Trading update

Pearson is today providing a regular trading update ahead of our 2005 preliminary results announcement on 27 February 2006.

Pearson traded strongly through the end of 2005, in line with our expectations. Our education business maintained its strong performance in School, Higher Education, Professional and international markets; Penguin's fourth-quarter frontlist performed well; the Financial Times sustained its advertising revenue growth and will reach breakeven; and IDC expects to report its best year ever.

Pearson is therefore on track to report significant underlying growth in sales, adjusted earnings per share, free cash flow and return on invested capital.

We also continue to expect 2006 to be another good year for Pearson, with further progress on our overall financial goals and in all our major businesses.

For more information

Luke Swanson/Deborah Lincoln + 44 (0) 207 010 2310