03DNI Breaks Records with Biggest Quarter in History

05Fifth Annual Impact Day Most Global to Date

09Introducing Discovery Life Channel

A Quarterly Publication of Discovery Communications

Volume 7, Number 2, July 2014

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SHARK WEEK RETURNS AUG 10 - 16

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Discovery’s unique ability to nourish and grow audiences across the globe with must-have content continues to set the company apart, and has led to yet another successful quarter. And while I am pleased with these results and our overall operating performance, I am even more excited, looking forward, about our short- and long-term growth profile and continued financial momentum. It is a great time to be in the content business, as more consumers are accessing more content on more platforms in more countries than ever before.

Discovery is poised to exploit this evolution by following the same four operating principles we have employed since I joined the company seven years ago.

First, we continue to invest in content to solidify our nonfiction programming leadership by developing must-have programming, with compelling characters and storytelling, while owning the global

and digital rights. Over the past seven years, we have more than tripled our overall content investment and expanded viewership across our U.S. networks by 53%, now reaching over 11% of the cable audience. The growth is even more dramatic internationally, where our overall viewership has increased over 200%, including our best quarter ever this past quarter. By any measure in the media business, the critical question we must ask is: Are people spending time with your content? The answer for Discovery is a resounding: ‘Yes.’

Second, leverage our unparalleled global “beachfront real estate” distribution platform. Discovery has 2.7 billion cumulative subscribers in more than 220 countries and territories. We thoughtfully invest in new brands that identify “white space” in the market, and that have strong potential to deliver significant audiences and drive value for our ad and distribution partners and, ultimately, our shareholders. Prime examples include Investigation Discovery, OWN: Oprah Winfrey Network, Velocity and American Heroes Channel, and in January, we will roll out our latest brand, Discovery Life.

Next, is the continued growth of our international business and unrivaled global portfolio. Discovery trail-blazed into the international business 25 years ago, and today that worldwide portfolio is our key differentiator. Nothing illustrates this fact better than a key inflection point we just passed: The company now generates more than half our revenue outside the U.S. This milestone was achieved during the second

quarter as a result of the organic growth of our international business, coupled with the closing of our controlling interest in Eurosport (see page 3 for details).

Lastly, we build scale in key markets to take advantage of our first mover status in many regions to strengthen our portfolio and offerings. We are excited about the opportunities we have with Eurosport to combine the power of their brands and audience reach with Discovery’s network portfolio, local infrastructure and country-specific expertise. We view sports as a key form of factual entertainment and must-have content that complements our existing nonfiction portfolio.

As we close out a strong first half of 2014, I remain excited about Discovery’s ability to deliver strong organic financial results for the rest of the year, while investing to further exploit the opportunities across our domestic and international platforms. And looking further ahead, Discovery is uniquely positioned to deliver sustained growth and build long-term shareholder value given the brands we have built and the upside our global footprint provides.

{ A MESSAGE FROM }

David Zaslav

David Zaslav is President and Chief Executive Officer of Discovery Communications and serves on the company’s Board of Directors.

“By any measure in the media business, the critical question we must ask is: Are people spending time with your content? The answer for Discovery is a resounding: ‘Yes.’ ”

)(

Eurosport Serves Up Early Ratings Wins After Transaction ClosesOn May 30, Discovery Communications completed its acquisition of a controlling interest in Eurosport International, Europe’s leading sports entertainment provider. Discovery increased its interest in Eurosport to 51% from 20% as part of a larger strategic partnership with TF1 Group that began in December 2012.

The acquisition will create new value for Discovery shareholders for the following reasons:

Sports. Discovery's next factual genre. Long a global leader in nonfiction programming, sports is a natural step in Discovery’s evolution to bring its passionate, global audiences the most compelling, must-have nonfiction content on earth. Together, we provide our audiences the best nonfiction content.

Better together. Eurosport gains access to Discovery’s global reach, in-country sales teams, strong global brands, seasoned management team and new content opportunities on Discovery’s suite of networks. Discovery gains Eurosport’s must-have sports content, live production capabilities and pan-regional sales teams. Simply put, we are better together in offering viewers, advertisers and distributors more compelling programming and a better value proposition.

