2

3

4

2003 was a satisfying year from the standpoint ofaudience share, advertising revenues (despite a toughmarket), and all our diversification activities.

The M6 network is the heart of our operation and theengine that drives all Group activities. This past year itposted record results in France, propelling M6 to thelead for profitability in Europe.

In terms of audience share, most notable was thenetwork’s excellent performance with its targetaudience, viewers under 50 and young people.Indeed, for the third year in a row, M6 maintained itsposition as France’s second most popular network forhousewives under 50, with an 18.5% averageaudience share and nearly 20% for prime time. Weare the only French network that increased its primetime audience in 2003. The explanation is creativityand capacity for innovation, along with an investmentpush benefiting programs.

Our diversification activities made history in 2003because, for the first time, they accounted for a higherpercent of revenues than advertising. M6 Interactionsturned in a record performance. Created just over tenyears ago and responsible for a portion of thesediversified operations, it leveraged the increasinglystrong M6 brand and scored a record making its“collections” activity – DVD, VHS, video games – its toprevenue source. With respect to “publications,” it nowranks as the 4th largest publisher for sales in kiosk, withclose to 9 million copies sold last year. Also to its creditis the bold gamble it took to present the showproduction of “Gone with the Wind” which attracted350,000 spectators to Paris before going on tour to theprovinces.

Other diversified operations like the Web and HomeShopping also had a good 2003. M6 Web successfullyrefocused its program content and interactivecapabilities producing a substantial improvement inprofitability. Home Shopping, via the Home ShoppingService subsidiary, continued to expand into new marketsegments in France and the rest of Europe. At the end

M6 IMPROVEMENT EVERYWHERE Last Spring, viewers named M6 the most innovative,creative, and original television network in France. Twenty-five new programs were launched in 2003,compared with 14 in 2002. Added to that, furtherstrides were made by the line-up’s proven programs –especially the Sunday evening televised magazines.Meanwhile, the establishment of two new productionsubsidiaries strengthened M6’s independence with newlatitude to produce top-notch in-house creations. It isthus easy to understand how our own productionsaccounted for half of all top audience ratings in 2003.As we have often said, we have the winning formula tospark a virtuous chain reaction: investment inprogramming leads to growth in audience share andrevenues, which leads to network expansion and, as aresult, growth in network-focused diversificationactivities. Keeping this sequence primed remains andwill continue to remain our first priority. It explains how the network’s advertising revenuesincreased by 3.3% last year. Our advantage in thisregard is that M6 pricing, as well as our advertising fillrate, give us a better margin for growth than ourcompetitors.

5

of April 2004, the 24-hour channel transformed itselfinto “M6 boutique, la chaîne.” Finally, 2003 saw twonotable developments in digital television, an activitythat includes the specialty channels and M6’s 34%-owned TPS digital television package. First, with 1.5million subscribers in 2003, TPS produced its firstever operating profit, EUR 3 million compared with aEUR 23 million operating loss in 2002. Second, M6specialty channels recorded a substantial increase inaudience share. Special mention goes to Téva whoseaudience rating increased 24% among housewivesunder 50. All told, digital television generated 18% ofGroup revenues in 2003.

It is worth noting that Paris Première will soon be joiningthe M6 family since, after we exercised our right toacquire the company’s shares held by Suez, we nowown 100% of that attractive station. Its fine reputationand unique editorial content expand the Group’sspecialty offerings.In any case, the proof is in and it is now apparent thatTPS, France’s Nº 2 television satellite package, was not“one too many” for the digital television scene!

We’ve won the bet and thus join the inevitablecompetition which specialty channels wage with thegeneralist networks. With specialty channels’ 1%audience growth per year, they will claim close to 25%of the television audience by 2010. We therefore had tomake a place for ourselves in this competition, just aswe must gird for the competition building from newpersonal leisure outlets.

In this increasingly fragmented and consequentlycrowded entertainment universe of leisure alternatives,a generalist network like M6 and our Group still have along road to hoe, though we are blessed with the meansto succeed. As for the network itself, our strategy remains to providecomplementary and innovative programming to satisfythe wide variety of viewer interests while, at the sametime, to offer loyalty-building programs where viewerscan share their collective experience. Being sociallyresponsible by creating a bond among viewers is alsoan important factor in M6’s editorial equation. We willstrive to promote solidarity while respecting the socio-cultural diversity of French society.

The Group has the resources necessary to grow andthe financial capacity to seize every opportunity. Furtherprogress is in the works. We will consider every lever ofgrowth consistent with our culture and our capacities.None will be overlooked.

A last word, the Group recently succeeded in managingthe partial withdrawal of one of its two leadshareholders, Suez, without any effect on the factors ofits success.

