Creating marketplaces for business
ITE Group plc 
Annual Report 2006 ITE Group plc 
Annual Report 2006
T urnover
£78.5m
£60.8m
£58.9m
£52.4m
Financial
Net cash
£13.0m
Highlights
£21.2m
£33.5m
£22.1m
£17.7m
Headline pre-tax profit
+
£25.3m
£26.0m
£18.1m
£1 5.5m
£8.4m
Net assets
+
£32.1m
£43.6m
£44.4m
£38.6m
£34.1m
Note:
+ The results for 2002 through to 2004 are based on UK GAAP . 2005 and 2006
are based on IFRS.
Creating marketplaces for business
The ITE Group is one of the world’ s leading organisers of
trade exhibitions and conferences, creating marketplaces
for business…
…in B2B sectors
ITE’ s exhibitions and conferences are predominantly
‘business to business’ in key international industry sectors
such as construction & interiors, oil & gas, food & drink,
fashion, travel & leisure and motor & transport. 
…in emerging and developing markets
ITE specialises in organising events in emerging and
developing markets, bringing international standards 
to regions where there are many growth opportunities.
…with strong support
The ITE Group of companies spans 1 5 countries and
employs over 600 staff. No other organiser in ITE’ s markets
offers this strength of expertise and support at both local
and international levels.
…with strong brands
ITE’ s market leadership is based on a track record of
sustained success in producing exhibitions and
conferences that deliver results for clients.
Contents
Highlights 01
Chairman’ s statement 02 
Chief Executive’ s business review 04
Business and financial review 10
Directors 18
Directors’ report 20
Report on corporate governance 24
Report on remuneration 27
Independent auditors’ report 34
Consolidated income statement 36
Consolidated statement of recognised income and expense 37
Consolidated balance sheet 38
Consolidated cash flow statement 39
Notes to the consolidated accounts 40
Independent auditors’ report 66
Company balance sheet 67
Notes 68
Notice of Annual General Meeting 74
Directors, advisers and other information 76
Financial calendar 76
£82.4m 
2005
2004
2003
2002
2006
2005
2004
2003
2002
2006
2006
2005
2004
2003
2006
2005
2004
2003
2002
2002 ITE Group plc 
Annual Report 2006 01
Y ear ended Y ear ended
30 September 30 September
2006 2005
V olume sales 425,600 m
2
340,900 m
2
T urnover £82.4m £78.5m
Profit before tax £24.8 £25.2m 
Headline pre-tax profit* £26.0m £25.3m
Basic earnings per share 6.9p 6.7p
Diluted earnings per share 6.7p 6.6p
Headline diluted earnings per share** 7.0p 6.6p
Dividend per share 3.5p 2.75p
Net cash £21.2m £13.0m
Net assets £43.6m £32.1m
Notes:
*   Headline pre-tax profit is defined as profit before tax, amortisation and impairment of goodwill (including associates) and profits or losses arising on disposal 
of group undertakings – see the Income statement for details
** Headline diluted earnings per share is calculated using profit before amortisation and impairment of goodwill (including associates) and profits or losses arising 
on disposal of group undertakings
> Organic sales growth of 13% across the ITE Group
> Sales to the construction sector increased by 30% across 
the Group’ s industry exhibitions
> Purchase of two new Moscow events for 2007, Expoclean
and Bytchimexpo
> Successful integration of 2005 acquisitions, Footwear (UK)
and AgriHort (Ukraine) into existing office infrastructure.
Both events increased sales in the first year as part of ITE
> New ITE backed pavilion in Almaty , Kazakhstan completed 
in September 2006 adding 5,000m
2
+ gross space to 
Atakent facility
> T erms agreed for extension of venue agreement with 
IEC Kyiv up to 2014
> Additional exhibition space being constructed in Moscow 
and Kyiv – to be available in 2007-08
> Final 10% minority interest acquired in fashion and clothing
events, MODA
> World Petroleum Congress relationship renewed for next
event in Madrid 2008
Operational highlights
Another year of
strong results 02/03
ITE Group plc 
Annual Report 2006
Group performance
The Group has produced another impressive trading and
financial performance for the 2006 financial year . 
T urnover of £82.4 million was a 5% improvement on last year’ s
reported turnover of £78.5 million, and Headline profit before tax
of £26.0 million was ahead of the restated result for last year
(£25.3 million). This result was achieved despite lower interest
income following last year’ s share buyback and the £4.9 million
contribution in 2005 from non-annual events. Reported profit
before tax was £24.8 million (2005: £25.2 million) and fully
diluted earnings per share improved to 6.7p per share 
(2005: 6.6p).
Strategic progress
During the year the Group has continued to implement 
its strategy of pursuing organic growth and strengthening 
ITE’ s market leadership in key industry sectors supplemented
through selective earning enhancing acquisitions. In addition,
the excellent long-term relationships with our venues continue
to be of significance to our business. In Moscow the construction
event, MosBuild, grew into the newly constructed exhibition
space at Crocus, and in Almaty , Kazakhstan, the KazBuild
construction event was able to expand into the newly completed,
ITE supported, pavilion. In Kyiv the larger events, KievBuild 
and AgriHort, were both able to grow into the second phase
development at the IEC venue which was completed in 
January 2006. 
It is through the proven and established success of our 
sales and organising teams that ITE is now the independent
exhibition organiser of choice for venues in our markets.
Looking forward, I see another year of continued growth built
upon the relationships and contracts we have established. 
Board and management
There have been a number of changes to the Board during the
year . Marco Sodi stepped down in January following the sale 
by Veronis Suhler Stevenson of its remaining shareholding in
the Company . Malcolm Wall joined the Board as a non-executive
Director on 4 May 2006, and is a member of the Audit and
Remuneration Committees. Malcolm brings extensive
experience in the international B2B media and exhibitions
business. Since the year-end Ceyda Erem has tendered her
resignation as an ITE Board Director , although she will remain
Managing Director of our associate business in T urkey .
Ian T omkins has informed the Board that he wishes to relinquish
his role as Chief Executive at the end of 2007 for personal
reasons. The Nomination Committee will shortly be starting a
process to find his successor and will be meeting both internal
and external candidates. During his tenure Ian has made an
immense contribution to the remarkable success of the Group.
I would like to express my thanks to the management and staff
throughout the territories who have worked so hard to make
this result achievable. We employ 650 people of whom over
75% are local nationals, employed and working in Russia, 
the CIS and T urkey .
Chairman’ s statement
drive our business forward
Well placed to Dividend
The Board has proposed a final dividend of 2.5p per share,
making a total dividend for the year of 3.5p. This reflects an
increase of more than 25% over last year’ s total dividend and 
is in line with the Board’ s policy of increasing dividends in line
with the underlying earnings growth. 
Outlook
The continued expansion of the exhibition industry in Russia
and the CIS which has fuelled ITE’ s growth over the last few
years is set to continue. Strong economic conditions, ITE’ s
recognised international brands, our market leading position
and our dedicated and conscientious staff all place us in a 
very strong position to drive our business forward.
Iain Paterson
Chairman
4 December 2006
02/03
ITE Group plc 
Annual Report 2006
Shareholder performance
ITE is committed to maximising Headline earnings per
share and through that, the return to shareholders. ITE has
a strong record of growth in Headline profit before tax over
the last five years, and through the Company’ s policy of
increasing dividends in line with underlying growth, ITE
has returned a significant proportion of its post tax profits
to shareholders over this period. Last year the Company
returned an additional £30 million to shareholders through
a purchase and cancellation of its own share capital.
ITE’ s record in returning cash to shareholders through
dividend distributions and through the purchase of its 
own shares is illustrated below together with the Group’ s
post-tax profits for the same years. Over the five year
period from 2001 to 2006, the Company has returned 
to shareholders £63 million in cash.
Through its strong trading performance and policy of
increasing dividends in line with underlying growth, 
the ITE share price has increased from a low point of 15p
during 2001-02 to a value of 122p at 30 September 2006.
During the year ended 30 September 2006 the high point of
the share price was 147p. ITE’ s share price has significantly
outperformed its benchmark index, the FTSE Small Cap,
over the five year period as set out in the graph below .
ITE Group plc – Shareholder return
(5)
0
5
10
15
20
25
30
35
40
01-02 02-03 03-04 04-05 05-06
Years
£m
Profit/(loss) after tax
Return
Total shareholder return
Source: Thomson Financial
 
0
100
200
300
400
500
600
700
800
900
30-Sep-01 30-Sep-02 30-Sep-03 30-Sep-04 30-Sep-05 30-Sep-06
Value (£)
– ITE Group plc
– FTSE Small Cap index
Note:
This graph shows the value, by 30 September 2006, of £100 invested 
in ITE Group plc on 30 September 2001 compared with the value of £100
invested in the FTSE Small Cap index. The other points plotted are the
values at intervening financial year-ends
Notes:
(i) 01-02 dividend included an additional payment in relation to 00-01
(ii) 04-05 includes a share buy back 04/05
ITE Group plc 
Annual Report 2006
This business review has been prepared for ITE
Group as a whole and highlights matters which are
relevant in the context of the Group’s business and
financial results.
Results for 2006 financial year
T urnover for the year was £82.4 million (2005: £78.5 million).
After making adjustment for the effect of biennial events this 
is a 16% improvement over last year’ s comparable turnover .
This year’ s turnover includes an initial £2.7 million contribution
of revenue from the Footwear and Kiev AgriHort acquisitions
made in the last financial year . These events contributed 
£1.2 million to gross profits. The ‘like for like’ revenue growth
(excluding the effect of biennial events and acquisitions in the
year) achieved this year on our portfolio of events was 13%.
The direct costs of exhibitions were well controlled in 2006 and
as a result the gross margin of 46.7% was circa 1% higher than
the gross margin achieved on last year’ s portfolio of events.
Operating costs before amortisation charges of £14.1 million
were 10% higher than the comparative charge for last year
(2005: £12.8 million). Operating costs this year include the
higher costs of expensing Performance Share Plans and Option
Plans of £1.6 million (2005: £1.1 million), but this is partially
offset by the release of a £0.3 million provision, originally 
made in 2003 against a venue loan.
The associate business in T urkey delivered a result of £0.6
million (2005: £0.4 million) despite a reduced contribution
from its textile exhibitions.
Income from interest and finance was reduced following the 
£30 million share buyback executed in August 2005. Interest
income was consequently reduced by approximately £1.3
million. Finance income includes the release of £0.4 million 
of ‘notional imputed interest receipts’ relating to certain venue
loans under IFRS fair value accounting standards.
Headline profit before tax this year of £26.0 million was ahead 
of last year’ s headline profit before tax of £25.3 million and,
after adjusting for the effect of biennial events, represents a
25% increase over the comparable result for 2005.
The Group’ s overall operating metrics for its events business
(excluding publishing) are set out below:
Square Gross Average
metres sold Revenue profit yield
000s £m £m £
2005 Results from Events 340.9 77.3 35.6
Non annual 2005 (23.9) (10.0) (4.9)
2005 ‘Biennially adjusted’ 317.0 67.3 30.7 212
Acquisitions 20.9 2.7 1.2
‘Like for like’ growth 42.7 8.3 5.4
2006 ‘Biennially adjusted’ 380.6 78.3 37.3 206
Non annual 2006 45.0 2.3 0.4
2006 Results from Events 425.6 80.6 37.7
In 2006 the Group organised 146 events (2005: 152 events) 
in fifteen countries (2005: sixteen countries) from its nineteen
dedicated offices. There were sixteen new launches in the year
contributing a total £2.0 million in revenue and £0.5 million in
gross profits. 
The Group sold 425,600m
2
of exhibition space in 2006 (2005:
340,900m
2
). After adjusting for the effect of biennial events the
Group achieved a 20% increase in volume sales, a 16% increase
in revenues and a 21% improvement in gross profits from the
events it organised in 2006.
The average yield across the Group achieved on comparable
sales was 3% lower this year at £206 per m
2
(2005 comparable
yield: £212 per m
2
). This was expected as half of the dilution 
in yield was attributable to the average yields of the new
acquisitions; a quarter of the dilution in yield related to the 
re-pricing of the Moscow International Motor Show , and the
remaining quarter was caused by strong volume growth 
from regions outside Moscow , where in general, average 
yields are lower . 
Chief Executive’ s business review 
Operating at the heart of 
a growing industry 04/05
ITE Group plc 
Annual Report 2006
Divisional review
‘Like for like’ growth (excluding the effect of biennial events 
and acquisitions) in revenue was 13% across ITE’ s total business. 
The strongest growth was in Central Asia where both profits and
revenue increased by over 25%. Russia and Eastern & Southern
Europe also performed above expectations. The table below
sets out the biennially adjusted and ‘like for like’ growth in
revenues across the regions of ITE’ s business. 
‘Like 
2006 2005 Actual Biennially for like’ 
£m £m change adjusted growth
Russia 49.9 48.4 3% 11% 11%
Central 
Asia & Caucasus 15.4 12.1 27% 27% 27%
Eastern & 
Southern Europe 8.3 5.0 66% 42% 32%
UK & Western Europe 7.8 6.0 30% 30% (3%)
Rest of World 1.0 7.0 (86%) (23%) (23%)
82.4 78.5 5% 16% 13%
Notes:
‘Biennially adjusted’ excludes the effect of biennial events
‘Like for like’ growth excludes the effect of biennial events and acquisitions 
in the year 
Business to business specialists
Business to business (‘B2B’) exhibitions and conferences
are modern marketplaces for business. Face to face
meetings to conduct business are a key marketing
medium for international and local businesses to 
open sales channels in new territories. 
B2B exhibitions and conferences generate the majority 
of their revenues in advance of the event and do not rely
upon a consumer audience for their success. 
ITE is a specialist in organising B2B exhibitions and
conferences, and its focus on emerging and developing
markets adds an extra dimension to its position in the media
industry . These markets are by definition dynamic, and their
fast moving, constantly changing nature means that trade
events are in high demand as participants maximise their
exposure to new commercial opportunities and stay one
step ahead within their field.
■ T rade exhibitions 94%
■ Consumer exhibitions 2%
■ Conferences 2%
■ Publishing/other 2%
ITE business type by revenue 06/07
ITE Group plc 
Annual Report 2006
Russia
Offices: Moscow , St Petersburg
2006 2005
Staff employed: 191 188
Exhibitions organised: 44 40
Square metres sold (000s): 206 194
The market conditions in Moscow and St Petersburg were strong
with most exhibitions reflecting higher demand. In Moscow the
second pavilion at Crocus, which was completed in 2005, added
an extra 60,000m
2
of available gross space to the market’ s
international quality exhibition space. Accordingly there was
resultant change in the Moscow market with new launches and
venue changes across the industry , as organisers responded to
the increase in space and increased choice of venue. In St Petersburg
there has been relative stability and little change in established
trading patterns. However the draw of Moscow’ s large events 
for the major international exhibitors is causing St Petersburg 
to evolve into a more regional exhibition business.
In ITE’ s Moscow business the highlight of the year was the
further expansion of the market leading construction event,
MosBuild. At 68,300m
2
(2005: 54,400m
2
) across the two
leading exhibition venues this event is now Moscow’ s, and
Russia’ s, largest trade exhibition.
Of our other major international events in Moscow the Moscow
International T ravel and T ourism exhibition held in Expocentr
was solid in response to competition this year from a new
event launch at Crocus. It recorded marginal growth to
19,600m
2
(2005: 19,300m
2
) at a slightly reduced overall yield.
The Moscow International Motor Show , focused on the B2B
motor accessories, service and parts industries, took place 
for the first time in the new Crocus venue alongside the OICA
consumer motor show , Autosalon. As part of this re-positioning
the Moscow International Motor Show agreed a common
pricing policy with the Autosalon event together with a lower
venue cost to ITE. The event was bigger at 17,700m
2
(2005:
16,900m
2
) but yields were lower than the 2005 comparatives. 
However the new format was well received by visitors and
exhibitors alike. Following the move to Crocus, pricing for the
Moscow International Motor Show is likely to stabilise.
Worldfood Moscow , held in Expocentr , continues to perform
well and has become the leading specialist event in the trade
food sector now occupying 22,200m
2
of space (2005:
20,300m
2
). Expoelectronica, the leading electrical components
event, moved to the Crocus venue to secure more and better
quality space. The event grew by over 20% to 9,000m
2
(2005:
7,400m
2
) and is now one of ITE’ s top five contributing events 
in Moscow . 
There have been a number of successful new launches in
Moscow this year . Babytime is a consumer focused event; MIBS
Autumn an ‘on the water’ summer boat event supplementing
our Spring Boat Show . Since the year end a new launch of an
Autumn travel event, Select T ravel, and the transfer of our
pharmaceuticals event to Crocus have both proved successful
initiatives. Additionally ITE acquired two new events in June this
year . Expoclean Moscow has a focus on the industrial cleaning
industry and Bytchimexpo focuses on household chemicals.
Expoclean took place in November and performed ahead of
expectations; Bytchimexpo will take place in March next year .
In St Petersburg most of the exhibitions reported steady 
growth. The major event in the calendar is BalticBuild which
was unchanged in size at 10,200m
2
(the event is space
constrained), but improved its revenues and profits. There 
was one small new launch, Subcontracting, supported by 
the City Government.
Looking forward there is a new pavilion being built at
Expocentr which will provide much needed space for our
Expocentr based events to expand. This will add a further
8,000m
2
gross space and is due for completion in early 2007.
Crocus has also commenced construction of a third pavilion,
designed to provide at least 60,000m
2
gross. With more new
space available the Moscow exhibition business is well
positioned to deliver further growth.
Chief Executive’ s business review 
continued
Local and global network provides 
unrivalled expertise 06/07
ITE Group plc 
Annual Report 2006
Central Asia & Caucasus
Offices: Kazakhstan (Almaty , Astana, Atyrau) Azerbaijan
(Baku), Uzbekistan (T ashkent), Georgia (Tbilisi), Kyrgyzstan
(Bishkek), T ajikistan (Dushanbe)
2006 2005
Staff employed: 183 134
Exhibitions organised: 59 63
Square metres sold (000s): 72 59
All offices in Central Asia experienced strong demand and
excellent year on year revenue growth of more than 25% was
achieved across the whole region. There have been no marked
changes in the competitive environment. In Almaty , Atakent,
the venue owner , successfully completed a new pavilion ready
for our use in September 2006, but there have been no other
significant changes in venue facilities elsewhere in Central Asia.
A new office was opened in Kyrgyzstan in the year . 
One highlight of the year was the new launch of KazBuild
Spring in Almaty which delivered 4,100m
2
. Our regular
KazBuild (Autumn) event was able to utilise the newly
constructed pavilion and grow to 10,800m
2
(2005: 8,300m
2
).
T otal sales to the construction sector in Almaty have almost
doubled in this financial year , testimony to the underlying
strong demand. The strength of the construction sector was 
in evidence throughout the region with revenue growth at
AtyrauBuild (10%), AstanaBuild (21%), BakuBuild (30%) and
UzBuild (14%) all recording positive year on year growth. 
In October 2005, the Kazakhstan International Oil & Gas
exhibition and conference grew by 7% to 7,900m
2
(2005:
7,400m
2
). Since the year-end the October 2006 edition has
been held and grew by 20% into the newly constructed pavilion.
Oil & gas events have again been strong performers
throughout the region with the North Caspian event in Atyrau,
Kazakhstan, Oil & Gas Uzbekistan and the Caspian Oil & Gas
exhibition in Azerbaijan all recording good year on year
revenue growth.
New launch activity continued its momentum. The eight small
start up events and conferences across the regions will assist to
secure ITE’ s future presence in these markets as the economic
infrastructure evolves. Events were launched in construction,
banking and financial services and the power industry
(Kazakhstan); and telecoms and travel (Uzbekistan). 
The current pattern of business growth in line with economic
growth and assisted by venue development looks set to
continue for the foreseeable future.
ITE staff leading the way
■ 1 Russia 29%
■ 2 UK 20%
■ 3 Kazakhstan 16%
■ 4 Other – Central Asia 13%
■ 5 Ukraine 11%
■ 6 T urkey 4%
■ 7 Germany 4%
■ 8 Other 3%
ITE staff by region
ITE was established in 1991 and since its early years has
been a pioneer amongst trade event organisers through 
its expertise in launching and organising new events to
international standards in places where the exhibition 
and conference industry is under developed.
ITE retains its innovative spirit today , but now the
Company benefits from the depth of experience of its
many staff who have worked at the forefront of their
profession for several years.
ITE has a flat management structure and a philosophy 
of promoting responsibility throughout the workforce.
Working for ITE is a rewarding experience and staff
retention levels are high. 
ITE’ s operational management is decentralised, with
emphasis placed on local offices managing their own
business with international support. This structure is
designed to recognise the value of the expertise that has
been developed throughout the Group and allows ITE to be
more aware of, and responsive to, local market conditions. 08/09
ITE Group plc 
Annual Report 2006
Eastern and Southern Europe
Offices: Ukraine (Kyiv), T urkey (Istanbul)
2006 2005
Staff employed: 97 98
Exhibitions organised: 32 35
Square metres sold (000s): 104 49
In the Ukraine the second phase development of ITE’ s preferred
venue, IEC, was completed in January 2006 allowing the newly
acquired AgriHort event to expand into the new space. The
2006 edition of the event was 9,500m
2
, significantly larger
than the 2005 pre-acquisition edition. The construction event,
KievBuild, also benefited from the new space and reported
strong growth of 47% over last year’ s show to 7,750m
2
. The
Ukraine International T ravel and T ourism event reported 
growth of 20% in revenue and profit in selling 5,100m
2
(2005:
4,200m
2
). A strong overall result from the Ukrainian business
was achieved in delivering 20% ‘like for like’ growth in revenues
over the year .
In T urkey our wholly owned business delivered its best
contribution to date. The construction plant and machinery
exhibition, Ankomak was held, for the first time since 2003;
this event is over 40,000m
2
but at relatively low yields. The
T urkish business saw good growth in its other exhibitions and
in its outbound sales activity into ITE events across the regions.
Our 50% owned associate business reported total sales of
200,000m
2
and made a contribution to ITE Group’ s profits after
tax of £0.6 million. The furniture, house textiles and machinery
tools events all grew well but the decline in the textile fabric
exhibition, as previously advised, held back the overall result.
Western Europe and UK
Offices: UK (London, Huddersfield), Germany (Hamburg),
Holland (Utrecht)
2006 2005
Staff employed: 155 158
Exhibitions organised: 7 4
Square metres sold (000s): 36 25
The principal businesses carried out in the UK are the Spring
and Autumn Fashion events, MODA, held at the NEC Birmingham
and the related magazine publishing business. During the year
the recently acquired Footwear UK events were integrated into
the MODA UK business and operational structures. The core 
UK fashion events having enjoyed a successful February show ,
recorded a decline in demand in the Menswear section of its
August event, reflecting seasonal patterns as well as circumstances
in the UK retail market. The shortfall was more than compensated
for by strong growth in the Footwear event over its pre-acquisition
size. Magazine publishing also recorded a good result with revenues
up 7% over the prior year on its portfolio of titles. 
This ITE business unit has established a successful model of
complementing magazine advertising and exhibition participation.
The business has been quick to adapt to industry trends and 
to grow and consolidate exhibition and magazine revenue. 
36 staff are employed in the North England office running 
the exhibition and magazine business. 
