Dish TV India Limited Investor Presentation Disclaimer

Some of the statements made in this presentation are -looking statements and are based on the current beliefs, assumptions, expectations, estimates, objectives and projections of the directors and management of Dish TV India Limited about its business and the industry and markets in which it operates.

These forward-looking statements include, without limitation, statements relating to revenues and earnings. The words “believe”, “anticipate”, “expect”, “estimate", "intend”, “project” and similar expressions are also intended to identify forward looking statements.

These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond the control of the Company and are difficult to predict. Consequently, actual results could differ materially from those expressed or forecast in the forward-looking statements as a result of, among other factors, changes in economic and market conditions, changes in the regulatory environment and other business and operational risks. Dish TV India Limited does not undertake to update these forward-looking statements to reflect events or circumstances that may arise after publication.

2 Indian M&E Industry Snapshot

M&E industry composition & size (INR bn.) Indian Television Industry TV Print Films Others Broadcasting Industry Distribution Industry 307 133 17% 62 14% Analog Digital 11% DTH 125 220 Multiple Cable Cable 417 885 104 14% 2013 12% 2018 broadcasters 241 18% 45% 50% 2008 42% producing content in 15 languages 243 374 172 across 26% 21% 30% 7 genres 28% 52% 20% beaming 580 918 1,786 ~788 channels

Indian television market statistics (mn. HHs)

295.9 262.3 2013 - 2018 223.2 192.3 161.8 164.8  TV penetration (of total HHs) ~ 62% - 65% 126.6 134.7 90.7  C&S penetration (of TV HHS) ~ 83% - 86%

Average household size of 5.1

2008 2013 2018

Total HHs TV HHs C&S HHs

Source: M&E industry composition & size: FICCI-KPMG 2014, Indian television statistics & broadcasting and distribution industry: MPA Report 2014 3 Distribution Industry

4 Digital Addressable Systems - DAS

Phase I Phase II Phase III/IV

Delhi, Mumbai, Calcutta & Chennai 38 notified cities Rest of India

30-June-2012 31-Mar-2013 31-Dec-2015/2016

 Bulk of the potential DAS converts Cable  Limited coverage by large MSOs due to dispersed population  Land grab seeding at throw away prices  Very high DTH recognition  No addressability/KYC  DTH best suited considering terrain  Working backwards to fill in the critical gaps; billing, collection  Key target markets with more than 60% incremental and dunning 90% of Total Revenue potential for DTH

DTH Digital Penetration of Total Pay-TV Subscribers in India is Amongst the Lowest *  Opening up of cable stronghold markets 120% 100% 100% 100% 100% 100% 100% 99% 93%  Bonus additions for the sector 100% 80% 69% 60% 45% 40% Dish TV 20% 0%  Higher incremental adds; positive shift in subscriber distribution

Source: *MPA Report 2013 5 Distribution Industry - Cable

1990 - 2014 3 Tiered Structure Analog signal - limited carrying capacity, broadcasters jostling for PCS

Placement & Carriage fees - bulk of MSOs top-line Pre-DAS MSOs Massive under declaration – ignored to maintain MSOs ‘reach.’ (more than 115 ) Reason behind LCOs prosperity

No incentive to raise ARPUs

Distributors Digital signal - fatter pipe, larger carrying capacity (at least one in each locality) Placement fees mindset

B2B billing Post-DAS 100% postpaid. Element of bad debts?

LCOs Impairment of Set-Top-Box (STB)? (more than 50,000) RIO deals – a game changer?