Nicolas de Tavernost

Thomas Valentin, Vice Chairmanand Director of Programs

Éric d’Hotelans, Vice Chairmanand Administrative Director

Catherine Lenoble, Director of Advertising

Nicolas de Tavernost, Chairman

Jean d’Arthuys, Director of Digital Activities and Development

6

at December 31, 2003at February 4, 2004Shareholder

structure

34.21%

5%

48.39% 48.39%RTLgroupRTLgroup

RTLgroupRTLgroup

SuezSuez

SuezSuez

Public shareownershipPublic shareownership

Public shareownershipPublic shareownership

Treasury stockTreasury stock Treasury stockTreasury stock1.05% 0.91%

16.35%

45.70%

7

SupervisoryBoardAlbert Frère, Chairman Gérard Worms, Vice Chairman

Bernard ArnaultVincent de DorlodotAxel GanzJean-Charles de KeyserJean LaurentGuy de PanafieuThomas RabeRemy SautterYves-Thibault de SilguyGerhard Zeiler

The M6 Group never stopsdeveloping talent.Thanks to its fast reflexes andrigorous discipline, the M6 Grouphas become a major player in themedia world.Daily, with passion andprofessionalism, 1,047 permanentemployees contribute to this

success. The Group’s staff isyoung and dynamic; two-thirds areunder 35 and more than half arewomen (53%).Through its three areas of activity(commercial television, diversifiedoperations, and pay television), M6offers its employees a wide rangeof business specialties to develop

their talents. Opportunities are alsoprovided in Internet-related fieldsvia M6 Web; in marketing with M6Interactions; and in advertising,program buying, and productionthrough C Productions, Studio 89and W9. The Group also offersscope for personal development insuch support functions as human

resources, communications, andfinance.New talent is given trainingopportunities through a widevariety of internships andapprenticeship contracts in suchfields as finance, marketing, eventorganization, and informationsystems development.

8

9

include home shopping operatorsand distributors from Europe, the United States, Latin America,and AsiaFebruary 14: M6 adorns itself withnew fineryFebruary 21: in association with RTL4 and Yorin, HSS creates a Netherlands subsidiary

MARCH TPS concludes a film distributionagreement with Warner BrothersMarch 27: Launch of “A la recher-che de la nouvelle star,” co-produ-ced with Freemantle media

APRILApril 30: Albert Frère replacesJean Drucker as Chairman of the Board of Directors

MAYMay 5: The year’s largest audience on M6 sees the film“Indiana Jones and the lastcrusade,” 6.3 million viewersMay 7: The first installment of“Bachelor,” produced by W9.May 15: TPS signs an exclusivemedia arrangement with FrenchbasketballMay 15: M6 establishes M6 Studio, an animated filmproduction subsidiary whichproduces the full-length film,“Asterix et les Vikings”May 21: Fun TV is six years old;Série Club celebrates its 10thbirthday

JUNEM6, Fun TV, and M6 Music

combine to honor AlgeriaJune 16: Nicolas de Tavernostchosen as President of theAssociation des TélévisionsCommerciales (ACT)

JULYJuly 2: Opération Séduction burstson the scene for its 2nd season andthe promise of the eventualselection of the summer’s most seductive femaleJuly 3: M6 Interactions publishes anew bi-monthly magazine for adolescents: Hit machine girl(average circulation: 60,000copies)July 6: Guy Lagache replaces Emmanuel Chain as host of “Capital”

10

JANUARYRelease of Gangs of New York by Martin ScorseseJanuary 15: introduction of M6IntranetJanuary 23: kick-off of “J’ai décidé de maigrir,” produced by VM ProductionsJanuary 23: M6 Interactionsenters the publishing businesswith “Caméra café: la vie enentreprise”

FEBRUARYCreation of production subsidiariesW9 Productions and Studio 89ProductionsFebruary 13: Home ShoppingService (HSS) named to head the Electronic Retailing AssociationEurope, whose 516 members

AUGUSTAugust 13: Soccer match betweenVienne and Marseille broadcast at8:40 p.m.M6 Montpellier celebrates its 10th year

SEPTEMBERTwo show hosts from Belgium,Virginie Efira and Fred Courtadon,arrive at M6September 21: French PremierJean-Pierre Raffarin makes his first appearance on M6, in Zone InterditeSeptember 30: Launch of “StarsIntimes,” by JLR Productions andhosted by Stéphane RotenbergM6 Lyon is 15 years old

OCTOBER October 16: “Popstars, le duel”attracts 3.9 million viewers (recordfor the season)

NOVEMBERNovember 17: Eric d’Hotelansbecomes M6 Vice Chairman and Administrative Director

DECEMBERDecember 12: The single by theLink up (the Popstars winner) is atthe top of the French chartsDecember 16: Showing of theBBC-produced dramatizeddocumentary, “Sur la trace desDinosaures”

JANUARY 2004January 1: TV airwaves open topublication advertisements: “Bien dans ma vie,” the firstpublication to advertise on M6; on Téva, publisher Michel Lafonadvertises the book “ConfessionsRoyales” by Paul BurrelLaunch of “On a échangé nosmamans,” produced by PAFProductionsJanuary 16: M6 announces itsdecision to acquire the shares held by Suez in Paris Première.

