Punit Goenka

The calendar year has come to an end and we are happy to have started the new quarter this year with key high octane events. The Zee Rishtey Awards felicitated the best in Zee Parivar. This was followed by Zee Cine Awards that was held at Marina Bay Sands in Singapore in January. Both the Award functions received a great response from the media, Bollywood and our viewers.

Zee TV introduced two new shows ‘Apno ke liye Geeta ka Dharmyudh’ and ‘Bhagonwali - Baantein apni Taqdeer’ and took the lead in expanding the prime time slot for GECs. Zee TV scored another first, when it announced the second season of its popular show ‘Choti Bahu’ in a new slot and with a new storyline.

Zee Entertainment’s Regional content and programming has created innovative benchmarks with new, unique, traditional content – Zee Kannada launched a new cookery show ‘Ogga-rane Dabbi’, Zee Talkies introduced a new talk show ‘Bol Bachchan’ and production of the new film ‘Guldasta’ and Zee Marathi initiated two new shows - ‘Pinjara’ and ‘Marathi Paaul Padte Pudhe’. They also took pride in hosting the 12th year of ‘The Zee Gaurav Awards 2011’.

Punit Goenka isManaging Director andChief Executive Officerof Zee EntertainmentEnterprises Limited.

In the reality genre, Zee Telugu took off with its first ever non-fiction show ‘Kondaveeti Raja Kotalo Rani’. So did Zee Salaam with India’s first Urdu singing reality show ‘Talaash...Ek Roohani Awaaz Ki’. While Zee Bangla continued to make an impact with its renowned reality show ‘Sa Re Ga Ma Pa Li'l Champs 2011’

Internationally, Zee TV continued to be the No. 1 South Asian channel in South Africa. Zee TV appeared in a new avatar in Malaysia as ‘Zee Variasi’. Further, Zee TV launched 4 channels on Fetch TV in Australia, Zee Network partnered with the Ideal Home Show’s Asian Pavilion for the second year running and Zee CIS LLC and Sistema Mass-media established a new partnership for content and distribution.

In our Niche channel offerings, we introduced one more first in the Indian Television space with the launch of ‘Zee Khana Khazana’ – a 24 hour, food channel. In Sports, the ‘India-SA ODI Series’ on Ten Cricket was made available to maximum cable and satellite homes across India and on all the leading DTH operator platforms enabling a

prime time feast to the fans, with 21 days of live cricketing action.

We are also pleased to inform you that Zee Entertainment’s FY2010 Annual Report won recognition and two awards from the League of American Communications Professionals (LACP). It ranked No.11 out of the top 50 reports and also bagged 2 Platinum Awards; one in the Media category of Annual Reports and another for being the Most Improved Annual Report. This was amongst 4400 entries that came in from over 25 countries across the globe.

We thank you investors for supporting Zee Entertainment as we continue to strengthen and consolidate our leadership position in the TV Broadcast Industry. We look forward to a path breaking and game changing year ahead.

I look forward to connecting with you now in the end of June.

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MD & CEOs MessageMD & CEOs Message

• • From the MD & CEO’s deskFrom the MD & CEO’s desk• • The Game Changer The Game Changer • • Around ZEEL Around ZEEL• Snippets Snippets • • ZEE in the NewsZEE in the News

CONTENTSCONTENTS• From the MD & CEO’s desk• The Game Changer • Around ZEEL• Snippets • ZEE in the News

CONTENTS

MD & CEOs Message

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April, 2011

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Zee Entertainment Investor Newsletter, Vol. 7

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The Game Changer – “Adding The Regional Flavour” The Game Changer – “Adding The Regional Flavour” The Game Changer – “Adding The Regional Flavour”

‘Go Regional’ has been the growth mantra of Hindi GECs recently. Whether one wants to watch the big-fat North-Indian wedding or witness a Bengali pujo being performed or dance to the tunes of garba/lavani… Television has it all. With so many soaps depicting the regional diversity of our country, viewers can actually take a cultural tour sitting right in their living rooms.

