ANNUAL REPORT AND
ACCOUNTS 2005 FIRST ARTIST
ANNUAL REPORT 2005
We are First Artist Corporation, one of the world’s leading
representation and event management groups. Our business
provides four distinct but wholly complementary services: 
sports player representation, entertainment and celebrity
representation, wealth management and event management. 
Our business has enjoyed a successful 2005 through not only 
the continuing businesses, but also a successful acquisition
programme which has significantly broadened our income 
base, extending our expertise to new areas. We will continue to
strengthen our position in the UK and Europe by leveraging our
uniquely full-service, integrated offer, and are committed to
unlocking further opportunity in America and the Middle East. 
CONTENTS
01 FINANCIAL HIGHLIGHTS
02 CHAIRMAN’S STATEMENT
04 CHIEF EXECUTIVE’S 
REVIEW
06 FIRST ARTIST MANAGEMENT
10 FIRST ARTIST
ENTERTAINMENT
14 THE FINISHING TOUCH
(CORPORATE EVENTS) 
18 ABG FINANCIAL 
MANAGEMENT
22 OPERATING AND FINANCIAL
REVIEW
24 BOARD MEMBERS
25 CORPORATE GOVERNANCE
STATEMENT
26 REMUNERATION REPORT
27 DIRECTORS’ REPORT
29 DIRECTORS’ 
RESPONSIBILITIES
30 AUDITORS’ REPORT
32 CONSOLIDATED PROFIT 
AND LOSS ACCOUNT
33 CONSOLIDATED STATEMENT 
OF TOTAL RECOGNISED GAINS
AND LOSSES
34 CONSOLIDATED BALANCE SHEET
35 COMPANY BALANCE SHEET
36 CONSOLIDATED CASH FLOW
STATEMENT
37 ACCOUNTING POLICIES
38 NOTES TO THE FINANCIAL
STATEMENTS
66 NOTICE OF AGM
68 DIRECTORS AND ADVISERS
ABG FINANCIAL
MANAGEMENT
Our specialist Financial
Management Services
division; specialising in
wealth management for a
list of high-net worth clients
with backgrounds in music,
entertainment, media,
sports and other industries.
THE FINISHING
TOUCH 
Our Events Management
division; organising in
excess of 400 events a year,
including conferences,
Christmas and Summer
parties and other specialist
events for the Public and
Corporate Sectors.
FIRST ARTIST
ENTERTAINMENT
Our Celebrity and Media
division; representing
various well-known actors,
actresses, TV presenters
and other media
personalities for TV, 
film and other media
related events.
FIRST ARTIST
MANAGEMENT
Our Sports Management
division; representing
players and managers in
the English Premiership,
Italy’s Serie A and other
European Football leagues
as well as other sporting
professionals.
FIRST ARTIST CORPORATION
TURNOVER
£4,171,000
OPERA TING PROFIT
£1,261,000
TURNOVER
£241,000
OPERA TING PROFIT
£91,000
TURNOVER
£857,000
OPERA TING PROFIT
£76,000
TURNOVER
£592,000
OPERA TING PROFIT
£214,000
MISSION STATEMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005 FINANCIAL HIGHLIGHTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
01
FINANCIAL HIGHLIGHTS
5,861 1,054 1.25 3,306
(£000) (£000) (PENCE) (£000)
510
(£000)
CONSOLIDATED NET
ASSETS UP 207%
OPERATING PROFIT* 
UP £1,018,000
EPS BEFORE TAXATION,
AMORTISATION OF GOODWILL &
EXCEPTIONAL COSTS UP 0.95P
TURNOVER 
UP 47%
RETAINED PROFIT  
UP £836,000
* Operating profit is stated before exceptional administrative expenses and goodwill impairment CHAIRMAN’S STATEMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
02
It gives me great pleasure to introduce our results 
and operating review for 2005, a year which has had a
transforming effect on First Artist Corporation’s business.
The past 12 months have seen us reap the benefits of a
successful repositioning of the Group to function as a truly
integrated service for all aspects of sports and celebrity
representation and event management. The figures for all
four of our divisions reflect the mutual benefits that they
are gaining from this strategy.  
CHAIRMAN’S 
STATEMENT
Tim Chadwick (left) and Jarvis Astaire (right) CHAIRMAN’S STATEMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
03
In summary, I recommend our results to you as
evidence that our year of significant change and
growth has created a company with a broader
income base, strongly positioned for expansion, and
with a uniquely integrated, exciting offer in the
marketplace.We expect all four divisions to continue
their success in 2006, whilst we look to expand our
successful model to new markets overseas.
I would like to thank all those involved in the
restructuring of this Group and thank the Board for
its commitment in turning around a group in what
remains a difficult environment.
Jarvis Astaire, OBE
Chairman
27 January 2006 
I wish to thank my predecessor as Chairman,
Tim Chadwick, whom I look forward to working
with in his new capacity as Vice-Chairman, for his
excellent work on the ABG Financial Management
Limited (“ABGFM”) and The Finishing T ouch
(Corporate Events) Limited acquisitions.
Both these acquisitions, together with the similarly
acquired T eam Sports Management have now been
successfully integrated into the Group and, with their
highly respected management teams continuing on
board, are already delivering significant revenue.
BROADER INCOME: FULLER SERVICE
Our broad-based business, organised across four
divisions, gives us a strong position for growth
through international expansion, and the cross 
referral of income and new business opportunities.
Whilst building on the reputation that First Artist
Management enjoys as one of the world’s leading
football management groups, we have successfully
reduced the dependence of the Group on this one
sport by two-thirds whilst broadening both our
income base and the range of services that we 
offer to clients.
There are considerable opportunities for cross referral
of business and substantial new business opportunities
within our new structure.The wealth management
division created through the ABGFM acquisition
allows us to form deeper and more valuable
relationships with the players and media figures
served through First Artist Management and 
First Artist Entertainment; the event management
business of Finishing T ouch gives us exposure to
Public Sector contracts and the opportunity to
leverage our position as a FIFA and UEFA licensee,
as well as a further outlet for our growing roster of
entertainment clients.
CORPORATE GOVERNANCE
We believe in good corporate governance, and a 
clear division of roles and responsibilities on the
Group Board. Due to the Group now having two
Non-Executive directors, our finance director,
Richard Hughes, is now free to step down from 
our committees.Tim Chadwick will continue as 
Non-Executive Vice-Chairman of the First Artist
Corporation, focusing on relations with the financial
and investor community.
OUR RESPONSIBILITIES AS A BUSINESS
Integrity and credibility are vital commodities in our
business.We pride ourselves on the transparency of
our relationships with players, clubs and media
personalities, and First Artist Management has been 
a prime mover in the creation of the Football Agents
Federation, which establishes guidelines for the
conduct of agents. We make efforts in this area
because of our commitment to sport.
FIRST ARTIST
MANAGEMENT
SPORTS REPRESENTATION
FIRST ARTIST
ENTERTAINMENT
PERSONALITY MANAGEMENT 
AND ENTERTAINMENT
FINISHING TOUCH
EVENT MANAGEMENT 
AND PROMOTION
ABG FINANCIAL 
MANAGEMENT
WEALTH AND FINANCIAL 
MANAGEMENT
FIRST ARTIST
CORORATION PLC
First Artist Corporation plc Group Structure CHIEF EXECUTIVE’S REVIEW
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
04
CHIEF EXECUTIVE’S  
REVIEW
In the last year we have completed
the reshaping of First Artist
Corporation’s business following
the turmoil created by the 2002
collapses of ITV Digital in the UK
and Bertelsmann in Europe,
coupled with the EU reforms of
football player contracts and the
advent of ‘trading windows’. 
At that time our business was almost entirely focused
on football player representation, and this left us
exposed to the disappearance of vast amounts of
television money from the game.
We resisted the temptation to take the Company
back into private ownership because we felt a strong
moral obligation to our shareholders.We also firmly
believed in and started to implement a strategy for
leveraging our global reputation in football to create
a broader personality, event and wealth management
company with powerful synergies and a stable
income base.
Fast-forward to year-end 2005 and the value of 
this strategy has been clearly demonstrated. Our
acquisition programme has diluted our dependency
on football by approximately two-thirds and created a
profitable, omni-functional plc with a strong basis for
growth. Our four divisions complement one another
perfectly: the financial management business is a
second heartbeat to our businesses of sports and
entertainment representation, allowing us to offer
valuable new services to our clients; event
management provides a second income line with
good synergies to our traditional business and
exciting opportunities which will benefit from our
previous experience as one of the UK’s leading event
promoters during the nineties.
Each division benefits from a strong management
team, with the founders of our wealth management
business,ABG Financial Management, and our 
event management business,The Finishing T ouch,
remaining in full-time management roles.The success
of this integration shows in our results across the
Group, and I would like to thank all employees for
the tremendously positive way in which they have
dealt with the changes of the last few years.
2005 PERFORMANCE AND OUTLOOK
Our traditional business of player representation has
enjoyed its most successful year for several years, with
First Artist Management almost trebling its operating
profit to £1.26 million although the market
continues to be difficult and unpredictable.The
successful integration of T eam Sports Management
has added stability to our London operation and
increased our already wealthy bank of contacts and
experience through the involvement of Mel Stein,
whose contribution has proven invaluable. Our Italian
player representation business, PromoSport has reaped
the benefits of its own recent restructuring and our
developing affiliations in Germany and Spain are
further increasing our operational reach in Europe.
First Artist Entertainment has developed from a
standing start to a six-figure business in two years 
of strong organic growth and I must pay credit to
Corrinne Goodall who heads this division. It has
built on the increasing overlap between sports,
celebrity and light entertainment to develop a client
roster including Andy Gray, Martin T yler, Dennis
Taylor and Suzanne Shaw.The successful
development by Matthew Fisher of the speaker
agency within this division has provided further
opportunities for our growing portfolio of talent,
which complements well with The Finishing T ouch.
ABG Financial Management has delivered an
operating profit of £214,000 since its acquisition by
the Group, demonstrating the vitality of the business
whilst broadening the services available to clients 
of First Artist Management and First Artist
Entertainment.The changes to pension legislation
that will be introduced on 6 April 2006,‘A Day’,
have boosted the value of high-quality investment
advice and should continue to add to the appeal 
of the wealth management service going forward.
Jon Smith
Chief Executive
Officer CHIEF EXECUTIVE’S REVIEW
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
05
There is also strong potential for expansion alongside 
First Artist Management and PromoSport in Europe,
where the financial advice industry is less developed
and UK-based investments are highly valued.
The Finishing T ouch demonstrated the potential of
event management with a £76,000 profit since its
acquisition by the Group. Increased margins over
Christmas demonstrated rising demand following
several years of cutbacks in events budgets. Long-
term contracts with Accenture and the Public Sector’s
education training programme have provided a stable
income stream for the business, and there are
opportunities to gain further Public Sector 
business in 2006.
ONGOING STRATEGY
Our Group continues to be second half focused
although the recent acquisitions will reduce this
emphasis. Our acquisition programme will advance
over the next 12 months as we continue to secure
opportunities in all four of our strategic sectors,
where we can introduce genuinely complementary
skills to our existing portfolio, further broaden 
the business base of the group and reduce 
historical volatility.
Further developing our entertainment capability is a
particular priority.This is an area that offers significant
crossover to our player management business, as the
organic growth of First Artist Entertainment over the
last two years shows.This is a business we should be
in and know well, with both Phil Smith and myself
having successful roots in this industry sector. It will
definitely be targeted in the ongoing acquisition
programme.The integration of ABG Financial
Management, with its extensive list of music, media
and entertainment clients, should greatly accelerate
the development process.
Finally, I would like to extend my personal thanks to
my fellow Board members for their determination
shown in turning First Artist into a vibrant and
exciting sports and entertainment group.T o Phil
Smith and Vincenzo Morabito for producing
remarkable figures in a difficult market – “probably
the best Agents in the World” and to our finance
director, Richard Hughes, whose skill in the
acquisition market, coupled with his strong financial
management has been so vital in the turnaround 
of the Group.
Jon Smith
Chief Executive Officer 
27 January 2006
Genuine integration has been the secret of our
success in 2005 and it will continue to underpin our
business going forward. Moving The Finishing T ouch
to First Artist’s freehold Wembley offices in early 2006
will give us the opportunity to exploit the synergies
between events and our entertainment representation
business, as well as the potential for leveraging our
status as a FIFA and UEFA licensee, and the matches
and tours that this allows us to organise.The Group’s
close proximity to Wembley Stadium we believe will
also open opportunities for development in the
coming years. It is also worth noting the substantial
capital appreciation of our freehold property as its
neighbour nears completion.
I am equally delighted to welcome our new 
Non-Executive Chairman, Jarvis Astaire, OBE, who
has extensive experience and stature within the
industry and with whom I have previously worked
closely, having successfully staged NFL, NHL and
NBA UK events in the 1980s and 90s. I am just as
delighted that his predecessor,Tim Chadwick, will 
be continuing his excellent work with the financial
and investor community as Non-Executive 
Vice-Chairman.
GLOBAL EXPANSION
Jarvis’ arrival signals a new phase in the development
of First Artist Corporation, as we look to export our
successful, full-service model to new markets. Our
key challenge going forward is to maintain our
pivotal position in the global football market and to
manage the issues that will face that industry in the
next few years. Jarvis will help us to develop our
profile on a global basis, as we aim to replicate our
successes in the UK, Europe, US and Middle East.
Our increasing global profile will also increase our
potential to offer representation in other sports. 06
FIRST ARTIST MANAGEMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
IN SPORT
“THE SUCCESS OF THE PREMIERSHIP
AND SERIE A HAS REINFORCED FIRST
ARTIST MANAGEMENT’S STATUS
WITHIN THE GLOBAL FOOTBALL
COMMUNITY, PROVIDING A NUMBER
OF OPPORTUNITIES FOR EXPANDING
THE BUSINESS TO NEW MARKETS.”