FEBRUARY 2004February 3: Suez reduces its M6 shareholding to 5%February 10: 1st installment of the 3-part documentary “Ma vie aux urgences”

February 11: 2nd season openingof “Nouvelle Star”February 23: M6 develops a newvariation of its “grands tests”format with “Permis de conduire: le grand test,” an evening specialproduced by Starling

MARCH 2004March 15: TPS buys the televisiontransmission rights to the EnglandFootball ChampionshipMarch 29: Paris launch of ADSLby television (TPS L) by TPS andFrance Telecom

11

212

198

35.033.8

20.1

12.212.1

19.0

18.7

245

228

220

215

212

178

159

187

1998 2003

FRANCE EUROPE in 2002

Prime time:Audience rating for housewives under 50, in %

2002 / 20032002 / 2003-1.2

-1.4

- 0.1+0.7

19.7

Individual TV viewing time in minutes per day (viewers 15 years +)

Italy

UK

Spain

Germany

France

Holland

Sweden

attractions featured the likes of“Bachelor,” “A la recherche de la nouvelle star,” “J’ai décidé de . . . ,” a “Sagas” adaptation, “Les grands classements,” “Caméra café, ça va déchirer ce soir,” or new televisedmagazines such as “Stars intimes”or “Affaires de famille.” Series, great standards like “ZoneInterdite” or “Capital,” along withthe new season’s event-drivenformats also contributed to thisprogression.

12

A GREAT YEAR

2003In France, TV viewing time was atits highest in 2003, with viewers15 years and older spending onaverage 2 hours, 32 minutes a dayin front of the set. The progressionwas substantial compared withthat experienced by foreigntelevision networks.

M6, a welcome challengerFor the third year in a row, M6

Millions of Audience share Audience sharePrograms viewers 4 years and up Housewives <50Zone Interdite (+300,000) 4.1 17.9% 20.5%Capital (+200,000) 4.3 18.9% 20.9%Secrets d’actualité (+200,000) 1.9 21.5% 24.3%

Millions of Audience share Audience sharePrograms viewers 4 years and up Housewives <50Bachelor, “le gentleman célibataire” (1st season)` 3.5 27.7% 32.9%Caméra café, ça va déchirer ce soir 5.5 34.7% 46.4%Le grand classement (saturday) 4.1 38.5% 35.6%Affaires de famille 4.3 28.9% 29.1%

confirmed its status as the secondmost popular channel amonghousewives under 50, with an18.5% audience share.

M6, the only major networkwith even greater prime-timeviewingWith its constantly renewed event-driven program line-up, M6continued to attract femaleviewers; it was the only network toincrease young housewives’ prime-time viewing. These 8:50 p.m.

Source : Médiamétrie/Médiamat

M6 productions on top50% of France’s largest televisionaudiences in 2003 watchedprograms produced or co-produced by M6. There’s proof thatM6 chooses well. W9, the M6production subsidiary created inFebruary 2003, made substantialcontributions to this result.

2004Off to a promising startFirst quarter performance confirms the fine results in 2003. Over the newseason’s first thirteen weeks, the network’s audience share amongviewers 4 years and older increased to 12.7%, and rose to 19.6% amonghousewives under 50 (up 1.6 points over the 2003 level).

Audience share, Audience share, viewers 4 years + housewives <50

January / March 2003 12.3% 18.0%January / March 2004 12.7% 19.6%Variation (2004 v.s. 2003) + 0.4 + 1.6

New season of event-driven programs also show promiseIf reality-TV shows in their second season are showing slight signs offatigue, nothing of the kind can be said for the new season’s two majorproductions.Bachelor 3.7 million televiewers +200,000 v.s. 1st seasonNouvelle star 3.9 million televiewers +600,000 v.s. 1st season

Success of the M6 brandsAs revealed in the 2003 results, in-house productions have the wind intheir sails and, during the 1st quarter 2004, have added steadily more firstplace positions.

Number of viewers (millions)Capital : Destination de rêve 5.2Zone Interdite : les pompiers de l’extrême 5.0Bachelor : la dernière rose 4.6Permis de conduire, le grand test 4.5Nouvelle star: 1st episode 4.4Hits de diamant 4.4La saga des gaffes 4.3On a échangé nos mamans 4.2Ma vie aux urgences 3.9

13* Single showing per formatduring >15 minutes

*

Source : Médiamétrie/Médiamat

Sector trends2003 V.S. 2004+11%

+13%+17%

+18%

+2%

Foodstuffs Grooming/

beauty products

Transportation

Sectors TTV

Trend in M6 publicité net

advertising revenues 575.2556.6551.0

537.1

437.7

1999 2000 2001 2002 2003

+22.7+2.6

+1.0

+3.3

in %

(in EUR millions)

ADVERTISING: ALWAYS RISING

M6 Publicité manages advertisingfor M6 and the 19 theme channels(both in and outside the Group). In 2003, M6 firmed up its22.4% advertising marketshare, for a 3.3% increase inrevenues, generating EUR575.2 million.

M6 is the 2nd most heavilysolicited network by nine outof the ten largest TVadvertisers. Its results reflect strong growth,outpacing the market; the twomost important advertising sectorsare foodstuffs (+17%) andgrooming/ beauty products(+18%). Their attraction to M6 isdirectly related to its successful

appeal to women viewers. Whileautomobile advertising for themarket as a whole was down, it rose 2% for M6.Early 2004 was also satisfying forM6, with foodstuffs and grooming/beauty product advertisingcontinuing to progress.The arrival of publicationsadvertising paid off for M6 whichcaptured 25% of that sector’s

advertising investments and 50% ofthe advertisers from this new sector.The network enjoys genuinegrowth potential: ■ In terms of advertising spacevolume (62% of broadcasts thatcould be sponsored were sold in2003).■ Thanks to a favorable pricedifferential in relation to itscompetitors’ pricing.

