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Translation of a report originally issued in Spanish. In the event of a discrepancy, the Spanish-language version

prevails.

ATRESMEDIA CORPORACIÓN DE MEDIOS DE COMUNICACIÓN, S.A.

DIRECTORS' REPORT FOR 2015

Business performance and situation of the Company

The backdrop against which Atresmedia Corporación de Medios de Comunicación S.A.

(Atresmedia) carried on its activities in 2015 was characterised by the consolidation of the

economic growth that had begun in 2014. Thus, according to initial forecasts released by the

Spanish National Statistics Institute, the annual increase in GDP would have been 3.2%,

compared to the 1.4% in 2014 and the significant falls of the previous three years. It should

be noted that demand in Spain and, particularly due to the impact that it has on our

businesses, household spending, have performed highly positively. Without doubt, the

improvement in the labour market with growth in total employment of 3%, made a major

contribution. Unemployment rates also performed positively, falling from 24.4% to 22.1%,

although they continue to stand at excessively high levels.

The advertising market, in line with the rest of the economy, has returned to significant

growth for the second successive year, with estimates pointing to a figure of 6.9%. Within

this market, television advertising increased by 6.4%, radio by 8.1% and Internet by 14.3%,

media in which Atresmedia has significant involvement and which constitute our primary

source of income.

As has previously been indicated, due to enforcement of the judgment of the Supreme Court

that rendered null and void a decision of the Spanish Cabinet, Atresmedia was obliged to

cease broadcasting three television channels, which had the largest audiences among all

those that had to close down.

In the first half of 2015 an agreement was entered into with the lessee of one of the

channels allocated to the licence of Gestora de Medios Audiovisuales La Sexta, S.A.,

absorbed in October 2014, obtaining use of this channel from the month of July onwards.

Accordingly, in the second half of the year it was possible to include it in our offering under

the name of Mega.

In April the Ministry of Industry called a public tender for six licences to operate six public

television channels, three of which were to be broadcast in standard quality and three in high

definition. Atresmedia submitted two tender bids in each of the categories. Ultimately, it was

the successful bidder for a high-definition channel, broadcasting on which commenced at the

end of 2015 under the name of Atreseries.

As a result of all this, the set of channels managed achieved an average audience share of

26.8%, down nine tenths on 2014. It should be noted that as a result of the changes

discussed above, Atresmedia operated an average of 4.5 channels in 2015, compared to 5 in

2014. Even so, the efforts made in the areas of finance and programming meant that

audience levels in the most competitive time slots and demographic groups (prime time and

commercial target) suffered only a slight change, i.e. 31.4% compared to 31.6%.

The Company's revenue amounted to EUR 764 million, compared to EUR 704 million euros in

2014. Other operating income increased by 26% to EUR 37 million. Including this, the

Company's total income amounted to EUR 802 million, up 9% on 2014.

Operating expenses increased by 8% to total EUR 712 million. This increase came about as a

result of the aforementioned increase in the number of channels, the strengthening of the

programming of the main channels and the increase in expenses for items directly related to

revenue. Furthermore, in 2015 certain non-recurring expenses were incurred, primarily in

relation to the early recovery of the leased channel and the expense incurred as a result of