6 Distribution Industry - DTH

 100% digital DTH Players in India

 Owns last mile subscribers  Industry pioneer. Started operations in 2003 Dish TV  Part of the ‘Zee’ stable, largest producer and aggregator of Hindi  Subscription driven top-line programming in the world

 Fully prepaid, no bad debts  Launched in 2006 Tata  DTH contributes ~ 60% of the broadcaster’s  JV between the TATA Group and News Corp domestic subscription revenue; scope for rationalization vs. cable  Launched in 2007 Direct  Fully tax compliant  JV between Sun Network and , Malaysia

 Heavily taxed: Reliance  Part of Reliance Communication Ltd, a subsidiary of Reliance ADA Digital group • License fees – 8% AGR instead of 10% GR (TRAI recommendations on  Launched in 2008 issues related to new DTH licenses) Airtel Digital  Part of the telecom major Bharti Airtel • Entertainment tax & Service tax - likely to be subsumed post rollout of GST Videocon  Launched in 2009  Part of the white goods manufacturing, Videocon group 7 Dish TV

8 Key Managerial Personnel

Key Managerial Personnel – Pioneers and Visionaries 8% Promoters 13% 3% Non Executive Chairman 11% GDR; held by Apollo PE, 65% USA  Promoter of the ‘Essel’ Group of companies  India’s media mogul and founder of ‘Zee’, India’s first FII channel in 1992 & later India’s first private news channel, Zee News Fin. Inst., Banks & MF  A self-made man, has consistently demonstrated his ability to identify new businesses and lead them on the path to Other Investors success Shareholding Pattern* Subhash Chandra  Other business interests, education, theme parks, wellness

Managing Director Many Firsts to its Credit  Key architect in creation and expansion of Essel Group of Companies  First DTH in India  Key architect of cable TV services, established ‘Siti Cable’ in 1994  First to negotiate content on a fixed fee basis  Pioneered the DTH services in India and has been instrumental in establishing Dish TV  First to launch Live TV for moving vehicles  Past president of IBF for four consecutive years upto 2010 Jawahar Lal Goel  An active member on the Board of various committees set  First to achieve operational break-even in the DTH industry up by MIB, for addressing critical industry matters  First to launch High Definition

CEO  First to offer unlimited recording  India and South Asia MD of ESPN Sports prior to joining Dish as its CEO.  First to be FCF positive  Current President of DTH Operators Association  More than 27 years of experience & a successful track  First to launch online TV for DTH viewers – ‘Dish Online’ record in turning around businesses for brands like Oral-B, Nestle and Kellogg’s  First to launch a sub-brand targeting regional language R.C. Venkateish markets– ‘Zing’ *Shareholding pattern as on 10th April 2015 9 Business Model

P&L Structure – Q3 FY15

Business Model

Subscription revenues 92% POSTPAID PREPAID  100% prepaid

Revenue Box Rent 3% Bandwidth income 3%  Upfront subsidy on Consumer premises equipment (CPE) Advertising income 1% Other income 1%

Employee benefit expenses 4%  Average ARPU of Rs. 177 Programming and other cost 28% License fees 10%

Other operating costs 11%  Churn at 0.7% p.m.

Expenses Selling and distribution expenses 16% Other expenses 4%  Implied average subscriber life of 12 years EBITDA 26.8%

10 Dish TV vs. Competition

Linear and True HD channels Dealer-Distributor Network

500 383  Highest transponder capacity 400 358 356 312 300 241 213  Maximum content tie-ups 200 100 37 28 26 25 10 11  Maximum HD channels 0 Dish TV Videocon Airtel Rel. Sun Digital Direct  Widest dealer-distributor network

Linear HD 90% of Total Revenue

Transponder Dish TV Tata Sky Airtel Sundirect Reliance Videocon Bandwidth Digital Satellite NSS6, Asiasat 5 Insat 4A SES 7 Measat 3 Measat 3 Singtel ST-2 & SES - 8 Number of 16 12 11 4+2 9 8 Transponders TP Bandwidth (MHz) 36,54 36 36 36 36 54 30% of Revenue6 Zonal offices Total Bandwidth 720 432 396 216 324 432 (MHz) 14 Regional offices

