RTL Group Takes Over Alpha Media Group

LUXEMBOURG/ATHENS,
September 23: The RTL Group acquired a 66.6-percent majority stake in the Greek
broadcasting company Alpha Media Group for 125.7 million euros.

The deal was signed with
Dimitris Contominas, the current owner of Alpha Media Group. Under the terms of
the deal, the RTL Group will occupy five of the nine seats on the Alpha Media
Group Board of Directors and will have the right to nominate the chief
executive officer and chief operating officer of the company, while Contominas
will nominate the chairman of the Board of Directors.

The transaction is subject
to approval by the Greek Competition Commission and is expected to close in
October or November. With the closing of the deal, RTL Group will enter the
promising Greek TV market. The country’s net TV advertising market grew from
approximately 300 million euros in 2001 to more than 500 million euros in 2007
and is projected to deliver annual growth of 6- to 7-percent in the medium-term
future.

Alpha Media Group is the
number three broadcasting company in Greece and comprises the national TV
channel Alpha TV, the regional TV channel Cosmos TV (Thessaloniki), the radio
stations Alpha 98.9 and Palmos 98.8 and Plus Productions, Alpha TV’s in-house
production company. Alpha Media Group currently generates annual revenue of
approximately 100 million euros.

Gerhard Zeiler, the CEO of the RTL Group, commented: “The acquisition of Alpha Media
Group provides a unique opportunity to create value—for viewers and
advertisers in Greece as well as for our company. Alpha Media Group has a solid
market position already, and as the leading European entertainment network we
will contribute our expertise and experience to building a strong broadcasting
company in an attractive market in close co-operation with our local
co-shareholder Dimitris Contominas.”

Contominas, who will
become the chairman of the Alpha Media Group Board of Directors, said: “I’m
delighted to announce this strategic alliance with the most successful
pan-European broadcasting company. This partnership is an important moment to
lead Alpha Media Group into the next phase of its development. Together, based
on the RTL Group’s international TV proficiency and our knowledge of the local
market, we will develop a solid, step-by-step business plan.”

—By Anna Carugati