Ad Sales

| October 13, 2016 |

Capital Markets Day – October 13, 2016

Ad Sales

Dr. Jens Mittnacht

| October 13, 2016 |

| October 13, 2016 |

TV – the continued winner

2

Premium digital ad business Key achievements

Entry in synergetic DOOH market III

II

IV

I

| October 13, 2016 |

| October 13, 2016 |

Key achievements

3

1

TV with increasing share in media mix

2 3

Net TV ad market with solid growth

P7S1 with leading TV share of

advertising

Continued net price increase

P7S1 leader in fast growing premium

video ad market

4 5

P7S1 innovation leader in high growth markets

6

| October 13, 2016 |

| October 13, 2016 |

ProSiebenSat.1 with continued strong TV performance in 2016

4 Source: SevenOne Media calculations based on Magna Global and Nielsen Media Research

H1 2015 H1 2016

TV ad market growth (net) ^{~ +2-3% ~ +2-3%}

TV share of advertising market (net) ^{22.4% 21.8%}

Share of advertising P7S1 (net) ^{~ 41 % ~ 41%}

Net CPT increase P7S1 core channels Low single-digit Low single-digit

| October 13, 2016 |

| October 13, 2016 |

Marktguru

Digital OOH Attractive packages for OOH customers Addressable TV

Data targeting

Attractive packages for print-focused customers

Content Marketing Increasing share of advertising with new channels Addressable TV

Data targeting New POS offers (Marktguru, Shopkick)

P7S1 targets all large media budgets with strong offerings

5 1) Point of sale only; Source: SOM Market Insights estimate based on commerce volume released by HDE/Federal Statistical Office of

Germany

2) Total market potential of EUR 19.3 bn for radio, digital, freesheets, OOH, print and TV 3) Total Out of Home, including DOOH and cinema 4) Print excluding freesheets Source: Magna Global (June 2016); ZAW Yearbook 2016

Premium video ad business Net market potential [2015, in EUR bn]

New Initiatives Classical Levers

Attractive packages for radio customers

Freesheets Radio

TV Print

OOH

Digital POS

4.8 26.9

1.1 1.8

4.4 19.3

6.4 0.8 7.6

Classic media budgets Promotion

budgets

| October 13, 2016 |

| October 13, 2016 |

Entering large new ad markets that profit from digitalization

6 1) SevenOne Media estimate

 Targeted audience groups also in TV

 New geographic target groups

Data/

Digitalization

Digitalization Digitalization

 Entering DOOH market as sales house for

Cittadino and Tank &

Rast

 New freesheet app marktguru taps into large print freesheet budgets

>2.5

>1.1

>1.8

Description Growth driver Long-term net market potential ¹⁾

Addressable TV

Digital freesheets

Digital Out of Home

(DOOH)

[in EUR bn]

| October 13, 2016 |

| October 13, 2016 |

TV – the continued winner

7

Premium digital ad business Key achievements

Entry in synergetic DOOH market III

II

IV

I

| October 13, 2016 |

| October 13, 2016 |

Why TV is the continued winner (1/2)

8

Combination of highest and fastest reach, strongest emotional ad impact and highest proven ROI for a continued outstanding TV ad performance

Mass reach becomes increasingly important in a fragmented media landscape;

TV remains the continued winner with increasing relative reach

 Massive reach decline of print

 Complex and fragmented digital media landscape

Continued price increases possible due to increase of relative reach, overcompensating potential reach losses

TV market growth correlated to German private consumption, continued

positive outlook for German economy

| October 13, 2016 |

| October 13, 2016 |

Why TV is the continued winner (2/2)

9

YouTube does not add significant incremental reach to TV

Facebook has limited professional content for video branding campaigns TV is still strongly undercapitalized vs. large German print market

Leadership in Addressable TV offers significant budgets in special

interest groups and various geographics

| October 13, 2016 |

| October 13, 2016 |

US broadcast TV networks: Upfront ad sales

TV rebounding in US due to emerging digital weaknesses

10 1) Upfront: Ad sales of five broadcast TV networks, primetime only Sources: Media Dynamics TV Upfront Report 2015-2016, SNL Kagan

