Disclaimer. For further information, please contact our Investor Relations Department. Federica De Medici

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1 YE 2006 Results

2 Disclaimer Statements contained in this document, particularly the ones regarding any RCS MediaGroup possible or assumed future performance, are or may be forward looking statements and in this respect they involve some risks and uncertainties. RCS MediaGroup actual results and developments may differ materially from the ones expressed or implied by the following statements depending on a variety of factors. Any reference to past performance of RCS MediaGroup shall not be taken as an indication of future performance. This communication does not constitute an offer or solicitation for the sale, purchase or acquisition of securities of any of the companies mentioned in any jurisdiction and is directed to professionals of the financial community. For further information, please contact our Investor Relations Department Federica De Medici federica.demedici@rcs.it Fabio Pavan fabio.pavan@rcs.it 2

3 YE 2005 Results - Agenda Market trends, RCS Activity Financial Results Details by Business Unit 3

4 Advertising Italy: 2006 Trend Advertising Gross Revenues, Million Euro 8, % 8,712 YoY growth Internet Cinema Outdoor Radio Magazines % 441 1, % 1, Newspapers 1, % 1,800 TV 4, % 4, TOTAL MARKET Source: Nielsen Media Research 4

5 Advertising Spain: 2006 Trend Advertising Gross Revenues, Million Euro 6, % 7,150 YoY growth Internet Cinema Outdoor Radio Magazines % +2.0% Newspapers 1, % 1,914 TV 2, % 3, TOTAL MARKET Source: Infoadex 5

6 Italian Newspapers Circulation: RCS vs. Market Circulation, copies/000 per day, Jan Dec YoY growth 5,500 5,000 4, % 5, ,4% , % TOTAL MARKET RCS Source: FIEG, ADS + Internal Estimates 6

7 Spain Newspapers Circulation: RCS vs. Market Circulation, copies/000 per day, Jan Dec YoY growth 2,000 1, % % 1,600 1,565 1, , ,200 1, MARKET (1) RCS (1) Includes newspapers with circulation > 100,000 copies Sources: OJD, Observatorio de Prensa Diaria 7

8 Books: RCS vs. Market TOTAL MARKET Fiction and non-fiction Italy - Sales up 1.5% - Revenues increased by 1.4% (1) - Market Share to 13.3% Education Italy - Market increased by 1.3% - Revenues increased by 5.1% - Market Share at 17.2% Flammarion France - Slight decrease -1.5% - Revenues stable, including third party distribution Partworks Italy and other countries - Italy: sales down 10.3%, in terms of volume - Total Revenues increased by 1.6%, due to good performance of foreign activities - Italian Market Share to 31.7% (1) Mkt share only on bookshop & retail channels Increase %, 2006 vs

9 RCS Activity up to March 2007 Italy Newspapers Spain Launch of Corriere di Bologna (Jan 07) Startup of full colour project (Nov 06) Launch new free press (Oct 06) Digital Launch health magazine OK Salud (Feb 07) Relaunch travel magazine Siete Leguas (Apr06) Startup of RCS in Portuguese market through A Esfera dos Livros (March 06) JV with for online gaming (Nov 06) Launch, e-commerce website (Sep 06) Launch casa.corriere.it, design&home furnishing website (Sep 06) MARCH 06 MAY 06 NOV 06 JAN 07 OCT 06 FEB 07 9

10 RCS Activity up to March 2007 Magazines Launch of Io cucino, cooking magazine (March 07) Launch of M, biannual fashion magazine (July 06) Launch of Corriere Enigmistica, crossword puzzle magazine (July 06) Launch of A, former Anna (May 06) Woman, launch May 06 Cooking, launch March 07 Men, launch July 06 Crossword, launch July 06 Health, launch May 05 Men, launch Oct 05 Real Estate, relaunch Feb 05 Science, relaunch Sept 05 Life-style style, restyle May 05 Gossip, relaunch June 05 Family, restyle May 05 Women, restyle May 05 10

