- TF1 -Show - Road Netherlands The - ING 2007 - October 1 Disclaimer - TF1 -Show - Road Netherlands The - ING 2007 - October All forward-looking statements are TF1 management’s present expectations of future events and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. 2 1 Summary ¾ An ongoing interest for TV - TF1 -Show - Road Netherlands The - ING 2007 - October ¾ TF1 leading positions ¾ Optimistic outlooks for TF1 Appendix 3 - TF1 -Show - Road Netherlands The - ING 2007 - October 4 2 A more and more competitive environment Added value services Launch of HDTV Launch of DVB-H HDTV through Satellite ~ 2006 ~ 2009 & DTT ~2008 - TF1 -Show - Road Netherlands The - ING 2007 - October TV on mobile Digital satellite (pay) TV over ADSL triple play coverage 100% TV over ADSL Full interactive coverage 80% - 2007 Coverage Paris & Lyons services end 2003 - beginning 2004 Fibre … Digital cable (pay) TPS L coverage 35% Analogue terrestrial Analogue 6 channels DTT DTT switch off coverage 100% 17 channels 28 channels DTT coverage 95% end 2011 (free) (free & pay) coverage 35% coverage 80% Analogue cable March 2005 Dec 2007 Additional coverage 1.5 m households channel 1996 2004 2005 2006 2009 2011 2012 5 Still growing TV consumption on main targets Ind 4 years or + Women<50 15 - 49 years 15 - 24 years - TF1 -Show - Road Netherlands The - ING 2007 - October 226' 229' Daily viewing time 219' (January - June) in minutes 213' 209' 209' 204' 210' 212' 194' 197' 209' 210' 192' 194' 206' 186' 202' 202' 184' 183' 183' 183' 194' 180' 193' 176' 187' 190' 192' 184' 189' 184' 183' 176' 177' 180' 171' 171' 177' 168' 167' 173' 173' 167' 164' 168' 160' 157' 158' 156' 154' 156' 150' 144' 137' 135' 137' 134' 131' 134' 128' 130' 128' 128' 130' 125' 125' 125' 124' 122' 127' 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Source : Médiamétrie – Médiamat 6 3 TV set market: an ongoing growth of sales speeding up since 2003 TV set sales in volume* * In million of products 5.6 - TF1 -Show - Road Netherlands The - ING 2007 - October 5.5 4.9 4.6 4.6 4.5 4.4 4.3 4.3 4.2 3.8 3.7 3.7 3.7 3.6 3.5 3.5 3.3 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 (forecast) TV equipment expenses of French people * Source : GfK 7 The development of new media is not made at the expense of TV consumption 2006 = 7h40 of media 2012 estimated = 8h40 of media consumption consumption - TF1 -Show - Road Netherlands The - ING 2007 - October TV-47%TV-47% NewNew MediaMedia TV-42%TV-42% NewNew MediaMedia 3h343h34 7%7% -- 0h34 0h34 3h363h36 20%20% -- 1h45 1h45 Mobile - 4% Mobile 0h19 3%- 0h15 Mobile TV - 2% 0h11 VOD - 1% Internet 0h05 Press/Mag - 7% 4%(2) -0h19 0h31 Press/Mag - 6% Internet - 13%(2) Radio - 30% Radio-25% 0h29 1h10 2h18 2h12 Music - 5% Music - 4% 0h21 0h21 Other(1) -2% Cinema-Video - 2% Other(2) -2% Cinema-Video - 1% 0h11 0h06 Daily media consumption in France in 2006 and 2012 estimated (Base : 15 years or +), except for TV based on 4 years or + on H1 2007 non multimedia data - (1) mainly : seasonal video games - (2) at work and at home, Internet uses included Sources : Médiamétrie, IPSOS, Credoc, analysis DSIT / eTF1 8 4 TV: the only mass media in France - TF1 -Show - Road Netherlands The - ING 2007 - October Above Individuals 4+ watch every day ! Source : Médiamétrie H1 2007 – individuals aged 4 and above 9 - TF1 -Show - Road Netherlands The - ING 2007 - October 10 5 TF1: an unchallenged leadership Women < 50 Indiv. 15-24 years - TF1 -Show - Road Netherlands The - ING 2007 - October = 35.2 pt +0.6 35.2 33.4 - 32.8 -3.0 1.3 pts pt ts .7 p pts +5 -1.4 18.2 4.2 21.5 pt + 24.5 -2.0 20.9 19.5 16.6 p 14.4 t -1. -1 3 pt .2 p 15.8 t 13.2 11.2 - 8.9 0.1 -0 12.4 7.7 pt pt .1 8.9 p 15.2 10.2 .1 t - 0 3.3 0 + pt 3.2 pt .2 +0.1 +0.1 pt 3.1 2.6 1.1 1.3 3.0 2.7 0.7 1,0 1.5 0.6 F2 F3 C+ Arte M6 F5 Other TV F2 F3 C+ Arte M6 F5 Other TV Jan - September 2006 audience share Jan - September 2007 audience share Source : Médiamétrie - Médiamat 11 A growing audience in a more and more fragmented market Over the last 10 years, the audience share of TF1 in prime time declined while the audience rose - TF1 -Show - Road Netherlands The - ING 2007 - October Audience share +8.7% Number of viewers 36% vs. 1996 35,2% 35,1% 35,3% 7,5m 7,6m 35% 34,5% 33,8% 7,2m 34% 7,3m 7,1m 7,1m 7,2m 7,2m 7,0m 