Statement re. Press Speculation

HMV Group plc ('the Company')

The Company notes the recent press speculation and confirms that it is in advanced discussions regarding a potential sale of Waterstone's. Any such transaction would likely be subject to, amongst other things, shareholder, lending bank and pension trustee approval. There can be no certainty that any transaction will be concluded and a further announcement will be made as and when appropriate.

Enquiries:

HMV Group: Paul Barker: Head of Communications

Brunswick: Laura Cummings/Nick Cosgrove: 0207 404 5959