11 Dada Strategic Investment Listed Company, DADA Recent Acquisitions RCS stake 43.88% * BUSINESS DESCRIPTION CONSUMER Community on Entertainment on Dating on BUSINESS Interactive Marketing Business & Technology New Activity combines the Social Networking concept with the AdSense program SELF PROVISIONING * RCS has a call option of 160,000 Dada S.p.A. ordinary shares, equal to 1% of the share capital, to be exercised by November 30,

12 Digicast Strategic Investment * Results 2005 Revenues 27.0 /mln JIMMY Ebitda 5.3 /mln Science fiction, music and sit com SAILING CHANNEL Sailing life style Ebit 5.0 /mln PLANET Art & Culture CACCIA e PESCA Nature Reportage * Agreement for the acquisition of 51% of the company, subject to autorization by Communication Autorities 12

13 RCS Activity up to March 2007 M&A Offer for the acquisition of 100% of the Spanish group FEB 07 Agreement to increase stake in from 51% to 100% Acquisition of Increase stake in from 24% to 48% DADA M&A Activity Acquisition of Acquisition of Acquisition of and NOV 06 OCT 06 AUG 06 13

14 YE 2005 Results - Agenda Market trends, RCS Activity Financial Results Details by Business Unit 14

15 (5) YE 2006 Results - Summary Million Euro Δ Δ% Total Revenues 2, % 2, % % E.B.I.T.D.A % % % E.B.I.T % % (4.2) -1.9% Net Profit % % % N.F.P. 5.7 (47.7) (5) Dividends - Ord /100 share 0.11 (3) (1) - Sav /100 share 0.13 (4) (2) (1) Includes /mln Dada revenues (2) Includes 17.1 /mln Dada revenues (3) Includes 6.8 /mln contribution for paper purchase cost; the consolidation of Dada gives a positive contribution of 14.8 /mln; 11.7 /mln one-off idemnity costs for management changes (4) Includes 20.5 /mln contribution for paper purchase cost ; 1.6 /mln Dada contribution (5) Subject to AGM approval 15

16 Profit & Loss Million Euro Δ % Circulation 1, % 1, % 0.6% Advertising % % 10.2% Other % % 112.2% TOTAL REVENUES 2, % 2, % 8.6% Cost of goods sold (1,661.1) (69.8%) (1,510.5) (68.9%) 10.0% Labour costs (420.4) (17.7%) (399.4) (18.2%) 5.3% Writedowns (12.2) (0.5%) (14.0) (0.6%) -12.9% Provisions (7.6) (0.3%) (4.2) (0.2%) 81.0% E.B.I.T.D.A % % 5.9% D&A (65.4) (2.7%) (45.7) (2.1%) 43.1% E.B.I.T % % -1.9% Income (charges) from equity investments % % 1.0% Net financial incomes (charges) % % -22.7% PRE-TAX PROFIT % % -1.4% Taxes (53.8) (2.3%) (62.4) (2.8%) -13.8% Minorities (15.1) (0.6%) (10.7) (0.5%) 41.1% NET PROFIT % % 0.1% 16

17 Revenues & EBITDA Breakdown by BU Million Euro Revenues EBITDA ROS% Revenues EBITDA ROS% Newspapers Italy % % Newspapers Spain % % Magazines % % Broadcast 26.5 (9.0) -34.0% 24.7 (4.9) -19.8% Advertising % % Books % % Dada % ns Corporate Activities 58.9 (15.5) ns 57.5 (18.1) ns Others and eliminations (560.9) (0.1) ns (512.8) ns TOTAL RCS 2, % 2, % 17

18 Main Joint-Ventures Million Euro, legal entities data, 100% JV (RCS 45% - DeA 45% - Hachette 10%) JV (RCS 34.5% - JCDecaux 32.3% - Publitransport 33.2%) Revenues EBITDA

