Interim Management Statement

18 June 2013 St Ives plc - Interim Management Statement St Ives, the UK's leading marketing services and print group, is todaypublishing its Interim Management Statement covering the period from 2 February2013 to date. Group revenue for the seventeen week period to 31 May 2013 was £4.6 million,approximately 4%, lower than for the equivalent period in the previousfinancial year. The decline was due to the expected reduction in Print revenueof approximately 10%, as a result of exiting non-profitable markets, partiallyoffset by Marketing Services revenue growth of approximately 30%. We continue to make good progress with our strategy to reposition the Group andbuild an extended range of added value marketing services whilst exitingcommoditised print markets. Our recent acquisitions of Amaze and Branded3 havecreated a significant digital marketing offering within our marketing servicessegment that complements and strengthens our existing capabilities. Marketing Services Across our Marketing Services segment, revenue and underlying operating profitfor the seventeen week period to 31 May 2013 were significantly ahead of theequivalent period for last year. All of the businesses have integrated well andwe are very pleased with the recent acquisitions of Amaze, a marketing andtechnology consultancy, and Branded3, a search engine optimisation and digitalmarketing agency, which will help to establish ourselves as leaders within thehigh growth digital marketing sector. We have been successful in winning new business within our Data Marketing andField Marketing businesses. Within our Consultancy Services businesses, we have made some importantinvestments for future growth. We have relocated Pragma, our retail consultancybusiness, into our Head Office in Tudor Street, London which has provided abetter environment and the space to accommodate the increase in headcountnecessary to support our growth plans. Our market research consultancy, Incite,has now established offices and recruited teams in both Singapore and New Yorkto support and extend existing client relationships and to take advantage ofopportunities for growth in these territories. This is the first overseas movefor our Marketing Services segment, and reflects our ambition to be able todeliver services across borders to our increasingly international client base. Print Our book printing business, Clays, has mitigated the impact of reducing runlengths and more frequent reprints through its investments in digitaltechnology and by the implementation of more flexible working patterns acrossthe business. Both our Exhibition and Events and our Point of Sale businesses have performedwell during the period. Market conditions remain challenging within the market for Direct Mail whereexcess capacity continues to exert downward pressure on prices. We keep thecost base of our remaining operation in Bradford under close scrutiny and willtake further action to reduce costs should it become necessary. Group Despite the ongoing investment in acquisitions and restructuring, the Group'sbalance sheet remains strong and underlying free cash flow continues to berobust. Whilst there is no sign of improvement from the difficult trading conditionsacross our Print markets, our Marketing Services businesses are performingwell, growing and combining to offer a unique and compelling customerproposition. For further information contact: St Ives plc 020 7928 8844 Patrick Martell, Chief Executive Matt Armitage, Finance Director MHP Communications 020 3128 8100

John Olsen / Ian Payne / Giles Robinson