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PRELIMINARY RESULTS 2001

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Results Overview

Financial Review

2001 Trading Review

Impact of September 11th

2002 Trading

Group Strategy and Prospects

Holidaybreak plcPRELIMINARY RESULTS 2001

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Five years of growth in profits, EPS and dividend

Profit before tax - £23.8m* (+15%)

EPS - 38.1p* (+12%)

Dividend - 18.0p (+12.5%)

Profit impact of September 11th

-£160,000 reduction

Holidaybreak plcPRELIMINARY RESULTS 2001 (1)

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*EPS and profit figures before goodwill amortisation and exceptional costs

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Outstanding year for Hotel Breaks

Another very solid performance from

Camping

Good progress by Adventure - first full year

for Explore Worldwide and Regal

Resilient businesses

Further profitable progress in 2002 anticipated

Holidaybreak plcPRELIMINARY RESULTS 2001 (2)

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Holidaybreak plc2001 PROFIT & LOSS ACCOUNT (1)

2001 2000Group Group£'000 £'000

Turnover 192,489 164,518Gross Profit 56,004 48,308Operating Profit 26,674 23,667Profit before Tax 23,809 20,709Earnings per Share 38.1p 34.0pDividend per Share 18.0p 16.0p

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Holidaybreak plc2001 PROFIT & LOSS ACCOUNT (2)

Camping Hotel-Breaks Adventure Group£'000 £'000 £'000 £'000

Turnover 2001 103,691 57,768 31,030 192,4892000 102,357 46,054 16,107 164,518

Gross Profit 2001 35,773 10,966 9,265 56,0042000 34,703 8,742 4,863 48,308

PBIT 2001 17,833 5,466 3,375 26,6742000 17,001 4,390 2,276 23,667

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Holidaybreak plc2001 BALANCE SHEET

2001 2000(Restated)

£'000 £'000Fixed Assets/Investments 59,624 54,858Goodwill 31,600 32,753Net Current Liabilities (31,459) (29,113)Non-Current Creditors (684) (900)Deferred Tax (6,022) (5,482)Net Debt (25,065) (32,203)Net Assets 27,994 19,913

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Holidaybreak plc2001 CAPITAL EXPENDITURE & DISPOSALS (1)

£'000 Mobile- Camping Other Totalhomes Equipment Assets

Opening NBV 39,621 7,423 6,735 53,779Additions 11,195 5,755 1,106 18,056Disposals (2,332) - (81) (2,413)Depreciation (5,681) (4,828) (1,185) (11,694)Closing NBV 42,803 8,350 6,575 57,728

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Total capex 9% down on 2000

Net spend on mobile-homes £8.9m (57% of

total)

Mobiles continue to achieve book value on

disposal

Non-camping division expenditure of £0.5m

Holidaybreak plc2001 CAPITAL EXPENDITURE & DISPOSALS (2)

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Holidaybreak plc2001 CASH FLOW (1)

2001 2000£'000 £'000

Operating Cash Flow 39,684 39,726Capital Expenditure (net) (7,720) (5,435)Acquisitions - (7,843)Interest (2,492) (2,958)Tax (7,600) (5,080)Dividends (7,639) (6,569)(Decrease) increase in loans & HP (15,713) 9,759Shares issued 1,122 560Net Cash Flow (358) 22,160

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Strong operational cash flow

Capex largely financed through new HP

Capex requirement 2002 & beyond

Interest cover 8.6 times (2000: 7.7)

Currency and interest hedges in place

Headroom in bank facilities

Holidaybreak plc2001 CASH FLOW (2)

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Holidaybreak plcTURNOVER 1997 - 2001

106.4 113.5

142.4164.5

192.5

80.0

100.0

120.0

140.0

160.0

180.0

200.0

1997* 1998 1999 2000 2001

*12 months pro-forma

£m

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Holidaybreak plcPROFIT BEFORE TAX 1997 - 2001

*12 months pro-forma

£m

11.214.0

17.3

20.723.8

5.0

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Holidaybreak plcEARNINGS PER SHARE 1997 - 2001

21.626.8 29.3

34.038.1

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1997* 1998 1999 2000 2001

*12 months pro-forma 46,406,369 shares currently in issue

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Holidaybreak plcDIVIDEND 1997 - 2001

11.5 12.514.0

16.018.0

5.0

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20.0

1997 1998 1999 2000 2001

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Market conditions more favourable - especially UK high season

Operating profits up 5%

Margin improvements mainly due to continuing trend to mobile-homes - also UK market strength