14Source : TNS media intelligence

Consolidated, 6 years (in EUR millions)Turnover

1998 1999 2000 2001 2002

525.8629.0

742.5845.3

948.5

1176.9

2003

Consolidated, 6 years (in EUR millions)Net profit

6 years, in euros

Yield (1)

Dividends

61.577.3

103.5

116.2111.8

1998 1999 2000 2001 2002 20030.33 €

0.41 €0.51 €

0.57 € 0.57 €0.67 €

131.6

Yield (1)

2.3%0.8%

1.3%1.8%

2.7%2.6%

+ 17.7%

- 3.8 %+ 12.3 %

+ 33.9 %

+ 25.7 %

15

Another growth year for the Group ■ The Group scored a record year:consolidated turnover reachedEUR 1,176.9 million, 24.1% overthe 2002 figure. As a result, theGroup generated net profit of EUR131.6 million, 17.7% higher thanthe previous year.

■ In a sluggish advertising year,M6 advertising revenues rose3.3%.■ For the first time, revenues fromdiversified operations accountedfor more than half of the Group’sconsolidated turnover.■ Every Group activity contributedpositive revenue growth, with each

pursuing its own development,whether in the commercial or paytelevision area, or in diversifiedoperations.■ Over the past six years growth inaverage turnover has been 18%and the average growth in netprofit has been 17%.

2003: GROUP NET PROFIT ROSE 17.7%

(1) Yield = dividend (excl. tax credit/closing year-end share price

Source : M6

16

17

18

Are you satisfied with your audienceratings?

Very much so. 2003 was a most satisfyingyear from that perspective. For the thirdstraight year M6 kept its spot as the secondmost popular network among homemakersunder 50. Moreover, for this same audiencesegment, we were the only station whoseprime-time rating actually improved.

Yet, overall, for television viewers as awhole, the M6 audience share actuallywent down slightly compared with2002 . . .

That is true. We were down 0.6% forviewers 4 and over. But this small dropshould be viewed in perspective. It isattributable to just the second quartercompared with the same period in 2002,which was when Loft Story pumped uptelevision audiences. All other quartersduring 2003 registered an increase inaudience share. Having no Loft Story 3 in2003 was a handicap. We took measures tofree ourselves from such dependence bycreating W9, a new entertainmentproduction subsidiary which has alreadyshown success. It is quite remarkable,

however, that this misadventure did preventan increase in our prime-time audienceshare during this same second quarter.

How do you account for this goodperformance?

Mainly our persevering capacity to innovate,backed by increasingly dependableproduction autonomy, now diversified tocover all types of programming. As toinnovation, in 2003 M6 launched 25 newprograms, compared with 14 in 2002. Weexpanded our innovations into every area ofprogramming, whether in event-drivenbroadcasts like “Caméra café, ça va déchirerce soir” or “A la recherche de la nouvellestar” or permutations like “J’ai décidé de . . .”and “On a changé nos mamans”, gameshows like “Bachelor”, magazines like “Starsintimes”, “Docs de choc”, or “Affaires defamille”, offered by Fred Courtadon, varietyshows like “Les grands classements”, ordrama like the new heroine “Léa Parker”. All these programs, either produced or co-produced by M6, account for half of M6’sbest audience ratings and, more importantly,for what our target audiences – youngpeople and women – want to see.Alongside these new programs, our major

19

standard bearers are benefiting from strongrevivals such as “Capital”, “Turbo”, “E=M6”and “Secrets d’actualité” which earned itsslot during the second part of nighttimeprogramming on alternate weeks. Otherreinvigorated classics include “Plus vite quela musique” and “Fan de”. These broadcastshave enjoyed substantial jumps in viewerratings. The other reason for our good health, andthe other prerequisite for continuedprogress, is having our own programproduction capacity. In an increasinglyconcentrated entertainment and reality TVmarket it is now essential to developprogramming and creative independence.For that reason we created W9 and Studio89 in 2003.

Concerning prime time, the strategicsegment where M6 has progressed,would you consider 2003 a year ofconsolidation?

And of progress, progress in every magazinecategory. After the Sunday evening standardbearers, our Tuesday evening classics havebecome increasingly popular, like the “J’aidécidé de . . .” and the “E = M6” series, andalso the documentary series “Ma vie aux

urgences”, a format that will be developedfurther in 2004.I should remind you that M6 is the only TVstation in Europe that offers so many prime-time magazines and documentaries. And wewill continue in this direction.That being said, prime time is also teledrama– where M6 has established many cult series– and cinema. In 2002, we redefined M6’sproduction policy for French drama, orienting ittoward more prime-time comedies andrecurrent heroes and creating a new seriesfor the early evening slot. For cinema, we havelong developed coproductions through ourM6 Films subsidiary. Last year, seven M6coproductions were in the top 30, and two inthe top 10: “La Beuze”, “Rire et Châtiment”,“Coût de la vie”, “Jeux d’enfants”, “Mauvaisesprit”, and “Gomez et Tavarez”.This year, two M6 coproductions have beenbox office leaders, “Podium” and “The 11Commandments”. With all these films, M6 willhave rights to the television premiere. In 2003, M6 ran 18 full-length films that we coproduced.

