1 Half Year Figures 2007 - Startseite - Tamedia...5 Half Year Figures 2007 Slight growth of daily newspapers for the first time • The print advertising expenditures in daily newspaper

Half Year Figures 20071



Martin KallChief Executive Officer

Overview of 1st Half Year 2007


EBIT Margin*

2006: 17.8%2007: 17.3%

in CHF million

Tamedia increases income and maintains result at a high level

+5.5%

+0.5% +2.5%

*The EBIT figures refer to the respective continued operations

353.7

76.162.9

76.5 64.4

373.0

0

50

100

150

200

250

300

350

400

Income EBITDA EBIT2006 2007


Strong economic growth continues

• Compared to the first quarter of the previous year, the gross domestic product (GDP) increased strongly by 2.4%. Forecasts for Switzerland see continous, slightly weaker growth

• Tamedia expects slightly less growth in 2008

Unemployment declined again

• The unemployment rate decreased during the first six months of 2007 and reached 2.5% in June 2007 (previous year: 3.1%)

• As a result, fewer than 100 000 people are unemployed for the first time in almost five years

Positive consumer mood

• The consumer mood index improved again in the first half year 2007 and reached +20 index points in June 2007

• In July 2007, the index of consumer mood declined slightly, but remained at a high level and lies now at +15 index points

The economic environment continues to improve well

Source: Economics Ministry SECO


Slight growth of daily newspapers for the first time

• The print advertising expenditures in daily newspaper increased slightly again for the first time in seven years and reached 96.6 index points in June (June 2006: 92.4; June 2005: 94.0; June 2004: 94.2; June 2003: 98.0) according to the Publicitas index

• But daily newspapers still profit disproportionately little from the growth

Strong growth of job ads

• The complete job market increased from December to June according to the Publicitas index by 15.3%

• The income of Tamedia products StellenAnzeiger and Alpha increased by 16.0%

Increasing advertising expenditures

• According to MediaFocus Swiss advertising expenditures increased by 8.2% from January to June compared with the previous year

Advertising expenditures profit from strong economic growth

Source: Publicitas; Tamedia; MediaFocus


90

95

100

105

110

115

120

125

130

135

140

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

June 2007 compared with Dec. 2006:

Growth of 3%

Publicitas index: development of advertising expenditures (commercial ads) in the daily

press (12/1993 = 100)

Increase in advertising expenditures at daily newspapers for thefirst time since 2001

Source: Publicitas


50

100

150

200

250

300

350

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

June 2007 compared with Dec. 2006:

Growth of 15%

Publicitas index: Development of advertising expenditures (job ads) in the daily press

(12/1993 = 100)

Source: Publicitas

Growth of the job market becomes even more dynamic


Production industry as well as paper, cardboard, publishing and printing trades 1996 -2007

Source: Federal Statistics Office

Industry environment has still not profited from the growth

80

90

100

110

120

130

140

150

160

1996-1 1997-1 1998-1 1999-1 2000-1 2001-1 2002-1 2003-1 2004-1 2005-1 2006-1 2007-1

TOTAL of processing trade; industry Paper, cardboard, publishing and printing trades


Jan. - June Jan. - June Change2006 2007 in %

Operating revenue 252.0 269.9 7.1

Operating expenses (200.3) (218.3) 9.0

Operating income before 51.7 51.6 (0.2)depreciation (EBITDA)

Depreciation (1.4) (0.9) (33.5)

Operating income (EBIT)) 50.3 50.7 0.7

in CHF million

Newspapers show growth in income and increased investments

Overview of the most important key figures of the Newspaper Division


General topics

• Through the launch of new media titles the competition on the newspaper market is increasing both on Sunday and during the week

• The consolidation of the newspaper market is however proceeding at the same time

Tamedia

• The Commuter newspaper 20 minutes continually increases circulation and is already the leading title in the market of commercial ads in the French-speaking part of Switzerland; positive development of number of readers expected

• Four of five regional issues of Tages-Anzeiger exceed expectations: extremely positive development of large print circulation

