Poland's 'n' DTH platform client base exceeds 600,000 at year-end 2008

Tuesday, January 6th, 2009

By year end 2008 Poland’s most modern DTH platform n has reached a client base exceeding 600,000 having recently recorded the 500,000th n box subscriber and counting over 92,000 activated “telewizja na karte” clients

LUXEMBOURG — ITI Holdings S.A. (“ITI Group”), the leading Polish media and entertainment group, is pleased to announce 2008 results of n, Poland’s next generation television.

Launched on 12 October 2006, our DTH platform n continues its dynamic development and in just 27 months n gained over 500,000 n box subscribers and over 92,000 “telewizja na karte” clients, its novel service launched in October 2008. During 2008 n more than doubled its client base, growing from 272,000 at the end of 2007 to over 600,000 by the end of 2008. n has seen a continuous increase in demand for the black n box, one of the most advanced set-top boxes worldwide. n black set-top box subscribers enjoy the widest range of services and features, including among other PVR (personal video recorder), VoD (video on demand), ability to interact with other subscribers, internet services, radio and many more. A record high ARPU (average revenue per user) of PLN 60 per n subscriber reflects n’s competitive advantage and ability to combine prime content with state of the art customer features in an easy to use manner.

Maciej Sojka, n’s CEO states: “When we launched our platform two years ago, competitors, some of research and part of the financial community questioned the need for a third Polish DTH platform, discarding our ambitions to succeed in a competitive market. I am proud to state that my team has overcome all challenges it faced in these years and today we count over 500,000 n box subscribers and over 92,000 active “telewizja na karte” clients. All our n box subscribers chose to sign-up with Poland’s most innovative and advanced DTH platform offering the best content choice.”

n’s success is based not only on operational performance but also on its business development strategy to constantly create innovative products and services. New unique services launched in 2008 include remote programming of the n box through the internet or mobile phone, an online customer care center and other novel services. n cooperates closely with www.onet.pl in the development of internet based products and applications for the DTH platform.

In addition to new services, n constantly enriches its program offering to address broader target groups. In 2008, n further invested in its program lineup by launching the HBO package, the Filmbox Family channel, a compelling kids selection as well as additional HD channels. The two extra HD channels extend the total number of available HD channels to nine which is the highest number of HD channels offered by any Polish DTH platform. n is the only platform in Poland offering the entire TVN family of channels with TVN being available in HD quality. It is estimated that around 80% of Poland’s HD households are subscribers of n.

The pre-paid offer “telewizja na karte” launched in October 2008 delivered a record result by selling over 140,000 pre-paid cards and boxes with over 92,000 clients activating their pre-paid card. “telewizja na karte” represents a low cost entry to DTH giving free access to satellite television while at the same time offering the entire TVN thematic channel family to a new client group not yet reached.

Jan Wejchert, Executive Chairman ITI Group, states: “ITI Group has successfully built from scratch the TVN Group. The TVN Group has within the eleven years since its launch established itself as the market leader in television broadcasting and online in Poland. TVN has recently been named Poland’s Number One Brand out of all national and international brands, a recognition and confirmation of our strategy: to invest in the best people, to develop the best offer for our customers while at the same time maintaining a continuous competitive advantage. We have never been afraid to take up the challenge to create something new and attractive. I am very happy to see that our strategy in respect to our n platform is paying off. The results speak for itself. The ITI Group will continue to roll out new attractive products for its clients and we will focus on most modern technology within today’s and tomorrows convergence of technology and content.”