ITN Networks

1. ITN Networks Board Meeting December 06, 2007

2. Table of Contents • Television Market Dynamics • Potential New Growth • 2007 Financial Forecast • 2007 Financial Recap • Full Year by Quarter • Acquisition / Biz Development • 2008 Financial Budget • 2008 Full Year Budget • 2008 By Qtr

3. 1) Client / Agency Demands for Accountability 2) Change Nielsen Measurement Methodology & Technology 3) Unprecedented Declines in National Program Ratings 4) Change in National Currency:Program to Commercial Ratings 5) Uncharted Political Advertising Landscape in Local Markets 6) New Daylight Savings Time: 3 Weeks Earlier-March Challenges Television Market Dynamics Period of Unprecedented Change & Increased Volatility Detailed In September 2007 Board Meeting

4. Broadcast Networks Cable Networks Syndication Year-to-Year Performance: January-July 2007 vs. 2006 September 2007 Board Meeting: Network Primetime Network Daytime Primetime Total Day Top Sitcoms A18-49 A25-54 A18-49 A25-54 A18-49 A25-54 A18-49 A25-54 A18-49 A25-54 USA TNT TBS ESPN LIF FAM SPKE MTV 0% -10% - 4% -17% - 1% - 4% -14% - 6% - 1% -12% - 4% -21% - 5% - 7% -18% -10% - 3% - 6% - 8% -13% - 4% 0% - 4% - 9% - 3% - 7% - 6% -15% - 3% - 6% - 5% - 10% Bernie Mac Friends Girlfriends My Wife & Kids Seinfeld Malcolm-Middle Will & Grace Ev - Raymond -33% -31% -32% -28% -32% -27% -26% -19% -29% -33% -25% -24% -30% -28% -28% -20% ABC CBS NBC FOX -13% -15% -18% - 6% -15% -14% -20% - 5% ABC CBS NBC - 6% -15% -19% - 3% -14% -20% Network Morning News Network Late Night A18-49 A25-54 A18-49 A25-54 ABC CBS NBC -10% - 7% -14% -10% - 7% -12% ABC CBS NBC FOX - 4% - 6% - 6% -34% - 4% - 7% - 5% -33% Network Evening News Overall Syndication: Notable Exceptions: A18-49 A25-54 Discovery: “Planet Earth”Prime+17% & +13% A18-49 A25-54 ABC CBS NBC - 8% - 7% -14% - 7% -11% -12% A&E: “Sopranos”Prime+34% & +27% -16% -16% *Excludes Sports Television Market Dynamics Period of Unprecedented Change & Increased Volatility 1) Continuing Unprecedented Declines in National Program Ratings Across All Ad-Supported Television:Unlike Previous Shifts(i.e. Broadcast to Cable) Live Program Ratings

5. New Broadcast Season: Year-to-Year Performance Sept. 24 – Oct. 28 2007 vs. 2006 Broadcast Networks Cable Networks Syndication ABC, CBS, NBC, FOX, CW, MYN All 65 Ad Supported Cable Nets 106 Returning Syndicated Shows A18-49 A25-54 A18-49 A25-54 A18-49 Network Prime: Cable Prime: -19% -18% - 3% - 7% Top Sitcoms A18-49 A25-54 -13% -15% -17% -15% -13% -16% My Wife & Kids That 70’s Show Will & Grace Bernie Mac According To Jim Malcolm/Middle Friends Ev-Raymond Seinfeld Scrubs -53% -48% -44% -35% -26% -26% -23% -19% -16% -10% -50% -49% -40% -34% -21% -30% -27% -26% -17% -16% Network News: Network All Day: Cable All Day: - 5% - 7% Television Market Dynamics Period of Unprecedented Change & Increased Volatility 1) Continuing Unprecedented Declines in National Program Ratings Across All Ad-Supported Television:Unlike Previous Shifts(i.e. Broadcast to Cable) Live Program Ratings