Can M6 get any bigger? And how?

Of course we can, by staying innovative, andwithout changing our format. By seizing

every opportunity to enhance our ability tosatisfy the wants of our under-50 viewingaudience. By reaffirming our identity andsafeguarding our autonomy to create andproduce our own programs.

Thomas ValentinVice Chairman of the Management Board,Director of Programs

20

inédite,” a plunge into thefascinating world of real-lifetwins, including scientificallycontrolled tests proving theextent to which twins truly areexceptional beings.The Tuesday line-up also includesthe hallmark show “Les GrandsTests” launched in 2002. Familyand friends have fun puttingthemselves to the test in newchallenges presented within thenow familiar format. “IQ,” “Culturegénérale, le grand test,” and“Living as a Couple” are justsome of the 2003 testsdeveloped by Benjamin Castaldiand Mac Lesggy. The 2004season kicks off with a “Driver’sLicense” test.

Real-life RomanceViewers are breathless over thenew romantic game show“Bachelor” in which a young mansearching for the woman of his lifeagonizes between equallycharming and seductive youngwomen. Some 4.4 million viewerswatched the love story unfoldbetween Olivier and Alexandra.The show was so successful that itis back in 2004 with an all-newromance that has audience ratingsheating up. The summer fling“Opération séduction auxCaraïbes” was also back for asecond season of seductionCaribbean-style, made all the morelusty with its “Seductress of theSummer” competition.

SPECIAL EVENINGS

M6 CONTINUES TO CREATEINNOVATIVE FORMATS,OFFERING A LINE-UPINCREASINGLY DEVOTED TOEVENTS THAT TAKE VIEWERSBY SURPRISE.

Sharing Experiences2003 marked a turning point inTuesday evening programmingaround the theme of “theTuesdays of Life.” Each weekviewers tune in for an intimatelook into the lives of ordinary andextraordinary people, asindividuals or as a group. Thiswas the creative inspirationbehind the documentary series

“J’ai decide de…” More than adocumentary, each episode takesviewers through the very personalexperiences of ordinary peoplewho resolved to do something:lose weight, have plastic surgery,quit smoking. Brand new as well: “On aéchangé nos mamans,” a British-inspired reality show in which twomothers who don’t know eachother switch families. Viewers findthemselves strongly identifyingwith issues that arise as everyonegrapples with “how to be afamily:” task sharing, the role offather and mother, child rearing,authority, discipline. A great showto watch together as a family!Also new: “Jumeaux, l’expérience

Moved by MusicM6 has music in its genes,dedicating lots of airtime toestablished performers and givingnew artists lots of exposure. Withthe success of “Popstars” in 2002,“Popstars 2” is back with morestories of young performers, fromgetting auditions to releasing theirfirst album or giving their firstconcert. The music industry takesa look at itself! This season,“Popstars” is joined by a newformat: “A la recherche de lanouvelle star.” The show tells thestory of M6 crisscrossing France

to discover tomorrow’s voices.Under the guidance of a professio-nal jury and with popular support,M6 found its first winner: JonatanCerrada. Still a rising star, Cerradais representing France at the Euro-vision Competition in May 2004. M6 also pulled off two majormusical events in 2003. First, the somewhat nostalgicseries “Absolument . . .” (’70, ’80,’90, the summer of . . .). Each show,hosted by the up-and-comingVirginie Efira, brings viewers backto a particular time and the musicthat shaped it.

Second, the extraordinary hitparade “Grand classement.” Host Laurent Boyer, who knowshis music better than just aboutanyone, treats viewers to relivingthe biggest musical hits of timespast: 30 years of hits, femalesingers of the century, legendaryalbums . . . the stuff of anawesome music collection!

LaughsThroughout the year, Virginie Efirahosted “Le grand zap,” a brand-new entertainment show of gagsgalore from around the world. And

what better grand finale for 2003than laughing with Bruno Solo andYvan Le Bolloc’h in their hilariousprime-time parody of the channel.“Caméra Café, ça va déchirer cesoir” had 5.5 million viewerslaughing so hard it hurt and set arecord with the 3rd highestaudience ratings of the year.