• Successful start of the newspaper group Nordostschweiz in April 2007

• Necessary changes at local newspapers Vorstadt and Uster Nachrichten

• 20 Minuten: increased circulation of 25% and continuous increase in reader numbers

• Intensive work on project of a new commuter newspaper with Basler Zeitung and BernerZeitung

Newspaper Division: Project of a second free daily newspaper


80

100

120

140

160

180

200

220

240 220,000 copies

Distributed copies of 20 minutes from March 2006 to June 2007

in thousands

20 minutes with continually growing circulation…

March 2006 April May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. March April May June 07


Leading daily newspapers in the Romandie in the first half year 2007Gross market share in % of advertising revenue without supplements and special sections

Source: MediaFocus in first half year 2007Tamedia and associated companies Other Titles

16

14

13

11

8 7

6 65

5

0

2

4

6

8

10

12

14

16

18

20 minutes Le Temps 24 heures Tribune deGenève

Le Matin L' Express Nouvelliste L'Impartial Liberté Le matinbleu

…and leading position in the advertising market in Romandie






Depreciation (0.0) (0.1) 27.6

Operating income (EBIT)) 6.2 5.4 (11.7)

in CHF million

After discontinuation of Facts the division Magazine reaches forthe first time the targeted figures

Overview of the most important key figures of the Magazine Division


General

• Continued strong competition on the weekly magazine market

• Discontinuation of Cash by Ringier in June 2007

Tamedia

• Discontinuation of Facts at end of June 2007; difficult decision following years of substantial losses

• Annabelle maintains sales at a high level and remains the leading Swiss women's magazine despite decline in result

• Schweizer Familie obtains pleasing development of sales and revenue

Main Topics in the Magazine Division





Operating income before (0.4) 1.1 -depreciation (EBITDA)

Depreciation (0.4) (0.5) 13.3

Operating income (EBIT)) (0.8) 0.6 -

in CHF million

E-Media after loss in 2006 with positive EBIT closing

Overview of the most important key figures of the E-Media Division


General

• Mergers and Accquisitions in the online segment increase

• Strong growth of online advertising income levels out

• Online news sites with retained development

• New radio and TV law took effect in April 2007; termination of contract and new call for bids for radio and TV licenses in second half year 2007

Tamedia

• Section markets homegate.ch, alpha.ch and jobwinner.ch show very good development

• Continued expansion of 20minuten.ch and greatly increasing user figures and income

• Foundation of Mediasense in corporation with partner radio stations of Swiss Radio Pool

• Sale of Radio Basilisk and the share in RV Radio Vision AG due to planned merger with Espace Media Groupe in planning

• Project of an online news network between baz.ch, espace.ch and tagesanzeiger.ch

Electronic Media: Growth of online advertising income levels out


The new TV-supply area Nordostschweiz

Schaffhausen• Stand alone

information window for 74 000 inhabitants

• Concession fees for program window

Zurich• Centre zone with 1.3

million inhabitants• No stake of reception

fees for the centre zone

Thurgau• Stand alone

information windowfor 235 000 inhabitants

• Concession fees for program window

Schaffhausen• Eigenständiges

Informationsfenster für 74’000 Einwohner

• Konzessionsgebühren für Programmfenster

Schaffhausen• Eigenständiges

Informationsfenster für 74’000 Einwohner

• Konzessionsgebühren für Programmfenster

Loss of importantoverlap• Important areas in the

cantons Aargau, Glarus, Schwyz and St. Gallen, which were up to now provided by TeleZüri, cannot be provided any longer despite the focus on Zurich






Depreciation (11.4) (10.6) (6.7)

Operating income (EBIT)) 7.2 7.7 7.6

in CHF million

Services with slight income growth

Overview of the most important key figures of the Service Division


General

• Margin pressure continues in the printing industry

• Increase of paper price tends to continue

Tamedia

• Subcontracting of printing orders for 20 Minuten to partners due to new, large print circulation of Tages-Anzeiger

• Newspaper printing with an average of 860 000 newspapers per day and high capacity utilization; capacity limits mostly reached at night

• Development of income in the job sheet-fed printing area still unsatisfactory

• Integration of the early delivery in Zuvo of St. Galler Tagblatt in the eastern part of Switzerland

Services: High capacity utilization in newspaper printing


* The EBIT product result was deducted from the Tamedia EBITDA until 1995. For the years 1990-1994, the EBIT was calculated using an average page income and 80% margin.

