0 UK Marketing and Sales Helen Stevenson Chief Marketing Officer Steve Chambers Chief Commercial Officer

1 Disclaimer During this presentation we will be discussing Yell’s business outlook and making certain forward-looking statements. Any statements that are not historical facts are subject to a number of risks and uncertainties, and actual results may differ materially. We urge you to read the Risk Factors and cautionary language in the annual report posted on our website. We also draw your attention to our press releases which are posted on our website, for more information on the risks and uncertainties.

2 The virtuous circle Great proposition for users  strong brands Win, Keep and Grow strategy  great value to advertisers Highly effective sales operation  unique relationship with SMEs Our business model Yell market dynamics CHANNEL NEUTRAL Value to Yell Value to the Advertiser Value to the User Recession resilient

3 A growing market Use of information sources is growing... Information Sources (product and services info) Average monthly usage (millions) Regular Study (Saville Rossiter-Base) *YP comparable inc Yell.com

4 Strong growth despite regulation Yell Revenue Growth under RPI (£) Source: Yell Internal Data We have achieved £105m in revenue growth in the last 5 years, of which £76m of growth was in Yell.com -4.4%-4.8%-3.3%-2.9%-2.8% Effective Yellow Pages rate reduction

5 Well placed for a new growth phase  Strong plans to drive usage across all our channels  Yell.com well positioned with differentiated offer in its market place  RPI-0% and reduced Print product constraints provide price and product opportunities  Attract new, non-print advertisers to Yell.com and grow our hybrid commercial models  Drive integration across new media platforms including mobile

6 Usage is at the heart of our value proposition *Source: Saville Rossiter-Base Whenever and wherever all channels Comprehensive and relevant 87% of UK adults use any Yell product* Our users like buying from the people they find through Yell Yell products are easy to use Yell is best way to find businesses in the UK Powerful brand family Competitive values of trust quality and local expertise

7 Driving traffic on Yell.com  Driving traffic –New Media SEM / SEO / networks  New functionality and a new look to the Yell.com site  First of a series of planned quarterly improvements  Puts in place the foundations for future changes and includes: –New contemporary look and feel –New site structure –New mapping – Local business layering –Liquid layout –Easier navigation –New ad capsules –Additional monetisation opportunities

8 New look homepage

9 New search refinements

10 New maps with business layering

11 Plus directions

12 and bird’s eye view

13 Driving traffic on Yell.com  Driving traffic –New Media SEM / SEO / networks  New functionality and a new look to the Yell.com site  First of a series of planned quarterly improvements  Puts in place the foundations for future changes and includes: –New contemporary look and feel –New site structure –New mapping – Local business layering –Liquid layout –Easier navigation –New ad capsules –Additional monetisation opportunities

14 Print innovations  Yellow Pages Reinvented –New look and feel, consumer content and modernised classifications and search tools to improve usability  New local directories – Your Town –Locations determined by: – Size of business base (>850k) – Town Size (min circ < 25k) – Across metro / urban / rural –c70% of Your Town advertisers are new to Yell  Door Drop Specialist guides e.g. Car Insurance –Developed in conjunction with national advertisers –Strong advertising vehicles that enable businesses to target specific group of consumers –Key points of differentiation are brand, editorial content and production quality Source: Yell Internal Data

15 Yell usage generates high quality leads We generate 1.4 billion annual usage occasions When users are asked where they have sourced products / services, Yell is the best source for delivering high quality leads Source: Regular Study 06/07 (Saville Rossiter-Base) YP comparable Internet based on asking users ‘could they have sourced that product or service through Yellow Pages’ Thomson 10% 20% 30% 40% 50% 60% 70% Local press BT Yell Internet (YP Comparable) Total Internet Conversion of Usage to Leads (%) vs Usage (monthly average)

16 Ensuring our advertisers see great results Yell.com* from every 10 uses 5 result in a contact Yellow Pages* from every 10 uses 7 result in a contact Helping to generate over £83bn for Businesses in our products** *Source Saville Rossiter-Base Users looking for information on Shops and Businesses **Source Saville Rossiter-Base YP and Yell.com combined

17 Focusing on value  Ratecard growth at RPI-1% and prices aligned with value –e.g. a Plumber in Reading pays £365 for a Quarter Column* –A Farm Shop in the same book with the same ad, would pay only £219*  Discounts used to influence behaviour  Proving value to an advertiser aids retention  Call Counter - Phase 2 –Uses local dialling codes –New call statistics platforms – provides our salespeople with even more compelling data to add value at point of sale *Based on Reading YP directory rates for edition publishing in Feb 09

18 Our growth strategy – Win, Keep and Grow The value staircase Building value for advertisers regardless of channel Content Prominence Traffic Value to the Advertiser Advertiser Spend Entry Level Content Prominence Traffic

