Interim Financial Report 2008

Interim Group Management Report 13 Consolidated Interim Financial Statements 23 Responsibility Statement 40 Review Report 41 Finance Calendar 2008 42 ...

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Q2 Interim Financial Report 2008

Content Key Figures

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Key Messages

3

The Share

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Sports

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Interim Group Management Report

13

Consolidated Interim Financial Statements

23

Responsibility Statement

40

Review Report

41

Finance Calendar 2008

42

Imprint

42

Forward-looking statements This interim fiancial report contains statements relating to future events that are based on management’s assessments of future developments. A series of factors beyond the control of the company, such as changes in the general economic and business environment and the incidence of individual risks or occurrence of uncertain events, can result in the actual results differing substantially from those forecast. EM.Sport Media AG does not intend to continually update the forward-looking statements contained in the interim fiancial report. Important notice This document is a free translation into English of the original German text. It is not a binding document. In the event of a conflict in interpretation, reference should be made to the German version, which is the authentic document.

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Key Figures

Key Figures In Euro million

Non-current assets Intangible assets Total assets Subscribed capital Equity Equity ratio (in percent) Non-current financial liabilities Current financial liabilities

Sales Sports Others Earnings before interest, taxes, depreciation and amortization (EBITDA) Depreciation and amortization Earnings before interest and taxes (EBIT) Earnings before taxes (EBT) Shareholders’ interests Cash flow from operating activities Cash flow for investing activities Cash flow from/for financing activities

Outstanding shares in million Share price in Euro Market capitalization (based on outstanding shares)

6/30/2008

12/31/2007

254.1

205.3

4.3

5.1

403.5

375.7

77.9

77.9

197.4

185.2

48.9%

49.3%

78.4

107.9

50.8

0.9

1/1 to 6/30/2008

1/1 to 6/30/2007

115.0

111.7

114.9

111.6

0.1

0.1

12.7

16.1

-5.0

-4.8

7.7

11.3

2.0

9.6

0.7

3.4

1.1

7.8

-42.2

-1.6

19.5

-27.5

6/30/2008

6/30/2007

77.6

64.0

2.38

4.67

184.7

298.9

1/1 to 6/30/2008

1/1 to 6/30/2007

Average number of outstanding shares (undiluted) in million Earnings per share from continuing operations (undiluted) in Euro Earnings per share from continuing operations (diluted) in Euro

70.7

60.6

0.08

0.08

0.08

0.07

Employees (average of the period)

819

796

Key Messages

Key Messages Half-year Group sales in 2008 up versus same prior-year period; the lag in EBITDA and EBIT behind the prior year's figures and the first quarter of 2008 recedes significantly

Strong second quarter: EM.Sport Media Group reports a sharp rise in sales and earnings despite rising deterioration in overall economic conditions

Together with the step-up in the Highlight Communications AG shareholding and the divestment of the Entertainment Segment remarkable strategic progress achieved

Management Board confirms aim for the 2008 fiscal year to reach an EBIT in the Sports Segment of at least the prior year's level

Full consolidation of Highlight Communications AG in third quarter of 2008

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The Share

The Share Development of the EM.Sport Media Share The negative trend evident last year in the stock markets was largely continued during the first half of 2008. Macroeconomic factors such as high oil prices and a strong Euro, higher inflation rates, a downturn in economic data and billions of dollars more in write-offs within the financial sector influenced global markets and led to a significant decline in share prices. The EM.Sport Media share listed on the German SDAX was unable to escape this trend. During the second quarter, the share reached a new 52-week low following a further decline in prices towards the end of April. While strong upwards movement was evident in May, the share suffered renewed downwards pressure in the second half of June, in line with the general market development. On June 30, 2008, the share price closed at 2.38 Euro, which is 1.05 Euro (-30.6 percent) down on the beginning of the year. Within that, share price movement was characterized by increased volatility as a result of high levels of uncertainty within the capital markets. On June 30, 2008, the 52-week high was 5.08 Euro (July 23, 2007), while the 52-week low stood at 2.19 Euro (April 22, 2008). During the second quarter, the performance of the EM.Sport Media share was, to a degree, out of step with the performance of the general market, with an overall development in 2008 considerably worse than the comparative indices SDAX (-18.3 percent) and DAXsector Media (-20.8 percent). Besides the publication of the financial figures for the first quarter 2008, announcements were also made regarding the sale of the Entertainment Segment, the increased strategic shareholding in Highlight Communications AG and the takeover offer for Constantin Film AG during the second quarter. The downwards trend continued into July, with the share price falling to 1.98 Euro (new 52-week low). However, subsequent upwards movement saw the share price close on August 15, 2008 at 2.52 Euro. During the first quarter 2008, around 7.8 million EM.Sport Media shares were traded on German stock exchanges. The trade volume increased to 9.1 million shares in the second quarter (daily average 0.14 million). However, in line with the overall market performance, trading volume was down significantly against prior year’s period (-46.1 percent). In line with this, the turnover rate for shares outstanding over a 12 months period also experienced a decrease to around 0.68 (previous quarter: 1.12). On the closing date, the position held by the EM.Sport Media share in German Stock Exchange rankings of all MDAX and SDAX listings was 90 (March 31, 2008: 87) in respect of trading volume over the last 12 months and 94 (March 31, 2008: 97) for so-called “free-float stock exchange capitalization”. Xetra closing rate of the EM.Sport Media share in comparison with SDAX and DAXsector Media Comparative indices indexed to EM.Sport Media’s closing rate as at December 31, 2007 EM.Sport Media AG

SDAX

DAXsector Media

4.50

4.00

3.50

3.00

2.50

2.00 12/31/07

1/31/08

2/29/08

3/31/08

4/30/08

5/31/08

6/30/08

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Shareholder structure as of June 30, 2008 Voting Rights 73.3 million shares

Subscribed Capital

77.9 million shares Treasury shares

0.4%

Highlight

6.0%

KF 15

17.1%

18.3%

KF 15

Dr. Erwin Conradi

6.7%

7.1% Dr. Erwin Conradi

MarCap

5.0%

5.4%

64.8%

69.2%

Free Float

MarCap

Free Float

Share capital and shareholder structure The share capital of EM.Sport Media AG as at June 30, 2008, stood at around 77.9 million Euro. On the balance sheet date, the company held a total of 0.3 million non-voting treasury shares (0.4 percent of share capital). Furthermore, as at June 30, 2008, Highlight Communications AG held 6.0 percent of company share capital. However, because the company held a share of 37.6 percent in Highlight Communications AG as at the balance sheet date and, for the first time, was the majority shareholder at the last Highlight AGM, the shares held by Highlight currently hold no voting rights. Following deduction of treasury shares, there were around 77.6 million shares outstanding as at the balance sheet date. The free-float of the EM.Sport Media share fell slightly during the second quarter of 2008 to 64.8 percent of share capital (March 31, 2008: 65.2 percent) and 69.2 percent of voting rights (March 31, 2008: 69.4 percent).

In accordance with the agreement reached on July 21, 2008, 2.95 percent of share capital was transferred from treasury shares to the deputy chairman of the Supervisory Board, Bernhard Burgener, as part of the expansion of EM.Sport Media’s shareholding in Highlight Communications AG. As announced on August 4, 2008, this shareholding was subsequently increased to 3.7 percent of share capital. Investor relations activities The company aims to justify the trust of investors and the general public through timely and transparent publication of its financial reports, business activities, corporate strategy and risks and opportunities, and to sustain an open and ongoing exchange of information with participants in the capital market. Extensive information concerning EM.Sport Media AG can be found on our website www.emsportmedia.ag. Alongside participation in events for analysts and investors, it continues to be our objective to support in their activities the highest possible number of analysts. The EM.Sport Media share is currently being actively monitored by ten research institutions. In the last 12 months, the following institutions published studies on EM.Sport Media AG: > Commerzbank

> DZ Bank

> Independent Research

> Viscardi

> WestLB

Additional EM.Sport Media capital market securities The price of the 5.25% convertible bond 2006/2013 as at June 30, 2008 stood at 4.22 Euro, slightly above the first quarter closing price (December 31, 2007: 5.06 Euro). The bond currently stands at 3.82 Euro (August 15, 2008). There were no conversions of the 5.25% convertible bond 2006/2013 during the first half of 2008. The Certificates Series 2 expired on April 18, 2008. Exercising of this instrument over its entire exercise period led to the issue of 0.4 million treasury shares. Shares not required to service Certificates Series 2 have been transferred into EM.Sport Media’s free-access stock of treasury shares. The company used a proportion of these shares for the partial financing of its increased shareholding in Highlight Communications AG.

