Trading Statement

RNS Number:1638O
Imagesound PLC
19 December 2006


19 December 2006


                                 Imagesound plc


    Pre-close trading statement, board changes and new banking arrangements


Imagesound plc (AIM: ISD.L), the UK's leading supplier of in-store music, radio
and TV services to the branded retail and leisure sectors, today announces its
pre-close trading update and details of its improved financing arrangements.


Imagesound has performed well in 2006 and made good progress on the development
of its strategy. The Board is confident that results for the year ending 31
December 2006 will be in line with expectations.


Imagesound's strategy is to build sustainable profits by leveraging its
operating infrastructure across a growing network of retail and leisure outlets,
obtained through new client wins and the acquisition of rival operators.


Despite the generally challenging retail climate for much of the year, interest
in the company's services has remained high. Clients continue to seek ways to
create and control their retail environment through the use of music, radio and
TV, to enhance the customer experience and support their brand offer.
Significant new and upgraded contracts were secured in the year with Carphone
Warehouse, B&Q, Uniqlo, Sports World, Next, Roseby's and Wickes.


Imagesound made two further acquisitions in the year, both of which are
performing well. Musicstyling.com was acquired in May and is being run as a
parallel brand. It is the leading supplier of bespoke music systems to the
luxury hotel market, operating around 1000 music "zones" in over 210 hotels
around the world. It is currently installing 32 music zones in the Shelbourne
Hotel in Dublin and 16 zones at the Jumeirah in Dubai. Impact Audiomedia was
acquired in September and has already been integrated into the business. It
gives Imagesound the capability of producing radio commercials and bespoke radio
programmes in-house as well as a number of new customers including The Royal
Bank of Scotland, Toyota GB, Halifax Bank of Scotland and Reid Furniture.


In order to maintain its progress on acquisitions, Imagesound has recently
concluded successful negotiations with its bankers, Royal Bank of Scotland, to
enhance its financial resources. A new #9 million debt facility, subject to
normal lending criteria, has been agreed which will significantly increase
Imagesound's acquisition funding.


In addition, the Company is delighted to announce the appointment of Stephen
Yapp (aged 49) to the Board as a non-executive director with effect from 1st
January 2007. Most recently, Stephen was Chief Executive of DCS Group, the
software and services provider to the European Logistics and Automotive Markets,
which he joined in 2001. Stephen brings a wealth of experience of working with
international listed companies, including as Finance Director of SGB and Arjo
Wiggins Appleton Speciality Paper. Stephen replaces Charles Fairbairn who is
standing down from the Board as a non-executive director with effect from 31st
December due to increases in his other business commitments. The Board would
like to record its thanks to Charles for his substantial contribution as a
director of the company and Chairman of the Audit Committee since the enlarged
group was established in August 2004.


Imagesound will be announcing its results for the year ending 31st December 2006
on Wednesday 7th March 2007.


                                      Ends


For further information:

Imagesound plc
Derek Mapp, Executive Chairman                     Tel: [phone]
Michael Clark, Chief Executive

Hogarth Partnership
James Longfield/Georgina Briscoe                   Tel: [phone]


Notes to Editors


Imagesound is the UK's leading listed supplier of in-store music, radio and TV
services. It provides music and messaging services to over 45 leading branded
retail and leisure chains reaching over 12,937 subscriber outlets.


Customers include Superdrug, Yates, B&Q, Kwik Save, Foot Locker, Carphone
Warehouse, McDonald's, Subway, Halifax, Next, Focus, Holiday Inn, River Island,
O'Neill's, Fitness First, Pizza Express and JJB.


Imagesound is listed on the AIM market of the London Stock Exchange (ISD.L)



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

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