Anti-Piracy Policies & Procedures

Table of Contents Anti-Piracy Policies & Procedures July 28 th , 2009 Privileged and Confidential Not for Further Distribution Confidential Do Not Copy Spencer Stephens Page 1 of 72 Privileged and Confidential Table of Contents INTRODUCTION 3 Anti-Piracy Policies & Procedures 3 Anti-Piracy Organization Chart 4 Anti-Piracy Approach 5 Anti-Piracy Press Communication Policy 6 Piracy Reporting Procedures 7 AD/PUB & PROMOTIONAL CONTENT 8 Feature Film Material 9 Photography & Still Image Materials 12 Vendor & Partner Security Requirements 15 Appendix A: Security Marking Examples 16 Appendix B: Internal Security Memo Example 17 Appendix C: Confidentiality Agreement Example 18 PRE-THEATRICAL RELEASE ASSETS 19 Production & Post-Production 20 Work Product 24 Vendor & Partner Security Requirements 26 Appendix A: Security Marking Examples 27 Appendix B: FPP Confidentiality Agreement Example 28 Theatrical Release 29 Pre-Theatrical Screenings 29 Release Print Distribution 35 Digital Cinema 37 Exhibitor Anti-Piracy Guidelines 40 Appendix A: Domestic Pre-Release Screening Contacts 41 Appendix B: Hired Security Personnel Post Orders Example 42 Appendix C: International Exhibitor Reporting Procedures 47 Appendix D: Domestic Exhibitor Reporting Procedures 48 Appendix E: World Wide Anti-Piracy Organization Contact List 49 Appendix F: Worldwide Anti-Piracy Rewards & Training Program List 50 Home Entertainment 51 TELEVISION CONTENT 51 Pre-Air Material Distribution 51 NEW THEATRICAL RELEASE CONTENT 52 Format Overview 53 Work Product 54 RSP Distribution 55 DVD-R Distribution 56 DVD Sales Screeners 57 eScreeners 58 DIGITAL DISTRIBUTION 59 Supply Chain Overview 60 Encoding 61 Final Product Distribution 62 Vendor & Partner Security Requirements 63 Appendix A: Visible Burn-In Example 64 Appendix B: DVD-R Request Form 65 Appendix C: DVD-R Distribution Letter 66 Appendix D: Territory eScreener Administrators 67 Confidential Do Not Copy Spencer Stephens Page 2 of 72 Privileged and Confidential Introduction Anti-Piracy Policies & Procedures The Anti-Piracy Group was created to focus on resources aimed to protect our content against piracy throughout the entire value chain, by reacting to emerging piracy trends and to support the creation of innovative offerings to consumers, to compete with piracy. One of the primary goals of the Anti-Piracy Group is to establish and maintain Studio-wide security policies and procedures that ensure content is handled in a secure manner throughout its creation, distribution and marketing cycle, while maintaining a continuous chain of custody to ensure accountability at all stages of the process. The Anti-Piracy Policies & Procedures detail the Studio-wide policies and procedures that have been established with the support of various business units. This is the fifth iteration of the document, which is updated annually to reflect the most current security risks. The Anti-Piracy Policies & Procedures are separated into four distinct sections that address the security risks associated with specific stages of the release cycle. At a high-level, the sections cover: Ad/Pub & Promotional Content – Distribution of feature film, photographic and still image material prior to the theatrical release for advertising, publicity, merchandising and promotional activities. Pre-Theatrical Release Assets – Distribution of feature film content during production, post- production and internationalization (e.g. subtitling) prior to theatrical release. Theatrical Release – Distribution of final prints and digital cinema files for pre-release screenings and general theatrical release. Includes on-site security requirements for pre- release screenings and general exhibitor guidelines. Home Entertainment: Home Video Release – Distribution of assets during the mastering, authoring and replication of DVD and Blu-ray product prior to territory release date. Digital Distribution – Distribution of assets during the encoding and delivery phases for content distributed for EST/VOD and PPV prior to territory home video release date and typically via online/web delivery for both TV and Filmed product. As in years past, abbreviated versions of the document have been created which only include those sections relevant to a particular division or department. This document is confidential and has been uniquely watermarked to the receiving party. It should not be distributed beyond the intended recipient(s) as it contains detailed information about our security procedures. Please direct requests for additional copies, questions or suggested changes to XXXXX . Updated versions will be distributed on an as needed basis as changes are made to the document. As always, management of our assets throughout the Studio is everyone’s responsibility. To this end we thank