RNS Number:9011I
Music Choice Europe PLC
22 February 2005



Music Choice Europe ("The Company")

Trading update

22 February 2005

In its last interim statement dated 28 September 2004, the Company warned that,
while achieving a good first half performance, it was facing stronger
competition in its market place.

In recent months the Board has noted that the pace of change in its marketplace
has accelerated.  In particular, the Board expects that TV broadcasting
platforms will seek greater discounts for basic content which is, currently, the
prime source of the Company's revenue and that this will place increased
pressure on margins.  At the same time, the costs to the Company of maintaining
its technical infrastructure are increasing.

The Board is therefore undertaking a strategic review of its activities given
this worsening outlook for its operations. This review will include a wide
ranging examination of the Company's cost structure and its approach to
marketing value added services. The Board expects to provide a further update at
the time the Company announces its preliminary results towards the end of March.

Contacts:

Teather & Greenwood
Jeff Keating
020 7426 9000

Music Choice Europe plc
Margot Daly
020 7014 8755



                      This information is provided by RNS
            The company news service from the London Stock Exchange
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