6. Continued Roll-Out of Nielsen’s New Active/Passive Meter Enables Measurement of Digital (versus Analog), DVR, & All Other TV Devices • January 2006: Roll-Out Began • May 2007:50% of National Sample is Equipped with A/P Meter • October. 29, 2007:10%-15% More of National Sample Was Converted • Requires Stations Equip, Comply, and Encode Properly • Nielsen Cites Technical and Station Compliance Difficulties New Local A/P PeopleMeters in Houston, Tampa, and Seattle are folded into Nielsen National PeopleMeter Sample Update: • April–August 2008: Next Significant Conversion to A/P Scheduled New Local A/P PeopleMeters in Phoenix, Minneapolis & Cleveland will be rolled out and folded into Nielsen National PeopleMeter Sample • Sept. – Dec. 2008: 100% of National Sample will be A/P Metered New Local A/P PeopleMeters in Miami & Denver will be folded into Nielsen National PeopleMeter Sample and All “Mark II” meter homes will be out. Television Market Dynamics Period of Unprecedented Change & Increased Volatility 2) Rapid Changes in Nielsen’s National PeopleMeter Sample

7. Rushed Increase of DVR Homes in National PeopleMeter Sample DVR Measurement Was Made Possible in January 2006 through new A/P Meter technology Since Jan 2006, Nielsen has had to play catch-up getting DVR Homes into it’s National Sample, expanding DVR Sample Homes much more dramatically than the actual rate of penetration. Jan ’06 – May ’06 May 2007 Oct 2007 Est. 2009 Actual U.S. HH DVR Penetration: 12% - 14% 17%+ 19.7% 40%+ Nielsen Sample HH DVR Penetration: 4% - 7% 17% 20.5% Television Market Dynamics Period of Unprecedented Change & Increased Volatility 2) Rapid Changes in Nielsen’s National PeopleMeter Sample Update: Oct. 2007: DVR Penetration = 31% of Adults 18-64 who watch on average at least 1 Hour of television each day

8. Television Market Dynamics Period of Unprecedented Change & Increased Volatility 2) Rapid Changes in Nielsen’s National PeopleMeter Sample Projection: Significant Declines in National Ratings Across All Traditional, Ad Supported Television Sources Will Likely Continue Through 2008 and 2009… Nielsen claims no significant problems exist in A/P Meter sample methodology or technology as a driving factor for declining ratings. Rather the A/P meter’s ability to include “high-tech” homes, previously omitted from Nielsen’s sample, provides a “truer measurement” of how homes today use television differently.

9. Most Significant Ongoing Challenge • Early Presidential Primaries Scheduled Jan 29 – Feb 19: Affect 16 of Top 25 Markets NY, LA, SF, WASH, ATL, DET, SEA, TAM, MINN, PHO, MIA, DEN, SAC, ORL, STL, BAL Political Spending, for the first time, is affecting ITN’s most efficient source of annual inventory, typically secured mid-December through mid-February • Gubernatorial and Senatorial Scheduled 2Q & 3Q 2008: Affect 13 of Top 25 Markets CHI, BOS, DAL, WASH, ATL, DET, HOU, SEA, MIN, DEN, STL, POR, IND Television Market Dynamics Period of Unprecedented Change & Increased Volatility Continue Chasing Ratings to Fulfill Upfront Guarantees 1) Securing Additional Broadcast Inventory: Higher CPMs & More Stations Obstacles • Political Spending: 60%+ of All Local TV Spending is in Newscasts • National Market Tightness: Driving National Advertisers Locally for GRPs

10. Most Significant Ongoing Challenge Obstacles • Denied Request for Inventory on TBS, TNT, G4, Style Consider ITN a Competitor • 4Q Entertainment Inventory on EchoStar is Not Providing Sufficient Program Control • Only 1/3rd of ITN’s News Advertisers Permit Use of National Cable News on EchoStar Television Market Dynamics Period of Unprecedented Change & Increased Volatility Continue Chasing Ratings to Fulfill Upfront Guarantees Continue Chasing Ratings to Fulfill Upfront Guarantees 2) Securing Efficient Inventory on National Cable Networks & Satellite • Currently Buying Inventory on Spike, EchoStar, DirectTV • Continue Negotiating for Inventory on Comedy Central & TV-Land • Recently Begun Dialogue for Inventory on WE and AMC