21

22

“M6 CULTURAL MARKERS”

Understanding and AnalysisThere is no television withoutmagazines, and M6 is proud to beamong the premier Europeanchannels in terms of the numberand quality of its broadcasts in thegenre. Produced by C.Productions (a wholly-ownedsubsidiary of M6), they get thebest Sunday evening audienceratings and sweep the top M6 timeslots. In 2003, “Capital” and “ZoneInterdite” gained 200,000 and300,000 viewers respectively, eachclaiming over 4 million regularwatchers. This growth can beattributed to constantreexamination and fresh

innovations. The angle of reportingand the range of topics tackled arewhat make “Capital” work. Themagazine is independent andalways on the lookout. This year itoffered the following reports: “RealEstate: the Treasure Hunt,” “LocalMerchants: Who Cheats?” “WilyWeekend Getaways,” “KitchenBusiness,” “Getting a Job at 20,”“High-risk Rendez-vous” (the EvianSummit), “Outfitting My House,”and “What crisis?” It hit its recordwith “Fraud: Schemes and SpecialFavors,” which attracted 5.4 millionviewers.In its tenth season, “Zone Interdite”remains on the cutting edge ofsocial phenomena and boldlytackles hotly debated and

controversial issues: everydaymadness, surrogate mothers,marijuana, anorexia... Bernard de laVillardière has regularly spoken outfor accident prevention (“The Not-so-harmless Cigarette”) and forroad safety. (The serious topic“Stop the Road Rage” caught theattention of 5.4 million viewers, theshow’s record audience for 2003.)With Mohamed Sifaoui, “ZoneInterdite” teams produced twoaward-winning documentaries onterrorist networks: “I Infiltrated aTerrorist Network” and “On the Trailof Ben Laden.” And it was on “ZoneInterdite” that Prime Minister Jean-Pierre Raffarin detailed his socialplatform in September 2003.In its third season, “Secrets

d’actualité” aired twice a month,rounding out every other Sundayevening in alternation with “Culturepub.” Laurent Delahousse and the“Secrets d’actualité” teams get tothe bottom of stories that made amedia splash: “Nanterre, theDeadly Dare,” “The Mysteries of Dr.Godard,” “The Roissy BaggageHandler: a Family Affair,” “TheDeath of Vincent Humbert: WhatReally Happened?,” and “Concorde:Underlying the Catastrophe.”These late-night reports airing at10:50 p.m. were so compellingthat they attracted nearly 2 millionviewers. The one exposing thetruth behind the Marie Trintignanttragedy hit a record with anaudience of 3.4 million people.

23

Six’: News in a NutshellA must-see for 3 million viewers,“Six’ ” has been the 2nd mostwatched evening newscast amongpeople under 50 for the past foryears. The 7:54 evening version of“Six’ ”—which actually lasts for 12packed minutes—continues tosuccessfully air in its originalimages-only format in the morningand at noon. After 16 years ofgood and loyal service, “Six’ ” got anew look in 2003 to make it evenmore crisp and cohesive.

A hundred journalists at localstations in 11 major citiesthroughout France (Bordeaux,Grenoble, Lille, Lyon, Marseille,Montpellier, Nancy, Nantes, Nice,Rennes et Toulouse), stay on thepulse of what’s happening, offeringdaily local news as well as contentfor the national “Six’ ” broadcast.Video versions of both the nationaland local “Six’ ” broadcasts arecontinuously available at the m6.frwebsite.

Sport 6With the same priority for images,sports programming has beenenhanced to include both thesports news every Sunday eveningat 8:40 and a new sports slot inthe morning. In 2003, M6 sportsnews was followed by 3 millionviewers—an audience thatcontinues to grow.

BRAND NEW FORMATSHIGHLIGHT THE YEAR

IN 2003, M6 REMAINED TRUETO ITS RICH TRADITION –EXPLORING WIDELY DIVERSEFIELDS AND PRESENTINGTHOUGHT-PROVOKINGINVESTIGATIONS.

Two new magazines were addedto “the Tuesdays of life”programming. The first, “Affairesde famille,” is presented by a newface, Fred Courtadon. It exploresthe shared experience of families,both happy and dramatic, that canmark their lives. In a more public treatment, “Starsintimes” with StéphaneRotenberg, invites us to spend a

few special moments in the livesof television stars, revealing whatpaparazzi themselves don’t know.For the second portion of eveningprogramming, a third newmagazine, “Docs de choc,” alsopresented by Fred Courtadon,focuses on major criminal affairsand police investigations – addingup to a high-suspense viewingexperience!

Tried and true discovery programscontinued to be reinvigorated,keeping their promise of breakingnew ground in explorations ofscience, automobiles,communication, and cinema. The weekly edition of “E=M6”remade itself to become evenmore “E=M6,” with new decor,new rubrics, added emphasis onthe unexpected in science using

24

new photo techniques (macrophotography and cinema,miniature cameras, computerimaging, etc.) to present scenesonce regarded as impossible onfilm.“E=M6 special” also grew moreambitious and in 2003 strove toexplain human social and familybehavior – a pyschologicalapproach known by the savant

label of "ethology!"“Culture pub” extended itsformula, developing a topicaltheme every other week. “Turbo”propelled its audience share(progressing 2.6% among menunder 50) and made a bigcontribution to traffic safety inFrance. Meanwhile, “Grand écran”welcomed the new face ofValentine Arnaud.

At the start of 2004, M6 took offlike a shot with feature stories anddocumentaries exploring newfrontiers with productions such as“Ma vie aux urgences,” with 3episodes of previously unseenexperiences introducing the publicto several months in the life ofemergency care physicians, bothactors and bystanders in a movingsaga.

