Name of presenter(s) or subtitle Russian Media Market: Trends and Forecasts Ruslan Tagiev, TNS Russia September 26-27, 2005

© 2005, TNS Gallup Media 2 Advertising expenditures in Russia ($, bln) Source: AKAR -59%+41%+65% +31% +33% - 4%

© 2005, TNS Gallup Media 3 Advertising expenditures + Forecast ($, bln) Source: AKAR -59% +41% +65% +31% +33% - 4% +21% +14% +11% +8%

© 2005, TNS Gallup Media 4 TV Press Radio Outdoor Ad expenditures media split, 2004 Source: AKAR

© 2005, TNS Gallup Media 5 Share of TV advertising ($, bln) Source: AKAR %35%32%34% 39% 42% 43% 44% 45% 47% 49% 50%

© 2005, TNS Gallup Media 6 Share of Regional TV + Forecast ($, bln) Source: AKAR % 76 % 75% 74% 72% 71% 23% 24% 25% 26% 28% 29%

© 2005, TNS Gallup Media Advertising expenditures on Press + Forecast ($, bln) Source: AKAR 44% 42% 40% 39%38%37% 34% 37% 39% 40% 42% 43% 44% 22% 21% 20% 19%

© 2005, TNS Gallup Media 8 Share of Regional Press + Forecast ($, bln) Source: AKAR 21% 22% 23%

© 2005, TNS Gallup Media 9 Top 10 Advertised Categories, SOV % (TV, Radio, Press,Outdoor, Cinema) Source: TNS Gallup AdFact cellular communication soft drinks detergents and cleansers beer dairy products hair care products cell phones chocolate products auto shows & entertainment January-June 2000 January-June 2005 New!

© 2005, TNS Gallup Media 10 Advertising increase drivers Source: TNS Gallup AdFact

© 2005, TNS Gallup Media 11 SOV, % 1Procter & Gamble7.6 2L`Oreal3.6 3Unilever3.2 4Wimm-Bill-Dann* Nestle2.7 6Henkel Group2.5 7Mars2.4 8Danone2.3 9MTS1.7 10Wrigley1.7 Top 10 Advertisers in Russia, January-June 2005 Source: TNS Gallup AdFact * Local advertisers are highlighted

© 2005, TNS Gallup Media 12 SOV, % 1Wimm-Bill-Dann MTS 1.7 3Bee Line 1.6 4Lebedyansky 1.2 5Baltika 1.1 6Nefis Cosmetics 0.9 7Kalina 0.6 8Gemini-Film 0.6 9Eldorado Multon 0.6 Top 10 Russian Advertisers, January-June 2005 Source: TNS Gallup AdFact

© 2005, TNS Gallup Media 13 SOV, % 1Mercury 2.6 2L`Oreal 2.6 3Procter & Gamble 1.7 4Samsung Electronics 1.2 5Toyota Motor Corp Volkswagen 1.2 7BeFree 1.2 8Don-Stroy 1.0 9Bee Line LG Electronics 0.7 Top 10 Advertisers in Press, January-June 2005 Source: TNS Gallup AdFact

© 2005, TNS Gallup Media 14 Increase in top 5 titles in each group, 2004 vs Source: TNS Gallup AdFact +28% +29% +34%

© 2005, TNS Gallup Media 15 Time Spent Distribution Across Media 100% = all the time spent media consumption (9 hours per day) TV: 46.6% Press: 4.7% Radio: 41% Audio records: 3.1% Books: 2.5% Video, DVD: 1.4% Internet: 0.8% Source: Marketing Index – Russia, Dec04 – Apr05

© 2005, TNS Gallup Media Time budget (Russia) Reading magazines Reading newspapers Reading books Source: Marketing Index – Russia, Dec04 – Apr05 MorningNight

© 2005, TNS Gallup Media 17 (Moscow, all titles AIR %) Total Readership Profile (Russia, all national titles AIR %) Source: National Readership Survey, March-July 2005

© 2005, TNS Gallup Media 18 (Moscow, Average Daily Reach%) Total TV Audience Profile (Russia, Average Daily Reach%) Source: Gallup TV Index, 2005

© 2005, TNS Gallup Media 19 (Moscow, Daily Newspapers AIR %) Newspapers vs. Magazines Audience Profile, Moscow (Moscow, Monthly Magazines AIR %) Source: National Readership Survey, March-July 2005

© 2005, TNS Gallup Media 20 (Russia, Daily Newspapers AIR %) Newspapers vs. Magazines Audience Profile, Russia (Russia, Monthly Magazines AIR %) Source: National Readership Survey, March-July 2005

© 2005, TNS Gallup Media 21 Womens magazines Groups of Titles with Increasing Audience (Russia) Mens magazines Source: National Readership Survey - Russia

© 2005, TNS Gallup Media 22 Daily newspapers Groups of Titles with Stable Audience (Russia) Business weeklies Source: National Readership Survey - Russia

© 2005, TNS Gallup Media 23 Computer magazines Computer and Auto Magazines (Russia) Auto magazines Source: National Readership Survey - Russia

© 2005, TNS Gallup Media 24 «Age Pyramid» - RF Census 1989 Ths. persons Age Year of Birth Birth-rate: 1 st World War Death-rate: 2 nd World War Birth-rate: famine, collectivization Birth-rate: «1 st war wave» Birth-rate: «2 nd war wave» MenWomen Source: Goscomstat RF

© 2005, TNS Gallup Media 25 «Age Pyramid» - RF Census 2002 Ths. persons Age Birth-rate: 1 st World War Death-rate: 2 nd World War Birth-rate: famine, collectivization Birth-rate: «1 st war wave» Birth-rate: «2 nd war wave» MenWomen Year of Birth Birth-rate: «3 rd war wave»; Birth-rate: Perestroyka reforms

© 2005, TNS Gallup Media 26 Summary Source: TNS Gallup AdFact Рост рекламного рынка на 36% до 2008 года Замедление темпов роста рекламного рынка Рост доли ТВ Рост аудитории глянцевых журналов, стабильная аудитория газет и безнес изданий Увеличение конкуренции со стороны новых медиа Увеличение доли бюджетов на интернет, кино, indoor Увеличение аудитории интернета – прямая конкуренция для b-t-b, рекламных и новостных изданий Изменение демографического состава

© 2005, TNS Gallup Media 27