Stockholm, 16 February 2006 – Modern Times Group MTG AB (“MTG”) (Stockholmsbörsen: MTGA, MTGB) today announced its preliminary financial results for the fourth quarter and twelve months ended 31 December 2005. The Group’s consolidated accounts have been prepared according to International Financial Reporting Standards (IFRS). FOURTH QUARTER HIGHLIGHTS - Group net sales up 27% to SEK 2,463 (1,934) million - Group operating income almost doubled to SEK 543 (272) million - Strong sales growth and margin improvement in all three broadcasting segments - Free-to-air TV Scandinavia, Pay-TV Nordic and C&E Europe - Net sales for Viasat Broadcasting businesses up 36% to SEK 2,023 (1,493) million and operating profit up 60% to SEK 546 (341) million - Net intake of 56,000 premium DTH subscribers - Net income more than doubled to SEK 370 (129) million - Basic earnings per share more than doubled to SEK 5.53 (1.95) FULL YEAR HIGHLIGHTS - Group net sales up 18% to SEK 8,012 (6,805) million - Group operating income up 90% to SEK 1,285 (677) million (excluding SEK 381 million net gain from the sale of SDI Media in 2004) - Strong sales growth and margin improvement in all three broadcasting segments - Net sales for Viasat Broadcasting businesses up 24% to SEK 6,437 (5,181) million and operating profit up 88% to SEK 1,388 (737) million - Net intake of 151,000 premium DTH subscribers - Net income up 66% to SEK 1,237 (746) million (including SEK 389 million net gain from the sale of TV4 shares in 2005, and SEK 381 million net gain from the sale of SDI Media in 2004) - Basic earnings per share up 65% to SEK 18.56 (11.23) DISTRIBUTION OF SHARES IN METRO INTERNATIONAL S.A - Proposal by Board of Directors to distribute shares of Metro International S.A. by means of a share split and mandatory redemption programme Hans-Holger Albrecht, President and CEO, commented: “2005 has been a very strong year for MTG, with each of our core broadcasting businesses delivering continued sales growth and increased operating margins. The result – a record high annual operating profit in the history of MTG. We are seeing the clear benefits of the strategic investments that we have made over the past few years to strengthen our programming schedules, network penetration, channel offering, technology and marketing, as well as to extend our footprint into high growth new markets. We have successfully built market leading positions and further broadened the range of products and services that we offer, and thereby generated a return on capital employed of 22.1% in 2005. “These investments continued in 2005 with the launch of five new Viasat channels, the introduction of the revolutionary Viasat+ offering, and the acquisition of shareholdings in the companies controlling BET24 and TV Prima, which are building blocks of further growth. “We have successfully diversified our entertainment broadcasting business into a balanced mix of exposure to the structurally changing and growing Scandinavian advertising markets, rapidly evolving own-platform and wholesale pay-TV businesses, and high growth Central & East European economies. Owning and operating these businesses, typically through a common centralized structure, gives MTG an inherent advantage that continues to enable us to deploy resources more quickly, flexibly and cost effectively than our competitors. “Given the strength of the Group’s balance sheet, the ongoing strong cash flow generation, and our strategic focus on core broadcasting operations, it is proposed that MTG distributes shares in Metro International by means of a share split and mandatory redemption share programme for MTG shareholders. Our shareholders have benefited from significant returns on our investment in Metro, which was founded within MTG and has developed into the world’s largest and fastest growing international newspaper. Further details of the proposal are included at the end of this statement and will be presented in full in advance of the Annual General Meeting. “In summary, we are well on track with our strategic objectives and we continue to review new investment opportunities in order to generate further shareholder value.”