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The Share

Information of EM.Sport Media securities as of June 30, 2008 ISIN / Exchange abbreviation > Ordinary share (Prime Standard Segment) > Convertible Bond 2006/2013 (regulated market) Indices Closing rate 6/30/2008 / 52-week high / 52-week low > Ordinary share (Xetra) > Convertible bond 2006/2013 (Frankfurt)

DE0009147207 / EV4 DE000A0GQKR4 / VGQKR SDAX, DAXsector Media 2.38 / 5.08 / 2.19 Euro 4.22 / 6.28 / 4.00 Euro

Share capital 6/30/2008 (incl. conversion shares) Outstanding shares (6/30/2008) Potential shares in connection with conversions > Convertible bond 2006/2013 (Conversion price: EUR 5.85/Maturity: 5/8/2013) Market capitalization (6/30/2008) > Market capitalization (based on outstanding shares) > Convertible bond 2006/2013

77.9 million shares 77.6 million shares

15.0 million shares EUR 184.7 million EUR 63.2 million

Shares held by executive bodies as of June 30, 2008 With the exception of Dr. Erwin Conradi, no other Board Member held either directly or indirectly shares or share entitlements exceeding 1 percent of share capital as at June 30, 2008. Shareholdings and share entitlements associated with option rights held by Executive Members as of June 30, 2008 were as follows:

Management Board Werner E. Klatten Rainer Hüther Antonio Arrigoni

Shareholding

Share rights from options

33,000 10,000 0

27,397 27,397 0

Shareholding

Share rights from options

Supervisory Board Dr. Bernd Thiemann 0 Bernhard Burgener 1 0 Dr. Erwin Conradi 5,214,500 Dr. Hans-Holger Albrecht 0 Martin Wagner 2 Dr. Alexander Ritvay 0

0 0 0 0 0 0

1

2

0

2,850,000 shares, based on notifications dated July 21 and August 4, 2008. 30.581 shares, based on notification dated July 29, 2008

Sports – TV

DSF Deutsches SportFernsehen The impact of the far-reaching crisis in the financial markets, which continues to run its course, and consumer markets unsettled by increasing energy and retail prices, is also reflected in the slight down-turn suffered by the TV advertising market. The performance of DSF, in terms of both financial figures and program line-up, was further, but not unexpectedly, affected during the second quarter by the UEFA EURO 2008™. However, the consistent development of the dual income stream model, based on advertising and diversification revenues, means that DSF is growing increasingly independent from the aforementioned negative influences on the TV advertising market. DSF reports a strong second quarter – half-year figures also ahead of previous year Despite the restrained advertising market and regulatory changes in the teletext sector, DSF achieved a high level of sales for the second quarter that was significantly above the previous year’s figures, particularly from diversification income in the B2C market (value-added services, DRTV and call-in). The second-quarter result exceeded expectations and the previous year’s figures due to factors such as stringent cost management. DSF made a significant positive contribution to the earnings of the Sports Segment. In a half-year comparison, DSF achieved a further small increase in sales against 2007, putting it slightly ahead of plan. The broadcaster’s earnings (EBIT) remained at the same high level achieved last year, thus significantly exceeding expectations. Planned decrease in market share due to UEFA EURO 2008™ The dominant sporting event during the first half of the year, the UEFA EURO 2008™ in Austria and Switzerland, had an expected downwards impact on DSF market share during the second quarter. During the reporting period, the station had to absorb a planned decline to 1.6 percent (core target group of males aged 14 to 49) and 0.9 percent (viewers overall). It was the weak June figures in particular: 0.6 percent (viewers overall) and 1.1 percent (males aged 14 to 49) – that prevented a better overall result. In contrast, the months of April and May were completely in line with expectations. In April 2008, DSF achieved a market share of 1.1 percent (viewers overall) and 2.0 percent (males aged 14 to 49) and recorded 1.0 percent (viewers overall) and 1.9 percent (males aged 14 to 49) in May 2008. Overall, DSF achieved exactly the same figures for the reporting period as it did for the second quarter 2006, when it was forced to accept an equally significant, but expected, fall in market share, as a result of the 2006 FIFA World Cup™ in Germany. By way of comparison, DSF reported a strong market share of 2.1 percent (males aged 14 to 49) and 1.1 percent (viewers overall) for the second quarter 2007, when it was not faced with the competition of a major soccer event. These figures represented DSF’s best second-quarter performance in seven years. The same effect can be seen in the half-yearly figures: 1.7 percent in the first half of both 2006 and 2008 among males aged 14 to 49, compared with 2.0 percent for the first half of 2007 without the competition of either the Soccer World Cup or the European Championship. Strong ratings with 2nd Bundesliga and UEFA Cup Prior to the weak June performance, impacted by competitive forces, the first months of the year saw DSF score well with a strong soccer line-up. It was the 2nd Bundesliga and the UEFA Cup in particular that pulled in strong ratings. The top figure for the second quarter and the first six months was recorded by DSF on April 7 with the Rhine derby in the 2nd Bundesliga. An average of 2.1 million and a peak of

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Sports – Online

3.1 million fans watched the match between 1. FC Cologne and Borussia Mönchengladbach live. This gave DSF a market share of 6.6 percent among viewers overall and 11.3 percent within the core target group of males aged 14 to 49. Handball boom continues Aside from soccer, it was the European Handball Championship in Norway at the beginning of the year and the Handball Bundesliga that provided DSF program highlights in the first half of 2008. The best figure for the second quarter outside of the soccer sector was achieved by DSF with the Handball Bundesliga on April 16. On average, around 600,000 viewers watched the northern derby between HSV Hamburg and THW Kiel live. Further program highlights during the reporting period included Formula 1, motorsport with the DTM, FIA GT, American Le Mans Series and 24 hour race, as well as tennis (Wimbledon, Davis Cup, Hamburg Rothenbaum, Gerry Weber Open). MotoGP secured until 2011 At the end of the second quarter, DSF secured one of the most important rights in motorsport. The Motorcycling World Championship, including the top-class MotoGP, will be broadcast live and exclusive on DSF for the next three years (2009 through 2011). Additional first-class sports rights add to the line-up. After Formula 1, for which DSF acquired an extensive rights package at the beginning of 2008 through 2010, the start of the second quarter saw the broadcaster also secure live and exclusive rights to the next four IIHF Ice Hockey World Championship tournaments through 2011. The pinnacle is the 2010 Ice Hockey World Championship, which will take place in Germany. DSF has already enjoyed enormous success in its live reporting from the first event of the new rights package, the 2008 Ice Hockey World Championship from May 2 through May 18 in Canada. The tournament achieved market shares that at times reached up to 11.8 percent in the target group of 14 to 49 year-old males.

Sport1 Alongside Sport1 GmbH, the online business of EM.Sport Media AG primarily encompasses community agency Kupferwerk GmbH (since October 2007) and online marketer AdImpulse Media GmbH, which was formed in April 2008. The strong growth in the use of online media during the previous year began to flatten out at the start of the second quarter 2008. At the same time, evidence is emerging of intense cut-throat competition for unique users (distinct users of a website within a certain period of time). This is further aggravated by increasingly cloudy general economic conditions, which already resulted in the first reductions in advertising budgets during the second quarter 2008. During the second quarter 2008, it was possible to sustain the sales level achieved for the previous year in this sector. Figures were, however, below expectations largely as a result of increasing competition and regulation in the promotion of poker and sports betting. Second quarter EBIT fell significantly against the previous year, partially due to the necessary expansion of the online offer, but remained within the scope of expectations.

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In a half-year comparison, sales were maintained at the same level as the previous year, but were nevertheless below expectations. EBIT remained below the previous year’s level and slightly below expectations. The previous year’s figures were positively influenced by income from the sale of an internet domain. Confirmation of high-level marketing partnerships for Sport1.de Within the second quarter 2008, the focus for Sport1.de was largely on the successful online marketing of the UEFA EURO 2008™ in June. New big-name customers were secured, in the shape of companies like Fiat, which presented the Euro 2008 channel, as well as prominent partners L’Oreal Paris, Toshiba and Castrol. The second quarter also saw the successful start of marketing activities for the Summer Olympics in August. A top-class presenter was secured for the Olympic Games channel on Sport1.de in the form of Mercedes-Benz. And an agreement was reached with Zurich Versicherung for the presentation of the daily Olympic News from the German camp in Beijing. Furthermore, existing co-operations were extended and expanded during the reporting period with partners such as Jack Wolfskin, which presents the Bundesliga channel. Ratings growth despite increasing competition Despite increasing competition and the ongoing hype surrounding social networks, Sport1.de succeeded in achieving ratings growth for the second quarter 2008, with figures over 18 percent above those for the same quarter the previous year. The end of the Soccer Bundesliga in April, in particular, produced record ratings, while the three-week long UEFA EURO 2008™ saw Sport1.de achieve ratings that were significantly higher than for the 2006 FIFA World Cup™. Despite strong growth in competition within the online sports market, it reported around 80 million page impressions and 20 million visits with its Euro 2008 channel and “Sport1 TV EM Studio”. Overall ratings of 78 million visits and 530 million page impressions took Sport1.de from fourth place for the same period the previous year to third place among content portals evaluated by IVW. Consolidation of market leadership with re-launch In order to consolidate its position as the market leader among German-language sports content platforms, Sport1 made preparations during the second quarter 2008 for the extensive relaunch of Sport1.de, which went online on August 13, 2008. The optimization in both appearance and content gives the online platform an even clearer layout, and makes it even more user-friendly, up-to-date, informative and interactive.

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Sports – Online

AdImpulse Media New impulse in marketing As part of a long-term plan to secure important growth sectors and new income streams in marketing, an in-house and independent online portfolio marketing agency was formed in April 2008. Under the umbrella of EM.Sport Media subsidiary EM.Sport GmbH, the new company is called AdImpulse Media GmbH. A significant proportion of the marketing activities for Sport1 GmbH has been transferred to AdImpulse Media GmbH as part of a partial operational transition. Marketing expert Thomas Port was appointed as Managing Director of AdImpulse Media on August 1, 2008. Marketing of classic advertising and special advertising formats on Sport1.de and wap.sport1.de has been the exclusive responsibility of the new marketing agency since April 2008. In addition to the exclusive marketing of Sport1.de, short-term plans include the incorporation of further relevant online portals into the portfolio. Alongside Sport1.de, the existing portfolio currently includes online portals Sport1.ch, Sport1.at, Sportsfreunde.de, DSF.de and external online platforms sport-auktion.de and NFLE.de.