‘Regional focus’ seems to be the flavor everywhere in recent times. Since 70% of India’s population is based out of rural India, rural consumption has become an important constituent driving the GDP growth. There has been a sharp surge in regional channels too, which have grown from 114 in 2008 to over 130 channels in 2009 to 384 as of today. Tier 2 and Tier 3 cities have added to the pie of regional advertising revenues and the market for the regional language channels has gone beyond the borders of the respective home states.

Given the regional diversity in language, culture and literature in India, there existed a need gap for media consumption in local languages and Zee Entertainment was the first to spot this opportunity. Being a pioneer in Private TV Broadcasting, Zee Entertainment’s initiative of growing the regional language space has been one of the most signifi-cant. The regional foray for Zee Network happened almost 12 years back in late 90s with the launch of Zee Marathi and Zee Bangla (earlier known as Alpha Marathi and Alpha Bangla respectively).

Zee Marathi was the first regional language channel from Zee family. This channel was targeted at the highly passionate and culture driven Maha-rashtrians. Zee Marathi evolved over the years, by bringing in soaps and reality shows that were unseen before on any Marathi platform. Today, the channel stands as a clear leader in the Marathi GEC space.

Zee extended its Marathi genre bouquet with the launch of Zee Talkies on 25th August 2007. Zee Talkies was the first-ever 24-hour Marathi Movie channel. From screening non-stop movies, event star shows and music, the channel satiated the passion for films of the Maharashtrian movie buff!

Zee Bangla, Zee Entertainment's second regional channel, was launched on 15th September 1999 as Alpha Bangla - the first Bangla Satellite channel. Today the channel is a top performer in the eastern market and has captured the hearts of all Bengali households.

Gaining the leadership position in the west and east of India, Zee Entertainment forayed into the impor-tant southern market with the launch of Zee Telugu and Zee Kannada. Zee Telugu was the first southern regional channel from the Zee family which was launched in 2005. In just 6 years of its inception, the channel soared high on popularity charts. Being a strong contender for No.2 in Telugu GEC, Zee has been striving to consolidate its position. The second southern channel - Zee Kannada unleashed a new era in Kannada entertainment. Launched on May 11, 2006, the channel completely redefined family television entertain-ment, emerging as a canvas for creative expression.

Apart from Regional General Entertainment Channels (R-GECs), Zee Entertainment also strengthened its bouquet in the Music and Alterna-tive Lifestyle genres by launching ETC Channel

Punjabi and Zee Salaam. ETC Channel Punjabi was specially designed with Punjabi music and religious content at heart. A market leader for almost a decade, it has excelled both in viewership numbers and programming.

On the other hand, Zee Salaam, the Urdu infotain-ment channel is dedicated to Urdu language and Muslim culture, was launched on 1st February 2010. The channel offers an array of purely religious, semi-religious and light hearted programmes.

The popularity of all the regional language channels proved how creative ideas, constant innovation and a feel for popular taste could usher in a radical change in viewership patterns. With constant pioneering and ground-breaking initiatives, Zee Entertainment has truly been a game changer in this space.

April, 2011

Zee Entertainment Investor Newsletter, Vol. 7

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Whipping up a whirlwind of dance throughout the country, Zee TV launched India's biggest dance reality show again! The passion, the frenzy, the camaraderie, the rehearsals, the victories, the disappointments, the hosts, the judges and above all, the spectacular talent, all this was launched with a BANG! Zee TV unleashed the 4th chapter of its cult hit show Dance India Dance, this year called 'DID Doubles'.

