9M 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 +39 02 25845508 federica.demedici@rcs.it

Fabio Pavan +39 02 25844432 fabio.pavan@rcs.it

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2006 Nine Months Results - Agenda

Who we are

RCS Activities 2006

Financial Results

Details by Business Unit

4

RCS MediaGroup - Who we are

The Leading Italian Publishing GroupThe Leading Italian Publishing Group

NEWSPAPERS

MAGAZINES

BOOKS

BROADCAST

ADVERTISING

INTERNET/TV

Traditional Press Free Press

10 weekly and 20 monthly

Fiction and non fiction / Educational

Fiction and non fictionPartworks

National Radio Syndication Press Agency

Adv house Outdoor adv Adv on foreign mediaIGPIGPDECAUXDECAUX

MEDIA SECTOR COUNTRY

Web sites DTT TV licenceTV content prod.

TITLES / PRODUCTS

DISTRIBUTION

(JV)

(JV)

Digital Radio

Online & Mobile entert.

Fiction and non fiction / Educational

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GrupoGrupo UnedisaUnedisa

100% 100% 99,99% 98,99% 100%

45,0%

96,1%

Group Structure

100%100% 51,0%

34,5%

IGPIGPDECAUXDECAUX

(1) Joint-venture RCS (34,5%). JCDecaux (32,3%). Publitransport (33,2%)

(2) Joint-venture RCS (45%). De Agostini (45%). Hachette (10%)

(1)

(2)

Starting from 2004 FY the JVs areconsolidated with Equity method

44,24%

100%

100%

100%

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Who we are

RCS Activities 2006

Financial Results

Details by Business Unit

2006 Nine Months Results - Agenda

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Startup of full colour project (Nov 06)

JV with Game Media Network (owned by )

for online gaming (Nov 06)

Launch new free press (Oct 06)

Launch , e-commerce website (Sep 06)

Launch Casa Corriere.it, design&home furnishing

website (Sep 06)

RCS Activity up to November 2006

Relaunch SieteSiete LeguasLeguas (April 06)

Startup of RCS in Portuguese market through

A A EsferaEsfera dos dos LivrosLivros (March 06)

ItalyItaly SpainSpainNewspapersNewspapers

MARCH 06MARCH 06

MAY 06MAY 06

Travel Magazine

OCT 06OCT 06

SEP 06SEP 06

SEP 06SEP 06NOV 06NOV 06

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Launch of MM, biannual fashion magazine (July 06)

Launch of CorriereCorriere EnigmisticaEnigmistica, crossword puzzle magazine (July 06)

Launch of AA, former Anna Anna (May 06)

RCS Activity up to November 2006

MagazinesMagazines

PEOPLEPEOPLE

HEALTHHEALTH

REALREALESTATEESTATE

LIFELIFE--STYLESTYLE

FAMILYFAMILY WOMENWOMENGOSSIPGOSSIP

MENMEN

SCIENCESCIENCE

WOMENWOMEN

MENMENCROSSWORDCROSSWORD

PUZZLEPUZZLE

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RCS Activity up to November 2006

BroadcastBroadcast

MAIN SPORT TEAM MAIN SPORT TEAM SPONSORSPONSOR

RADIO RADIO IN ITALY IN ITALY

WITH VOIPWITH VOIP

11°°

Web RadioWeb Radio

CommunityCommunity

WIRELESS WIRELESS

BLOGBLOG

Geographical coverage increase to 90%, thanks to the

acquisitions of new frequencies

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Dada – Strategic Investment

SELF PROVISIONINGSELF PROVISIONING

BUSINESSBUSINESSCONSUMERCONSUMER

BUSINESS DESCRIPTIONBUSINESS DESCRIPTION

Dating on

Community on

Entertainment on

Listed Company,

RCS stake 44,24%

Interactive Marketing

Business & Technology

DADA DADA RecentRecent AcquisitionsAcquisitions

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Digicast – Strategic Investment