Source: Company & market data as on 31st December 2014 11 Key Metrics

Net subscriber base (mn.) Net subscriber additions (mn.) 12.5 14.0 12.1 0.500 11.7 0.416 12.0 10.7 11.4 9.6 0.400 0.378 10.0 8.5 8.0 5.7 0.300 6.0 4.3 0.220 2.5 4.0 0.200 2.0 0.0 0.100

0.000 3QFY14 2QFY15 3QFY15 90% of Total Revenue Market share* Programming and Other Costs as % of Subscription Revenues 75% 6% 80% 12% 19% 70% 64% 55% 16% 60% 50% 43% 20% 37% 34% 40% 34% 34% 31% 30% 27% 30% 20% 10% 0% Dish TV Tata Sky Big TV Airtel Digital Videocon D2h

Source: Company 12 Note : * Market share based on gross subscribers as on 31st December, 2014 as per market estimates Key Metrics (continued)

ARPU (Rs.) * ARPU (Rs.) 177 200 172 163 166 150 151 157 150 150 131 132 138

100 100

50 50

- - FY08 FY09 FY10 FY11 FY12 FY13 FY14 3QFY14 2QFY15 3QFY15

90% of Total Revenue SAC (Rs.) * SAC/ARPU (months)

20 19 3,000 17 2,505 2,383 16 15 2,500 2,224 2,127 2,035 15 14 1,996 13 2,000 1,800 11 1,500 10 1,000 5 30% of Revenue 500

- 0 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY08 FY09 FY10 FY11 FY12 FY13 FY14

Source: Company Note : * SAC & ARPU taken as Q4 data for respective years. 13 Strategy and Outlook

14 Zing - Phase III & IV Markets

Viewership share by genre – 2013*

8.6% 18.0%

 Sub Brand of Dish TV 12.3%  Regional first; regional language 2.6% 8.7% channels , regional look and feel 1.2%  Regional first national second; unlike 90% of Total Revenue mainstream brands 18.4%

 Customized regional content in digital 30.0% picture quality and stereophonic sound  Value for money offering; Digital quality picture at cable price Regional GECs, Regional News, Movies & Music  Healthy gross margin Hindi GECs Hindi News30% & Moviesof Revenue  After successful launch in seven states, English Entertainment & News Zing introduced in ‘Tamil Nadu’ Sports Music, Kids & Infotainment Other

Source: * FICCI Frames - 2014 15 High Definition

Dish TV Tata Sky Videocon D2h

Super Family + Dhamal Mix + Super Gold + Sports Channels Game on HD HD Access Fee HD Access Fee Box Cost HD Focused Compelling HD Rs. 375 Rs. 355 Rs. 356 Rationalization Content Deals Proposition Star Sports HD1 √ x x Star Sports HD2 √ x x Sony Six HD √ x x Ten HD √ x x

3 HD ADD-ONS Game on HD @ Rs. 135 (Sports and Hindi entertainment)

Life on HD @ Rs. 185 (English entertainment with Sports and Hindi Entertainment)

Full on HD @ Rs. 210 (Complete dose of entertainment)

Source: Market data as on 6th February 2015 16 ARPU Expansion

Pack Price Hike - SD (Rs.) 460 470 440 500 421 345 400 400 335 380 320 285 295 300 300 240 250 275 255 280 220 230 200 220

200 cities

100 cities

4 4 Metro

4 4 Metro

4 4 Metro cities 4 4 Metro cities 0 Super Family Maxi Sports # All Sports Platinum Sports Previous price Revised price (w.e.f. April'13) Revised price (w.e.f. June'14) Revised price (w.e.f. August'14) Revised price (w.e.f. Feb.'15) 4 Metro cities

ARPU as a % of GDP per HH* Korea 100% Taiwan 90% India 80% 70% 60% Pakistan Malaysia New Zealand 50% China 40%

Tv Pen./TV HH Pen./TV Tv 30% Japan - Vietnam Australia 20% Indonesia 10% Thailand Philippines % % Pay 0% 0.0% 0.2% 0.4% 0.6% 0.8% 1.0% Pay-TV ARPU as a % of PPP-adjusted GDP per Household

Source: * MPA Report 2013 # “Maxi Sports” pack @ Rs. 275 introduced with effect from August’14 17 Decreasing Cumulative Investment per Subscriber

Dish TV - Investment per net subscriber (Rs.)

