1. AN ERA OF GROWTH

2. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 2 1950’s & 1960’s 1970’s & 1980’s 1990’s - 2005 BLACK & WHITE TV FIRST SATELLITE BROADCAST RISE OF CABLE TV MORE ADVERTISER- SUPPORTED NETWORKS VIDEO GAMES 2006 - Present DIGITAL AND INTERNET REVOLUTION DVDDVRVOD SMART- PHONES HDTV TABLETS OVER-THE-TOP DISTRIBUTION SMART TV WITH SOCIAL CAPABILITIES APP DRIVEN DIGITAL WORLD Changes in the Media Landscape Accelerating change in our future VCR

3. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 3 Looking at 2014 The norm of consumer media consumption & beyond Consumers continue to have expanded choice On demand will take more viewing from the DVR Linear and digital media will become seamless to the consumer Portable and personal devices will continue to enable simultaneous usage Consumers can extend their media engagement with even more content and information Fragmentation will grow across distribution platforms, types of content, availability of content and volume of content The 2014 Upfront market will foster more conversations and negotiations around different monetization models to account for additional viewing across platforms …and the consumer continues to not differentiate how they get their entertainment, opting for the best screen at most convenient time

4. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 4 The Population is Changing Younger segment, more multi-cultural Source: NPOWER, Share of TV Universe Estimates, 01/15/14

5. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 5 Most Growth Will Come From Multicultural *Excludes American Indian, Alaska Native, Hawaiian & Other Pacific Islander Source: U.S. Census Bureau Population Projections Projected U.S. Population Growth From 2010 to 2050 TotalWhiteBlackAsian*Hispanic +42% +56% +142%+167% +1%

6. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 6 More Choices Being Driven By Technology Increased DVR, Smartphone, Tablet, and Smart TV penetration Source: NPOWER, Mobile Insights, Custom Smart TV (Capable) +41% +13% +107%+245% Devices Owned in TV Households % diff vs. 2012

7. TODAY’S LANDSCAPE

8. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 8 A Third Of People Account For Half The Viewing Source: NPOWER, Share of UE vs. Share of PUT – Total Day, 9/23/13 – 02/23/14 Universe Estimate (000) PUT (000)

9. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 9 An Expanded View Of Media Consumption Source: The Nielsen Cross-Platform Report Quarter 4 2013; Exhibit 1 Average time spent per Adult 18+ per day Media choice drives consumer choice

10. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 10 Monthly Time Spent By Medium Users 2+ in Hours: Minutes Source: The Nielsen Cross-Platform Report Quarter 4 2013; Table 3

11. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 11 Larger Declines Among Teens And P25-34 Source: Nielsen, NPOWER Prime IntervalP2+P2-11P12-17P18-24P25-34P35-49P50+ 09/24 - 02/24/1339.825.225.825.135.041.854.0 09/23 - 02/23/1439.124.624.824.732.940.353.7 % Diff-2% -4%-2%-6%-4%-1% Total Day IntervalP2+P2-11P12-17P18-24P25-34P35-49P50+ 09/24 - 02/24/1321.215.313.314.618.321.428.5 09/23 - 02/23/1421.115.212.814.317.520.928.7 % Diff0%-1%-3%-2%-4%-2%1% Persons Using Television%

12. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 12 Total Use Of TV Is Flat For Persons And Declines Less For Teens And Young Adults Source: Nielsen, NPOWER, Total use of TV is the sum of Live PUT, Timeshifting, Video Game Console Use, DVD Playback, and Multimedia Device Use Prime IntervalP2+P2-11P12-17P18-24P25-34P35-49P50+ 09/24 - 02/24/1343.530.031.630.040.445.355.9 09/23 - 02/23/1443.330.231.230.839.244.455.7 % Diff0%1%-1%2%-3%-2%0% Total Day IntervalP2+P2-11P12-17P18-24P25-34P35-49P50+ 09/24 - 02/24/1323.118.116.217.521.023.029.2 09/23 - 02/23/1423.318.516.117.720.622.829.6 % Diff1%2%-1%1%-2%-1%1% Total Use of TV%

13. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 13 Timeshifting, Video Games, And Multimedia Devices Showing Growth Source: Nielsen Custom Analysis Percent of AA% Rating, PRIME P2+ P18-24P25-54 81.2% 76.9%

14. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 14 Uptick For Timeshifting, Video Game Console Use And Multimedia Use Source: Nielsen, NPOWER, Prime, L+7 days

15. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 15 Significant Time Spent Watching TV But Other Devices Are Becoming Increasingly Popular Source: Nielsen NPOWER/Cross Platform Homes Panel for November 2013 P2+, Includes in-home viewing behaviors, Heavy based on top quintile AVERAGE DAILY MINUTES HEAVY DEVICE USERS TVPC StreamingGame Console Multimedia Device 663.22.18.01.1 238.228.125.33.5 191.44.4152.72.3 118.13.113.3131.6

16. EVOLVING TV HOUSEHOLD

17. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 17 Traditional TV Use Increases As We Get Older Young adults today are viewing differently than those in the past Source: NPOWER, Total Day, PUT AA%

18. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 18 TV Channels Remain Flat, PC Sites Visited Declined While Mobile Apps Grew Slightly Source: Nielsen Custom Data, TV - 08/19/13-08/25/13 v comparable weeks in the prior years, HHLD; Online – Netview and VideoCensus, November, P2+; Mobile - EMM, Qtr 4, P18+

19. TV IS BECOMING MORE SOCIAL

20. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 20 We ALL Know That People Tweet About TV Viewers interacting with television programming through social media is an important consumer phenomenon Source: Nielsen Social, Unique Audience Data from 9/1/13-11/30/13, Nielsen Qtr 3 2013 Connected Devices Report of smartphone/tablet owners use devices as second-screens while watching TV Tweets about U.S. TV in 2013, sent by 36 million people Average Daily Unique Audience seeing Tweets about U.S. TV 11 990 84 percentmillion

21. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 21 They Are Also Tweeting About Brands 73% of the people who tweet about brands are people who tweet about TV Source: Nielsen Social, 8/1/13-10/30/13

22. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 22 Smart TV Grows From 13% To 18% YOY Smart TVs are more likely to be located in the Living Room Source: Nielsen Custom Data HHLD, February 2014 February 2014 18% Smart TV PenetrationSmart TV by Location 52% enabled 51% enabled 53% enabled 49% enabled

23. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 23 Less Live TV Among Enabled Smart TV Users, More AOT And Device Contribution Source: Nielsen Custom Study, HHLD, Prime, Percentage share of included sources, Live TV is based on all station minutes contributing to PUT, February 2014 Enabled Smart TV Not Enabled Smart TVNo Smart TV Live TV including AOT 75% 78%83% Unidentified tuning or AOT may signify that an enabled Smart TV is being used to stream content

24. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 24 High Speed Internet Continues To Grow Source: Nielsen NPM, data from the 15th of each month, based on scaled installed counts Percent of Total US

25. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 25 Distribution Continues To Shift From Wired Cable Source: Nielsen NPM, data from the 15th of each month, based on scaled installed counts, Broadband Only Households fall into the ADS bucket Percent of Total US is based on a sum of the four breaks listed and is slightly higher than total Composite households Percent of Total US

26. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 26 Cable Downgrades To Broadcast Levels Source: Nielsen custom data extract, Feb 2013 vs Feb 2014 Unified Homes A snapshot of 7 homes who lowered their cable subscription Went from an average of 154 stations to 17 stations HUT levels decreased by almost half in Prime; 38.2 to 19.6 More likely to be HHI <$75K, HH Size 3+, White, Some College, Video Game and DVD owners 02/04- 02/10/13 (Avg of 154 stations)02/03 - 02/09/14 (Avg of 17 Stations) AMC19.6DVD Playback25.7 AOT14.5AOT16.9 DVD Playback7.3Video Game Console11.0 Regional Sports Networks6.4AUDIO-VIDEO10.3 AUDIO-VIDEO6.4LIF8.6 DVR Playback (Timeshifting)5.4Regional Sports Networks6.6 USA5.3ION Affiliates6.0 All Other Ad Supported Cable Orig4.8DVR Playback (Timeshifting)5.3 WE4.3ABC Affiliates2.8 AEN2.8NBC Affiliates2.7 Share of Prime Viewing – Top 10 Sources