Nomura estimate; Magna Global (Dec 2015), SevenOne Media own calculations

2) Source: Magna Global forecast (June 16), Magna Global US Advertising forecast (Spring 16) video incl. social-video

 5.5% increase of commitments in upfront market

 Strong full year TV market expected

 Slowing digital market growth:

8.8

2015 2016

8.4

5.5%

Upfront

[in USD bn]

US market trends in 2016 vs. 2015:

Emerging digital weaknesses strengthen market position of strongest proven media

1)

12 11 15

20

2018E

2016E 2017E

2015

Digital market growth

[in %]

+5.5%

| October 13, 2016 |

| October 13, 2016 |

P&G: 2016 biggest German TV ad spend increase of EUR 170m ¹⁾

“One can be sceptical, if a video without sound

running usually less than three seconds really has a comparable advertising impact as a TV spot…

Digital will not work as a stand-alone channel”

Thorsten Müller, Head of Media & Digital CE of Reckitt Benckiser

Advertisers appreciate the value of TV

11 1) Gross TV ad spend increase in Germany, YTD July 2016, Source: Nielsen

“We targeted too much, and we went too narrow,”

he said in an interview, “and now we’re looking at:

What is the best way to get the most reach but also the right precision?”

Marc Pritchard, P&G’s Chief Marketing Officer

| October 13, 2016 |

| October 13, 2016 |

The emerging issues of digital advertising

12 Source: Integral Ad Science Report on Media Quality Q1/2016; ComScore UDM 2015

Up to 10% of digital reach fraudulent due to robot traffic Ad Fraud

60% of digital video advertising not viewable Viewability

More than one third of digital videos not started by consumers Autoplay

~15% of digital video advertising in environments with risks to brands Quality

Digital advertising not effective due to ad clutter Ad Clutter

~25% ad block usage in Germany Ad Blocker

Lasting impact of digital engagement doubtful

Engagement

| October 13, 2016 |

| October 13, 2016 |

TV has proven highest ROIs

‘Long-term ROI’: ROI after 5 years, ROI = ratio of additional sales revenues/TV ad spend 13 Source: GfK/SevenOne Media based on a TV investment net/gross ratio of 43%

2.65

Average long-term ROI

65% of all analyzed brands long-term-ROI >1.0 Based on 204 analyzed FMCG brands

43% analyzed brands with

long-term-ROI >2.0

| October 13, 2016 |

| October 13, 2016 |

Overall growth potential

Solid growth potential for German net TV ad market

1) Freesheet potential for TV/mobile offers calculated on top of Magna market growth 14 Note: Estimate based on Magna Global (June 2016), SevenOne Media own estimate

Basic market growth/net price increase National print cannibalization

Addressable TV TV/mobile offers for freesheet market

New ad segments (e.g. POS) Shift to digital video

~290

~340

~125 - tbd

~45 ¹⁾

~50 -350 Growth

Media mix

Net market growth potential 2020 vs. 2015 [in EUR m]

Upside depending on market development

Market drivers

∑ ~500 (CAGR 2-3%)

P7S1 benefits from online video ad growth

2 3 4 5 1

6 ^- 350

~125 - tbd

| October 13, 2016 |

| October 13, 2016 |

Germany with large TV growth potential vs. US and UK

15 1) Overall net media mix not 100% for UK due to roundings

Note: Excluding POS budgets

Source: Magna Global (June 2016), Digital including Google and Facebook

14%

TV 38%

Print 34%

23%

13%

Digital 35%

Others 10%

33%

14%

28%

9%

50%

Growth potential for German TV market Large potential from print

Digital growth no threat No threat

Implications for German TV market derived from US and UK

Media Mix 2015 ¹⁾

1

| October 13, 2016 |

| October 13, 2016 |

German media mix today Future media mix

Future media mix is TV and digital driven

Note: Excluding POS budgets 16

Source: Magna Global forecast (June 2016), Digital including search (incl. Google) and other (incl. Facebook)

8%

11%

81%

45%

2018E

36%

9%

8%

83%

2018E

27%

56%

Digital TV Others Print

[net, in %]

10%

34%

56%

2015

23%

33%

[net, in %]