1.Alan Curbishley | 2.Andy O’Brien | 3. Christian Abbiati | 4. Claudio Ranieri
1. 07
FIRST ARTIST MANAGEMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
First Artist Management has 
been one of the leading player
representative agencies in the UK
since 1992. With offices in London,
Milan, Washington DC and Qatar 
it is today recognised as one of 
the world’s leading football
management groups and is a
respected voice within the industry.
2.
3.
4. FIRST ARTIST MANAGEMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
08
INTERNATIONAL SCOPE OF 
THE BUSINESS
The Company’s roster of UK clients includes
approximately 200 players, a large number of whom
play in the Premiership for clubs such as Chelsea,
Arsenal, Newcastle,T ottenham, Blackburn,Aston
Villa, Portsmouth and Middlesbrough. First Artist
Management is also the representative of certain
Premiership clubs and, in addition to player
representation, holds licences from FIFA and UEFA
to organise football matches, tours and other events.
The successful acquisition and integration of     T eam
Sports Management in 2005 has greatly strengthened
the business in the UK.
First Artist Management’s European operation, run
through its wholly-owned, Milan-based subsidiary,
PromoSport, led by Claudio Vigorelli, numbers 
some 150 players; the majority of whom are based 
in Italy with others in Spain, Germany, France and
Eastern Europe.
Through its offices in Washington DC and Qatar,
First Artist Management represents a further 
20 players around the globe.
SERVICE AND APPROACH
First Artist Management’s portfolio of services
includes transfer negotiations and contract extensions
on behalf of players and clubs.Through its sister
company,ABG Financial Management, it also offers
players additional advice on how to manage their
money in the most efficient manner and exploit their
commercial value to the fullest appropriate extent.
First Artist Entertainment provides certain players
with a route to exploit their commercial value after
their playing days come to an end.
The Company’s philosophy is based on quality. First
Artist Management keeps its client roster as select as
possible to ensure that it delivers a 24/7 complete
management service and that it always maintains the
highest standards of personal advice.A strictly quality-
driven approach is also taken to commercial
opportunities. Players’ commercial value ultimately
rests on their performance on the field, and it is vital
to ensure that commercial activities are managed and
restricted to allow time for rest and recuperation.
First Artist Management never exploits its players
beyond their best interests.
A SPECIALIST IN 
SPORT
“THE COMPANY’S ROSTER OF UK
CLIENTS INCLUDES APPROXIMATELY
200 PLAYERS, A LARGE NUMBER OF
WHOM PLAY IN THE PREMIERSHIP
FOR CLUBS SUCH AS CHELSEA,
ARSENAL, NEWCASTLE,
TOTTENHAM, BLACKBURN, 
ASTON VILLA, PORTSMOUTH 
AND MIDDLESBROUGH.”
1. Darren Huckerby | 2. Lee Hendrie | 3. Paul Dickov | 4. Kevin Phillips | 5. Mikael Forssell
1. 3.
2. 4. FIRST ARTIST MANAGEMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
09
OPPORTUNITIES
The success of the Premiership and Serie A has
reinforced First Artist Management’s status within the
global football community, providing a number of
opportunities for expanding the business to new
markets.The Italian subsidiary, PromoSport has had
an exceptional year that has extended its influence
globally beyond its Italian borders. First Artist
Management’s trading relationship with Fairsport 
in Germany has further extended its presence in
Europe, with an exciting, full-service offer.
In its European markets, First Artist Management’s
ability to offer high-quality wealth management
advice is a unique point of difference that is
particularly appealing given the popularity of
London-based investments and the less developed
nature of financial advice in Italy and Spain.
First Artist Management’s experience and
international expertise means that it is regularly
approached to handle the issues surrounding the
arrival of foreign players in the UK, where all parties
require an early judgement on the likelihood of a
successful deal, and experience is therefore essential.
Organising transfers such as Jared Borgetti’s recent
move to Bolton from Mexico, Jesper Gronkjaer’s
move from the UK to Stuttgart and Joseph-Desire
Job’s move from the UK to Al Ittihad, Saudi Arabia,
has further raised the profile of the business in the
football community globally.
OPERATING PROFIT 2005
£1,261,000
OPERATING PROFIT 2004
£430,000
OPERATING (LOSS) 2003
(£2,017,000)
TURNOVER 2003-05
2003
Period ended 31/10/03
0 500 1000 1500 2000 2500
UK
EUROPE
REST OF 
THE WORLD
SNOOKER
2,116
1,845
45
46
£‘000s
2004
Year ended 31/10/04
0 500 1000 1500 2000 2500
UK
EUROPE
REST OF 
THE WORLD
SNOOKER
1,563
2,066
34
41
£‘000s
0 500 1000 1500 2000 2500
UK
EUROPE
REST OF 
THE WORLD
SNOOKER
2005
Year ended 31/10/05
2,423
1,738
10
N/A
£‘000s
REPRESENTED PLAYERS/
MANAGERS INCLUDE:
MIKAEL FORSSELL
ALEXSANDER HLEB
MOHAMED KALLON
TORE ANDRE FLO
PAUL DICKOV
JESPER GRONKJAER
LEE HENDRIE
DIOMANSY KAMARA
JARED BORGETTI
CHRISTIAN ABBIATI
WILLY SAGNOL
JONATHAN GREENING
DEXTER BLACKSTOCK
CRAIG BEATTIE
JUNICHI INAMOTO
PHILLIPPE CHRISTANVAL
SHAUN MALONEY
ANDY O'BRIEN
JONATHAN ZEBINA
KEVIN PHILLIPS
NIGEL QUASHIE
GONZALO SORONDO
DARREN HUCKERBY
CLAUDIO RANIERI
HARRY REDKNAPP
MARK McGHEE
ALAN CURBISHLEY
5. 10
FIRST ARTIST ENTERTAINMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
ENTERT AINMENT
“THE TEAM AT FIRST
ARTIST GIVE NOTHING
OTHER THAN 100%, NOW
THAT'S WHAT I WANT
FROM AN AGENT.”
MIKE MCCLEAN
ACTOR, PRESENTER
1. Dennis Taylor | 2.Andy T ownsend | 3.Andy Gray
1. 11
FIRST ARTIST ENTERTAINMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
In November 2005, the celebrity and media
operation of the Group was launched as a
separate division called First Artist
Entertainment. The business will build on three
years of organic growth in direct response to the
natural progression of First Artist sports clients
through managerial and media roles. As a result,
First Artist Entertainment now has the media
contacts and personal management expertise to
guide the careers of celebrities from a wide range
of sport, music and other backgrounds.
CLIENTS INCLUDES:
SUZANNE SHAW
ANDY GRAY
MARTIN TYLER
RUUD GULLIT
BARRY COWAN
DENNIS TAYLOR
ANDY TOWNSEND
ALAN CURBISHLEY
RON ATKINSON
2. 3. FIRST ARTIST ENTERTAINMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
12
SCOPE OF THE BUSINESS
First Artist Entertainment, headed by Corrinne
Goodall, provides a full people management service,
honed from its football management experience,
offering legal advice, public relations expertise and
media skills training in addition to experience in
contract negotiation and maximising commercial
value.Through ABG Financial Management, First
Artist Entertainment now also provides a fully
rounded wealth management service.
First Artist Entertainment negotiates both major
broadcast contracts and additional commercial deals
for its clients.The Company deals with both UK and
international media groups, securing commentary
work on channels such as StarTV and ESPN as well
as BSkyB. First Artist Entertainment’s specialist
corporate division provides an additional outlet for
clients through its rapidly expanding speaker bureau.
First Artist Entertainment’s client list includes
Suzanne Shaw, for whom the Company secured
several theatre roles, commercial deals and media
opportunities in 2005;Andy Gray, whose role as a
Sky pundit has been successfully extended to deals
with Electronic Arts,The Times and several others;
Martin T yler, for whom First Artist secured a role 
in the 2005 Hollywood film, Goal!; as well as 
Ruud Gullit, Dennis T aylor, Andy T ownsend,
Alan Curbishley and Ron Atkinson. First Artist
Entertainment has worked with Suzanne Dando,
Richard Orford and Simon Thomas on hosting
NatWest and 20/20 Cricket; the corporate division
has arranged speaker events involving Derren Brown,
Ricky T omlinson, Lenny Henry , Dame Stella
Rimington and many others.
SERVICE AND DELIVERY
First Artist Entertainment prides itself on the
dedicated, exclusive nature of its service and has been
careful to balance growth with the requirement to
avoid conflicts of interest.The Company ensures that
its client list features complementary styles and
opportunities.
The Company believes in talent development rather
than simple commercial exploitation, organising
relevant media training for former sports personalities
such as Ruud Gullit and tennis commentator 
Barry Cowan. First Artist Entertainment has 
a proven track record for introducing media 
figures to new audiences.
A DISTINGUISHED LEVEL
OF ENTERTAINMENT
“PERSONAL
MANAGEMENT 
IS VERY DIFFICULT TO 
FIND – ESPECIALLY
MANAGEMENT WITH 
24/7 AVAILABILITY 
WHICH FIRST ARTIST
SUPPLY.”
“THEY ARE PROACTIVE 
AND REACTIVE, WHICH 
IS EXACTLY WHAT AN 
ARTIST NEEDS IN THE
ENTERTAINMENT 
INDUSTRY AND ARE 
GREAT AT CAREER
STRUCTURING AND
KNOWING WHAT IS 
GOOD FOR YOU.”
SUZANNE SHAW
ACTRESS, PRESENTER
1. Ruud Gullit | 2.T essa Sanderson | 3. Suzanne Shaw
1.
0 20406080 100
2005
2004
2003
OPERATING PROFIT
Year ended 31/10/05
£91,000
£89,000
£77,000
£‘000s FIRST ARTIST ENTERTAINMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
13
OPPORTUNITIES
The 2006 World Cup offers substantial commercial
opportunities for First Artist Entertainment clients,
and a number of sponsorship deals are already being
negotiated. First Artist Corporation’s commitment to
expanding and developing the business should
introduce more opportunities and new skills in
sponsorship marketing during 2006.
There are strong synergies to be exploited between
First Artist Entertainment’s corporate division and the
growing event management business of The Finishing
T ouch, with obvious opportunities to provide
speakers for Finishing T ouch events.
In addition, the extensive music and entertainment
contacts of ABG Financial Management will provide
a strong basis for cross-referral and continued 
organic growth.
2. 3. 14
THE FINISHING TOUCH (CORPORATE EVENTS)
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
EVENTS
The Finishing Touch, led by 
Mel Atkins, is First Artist
Corporation’s event
management business;
established in 1989 and
acquired in September 2005, 
it is one of the most established
and most respected companies
in its field. The Finishing Touch
manages in excess of 400
events per year, including
conferences, Christmas and
summer parties, family-fun
days and corporate team
building events in addition to
operating long-term contracts
within the Public Sector . 
CLIENTS INCLUDES:
ACCENTURE
MARKS & SPENCER 
ERNST & YOUNG 
HARRODS
ELECTRONIC ARTS
COCA-COLA CORPORATION
GRANT THORNTON
RELIANCE CARE
1. Buddha Themed Evening Event | 2. Masked Ball Dinner | 3. EA Event
1. 15
THE FINISHING TOUCH (CORPORATE EVENTS)
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
2.
3. THE FINISHING TOUCH (CORPORATE EVENTS)
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
16
SCOPE OF THE BUSINESS
Corporate events currently account for approximately
65% of The Finishing T ouch’s core business.The
Company’s long-term Accenture contract represents
approximately 20% of this corporate business and
resulted in some 35 events in 2005, showing
increased activity on the account.The Christmas
events market makes a substantial contribution to 
the corporate business, and margins in this area have
increased dramatically over the past 12-month period
as demand for high-end production recovers
following years of budget cutbacks. Besides
Accenture,The Finishing T ouch’s client list includes
Marks & Spencer, Ernst & Y oung, Harrods and
Electronic Arts.
Three years ago,The Finishing T ouch won a contract
to handle training events for the Education Sector.
This contract involves some 250 events per year 
at venues around the country and represents
approximately 35% of The Finishing T ouch’s business.
It has also backed the creation of a national network
of event management specialists for The Finishing
T ouch and led to the award of several other Public
Sector contracts to the Company.The credibility 
that comes from long-term, large scale Public Sector
work is immensely valuable to The Finishing T ouch
going forward.
AN INTERESTING 
FINISHING TOUCH
“THE WHOLE PACKAGE
AND SERVICE WE
RECEIVED FROM
FINISHING TOUCH 
WAS FAULTLESS.”
WILLIAM ROSS
ACCENTURE
1. Famous Celebrities Night | 2. Human Table Football Event | 3. Don Hanson Party
1. THE FINISHING TOUCH (CORPORATE EVENTS)
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
17
SERVICE AND DELIVERY
The Finishing T ouch’s core corporate and Public
Sector businesses combine low overheads with a
commitment to quality in delivery.The Company
prides itself on its relationships with clients, staff and
suppliers.All involved in event management deliver
work under The Finishing T ouch’s brand and direct
management, ensuring high-levels of service.The
Company has a reputation for delivering the most
effective solutions for the budgets available.
The structure of the business ensures effective risk
management.The supply and maintenance of lighting
and other equipment is outsourced, ensuring low
overheads; event management fees are paid upfront,
ensuring minimum exposure for the business.
OPPORTUNITIES
First Artist Corporation’s status as a FIFA and UEFA
licensee provides significant opportunities through
the management of international matches and
tournaments.The football and entertainment
industry’s potential as a market for private events 
is also substantial.
