UBS Media ConferenceUBS Media Conference6 December 20016 December 2001

This presentation contains forward-looking statements within the meaning of Section 27A ofthe US Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of1934, as amended. These statements concern future matters, such as the features andfunctions of, and markets for, products and services offered by Reed Elsevier, and ReedElsevier’s business plans and strategies. Forward-looking statements are based on the currentexpectations of the management of Reed Elsevier and are subject to risks and uncertainties.Actual results and events could differ materially from the results discussed in the forward-looking statements. Factors which could cause or contribute to differences in results include,but are not limited to, general economic conditions and business conditions in Reed Elsevier’smarkets, customers’ acceptance of its products and services, the actions of competitors,changes in law and legal interpretation affecting Reed Elsevier’s intellectual property rights,and the impact of technological change. Reed Elsevier is not under any obligation (andexpressly disclaims any such obligation) to update or alter its forward-looking statementswhether as a result of new information, future events or otherwise.

This presentation contains forward-looking statements within themeaning of Section 27A of the US Securities Act of 1933, asamended, and Section 21E of the Securities Exchange Act of 1934,as amended. These statements concern future matters, such as thefeatures and functions of, and markets for, products and servicesoffered by Reed Elsevier, and Reed Elsevier’s business plans andstrategies. Forward-looking statements are based on the currentexpectations of the management of Reed Elsevier and are subject torisks and uncertainties. Actual results and events could differmaterially from the results discussed in the forward-lookingstatements. Factors which could cause or contribute to differences inresults include, but are not limited to, general economic conditionsand business conditions in Reed Elsevier’s markets, customers’acceptance of its products and services, the actions of competitors,changes in law and legal interpretation affecting Reed Elsevier’sintellectual property rights, and the impact of technological change.Reed Elsevier is not under any obligation (and expressly disclaimsany such obligation) to update or alter its forward-looking statementswhether as a result of new information, future events or otherwise.

ScientificScientific& Medical& Medical

c$2.0bnc$2.0bn

No. 1 in ScienceNo. 1 in ScienceNo. 1 in MedicalNo. 1 in MedicalGlobal Global

Note: Proforma Revenues post Harcourt

LegalLegal

c$2.0bnc$2.0bn

US, UK, Europe US, UK, Europe Asia PacificAsia Pacific

Latin AmericaLatin America

No 1 or 2 inNo 1 or 2 in all marketsall markets

EducationEducation

c$1.5bnc$1.5bn

No. 3No. 3No. 1No. 1No. 1No. 1

USUSUKUK

CommonwealthCommonwealth

BusinessBusiness

c$2.0bnc$2.0bn

No. 1No. 1

No. 1No. 1

MagazinesMagazinesUS, UK, NetherlandsUS, UK, Netherlands

ExhibitionsExhibitionsGlobalGlobal

Four Businesses Four Businesses

Positive Fundamentals Positive Fundamentals

Sustained long-term market demand & growthSustained long-term market demand & growth Strong number 1 or 2 position globallyStrong number 1 or 2 position globally

in each sectorin each sector Prestigious, leadership brands andPrestigious, leadership brands and

premium contentpremium content Targeted single-mindedly at professional usersTargeted single-mindedly at professional users Strong bias to stable, non-cyclicalStrong bias to stable, non-cyclical

revenue streamsrevenue streams Strong cashflow underpinned byStrong cashflow underpinned by

subscription modelsubscription model

2002:2002: Above market revenue growthAbove market revenue growthDouble digit earnings growthDouble digit earnings growth

Reed Elsevier Vision Reed Elsevier Vision

Indispensable partner of professional Indispensable partner of professional customerscustomers

Demonstrably superior information driven Demonstrably superior information driven services services

Global presence and leadership in four target Global presence and leadership in four target sectorssectors

High quality management and organisational High quality management and organisational effectivenesseffectiveness