1

| October 13, 2016 |

| October 13, 2016 |

TV dominates the growing video consumption

17 1) Linear TV viewing on PC, laptop, tablet or smartphone via online stream, recording or broadcast signal

2) Free online videos incl. YouTube, Catch-up TV

Base: A 14-49; Source: AGF in cooperation with GfK/TV Scope/SevenOne Media, Viewtime Report SevenOne Media/forsa (2015)

Daily video usage A14-49

[2015, in minutes]

5 2 4

10 19 176

Cinema DVD & Blu-ray

Pay VoD Free online videos

TV alternative

TV classic

86% ^{of daily}

video usage is linear TV

11% of daily video usage is non-linear online video

3% of daily video usage is DVD, Blu-ray and cinema

1

| October 13, 2016 |

| October 13, 2016 |

TV panel upgrade to even better reflect video consumption

18

Implemented and planned TV panel adaptions

More TV usage situations

Streaming ¹⁾ Panel extension

Complete coverage of 2nd, 3rd, … TV sets

Upgrade of single household measurement

Web browser

Mobile Apps

(e.g. Channel Apps)

Inclusion of German-speaking non-EU foreigners (e.g. Turkish population)

2015

2015

Q3 2017

Q3 2017 01/2016

1

| October 13, 2016 |

| October 13, 2016 |

TV related consumption will increase until 2020

19 1) Free online video incl. YouTube, PayVoD and Catch-up TV; Source: SevenOne Media estimate based on Viewtime Report, SevenOne Media/forsa (2016) 2) Linear TV viewing on PC, laptop, tablet or smartphone via online stream, recording or broadcast signal; Source: SevenOne Media estimate based on Viewtime Report, SevenOne Media/forsa (2016) 3) Source: AGF in cooperation with GfK/TV scope/SevenOne Media estimate

Base: All German-speaking TV households

Commercial target group (A 14-49) [Ø daily video viewing in minutes]

Young segment (A 14-29)

[Ø daily video viewing in minutes]

118 104

41 65

16 32

175

2015

201

2020E

Daily TV and video consumption

Non-linear online video (Free & Pay VoD) TV alternative TV classic

176 162

29 45

2015

209

10 23

2020E

236

+1%

TV related

+3%

TV related

Online video usage is incremental to TV related consumption

1

1) 2) 3)

| October 13, 2016 |

| October 13, 2016 |

TV consumption ¹⁾ vs. net TV ad spend ²⁾

Growth of US/UK TV advertising market despite reach decline

1) Sources: SOM own estimate for 2016 and 2017; US+UK: ZenithOptimedia

2) Sources: US TV: Magna Global, Spring 2016, excl. Politics&Olympics; UK TV: Magna Global (June 2016);

221

204 4 198

5

5

2010 2011 2012 2013 2014 2015 2016E 2017E TV consumption

TV net ad spends 325

300

289 55

63 65

2010 2011 2012 2013 2014 2015 2016E 2017E TV consumption

TV net ad spends

CAGR:

-1.5%

1

CAGR:

-1.7%

CAGR:

+2.2%

CAGR:

+3.7%

[Ø daily minutes/per individual] [Ø daily minutes/per individual]

[in GBP bn]

[in USD bn]

20

| October 13, 2016 |

| October 13, 2016 |

Inflation rate based on average net CPT for adults ¹⁾

CPT still with large catch-up potential in Germany

21 1) In local currency (based on 30 seconds); target group: D: A 14-49, US: A 18-49, UK: A 16+

Note: Estimate/own calculation

Source: Media Dynamics; ZAW/AGF GfK; Fox; Channel4 Group/ITV1/2/3/4 /Sky 1/Channel 5/5USA/5*/local currency

2007 2008 2009 2010 2011 2012 2013 2014 2015

-20%

-10%

0%

10%

20%

30%

40% Benefit for ProSiebenSat.1

 Net CPT still with

catch-up potential in Germany compared to US and UK

 Build net revenues by dynamic CPT price increases to more than compensate potential pressure on reach

1

| October 13, 2016 |

| October 13, 2016 |

German gross print advertising market 2015

EUR 1.4bn net national print ad spendings addressable by TV

22 1) Customers not directly addressable: Media, tobacco, classifieds, publishers, marketers