The Company’s core business remains strong.The
Accenture contract is growing, and although the
initial three-year NRT contract is due to complete in
September 2006,The Finishing T ouch’s experience as
a long-term Public Sector supplier stands it in good
stead to secure additional work in the future.The
Company has moved to manage the risks represented
by online event management booking by investing in
search engine marketing that ensures the Company’s
prominence on the internet.
OPERATING PROFIT 2005*
£76,000
OPERATING PROFIT 2005
£442,000
OPERATING PROFIT 2004
£310,000
TURNOVER 2003-05
0 500 1000 1500 2000 2500
PUBLIC SECTOR
CORPORATE 2,230
1,200
£‘000s
2004
Year ended 30/04/04
OPERATING (LOSS) 2003
(£34,000)
0 500 1000 1500 2000
PUBLIC SECTOR
CORPORATE 1,758
N/A
£‘000s
2003
Year ended 30/04/03
0 500 1000 1500 2000 2500
PUBLIC SECTOR
CORPORATE 2,418
1,579
£‘000s
2005
Year ended 30/04/05
0 100 200 300 400 500 600
PUBLIC SECTOR
CORPORATE 552
305
£‘000s
2005
Period ending 31/10/05 (POST ACQN*)
Outside of sport, the extensive client list and 
contacts of ABG Financial Management should
provide an additional market for event management
opportunities, as should the planned development 
of First Artist Entertainment’s business.The Finishing
T ouch’s move to First Artist Corporation’s Wembley
headquarters from early 2006, will allow the
Company to exploit fully the synergies that 
exist with the rest of the Group.
2.
3. 18
ABG FINANCIAL MANAGEMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
IN
FINANCIAL
MA TTERS
“THE LONG-TERM RELATIONSHIPS THAT
ABG FINANCIAL MANAGEMENT HAS
WITH ITS CLIENTS ATTEST TO THE
QUALITY OF THE FINANCIAL ADVICE
THAT IT PROVIDES.” 19
ABG FINANCIAL MANAGEMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
Established in 1987 and acquired by
First Artist Corporation in July 2005,
ABG Financial Management, led by
Sean Scahill and Peter Kelsey, 
is a premier wealth management
business with a list of high-net
worth clients drawn from across
music, entertainment, media,
sports and other industries.  ABG FINANCIAL MANAGEMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
20
SCOPE OF THE BUSINESS
ABG Financial Management provides an
exceptionally in-depth wealth management service 
to its exclusive list of high-net worth clients. It is
committed to offering wholly independent advice on
areas such as investment strategy, tax and inheritance
planning, offshore investments and pensions, and
prides itself on proactive client relationships that are
long-term rather than transaction-led. Investment
portfolios are constantly monitored, updated and
benchmarked and clients are regularly appraised 
of their financial situation.
Through the Third Life directive,ABG Financial
Management is able to give investment advice 
across Europe.
SERVICE AND DELIVERY
ABG Financial Management believes in
independence, and in offering objective advice on 
the best financial products available to its clients.
The Company is wholly transparent when it comes
to its charging structure, and is committed to dealing
with exclusively A-rated funds and fund managers.
Investment risk is properly managed through the use
of capital-protected investment funds and structured
products.The Company advises on funds that
demonstrate consistent performance, beating the
Bank of England base rate and FTSE index.ABG
Financial Management is committed to responsibility
in financial services and full compliance with all
government legislation.
The long-term relationships that ABG Financial
Management has with its clients attest to the quality
of the financial advice that it provides.
INSIGHTFUL FINANCIAL
MANAGEMENT
“THE STRENGTH OF FIRST ARTIST
MANAGEMENT’S PLAYER
REPRESENTATION BUSINESS IN EUROPE
PROVIDES ABG FINANCIAL MANAGEMENT
WITH A FURTHER OPPORTUNITY FOR 
EXPANSION, PARTICULARLY GIVEN THE
LESS DEVELOPED NATURE OF FINANCIAL 
ADVICE ACROSS THE CONTINENT.” ABG FINANCIAL MANAGEMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
21
OPPORTUNITIES
The ‘A Day’ pension legislation, effective in the UK
from 6 April 2006, has already provided substantial
opportunities for ABG Financial Management’s
business.The changes are particularly significant for
the football industry, with players planning retirement
from the age of 35 onwards, and ABG Financial
Management will be rolling out quality advice 
on this issue across First Artist Management’s 
pan-European client base during 2006.The advent of
Self Invested Pension Plans and the opportunity that
this provides for bespoke pension portfolios will add 
a new long-term dimension to ABG Financial
Management’s business.The Company may also seek
to set up a commercial property portfolio, allowing 
it to offer bespoke property investments to clients as
part of their pension plans.
0 50 100 150 200 250
INVESTMENTS
MORTGAGES
PENSIONS/LIFE
ASSURANCE
RENEWALS
244
81
146
121
£‘000s
2005
Period ending 31/10/05 (POST ACQN*)
0 100 200 300 400 500 600 700 800
INVESTMENTS
MORTGAGES
PENSIONS/LIFE
ASSURANCE
RENEWALS
715
153
312
346
£‘000s
2005
Year ended 30/06/05
0 200 400 600 800 1000
INVESTMENTS
MORTGAGES
PENSIONS/LIFE
ASSURANCE
RENEWALS
867
213
214
313
£‘000s
2004
Year ended 30/06/04
1,845
0 100 200 300 400 500 600 700 800
INVESTMENTS
MORTGAGES
PENSIONS/LIFE
ASSURANCE
RENEWALS
689
226
77
300
£‘000s
2003
Year ended 30/06/03
TURNOVER 2003-05
OPERATING PROFIT 2005*
£214,000
OPERATING PROFIT 2005
£427,000
OPERATING PROFIT 2003
£173,000
OPERATING PROFIT 2004
£424,000
The strength of First Artist Management’s player
representation business in Europe provides ABG
Financial Management with a further opportunity 
for expansion, particularly given the less developed
nature of financial advice across the continent.
The Company is currently recruiting a multilingual
executive to exploit the business opportunities arising
from PromoSport’s player representation portfolio 
in Italy, Spain and France.
“ABG FINANCIAL MANAGEMENT BELIEVES
IN INDEPENDENCE, AND IN OFFERING
OBJECTIVE ADVICE ON THE BEST
FINANCIAL PRODUCTS AVAILABLE 
TO ITS CLIENTS.” OPERATING AND FINANCIAL REVIEW
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
22
TURNOVER
Turnover has increased 47% over the year through
increased activity in the representation business 
(up 13%) and through the inclusion of the turnover
generated from the acquisitions of ABG Financial
Management (since 16 July 2005) and The Finishing
T ouch (since 14 September 2005).
OPERATING PROFIT
The operating profit for the Group, before goodwill
amortisation and impairment and one-off exceptional
costs, increased £1.02 million to £1.05 million in
the year of which £0.29 million was generated from
the two main acquisitions.
The football representation division’s performance 
has been its best for several years, with gross margin
improving to 86% (2004: 71%), mainly due to the
increased number of transactions concerning Group
roster, rather than shared, players.
Group overheads for continuing businesses and
central costs increased by 7% to £3.01 million
compared with a 33% increase in gross profits.
The acquisitions resulting in a broader based group,
will start to level out the volatility and seasonality
traditionally experienced in the Group’s profits,
with the main benefits from the acquisitions feeding
through in a full twelve months trading over the
course of 2006.
A more detailed composition of the results,
by division and geographic area can be seen in 
the divisional reports and notes to the accounts.
OPERATING AND FINANCIAL 
REVIEW
2005
£’000S
2004
£’000S
VARIANCE
£’000S
TURNOVER 5,861 3,975 1,886
OPERATING PROFIT 1,054 36 1,018
Exceptional items
Goodwill
Net interest
(161)
(43)
(41)
(391)
(92)
(46)
230
49
5
Profit/(loss) before tax 809 (493) 1,302
Taxation (299) 167 (466)
RETAINED PROFIT/(LOSS) 510 (326) 836
EPS
(basic earnings/(loss) per share)
0.89 
pence
(0.63)
pence
EPS 
(basic earnings/(loss) per share
before goodwill and expectional)
1.25
pence
0.30
pence
Y/E
31/10/05
£’000S
Y/E
31/10/04
£’000S
P/E
31/10/03
£’000S
Player Representation
Entertainment
Wealth Management
Events
4,171
241
592
857
3,704
259
12
–
4,052
147
30
–
TURNOVER 5,861 3,975 4,229
Player Representation
Entertainment
Wealth Management
Events
Group Costs
1,261
91
214
76
(588)
430
89
12
–
(495)
(2,017)
77
30
–
(630)
OPERATING PROFIT 1,054 36 (2,540)
Richard Hughes
Finance Director GOODWILL AMORTISATION 
AND EXCEPTIONALS
The valuation of goodwill is subject to annual
impairment reviews and provisions are made as
appropriate.An additional payment of £43,000
related to deferred consideration due on the FIMO
acquisition was written off in full during the year.
Exceptional costs mainly resulted from the closure
costs associated with the FIMO Geneva office,
First Artist International and the First Artist 
Snooker Academy .
The Group has retained an involvement in some 
of the Snooker Academy’s ex-students and has an
agreement with their management company, ZEN
Snooker Management to assist in the promotion and
marketing of its player portfolio, which includes
recent UK Championship winner Ding Junhui.
The Group also retained a presence in Qatar and
developed its Middle-Eastern football and other
sports relationships, which resulted in three separate
transactions in the region during this last summer
trading window.
INTEREST PAYABLE, FUNDING 
AND LIQUIDITY
Net interest payable was £41,000 (2004: £42,000).
During the year the Group entered into a five-year
new banking loan facility of £1,550,000, with AIB
to facilitate the acquisition funding and working
capital requirements.
The Board believes that the level of gearing that has
resulted from these transactions will be acceptable
given the cash generative nature of the enlarged
Group. It is envisaged that the Group’s borrowing
levels will steadily reduce whilst it retains sufficient
financial flexibility to continue to invest in
developing its businesses.
The Board has assessed the level of risk in the Group
and feels that, given the broader base of individually
trading businesses that the level of risk previously
faced by the Group has been significantly reduced.
Net debt of £3.27 million (2004: £0.15 million) at
the year-end was comprised of:
TAXATION
The tax charge of £0.30 million comprises a current
tax charge of £0.23 million and a write back of
deferred taxation of £0.07 million.
EARNING PER SHARE
Earnings per share before exceptional items and
goodwill increased from 0.30p to 1.25p, and basic
earnings per share also increased from (0.63)p to
0.89p.This is directly due to the increased
profitability of the enlarged Group and the earnings
enhancing methods of financing the acquisitions.
SHAREHOLDERS’ FUNDS
Shareholders’ funds increased by £2.23 million to
£3.31 million, resulting in an increase in net assets
per share of 1.5p to 3.7p.The increase was due to net
profit and foreign exchange of £0.45 million and net
proceeds from share issues of £1.78 million.
ACQUISITIONS
In the year the Company completed three
acquisitions each of which have now been
successfully integrated into the Group. Cross-referral
of income, new business generation and operating
cost savings have started to be generated, the full
effect of which should feed through into the 
coming year.
January 2005
T eam Sports Management Limited (asset purchase)
Player representation
T otal consideration paid £50,000 cash.
July 2005
ABG Financial Management Limited
Wealth Management FSA registered IFA 
T otal Maximum consideration payable £3 million
Initial consideration paid £1 million cash 
and 1.25 million shares.
September 2005
The Finishing T ouch (Corporate Events) Limited
Corporate Events and Conference Management
T otal maximum consideration payable £3.36 million
Initial consideration paid £1.36 million cash and 
1 million shares.
Richard Hughes
Finance Director
27 January 2006
OPERATING AND FINANCIAL REVIEW
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
23
OPERATING AND FINANCIAL 
REVIEW
2005
£’millionS
2004
£’millionS
Accrued deferred consideration
Five year bank loan
Other group net debts
Cash in hand and bank overdrafts
(2.62)
(1.55)
(0.37)
1.27
–
–
(0.46)
0.31
Group net debt (3.27) (0.15) BOARD MEMBERS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
24
BOARD MEMBERS
Tim Chadwick (59) 
Non-Executive Vice-Chairman
Tim was a founder of Aurum
Press Ltd, a successful publishing
company, which he sold to The
Really Useful Company in 1992.
He bought back the children’s
publishing arm in 1992, which
traded as All Books for Children
(‘ABC’) Ltd., which he later sold
in 1995 to HIT Entertainment
plc.Tim also floated Benicia Ports
plc, later renamed American Port
Services plc, on the London Stock
Exchange in 1994, which was
then acquired by Associated
British Ports plc in 1999.Tim is
currently Chairman of Simon
Group plc.
Jarvis Astaire, OBE (82) 
Non-Executive Chairman
Jarvis has had an extensive career
in the international sporting
industry over the past forty years.
As Deputy Chairman of
Wembley Stadium Limited from
1984-1999, Jarvis was responsible
for dealing with The Football
League,The Football Association,
Euro 96 and the many clubs
involved in playing matches at
the stadium. Prior to Wembley,
Jarvis was a leading boxing
promoter for the likes of
Muhammad Ali, and then
through his company ViewSport,
a pioneer in using closed circuit
TV to broadcast major sporting
events.As Chairman of GRA
Limited (1997-2005), he was
responsible for introducing
greyhound racing onto Sky.
In 2004, Jarvis Astaire received
an OBE for services to young
people in London.
