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Newsletter A promising new era Axel Duroux talks about the future of digital radio in France

Germany / Luxembourg Background information on the world of digital radio Pokerface obtains sensational ratings for RTL Klub France M6's information formats pack in the viewers Germany Al Gore gives an interview to RTL Television and N-TV

People Barbara Faltermeier leaves RTL II week 50 the RTL Group intranet

A promising new era Following the governmental go-ahead on Digital Radio in France, Backstage seized the opportunity to discuss this hot topic with Axel Duroux, CEO of the French radio family (RTL, RTL 2, Fun Radio) Christine Albanel signing the decree France - 6 December 2007

Last Wednesday, Culture Minister Christine Which specific advantages will digital radio Albanel signed a decree establishing the T- offer listeners? DMB standard as the broadcasting norm for In terms of sound, the possibility of broadcasting digital radio in France. Are you happy with that high quality in 5.1 surround sound. There will also decision? be new functions, like the possibility of going back RTL Radio in France has been making digital radio to the start of a programme or pausing it. The one of its strategic priorities since 2005. We've hel- screen on the radio set will enable listeners to see ped a consensus to be reached within the medium content, too, like weather reports or images, and of radio regarding the importance of the digital to interact. Digital radio will also put an end to fre- switchover, and it's that consensus which has got quencies: listeners will simply select RTL by name us where we are today. The minister's choice is on their radio set; no longer will they need to know important for several reasons. It marks the actual RTL's particular frequency in this or that city. beginning of work on digital radio, with a view to its launch at Christmas in 2008, and it authorises Coming back to RTL Radio France, you laun- the use of the T-DMB standard, which was the ched a pre-emptive strike this autumn by star- preferred choice of the digital radio group called ting up RTL Autrement and RTL L'Equipe on Groupement pour la Radio Numérique, represen- the Internet. Have these two radio stations ting 98% of listeners. already won over listeners on the Internet? RTL Autrement is an additional service we are Why the T-DMB standard rather than any other? offering our Internet listeners, enabling them to lis- We're programme makers first and foremost, so ten to the programmes they're interested in when it's not so much the technology itself we're interes- it suits them. RTL L'Equipe, on the other hand, is ted in, but rather the use made of it. The attraction a brand new radio station that combines the of the T-DMB standard is that it offers us the strengths of the editorial teams at L'Equipe and widest range of tools, thereby paving the way for RTL. We're highly satisfied with the success achie- greater creativity. More specifically, the T-DMB ved by these digital stations. standard will enable RTL to produce 'augmented' radio, i.e. radio How will RTL Radio's digital bouquet look like that combines a year from now? Are there any plans for sound with cer- expansion? tain data associa- The Higher Audiovisual Council, or CSA, plans to ted with program- launch a call for tenders for digital radio in the very mes that can then near future. We'll submit the plans we believe to be be viewed on the best suited to the provisions of that call for ten- screen of the digi- ders. tal radio set itself.

Digital radio set 2 week 50 the RTL Group intranet

Will your competitors in the digital radio scene What are the next steps on the agenda of digi- be the same as those vying with you in the ana- tal radio? What are you expecting the govern- logue radio sector? ment to do? Analogue radio is already highly competitive. For For now, we're waiting for the call for tenders example, there are over 50 competing radio sta- issued by the CSA, which should be launched tions in Paris. There will be new entrants in digital soon. The government has pledged to make radio, but that won't really change anything for us, Christmas 2008 the Christmas of digital radio. since the competition is already so fierce.

How do you see listeners’ loyalty being secured on digital radio? Will the same recipes for success apply? Digital radio is still first and foremost radio, and the know-how we put to use today on our various stations will play a key role in making a success of digital radio.

Christine Albanel shaking hands with Axel Duroux Frequencies, standards, new features – All about the world of digital radio At the headquarters of RTL Group in Luxembourg, the Digital Radio Strategy team led by Associate Vice President Dan D'Aversa is working all out on the challenges asso- ciated with digital radio. The team's role is to assess the various digital radio stan- dards, compare their features and come up with the best possible advice for each of the group's radio stations, depending on their specific needs. This is no easy task, because there's a bewildering array of standards to choose between.

Digital Radio Strategy Project Manager Pierre- Very high frequencies (VHF) and ultra-high fre- Yves Lanneau Saint Léger explained the diffe- quencies (UHF) are traditionally used by analo- rent available technologies (see chart on next gue TV and FM radio broadcasts and cover a page): range of several dozen kilometres. Some of the frequencies freed up by the gradual phasing out “High frequencies (HF) include the tradi- tional frequency bands used by AM radio since the early 20th century. Their physical properties enable a transmitter to cover ranges extending over several thousand kilometres. The consensus reached regarding the digitisation of this sector of the spectrum was to use the DRM standard, with DRM standing for Digital Radio Mondiale.

