The Bermuda Press (Holdings) Limited Issues President's Interim Report

Hamilton, Bermuda, July 2, 2007 - In an announcement made to the Bermuda Stock Exchange (BSX) "W. Roger Davidson, President, stated:

On behalf of the Board of Directors I am writing to report on certain unaudited financial matters relating to the first six months of your Company's financial year ending 30th September 2007.

    6 Months ended 31st March

2007                                   2006

                                                                                                                                   $                                   $

Revenue                                                                                                   16,010,851          15,801,721

Net income from operations                                                        1,329,328                         1,249,641

Minority interest in net income of

subsidiaries                                                                                                (129,599)                              (125,732)

Net income for period                                                                          1,199,729                         1,123,909

Dividends paid, 38 cents per share

(2006 38 cents)                                                                                                        524,493                524,493

Earnings per share                                                                               87 cents                       81 cents

Net income for the six months ended 31st March 2007 was $1,199,729, which compares with $1,123,909 for the same period in the previous year.

The Company has seen marginally improved sales results from all divisions in the first six months of the 2007 fiscal year compared to the same period in 2006. At this juncture there has been a slower than expected start although there has been a strengthening of net profit for the period.

Escalating operational costs continue to be the key challenge for the Company's divisions. The current focus is on the cost for employee benefits and remuneration related to productivity. Immigration controls such as the long term limit policy have intensified competition in the already competitive local and foreign job markets. This together with locally generated inflation continues to push up wage expectations of local and foreign employees. The merger of Engravers Limited within the commercial print division has improved the utilization of equipment and staff.

The combining of the Company's divisions, Pronto Print, Chameleon and Print Express has positioned the Company well for the growth in on demand digital printing. The Company is continuing to develop business opportunities based on new technology and changing customer needs in the printing industry.  Expanding its market share remains a key focus of the printing division.

The Company's strategy to take advantage of opportunities for growth and cost saving by utilizing technology and the internet has led to the purchase of new information systems for job costing, online order entry, invoicing and production. The new systems are being implemented in various divisions during the third and fourth quarters.

The first 6 months has seen a strong environment for office equipment sales.  Growth in the international business sector continues to be positive and is expected to have a continued influence through the end of the year.

User statistics for www.theroyalgazette.com have shown very strong growth while sales of our full electronic newspaper edition on www.newsstand.com are steadily improving at home and overseas. The Company has maintained the readership in the printed newspaper while developing non-traditional opportunities.

The newspaper division has recently enhanced its training programmes for trainee Bermudian employees to bring them in to line with internationally recognised standards. This requires a considerable time and cost commitment, but the Company believes it will improve recruitment and retention of Bermudian journalists in the long term.

Dividends to shareholders are currently being paid quarterly at a rate of 19 cents per share. This rate should continue as the Company maintains satisfactory levels of profitability.

The total interest of all directors and officers of the Company in the shares of the Company at 31st of March 2007 amounts to 109,233 shares. No rights to subscribe for shares in the Company have been granted to or exercised by any director or officer.

Your Board of Directors is appreciative of the efforts of our employees to enhance relationships with our customers and ensure your Company's success.