Key Foundations of Growth StrategyKey Foundations of Growth Strategy

Upgrade sales Upgrade sales & marketing& marketing

Upgrade sales Upgrade sales & marketing& marketing

Build global Build global capabilitycapability

Build global Build global capabilitycapability

Major cost Major cost savingssavings

Major cost Major cost savingssavings

Substantially Substantially increased increased

investmentinvestment

Substantially Substantially increased increased

investmentinvestment

Add Add acquisitions/ acquisitions/

alliancesalliances

Add Add acquisitions/ acquisitions/

alliancesalliances

Demonstrably Demonstrably superior superior productsproducts

Demonstrably Demonstrably superior superior productsproducts

Upgrade Upgrade managementmanagementeffectivenesseffectiveness

Upgrade Upgrade managementmanagementeffectivenesseffectiveness

Focus onFocus onfour corefour core

businessesbusinesses

Pro forma revenues Pro forma revenues post Harcourtpost Harcourt

Pro forma revenues Pro forma revenues post Harcourtpost Harcourt1999 revenues1999 revenues1999 revenues1999 revenues

EducationEducation20%20%

ScienceScience26%26%

LegalLegal26%26%

BusinessBusiness28%28%BusinessBusiness

43%43%

ScienceScience20%20%

LegalLegal32%32%

EducationEducation5%5%

Reshaping Reed ElsevierReshaping Reed ElsevierMore Balanced PortfolioMore Balanced Portfolio

1999 1999 operating profitoperating profit1999 1999 operating profitoperating profit Pro forma operating Pro forma operating profit post Harcourtprofit post Harcourt

Pro forma operating Pro forma operating profit post Harcourtprofit post Harcourt

EducationEducation18%18%

ScienceScience38%38%

LegalLegal25%25%

BusinessBusiness19%19%ScienceScience

29%29%

LegalLegal35%35%

BusinessBusiness31%31%

EducationEducation5%5%

Reshaping Reed ElsevierReshaping Reed ElsevierMore Balanced PortfolioMore Balanced Portfolio

Business to BusinessBusiness to Business 21%21% 13%13%(including recruitment)(including recruitment)

LegalLegal 2%2% 2% 2%(Martindale-Hubbell)(Martindale-Hubbell)

ScienceScience 1%1% 1% 1%(Healthcare)(Healthcare)

24%24% 16% 16%

% Total RE Revenues% Total RE Revenues

19991999 Post HarcourtPost Harcourt

Reshaping Reed ElsevierReshaping Reed ElsevierAdvertising Revenues Advertising Revenues

Elsevier Science:Elsevier Science:Historical Strength in JournalsHistorical Strength in Journals

Successful introduction of leading online Successful introduction of leading online information service, ScienceDirectinformation service, ScienceDirect

Rationalisation of pricing policiesRationalisation of pricing policies Significant expansion of sales force and Significant expansion of sales force and

upgrade in marketingupgrade in marketing Continual development of functionality, Continual development of functionality,

customisation, ease of usecustomisation, ease of use Acquisition of leading global medical publisherAcquisition of leading global medical publisher

Elsevier Science:Elsevier Science:Key Strategic MilestonesKey Strategic Milestones

Navigation30m abstracts & indices

Navigation30m abstracts & indices

PhysicsPhysics Econ.Econ. Chem.Chem. Etc Etc BioMedBioMed

Subject PortalsSubject Portals

Archive4m backfilesArchive

4m backfiles

ScienceDirect

1.4m articlesFully searchable

database

ScienceDirect

1.4m articlesFully searchable

database

Library Management Tools:ENDEAVOR

Web search Web search engineengine

SCIRUSSCIRUS

55m 55m science science related related pagespages

Authorship Authorship and pre-and pre-

publication publication toolstools

ACADEMIC ACADEMIC WORK WORK BENCHBENCH

ScienceDirect:ScienceDirect:Superior Global ProductSuperior Global Product

Dramatic increase in usageDramatic increase in usage

Increasing penetration of ScienceDirect Increasing penetration of ScienceDirect

Subscriber attrition reducedSubscriber attrition reduced

Major new contracts agreedMajor new contracts agreed

Marketplace Impact:Marketplace Impact:Positive Key Performance IndicatorsPositive Key Performance Indicators

ScienceDirect:ScienceDirect:Increase in UsageIncrease in Usage

Number of page views (millions)Number of page views (millions)