Of the total staff employed in Western Europe and the UK, 
28 are based in Germany contributing specialist sales onto
Russia and the CIS. The London office of ITE employs 91 staff
split evenly between sales teams and corporate ‘head office’. 
Rest of the World 
Offices: Algeria (Algiers), China (Beijing)
The principal event running in Africa this year was in Algeria
where we continued our relationship with U.N.C.T .A.D.
Following on from our initial success we opened a small office
in Algiers and entered into a joint venture with Sonatrach to
organise the national oil & gas exhibition and conference in
Oran in November 2006.
ITE has recently opened a small sales office in Beijing with 
a view to developing a greater participation from Chinese
exhibitors into ITE’ s Russian and CIS events. Initial successes
have been encouraging. 
Chief Executive’ s business review 
continued
Successful track record builds 
growing brand values 08/09
ITE Group plc 
Annual Report 2006
Future outlook
ITE’ s strategy of focussing on achieving maximum organic
revenue growth by leveraging its market leading position in
markets where we have expertise advantage has yielded
another strong set of results.
The growing strength and stability of the Russian and the CIS
economies, underpin the growth of domestic and international
trade business conducted within these regions. International
and local businesses are increasingly looking to exhibit their
goods and services at the exhibitions which ITE owns. Growth
in the exhibition business has been constrained until recently ,
by the lack of suitable international quality exhibition space. In
2006 the completion of 75,000m
2
of new venue space across
Moscow , Kazakhstan and Ukraine will help support growth of
our exhibition portfolio into 2007 and beyond. We anticipate
further additional space will become available for use in 2007
in Moscow and Ukraine. ITE has, in its markets, a series of
recognised market leading brands across a number of
international exhibition sectors. The Group’ s well established
office and infrastructure network throughout the region means
that it is well placed to fully participate in the anticipated
growth of the exhibition business. 
The new financial year has started well with trading in line with
the Board’ s expectations. As of 1 December 2006 advance sales
for the 2007 financial year were £54 million (2005: £43 million)
an increase in excess of 10% on the comparable forward sales
position this time last year . The Board remains confident of the
prospect for the current financial year .
Ian T omkins
Chief Executive Officer
4 December 2006
Strong brands in key sectors
Brand strength at group and event level is a growing 
asset for ITE. This strength is built on a sustained 
record of presenting high quality events which meet 
customer expectations.
Acknowledged and growing brand recognition combined
with positive brand values is helping ITE to realise the true
potential of its leading exhibitions and conferences and
leverage its leading brands to quickly develop new events
across the Group’ s sectors and territories.
ITE events serve many key industries such as oil & gas,
food & drink, construction & interiors, motor & transport,
travel & leisure, medical & healthcare and IT & telecoms.
Many of these sectors are critical to the continued
development of the domestic economies where 
ITE operates. 
Consequently , ITE occupies a favourable position
organising market leading events in key industry 
sectors with significant long term prospects. 
Pharmaceuticals
& Healthcare
Technology &
 Telecoms
Fashion &
 Textiles
Food &
 Drink
Motor &
 Transport
Travel &
 Leisure
Oil &
 Gas
Construction
& Interiors
0
5
10
15
20
25
No. of events
Events with revenue < £0.25m
Events with revenue > £0.25m
Number of events by sector Nature of Company
ITE Group plc (‘ITE’) is an organiser of exhibitions and
conferences throughout the world, specialising in emerging
and developing markets. The Group operates in 1 5 countries
categorised into five main geographic sectors: Russia, Central
Asia, Southern & Eastern Europe, Western Europe and Rest of
World. The main focus of operations is organising B2B trade
exhibitions which accounted for 94% of its revenue in 2006.
Consumer exhibitions accounted for 2% of ITE’ s revenue,
conferences a further 2% and other activities related to the 
core exhibition business (mostly publishing) accounted for 
2% of revenue.
The Group has 19 offices across the world, each of them
employing local staff. 
% of 2006 
Group
Region OfficesStaffEvents revenues
Russia 21914461%
Central Asia 8 183 59 19%
Southern & 
Eastern Europe 2 97 32 10%
Western Europe 4 155 7 9%
Other 32141%
T otal 19 647 146 100%
ITE’s objectives and strategy
The Group’ s principal objectives are:
(1) T o maximise diluted Headline earning per share
(2) T o maximise ‘organic’ revenue growth 
(3) T o be the ‘market leaders’ in trade exhibitions in ITE’ s key
industry sectors in each of its principal trading offices
The Group’ s strategy for achieving these objectives is:
(1) T o prioritise management effort on increasing revenues
from our existing offices, both through expansion 
of existing exhibitions and through the launch of 
new exhibitions
(2) T o increase volume sales and maintain the rate achieved
per unit (‘yield’) by office
(3) T o make incremental ‘bolt on’ acquisitions where they
support the achievement of our objectives
(4) T o secure forward venue rights for significant exhibitions. 
The Group’ s key performance indicators by which it measures
its performance are:
2006 2005
Fully diluted Headline earnings per share 7.0p 6.6p
Like for like ‘organic’ revenue growth 13% 11%
V olume Sales (excluding non-annual events) 000m
2
381 317
Average yield per m
2
(excluding non-annual events) £206 £212
Fully diluted Headline Headline earnings per share 
earnings per share excludes amortisation of intangible
assets and profits or losses arising
on the disposal of business.
‘Like for like’ % revenue growth generated from 
revenue growth exhibitions, conferences and new
launches excluding significant
biennial events and acquisitions.
Volume sales total m
2
sold excluding significant
biennial events, including
acquisitions.
Average yield total revenue from exhibitions and
conferences activities per m
2
sold.
10/11
ITE Group plc 
Annual Report 2006
Business and financial review – Group business review
Expertise in some of the world’ s most
sought after markets 10/11
ITE Group plc 
Annual Report 2006
Specialists in growth economies
ITE occupies an enviable position in the media marketplace.
It blends the dependability , energy and expertise of a
progressive international company with the dynamism 
and growth of emerging and developing markets. 
Many of ITE’ s markets are rich in natural resources and
characterised by increasing investment and growing
consumer demand. These are ideal conditions for
companies with the vision and ambition to establish 
and expand their business in markets that can produce
impressive returns.
A strategic focus on B2B events in growth economies,
underpinned by the strength of the Russian market and
the rapid development of markets in countries such as
Azerbaijan and Kazakhstan is helping ITE to deliver
exceptional results.
Market leadership
Across the ITE Group portfolio the key market sectors and the
proportion of revenue they represent are: 
2006 2006
% of number
revenue of events
Construction & Interiors 35% 17
Food & Drink 12% 18
T ravel & Leisure 11% 13
Oil & Gas 10% 19
Fashion 8% 9
IT & T elecoms 6% 23
Motor & T ransport 6% 13
Medical & Healthcare 5% 14
Other 7% 20
100% 146
ITE looks to develop its brands and leverage their strength by
using its strong network of offices and local knowledge to
replicate events throughout the territories in which we operate.
ITE is one of the most significant organisers of exhibitions in
the key territories of Russia, Central Asia and Ukraine. 
In Russia ITE is the leading international organiser of events. 
ITE has been an established exhibition organiser in Moscow
and St Petersburg for more than 10 years. In Moscow ITE
organises over 40 events each year including market leading
events in the construction, travel & leisure, oil & gas, motor &
transport and food sectors. The St Petersburg office organises
the leading event for the construction sector . 
In Central Asia ITE has offices in 6 countries, organising 
59 events. ITE has been organising events in these regions 
for more than 10 years and remains the largest international
organiser in these markets. ITE organises the leading 
events in the construction, oil & gas and food sectors.
% GDP Growth (forecast) 2006
Sources: BMI Emerging Europe Monitor (Russia & CIS)
               economist.com
0
31.8
Azerbaijan
Kazakhstan
Georgia
Uzbekistan
Russia
Ukraine
Turkey
Great Britain
Germany
France
Italy
5
10
15
20
25
30
35
ITE markets
Non-ITE markets
8.9
7.5 7.2
6.5 6.0
5.5
2.6
2.3 2.0 1.7 business and identifying profitable events. The Group’ s local
presence allows us to launch new events quickly and so react
to changes in local circumstances. ITE’ s extensive office
network helps the Group attract international exhibitors to 
new markets and events, which is important for the growth
and future of these events.
Acquisitions
ITE pursues potential acquisitions that have a fit with either
market or geographic sector , if not both. Each acquisition must
meet minimum return on a range of investment criteria including
Internal rates of return and payback. ITE pursues opportunities
where the Group can add value through its existing infrastructure
and skills, and so increase profits post acquisition. In 2006 ITE
acquired a Gift & Décor event in Ukraine and two events in
Moscow , Expoclean and Bytchimexpo (which will both make 
their first contribution in the financial year 2007). The Gift 
& Décor events (bi-annual) performed consistently with their 
pre-acquisition results, but have potential for good growth in 
the future.
ITE’ s acquisitions in the prior year are showing strong results 
with the Caspian Oil & Gas event growing revenues by 14% in 
its second year with ITE. The Footwear UK events increased
revenues by over 10% and has strengthened the overall MODA
brand and offering. Kiev AgriHort in Ukraine also increased its
volume sales significantly . In all three of these acquisitions 
ITE was able to increase profitability by leveraging its existing
relationships with service and venue suppliers and 
reducing costs.
12/13
ITE Group plc 
Annual Report 2006
Business and financial review – Group business review
continued
In Ukraine ITE’ s office organises a portfolio of 23 events. 
The exhibitions include leading events in the construction,
agriculture and travel sectors. The Ukraine business has 
grown significantly in recent years, from 14,000m
2
in 2003 
to 43,000m
2
in 2006.
ITE has a growing operation in Istanbul, T urkey .
In the UK ITE owns the leading fashion exhibition, covering
Womenswear , Menswear , Footwear and the Accessories markets.
Under ITE’ s stewardship this event, which takes place twice a
year has grown from 2,000m
2
to over 12,000m
2
over a five
year period.
Organic growth
In the last year the Group launched 16 new events, generating
a profit of £0.5 million. Notable new launches in 2006 were
‘KazBuild Spring’ in Kazakhstan which offered an alternative
Spring dateline to the established September event;
‘Subcontracting’ a new event launched in St Petersburg;
Babytime – a consumer exhibition targeting the infant and 
baby equipment buyer in Moscow , and after the year-end 
Select T ravel, an experience based travel exhibition in Moscow . 
This activity complements ITE’ s established events and is driven
by its strong local knowledge and presence, from a network 
of offices in touch with local developments and opportunities. 
Out of the portfolio of 146 events in 2006 over 50 have been
launched by ITE in the last five years. 
Every new launch is planned to break even in its first year 
of operation, with profit growth being established over
subsequent events. Whilst new launches typically have lower
profits and gross margins initially , this strategy helps renew 
the event portfolio in response to changes in market demand
and is a proven and cost effective way of developing the
Construction Oil Travel Motor FoodTechnology FashionPharmaceauticals
& Interiors & Gas & Leisure & T ransport & Drink & T elecoms & T extiles & Healthcare Other T otal
Moscow ■■■ ■ ■ ■ ■ ■ ■ ■ ■ ■■ ■ ■ ■ ■ ■ ■ 19
St Petersburg ■ ■■ 3
Kazakhstan ■■■ ■■■ ■ ■ ■■ 10
Azerbaijan ■ ■ ■ 3
Uzbekistan ■ ■ 2
Ukraine ■■ ■■■ ■ 6
T urkey ■ ■■ ■ 4
UK ■ ■ 2
Africa ■ 1
TOTAL 8752763 7 6 50
Key:
■ > £0.5 million revenue
■   £0.25 million – £0.5 million revenue
ITE’s top 50 events (by revenue) categorised by market and by sector Return to shareholders
ITE is committed to maximising shareholder return and is a
leading performer in its sector . ITE’ s progressive dividend policy
has resulted in total dividends in 2006 of 3.5 pence per share,
up more than 25% over 2005 (2.75p). Since 2002 the dividend
has increased on a compound basis by more than 20% per 
year . Set out below is a graph showing total cash returned to
shareholders (including the share buyback in August 2005)
against the post tax profits earned by ITE over the last five years.
Risks and uncertainties
Political uncertainty and regulatory risk
The Group’ s business is principally carried out in Russia and the
CIS. Changes in law or the regulatory environment could have
an effect on some or all of the exhibitions of the Group. ITE has
reduced the risk by establishing its business as independent
Russian and CIS companies fully contributing to the local
economy . A regulatory change effecting the trading prospects
of a particular sector could effect short term prospects, but ITE’ s
diversity of businesses across sectors and geography provides
protection for the longer term prospects of the Group.
Commercial relationships
The Group has key commercial relationships with venues
which secure the Group’ s rights to run its exhibitions in the
future. These key relationships are regularly reviewed and 
the Group seeks to maintain its exhibition rights for at least
three years forward for significant exhibitions.
Venue availability
Damage or unavailability of a particular venue could impact the
Group’ s short term trading position. Accordingly the Group
carries business interruption insurance policies which protect
profits against such an event in the short term.
Competitor risk
Competition has existed in ITE’ s markets for some years. 
ITE faces competitive pressures on a market by market basis.
Recent increases in venue space available in Moscow has
increased the potential for new market entrants in the Moscow
exhibition business. In Central Asia, ITE has a strong position in
all its markets as the largest international organiser . In Kyiv ,
Ukraine, there are a number of exhibition venues and directly
competitive events exist in most of ITE’ s favoured sectors. 
In all of its overseas markets ITE has a strong position as an
international organiser achieved through effective use of its
international sales network and its established brands for
major events. A single exhibition or sector in a market could
have its prospects curtailed by a strong competitor launch;
however the breadth of ITE’ s portfolio of events with its
geographic and sector diversity reduce the risk of a 
competitive threat to the Group’ s overall business.
Foreign currency
ITE’ s business is priced in Euros, Dollars and Sterling but
collected in a range of currencies, including the ‘soft’ currencies
of the regions in which it operates. The Group maintains 
short term hedging and forward option positions to protect
foreseeable ‘hard’ currency receipts. Significant cash balances
held in Russian and CIS trading companies are translated into
Euro, Sterling or dollar deposits which are held in approved
banks until remitted to the UK.
People
ITE’ s employees have longstanding relationships with customers
and unique knowledge of their exhibitions business. Loss of 
key staff to a competitive event could impact the short term
prospects of a specific event or sector . ITE has sought to build
loyalty in its staff well by ensuring remuneration is competitive
and through a wide distribution of the Group’ s long term
incentive plans. ITE has a good record to date of retaining its 
key staff.
12/13
ITE Group plc 
Annual Report 2006
Notes:
(i) 01-02 dividend included an additional payment in relation to 00-01
(ii) 04-05 includes a share buy back
ITE Group plc – Shareholder return
(5)
0
5
10
15
20
25
30
35
40
01-02 02-03 03-04 04-05 05-06
Years
£m
Profit/(loss) after tax
Return 14/15
ITE Group plc 
Annual Report 2006
International Financial Reporting Standards (‘IFRS’)
The 2006 Financial Statements are reported under IFRS. 
The comparative figures for 2005 have been re-stated onto 
a consistent basis as required. A full statement reconciling 
the reported 2005 Financial Statements to the re-stated 2005
Financial Statements is available on the Company’ s website:
www.ite-exhibitions.com.
Revenue and gross profit 
A detailed analysis of the main changes in revenues and gross
profits of the business is set out in the Chief Executive’ s review
of the business, on pages 4 to 9.
Other operating income
Other operating income represents rental income earned from
subletting surplus office space, principally at ITE’ s London offices.
Finance income 
Finance income for the year was £1.4 million (2005: £2.1
million). This includes £0.4 million of ‘notional interest’ imputed
in applying IFRS fair value principles to certain venue loans. A
further amount of £0.05 million of ‘notional interest’ remains to
be credited to the income statement in the next financial year .
The interest from bank deposits reduced to £0.8 million in the
year (2005: £2.0 million) following ITE’ s £30 million buyback 
of its own shares in August 2005. The Group held average 
net cash balances of £14.8 million through the year (2005: 
£32.9 million).
Finance costs
Finance costs of £0.6 million (2005: £0.6 million) represent the
interest cost of the Group’ s borrowings in Euro and US Dollar .
The Group enters into these borrowing arrangements as part 
of its currency hedging activity . At 30 September 2006 the
Group had borrowings of c13.0 million, and US$3.7 million.
Tax charge
The tax charge of £7.4 million represents 30% of profit before
tax. In this financial year tax losses of c7 million which the
Group had previously treated as being available to offset future
tax charges, were disallowed by the Dutch tax authority ,
leading to an increase in the deferred tax liability in the period.
There has been a reduction in the Group’ s overall level of tax
provisions. The Group anticipates that for the next 
year the tax rate will be in line with the UK Corporation tax 
rate of 30%, whereby the lower tax rates typically experienced
in our major overseas markets are offset by withholding tax
charges on dividends back to the UK.
Earnings per share
Basic earnings per share increased to 6.9p (2005: 6.7p). Fully
diluted earnings per share increased to 6.7p from 6.6p in the
prior year .
The Group achieved Headline diluted earnings per share 
of 7.0p per share compared with 6.6p for the year to 
30 September 2005. Headline diluted earnings per share is
based upon profit for the financial year before amortisation 
of acquired intangible assets and any profits or losses on
disposal of Group undertakings.
Dividends
The Group has recommended a final dividend of 2.5p 
for 2006, to bring the total dividend for the year to 3.5p 
(2005: 2.75p).
Cash flow
Cash generated from operations in the year was £34.2 million
(2005: £29.4 million). The principal applications of cash were 
of £7.4 million applied to venue loans and advances (2005: 
net receipt £0.4 million); £9.1 million was paid in tax; (2005:
£8.4 million); £3.0 million was applied to acquisitions in the
year (2005:£5.8 million) and £7.1 million was distributed 
as dividends (2005: £7.1 million). The net increase in cash
balances at 30 September 2006 was £8.1 million.
Business and financial review – Group financial review
continued 14/15
ITE Group plc 
Annual Report 2006
Net cash at 30 September 2006 was £21.2 million (2005: £13.0
million). Of the £21.2 million of cash £4.5 million was held in a
trust account, which will be released as certain creditors are paid
in full. At 30 September 2006 £0.5 million of the cash in trust
was expected to be released within one year .
Acquisitions & disposals
On 1 March 2006 ITE acquired the Kiev Gift & Décor exhibition
from Expo UA for consideration of £0.4 million. The event is
held in the Spring and Autumn each year .
On 29 June 2006 ITE acquired the Expoclean and Bytchimexpo
exhibitions in Moscow from PIK Maxima for a consideration of
£1.8 million. Both events will be held by ITE for the first time in
the year ending 30 September 2007.
On 20 September 2006, ITE bought the remaining 10% 
minority shareholding in ITE Moda Limited for consideration 
of £1.0 million. ITE now owns 100% of the Moda fashion and
publishing business. 
On 29 September 2006 ITE disposed of a subsidiary in
Azerbaijan, Caspian Freight Services LLC, for £0.2 million to
Meritex International Freight Services Limited. The company
provided freight services to the Group’ s exhibitions in
Azerbaijan. The consideration will be received over the 
12 months ending 30 September 2007.
The final deferred receipts of £0.1 million from the sale of ITE’ s
interests in ACG have been received in the year . No further
amounts remain outstanding.
Balance sheet
The Group’ s consolidated balance sheet at 30 September 2006
is summarised in the table below:
Assets Liabilities Net assets
£m £m £m
Goodwill and intangibles 40.3 – 40.3
Property , plant and equipment 1.3 – 1.3
Associates 1.4 – 1.4
Venue advances 7.1 – 7.1
Cash 31.9 (10.7) 21.2
Current assets and liabilities 
excluding cash and venue advances 25.5 (50.7) (25.2)
Provisions – (2.3) (2.3)
Deferred tax 2.0 (2.1) (0.1)
T otal as at 30 September 2006 109.5 (65.8) 43.6
T otal as at 30 September 2005 91.3 (59.2) 32.1
Net assets increased to £43.6 million. The main changes are in
goodwill (increase of £1.6 million), venue advances (increase of
£3.3 million) and net cash (increase of £8.1 million). 
Investment and capital expenditure
The Group’ s capital expenditure on plant and equipment for 
the year was £0.4 million (2005: £0.4 million) and included
exhibition equipment, computer equipment and 
associated software. 
The Group funds the development of venues and facilities
where improved facilities will enhance the prospects and
profitability of our organising business. The funding can take
the form of a prepayment of future venue fees (‘advance
payments’), or a loan which can be repaid by cash or by offset 
against future venue fees (‘venue loan’). Generally the funding
brings rights over future venue use and advantageous pricing
arrangements. Venue loans and advance payments are included
under non-current and current assets in the balance sheet. 16/17
ITE Group plc 
Annual Report 2006
At 30 September 2006 the Group’ s Sterling value of the
outstanding balances of advance payments and venue loans
was £7.1 million (2005: £3.8 million) as follows:
30 September 30 September
2005 New Repayments 2006
£m £m £m £m
Moscow –5.8(3.0)2.8
Kyiv 1.31.1(0.6)1.8
Almaty 0.81.1(0.9)1.0
St Petersburg 1.4 – (0.4) 1.0
Uzbekistan 0.20.3(0.3)0.2
Bulgaria 0.10.3
1
(0.1) 0.3
T otal 3.8 8.6 (5.3) 7.1
Note:
1 
Release of provision
These balances will be recovered from future venue use within
three years except in Bulgaria and St Petersburg. In St Petersburg
part of the advance repayments relate to future events taking
place between 2007 and 2011. ITE is not presently active in
Bulgaria and the loan is being repaid in instalments.
Capital
Following the cancellation of the share premium account 
and buy back and cancellation of its own shares last year , 
the Company has a Share Premium account of £698,000 
as at 30 September 2006. During the year the Company 
has purchased 975,833 shares to be held in T reasury . The
Company has also issued 1,013,194 ordinary shares of 1p 
in the year . Of the total new issues 983,000 were pursuant 
to the exercise of options and yielded aggregate consideration
of £0.6 million. The remaining shares were issued as part of
Directors’ remuneration.
The Employees Share Option T rust (‘ESOT’) held 9,372,100
(3.6%) of the Company’ s issued share capital at the year end
(2005: 11,127,000; 4.3%).
Post balance sheet events
There have been no significant post balance sheet events. 
Financial risk
The main financial risk facing the Group is foreign currency
risk. The Board has reviewed and agreed policies to manage
financial risk as follows:
Foreign currency risk 
The Group is exposed to movements in foreign exchange 
rates against Sterling for both trading transactions and for the
translation of net assets and the profits and loss accounts of
overseas operations. The principal exposure is to the Euro and
Dollar exchange rates which form the basis of invoicing for our
international customers. During the year the Group experienced
net foreign exchange losses of £0.2 million (2005: £0.7 million).
The exchange rate for the Euro at 30 September 2006 was c1.48:
£1 (30 September 2005: c1.46:£1); the exchange rate for the US
Dollar at the year end was $1.88:£1 (30 September 2005:
$1.76:£1).
The bulk of the Group’ s business is in emerging and developing
markets and to minimise the currency risk, the Group prices
predominantly in Euros and US Dollars. A proportion of total
invoicing amount is settled in local currency equivalent,
translated at prevailing rates at the date of settling invoices. 