Sports – Production Services

PLAZAMEDIA Relative to the European market in general, the German production market demonstrated the smallest growth during the second quarter 2008, but nevertheless remained the second largest media market in Europe behind Great Britain. The sector continues to be characterized by increased pricing pressure, as well as far-reaching structural changes. Demand for digital special interest channels and innovative media products remained strong within the reporting period, while competence and solutions in the new media sector continued to gain in importance. Consolidation within the pay-TV market, combined with ongoing intense price competitiveness, continued throughout the second quarter. For the PLAZAMEDIA Group (excluding CREATION CLUB), the second quarter 2008 was marked by successful sales and earnings performance in line with plan. Despite the loss of Arena as a customer and of the Bundesliga production for T-Online, both sales and earnings exceeded those for the second quarter the previous year. This was largely the outcome of the production of the UEFA EURO 2008™ and the 44th Presidential Cycling Tour of Turkey 2008 in high definition. In a half-year comparison, the PLAZAMEDIA Group (excluding CREATION CLUB) was able to sustain the high sales level of the previous year, in line with plan. Half-year earnings (EBIT) couldn’t quite reach those of the previous year resulting from higher write-downs due to building the eCenter digital service platform as a central investment for the future. They were, however, within plan. Growth through innovation and internationalization The UEFA EURO 2008™accelerated and supported internationalization efforts at PLAZAMEDIA. The company was the only German one among four venue teams under contract to UEFA, with 163 employees and innovative technology dedicated to producing the sporting event of the year. Germany’s leading sports TV producer was on site throughout the top event in all stadia and for all matches, with a total of 90 Camera Moving Systems (CMS). In another first, April 2008 saw PLAZAMEDIA produce the most important event in Turkish cycle racing, the 44th Presidential Cycling Tour of Turkey 2008. The company was contracted as host broadcaster by the Turkish Cycling Federation to produce the event in high definition. At a national level, one highlight was top hockey event, the 2008 Women’s SAMSUNG Champions Trophy, which was held in May in Mönchengladbach. PLAZAMEDIA was responsible for host broadcasting, and provided the world feed for all licensees under contract to the German Hockey Association. Through a contract extension with sports rights agency Infront, PLAZAMEDIA also secured the production of five qualification matches in Liechtenstein and Moldova for the 2010 FIFA World Cup™.

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Sports – Production Services

CREATION CLUB (CC) Sales for the second quarter 2008 at creative agency CREATION CLUB (CC) GmbH, a 100 percent subsidiary of PLAZAMEDIA GmbH TV- und Film-Produktion, remained a little below expectations due to seasonal shiftings, but nevertheless reached the level of the same period the previous year. Second quarter EBIT remained slightly below the figure for the same period 2007. In a half-year comparison, sales exceeded those of the same period the previous year due to positive business development in the first quarter 2008, although they were slightly below plan. Compared with the same period the previous year, EBIT for the first half of 2008 increased significantly and was well within the scope of expectations. One of the highlights of the second quarter 2008 was the production of TV gala “ENERGY GLOBE Award” under contract to environmental body GEG Agency. The event, which took place at the European Parliament in Brussels in May, included personalities such as Nobel Peace Prize winner Kofi Annan and President of the European Commission José Manuel Barroso. The CREATION CLUB was also responsible for handling TV and print distribution, as well as for numerous introductory films aired during the event. The creative agency built on previous success at this year’s PROMAX/BDA WORLD GOLD AWARDS in New York, the industry’s most important event for on-air design and production. The CREATION CLUB was honored several times at the WORLD GOLD AWARDS and won Gold in the category “Promotion or Promotion Campaign” for Premiere Spezial “Mörderische Mönche”, and took two bronze awards in the category “Art & Design” for the image campaign created on behalf of Premiere Sport and for the brand design of the Premiere Sport Signation Topical Promo.

Interim Financial Report – Interim Group Management Report

Interim Group Management Report The Group Interim Management Report has been prepared in accordance with the statutory provisions for group interim management reports of the German Securities Trading Act (WpHG) and is an integral component of the half-year interim financial report pursuant to Section 37w WpHG. General On May 29, 2008, the Management Board of EM.Sport Media AG signed an agreement with the Belgian media company, Studio 100, to sell the children's and youth programming segment. The transaction was executed on July 18, 2008. Until this date, the business segment was recognized as discontinued operations as specified under IFRS 5 (Non-current Asset Held for Sale and Discontinued Operations). Within the consolidated interim financial statements for the half year period the results of the Entertainment Segment are shown in the consolidated profit and loss account under "earnings from discontinued operations after taxes". The segment's assets and liabilities from discontinued operations were also separately reported in the consolidated balance sheet as of June 30, 2008. Separate entries are also shown in the consolidated flow statement. Besides the Sports Segment, the segment reporting of the EM.Sport Media Group also encompasses the Others Segment, which predominantly comprises the activities of the EM.Sport Media AG, as the holding company. The Sports Segment mainly consists of the TV station DSF (Deutsches SportFernsehen), the online activities of the Group (in particular: Online-Portal Sport1.de) and the production group PLAZAMEDIA (including the creative agency CREATION CLUB). Controlling system and performance indicators The key control indicators by which the Group measures financial performance continues to correspond to the explanatory notes disclosed in the Management Report to the annual consolidated financial statements as of December 31, 2007. Consequently, sales, earnings and cash flow ratios represent the key control indicators of operative performance within the Group. In addition, other financial ratios are calculated, including return on equity and return on assets, which are then benchmarked against other companies. Beyond the financial key control indicators, non-financial performance indicators, determined by the specific requirements of the business concept of the Group, are also of importance for company success. These non-financial performance indicators did not change for the first six-month period 2008 in comparison with the disclosures reported in the Management Report to the annual consolidated statements as of December 31, 2007. This primarily relates to the following factors: > > > >

Access to attractive sports rights Innovative capability, especially in the production area Editorial expertise Technical coverage by DSF

Regarding other disclosures concerning the controlling system, performance indicators and legal indicators of relevance to the business of the EM.Sport Media Group, we refer to Chapters 1.3 and 1.4 in the Management Report to the consolidated financial statements as of December 31, 2007.

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Interim Financial Report – Interim Group Management Report

Important events in the first half of 2008 Step-up of the shareholding in Highlight Communications AG On March 31, 2008, EM.Sport Media AG acquired a further 5.33 million shares in Highlight Communications AG from KF 15 GmbH & Co. KG, Munich, which corresponds to 11.3 percent in share capital. The company paid KF 15 a sum of 34.9 million EUR in cash for the shares in question and 4.346 million treasury shares. Upon execution on May 29, 2008, EM.Sport Media AG's shareholding in Highlight Communications AG was stepped-up from 26.3 percent to 37.6 percent. Since the execution date of this transaction, KF 15 holds 17.1 percent in the share capital of EM.Sport Media AG. Change in the executive bodies of the company In order to accelerate the integration between EM.Sport Media AG and Highlight Communications AG and to assure a uniform and efficient management structure as part of the unification of both media firms, the companies announced changes to their management bodies on March 31, 2008 (see explanatory notes in the addendum report on page 19). Divestment of the Entertainment Segment On May 29, 2008, EM.Sport Media AG agreed to sell its Entertainment Segment to the Belgian media company Studio 100, the largest provider of children's and youth programming in the Benelux countries. Following approval from the antitrust authorities in charge and the Bavarian Regulatory Authority for Commercial Broadcasting (BLM) and the Commission on Concentration in the Media (KEK), the transaction was completed on July 18, 2008. The sales price for the entertainment unit amounted to 41 million EUR (cash-free/debt-free). Moreover, net working capital adjustments may still have a positive effect on the overall selling price. In addition, EM.Sport Media AG will also retain future proceeds from claims against the insolvency administrator of KirchMedia GmbH & Co. KGaA i.I. amounting to between 2.5 and 4 million EUR. Investment in WIGE MEDIA AG On January 29, 2008, EM.Sport Media AG acquired a total of 905,000 shares or approximately 15 percent in WIGE MEDIA AG, Cologne, via its subsidiary, EM.Sport GmbH. From this investment in WIGE MEDIA AG, the Group has expanded its existing production services portfolio. Launch of AdImpulse Media GmbH On May 28, 2008, EM.Sport Media AG announced the formation of AdImpulse Media GmbH, Ismaning. The new company is an online portfolio marketing agency for classic media and special advertising formats within the German online market. Besides the marketing of the Sports online market leader – Sport1.de – the business model encompasses the consecutive integration of further relevant Online portals. By means of the new subsidiary, the Group further expands its value chain in the Sports Segment. In the face of rising fragmentation on the Online market, AdImpulse Media GmbH specializes on the distribution of Online offers in the segments – sports, news, entertainment and lifestyle – with a clear focus on males aged 14 to 49. The objective is to setup a target group-specific marketing network with on the basis of qualitative, high-grade and high-performance content platforms. Mr Thomas Port has been the Managing Director of AdImpulse Media since August 1, 2008; he was formerly the Commercial Director Online at SevenOne Interactive GmbH.

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Formation of TRIDEM Sports AG EM.Sport Media AG established the sports rights agency TRIDEM SPORTS AG, based in Wollerau/Switzerland on April 23, 2008. The company considers itself an independent full service sports rights agency and specializes in the international – starting with Germany, Austria and Switzerland – marketing of sports rights, predominantly outside the soccer sector. The CEO of the company is Mr Christian Pirzer, former Managing Director of Sports & Entertainment Europe at the international sports rights marketer IMG. The share capital of the new agency will be held as follows: 80 percent by EM.Sport Media AG and 20 percent by Mr Christian Pirzer. Tender offer for Constantin Film AG EM.Sport Media AG decided on May 29, 2008 to make a voluntary tender offer to the stockholders of Constantin Film AG, Munich, for their bearer shares in conformity with the provisions of the German Securities Trading Act (WpÜG). The company offered to the stockholders 18.31 EUR per share of Constantin stock in cash. The voluntary tender offer relates to the step-up of EM.Sport Media AG's shareholding in Highlight Communications AG to 37.6 percent as agreed to at the end of the first quarter. Highlight Communications AG holds 95.48 percent of the shares in Constantin Film AG. The acceptance period for the offer commenced on June 25, 2008 and ended on July 25, 2008. A total of 116,063 Constantin shares were accepted up through the expiration of the acceptance period. This corresponds to approximately 0.91 percent of share capital and voting rights of Constantin Film AG. Another 68,728 Constantin shares or around 0.54 percent interest in the share capital of Constantin Film AG was accepted as of the end of the second acceptance period commencing on August 1, 2008 and ending on August 14, 2008. Highlight Communications AG had previously obligated itself to EM.Sport Media AG to not accept the tender offer for all shares held by it on one hand and to purchase all Constantin shares from EM.Sport Media AG that were tendered as part of the offer on the other hand. Deconsolidation of EM.TV Sport Management GmbH EM.TV Sport Management GmbH, Ismaning, has been included in the consolidated financial statements since 2005. EM.Sport Media AG held an option to acquire 90 percent of the shares and voting rights. In the meantime, EM.Sport Media AG has terminated all option agreements, stopped its financing activities and abandoned its "potential voting rights". Hence, this resulted in the deconsolidation of EM.TV Sport Management GmbH as of May 31, 2008. Overall assessment of the interim reporting period The operating performance of the EM.Sport Media Group was stimulated in the second quarter of 2008 despite rising deteriorated overall economic conditions. The Group was able to post significant improvements in sales, and particularly in earnings, over both the same quarter last year and the restrained first three months of the year under review. Hence, consolidated sales were up 2.9 percent for the first half of 2008 against the same period last year; and regarding the performance indicators – EBITDA and EBIT – the shortfall to the corresponding prior year's amount versus the first quarter significantly declined. Arising from the divestment of the Entertainment Segment and the step-up in the shareholding in the Swiss media company Highlight Communications AG, considerable progress was achieved during the reporting period towards the Group's strategic further advancement. Including the negative earnings