SAILING CHANNELSAILING CHANNEL

PLANETPLANET

JIMMYJIMMYScience fiction, music and sit com

Nature ReportageArt & Culture

ResultsResults 20052005

Sailing life style

CACCIA e PESCACACCIA e PESCA

Revenues 27,0 €/mln

Ebitda 5,3 €/mln

Ebit 5,0 €/mln

RCS stake 51%

*

* Subject to autorization by Italian Antitrust and Communication Autorities

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RCS MobileRCS Mobile RCS Mobile is a new subscription

offer in Mobile Information & Entertainment

First example of cooperation between

DADADADA and RCSRCS

RCS MobileRCS Mobile is a weekly subscription

based service (3 3 €€ per per weekweek), taylored by

the costumer, that provides a

range of downloadable contents from

RCS titles

As a subscriber to RCS MobileRCS Mobile

you can choose from a selection of

Information (Corriere, Gazzetta, Corriere, Gazzetta,

Max, Astra, Novella 2000Max, Astra, Novella 2000) and

entertainment services

(wallwall paperpaper, , ringtonesringtones, , gamesgames)

www.rcsmobile.it

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Acquisition of (November 06)

Increase stake in from 24% to 48% (November 06)

Acquisition of (October 06)

Acquisition of and (August 06)

Increase stake in from 50% to 100% (February 06)

RCS Activity up to November 2006

M&AM&A

AUG 06AUG 06

FEB 06FEB 06

NOV 06NOV 06

OCT 06OCT 06

*

* Subject to autorization by Italian Antitrust and Communication Autorities

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2006 Nine Months Results - Agenda

Who we are

RCS Activities 2006

Financial Results

Details by Business Unit

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2006 Nine Months Results - Summary

Total Revenues 1.708,7 100% 1.566,2 100% 9,1% 2.191,0 100%

EBITDA 158,2 9,3% 168,7 10,8% -6,2% 262,9 12,0%

EBIT 118,1 6,9% 140,5 9,0% -15,9% 217,2 9,9%

Net Profit 124,7 7,3% 179,6 11,5% -30,6% 219,3 10,0%

NFP (62,5) (7,9) (47,7)

FY 20059M06 9M05 Δ%

Million Euro

(1) Includes 80,1 €/mln Dada revenues(2) Includes 10,3 €/mln Dada Ebitda, 6,8 €/mln contribution for paper purchase cost, 11,7 €/mln one-off idemnity costs for

management changes(3) Includes 13,9 €/mln contribution for paper purchase cost(4) Includes 20,5 €/mln contribution for paper purchase cost

(1)

(2) (3) (4)

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Profit & Loss

9M06 9M05 Δ % FY 2005

Circulation 1.011,0 59,2% 1.011,1 64,6% 0,0% 1.373,5 62,7%Advertising 554,6 32,5% 500,5 32,0% 10,8% 722,4 33,0%Other 143,1 8,4% 54,6 3,5% > 100% 95,2 4,3%TOTAL REVENUES 1.708,7 100,0% 1.566,2 100,0% 9,1% 2.191,0 100,0%

Cost of goods sold (1.223,5) (71,6%) (1.104,5) (70,5%) 10,8% (1.510,6) (68,9%)Labour costs (313,8) (18,4%) (282,3) (18,0%) 11,2% (399,4) (18,2%)Writedowns (11,2) (0,7%) (9,2) (0,6%) 21,7% (14,0) (0,6%)Provisions (2,0) (0,1%) (1,5) (0,1%) > 100% (4,2) (0,2%)EBITDA 158,2 9,3% 168,7 10,8% (6,2%) 262,8 12,0%D&A (40,1) (2,3%) (28,2) (1,8%) 42,2% (45,7) (2,1%)EBIT 118,1 6,9% 140,5 9,0% (15,9%) 217,1 9,9%

