Unitymedia Q3 2008 Financial Results

COLOGNE — Unitymedia, Germany’s second largest cable-based media and communications services provider, and its subsidiary arena, today announced results for the quarter ended September 30, 2008.

Unitymedia Cable Business

Our Digital TV Pay RGUs increased year over year by 101,000 from 430,000 to 531,000 as of September 30, 2008 reflecting increased take-up of our Digital TV Pay packages.

Our basic cable subscriber RGUs decreased year over year from 4,844,000 to 4,655,000 primarily due to churn from price increases for single user contracts on January 1, 2008 as well as the price increase in the multi dwelling unit segment as of July 1, 2008.

In the fourth quarter of 2008, Unitymedia launched a third Digital TV Pay package “Digital TV KINDER” alongside its existing Digital TV Plus and Digital TV Extra packages which focuses exclusively on children´s entertainment and includes 7 channels.

In the coming months Unitymedia plans to introduce a DVR to further enhance the TV viewing experience of its customers.

(in '000s unless otherwise stated)       Quarter ended Sept 30,
                                         ----------------------      YoY
                                                    2008   2007   Change
                                                   -----  -----   ------
Basic Cable Subscribers (BCS)
- Analogue                                         3,539  4,250   -16.7%
- Digital                                          1,116    593    88.1%
    Total Basic Cable                              4,655  4,844
Penetration
- BCS in % of Homes Passed                           54%    56%   -2.4pp
- Digital in % of BCS                                24%    12%   11.7pp
- Digital (w/Premiere) in % of BCS (1)               29%    N/A      N/A
New Service RGUs
- Digital TV Pay (2)                                 531    430    23.5%

(1) Includes cable based Premiere customers in NRW/Hesse not subscribing to a separate Unitymedia digital package
(2) Customers subscribing to Digital TV Pay packages, excluding BCS customers who take Digital TV Basic only

arena Business

The arenaSAT satellite subscriber base was at 221,000 subscribers at September 30, 2008

(in '000s)       Quarter ended Sept 30,
                 ----------------------
                            2008   2007
                           -----  -----
arenaSAT RGUs                221    334

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