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Interim Financial Report – Interim Group Management Report

from the discontinued operations for the Entertainment Segment, EM.Sport Media closed the first sixmonth period of 2008 with slightly positive consolidated earnings after taxes and minority interests (0.4 million EUR). For the entire fiscal year 2008 the Management Board confirms its original objective to reach an EBIT in the Sports Segment of at least the prior year's level. Sales performance The EM.Sport Media Group generated consolidated sales of 115.0 million Euro for the first six-month period of 2008 versus 111.7 million Euro for the same half-year period of 2007, which correlates to a 2.9 percent increase. As announced, the sales dynamic accelerated during the second quarter versus the first three months of the fiscal year. Sales reported from April to June 2008 of 63.2 million Euro translates into growth of 10.8 percent over the same quarter last year (Q2 2007: 57.0 million Euro). This growth came largely from DSF resulting from higher diversification proceeds but from the PLAZAMEDIA Group as well. Revenues from the Online unit for the first half of 2008 almost matched the level from the same period last year. Earnings performance First-half other operating income stood at 9.5 million Euro versus 6.7 million Euro for the same period last year. The increase relates to the Holding Segment for deconsolidation proceeds in the amount of 2.7 million Euro arising from the termination of sports betting initiatives with effect from May 31, 2008. Cost of materials of 63.5 million Euro was up in all areas during the first six months and were up 8.4 percent higher over the prior period's figure of 58.5 million Euro. This was offset by a substantial increase in costs for licenses, commissions and materials (+26.5 percent), mainly from higher license costs for UEFA Cup matches posted by DSF in the first quarter of 2008, and almost constant costs for purchased services. Personnel expenses amounted to 28.0 million Euro for the first half of 2008 (HY 1 2007: 26.2 million Euro). This corresponds to an increase of 6.8 percent, which, among other items, largely came from the recognition of provisions in the second quarter. First-half other operating expenses totaling 20.4 million Euro were up 15.8 percent over the same period last year (HY 1 2007: 17.6 million Euro). The increase mostly relates to the higher legal and consultancy fees in connection with the M&A activities and the executive body liabilities. In addition, loans receivable were written-down in the amount of 2.0 million Euro with respect to the sports betting initiatives. The EM.Sport Media Group reported earnings before interest, taxes, depreciation and amortization (EBITDA) from continuing operations of 12.7 million Euro in the first half of 2008 compared to 16.1 million Euro in the same period last period (-21.2 percent). Comparing only the second quarter 2008 to the second quarter 2007 however, the Group EBITDA was up 49.3 percent from 7.9 million Euro to 11.8 million Euro. Depreciation and amortization amounted to 5.0 million Euro for the six months from January to June 2008 (HY 1 2007: 4.8 million Euro).

17

The consolidated earnings before interest and taxes (EBIT) from continuing operations stood at 7.7 million Euro for the first half of 2008 versus 11.3 million Euro for the prior-year period (-32.1 percent). Thereof, 9.3 million Euro relates to the second quarter from April to June 2008, which represents a 69.3 percent increase over the second quarter 2007 (5.5 million Euro). The earnings from investments in associated companies of 0.8 million Euro contain the earnings contribution of the 37.6 percent shareholding in Highlight Communications AG less non-cash effects from the depreciation of assets, which were capitalized as part of the acquisition of the Highlight shares and not accounted for as goodwill (Purchase Price Allocation, PPA). The financial result stood at -6.5 million Euro in the first half of 2008 against -1.7 million Euro in the prioryear period. The significant decrease is partly attributable to lower interest income as a result of the Group's lower liquidity and, in part, from higher interest expenses for the acquisition of the investment in Highlight Communications AG, which was partly financed by credit facilities. Moreover, 2.5 million Euro from the option acquired in 2007 for the acquisition of additional shares in Highlight that were fully written-down already in the first quarter of 2008 had an adverse impact. EM.Sport Media AG successfully renegotiated the amount of the purchase price for share package as well as the structure of financing. The first-half year Group earnings before taxes (EBT) from continuing operations reached 2.0 million Euro (HY 1 2007: 9.6 million Euro). The second-quarter EBT increased by 54.5 percent to 7.1 million Euro over the same quarter last year (4.6 million Euro). The Group posted a positive tax result of 3.3 million Euro that is attributable to the recognition of deferred taxes on tax loss carryforwards in the Sports Segment (HY 1 2007: tax expense 4.9 million Euro). The 5.3 million Euro after-tax income from continuing operations in the first half of 2008 was up 12.4 percent against the prior-year period (4.7 million Euro). In the second quarter, the after-tax result came in at 9.1 million Euro (Q2 2007: 1.8 million Euro). The discontinued operations for the Entertainment Segment posted an after-tax loss of 4.8 million Euro in the first half of 2008 (HY 1 2007: -1.4 million Euro), which comprised expenses of 2.9 million Euro associated with the divestment of the Entertainment Segment. After minority shareholders' interests, the EM.Sport Media Group reported a half-year net result attributable to stockholders of 0.7 million Euro (H1 2007: 3.4 million Euro). Segment performance Following the resolution to divest the Entertainment Segment, the EM.Sport Media Group's segment reporting for the first six months of 2008 encompasses only the Segments Sports and Others. Sales of the Sports Segment from January to June 2008 came in at 114.9 million Euro or plus 2.9 percent against the same period last year (111.6 million Euro). In contrast to the downward revenues performance posted in the first three months of 2008, significant growth, particularly from DSF and PLAZAMEDIA, was posted in the second quarter of 2008.

18

Interim Financial Report – Interim Group Management Report

The first-half Segment result (EBIT) stood at 11.7 million Euro down 26.6 percent against 15.9 million Euro in the prior half-year period. The 2008 second-quarter Segment result significantly advanced over the second quarter of 2007 due to event-related seasonal shiftings and particularly from higher diversification proceeds from the free-TV station DSF. The Others Segment's performance reached -4.0 million Euro in the first half of 2008 versus -4.8 million Euro for the same six-month period last year. Net asset position of the Group The balance sheet total of the EM.Sport Media Group amounted to 403.5 million Euro as of June 30, 2008, which is 27.8 million Euro above the equivalent amount of 375.7 million Euro at the end of 2007. On the assets side of the balance sheet, non-current assets grew by 48.8 million Euro to 254.1 million Euro compared with the balance sheet date as of December 31, 2007. The increase is largely due to the at-equity investments and reflects the step-up in the shareholding in Highlight Communications AG during the first half of 2008. Growth posted in the available-for-sale financial assets of 2.0 million Euro to 9.6 million Euro as of June 30, 2008 and is predominantly attributable to the acquisition of the investment in WIGE MEDIA AG. Current assets receded by 17.4 million Euro to 94.6 million Euro compared with end of 2007. The decrease is mainly associated with the decline in cash and cash equivalents (-24.4 million Euro to 28.7 million Euro), which was partly applied for financing the investments (Highlight Communications, WIGE MEDIA). The decline in financial assets at fair value of 2.5 million Euro to nil relates to the write-down of the Highlight options. In accordance with the IFRS 5 accounting and valuation principles, once the resolution for divestment was passed, assets and liabilities for the discontinued operations of the Entertainment Segment were separately shown in the accompanying half-year interim financial report analogous to the consolidated financial statements for the fiscal year ended 2007. Separate positions are also shown in the consolidated balance sheet as of June 30, 2008, because the divestment agreed to during the second quarter was completed in the third quarter of 2008. The assets of the Entertainment Segment totaled 54.8 million Euro for the first half of 2008. Financial position of the Group On the liabilities side of the balance sheet, the Group's equity amounted to 197.4 million Euro as of June 30, 2008 compared with 185.2 million Euro at the end of 2007. The increase relates to the partial financing of the step-up in the shareholding in Highlight Communications AG by way of applying the treasury shares of EM.Sport Media AG. Consequently and to a significantly lesser degree by way of exercising Certificates Series 2 option rights, the balance in treasury shares fell from 8.1 million Euro to 3.7 million Euro. In return, capital reserves rose by 8.5 million Euro to 156.3 million Euro. The equity ratio as of June 30, 2008 reached a solid value of 48.9 percent, almost matching the level as of December 31, 2007 (49.3 percent).