In 2006 64% of the Group’ s sales were priced in Euros and 22% 
in US Dollars. Overall 61% of the Group’ s cash receipts in financial
year ending 30 September 2006 were in hard currency 
and 39% was in various local currencies. The Group has a 
large proportion of its revenues and costs denominated in 
non-Sterling currencies. Sterling costs exceed Sterling revenues
due to the level of UK based costs – in particular London sales
and head office costs. 
The Group uses derivative instruments and currency
borrowings to protect itself against the effect of currency
fluctuations on its balance sheet. The Group’ s policy on
derivative instruments is that:
• it will only hedge up to 80% of the value of anticipated 
cash flows; and
• it will not enter into derivative transactions more than 
18 months ahead.
Business and financial review – Group financial review
continued 16/17
ITE Group plc 
Annual Report 2006
At 30 September 2006 the Group had options to sell c15 million
spread over the 12 months to 30 September 2007 at a rate of
c1.43:£1 (the ‘Option Rate’). Were the exchange rate for the 
Euro to fall below c1.38:£1 then the Group would be obliged 
to sell Euros at the Option Rate.
Over the course of the year the Group has entered into currency
borrowing arrangements to minimise it’ s exposure to foreign
exchange risk. The currency borrowings can be offset against
the matching Sterling deposits. At 30 September 2006 the
Group had borrowings of c13.0 million, and US$3.7 million. 
The cash balance of £21.2 million at 30 September 2006 is
presented net of these borrowings.
Interest rate risk
The Group finances its operations through cash holdings 
and debt facilities. The objective of the Group is to maximise
investment income and minimise interest costs bearing in 
mind its liquidity requirements. 
For short term debt, such as overdraft facilities or debt with a
term of less than six months, fixed or floating rates of interest
are used. For debt with a term of greater than six months, it is
policy that at least 75% must have fixed rates of interest so as
to minimise the Group exposure to interest rate movements. 
It is Group policy that surplus cash is not invested in instruments
that would put the capital value at risk. All invested funds have a
determinable rate of interest.
Liquidity risk
The Group policy is to ensure continuity of funding for
operational needs through cash deposits and debt facilities 
as appropriate. The key requirement for the business is to
maintain flexibility to allow the Group to take advantage of
opportunities that could arise over the short term. The needs 
of the business are determined on a rolling cash flow forecast
basis, covering weekly , monthly and twelve monthly
requirements. Short term flexibility is maintained by holding
cash in current accounts and high liquidity money market
funds. The Group has overdraft facilities in place both to permit
currency borrowing as part of its foreign exchange management
and to allow flexibility in where it holds its cash balances.
Going concern
After considering the current financial projections for the
Group, the Directors have a reasonable expectation that the
Company has adequate resources to continue its operations 
for the foreseeable future. For this reason they continue to
adopt the going concern basis in preparing the accounts.
Russell T aylor
Finance Director
4 December 2006 18/19
ITE Group plc 
Annual Report 2006
3 The Rt. Hon. Sir Jeremy Hanley, KCMG (61)
Non-executive Director 
Audit, Remuneration & Nomination Committees
Sir Jeremy Hanley was appointed a non-executive Director of
the Company in March 1998. He is a Chartered Accountant. 
His other directorships include Willis Group Holdings Inc,
NYMEX Europe Limited and Langbar International Limited. He 
is also a Director of the Arab-British Chamber of Commerce, 
a consultant to Lottomatica Spa and a member of the Advisory
Board of Blue Hackle Limited. Sir Jeremy was a Member of
Parliament for Richmond and Barnes from 1983 to 1997 and
held a number of ministerial positions including Under
Secretary of State for Northern Ireland, Minister of State for 
the Armed Forces, Cabinet Minister without Portfolio whilst
Chairman of the Conservative Party and Minister of State for
Foreign & Commonwealth Affairs. He retired from politics in
1998 to concentrate on his Director’ s duties. Sir Jeremy is the
Senior Independent non-executive Director .
4 Michael Hartley (57)
Non-executive Director 
Audit, Remuneration & Nomination Committees
Michael Hartley was appointed a non-executive Director of 
the Company on 21 October 2003. He brings extensive
international management experience to the Board, having
spent 10 years with Coats Viyella plc, for the last three years 
as Chief Executive of the Viyella division. Mr Hartley is currently
Chairman of Dawson International plc and Chairman of
Servocell plc. He has worked extensively in Asia, Australia 
and Africa. Mr Hartley has also held several chief executive and
marketing roles in the retail sector , including at T ootal Group
plc, Lewis Meeson Ltd, T rinity International Holdings plc and
Marks & Spencer plc. Mr Hartley holds an MBA from Manchester
Business School.
1 3 2 4
Directors
1 Iain Paterson (59) 
Non-executive Chairman 
Remuneration & Nomination Committees
Iain Paterson was appointed a Director and non-executive
Chairman of the Company in May 2002. He has over 30 years
of international management experience at a senior level, most
particularly in the oil industry . He was a Board Member and
International Director of Enterprise Oil plc. Previously he spent
14 years at British Petroleum plc. He is currently Chairman of
Sondex plc and holds non-executive Directorships at MOL Rt.
(the Hungarian Energy Company), Hunting plc and Armor
Group International plc.
2 Ian Tomkins (42)
Chief Executive Officer
In October 2002 Ian T omkins was appointed Chief Executive
Officer having originally joined the Company in July 1998.
Previously Ian had been appointed Finance Director and
Company Secretary in May 2000. Ian qualified as a Chartered
Accountant with Price Waterhouse in Australia in 1988 and
completed six years of service with the firm. He subsequently
served as Financial Controller with Village Roadshow Ltd, a
publicly listed Australian cinema exhibition, media and leisure
company . He holds a Bachelor of Commerce degree from the
University of Melbourne. 18/19
ITE Group plc 
Annual Report 2006
5 Edward Strachan (42)
Executive Director
Edward Strachan joined ITE in 1993 when he launched ITE’ s
business in Kazakhstan. Since then he has opened and
managed ITE’ s operations in St Petersburg, Central Asia and
Caucasus regions and currently lives abroad in the CIS. He 
also has responsibility for EUF , ITE’ s 100% owned subsidiary 
in T urkey . He brings to the Board his extensive experience 
of the exhibition industry in Russia and the CIS regions.
6 Russell Taylor (48)
Finance Director , Company Secretary 
Russell T aylor was appointed Finance Director on 24 March 2003.
He was previously Finance Director of Air Miles International
Group, where he managed all financial and commercial aspects
of the international loyalty schemes business. He brings
extensive experience of all sectors of the exhibition industry ,
having spent seven years at Earls Court Olympia Group, where
he was Group Finance Director and subsequently Managing
Director of Earls Court & Olympia Halls. A qualified Chartered
Accountant, he trained at T ouche Ross & Co where he became 
a Manager in the Corporate Finance Department. He holds a 
BA in Economics from Lancaster University .
7 Malcolm Wall (50)
Non-executive Director 
Audit, Remuneration & Nomination Committees
Malcolm Wall was appointed as a non-executive Director of the ITE
Group in May 2006. He has enjoyed a highly successful career in
the media sector and brings senior level board experience and
extensive knowledge of the B2B market and the exhibitions
business. Mr Wall is currently Chief Executive of the Content
Division of NTL T elewest. Previous posts include a 10 year spell
with United Business Media during which, as Chief Operating
Officer he had direct responsibility for the professional media
business unit that included B2B publications and the 
exhibition business.
567 20/21
ITE Group plc 
Annual Report 2006
Directors’ report
The Directors present their annual report on the affairs of the Group, together with the accounts and auditors’ report, 
for the year ended 30 September 2006.
Principal activities and review of business
The principal activities of the Group comprise the organisation of trade exhibitions and conferences. The main subsidiary 
and associate undertakings which affect the profits or net assets of the Group in the year are listed in note 4 to the financial
statements of the Company .
Details of the Group’ s performance during the year and expected future developments are contained in the Chief Executive’ s
business review on pages 4 to 9. Details of the Group’ s financial risk management policies are contained on pages 16 and 17.
Results and dividends
The audited accounts for the year ended 30 September 2006 are set out on pages 36 to 65. The Group profit for the year , 
after taxation and minority interests, was £17.4 million (2005: £18.4 million).
The Directors recommend a final dividend of 2.5p (2005: 1.85p). The total dividend for the year , including the proposed final
dividend, is 3.5p (2005: 2.75p).
Directors
The Directors, who served throughout the year except as noted, are as follows:
Executive Directors Non-executive Directors
Ian T omkins – Chief Executive Officer Iain Paterson – Chairman
Ceyda Erem – Resigned 16 November 2006 Sir Jeremy Hanley
Edward Strachan Michael Hartley
Russell T aylor Marco Sodi – Resigned 23 January 2006
Malcolm Wall – Appointed 4 May 2006
In accordance with Company Law and the Articles of Association, Ian T omkins, Edward Strachan, and Sir Jeremy Hanley will retire
by rotation at the next annual general meeting and, being eligible, offer themselves for re-election. Sir Jeremy Hanley’ s appointment
will be for one year only as he will have served nine years as a non-executive Director by March 2008. Malcolm Wall having been
appointed on 4 May 2006 retires at the next annual general meeting and, being eligible, offers himself for re-election.
Substantial shareholdings
At 1 December 2006, the Company had been notified, in accordance with sections 198 to 208 of the Companies Act 1985, of the
following interests in the ordinary share capital of the Company .
Number Percentage
Name of holder of shares held
Aberforth Smaller Companies T rust 34,513,651 13%
Schroder Investment Management Limited 33,718,473 13%
Ceyda Erem 17,590,065 7%
Barclays Plc 13,686,954 5%
Fidelity Investments 15,434,383 6%
Kyzyl T an Consultants Limited 10,000,000 4%
ITE Group Employee’ s Share T rust 9,322,100 4% 20/21
ITE Group plc 
Annual Report 2006
Directors’ share interests
The Directors who held office at 30 September 2006 had the following interests in the shares of Group undertakings:
30 September 30 September
Name of Director 2006 2005
Executive
Ian T omkins 10,000 10,000
Ceyda Erem 17,590,065 19,090,065
Russell T aylor 15,000 15,000
Edward Strachan
1
10,433,481 13,821,416
Non-executive
Sir Jeremy Hanley 24,090 24,090
Iain Paterson 257,058 226,864
Michael Hartley 10,000 10,000
Malcolm Wall – –
Note:
1 Edward Strachan is a shareholder of Kyzyl T an Consultants, which holds 10,000,000 shares in the Company . These are included in the 10,433,481 above
The Directors, as employees and potential beneficiaries, have an interest in the 9,372,100 shares held by the ITE Group Employee’ s
Share T rust at 30 September 2006. 
Between 30 September and 1 December 2006 the ITE Employee’ s Share Option T rust (ESOT) reduced its holding by 50,000 shares
in satisfying the exercise of options. Otherwise there were no changes in the interests of Directors between 30 September 2006
and 1 December 2006.
Right to purchase the Company’s shares
At the Annual General Meeting on 23 February 2006, the Shareholders authorised the Company to make one or more market
purchases of up to 25,989,182 of the Company’ s Ordinary Shares at a price between 1p (exclusive of expenses) and 105% of the
average middle market price of a share for the five business days immediately preceding the date on which the share is purchased. 
Since that date the Company has purchased 975,833 of its own shares which are held in treasury . The shares have a nominal
value of £9,758.33p representing 0.4% of the issued share capital and were purchased for a consideration of £1.1m. The reason
for the purchase was to reduce surplus cash balances and enhance earnings per share. The Company has a remaining authority
to purchase a further 25,013,349 of its own shares which will expire at the next annual general meeting on 22 February 2007.
Donations
The Group made charitable donations of £3,000 (2005: £5,000) during the year . No political donations were made.
Employees
The Group’ s human resources strategy is to attract and retain talented, high calibre employees focused on achieving excellent
results. Remuneration policy is designed to achieve this aim.
It is the Group’ s policy to consider fully applications for employment by disabled persons, bearing in mind the aptitude of the
applicant concerned. In the event of a member of staff becoming disabled, every effort would be made to ensure their continued
employment and progression in the Group. It is Group policy that training, career development and promotion of disabled
employees match that of other employees as far as possible. 
The Group places great importance in the development of its staff to support the business in meeting its objectives. This is
reflected in the training initiatives in place for staff, both internally and externally . The Group keeps employees informed on
matters effecting them and on matters effecting the Group’ s performance through regular newsletters and through meetings,
both formal and informal. Employees are able and are encouraged to move around the Group in order to experience the
business environment in other offices. The Group actively encourages the participation of employees in activities of offices other
than their own. The Group distributes long term incentives widely to staff in all offices. At 2006 approximately 60% of staff held
long term incentives in some form. As a result the, the Group’ s employees identify strongly with ITE’ s overall objectives.  22/23
ITE Group plc 
Annual Report 2006
Directors’ report
continued
Supplier payment policy
The Company’ s policy , which is also applied to the Group, is to agree payment terms with suppliers when entering into each
transaction to ensure that suppliers are made aware of the terms of payment and to abide by the terms of payment. The Company
has no trade creditors.
Corporate social responsibility
Social interaction
The Board of the Company is aware of both the benefits to its business of engaging with its various constituencies in a socially
responsible manner and the risks of failing to do so. As an operator of internationally focused businesses in emerging markets
the Company ensures that it is culturally sensitive in its dealings with the local community and that its employment and
development policies are non discriminatory and encourage the employment of local nationals at all levels in the Company .
Those employees are encouraged to participate in and support their respective communities.
The Company has a policy of encouraging employees, and especially those from the locations in emerging markets, to move
around the offices of the Group thus providing development opportunities for all staff. In addition, employees are assisted in 
their career development through an annual appraisal scheme. All staff are eligible for issues of share options or awards under
the Employee’ s Performance Share Plan as the Board feels that it is important for them to take an active part in the success of 
the Company .
Ethics
The Company actively promotes integrity in its dealings with its employees, customers and suppliers and with the authorities of
the countries in which it operates and recognises that a reputation is a valuable and fragile asset gained over a substantial period.
The leadership position of its exhibitions and the continued growth of its core shows is evidence of the success of its practices.
The Company maintains high ethical standards in carrying out its business activities and has clear guidelines for dealing with
gifts, hospitality , corruption, fraud and the use of inside information.
Environment
As a media services company , the Group acknowledges that its business has an impact on the environment, albeit relatively
minor . The Company does not manufacture or sell any tangible products. The Company actively controls its energy costs and 
the office and other waste generated by its business.
As a media services business the Group’ s activities do not directly effect the environment through emissions to air , water or land.
The Group’ s activities, mostly through its customers and suppliers have an impact on waste and natural resources usage through
materials used in assembling exhibition stands and participating in the exhibition. Presently , practice in controlling waste at
different exhibitions centres varies widely through the different regions in which the Group operates. 
Annual General Meeting
Shareholders will see from the Notice of the Annual General Meeting on pages 74 to 75 that they are to consider and, if thought
fit, to pass three resolutions as special business. These resolutions have become routine business at the annual general meeting
of most public companies. The resolutions relate to:
• renewal of the authority for the Directors to allot relevant securities
• renewal of the powers of the Directors to allot equity securities as if pre-emption rights did not apply
• renewal of the authority for the Company to purchase certain of its own shares, and to hold them as treasury shares 22/23
ITE Group plc 
Annual Report 2006
Auditors
The Directors will place a resolution before the Annual General Meeting to reappoint Deloitte & T ouche LLP as auditors for the
ensuing year .
In the case of each of the persons who are directors of the Company at the date when this report was approved:
• so far as each of the directors is aware, there is no relevant audit information (as defined in the Companies Act 1985) of which
the Company’ s auditors are unaware; and
• each of the directors has taken all the steps that he ought to have taken as a director to make himself aware of any relevant
audit information (as defined) and to establish that the company’ s auditors are aware of that information.
Statement of Directors’ responsibilities for the Group financial statements
The Directors are responsible for preparing the Annual Report and the financial statements. The Directors are required to prepare
financial statements for the Group in accordance with International Financial Reporting Standards (IFRS) and have chosen to
prepare the Company financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (UK GAAP). 
In the case of UK GAAP company financial statements, the Directors are required to prepare financial statements for each
financial year which give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for
that period. In preparing these financial statements, the Directors are required to: 
• select suitable accounting policies and then apply them consistently; 
• make judgments and estimates that are reasonable and prudent; and
• state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained
in the financial statements. 
In the case of IFRS financial statements, International Accounting Standard 1 requires that financial statements present fairly for
each financial year the Group’ s financial position, financial performance and cash flows. This requires the faithful representation
of the effects of transactions, other events and conditions in accordance with the definitions and recognition criteria for assets,
liabilities, income and expenses set out in the International Accounting Standards Board’ s ‘Framework for the preparation and
Presentation of Financial Statements’. In virtually all circumstances, a fair presentation will be achieved by compliance with all
applicable International Financial Reporting Standards. Directors are also required to: 
• properly select and apply accounting policies; 
• present information, including accounting policies, in a manner that provides relevant, reliable, comparable and understandable
information; and
• provide additional disclosures when compliance with the specific requirements in International Financial Reporting Standards 
is insufficient to enable users to understand the impact of particular transactions, other events and conditions on the entity’s
financial position and financial performance.
The Directors are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the
financial position of the Company , for safeguarding the assets, for taking reasonable steps for the prevention and detection of
fraud and other irregularities and for the preparation of a Directors’ report and Directors’ remuneration report which comply with
the requirements of the Companies Act 1985.
The report of the Directors has been approved by the Board and signed on its behalf by:
Russell T aylor
Company Secretary
4 December 2006 24/25
ITE Group plc
Annual Report 2006
Report on corporate governance 
Statement of compliance with the revised Combined Code on corporate governance
The Company is committed to the principles of corporate governance contained in the Combined Code.
During the financial year the Company complied in all material respects with the provisions set out in section 1 of the 2003 FRC
Combined Code (‘Combined Code’) insofar as it applies to the Company .
Statement about applying the Principles of Good Governance
The Company has applied the principles of good corporate governance as set out in the Combined Code. The explanation of how
the principles have been applied is set out below and in connection with Directors’ remuneration, in the Report on remuneration. 
Board of Directors
The Board of Directors meets not less than seven times a year . The Board considers a range of matters for its approval, including
setting Group strategy , acquisition policy , the budgets, major capital expenditure and material contracts. The Board monitors the
performance of the businesses against appropriate forecasts and key performance indicators. The Board is supplied with financial
and operational information on a timely basis to enable it to discharge its duties and carry out its responsibilities. All Directors
have access to the Company Secretary and there is a procedure to enable them to take additional independent professional
advice at the expense of the Company . The Senior Independent non-executive Director is Sir Jeremy Hanley .
In addition to the Chairman the Board comprised two or three non-executive Directors and four executive Directors during 
the year . The Board currently has four non-executive Directors (including the Chairman) and three executive Directors which 
it considers to be an appropriate balance of executive and non-executive Directors. The roles of Chairman and Chief Executive 
are separate, and each has defined roles and responsibilities approved by the Board.
The Nomination Committee considers all appointments made to the Board. The only appointment in the year was Malcolm Wall
on 4 May 2006, for an initial period of three years subject to one month’ s notice by either party . The full terms and conditions 
of the appointment are available for inspection at the Company’ s registered office and will be available for review before the
Annual General Meeting. The Nomination Committee and Chief Executive agreed the specifications for the position and an
external search company was appointed to provide a shortlist of candidates. The candidates were all interviewed by the
Chairman and the Chief Executive and the recommended candidate was seen by all members of the Nomination Committee, 
who then collectively recommended his appointment to the Board.
The Directors’ diversity of experience and knowledge of the markets in which ITE operates are key to the development of a robust
strategy for the Group and to its execution. The non-executive Directors contribute an independent and objective view to the
management of the Company and play a full and active part in the various Board committees. The names and biographies of the
Directors are on pages 18 and 19.
The Board considers Iain Paterson, Michael Hartley , Sir Jeremy Hanley and Malcolm Wall to be independent. Until his resignation 
in January 2006, Marco Sodi had been appointed by Veronis Suhler Stevenson pursuant to the terms of its subscription agreement,
who were a major shareholder of the Company . For his time in office the Board did not consider that Mr Sodi was independent 
in all matters but did consider that his independent judgment as a Board member and his participation on the Nomination
Committee was not affected by his relationship with Veronis Suhler Stevenson. 
Any Directors appointed since the last General Meeting are required to offer themselves for re-election at the first available annual
general meeting. In accordance with the Articles of the Company all Directors are required to stand for re-election at least every
three years. 
The non-executive Directors met formally without the executives present twice during the year . On one of those occasions the
non-executives carried out a formal evaluation of the Board and of its Committees. In addition, the Chairman met individually
with each of the directors. The Chairman’ s performance was evaluated by the Senior Independent Director . A number of matters
were discussed at these meetings which served to enhance further the satisfactory performance of the Board. 24/25
ITE Group plc
Annual Report 2006
The following table sets out the number of meetings of the Board, and of the principal committees of the Board during the
financial year together with details of attendance.
Board Audit Remuneration Nomination
Number of meetings 7672
Attendance:
Iain Paterson 7 7 2
Ian T omkins 7
Ceyda Erem 4
Sir Jeremy Hanley 7672
Michael Hartley 7672
Marco Sodi
1
21
Edward Strachan 7
Russell T aylor 7
Malcolm Wall
2
21
Notes:
1 Marco Sodi resigned from the Board on 23 January 2006
2 Malcolm Wall was appointed to the Board on 4 May 2006
Communication with shareholders
The Board considers communication with all shareholders to be extremely important. Shareholders are provided with full year
and interim accounts to help them keep up to date with the performance of the Group and are given the opportunity to ask
questions directly of the Board at the Annual General Meeting. The Chairmen of the Audit, Remuneration and Nomination
Committees are available at the Annual General Meeting to answer questions. The Chairman and the Senior Independent Director
are generally available to discuss shareholders’ concerns as and when required. The Group’ s website (www .ite-exhibitions.com) 
is regularly updated with copies of all Group press releases and presentations given to shareholders.
The Directors seek to build on a mutual understanding of objectives between the Company and its institutional shareholders 
by making strategic presentations to institutional investors every six months following the publication of the half year and 
annual results, by meeting shareholders to discuss long-term issues and obtain their feedback and by communicating regularly
throughout the year . 
Board Committees
The Board has established three committees all of which have written terms of reference. The terms of reference for the
committees are available on the Company’ s website at www .ite-exhibitions.com.
The Audit Committee
The Audit Committee comprises only non-executive Directors. The Committee is chaired by Sir Jeremy Hanley whom the Board
considers has appropriate financial expertise to fulfil this role. The other members are Michael Hartley and Malcolm Wall. The
meetings are also attended by the Chairman, the Finance Director , the deputy Finance Director and the auditors together with any
other member of staff considered necessary by the Committee to complete its work. The Committee meets at least four times a
year and at the end of each meeting, meets with the auditors without any executives or other members of staff present to discuss
matters relating to its remit and any issues arising.
The Committee is responsible for reviewing accounting procedures and the internal control environment. The Committee 
also reviews announcements of the Company’ s results and monitors compliance with accounting standards and Company law . 
In addition the Committee considers the appointment of the Auditors, the scope of the audit and any issues arising, their fees 
and the nature, extent and costs of any non audit services provided by them. The Committee has access to any employee and 
is able to obtain external advice on any matter as required. The auditors are able to request additional meetings at any time. 