4,000 3,359 3,500 3,218 2,939 3,000 2,837 2,500 2,000 1,500 1,000 500 - FY - 11 FY - 12 FY - 13 FY - 14

Note: Based on cumulative investments, including accumulated losses, per net subscriber 18 International Expansion - Sri Lanka

Pay TV Subscribers (000) Pay TV Industry Revenue (USD mn.) 2,000 1,480 1,500 5, 11% 929 1,000 812 534 14, 32% 25, 57% 350 340 500 216 228 328 93 41 167 - 2011 2016E 2020E Pay TV Subs DTH Subs Cable Subs IPTV Subs DTH revenue Cable TV revenue IPTV revenue

 Population ~ 20 million

 TV penetration at 74%

 High digital penetration; 77% of total Pay TV subscribers

 DTH maintains dominance with ~ 62% market share. Cable, distant second despite being 4 years older

 ARPU ~ USD 8 pm

 Zero subsidy on CPE sales

Source: MPA 2012 19 Financials

20 Summarized Standalone P&L - Quarterly

3QFY 2014 vs. 3QFY 2015 Operating revenue break-up Quarter ended Quarter ended Variance(3QFY14 (Rs. mn) Rs. million Dec. – 2013 Dec. – 2014 vs.3QFY15) in % 200 91 85 Subscription 209 revenue

Operating revenues 6,128 7,139 16.5 Lease rentals Expenditure 4,773 5,227 9.5 6,554 Bandwidth EBITDA 1,355 1,912 41.1 charges

EBITDA Margin (%) 22.1 26.8 Advertiseme nt income 3QFY - 2015 Other Income 97 154 58.8 Teleport Depreciation 1,534 1,616 5.3 services, CPE & Other Financial expenses 301 479 59.1 Profit / (Loss) before prior period & tax (382) (29) Prior period items - - Tax expense/(write back) - - Net Profit / (Loss) for the period (382) (29)

21 Summarized Consolidated P&L - Annual

FY 2013 vs. FY 2014 Operating revenue break-up FY 2013 FY 2014 Variance(FY13 vs. (Rs. mn) Rs. million (Audited) (Audited) FY14) in % 496 383 360 Subscription 1,169 revenue

Operating revenues 21,668 25,090 15.8 Lease rentals Expenditure 15,874 18,849 18.7 22,681 Bandwidth EBITDA 5,794 6,241 7.7 charges

EBITDA Margin (%) 26.7 24.9 Advertiseme nt income Other Income 511 649 27.0 FY - 2014 Teleport Depreciation 6,276 5,974 (4.8) services, CPE & Other Financial expenses 1,284 1,327 3.3 Profit / (Loss) before exceptional items (1,254) (412) Exceptional items 594 - Profit / (Loss) before prior period & tax (660) (412) Prior period items - (1,164) Tax expense/(write back) 0.1 0.5 Loss attributable to minority 0.1 - Net Profit / (Loss) for the period (660) (1,576)

22 Consolidated Balance Sheet

FY13 vs. FY14 Rs. million FY 2013 (Audited) FY 2014 (Audited) EQUITY AND LIABILITIES Shareholders’ funds (a) Share capital 1,065 1,065 (b) Reserves and surplus (2,621) (4,191) (1,556) (3,126) Non-current liabilities (a) Long-term borrowings 8,460 7,791 (b) Other long term liabilities 1,504 918 (c) Long-term provisions 127 142 10,092 8,851 Current liabilities (a) Short-term borrowings 300 658 (b) Trade payables 2,138 1,357 (c) Other current liabilities 14,027 11,601 (d) Short-term provisions 6,547 8,361 23,012 21,977 Total 31,548 27,702