19

Non-current liabilities fell by 33.2 million Euro to 82.2 million Euro, which was largely caused by a reclassification to current financial liabilities for single drawings from a syndicated loan in connection with the financing of the shareholding in Highlight Communications AG. The remaining non-current financial liabilities of 78.4 million Euro primarily comprise the 5.25% convertible bond 2006/2013. Current liabilities grew by a total of 50.2 million Euro to 107.9 million Euro, which was predominantly attributable to the rise in current financial liabilities reported at 50.8 million Euro for the first half of 2008 (December 31, 2007: 0.9 million Euro). The increase relates to the aforementioned reclassification and an additional short-term withdrawal from the syndicated loan in the amount of 20.0 million Euro in connection with stepping-up the shareholding in Highlight Communications AG. At June 30, 2008 drawdown of the syndicated loan was 50.0 million Euro. For collateral purposes, a security deposit of Highlight stock was pledged. Liabilities of the discontinued operations of the Entertainment Segment came in at 15.9 million Euro in the first half of 2008 (December 31, 2007: 17.4 million Euro). Cash flow The EM.Sport Media Group reported net cash flow from operating activities from continuing operations of 1.1 million Euro for the first six months of 2008 (HY 1 2007: 7.8 million Euro). The cash flow for investing activities stood at -42.2 million Euro (H1 2007: -1.6 million Euro). Compared with the same period last year, the cash outflow was affected by higher expenditures amounted to 37.0 million Euro for investments in intangible assets, property, plant and equipment and in particular payments for the acquisition of further shares in Highlight Communications AG. The cash flow for financing activities reached 19.5 million Euro (HY 1 2007: -27.5 million Euro), which was largely caused by additional withdrawals from the syndicated loan in the amount of 20.0 million Euro. The cash flow for discontinued operations totaled -2.8 million Euro for the first half of 2008 (HY 1 2007: -1.9 million Euro). In total, the cash flow for the reporting period stood at -24.4 million Euro (HY 1 2007: -23.2 million Euro). Employees For the period from January 1, 2008 to June 30, 2008, the EM.Sport Media Group had an average of 819 employees compared with 796 in the same six-month period last year. Of this total, an average of 77 employees related to the Entertainment Segment (HY 1 2007: 97). Addendum report Ordinary Annual Shareholders' Meeting The Ordinary General Annual Meeting of EM.Sport Media AG held on July 9, 2008 cleared the way for the planned change at the helm of the Management Board. The shareholders elected CEO, Werner E. Klatten, to the Company's Supervisory Board. Mr Klatten had been in charge of EM.Sport Media AG since 2001. Mr Bernhard Burgener, President of the Board of Directors of Highlight Communications AG in Pratteln/Switzerland, will assume the post of CEO on September 1, 2008. He will resign from his

20

Interim Financial Report – Interim Group Management Report

post on the Supervisory Board of EM.Sport Media AG with effect from August 31, 2008. Mr Klatten had been elected to the Board of Directors of Highlight Communications at its Annual General Shareholders' Meeting back on May 30, 2008 and is to take over the office of President from Mr Burgener. This change at the top is part of comprehensive changes within the corporate bodies of EM.Sport Media AG and Highlight Communications AG, which was announced at the end of March this year, and took place in the context of the planned unification of the media corporations. In the presence of almost 45 percent of the share capital and almost 48 percent of the voting rights the shareholders formally consented to all items on the agenda by a majority of more than 95 percent, respectively. Among other issues approved, new authorized capital of 20.0 million Euro was created (authorized capital 2008/I), because the former capital from 2005 had been largely depleted to partly finance the investment in Highlight Communications AG. Moreover, the Management Board was empowered, with the approval of the Supervisory Board, to issue bonds – singly or repeatedly – with a total nominal value of up to 150 million Euro. Associated with this, conditional capital in the amount of 20.0 million Euro was also created to service the corresponding conversion rights and options. Both empowerments expire on July 8, 2013. Furthermore, the shareholders resolved to authorize the Management Board to purchase treasury shares in EM.Sport Media AG up to the value of 10 percent of share capital. This empowerment expires on January 8, 2010. Additional step-up to shareholding in Highlight Communications AG On July 21, 2008, the Company announced that it had acquired an additional 2,818,847 shares in Highlight Communications AG. The shares were sold by Mr Bernhard Burgener, President of the Board of Directors of Highlight Communications AG. EM.Sport Media AG paid a sum of 16.5 million EUR in cash and 2,298,770 from the company's treasury shares. This transaction means that Mr Burgener will hold a stake of approximately 2.95 percent in the share capital of EM.Sport Media AG. This move increased EM.Sport Media AG's shareholding in Highlight Communications AG from 37.6 percent to 43.6 percent. At the end of July this year, the Company acquired further shares from other Board Members and the management team of Highlight Communications AG, respectively. Consequently, the Company's shareholding in Highlight Communications AG has increased to approximately 47.3 percent. Material risks The risk profile of the EM.Sport Media Group for the months after the second quarter of 2008 primarily corresponds with the estimates reported in the consolidated financial statements as of December 31, 2007. A detailed presentation of the business risks and the Group's risk management system is set forth in the 2007 Annual Report. Moreover, a degree of impact on the Company's planned sales and earnings performance from regulatory restrictions or from the enactment of statutes or other legislation cannot be ruled out.

21

In addition thereto, the following risks are outlined: > Economic conditions have continued to deteriorate in the euro zone and, particularly, in Germany. Hence, the Gross Domestic Product (GDP) in Germany was down 0.5 percent in the second quarter against the first quarter of 2008; the GDP for the euro zone was down 0.2 percent. A major reason is deemed to be weak consumption by private households as a result of significantly higher energy and food prices. In the event of further economic deterioration, this could have an adverse impact on the willingness and ability by companies to spend more on advertising expenditures. DSF would be largely affected by this, since it is partly refinanced by conventional advertising. > In the face of continuing, rising Online gross advertising costs in relation to total advertising volume, competitiveness in the sports Online sector has once again intensified by the entry of new providers. This development has had an adverse effect on Sport1's ongoing further development and optimization of the Sport1 offers. > As a result of actions executed in January 2008 by the Commission for Protection of Minors in the Media (KJM), the contents of the DSF teletext had to be completely revised and adjusted. The lower revenues arising therefrom have not yet been able to be substituted from new contents conforming to KJM. > In view of the unchanged existing regulations for sports betting in Germany, particularly after the new gambling treaty took effect January 1, 2008, EM.Sport Media AG assumes that no new sports betting providers will be able to establish themselves in Germany in the foreseeable future. Subsequent to the termination of the option agreements and discontinuance of its financing activities in the second quarter of 2008 and following the deconsolidation of EM.TV Sport Management GmbH as of May 31, 2008, EM.Sport Media AG was able to minimize the risks with respect to sports betting as stated in the consolidated financial statements for the fiscal year 2007. Material opportunities The opportunities profile of the EM.Sport Media Group for the months after the first half of 2008 primarily corresponds with the estimates reported in the consolidated financial statements as of December 31, 2007. A detailed presentation of the opportunities is set forth in the 2007 Annual Report. In addition thereto, the following opportunities are outlined: > Soccer also continues to count among the most important core rights of DSF in the future. DSF aims to set its target on the premium product – the 1st and 2nd Soccer Bundesliga – and to clearly position itself as the Bundesliga broadcaster in free-TV. With the upcoming bid for TV rights starting with the 2009/10 season, which has once again been delayed, DSF's aim is to maintain status quo at the very least. Besides the Bundesliga, DSF is optimally prepared against future competition with numerous first-class sports rights.

22

Interim Financial Report – Interim Group Management Report

Outlook 2008 EM.Sport Media AG will continue its strategy in the Sports Segment of creating an integrated, capable and innovative union of sports activities, and thus to cover the entire value chain within the sports media sector. As previously announced, the Company increased its shareholding in Highlight Communications AG to approximately 47.3 percent over several steps until the end of July 2008. The close-knit strategic unification strived for between both companies is intended to establish a leading media group in Europe in the sports as well as in the film and TV production sectors. After the satisfying sales and earnings performance reported in the second quarter of 2008, the Management Board is generally confident for the remainder of the 2008 fiscal year's progress. In spite of the considerable deterioration of overall economic conditions in the meantime and intense competitive pressure in certain business units (e.g. Online), the Board confirms its objective as stated in the first quarter of 2008 of achieving for fiscal year 2008 an EBIT in the Sports Segment of at least the prior year's level; whereby it should be noted that the Segment posted an EBIT increase of 40 percent in 2007. With respect to the Group, the Management Board continues to refrain from quantifying targets; to the extent it exceeds those of the Sports Segment. This will be largely dependent on the full consolidation of Highlight Communications AG by EM.Sport Media AG in the third quarter of 2008, which will materially impact the earnings, assets and financial situation of the Group.

Ismaning, August 25, 2008 EM.Sport Media AG Management

Interim Financial Report – Consolidated Interim Financial Statements

Consolidated Interim Financial Statements

23

24

Interim Financial Report – Consolidated Interim Financial Statements

Assets Consolidated balance sheet at June 30, 2008 in EUR '000 6/30/2008

12/31/2007

Non-current assets Intangible assets Goodwill

4,288

5,137

51,406

51,395

Land, property rights and buildings

3,941

3,504

Technical equipment and machinery

15,012

15,745

Other equipment, factory and office equipment

1,971

2,163

Advance payments and assets under construction

1,072

1,189

157,874

109,577

Investments in associated companies Available-for-sale financial assets

9,562

7,589

Deferred tax assets

8,971

9,047

254,097

205,346

Current assets Inventories Trade accounts receivable Receivables due from associated companies

629

557

43,084

37,896

1,340

2,267

Receivables due from joint ventures

3

3

Financial assets at fair value

0

2,505

13,591

12,101

Other assets Income tax assets Cash and cash equivalents

Assets from discontinued operations Total assets

7,204

3,587

28,746

53,089

94,597

112,005

54,801

58,333

403,495

375,684

25

Equity/Liabilities Consolidated balance sheet at June 30, 2008 in EUR '000 6/30/2008

12/31/2007

Subscribed capital

77,939

77,934

Treasury stock

-3,727

-8,088

Stockholders' equity

Contributions to execute resolved capital increase Capital reserves Other reserves Retained earnings Shareholders' interests Minority interests

0

5

156,315

147,772

-1,664

-686

-37,178

3,985

729

-41,163

5,001

5,442

197,415

185,201

Long-term provisions

463

1,091

Pension provisions

210

195

Financial liabilities

78,354

107,884

Non-current liabilities

Deferred tax liabilities

3,196

6,224

82,223

115,394

50,800

948

Current liabilities Financial liabilities Payments received on account of orders Trade accounts payable Payables due to associated companies

