Starz - Liberty Media Investors Day 2012 Presentation

7/27/2019 Starz - Liberty Media Investors Day 2012 Presentation

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Mission Statement

TO BE ALEADING GLOBALENTERTAINMENT BRAND

POWERFUL AND IMMERSIVEEXPERIENCES

PROVIDING


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Business Overview

17NETWORKS


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Business Overview

55MILLION

Subscribers

Combined Starz subscribers of 20.7 million and Encore subscribers of 34.2 million subscribers as of June 30, 2012 - source: Starz, LLC second quarter 2012 financial results


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Business Overview

1.1MILLION

Viewers

Average nearly 1.1 million viewers at any given time acro ss the STARZ/ENCORE linear channels most in premium category source: Nielsen Jan Jun

2012 Live + 7 P2+ Average Audience Time Period Projections. Subject to further qualifications available upon request


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Business Overview

50HOURS

Our plan is to air 50 hours of original programming by 2015


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Business Overview

1,000MONTHPer

Starz airs more than 1,000 movies and originals series every month across its pay TV channels source: Starz, LLC


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Business Overview

150COUNTRIES

Spartacus licensed to broadcasters in more than 150 countries worldwide Source: Starz, LLC


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Business Overview

12MILLION

'9'V

Starz Distribution/Anchor Bay Entertainment sold more than 12 million DVDS July 2011-June 2012 source: Foresight Point-of-Sale Data


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8 premium channels

Encore, Encore Action and Encore Drama offered in HD First-run movies and classic contemporary movies, mini-series

and Originals

34.2 million subscribers as of June 30, 2012

Flagship network with 6 premium channels

All 6 channels offered in HD

First run output + library films

Growing line-up of original programming

20.7 million subscribers as of June 30, 2012

3 premium channels

Indieplexand Retroplexoffered in HD

Variety of library content, art house, independent films and

classic movies

1. Movieplex subscribers are not included with Starz and Encore in subscriber totals

Positioned for Success: Compelling Value to Subscribers & Distributors


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Positioned for Success

Long-term theatrical content supply


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Strong growth strategy for original series and robust development pipeline


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Long-term relationships with distributors


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248

158

105

80

0

50

100

150

200

250

300

350

400

Average Daily Viewership YTD through June 2012

CINEMAX SHOWTIME

Starz is #2 Most-Watched Premium Network

Source: Nielsen P2+ audience projections. Average viewers watching network at any given moment throughout day

HBO


(in thousands)


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Subscribers for Starz / Encore, HBO / Cinemax, and Showtime / TMC only as of 12/31/11; Movieplex and Flix subscribers excluded; HBO/Cinemax and Showtime/TMCrepresent SNL Kagan estimates; Note: SHO/TMC reflect promotional subscribers CAGR based on 12/31/07-12/31/11 subscribers

Attractive Competitive Position

Founded 1991 1972 1976

U.S. Networks Starz, Encore, MovieplexHBO,

CinemaxShowtime,

TMC, FlixSubscribers 52.8 39.6 42.4

-'11 CAGR 3.0% (0.7%) 7.2%

Studio Output Suppliers



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Fully integrated entertainment company

STARZ, LLC

STARZ CHANNELS STARZ DISTRIBUTION STARZ ANIMATION(FILM ROMAN)

ANCHOR BAY ENTERTAINMENT WORLDWIDE DISTRIBUTIONSTARZ DIGITAL


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TV Everywhere Launch

Starz Play


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PLAY Services Overview

Content Examples

400 Movies and Originals

Hit movies and compelling original series

you cant see anywhere else.

Spartacus: Vengeance

Magic City

Girl With The Dragon Tattoo

21 Jump Street

900 Movies, Series, Mini-series

Playing your all time favorite movies. Tangled

Bad Teacher

Zookeeper

200 Movies

Classics and genre favorites Ghostbusters

Godzilla

Billy Madison


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Financial Overview


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Financials Starz, LLC

1. 1. See Reconciling Schedule in Appendix2. Based on analyst consensus

$283

$343

$449 $450

18%21%

28% 28%

0%

10%

20%

30%

40%

50%

$0.0

$50.0

$100.0

$150.0

$200.0

$250.0

$300.0

$350.0

$400.0

$450.0

$500.0

2009 2010 2011 2012E

$1,540$1,626 $1,615 $1,628

$0.0

$200.0

$400.0

$600.0

$800.0

$1,000.0

$1,200.0

$1,400.0

$1,600.0

$1,800.0

2009 2010 2011 2012E

Adjusted OIBDA (1)

Margin($ in millions)($ in millions)

Revenue

(2) (2)


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Why Spin?

o %HWWHUWUDQVSDUHQF\RQ6WDU]RSHUDWLRQV

o Focused corporate governance and new Board of Directors

o 2SWLPL]H6WDU]FDSLWDOVWUXFWXUH

o &UHDWHDFXUUHQF\WRSXUVXH6WDU]VWUDWHJLFREMHFWLYHV


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Initiatives

o Expand original programming lineup in a cost-efficient manner

o Exploit valuable digital rights

o Renew and extend affiliation agreements with key distributors

o Continue to roll out authenticated products to all distributors on all platforms/devices

o Continue to generate profitable growth and high free cash flow conversion

o Expand investment in Starz brand


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Documents

Starz - Liberty Media Investors Day 2012 Presentation