7,1m 32,8% 33% 6,7m 6,9m 32,8% 6,8m 6,8m 32,9% 32,0% 32% 31,9% 31,6% 6,4m 31% -10.2% vs. 1996 30% 6,0m 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 Audience share in prime time on Ind. 4+ Number of viewers in prime time (Ind. 4+) Source : Médiamétrie – Prime time (9:00 pm to 10:45 pm) – audience share & number of viewers : Individuals 4+ 12 6 A leadership reinforced on DTT RESISTANCE ON DTT % 2006 2007 36 34 32,6 32,6 31,7 - TF1 -Show - Road Netherlands The - ING 2007 - October 31,3 31,4 32 30,7 30,7 31,0 31,0 31,5 30,2 30,3 30,5 31,6 31,8 30 30,2 29,7 29,9 28 29,0 29,0 28,9 28,6 28,0 28,1 27,9 28,0 26 24 22 TF1 - Ind. 4+ - National TF1 - Ind. 4+ DTT 20 M6 - Ind. 4+ - National M6 - Ind. 4+ DTT 18 16 14 12,6 12,5 12,4 12,6 12,3 11,7 11,8 11,5 11,6 11,4 11,2 11,2 12 11,3 11,2 10 11,0 11,4 11,3 10,8 10,5 10,2 10,1 10,1 10,2 10,4 9,6 8 9,5 6 Sept 2006 Oct 2006 Nov 2006 Dec 2006 Jan. 2007 Feb 2007 Mar 2007 Apr 2007 May 2007 Jun 2007 Jul 2007 Aug 2007 Sept 2007 TF1 outperforms its average audience share in a more fragmented market Source : Médiamétrie – Médiamat – Individuals 4 and above – Sept 06 to Sept 07. 13 January-September 2007 : increase of TF1 advertising market share TF1 advertising market share (all sectors) - TF1 -Show - Road Netherlands The - ING 2007 - October +0.3 pt TF1 advertising market share (excluding Publishing ) +0.8 pt Source : TNS Media Intelligence – January-September 2007 vs. January-September 2006 14 7 Sectors concealed contrasted growths (Jan-Sept 07) Weight Investments’ change Gross investments on TF1 TF1 Market Share FOOD 25.0% + 6.1% 59.8% - TF1 -Show - Road Netherlands The - ING 2007 - October COSMETICS 14.3% +3.5% 56.0% TRANSPORT 8.3% -6.8% 53.2% SERVICES 7.7% +17.0% 53.1% TELECOMMUNICATIONS 6.7% -27.5% 50.7% PUBLISHING (CD, DVD…) 6.6% -31.1% 48.9% 62.4% HOUSE CLEANING 6.0% +6.6% st RETAIL 5.7% => Opening since January 1 , 2007 57.5% BEVERAGE 2.7% -12.3% 55.6% MEDECINE 2.6% +12.5% 54.4% Source : TNS Media Intelligence –January – September 2007 vs. January – September 2006 15 TF1 Group channels strengthen their leadership on cable, satellite and ADSL (8.2 M households - 32% coverage) 4 channels in the Top 8 most watched channels - TF1 -Show - Road Netherlands The - ING 2007 - October Audience share of 4 years or + on cable, satellite and ADSL From January 1st to June 17, 2007 1.8 RTL 9 1.3 1.2 1.0 Canal+ Sport 1.0 Canal J 1.0 0.9 Tiji 0.9 Source : Médiamétrie – Médiacabsat 13 16 8 An improving web offer on the “must have” targets WEB POWER OFFER MAIN THEMES - TF1 -Show - Road Netherlands The - ING 2007 - October Ranking : August 2007 9.37 million visitors NETWORK(*) The 8th website 3rd News website on August 2007 2nd Sport website 3rd Youth website 3rd Women website (**) + 4th community platform Source : Panel Médiamétrie Nielsen Netratings August 2007, home and work, Internet applications excluded (*) : included distribution agreements (**) : « Targeted portals & communities » / Women website 17 Organisational Matrix: 2 examples Media TV Internet Mobility Others - TF1 -Show - Road Netherlands The - ING 2007 - October TF1 channel n°1 1st media website TF1 : n°1 on Orange (press, off media, 4 theme channels in the top 8 th Genre 13 website in France LCI Mobile : n°1 commerce…) thematic on Orange Sport News 18 9 - TF1 -Show - Road Netherlands The - ING 2007 - October 19 The Top 6 of TF1’s Priorities TF1’s leadership Adapting programming costs to advertising trend TF1 Digital Generation Developing thematic and creating cross media offer : - TF1 -Show - Road Netherlands The - ING 2007 - October TV channels / Internet Rationalizing diversifications Improving operating margins Improving internal efficiency Revitalizing talents & creativity Putting into operation a buying group department Regulation easing French contents, broadcasting, advertising Development Focusing on partnerships 20 10 - TF1 -Show - Road Netherlands The - ING 2007 - October 21 FAQ TF1 channel advertising – TF1 is expecting from now on a slight growth of TF1 core channel advertising revenue for the full year 2007 - TF1 -Show - Road Netherlands The - ING 2007 - October – Impact from the opening of TV adv to retailers in 2007 (given by media agencies): €200 m - €240 m – 2006 Football World Cup: net revenue of ~ €70 m (incl.