Business
Contract win with Citibank
Contract win with Citibank.
About this update from Caledonian Holdings Plc.
[{"type":"text","content":"\n Deal Group Media PLC\n21 January 2008\n\n\nPress Release 21 January 2008\n\n\n\n Deal Group Media plc\n\n\n ('DGM' or 'the Group')\n\n\n DGM wins contract with Citibank Asia\n\n Trading update\n\n\nDeal Group Media plc (AIM: DGM), an independent online marketing group, today\nannounces that it has won a contract to become the only approved digital media\nagency for Citibank Asia's credit card business line. The contract encompasses\ndigital media planning and buying strategy in addition to execution, and is the\nfirst client for the Group's new business unit, Deploy Digital, 'Deploy'.\n\n\nDeploy will support Citibank's' online customer acquisition strategy which is\ntargeting 10% of all new credit card customers to be delivered through the\nInternet. A key component of remuneration is delivery of agreed objectives,\nwhich ties in with the Groups performance based delivery ethos.\n\n\nAdrian Moss, Chief Executive of DGM, said: 'This is the first contract with a\nmajor brand we have won in Asia where we are working as a more complete digital\nmedia agency in addition to our existing business units. We have a proven track\nrecord of delivering customers to clients and are very excited about the\nprospects of this contract. The Group is currently in discussions with other\nmajor brands in Asia to provide a similar offering.'\n\n\n\nTrading update\n\n\nFollowing the recent disposal of a majority stake of the UK business to Isco\nTechnical Services Ltd ('ITS') for £1.5 million, the Group can provide the\nfollowing update:\n\n£1 million from the proceeds of the sale were received before the financial year\nend of 31 December 2007 with a further £500,000 due to be received no later than\n31 January 2008.\n\nThis cash inflow satisfies the Groups working capital and current investment\nplans.\n\nIn addition, the transaction has created two important drivers of cost savings\nfor the Group. First, technology costs have been materially reduced and have in\neffect been outsourced. Secondly, due to the refocus on Asia, UK-based central\ncosts have also been significantly reduced, the benefits of which will accrue\nover 2008.\n\nResults for 2007, as previously stated, are expected to be in line with the\nBoard's earlier announcements showing a reduced post-tax loss relative to that\nexperienced in 2006, before account is taken of the imp...