90

210

38,221

34,874

76

0

114

92

Other liabilities

14,003

18,156

Other provisions

3,531

2,009

Tax provisions

1,104

1,393

107,939

57,682

15,918

17,407

403,495

375,684

Payables due to joint ventures

Liabilities from discontinued operations Total stockholders' equity and liabilities

26

Interim Financial Report – Consolidated Interim Financial Statements

Consolidated Profit and Loss Account January 1 to June 30, 2008 in EUR ‘000

Sales Change in inventories of work in progress Total output Other operating income Costs for licenses, commissions and materials

1/1 to 6/30/2008

4/1 to 6/30/2008

1/1 to 6/30/2007

4/1 to 6/30/2007

114,966

63,187

111,681

57,005

77

23

0

0

115,043

63,210

111,681

57,005

9,476

6,712

6,737

2,782

-22,489

-11,031

-17,771

-6,875 -21,866

Costs for purchased services

-40,962

-21,243

-40,743

Cost of materials

-63,451

-32,274

-58,514

-28,741

Salaries

-24,347

-12,697

-22,648

-11,011

Social securities and pension costs Personnel expenses Amortization and depreciation Other operating expenses Profit from continuing operations Earnings from investments in associated companies

-3,668

-1,857

-3,578

-1,784

-28,015

-14,554

-26,226

-12,795

-5,000

-2,553

-4,786

-2,445

-20,395

-11,249

-17,616

-10,318

7,658

9,292

11,276

5,488

823

198

0

0 871

Interest and similar income

699

285

1,801

Financial income

699

285

1,801

871

-4,675

-2,626

-3,458

-1,732

Interest and similar expenses Loss from changes in fair value of financial instruments

-2,505

0

0

0

Financial expenses

-7,180

-2,626

-3,458

-1,732

Financial result from continuing operations

-6,481

-2,341

-1,657

-861

2,000

7,149

9,619

4,627

365

425

-2,821

-2,332

Profit from continuing operations before taxes Current taxes Deferred taxes

2,893

1,527

-2,121

-450

Income taxes

3,258

1,952

-4,942

-2,782

Profit from continuing operations after taxes

5,258

9,101

4,677

1,845

-4,835

-4,054

-1,368

-1,625

423

5,047

3,309

220

729

5.160

3,437

270

-306

-113

-128

-50

Net loss from discontinued operations after taxes Net profit thereof shareholders' interests thereof minority interests

27

January 1 to June 30, 2008 1/1 to 6/30/2008

1.1 to 6/30/2007

Earnings per share attributable to shareholders, undiluted

0.01

0.06

Earnings per share attributable to shareholders, diluted

0.01

0.05

Earnings per share attributable to shareholders, undiluted

0.08

0.08

Earnings per share attributable to shareholders, diluted

0.08

0.07

Earnings per share attributable to shareholders, undiluted

-0.07

-0.02

Earnings per share attributable to shareholders, diluted

-0.07

-0.02

Average number of outstanding shares (undiluted)

70,663,701

60,606,641

Average number of outstanding shares (diluted)

70,663,701

68,360,755

Earnings per share (in EUR)

Earnings per share from continuing operations (in EUR)

Earnings per share from discontinued operations (in EUR)

28

Interim Financial Report – Consolidated Interim Financial Statements

Consolidated Cash Flow Statement January 1 to June 30, 2008 in EUR ‘000

Shareholders' interests Loss from discontinued operations Minority interests Deferred taxes Taxes on income Financial result Profit from investments in associated companies Amortization and depreciation Profit/loss from disposal of non-current assets Other non-cash items

1/1 to 6/30/2008

1/1 to 6/30/2007

729

3,437

4,835

1,368

-306

-128

-2,893

2,077

-365

2,821

6,481

1,657

-823

0

5,000

4,790

2

-6

-1,819

221

-6,454

-614

Increase (-)/decrease (+) in inventories, trade receivables and other assets not classified to investing or financing activities Increase (+) /decrease (-) in trade payables and other liabilities not classified to investing or financing activities Interest paid Interest received Dividends received from associated companies Income taxes paid Income taxes received Cash flow from operating activities, continuing operations

3,176

-6,352

-5,423

-2,675

699

1,801

1,220

0

-3,602

-638

641

0

1,098

7,759

29

January 1 to June 30, 2008 in EUR ‘000 1/1 to 6/30/2008

1/1 to 6/30/2007

Change in cash and cash equivalents due to acquisitions of companies/shares in companies

9

27

-844

-573

Payments for tangible assets

-3,144

-2,272

Payments for financial assets

-37,003

-10

Payments for intangible assets

Change in cash and cash equivalents due to deconsolidation Proceeds from disposals of intangible assets

-1,299

0

2

16

Proceeds from disposals of tangible assets

67

3

Proceeds from disposals of financial assets

0

1,200

-42,212

-1,609

0

31

84

0

Cash flow for investing activities, continuing operations Proceeds from issuance of equity instruments Proceeds from capital increase and payments from shareholders Proceeds from receipt of current financial liabilities

20,000

0

Repayment of non-current financial liabilities

-400

-27,497

Repayment of current financial liabilities

-148

0

Cash flow from/for financing activities, continuing operations

19,536

-27,466

Cash flow for discontinued operations

-2,791

-1,883

-24,369

-23,199

Cash and cash equivalents at the beginning of the reporting period

53,089

132,313

Cash and cash equivalents at the end of the reporting period

28,746

109,126

26

12

-24,369

-23,199

Cash flow for the reporting period

Change in cash and cash equivalents due to exchange rate movements Change in cash and cash equivalents

30

Interim Financial Report – Consolidated Interim Financial Statements

Changes in Consolidated Equity January 1 to June 30, 2008 in EUR ‘000

Balance 1/1/2007

SubCapital scribed Treasury increase stock resolution capital

Capital reserves

70,907 -10,332

118,269

27

Other Retained reserves earnings 654

Reclassification of prior year net result Employee stock compensation Reclassification of capital increase resolution

Shareholders' Minority interests interests 9,882

6,292 189,751

9,882

-9,882

0

7 27

Capital increase from certificates

7

-27 9

0 22

31

Dividend payment

-316

Change of minority interests Foreign currency translation differences

249

Net profit of the period

3,437

Balance 6/30/2007

70,934 -10,323

0

118,291

910

Balance 1/1/2008

77,934

5

147,772

-686

-8,088

Total

-5,948

Reclassification of prior year net result

-316

6

6

5

254

-128

3,309

3,934

3,437

5,859 193,042

3,985

-41,163

5,442 185,201

-41,163

41,163

0

Employee stock compensation

0

Reclassification of capital increase resolution

5

Capital increase from certificates Purchase of shares Highlight Communications AG

0

-5 52

130

182

4,346

8,475

12,821

-37

-55

Changes in at-equity investment Highlight Communications AG not affecting net income

-1,246

Purchase of treasury stock

-1,246 -92

Changes in available for sale investment WIGE MEDIA AG not affecting net income

250

Cost of capital increase

250

-7

-7

Dividend payment

0

Change of minority interests Foreign currency translation differences

-135

-306

423

18

18

Net profit of the period Balance 6/30/2008

-135 729 77,939

-3,727

0

156,315

-1,664

-37,178

729

5,001 197,415

31

Notes on the Consolidated Financial Statements 1. Accounting and valuation principles The accompanying consolidated interim financial statements for the period from January 1, 2008 to June 30, 2008 have been prepared in condensed form according to IAS 34 (Interim Financial Reporting) and in accordance with the International Financial Reporting Standards (IFRS) and the Interpretations of the International Financial Reporting Interpretations Committee (SIC/IFRIC), in effect at the closing date. The condensed form of the consolidated interim financial statements do not include all explanations and disclosures prescribed under IFRS and should be read in conjunction with the consolidated financial statements as of December 31, 2007. The accounting and valuation principles used in the consolidated financial statements of EM.Sport Media AG as of December 31, 2007 remained consistent with those applied in the accompanying consolidated interim financial statements as of June 30, 2008; only the composition of cash and cash equivalents was changed. According to the resolution of the Management Board and Supervisory Board passed on May 22, 2007 concerning the sale of the Entertainment Segment, the operative business of the EM.Sport Media Group now comprises of the Sports Segment (primarily: DSF, PLAZAMEDIA-Group including CREATION CLUB and Sport1) and the Others Segment, which predominantly contains the income and expenses of EM.Sport Media AG as the holding company. 2. Changes in the presentation of cash and cash equivalents The composition of cash and cash equivalents within the Group previously encompassed current cash and cash equivalents less current liabilities due to banks. Starting June 30, 2008, the Group redefined the composition of cash and cash equivalents. Consequently, new funds comprise only cash and cash equivalents, which include cash on hand and demand deposits. Cash equivalents are short-term, highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value and have a maturity of less than three months – starting from the date of acquisition. The Company expects that this change in the presentation of cash and cash equivalents will provide more transparency when comparing annual reports from other media companies. This new presentation does not impact the Group net results or the earnings per share. Changes in the presentation of cash and cash equivalents as of June 30, 2007 did not arise, because current liabilities due to banks did not exist during that period. 3. Discontinued operations - Entertainment On May 22, 2007, the Management Board of EM.Sport Media AG resolved to completely divest of the Entertainment Segment and to place the future focus on the Sports Segment. The divestment of the Entertainment Segment, including the comprehensive scope of rights in children's and youth programming as well as its investments in the production and sales sector, to Studio 100, a Belgian media company, occurred on July 18, 2008 following the approval from the antitrust authorities in charge as well as the Bavarian Regulatory Authority for Commercial Broadcasting (BLM) and the Commission on Concentration in the Media (KEK). We refer to our explanations presented under the subsequent events caption.