Dan D’Aversa Pierre-Yves Lanneau Saint Léger 3 week 50 the RTL Group intranet

of analogue programmes broadcast on these DAB DMB DAB+ wave bands – frequently referred to as the ‘digi- tal dividend’ – will be allocated to the deploy- Audio quality  ment of digital radio.” Video quality 

Radio-specific services    The higher the frequency, the better its penetra-  tion and the more effective it will be propagated Cost-saving potential inside buildings. The down side here is that the better the signal's penetration is, the more limi- Comparative overview of these various standards ted its range will be. As a result, the relevant transmitters will need to be closer together, pus- 2003 saw the advent of DRM, now a globally hing up broadcasting costs. So while the upper recognised standard for frequencies lower than reaches of the spectrum will be suitable for use 30 MHz, which therefore do not compete with in dense conurbations, they won't be profitable other standards like DAB+, DMB or DVB that are in rural areas, where operators will be better off used for different wave bands. opting for the DRM standard. In 2004, 2005 and 2007, three more standards These terrestrial broadcasting technologies are appeared on the scene, all fiercely rivalling each complemented by additional transmission pos- other. In the chronological order of their appea- sibilities offered by the Internet or by satellite. As rance these were DVB-H (Digital Video Pierre-Yves Lanneau Saint Léger put it: “It's the Broadcasting – Handheld), T-DMB (Terrestrial – degree of success with which these technolo- Digital Multimedia Broadcasting) which was just gies are combined, market by market, that will adopted last week for the deployment of digital determine how successful digital radio turns out radio in France, and DAB+ (the updated version to be in Europe”. of DAB).

Each of the frequency bands in question has its However, what end consumers, befuddled by all own specific standard. Pierre-Yves Lanneau these technical descriptions, will have in their Saint Léger set them out in detail, starting with hands (or actually in their ears) will be a radio fit the oldest: DAB (Digital Audio Broadcasting), for the modern era, and it seems highly likely which dates back to 1997. Although 6 million that their old transistor radios will end up relega- British households are equipped to receive DAB ted to the attic. transmissions, experts believe it is now outmo- ded, among other reasons because the sound of Digital radio has the potential to turn radio from such radio broadcasts can't be linked to a video a traditional medium into a shining example of signal. So we can forget that option. innovation, destined to revolutionise the sector.

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Digital radio in Germany Digital Radio has received the go-ahead in France. Here is an overview of the situation on the German radio market, provided in cooperation with RTL Radio Deutschland.

The history of digital radio in Germany has Changes are afoot in other areas too: RTL been a turbulent one. Radio broadcasting was Radio Deutschland also has a stake in the to have gone digital a few years back with DAB Digital 5 consortium via Hit-Radio Antenne (Digital Audio Broadcasting) but such broad- Niedersachsen, Radio Hamburg and Antenne casting – sold under the brand name Digital Bayern. Other stations in which it has a stake Radio – never quite made it. Despite significant include Hit-Radio FFH and Radio FFN. These investment, the approximately 250 million VHF merged concerns are working together to radios still vastly outnumber the 250,000 DAB develop new business models for the world of devices and almost 300 radio stations can be digital radio. Digital 5 has submitted an appli- received via VHF technology in Germany as cation with one of its stations for the DVB-H opposed to only 30 via DAB. pilot project, as has RTL Radio Deutschland with the new national station RTL Audio One. Digital Radio in Germany is available to over 85 per cent of the country but reception can still “The decisive factor in the digital era will be our be difficult inside buildings. This is due to res- ability to offer our listeners what they want, trictions imposed by the German military and when and where they want it,” explained Gert as a result, in some frequency bands only mini- Zimmer, CEO of RTL Radio Deutschland, when mum transmission capacity can be used. describing the digitisation challenge. Imple- Another reason for the less-than-successful mentation of the new technology this time transition was the fact that the technology around, however, must be better than the intro- never really caught on with listeners, with only duction of DAB. “The switchover needs to be a few seeing the added value of purchasing a clear so that consumers realise that something new radio. new has arrived,” Zimmer said.

But all that is a thing of the past now and the second attempt at the digital switchover is well under way. The regional broadcasting authori- ties recently adopted a set of guidelines gover- ning the future radio landscape in Germany. By the end of 2009, several new digital channels will be launched and for the first time Germany will have national radio stations. The Band III spectrum will be used with DMB as the main integrated standard. In total, radio technology will have between six and eight multiplexes available, each able to broadcast between 15 and 20 stations.

