press release iti group press release online at and

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1 press release iti group press release online at and ITI Group and TVN Group form a Strategic Partnership with Canal+ Group TVN Group and Canal+ Group to combine their Polish pay-tv business with a subscriber base in excess of 2.5million Luxembourg, 01 November 2011 Further to its announcement on 27 October 2011 ITI Holdings S.A. ( ITI Group ), Poland s leading media and entertainment group, is pleased to confirm that, together with TVN S.A. ( TVN ), they have agreed on the key principles of their partnership and are in exclusive negotiations with CANAL+ Group to finalize the creation of their strategic partnership in Poland. The TVN Group and Canal+ Group are expected to merge their Polish pay-tv activities in a joint venture in order to create a common DTH platform in Poland. The TVN Group will combine its subsidiary ITI Neovision with Cyfra+ in exchange for a significant minority stake in the combined entity. No cash payment by the TVN Group is contemplated. The combined DTH platform will have a subscriber base in excess of 2.5 million and will benefit from the effects of scale and efficiency enhancements. Subscribers to the joint DTH platform will benefit from the deployment of the latest technology and access to the broadest HD offering in the Polish market and be able to benefit fully from the introduction of 3D television. By combining the Polish pay-tv assets of TVN Group and Canal+ Group, TVN Group continues to meet the challenges of a converging media world and its premium offering will deliver the best available entertainment experience to its customers. The TVN Group and the combined pay-tv platform will plan to enter into partnership agreements in content development, production and exploitation in the Polish market. Concurrently with the combination of the pay-tv assets, Canal+ Group is to acquire a significant minority stake in N-Vision B.V., the parent company of Polish Television Holding B.V. ( PTH ), which in turn holds the 51% majority stake in TVN, whereby the Canal+ Group has been granted an option to acquire the remaining portion of the controlling stake in TVN over time from ITI Group. The partnership thus also serves to secure continuity and development of the TVN Group on the Polish content production, broadcasting and pay-tv markets. The partnership enables the Parties to capture the full value of the combinations on both the revenue and cost side for the mutual benefit of all stakeholders in the ITI Group, TVN Group and Canal+ Group respectively. TVN is the leading Polish commercial television broadcaster owning and operating ten television channels, the digital pay-tv platform n and Onet, Poland s largest and most popular internet portal. TVN Group s successful convergence strategy has created one of the most innovative media groups in Europe. TVN has been listed on the Warsaw Stock Exchange (WSE ticker: TVN) since December 2004 and is part of the WIG 20 index. CANAL+ Group is the leading pay-tv group in France. It is France s leading operator in premium and theme-channel publishing and in bundling and distributing pay-tv offerings. A pioneer in the new uses of television, it is also a major player in film production and distribution. CANAL+ Group is also a major player in Poland through Canal+ Cyfrowy (Cyfra+), the second largest digital pay-tv platform with 1.5 million subscribers. Contacts For further information please contact: NBS: Piotr Wojtaszek: / FTI Consulting: Charles Palmer: +44 (0) ITI Group Press Release 01 November 2011 Page 1 of 5

2 Forward-Looking Statements This Press Release includes Forward-Looking Statements relating to the contemplated strategic partnership. At this stage, there can be no assurance that the parties will reach a definitive agreement. In addition the completion of a transaction is inter alia subject to consent from respective Anti-Monopoly Authorities and there can be no assurance that such consent will be granted or on satisfactory terms to the parties. A further announcement setting out the detailed terms of the transaction will be made if and when appropriate. About ITI GROUP The ITI Group is the leading Polish media and entertainment group, active in television broadcasting, online, multiplex cinema operations, theatrical distribution and football. Television Broadcasting The ITI Group conducts its television broadcast operations primarily through TVN Group, one of Poland s largest commercial television networks. The TVN Group owns and operates ten television channels, was listed on the Warsaw Stock Exchange (WSE ticker: TVN) in December 2004 and is part of the WIG 20. TVN, our principal free-to-air channel, is recognized in the Polish market as a leading television broadcaster of high quality entertainment and comprehensive independent news. TVN reaches 91% of households in Poland. TVN7 is an entertainment channel that complements TVN s offer by broadcasting feature films and television series. The channel reaches 64% of households in Poland. TVN24 channel is the first 24-hour news and current affairs television channel in Poland, reaching 58% of households in Poland. TVN CNBC is our business news channel launched in cooperation with CNBC Europe. The channel reaches 35% of households in Poland. TVN Meteo is Poland s first dedicated weather channel reaching 55% of households in Poland. TVN Turbo is Poland s first thematic channel aimed at man and at the same time dedicated mainly to motorization. The channel reaches 56% of households in Poland. TVN Style is a thematic channel focused on life styles, health and beauty aimed at women. The channel reaches 56% of households in Poland. ITVN is a television channel that targets viewers of Polish origin living abroad. It is available in Europe, Northern America and Australia. Telezakupy Mango is the only, all day, teleshopping channel in Poland, reaching 58% of households. NTL is a local television channel addressed to residents of Radomsko and surroundings. TVN Group also owns TVN News & Services Agency, broadest media services agency operating in Central and Eastern Europe and the only one in the region to offer full complexity services. Page 2 of 5