2) Magna/ZAW (net figures) and Nielsen (gross figures) with different coverage of print titles Note: Print = newspapers and magazines only (excl. professional magazines)

Source: Nielsen Media Research (2015), SevenOne Media estimates, Magna Global (June 2016)

2

Accessible net market for TV Gross core TV

market potential

3.3

Gross regional potential

2.1

∑ = 8.2

Magazines

4.7 3.5

2.8

1.4

Daily newspapers

Gross total

Not directly addressable

~30% of the EUR 4.8 bn net

print market ²⁾ accessible

[in EUR bn]

| October 13, 2016 |

| October 13, 2016 |

… while TV advertising share ²⁾ still lagging behind TV usage share ¹⁾ clearly higher than print …

TV usage share above print while ad share lagging behind

1) Media usage 2016 (n = 3,003); based on Adults 14+ years; Soruce: Media Activity Guide 2016, SevenOne Media/forsa 23 2) Source: Magna Global (June, 2016)

Print usage

TV usage TV advertising Print advertising

[share of usage, in %] [2015, net share of advertising, in %]

%pts

∆

+41

%pts

∆

-11

6%

47%

34%

23%

2

| October 13, 2016 |

| October 13, 2016 |

TV with higher share in media mix in other countries

24 Source: Magna Global (June 2016), Digital including search (incl. Google) & other (incl. Facebook)

Net share of advertising in 2015: TV vs. Print

[in % of total media]

37 43

38 35 28

40 50

30

23 21

18 8

14 14

19 13

19 34

Print TV

2

| October 13, 2016 |

| October 13, 2016 |

Sold Magazines ¹⁾

Strongly declining print circulation in the past decade

25 1) Magazines: sold copies incl. ePaper

2) Newspaper: daily & weekly; sold copies incl. ePaper Source: IVW

[in m copies]

Sold Newspaper ²⁾

[in m copies]

124

113

98

80 110 140

2005 2010 2015

27

25

20

10 20 30

2005 2010 2015

CAGR:

CAGR:

-21% -25%

2

| October 13, 2016 |

| October 13, 2016 |

Levers to attack national print

26

New channels to address specific niche print segments Homogeneous small thematic ad breaks (beauty, luxury)

New print relevant TV formats (travel, beauty, health magazine)

2 3 4

Shift of national reach campaigns to TV (reach, efficiency)

1

Develop HbbTV advertorial products (e.g. microsites)

6

New business sales force coverage (1,000 contacts/year)

7 2

Push Stylight as fashion and home & living smartchannel

5

| October 13, 2016 |

| October 13, 2016 |

Addressable TV to win substantial budgets in two new large ad segments

27

Mass markets with relevance for larger

geographics Special interest national

New decentral targeting groups Businesses with narrowly

targetable audience groups or niche products (e.g. luxury)

3

| October 13, 2016 |

| October 13, 2016 |

Net advertising revenues special interest per sales category 2015 ¹⁾

Special interest national: additional EUR 800m ad budgets addressable

1) SevenOne Media Market Insights calculations: total net market potential based on national print and online ad revenues of companies with 28 TV-SoA<10% in media addressable for special interest 2) w/o Media, Publishing, Marketing + Advertising

Source: Nielsen Media Research

157 19

33 36

45 48

70 72

88

126 141

Others

B2B: Computer & Office Motor Vehicles Watches & Jewelry Home & Garden Insurance & Finance Pharma/OTC Clothing & Accessories Tourism Betting, Lottery & Online Services POS Commerce & E-Commerce Targeting Segments

 Luxury

 B2B

 Special Interest (e.g. sports)

 Age

(e.g. kids, older target groups)

Total:

EUR

835m

[in EUR m]

3

| October 13, 2016 |

| October 13, 2016 |

German print, radio and out of home gross advertising market 2015

4.8

1.7

Not accessible for geo- targeting Gross total

adjusted Not directly

accessible

Gross geo- targeting potential Gross

total

Accessible net geo-targeting

potential Radio

Magazines

Daily

newspapers 3.5

∑ = 11.2 1.3 1.7

3.5

4.7

3.5

7.7 4.2

3.5

1.7

[in EUR bn]