Deepening our global scale while growing sales and value. Discovery has seen strong advertising and subscriber growth across Europe, and now with Eurosport’s five pan-regional European brands, we are deepening our presence across the region. With early wins sharing content across the Eurosport-Discovery platforms (see box at left), we will look to strengthen the flagship Eurosport channel while improving the local sports available on Eurosport 2.

Second quarter continued a pattern of record viewing levels for DNI. Marking its highest-ever international reach and average audience size, DNI saw an enormous 621M viewers around the world this quarter (up 3 percent) and an impressive 2.9M average audience (up 9 percent).

It was a standout quarter for several key DNI brands with strong performance from both new and returning series. Discovery Kids saw 33 percent growth overall, fueled by huge growth in key markets including Brazil and India, while Animal Planet, Investigation Discovery and Home and Health also saw double digit growth. DNI also saw the highest-ever digital audience for its sites and huge social numbers in 2Q attracting 11M visitors (up 45 percent) and 38M fans (up 250 percent).

Discovery Networks International Breaks Records with Biggest Quarter in History

Early Discovery-Eurosport Programming Wins

French Open Final

Best-Ever Day for Discovery Max in Spain

Over 4.1 million viewers watching in Europe

Second-highest ratings for a tennis match on Eurosport

Live World Speedway

In mid-June, Quest aired the Live World Speedway, reaching 200k viewers and averaging 126K viewers — 123% higher than the slot average.

A Quarterly Publication of Discovery Communications | JULY 2014 3

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Annual Rite of Summer: Shark Week Returns

{ COVER STORY }

Discovery Channel

SHARK WEEK, television’s longest running must-see summer event, returns to Discovery Channel on Sunday, August 10, and the iconic franchise promises to be bigger and better than ever.

Building upon last year’s 11 shark-filled specials, this year’s event features a whopping 13 SHARK WEEK shows as well as a live talk show each night; yielding the most premiere hours ever featured in the event’s 27-year history.

New premieres range from GREAT WHITE MATRIX, exploring the deadly shark-infested waters of Australia, to LAIR OF THE MEGA SHARK, following famed shark experts on an expedition to New Zealand in search of a 20-foot Great White. Late-night talk show SHARK AFTER DARK will once again capture the young adult audience as returning host Josh Wolf leads viewers through an hour-long celebration of all things shark.

The SHARK WEEK excitement doesn’t stop there. All of Discovery’s top U.S. distributors also are participating in promotion around this year’s event with advanced screenings, sneak peeks, sweepstakes, social promotions and a robust video on-demand slate. Discovery Education also will bring the science of sharks to students around the world with the launch of SHARKS, an innovative content collection available year-round through Discovery Education Streaming.

Discovery Channel will once again use the week to draw attention to the importance of ocean and marine life conservation. Partnering with Ghost Fishing, a non-profit organization that collects, motivates and initiates “ghost fishing” projects that remove marine debris around the globe, as well as One World Ocean and Oceana, SHARK WEEK will ensure that viewers are giving thought to sharks and their environment.

Following SHARK WEEK 2013’s buzz-worthy performance, with 2.6 million tweets and SHARK WEEK trending on Facebook and Twitter, fin-atics will have even more opportunities to participate socially this year. SharkWeek.com is the hub for all the action, including photos, engaging videos and additional multiplatform features. The ever-popular Shark Cam also will feature more than 10 cams with incredible footage from Great White hot spots off the coasts of Cape Cod, South Africa and Australia, as well as photos, videos and other interactive elements. SHARK WEEK will be active across Facebook (Shark Week), Twitter (@SharkWeek), Instagram (SharkWeek) and the newly launched SharkWeekTV on Snapchat.

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LAST YEAR'S SHARK WEEK WINS BIG

The Discovery Channel marketing team and their 2013 Snuffy the Seal SHARK WEEK campaign was named winner of Best

Advertising Campaign for a Single Program at the Cable Faxies.

Lara Richardson, SVP of Marketing for Discovery Channel, was also honored as Marketer of the Year.