00

55

1010

1515

2020

2525

JanJan

9999MarMar

9999MayMay

9999JulJul

9999SepSep

9999NovNov

9999JanJan

0000MarMar

0000MayMay

0000JulJul

0000SepSep

0000NovNov

0000JanJan

0101MarMar

0101MayMay

0101JulJul

0101SepSep

0101

ScienceDirect:ScienceDirect:Increasing PenetrationIncreasing Penetration

%%

00

1010

2020

3030

4040

5050

6060

7070

8080

MarMar9999

AugAug9999

FebFeb0000

AugAug0000

DecDec0000

AugAug0101

DecDec0011

(target)

%%

Elsevier Science:Elsevier Science:Reversal in AttritionReversal in Attrition

00

22

44

66

88

1010

19971997 19981998 19991999 20002000 20012001(target)(target)

6.06.0

8.58.5

5.25.2

4.04.04.14.1

Dutch ConsortiumDutch ConsortiumDutch ConsortiumDutch ConsortiumChinaChinaChinaChina

KoreaKoreaKoreaKorea

AustraliaAustraliaAustraliaAustralia

TaiwanTaiwanTaiwanTaiwan

BrazilBrazilBrazilBrazil

CanadaCanadaCanadaCanada

BavariaBavariaBavariaBavaria

Vale (USA)Vale (USA)Vale (USA)Vale (USA) Nord Rhein WestphaliaNord Rhein WestphaliaNord Rhein WestphaliaNord Rhein Westphalia

Marketplace Impact:Marketplace Impact:Major New ContractsMajor New Contracts

Health Sciences DivisionHealth Sciences Division

Health Sciences: Health Sciences: Key Strategic MilestonesKey Strategic Milestones

Global leading position with Harcourt Global leading position with Harcourt acquisitionacquisition

New management team and organisational New management team and organisational structure structure

Major upgrade of publishing, sales and Major upgrade of publishing, sales and marketing marketing

Refocus of publishing portfolioRefocus of publishing portfolio Development of superior online capabilities Development of superior online capabilities

Science & MedicalScience & Medical

Continued strong growth momentumContinued strong growth momentum

Driven by ScienceDirect electronic platformDriven by ScienceDirect electronic platform

All executional elements successfullyAll executional elements successfullyon trackon track

Harcourt will further strengthen positionHarcourt will further strengthen position

Legal:Legal: Historical Strength in Print & Historical Strength in Print & Proprietary OnlineProprietary Online

Legal:Legal:Key Strategic MilestonesKey Strategic Milestones

Major investment to turn around historic Major investment to turn around historic underperformanceunderperformance

Dramatic upgrade in LexisNexis online serviceDramatic upgrade in LexisNexis online service Acquisitions and alliances to secure key contentAcquisitions and alliances to secure key content Expansion of sales force and upgrade of marketing Expansion of sales force and upgrade of marketing

programmeprogramme Launch of online service in Europe and AsiaLaunch of online service in Europe and Asia Acquisitions in Europe, Latin America andAcquisitions in Europe, Latin America and

Asia PacificAsia Pacific

TAXCCH/Tax Analysts

LEGALExpandedE-treatises

Improved Linkages

CITATORFunctionality

Upgrade

CASE SUMMARIES300 700 Editors

WEB RELIABILITYPrivate Nodes

EASE OF USENew lexis.com

New WebSphere Platform

NEWS & BUSINESSFT Profile/

Company Dossier

PUBLIC RECORDSRiskwise/Corp America

Acquisitions

LexisNexis: LexisNexis: Product Upgrade ProgrammeProduct Upgrade Programme

CUSTOMERRESEARCH

lexisnexis.com

SALES FORCE EXPANSION450-700 sales

representatives

LAW SCHOOL PREFERENCEDedicated sales

effort

CUSTOMISATIONeSolutions Plumtree

ALLIANCESSiebel

LawCommerce.com

BRANDINGGlobal LexisNexis Brand

MONETISE INCREASED USAGE

over 20% usage increase

LEGAL PORTALlexisone.com

LexisNexis:LexisNexis:Marketing & Sales Upgrade ProgrammeMarketing & Sales Upgrade Programme

Marketplace Impact:Marketplace Impact:Positive Key Performance IndicatorsPositive Key Performance Indicators