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YEAR OF NEW TITLES

MORNING, AFTERNOON, AND NIGHTTIME, M6ENTERTAINMENT ASSUMED ANEW LOOK IN 2003 – MOREHUMOR AND SPONTANEITY INA YEAR . . . THAT TURNED OUTTO BE NOT SUCH A BED OFROSES AS ALL THAT!

Studio 89, the newly created M6subsidiary, produced many of thesesupport programs. The day begins at

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7:00 a.m. with “C’est pas trop tôt,”animated by a new team, Maxsurrounded by commentators – aroundup of music, gossip, and news.The afternoon makes way for musicwith talented young hosts from FunTV, Valentine Arnaud and NicolasBeuglet, Audrey and Zuméo, whoencourage sharing the pleasure ofmusic with the likes of “Generation hit,”“Star six,” and “Tubissimo.” Anne-Gaelle Riccio is the new emceefor the magazine “Plus vite que lamusique” and is responsible for

deciphering the latest in music.“Caméra café” is an entire year oforiginal sketches for the early eveningslot plus a prime-time side-splitter,“Caméra café, ça va déchirer ce soir”which parodies M6 broadcasts and in2003 turned in the year’s 3rd largestTV audience.

A plethora of eveningentertainment slotsAlongside the now classic“Fréquenstar,” “Graines de star,” and“Les moments de vérité,” Laurent

Boyer, the irresistible one-manband of variety shows, created amajor event with the help of W9 –“Les grands classements” – basedon actual record releases, whichclearly conquered its audience;Laurent also produced a benefitconcert for Les Enfants de la Terre,with Yannick Noah. At the start of2004, with the same success, helaunched “Les hits des diamants.”Let’s wager our man has morenew entertainment programs inreserve for the year!

Somewhat Belgian, lively andtalkative, the new arrival VirginieEfira made her entry on M6 andthe new entertainment in primetime : pleasantly nostalgic with“Absolument. . . ,” downright drollwith “Le grand zap,” as well as with“Les sagas . . .” (giggles, slapstick,nuttiness, turns of the unexpected).

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politically-engaged female lawyerwho live, no matter what, under the same roof with their tribe ofchildren!

Television films bursting with humorThe choice for 2003 is morecomedies, which will be the samefor 2004. Illustrating M6’ssuccessful choices here are “Allshook up,” with Julie Gayet andFrédéric Diefenthal, and “3 boys, 1 girl, 2 marriages,” also with JulieGayet but this time co-starringOlivier Sitruc.

THE M6 BRAND OF DRAMA

WHATEVER THE FORMAT,BROADCAST HOUR, ORPARTICULAR GENRE, THECOMMON DENOMINATOR OFM6 DRAMA IS ITS MODERNITY,PACE, FUN, AND GLAMOUR.

A production turning point for French drama2003 saw a substantialrevitalization of French dramaproduction, making it even moreentertaining, and oriented towardaction and comedy.

M6 embarked on producing severalwhodunit series: “Paul Sauvage”, thebrainchild of the creators of “Policedistrict;” “Lea Parker,” played bySonia Rolland, a highly successfulintroductory series attracting 2million Sunday afternoon viewers;or again “Alice and the twins,” aseries where two brothers in thepolice department share the sameidentity and solve perplexing crimes.M6 is also innovating with thedevelopment of a prime-time series like “Paternal cohabitation,”the trials and tribulations of threeex-husbands of the same

Successful international series2003 was also a fine year for newinternational series, such as “Un,dos, tres,” a Spanish introductoryseries resembling a Latino Famewith Monica Cruz; “My family first,”“John Doe,” “NCIS,” and the new

TV seasons of “Smallville,”“Charmed,” “Alias,” and “Buffy and

the vampires.” A common thread:each rapidly found its public.

Headliner moviesSeven M6 coproductions wereamong the Top 30 French filmsand they exceeded one millionadmissions. Among them were“Jeux d’enfants,” with GuillaumeCanet and Marion Cotillard,“Gomez et Tavares,” putting SomyBugsy and Titoff on stage, alongwith the incredibly funny MichaelYoun in “La beuze.” 2004 confirmsthis good performance since, upto today, the two most popularFrench movies, “Podium” (with

Benoît Poolvoerde and Julie Depardieu) and “The 11commandments” are both co-produced by M6. Major in-house produced films will beout in 2004: “Arsène Lupin,”“Double zero” (with Eric & Ramzy),as well as “People, jet set 2!”

Movies at the top of the ladderCinema is alive and well at M6: 18films co-produced by M6 wereshown in 2003. Cinema is healthyat M6, with such majors as “Zorro’smask,” “Armageddon,” “Mary at anyprice,” “The Man and the ironmask;” “Indiana Jones” holds therecord for the largest audienceduring the year: 6 million viewers!

M6 Studio createdIn 2003, M6 Studio was createdjust to produce the full-lengthfeature animated film “Astérix andthe Vikings,” which will hit thecircuit in 2006.

New releases – animated filmsIn 2003, M6 Kid broadcast fivenew co-produced animated seriesincluding “Kid paddle,” the Midamcartoon figure created for theweekly Spirou, “Stargate,” “MaryKate and Ashley,” “Maloo Korrigan,”and “Chocotte Minute,” to relivechildhood fears.