3 Online The ITI Group conducts its online activities through Grupa Onet S.A. operating - Poland s leading portal. Grupa Onet S.A. is the operator of some of Poland s most popular internet destinations, such as Sympatia.pl - Poland s leading internet dating service, Onet Blog - Poland s No. 1 Blog site, Onet Video and zumi.pl - Poland s first web based location service. Grupa Onet S.A. is a wholly owned subsidiary of TVN S.A. TVN Group owns Onet.pl, which is the largest and the most popular internet medium in Poland. Onet.pl is the internet leader in Poland in core content: business, finance, law,news,socio-political journalism; media; sport; touristic. Onet s services are also leaders in their categories: OnetBlog the biggest blog service in Polish internet. Sympatia.pl the most popular dating service in Poland. Zumi is a new tool, not existing before on the Polish market, bringing together the features of map services, online directory and yellow pages. Vod.onet.pl - joint effort of Onet, TVN and Warner Bros. This "video on demand" service allows web users to watch Polish and oversees series, TV shows and feature films. Cutting edge technologies ensure the highest quality of audio and video. plejada.pl - an interactive multimedia site dedicated to show business. It is the first project on the Polish market available immediately on launch via three platforms Internet, mobile phones and n platform. tvn24.pl - the first news portal in Poland, which combines text, voice and video. The web site contains extensive video content related to the most important events in Poland and all over the world. The portal features paid access to the on-line broadcast of the TVN24 channel as well as information and materials that haven t been broadcast on television. tvnwarszawa.pl - a media project dedicated to Warsaw and its residents. TVN Warszawa focuses on life in Poland's capital, providing high quality news and entertainment programming. Available on: and Page 3 of 5

4 Digital Platform In October 2006 the ITI Group launched n Poland s state of the art digital platform. It is the first satellite platform in Poland and central-eastern Europe to offer HD channels, Personal Video Recorder (PVR) and Video on Demand (VOD) in one. As the first platform in Poland, has launched a 3D service - nshow3d to guarantee the "third dimension of entertainment." Pay-tv platform n offer gives the largest selection of programs among all digital platforms in Poland. It includes 27 HD channels as well as some own-produced channels. Pay-tv platform n is an unchallenged leader in the most up-to-date TV technologies available in the Polish market. Along with riche program offer, pay-tv platform n is also about some innovative services, including: set-top-box equipped with 500 GB disc, nportal six theme information services available after connecting your recorder to internet; nradio and nradio HD featuring 5.1 sound; and the most advanced EPG offering some unique and easy to operate features. Pay-tv platform n is available in nationwide points of sale, an online shop and through a call center. For further details on the offering refer to n production channels nsport - available in HD and Dolby Digital - is a high end quality sport channel providing an unique information journalistic profile. Wojna i Pokoj is dedicated to Russia s big cinema movies, country - classics and current movies, series and documentaries. Religia.tv is a channel dedicated to religion and ethics. Page 4 of 5

5 Entertainment and Publishing The ITI Group operates in its entertainment group Multikino and ITI Cinema showing the latest movies and bringing a new cinema experience. Legia is Poland s most reknown football club having a longstanding history. Multikino is one of Poland s leading multiplex cinema operators. With prime locations and a wide offering of feature films, Multikino currently operates twenty three multiplex cinemas with 199 screens in Poland, an 8 screen cinema in Riga, Latvia and a 7 screen cinema in Vilnius, Lithuania. ITI Cinema is part of Multikino active exclusively in theatrical distribution. ITI Cinema is a leading distributor of Polish movies complemented by international productions from a number of independent studios. ITI Cinema not only distributes Polish feature films but has become active in their production and has frequently been a co-producer. Legia, founded in 1916 represents Poland s most recognized soccer club both domestically and abroad. Legia is the all time league leader having won the Polish Championship 8 times, the Polish Cup 14 times and winning other trophies. Pascal is Poland s major publisher of travel guides and well recognized supplier of travel literature and lifestyle fiction. Tygodnik Powszechny - founded in 1945 is one of the most recognized and reputable catholic social and cultural weekly magazines in Poland. Tygodnik Powszechny operates one of the most frequently visited websites of any weekly magazine in Poland. END OF PRESS RELEASE 5 PAGES Page 5 of 5