32

Interim Financial Report – Consolidated Interim Financial Statements

Life On Stage GmbH does not belong to the divested Entertainment Segment. However, since EM.Sport Media AG resolved to discontinue the business operations of Life On Stage GmbH, the assets and liabilities as well as the results up to the final liquidation will continue to be shown under discontinued operations in accordance with IFRS 5.13. In conformity with IFRS 5, specific classification and valuation principles apply for discontinued operations starting on the date of the resolution for divestment. According to the annual consolidated financial statements for the fiscal year 2007, the accompanying consolidated interim financial statements for the half year period make a distinction between continuing operations and discontinued operations. The discontinued operations are recognized as separate line items as follows: assets and liabilities pertaining to discontinued operations in the balance sheet, profit from continuing operations and profit from discontinued operations in the profit and loss account. The distinction also applies to the cash flow statement. In accordance with IFRS 5, starting on the date of the divestment resolution, depreciation is no longer taken on non-current assets held for sale and discontinued operations while they are classified as such. The assets are regularly tested for impairment. The impairment test performed as of June 30, 2008 resulted in an impairment loss on intangible assets in the amount of TEUR 833.

Classification of assets and liabilities from discontinued operations in EUR ‘000

Non-current assets of which for film rights and advance payments on film rights

6/30/2008

12/31/2007

38,070

35,878

28,600

26,627

0

0

of which for property, plant and equipment

1,624

1,161

of which for investments and financial assets

7,645

7,347

of which for goodwill

31

72

170

671

Current assets

16,731

22,455

Assets from discontinued operations

54,801

58,333

of which for non-current receivables of which for deferred tax assets

Non-current liabilities

1,600

31

Current liabilities

14,318

17,376

Liabilities from discontinued operations

15,918

17,407

1/1 to 6/30/08

1/1 to 6/30/07

Cash flow from discontinued operations in EUR ‘000

Cash flow from operating activities Cash flow for investing activities Cash flow for financing activities Cash flow for discontinued operations

478

2,923

-3,269

-4,496

0

-310

-2,791

-1,883

33

Classification of net result from discontinued operations in EUR ‘000 1/1 to 6/30/08 Income Expenses Operating result Financial result incl. equity result Loss before taxes Income taxes

1/1 to 6/30/07

10,437

12,118

-15,932

-14,300

-5,495

-2,182

467

669

-5,028

-1,513

193

145

-4,835

-1,368

Earnings per share, undiluted (EUR)

-0.07

-0.02

Earnings per share, diluted (EUR)

-0.07

-0.02

Loss after taxes Earnings per share without shares held by a third party as part of a securities landing

Profit after tax of discontinued operations in the reporting period include TEUR 2,898 sales costs. 4. Changes in the scope of consolidation According to an entry in the Commercial Register dated April 23, 2008, EM.Sport Media AG established the company, TRIDEM SPORTS AG, based in Wollerau, Switzerland. The business activities of the company comprise the acquisition and sale of all sports rights; the management, sales and organization of all types of sports events; the consulting and marketing of sports associations as well as the representation and consulting of athletes. The EM.Sport Media Group holds 80 percent of the registered shares of TRIDEM SPORTS AG with a total nominal value of TCHF 80. The company is included in the consolidated financial statements on a full consolidation basis. In April 2008, EM.Sport GmbH, a 100-percent subsidiary of EM.Sport Media AG, founded AdImpulse Media GmbH. EM.Sport GmbH holds 100 percent of the registered share capital of AdImpulse Media GmbH with a nominal value of TEUR 25. The company's business activities include the marketing of Online-Media and TV-Media as well as all related business transactions. Since commencing its operations in the second quarter 2008, the company is included in the consolidated financial statements on a full consolidation basis. EM.TV Sport Management GmbH, Ismaning, has been included in the consolidated financial statements since 2005. EM.Sport Media AG held an option to acquire 90 percent of the shares and voting rights. Due to the possibility to exercise the option at any time, the company has been included in the consolidated financial statements on the basis of "potential voting rights" as defined under IAS 27.14. With effect of the new gambling treaty from January 1, 2008, EM.Sport Media AG assumes that no new sports betting providers will be able to establish themselves in Germany for the time being, in spite of the current review of the gambling treaty as part of an EU proceeding. Therefore, EM.Sport Media AG has terminated all option agreements, stopped its financing activities and abandoned its "potential voting rights", which thus resulted in the deconsolidation of EM.TV Sport Management GmbH as of May 31, 2008. 5. Notes to selected line items in the Balance Sheet and Profit and Loss Account The assets increased in comparison to December 31, 2007, which is largely due to the acquisition of the second tranche in Highlight. Effective May 29, 2008, EM.Sport Media AG acquired another 5.3 million

34

Interim Financial Report – Consolidated Interim Financial Statements

shares in Highlight Communications AG, Pratteln, Switzerland; thus increasing the shareholding in the company to 37.6 percent The purchase price consists of cash components and treasury shares. The cash components were already paid in advance in the first quarter 2008; the issuance of the treasury shares occurred in the second quarter. By way of the reclassification of the advance payment made in the first quarter to the acquisition and the issuance of treasury shares, the at-equity investment and capital reserves increased accordingly as of June 30, 2008. Besides the acquisition of the second tranche, changes arose during the period under review, which were mostly due to the carryforward of hidden reserves realized as part of the purchase price allocation and the allocable earnings based on the investment shareholding interest for the first half year 2008. As of December 31, 2007, the earnings allocable to EM.Sport Media AG could only be determined on the basis of an estimation. Following the publication of the consolidated financial statements of Highlight Communications AG, the difference between the estimated and actual earnings as well as the change in the investment shareholding due to changes recognized directly to equity of Highlight Communications AG were subsequently recorded in the first quarter. Income in the amount of TEUR 185 arose in the first quarter from the earnings improvement reported by Highlight Communications AG versus the estimation as of December 31, 2007. Furthermore, subsequent acquisition costs were incurred during the first half year 2008. During the first six-month period in 2008, both the actual allocable earnings and the actual changes recognized directly to equity of Highlight Communications AG have been taken into consideration. On the basis of the acquisition of the additional interest in Highlight Communications AG, the option for acquisition of the same share expired and was accordingly presented in the profit and loss account under "losses from financial instruments at fair value". The increase in the line item "available-for-sale financial assets" mainly relates to the acquisition of 15.08 percent in WIGE MEDIA AG. The rise in income tax receivables relates to prepayments. Current financial liabilities totaled 50.8 million EUR as of June 30, 2008, representing an increase of 49.9 million EUR over the amount reported as of the year-end 2007. The increase comprises of a reclassification of 30.0 million Euro from non-current to current financial liabilities, already recorded at March 31, 2008 and an additional withdrawal of 20.0 million Euro from the syndicated credit facility in conjunction with the increase in the stake in Highlight Communications AG. At June 30, 2008 drawdown of the syndicated credit facility was 50.0 million Euro. For collateral purposes, a security deposit of 17,762,780 Highlight stock was pledged. The decrease in deferred tax liabilities is largely due to the deconsolidation of EM.TV Sport Management GmbH. The rights arising from the Certificates Series 2 could be exercised for the last time as of April 18, 2008. Subsequently, the Company issued a total of 30,698 shares in the second quarter until April 18, 2008. The remaining balance of 4,636,354 treasury shares was applied towards the acquisition of additional shares in Highlight Communications AG. The profit and loss account was particularly marked by the rise in other operating income. In addition to income from the release of provisions, income from the release of individual valuation allowances and non-period income from the collection of diverse old receivables, other operating income was predominantly impacted by the deconsolidation result of EM.TV Sport Management GmbH.

35

In general, income and expenses of a subsidiary are recognized in the consolidated financial statements until control no longer exists. At the date of disposal, the difference between the proceeds from disposal and the carrying value is recognized in the profit and loss account as a gain or loss from the disposal of the subsidiary. The net assets of EM.TV Sport Management GmbH were offset against negative minority interests, which resulted in income from the deconsolidation and was reported under other operating income. At the same time, EM.Sport Media AG decided to recognize a write-down of the loans issued to EM.TV Sport Management GmbH. The deconsolidation proceeds in the amount of TEUR 2,728 were offset against expenses arising from the write-down of the loan in the amount of TEUR 2,000, both recorded in the Others Segment. 6. Explanations to equity and earnings per share For purposes of fulfilling the statutory requirements under § 71 c (2) AktG (Stock Companies Act), the treasury shares balance was dropped below the 10 percent threshold on March 21, 2007 as part of the long-term atypical securities lending. A corresponding notice was published on March 23, 2007. As of June 30, 2008, the Company held a total of 326,712 non-voting treasury shares (12/31/2007: 4,688,328). The separate line item for treasury shares in the amount of TEUR 3,727 (12/31/2007: TEUR 8,088) not only includes own shares held, but also shares held by a third party as part of the long term, atypical securities loan. Under IFRS, this transfer is not treated as a disposal of assets, although the ownership of the shares together with voting rights and dividend claims were transferred to a third party for the term of the securities loan. The Company is not entitled to any rights whatsoever in connection with the treasury shares. According to IFRS, disclosures are made for the weighted average number of shares outstanding (undiluted and diluted) as well as earnings per share (undiluted and diluted) exclusive of the securities lending. Taking into account the disposal of the treasury shares as part of the securities lending, the following earnings per share figures arise: 1/1 to 6/30/2008

1/1 to 6/30/2007

Earnings per share attributable to shareholders, undiluted

0.01

0.06

Earnings per share attributable to shareholders, diluted

0.01

0.05

Earnings per share attributable to shareholders, undiluted

0.08

0.08

Earnings per share attributable to shareholders, diluted

0.08

0.07

Earnings per share attributable to shareholders, undiluted

-0.07

-0.02

Earnings per share attributable to shareholders, diluted

-0.07

-0.02

Average number of outstanding shares (undiluted)

74,063,701

62,485,094

Average number of outstanding shares (diluted)

74,063,701

69,826,614

Earnings per share (in EUR)

Earnings per share from continuing operations (EUR)

Earnings per share from discontinued operations (EUR)

36

Interim Financial Report – Consolidated Interim Financial Statements

7. Composition of net funds The cash and cash equivalents now consist of other securities, cash on hand and cash in banks. 8. Segment reporting Segment information by business segments as of January 1 to June 30, 2008 in EUR ‘000 Discontinued operations

Sports

Others

External sales

0

114,905

61

Change in inventories of work in progress

0

77

0

0

77

Other segment revenues

0

3,742

6,845

-1,111

9,476

Segment expenses

Reconciliation 0

Group 114,966

0

-107,072

-10,900

1,111

-116,861

thereof amortization and depreciation

0

-4,906

-94

0

-5,000

Segment result of continuing operations

0

11,652

-3,994

0

7,658

Period result of associated companies

0

0

823

823

Non-allocable items Financial expenses

-7,180

Financial income

699

Earnings of continuing operations before taxes

2,000

Other Segment information Segment assets

54,801

138,495

177,086

370,382

0

0

157,874

157,874

thereof investments in associated companies Non-allocable items

33,113

Assets of the Group

403,495

Segment liabilities

15,918

39,691

67,418

Non-allocable items

83,053

Liabilities of the Group Segment investments

123,027 206,080

0

3,963

25

3,988

Contrary to the presentation as of December 31, 2007, the investment in Highlight Communications AG has been classified to the Others Segment.