Jon Smith (53) 
Chief Executive
Jon founded the business carried 
on by First Artist in 1986 and has
overseen the remodelling of First
Artist since its flotation in 2001 as a
football agency to its current status
as a multi–functional financial,
event management, sporting and
entertainment group. He is
responsible for staging many of
Britain’s biggest sporting events,
including the UK visits of major
US sporting bodies, being NFL
American Football, NBA Basketball
and NHL Ice Hockey. Jon was also
Chief Executive of The London
Monarchs during their inaugural
World Bowl winning season at
Wembley. He is one of the
recognised spokespersons for the
UK sports industry and has raised
over £15 million in various forms
for sport in the UK over the last
few years. Jon is one of only a
handful of football agents in the
world licensed to perform not only
football transfers but also to stage
global events under the auspices of
FIFA worldwide. Jon is a patron of
the British Stammering Association
and trustee of the Lee Smith
Research Foundation.
Phil Smith (46) 
Chief Operating Officer
Phil joined First Artist in 1992 
as head of its UK football
management operation. Phil
manages the players’ day-to-day
activities and works with the
company’s marketing and wealth
management teams to exploit 
the commercial activities and
maximise the earnings of clients
represented. Personal management
in this pressured business is of
considerable value to the clients
and Phil personally oversees the
Group and its shared roster of 
UK and pan-European clients,
including established players such
as Alexander Hleb, Petr Cech,
Mikael Forssell, Kevin Phillips,
Lee Hendrie, Paul Dickov and
Nigel Quashie together with up
and coming players such as Craig
Beattie, Shaun Maloney and
Dexter Blackstock. Phil also
started the personality media
division, now First Artist
Entertainment, comprising 
clients such as Andy Gray,
Andy T ownsend, Martin T yler 
and Alan Parry .
Richard Hughes, FCMA (42) 
Finance Director
Richard joined First Artist in the
spring of 2004, having started his
career in the corporate event
management and hospitality
sector. He spent the next 16 years
in marketing communications
companies, ranging from major
multinational groups to niche
brand strategic development
businesses. He has extensive
commercial and financial
management experience gained in
change-orientated and acquisitive
businesses, being Finance Director
of fully listed and private
expanding groups.
Vincenzo Morabito (45) 
Executive Director
Vincenzo is a highly regarded and
experienced FIFA registered player
agent based in Italy who is also
very active in the UK and across
Europe. Initially a public relations
manager for an international
Swedish company, in 1989 he
joined ISP , a sports company,
as director of their football
department. In 1992 he left to
become director of Scanditalia,
a football agency operating in
Sweden and in 1997 he co-
founded FIMO Sport Promotion
AG. His responsibilities include
being the Director responsible for
the Italian subsidiary PromoSport
Srl and working actively on player
transfers worldwide, personally
representing established European
players such as Jesper Gronkjaer,
Christian Abbiati, Mohamed
Kallon and T ore Andre Flo. CORPORATE GOVERNANCE STATEMENT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
25
The Company is supportive of the
principles embodied in the revised
Combined Code on Corporate
Governance published by the
Financial Reporting Council in July
2003 and, although not required 
to, the Directors have decided to
provide commentary on corporate
governance. This statement
describes how the principles of
corporate governance are applied 
to the Company.
THE BOARD AND ITS COMMITTEES
The Board currently comprises the Non-Executive
Chairman and Non-Executive Vice Chairman, the
Chief Executive and three Executive Directors.The
Board is responsible to shareholders for the proper
management of the Group.A statement of the
Directors’ responsibilities in respect of the 
accounts is set out on page 29.
The Board has a formal schedule of matters
specifically referred to it for decisions.All Directors
have access to the advice and services of the
Company Secretary, who is responsible to the Board
for ensuring that procedures are followed and that
applicable rules and regulations are complied with.
CORPORATE GOVERNANCE
STATEMENT
The Board meets formally on a regular basis. In
addition ad hoc meetings are called to address specific
issues requiring board approval.At formal meetings
the Board reviews trading performance, cash flow,
setting and monitoring strategy and examines major
acquisition possibilities.T o enable the Board to
discharge its duties, all Directors receive appropriate
and timely information.The Directors may take
independent professional advice as required.
The Board has established a Governance Committee
to deal with Nominations, Remuneration and Audit
issues. Following the appointment of Jarvis Astaire,
OBE as Non-Executive Chairman, Richard Hughes
the Group’s Finance Director will immediately step
down from all committees.The Governance
Committee is therefore comprised of the two 
Non-Executive Directors.The Committee also takes
the advice of its auditors and stockbrokers to ensure
compliance.The Committee meets half yearly
formally to discuss audit and remuneration issues 
and on an ad hoc basis to discuss nominations.
Its meetings are attended, by invitation, by the 
Chief Executive and the Finance Director.
The Governance Committee is responsible for
making recommendations to the Board on
nominations for appointments of new Directors 
and on the framework of the Group’s policies 
for the remuneration of its Executive Directors.
The remuneration of Non-Executive Directors 
is determined by the Board.
The Governance Committee is also responsible for
reviewing the interim and annual accounts before
their acceptance by the Board and for monitoring
controls that are in force to ensure the integrity of
the information reported to the shareholders.The
Committee provides a forum for reporting by the
external auditors and advises the Board on their
appointment and remuneration.
The Governance Committee also undertakes an
assessment of the auditors’ independence each year
which includes a review of non-audit services
provided to the Group and related fees, discussion
with the auditors of a written report detailing all
relationships with the Company and any other parties
that could affect independence or the perception of
independence and obtaining written confirmation
from the auditors that, in their professional
judgement, they are independent.
RELATIONS WITH SHAREHOLDERS
The Board recognises the importance of
communications with shareholders.There is regular
dialogue with institutional shareholders including
presentations after the Company’s interim and final
announcements of the half year and year end results.
The Board uses the Annual General Meeting to
communicate with private and institutional investors
and welcomes their participation.
INTERNAL CONTROL AND RISK
MANAGEMENT
The Board is responsible for the Group’s systems 
of internal control and risk management and for
reviewing the effectiveness of those systems. Such
systems are designed to manage, rather than eliminate
the risk of failure to achieve business objectives; any
system can provide only reasonable and not absolute
assurance against material misstatement or loss.
The following controls have continued in place
throughout the year:
defined organisational structure with appropriate
delegation of authority
quarterly board meetings 
regular Governance Committee meetings
clear responsibilities on the part of financial
management for the maintenance of good financial
controls and the production and review of detailed,
accurate and timely financial management
information
authorisation levels and proper segregation 
of accounting duties
a comprehensive financial review cycle, which
includes an annual budget approved by the main
board; detailed monthly variances against budget 
at subsidiary level with, where necessary, remedial
action.Annual performance is reforecast monthly;
and
provision to the Board of relevant, accurate and
timely management information.
A ‘Manual of Operations and Procedures’ has 
been issued to all employees.The manual provides
management and employees with a framework of
rules, controls and processes to enable the Group 
to operate efficiently, legally and effectively within 
its marketplace.
The internal control environment will continue 
to be monitored and reviewed by the Board and,
where necessary, it will ensure improvements are
implemented. REMUNERATION REPORT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
26
POLICY ON DIRECTORS’ REMUNERATION
The Group’s Governance Committee is responsible
for making recommendations to the Board, within
agreed terms of reference, on the Company’s
framework of executive remuneration and its cost.
The Committee determines the contract terms,
remuneration and other benefits for each of the
Executive Directors, including pension rights.
The Board itself determines the remuneration 
of the Non-Executive Directors.
Through monitoring the marketplace the Committee
looks to offer remuneration packages which not only
reflect current market conditions but are also
commensurate with attracting, retaining and
motivating Directors of quality to ensure the
continued growth and success of the Group.
REMUNERATION REPORT
DIRECTORS’ REMUNERATION
The main elements of the remuneration package
offered are:
Basic salary and conditions
This is determined by the Governance Committee
taking into account the performance of the
individual and the performance of the Group.
Bonuses
All bonuses are performance related. Financial
targets are set by the Governance Committee.
Pensions
Pension arrangements vary between the Directors.
The Group provides some of the Executive
Directors with contributions to their individual
money purchase pension schemes.
Share options
The level of share options granted to Directors 
is set by the Governance Committee.These 
grants are currently discretionary and are not
performance related.A specific scheme is 
in place for the Group Executive Directors 
based on the group achieving certain market
capitalisation thresholds.
Full details concerning Directors’ emoluments 
and service contracts are disclosed in note 7 
to the Accounts.
DIRECTORS’ INTERESTS IN SHARES
Details of the Directors’ interests in the Company’s
shares, including share options, are set out in the
Directors’ Report. DIRECTORS’ REPORT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
27
The Directors submit their report
and the Group financial statements
of First Artist Corporation plc for
the year ended 31 October 2005.
DIRECTORS’ REPORT
PRINCIPAL ACTIVITIES
The principal activities of the Group during the 
year were sports promotion, marketing and
management, entertainment promotion, marketing
and management, event management and wealth
management.
REVIEW OF THE BUSINESS
The Group is a management and representation
business, which looks after the commercial interests
of footballer's, sportsmen and other personalities in
the sports and television market.
A detailed review of the year is set out from the
Financial and Business Highlights through to the
Operating and Financial Review on pages 1 to 23.
EVENTS SINCE THE END OF THE YEAR 
On 16 January 2006 Jarvis Astaire, OBE was
appointed as the Non-Executive Chairman.
Tim Chadwick will remain on the Group Board 
as the Non-Executive Vice-Chairman.
Since 31 October 2005, the Company has made an
investment of £100,000 for a minority shareholding
in The Complete Leisure Group Limited, a new
event and marketing group, which will work closely
with The Finishing T ouch.
RESULTS AND DIVIDENDS
The trading profit for the period after taxation 
was £510,000 (2004: loss of £326,000).
The Directors did not pay an interim dividend
(2004: £Nil) and do not recommend the payment 
of a final dividend (2004: £Nil).
DIRECTORS
The following Directors have held office during 
the year:
J Astaire, OBE (appointed 16 January 2006)
T Chadwick (appointed 15 April 2005)
A J Johnston (resigned 15 April 2005)
J A Smith
P M Smith
R M Hughes
V Morabito
DIRECTORS' INTERESTS IN SHARES 
AND DEBENTURES
Directors' interests in the shares of the Company,
including family interests, were as follows:
ORDINARY SHARES OF
0.25 PENCE EACH
31.10.05 31.10.04
J Astaire, OBE – –
T Chadwick – –
A J Johnston – 27,680
J A Smith 11,463,443 11,443,643
P M Smith 7,981,701 7,638,402
R M Hughes 333,333 333,333
V Morabito 8,123,144 8,325,000 DIRECTORS’ REPORT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
28
DIRECTORS’ INTERESTS IN SHARES AND DEBENTURES (CONTINUED)
Mr P M Smith’s interests include 2,797,600 (2004: 2,797,600) shares held by The Smith Family Trust,
a discretionary trust whose beneficiaries include Mr Smith and his family.
Directors have been granted options to acquire shares in the Company as follows:
DIRECTORS’ REPORT
SUBSTANTIAL SHAREHOLDINGS
The Company is aware of the undermentioned
interests of 3% or more, other than Directors, in 
its share capital as at 18 January 2006.
CORPORATE GOVERNANCE
The Company is supportive of the principles
embodied in the revised Combined Code on
Corporate Governance published by the Financial
Reporting Council in July 2003. Details concerning
the Group arrangements relating to corporate
governance and internal controls are given in the
Corporate Governance Report on page 25.
POLICY ON PAYMENT OF CREDITORS
The Company does not follow any formal code or
standard on payment practice. The Company agrees
payment terms with individual suppliers, which vary
according to the commercial relationship and the
terms of the agreement reached. It is the policy 
of the Company that whenever possible payments 
to suppliers are made in accordance with the 
terms agreed.
Trade creditor days based on creditors at 
31 October 2005 were 63 days (2004: 78 days).
POLITICAL AND CHARITABLE
CONTRIBUTIONS
During the year Group companies made
contributions to United Kingdom charitable
organisations totalling £Nil (2004: £1,000).
No political contributions were made.
AUDITORS
In accordance with section 385 of the Companies
Act 1985, a resolution will be put to the members 
at the Annual General Meeting to re-appoint 
Baker Tilly, Chartered Accountants as auditors.
By order of the Board
Richard Hughes
Company Secretary
27 January 2006
ORDINARY
SHARES
PERCENTAGE
Sinjul – Singer &
Friedlander
5,949,152 6.65%
L R Nominees 3,581,705 4.00%
BNY – Herald Investments 3,500,000 3.91%
TD W aterhouse Nominees 2,751,442 3.07%
AT 31.10.04 NUMBER OF
OPTIONS
GRANTED
AT 31.10.05 DATE
EXERCISABLE
EXPIRY DATE EXERCISE
PRICE
(PENCE)
J A Smith 150,000
150,000
-
-
-
850,000
150,000
150,000
850,000
17.10.05
16.07.07
26.04.06
17.10.12
16.07.14
26.04.15
17
3
3.1
P M Smith 150,000
150,000
-
-
-
850,000
150,000
150,000
850,000
17.10.05
16.07.07
26.04.06
17.10.12
16.07.14
26.04.15
17
3
3.1
R M Hughes 100,000
-
-
850,000
100,000
850,000
16.07.07
26.04.06
16.07.14
26.04.15
3
3.1
V Morabito 150,000
150,000
-
-
-
850,000
150,000
150,000
850,000
17.10.05
16.07.07
26.04.06
17.10.12
16.07.14
26.04.15
17
3
3.1
Copies of the option agreements may be inspected by shareholders on written application to the 
Company Secretary. DIRECTORS’ RESPONSIBILITIES IN THE PREPARATION OF FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
29
Company law requires the Directors
to prepare financial statements for
each financial period, which give a
true and fair view of the state of
affairs of the Company and of the
Group and of the profit or loss of
the Group for that period.  
DIRECTORS’ RESPONSIBILITIES 
IN THE PREPARATION OF FINANCIAL STATEMENTS
In preparing those financial statements, the Directors
are required to:
a. select suitable accounting policies and then apply
them consistently;
b. make judgements and estimates that are reasonable
and prudent;
c. state whether applicable accounting standards have
been followed, subject to any material departures
disclosed and explained in the financial statements;
d. prepare the financial statements on the going
concern basis unless it is inappropriate to presume
that the Company will continue in business.
