Pay and Specialty - MTV (Canada) (formerly known as Talk TV)

Individual Pay, Pay-per-view, Video-on-demand and Specialty Services - Financial Summary 2011-2015

Table of Contents

Undertaking # Service Name Licensee Licensee Ultimate Owner Type Year
305417372 MTV (Canada) (formerly known as Talk TV) Bell Media Inc. BCE Inc. Specialty (category A service) 2015

Revenue ($)
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Residential/bulk/SMATV subscriber revenue 7,443,349 8,310,653 11.65 9,124,244 9.79 9,487,422 3.98 8,333,838 -12.16 2.9
DTH revenue 1,924,323 1,901,432 -1.19 1,857,369 -2.32 1,761,810 -5.14 1,649,250 -6.39 -3.8
Local advertising revenue 0 0 0 0 0
National advertising revenue 16,208,370 13,653,578 -15.76 12,192,391 -10.70 8,903,176 -26.98 8,401,166 -5.64 -15.2
Other revenue 560,862 289,653 -48.36 1,053,215 263.61 615,863 -41.53 319,340 -48.15 -13.1
Total Revenue 26,136,904 24,155,316 -7.58 24,227,219 0.30 20,768,271 -14.28 18,703,594 -9.94 -8.0

Expenses ($)
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Programming and Production 18,349,250 20,963,978 14.25 18,751,536 -10.55 19,571,100 4.37 14,228,556 -27.30 -6.2
Technical 441,380 600,601 36.07 841,691 40.14 921,168 9.44 812,726 -11.77 16.5
Sales and Promotion 3,115,414 1,906,031 -38.82 2,582,562 35.49 1,836,930 -28.87 1,361,360 -25.89 -18.7
Administration and General 2,419,101 1,545,467 -36.11 1,668,454 7.96 1,568,609 -5.98 1,740,119 10.93 -7.9
Total Expenses 24,325,145 25,016,077 2.84 23,844,243 -4.68 23,897,807 0.22 18,142,761 -24.08 -7.1

Performance ($)
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Operating Income 1,811,759 -860,761 382,976 -3,129,536 560,833
Depreciation 1,656,508 1,696,937 2.44 1,741,095 2.60 1,591,357 -8.60 1,220,686 -23.29 -7.4
P.B.I.T. 155,251 -2,557,698 -1,358,119 -4,720,893 -659,853
Interest Expense 522,702 1,946,113 272.32 1,811,697 -6.91 1,550,836 -14.40 1,252,118 -19.26
Adjustments - Gain (Loss) 1,200 0 -100.00 -9,542 -164,572 >999± -896,946 445.02
Pre-tax Profit -366,251 -4,503,811 -3,179,358 -6,436,301 -2,808,917

Canadian Programming Expenses ($)
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Acquisition of rights 544,705 101,147 -81.43 157,268 55.48 1,410,014 796.57 2,476,930 75.67 46.0
Script & concept 50,000 50,000 0.00 0 -100.00 0 0 -100.0
Filler Programming + Program Production 10,527,746 13,393,213 27.22 10,625,577 -20.66 8,897,941 -16.26 2,488,611 -72.03 -30.3
Investment in Programming 0 0 0 0 0
Total Canadian Programming 11,122,451 13,544,360 21.77 10,782,845 -20.39 10,307,955 -4.40 4,965,541 -51.83 -18.3
Canadian Programming/Revenue (%) 42.55 56.07 44.51 49.63 26.55

Staff
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Total Remuneration ($) 4,734,543 4,426,300 -6.51 5,254,518 18.71 3,705,127 -29.49 664,662 -82.06 -38.8
Average Staff Count 60 60 0.00 61 1.67 42.76 -29.90 15 -64.92
Avg Remuneration ($) 78,909 73,772 -6.51 86,140 16.77 86,649 0.59 44,311 -48.86 -13.4

Subscribers
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Subscribers 6,744,628 6,501,481 -3.61 6,361,023 -2.16 6,073,352 -4.52 5,799,647 -4.51 -3.7

Profitability (%)
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Operating Margin 6.9 -3.6 1.6 -15.1 3.0
P.B.I.T. Margin 0.6 -10.6 -5.6 -22.7 -3.5
Pre-tax Margin -1.4 -18.6 -13.1 -31.0 -15.0

CAGR = Compound Annual Growth Rate

DTH = Direct-to-Home

SMATV = Satellite Master Atenna Television

P.B.I.T. = Profit Before Interest and Tax

Var = Variation

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