The Remuneration Committee
The Remuneration Committee comprises only non-executive Directors. The Committee, which is chaired by Michael Hartley ,
meets at least three times a year . The other members are Iain Paterson, Sir Jeremy Hanley and Malcolm Wall. The meetings 
are attended by the Chief Executive Officer and external advisers as appropriate. 
Further information about the Committee is set out in the Report on remuneration on page 27. 26/27
ITE Group plc
Annual Report 2006
Report on corporate governance 
continued
The Nomination Committee
The Nomination Committee comprises the non-executive Directors Iain Paterson, Sir Jeremy Hanley , Michael Hartley and 
Malcolm Wall and, up until his resignation on 23 January , Marco Sodi. The Committee, which is chaired by Iain Paterson, 
is responsible, if requested by the Board, for nominating candidates to the whole Board for approval, recommending the 
re-appointment or continuation in office of any Director , and for considering and making recommendations to the Board 
on its composition and balance.
The Company Secretary is secretary to each of the above Committees.
Independence of external auditors
The Audit Committee has established clear guidelines concerning the levels of discretionary non-audit fees it considers are
appropriate to safeguard the independence of the auditors. The Committee has implemented review and approval processes
relating to the provision of non-audit services by the auditors, and undertakes an annual assessment of the auditors’ independence 
and effectiveness. The Audit Committee is satisfied that there are sufficient safeguards in place to ensure auditor independence.
Whistle blowing arrangements
The Company has a set policy to enable and encourage staff to report in confidence any possible improprieties in matters 
of financial reporting or otherwise. The procedure for reporting any such matter has been communicated to all staff. 
Internal audit function
The Company does not currently have an internal audit function. The Audit Committee annually considers whether an internal
audit function is appropriate and makes an appropriate recommendation to the Board. The central finance function is responsible
for checking, monitoring and reporting on the control environment in the Group’ s accounting centres. The Committee considers
that at present the central finance function has sufficient independence to report objectively on the control environment in the
accounting centres. The Board has concluded that an internal audit function is not currently required. The Audit Committee will
continue to monitor this matter and make appropriate recommendations to the Board.
Review of Internal controls and of risk management process
The Directors recognise that they have overall responsibility for ensuring that the Group maintains a system of controls, 
including financial, operational and compliance controls and risk management to provide them with reasonable assurance
regarding effective and efficient operations, internal control and compliance with laws and regulations.
A system of internal controls has been established to allow the Board, in conjunction with management, to identify , evaluate 
and manage the significant risks faced by the Company on an on-going and pro-active basis. The system also seeks to monitor
the Company’ s overall financial, operational and compliance positions and to help safeguard shareholders investments and to
protect the Company’ s assets. The Board is responsible for this process and for ensuring that it remains effective and, in order 
to facilitate it, it has established a single organisational structure with clearly drawn lines of accountability , appropriate
delegation of authority and open lines of communication. 
The Company has a comprehensive system of financial reporting. There is a thorough budgeting system for all lines of income
and expenditure, with an annual budget approved by the Board. Historical financial performance and revised forecasts for the 
full year are reported against budget and considered by the Board at each meeting. The Board pays particular attention to those
matters which, by their nature, expose the Company to significant risks and uncertainties, including exchange rates which can 
be subject to considerable volatility and can have a material impact on the Company’ s operating results.
The Company has established procedures to deal with authorisations for expenditure. The Board is committed to ensuring 
that the Company’ s data and infrastructure, and its information technology systems, are as secure as is reasonably practicable.
Security controls and procedures are in place to prevent unauthorised access to the Company’ s premises. Hardware and software
controls have also been instigated to prevent unauthorised access to the Company’ s computer system and network. Regular
back-ups of electronic information are taken with copies being stored offsite.
This system is designed to manage rather than eliminate the risk of failure to achieve business objectives, and can only provide
reasonable and not absolute assurance against material misstatement or loss.
This system of internal control has been in place throughout the year and up to the date of approval. It is reviewed regularly 
by the Board and complies with the T urnbull guidance. The Board has performed a specific assessment of internal controls 
for the purpose of this Annual Report. The Audit Committee assists the Board in discharging its review responsibilities. 26/27
ITE Group plc
Annual Report 2006
Report on remuneration
Unaudited information
The Remuneration Committee
The members of the Remuneration Committee are Michael Hartley (Chairman), Sir Jeremy Hanley , Iain Paterson and Malcolm
Wall. All the members are non-executive Directors. The Board considers Michael Hartley , Sir Jeremy Hanley and Malcolm Wall 
to be independent Directors.
The Remuneration Committee is responsible for:
• recommending to the Board the remuneration and terms and conditions of employment of the Chairman, executive Directors
and key members of senior management; 
• measuring subsequent performance as a prelude to determining the executive Directors’ and key managers’ total
remuneration on behalf of the whole Board; and
• granting awards under the ITE Group’ s Performance Share Plans and options under the various ITE Group Share Option
Schemes detailed below . 
During the year the Committee consulted with New Bridge Street Consultants LLP to advise on executive remuneration and the
operation of the various ITE group share option schemes. New Bridge Street Consultants LLP have provided no other advice to 
the Company , having been appointed by the Committee. 
Remuneration policy 
The Company’ s principal remuneration policy aim is to ensure that compensation offered is appropriate to attract, retain 
and motivate executive Directors and staff with the ability and experience to deliver the Company’ s strategy and grow the
business, having regard to the challenging economic conditions and competition for such people in the markets in which 
the Company operates. 
In formulating its policies the Committee has regard to and balances the following factors:
a) the remuneration packages offered to executives in companies competing in the same markets as the Company;
b) the remuneration practice in the markets in which the executive is principally based;
c) the need to align the interests of the executive with those of the shareholders;
d) the performance of the individual executive and of the Company as a whole; and
e) any amounts payable to executives in respect of services performed for the Associates of the Company .
The remuneration packages of the executives comprise base salary and benefits, a performance related bonus (save for Ceyda
Erem) and longer term share-based incentive arrangements. A significant proportion of executive Directors’ remuneration is
performance-related. 
The fees of the non-executive Directors are proposed by the Chief Executive and approved by the Board, taking account 
of practice adopted in other companies and the time commitment required. The fees of the Chairman are determined by the
Committee taking account of the role and the time commitment required. The Chairman does not take part in those discussions.
Policy criteria for various components 
Base salary 
Base salaries are reviewed annually by the Committee. Base salary levels are set by the Committee taking into account each
executive Director’ s role, experience, performance and the markets in which they perform their duties. For the year commencing
1 October 2006 the base salaries for Ian T omkins and Russell T aylor , and the consultancy remuneration for Edward Strachan 
were set following a benchmarking exercise. Comparators were a ‘Sector Group’ drawn from the FTSE All-Share Media sector 
with market capitalisations between half to double that of ITE (median £223m); and a ‘General Group’ drawn from the FTSE 
All-Share who share the following characteristics: Market capitalisation between £150m and £600m (median £241m); turnover
up to £200m (median £111m); and at least 50% of turnover generated outside the UK (median 69%). Details of the executive
Directors’ base salaries for the year commencing 1 October 2006 are set out under ‘Directors’ service contracts’. 
The Committee have revised the Group’ s policy on additional fees earned by executive Directors from associate companies, 
and from 1 October 2006 any such fees will be for the benefit of the Company .  28/29
ITE Group plc
Annual Report 2006
Report on remuneration
continued
Variable bonus
Certain of the executive Directors and senior management participate in performance-related annual bonus schemes, which
recognise Company objectives in cumulative compound growth of Headline profit before tax. For the financial year commencing
on 1 October 2006, Ian T omkins’ and Russell T aylor’ s maximum annual bonus opportunity provided under the Executive Bonus
Plan will be 100% and 65% of base salary respectively . Edward Strachan’ s annual bonus opportunity through the Company’ s consultancy
agreement with Kyzyl T an Consultants Limited (‘Kyzyl T an’) is on a similar basis to the Executive Bonus Plan, and for the financial year
commencing on 1 October 2006 is capped at 85% of the Kyzyl T an consultancy fee and his remuneration as a Director . In addition
to this annual bonus Edward Strachan (through his contract with Kyzyl T an) is entitled to a bonus based upon the profitability 
of certain events in the financial years commencing 1 October 2005 and 2006. This bonus scheme which was established in
Kyzyl T an’ s preceding consultancy agreement, will be in its last year of operation for the year ending 30 September 2007 and will
not be effective thereafter . Ceyda Erem did not participate in an annual bonus scheme as her remuneration (other than her Board
fees of £15,000 per annum) was paid by ITE’ s 50% owned associate company , and her remuneration package was agreed by 
its board of directors in accordance with the terms of the shareholders’ agreement, to which ITE is party . 
The bonus caps for the year commencing on 1 October 2006 are unchanged from the caps that applied previously . In the
financial year ending 30 September 2006, maximum bonus was achieved by Ian T omkins, Russell T aylor and Edward Strachan
under the Executive Bonus Plan.
The Executive Bonus Plan applying to Ian T omkins, Russell T aylor and Edward Strachan (through Kyzyl T an) for the 2006-07
financial year is based upon achievement of a sliding scale of compound growth targets based upon Headline profits before 
tax (as it was last year). No bonus is payable unless the minimum growth target is achieved. 
Long term incentives 
The Company has in the past operated Performance Share Plans and Share Option Schemes. It is the Committee’ s present
intention to issue only Performance Share Plan awards in the future and to restrict the use of options except where exceptional
circumstances merit their use.
The Committee will regularly review the Company’ s share-based long-term incentive policy in light of market practice, best
practice and the Company’ s particular circumstances.
Performance Share Plans
The Company operates the ITE Group plc Employees Performance Share Plan 2004 and the ITE Group plc Key Contractors’
Performance Share Plan 2004. Awards can be made to executives and senior management over shares worth up to 100% of base
salary each year , and under the latter scheme to key individuals who are not technically Group employees. There is no intention
to issue new awards to executive Directors in the financial year commencing 1 October 2006. 
The performance targets set for awards to be made in the financial year commencing 1 October 2006 are set out below . 
Aggregate Headline EPS for the financial years 
ending 30 September 2007, 2008 and 2009 Percentage of award that vests
Below 22.7p Nil
22.7p 30% 
22.7p – 25.3p Between 30% and 100%
These performance conditions have been chosen by the Committee to take account of the Company’ s biennial business cycle 
and to incentivise management to deliver sustained EPS performance over the relevant three year period. The Committee will, 
for the purposes of third party verification, confirm the extent to which these targets are met with external advisers. For the
purposes of these targets, the Company’ s aggregate fully diluted Headline EPS will be used (awards granted in 2004 and 2005
used an ‘adjusted’ fully diluted Headline EPS which excluded the costs associated with awards made under the Plan and any 
other Share awards).
Executive Directors will be required to retain shares of a value equal to 25% of the after-tax gain made on the vesting of awards
under the Plans, until they have built up a shareholding equal to 1 x salary . 28/29
ITE Group plc
Annual Report 2006
Share Option Plans
The Company has previously operated the following option schemes: the ITE Group 1998 Company Share Option Plan; the ITE
Group 1998 Discretionary Share Option Scheme; the ITE Group 1998 Key Contractor Share Option Scheme, and the ITE Group
Employee Share T rust Unapproved Share Option Scheme. 
Options can be granted under the ITE Group 1998 Company Share Option Plan and the ITE Group 1998 Discretionary Share
Option Scheme to ITE Group employees. Options can be granted under the ITE Group 1998 Key Contractor Share Option Scheme
to key individuals who are not Group employees. The ITE Group Employee Share T rust Unapproved Share Option Scheme can
grant options to ITE Group employees over shares held in the ITE Group Employees’ Share T rust (the ‘ESOT’).
As stated above, it is the Committee’ s present intention not to grant further options under these arrangements, save in
exceptional circumstances. The last grant of options made by the Company under these schemes was in January 2005. 
Pensions
The Company offers a stakeholder pension to its employees but currently makes no company contribution under this scheme. 
Directors’ service contracts 
Executive Directors
Ian T omkins (Chief Executive) and Russell T aylor (Finance Director) have UK contracts of employment which reflect market and
best practice for senior management serving in the UK and have no fixed term, save for the specific arrangements agreed with
Ian T omkins at the time of his appointment in relation to termination following a change of control. Notice periods and base
salary details for all directors are outlined in the tables set out below . There are no contributions to pension schemes or fringe
benefits such as company cars. 
Ian T omkins’ contract provides that if within 12 months of a change in control of the Company his contract is terminated without
payment of his contractual notice period then the Company shall pay him in lieu of such notice (less statutory deductions) an
amount equal to 95% of salary , contractual benefits and bonus that he would have received had he remained in employment
during the notice period. For the purposes of calculating the bonus amount it will be assumed that the maximum target has 
been achieved. 
In the event of early termination of an executive Director’ s contract it is the Committee’ s policy that (subject to the provisions 
of each contract) the amount of compensation (if any) paid to the executive Director will be determined by reference to the
relevant circumstances that prevail at the time. The Committee’ s objective will be to avoid rewarding poor performance.
Furthermore, the Committee will take account of the executive Director’ s duty to mitigate his loss.
Edward Strachan’ s remuneration as a Director from 1 October 2006 is £37,000. In addition Edward Strachan is remunerated 
as a consultant through the Company’ s agreement with Kyzyl T an. The agreement with Kyzyl T an is a 3 year contract to provide
the services of Edward Strachan to the Company from 1 October 2005 to 30 September 2008. The base consultancy fee under
this agreement for the year commencing on 1 October 2006 is £303,000. Kyzyl T an is entitled to a bonus based upon the same
targets and criteria as Ian T omkins and Russell T aylor , which is capped at 85% of Kyzyl T an’ s base consultancy fee and Edward
Strachan’ s remuneration as a director i.e £340,000 for the year ending 30 September 2007. In addition for the financial years
ending 30 September 2006 and 2007 Kyzyl T an is entitled to a bonus based upon the profitability of certain events. Edward
Strachan is required to reside in the markets where his management responsibilities are based and Kyzyl T an is entitled 
to a living away from home allowance of $90,000 for its employee for each year of the contract, all of which may be payable 
in advance. 
The Remuneration Committee considers that Edward Strachan’ s unique knowledge and skills of managing the exhibition
business in the regions for which he is responsible together with the requirement for him to reside abroad warrants the Company
entering into a consultancy contract with a fixed term in excess of one year . The Committee firmly believes that this contract 
is in the best interest of the Company . The arrangement will be reviewed on its termination to ascertain whether this basic
approach remains, at that time, in the interests of shareholders.
Consistent with market practice, other than Edward Strachan’ s arrangements that have been established to take account of his
specific circumstances and criticality to the Company , there are no service contracts or other employment arrangements with any
of the executive Directors with fixed terms or notice periods in excess of one year or terms which would expose the Company to
compensation payments in excess of one year’ s total remuneration. 30/31
ITE Group plc
Annual Report 2006
Report on remuneration
continued
The dates of each contract, the relevant notice period and base salary for 2006-2007 are as follows:
Name Date of contract Notice period Base salary 2006-2007
Ian T omkins 1 July 1998 12 months £400,000
Russell T aylor 25 March 2003 12 months £225,000
Ceyda Erem 1 October 2002 * $311,000
Note:
*Ceyda Erem’ s employment as Managing Director of ITE’ s associate, ITF , is governed by the terms of a shareholders’ agreement
Ian T omkins’ and Russell T aylor’ s increases in base salary include the absorption of their Directors’ fees previously paid separately
by ITE’ s associate Company , which fees are now for the benefit of the Company . These fees were US$32,000 for the year ending
30 September 2006 and therefore account for approximately £18,000 of the increase in their base salaries for the year ending 
30 September 2007. Ceyda Erem’ s remuneration as a Director of ITE Group plc in addition to the above salary was, up to the 
date of her resignation, £15,000 p.a. 
Non-executive Directors
The Chairman and non-executive Directors are entitled to one months’ written notice to terminate their contracts but no further
rights to compensation payments on termination. The dates of the contracts are for Iain Paterson 27 May 2002, for Sir Jeremy
Hanley 26 February 2004, for Michael Hartley 20 October 2003 and for Malcolm Wall 4 May 2006. 
Performance graph
T otal shareholder return of ITE Group plc over the last five financial years compared with the FTSE Small Cap index.
This graph illustrates the performance of the Company compared to “The FTSE Small Cap index” over the past five years. The
Company is a constituent of the FTSE Small Cap index and that index is considered the most appropriate form of “broad equity
market index” against which the Company’ s performance should be measured. Performance is measured by T otal Shareholder
Return (share price growth plus dividends paid).
Note:
This graph shows the value, by 30 September 2006, 
of £100 invested in ITE Group plc on 30 September 2001
compared with the value of £100 invested in the FTSE 
Small Cap index. The other points plotted are the values 
at intervening financial year-ends.
Total shareholder return
Source: Thomson Financial
 
0
100
200
300
400
500
600
700
800
900
30-Sep-01 30-Sep-02 30-Sep-03 30-Sep-04 30-Sep-05 30-Sep-06
Value (£)
–
–
– – ITE Group plc
– FTSE Small Cap index 30/31
ITE Group plc
Annual Report 2006
Audited information
Aggregate Directors’ remuneration
The total amounts for Directors’ remuneration and other benefits were as follows:
2006 2005
£000 £000
Emoluments 2,185 2,392
Gains on exercise of share options (see page 32 for details) 273 798
Total 2,458 3,190
Directors’ emoluments 
Compensation 
Fees/basic Annual Benefits for loss 2006 2005
Salary Bonuses in kind of office total total
Name of Director Notes £000 £000 £000 £000 £000 £000
Executive
Ian T omkins 1 368 350 – – 718 681 
Ceyda Erem 1 188––– 188 186
Edward Strachan 3 298 373 50 – 721 610
Russell T aylor 1 208 124 – – 332 320 
Former Director –––– – 325
Non-executive
Iain Paterson 4 120––– 120 120
Sir Jeremy Hanley 53––– 53 62
Michael Hartley 33––– 33 30
Marco Sodi 2,5 8 – – – 8 30
Malcolm Wall 2 12––– 12 –
Former Director 5 –––– – 28
Aggregate emoluments 1,288 847 50 – 2,185 2,392
Notes:
1. Ian T omkins was paid $32,000 (approximately £18,000) in the years ending 30 September 2005 and 2006 for being a director
of ITF , ITE’ s associate company . Ceyda Erem was paid $311,000 (approximately £173,000) for her services as Managing
Director of ITF in the years ending 30 September 2005 and 2006. Russell T aylor was paid $32,000 (approximately £18,000) 
in the years ending 30 September 2005 and 2006 for being a director of ITF , ITE’ s associate company . These amounts are
included in the table above.
2. The Director served for only part of the year ended 30 September 2006.
3. Edward Strachan is a shareholder of Kyzyl T an Consultants Limited (‘Kyzyl T an’), which received consultancy fees for services
provided to the Group of £268,000 per annum. In addition Kyzyl T an earned total performance-related bonuses of £373,000
for the year . Kyzyl T an was paid £50,000 in the year to 30 September 2006 for living away from home allowance and other
allowances in accordance with its consultancy agreement. These amounts are all included in the table above.
4. Iain Paterson receives half of his remuneration in shares issued at an average mid market price over the year .
5. Amounts were paid to Veronis Suhler Stevenson International Limited for the provision of the services of this Director .
T otal compensation for loss of office in the year was nil (2005: nil). 32/33
ITE Group plc
Annual Report 2006
Report on remuneration
continued
Directors’ share options
Aggregate emoluments disclosed above do not include any amounts for the value of options to acquire ordinary shares in the
Company granted to or held by the Directors. Details of the options are as follows:
Market
01-Oct-05 Granted Exercised price at Gain on
or date of during Option during exercise Exercisable Exercisable exercise
Director Scheme appointment the year price the year date 30-Sep-06 from to £000
Ian T omkins 1998 40,000 – 70.75p 40,000 145p – – – 30
Discretionary 310,000 – 66.5p 310,000 145p – – – 243
Scheme 1,000,000 – 34.25p – – 1,000,000 18-03-2007 17-03-2012
2,000,000 – 34.25p – – 2,000,000 20-12-2007 19-12-2012
2004 470,588 – 1p – – 470,588 26-02-2007 25-02-2014
Employees’ 328,070 – nil
1
– – 328,070 13-01-2008 12-01-2015
Performance – 196,000 nil
1
– – 196,00018-01-200917-01-2016
Share Plan 
Edward Strachan 1998 100,000 – 47.5p – – 100,000 17-11-2001 16-11-2008
Discretionary 1,000,000 – 26.5p – – 1,000,000 01-10-2007 30-09-2012
Scheme
2004 31,372 – 1p – –31,37226-02-200725-02-2014
Employees’ 23,392 – nil
1
– – 23,392 13-01-2008 12-01-2015
Performance – 16,800 nil
1
– – 16,80018-01-200917-01-2016
Share Plan
2004 Key 282,353 – 1p – – 282,353 26-2-2007 25-02-2014
Contractors’ 225,146 – 1p – –225,14613-1-200812-01-2015
Performance – 149,800 1p – –149,80018-01-200917-01-2016
Share Plan
Russell T aylor 1998 1,000,000 – 35.5p – – 1,000,000 26-03-2008 25-03-2013
Discretionary
Scheme
2004 258,823 – 1p – – 258,823 26-02-2007 25-02-2014
Employees’ 180,439 – nil
1
– – 180,439 13-01-2008 12-01-2015
Performance – 106,400 nil
1
– – 106,400 18-01-2009 17-01-2016
Share Plan 
Note:
1 contingent award
The market price of the ordinary shares at 30 September 2006 was 122p and the range during the year was 109p to 147p. 
58,825 of the 2004 Employee’ s Performance Share plan nominal 1p options lapsed during the year .
The 1998 Discretionary Scheme and Employee Share T rust options are not subject to any performance conditions governing 
their exercise.
For the 2004 Employees’ and Key Contractors’ Performance Share Plans, the performance conditions to be met for the awards
made on 26 February 2004 require the Company’ s aggregate Headline diluted earnings per share for the three years ending 
30 September 2004, 2005 and 2006 (excluding the costs associated with such awards or any other share awards) to be equal 
to or have exceeded 12.2p, in which case the awards vest as follows:
Aggregate Headline EPS for the financial years 
ending 30 September 2004, 2005 and 2006 Percentage of Award that vests
Below 12.2p Nil
12.2p 30%
Between 12.2p and 13.7p Between 30% and 100% calculated on a straight line basis The market price of an Ordinary share on 26 February 2004 was 63.75p.
For the 2004 Employees’ and Key Contractors’ Performance Share Plans, the performance conditions to be met for the awards
made on 13 January 2005 require the Company’ s aggregate Headline diluted earnings per share for the three years ending 
30 September 2005, 2006 and 2007 (excluding the costs associated with such awards or any other share awards) to be equal 
to or have exceeded 17.1p, in which case the awards vest as set out below:
Aggregate Headline EPS for the financial years 
ending 30 September 2005, 2006 and 2007 Percentage of Award that vests
Below 17.1p Nil
17.1p 30%
Between 17.1p and 18.6p Between 30% and 100% calculated on a straight line basis
The market price of an Ordinary share on 13 January 2005 was 85.5p.