The Directors are responsible for keeping proper
accounting records which disclose with reasonable
accuracy at any time the financial position of the
Company and the Group and to enable them to
ensure that the financial statements comply with the
requirements of the Companies Act 1985.They are
also responsible for safeguarding the assets of the
Company and the Group and hence for taking
reasonable steps for the prevention and detection 
of fraud and other irregularities. AUDITORS’ REPORT
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
30
AUDITORS’ REPORT
INDEPENDENT AUDITORS’ REPORT TO
THE MEMBERS OF FIRST ARTIST
CORPORATION PLC
We have audited the financial statements on 
pages 31 to 65.
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 opinion we have formed.
RESPECTIVE RESPONSIBILITIES OF
DIRECTORS AND AUDITORS
The Directors’ responsibilities for preparing the
Annual Report and the financial statements in
accordance with applicable law and United Kingdom
Accounting Standards are set out in the Statement 
of Directors’ Responsibilities.
Our responsibility is to audit the financial statements
in accordance with relevant legal and regulatory
requirements and United Kingdom Auditing
Standards.
We report to you our opinion as to whether the
financial statements give a true and fair view and are
properly prepared in accordance with the Companies
Act 1985. We also report to you if, in our opinion,
the Directors’ Report is not consistent with the
financial statements, 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 transactions with the
Company is not disclosed.
We read other information contained in the 
Annual Report, and consider whether it is consistent
with the audited financial statements. This other
information comprises only the Financial Highlights,
the Chairman’s Statement, the Chief Executives’
Review, the Business Reviews, the Operating and
Financial Review, the Corporate Governance
Statement, the Remuneration Report and the
Directors’ Report. We consider the implications for
our report if we become aware of any apparent
misstatements or material inconsistencies with the
financial statements. Our responsibilities do not
extend to any other information.
BASIS OF OPINION
We conducted our audit in accordance with Auditing
Standards issued by the Auditing Practices Board.
An audit includes examination, on a test basis, of
evidence relevant to the amounts and disclosures in
the financial statements. It also includes an assessment
of the significant estimates and judgements made by
the Directors in the preparation of the 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 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 financial statements.
OPINION
In our opinion the financial statements give a true
and fair view of the state of affairs of the Company
and the Group at 31 October 2005 and of the
Group’s profit for the year then ended and have 
been properly prepared in accordance with the
Companies Act 1985.
Baker Tilly
Registered Auditor
Chartered Accountants
2 Bloomsbury Street
London WC1B 3ST
27 January 2006  FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
31
FIRST ARTIST FINANCIAL STATEMENTS
AND NOTES TO THE ACCOUNTS FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
32
NOTES CONTINUING ACQUISITIONS DISCONTINUED TOTAL YEAR YEAR ENDED
OPERATIONS OPERATIONS ENDED
2005 2005 2005 2005 2004
£000 £000 £000 £000 £000
TURNOVER 1 4,385 1,449 27 5,861 3,975
Cost of sales (602) (723) - (1,325) (1,143)
GROSS PROFIT 3,783 726 27 4,536 2,832 
Administrative expenses (3,007) (436) (39) (3,482) (2,796)
Profit/(loss) before exceptional administrative expenses 776 290 (12) 1,054 36
Exceptional administrative expenses 3 (22) - (139) (161) (391)
OPERATING PROFIT/(LOSS) 754 290 (151) 893 (355)
before goodwill amortisation
Administrative expenses – goodwill impairment and amortisation (43) - - (43) (92)
TOTAL OPERATING PROFIT/(LOSS) 2 711 290 (151) 850 (447)
Investment income 4 11 8
Interest payable 5 (52) (54)
PROFIT/(LOSS) ON ORDINARY ACTIVITIES BEFORE TAXATION 6 809 (493)
Taxation 8 (299) 167
PROFIT/(LOSS) ON ORDINARY ACTIVITIES AFTER TAXATION 510 (326)
Dividends 9 - -
RETAINED PROFIT/(LOSS) FOR THE YEAR 510 (326)
EARNINGS/(LOSS) PER SHARE 10 0.89p (0.63)p
Basic earnings/(loss) per share
Fully diluted earnings/(loss) per share 0.88p (0.62)p
Basic earnings/(loss) per share before goodwill 1.25p 0.30p
amortisation and exceptional costs
Fully diluted earnings/(loss) per share before goodwill 1.23p 0.30p
amortisation and exceptional costs
CONSOLIDATED PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 OCTOBER 2005 FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
33
2005 2004
£000 £000
Profit/(loss) for the financial period 510 (326)
Currency translation differences on net foreign currency investments (56) (73)
Total recognised gains and losses relating to the period 454 (399)
CONSOLIDATED STATEMENT OF TOTAL RECOGNISED
GAINS AND LOSSES
FOR THE YEAR ENDED 31 OCTOBER 2005 34
NOTES 2005 2004
£000 £000
FIXED ASSETS
Intangible assets 12 5,295 - 
Tangible assets 13 719 755 
6,014 755
CURRENT ASSETS
Debtors 15 4,746 2,243 
Cash at bank and in hand 1,527 310 
6,273 2,553 
CREDITORS: Amounts falling due within one year 16 (6,173) (2,133)
NET CURRENT ASSETS 100 420 
TOTAL ASSETS LESS CURRENT LIABILITIES 6,114 1,175 
CREDITORS: Amounts falling due after more than one year 17 (2,808) (98)
NET ASSETS 3,306 1,077 
CAPITAL AND RESERVES
Called up share capital 18 224 120 
Capital redemption reserve 19 15 15 
Share premium account 19 7,888 6,217 
Profit and loss account 19 (4,821) (5,275)
EQUITY SHAREHOLDERS’ FUNDS 3,306 1,077
Approved by the Board on 27 January 2006 
J A Smith
Director 
FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
CONSOLIDATED BALANCE SHEET
31 OCTOBER 2005 35
FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
COMPANY BALANCE SHEET
31 OCTOBER 2005
NOTES 2005 2004
£000 £000
FIXED ASSETS
Intangible assets 12 53 - 
Tangible assets 13 470 672 
Investments 14 7,050 1,225 
7,573 1,897 
CURRENT ASSETS
Debtors 15 1,561 1,706 
Cash at bank and in hand - 120 
1,561 1,826
CREDITORS: Amounts falling due within one year 16 (3,649) (2,422)
NET CURRENT LIABILITIES (2,088) (596)
TOTAL ASSETS LESS CURRENT LIABILITIES 5,485 1,301 
CREDITORS: Amounts falling due after more than one year 17 (2,790) (98)
NET ASSETS 2,695 1,203 
CAPITAL AND RESERVES
Called up share capital 18 224 120 
Capital redemption reserve 19 15 15 
Share premium account 19 7,888 6,217 
Profit and loss account 19 (5,432) (5,149)
EQUITY SHAREHOLDERS’ FUNDS 2,695 1,203 
Approved by the Board on 27 January 2006
J A Smith
Director 36
NOTES 2005 2004
£000 £000
Cash (outflow)/inflow from operating activities 20a (12) 313
Returns on investments and servicing of finance 20b (35) (46)
Taxation 20b (4) 87 
Capital expenditure and financial investment 20b (3) 22 
Acquisitions and disposals 20b (2,083) (92)
CASH (OUTFLOW)/INFLOW BEFORE FINANCING (2,137) 284 
Financing 20b 3,095 7
INCREASE IN CASH IN THE PERIOD 958 291 
RECONCILIATION OF NET CASH FLOW TO MOVEMENT IN NET DEBT 2005 2004
£000 £000
Increase in cash in the period 958 291
Cash from increase in debt financing (1,412) (7)
New finance leases - (32)
Deferred consideration on acquisition of subsidiaries (2,666) -
(3,120) 252 
NET DEBT AT 1 NOVEMBER 2004 (151) (403)
NET DEBT AT 31 OCTOBER 2005 (3,271) (151)
FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
CONSOLIDATED CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 OCTOBER 2005 37
ACCOUNTING POLICIES
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
ACCOUNTING POLICIES
BASIS OF ACCOUNTING
The financial statements have been prepared under the
historical cost convention and in accordance with applicable
accounting standards in the United Kingdom.
BASIS OF CONSOLIDATION
The Group financial statements consolidate the financial
statements of First Artist Corporation plc and all of its
subsidiaries made up to 31 October 2005.
No profit and loss account is presented for First Artist
Corporation plc, as provided by Section 230 (3) of the
Companies Act 1985.
INTANGIBLE FIXED ASSETS
Purchased goodwill is capitalised as an intangible fixed asset
and represents the excess of the purchase price over the fair
value of the net assets acquired.
Where goodwill is capable of continued measurement and the
directors are of the opinion that the goodwill has an indefinite
useful economic life, the carrying value of the goodwill is
subject to an annual impairment review and provisions are
made as appropriate.
All other purchased goodwill is amortised evenly over periods
of between 5 and 10 years as in the opinion of the Directors
this represents the period over which the goodwill is effective.
TANGIBLE FIXED ASSETS
Fixed assets are stated at historical cost less accumulated
depreciation.
Depreciation is provided on all tangible fixed assets other than
freehold land at rates calculated to write each asset down to its
estimated residual value over its expected useful life, as follows:
Freehold buildings 2% straight line
Short leasehold improvements Over period of the lease
Plant and machinery 15% reducing balance 
Fixtures and fittings 15% reducing balance 
Motor vehicles 25% reducing balance
INVESTMENTS
Long-term investments are classified as fixed assets and stated at
cost less provision for any diminution in value.
LEASING AND HIRE PURCHASE COMMITMENTS
Assets held under finance leases and hire purchase contracts are
capitalised in the balance sheet and are depreciated over their
estimated useful lives.The interest element of the rental
obligations is charged to the profit and loss account over the
period of the lease.
Lease payments under operating leases, where substantially all
the risks and benefits remain with the lessor, are charged as
expenses in the periods in which they are incurred.
DEFERRED TAXATION
Deferred tax is recognised in respect of all timing differences
that have originated but not reversed at the balance sheet date
where transactions or events that result in an obligation to pay
more tax in the future or a right to pay less tax in the future
have occurred at the balance sheet date.Timing differences are
differences between the Company’s taxable profits and its
results as stated in the financial statements that arise from the
inclusion of gains and losses in tax assessments in periods
different from those in which they are recognised in the
financial statements.
Deferred tax is measured at the average tax rates that are
expected to apply in the periods in which timing differences
are expected to reverse, based on tax rates and laws that have
been enacted or substantially enacted by the balance sheet date.
Deferred tax is measured on a non-discounted basis.
PENSIONS
Group companies make contributions to the personal schemes
of certain employees. Pension costs charged against profits
represent the amounts payable to the schemes in respect 
of the period.
FOREIGN CURRENCIES
Monetary assets and liabilities denominated in foreign
currencies are translated at the rates of exchange ruling at 
the balance sheet date.Transactions in foreign currencies are
recorded at the rates ruling at the date of the transactions.
All differences are taken to the profit and loss account.
The assets and liabilities of foreign subsidiary undertakings are
translated into sterling at the rates of exchange ruling at the
balance sheet date.The results of foreign subsidiary
undertakings are translated at the average rates of exchange
during the period. Gains or losses resulting from the
realignment of opening net assets and the results for the period
to the period end rates are treated as movements on reserves.
TURNOVER
Turnover represents income receivable, excluding Value Added
Tax, for services rendered during the year. 38
The Group’s net assets, turnover and profit/(loss) before taxation were all derived from activities in the following geographical markets:
NET 2005 PROFIT/(LOSS) NET 2004 PROFIT/(LOSS) 
ASSETS TURNOVER BEFORE TAX ASSETS TURNOVER BEFORE TAX
£000 £000 £000 £000 £000 £000 
United Kingdom 2,344 4,113 650 1 1,875 (359)
Europe 1,164 1,738 193 1,238 2,066 (81)
Other (202) 10 (34) (162) 34 (53)
3,306 5,861 809 1,077 3,975 (493)
Net assets, turnover and loss before tax by destination are not materially different from the above.
The Group’s net assets, turnover and profit/(loss) before taxation originated from the following activities:
NET 2005 PROFIT/(LOSS) NET 2004 PROFIT/(LOSS) 
ASSETS TURNOVER BEFORE TAX ASSETS TURNOVER BEFORE TAX
£000 £000 £000 £000 £000 £000
Player Representation 2,415 4,171 1,007 988 3,704 (99)
Entertainment 91 241 91 89 259 89
Wealth Management 252 592 217 -12 12
Events 548 857 82 -- -
Group Costs - - (588) - - (495)
3,306 5,861 809 1,077 3,975 (493)
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2005
1 SEGMENTAL REPORT 39
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
Operating profit/(loss) is analysed between continuing and discontinued operations as follows:
2005 2004
CONTINUING ACQUISITIONS DISCONTINUED TOTAL CONTINUING DISCONTINUED TOTAL
OPERATIONS OPERATIONS OPERATIONS OPERATIONS
£000 £000 £000 £000 £000 £000 £000
T urnover 4,385 1,449 27 5,861 3,739 236 3,975
Cost of sales (602) (723) - (1,325) (1,114) (29) (1,143)
Gross profit 3,783 726 27 4,536 2,625 207 2,832
Administrative expenses (3,007) (436) (39) (3,482) (2,568) (228) (2,796)
Operating profit/(loss) before exceptional 
costs and goodwill impairment 776 290 (12) 1,054 57 (21) 36
Exceptional administrative expenses (22) - (139) (161) (113) (278) (391)
Goodwill impairment and amortisation (43) - - (43) - (92) (92)
Operating profit/(loss) 711 290 (151) 850 (56) (391) (447)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2005
2 OPERATING PROFIT / (LOSS)
3 EXCEPTIONAL ADMINISTRATIVE EXPENSES
2005 2004
£000 £000
Costs of abortive acquisitions 12 9
Strategic review - 29 
Redundancies and other restructuring costs 149 353 
161 391  40
2005 2004
£000 £000
Bank interest received - 1
Tax repayment supplement 11 7
11 8 
5 INTEREST PAYABLE
2005 2004
£000 £000
Bank interest 25 36 
Interest on finance leases 3 9
Interest on Directors’ loans 5 6
Interest on other loans 19 3 
52 54 
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2005
4 INVESTMENT INCOME
6 PROFIT / (LOSS) ON ORDINARY ACTIVITIES
2005 2004
£000 £000
Profit/(loss) on ordinary activities before taxation is stated after charging/(crediting):
Depreciation and amounts written off tangible fixed assets 65 67 
(Profit)/loss on disposals of tangible fixed assets 5 (1) 
Amortisation and impairment of goodwill 43 92 
Operating lease rentals
- plant and machinery 10 15 
- land and buildings 83 102 
Auditors’ remuneration
- audit fees 54 57 
- tax compliance services 8 7
- other services 20 19 
(Profit)/loss on foreign currencies (56) 7 
Additional fees were paid to Baker Tilly in respect of company acquisitions totalling £112,000 (2004: £Nil). 41
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
2005 2004
NO. NO.