11. Most Significant Ongoing Challenges Overview: • System is a Work-In-Progress: Clumsy / Tedious / Commercial Driven – Not Client • Traffic Complications: Must Digitize Commercial & Upload It – Not Always Successful • ITN is working closely with Google staff – Input is Improving the System Television Market Dynamics Period of Unprecedented Change & Increased Volatility Continue Chasing Ratings to Fulfill Upfront Guarantees 3) Google TV: Actively Bidding Online - Accessing More EchoStar Efficiently • Successful Bids ITN Won Have Averaged 50% Lower CPMs vs. Buying EchoStar Directly • Google EchoStar: ITN is Securing Inventory on Fox News, CNN, Headline News

12. Most Significant Ongoing Challenges Television Market Dynamics Period of Unprecedented Change & Increased Volatility Continue Chasing Ratings to Fulfill Upfront Guarantees 4) Securing Efficient Inventory on Regional/Local Cable News Channels • Currently Buying Inventory: • Comcast CN8: New York, Philadelphia, Boston, Washington DC, Baltimore, Providence • New England Cable News • Northwest Cable News Obstacle None Are Successfully Monitored via Electronic Commercial Verification

13. Most Significant Ongoing Challenges Television Market Dynamics Period of Unprecedented Change & Increased Volatility Continue Chasing Ratings to Fulfill Upfront Guarantees 5) Exploring with Nielsen: Comcast Interconnects & Other Local Cable Obstacles • Interconnects Are Still Not Measurable via Nielsen National PeopleMeter Sample • Will Require Comcast Invest and Press Nielsen to Develop Functionality in Nielsen Sample • Ohio News Cable: ITN is Helping Coordinate viaNielsen Specs, Nielsen Contact, $ Commitment

14. Most Significant Ongoing Challenges Television Market Dynamics Period of Unprecedented Change & Increased Volatility Continue Chasing Ratings to Fulfill Upfront Guarantees 6) Accepting 1Q-3Q Scatter Deals at only the Highest Possible Prices Obstacle Securing Inventory for Upfront Guarantees versus Scatter

15. Buying Inventory on Five Different Metrics • Broadcast Top 13 Markets: LPM Program Ratings • Broadcast Markets Ranked 14+: NSI Diary & HH Meter Program Ratings • National Cable: National PeopleMeter “Live” Program Ratings ( some on “C3”) • Regional Cable: National PeopleMeter “Live” Program Ratings • Google EchoStar Set Top Commercial Measurement – Not Nielsen PeopleMeter Television Market Dynamics Period of Unprecedented Change & Increased Volatility 3) New National Currency: Commercial Ratings As of Fall 2007 Obstacles • Guaranteeing Delivery on a Different Metric • “C3”: National PeopleMeter Commercial Ratings

16. Average Across Broadcast Television: • Live Program Ratings versus Live Commercial Ratings -5% to -8% Net Effect on Broadcast Network Primetime: • Overall “C3” Commercial Ratings versus Live Program Ratings • Highest Rated–Highest Priced Primetime Shows: Most DVR’d +1% to +8% -1% to -3% Net Effect on ITN Entertainment: -1% to -4% Similar to Syndication 41% of ITN’s 2007-2008 Booked Ad Revenue Television Market Dynamics Period of Unprecedented Change & Increased Volatility 3) New National Currency: Commercial Ratings As of Fall 2007 Update: October 2007 • “C3” means Commercial Ratings +3 Days of DVR Viewing is Included • Across Broadcast Network Primetime, 85%~90% of Declines on Commercials is being made up with inclusion of 3 Days of DVR

17. Net Effect on ITN News Networks: -5% to -8% Zero Gains for 3 Days of DVR Net Effect on ABC/CBS/NBC News: -7% to -10% Due to Weak Pod Positions Television Market Dynamics Period of Unprecedented Change & Increased Volatility 3) New National Currency: Commercial Ratings As of Fall 2007 • 59% of ITN’s 2007-2008 Booked Ad Revenue is in Newscasts • Newscasts (and Sports) Receive Lowest Levels of DVR Recording/Viewing News Represents Only ~10% of ABC/CBS/NBC Ad Revenue FOX: ~2% Ad Revenue in Newscasts (weekend only) Syndication, CW & MYN: 0% Ad Revenue in Newscasts Result: ITN is Disproportionately More Affected By Declines on “C3” Commercial Ratings versus the Broadcast Television Industry