For the 2004 Employees’ and Key Contractors’ Performance Share Plans, the performance conditions to be met for the awards
made on 17 January 2006 require the Company’ s aggregate Headline diluted earnings per share (including the costs associated
with such awards or any other share awards) for the three years ending 30 September 2006, 2007 and 2008 to be equal to or
have exceeded 19.0p, in which case the awards vest as set out below:
Aggregate Headline EPS for the financial years 
ending 30 September 2006, 2007 and 2008 Percentage of Award that vests
Below 19.0p Nil
19.0p 30%
Between 19.0p and 21.0p Between 30% and 100% calculated on a straight line basis
The market price of an Ordinary share on 17 January 2006 was 126.5p.
The Committee will take account of the transition to international accounting standards when determining the extent to which
the above targets are met, with its primary aim of achieving a consistent measurement of performance over the relevant period.
The cost of all share awards charged to the profit and loss account for the year ending 30 September 2006 was £1.6m (2005: £1.1m). 
The maximum number of new share issues possible under the dilution limits in the option trust deeds is 12,392,592 . The current
headroom for making further share awards to be satisfied by the issue of new shares is 243,160 new share awards. Additionally 
the Employee’ s Share T rust (‘ESOT’) can hold up to 5% of the Company’ s issued share capital against share awards.
On behalf of the Board
Michael Hartley
Chairman of the Remuneration Committee
4 December 2006
32/33
ITE Group plc
Annual Report 2006 34/35
ITE Group plc
Annual Report 2006
Independent auditors’ report
We have audited the group financial statements of ITE Group plc for the year ended 30 September 2006 which comprise 
the consolidated income statement, the consolidated balance sheet, the consolidated cash flow statement, the consolidated
statement of recognised income and expenses and the related notes 1 to 28. These group financial statements have been
prepared under the accounting policies set out therein. We have also audited the information in the directors’ remuneration 
report that is described as having been audited.
We have reported separately on the individual company financial statements of ITE Group for the year ended 30 September 2006.
This report is made solely to the company’ s members, as a body , in accordance with section 235 of the Companies Act 1985. 
Our audit work has been undertaken so that we might state to the company’ s members those matters we are required to state 
to them in an auditors’ report and for no other purpose. T o the fullest extent permitted by law , we do not accept or assume
responsibility to anyone other than the company and the company’ s members as a body , for our audit work, for this report, 
or for the opinions we have formed.
Respective responsibilities of directors and auditors
The directors’ responsibilities for preparing the annual report, the directors’ remuneration report and the group financial
statements in accordance with applicable law and International Financial Reporting Standards (IFRSs) as adopted for use in 
the European Union are set out in the statement of directors’ responsibilities.
Our responsibility is to audit the group financial statements and the part of the directors’ remuneration report described as 
having been audited in accordance with relevant United Kingdom legal and regulatory requirements and International Standards
on Auditing (UK and Ireland). 
We report to you our opinion as to whether the group financial statements give a true and fair view , in accordance with the
relevant financial reporting framework, and whether the group financial statements and the part of the directors’ remuneration
report described as having been audited have been properly prepared in accordance with the Companies Act 1985 and Article 4
of the IAS Regulation. We report to you whether in our opinion the information given in the directors’ report is consistent with the
group financial statements. We also report to you if we have not received all the information and explanations we require for our
audit, or if information specified by law regarding directors’ transactions with the company and other members of the group is
not disclosed.
We also report to you if, in our opinion, the company has not complied with any of the four directors’ remuneration disclosure
requirements specified for our review by the Listing Rules of the Financial Services Authority . These comprise the amount of 
each element in the remuneration package and information on share options, details of long term incentive schemes, and money
purchase and defined benefit schemes. We give a statement, to the extent possible, of details of any non-compliance.
We review whether the corporate governance statement reflects the company’ s compliance with the nine provisions of the 2003
FRC Combined Code specified for our review by the Listing Rules of the Financial Services Authority , and we report if it does not.
We are not required to consider whether the board’ s statement on internal control covers all risks and controls, or form an opinion
on the effectiveness of the group’ s corporate governance procedures or its risk and control procedures.
We read the directors’ report and the other information contained in the annual report for the above year as described in the
contents section including the unaudited part of the directors’ remuneration report and we consider the implications for our
report if we become aware of any apparent misstatements or material inconsistencies with the group financial statements. 
Basis of audit opinion
We conducted our audit in accordance with International Standards on Auditing (UK and Ireland) issued by the Auditing Practices
Board. An audit includes examination, on a test basis, of evidence relevant to the amounts and disclosures in the group financial
statements and the part of the directors’ remuneration report described as having been audited. It also includes an assessment 
of the significant estimates and judgements made by the directors in the preparation of the group financial statements, and of
whether the accounting policies are appropriate to the company’ s circumstances, consistently applied and adequately disclosed. 34/35
ITE Group plc
Annual Report 2006
We planned and performed our audit so as to obtain all the information and explanations which we considered necessary in 
order to provide us with sufficient evidence to give reasonable assurance that the group financial statements and the part of the
directors’ remuneration report described as having been audited are free from material misstatement, whether caused by fraud 
or other irregularity or error . In forming our opinion we also evaluated the overall adequacy of the presentation of information 
in the group financial statements and the part of the directors’ remuneration report described as having been audited.
Opinion
In our opinion:
• the group financial statements give a true and fair view , in accordance with IFRSs as adopted for use in the European Union, 
of the state of the group’ s affairs as at 30 September 2006 and of its profit for the year then ended;
• the group financial statements and the part of the directors’ remuneration report described as having been audited have been
properly prepared in accordance with the Companies Act 1985 and Article 4 of the IAS Regulation;
• the information given in the directors’ report is consistent with the group financial statements.
Deloitte & T ouche LLP
Chartered Accountants and Registered Auditors
London
4 December 2006 36/37
ITE Group plc
Annual Report 2006
Consolidated income statement
For the year ended 30 September 2006
2006 2005
Notes £000 £000
Continuing operations
Revenue 1 82,368 78,547
Cost of sales (43,885) (42,552)
Gross profit 38,483 35,995
Other operating income 278 316
Administrative expenses before amortisation (14,112) (12,848)
Amortisation of acquired intangibles 5 (1,330) (378)
T otal administrative expenses (15,442) (13,226)
Profit on disposal of group undertakings 4 158 221
Share of results of associate 15 564 393
Operating profit 24,041 23,699
Finance income 2 1,368 2,068
Finance costs 3 (621) (596)
Profit on ordinary activities before taxation 5 24,788 25,171
T ax 7 (7,351) (6,781)
Profit for the period from continuing operations 17,437 18,390
Attributable to:
Equity holders of the parent 17,401 18,423
Minority interests 36 (33)
17,437 18,390
Earnings per share (p)
Basic 9 6.9 6.7
Diluted 9 6.7 6.6 36/37
ITE Group plc
Annual Report 2006
Consolidated statement of recognised income and expense 
For the year ended 30 September 2006
2006 2005
Notes £000 £000
Currency translation difference on net investment in subsidiary undertakings (197) 750
Gain on cash flow hedge 23 356 –
T ax on items taken directly to equity 159 151
Net income recognised directly in equity 318 901
T ransferred to profit or loss on cash flow hedges 23 (22) –
Implementation of IAS 39 23 (500) –
Profit for the period attributable to the shareholders 17,437 18,390
T otal recognised income and expense for the period 17,233 19,291
Attributable to:
Equity holders of the parent 17,197 19,324
Minority interests 36 (33)
17,233 19,291 38/39
ITE Group plc
Annual Report 2006
Consolidated balance sheet
30 September 2006
2006 2005
Notes £000 £000
Non-current assets
Goodwill 10 34,406 32,771
Other intangible assets 12 5,869 5,989
Property , plant and equipment 13 1,269 1,126
Investments in associates 15 1,438 1,410
Venue advances and other loans 16 3,015 2,216
Deferred tax asset 20 2,022 1,395
48,019 44,907
Current assets
T rade and other receivables 16 29,594 22,722
Cash and cash equivalents 16 31,883 23,705
61,477 46,427
T otal assets 109,496 91,334
Current liabilities
Bank overdraft 17 (10,717) (10,686)
T rade and other payables 18 (50,711) (43,844)
Provisions 19 (907) (1,064)
(62,335) (55,594)
Non-current liabilities
Provisions 19 (1,367) (1,974)
Deferred tax liabilities 20 (2,145) (1,671)
(3,512) (3,645)
T otal liabilities (65,847) (59,239)
Net assets 43,649 32,095
Capital and reserves
Share capital 22 2,609 2,599
Share premium account 23 698 38
Merger reserve 23 2,746 2,746
Capital redemption reserve 23 291 291
ESOT reserve 23 (3,016) (3,562)
Retained earnings 23 40,555 29,038
Own shares held 23 (1,142) –
Hedge and translation reserve 23 889 751
Equity attributable to equity holders of the parent 43,630 31,901
Minority interests 24 19 194
T otal equity 43,649 32,095
The financial statements were approved by the Board of Directors and authorised for issue on 4 December 2006. They were
signed on their behalf by:
Ian T omkins Russell T aylor
Chief Executive Officer Finance Director 38/39
ITE Group plc
Annual Report 2006
Consolidated cash flow statement 
For the year ended 30 September 2006
2006 2005
£000 £000
Cash flows from operating activities
Operating profit from continuing operations 24,041 23,699
Adjustments for:
Depreciation and amortisation 1,895 826
Other non-cash expenses 208 926
Share of associate profit (564) (393)
Gain on disposal of subsidiary (158) (221)
(Decrease)/increase in provisions (213) 1,531
Operating cash flows before movements in working capital 25,209 26,368
(Increase)/decrease in receivables (233) 1,666
Increase in payables 9,244 1,355
Cash generated from operations 34,220 29,389
T ax paid (9,064) (8,378)
Venue advances and loans (7,422) 436
Net cash from operating activities 17,734 21,447
Investing activities
Interest received 925 2,085
Dividends received from associates 422 437
Acquisition of businesses (3,026) (5,785)
Purchase of property , plant and equipment (422) (430)
Net cash used in investing activities (2,101) (3,693)
Financing activities
Dividends paid (7,143) (7,088)
Interest paid (621) (596)
Share cancellation – (30,185)
Net cash flow in relation to ESOT shares 541 (724)
Purchase of own shares (1,142) –
Proceeds from issue of share capital 634 927
Net cash flows from financing activities (7,731) (37,666)
Net increase/(decrease) in cash and cash equivalents 7,902 (19,912)
Net cash and cash equivalents at beginning of period 13,019 33,546
Effect of foreign exchange rate changes 245 (615)
Net cash and cash equivalents at end of period 21,166 13,019
Comprised of:
Cash and cash equivalents 31,883 23,705
Bank overdrafts (10,717) (10,686)
21,166 13,019 40/41
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
General information
ITE Group plc is a company incorporated in the United Kingdom. The address of the registered office is given on page 76. 
The nature of the Group’ s operations and its principal activities are set out in note 1 and in the Business and financial review 
on pages 10 to 13.
These financial statements are presented in pounds sterling because that is the currency of the primary economic environment 
in which the Group operates. Foreign operations are included in accordance with the accounting policies set out below .
At the date of authorisation of these financial statements, the following key Standards and Interpretations which have not been
applied in these financial statements were in issue not yet effective:
IFRS 7 Financial instruments: Disclosures; and the related amendment to IAS 1 on capital disclosures.
The directors anticipate that the adoption of this Standard in future periods will have no material impact on the financial
statements of the Group when the standard comes into effect for periods commencing on or after 1 January 2007.
Basis of accounting
ITE Group plc is a UK listed company and together with its subsidiary operations is hereafter referred to as ‘the Company’. The
Group is required to prepare its consolidated financial statements in accordance with International Reporting Standards (‘IFRS’) 
as endorsed by the European Union for its accounting period beginning on 1 October 2005. As the Company is also required 
to publish comparative information for this period on a consistent basis its effective transition date to IFRS is 1 October 2004. 
A reconciliation between the financial statements reported for the year ended 30 September 2005 under UK GAAP and IFRS 
is set out in note 28. 
The preparation of financial statements under IFRS requires the directors to make judgements, estimates and assumptions that
affect the application of policies and the reported amounts of assets and liabilities, and income and expenses. These estimates
and associated assumptions are based on past experience and other factors considered applicable at the time and are used 
to make judgements about the carrying value of assets and liabilities that cannot be readily determined from other sources.
Actual results may differ from these estimates.
These estimates and underlying assumptions are reviewed on an ongoing basis. Changes to estimates and assumptions 
are reflected in the financial statements in the period in which they are made. 
The statements are presented in pounds sterling and have been prepared under IFRS using the historical cost convention, 
except for the revaluation of financial instruments. The principal accounting policies adopted are set out below . 
IFRS 1 exemptions
IFRS 1 (First-time adoption of International Financial Reporting Standards) allows a number of exemptions from the full requirements
of IFRS for those companies adopting IFRS for the first time. ITE has taken advantage of certain of these exemptions as follows:
Business combinations
The Group has elected not to apply IFRS 3 (Business combinations) retrospectively to business combinations prior to 1 October 2004.
Goodwill arising on consolidation prior to October 2004 has not been restated for currency impacts.
Share-based payments
The Group has not applied IFRS 2 (Share-based payment) to share-based payments granted prior to 7 November 2002 that have
not vested by 1 January 2005.
Cumulative equity translation differences
Under the exemption permitted from IAS 21 (The effects of changes in foreign exchange rates), cumulative translation differences
for all foreign operations prior to 1 October 2004 have been treated as zero. Consequently any gain or loss on disposal will
exclude translation differences that arose prior to 1 October 2004.
Valuation of property , plant or equipment
ITE has elected not to use the fair value of an item of property , plant and equipment at the transition date as its deemed cost. 40/41
ITE Group plc
Annual Report 2006
Financial Instruments
The Group has elected not to apply IAS 39 (Financial Instruments: Recognition and Measurement) and IAS 32 (Financial Instruments:
Disclosure and presentation) in respect of the year ended 30 September 2005. UK GAAP has continued to be applied in accounting
for financial instruments in this period. The Group adopted IAS 39 and IAS 32 with effect from 1 October 2005 and consequently
restated the balance sheet at that date in accordance with the requirements of these standards, which will generally mean a
recognition of financial instruments at fair value.
The Company adopted IAS 32 (Financial Instruments: Disclosure and Presentation) and IAS 39 (Financial Instruments: 
Recognition and Measurement) prospectively from 1 October 2005. As a consequence of adopting IAS 32 and IAS 39, the
Company recognised a loss of £0.5 million in equity at that date. Additionally certain put options have been reclassified as
financial liabilities resulting in a £1.0 million reduction in reserves (see note 23).
Basis of consolidation
The Group accounts consolidate the accounts of ITE Group plc and its subsidiary undertakings controlled by the Company drawn
up to 30 September each year . Control is achieved where the Company has the power to govern the financial and operating
policies of an investee entity so as to obtain benefits from its activities.
On acquisition, the assets and liabilities of a subsidiary are measured at their fair values at the date of acquisition. Any excess 
of the cost of acquisition over the fair values of the identifiable net assets is recognised as goodwill. The interest of minority
shareholders is stated at the minority’ s proportion of the fair values of assets and liabilities recognised. Subsequently , any 
losses applicable to the minority interest in excess of the minority interest are allocated against the interests of the parent.
The results of subsidiaries acquired or disposed of during the year are included in the consolidated income statement from 
the effective date of acquisition or up to the effective date of disposal, as appropriate.
Where necessary , adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into 
line with those used by the Group. 
All intra-group transactions, balances, income and expenses are eliminated on consolidation.
Business combinations
The acquisition of subsidiaries is accounted for using the purchase method. The cost of the acquisition is measured at the
aggregate of the fair values, at the date of exchange, of assets given, liabilities incurred or assumed, and equity instruments
issued by the Group in exchange for control of the acquiree, plus any costs directly attributable to the business combination. 
The acquiree’ s identifiable assets, liabilities and contingent liabilities that meet the conditions for recognition under IFRS 3 are
recognised at their fair value at the acquisition date, except for non-current assets (or disposal groups) that are classified as held
for resale in accordance with IFRS 5 (Non-current assets held for sale and discontinued operations), which are recognised and
measured at fair value less costs to sell.
Goodwill arising on acquisition is recognised as an asset and initially measured at cost, being the excess of the cost of the
business combination over the Group’ s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities
recognised. If, after reassessment, the Group’ s interest in the net fair value of the acquiree’ s identifiable assets, liabilities and
contingent liabilities exceeds the cost of the business combination, the excess is recognised immediately in profit and loss.
The interest of minority shareholders in the acquiree is initially measured at the minority’ s proportion of the net fair value of the
assets, liabilities and contingent liabilities recognised. 
Goodwill
Goodwill arising on consolidation represents the excess of the cost of acquisition over the Group’ s interest in the fair value of the
identifiable assets and liabilities of a subsidiary or associate at the date of acquisition. Goodwill is recognised as an asset and
reviewed for impairment at least annually . Any impairment is recognised immediately in the profit and loss account and is not
subsequently reversed.
For the purpose of impairment testing, goodwill is allocated to each of the Group’ s cash-generating units expected to benefit from
the synergies of the combination. Cash-generating units to which goodwill has been allocated are tested for impairment annually,
or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating
unit is less than the carrying value of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill
allocated to the unit and then to other assets of the unit, pro-rata on the basis of the carrying amount of each asset in the unit.  42/43
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
continued
On disposal of a subsidiary or associate the attributable amount of goodwill is included in the determination of the profit or loss
on disposal.
Goodwill arising on acquisitions before the date of transition to IFRS has been retained at the previous UK GAAP amounts subject
to being tested for impairment at that date. Goodwill written off to reserves under UK GAAP prior to 1998 has not been reinstated
and is not included in determining any subsequent profit or loss on disposal.
Goodwill on acquisition of a foreign entity are treated as assets of the foreign entity and translated at the closing rate. The Group
has elected to treat goodwill arising on acquisitions before the date of transition to IFRS as sterling denominated assets.
Intangible assets
Computer software, trademarks, brands and customer lists are measured initially at purchase cost. Computer software, trademarks,
brands and customer lists have a definite useful life and are carried at cost less accumulated amortisation. Amortisation is calculated
using the straight line method to allocate the cost over their estimated useful life. The estimated useful lives are typically between
3 and 5 years.
Impairment of assets excluding goodwill
At each balance sheet date, the Group reviews the carrying amounts of its tangible and intangible assets to determine whether
there is any indication that those assets are impaired. If any such indication exists, the recoverable amount of the asset is
estimated in order to determine the extent of the impairment (if any). Where the asset does not generate cash flows that are
independent from other assets, the Group estimates the recoverable amount of the cash-generating unit to which the asset
belongs. An intangible asset with an indefinite useful life is tested for impairment annually and whenever there is an indication
that the asset may be impaired.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future
cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the 
time value of money and the risks specific to the asset for which estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying
amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment is recognised immediately 
as an expense.
Where an impairment loss subsequently reverses, the carrying amount of the asset (cash-generating unit) is increased to the
revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount 
that would have been determined had no impairment loss been recognised for the asset (cash-generating unit) in prior years. 
A reversal of an impairment loss is recognised as income immediately , unless the relevant asset is carried at a revalued amount,
in which case the reversal of the impairment loss is treated as a revaluation increase.
Property , plant and equipment
Property , plant and equipment is carried at cost less accumulated depreciation and any recognised impairment loss.
Depreciation is charged so as to write off the cost of assets over their estimated useful lives, using the straight-line method, 
on the following bases:
Leasehold improvements – term of lease
Plant and equipment – 4 years
Assets held under finance leases are depreciated over their expected useful lives on the same basis as owned assets, or where
shorter , over the term of the relevant lease.
The gain or loss arising on the disposal or retirement of an asset is determined as the difference between the sales proceeds 
and the carrying value amount of the asset and is recognised in income. 42/43
ITE Group plc
Annual Report 2006
Associates
Associates are entities over which the Group has a significant influence but not control or joint control. In the Group accounts the
results and assets and liabilities of associates are accounted for using the equity method. Investments in associates are carried in
the balance sheet at cost as adjusted by post-acquisition changes in the Group’ s share of the net assets of the associate, less any
impairment. The consolidated income statement includes the Group’ s share of associates’ profits less losses. The share of profits
of associates included in the income statement is the net profit after interest, tax and minority interests of the associate. Losses 
of associates in excess of the Group’ s interest in those associates are not recognised.
Any excess of the cost of acquisition over the Group’ s share of the fair value of the identifiable net assets of the associate at the
date of acquisition is recognised as goodwill within the Group’ s investment in associates.
Where a Group company transacts with an associate, profits and losses are eliminated to the extent of the Group’ s interest in the
relevant associate. Losses may provide evidence of an impairment of the asset transferred in which case appropriate provision 
is made for impairment.
Venue advances
Where the Group has advanced funds to venue owners that can be repaid by either off-setting against future venue hire or 
by cash repayment, the fair value is recognised based on the discounted value of future cash receipts. The loan balance is
subsequently measured at amortised cost using the ‘effective interest rate method’. As the Group has taken advantage of the
exemption in IFRS 1 (First-time adoption of International Financial Reporting Standards) that enables the Group to apply these
standards from 1 October 2005, an adjustment to reserves has been recognised at 1 October 2005.
Advances that are prepayments of future venue hire and do not permit the repayment of the principal in cash are recognised 
at cost as prepayments within debtors due within one year .
Provisions
Provisions are recognised when the Group has a present obligation as a result of past events, it is probable that an outflow of
resources will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. Provisions
are discounted to present value where the effect is material.
Financial Instruments
Financial assets and financial liabilities are recognised on the Group’ s balance sheet when the Group becomes a party to the
contractual provisions of the instrument.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and demand deposits, and other short-term highly liquid investments that 
are readily convertible to a known amount of cash and are subject to an insignificant risk of changes in value.
T rade receivables and payables
T rade receivables and payables are measured at initial recognition at fair value. Appropriate allowances for estimated
irrecoverable amounts are recognised in profit or loss when there is objective evidence that the asset is impaired.
Bank borrowings
Interest bearing bank loans and overdrafts are recorded at the proceeds received, net of direct issue costs. Finance charges 
are accounted for on an accruals basis in profit or loss and are added to the carrying amount of the instrument to the extent 
that they are not settled in the period in which they arise. Where bank overdrafts are deemed to be integral to the Group’ s cash
management activities they are presented within net cash and cash equivalents in the cash flow statement. Overdrafts that 
are considered to be financing in nature are presented as financing activities in the cash flow statement.
Hedging instruments
The Group’ s activities expose it to the financial risks of changes in foreign currency exchange rates. The Group uses foreign
exchange forward contracts and options to hedge these exposures. The Group does not use derivative financial instruments 
for speculative purposes.
Cash flow hedges are carried at fair value in the balance sheet. Changes in the fair value of derivatives that are designated and
qualify as cash flow hedges are recognised directly in the hedging reserve and any ineffective portion is recognised in profit 
or loss. 44/45
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
continued
Fair value hedges are carried at fair value in the balance sheet. Changes in the fair value of derivatives that are designated and
qualify as effective fair value hedges are recognised in the income statement, along with any changes in fair value of the hedged
item that is attributable to the hedged risk. Any ineffective portion is also recognised in the income statement.
Changes in the fair value of derivative financial instruments that do not qualify for hedge accounting are recognised in the 
income statement as they arise.
Hedge accounting is discontinued when the hedging instrument expires or is sold, terminated, or exercised, or no longer
qualifies for hedge accounting. At that time, any cumulative gain or loss on the hedging instrument recognised in equity is
retained in equity until the forecasted transaction occurs. If a hedged transaction is no longer expected to occur , the net
cumulative gain or loss recognised in equity is transferred to profit or loss for the period.
