RNS Number:5547H
Proactive Sports Group PLC
17 February 2003

                         PROACTIVE SPORTS GROUP PLC

                              TRADING UPDATE

Proactive Sports Group PLC ("Proactive" or the "Group"), a leading football
representation and sports marketing company, announces a trading update
following the close of the first unified European football transfer window on 31
January 2003.

The introduction of the first transfer window, combined with the uncertainties
within the global football industry impacted on the level of transfer activity
during the period both in terms of the volume and value of transfers completed. 


There were 478 transfers completed worldwide in the period, with 57 in the
Premier League (source: Soccer Investor 2003). Of these, Proactive undertook 27
transactions in the January window representing approximately 5.6% per cent. of
the market's activity.  Although no direct comparisons can be made with the
prior year period, due to the introduction of the January transfer window, in
the period November 2001 to January 2002, 127 transfers were completed in the
Premiership with an approximate value of #70 million (source: Deloitte & Touche
Annual Review of Football Finance - June 2002).

The uncertainties surrounding the future structure and funding of the football
industry relating to broadcasting rights and future income streams from
sponsorship and merchandising rights have been well documented.  However, the
Board remains confident that the new UK broadcasting rights deal will be similar
to the existing level although it is anticipated that the mix of income between
domestic and international is likely to change.  The Board does not anticipate
that the outcome of these negotiations will become apparent until the Autumn of
2003.   As a result, Football Club's are under increasing pressure to control
their expenditure in line with their revenues.  The Board believes that this
will result in Football Clubs seeking to reduce the size of their player squads
and wage costs to a more sustainable level and that the elite players in the
game will continue to attract improved contracts as Football Clubs aim to retain
and attract key talent. However, the Board anticipates that players' contracts
will increasingly contain performance related remuneration packages as currently
seen across mainland Europe.

Despite the current economic climate both the Sports Marketing and the Events
divisions are trading ahead of the Board's expectations in the first half and
the Sports Marketing division has continued to make significant progress during
the current year.  Sports Marketing has increased its activity levels and has
completed a number of transactions on behalf of new corporate clients during the
first half of the year.  Fox Sports Advertising, which was acquired in September
2002 has performed exceptionally well and is trading ahead of management's
expectations at the time of the acquisition.  The Board anticipates further
development within this area of Proactive's business and will continue to seek
opportunities to balance the mix of income across the Group.

Although trading conditions have been, and are expected to remain challenging
for the Football division, the Board is confident that its strategy of focusing
on the "top end" of the market in key geographical areas provides a platform for
future growth of the division.  The recent England squad contained four of
Proactive's clients including Sean Davis (Fulham, aged 23), Francis Jeffers
(Arsenal, aged 22), Jermaine Jenas (Newcastle, aged 19), Wayne Rooney (Everton,
aged 17).  Young player development is also an important part of the Group's
strategy in generating future growth and the England Under 21 squad contained
two of its players: Michael Dawson (Nottingham Forest, aged 19) and James
McEvely (Blackburn, aged 18).

Given these uncertainties in the football sector and the reduced level of
transfer activity experienced in the January window, the Board is cautious on
the level of transfer activity anticipated in the summer period and expects that
the Football division's trading performance for the year will be materially
below its previous expectations.  Accordingly, the Board expects that the
Group's pre-tax profits for the financial year ended 31 August 2003 will be
significantly below current market expectations. 
  
17 February 2003


ENQUIRIES:

Proactive Sports Group PLC          01625 536411
Paul Stretford  Chief Executive     
Neil Rodford  Chief Operating Officer     
     
College Hill                        020 7457 2020
Archie Berens     
Clare Warren     
          

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

END
TSTSFSSMWSDSEIE