Out of Home

Mass markets with relevance for larger geographics: EUR 1.7bn potential

29 1) OOH excluding at-retail, ambient, cinema, transport media and DOOH 2) Not directly accessible: Media, tobacco, classifieds, publishers,

marketers

Note: Print = newspapers and magazines only (excl. professional magazines) Source: Nielsen Media Research (2015)/SOM Market Insights: own calculation

3

| October 13, 2016 |

| October 13, 2016 |

Spot Fullscreen Overlay

We constantly develop products along our technical roadmap

30

Switch-In

Overlay

HbbTV 1.0-1.5 HbbTV 2.0 Distribution partner

cooperations Livestream

A B C D

3

| October 13, 2016 |

| October 13, 2016 |

Switch-In

Overlay

HbbTV 1.0-1.5 (and above)

“Switch-In Classic”

“Switch-In XXL”

“Branded Red Button”

 Ad impression shown after channel switch to one of our P7S1 channels including link to branded microsite

 Classic and big XXL formats available

 Red Button empowers clickable TV commercials

 Digital overlay is added in a bought TV spot that leads per click to a microsite

A

In 2016 and 2017 sales focus will be on existing HbbTV 1.0 products

31

Description Ad Product Features

3

| October 13, 2016 |

| October 13, 2016 |

Successful Programmatic Addressable TV pilot

32

DSP SSP

First Mover

Programmatic buying and distribution

Dynamic content

(e.g. campaigns in various geographics)

Programmatic guaranteed model

3

A

| October 13, 2016 |

| October 13, 2016 |

User base of HbbTV devices

After launch of HbbTV 2.0 standard the focus will shift to spot overlay

33

Spot Fullscreen Overlay

HbbTV 2.0

Number of devices supporting HbbTV in Germany

[in m]

 With HbbTV version 2.0 a frame accurate and fullscreen overlay of spots within a spot block

becomes possible

 P7S1 overlay of selected own ads by spots of commercial customers

 Enhanced targeting possibilities with data enrichment

1) Supporting minimum HbbTV standard 1.5 Source: P7S1 internal estimates

Description

0 5 10 15 20 25 30

2012 2013 2014 2015 2016E 2017E 2018E 2019E 2020E

HbbTV >1.5 HbbTV >2.0

B

3

| October 13, 2016 |

| October 13, 2016 |

Two-thirds of HbbTV households addressable without cooperations

34 1) Including 3.3m analog households to be shifted to digital; Source: Astra Monitor report 2015 published 03/2016 (adjusted data base on new

official population statistics), Telekom publications and P7S1 assumptions

Source: TV market model based on Astra, Destatis, SNL, Statista, gfu, Goldmedia, BLM, operator data, TNS

Total potential

Cable Satellite

IPTV DVB-T

OTT

Smart TV Independent STB

Incumbent STB

Pay TV STB

18 26% 11% - 9%

HbbTV potential without cooperations

66%

16 20%

4% 16% 2%

2 4% 1% - -

3 - - 7% -

< 1 - - - -

∑ >39

C

3

Linear TV

distribution channels Germany [2016, TV households in m]

Additional HbbTV potential through cooperations

34%

| October 13, 2016 |

| October 13, 2016 |

stitching implementation

35

Start with Zattoo pilot 2016 Rollout in own channel apps 2017

 First successful pilot for Spot Fullscreen Overlay in October 2016

 Own spots in partner Zattoo livestream (test-case) replaced by

 Mydays spot:

for feminine targeting group

 maxdome spot:

for masculine targeting group

 2017: first pilots for spot replacement in own livestream apps

 Preparation of launch within web livestream

 Commercial scalability with selected ad customers

3

D

| October 13, 2016 |

| October 13, 2016 |

Launch of marktguru app to tap into large freesheet budgets

1) Source: ZAW Yearbooks 2013 to 2016; SevenOne Media, Market Insights 36 2) SevenOne Media own estimate based on expert calls with agencies and clients

Net freesheet market

[2015, in EUR bn]

Digital freesheet market

[in EUR m, % of freesheet market]

2016 2015

2% 3%

EUR 35m EUR 50m Launched

in H1 2016

2015 1.8

4

| October 13, 2016 |

| October 13, 2016 |

Older target groups

Sat.1 Gold (F 40-64), kabel eins Doku (M 40-64)