The Group’ s use of financial derivatives is governed by the Group’ s financial policies. Further details on these policies can be
found in the Business Review on pages 16 and 17.
Revenue
Revenue represents the fair value of amounts receivable for goods and services provided in the ordinary course of business net 
of discounts, VA T and other sales related taxes.
Revenue and profit is recognised over the course of an event. Billings and cash received in advance, and directly attributable costs
relating to future events are deferred. The amounts so deferred are included in the balance sheet as deferred event income and
prepaid event costs respectively . Losses anticipated at the balance sheet date are provided in full.
Interest income is accrued on a time basis, by reference to the principal outstanding and at the effective interest rate applicable.
Dividend income from investments is recognised when the shareholders’ rights to receive payment have been established.
Barter transactions
Where barter transactions occur between advertising and exhibition space, revenue is only recognised if it can be demonstrated
that the transaction would have occurred regardless of the barter agreement. If this cannot be shown no revenue or cost is
recognised in the profit and loss account.
Operating profit
Operating profit is stated after the share of results of associates and profit or loss on disposal of Group undertakings and before
investment income and finance costs. 
T axation
The tax expense represents the sum of tax currently payable and deferred tax.
The current tax is based on the taxable profit for the year using the tax rates and laws that have been enacted or substantially
enacted by the balance sheet date. T axable profit differs from net profit as reported in the income statement because it excludes
items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable 
or deductible.
Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts of assets and
liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit, and is accounted
for using the balance sheet liability method. Deferred tax liabilities are generally recognised for all taxable temporary differences
and deferred tax assets are recognised only to the extent that it is probable that taxable profits will be available against which
deductible temporary differences can be utilised. Such assets and liabilities are not recognised if the temporary difference arises
from goodwill or from the initial recognition (other than in a business combination) of other assets and liabilities in a transaction
that does not effect the tax profit or the accounting profit.
Deferred tax liabilities are recognised for taxable temporary differences arising on investments in subsidiaries and associates and
interests in joint ventures, except where the Group is able to control the reversal of the temporary difference and it is probable
that the temporary difference will not reverse in the foreseeable future. 44/45
ITE Group plc
Annual Report 2006
The carrying value of deferred tax assets is reviewed at each balance sheet date and reduced to the extent that it is no longer
probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.
Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is
realised. Deferred tax is charged or credited in the income statement, except where it relates to items charged or credited 
directly to equity , in which case the deferred tax is also dealt with in equity .
Deferred tax assets and liabilities are offset when there is a legally enforceable right to set off current tax assets against current
tax liabilities and when they relate to income taxes levied by the same taxation authority and the Group intends to settle its
current tax assets and liabilities on a net basis.
Foreign currencies
T ransactions in foreign currencies are recorded at the rate of exchange at the date of the transaction or their contractual rate
where applicable. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are retranslated 
at the rates of exchange prevailing at that date. Non-monetary assets and liabilities are translated at the rate prevailing at the 
date the fair value was determined. Non-monetary items that are measured in terms of historical cost in a foreign currency are 
not retranslated. Gains and losses arising on the settlement of monetary items, and on the retranslation of monetary items, 
are included in profit or loss for the period. Exchange differences arising on the retranslation of non-monetary items carried 
at fair value are included in profit or loss for the period except for differences arising on the retranslation of non-monetary items
in respect of which gains or losses are recognised directly in equity . For such non-monetary items, any exchange component 
of that gain or loss is also recognised directly in equity .
Details of the Group’ s accounting polices for forward contracts and options are included in the policy on derivative 
financial instruments.
On consolidation, the results of overseas operations are translated at the average rates of exchange during the period and their
balance sheets at the rates ruling at the balance sheet date. Income and expense items are translated at the average exchange
rates for the period, unless exchange rates fluctuate significantly during the period, in which case the exchange rates at the date
of transaction are used. Exchange differences arising are classified as equity and transferred to the Group’ s translation reserve.
Such translation differences are recognised as income or as expense in the period in which the operation is disposed of.
Goodwill and fair value adjustments arising on the acquisition of a foreign entity are treated as assets and liabilities of the foreign
entity and translated at the closing rate.
Employee Share Trust
The financial statements include the assets and liabilities of the Employee Share T rust (‘ESOT’). Shares in the Company held by 
the ESOT have been valued at cost and are held in equity . The costs of administration of the ESOT are written off to profit or loss
as incurred.
Where such shares are subsequently sold, any net consideration received is included in equity attributable to the Company’ s
equity holders.
Share-based payments
The Group has applied IFRS 2 (Share-based payment). IFRS 2 has been applied to all grants of equity instruments after 
7 November 2002 that were unvested as of 1 January 2005.
The Group issues equity-settled share-based payments to certain employees. These are measured at fair value (excluding 
the effect of non market-based vesting conditions) at the date of grant. The fair value determined at the grant date of the 
equity-settled share-based payments is expensed on a straight-line basis over the vesting period, based on the Group’ s estimate
of shares that will eventually vest and adjusted for the effect of non market-based vesting conditions.
Fair value is measured using a Black-Scholes model. The expected life used in the model has been adjusted, for the effects 
of non-transferability , exercise restrictions and behavioural considerations based on management’ s best estimate. 46/47
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
continued
Leases
Rentals payable under operating leases are charged on a straight-line basis over the lease term, even if the payments are not
made on such a basis. Benefits received as an incentive to enter into an operating lease are also spread on a straight-line basis
over the lease term.
Critical accounting judgements and key sources of estimation uncertainty
In the process of applying the Group’ s accounting policies, the following judgements and assumptions have been made by
management and have the most significant effect on the amounts recognised in the financial statements or have the most risk 
of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year .
Impairment of goodwill and intangible assets
Determining whether goodwill and intangible assets are impaired requires an estimation of the value in use of cash-generating
units to which goodwill or intangible assets have been allocated. The value in use calculation requires an estimation of future
cash flows expected from the cash-generating unit and a suitable discount rate in order to calculate present value. The carrying
value of goodwill and intangible assets at 30 September 2006 is £34.4 million and £5.9 million respectively .
Intangible assets
The valuation of intangible assets requires management to estimate the net present value of the additional future cash flows
arising from customer relationships and trademarks to determine the value of those intangible assets. This involves estimating
the period over which the customer relationships and trademarks effect future cash flows.  46/47
ITE Group plc
Annual Report 2006
1 Segmental information
The turnover and profit before taxation are attributable to the Group’ s one principal activity , the organisation of trade exhibitions,
conferences and related activities and can be analysed by geographic segment as follows.
UK & Central Eastern & 
Western Asia & Southern Rest of T otal
Europe Caucasus Russia Europe World Group
Y ear ended 30 September 2006 £000 £000 £000 £000 £000 £000
By geographical location of events/activities
Turnover 7,77815,39749,9428,316935 82,368
Result (7,243) 4,724 23,167 2,498 172 23,319
By origin of sale
T urnover 48,385 6,834 22,423 4,646 80 82,368
Result 12,641 2,165 7,730 733 50 23,319
Share of results of associates 564
Profit on disposal of group undertakings 158
Operating profit 24,041
Finance income 1,368
Finance costs (621)
Profit before tax 24,788
Tax (7,351)
Profit after tax 17,437
Capital expenditure 177 191 157 – – 525
Depreciation and amortisation 1,716 51 119 9 – 1,895
Balance sheet
Assets 87,056 4,309 15,670 985 38 108,058
Interest in associates 1,438
Consolidated total assets 109,496
Liabilities 50,081 3,088 11,559 925 194 65,847 48/49
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
continued
1 Segmental information (continued)
UK & Central Eastern & 
Western Asia & Southern Rest of T otal 
Europe Caucasus Russia Europe World Group
Y ear ended 30 September 2005 £000 £000 £000 £000 £000 £000
By geographical location of events/activities
Turnover 6,03112,12148,3815,0476,96778,547
Result (7,741) 4,087 23,405 1,301 2,033 23,085
By origin of sale
T urnover 51,701 4,765 13,316 2,870 5,895 78,547
Result 18,545 1,043 3,014 (268) 751 23,085
Share of results of associate 393
Profit on disposal of group undertakings 221
Operating profit 23,699
Finance income 2,068
Finance costs (596)
Profit before tax 25,171
Tax (6,781)
Profit after tax 18,390
Capital expenditure 298 20 53 21 – 392
Depreciation and amortisation 757 3 61 5 – 826
Balance sheet
Assets 73,090 2,483 13,149 1,187 15 89,924
Interest in associates 1,410
Consolidated total assets 91,334
Liabilities 46,192 2,113 9,813 1,095 26 59,239
2 Finance income
2006 2005
£000 £000
Interest receivable from bank deposits 787 2,002
Interest receivable from Inland Revenue repayments 115 –
Interest receivable on advances to venues 17 34
Interest receivable on loan to Incheba Praha 5 32
Unwind of fair value discount on venue advances 444 –
1,368 2,068
3 Finance costs
2006 2005
£000 £000
Interest on bank loans and overdrafts 428 426
Bank charges 193 170
621 596 48/49
ITE Group plc
Annual Report 2006
4 Profit on disposal of Group undertakings
The profit on disposal of £158,000 is from the disposal of a subsidiary in Azerbaijan, Caspian Freight Services LLC, for $300,000
to Meritex International Freight Services Limited. The company was involved in organising freight services for clients of the Group’ s
exhibitions within Azerbaijan. The consideration is fully receivable by 31 December 2007. Net assets disposed of were $2,000.
5 Profit on ordinary activities before taxation
Profit on ordinary activities before taxation is stated after charging/(crediting):
2006 2005
£000 £000
Staff costs (note 6) 16,143 14,788
Depreciation of property , plant and equipment 277 245
Amortisation of computer software 290 203
Amortisation of purchased intangible assets 1,330 378
Operating lease rentals – other 1,173 1,195
Loss on disposal of fixed assets 21 79
Net foreign exchange loss 168 703
Release of provision against venue advances (309) –
Profit or loss on disposal of Group undertaking 158 221
Auditors’ remuneration
Fees payable to the Company’ s auditor for the audit of the Company’ s annual accounts 148 144
Fees payable to the Company’ s auditor and its associates for other services:
– The audit of the Company’ s subsidiaries’ pursuant to legislation 125 94
– Other services pursuant to legislation 46 41
– Services relating to corporate finance transactions entered into or proposed 
to be entered into by or on behalf of the Company or any of its associates 21 –
T ax services 259 243
T otal auditors’ remuneration 599 522
6 Staff costs
The average monthly number of employees (including Directors) was:
2006 2005
Number Number
Administration 258 211
T echnical and sales 368 355
626 566
£000 £000
Their aggregate remuneration comprised:
Wages and salaries 14,245 12,730
Social security costs 1,596 1,832
Other pension costs 302 226
16,143 14,788
Details of audited Directors’ remuneration are shown in the Report on Remuneration on pages 27 to 33. 50/51
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
continued
7 T ax on profit on ordinary activities
Analysis of tax charge for the year: 
2006 2005
£000 £000
Group taxation on current year profit
UK corporation tax on profit for the year 4,925 5,835
Adjustment to UK tax in respect of previous years (966) (443)
3,959 5,392
Overseas taxation – current year 3,445 1,759
Overseas taxation – previous years (57) (8)
3,388 1,751
T otal current tax 7,347 7,143
Deferred tax
Origination and reversal of timing differences 4 (362)
T otal tax 7,351 6,781
The tax charge for the year can be reconciled to the profit per the income statement as follows:
2006 2005
£000 £000
Profit on ordinary activities before tax 24,788 25,171
Profit on ordinary activities multiplied by standard rate of corporation tax
in the UK of 30% (2005: 30%) 7,436 7,551
Effects of:
Expenses not deductible for tax purposes 206 91
Capital allowances in excess of depreciation 58 (7)
Non-utilisation of tax losses – 75
Withholding tax and other irrecoverable taxes 945 145
Adjustments to tax charge in respect of previous years (1,023) (451)
T ax effect of losses not previously recognised 94 (196)
Non-taxable income (61) (65)
Effect of different tax rates of subsidiaries operating in other jurisdictions (597) –
Effect of timing differences 462 (362)
Associate tax (169) –
7,351 6,781 50/51
ITE Group plc
Annual Report 2006
8 Dividends 
2006 2005
£000 £000
Amounts recognised as distributions to equity holders in the year:
Final dividend for the year ended 30 September 2005 of 1.85p (2004 – 1.65p) per ordinary share 4,602 4,533
Interim dividend for the year ended 30 September 2006 of 1.0p (2005 – 0.9p) per ordinary share 2,535 2,544
7,137 7,077
Proposed final dividend for the year ended 30 September 2006 of 2.5p (2005 – 1.85p) per ordinary share 6,264 4,602
The proposed final dividend is subject to approval by shareholders at the Annual General Meeting and has not been included 
as a liability in these financial statements.
Under the terms of the trust deed dated 20 October 1998, the ITE Group Employees Share T rust, which holds 9,372,100 
(2005: 11,127,000) ordinary shares representing 4% of the Company’ s called-up ordinary share capital, has agreed to waive 
all dividends due to it. Further , no dividends will be paid in respect of own shares held in treasury .
9 Earnings per share
The calculations of basic and diluted earnings per share are based on the profit for the financial year of £17.4 million 
(2005: £18.4 million) and the following numbers of shares.
Number of shares
2006 2005
Number of Number of
shares (000) shares (000)
Weighted average number of shares:
For basic earnings per share 250,485 273,134
Effect of dilutive potential ordinary shares 8,727 6,788
For diluted earnings per share 259,212 279,922
Headline earnings per share
Headline diluted earnings per share is intended to provide a consistent measure of Group earnings on a year on year basis and 
is 7.0p per share (2005: 6.6p). The Headline diluted earnings per share is based on the following earnings and the diluted
number of shares in the table above. 
Earnings for Headline diluted earnings per share
2006 2005
£000 £000
Profit for the financial year attributable to equity holders 17,401 18,423
Amortisation of acquired intangible assets 1,330 378
T ax effect of amortisation of acquired intangible assets (315) (83)
Profit on disposal of group undertakings (158) (221)
18,258 18,497 52/53
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
continued
10 Goodwill
2006 2005
£000 £000
Cost
At 1 October 46,139 42,716
Acquired through business combinations 1,637 3,423
Exchange differences (2) –
At 30 September 47,774 46,139
Accumulated impairment losses
At 1 October 13,368 13,368
At 30 September 13,368 13,368
Carrying amount
At 30 September 34,406 32,771
11 Goodwill acquired through business combinations
Goodwill acquired in a business combination is allocated, at acquisition, to the cash generating units that are expected to benefit
from that business combination. The carrying amount of goodwill has been allocated as follows:
2006 2005
£000 £000
UK & Western Europe 10,740 9,886
Central Asia & Caucasus 6,080 6,080
Russia 15,122 14,341
Eastern & Southern Europe 2,464 2,464
34,406 32,771
The Group tests goodwill annually for impairment, or more frequently if there are indications that goodwill might be impaired.
The recoverable amounts of the cash generating units are determined from value in use calculations. The key assumptions for 
the value in use calculations are those regarding the discount rates, growth rates and expected changes to cash flows during the
period. Management estimates discount rates using pre-tax rates that reflect the current market assessments of the time value of
money and risks specific to the cash generating units. The growth rates are based on management forecasts. The Group prepares
cash flow forecasts based upon the most recent financial plans approved by the Board and extrapolates the planned cash flows.
Assumed growth rates of between 2% and 9% are applied for the first three years beyond the detailed plans, which rates do not
exceed the average long term growth rate for our business in the relevant markets, and a rate of 3% is applied thereafter .
The discount rates applied to the cash generating units are between 1 0% and 15%.
Additions in the year can be analysed as follows:
2006 2005
£000 £000
Acquisition of further shares in subsidiary 833 3,423
Acquisition of businesses 804 –
1,637 3,423
The acquisition of further shares in subsidiary represents the purchase of the remaining 10% minority stake in ITE Moda Limited.
A call option over the minority shares was exercised on 20 September 2006 and payment was made in October 2006. The
consideration was £1.0 million. The Group now owns 100% of ITE Moda Limited and RAS Publishing. 52/53
ITE Group plc
Annual Report 2006
11 Goodwill acquired through business combinations (continued)
The acquisition of businesses relates to the purchase of two events from Maxima Inc in June 2006, for a total cash consideration
of £1.8 million. The fair value of assets acquired amounted to £1.1 million, being brand names and customer relationships.
Goodwill arising of £0.7 million is attributable to the anticipated future profitability that ITE can bring to the events. The two
events are Bytchimexpo and Expoclean and will both be organised by ITE for the first time in the year ended 30 September 2007.
If the acquisition had taken place on the first day of the financial year , it is estimated that Group revenues for the year would have
been $1.4 million higher and the Group profit attributable to equity holders of the parent would have been $0.65 million.
The additional acquisition of businesses cost of £0.1 million relates to additional costs in relation to the purchase of ITE Exhibitions
BV and ITE Moda Footwear Limited.
12 Other intangible assets
Customer 
relationships Computer 
& trademarks software T otal
£000 £000 £000
Cost
At 1 October 2004 80 1,060 1,140
Additions 5,677 167 5,844
At 1 October 2005 5,757 1,227 6,984
Additions 1,497 104 1,601
Foreign exchange (82) – (82)
Disposals (24) – (24)
At 30 September 2006 7,148 1,331 8,479
Amortisation
At 1 October 2004 5 409 414
Charge for the year 378 203 581
At 1 October 2005 383 612 995
Charge for the year 1,330 290 1,620
Foreign exchange (2) – (2)
Disposals (3) – (3)
At 30 September 2006 1,708 902 2,610
Carrying amount
At 30 September 2006 5,440 429 5,869
At 30 September 2005 5,374 615 5,989
The amortisation period for customer relationships and trademarks is between three and seven years for customer relationships,
with a weighted average of five years, and up to twenty years for trademarks. Computer software is amortised over four years.
The additions to customer relationships and trademarks of £1.5 million relates to the purchase of the Gift & Décor event in 
the Ukraine and the Bytchimexpo and Expoclean events in Russia. The Gift & Décor event was purchased in March 2006 for £0.4
million from Expo UA. The event is biannual, held in Kyiv , Ukraine. The event has been held once since acquisition, making 
a profit of £40,000. The fair value of the customer relationships and trademarks was £0.4 million.
The Bytchimexpo and Expoclean events were purchased from Maxima Inc in June 2006, for a total consideration of £1.8 million.
The fair value of the customer relationships and trademarks was £1.1 million, with £0.7 million being recognised in goodwill.
Neither event has been held since acquisition. 54/55
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
continued
13 Property , plant and equipment
Land and Plant and 
buildings equipment Total
Group £000 £000 £000
Cost
At 1 October 2004 967 930 1,897
Additions – 225 225
Disposals – (411) (411)
At 1 October 2005 967 744 1,711
Additions – 421 421
Disposals – (9) (9)
At 30 September 2006 967 1,156 2,123
Depreciation
At 1 October 2004 249 437 686
Charge for the year 49 196 245
Disposals – (346) (346)
At 1 October 2005 298 287 585
Charge for the year 49 228 277
Disposals – (8) (8)
At 30 September 2006 347 507 854
Net book value
At 30 September 2006 620 649 1,269
At 30 September 2005 669 457 1,126
1 4 Subsidiaries
A list of the significant investments in subsidiaries, including the name, country of incorporation and proportion of ownership
interest is given in note 4 to the Company’ s separate financial statements.
15 Interests in associates
2006 2005
£000 £000
Aggregated amounts relating to associates
T otal assets 3,236 2,880
T otal liabilities (1,798) (1,470)
1,438 1,410
Included within total assets is goodwill of £764,000 (2005: £764,000).
Profit after tax 564 393
Country of 
incorporation 
or principal 
business address Effective Holding %
Istanbul Fuarcilik AS T urkey Ordinary shares 50 54/55
ITE Group plc
Annual Report 2006
16 Current assets
2006 2005
£000 £000
Trade and other receivables
T rade receivables 21,975 17,637
Other receivables 719 302
Loan to Incheba Praha – 744
Venue advances and other loans – current 4,128 1,786
Prepayments and accrued income 2,524 2,253
Derivative financial instruments 248 –
29,594 22,722
Cash and cash equivalents
Cash at bank and in hand 27,401 17,179
Cash held on trust 4,482 6,526
31,883 23,705
Venue advances and other loans – non-current
Venue advances and other loans 3,015 2,216
3,015 2,216
An allowance has been made for estimated irrecoverable amounts from trade receivables of £0.4 million. The directors consider
that the carrying amount of other receivables approximates their fair value. The trade receivables are held in different currencies
with £1.7 million in Sterling, £3.8 million is US Dollars, £16.2 million in Euros and £0.3 million in other currencies.
The cash at bank and in hand comprises cash held by the Group and short-term deposits with an original maturity of three months
or less. The carrying value of these assets approximates their fair value. The cash balance is represented by £22.3 million of
Sterling, £1.4 million of Euros, £1.0 million of US Dollars, £1.2 million of Roubles and £1.5 million of other currencies. Surplus
funds are placed on short term deposit with floating interest rates.
As a result of the capital reduction in August 2005, £4.5 million is held in a trust account, which will be released as certain creditors
are paid in full. At 30 September 2006 £0.5 million of the cash in trust was expected to be released within one year and £4.0 million
was expected to be released after 30 September 2007 at approximately £0.5 million a year .
The venue advances and other loans of £3.0 million due after one year is all due within five years (2005: £0.3 million due 
after more than five years). The venue loans repayable by cash are measured at fair value using a discounted cash flow model.
The venue prepayments are held at cost. All venue advances are stated net of allowance for doubtful receivables. The venue
advances are denominated in either Euros or US Dollars and are analysed as follows:
2006 2005
£000 £000
Venue loans
Denominated in Euros 300 121
Denominated in US Dollars 3,684 3,652
Denominated in other currencies 109 –
4,093 3,773
Venue prepayments
Denominated in Roubles 1,632 –
Denominated in US Dollars 1,418 229
3,050 229
T otal venue loans and prepayments 7,143 4,002 56/57
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
continued
16 Current assets (continued)
Credit risk
The Group’ s principal financial assets are bank balances, trade receivables, prepayments and venue advances. The Group’ s credit
risk is primarily attributable to its trade receivables and venue advances. The amounts presented in the balance sheet are net 
of allowances for doubtful receivables. 
The credit risk on liquid funds and derivative financial instruments is limited because the counterparties are banks with high
credit-ratings assigned by international credit rating agencies.
The Group has no significant concentration of credit risk, with exposure spread over a large number of counterparties and customers. 
1 7 Bank overdraft
The bank overdrafts are all repayable on demand. Of the total borrowing, £8.8 million (2005: £6.8 million) is denominated 
in Euros, £1.9 million (2005: £3.9 million) is denominated in US Dollars. The borrowings are arranged at floating interest rates,
thus exposing the Group to cash flow interest rate risk. The Euro and US Dollar borrowings are taken out to act as a partial hedge
against the UK trade receivables in those currencies.
The overdraft has been secured by a guarantee between ITE Group plc, ITE Exhibitions & Conferences Limited, International T rade
and Exhibitions (JV) Limited, ITE Overseas Limited and ITE Enterprises Limited and a charge over the account of International
T rade and Exhibitions (JV) Limited. The average interest rate on the bank overdrafts approximates 3.6% per annum (2005: 2.6%)
and are determined by reference to base rate plus 0.5%. The directors estimate the carrying value of the overdrafts approximates
their fair value.