27. BROADBAND ONLY

28. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 28 Broadband Only Skews Younger Source: Nielsen NPOWER, Based on Scaled Installed Households, Feb ‘14 Total U.S. African American Asian AmericanHispanic White Non-Hispanic HH1.6%1.0%4.1%1.2%1.6% P2-112.5%0.8%2.8%0.6%3.5% P12-171.6%1.0%2.3%1.6%1.7% P18-343.3%2.3%7.2%1.2%4.0% P35-491.6%1.0%1.6%1.1%1.9% P50+0.3%0.0%0.4%0.0%0.4% Broadband Only Penetration% Homes with alternative means to receive content

29. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 29 Viewing Habits Vary Across Homes With And Without Broadband Only Sites Source: Custom Data Extract, 01/27 - 02/23/14, Total Day, P2+ % of TV HHs:

30. THE SUBSCRIPTION VIDEO ON-DEMAND (SVOD) LANDSCAPE

31. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 31 39% Of P2+ Have Access To An SVOD Service Source: Nielsen Custom Study, P2+, based on scaled installed counts, 011514, Among Total TV Homes Netflix Hulu Plus Amazon Prime

32. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 32 Asian Americans Are More Likely To Have Access To An SVOD Service Source: Nielsen Custom Study, P2+, based on scaled installed counts, 011514, Among Total TV Homes By Race and Ethnicity

33. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 33 SVOD Homes Are More Educated With Higher HHLD Incomes And Often Have Children Source: Nielsen Custom Study, P2+, based on scaled installed counts, 011514, Among Total TV Homes

34. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 34 SVOD Homes Have Greater Device Penetration And Are More Likely To Be Broadband Only Source: Nielsen Custom Study, P2+, based on scaled installed counts, 011514, Smart TV based on Capable and Enabled, Among Total TV Homes TV Service Provider Device Ownership

35. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 35 SVOD Homes Tend To Skew Younger Source: Nielsen Custom Study, P18+, based on scaled installed counts, 011514, Among Total TV Homes

36. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 36 Less Live TV Among SVOD Homes But More Device Usage Source: Nielsen Custom Study, P2+, Prime, Live+7, 011314 – 011914, Among Total TV Homes SVOD Non SVOD

37. HOUSEHOLD VIDEO MAPPING

38. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 38 Explanation Of Symbols Live TV Game Console Timeshifted TV Multimedia Device DVD / Blu Ray Device All Other Tuning Audio / Video AV AOT

39. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 39 Weekend In The Life Of A Heavy TV Home Source: Nielsen Custom Data F36 M38 M14 F9 MASTER BEDROOM LIVING ROOM BEDROOM AOT

40. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 40 Weekday In The Life Of A Heavy TV Home Source: Nielsen Custom Data M38 M14 F9 MASTER BEDROOM LIVING ROOM BEDROOM AOT F36

41. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 41 Day In The Life Of A Light TV Home Source: Nielsen Custom Data F22 F46 M17 F8 LIVING ROOM Weekday Weekend LIVING ROOM

42. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 42 Day In The Life Of An Aereo Home Source: Nielsen Custom Data F40 M43 AV LIVING ROOM Weekday Weekend LIVING ROOM

43. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 43 Weekend In The Life Of A BBO Home Source: Nielsen Custom Data F39 M39 M17 F12 MASTER BEDROOM BEDROOM KITCHEN LIVING ROOM

44. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 44 Weekday In The Life Of A BBO Home Source: Nielsen Custom Data F39 M39 M17 F12 MASTER BEDROOM BEDROOM KITCHEN LIVING ROOM

45. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 45 Day In The Life Of A Smartphone and Tablet User Source: Nielsen Electronic Mobile Measurement TABLET SMARTPHONE Facebook Weather F48 Productivity Netflix Chrome Gaming Twitter / Vine YouTube Weather Facebook / Instagram Productivity

46. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 46 A Future Look At A Heavy TV Home Source: Nielsen Custom Data AOT M38 M14 F9 MASTER BEDROOM LIVING ROOM BEDROOM F36

47. Copyright ©2012 The Nielsen Company. Confidential and proprietary. 47 Summary Our video use is increasing while our traditional TV usage is flat or down depending on our age Ethnicity matters Asian Americans more BBO, more online, more SVOD African Americans more Traditional TV, more mobile Whites are older, BBO and more Time shifting Hispanics are younger, less Traditional TV and more mobile It is a Lifestage and Behavior Change Young adults today watch less TV than similar age group 10 years ago Young adults actually watch less TV than they did 5 years ago

48. THANK YOU!