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Transcontinental Media to phase out magazine subscription fulfillment division

Press release from the issuing company

MONTREAL--March 29, 2004-- Transcontinental Media announced today that it will be phasing out the Montreal operations of its internal magazine subscription fulfillment division, which will be outsourced to the fulfillment service provider INDAS. INDAS is owned by CDS, a subsidiary of the Hearst Group. INDAS currently has 185 employees in Toronto and Montreal and serves more than 90 business and consumer magazine titles in Canada. It already handles the fulfillment services for some of Transcontinental Media's English language titles such as Style at Home, Canadian Living, TV Guide, The Hockey News, Elle Canada, Homemakers and Madame, serving 1.5 million Transcontinental Media subscribers. "In 1993, when Transcontinental's subscription fulfillment division began operations, Transcontinental Media was publishing 12 titles and had 484,000 subscribers," explained Brian Master, Vice President of Circulation. "Since then, Transcontinental Media has grown rapidly, and now that same internal subscription division supports 23 titles, serving over one million subscribers. In the past year, it became evident that a specialist offering the latest technology could better meet the needs of those subscribers." Francois Blondin, Director of Circulation, added: "This expanded partnership with INDAS will prove to be very advantageous for Transcontinental Media, as we will benefit from INDAS' expertise and technology in the area of fulfillment services. We think that our customers will greatly benefit from this new partnership, as we will now be able to offer online services, automatic debit, auto-renewal and extended customer service hours."