SHARK WEEK WORLD TOUR

Simulcasting in Canada for the first time (with local after show)

SHARK NIGHT premiering Aug. 21 in Mexico

Shark Month launching in France in August, in Colombia and Brazil in

September, and in Southeast Asia in November

Each year, Discovery’s Impact Day sends employees out into the communities where they live and work for a day of hands-on, community giveback. This year, nearly 4,000 Discovery employees stepped away from their desks and into their communities for the company’s fifth annual “Discover Your Impact Day.” The global volunteer initiative was bigger and more global than ever, spanning nearly 35 countries, 50 offices and more than 200 projects worldwide.

Furthering the company’s commitment to make a positive change in people’s lives both on and off the screen, Discovery employees spent the day taking part in a wide variety of projects, from feeding the homeless and revitalizing local schools, to cleaning up community parks and waterways. Network talent also lent a hand for the day. Buddy Valastro, the CAKE BOSS, and his bakery boys joined David Zaslav at Riverside Park in New York City, while Discovery Channel’s Billy Kidd worked with employees of the London office.

Government officials showed their support through social media, tweeting and retweeting about Discovery’s efforts. Chicago Mayor Rahm Emanuel also showed his support by officially declaring June 20, 2014, “Discover Your Impact Day” in Chicago.

The event was a clear representation of the collective power of the company’s passionate, global workforce, and an excellent reminder that Discovery Communications is driven by both its mission and people.

Discovery's Annual Impact Day Was Biggest and Most Global to Date

Destination America organized a spectacular party again this year for the two winning towns of its second annual RED, WHITE AND YOU contest – Prescott, Ariz., and Hamtramck, Mich. – bringing a lineup of fun including rides, fireworks and musical performances to both towns. In Hamtramck, Grammy-winning band The Wallflowers also put on a live show before a fireworks presentation.

The RED, WHITE AND YOU contest was held in partnership with USA WEEKEND, jointly awarding two deserving communities with a one-of-a-kind Fourth of July celebration. Five runner-up towns were also awarded a dazzling Independence Day celebration and $4,000 toward their local parks and recreation department, courtesy of Destination America and several of Discovery’s affiliate partners. RED, WHITE AND YOU’s first official sponsors were Ball Park® Brand and Nexium24HR. Comcast also partnered with Destination America in bringing RED, WHITE AND YOU to Hamtramck.

Destination America Celebrates Its Second Annual RED, WHITE AND YOU Fourth of July Event

A Quarterly Publication of Discovery Communications | JULY 2014 5

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DEADLIEST CATCH CONTINUES TO DOMINATE RATINGS IN 10TH SEASON

DEADLIEST CATCH’s 10th season kicked off with the highest-rated premiere in three seasons. The all-new season premiered to a 2.31 P25-54 rating with an average of 3.82

million total viewers. The season premiere of the DEADLIEST CATCH pre-show, THE BAIT, also saw strong ratings. In April, May and June 2014, premieres of DEADLIEST CATCH ranked number one in all of ad-supported cable among men 25-54 delivery.

TLC'S THE LITTLE COUPLE SHARES MILESTONE OCCASIONS WITH VIEWERS

Viewers tuned in by the millions to share the joy of Bill Klein and Jen Arnold's heartwarming renewal of vows on THE

LITTLE COUPLE and an exciting engagement on 19 KIDS AND COUNTING. The season 8 finale of 19 KIDS AND COUNTING broke ratings records and was number one among all ad-supported cable with all key women demos, P2+ and HH. The proposal episode was the highest-rated episode ever among HH (2.4), W25-54 (2.3) and P25-54 (1.5), averaging 3M P2+ viewers. Rounding out the highest season ever among HH, P2+ and all key women and adult demos, the season finale of THE LITTLE COUPLE made TLC the number-one cable network on the night with W25-54/18-49.

BIG SPLASH FOR SERIES PREMIERE, THE POOL MASTER

Animal Planet’s hit new series THE POOL MASTER pulled in strong numbers during its initial premiere among all major demos, including 1M P2+ viewers, 704K HH, 421K P25-

54, 408K P18-49, 224K M25-54, 204K M18-49 and 203K W18-49. The series opener helped Animal Planet rank fourth among all ad-supported cable networks in the timeslot among M25-54 and M18-49. The series, which features the stunning creations of natural swimming pool designer and sculptor Anthony Archer-Wills, will return in spring 2015.