Successful UK marketing campaign

Holidaybreak plc2001 TRADING - CAMPING

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Another excellent year - profits and turnover up 25%, despite potential disruption from floods, rail crisis, foot and mouth etc

Internet the star performer - on-line bookings c.15% of total

Direct also growing well Rainbow acquisition

beneficial - c.65% share of travel agency sales

Profit impact of September 11th c.£30,000

Holidaybreak plc2001 TRADING - HOTEL BREAKS

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Sales up 12% - no like for like profit comparisons Pre-September 11th gross margins as normal -

some overhead increases, largely anticipated at time of acquisition

Operational disruption greater than normal even pre- September 11th - Nepal and Sri Lanka etc

Profit impact of September 11th c.£130,000

Holidaybreak plc2001 TRADING - ADVENTURE

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Immediate slow down in bookings

activity everywhere

2001 “lates” hit hard

All sectors have recovered but

some much more slowly

than others

Booking lead times shorter

Holidaybreak plcSEPTEMBER 11th - IMPACT ON UK HOLIDAY SECTOR (1)

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Ski, city breaks, coaching doing well

Footfall in travel agents still well down -

directs and internet holding up better

Cumulative figures may in some cases

mask much weaker trading since

September 11th

Holidaybreak plcSEPTEMBER 11th - IMPACT ON UK HOLIDAY SECTOR (2)

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Summer 2002 AIT market will be down

(c.5%?)

Capacity reductions by majors

Long-haul the most

affected

Market will book

later but will book

Holidaybreak plcSEPTEMBER 11th - OUTLOOK FOR UK HOLIDAY SECTOR (1)

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Domestic and self-drive should be well placed

Another tough year for

inbound

Consumers will take

holidays but booking

patterns and lead times

will be different to

normal

Holidaybreak plcSEPTEMBER 11th - OUTLOOK FOR UK HOLIDAY SECTOR(2)

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No effect on 2001

Slowdown in bookings during September

Strong recovery since then - 4% up over

past six weeks

Self-drive holidays to

Europe should be well

placed - booking lead

times may reduce

Holidaybreak plcSEPTEMBER 11th - IMPACT ON CAMPING

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Bookings level with last year - nearly 50% of estimated final total now in

Mobile-homes continuing to increase in popularity

High-low season balance similar to previous years

Directs stronger than travel agents Dutch market has been slow but now showing

signs of recovery Another good year expected

Holidaybreak plc2002 TRADING - CAMPING

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Initial dip in bookings but soon recovered - London took a little longer and airport hotels still below par

Estimated 2001 profit reduction of £30,000 Overseas visitors well down - strong promotion

to the domestic market Inbound only a tiny

proportion of sales Positive outlook for

domestic markets

Holidaybreak plcSEPTEMBER 11th - IMPACT ON HOTEL BREAKS

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Strong year on year sales growth now coming through

Internet particularly buoyant Very good support from high

street agents Launch of European

‘accommodation only’programme - initial signsvery encouraging

Market conditions continue to be favourable - a third year of growth in prospect

Holidaybreak plc2002 TRADING - HOTEL BREAKS

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Pre-September 11th 2002 trading had been strong

Estimated impact on 2001 : loss of £300,000 in turnover and £130,000 profits

Operational disruption - flight disruption, tour cancellations etc

Volumes down due to new bookings falloff, cancellations and tour consolidations

Holidaybreak plcSEPTEMBER 11th - IMPACT ON ADVENTURE (1)

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Holidays postponed by some customers

Load factors affected

No commitments to airline seats or ground

costs

Regal charter load factors have held up and

commitments being reduced

Situations now much closer to normality

Holidaybreak plcSEPTEMBER 11th - IMPACT ON ADVENTURE (2)

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New bookings now coming through strongly Credits will turn into bookings Islamic countries c.25% of Explore business in

a ‘normal’ year - tours still running to most of these countries

Europe will book strongly for 2002 - Africa and South America also expected to be popular

Holidaybreak plc2002 TRADING - ADVENTURE (1)

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Regal’s core diving market will be resilient

Lots of positives - new website and brochure,

strong pre-September 11th trends

Business will trade profitably but October-

March period has suffered a significant set

back

Holidaybreak plc2002 TRADING - ADVENTURE (2)

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Clearly there is uncertainty but 84% of turnover and 87% of operating profit derived from businesses not directly affected by September 11th

Adventure has excellent longer term prospects and will remain profitable in the current year

We continue to pursue new initiatives and to seek suitable acquisitions

We have resilient businesses and expect to make further profitable progress in 2002 and to once again increase shareholder value

Holidaybreak plcGROUP PROSPECTS AND STRATEGY

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