Development of Tamedia EBIT margin with jobs and Alpha* since 1990

EBIT margin remains high despite increased expenditures

4%

20%

-7%

17%

-10%

-5%

0%

5%

10%

15%

20%

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 1. HY2006

1. HY2007


* The EBIT product result was deducted from the Tamedia EBITDA until 1995. For the years 1990-1994, the EBIT was calculated using an average page income and 80% margin.

Development of Tamedia EBIT margin without jobs and Alpha* since 1990

Growth in job market finances expansion of newspapers; Increasing dependence on job ads as result

-19%

4%

-14%

11%

9%

-20%

-15%

-10%

-5%

0%

5%

10%

15%

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 1. HY2006

1. HY2007


Economic framework conditions

• Growth of the Swiss economy will probably continue in a slightly weaker form

• The unemployment rate should continue to decline in the year 2008

• Tamedia expects the consumer mood to remain positive

Media market

• Weak growth of commercial print advertising expenditures will probably continue

• Growth of job ads should continue thanks to the declining unemployment, especially among manager positions: other areas with substantial decline

Outlook for Tamedia

• Raise of the circulation of 20 minutes in the Romandie to 240 000 copies

• Raise of the 20 Minuten circulation in the German speaking part to 550 000 copies

• Launch of the commuter newspaper L’Essentiel in Luxembourg before the end of 2007

• Integration of Espace Media after approval by the Competition Commission

• Project of second commuter newspaper and a leading online news network for Switzerland in collaboration with Basler Zeitung and Berner Zeitung

Forecast and outlook: Economic growth will probably continue


Christoph ToniniHead of the Finances & Services Division

Finance Report of 1st Half Year 2007


Discontinued operations

• The news magazine Facts has been discontinued at the end of June 2007 due to a lack of economic perspectives

• Radio Basilisk must be sold due to the merger of Tamedia and Espace Media

Segment information with slight changes

• Newspapers new EDITA S.A.

• Magazines Facts no longer included

• Electronic Media Radio Basilisk and RV Radio Vison AG no longer included

• Services unchanged

IFRS standards

• The partially revised accounting standards had no bearing on the accounting policies of Tamedia

• The former standard IFRS 5, Article 6 ff was applied, and the activities of Facts, Radio Basilisk and RV Radio Vision were shown as discontinued operations; the data of the previous year was adjusted correspondingly

Comments on the Half Year Statement 2007


in CHF million

Media income increases especially thanks to job ads and 20 Minuten

+5.5%

+7.1%

-12.1% -0.3%

312.6

23.8 17.3

353.7334.9

21.0 17.2

373.0

0

100

200

300

400

Media Income Print Income Other Operating Income Operating Revenue

2006 2007


in CHF million

Investments in new projects result in Increased Expenditures

+6.8%

+6.9%+8.2%

+4.9%

81.4107.4

88.8

277.6

86.9

117.092.7

296.6

0

100

200

300

Material Expendituresand Third-Party Services

Staff Expenditures Other Operating Operating Expenditures

2006 2007

Expenditures


in CHF million

EBITDA increases by 0.5% – Margin declines slightly

+0.5%

+6.8%

+5.5%

353.7

277.6

76.1

296.6

76.5

373.0

0

50

100

150

200

250

300

350

400

Operating Revenue Operating Expenditures EBITDA

2006 2007


in CHF million

Depreciation declines by 8.7% and is now at CHF 12 million

-8.7%

-6.3%

-15.0%

-63.6%

11.0

1.9

0.3

13.2

10.3

1.60.1

12.0

0

5

10

15

20

Depreciation on Investment in Kind

Depreciation on OtherIntangible Fixed Assets

Other Depreciation Depreciation

2006 2007


in CHF million

Net income from Continued Operations increases by 8.3%

+8.3%

+0.5%

+2.5%76.1

62.9

52.7

64.4

57.0

76.5

0

10

20

30

40

50

60

70

80

90

EBITDA EBIT Result of ContinuedOperations2006 2007


in CHF million

The overall group result declines by 2.1%, above all due to Facts discontinuation

