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Investor Presentation Forward-Looking Statements Investor Presentation Forward-Looking Statements This presentation includes information intended or deemed to be “forward-looking information” including in respect of the Company’s digital first strategy and initiatives and expected incremental annual revenue as a result thereof, transformation projects and related annual savings as a result thereof and our first quarter outlook. By their nature, forward-looking information and statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. These risks and uncertainties include, but are not limited to, competition from other newspapers and alternative forms of media; the effect of economic conditions on advertising revenue; the ability of the Company to build out its digital media and online businesses; the continuation of current print and online newspaper readership and circulation levels; the realization of anticipated cost savings; possible damage to the reputation of the Company’s brands or trademarks; possible labour disruptions; possible environmental liabilities, litigation and pension plan obligations; fluctuations in foreign exchange rates and the prices of newsprint and other commodities; and challenges related to operating as a stand-alone entity. A full description of these and other risks and uncertainties are set forth in the Company’s Management’s Discussion and Analysis for the period ended August 31, 2010 under the section “Risk factors”, which can be found at our website at www.postmedia.com and which section is incorporated by reference herein. Although the Company bases such information and statements on assumptions believed to be reasonable when made, they are not guarantees of future performance and actual results of operations, financial condition and liquidity, and developments in the industry in which the Company operates may differ materially from any such information and statements in this press release. Given these risks and uncertainties, undue reliance should not be placed on any forward-looking information or forward-looking statements, which speak only as of the date of such information or statements. The Company does not undertake, and specifically declines, any obligation to update such information or statements or to publicly announce the results of any revisions to any such information or statements. No Representations or Warranties While the information contained in this presentation is believed to be accurate and reliable, the Company makes no representation or warranty, express or implied, as to the accuracy, completeness or reliability of this presentation or the information contained in this presentation. 2 Postmedia Network On July 13, 2010, Postmedia Network became Canada’s newest media company and the country’s largest publisher of paid English-language daily newspapers. The company’s assets also include community-based publications and 50 destination websites. Our award winning journalists capture important and engaging stories with words, pictures and video and publish them to a growing list of media platforms. Our brands reach more people in more ways than ever before and we believe the future of our digital growth areas and emerging technologies hold tremendous potential. We are focused squarely on the future and thinking differently about everything we do. We have assembled the best talent and expertise for our board of directors, executive team, and transformation committee. This high-caliber group is energized by the opportunities ahead and ready to implement a plan designed to maximize the return to our investors. As we work toward implementing our new strategy it will bring all of our operations in line with a digital-first approach. From the way we create content and interact with our audiences to the way we partner with marketers and leverage business relationships – it all centres on the opportunities that exist in a digital first and Postmedia world. Paul V. Godfrey, C.M. President and CEO 3 Postmedia - Key Company Highlights • Largest publisher of English-language paid daily newspapers by circulation in Canada LeadingLeading EnglishEnglish newsnews with marquee brands sourcesource inin itsits keykey marketsmarkets • Postmedia’s metro daily newspapers are #1 English-language dailies in terms of reach and revenue in each of the markets they serve LargeLarge andand growinggrowing digitaldigital • Extensive portfolio of premium digital media and online assets mediamedia andand onlineonline businessbusiness • Number of unique visitors to metro newspaper websites has demonstrated growth SignificantSignificant cost-savingscost-savings • Multiple cost reduction initiatives successfully completed in 2009 and 2010 opportunitiesopportunities • On-track to