The average monthly number of persons (including Directors) employed by the Group during the year was:
Services and promotion 17 11
Administration and finance 10 7
27 18 
2005 2004
£000 £000
Staff costs for above persons:
Wages and salaries 1,615 969 
Social security costs 111 105 
Other pension costs 41 29 
1,767 1,103
Directors’ remuneration 2005 2004
£000 £000
Total remuneration 920 791
Highest paid Director 265 241
Directors’ emoluments
SALARIES BENEFITS PENSIONS TOTAL TOTAL
AND FEES CONTRIBUTIONS 2005 2004
£000 £000 £000 £000 £000
J Astaire, OBE ---- - 
T Chadwick 13 - - 13 -
A J Johnston 5-- 5 11 
J Smith 245 10 13 268 242 
P Smith 235 3 9 247 224
R M Hughes * 154 - 2 156 45
V Morabito 265 - - 265 241
B Baldock ---- 8
J C Lees ---- 49
917 13 24 954 820
* These include fees which were paid to undertakings in which the Director has an interest.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2005
7 EMPLOYEES AND DIRECTORS 42
2005 2004
£000 £000
Current tax:
UK corporation tax charge/(credit) on profits/(losses) of the period 106 -
Foreign taxes 118 (91)
Adjustments in respect of previous periods - (56)
Current tax (credit)/charge for the period 224 (147)
Deferred taxation:
Origination and reversal of timing differences 75 (20)
Tax charge/(credit) on profit on ordinary activities 299 (167)
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2005
7 EMPLOYEES AND DIRECTORS (CONTINUED)
DIRECTORS’ SERVICE CONTRACTS
On 26 November 2001 Jon Smith entered into a service
agreement with the Company pursuant to which he acts as 
Chief Executive of the Company.The terms of this agreement
include, inter alia, that the agreement can be terminated by 
six months’ written notice given by either party.
On 26 November 2001 Phil Smith entered into a service
agreement with the Company pursuant to which he acts as 
Chief Operating Officer of the Company.The terms of this
agreement include, inter alia, that the agreement can be
terminated by six months’ written notice given by either party.
On 21 March 2005 Richard Hughes entered into a service
agreement with the Company pursuant to which he acts as
Finance Director of the Company.The terms of this agreement
include, inter alia, that the agreement can be terminated by 
six months’ written notice given by either party.
On 21 December 2001,Vincenzo Morabito entered into a
service agreement with the Company pursuant to which he
acts as an Executive Director of the Company.The terms of
this agreement include, inter alia, that the agreement can be
terminated by six months’ written notice given by either party.
Tim Chadwick was appointed a Non-Executive Director 
of the Company pursuant to a letter of appointment dated 
15 April 2005. Pursuant to this letter of appointment, he
receives £20,000 per annum and is required to attend all
Board meetings, and to serve on any committee of the Board.
This appointment is terminable on three months’ written
notice by either party.
Jarvis Astaire, OBE was appointed as Non-Executive Chairman 
of the Company pursuant to a letter of appointment dated 
16 January 2006. Pursuant to this letter of appointment, he
receives £20,000 per annum and is required to attend all
Board meetings, and to serve on any committee of the Board.
This appointment is terminable on three months’ written
notice by either party.
8 TAXATION 43
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2005
Factors affecting tax charge for period:
2005 2004
£000 £000
The tax assessed for the period differs from the standard rate of corporation tax in the UK (30%).
The differences are explained below:
Profit/(loss) on ordinary activities before tax 826 (493)
Profit/(loss) on ordinary activities multiplied by standard rate of corporation tax in the UK 30% (2004: 30%) 248 (148)
Effects of:
Expenses not deductible for tax purposes 160 15 
Depreciation in excess of capital allowances 1 12 
Amortisation and impairment of goodwill 13 28 
Differences in foreign tax rates (28) (81) 
Carry forward of unrelieved trading losses (158) 83 
Adjustment to tax charge in respect of previous periods - (56) 
Reduction in general provisions (11) -
Benefit of small companies’ rate (1) -
Current tax (credit)/charge for period 224 (147)
Factors that may affect future tax charges
9 DIVIDENDS
2005 2004
£000 £000
Interim paid – Nil pence per share (2004: Nil pence per share) – – 
8 TAXATION (CONTINUED)
The Directors have considered in detail the Group’s
trading and cash flow forecasts and have recognised
deferred tax assets to the extent that they are regarded
as recoverable.At 31 October 2005 deferred tax assets
not recognised in respect of unrelieved trading losses
amounted to approximately £Nil (2004: £83,000). 44
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2005
The calculation of earnings per share are based on the following profits and number of shares:
BASIC BASIC DILUTED DILUTED
2005 2004 2005 2004
£000 £000 £000 £000 
Profit/(loss) on ordinary activities after taxation 510 (326) 510 (326)
Before goodwill amortisation and exceptional costs:
Profit/(loss) on ordinary activities after taxation 510 (326) 510 (326) 
Amortisation and impairment of goodwill 43 92 43 92
Exceptional administrative expenses 161 391 161 391 
714 157 714 157 
2005 2004
NO OF SHARES NO OF SHARES
For basic earnings per share 57,034,181 51,784,044 
Exercise of share options 1,005,773 112,883
For diluted earnings per share 58,039,954 51,896,927 
10 EARNINGS PER SHARE
The parent company’s loss for the year to 31 October 2005
amounted to £281,000 (2004: loss of £530,000).
11 LOSS OF THE PARENT COMPANY 45
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2005
PURCHASED GOODWILL 
£000
GROUP 
Cost
1 November 2004 13,221 
Additions 5,338 
31 October 2005 18,559 
Amortisation
1 November 2004 13,221 
Charge for the year -
Impairment 43 
31 October 2005 13,264 
Net book value
31 October 2005 5,295 
31 October 2004 - 
PURCHASED GOODWILL 
£000
COMPANY
Cost
1 November 2004 492 
Additions 53 
31 October 2005 545 
Amortisation
1 November 2004 492 
Charge for the year - 
31 October 2005 492 
Net book value
31 October 2005 53 
31 October 2004 - 
12 INTANGIBLE FIXED ASSETS 46
FREEHOLD LAND SHORT LEASEHOLD PLANT FIXTURES AND MOTOR TOTAL
AND BUILDINGS IMPROVEMENTS AND MACHINERY FITTINGS VEHICLES 
£000 £000 £000 £000 £000 £000 
GROUP
Cost
1 November 2004 392 163 215 126 166 1,062 
On acquisition of subsidiary companies - - 108 - - 108
Additions - - 43 54 - 97 
Disposals - - (100) (40) (56) (196)
392 163 266 140 110 1,071 
Depreciation
1 November 2004 20 52 124 41 70 307 
On acquisition of subsidiary companies -- 77 -- 77
Charge for year 5 8 13 22 17 65 
Disposals - - (65) (5) (27) (97)
25 60 149 58 60 352 
Net book value
31 October 2005 367 103 117 82 50 719 
31 October 2004 372 111 91 85 96 755 
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2005
13 TANGIBLE FIXED ASSETS
Included in land and buildings is land valued at £110,000,
which is not depreciated.
The net book value of the Group’s fixed assets includes
£32,000 (2004: £96,000) in respect of assets held under
finance leases and hire purchase contracts.The related
depreciation charge for the period in respect of those 
assets is £8,000 (2004: £27,000). 47
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
FREEHOLD LAND SHORT LEASEHOLD PLANT FIXTURES AND MOTOR TOTAL
AND BUILDINGS IMPROVEMENTS AND MACHINERY FITTINGS VEHICLES 
£000 £000 £000 £000 £000 £000 
COMPANY
Cost
1 November 2004 392 163 115 86 148 904 
Additions -- 7 38- 45
Disposals ---- (37) (37)
Transfer to Group companies - - (122) (124) (111) (357)
31 October 2005 392 163 - - - 555 
Depreciation
1 November 2004 20 52 59 36 65 232 
Charge for year 5855 10 33
Disposals ---- (22) (22)
Transfer to Group companies - - (64) (41) (53) (158)
31 October 2005 25 60 - - - 85 
Net book value
31 October 2005 367 103 - - - 470 
31 October 2004 372 111 56 50 83 672 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2005
13 TANGIBLE FIXED ASSETS (CONTINUED)
Included in land and building is land valued at £110,000
which is not depreciated.
The net book value of the Company’s fixed assets includes
£Nil (2004: £83,000) in respect of assets held under finance
leases and hire purchase contracts.The related depreciation
charge for the year in respect of those assets is 
£Nil (2004: £23,000). 48
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2005
The Group holds more than 20% of the equity of the following companies:
NAME OF COMPANY COUNTRY OF INCORPORATION HOLDING PROPORTION HELD NATURE OF BUSINESS 
Held by the parent company
PromoSport Srl Italy 20m Shares 100% Sports promotion
of 1 Lire each and management 
First Artist Management Limited Great Britain 1 Ordinary Share 100% Sports promotion
of £1 each and management
ABG Financial Management Limited Great Britain 65,000 “A” Shares 100% Wealth
of £0.01 each management
20,000 “B” Shares
of £0.01 each
15,000 “C” Shares
of £0.01 each
The Finishing Touch (Corporate Events) Limited Great Britain 4,000 Ordinary Shares 100% Event management
of £1 each
FIMO Sport Promotion AG Switzerland 100 Shares of 100% Sports promotion
CHF 1,000 each and management
(now ceased)
First Artist International Pte Limited Singapore 100 Ordinary 100% Sports promotion
Shares of $1 each and management
(now ceased)
14 FIXED ASSET INVESTMENTS
At the start of the period the Company held 100% of the
issued share capital of FIMO Sport Promotion AG, who in
turn held 100% of the issued share capital of PromoSport Srl.
During the period the Company purchased the entire share
capital of PromoSport Srl from FIMO Sport Promotion AG.
With effect from 1 May 2005, the Company held 100% of the
issued share capital of both PromoSport Srl and FIMO Sport
Promotion AG. 49
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
COMPANY SUBSIDIARY
UNDERTAKINGS
£000
COST
1 November 2004
Additions
31 October 2005
5,666 
5,868 
11,534 
Provision for diminution in value
1 November 2004
Provision in year
31 October 2005
4,441 
43 
4,484 
Net book value
31 October 2005
31 October 2004
7,050 
1,225 
14 FIXED ASSET INVESTMENTS (CONTINUED) 50
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
GROUP 
2005 
£000 
GROUP   
2004 
£000 
COMPANY 
2005 
£000 
COMPANY 
2004 
£000 
DUE WITHIN ONE YEAR:
Trade debtors 2,470 583 121 348
Accrued income 1,598 1,329 - 461
Owed by subsidiary undertakings - - 1,413 613
Other debtors 150 157 16 110
Prepayments 367 56 11 56
4,585 2,125 1,561 1,588
DUE AFTER MORE THAN ONE YEAR:
Accrued income 81 43 - 43
Deferred tax asset - 75 - 75
Prepayments 80 - - -
161 118 - 118
4,746 2,243 1,561 1,706
15 DEBTORS
GROUP 
2005 
£000 
GROUP   
2004 
£000 
COMPANY
2005 
£000 
COMPANY 
2004 
£000 
1 November 2004 75 55 75 55
Released to the profit and loss account (note 8) (75) 20 (75) 20
31 October 2005 - 75 - 75
THESE BALANCES COMPRISE:
Decelerated/(excess) capital allowances - 26 - 26
Other timing differences - 17 - 17
Unrelieved trading losses - 32 - 32
- 75 - 75
The deferred tax asset/(provision) is as follows:
The Directors have considered in detail the Group’s trading
and cash flow forecasts and are of the opinion that it is
appropriate to recognise deferred tax assets in respect of
unrelieved trading losses to the extent that they are regarded as
recoverable in these financial statements. 51
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
GROUP 
2005 
£000 
GROUP   
2004 
£000 
COMPANY 
2005 
£000 
COMPANY 
2004 
£000 
Bank loans and overdrafts 569 - 538 -
Term loan 51 25 51 25
Trade creditors 2,516 993 90 586
Obligations under finance leases 6 48 - 28
Owed to subsidiary undertakings - - 1,052 879
Corporation tax 507 35 24 -
Other taxation and social security 242 113 2 62
Deferred consideration 1,118 - 1,118 -
Other creditors 447 694 290 652
Accruals 717 225 484 190
6,173 2,133 3,649 2,422
16 CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Bank loans and overdrafts amounting to £569,000 (2004:
£Nil) are secured by a fixed and floating charge over the 
assets of the Company. 52
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
GROUP 
2005 
£000 
GROUP   
2004 
£000 
COMPANY
2005 
£000 
COMPANY 
2004 
£000 
Bank loans 1,235 - 1,235 -
Term loan 50 75 50 75
Obligations under finance leases 18 23 - 23
Deferred consideration 1,505 - 1,505 -
2,808 98 2,790 98
GROUP 
2005 
£000 
GROUP   
2004 
£000 
COMPANY
2005 
£000 
COMPANY 
2004 
£000 
Within one year 310 - 310 -
Between one and two years 310 - 310 -
Between two and five years 925 - 925 -
1,545 - 1,545 -
GROUP 
2005 
£000 
GROUP   
2004 
£000 
COMPANY
2005 
£000 
COMPANY 
2004 
£000 
Within one year 51 25 51 25
Between one and two years 50 25 50 25
Between two and five years - 50 - 50
101 100 101 100
17 CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR 
Obligations under finance leases above and in Note 16 are
secured on the relevant assets and are fully repayable within
five years.
