• June 19, 2003

It's a complex deal involving a lot of pounds and pence, but the bottom line is that the WPP Group has announced merger terms with Cordiant. WPP has acquired the majority of Cordiant's Debt at face value from all but one of Cordiant's Former Lenders. The par value of the total Cordiant Debt, comprising both the Acquired Debt and the Remaining Debt, is approximately 256 million pounds. The deal is expected to be officially presented to Cordiant shareholders by the end of the month and will become fully effective by August. Commenting on the Proposal Sir Martin Sorrell, Group Chief Executive of WPP, said: "The acquisition of Cordiant will make an important contribution to our long-term strategic goals -- particularly in marketing services and expansion in Asia. Given that our approach has been widely welcomed by Cordiant's clients, we also believe that a merger with WPP promises both stability and opportunity to Cordiant's clients and people."