At 30 September 2006 the Group had £9.3 million (2005: £9.3 million) of gross undrawn committed borrowing facilities.
18 Trade and other payables
2006 2005
£000 £000
T rade payables 184 351
T axation and social security 2,961 3,867
Proposed dividends – 5
Other payables 4,608 3,412
Accruals and deferred income 42,958 36,209
50,711 43,844
T rade creditors and accruals principally comprise amounts outstanding for trade purchases and ongoing costs and deferred income. 
The Directors consider that the carrying value of trade payables approximates their fair value. 56/57
ITE Group plc
Annual Report 2006
1 9 Provisions 
National 
Insurance
on share Contingent
options Leases consideration T otal
£000 £000 £000 £000
At 1 October 2005 1,068 737 1,233 3,038
Charged/(credited) to income statement 104 (68) – 36
Utilised in the period (46) – – (46)
Additions in the year – – 170 170
Payments in the year – – (924) (924)
At 30 September 2006 1,126 669 479 2,274
Included in current liabilities 907
Included in non-current liabilities 1,367
2,274
The provision for National Insurance on share options is calculated by reference to the employers National Insurance cost on the
potential gain based on the difference between the exercise price and share price for those share options where the share price
exceeds the exercise price at 30 September 2006.
The lease provision relates to the spreading of a reduced rent period over the full period of the lease. 
The contingent consideration relates to the acquisitions of ITE Exhibitions BV , Photo Fair and Gift & Décor event, and is dependent 
on the future profitability of each event.
20 Deferred tax
Accelerated 
tax TaxProvisionsShare-basedRepatriation
depreciation Intangibles losses and accruals payments of profit T otal
£000 £000 £000 £000 £000 £000 £000
At 1 October 2004 (79) – 20 465 459 (80) 785
Charge to income 3 83 – (51) 341 (14) 362
Charge to equity –––– 151 – 151
Acquisition of subsidiaries – (1,575) –––– (1,575)
At 1 October 2005 (76) (1,492) 20 414 950 (94) (278)
Charge to income (802) 315 (20) 52 448 3 (4)
Charge to equity –––– 159 – 159
At 30 September 2006 (878) (1,177) – 466 1,557 (91) (123) 58/59
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
continued
20 Deferred tax (continued)
Certain deferred tax assets and liabilities have been offset in the above table. The following is the analysis of deferred tax
balances for financial reporting purposes:
2006 2005
£000 £000
Deferred tax liabilities (2,145) (1,673)
Deferred tax assets 2,022 1,395
(123) (278)
At the balance sheet date, the Group has unused tax losses of £1.3 million (2005: £1.3 million) available for offset against future
profits. No deferred tax asset has been recognised in respect of these losses in either year due to the unpredictability of future
profit streams. These losses may be carried forward indefinitely .
At the balance sheet date, the aggregate amount of temporary differences associated with undistributed earnings of subsidiaries
for which deferred tax liabilities have not been recognised was £5.1 million (2005: £3.5 million). No liability has been recognised
in respect of these differences because the Group is in a position to control the timing of the reversal of the temporary differences
and it is probable that such differences will not reverse in the foreseeable future.
21 Derivative financial instruments
Currency derivatives
The Group utilises currency derivatives to hedge significant future transactions and cash flows. The Group is party to a foreign
currency forward plus contract in the management of its exchange rate exposures. The instruments purchased are denominated
in Euros which represents the Group’ s primary billing currency .
Under the forward plus contract the Group has a right but not an obligation, to sell Euros for Sterling at a specified strike rate at
specified dates. However , if the spot rate is at or below the specified barrier rate on any business day during the barrier period the
right to sell Euros becomes an obligation, at the specified strike rate.
As at 30 September 2006 the notional amounts of outstanding foreign currency forward-plus contracts that the Group has
committed to are as follows:
2006 2005
€000 €000
Foreign currency forward plus contracts 1 5,000 1 6,000
These arrangements are designed to address significant exchange exposures for the year ended 30 September 2007 and are
renewed on a revolving basis as required, subject to not committing the Group to less than 6 months or more than 18 months 
in the future.
At 30 September 2006 the fair value of these derivatives is estimated to be approximately £0.3 million. These amounts
are based on market valuations. Amounts of (£0.1) million and £0.3 million have been transferred to the income statement and
reserves respectively during the period.
The Group has taken out foreign currency overdrafts in Euros and US Dollars to act as a natural hedge against certain currency
trade receivable balances. These borrowings have not been designated as hedging instruments by management. All foreign
exchange movements on these borrowings and trade receivables are recognised directly in the income statement. 58/59
ITE Group plc
Annual Report 2006
22 Share capital
2006 2005
£000 £000
Authorised
375,000,000 ordinary shares of 1 pence each (2005: 375,000,000) 3,750 3,750
Allotted and fully-paid
260,905,023 ordinary shares of 1 pence each (2005: 259,891,829) 2,609 2,599
During the year the company allotted 983,000 (2005: 3,802,537) ordinary shares of 1 penny each pursuant to the exercise of
share options. 30,194 ordinary shares were issued in respect of Directors remuneration (2005: 44,864). The total consideration
for the shares issued was £670,000 (2005: £950,000).
As detailed in note 22, the Company purchased 975,833 shares to be held in T reasury during the period.
The Company has one class of ordinary shares which carry no right to fixed income.
23 Reserves
Share Capital Hedge and 
premium Merger Redemption ESOT Retained T reasury T ranslation Put option 
account reserve reserve reserve earnings shares Reserve reserve T otal
£000 £000 £000 £000 £000 £000 £000 £000 £000
1 October 2004 29,036 2,746 – (2,792) 16,637 – – – 45,627
Exercise of options 912 – – 99 (23) – – – 988
Net profit for the year – – – – 18,953 – – – 18,953
Dividends paid – – – – (7,077) – – – (7,077)
Gain on foreign currency 
translation of overseas operations – – – – – – 751 – 751
Share-based payments – – – – 592 – – – 592
Shares issued for remuneration 35 – – ––––– 35
Deferred tax reserve – – – – 151 – – – 151
Purchase of shares by ESOT – – – (869) –––– (869)
Gain on exercise of 
ESOT options – – – – 48 – – – 48
Capital reduction (29,945) – – – 29,945 – – – –
Purchase and cancellation 
of shares – – 291 – (30,188) – – – (29,897)
1 October 2005 38 2,746 291 (3,562) 29,038 – 751 – 29,302
Adoption of IAS 39 – – – – (500) – – (1,044) (1,544)
Revised 1 October 2005 38 2,746 291 (3,562) 28,538 – 751 (1,044) 27,758 60/61
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
continued
23 Reserves (continued)
Share Capital Hedge and 
premium Merger Redemption ESOT Retained TreasuryTranslation Put option 
account reserve reserve reserve earnings shares Reserve reserve T otal
£000 £000 £000 £000 £000 £000 £000 £000 £000
Revised 1 October 2005 38 2,746 291 (3,562) 28,538 – 751 (1,044) 27,758
Exercise of options 625 – – 546 117 – – – 1,288
Net profit for the year – – – – 17,401 – – – 17,401
Dividends paid – – – – (7,137) – – – (7,137)
Loss on foreign currency 
translation of overseas operations – – – – – – (197) – (197)
Share-based payments – – – – 1,492 – – – 1,492
Shares issued for remuneration 35 – – ––––– 35
Deferred tax reserve – – – – 159 – – – 159
Increase in fair value 
of hedging derivatives – – – – – – 356 – 356
T ransfer to income – – – – – – (22) – (22)
Costs related to capital reduction – – – – (15) – – – (15)
Exercise of put option – – – –––– 1,044 1,044
Own shares held in treasury – – – – – (1,142) – – (1,142)
30 September 2006 698 2,746 291 (3,016) 40,555 (1,142) 889 – 41,021
IAS 32 (Financial Instruments: Disclosure and Presentation) and IAS 39 (Financial Instruments: Recognition and Measurement)
have been applied with effect from 1 October 2005. As a result of these standards a number of financial instruments have been
revalued as at 1 October 2005 decreasing retained earnings by £0.5 million. Additionally certain put options have been reclassified
as financial liabilities resulting in a £1.0 million reduction in reserves. Subsequently this has reversed on exercise of the put option.
At the Extraordinary General Meeting held on 17 November 1998, shareholders approved the establishment of the ITE Group
Employee Share Ownership T rust (ESOT). The terms of the ESOT allow the trustees to transfer shares to employees who exercise
options under the Company’ s Share Option Schemes, to grant options to employees and to accumulate shares by buying in the
market or subscribing for shares at market value. The ESOT is capable of holding a maximum of 5% of the Company’ s issued
ordinary share capital. The ESOT reserve arises in connection with the Employee Share Ownership T rust. The amount of the
reserve represents the deduction in arriving at shareholders funds for the consideration paid for the Company’ s shares 
purchased by the T rust which had not vested unconditionally in employees at the Balance Sheet date.
The ESOT held 9,372,100 shares in ITE Group plc at 30 September 2006 (2005: 11,127,000 shares). No grants of share options
have been made during the financial year . The market value of the ordinary shares held by the ESOT at 30 September 2006 was
£11.4 million (2005: £11.9 million).
The Company has agreed to make available to the ESOT an interest-free loan of up to £7.5 million for the purpose of buying
shares. At 30 September 2006, the amount of the loan drawn down was £2.6 million. The ITE Group plc company only profit 
and loss account and balance sheet include the results of the ESOT for the year ended 30 September 2006. 
The trustees have waived their current and future rights to all dividend entitlement on the shares held by the ESOT . 1,704,900
options were exercised during the year . Of the total shares held by the ESOT , all are under option as at 30 September 2006.
Details of the options in issue and their exercise dates can be seen at note 26 to the accounts.
The Company purchased 975,833 shares at a cost of £1,142,000 to be held in T reasury during the period. 60/61
ITE Group plc
Annual Report 2006
24 Minority interests
2006 2005
£000 £000
1 October 194 228
Loss/(profit) on ordinary activities after taxation 36 (33)
Acquisition of minority interest (211) –
30 September 19 194
25 Operating lease arrangements
The Group is a lessee for these arrangements. Annual commitments under non-cancellable operating leases are as follows:
2006 2005
£000 £000
Minimum lease payments under operating leases recognised in income for the year 1,173 1,195
At 30 September 2006 the Group had outstanding commitments for future minimum lease payments under non-cancellable
operating leases, which fall due as follows:
2006 2005
£000 £000
Within one year 1,094 1,106
Between two and five years 2,871 2,295
After five years 3,414 3,854
7,379 7,255
Operating lease payments represent rentals payable by the Group for certain of its office properties. Leases are negotiated for an
average term of two years.
The Group also earned rental income of £180,000 during the year . At the balance sheet date the Group has contracted with the
tenant for a lease term of one year .
26 Share-based payments
The Company operates two share option schemes.
Share option plans
The Company operates a share option plan for all employees of the Group. Options are exercisable at a price equal to the 
average quoted market price of the Company’ s share on the date of grant. The vesting period is either three or five years and 
are exercisable up to ten years from granting. The options are forfeited if the employee leaves the Group before the options vest.
Performance share plans
The Company operated a Performance Share Plan (‘PSP’) for executives and staff. Awards under the PSP are at an exercise value 
of either 1p or nil. Awards can be made to an employee over shares up to a maximum of 100% of base salary each year based 
on market value. The vesting period is three years and are exercisable up to ten years from the date of grant. The options 
are forfeited if the employee leaves the Group before the options vest. The awards are also subject to a performance target.
Further details of the performance targets can be found in the Report on remuneration. 62/63
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
continued
26 Share-based payments (continued)
Details of the share options outstanding as at 30 September 2006 are as follows:
2006 2005
2006 Weighted 2005 Weighted
Number average Number average
of share exercise of share exercise
options price (p) options price (p)
Share option plans
Outstanding at beginning of period 14,013,000 51.0 15,340,405 38.1
Granted during the period –– 2,850,000 85.5
Lapsed during the period (259,500) (69.3) (374,868) (55.0)
Exercised during the period (2,433,000) (48.9) (3,802,537) (24.2)
11,320,500 14,013,000
Performance Share Plans
Outstanding at beginning of period 2,807,176 0.7 1,605,683 1.0
Granted during the period 1,349,500 0.1 1,201,493 1.0
Lapsed during the period (123,151) (0.5) ––
Exercised during the period (254,900) (1.0) ––
3,778,625 2,807,176
The weighted average share price at the date of exercise for share options exercised during the period was 124p. The options
outstanding at 30 September 2006 had a weighted average exercise price of 23p, and a weighted average remaining contractual
life of 345 days. In 2006, Performance Share Plan options were granted on 17 January 2006. The aggregate of the estimated fair
value of these options is £1.4 million. In 2005 share options were granted on 7 December 2004 and Performance Share Plan options
were granted on 13 January 2005. The aggregate of the estimated value of the options granted on those dates is £1.9 million.
The inputs into the Black-Scholes model are as follows:
2006 2005 2005
Performance Performance Share
share plan share plan options
Weighted average share price 126.5p 85.5p 85.5p
Weighted average exercise price 1.0p 1.0p 85.5p
Expected volatility 25% 30.4% 50.7%
Expected life 3 years 3 years 6 years
Risk free rate 4.15% 4.4% 4.5%
Dividend yield 2.17% 2.6% 2.6%
The Group recognised total expenses of £1.6 million (2005: £1.1 million) related to equity-settled share-based payment transactions.  62/63
ITE Group plc
Annual Report 2006
2 7 Related party transactions
T ransactions between the Company and its subsidiaries, which are related parties, have been eliminated on consolidation and 
are not disclosed in this note. T ransactions between the Group and its associates, where relevant, are disclosed below .
T rading transactions
Ceyda Erem, a former director of ITE Group plc, has a controlling interest in CNR, a company that manages the largest 
exhibition halls in Istanbul. During the year ITF , the Group’ s associate, was charged £3.7 million by CNR for rent, hall services 
such as electricity , security and advertising and stand construction (2005: £3.5 million). At 30 September 2006 CNR owed
ITF £1.0 million (2005: £0.9 million). 
In Kazakhstan, ITECA, a Group subsidiary , has transacted with Datacom, Expo Design and Saban Holdings for the provision of
web systems, stand construction services and office rental respectively . Edward Strachan, a Group director , is a significant
shareholder of Datacom and Saban Holdings and was a significant shareholder in Expo Design for part of the year . In total the
services charged to ITECA were £69,000 (2005: £148,000).
Remuneration of key management personnel
The remuneration of directors, who are the key management personnel of the Group, is set out below in aggregate for each 
of the categories specified in IAS 24 Related party disclosures. Further information about the remuneration of individual directors
is provided in the audited part of the Report on remuneration on pages 31 to 33.
2006 2005
£000 £000
Emoluments 2,249 2,378
Share-based payment 464 302
2,713 2,680
28 Transition to IFRS
This is the first year that the Company has presented its financial statements under IFRS. The following disclosures are required 
in the year of transition. The last financial statements under UK GAAP were for the year ended 30 September 2005 and the date 
of transition was 1 October 2004.
Reconciliation of income statement for year ended 30 September 2005
Share-based DeferredHoliday
UK GAAP payments Leases Amortisation Associates tax pay IFRS
£000 £000 £000 £000 £000 £000 £000 £000
Revenue 78,547 – – – – – – 78,547
Cost of sales (42,552) – – – – – – (42,552)
Gross profit 35,995 – – – – – – 35,995
Net administrative expenses 
before amortisation (12,063) (531) 52 – – – 10 (12,532)
Amortisation (3,142) – – 2,764 – – – (378)
T otal administrative expenses (15,205) (531) 52 2,764 – – 10 (12,910)
Operating profit (UK GAAP) 20,790 (531) 52 2,764 – – 10 23,085
Share of associates’ operating profit 459 – – 153 (219) – – 393
Profit on disposal of 
group undertakings 221 – – – – – – 221
Income from investments 2,085 – – – (17) – – 2,068
Finance costs (596) – – – – – – (596)
Profit on ordinary activities 
before taxation 22,959 (531) 52 2,917 (236) – 10 25,171
T ax on profit on ordinary activities (7,429) – – – 236 412 – (6,781)
Profit for the period 15,530 (531) 52 2,917 – 412 10 18,390 64/65
ITE Group plc
Annual Report 2006
Notes to the consolidated accounts
continued
28 Transition to IFRS (continued)
Reconciliation of Balance Sheet at 30 September 2005
UK GAAP Leases Amortisation Deferred tax Holiday pay Dividends IFRS
£000 £000 £000 £000 £000 £000 £000
Capital and reserves
Called-up share capital 2,599––––– 2,599
Share premium account 38––––– 38
Merger reserve 2,746––––– 2,746
ESOT reserve (3,562) ––––– (3,562)
Profit and loss account 22,184 (722) 2,916 1,211 (112) 4,603 30,080
Equity attributable to equity 
holders of the parent 24,005 (722) 2,916 1,211 (112) 4,603 31,901
Minority interests 194––––– 194
T otal equity 24,199 (722) 2,916 1,211 (112) 4,603 32,095
Reconciliation of Balance Sheet at 1 October 2004
UK GAAP Leases Deferred tax Holiday pay Dividends IFRS
£000 £000 £000 £000 £000 £000
Capital and reserves
Called-up share capital 2,852–––– 2,852
Share premium account 29,036–––– 29,036
Merger reserve 2,746–––– 2,746
ESOT reserve (2,792) –––– (2,792)
Profit and loss account 12,352 (774) 648 (122) 4,533 16,637
Equity attributable to equity 
holders of the parent 44,194 (774) 648 (122) 4,533 48,479
Minority interests 228–––– 228
T otal equity 44,422 (774) 648 (122) 4,533 48,707
The analysis below sets out the most significant adjustments arising from the transition to IFRS.
Share-based payments
IFRS 2 (Share-based payment) states that an expense for equity instruments granted should be recognised in the financial
statements based on their ‘fair value’ at the date of grant. This expense, which is in relation to employee option and performance
share plans, is then recognised over the vesting period of the relevant scheme. IFRS 2 has been applied to all options granted
after 7 November 2002 and not fully vested by 1 January 2005.
Leases
IAS 17 (Leases) requires that the expense is recognised on a straight line basis over the lease term, including any rent-free 
or reduced rent periods given at the inception of a lease. The income statement has been adjusted to take into account the
amortisation of lease incentives over a longer period than the UK GAAP , which recognises incentives over the period to the 
first rent review date.
Goodwill and acquired intangible assets
IAS 38 (Intangible assets) states that goodwill is not amortised. Instead goodwill is subject to an annual impairment review . 
As the Group has elected not to apply IFRS 3 retrospectively to business combinations prior to 1 October 2004, the original 
UK GAAP goodwill balance at 1 October 2004 (£29.3m) has been included in the opening IFRS consolidated balance sheet and 
is no longer amortised, but continues to be subject to impairment reviews.
Business combinations since 1 October 2004 have been accounted for in accordance with IFRS 3 (Business combinations), with
intangible assets recognised and amortised over their useful economic lives where they are separable or arise from a contractual
or legal right. Intangible assets relating to customer lists and databases and brand trademarks, are being amortised over their
estimated useful lives. 64/65
ITE Group plc
Annual Report 2006
28 Transition to IFRS (continued)
Under UK GAAP , capitalised computer software is included within tangible fixed assets on the balance sheet as property , plant and
equipment. Under IAS 38 only computer software that is integral to a related item of hardware can be included as property , plant
and equipment. All other computer software is recorded as an intangible asset.
Income from associates
IAS 1 (Presentation of Financial Statements) requires the aggregated profit or loss of an associate to be disclosed as a single line
item within the income statement. Under UK GAAP , the Group separately presented its share of operating profit, interest, tax and
minority interest from associate undertakings.
Deferred and current taxes
IAS 12 (Income taxes) requires deferred tax to be provided on all temporary differences rather than just timing differences under
UK GAAP . IAS 12 also requires deferred tax to be provided in respect of the Group’ s employee benefits such as share option schemes. 
Holiday pay accrual
IAS 19 (Employee benefits) requires a liability to be recognised for the amount of accrued holiday pay of employees at the balance
sheet date in respect of any holiday amounts which they are still entitled to at that time.
Dividends
IAS 10 (Events after the Balance Sheet date) requires that dividends declared after the balance sheet date should not be
recognised as a liability at that balance sheet date as the liability does not represent a present obligation as defined by 
IAS 37 (Provisions, Contingent liabilities and Contingent assets).
There are no material adjustments to the cash flow statement. 66/67
ITE Group plc
Annual Report 2006
Independent auditors’ report
We have audited the individual company financial statements of ITE Group plc for the year ended 30 September 2006 which
comprise the balance sheet and the related notes 1 to 8. These individual company financial statements have been prepared
under the accounting policies set out therein.
The corporate governance statement and the directors’ remuneration report are included in the group annual report 
of ITE Group plc for the year ended 30 September 2006. We have reported separately on the group financial statements 
of ITE Group plc for the year ended 30 September 2006 and on the information in the directors’ remuneration report that 
is described as having been audited.
This report is made solely to the company’ s members, as a body , in accordance with section 235 of the Companies Act 1985. 
Our audit work has been undertaken so that we might state to the company’ s members those matters we are required to state 
to them in an auditors’ report and for no other purpose. T o the fullest extent permitted by law , we do not accept or assume
responsibility to anyone other than the company and the company’ s members as a body , for our audit work, for this report, 
or for the opinions we have formed.
Respective responsibilities of directors and auditors
The directors’ responsibilities for preparing the annual report and the individual company financial statements in accordance 
with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) are 
set out in the statement of directors’ responsibilities.
Our responsibility is to audit the individual company financial statements in accordance with relevant United Kingdom legal 
and regulatory requirements and International Standards on Auditing (UK and Ireland). 
We report to you our opinion as to whether the individual company financial statements give a true and fair view , in accordance
with the relevant financial reporting framework, and whether the individual company financial statements have been properly
prepared in accordance with the Companies Act 1985. We report to you whether in our opinion the information given in the
directors’ report is consistent with the individual company financial statements. We also report to you if the company has not kept
proper accounting records, if we have not received all the information and explanations we require for our audit, or if information
specified by law regarding directors’ remuneration and other transactions is not disclosed.
We read the directors’ report and the other information contained in the annual report for the above year as described in the
contents section and consider the implications for our report if we become aware of any apparent misstatements or material
inconsistencies with the individual company financial statements. 
Basis of audit opinion
We conducted our audit in accordance with International Standards on Auditing (UK and Ireland) issued by the Auditing Practices
Board. An audit includes examination, on a test basis, of evidence relevant to the amounts and disclosures in the individual
company financial statements. It also includes an assessment of the significant estimates and judgements made by the directors
in the preparation of the individual company financial statements, and of whether the accounting policies are appropriate to the
company’ s circumstances, consistently applied and adequately disclosed.
We planned and performed our audit so as to obtain all the information and explanations which we considered necessary in order
to provide us with sufficient evidence to give reasonable assurance that the individual company financial statements are free from
material misstatement, whether caused by fraud or other irregularity or error . In forming our opinion we also evaluated the
overall adequacy of the presentation of information in the individual company financial statements.