The bank loans are repayable as follows:
An analysis of the maturity profile of the Group’s financial
liabilities is given in Note 23.
The bank loans above and in Note 16 are secured.The loans
bear interest at the UK bank base rate plus a margin of 2.20%
or 2%.
The term loan above and in Note 16 is unsecured and bears
interest at the higher of 7% per annum or 1% above UK bank
base rates.
The loan is repayable in instalments as follows:
In the event that the Company fails to meet the repayment
schedule, the lender has the option to rollover the outstanding
payment to the next instalment date or to convert such
outstanding amounts into ordinary shares at the prevailing
market price. 53
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
GROUP 
2005 
£000 
GROUP   
2004 
£000 
COMPANY 
2005 
£000 
COMPANY 
2004 
£000 
Within one year 1,118 - 1,118 -
Between one and two years 1,045 - 1,045 -
Between two and five years 460 - 460 -
2,623 - 2,623 -
2005 
£000 
2004 
£000 
AUTHORISED:
120,000,000 (2004: 120,000,000) ordinary shares of 0.25 pence each 300 300
ALLOTTED, ISSUED AND FULLY PAID:
89,442,237 (2004: 47,906,523) ordinary shares of 0.25p each 224 120
17 CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR (CONTINUED)
18 SHARE CAPITAL
Deferred consideration above and in Note 16 represents the further consideration payable for the acquisitions of ABG Financial
Management Limited and The Finishing T ouch (Corporate Events) Limited.
Deferred consideration is payable as follows:
On 14 July 2005 the Company entered into an agreement 
to acquire the entire issued share capital of ABG Financial
Management Limited. On 14 July 2005 the Company 
issued 1,250,000 new ordinary shares of 0.25 pence each 
at a price of 5.625 pence each as part of the consideration 
for this acquisition.
On 14 July 2005 the Company issued 25,000,000 new
ordinary shares of 0.25 pence each at a price of 5 pence each
under a placing agreement.The share issue was used to fund
the acquisition of ABG Financial Management Limited.
On 16 September 2005 the Company entered into an
agreement to acquire the entire issued share capital of 
The Finishing T ouch (Corporate Events) Limited.
On 16 September 2005 the Company issued 1,000,000 new
ordinary shares of 0.25 pence each at a price of 6.5 pence each
as part of the consideration for this acquisition.
On 16 September 2005 the Company issued 6,666,666 new
ordinary shares of 0.25 pence each at a price of 5.25 pence
each under a placing agreement.The share issue was used to
fund the acquisition of The Finishing T ouch (Corporate
Events) Limited.
On 20 October 2005 the Company issued 7,619,048 new
ordinary shares of 0.25 pence each at a price of 5.25 pence
each under a placing agreement.The share issue was used to
further finance the acquisitions of ABG Financial Management
Limited and The Finishing T ouch (Corporate Events) Limited. 54
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
GRANTED TO DATE OF OPTION NUMBER OF SHARES FIRST EXCERISABLE EXPIRY DATE EXERCISE PRICE
(PENCE)
Eligible employees 24 January 2002 135,000 24 January 2005 24 January 2012 50
Eligible employees 17 October 2002 109,411 17 October 2005 17 October 2012 17
Jon Smith 17 October 2002 150,000 17 October 2005 17 October 2012 17
Phil Smith 17 October 2002 150,000 17 October 2005 17 October 2012 17
Vincenzo Morabito 17 October 2002 150,000 17 October 2005 17 October 2012 17
Eligible employees 16 July 2004 80,000 16 July 2007 16 July 2014 3
Jon Smith 16 July 2004 150,000 16 July 2007 16 July 2014 3
Phil Smith 16 July 2004 150,000 16 July 2007 16 July 2014 3
Vincenzo Morabito 16 July 2004 150,000 16 July 2007 16 July 2014 3
Richard Hughes 16 July 2004 100,000 16 July 2007 16 July 2014 3
Jon Smith 27 April 2005 850,000 26 April 2006 26 April 2015 3.1
Phil Smith 27 April 2005 850,000 26 April 2006 26 April 2015 3.1
Vincenzo Morabito 27 April 2005 850,000 26 April 2006 26 April 2015 3.1
Richard Hughes 27 April 2005 850,000 26 April 2006 26 April 2015 3.1
18 SHARE CAPITAL (CONTINUED)
At 31 October 2005, 4,770,000 options remained in issue.
On 13 September 2005, the Company issued to Montgomery
Equity Partners L.P . 400,000 warrants to purchase new
ordinary shares with a two year term, exercisable at a price
equal to the lower of 90% of the Company’s share price at
issue of the warrants and 90% of the Company’s share price on
the date the warrants are exercised.The weighted average share
price at issue of the warrants was 5.288 pence.
During the period the mid price of the Company’s shares
traded between 3.1 pence and 7.12 pence.At 31 October
2005 the share price was 6.00 pence. 55
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
SHARE 
CAPITAL 
£000
CAPITAL REDEMPTION
RESERVE 
£000 
SHARE 
PREMIUM 
£000 
PROFIT AND 
LOSS ACCOUNT 
£000 
TOTAL SHAREHOLDERS’
FUNDS 
£000 
GROUP
1 November 2004 120 15 6,217 (5,275) 1,077
Retained profit for the financial period - - - 510 510
Shares issued to acquire subsidiary undertakings 6 - 129 - 135
Shares issued 98 - 1,903 - 2,001
Issue costs - - (361) - (361)
Exchange adjustments - - - (56) (56)
31 October 2005 224 15 7,888 (4,821) 3,306
SHARE 
CAPITAL 
£000
CAPITAL REDEMPTION
RESERVE 
£000 
SHARE 
PREMIUM 
£000 
PROFIT AND 
LOSS ACCOUNT 
£000 
TOTAL SHAREHOLDERS’
FUNDS 
£000 
COMPANY
1 November 2004 120 15 6,217 (5,149) 1,203
Retained profit/(loss) for the financial period - - - (283) (283)
Shares issued to acquire subsidiary undertakings 6 - 129 - 135
Shares issued 98 - 1,903 - 2,001
Issue costs - - (361) - (361)
31 October 2005 224 15 7,888 (5,432) 2,695
19 RESERVES AND RECONCILIATION OF MOVEMENT IN SHAREHOLDERS’ FUNDS 56
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
2005
£000
2004
£000
A: RECONCILIATION OF OPERATING PROFIT TO NET CASH (OUTFLOW) / INFLOW FROM OPERATING ACTIVITIES
Operating profit 850 (447)
Depreciation 65 67
Amortisation of goodwill 43 92
Profit/(loss) on disposals of fixed assets 5 (1)
(Increase)/decrease in debtors (1,608) 1,208
Increase/(decrease) in creditors 689 (533)
Exchange differences (56) (73)
Net cash (outflow)/inflow from operating activities (12) 313
B: ANALYSIS OF CASH FLOWS FOR HEADINGS NETTED IN THE CASH FLOW
RETURNS ON INVESTMENTS AND SERVICING OF FINANCE
Interest received 11 8
Interest paid (43) (45)
Interest element of finance lease rental payments (3) (9)
NET CASH OUTFLOW FROM RETURNS ON INVESTMENTS AND SERVICING OF FINANCE (35) (46)
TAXATION
UK corporation tax recovered/(paid) (4) 122
Overseas tax paid - (35)
NET CASH (OUTFLOW) / INFLOW FROM TAXATION (4) 87
CAPITAL EXPENDITURE AND FINANCIAL INVESTMENT
Purchase of tangible fixed assets (97) (24)
Sale of tangible fixed assets 94 46
NET CASH (OUTFLOW) / INFLOW FROM CAPITAL EXPENDITURE AND FINANCIAL INVESTMENT (3) 22
ACQUISITIONS AND DISPOSALS 
Consideration on acquisition of subsidiary undertakings and other investments (2,083) (92)
20 CASH FLOWS 57
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
2005
£000
2004
£000
FINANCING
Payment of deferred cash consideration - (17)
Issue of share capital 2,001 -
Costs of issue of shares (361) -
New bank loans 1,545 -
Directors’ loans 92 -
Other loans (135) 100
Capital element of finance lease rental payments (47) (76)
NET CASH INFLOW FROM FINANCING 3,095 7
C: ANALYSIS OF CHANGES IN NET DEBT AT 1 NOVEMBER
2004
£000
CASH FLOW
£000
OTHER NON-CASH
CHANGES
£000
AT 31 OCTOBER
2005
£000
Cash at bank and in hand 310 1,217 - 1,527
Bank overdrafts - (259) - (259)
310 958 - 1,268
Finance leases (71) 47 - (24)
Debt due within one year (315) (249) (1,161) (1,725)
Debt due after more than one year (75) (1,210) (1,505) (2,790)
(461) (1,412) (2,666) (4,539)
TOTAL (151) (454) (2,666) (3,271)
20 CASH FLOWS (CONTINUED) 58
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
PURCHASE PRICE
£000
FAIR VALUE TO 
THE GROUP 
£000 
GOODWILL
£000 
NAME OF SUBSIDIARY/BUSINESS ACQUIRED
Team Sports Management 53 - 53
ABG Financial Management Limited 2,594 (91) 2,503
The Finishing Touch (Corporate Events) Limited 3,229 (490) 2,739
FIMO Sport Promotion AG (additional consideration) 43 - 43
5,919 (581) 5,338
21 NET EFFECT OF ACQUISITIONS
TEAM SPORTS
MANAGEMENT 
£000 
ABG FINANCIAL
MANAGEMENT LIMITED 
£000 
THE FINISHING TOUCH
(CORPORATE EVENTS) 
LIMITED 
£000 
FIMO SPORT 
PROMOTION AG
£000
TOTAL 
£000 
Shares allotted - 70 65 - 135
Deferred consideration - 1,000 1,580 43 2,623
Initial cash consideration 50 1,300 1,362 - 2,712
Acquisition costs 3 224 222 - 449
53 2,594 3,229 43 5,919
The valuation of goodwill is subject to annual impairment
reviews and provisions are made as appropriate.An additional
payment of £43,000 related to deferred consideration due on
the FIMO acquisition was written off in full during the year.
The purchase price was satisfied by:
Goodwill arising on acquisition comprises: 59
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
BOOK VALUE OF ASSETS
ACQUIRED
£000
FAIR VALUE
ADJUSTMENTS
£000 
FAIR VALUE TO THE
GROUP 
£000 
FIXED ASSETS
Tangible 11 - 11
CURRENT ASSETS
Debtors 268 - 268
Cash 344 - 344
LIABILITIES
Creditors (532) - (532)
91 - 91
BOOK VALUE OF ASSETS
ACQUIRED
£000
FAIR VALUE
ADJUSTMENTS
£000 
FAIR VALUE TO THE
GROUP 
£000 
FIXED ASSETS
Tangible 20 - 20
CURRENT ASSETS
Debtors 702 - 702
Cash 934 - 934
LIABILITIES
Bank overdrafts (200) - (200)
Creditors (966) - (966)
490 - 490
£000
Net cash flow from operating activities 498
Returns on investments and servicing of finance 9
Taxation (2)
Capital expenditure and financial investment (5)
Net cash inflow 500
21 NET EFFECT OF ACQUISITIONS (CONTINUED)
The fair value of the assets of The Finishing T ouch 
(Corporate Events) Limited acquired by the Group comprises:
The cash flow statement of the Group includes the following cash
flow in respect of subsidiary undertakings acquired during the year:
The fair value of the assets of ABG Financial Management
Limited acquired by the Group comprises: 60
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
£000
Cash consideration 2,712
Acquisition costs 449
Cash held by acquired subsidiary undertakings (1,278)
Bank overdraft of acquired subsidiary undertakings 200
Net cash outflow 2,083
GROUP 2005
£000
2004
£000
PLANT AND MACHINERY
expiring within one year 4 37
expiring in between two and five years 5 6
LAND AND BUILDINGS
expiring in between two and five years 31 27
expiring after more than five years 28 28
COMPANY 2005
£000
2004
£000
PLANT AND MACHINERY
expiring within one year 2 37
expiring in between two and five years 3 6
LAND AND BUILDINGS
expiring in between two and five years - -
expiring after more than five years 16 28
21 NET EFFECT OF ACQUISITIONS (CONTINUED)
22 COMMITMENTS UNDER OPERATING LEASES
The net cash outflow in respect of acquisitions comprises:
At 31 October 2005 the Group had annual commitments
under non-cancellable operating leases as follows: 61
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
23 FINANCIAL INSTRUMENTS
The Group’s financial instruments comprise cash and short-
term deposits, finance leases and other borrowings and various
items such as trade debtors and creditors that arise directly
from its operations.The main purpose of these financial
instruments is to fund the Group’s operations, manage 
working capital and invest surplus funds.
