Observer streamlines in the UK

9/13/2000 9:03 AM EST

Observer is divesting a small part of its British operations and concentrating
in the UK on Media Intelligence and Communication.

After having transferred the well-known Willings Press Guide to another part
of its British operations, Observer is now divesting Hollis Directories. The
company, which produces and markets a number of regularly published handbooks
and catalogues, falls outside Observer's core business. Hollis will be sold to
the British publisher Wilmington Group, listed on the stock exchange, and the
company's management.

"Hollis is a small part of our operations," says Observer CEO Robert
Lundberg. "The sale is an element in Observer's efforts to further develop
and concentrate its British operations on Media Intelligence and
Communication."

Hollis has a turnover of approximately GBP 2 million on an annual basis,
corresponding to slightly more than two percent of Observer Group's revenue.

The total consideration amounts to GBP 3.6 million. The P/E amounts to
approximately 10. No capital gain will arise for Observer from the disposal.

Extraordinary general meeting, September 29
Because Hollis' management is among the buyers, the sale is conditional on the
approval of Observer's general meeting. Observer AB has therefore announced
that an extraordinary general meeting will be held at 9:00 a.m. (CET) on
September 29 at the company's office on Linnégatan 87, Stockholm.

About Observer AB
Observer AB (formerly Sifo Group), listed in the O-list of the OM Stockholm
Exchange, has its operations in media and market monitoring, analysis,
evaluation, target group identification for, and distribution of, information
for PR and IR purposes. Through SMG Consulting, Observer AB is also active in
management and strategic consulting. On a moving 12-month basis, Observer AB
has revenues of approximately SEK 1.1 billion and around 1,500 employees in
Sweden, Norway, Denmark, Finland, Estonia, Latvia, Lithuania, Germany and the
UK.

For further information, please contact:
Jan-Erik Jansson, Chief Financial Officer, phone +46-8-507 410 14,
e-post jan-erik  

Per Blixt, Chief Communications Officer, phone +46-8-507 410 12/+46-70-549 28
08, e-mail  

This press release is also accessible online at www.observergroup.com