18. Projections: “C3” Performance gains projected on Sept.-Nov. 2007 ITN activity are based on 2nd & 3rd Quarter NPower analyses completed mid-November • Exact Gains for 3 Days of DVR May Be 0% to 6% on Individual Units of ITN’s Entertainment Networks Television Market Dynamics Period of Unprecedented Change & Increased Volatility 3) New National Currency: Commercial Ratings As of Fall 2007 • Nielsen Complications: Delays in Producing ITN’s “C3” Ratings To Date: ITN has only seen Live + Same Day DVR Viewing for September-November 2007 • Problem #1: Nielsen did not plan for ITN’s “C3” Measurement Posting Needs • ITN threatened legal action – Loeb & Loeb – Nielsen agreed to make necessary modifications • Nielsen recommended ITN utilize their “NPower” Software as a temporary solution to view “C3” • Problem #2: ITN’s Data in NPower was wrong: Nielsen cites “glitches & coding errors” • 3 times Nielsen stated it was fixed – 3 times ITN Research proved Nielsen wrong • NPower Software was only confirmed fixed by ITN in the first week of November Actual Delivery: “C3” Ratings on ITN activity from September onward is scheduled for production & delivery by Nielsen beginning mid-December.

19. 2007-2008 Season Audience Guarantees: Advertiser Specific Exact Commercial Break Ratings Exact Day – Exact Date – Exact 3 Minute Commercial Break versus Network / Syndication / Cable Average Rating of All National Commercial Breaks (M-F Average Rating in All Programs Except Prime & Sports) Challenges: • ITN’s is Statistically A Much More Volatile Measurement vs. Industry Standards • Early Returns, Higher or Lower vs. Projections, Are Not Indicative of Later Returns Television Market Dynamics Period of Unprecedented Change & Increased Volatility 3) New National Currency: Commercial Ratings As of Fall 2007 • Volatility

20. Volatility:ITN Entertainment Networks 3 Minute Commercial Ratings Exact Day / Exact Date / Exact Commercial Break Upfront Contracts: September 17 – November 11, 2007 Late Night Early Fringe Individual Unit Variation Versus Average Rating Individual Unit Variation Versus Average Rating # of Units # of Units Demo Demo Advertiser Advertiser 18 41 8 12 12 7 23 21 9 10 40 66 12 12 18 7 3 5 8 Burger King Clorox Crown Imports Dannon Darden Glaxo Hasbro Kimberly-Clark K-Mart Midas P&G Reckitt Benck. Rent-A-Center Schering-Plough S.C. Johnson Sears Subway U.S. Airforce Wrigley A18-49 W25-54 M25-34 W35-64 A18-49 W25-49 W18-49 W18-34 W25-54 A25-54 W18-49 W18-49 A25-54 W18-49 W25-54 W25-54 A18-49 A18-34 A18-34 +35% / -38% +31% / -39% +53% / -25% +79% / -51% +29% / -36% +18% / -23% +32% / -32% +37% / -53% +22% / -27% +29% / -19% +41% / -38% +85% / -61% +41% / -31% +30% / -15% +62% / -37% +37% / -22% +21% / -20% +16% / -11% +28% / -28% Kimberly-Clark Kraft P&G Schering-Plough W25-54 W25-54 W18-49 W18-49 +47% / -58% +10% /-19% +72% / -56% +22% / -15% 8 3 45 6 Fringe Combo Clorox Nestle Pfizer S.C. Johnson W25-54 W25-54 A35-64 W25-54 +51% / -55% +32% / -46% +30% / -27% +27% / -27% 25 8 3 2 African American Allstate Clorox Lowe’s Nissan Sears A25-54 W25-54 A35-54 A18-49 W25-54 +22% / -22% +30% / -25% +26% / -38% +2% / -2% +11% / -11% 2 9 17 2 3 Tween Daytime EA Sports Sony Sony Wrigley M18-34 A12-24 M12-34 A12-34 +50% / -30% +5% / -5% +8% / -8% +11% / -25% 6 4 2 4 33 6 9 9 12 4 Kellogg Liberty Medical Pfizer Schering-Plough Schering-Plough Scooter Store A18-49 A55+ W18-49 W18-49 A25-54 A55+ +59% / -43% +16% / -19% +47% / -32% +19% / -25% +26% / -26% +12% / -23% Prime Access 6 9 K-Mart Sears W25-54 W25-54 +47% / -24% +43% / -33%