ON PACE FOR BEST YEAR EVER

With strong double-digit increases, Investigation Discovery concluded the second quarter on pace for its best year ever. Garnering its best second quarter ever in prime, averaging more than 783k P2+ for the quarter and 806k P2+ for the

month of June, ID ranks number four in Total Day and number 13 in prime for W25-54 delivery among all ad-supported cable networks. The network continues to be #1 in length of tune in all of television. With the conclusion of 2Q, ID has now experienced 22 consecutive quarters of year-over-year delivery growth for P2+ in prime.

A SKYROCKETING YEAR TO DATE

Destination America has had an amazing 2014 thus far, ranking among cable’s top-five, fastest-growing networks in Total Day and Prime among key demos with P2+, P/

M25-54 and HH. With hit series MOUNTAIN MONSTERS, HILLBILLY BLOOD and BBQ PITMASTERS, the network earned its best quarter ever in Prime and Total Day in all key demos. Destination America has experienced 11 consecutive quarters of year-over-year delivery gains in Prime among P25-54.

11 CONSECUTIVE QUARTERS OF GROWTH

On the heels of surpassing 4 million “Likes” on Facebook, the network that dares to “question everything” has delivered its highest-rated second quarter ever for P2+ and P18-49 delivery in prime. This marks Science Channel’s 11th consecutive quarter

of P2+ year-over-year Prime growth and its best second quarter ever among key demos P25-54 as well as M25-54 and M18-49.

WATCH WITH THE WORLD:

RATINGSHIGHLIGHTS

RATINGS VICTORY IN 2Q

Velocity continued full throttle for ratings gains in 2Q in all persons ratings (P25-54/18-49/18-34). Success happened around the clock, with

five of seven nights showing steady or improved ratings growth for P25-54, and all non-prime Day Parts growing both P25-54 and M25-54 ratings. Programs driving success were premieres of WHEELER DEALERS, DALLAS CAR SHARKS, OVERHAULIN’ and WHAT’S IN THE BARN.

NEW BRAND: BIG DELIVERY GAINS

American Heroes Channel, which debuted on March 3, 2014, wrapped up the second quarter of 2014 by celebrating its fifth consecutive quarter of prime delivery gains among

key demos, including P2+, HH and P25-54, boosted by the premiere of the AHC FILMS documentary film CHOSIN as well as continuing premieres of the network debut series AGAINST THE ODDS. June also marked 16 consecutive months of year-over-year Total Day delivery gains among P2+ and HH, and eight consecutive months of year-over-year Prime delivery gains among P2+ and HH.

STRONGEST QUARTER IN NETWORK HISTORY

The Hub Network had its best quarter ever with Girls 2-11 in Total Day. Additionally, for 12 consecutive quarters, the Hub Network has been the top children’s network in co-viewing

percentage share. Thirty four percent of the Hub Network’s Kids 2-11 watched with an Adult 18-49, ahead of Disney Channel, Nickelodeon, Cartoon Network, Disney XD, Nicktoons, Disney Junior, Nick Jr., Sprout and TeenNick.

DOUBLE-DIGIT GROWTH IN PRIMETIME

OWN: Oprah Winfrey Network delivered double-digit growth in primetime for 2Q 2014, up 11 percent in total viewers vs. one year

ago. For the quarter, OWN was the number-one cable network on Tuesday and Wednesday nights for African-American women and the number-two network in all of television on Saturday nights for African-American women. Several of the network’s original series contributed to this growth, including THE HAVES AND THE HAVE NOTS, which ranked as the number-one original cable series on television for African-American women.

DISCOVERY LATIN AMERICA ANNOUNCES BEST QUARTER EVER

Discovery Networks Latin America/U.S. Hispanic had its highest-rated quarter

ever, up 18 percent from the previous year with huge ratings successes for Discovery Channel, Discovery Home & Health, Discovery Kids and Investigation Discovery. Highlights included 6 percent YOY pan-regional ratings increases for Discovery Channel, 43 percent multi-country prime ratings growth for Discovery Home & Health, 40 percent YOY increases among persons 25-54 for Investigation Discovery and 83 percent growth for Discovery Familia.