37

Segment information by business segments as of January 1 to June 30, 2007 in EUR ‘000 Discontinued operations

Sports

Others

Reconciliation

Group

External sales

0

111,620

61

0

111,681

Intercompany sales

0

60

0

-60

0

Other segment revenues

0

5,313

2,039

-615

6,737 -107,142

Segment expenses

0

-101,110

-6,893

861

thereof amortization and depreciation

0

-4,541

-245

0

-4,786

Segment result of continuing operations

0

15,883

-4,793

186

11,276

Period result of associated companies

0

0

0

0

Non-allocable items Financial expenses

-3,458

Financial income

1,801

Earnings of continuing operations before taxes

9,619

Other Segment information Segment assets

105,901

159,917

77,582

343,400

3,750

0

0

3,750

thereof investments in associated companies Non-allocable items

8,508

Assets of the Group

351,908

Segment liabilities

17,142

43,009

13,210

Non-allocable items

85,505

Liabilities of the Group Segment investments

73,361 158,866

2,835

20

2,855

38

Interim Financial Report – Consolidated Interim Financial Statements

9. Contingent liabilities and other financial commitments Contingent liabilities and other financial commitments as of June 30, 2008 did not materially change in comparison with those reported in the consolidated financial statements as of December 31, 2007. 10. Subsequent events after the balance sheet date During the third quarter of 2008, EM.Sport Media AG acquired a further 2,818,847 shares in Highlight Communications AG, Pratteln/Switzerland. The shares were sold by Mr Bernhard Burgener, President of the Board of Directors of Highlight Communications, current Deputy Chairman of the Supervisory Board of EM.Sport Media AG and, with effect from September 1, 2008, CEO of EM.Sport Media AG. This move increased the stake held by EM.Sport Media AG in the Swiss media company by around 6 percent from 37.6 percent to a total of 43.6 percent. Regarding the shares in question, EM.Sport Media AG paid the seller a sum of 16.5 EUR in cash. Furthermore, Mr Bernhard Burgener received 2,298,770 shares in EM.Sport Media AG (around 2.95 percent in share capital) from the company's treasury shares. In July, EM.Sport Media AG acquired additional shares from other Board Members and the Management Team of Highlight Communications AG. A sum of approximately 10.5 million EUR was paid in cash and approximately 1.4 million in treasury shares. The shareholding in Highlight Communications AG has now increased to around 47.3 percent and will be consolidated in the third quarter by means of the purchase method. Following approval from the antitrust authorities in charge and the Bavarian Regulatory Authority for Commercial Broadcasting (BLM) and the Commission on Concentration in the Media (KEK), the sale of the Entertainment Segment of EM.Sport Media AG to Studio 100, a Belgian media company, was completed on July 18, 2008. The sales price of the Entertainment Segment amounted to 41 million EUR (cash-free/debt-free). Moreover, net working capital adjustments may still have a positive effect on the overall selling price. In addition, EM.Sport Media will also retain future proceeds from claims against the insolvency administrator of KirchMedia GmbH & Co. KGaA. i.I. amounting to between 2.5 and 4 million EUR. The divest-ment of the Entertainment Segment will take place during the third quarter 2008. In the second quarter of 2008, EM.Sport Media AG decided, as part of a voluntary tender offer (cash tender) and in conformity with the German Securities Trading Act (WpÜG), to offer the shareholders of Constantin Film AG, Munich, to acquire in cash the bearer shares and shares traded under ISIN DE 0005800809 of Constantin Film AG against a payment per share of the volume-weighted, average domestic stock price as calculated by BaFin during the last three months before publication of this notice in accordance with Section 10 (1) WpÜG. The voluntary tender offer relates to the step-up in EM.Sport Media AG's shareholding in Highlight Communications AG to 37.6 percent; Highlight Communications AG holds 95.48 percent of the shares in Constantin Film AG. Highlight Communications AG has previously obligated itself to EM.Sport Media AG to not accept the tender offer for all shares held by it in Constantin Film AG. It was additionally agreed between the said parties that all Constantin Film AG shares acquired by EM.Sport Media AG as part of the tender offer will be purchased by Highlight Communications AG, such that no Constantin Film AG

39

shares arising from the voluntary tender offer will remain with EM.Sport Media AG. Up through the first acceptance expiration date of July 25, 2008, the offer for 116,063 Constantin shares was accepted. This corresponds to a share of approximately 0.91 percent in the share capital and voting rights of Constantin Film AG. Moreover, the offer for an additional 68,728 Constantin shares (0.54 percent of share capital) within the acceptance period from August 1 to August 14, 2008 has been accepted. 11. Relationships with related persons Related persons within the Group are the Members of the Management Board, Supervisory Board and their relatives. Relationships with related persons did not take place during the first half year of 2008.

Ismaning, August 25, 2008 EM.Sport Media AG Management Board

40

Interim Financial Report – Responsibility Statement

Responsibility Statement “We assure that, to the best of our knowledge and based on the accounting standards to be applied for interim financial reporting, the Consolidated Interim Financial Statements provides a true and fair view of the net worth, financial position and financial performance of the Group and that the Interim Group Management Report presents business progress including the business results and the position of the Group in such a way that it provides a true and fair view, as well as describing the material opportunities and risks of the Group’s anticipated development in the remainder of the financial year.” Ismaning August 25, 2008 EM.Sport Media AG The Management Board Werner E. Klatten, Chairman Rainer Hüther, Member Antonio Arrigoni, Member

Interim Financial Report – Review Report

Review Report To EM.Sport Media AG, Ismaning We have reviewed the condensed consolidated interim financial statements – comprising the condensed balance sheet, condensed income statement, condensed cash flow statement, condensed statement of changes in equity and selected explanatory notes – and the interim group management report of EM.Sport Media AG, Ismaning for the period from January 1 to June 30, 2008 which are part of the half-year financial report pursuant to § (Article) 37w WpHG ("Wertpapierhandelsgesetz": German Securities Trading Act). The preparation of the condensed consolidated interim financial statements in accordance with the IFRS applicable to interim financial reporting as adopted by the EU and of the interim group management report in accordance with the provisions of the German Securities Trading Act applicable to interim group management reports is the responsibility of the parent Company's Board of Managing Directors. Our responsibility is to issue a review report on the condensed consolidated interim financial statements and on the interim group management report based on our review. We conducted our review of the condensed consolidated interim financial statements and the interim group management report in accordance with German generally accepted standards for the review of financial statements promulgated by the Institut der Wirtschaftsprüfer (Institute of Public Auditors in Germany) (IDW). Those standards require that we plan and perform the review so that we can preclude through critical evaluation, with moderate assurance, that the condensed consolidated interim financial statements have not been prepared, in all material respects, in accordance with the IFRS applicable to interim financial reporting as adopted by the EU and that the interim group management report has not been prepared, in all material respects, in accordance with the provisions of the German Securities Trading Act applicable to interim group management reports. A review is limited primarily to inquiries of company personnel and analytical procedures and therefore does not provide the assurance attainable in a financial statement audit. Since, in accordance with our engagement, we have not performed a financial statement audit, we cannot express an audit opinion. Based on our review, no matters have come to our attention that cause us to presume that the condensed consolidated interim financial statements have not been prepared, in all material respects, in accordance with the IFRS applicable to interim financial reporting as adopted by the EU nor that the interim group management report has not been prepared, in all material respects, in accordance with the provisions of the German Securities Trading Act applicable to interim group management reports. Munich, August 25, 2008 PricewaterhouseCoopers Aktiengesellschaft Wirtschaftsprüfungsgesellschaft

Franz Wagner Wirtschaftsprüfer (German Public Auditor)

Andreas Fell Wirtschaftsprüfer (German Public Auditor)

41

Finance Calendar 2008 March 31, 2008

Annual Report 2007 / Annual Press Conference

May 29, 2008

Report for the first quarter of 2008

July 9, 2008

Annual General Meeting (AGM) for 2007 business year

August 26, 2008

Interim Financial Report 2008

November 19, 2008

Report for the third quarter of 2008

Note: Analysts conference calls will usually be held on the release day of the annual report, the interim financial report and the quarterly reports respectively.

Imprint Published by EM.Sport Media AG Münchener Straße 101g, D-85737 Ismaning Phone +49 (0) 89 99 500-0, Fax +49 (0) 89 99 500-111 E-Mail [email protected], www.emsportmedia.ag, HRB 148 760 AG Munich Edited by EM.Sport Media AG Kommunikation/Investor Relations Frank Elsner Kommunikation für Unternehmen GmbH, Westerkappeln Designed by CREATION CLUB (CC) GmbH

EM.SPORT MEDIA AG Münchener Straße 101g 85737 Ismaning, Germany Tel. +49 (0) 89 99 500-0 Fax +49 (0) 89 99 500-111 HRB 148 760 AG Munich [email protected] www.emsportmedia.ag