1. The media scenario CHALLENGES AND CHANGES IN THE PRESS ROME 30 MARCH 2007 09h30/ 13h30 PROTOMOTECA - CAMPIDOGLIO

2. NEWSPAPERS | THE MARKET VIEW?

4. circulations are not growing circulations are not growing today’s young don’t read today’s young don’t read consumers are ‘time starved’ consumers are ‘time starved’ reluctance to pay for information reluctance to pay for information indifference from advertising/ creatives indifference from advertising/ creatives online is destroying classified pillars online is destroying classified pillars broadband is industry’s demise broadband is industry’s demise AN UNCERTAIN FUTURE? AN UNCERTAIN FUTURE? print is dead NEWSPAPERS | IS THERE A FUTURE?

5. NEWSPAPERS | THE MARKET VIEW…

6. NEWSPAPERS | OUR JOURNALISTS’ VIEW…

7. a sense of impending doom carries most Irishmen through long periods of tranquillity… Irish Playwright/ Author, Oscar Wilde (1892) “ ” NEWSPAPERS | THE MARKET VIEW?

8. Newspapers have 30% of global advertising spend Print is NOW the biggest advertising medium in the world with 43% share 1.4 billion people now read a daily newspaper 439M BUYERS & GROWING! IT’S WORTH US$180 BILLION NEWSPAPERS | GLOBAL HEADLINES

9. Source: W.A.N. World Press Trends © 2006 Advertising revenues up 5.7% in past 12 months; World's 2 nd largest advertising medium (30.2%), exceeding the combined spend of radio, outdoor, cinema, magazines and the internet; Global circulation sales up 2.36% over 12 months; Global circulation sales up 9.5% over past 5 years; Daily titles surpass 10,000 for the first time in history; More than US$8 billion invested in newspaper technology in the past five years; Nearly 2 million employees worldwide; NEWSPAPERS | GLOBAL FACTS

10. The media scenario CHALLENGES AND CHANGES IN THE PRESS ROME 30 MARCH 2007 09h30/ 13h30 PROTOMOTECA - CAMPIDOGLIO OPPORTUNITIES

11. 1.Risk Profile has shifted to the upside 2.Multiples are nearing historic lows 3.“Structural concerns are overdone” 4.“We’re back in bubble territory…” 2007 | CHANGING INVESTOR PERCEPTIONS?

12. Fragmentation Media Consumption is NOT mutually exclusive Online Promise – perhaps not as compelling Broadband Internet – confounding Audio-Visual Newspapers Online – Extending Reach Newspapers: Delivering on what we do best… 2007 | WHAT GIVES?

13. frag·men·ta·tion [ fràgm ə n táysh’n ]fràgm ə n táysh’n noun 1. breaking up of something: the process of shattering or breaking up into fragments 2. loss of unity and cohesion: the loss of unity and cohesion and the breakup of something into isolated and often conflicting elements MARKET DYNAMICS | THE REALITY IS…

14. Ultimately portable Extremely convenient as to time and place Engender loyalty to title, not medium Widely accessible worldwide (off/ on-line) Easily disposable and/ or ‘Cut Out ‘n Keep’ Very content rich Non-perishable Review-able Cheap to consume NEWSPAPERS | DOING WHAT WE DO BEST… The Newspaper: The Ultimate Browser

15. It’s amazing that the amount of news that happens every day, always just exactly fits in the newspaper… U.S. comedian, Jerry Seinfeld (1992) “ ” NEWSPAPERS | DOING WHAT WE DO BEST…

16. NO Paradigm shift… RISK: Inertia becomes Consumer Apathy STIMULATE DEMAND = Marketing Online (  audience aggregation) Seek EFFICIENCIES for Reinvestment in BRAND MARKETING and INNOVATION Remember… Local | Local | Local NEWSPAPERS | REALITY CHECK RE LITY check

17. Attack those “Legacy Costs” “Free-up” internal inefficiencies and reinvest Move to a more “flexi” cost base Invest for the Future | BRAND MARKETING Vigorous Pricing: Vigorous marketing Continuous Innovation Active product development “meet & then exceed consumer expectations” NEWSPAPERS | REALITY CHECK RE LITY check

18. Sell the reality that is “Fragmentation” Newspapers are the mass-market medium of the future, as broadcasts/ online fragments Newspapers deliver targeted and reliable demographics – not haphazard audiences Online – don’t be defensive, be aggressive BUT always insist on an Return on Investment Build INCREMENTAL audience, revenues & profits Talk up your business NEWSPAPERS | REALITY CHECK RE LITY check

19. I think the papers in this country are better than they’ve ever been. Some of the circulations are declining - but if you look at their full reach, if you add up their printed circulation to the internet circulation, they’re probably extending their reach. Rupert Murdoch Chairman and CEO, News Corporation “ ” Source: Interview in The Daily Telegraph, 23 rd January 2006 NEWSPAPERS | THE FUTURE…

20. © Ziarul Financiar the power of the medium… NEWSPAPERS | THE FUTURE…

21. The media scenario OPPORTUNITIES AND CHANGES IN THE PRESS ROME 30 MARCH 2007 09h30/ 13h30 PROTOMOTECA - CAMPIDOGLIO Embracing a STRATEGY for GROWTH