P indicates persons M indicates men W indicates women HH indicates households and numbers indicate ages

A Quarterly Publication of Discovery Communications | JULY 2014 7

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AIRPLANE REPO SWOOPS IN FOR SEASON 2

Discovery Channel’s AIRPLANE REPO is back and soaring to

new heights on Friday, August 22, for its second-season premiere.

This season, the daredevil pilots must up the ante as their

quests to repossess the assets of some of the wealthiest in the

nation become more dangerous and complex than ever.

A NEW BATCH OF CELEBRITIES SUMMERING AT TLC

A handful of famous faces will come to TLC for the first time

this summer and allow viewers to see into their personal lives. In

July, actress Leah Remini starred in her new reality series LEAH REMINI: IT’S ALL RELATIVE alongside her vibrant family and friends. Also in July, WHO DO YOU THINK YOU ARE? returned to dive into the personal family histories of a brand new list of celebrity contributors including Valerie Bertinelli, Jesse Tyler Ferguson, Lauren Graham, Kelsey Grammer, Rachel McAdams and Cynthia Nixon.

ANARCHY IN THE ARCTIC

The inhabitants of Canada’s Great Slave Lake live entirely according to their own standards, though their frozen utopia isn’t always what it’s cracked up to be. Airing Sunday nights at 10 PM ET/PT, Animal Planet’s ICE LAKE REBELS questions the tradeoff: Is a lawless, liberated life worth the never-ending cycle of hard work, danger and uncertainty? Or do the risks outweigh the rewards?

ID EXAMINES THE O.J. SIMPSON TRIAL 20 YEARS LATER

June 2014 marked the 20-year anniversary of the two murders for which O.J. Simpson stood trial, sparking a year-long media frenzy leading up to the trial and its controversial verdict. This summer, Investigation Discovery partnered with The Paley Center for Media in Los Angeles to host OJ: TRIAL OF THE CENTURY,

an evening featuring a screening of ID’s original documentary film of the same name. Key players from the O.J. Simpson trial including O.J.’s first criminal defense lawyer and television personality Larry King were present to talk about their experiences and how the saga impacted their lives and careers.

DESTINATION AMERICA BRINGS HOME BUYERS MOUNTAIN-TOP VIEWS

Continuing the momentum the network has seen over the last few months, Destination America celebrates life atop America’s highest peaks this fall. Sending potential homeowners on a rocky

road trip to tour three properties, the all-new series BUYING THE ROCKIES features home seekers looking to leave their lowland lodging behind and move on up to a mountain-top log cabin of their dreams.

SCIENCE CHANNEL’S THE UNEXPLAINED FILES RETURNS

Science Channel’s most-watched series of 2013, THE UNEXPLAINED FILES, returned in July for a second season of examining strange, mind-boggling phenomena that science cannot – or will not – explain. In season two, 12 all-new episodes launch viewers into another gripping exploration of the unknown by investigating more of the inexplicable, global paranormal activities that have mystified scientists and captured the human imagination for centuries.

GARAGE SQUAD TAKES CARS FROM DIY TO DONE ON VELOCITY

Hosts Lauren Bohlander and Bruno Massel are helping people nationwide finish that “toy” that’s been sitting in the garage, collecting dust and just waiting for a little love, in the all-new series GARAGE SQUAD. Premiering on August 1 at 9PM ET/PT, The GARAGE SQUAD team will search America for worthy backyard automotive restorers and help them take those cars from DIY to done.

TUNE IN:

PROGRAMMINGHIGHLIGHTS

AHC VENTURES INTO THE WILD WEST

American Heroes Channel’s (AHC) thrilling new six-part historical

docudrama series GUNSLINGERS, which began in July, reveals the

infamous tales of survival and courage from the Wild West. Each episode

unravels the true story behind one iconic character and his legendary

tale that has since become ingrained in American history and culture.

Exposing little-known facts about America’s first villains and heroes,

the six-part series features the stories of Wyatt Earp, Billy the Kid, Jesse

James, Wild Bill Hickok, John Wesley Hardin and Tom Horn.