you for your continued diligence. The Anti-Piracy Team Confidential Do Not Copy Spencer Stephens Page 3 of 72 Privileged and Confidential Introduction Anti-Piracy Organization Chart Worldwide/ Asia Latin America Europe North America Confidential Do Not Copy Spencer Stephens Page 4 of 72 Privileged and Confidential Introduction Anti-Piracy Approach Early in 2008, the Anti-Piracy Group restructured to meet the new challenges created by the changing piracy landscape. The group is now organized around seven main focus areas – Content Security, Technology, Business Intelligence, Enforcement, PR & Education, Public Policy and Commercial Policy. Confidential Do Not Copy Spencer Stephens Page 5 of 72 Privileged and Confidential Introduction Anti-Piracy Press Communication Policy Piracy is a Studio-wide issue; it impacts every area of our business, not just a single business unit. It is important that we handle all domestic and international anti-piracy related requests for materials or other information effectively and with proper messaging and purpose. XXXXX is in charge of worldwide anti-piracy corporate communications and is our central liaison for all related issues. All requests from the press or anti-piracy organizations for materials or participation, including speaking engagements or panel appearances, must be filtered through XXXXX. Policy issues will be coordinated with XXXX and any business unit specific issues will be worked on in collaboration with the business’ PR representative. They are also available to assist with divisional anti-piracy related public relations efforts or educational campaigns. Thank you for your cooperation. Contact Information: Worldwide: Warner Bros. Involvement with Industry PR Efforts: We are an active member of the MPAA Global PR Council, which consists of corporate communications executives from the MPAA and its member Studios. The group oversees all anti-piracy public relations and education efforts in North America. Our PR approach with international markets is based locally rather than globally. Our goal is to help grass roots organizations tackle piracy in their own territories. We offer support, help and guidance to ensure that the issue of piracy is not about the impact on American business alone, but about the impact on everyone’s businesses. This is why it’s important to keep the focus on local initiatives. To that end, the Global Council works closely with the London based MPA EU PR Council, and spearheads Anti-Piracy public relations and educations programs in Europe. It is comprised of European based corporate communications and/or marketing representatives from the Studios and the MPA. The EU PR Council provides advice and assistance to the MPA and to local Anti-Piracy organizations. Confidential Do Not Copy Spencer Stephens Page 6 of 72 Privileged and Confidential Introduction Piracy Reporting Procedures We employ techniques that allow us to narrow down or positively identify the source of most pirated material. We do not expect employees to proactively search the streets or Internet for pirated content. We have internal and hired specialists performing these duties using methods that take into consideration the potential risks associated with obtaining pirated content. However, should you become aware of potentially infringing content, please email or mail XXXXX a copy of the file, web link or physical disc. To provide consistency in reporting and logging of pirated materials, the following procedures should be followed. If any questions arise, please contact XXXXX (contact information below) for assistance. Pre-Theatrical Release Materials If you witness or have knowledge of any piracy incidences or security leaks involving pre-theatrical release date materials, please communicate this as soon as possible to the contacts listed below. Examples that should be reported promptly are: − Theft or illegal distribution of materials (DVD-R’s, tapes, prints, files, etc.) in transport to/from vendors or company offices. − Theft or illegal distribution of materials by a Studio vendor. − Any screening related security/piracy issue, such as camcording or print theft. Contact Office Number Email Internet Media Listed below are examples of the types of Internet infringements that should be reported if you come across them: − Auctions (eBay, Yahoo!, etc.) that are selling illegitimate content. − Spam emails which offer to distribute pirated material. − Any other websites selling or using Studio content in an infringing manner. Physical Media The sale of unauthorized physical media (e.g. DVD-Rs) to the general public is a prominent source of piracy, especially in large cities. Pirated content is often sold by people and in locations that may put the individual purchasing

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