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Disposal

17th May 2007 15:09

Fairplace plc (the "Company")

Disposal of Italian Subsidiary

The Board announces that it has sold Fairplace Consulting (Italy) Srl ("FCI"), a wholly owned subsidiary of the Company for a consideration of ¢â€š¬1 to Articolo 1 S.p.A (the "Purchaser"), a private Italian company, which provides a range of staffing and HR services. FCI which provides outplacement and coaching services, was acquired by the Company in 2003 and has been loss making.

FCI's turnover for the 12 month period to 30 June 2006 was ¢â€š¬601,861 and the net loss was ¢â€š¬65,685. The carrying value of the FCI investment in the Company's balance sheet as at 30 June 2006 amounted to ‚£200,000.

FCI will continue to use the Fairplace brand name under a separate licence agreement.

ContactMark Allsup, ChairmanFairplace plcTel 020 7816 0707

Liam Murray, Nominated Adviser

City Financial Associates Limited

Tel 020 7 090 7800

FAIRPLACE PLC

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