While viewers were rest assured that an explosion of superlative dancing talent and breathtaking performances was coming their way on 'DID Doubles', there was a lot of speculation over who will be seen mentoring and judging the contestants this year. Ardent fans of Master Geeta Kapoor

Dance India Dance came back as 'DID Doubles'

Around ZEELAround ZEELAround ZEEL

India's first food channel, 'Zee Khana Khazana' launchedIndia's first food channel, 'Zee Khana Khazana' launchedIndia's first food channel, 'Zee Khana Khazana' launched

Zee Entertainment Enterprises Limited (ZEEL) launched India’s first 24-hour Food Channel called ‘Zee Khana Khazana’. The channel went on air on December 8th 2010. After having pioneered the launch of genre-defining channels like Zee TV and Zee Cinema, Zee Entertainment’s latest ‘first in the Indian TV space’ – Zee Khana Khazana is an eclectic mix of both Indian and International content.

India’s first 24-hour Food Channel – ‘Zee Khana Khazana’ brings in a rich programming mix from across India and abroad, featuring shows that define and refine the culinary expertise that has become synonymous with Food. While the array of Indian content boasts of eternal Indian favs High on

episode with his own brand of inimitable comedy. However, in keeping with the 'Doubles' theme of the season, there was a co-host to keep Jay company - Shweta Salve. And finally, the cherry on the cake was the presence of Dada - India's favorite Disco Dancer Mithun Chakraborty who completed the DID family as the much revered 'Grand Master'. Kya Baat, Kya Baat, Kya Baat!

Going one step further to ensure the best grooming of its contestants this year and bring out the best in them, the show roped in the stunts expert Hari Das from Africa to train the participants in acrobatics and aerial dance forms. The popular Salsa and Ballroom teacher Lourd Vijay conducted intensive workshops with them.

Since its very first season went on air in January 2009, Dance India Dance has introduced and popularized never seen before dance forms like Locking-Popping, B-Boying, Cha Cha Cha, Rumba, Jive, Contemporary, Afro Jazz, etc. The sheer passion and fervor with which close to 80 million viewers in India and many more across 165 countries have been hooked on to the show has made 'Dance Indian Dance’ larger than life.

In a bid to attract the finest dancing talent from every nook and corner of the country, Zee TV conducted auditions for over 3 months this year across 18 cities in India and even in the United States, UK and Dubai. The auditions attracted over 1 lakh passionate aspirants from all over and with just the top 12 couples from amongst them all, making it to DID Doubles, one could see the force of their explosive talent!

Food, Chef’s special, A Touch of Turmeric, and Khana Khazana, the International content is all about culinary adventure, with shows like The Hairy Bikers Cook Book, Chefs – Put Your Money Where Your Mouth Is, Saturday Kitchen series, Gino D’acampo – An Italian in Mexico and James Martin Favourite Feasts.

Niche is the way forward in the television space today and Zee has India’s largest repertoire of niche channels. A 24-hour Food Channel is the perfect addition to the niche bouquet of Zee Café, Zee Studio, ETC, ZING and Zee Trendz. Zee aims to continue to expand and offer new channels to its viewers in the niche bouquet. This new venture of Zee Entertainment - Zee Khana

Khazana, comes with a pledge of exploring the world of food like never before.

rejoiced as the charming choreographer graced the panel of judges this season too. Pulling out all the stops in ensuring that the contestants were groomed impeccably, Zee TV roped in ace choreographers Rajeev Surti and Marzi Pestonji to join Geeta 'Ma' on the panel. Funny man Jay Bhanushali became the host and was seen peppering every

April, 2011

Zee Entertainment Investor Newsletter, Vol. 7

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Zee TV commemorated the Zee Cine Awards 2011 at a spectacular ceremony at Asia's leading destination for business, leisure and entertainment, Marina Bay Sands in Singapore on Friday, January 14, 2011. Ponds Gold Radiance was the title sponsor of Zee Cine Awards 2011.

Hosted by Akshay Kumar & Sajid Khan, the Zee Cine Awards 2011 was televised in more than 170 countries worldwide with an estimated reach of more than 500 million viewers including US, Canada, Europe, Africa, The Middle East, S. E. Asia, Australia and New Zealand. Some of Bollywood’s leading stars attended and performed at the event.

