio Television New Media Total
GB Ireland

£000 £000 £000 £000 £000

Segment operating profit before 6,106 3,587 4,705 921 15,319
exceptional costs

Share of results of associates 101 - - - 101

----- ----- ----- ----- -----

Profit before tax and finance 6,207 3,587 4,705 921 15,420
costs

----- ----- ----- -----

Exceptional costs (487)

-----

14,933

Net finance costs (4,271)

Foreign exchange gain 78

-----

Profit before tax 10,740

Taxation (2,422)

-----

Net profit for the period 8,318

-----

4. Discontinued operations

Discontinued operations relate to a number of loss making radio stations in GB
which were identified for sale or closure in 2008 (stations in Dundee,
Stockport and Edinburgh) and 2009 (a station in Gwent). The £222,000 (2008: £
658,000) loss from discontinued operations reflected in our Income Statement
relates to a £252,000 (2008: £920,000) loss from operating activities less a
tax credit of £30,000 (2008: £262,000).

5. Property, plant and equipment

During the period the Group spent £1,758,000 on capital additions.

6. Exceptional items

30 30
June June
2009 2008
£000 £000

Restructuring costs - (547)

Tax credit associated with exceptional costs - 153

Exceptional tax charge (i) (1,500) -

----- -----

(1,500) (394)

----- -----

(i) During the year, the capital gains tax rate in the Republic of Ireland was
revised from 22% to 25%. Accordingly the deferred tax liabilities in respect of
radio licences in the Republic of Ireland were restated to recognise the future
gains thereon at this rate. This resulted in a net charge of £1,500,000.

7. Dividends

30 30
June June
2009 2008
£000 £000

Equity dividends on ordinary shares

Declared and paid during the period

Final for 2008: Nil (2007: 8.30p) - 4,759

------ ------

Proposed but not recognised as a liability at 30 June

Final for 2008: 2.00p (Paid on 15 July 2009) 1,908

Interim for 2009: Nil -

------

8. Earnings per share

Basic earnings per share is calculated based on the profit for the financial
period attributable to equity holders of the parent and on the weighted average
number of shares in issue during the period.

Adjusted earnings per share are calculated based on the profit for the
financial period attributable to equity holders of the parent adjusted for the
exceptional items. This calculation uses the weighted average number of shares
in issue during the period.

Diluted earnings per share are calculated based on profit for the financial
period attributable to equity holders of the parent. The weighted average
number of shares is adjusted to reflect the dilutive potential of the Share
Option Schemes.

Diluted adjusted earnings per share are calculated based on profit for the
financial period attributable to equity holders of the parent before
exceptional items. The weighted average number of shares is adjusted to reflect
the dilutive potential of the Share Option Schemes.

The weighted average number of ordinary shares for the period ended 30 June
2008 has been restated to reflect the bonus element of the 2 for 3 rights issue
of ordinary shares in July 2008.

The following reflects the income and share data used in the basic, adjusted,
diluted and diluted adjusted earnings per share calculations:

Net profit attributable to equity holders

2009 2008
--------------------- --------------------

Continuing Discontinued Continuing Discontinued
Operations Operations Total Operations Operations Total
£000 £000 £000 £000 £000 £000

Net profit attributable to 4,389 (222) 4,167 8,187 (658) 7,529
equity holders

Exceptional items (net of 1,500 - 1,500 351 43 394
tax)

---- ---- --- ---- --- ---

Total adjusted and diluted 5,889 (222) 5,667 8,538 (615) 7,923
profit attributable to
equity holders

----- ----- ---- ----- ----- ----

Weighted average number of shares

2009 2008
thousands thousands

Weighted average number of shares for basic and adjusted 95,403 62,152
earnings per share (excluding treasury shares)

Effect of dilution of the share options - 98

----- -----

Adjusted weighted average number of ordinary shares for 95,403 62,250
diluted earnings per share

------ ------

Earnings per share

From continuing and discontinued operations

2009 2008

Basic 4.37p 12.11p

------ ------

Diluted 4.37p 12.09p

------ ------

Adjusted 5.94p 12.75p

------ ------

Diluted adjusted 5.94p 12.73p

------ ------

From continuing operations

2009 2008

Basic 4.60p 13.17p

------ ------

Diluted 4.60p 13.15p

------ ------

Adjusted 6.17p 13.74p

------ ------

Diluted adjusted 6.17p 13.72p

------ ------

From discontinuing operations

2009 2008

Basic (0.23)p (1.06)p

------ ------

Diluted (0.23)p (1.06)p

------ ------

Adjusted (0.23)p (0.99)p

------ ------

Diluted adjusted (0.23)p (0.99)p

------ ------

9. Financial liabilities

30 30 31
June June December
2009 2008 2008
£000 £000 £000

Current

Current instalments due on bank loans 8,255 45,005 8,650

Non-current

Non-current instalments due on bank loans 97,298 112,026 108,267

------ ------ ------

Total 105,553 157,031 116,917

------ ------ ------

The bank loans at 30 June 2009 are stated net of deferred financing costs
amounting to £671,000 (30 June 2008: £1,163,000, 31 December 2008: £786,000).