Turnaround in revenue growthTurnaround in revenue growth

Competitive product performanceCompetitive product performance

Competitive preference in law schools Competitive preference in law schools

Powerful growth in % online usagePowerful growth in % online usage

Major new contracts wonMajor new contracts won

00

11

22

33

44

55

66

Marketplace Impact: Marketplace Impact: Turnaround in Turnaround in LexisNexis Revenue GrowthLexisNexis Revenue Growth

1998 1999 2000 2001* first half* first half

+5%+5%

+1%+1%

+2%+2%

+3%+3%

%%

LexisNexis Preference Overall in Law Schools (%)LexisNexis Preference Overall in Law Schools (%)

Marketplace Impact:Marketplace Impact:Online Product Preference ConfirmedOnline Product Preference Confirmed

00

1010

2020

3030

4040

5050

6060

19971997 19981998 19991999 20002000 20012001FallFall FallFall FallFall FallFall FallFall

15151919

3232

54545050

Marketplace Impact:Marketplace Impact:Increase in UsageIncrease in Usage

Number of Searches (millions)

33

44

55

66

77

88

99

1010

Jan99

May99

Sep99

Jan00

May00

Sep00

Jan01

May01

Sep01

Marketplace Impact:Marketplace Impact:Major New ContractsMajor New Contracts

Preferred provider agreements closed with five Preferred provider agreements closed with five of top US law firmsof top US law firms

New contracts increased more than 25% in New contracts increased more than 25% in Small Law Firm marketSmall Law Firm market

Department wide contract signed with Department wide contract signed with Immigration and Naturalisation serviceImmigration and Naturalisation service

Major new Nexis contracts with US government Major new Nexis contracts with US government (US Navy, Internal Revenue Service), Sprint, (US Navy, Internal Revenue Service), Sprint, Proctor & Gamble etcProctor & Gamble etc

Legal Legal

Real evidence of turnaround for US Real evidence of turnaround for US LexisNexisLexisNexis

Fundamentals on product, sales and Fundamentals on product, sales and marketing positivemarketing positive

Confidence that growth momentum can be Confidence that growth momentum can be maintainedmaintained

International business and global International business and global development on trackdevelopment on track

Business: Business: Leadership Portfolio inLeadership Portfolio inPrint Magazines and ExhibitionsPrint Magazines and Exhibitions

Business: Business: Key Strategic MilestonesKey Strategic Milestones

Refocus and rationalise portfolioRefocus and rationalise portfolio Focus on building share: product quality, Focus on building share: product quality,

sales and marketingsales and marketing Aggressive cost savings programmeAggressive cost savings programme Coherent internet strategy to deliver Coherent internet strategy to deliver

profitable growthprofitable growth Strengthen leadership position in global Strengthen leadership position in global

exhibitionsexhibitions

Decline in revenues in second half; costs Decline in revenues in second half; costs cut aggressively cut aggressively

USUS

Progressive Downturn in B2B Progressive Downturn in B2B

Continental Continental EuropeEurope

Slow down in second half; subscription Slow down in second half; subscription and circulation holding upand circulation holding up

UKUK Revenue decline in second half; weakness Revenue decline in second half; weakness in IT spread to other sectorsin IT spread to other sectors

Weakness in US autumn shows; Europe & Weakness in US autumn shows; Europe & Rest of World robust Rest of World robust

GlobalGlobalExhibitionsExhibitions

ConclusionsConclusions 2001: small overall decline in revenues and 2001: small overall decline in revenues and profit versus prior yearprofit versus prior year

Business: Business: Outperformance of MarketOutperformance of Market

Portfolio quality and sector spreadPortfolio quality and sector spread

Good geographic balance Good geographic balance

Leadership positions in nearly all sectorsLeadership positions in nearly all sectors

Investment led momentum in product Investment led momentum in product development sales and marketingdevelopment sales and marketing

Effective management of costsEffective management of costs

Continued strong online growthContinued strong online growth

VarietyVariety +6%+6%

Interior DesignInterior Design +4%+4%

Broadcasting & CableBroadcasting & Cable +10%+10%

CahnersCahners

EBIEBI Fem/De WeekFem/De Week +15%+15%

BoerderijBoerderij +2%+2%

BouwwereldBouwwereld +25%+25%

RBIRBI Computer WeeklyComputer Weekly +16%+16%

Electronics WeeklyElectronics Weekly +10%+10%

New ScientistNew Scientist + 7%+ 7%

Based on ad pages January - September 2001

Business:Business:Market Share GainsMarket Share Gains

00

2020

4040

6060

8080

100100

120120

19991999 20002000 20012001targettarget

$m$m

Business:Business:Total Online Revenue GrowthTotal Online Revenue Growth

2020

5555

9090OrganicOrganic

Including Acquisitions Including Acquisitions

BusinessBusiness

Executing successfully remedial plan to meet Executing successfully remedial plan to meet economic downturneconomic downturn