Gert Zimmer

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RTL Group from “good” to “great”: a retrospect of the year 2007 At the fifth Letz Meet the CEO and CFO of RTL Group, Gehard Zeiler and Elmar Heggen, together with Alain Berwick, Managing Director of RTL Lëtzebuerg, and Alain Flammang, CEO of Broadcasting Center Europe (BCE), delivered a presentation showing the achievements of the passing year. Luxembourg - 10 December 2007

The annual Letz Meet took place in the after- with reservation, Zeiler could not help it but noon of 7 December in a large tent that was set advised to forgo the reservation. “Herewith, I up on the premises of RTL Group’s corporate declare the year of 2007 as a great year for RTL centre. This event gave all the employees in Group and its employees,” Zeiler said. He anew Luxembourg the opportunity to receive out of emphasized on the importance of the “three- first hand a review of the passing year and a pillar-strategy” of RTL Group, which are buil- future prospect of the coming business year. ding and developing families of channels, fur- ther diversification of revenue streams and Following the short welcome of RTL Group geographical expansion. The continuously CEO Gerhard Zeiler, Alain Flammang, CEO of increasing results of the past years showed BCE, presented a retrospect from the view of that RTL Group followed the right strategy. the broadcasting centre. Subsequently, he introduced the goals for 2008 such as the buil- In conclusion Zeiler addressed the current ding of a WiMax infrastructure. on-goings of a potential buying offer by Bertelsmann and reported about the outcome As second speaker Alain Berwick, Managing of the Turkish media group ATV-Sabah auction Director of RTL Lëtzebuerg, presented the new for which the consortium of RTL Group unfortu- organization structure of the Luxembourgish TV nately did not apply. At present it is not defini- and radio activities and gave away a presenta- tive whether Bertelsmann will completely take tion of the operative and financial prosperities. over RTL Group. “Alone the intention of Berwick also spoke about Youmake.tv, a new Bertelsmann to take over all shares of RTL video community with which RTL Lëtzebuerg Group can be regarded as praise to the intends to further the interaction with its vie- employees of RTL Group and therewith as wers. He then concluded with an image film to recognition of the achievement of each single introduce the channel and its formats. employee,” said Zeiler and stretched that even when it comes to a complete take-over, nobo- Toward the end of the event, RTL Group CEO dy has to fear for his or her employment. Gerhard Zeiler and RTL Group CFO Elmar Heggen shared their review of the passing business year. After Heggen carefully expressed that 2007 is expected to be a good year, which he as chief financal officer can only say Alain Berwick Elmar Heggen and Alain Flammang Gerhard Zeiler 6 week 50 the RTL Group intranet

Pokerface obtains sensational ratings for RTL Klub The FremantleMedia format Pokerface, which is broadcast daily on RTL Klub, often attains a market share of well over 40 per cent. Hungary - 12 December 2007

So far, RTL Klub is the only channel to broadcast banks of LEDs as the main decorative element on Pokerface on a daily basis, and with tremendous the set. As Herman put it: “We set out to optimise success! The contestants on the show aim to the show's production, and everything turned out convince their fellow contenders that they know just fine”. the answers to the questions put to them. In other words, contestants can con their way to success, While the very first edition of the format, broad- just like in the card game poker, giving born bluf- cast on 5 November, already achieved a very res- fers a chance to win. pectable market share of 33.9 per cent in its 18- 49 target group, in recent weeks Pokerface has In Hungary Pokerface is presented by István even managed to crank up that performance. Its Vágó, a popular host who presented Who wants highest audience share to date was attained on to be a Millionaire as well. “As Pokerface is a co- 22 November, when 45.3 per cent of viewers hosted show we have chosen Balázs Sebestyén, tuned in to RTL Klub. On average, the show is a young and ambitious host of our access prime watched by more than 600,000 viewers and thus talk show,” said Péter Herman, Creative Producer by 38 per cent of 18 to 49-year-olds, which is of RTL Klub. “They are making a perfect match: pretty exceptional for a daily show. “Not only have the Hungarian king of the quiz genre and a new- we produced a great hit show; we've also proved comer for programs full of talent and to that its format can work well on a joy”. daily basis,” Herman continued: “It’s been a very positive experience for both of us”. Unlike ITV, which only aired Pokerface for one week, broadcasting just seven shows, RTL Klub The grand final of Pokerface will be aired on 18 has decided to extend it: “On a small market like December. Currently, it's the biggest hit of RTL Hungary's, a one-week-long game show season Klub's TV season. However, there will be no isn't worth producing,” Herman said. “Pokerface second season before autumn 2008. “Even the in Hungary is a contest leading to weekly semi- daily version can't last longer than 43 days,” finals featuring the day's six winners and a grand Herman explained. “After all it still falls into the final between the six best players over the pre- category of ‘event television’. If you repeat it too vious six weeks”. Even though RTL Klub decided soon, viewers may quickly get bored with it”. to produce a longer season, no one could foresee the actual success Pokerface has enjoyed in Hungary. “We knew we were experimenting,” Herman said. Executive Producer, Péter Gonda, added that making Pokerface had posed more of a challenge than other productions: “Pokerface has four separate sets: a report room, a rooting room, an interrogation room and the main studio itself. We’re using extremely complex computer effects as well as tube cameras”. Furthermore, Pokerface was the first show on RTL Klub to use