New ad segments contribute to TV budget growth

37 1) POS only ; Source: SOM Market Insights estimate based on commerce volume released by HDE/Federal Statistical Office of Germany

In-Store POS promotion

shopkick & marktguru cooperation

Betting, lottery and charity (delayed due to political regulation)

Pharma disease awareness Recruiting/HR/PR

7.6 ^bn

EUR ^estimated POS budget ¹⁾

in 2015

Budget types market potential

Industry market potential

5

| October 13, 2016 |

| October 13, 2016 |

Combined TV & digital offers for attacking point of sale budgets

38

Marktguru POS offer ad break

Shopkick scan offer

Marktguru cashback ^Cashback

Voucher

TV Spot Mobile

5

| October 13, 2016 |

| October 13, 2016 |

Limited competition for branding budgets – only by digital video

[in EUR m]

Video TV

[in EUR bn]

4.4

0.3

2015 2016E 2017E 2018E

CAGR 2015-2018:

Comparison: TV & video ad market 2015 ²⁾ Digital net ad revenues by format ¹⁾

Video Display

Search

Other

+48%

+7%

+8%

~7%

6

100% = EUR 4.7 bn

2015:

95% ^of

digital ad revenues not affecting

TV

39 1) Source: Magna Global (June 2016), SevenOne Media own estimate

2) Incl. FB/YouTube

3) Source: H1 2016: Nielsen Media Research

Despite high online ad intensity digital companies still spend 72% on TV ³⁾

| October 13, 2016 |

| October 13, 2016 |

Majority of Germans don't use Facebook and video usage is low

40 1) Base: A14+, Q2/16; Source: Viewtime Report SevenOne Media/forsa 2016

2) Base: A14+, Q2/16; Source: Viewtime Report SevenOne Media/forsa 2016; AGF/GfK TV Scope

3) Base: A 14-49; Source: AGF in cooperation with GfK/TV Scope/SevenOne Media, Viewtime Report SevenOne Media/forsa (2015) 4) Source: Wall Street Journal report “Facebook Overestimated Key Video Metric for Two Years” (22/09/2016)

Non-Facebook users ¹⁾

[in %]

30

44

62

A 14-29 A 14-49 A 14+

6

Average daily Facebook usage ²⁾

[in min]

15

24

<1 A 14-49 A 14+

<1

Total facebook thereof video

186 ^min/day

A 14-49

TV

consumption

Facebook seems to have overstated average time spent watching videos for the last two years by

60% to 80%

| October 13, 2016 |

| October 13, 2016 |

Low incremental reach with Facebook

Note: Usage frequencyat least “rare” 41

Source: Viewtime Report Q3/15-Q2/16 SevenOne Media/forsa

Net reach

[in m]

13

6 33

35

<1

F 14-29 years

6%

6%

4%

7 14

<2

A 14-29 years A 14-49 years

<1

Facebook TV

6

| October 13, 2016 |

| October 13, 2016 |

TV – the continued winner

42

Premium digital ad business Key achievements

Entry in synergetic DOOH market III

II

IV

I

| October 13, 2016 |

| October 13, 2016 |

Digital video will be the fastest growing segment

43 1) Video incl. classic in-stream video and videos on social platforms

Source: Magna Global (June 2016) and P7S1 estimates

+48%

-4%

+7%

+8% Digital video

advertising with highest growth

rate of +48%

2015

+9%

CAGR

2018E

1)

Digital net advertising market

CAGR

2015-2018:

| October 13, 2016 |

| October 13, 2016 |

We are well positioned in the digital video market

44 Source: Magna Global (June 2016) and P7S1 estimate; Online video incl. in-stream video and in-page video (incl. Social)

SevenOne Media in super premium segment … … creating a significant market share

43%

of total digital video market

19%

of total premium digital

video market

Reach (UU, Views)

Qua li ty /pric e

Premium

Longtail

Low High

[in 2015]

| October 13, 2016 |

| October 13, 2016 |

We are following a TV-like premium strategy also for digital

1) Video-Through-Rate 45 Source: SevenOne Media

Premium TV contents on all digital devices

370m

multiscreen video views

p.m.