It is, and has been throughout the period under review, the
Group’s policy that no trading in financial instruments shall 
be undertaken.
The main risks arising from the Group’s financial instruments
are interest rate risk, liquidity risk and foreign currency risk.
The Board reviews and agrees policies for the management 
of these risks and these are summarised below.These policies
have remained unchanged throughout the year.
INTEREST RATE RISK
The Group’s cash balances and deposits and debt through term
borrowings will be subject to fluctuations in current and future
interest rates. Debt in the form of deferred consideration for
the acquisition of subsidiary companies and unincorporated
businesses and all other significant financial assets and liabilities
do not bear interest.The Group monitors the rates of interest
receivable and payable on its cash and debt balances, but given
the nature of these assets and liabilities, interest liabilities are
not capped.
LIQUIDITY RISK
It is the Group’s policy to finance its business through
internally generated funds with surplus funds invested in 
short and medium fixed term money market deposits.
Requirements are kept under regular review by the Board and
Group companies have negotiated overdraft facilities with their
bankers in order to minimise any exposure to short-term
liquidity risks.
FOREIGN CURRENCY RISK
The subsidiary, FIMO Sport Promotion AG based in
Switzerland ceased operations during the previous period. It
regarded the Swiss Franc as its functional currency and there
remain intergroup balances outstanding between itself and its
holding company.
The subsidiary, PromoSport Srl based in Italy produces
accounts in Euros.
The Company and its subsidiaries enter into transfer deals and
other transactions denominated in Sterling, Swiss Francs, Euros
and US Dollars.The Group’s revenue and expenditure can
therefore be affected by foreign currency exchange
movements.
The Board monitors all foreign currency exposure but the
Company does not currently hedge against movements in the
exchange rates of Sterling and foreign currencies in respect of
any financial assets and liabilities. 62
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
CURRENCY TOTAL
£000 
ASSETS ON WHICH NO
INTEREST IS PAID 
£000 
FLOATING RATE 
FINANCIAL ASSETS 
£000 
FIXED RATE 
FINANCIAL ASSETS 
£000 
Sterling 3,134 1,681 1,453 -
Swiss Franc 70 - 70 -
Euro 789 789 - -
US Dollar 4 - 4-
3,997 2,470 1,527 -
CURRENCY TOTAL
£000 
ASSETS ON WHICH NO
INTEREST IS PAID 
£000 
FLOATING RATE 
FINANCIAL ASSETS 
£000 
FIXED RATE 
FINANCIAL ASSETS 
£000 
Sterling 468 348 120 -
Swiss Franc 121 78 43 -
Euro 291 146 145 -
US Dollar 13 11 2 -
893 583 310 -
23 FINANCIAL INSTRUMENTS (CONTINUED)
INTEREST RATE PROFILE OF FINANCIAL ASSETS AND LIABILITIES
The interest rate profile of the Group’s financial assets at 
31 October 2005 was:
The interest rate profile of the Group’s financial assets at 
31 October 2004 was:
In both 2005 and 2004 the interest rate received for the
floating rate financial assets was at prevailing bank rates. 63
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
23 FINANCIAL INSTRUMENTS (CONTINUED)
The interest rate profile of the Group’s financial liabilities at 
31 October 2005 was:
CURRENCY
TOTAL 
£000 
NON-INTEREST 
BEARING 
£000 
FLOATING RATE 
FINANCIAL LIABILITIES 
£000 
FIXED RATE 
FINANCIAL LIABILITIES 
£000 
Sterling 6,594 4,696 1,773 125
Swiss Franc 33 - -
Euro 465 434 31 -
US Dollar 66 - -
7,068 5,139 1,804 125
The interest rate profile of the Group’s financial liabilities at 
31 October 2004 was:
The interest on fixed rate financial liabilities is fixed to 
31 October 2007 at 7%.
Floating rate liabilities bear interest at between 2% 
and 2.2% over prevailing bank base rates.
CURRENCY
TOTAL 
£000 
NON-INTEREST 
BEARING 
£000 
FLOATING RATE 
FINANCIAL LIABILITIES 
£000 
FIXED RATE 
FINANCIAL LIABILITIES 
£000 
Sterling 757 587 - 170
Swiss Franc ----
Euro 397 397 - -
US Dollar 10 10 - -
1,164 994 - 170
2005
£000
2004
£000
Swiss Franc 31 118
Euro 1,002 241
US Dollar (6) 1
1,027 360
ASSET / (LIABILITIES)
FOREIGN CURRENCY EXPOSURES 
The table below shows the Sterling equivalent of the Group’s
exposure in respect of assets and liabilities denominated in
foreign currencies: 64
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
2005
£000
2004
£000
In one year or less, or on demand 4,260 1,066
In more than one year, but not more than two years 1,411 31
In more than two years, but not more than five years 1,397 67
7,068 1,164
23 FINANCIAL INSTRUMENTS (CONTINUED)
MATURITY OF FINANCIAL LIABILITIES
The maturity profile of the Group’s financial liabilities at 
31 October 2005 was:
BORROWING FACILITIES
At 31 October 2005 Group companies had undrawn overdraft
facilities of £500,000 and 25,000 Euros (2004: £500,000 and
25,000 Euros).
FAIR VALUE OF ASSETS AND LIABILITIES
There is no material difference between the fair value of the
Group’s assets and liabilities and their book value as shown in
the financial statements.
24 POST BALANCE SHEET EVENTS
Since 31 October 2005, the Company has made an investment
of £100,000 for a minority shareholding in The Complete
Leisure Group Limited, a new sports and marketing group.
25 RELATED PARTY DISCLOSURES
During the year, the Group procured event management
consultancy services totalling £25,000 (2004: £25,000) 
from Splash Events Limited, a company 50% owned by 
Mrs J M Smith, wife of Mr J A Smith. She also has the 
use of a company car. No balances were outstanding at 
31 October 2005.
During the year, the Group procured event management and
administrative services totalling £20,500 (2004: £20,000) from
Mrs Sarah Smith, wife of Mr P Smith. She also has the use 
of a company car. No balances were outstanding at 
31 October 2005. 65
NOTES TO THE FINANCIAL STATEMENTS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 OCTOBER 2005
2005
£000
2004
£000
Mr J A Smith 92 118
92 118
26 TRANSACTIONS WITH DIRECTORS
Amounts owed to Directors:
The loan due to Mr J A Smith is unsecured and repayable 
on demand.The rate of interest payable is the prevailing 
Bank of England base rate.
Included in other interest payable are amounts of £5,000
(2004: £6,000) payable to Mr J A Smith.
Part of the Company’s business premises are personally owned
by Mr J A Smith, for which the Group pays a commercial rent
of £28,000 per annum.
27 CONTINGENCIES
At 31 October 2005, the Company’s bank had granted
guarantees on behalf of the Company amounting to 
£25,000 (2004: £25,000), representing CHF 50,000 
(2004: CHF 50,000) converted at the prevailing period end
exchange rate.The Company has counter indemnified its bank
for these guarantees and for any other amounts that may
become payable to the bank on any account, by granting 
a legal charge over all its assets.
There were no other material contingent liabilities as at 
31 October 2005. 66
NOTICE OF ANNUAL GENERAL MEETING
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTICE OF ANNUAL GENERAL MEETING
FIRST ARTIST CORPORATION PLC (“THE COMPANY”) REGISTERED IN ENGLAND AND WALES NO. 2725009
NOTICE OF ANNUAL GENERAL MEETING
Notice is hereby given that the fourth Annual General
Meeting of First Artist Corporation plc will be held 
at the offices of Clintons Solicitors, 55 Drury Lane, London 
WC2B 5RZ on Wednesday 29 March 2006 at 10.00am 
for the following purposes:
Ordinary business
(1) T o consider and, if thought fit, adopt the audited accounts
of the Company for the period ended 31 October 2005
and the reports of the directors and auditors thereon.
(2) T o re-elect as a director Phil Smith, who retires under the
provisions of the Articles of Association of the Company,
and is eligible for re-appointment.
(3) T o re-elect as a director Jarvis Astaire, OBE who retires
under the provisions of the Articles of Association of the
Company, and is eligible for re-appointment.
(4) T o re-appoint Baker Tilly as auditors of the Company
from the conclusion of this Annual General Meeting 
until the conclusion of the next general meeting of the
Company at which accounts are laid.
(5) T o authorise the Directors to determine the remuneration
of the auditors.
SPECIAL BUSINESS
T o consider and, if thought fit, pass the following resolutions of
which resolution (6) will be proposed as an ordinary resolution
and resolutions (7) and (8) will be proposed as special
resolutions:
(6) T o authorise the Directors of the Company generally and
unconditionally pursuant to Section 80 of the Companies
Act 1985 (“the Act”) to allot relevant securities up to an
aggregate nominal amount of £120,000 for the period
expiring at the earlier of the conclusion of the next
Annual General Meeting or the date 15 months from the
date this resolution (6) comes into effect (unless previously
revoked or varied by the Company in general meeting and
provided that the Company may before such expiry make
an offer or agreement which would or might require such
relevant securities to be allotted after such expiry and the
Directors may allot relevant securities pursuant to such an
offer or agreement as if the authority conferred hereby had
not expired) and so that all previous authorities given by
the Company in general meeting pursuant to Section 80
of the Act are revoked (save to the extent relied upon prior
to the passing of this resolution).
(7) T o empower the Directors (subject to the passing of
resolution (6) above), during the period expiring on the
earlier of the conclusion of the next Annual General
Meeting of the Company and the date 15 months from
the date that this resolution (7) comes into effect (save 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 the offer or agreement as
if the power conferred by this resolution had not expired),
to allot or make offers or agreements to allot equity
securities pursuant to the authority granted by resolution
(6) above as if Section 89(1) of the Act did not apply to
any such allotment, provided that this power shall 
be limited:
(a) to the allotment of equity securities in connection with a
rights issue in favour of the holders of relevant shares and
relevant employee shares, or in connection with any other
form of issue of such securities in which such holders are
offered the right to participate, in proportion (as nearly as
may be) to their respective holdings but subject to such
exclusion or other arrangements as the Directors consider
necessary or expedient in connection with shares
representing fractional entitlements or on account of either
legal or practical problems arising in connection with the
laws of any territory, or of the requirements of any
generally recognised regulatory body or stock exchange 
in any territory; and
(b) to the allotment of equity securities in consequence of the
exercise of options over shares in the Company; and
(c) to the allotment (otherwise than pursuant to sub-
paragraphs (a) and (b) above) of equity securities up 
to an aggregate nominal amount of £120,000.
(8) T o authorise the Company in accordance with Section
166 of the Act to make market purchases of up to an
aggregate of 10,000,000 Ordinary Shares of 0.25p each 
in the capital of the Company at a price (exclusive of
expenses) which is:
(a) not less than 0.25 pence per share; and 67
NOTICE OF ANNUAL GENERAL MEETING
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
NOTICE OF ANNUAL GENERAL MEETING
FIRST ARTIST CORPORATION PLC (“THE COMPANY”) REGISTERED IN ENGLAND AND WALES NO. 2725009
(b) not more than 5% above the arithmetical average of 
the middle market quotations (as derived from the Daily
Official List of the London Stock Exchange plc) for
Ordinary Shares on the five business days preceding 
any such purchase; and the authority conferred by this
Resolution shall expire on the date of the Company’s
Annual General Meeting in 2007 (except in relation to 
the purchase of shares the contract for which was
concluded before such date and might be executed 
wholly or partly after such date).
Registered Office:
87 Wembley Hill Road
W embley
Middlesex
HA9 8BU
By Order of the Board
Richard Hughes
Secretary
27 January 2006
NOTES
(1) Any member entitled to attend and vote at the above
meeting is entitled to appoint one or more proxies to
attend and, on a poll, vote instead of him.A proxy 
need not be a member of the Company.
(2) A pre-paid form of proxy is enclosed.T o be valid, the form
of proxy (together with the power of attorney or other
authority (if any) under which it is signed, or a notorially
certified copy thereof) must be received at the registered
office of the Company set out above not less than 
48 hours before the time fixed for the meeting or 
any adjourned meeting at which the proxy is to vote.
(3) Copies of the contracts of service between the Directors
and the Company or any of its subsidiaries (other than
contracts expiring or determinable by the employing
company without compensation within one year) will be
available for inspection at the registered office during
normal business hours from the date of this Notice until
the date of the Annual General Meeting and at the place
of the meeting for 15 minutes prior to and during 
the meeting. 68
DIRECTORS AND ADVISERS
FIRST ARTIST ANNUAL REPORT AND ACCOUNTS 2005
DIRECTORS AND ADVISERS
SECRETARY
Richard Hughes, FCMA
REGISTERED OFFICE
87 Wembley Hill Road
W embley
Middlesex
HA9 8BU
NOMINATED ADVISER AND BROKER
Arbuthnot Securities Limited
Arbuthnot House
20 Ropemaker Street
London
EC2Y 9AR
AUDITORS
Baker Tilly
Chartered Accountants
2 Bloomsbury Street
London
WC1B 3ST
BANKERS
Allied Irish Bank (GB)
12 Old Jewry
London
EC2R 8DP
SOLICITORS
Clintons
55 Drury Lane
Covent Garden
London
WC2B 5RZ
REGISTRARS
Capita IRG plc
Bourne House
34 Beckenham Road
Beckenham
Kent 
BR3 4TU Designed and produced by 
Rare Corporate Design, London First Artist Corporation plc
First Artist House
87 Wembley Hill Road
W embley
Middlesex
HA9 8BU
T el: +44 (0)20 8900 1818
Fax: +44 (0)20 8903 2964
www .firstartist.com