Market share momentum through improved Market share momentum through improved product/sales/marketingproduct/sales/marketing

Cost savings successfully deliveredCost savings successfully delivered Balancing online investment with size of Balancing online investment with size of

opportunityopportunity Impact of economic downturn manageableImpact of economic downturn manageable

Education:Education:Strength in English Speaking WorldStrength in English Speaking World

Education: Education: Key Strategic MilestonesKey Strategic Milestones

Acquired most consistently successful US schools Acquired most consistently successful US schools education publishereducation publisher

Again, # 1 overall market share in 2001 adoptions Again, # 1 overall market share in 2001 adoptions Strong management team in placeStrong management team in place

Focus on school classroomFocus on school classroom Maintain momentum in K-12 basal and supplemental marketsMaintain momentum in K-12 basal and supplemental markets Exploit leadership position in growing testing marketExploit leadership position in growing testing market Build capacity in online teacher training and e-learningBuild capacity in online teacher training and e-learning

OutperformOutperform

US Education Market*US Education Market*Growth %Growth %

1997 1998 1999 2000 20011997 1998 1999 2000 2001

1313 1212 22 1313 7-87-8

Harcourt Education**Harcourt Education**Growth %Growth % 99 33332121 44 outperformoutperform

xx

Note: * US Education Market represent total K-12 textbook sales as reported by Association of

American Publishers (AAP) for years 1997-2000/** Harcourt Education sales include elementary, secondary, and supplemental (Steck-Vaughn)

Education: Education: Outperformance of MarketOutperformance of Market

# 1# 1# 1# 1ScienceScience

# 3# 3# 1# 1Social StudiesSocial Studies

# 3# 3# 1# 1MathematicsMathematics

# 1# 1# 1# 1Language ArtsLanguage Arts

#1#1# 3# 3Reading/LiteratureReading/Literature

SecondarySecondaryElementaryElementary

Overall Overall # 1# 1

Overall Overall # 1# 1

Education: Education: Performance in 2001 AdoptionsPerformance in 2001 Adoptions

Education:Education:E-learning ProgrammeE-learning Programme

E-strategy:E-strategy:Major research programme to determine customer Major research programme to determine customer needs and future strategyneeds and future strategy

E-content:E-content:Technology programme accelerated by Riverdeep Technology programme accelerated by Riverdeep alliancealliance

E-professional development:E-professional development:Acquisition of leading online provider: Classroom Acquisition of leading online provider: Classroom ConnectConnect

E-testing:E-testing:Increased investment in classroom testingIncreased investment in classroom testing

* Earnings: Adjusted earnings per share excluding exceptional items and amortisationof goodwill and intangible assets

2001 Trading Update2001 Trading Update

Good momentum on Science, Legal and Good momentum on Science, Legal and Education maintainedEducation maintained

Business to Business challenging 2nd Half Business to Business challenging 2nd Half Year, particularly USYear, particularly US– outperformance vs. market; effective cost outperformance vs. market; effective cost

managementmanagement

Harcourt slightly ahead of expectation, driven Harcourt slightly ahead of expectation, driven by Educationby Education

On track to deliver double digit earnings On track to deliver double digit earnings growth this year*growth this year*

Strong business fundamentals and financial Strong business fundamentals and financial positionposition

Reed Elsevier strategy proving effectiveReed Elsevier strategy proving effective All four businesses showing strong organic All four businesses showing strong organic

growth versus marketgrowth versus market Harcourt acquisition will accelerate progress Harcourt acquisition will accelerate progress

furtherfurther On track to deliver 2002 goals of above-On track to deliver 2002 goals of above-

market revenue and double-digit profit growthmarket revenue and double-digit profit growth

ConclusionsConclusions