-2.1%

+0.5%

+2.5%76.1

62.9

52.3

64.4

51.2

76.5

0

10

20

30

40

50

60

70

80

90

EBITDA EBIT Group Result

2006 2007


in CHF million

All divisions show income growth

+7.1%

+4.6% +15.8%

+5.0%

+5.5%

+12.5%

252

38 24

121

82

28

92

373354

127

40

270

0

100

200

300

400

Newspapers Magazines E-Media Services IntercompanyElimination

Total

2006 2007


in CHF million

EBIT with slight growth despite substantial investments

-11.7%

+2.5%

+0.7%

+7.6%

50.3

6.2

-0.8

7.2

62.9

50.7

5.40.6

7.7

64.4

-20

0

20

40

60

80

Newspapers Magazines E-Media Services Total

2006 2007


in CHF million

Higher Operative Cash Flow results again in increased liquidity

+10.4%

+17.9%

+4.4%

40.0

5.3

-30.9

14.4

-4.4

-32.3

17.0

53.7

-50

0

50

100

Cash Flow fromBusiness Activities

Cash Flow fromInvestment Activities

Cash Flow fromFinancing Activities

Change of Cash Flow

2006 2007


Balance Sheet shows again an increase of the Equity Capital Rate

Equity Capital Rate: 65.4%

in CHF million

517.4 497.1

271.5 305.2

60.8 56.7

524.8503.5

220.8224.6

0

100

200

300

400

500

600

700

800

900

12.2006 12.2006 06.2007 06.2007

Non-Current Assets Current Assets Equity Capital

Long-Term Debt Short-Term Debt

65.4%63.8%


Substantially higher Equity Capital thanks to profits

Current assets/non-current assets

• While current assets increased by CHF 22.3 million due to the operative cash flow, non-current assets recorded a reduction of CHF 20.3 million

Total assets

• Total assets rose by CHF 13.4 million, especially thanks to the positive development of liquidity

Shareholders’ equity

• Shareholders' equity also increased substantially by CHF 21.3 million to CHF 524.8 million

Equity capital rate

• The equity capital rate again increased and is now at a high 65.4%


Summary of the Finance Report of 1st Half Year 2007

Income Statement

• With income growth of 5.5%, Tamedia had substantial growth of income in the first half year 2007 for the third time in a row

• The EBIT margin is declining slightly from 17.8% to 17.3% due to major investments in the regionalization of Tages-Anzeiger, expansion of 20 minutes in the Romandie as well as 20minuten.ch

• All segments of Tamedia show a positive result on the level of EBIT

• Closing costs for Facts are the main reason for the slight decline of the Group result to CHF 51.2 million

Balance sheet

• The equity ratio is again higher at 65.4%

• Liquidity (following large acquisitions in 2005) is already at a high level again. As a result, financing the merger with Espace Media will be possible to a large extent withown means


Stock price in 1st Half Year: Below-Average Growth

SPI Media: 7.86%

Tamedia: 4.27%

SPI: 6.41%

2.1.2007 = 100

SPI Media = 37.49 % Publigroupe N; 17.23 % Tamedia N; 13.34 % AffichageN; 10.96 % Edipresse I; 10.38 % OrellFüssli N; 5.89 % Agen N; 4.69 % Goldbach Media AG N

90

95

100

105

110

115

120

January February March April May June


Martin KallChief Executive Officer

2nd Half Year 2007 and Outlook


Espace Media: Approval of the Competition Commission

Merger key factors

• Tamedia and Espace Media Groupe announced their merger on 24 May 2007

• Tamedia is acquiring 80% of the share capital of Espace Media, and the previous majority shareholders of Espace Media will hold a substantial interest in Tamedia with 600 000 new shares

Competition commission procedure

• The Swiss Competition Commission approved the merger of Tamedia and the EspaceMedia Groupe without reservations on 20 August 2007