Market

leading

VTR ¹⁾ > 90%

| October 13, 2016 |

| October 13, 2016 |

We have a unique digital quality management suite

46

Focus on exclusive BigAds forms to avoid ad clutter and reduction of ad

intensity

Ad intensity steering

Proprietary anti-ad blocker solution

SevenOne Media anti ad blocker

Portfolio screening of all managed

inventory to prevent robot traffic

Ad verification tools

ProSiebenSat.1 digital quality management suite

| October 13, 2016 |

| October 13, 2016 |

We extend our TV formats with digital premium mandates & webstars

47

Aggregating TV sites, premium digital publishers and Studio 71 webstars on YouTube

Unique extension product with own ad server integrated on the YouTube platform Studio71

TV sites Digital premium mandates

Auto & Sport News &

Entertainment

Fashion, Beauty &

Lifestyle

| October 13, 2016 |

| October 13, 2016 |

We shape the premium programmatic market with our own tech assets

48 Source: Magna Global and SevenOne Media estimates

Digital programmatic video growth P7S1 with own programmatic tech stack for premium advertising (“walled garden”)

2016E

100%

Prog.

Direct

2018E

[Share of digital video ads sold programmatically]

| October 13, 2016 |

| October 13, 2016 |

Data initiatives with focus on our strong branding business

1) i.e. a user entered his age, gender, etc. during the registration process; alternative: probabilistic, i.e. estimating the user’s socio-demographic 49 data derived by his surfing behavior

Own log-ins/registrations Deterministic socio-demographic profiles ¹⁾ for campaigns

Connection of

TV (HbbTV) & Digital Targeting of incremental reach with digital TV

New targeted branding

segments Attractive targeting segments with in-house data

Initiative Branding enabler

Single Sign-On (SSO)

partnerships Cross-device identification with partnerships in Germany

| October 13, 2016 |

| October 13, 2016 |

TV – the continued winner

50

Premium digital ad business Key achievements

Entry in synergetic DOOH market III

II

IV

I

| October 13, 2016 |

| October 13, 2016 |

Complementing the customer journey to the POS

51 POS = Point of Sale

TV spot Digital DOOH/POS

Sophisticated cross-screen campaign bundles (direct & programmatic)

At Home Out of Home

| October 13, 2016 |

| October 13, 2016 |

DOOH market development ¹⁾ DOOH competition net sales revenues

Attractive market growth with mainly local competition

1) Source: Magna Global forecast (June 2016) 52 2) Currently no equity stake, only sales house

Others

7%

12%

11%

70%

Budgets primarily coming from classic OOH.

On-top money for P7S1 Google may enter longtail market through programmatic [in %]

[in EUR m]

+ 0%

+15%

920 933 936

85 128 167

82 82

Cinema 95 Traditional OOH Digital OOH

2020E 1,185

2018E 1,143

2015 1,100

+1.5%

CAGR CAGR

+1.5%

2) 2)

| October 13, 2016 |

| October 13, 2016 |

Seven attractive locations for DOOH offers

53 1) Ad exposure for airport screens with frequency of 360 per day (Public Screens 2014) plus provider information for airport videowalls (lowest

frequency)

2) Media exposure (Public Screens 2014) 3) Provider information (lowest frequency)

7AIRPORT

 21.0 m C/W

 948 screens

 5 video walls

 12 video boards

 10 airports

7SHOP paper store

 2.8 m C/W

 1,416 screens

 1,416 locations 7SHOP

supermarket

 4.04 m C/W

 2,130 screens

 407 locations 7URBAN

 1.0 m C/W

 LED boards

 2 locations

7SHOP shopping mall

 4.07 m C/W

 181 screens

 19 locations 7HIGHWAY

 22.1 m C/W

 3,259 screens

 596 locations

7EAT Burger King

 4.9 m C/W

 1,200 screens

 450 locations

| October 13, 2016 |

| October 13, 2016 | 54

TV with best proven ROI and healthy future market growth

TV with significant potential to win budgets from print

Large growth opportunities through Addressable TV

Additional growth potential from freesheet and POS budgets

Strongly growing premium digital video business

Entering highly synergetic and growing DOOH segment

2 3 4 1

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