implement additional cost-saving opportunities in 2011 • Attractive margins and reduced capital expenditures drive strong free cash flow StrongStrong freefree cashcash flowflow • Enhanced stability through geographically diverse revenue base • Key advertising categories such as auto and real estate are showing steady PositionedPositioned toto benefitbenefit fromfrom improvement economiceconomic recoveryrecovery • Cost initiatives position Postmedia to drive strong growth in profitability with economic recovery Strong,Strong, well-respectedwell-respected • Strong management team led by Paul Godfrey, an experienced industry veteran managementmanagement teamteam • Board of Directors with extensive experience in the media sector 4 Well-Established and Trusted Brands • Postmedia’s newspaper brands are woven into the fabric of the communities they serve, some for over a century • 10 daily metropolitan newspapers, which are each #1 in the markets they serve » Brands include the Calgary Herald, Montreal Gazette and Vancouver Sun • The National Post, one of Canada’s two daily national newspapers, focused on key urban markets • 26 community mastheads, serving areas of BC and Southwestern Ontario 5 Postmedia Network – Key Milestones Subscriber/customer service call centre outsourced to Oct. 31 Dominican Republic – reduction of 126 FTEs Reduction of 261 FTEs through voluntary & involuntary departures Oct. 30 College Printers facility in B.C. closed – reduction of 91 FTEs Sep. 30 Charlotte F. Burke Appointed to Board of Directors Sep. 24 Record high online audiences in first month of operations Sep. 22 Sep. 16 Integration of National Print and Digital Sales teams Sep. 1 Postmedia Network unveils brand identity Aug. 23 Alvin Brouwer Appointed President of Business Ventures July 20 Wayne Parrish named Chief Transformation Officer July 13 Postmedia Network completes acquisition of Canwest Publishing print and online assets July 2 New company name announced - Postmedia Network Inc. PostmediaPostmedia NetworkNetwork hashas executedexecuted onon importaimportantnt stepssteps towardstowards evevolvingolving itsits businessbusiness 6 Executive Team A dynamic group of senior media executives with an average of more than twenty years’ industry experience Paul Godfrey, President and Chief Executive Officer • Served as President and CEO of the National Post, President and CEO of the Toronto Blue Jays • Spent 16 years with Sun Media Corporation, eventually taking the role of President and CEO • Served on the Board of Directors of Canwest from January 2004 until January 2009 Doug Lamb, Chief Financial Officer and Executive Vice President • Was appointed as EVP and CFO of Canwest LP in 2005 • 15 years of industry experience Kirk Allen, Executive Vice President Advertising Sales • 22 years of industry experience Kevin Bent, President Pacific Newspaper Group and Executive Vice President Western Canada • 16 years of industry experience Alvin Brouwer, President of Business Ventures • 30 years of industry experience Ed Brouwer, Chief Information Officer • 32 years of industry experience Gordon Fisher, President National Post and Executive Vice President Eastern Canada • 38 years of industry experience Malcolm Kirk, Executive Vice President Digital Media • 21 years of industry experience Wayne Parrish, Chief Transformation Officer • 38 years of industry experience 7 Board of Directors A strong group of recognized leaders from media and business, members sit on both Postmedia Canada Corp. and Postmedia Network Inc. boards Ron Osborne (Chairman) is also Chairman of the Board of Sun Life Financial Inc. and the Board of Governors of Massey Hall and Roy Thomson Hall. Mr. Osborne is a member of a number of corporate and community boards, including Sun Life Financial, Holcim (Canada) Inc., RioCan Real Estate Investment Trust, Brookfield Renewable Power Inc., Tim Horton’s and Canadian Media Fund. Paul Godfrey is President and CEO of Postmedia Network. He is also the Chair of the Ontario Lottery and Gaming Corporation, Chairman of the Board of RioCan Real Estate Investment Trust and currently serves on various other boards including, Astral Media Inc, Data and & Audio Visual Enterprises (DAVE) Wireless Inc., Cargo Jet Income Fund and serves as Vice Chair of Baycrest Centre for Geriatric Care. Charlotte F. Burke serves on the Audit Committee of the Board, and currently works with the Business Development Bank of Canada (BDC Venture Capital) helping Canadian entrepreneurs build global technology-based companies. Ms. Burke sits on a number of boards and advisory councils including the Board of Governors for Acadia University where she is the Chairperson of the Business School Advisory Board and serves on the audit and academic committees.
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