Next steps

• Carrying out the approved capital increase and implementing the legal merger of the two companies by the end of 2007

• Examination of the organization of the new company at the same time

• The work on the project of a new commuter newspaper and an online news network with Basler Zeitung and Berner Zeitung continues at top speed


Starting in 2008: Long-term implementation of the merger

Media and Sites of Tamedia Starting as of 2008


Luxembourg: A small country with high performance capability

LuxembourgInhabitants 476‘000Population density 185Area in km2 2,568GNP 2006 32 billion €GNP per capita 57,226 €Advertising expenditures1 119 billion €Adv. expenditures per capita1 264 €SwitzerlandInhabitants 7,415,000Population density 180Area in km2 41,285GNP 2004 290 billion €GNP per capita 39,090 €Advertising expenditures1 2,103 billion €Adv. expenditures per capita1 284 €1 2004 without posters, movies, text, Internet and supplements; Sources: BfS,Statec, ILReS, Mediafocus


GNP per capita in thousand USD1) Unemployment rates Work productivity2)

1) Assessed according to Geary Khami's buying power parity2) In USD per work hour, Source: Groningen Growth and Development Centre and the Conference Board, January 2005, all data from 2004

Luxembourg has a top position in European comparison

0 60'000

Turkey

Portugal

Greece

Spain

Germany

Italy

Finland

Austria

Netherlands

Belgium

France

GB

SwedenSwitzerland

Iceland

Denmark

Ireland

Norway

Luxembourg

0.0% 12.0%

Spain

Greece

France

Germany

Finland

Italy

Belgium

Portugal

Sweden

Denmark

GB

Netherlands

Austria

Ireland

Norway

Switzerland

Luxembourg

0.00 40.00

Portugal

Greece

Spain

Iceland

Switzerland

Italy

GB

Finland

Sweden

Germany

Austria

Denmark

Netherlands

Ireland

Belgium

Luxembourg

France

Norway


St. Paulus, Editpress, RTL: Largest media offer in Luxembourg

St. PaulusDaily newspapers

Magazines and weekly newspapers

Electronic media

EditpressDaily newspapers

Magazines and Weeklies

Electronic media

TV3 Kombi (Suppl.)

RTLElectronic media

Radio & TéléLëtzebuerg

Other daily newspapers:

Magazines and Weeklies

Electronic media


Development of gross advertising income in Luxembourg 1995-2004

1) Without posters, movies, teletext, internet and supplements 2) Magazines for a wide audience and trade journals are not separated in Luxembourg; Source: ILReS

43 43 45 49 5462 64 64 67 69

7984

91

103

112 111114

119

74

71

0

30

60

90

120

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004

in million euros

Advertising market is growing continually;Newspapers have a large share

TV 8%

Magazines & weekly press

17 %

Radio 17%

Daily newspapers58 %


Source: Mach Basic 2007-1; TNS Media June 2007

Readers in 2005 in thousands

15-2425-34

35-4950-6465+

Age

Region

Sex

Level of education

Lux. City

Rest of metropolitan area

Male

Female

BasicAverageHigh

174 1,170

6174

94

117

147

94

105

90

114

98

102

91

112

86

95

11987

South

North + East

Income level

HighAverage

Low

6864

99

134

122

74

145

71

110

91

111

85

99

117

79

95

66

167120

92

79

135152

117

85

81

101

107

105

101

95

115

52

51

56

L‘Essentiel: Great potential with younger readers

Switzerland


L‘Essentiel is a modern commuter paper for Luxembourg

Emmanuel Fleig

Publishing Director L‘Essentiel

Member of Editpress Management

Editpress CFO

Denis Berche

Editor-in-ChiefL‘Essentiel

Alvin Sold

Chairman of the Board Edita SA

Publisher and Delegate of the Board of Editpress

General Manager

A competent staff with local roots


Thank you very much for your time and attention!

Documents

1 Half Year Figures 2007 - Startseite - Tamedia...5 Half Year Figures 2007 Slight growth of daily newspapers for the first time • The print advertising expenditures in daily newspaper