23 Consolidated Balance Sheet (continued)

FY13 vs. FY14 Rs. million FY 2013 (Audited) FY 2014 (Audited) ASSETS Non-current assets (a) Fixed assets (i) Tangible assets 14,273 13,495 (ii) Intangible assets 67 76 (iii) Capital work-in-progress 6,535 4,226 20,875 17,797 (b) Non-current investments - 1,500 (c) Long-term loans and advances 646 881 (d) Other non-current assets 97 73 743 2,454 Current assets (a) Current investments 2,782 500 (b) Inventories 86 75 (c) Trade receivables 304 415 (d) Cash and bank balances 3,645 3,426 (e) Short-term loans and advances 3,060 3,029 (f) Other current assets 53 5 9,929 7,451 Total 31,548 27,702

24 Thank You

25 Annexure

26 Essel Group

Launched in 1976, Essel Group is one of India’s largest business houses, with a dominant presence in Media  One of India's largest vertically integrated media and entertainment group, and also one of the leading producers, content aggregators and distributors of Indian programming globally

 One of the largest producers and aggregators of Hindi programming in the world Founded by Dr. Subhash Chandra Group Market Cap ( Listed entities under Essel Group ): Rs 507 bn(1)

Essel Group

Media Other Businesses

Distribution  Packaging (Essel Propack) Content – Market Cap: Rs 20.3 bn(1)  Theme Parks: Essel World and Water Kingdom  Playwin: India’s first and largest online gaming company Zee Entertainment Zee Media Corp. Ltd. Dish TV SITI Cable Network & Analysis  Cornership: Animation studio  Cyquator Technologies: IT Launched in 1992 Launched in 1992 Launched in 2006 Launched in 2005 Launched in 2005 Infrastructure outsourcing  Infrastructure One of India’s largest Strong presence in Asia’s largest DTH One of India’s largest English broadsheet daily  Education media and general TV national and regional news service provider MSO, presence across 54 with presence across entertainment network genre cities Mumbai, Bangalore, Pune,  Precious Metals Ahmedabad, Jaipur &  Healthy Lifestyle & Wellness Market Cap: Rs 374 bn(1) Market Cap: Rs 6.7 bn(1) Market Cap: Rs 84 bn(1) Market Cap: Rs 22.1 bn(1) Indore

Source: Company websites, BSE, MPA Report 2013 Note: (1) Market capitalization as on 27th January, 2015

27 Key Milestones and Performance

May 10: Oct 03: Launched HD services Received license to operate May 05: Apr 07: Dec 10: First full year of Listing of Equity Shares on DTH Services Launch of DTH Services Acquired additional Positive FCF NSE and BSE transponders on Asiasat 5

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Apr 04: Jan 09: July12: Obtained teleport license Rights offering of shares for ~Rs. 11.4 bn. Net subscriber base - Full year of Positive FCF from MIB Mar 09: crosses 10 million - Launch of “Zing” EBITDA breakeven in Q4 FY09 Nov 09: Raised $100mn through GDRs to Apollo for 11% ownership

Growth Trajectory Since Listing 2008(1) 2014(2) Company Profile First Indian DTH player Asia’s Largest DTH Provider

Net Customer Base < 3.0 million 11.4 million Total Revenues Rs 4,162 million Rs 25,090 million

EBITDA (% margin) (Rs 2,095 million) Rs 6,241 million (25%)

Market Capitalization(3) ~ Rs 21.1 billion ~ Rs 54.8 billion

Source: Company filings, Company website, BSE, NSE, MPA Report 2013 Notes: (1) 2008 reflects FY 2008 year end results (2) Total Revenues and EBITDA for 2014 reflect FY2014 year end results. Customer base as of March 31, 2014 (3) 2008 market capitalization as on March 31, 2008; 2014 market capitalization as on May 28, 2014 28