ProSiebenSat.1 Media SE

Earnings Release • Apr 24, 2008

News Details

Ad-hoc | 24 April 2008 22:05

ProSiebenSat.1 Media AG: German Free TV to impact results of ProSiebenSat.1 in Q1 2008 – Action plan implemented

ProSiebenSat.1 Media AG / Quarter Results

Release of an Ad hoc announcement according to § 15 WpHG, transmitted by
DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.

---

Munich, April 24, 2008. Based on preliminary figures for the first quarter
of fiscal 2008, ProSiebenSat.1 Group has increased its revenues by 45.5
percent to EUR 729.1 million and recurring EBITDA by 7.8 percent to EUR
88.5 million due to the first time consolidation of SBS Broadcasting Group.
However, on a pro forma basis for the combined Group, revenues decreased by
2.0 percent or EUR 14.9 million to EUR 729.1 million in Q1 2008 versus Q1
2007, recurring EBITDA declined by 25.1 percent to EUR 88.5 million.

Pro-forma results in Q1 2008 have been impacted primarily by the segment
Free TV German speaking region which saw a reduction in external revenues
of 4.9 percent to EUR 417.1 million. Recurring EBITDA of the segment
decreased accordingly by 18.4 percent to EUR 57.6 million. The decrease in
revenues and earnings is due to uncertainties linked to the implementation
of the new advertising sales model introduced at the end of 2007 as a
consequence of proceedings of the German Federal Cartel Office and to a
time-lag effect of the weak ratings of Sat.1 in 2007.

International TV advertising markets of the former SBS countries again
showed stronger dynamics than Germany. External revenues of the Group’s
segment Free TV International grew by 1.3 percent and reached EUR 176.0
million (pro forma Q1 2007: EUR 173.7 m). Recurring EBITDA showed a
decrease of 28.6 percent to EUR 27.5 million partly due to start-up costs
for new TV channels in Sweden (Kanal 9) and Norway (FEM).

External revenues in the Diversification segment rose 3.1 percent to EUR
135.9 million (pro forma combined). Recurring EBITDA decreased by EUR 5.1
million to EUR 4.0 million due to lower call TV revenues of 9Live in
Germany and to start-up costs for new services in Pay TV and
Video-on-Demand as well as for the internationalization of 9Live.

The Group has taken decisive accelerated steps in the execution of its
strategy by implementing an action plan. The advertising sales model for
the German market has been adjusted to increase its competitiveness. The
Company is confident that it will regain market share with the adjusted
model in H2 2008. The Group has also decided to reorganize the German
advertising sales organization to more optimally address the German market
following the changes in the advertising sales model, as well as to better
position the business for the challenges and opportunities of digitization.

Due to the issues related to the advertising sales model in Germany, which
will also affect Q2 2008, the Group has decided to implement a cost savings
plan of EUR 70 million in 2008 versus its original budget for 2008. Savings
will come from a reduction of Selling, General and Administrative Expenses
and better use of the Group’s existing programming inventory. The Group
continues to actively invest in new programming developments.

In this regard, the Group has devoted particular attention to Sat.1 over
recent months. The station has been able to increase its average audience
to 11.0 percent YTD 2008 vs. 10.5 percent in the same time period in 2007
(14-49).

Finally, the Group has initiated the first steps in the digitization of
ProSiebenSat.1 Production by outsourcing its IT services to IBM.

Contact:
Katja Pichler
Corporate Spokesperson
ProSiebenSat.1 Media AG
Medienallee 7
D-85774 Unterföhring
Ph. +49 [89] 95 07-1180
Fax +49 [89] 95 07-1184

E-mail:

Katja.Pichler@ProSiebenSat1.com

24.04.2008 Financial News transmitted by DGAP

Language: English
Issuer: ProSiebenSat.1 Media AG
Medienallee 7
85774 Unterföhring
Deutschland
Phone: +49 (0)89 9507-1108
Fax: +49 (0)89 9507-1105
E-mail: sandra.vogler@ProSiebenSat1.com
Internet: www.prosiebensat1.com
ISIN: DE0007771172
WKN: 777117
Indices: MDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Hannover, Düsseldorf, Hamburg, München, Stuttgart

End of News DGAP News-Service

---