10. Net debt

30 30 31
June June December
2009 2008 2008
£000 £000 £000

Bank loans (106,224) (158,194) (117,703)

Cash and short term deposits 9,864 8,144 9,280

------ ------ ------

Net debt (96,360) (150,050) (108,423)

------ ------ ------

11. Pension schemes

The IAS 19 deficit at 30 June 2009 is £13,718,000 compared with a deficit of £
8,593,000 at 31 December 2008. The increase in the deficit partly reflects a
substantial increase in the assumption for long term price inflation from the
start of the year from 2.9% per annum to 3.5% per annum, as indicated by
changes in the relative yields of long dated fixed interest and index linked
gilts. This increased the projected benefit payments from the Scheme, albeit
this effect was partly mitigated by an increase in the liability discount rate
of 6.25% per annum to 6.4% per annum. The discount rate was established using a
consistent approach on both dates, based on the yields available from corporate
bonds with an appropriate duration to the Scheme's liabilities.

There was an actuarial loss on the assets as they produced a slightly negative
return during the six months period (approximately 7% per annum).

These movements were partially offset by a payment of £950,000 to the UTV
Scheme over and above normal funding during the period. The Company will also
be making an additional contribution to the UTV Scheme of £1,150,000 before 31
December 2009.

12. Related party transactions

The nature of related parties disclosed in the consolidated financial
statements for the Group as at and for the year ended 31 December 2008 has not
changed. There have been no significant related party transactions in the six
month period ended 30 June 2009.

Risks and uncertainties

The 2008 Annual Report sets out the most significant risk factors relating to
UTV Media plc's operations in the Company's judgement at the time of that
report. The Company does not consider that these principal risks and
uncertainties have changed. However additional risks and uncertainties not
currently known to the Company, or that the Company does not currently deem
material, may also have an adverse effect on its business.

With respect to the risks and uncertainties identified within the Annual
Report, the Chairman's statement highlights those risks and uncertainties that
will have significant impact throughout 2009.

Statement of directors' responsibilities

The interim report is the responsibility of, and has been approved by, the
directors of UTV Media plc. Accordingly, the directors confirm that to the best
of their knowledge:

* the condensed set of financial statements has been prepared in accordance
with IAS 34 "Interim Financial Reporting" as adopted by the European Union;

* the interim report includes a fair review of the information required by
the Disclosure and Transparency Rules:

- DTR 4.2R, being an indication of important events that have occurred during
the first six months of the financial year and their impact on the condensed
set of financial statements, and a description of the principal risks and
uncertainties for the remaining six months of the year; and

- DTR 4.2R, being related party transactions that have taken place in the first
six months of the current financial year and that have materially affected the
financial position or performance of the entity during that period, and any
changes in the related party transactions described in the last annual report
that could do so.

By order of the Board:

John McCann
Group Chief Executive
27 August 2009

Independent Review Report to UTV Media plc

Introduction

We have been engaged by the Company to review the condensed set of financial
statements in the half-yearly financial report for the 6 months ended 30 June
2009 which comprises the Group Income Statement, Group Statement of
Comprehensive Income, Group Balance Sheet, Group Statement of Changes in
Equity, Group Cash Flow Statement and the related notes 1 to 12. We have read
the other information contained in the half yearly financial report and
considered whether it contains any apparent misstatements or material
inconsistencies with the information in the condensed set of financial
statements.

This report is made solely to the company in accordance with guidance contained
in ISRE 2410 (UK and Ireland) "Review of Interim Financial Information
Performed by the Independent Auditor of the Entity" issued by the Auditing
Practices Board. To the fullest extent permitted by law, we do not accept or
assume responsibility to anyone other than the company, for our work, for this
report, or for the conclusions we have formed.

Directors' Responsibilities

The half-yearly financial report is the responsibility of, and has been
approved by, the directors. The directors are responsible for preparing the
half-yearly financial report in accordance with the Disclosure and Transparency
Rules of the United Kingdom's Financial Services Authority.

As disclosed in note 1, the annual financial statements of the group are
prepared in accordance with IFRSs as adopted by the European Union. The
condensed set of financial statements included in this half-yearly financial
report has been prepared in accordance with International Accounting Standard
34, "Interim Financial Reporting", as adopted by the European Union.

Our Responsibility

Our responsibility is to express to the Company a conclusion on the condensed
set of financial statements in the half-yearly financial report based on our
review.

Scope of Review

We conducted our review in accordance with International Standard on Review
Engagements (UK and Ireland) 2410, "Review of Interim Financial Information
Performed by the Independent Auditor of the Entity" issued by the Auditing
Practices Board for use in the United Kingdom. A review of interim financial
information consists of making enquiries, primarily of persons responsible for
financial and accounting matters, and applying analytical and other review
procedures. A review is substantially less in scope than an audit conducted in
accordance with International Standards on Auditing (UK and Ireland) and
consequently does not enable us to obtain assurance that we would become aware
of all significant matters that might be identified in an audit. Accordingly,
we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to
believe that the condensed set of financial statements in the half-yearly
financial report for the 6 months ended 30 June 2009 is not prepared, in all
material respects, in accordance with International Accounting Standard 34 as
adopted by the European Union and the Disclosure and Transparency Rules of the
United Kingdom's Financial Services Authority.

Ernst & Young LLP
Belfast
27 August 2009

END