Net financial incomes (charges) 5,5 0,3% (1,2) (0,1%) > 100% 2,2 0,1%Income (charges) from adj. to value of financial assets 41,8 2,4% 76,6 4,9% ns 72,4 3,3%Income (charges) from equity investments (2,1) (0,1%) 1,5 0,1% ns 0,6 0,0%PRE-TAX PROFIT 163,3 9,6% 217,4 13,9% (24,9%) 292,3 13,3%Taxes (29,9) (1,7%) (35,0) (2,2%) (14,6%) (62,4) (2,8%)Minorities (8,7) (0,5%) (2,8) (0,2%) ns (10,7) (0,5%)NET PROFIT 124,7 7,3% 179,6 11,5% (30,6%) 219,2 10,0%

Million Euro

(1)

(2) (3) (4)

(1) Includes 80,1 €/mln Dada revenues(2) Includes 10,3 €/mln Dada Ebitda, 6,8 €/mln contribution for paper purchase cost, 11,7 €/mln one-off idemnity costs for

management changes(3) Includes 13,9 €/mln contribution for paper purchase cost(4) Includes 20,5 €/mln contribution for paper purchase cost

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Revenues & EBITDA Breakdown by BU

9M06 9M05 FY 2005Revenues EBITDA ROS% Revenues EBITDA ROS% Revenues EBITDA ROS%

Newspapers Italy 546,5 94,4 17,3% 536,5 101,9 19,0% 725,4 134,9 18,6%Newspapers Spain 235,8 31,4 13,3% 220,7 32,7 14,8% 311,5 55,0 17,7%

Magazines 240,4 9,6 4,0% 200,4 9,7 4,8% 293,5 25,8 8,8%

Broadcast 19,4 (5,5) ns 18,6 (1,1) ns 24,7 (4,9) ns

Advertising 424,8 4,9 1,2% 390,9 4,5 1,2% 565,5 5,6 1,0%

Books 509,8 29,0 5,7% 508,3 30,0 5,9% 708,6 63,0 8,9%

Dada 80,1 10,3 12,9% 17,1 1,6 9,4%

Corporate Activities 44,2 (15,9) ns 42,4 (9,0) ns (17,9) ns

Others and eliminations (392,3) 0,0 ns (351,6) 0,0 ns (455,3) (0,2) nsTOTAL RCS 1.708,7 158,2 9,3% 1.566,2 168,7 10,8% 2.191,0 262,9 12,0%

Million Euro

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Main Joint-Ventures

Revenues

EBITDA

341,1

4,6

131,3

9M06

266,8

11,1

122,8

3,6

9M05 9M06 9M05

4,2

Million Euro, legal entities data, 100%

JV (RCS 34,5% - JCDecaux 32,3% - Publitransport 33,2%)JV (RCS 45% - DeA 45% - Hachette 10%)

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Cash Flow Statement

Net Financial Position 31/12/2005 (47,7)EBIT 118,1 D&A 40,1 Taxes (29,9) Δ NWC (57,8) Δ Funds (15,5) Free Cash Flow 55,0 CAPEX (63,3) Cash Flow (including CAPEX) (8,3) Dividends (82,3) Cashed-in dividends 13,3 Equity investments (20,9) Equity disposals 78,1 Other 5,3 Cash Flow (14,8)

Net Financial Position 30/09/2006 (62,5)

Million Euro

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31.12.2005

Net fixed assets 1.215,5 100% 1.247,2 106%

Tangible & Intangible fixed assets 831,5 68% 808,4 69%

Financial fixed assets 384,0 32% 438,8 37%

Net working capital 249,7 21% 191,9 16%

Reserve for risks and charges (142,5) (12%) (155,4) (13%)

Employee termination indemnity (106,5) (9%) (109,0) (9%)

CAPITAL EMPLOYED 1.216,2 100% 1.174,6 100%

Net financial debt 62,5 5% 47,7 4%

Equity 1.153,6 95% 1.126,9 96%

EQUITY & NFD 1.216,2 100% 1.174,6 100%

30.09.2006

Balance SheetMillion Euro

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2006 Nine Months Results - Agenda

