Discovery Revenues Up 11 Percent

SILVER SPRING, August 8: For
the three months that ended June 30, 2007, Discovery Communications recorded an
11-percent increase in revenues to $812 million, led by a 10-percent increase
in ad revenues.

The company also recorded a
4-percent rise in distribution revenues, a 62-percent increase in education
revenues and a 68-percent boost to commerce revenues.

The U.S. operations brought in
$516 million, a 5 percent gain. Excluding Travel Channel, sold to Cox
Communications earlier this year as part of an asset swap, net advertising
revenue increased 12 percent and distribution revenue increased 2 percent.

The international networks saw
revenues rise 15 percent to $248 million. Net advertising revenue increased 23
percent primarily due to higher viewership in Europe and Latin America combined
with an increased subscriber base in most markets worldwide, partially offset
by a decline in advertising revenue in the U.K. Net distribution revenue
increased 10 percent. Growth in paying subscription units was primarily due to
growth in Europe and Asia.

Revenue in the commerce,
education and other division increased 71 percent, or $20 million.

In the second quarter,
Discovery recorded restructuring charges of $10 million mainly related to
severance for certain commerce business employees. Also during the second
quarter, Discovery recorded an asset impairment of $54 million.

The results were announced by
Discovery Holding Company (DHC), which owns a 66.7-percent stake in Discovery
Communications.