DISCOVERY U.S. HISPANIC NETWORKS ANNOUNCES 2014-15 UPFRONT SLATE

On May 13, David Zaslav kicked off the Discovery U.S. Hispanic Networks’ Upfront event in New York, where Discovery en Español and Discovery Familia executives unveiled their 2014-15 programming slate. Under the theme “Feel Closer,” the Upfront emphasized the Ad Sales team’s strong commitment to its partners and the Hispanic community. The show was opened by the magic of EL MAGO POP’S Antonio Diaz and included the participation of key talent such as Dave Salmoni of ISLAS MORTALES CON DAVE SALMONI (Mystery of the Lost Islands), Antonio Brunet of CROMO CLANDESTINO (Chrome Underground), brothers Raúl and Rolando Mendez of TEXAS TROCAS, and the CAKE BOSS himself, Buddy Valastro.

DISCOVERY COMMUNICATIONS REVEALS THE NEXT GREAT NON-FICTION NETWORK: DISCOVERY LIFE CHANNEL

Discovery Communications announced at the Television Critics Association earlier this month that it will rename Discovery Fit & Health to Discovery Life Channel, debuting on January 15, 2015. Profiling ordinary people in extraordinary situations, Discovery Life presents an unfiltered look at real relationships – from patient and doctor to husband and wife or parent and child – while documenting people as they face hardships, take risks and ultimately, persevere. Discovery Life Channel will fuse the most successful current programming from Discovery Fit & Health’s library of health, medical and factual programming with new series that explore life’s unexpected challenges. Currently in 47 million homes, Discovery Life will target an audience of 25- to 54-year olds with an emphasis on women. It will remain under the purview of Henry Schleiff, Group President of Investigation Discovery, Destination America, American Heroes Channel and now Discovery Life Channel. Jane Latman will continue to serve as General Manager. “Broadening to Discovery Life Channel gives us a chance to make bigger, bolder programming choices while always, central to our brand mission, revealing life at its most critical turning points,” said Schleiff.

Eileen O’Neill, Group President of Discovery, Science and Velocity networks, was honored as the recipient of this year’s Rockie Award for Excellence in Business and Entertainment at the Banff World Media Festival.

The Hub Network received six Daytime Emmy® Awards, including “Outstanding Children’s Series” for R.L. STINE’S THE HAUNTING HOUR: THE SERIES for the second year in a row. This brings the Hub Network’s total Daytime Emmy® Award wins to 18 after just 3-1/2 years on air.

A Quarterly Publication of Discovery Communications | JULY 2014 9

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Rick Holzman Named General Manager, Executive Vice President of Animal Planet

Rick Holzman has been promoted to General Manager and Executive Vice President of Animal Planet. In this role, Holzman oversees strategy and all day-to-day operations for the network that’s coming off its 2013 most-watched year ever. Holzman has been with Animal Planet since November 2007, during which time he has been instrumental in the network’s rebrand and breakthrough growth, guiding Animal Planet’s programming by overseeing the network’s commissioning, acquisitions, co-productions and scheduling strategy. The best-performing series in network history – including RIVER MONSTERS, TREEHOUSE MASTERS, WHALE WARS, FINDING BIGFOOT and CALL OF THE WILDMAN – have all come to fruition during his tenure, as did MONSTER WEEK, the week-long programming event that propelled Animal Planet to rank among the top-five, ad-supported cable networks. Previously, Holzman served as Executive Vice President of Programming and Scheduling for Animal Planet and Science Channel.

Yitz Shmulewitz Named Executive Vice President, Chief Operating Officer of Eurosport

Yitz Shmulewitz has been promoted to Executive Vice President and Chief Operating Officer of Eurosport. An 11-year Discovery veteran and formerly COO & CFO for Discovery Networks Western Europe, Yitz will oversee the integration and day-to-day operations of Eurosport providing financial management and helping to set the strategic direction for the business. In addition to developing new commercial initiatives for Eurosport’s networks globally, Yitz also will lead the efforts to identify local and pan-regional growth initiatives.

Discovery, Liberty Global to Acquire Leading Production Company All3Media

Discovery Communications and Liberty Global announced an agreement in May to form a 50:50 joint venture to acquire All3Media, a leading international producer and distributor of award-winning TV programming.