19 Keeping and growing advertisers As our relationship with advertisers grows, so does their spend and the value we deliver to them Source: Yell Internal Data *Accounted Year Customers and Revenue for Print 06/07 **Regional campaign customers 06/07 in terms of tenure... and product holding ARPARetention Printed products£1,33575% YP and Yell.com**£2,10084% YP and Yell.com** and **£3,37286% Print ARPA* Print Retention* Year 1£67350% Year 3+£1,75882%

20 Continual evolution of our hybrid commercial model Paid inclusion FIXED PRICE MODEL  Entry level pricing  Try before you buy  Tiered pricing  Chargeable features  Portfolio renewal  Ad syndication

21 New launch of ad syndication live 29th November

22 New launch of ad syndication live 29th November

23 Continual evolution of our hybrid commercial model Our business model will continue to evolve in line with customer needs Paid inclusion FIXED PRICE MODEL  Entry level pricing  Try before you buy  Tiered pricing  Chargeable features  Portfolio renewal  Ad syndication Pay for prominence / flexible contracts Pay on performance PERFORMANCE MODEL  Pay per click  Ad syndication  Aggregation Display / rich media SPONSORSHIP MODEL  Price to value

24 UK Sales Steve Chambers Chief Commercial Officer

25 Selling – a core competence and key differentiator  Unique service to UK SMEs  Flexible sales organisation to ensure delivery of marketing strategy  People factor  Equipped with state of the art tools

26 A unique service Understand the customer’s needs 1

27 Industry specific marketing information 2 Understand the customer’s needs 1 A unique service

28 Bespoke presentation 3 Industry specific marketing information 2 Understand the customer’s needs 1 A unique service

Bespoke presentation 3 Industry specific marketing information 2 Understand the customer’s needs 1 A unique service

“We would recommend Yell.com to anyone looking to attract new business” Bespoke presentation 3 Industry specific marketing information 2 Understand the customer’s needs 1 A unique service

31 Final Recommendation 4 Bespoke presentation 3 Industry specific marketing information 2 Understand the customer’s needs 1 A unique service

32  Value, efficiency and flexibility  Sales channels organised around customer needs  Campaign approach to maximise efficiency  Out of campaign activity for additional coverage  Flexible sales roles to target specific opportunities Sales channel and contact strategy Wider reach, more complex Simple, local coverage High volumes of targeted leads Customer spend Telesales Face to face National Customer needs New media Field Majors Nationals 3rd Party Renewal Fast track New media Prospects Your Town Business development

33  Channel neutral sales force  Multi-product sales targets  Pay weighted towards online sales  New pay schemes to drive Pay on Performance  Intensive online training  New media specialists for complex needs  All YP solus advertisers receive telesales contact between campaigns Delivering online sales growth Source: Yell Internal Data £20 £40 £60 £80 £100 FY 04FY 05FY 06FY 07 Revenue % Growth £m Yell.com Revenue Growth £ £ £ £ £ Revenue £

34 Monetising online usage – a case study  Target sales person & track conversion  Arm sales person with pre- visualised ad  Yell.com AVP now exceeds YP  Match unsold inventory with high usage  Identify customer opportunities & push to sales person Customer Target Available Opportunity Source: Yell Internal Data Yell.com ARPA Growth (£m)

35 National Accounts Face to Face Telephone Average Age 44 years36 years32 years Average Service 14 years5 years3 years Turnover 2%20%23% On Target Earnings £62k£45k£33k Job Satisfaction 85%86%83% Headcount 591, Source: Yell Internal Data as of 31/3/07 and Tell Yell Survey 2006 The people factor – key metrics

36 The people factor  Identifying top salespeople – profiling  Highly regarded training and development  Flexible working, part-time, home-working  High calibre Sales Management  Performance management – key element of sales culture  Emphasis on reward and recognition

37 Driving sales performance - pay Source: Yell Internal Data  On target earnings – top quartile for UK media sales  Basic salary 75% of On target earnings  Open ended, performance related New Media 25% Service 10% Prospects 10% Sell-Up 30% Renewal 25% Commission pool breakdown for field sales  Commission schemes structured to drive desired behaviours of each sales role  Constantly reviewed to ensure alignment with marketing objectives 75% 100% 110% Base % Sales Target OTE Commissionable Earnings Bonus Accelerator Payments 0% 4% 8% 12% 80%112%144% % to Target Accelerator Payments 16% 20% 80%112%144% % of Bonus

38 Automating our sales force - added value, simplification and efficiency  Laptop / desktop technology plus broadband connectivity for all salespeople  Functionality –Workload management –Electronic sales presenter –Electronic ad design –Order and content capture  Benefits –Error reduction –Reduction in back office heads –Added value at point of sale –Simplified communication –Home based sales force

39 Summary  Our market is growing but highly competitive  Print still provides excellent value; fresh opportunities under new regulatory regime  High growth opportunity in new media  Recession resilience  Well placed for these opportunities: – Great brands providing great value for users and advertisers –Clear strategy to drive and monetise usage –Highly motivated sales force –Unique relationship with UK SMEs