19 Cash Flow Statement Million Euro Net Financial Position 1/01/2006 (47.7) EBIT D&A 65.4 Financial charges 1.7 Taxes (53.8) Δ NWC (41.1) Δ Funds (15.7) Free Cash Flow CAPEX (94.4) Cash Flow (including CAPEX) 75.1 Dividends (82.3) Cashed-in dividends 9.8 Equity investments (85.4) Equity disposals Other (1.6) Cash Flow 53.4 San Paolo 54 mln Banca Intesa 126 mln Net Financial Position 31/12/

20 2006 CAPEX, net capital employed and ROI Million Euro Net capital employed (1) CAPEX %=94.4 Others 15% Facilities 12% 22% Full Colour Italy % Full Colour Spain ROI (2) ICT 30% 3% Broadcast frequencies 25.6% 22.6% (1) Capital employed net of financial shareholdings (2) EBIT on capital employed net of financial shareholdings

21 Balance Sheet Million Euro Net fixed assets 1, % 1, % Tangible & Intangible fixed assets % % Financial fixed assets % % Net working capital % % Reserve for risks and charges (144.6) (12%) (159.3) (14%) Employee termination indemnity (104.1) (8%) (109.0) (9%) CAPITAL EMPLOYED 1, % 1, % Net financial debt/ (cash) (5.7) (1%) % Equity 1, % 1, % EQUITY & NFP 1, % 1, % 21

22 YE 2005 Results - Agenda Market trends, RCS Activity Financial Results Details by Business Unit 22

23 Newspapers Italy P&L Circ. 673,000 avg. daily copies Read. 2,577,000 per day Circ. 670,000 avg. daily copies Circ. 384,000 avg. daily copies Read. 1,691,000 per day Read. 3,603,000 per day ADS + Internal Estimates, Audipress Million Euro YoY Circulation % % 0.9% Advertising % % 5.2% Add-ons % % (6.6%) Other % % 61.5% TOTAL REVENUES % % 1.7% (1) (2) EBITDA % % (4.9%) (1) Includes 3.7 /mln contribution for paper purchase cost (2) Includes 13.4 /mln contribution for paper purchase cost 23

24 Unedisa - P&L Circ. 330,000 avg. daily copies Read. 1,338,000 per day OJD, Infoadex Million Euro YoY Circulation % % 11.3% Advertising % % 19.2% Add-ons % % (15.5%) Other % % 32.6% TOTAL REVENUES % % 9.7% EBITDA % % 10.7% 24

25 Magazines - P&L (100%) (100%) (100%) (100%) 8 weekly magazines 22 monthly magazines Million Euro YoY Circulation % % 7.5% Advertising % % 15.4% Other % % 40.3% TOTAL REVENUES % % 14.1% (1) (2) EBITDA % % 1.9% (1) Includes 2.1 /mln contribution for paper purchase cost (2) Includes 5.9 /mln contribution for paper purchase cost 25

26 Advertising - P&L Million Euro YoY Adv. House % % 7.4% International Adv % % 9.3% TOTAL REVENUES % % 7.5% 26

27 Books - P&L Million Euro YoY Fiction & non-fic. Italy % % 1.4% Education % % 5.1% Flammarion % % (0.2%) Partworks % % 1.6% Rizzoli International % % 19.7% Other ns TOTAL REVENUES % % 1.8% (1) (2) EBITDA % % 1.9% (1) Includes 0.9 /mln contribution for paper purchase cost (2) Includes 1.2 /mln contribution for paper purchase cost 27

28 Broadcast - P&L Play Radio RIN Digital Radio Syndication of Local Radio Press Agency Million Euro YoY Advertising % % (1.0%) Broadcasting % % 42.2% Others 0.2 1% 0.1 0% n.s. TOTAL REVENUES % % 7.3% EBITDA (9.0) n.s. (4.9) n.s. n.s. 1 Includes AGR press services 28

29 YE 2006 Results