Opinion
In our opinion:
• the individual company financial statements give a true and fair view , in accordance with United Kingdom Generally 
Accepted Accounting Practice, of the state of the company’ s affairs as at 30 September 2006; 
• the individual company financial statements have been properly prepared in accordance with the Companies Act 1985;
• the information given in the directors’ report is consistent with the financial statements.
Deloitte & T ouche LLP
Chartered Accountants and Registered Auditors
London
4 December 2006 66/67
ITE Group plc
Annual Report 2006
Company balance sheet
30 September 2006
2005
2006 Restated
1
Notes £000 £000
Fixed assets
Investments in subsidiaries 4 1,000 1,000
Intangible assets 4 29 40
1,029 1,040
Current assets
Debtors due within one year 5 21,919 23,980
Cash at bank and in hand 4,582 6,616
26,501 30,596
Creditors: amounts falling due within one year 6 (1,644) (9,126)
Net current assets 24,857 21,470
T otal assets less current liabilities 25,886 22,510
Net assets 25,886 22,510
Capital and reserves
Called up share capital 7 2,609 2,599
Share premium account 8 698 38
Capital redemption reserve 8 291 291
Merger reserve 8 2,746 2,746
ESOT reserve 8 (3,016) (3,562)
Shares held in treasury 8 (1,142) –
Profit and loss account 8 23,700 20,398
Equity shareholders’ funds 25,886 22,510
Note:
1 The financial statements for the year ended 30 September 2005 have been restated in accordance with FRS 21
The accounts on pages 67 to 73 were approved by the Board of Directors and signed on its behalf by:
Ian T omkins Russell T aylor
Chief Executive Officer Finance Director
4 December 2006
The accompanying notes are an integral part of this balance sheet.  68/69
ITE Group plc
Annual Report 2006
Notes
Basis of accounting
The accounts have been prepared under the historical cost convention and in accordance with applicable United Kingdom law
and accounting standards and have been applied consistently , with the exception of the restatement of dividends under the
revised requirements of FRS 21.
Changes in accounting policies
In accordance with FRS 21 (Events after the Balance Sheet Date), the Company now recognises dividends in the period they are
declared. Dividends declared after the balance sheet date are no longer included in the accounts. Adopting FRS 21 has resulted 
in a prior year adjustment. The total effect of this has been to increase opening shareholders’ funds by £4.6 million, but there 
has been no effect on reported profit.
During the year the Company has also adopted FRS 23 (The effect of changes in foreign exchange rates), FRS 25 (Financial
instruments: disclosure and presentation), and FRS 26 (Financial instruments: recognition and measurement). This has had 
no effect on the financial statements.
Investments
Fixed asset investments are shown at cost less provision for any impairment.
Intangible assets
T rademarks are measured initially at purchase cost and have a definite useful life and are carried at cost less accumulated
amortisation. Amortisation is calculated using the straight line method to allocate the cost over their estimated useful life. 
The estimated useful lives are up to 20 years.
Provisions
Provisions for onerous contracts are recognised when the Company has a present legal obligation as a result of past events, 
it is probable that an outflow of resources will be required to settle the obligation and a reliable estimate can be made of the
amount of the obligation.
Financial Instruments
Financial assets and financial liabilities are recognised on the Company’ s balance sheet when the Company becomes a party 
to the contractual provisions of the instrument.
T rade debtors and creditors
T rade debtors and creditors are stated at their nominal value. T rade debtors are reduced by appropriate allowances for estimated
irrecoverable amounts.
Bank borrowings
Bank overdrafts are recorded at the proceeds received, net of direct issue costs. Finance charges are accounted for on an accrual
basis to profit or loss.
Hedging instruments
Cash flow hedges are carried at fair value in the balance sheet. Changes in the fair value of derivatives that are designated and
qualify as cash flow hedges are recognised directly in the hedging reserve and any ineffective portion is recognised in profit 
or loss.
Fair value hedges are carried at fair value in the balance sheet. Changes in the fair value of derivatives that are designated and
qualify as effective fair value hedges are recognised in the income statement, along with any changes in fair value of the hedged
item that is attributable to the hedged risk. Any ineffective portion is also recognised in the income statement.
Changes in the fair value of derivative financial instruments that do not qualify for hedge accounting are recognised in the income
statement as they arise.
Hedge accounting is discontinued when the hedging instrument expires or is sold, terminated, or exercised, or no longer qualifies for
hedge accounting. At that time, any cumulative gain or loss on the hedging instrument recognised in equity is retained in equity
until the forecasted transaction occurs. If a hedged transaction is no longer expected to occur , the net cumulative gain or loss
recognised in equity is transferred to profit or loss for the period. 68/69
ITE Group plc
Annual Report 2006
The Company’ s use of financial derivatives is governed by the Group’ s financial policies.
T axation
The tax expense represents the sum of tax currently payable and deferred tax.
The current tax is based on the taxable profit for the year using the tax rates and laws that have been enacted or substantially
enacted by the balance sheet date. T axable profit differs from net profit as reported in the income statement because it excludes
items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable 
or deductible.
Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts of assets and
liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit, and is accounted
for using the balance sheet liability method. Deferred tax liabilities are generally recognised for all taxable temporary differences
and deferred tax assets are recognised only to the extent that it is probable that taxable profits will be available against which
deductible temporary differences can be utilised. 
Such assets and liabilities are not recognised if the temporary difference arises from goodwill or from the initial recognition of
other assets and liabilities in a transaction that does not effect the tax profit or the accounting profit.
The carrying value of deferred tax assets is reviewed at each balance sheet date and reduced to the extent that it is no longer
probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.
Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is
realised. Deferred tax is charged or credited in the income statement, except where it relates to items charged or credited directly
to equity , in which case the deferred tax is also dealt with in equity .
Foreign currencies
T ransactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and
liabilities denominated in foreign currencies at the balance sheet date are retranslated at the rates of exchange prevailing at that
date. Non-monetary assets and liabilities are translated at the rate prevailing at the date the fair value was determined. Gains and
losses arising on retranslation of monetary assets are included in profit or loss for the period.
Employee Share Trust
The financial statements include the assets and liabilities of the Employee Share T rust (‘ESOT’). Shares in the Company held by 
the ESOT have been valued at cost and are held in equity . The costs of administration of the ESOT are written off to profit or loss
as incurred.
Where such shares are subsequently sold, any net consideration received is included in equity attributable to the Company’ s
equity holders.
1 Profit for the year
The profit before dividends for the year ended 30 September 2006 was £10.3 million (2005: £17.8 million). As permitted by
Section 230 of the Companies Act 1985, no separate profit and loss account is presented in respect of the Company .
The audit fee for the Company was £40,000 (2005: £38,000). 70/71
ITE Group plc
Annual Report 2006
Notes
continued
2 Staff costs
a) Number of employees
The average number of persons (including directors) employed by the company during the year was as follows:
Number Number
2006 2005
Directors 8 10
b) Employee costs
Their aggregate remuneration comprised:
2006 2005
£000 £000
Wages and salaries 1,285 1,274
Social security costs 164 163
Gross total 1,449 1,437
Highest paid director 700 660
3 Dividends
2005
2006 Restated
£000 £000
Amounts recognised as distributions to equity holders in the year:
Final dividend for the year ended 30 September 2005 of 1.85p per ordinary share 4,602 –
Interim dividend for the year ended 30 September 2006 of 1.0p (2005 – 0.9p) per ordinary share 2,535 2,544
7,137 2,544
Proposed final dividend for the year ended 30 September 2006 of 2.5p (2005 – 1.85p) per ordinary share 6,264 4,602
The proposed final dividend is subject to approval by shareholders at the Annual General Meeting and has not been included 
as a liability in these financial statements.
Under the terms of the trust deed dated 20 October 1998, the ITE Group Employees Share T rust, which holds 9,372,100 
(2005: 11,127,000) ordinary shares representing 4% of the Company’ s called-up ordinary share capital, has agreed to waive 
all dividends due to it.
4 Fixed asset investments
2006 2005
£000 £000
Investment in subsidiaries 1,000 1,000
Intangible assets 29 40
1,029 1,040 70/71
ITE Group plc
Annual Report 2006
4 Fixed asset investments (continued)
The Company has investments in the following subsidiary undertakings and associates which principally affected the results 
or net assets of the Group. T o avoid a statement of excessive length, details of investments which are not significant have 
been omitted. The principal activity of all the companies listed is the organisation of exhibitions and conferences, except for 
RAS Holdings Limited and RAS Publishing Limited which publish trade magazines.
Country of 
incorporation 
or principal Effective
business address Holding %
Subsidiary undertakings
International T rade and Exhibitions (JV) Limited England Ordinary shares 100
ITE Exhibitions & Conferences Limited England Ordinary shares 100
IEG International Limited
1
England Ordinary shares 100
Intermedia Exhibitions and Conferences Limited England Ordinary shares 100
IEG-Gima International Exhibition Group GmbH & Co KG Germany Ordinary shares 100
International T rade and Exhibitions (ITE) Worldwide B.V . Netherlands Ordinary shares 100
E Uluslararasi Fuar T antitim Hizmetleri A.S. T urkey Ordinary shares 100
Premier Expo Ukraine Ordinary shares 100
ITE LLC Russia Ordinary shares 100
ITE Expo LLC Russia Ordinary shares 100
OOO Primexpo Russia Ordinary shares 100
ITECA Kazakhstan Ordinary shares 100
Iteca Caspian LLC Azerbaijan Ordinary shares 100
ITE Uzbekistan Uzbekistan Ordinary shares 100
ITE Moda Limited England Ordinary shares 100
ITE Enterprises Limited
1
England Ordinary shares 100
RAS Holdings Limited England Ordinary shares 100
RAS Publishing Limited England Ordinary shares 100
ITE Moda Footwear Ltd England Ordinary shares 100
ITE Footwear Limited England Ordinary shares 75
ITE Exhibitions BV Netherlands Ordinary shares 100
Associates
Istanbul Fuarcilik AS T urkey Ordinary shares 50
Note:
1 Held directly by ITE Group plc 72/73
ITE Group plc
Annual Report 2006
Notes
continued
4 Fixed asset investments (continued)
Subsidiary undertakings
Shares Loans Total
£000 £000 £000
Cost
1 October 2005 10,181 23,574 33,755
30 September 2006 10,181 23,574 33,755
Provision for impairment
1 October 2005 9,181 23,574 32,755
30 September 2006 9,181 23,574 32,755
Net Book Value
30 September 2006 1,000 – 1,000
30 September 2005 1,000 – 1,000
Intangible assets
£000
Cost
1 October 2005 44
Additions 5
Disposals (17)
30 September 2006 32
Provision
1 October 2005 4
Disposals (3)
Charge in the year 2
30 September 2006 3
Net book value
30 September 2006 29
30 September 2005 40
5 Debtors due within one year
2006 2005
£000 £000
Amounts owed by Group undertakings 21,769 23,609
Venue advances and other loans – 229
Prepayments and accrued income 150 142
21,919 23,980
6 Trade and other creditors
2005
2006 Restated
£000 £000
Amounts owed to Group undertakings 1,506 8,951
Accruals and deferred income 138 175
1,644 9,126 72/73
ITE Group plc
Annual Report 2006
7 Called up share capital
2006 2005
£000 £000
Authorised
375,000,000 ordinary shares of 1 pence each (2005: 375,000,000) 3,750 3,750
Allotted, called up and fully-paid
260,905,023 ordinary shares of 1 pence each (2005: 259,891,829) 2,609 2,599
During the year the company allotted 983,000 (2005: 3,802,537) ordinary shares of 1 penny each pursuant to the exercise of
share options. 30,194 ordinary shares were issued in respect of Directors remuneration (2005: 44,864). The total consideration
for the shares issued was £670,000 (2005: £950,000).
8 Reserves and reconciliation of equity shareholders’ funds
Share Capital Profit 
Share premium Merger Redemption ESOT T reasury and loss 
capital account reserve reserve reserve shares account T otal
£000 £000 £000 £000 £000 £000 £000 £000
1 October 2005 2,599 38 2,746 291 (3,562) – 15,795 17,907
Prior year adjustment on 
adoption of FRS 21 – – – – – – 4,603 4,603
Restated 1 October 2005 2,599 38 2,746 291 (3,562) – 20,398 22,510
Exercise of options 10 625 – – – – – 635
Net profit for the year – – – – – – 10,335 10,335
Dividends paid – – – – – – (7,137) (7,137)
Gain on exercise of ESOT options – – – – 546 – 117 663
Shares issued for remuneration – 35 – – – – – 35
Capital reduction – – – – – – (13) (13)
Purchase of shares to be 
held in treasury – – – – – (1,142) – (1,142)
30 September 2006 2,609 698 2,746 291 (3,016) (1,142) 23,700 25,886 74/75
ITE Group plc
Annual Report 2006
Notice of Annual General Meeting
Notice is hereby given that the Annual General Meeting of the Company will be held at the offices of Olswang, 90 High Holborn,
London WC1V 6XX on 22 February 2007 at 12.00 noon for the following purposes: 
Ordinary Business
1. T o receive and adopt the Directors’ Report and Accounts and the Auditors’ report for the year ended 30 September 2006. 
2. T o re-appoint Ian T omkins as a Director of the Company .
3. T o re-appoint Edward Strachan as a Director of the Company .
4. T o re-appoint Sir Jeremy Hanley as a Director of the Company .
5. T o re-appoint Malcolm Wall as a Director of the Company .
6. T o declare a final dividend.
7. T o re-appoint Deloitte & T ouche LLP as auditors of the Company from the conclusion of the meeting until the conclusion 
of the next annual general meeting of the Company at which accounts are laid and to authorise the Directors to agree 
their remuneration. 
8. T o approve the Remuneration Report.
Special Business
T o consider and, if thought fit, to pass the following resolutions of which number 9 will be proposed as an Ordinary Resolution
and numbers 10 and 11 will be proposed as Special Resolutions: 
9. That the Directors be, and they are hereby , generally and unconditionally authorised (in substitution for all subsisting
authorities) for the purposes of section 80 of the Companies Act 1985 (the ‘Act’) to exercise all the powers of the Company 
to allot relevant securities (within the meaning of section 80(2) of the Act) up to an aggregate nominal amount of £866,430
provided that this authority shall expire fifteen months from the date of this resolution or , if earlier , at the conclusion of the
Company’ s next Annual General Meeting and provided that the Company may , before such expiry , make an offer or
agreement which would or might require relevant securities to be allotted after such expiry and the Directors may allot
relevant securities in pursuance of such offer or agreement as if the authority conferred hereby had not expired and provided
further that this authority shall be in substitution for and shall replace any existing authority pursuant to the said section 80 
to the extent not utilised at the date this resolution is passed. 
10 That subject to the passing of resolution 9 above, the Directors be, and they are hereby , empowered pursuant to section 95 
of the Act to allot equity securities (within the meaning of section 94 of the Act) of the Company for cash, either pursuant to
the authority conferred by resolution 9 above or by an allotment of equity securities such as is referred to in section 94(3A) 
of the Act as if sub-section 89(1) of the Act did not apply to any such allotment provided that this power shall be limited to 
the allotment:
(a) of equity securities in connection with an offer of such securities by way of rights or other pre-emptive offer to holders
of ordinary shares of 1 pence each in the capital of the Company (‘Ordinary Shares’) in proportion (as nearly as may be
practicable) to their respective holding of such Ordinary Shares but subject to such exclusions or other arrangements as
the Directors may deem necessary or desirable to deal with fractional entitlements or any legal or practical problems
arising under or as a result of the laws of any territory or the requirements of any regulatory body or any stock exchange 
in any territory or the issue and/or transfer and/or holding of any securities in uncertificated form; and 
(b) (otherwise than pursuant to paragraph (a) above) up to an aggregate nominal amount of £130,452; and shall expire 
at the conclusion of the next Annual General Meeting of the Company or fifteen months from the date of this resolution,
whichever is earlier , so that the Company may , before such expiry , make an offer or agreement which would or might
require equity securities to be allotted after such expiry and the Directors may allot equity securities in pursuance 
of such offer or agreement as if the power conferred hereby had not expired.  74/75
ITE Group plc
Annual Report 2006
11.That the Company be, and it is hereby , generally and unconditionally authorised for the purpose of section 166 of the Act to
make one or more market purchases (within the meaning of section 163(3) of the Act) of Ordinary Shares, provided that:
(a) the maximum aggregate number of Ordinary Shares hereby authorised to be purchased is 25,992,919;
(b) the minimum price which may be paid for an Ordinary Share is 1 pence (exclusive of expenses); 
(c) the maximum price (exclusive of expenses) which may be paid for an Ordinary Share shall not be more than an amount
equal to 105 per cent of the average of the closing middle market price for an Ordinary Share as derived from the Official
List of the UK Listing Authority for the five business days immediately preceding the date on which the Ordinary Share is
contracted to be purchased; 
(d) unless previously varied, revoked or renewed, the authority hereby conferred shall expire at the conclusion of the next
Annual General Meeting of the Company or 15 months from the date of the Annual General Meeting at which this
resolution is passed, whichever is the earlier; and 
(e) the Company may make a contract or contracts to purchase Ordinary Shares which would or might be executed wholly
or partly after the expiry of the authority hereby conferred and may make a purchase of Ordinary Shares in pursuance of
any such contract or contracts. 
By order of the Board 
Russell T aylor 
Company Secretary 
4 December 2006
Registered Office: 
105 Salusbury Road, London NW6 6RG
Notes:
1. A member entitled to attend and vote at the meeting is entitled to appoint a proxy or proxies to attend and, on a poll, vote instead of them. A proxy need not be a member of the Group.
2. A form of proxy is provided with this notice and instructions for use are shown on the form. T o be effective, the form duly signed must be deposited at or posted to the offices of the
Company’ s registrar , Capita Registrars,The Registry , 34 Beckenham Road, Beckenham, Kent BR3 4TU not less than 48 hours before the time appointed for holding the meeting. Deposit 
of the form of proxy shall not preclude a member from attending and voting in person at the meeting or any adjournment of the meeting.
3. The Company specifies pursuant to Regulation 41 of the Uncertificated Securities Regulations 2001 that only those members registered in the register of members of the Company as at
6.00 p.m. on 20 February 2007 or , in the event that this meeting is adjourned, in the register of members 48 hours before the time of any adjournment meeting, shall be entitled to attend 
or vote at the meeting in respect of the number of shares registered in their respective names at that time. Changes to entries on the register after 6.00 p.m. on 20 February 2007 or , in the
event that this meeting is adjourned, in the register of members 48 hours before the time of the adjourned meeting, will be disregarded in determining the rights of any person to attend or
vote at the meeting.
4. CREST members who wish to appoint a proxy or proxies through the CREST electronic proxy appointment service may do so for the Annual General Meeting and any adjournment(s) of the
meeting by using the procedures described in the CREST Manual. CREST personal members or other CREST sponsored members, and those CREST members who have appointed a voting
service provider(s), should refer to their CREST sponsor or voting service provider(s), who will be able to take the appropriate action on their behalf.
In order for a proxy appointment or instruction made using the CREST service to be valid, the appropriate CREST message (a ‘CREST Proxy Instruction’) must be properly authenticated in
accordance with CRESTCo’ s specifications and must contain the information required for such instructions, as described in the CREST Manual. The message, regardless of whether it
constitutes the appointment of a proxy or an amendment to the instruction given to a previously appointed proxy must, in order to be valid, be transmitted so as to be received by the
Company’ s agent (ID RA10) by the latest time(s) for receipt of proxy appointments specified in the notice of meeting. For this purpose, the time of receipt will be taken to be the time (as
determined by the timestamp applied to the message by the CREST Applications Host) from which the Company’ s agent is able to retrieve the message by enquiry to CREST in the manner
prescribed by CREST . After this time any change of instructions to proxies appointed through CREST should be communicated to the appointee through other means.
CREST members and, where applicable, their CREST sponsors or voting service provider(s) should note that CRESTCo does not make available special procedures in CREST for any particular
messages. Normal system timings and limitations will therefore apply in relation to the input of CREST Proxy Instructions. It is the responsibility of the CREST member concerned to take 
(or , if the CREST member is a CREST personal member or sponsored member or has appointed a voting service provider(s), to procure that his CREST sponsor or voting service provider(s)
take(s)) such action as shall be necessary to ensure that a message is transmitted by means of the CREST system by any particular time. In this connection, CREST members and, where
applicable, their CREST sponsors or voting service provider(s) are referred, in particular , to those sections of the CREST Manual concerning practical limitations of the CREST system 
and timings.
The Company may treat as invalid a CREST Proxy Instruction in the circumstances set out in Regulation 35(5)(a) of the Uncertificated Securities Regulations 2001.
5. Although only CREST members can use the electronic proxy system at this stage, the Company hopes to adopt a more general regime to allow for electronic communication with
shareholders and is awaiting the implementation of the new electronic communications provisions of the Companies Act 2006 so as to assess the best way of implementing such a regime. 76/77
ITE Group plc
Annual Report 2006
Directors, advisers and other information
Directors Iain Paterson, non-executive Chairman
Ian T omkins, Chief Executive Officer
The Rt Hon Sir Jeremy Hanley , KCMG, non-executive Director
Michael Hartley , non-executive Director
Edward Strachan, executive Director
Russell T aylor , Finance Director 
Malcolm Wall, non-executive Director
Company Secretary Russell T aylor
Registered office ITE Group plc
105 Salusbury Road
London, NW6 6RG
Registration number 1927339
Auditors Deloitte & T ouche LLP
London
Solicitors Olswang
90 High Holborn
London, WC1V 6XX
Principal bankers Barclays Bank plc
27 Soho Square
London, W1A 4WA
Company brokers Numis Securities Limited
Cheapside House
138 Cheapside
London, EC2V 6LH
Registrars Capita Registrars
Northern House
Woodsome Park
Fenay Bridge
Huddersfield
West Y orkshire, HD8 OLA
Public relations Financial Dynamics
Holborn Gate
26 Southampton Buildings
London, WC2A 1PB
Website www.ite-exhibitions.com
Final dividend 2006
Ex date 31 January 2007
Record date 2 February 2007 
Annual General Meeting 22 February 2007
Payment date 2 March 2007
Interim dividend 2007
Record date June 2007
Payment date July 2007
Designed and produced by                                 www .collegedesign.com
Financial calendar The ITE Group
1 ITE LLC Moscow – Moscow , Russia
2 Primexpo – St Petersburg, Russia
3 ITECA – Almaty , Kazakhstan
4 ITECA – Astana, Kazakhstan
5 ITECA – Atyrau, Kazakhstan
6 ITECA Caspian – Baku, Azerbaijan
7 ITECA Kavkasia – Tbilisi, Georgia
8 ITECA – Dushanbe, T ajikistan
9 ITE Uzbekistan –T ashkent, Uzbekistan
10 ITECA – Bishkek, Kyrgyzstan
11 ITE West China – Urumqi, China
12 ITECA Pars – T ehran, Iran
13 Premier Expo – Kyiv , Ukraine
14 EUF & ITF – Istanbul, T urkey
15 ITE Group plc – London, England
16 ITE Moda Ltd – Huddersfield, England
17 GiMA – Hamburg, Germany
18 ITE Worldwide BV – Utrecht, Netherlands
19 ITE Algérie – Algiers, Algeria
20 ITE (Representative office) – Beijing, China ITE Group plc
International headquarters
105 Salusbury Road
London NW6 6RG
T el: +44 (0)20 7596 5000
Fax: +44 (0)20 7596 5111
E-mail: enquiry@ite-exhibitions.com
www.ite-exhibitions.com