The Ponds Gold Radiance Zee Cine Awards 2011 nominations were announced for outstanding film achievements of 2010. With millions of votes pouring in every year from across the globe, Zee Cine Awards once again proves to be the truest measure of viewers' choice in movie awards.

The Zee Cine Awards is the grandest tribute paid to the world's largest film industry and has attracted the stalwarts of both Indian and international cinema over the years. With each edition, it goes beyond the mere exotic value of foreign locales and does its bit to take Bollywood to the world. The

incredible venues, facilities and expertise that Marina Bay Sands, Singapore offered truly showcased Bollywood at its best.

Indian movie fans living in Singapore got an opportunity to witness all the superstars of the film Industry come together on one platform. After the smashing success of Zee Cine Awards in the previous years, all the top stars of Bollywood were

Zee Cine Awards 2011Zee Cine Awards 2011Zee Cine Awards 2011

Zee Rishtey Awards Zee Rishtey Awards Zee Rishtey Awards

Living up to its tagline – ‘Har pal banaye, ek naya rishta’, Zee TV has successfully woven strong new threads of love and friendship with its viewers in the past years. Different characters belonging to different regions of the country like Laali from Bihar, Archana from Maharashtra, Simmi fom Delhi and even the young talented dancers of ‘Lux Dance India Dance’ have become a part of families in India and abroad.

Each of the Zee TV shows brings in a unique flavor from different parts of the country and has created an ultimate bond with the viewers. To bring these diverse flavours together on one stage in the form of an ultimate celebration, Zee TV announced ‘Zee Rishtey Awards 2010’ - Desh ko Rishton mein bandhata…’, a platform to celebrate the golden moments in Zee TV’s history and to acknowledge

excited to perform at the Marina Bay Sands, Singapore. Luminaries from all over the world attended the awards ceremony including many leading dignitaries from India, USA, UK, Singapore and Dubai.

the viewers’ active participation and love that made it possible for the channel to be able to deliver such great shows. ‘Zee Rishtey Awards 2010’ felicitated the various new relationships that the characters have established with the viewers and awarded those who have been the most popular in playing their role the best.

The final celebration of the event saw all Zee TV stars coming together at a gala event in Mumbai and giving their best on stage performances. The awards night witnessed an enthusiastic participation from all those who have been an important part of the Zee TV family, right from The days of ‘Tara’, ‘Astitva – Ek prem kahani’ to today’s ‘Choti Bahu’ and ‘Dance India Dance’. The event was telecast on the evening of February 28, 2010.

April, 2011

Zee Entertainment Investor Newsletter, Vol. 7

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SnippetsSnippetsSnippets

1. Pavitra Rishta

2. Jhansi Ki Rani

3. Yahan Main Ghar Ghar Kheli & DID Doubles

Period: 5/12/2010 -2/02/2011, Market: HSM, TG: CS 4+

Zee TV 10 21

Zee Marathi 36 55

Zee Bangla 18 35

Zee Telugu 1 11

Weekly Avg. No. of Top 50 & 100 shows

ZEEL in News ZEEL in News ZEEL in News

Zee Entertainment Investor Newsletter, Vol. 7

Channel share

Business Today - Adapt or fade

A churn is imminent in the satellite TV business

Read more...

Impact - Sure and steady

With Punit Goenka at the Helm, Zee

hopes to maintain leadership in entertain-

ment TV without compromising on profits

and programming values

Read more...

New Launches

April, 2011

GRPs % Relative ShareChannel Top 50 Top 100

1. DID Doubles 31-Dec 2011

2. Sanskar Laxmi 17-Jan 2011

3. Chhoti Bahu 15-Feb 2011

Zee TV 223 22Zee Cinema 122 34Zee Marathi 215 37Zee Bangla 377 34Zee Telugu 338 18

Top 3 Shows of Zee TV

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April, 2011

Zee Entertainment Investor Newsletter, Vol. 7