Balázs Sebestyén and István Vágó 7 week 50 the RTL Group intranet

RTL Group Board changes RTL Group acknowledged the resignation of Gunter Thielen and Ewald Walgenbach from its Board of Directors with effect as from 31 December 2007. The resignations follow changes in the Bertelsmann AG Executive Board. Luxembourg - 11 December 2007

Gunter Thielen has been a member of the RTL Group Board since 2002, Ewald Walgenbach since 2000. The Board thanked both of them for their contribution in building RTL Group’s strong position and for their loyal services as members of the Board of Directors.

The RTL Group Board coopted Hartmut Hartmut Ostrowski Ostrowski (49), designated Chairman and Chief Executive Officer of Bertelsmann AG. Replacing Mr. Thielen, he will be joining the RTL Group Board as non-executive director as from 1 January 2008 and as well become a member of the Nomination and Compensation Committee. His appointment will be presented at the next shareholders meeting for ratification. Gunter Thielen Ewald Walgenbach

Acclaim for RTL Radio France RTL journalist Christophe Hondelatte awarded the prestigious Roland Dorgelès Prize 2007 for his skilful use of the French language. Christophe Hondelatte France - 12 December 2007

Christophe Hondelatte, presenter of RTL's Christophe Hondelatte is clearly, then, the radio morning show every weekday between 7.00 journalist most respectful of the language of and 9.30, has been honoured by the Molière. He will be presented with his award on Association des Ecrivains Combattants (AEC), 21 December 2007 by Christine Albanel, an association comprising some 600 intellec- Minister for Culture and Communication and tuals. He has been awarded the prestigious Michel Tauriac, Chairman of the AEC. Roland Dorgelès Prize which honours those professionals in the audiovisual industry sho- Christophe Hondelatte's morning show is by wing the greatest respect for the French lan- far the most popular in France, attracting some guage. 3,581,000 listeners. 8 week 50 the RTL Group intranet

M6's information formats pack in the viewers The three information magazines – 66 Minutes, Capital and Enquête Exclusive – that M6 broadcasts in the late afternoon or evening on Sundays are great hits with viewers. France - 11 December 2007

Last Sunday, the news magazine 66 minutes, presented at 17.40 by Aïda Touihri, attracted 3.1 million viewers, the magazine's second highest audience ever, making M6 the second most popular channel among viewers aged four and over.

Then at 20.50, 5.2 million viewers tuned in to watch the information magazine Capital, fronted by Guy Lagache and devoted to covering the topic Noël, la folie des achats (Christmas: When Shoppers Go Crazy). This audience was the magazine's highest since the start of the autumn season, and in that slot too M6 ranked second among viewers aged four and above.

Later that same Sunday evening, at Noël, la folie des achats 22.35 to be precise, 3.7 million viewers watched the investigative magazine Enquête Exclusive presented by Bernard de la Villardière, which gave viewers an incredible behind the scenes look at the famous Champs-Elysées. This was not only the magazine's best ever audience, but also an unprecedented score for M6 in this time slot, making it the leader by far in general audience terms for the second week running. The programme proved a runaway success among hou- sewives aged under 50, where it attai- ned an audience share of 33 per cent. Champs-Elysées

Bernard de la Villardière Aïda Touihri Guy Lagache 9 week 50 the RTL Group intranet

Al Gore gave an interview to RTL Television and N-TV Al Gore, the winner of this year's Nobel Peace Prize, spoke to RTL Editor-in-Chief, Peter Kloeppel, before receiving his award in Oslo. Al Gore Germany - 12 December 2007

In the interview, Al Gore spoke to Peter Peter Kloeppel conducted the interview in Oslo Kloeppel about environmental policy and glo- on Monday morning. Key excerpts were aired bal climate change. Although Gore started out the same evening on N-TV and RTL Television. by criticising the US administration's environ- The full interview was broadcast by RTL mental policy, he also reiterated that several Television during a special edition of its late- states in the USA, including California, had night news bulletin, RTL Nachtjournal Spezial. already adopted legislation capping CO2 emis- sions.