All3Media, the largest independent production group in the U.K., with headquarters in London, has a strong presence in the U.S., Germany, the Netherlands and New Zealand, and has 26 creative centers in the world’s largest TV producing markets. All3Media has a diversified catalogue of more than 8,000 hours of content across numerous genres, with strong production capabilities in drama, comedy, factual and factual entertainment programming. For the fiscal year ended in August 2013, All3Media recorded revenues of approximately £505 million.

Discovery Communications and Liberty Global will preserve All3Media’s creative independence and focus on serving its global broadcasting partners. The All3Media group will continue to operate under its own name with its own executive management team, and its existing creative operating model as a standalone, independently managed entity.

For Discovery Communications, the partnership is yet another way to work with the best storytellers in the business. For nearly 30 years, Discovery has been devoted to the mission of creating compelling content for our global audiences. This venture allows Discovery to work closely with Liberty Global, a valued partner and the largest international cable company, in managing a financially strong, innovative and creatively prolific production company. Discovery is very excited to support All3Media’s talented management team as they continue their steady growth around the world.

Discovery Furthers STEM Commitment with New US2020 Partnership

In May, as a part of the fourth-annual White House Science Fair, Discovery Communications announced a new partnership with US2020, a nonprofit set out to match 1 million science, technology, engineering and mathematics (STEM) mentors with students by the year 2020. MYTHBUSTERS’ and Science Channel’s HEAD RUSH host Kari Byron attended the fair as a celebrity guest. Discovery Education also took students on a virtual field trip to the White House Science Fair as a part of the “Of the People: Live from the White House” webinar series with 1,500 sites and 44,000 students tuning in for some science inspiration. In support of the US2020 partnership, Discovery will produce and air a public service announcement featuring Kari Byron encouraging individuals to join the movement and serve as STEM mentors in their communities.

››DID YOU KNOW?Cupcakes aren’t just popular in the United States. Chief Baking Officer of Magnolia Bakery and current judge on NEXT GREAT BAKER Bobbie Lloyd knows a little something about that. The world-renowned bakery has locations in Los Angeles, Dubai, Beirut, Kuwait City and even Doha.

Animal Planet’s WHALE WARS: BLOOD AND WATER interactive episode won both a Webby Award and Webby People’s Voice Award.

Discovery Channel was the first network to use Facebook’s newly released API to visualize fan sentiment on air.

ID’s global success is criminal.

• SBS Discovery Media recently launched ID as the first crime-focused TV channel in Denmark.

• In April, Discovery Networks CEEMEA launched ID Xtra, a new network dedicated to mystery and suspense and aimed at a female audience. The network will launch with 75 operators across 15 markets within its first three months.

• Since its launch, ID’s channel share in Poland has increased 338% to make it number one in the mystery and suspense genre.

Animal Planet’s first-ever presence at the CMA Music Festival in Nashville was a huge success. Thousands of loyal viewers waited in line for hours to meet the cast from CALL OF THE WILDMAN and entered to win a VIP experience at a Florida Georgia Line concert this summer. The hit band will appear in an episode of TREEHOUSE MASTERS in August.

President of Domestic Distribution Eric Phillips was named Affiliate Sales Person of the Year by Cablefax in June.

Discovery Studios Produces First Ever Fully Spanish Language Production for Discovery En Español, TEXAS TROCAS

Discovery Studios, a full-service production studio within Discovery Communications that creates, develops and produces high-quality, innovative original series, specials and short-form content, will debut TEXAS TROCAS on Discovery en Español this fall. The series marks the first fully Spanish language program produced specifically for the network, and a completely bi-lingual production staff was brought on to successfully develop the authentic docu-soap.

TEXAS TROCAS follows Los Méndez, a Mexican-American family, that began their trucking business 40 years ago with one big rig and a dream. Heavy on personality, heart and soul, they call themselves Texas Chrome.

Discovery Education Launches New Digital Leader Corps Program Empowering Educators to Drive Their District's Digital Transition

In April, Discovery Education launched the Digital Leader Corps, a new professional development service that supports school systems as they develop teacher-leaders to serve as change agents powering their district’s digital transition. Under the DLC’s shared leadership model, Discovery Edu-

cation collaborates with school district partners to develop comprehensive professional learning plans that scale to any size learning initiative, build a culture of continuous improvement, and ultimately, create lasting, systemic change.

