1. Timeshifting In 2013

2. Important Note To Our Members: The following deck was developed to give you an overview of DVR users and to demonstrate the effects of Time-Shifting on television viewing. This document was not written as a full presentation – please pick and choose the slide (s) that work for your individual needs. These slides were created on a white background so they can easily be inserted into your current presentation Please view the presentation in slideshow mode as there may be animation

3. Timeshifting in 2013 Today, half of the TV homes have a DVR but penetration is starting to slow Higher income homes are more likely to have DVRs Time spent with timeshifted programming continues to grow but is still only a fraction of overall TV time Only a fraction of Cables programming gets timeshifted while practically half of Broadcasts is viewed in Playback mode. Participation Variety and Drama are the most timeshifted genres.

4. Today Practically Half Of Homes Have a DVR; With Growth Rate Starting To Slow % of U.S. TV HHs Source: Nielsen; March of each year. 47.7%

5. DVR Households Are Becoming More & More Multi-DVR Homes Source: Nielsen; Percent of DVR HH only – not total HHs. Percent Of Homes with Multiple DVRs Penetration Growth Among 2+ DVRs

6. Higher Income Homes Are More Likely To Own A DVR DVR Penetration By Income (v. YAG) Source: Nielsen, State Of Media report. 12/13 v. yag Less Than $30K 25% (+13%) $30-50K $75-100K $100K+ $50-75K 41% (+9%) 68% (+6%) 52% (+9%) 60% (+11%)

7. DVR Penetration Among African American & Hispanic Households Has Grown Substantially Source: Nielsen. March 07March 13 Hispanic9.9%38.5% African American11.9%40.6% DVR Penetration %

8. Time Spent…

9. Time Spent With Timeshifted Programming Continues To Grow But Is Still Only A Fraction Of Total TV Time Source: Nielsen, Cross Platform Report. Monthly Time Spent In Hrs:Min Per User 2+ 4Q114Q12% Diff Watching Timeshifted TV11:4412:38+8% Watching TV153:19156:24+2%

10. Across The Board, DVR Playback Accounts For A Small Portion Of Total TV Viewing Monthly Time Spent In Hrs:Min CH2-11T1217A18-24A25-34A35-49A50-64A65+ Watching TV in the home* 112:3998:26111:20136:10157:07198:23220:55 Watching Timeshifted TV (all homes) 9:257:267:4915:3815:5715:2610:28 Source: Nielsen, 4Q12 Cross Platform Report. *Includes live viewing + DVR playback.

11. DVR Playback Has Experienced Its Greatest Gains With The Older Consumers 50+ Monthly Time Spent Watching Timeshifted TV In Hrs:Min Source: Nielsen, Cross Platform Report. 4Q114Q12% Diff CH2-118:509:259% T12-176:547:2611% A18-247:557:49-1% A25-3415:0815:382% A35-4915:0015:574% A50-6414:0315:269% A65+8:3610:2823%

12. Ethnic Breakdown: Hispanics Time Spent With DVR Playback Has Grown Considerably As Well BlackHispanicAsian Watching TV in the home % Diff v YAG 215:02 +3% 131:08 +3% 99:30 +4% Watching Timeshifted TV % Diff v YAG 9:45 +10% 8:21 +16% 9:06 +12% Monthly Time Spent In Hrs:Min By Ethnicity Per User 2+ Source: Nielsen, Cross Platform Report. *Includes live viewing + DVR playback.

13. Of Those Who Time-Shift, Half Watch Commercials

14. DVR Usage…

15. On A Total Day Basis, 8 Out Of 10 Programs Are Viewed Live % Spent With Playback v. Live Minutes: Total Day P18-49 March 13 Source: Nielsen, Base=DVR HHs.

16. In Prime, More Than Three Quarters Is Viewed Live % Live v. Playback Minutes: Primetime P18-49 March 13 Source: Nielsen, Base=DVR HHs.

17. Time Spent With Live Programming Is Consistent Across The Board % Live v. Playback Minutes: Primetime March 13 Source: Nielsen, Base=DVR HHs.

18. Diving Deeper Into Programming…

19. Source: Nielsen, Base=DVR HHs.: March 13 P18-49 % Time-Shifting In Prime By Source (base=DVR hhs) Less Than A Quarter Of Cables Programming Is Time- Shifted

20. Among Both Young And Old, Only A Fraction Of Cables Programming Is Time-Shifted % Time Spent With Time-Shifted Programming in Prime Source: Nielsen, Base=DVR HHs.; % of minutes; March 13 Ad-Supp CableBroadcast A18-4924%44% A25-54 24%42% A12-1718%39% A18-2421%44% A25-3427%49% A35-4923%42% A50+17%32%

21. In Fact, Broadcasts Highest Rated Programming Tends To Be The Most Time-Shifted Top 15 Most Time-Shifted Broadcast Programs Primetime: March 2013 Base: DVR HH Source: Nielsens Npower; Prime=M-Sa 8-11p & Su 7pm. Base= DVR HHs;; Broadcast 6 A18-49 total U.S. Live+7rank (greater or equal to 2 t/c).

22. Program Type Determines the Degree Of DVR Playback

23. Participation Variety & General Dramas Tend To Be The The Most Time Shifted In Primetime A18-49 Live+7 v. Live Absolute Change By Genre In Prime (Base: DVR HHs) Source: Nielsen;3/13; primetime;

24. The Future…Enhanced TV Services

25. Enhanced TV Services Offered By Your Cable Provider: Offering A Variation On the DVR Various MSOs offer the following services in select markets. These services are free with Digital Cable: Start Over – Provides you with the power to restart and watch a program from the beginning. With Start Over, the fast-forwarding function will be turned off. Shows airing can be restarted multiple times within their normal broadcast time. For example, if a program airs from 7 to 7:30, you will be able to restart it at any time during that half hour until 7:29 and 59 seconds. And while youre watching a Start Over show, you can: REWIND the show while it's playing PAUSE it for up to 5 minutes RESUME: change the channel then come back within 5 minutes to where you left off in your Start Over program (as long as the show is still in it's original broadcast window). Note: Start Over may not be available in all areas. Look Back - Allows you to view shows that have already aired up to 3 days later! Look Back is available on select shows from participating networks