Al Gore, Peter Kloeppel 10 week 50 the RTL Group intranet

Commemorating the female pilot Elly Beinhorn The production company Teamworx is to film the life and career of Elly Beinhorn, Germany's female aviation legend, who became famous for her spectacular long-distance flights during the 1930s. Elly Beinhorn Germany - 11 December 2007

Elly Beinhorn was Germany’s most famous The material for the film, which Teamworx has female aviation pioneer. She was born into the been developing since this summer, is based on family of a salesman in Hanover in 1907. In the autobiography of Elly Beinhorn entitled 1928, Beinhorn gained her pilot's licence and Alleinflug (Solo Flight). Beinhorn died on 28 set numerous records in the ensuing years. Her November 2007 at the age of 100. Her son, courage and self-confidence made her a heroi- Professor Dr Bernd Rosemeyer, said: “I’m very ne in the eyes of a new generation of women. happy this film is being made. It will serve as a Ariane Krampe, Producer and Deputy Managing memorial to my mother”. Director of Teamworx, said: “Elly Beinhorn was one of the most charismatic personalities of her time. Her unconditional assertiveness and determination are an example for anyone aspi- ring to turn their dreams into reality”.

The accomplishment that made Beinhorn famous overnight was her first long solo flight in 1931 to Guinea-Bissao in Africa, a distance of more than 7,000 kilometres. During the return flight, she was forced to make an emergency landing in the desert and was posted as ‘mis- sing’ for several days. Shortly after returning to Germany she started a flight around the world, arriving in Buenos Aires after a journey taking more than seven weeks which earned her a place in history as the first woman ever to fly solo around the world.

Her marriage to racing driver Bernd Rosemeyer in 1936 also caused a sensation. They were considered one of the most glamorous couples in Germany in the 1930s. However, their happi- ness was short lived; Rosemeyer was killed in an accident in 1938 while attempting to set a new world speed record.

Elly Beinhorn

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Creative advertising visit Vox and IP Deutschland are coming up with new, creative forms of advertising. Kraft Foods is using three exclusive special forms of to watch the advertising on Vox to launch its new product Jacobs Sinnfonie. Trenner-Move Germany - 7 December 2007

German Pop Idol to enter into its fifth season More than 28,000 applicants auditioned for the latest season of Deutschland sucht den Superstar. Germany - 7 December 2007

More viewers: Antena 3’s high growth in November RTL Group's Spanish TV channel Antena 3 has attracted more viewers for the third consecutive month, scoring top ratings for its news formats among other channels. Spain - 10 December 2007

One against all The video portal Clipfish.de, a subsidiary of RTL Interactive, is teaming up with RTL Television and MySpace, to launch a very special kind of major cross-media treasure hunt. Germany - 10 December 2007

Great start for Maison à vendre The new M6 programme Maison à vendre (House For Sale), broadcast at 20.50 on Monday evening, was watched by an average of 3.3 million viewers. France - 12 December 2007

New sponsorship deals Five has secured two new sponsorship deals with UK price comparison site moneysupermarket.com. - 13 December 2007 12 week 50 the RTL Group intranet

People Barbara Faltermeier

Barbara Faltermeier leaves RTL II Germany - 11 December 2007

On 15 December 2007, Barbara Faltermeier, head of RTL II's Press and PR Department, is to leave the Munich-based channel she has ser- ved for over 10 years. She will be going at her own request and on the best of terms with her employer.

Barbara Faltermeier has been RTL II's press spokesperson since 1997. In 1998 she was already put in charge of the channel's corpora- te and programme communication, and went on to orchestrate innumerable format cam- paigns. The latest ones to make waves concer- ned the classy US series Rome (broadcast in Germany as Rom) and Heroes.

“We'll be very sorry to lose Barbara Faltermeier, who has been a valuable member of our team,” said RTL II CEO Jochen Starke. “Under her gui- dance, RTL II has succeeded in positioning itself as a leading contender among the chan- nels of the second generation. We wish Barbara every success in her future career and she also leaves with our very best personal wishes”.

The provisional acting head of the Press and PR Department will be Faltermeier's deputy, Frank Lilie.

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