Several districts across the U.S., are currently working with Discovery Education to implement the DLC mode and have successfully insti-tuted shared leadership models in their schools, allowing district leaders to focus on other aspects of the digital transition to impact student achievement more quickly and efficiently.

A Quarterly Publication of Discovery Communications | JULY 2014 11

[1] Subscriber numbers as of June 30, 2014, according to The Nielsen Company in the U.S. and internal data review and external sources outside of the U.S. [2] Subscriber numbers include unbranded programming blocks in China, which are generally provided without charge to third-party channels and represented approximately 280 million cumulative subscribers as of June 30, 2014. [3] U.S. Hispanic networks are distributed to U.S. subscribers, but are operated by and included

as part of Discovery International Networks for financial reporting and management purposes.

One Discovery Place, Silver Spring, MD 20910-3354 • www.discoverycommunications.com • 240.662.2000

About Discovery Communications:

Discovery Communications (Nasdaq: DISCA, DISCB, DISCK) is the world’s #1 pay-TV programmer reaching 2.7 billion cumulative subscribers in more than 220 countries and territories. Discovery is dedicated to satisfying curiosity, engaging and entertaining viewers with high-quality content on worldwide television networks, led by Discovery Channel, TLC, Animal Planet, Investigation Discovery and Science, as well as U.S. joint venture network OWN: Oprah Winfrey Network. Discovery also controls Eurosport International, a premier sports entertainment group, including six pay-TV network brands across Europe and Asia. Discovery also is a leading provider of educational products and services to schools, including an award-winning series of K-12 digital textbooks, through Discovery Education, and a digital leader with a diversified online portfolio, including Discovery Digital Networks. For more information, please visit www.discoverycommunications.com.

2.7 billion

cumulative subscribers[1][2]

194

international HD markets

53network entertainment brands

110+

original online web series

600 hours of original online video

BY THE NUMBERS U.S. NETWORKS876 million cumulative subscribers[1]

in the United States

SubscribersDiscovery Channel .......................................... 97M

TLC ..................................................................... 96M

Animal Planet .................................................. 95M

Investigation Discovery .................................. 85M

OWN: Oprah Winfrey Network ...................... 82M

Science Channel ...............................................76M

Hub Network .................................................... 70M

American Heroes Channel ............................. 61M

Velocity .............................................................. 58M

Destination America....................................... 57M

Discovery Fit & Health ...................................46M

3net ....................................................................40M

Discovery en Español[3] .....................................7M

Discovery Familia[3] ............................................6M

EDUCATION Innovative, multimedia educational products and services serving more than half of U.S. K-12 schools• Discovery Education streaming PLUS

• Discovery Education Digital Techbook Series

• Discovery Education Professional Development

• Discovery Education Assessment

• Discovery Educator Network

More than 3.5 million teachers and 35 million students use Discovery Education’s leading broadband content

Over 80 million pieces of content delivered per year

INTERNATIONAL NETWORKS1.9 billion cumulative subscribers[1][2] in more than 220 countries and territories

SubscribersDiscovery Channel ........................................... 348M

Animal Planet ................................................... 304M

TLC .......................................................................262M

Eurosport ............................................................128M

Switchover Media .............................................. 104M

Discovery Kids .....................................................83M

DMAX ..................................................................... 79M

Investigation Discovery ..................................... 79M

Discovery Science ............................................... 78M

Eurosport 2...........................................................68M

Discovery Home & Health .................................65M

Discovery Turbo ..................................................59M

Fatafeat .................................................................55M

SBS Nordics ..........................................................29M

Quest ...................................................................... 26M

Discovery Real Time ........................................... 25M

Discovery World ................................................... 18M

Discovery Max ....................................................... 18M

Shed ........................................................................ 12M

Discovery History .................................................. 11M

Discovery HD Showcase ...................................... 11M

Eurosport Asia Pac ..............................................10M

Eurosportnews....................................................... 9M

Discovery HD World .............................................. 8M

Discovery HD Theater .......................................... 6M

Discovery Civilization ........................................... 5M

Discovery Travel & Living .................................... 4M

Discovery Historia ................................................. 2M

As Reported July 31, 2014

{ BY THE NUMBERS }w w w . D i s c o v e r y M u s i c S o u r c e . c o m