Who we are

RCS Activities 2006

Financial Results

Details by Business Unit

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YoY

Circulation 180,9 33% 169,9 32% 6,5% 226,2 31%Advertising 221,8 41% 207,7 39% 6,8% 295,6 41%Add-ons 126,2 23% 146,7 27% (14,0%) 191,4 26%Other 17,6 3% 12,2 2% 44,3% 12,2 2%

TOTAL REVENUES 546,5 100% 536,5 100% 1,9% 725,4 100%

EBITDA 94,4 17,3% 101,9 19,0% (7,4%) 134,9 18,6%

9M06 9M05 FY 2005

Newspapers Italy – P&L

Circ. 671.000 avg. daily copies

Read. 2.941.000 per day

Circ. 395.000 avg. daily copies

Read. 3.674.000 per day ADS, Audipress and Eurisko

Million Euro

Circ. 600.000 avg. daily copies

Read. 1.278.000 per day

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YoY

Circulation 79,3 34% 73,2 33% 8,3% 99,3 32%Advertising 99,1 42% 85,9 39% 15,4% 123,4 40%Add-ons 41,1 17% 49,4 22% (16,8%) 70,1 23%Other 16,3 7% 12,2 6% 33,6% 18,7 6%

TOTAL REVENUES 235,8 100% 220,7 100% 6,8% 311,5 100%

EBITDA 31,4 13,3% 32,7 14,8% (4,0%) 55,0 17,7%

9M06 9M05 FY 2005

Circ. 327.000 avg. daily copiesRead. 1.314.000 per day

Unedisa - P&L

OJD, Infoadex

Million Euro

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YoY

Circulation 106,8 44% 93,3 47% 14,5% 126,6 43%Advertising 111,8 47% 94,0 47% 18,9% 145,5 50%Other 21,8 9% 13,1 7% 66,4% 21,4 7%

TOTAL REVENUES 240,4 100% 200,4 100% 20,0% 293,5 100%

EBITDA 9,6 4,0% 9,7 4,8% (1,0%) 25,8 8,8%

9M06 9M05 FY 2005

Magazines - P&L

(100%)

10 10 weeklyweekly magazinesmagazines20 20 monthlymonthly magazinesmagazines

(100%)

Million Euro

(100%) (100%)

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YoY

Adv. House 392,5 92% 361,5 92% 8,6% 523,7 93%

International Adv. 32,3 8% 29,4 8% 9,9% 41,8 7%

TOTAL REVENUES 424,8 100% 390,9 100% 8,7% 565,5 100%

EBITDA 4,9 1,2% 4,5 1,2% 8,9% 5,6 1,0%

9M06 9M05 FY 2005

Advertising - P&L

(51%)

Million Euro

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YoY

Fiction & non-Fic. Italy 95,8 19% 93,0 18% 3,0% 135,8 19%Education 79,5 16% 77,0 15% 3,2% 94,6 13%Flammarion 150,3 29% 151,2 30% (0,6%) 227,4 32%Partworks 169,6 33% 175,8 35% (3,5%) 230,9 33%Rizzoli Int. Publications 13,9 3% 10,6 2% 31,1% 18,3 3%Other 0,7 0% 0,7 0% ns 1,6 0%

TOTAL REVENUES 509,8 100% 508,3 100% 0,3% 708,6 100%

EBITDA 29,0 5,7% 30,0 5,9% (3,3%) 63,0 8,9%

9M06 9M05 FY 2005

Books - P&L

Million Euro

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YoY

Advertising 14,4 74% 15,5 83% (7,1%) 20,1 81%

Broadcasting 1 4,9 25% 3,0 16% 63,3% 4,5 18%Others 0,1 1% 0,1 1% ns 0,1 ns

TOTAL REVENUES 19,4 100% 18,6 100% 4,3% 24,7 100%

EBITDA (5,5) (1,1) ns (4,9)

9M06 9M05 FY 2005

Broadcast - P&L

RIN RIN DigitalDigital RadioRadio SyndicationSyndication of of LocalLocal RadioRadio Press Press AgencyAgency

1 Includes AGR press services

Million Euro

Play RadioPlay Radio

9M 2006 Results