21. Volatility:ITN News Networks 3 Minute Commercial Ratings Exact Day / Exact Date / Exact Commercial Break Upfront Contracts: September 17 – November 11, 2007 Noon News Early Morning # of Units Individual Unit Variation Versus Average Rating Individual Unit Variation Versus Average Rating # of Units Demo Demo Advertiser Advertiser 7 6 17 6 24 2 5 4 Bristol Myers Eli Lilly Glaxo Liberty Medical Pfizer Serenity Takeda United Health W35-64 W50+ A35-64 A55+ A25-54 W35-64 A35-64 A65+ +47% / -28% +22% / -32% +39% / -48% +25% / -16% +43% / -57% +6% / -6% +30% / -34% +6% / -4% Allergan Bristol Myers Campbell’s Conagra Dannon Farmer’s Ins. Garnier Glaxo Kellogg Kimberly-Clark Kohler Kraft Nestle Novartis Pfizer Reckitt Benck. Sara Lee Schering-Plough Sears Smuckers Smuckers US Mint Unilever Walgreens Walgreens W35-54 W35-64 W25-54 W25-54 W35-64 A25-54 W18-49 A35-64 A18-49 W18-49 A35-54 A25-54 W25-54 W25-54 A25-54 W18-49 A25-54 A25-54 W25-54 W18-49 M18-49 A35-64 W18-49 A50+ W25-54 +32% / -38% +60% / -49% +129% / -82% +38% / -52% +26% / -54% +56% / -66% +21% / -21% +102% / -41% +60% / -63% +65% / -48% +52% / -43% +31% / -28% +17% / -17% +63% / -49% +55% / -49% +136% / -73% +31% / -33% +62% / -27% +43% / -19% +43% / -32% +5% / -5% +33% / -26% +81% / -39% +19% / -33% +14% / -18% 14 9 38 38 6 8 4 13 49 11 8 11 2 11 14 104 41 13 4 11 2 9 22 14 9 Evening News 3 7 20 16 13 Bristol Myers Eli Lilly Glaxo Pfizer Schering-Plough W35-64 W50+ A35-64 A25-54 A25-54 +10% / -11% +32% / -35% +37% / -24% +26% / -27% +50% / -36% Late News • 2007-2008: • ITN Did Not Offer Commercial Ratings • Excessive Volatility (Prime Lead-In, Events, Pods) • High Unit Costs & Less Units = High Risk • Guarantees Remain 30 Minute Program Ratings

22. How Is ITN Working To Manage: • Beginning September 2007: • Eliminated Prototypical “Diagnostic” Lineups: Utilized for Over 20 Years • Access Minute-by-Minute Data in Top 13 Local People Meter Markets: 34% of U.S. • Now Producing Electronically Verified Actual Ratings for Every National Unit • EV Actual Ratings Available 1½ weeks After Airing / Re-Rated with Invoice Additions • ITN Will Develop Software To Combine NPower Data with Rotation Analyses • Work to Hold Stations Accountable for Commercial Performance • Utilizing EV Commercial Times to Analyze Rotations / Commercial Placement • Mid-December ITN will be Installing Corrected Nielsen NPower Software Challenge: ITN Will Be Alone In This Effort – Not A “Spot” Directive Television Market Dynamics Period of Unprecedented Change & Increased Volatility 3) New National Currency: Commercial Ratings As of Fall 2007 • Volatility

