MDCG Money Debt

RNS Number:1966X
Money Debt And Credit Group Plc
24 May 2007


                         MONEY DEBT & CREDIT GROUP PLC

                                 AGM STATEMENT


24 May 2007


At the AGM of Money Debt & Credit Group plc held in Watford at 10.30 am today,
the Managing Director, Jon Bartman, made the following statement:

"In 2006 our objective was to establish our business, our infrastructure and 
our market proposition to position ourselves to become a market leader in the 
personal insolvency sector. I am pleased to be able to report that we have 
successfully achieved these aims and in 2007 the Group anticipates further 
growth in market share.



Strategic Partnerships

The Group now has 25 active strategic partnerships with financial services
organizations, home shopping retailers, and call centres operators.

These strategic partnerships are exciting opportunities with benefits for all 
parties involved including debtors and their creditors. A key focus of our 
marketing strategy which we outlined in our AIM Admission Document is to use 
partnerships. These enable us to identify insolvent individuals at the 
earliest stage, often before they fully appreciate the extent of their debt 
problems, and the possible solutions available to them which are based on what
they are able to afford.

At the time of admission to AIM, we referred to 4 such partnerships.  The 
fact that this has grown to 25 in just 6 months of trading is clear evidence 
of the momentum our brands - Money Debt and Credit, Debt Fixers, and Citizens 
Debt Advisory Service - have achieved in the personal insolvency sector.

These partnerships now give us a regular flow of debtor referrals which can 
be evaluated by our debt advisors and insolvency experts to propose the most 
appropriate solution for the debtor and their creditors. It gives us a direct 
route to market avoiding more crowded channels such as TV or pay-per-click. 
Our business only incurs a cost on the completion of an income-generating debt 
solution. Part of this revenue is paid to our partners to reflect their work in 
progressing each case. The Group's target is for half of our IVA completions 
to be achieved from partnership referrals on this cost-per-acquisition basis.

Expanding our Range of Debt Solutions

The Group is currently able to offer a  range of insolvency solutions to 
debtors including IVAs, debt management schemes, consolidation loans and 
re-mortgages to maximise the return on our marketing spend and referral 
agreements.

As a consequence of our current partnership opportunities, Money Debt & Credit 
(Debt Management) Ltd will commence trading in July. The staff resources and 
infrastructure are currently being put in place for this business to process 
up to 1,000 debt management applications per month. This follows the 
relocation of our Head Office to a new site in Watford in January, giving the 
Group the required space and infrastructure to meet its strategic plans.

Growth in IVAs

The Group currently has IVA work in progress of 1,436 cases.

Money Debt & Credit Group is leading the industry in seeking a proactive
dialogue with creditors and their representatives through the establishment of
the Debt Resolution Forum - an independent representative body which provides a
voice for the industry and is setting best-practice standards for members.

We expect the current dialogue with creditors regarding fees to result in an
outcome which will benefit the Group. Our business volumes and average nominee
and supervisory fees currently make the Group a leading volume provider of IVAs
at a cost to creditors below that of many competitors.

Added to this, the recent Insolvency Service data for Q1 2007 showed that the
IVA market still continues to grow and coupled with the recent interest rate
rises, we foresee increased demand for the Group's services.

Through our strategy of offering a full range of debt solutions, developing our
network of referral partners, and investing in our resources, our
infrastructure, and our staff, the Board is confident about the continued
progress of the Group."


END



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