Catalyst Media Group PLC 10 November 2005 10 November 2005 Catalyst Media Group PLC Increase in interest in Satellite Information Services (Holdings) Limited Catalyst Media Group PLC ("CMG") is pleased to announce that Satellite Information Services (Holdings) Limited ("SIS") has purchased 20,638 of its own shares from the Racecourse Association for a consideration of £10.7 million in cash. As a consequence, CMG's interest in SIS has increased from 16% to 17.6% at no cost to CMG. Accordingly, CMG's share of the profits from and any future dividend paid by SIS will increase from 16% to 17.6% with immediate effect. CMG acquired its interest in SIS in September 2005 by the purchase of Alternateport Limited from United Business Media plc (the "Acquisition"). This acquisition was made through CMG's subsidiary, Catalyst Media Holdings Ltd, which is owned as to 80% by CMG and 20% by Eureka Interactive Fund Limited. At the time of the Acquisition, Alternateport owned 20% of SIS which has increased to 22% as a result of the share buy-back described above. Since the completion of the Acquisition in September 2005, CMG has embarked on a strategy to de-risk and reduce costs in the Group so as to maximise the benefit to shareholders of its ownership in SIS. As part of this process GMS, the New York based Media Services business, has been sold to management and Betelgeuse Productions Inc ("BPI"), the New York based television production company, has entered into a joint venture with Pow Pix Productions who have assumed the responsibility for running the post production facility. As a result of this agreement BPI's annual cost base has been reduced to less than £100,000. The Group is currently in discussions with a number of interested parties with regard to its remaining US subsidiary, NPG Inc., which operates the world's leading stock footage portal, Footage.net. In the UK a comprehensive re-structuring has been implemented which has reduced overheads by a further £500,000 annually and the Group now employs a total of 12 people worldwide. Notwithstanding this reduction in overhead the Group continues to generate revenues from its on-going relationships with GMS, BPI and Footage.net as well as its content licensing activities in the UK and its investment in SIS. Enquiries Paul Duffen Catalyst Media Group PLC 020 7927 6699 This information is provided by RNS The company news service from the London Stock Exchange