23. 1) Continuing Unprecedented Declines in National Program Ratings • ITN is Chasing Ratings to Fulfill Upfront Guarantees • Political Spending is Tightening Local Broadcast Markets • Obstacles to Rapid Expansion into Cable & Satellite 2) Rapid Changes in Nielsen’s National PeopleMeter Sample • In A Constant State of Motion • New A/P Meter Technology & Methodology • More DVR Homes in Sample 3) New National Currency: Commercial Ratings As of Fall 2007 • Nielsen Complications & Delays • Buying Inventory on Different Metrics than Guaranteeing • Disproportionately Greater Affect on ITN • Greater Volatility for ITN Challenges Television Market Dynamics Period of Unprecedented Change & Increased Volatility Summary

24. Explore Interests in Custom Behavioral & Lifestyle Networks “Family Time” “Moms’ Time” Beauty Enthusiasts Published in Nielsen’s N-Power Software in December ‘07 (Delayed since Oct.) • Required for “Family Time”: Co-Viewing / Same TV Set Measurement • Enables Many Other Never-Before-Seen ITN Measurements (i.e. Program Loyalty, Channel Switching) • New Behavioral & Lifestyle Networks Will Be Developed Potential New Growth 1) 1Q 2008 - 3Q 2008: Strong Scatter Market Demand for ITN • Favorable Market Dynamics: Tight National Market / High Scatter CPMs 2) New and Expanded Client Presentations: January – June 2008 • Convert 2008 Scatter Activity into 2008-2009 Upfront Commitments • Showcase New, Expanded Multi-Platform Packages • Vignettes • Consumer Interactive: ConVisual • Broadband: Online Content

25. Acquisitions/Biz Dev • TelAmerica • Dayport • ARM • Gorilla Nation • Undertone Networks • BIM • SpotBuy TV • iParenting • Broadband Enterprises • Worldlink • Traffic.com • Spot Runner • Tremor Networks • Medizine • Waterfront Media • Metro Traffic • SWMX • Google • Yahoo • Voxant • Studio One • Made bid; conversations stalled • Passed based on strategic fit • Made bid; passed based on strategic fit • Passed based on investment terms (minority interest) • Made bid; attended management meetings • Passed based on scale and strategic fit • Passed based on strategic fit • Passed based on strategic fit and scale • Have not actively pursued; valuation concerns • Made bid; negotiations stalled • Acquired • Never pursued based on strategic fit • Have not pursued • No update • No update • Haven’t identified a pursuable angle • Passed based on strategic fit • Good meetings with company • Met with company. Limited interest on their part • No update • No update

26. Undertone Networks • Undertone Networks operates a leading online display advertising network • 56 million unique monthly visitors • 350 websites • 360 million monthly impressions • Over 100 concurrent advertisers • 2007 Revenue and EBITDA projected to be $19.5 million and $3.1 million, respectively • 2008 Revenue and EBITDA forecasted to be $29.9 million and $5.9 million, respectively • Offers IAB ad units (skyscraper, leader-board, rectangle, pop under), video pre-roll, home-page/prestitial and other rich media products using a range of targeting capabilities (content and user) • JEGI is currently selling Undertone in an auction process • ITN bid placed a preliminary non-binding bid of $40 million (6.8x 2008F EBITDA) consisting of $30 million of cash at close plus $10 million of equity in the combined entity (ITN valuation TBD) • ITN was invited into the second round of bidding and attended a management presentation on 12/3/07 • Final bids due 2nd week of January

27. Financials 2007 Financial Recap • Gross revenue should finish the year at $239.6m, 32% growth over ‘06 • Booked $111.8m in ‘07 scatter, 95% growth over ‘06 • Station Margin is 20.1%, which is a decrease from 23.4% in ‘06 • Nielsen/Production expense is $4.0m, an increase of $1.7m over ’06 (due to increased sales volume and EV initiative) • SG&A is $20.3m, an increase of $1.1m over ’07 budget ($1.0m is due to the increased sales volume) • Adj. EBITDA should finish the year at $16.0m, which is flat to pro-forma ’06 (CEO comp added to ’06 to normalize) • Voluntary Senior Debt Prepayment of $4m • Amended Senior Credit Agreement with reduced covenant ratio calculations, an increase in the libor Margin of 75 pts (annual cost of $.4-$.5m/year), amendment fee of $250k

28. Full Year by Qtr

29. Financials 2008 Full Year Budget

30. Financials 2008 Budget by Qtr