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survey, the “Other TV” audienceshare (essentially the specialtychannel market) has grown tonearly 11% of the nationalaudience – up by an average of 1point per year for the past 4 years– and to 34% of the audience thatsubscribes to more than 15channels.

Cable and satellite market trends• In 6 years, the market for cableand satellite TV has grown from11% to 25% of all householdssubscribing to a multi-channeloffering, or nearly 5.9 millionhouseholds at the end of 2003.• Satellite TV drove the market in

2003, and the market stands togrow further. In the UnitedKingdom, for example, subscriberrates top 40%.• ADSL (TPS L, via phone lines)and, in the near future, TNT (digitalterrestrial broadcasting) round outthese forms of broadcast media.According to the Médiacabsat

M6’s position in the digital market• M6 is now a major player in digitaltelevision, contributing to the growthof this market both as a 34%partner in satellite TV (TPS) and aproducer of 19 specialty channels,as of the end of 2003, either owneddirectly by M6 or co-owned via TPS.

Subscriber trends (in millions of subscribers)and penetration of multi-channel offering

Average annual growth

2.63.3

4.34.5

5.15.6

5.

Source: M6 estimates (Satellite/Aform/ Méd

p

Netherlands

Germany

United KingdomUn Spain

Italy

Audience share trends Other TV in France (in %)

Average annual growth

8.57.5 9.5 10.9

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In 2003, for the first time,M6’s digital activities - whichaccount for 18% of consolidatedGroup sales – are operating in theblack. Their impact on the Group’sbottom line continues to improve,particularly by reducing lossesrelated to TPS. For the first time,the Group’s specialty channels aremaking a positive contribution togroup operating profits.

The encouraging 2003 results inthis hotly contested market areowed to:• content enrichment and• broadcast expansion,generating growth in bothaudience share and revenues.

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as government authorizations arereceived).

M6 channels are increasing theirtotal audience in this verycompetitive market, whichregistered a net decline in growthin 2003: 300,000 net new M6subscribers in 2003, comparedwith 500,000 in 2002.

THE M6 CHANNEL OFFERING

THE M6 GROUP OFFERS 19ADDITIONAL CHANNELS(INCLUDING M6 BOUTIQUE LACHAÎNE), VIA DIRECTBROADCAST OR TPS.

The M6 strategy is based onproviding complementary channel

offerings, particularly with respectto target audiences. It offers twochannels aimed at teens (M6Music and Fun TV), two channelsfor young adults (TF6 and SérieClub), one for women and families(Téva), and one for higher socio-professional target (Paris Première,which will join the family ofchannels produced by M6 as soon

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M6 MUSIC : THE 100% HITS, 100% CLIPSCHANNEL4,429,000 subscribers

M6 Music showcases stars andmusic 24 hours a day, 7 days aweek, and ranks among the TOP10 specialty channels on TPS. Itsmusical programming targeting amass general audience has made

M6 Music the preferred musicchannel of the 15-to-34-year-oldsegment. M6 Music expanded itsoffering in 2003, rounding out itsprogramming with two new shows:■ “Pur Doc:” M6 Music givesaudiences a glimpse into the worldof an artist through interviews withpeople close to him in an original26-minute documentary format.■ “Live:” M6 Music broadcastsweekly concerts by the world’sgreatest artists.M6 Music, the best in music everyday.

FUN TV, THE ALL-LIVE CHANNEL3,763,000 subscribers

Fun TV remains the favorite channelof viewers between the ages of 15and 24. By and for young people, itoffers 8 hours of live programmingdaily, with entertainment features

such as “Pelle et rateau” (Rake andshovel), “Casting live” and “Le jeu,”and music programming such as“Tape ton hit,” “Clip combat,” and“100% tubes.” With Magloire, Lucas,Lorène, Alex and Adrien... Fun TVprovides a real testing ground foryoung talent.

TÉVA, TELEVISION FOR THEEMOTIONS9,848,000 subscribers

Téva has expanded its coveragesetting historic new highs, accordingto the latest Médiacabsat survey (+24% among its core targetaudience, women under the age of50). It has now entered the ranks ofthe TOP 10 best-performing cable

and satellite TV channels. With a new signature, “Téva, television for the emotions,” the channel hasincreased its offering of major newfilm releases and recent hit series,offering original programming aswell (“Téva déco,” “Face à moi,” andthe television magazine “Lesdossiers de Téva”). This year it alsobroadcast event-driven programssuch as the US original “TheBachelor” and its femalecounterpart, “The Bachelorette,” and“America’s Next Top Model.”

PARIS PREMIÈRE : THE ENTERTAINMENTEVENT CHANNEL12,537,000 subscribers

New programs, new challenges,and many more new viewers. In2003, Paris Première confirmed itsstatus as the entertainment eventchannel with broadcasts of fashionshows, sporting events, and themost recent great plays exclusivelyon Tuesday nights. New time slotfor Thierry Ardisson, who plays

host in his apartment at “93Faubourg Saint-Honoré” toeveryone in the public eye. MichelField and his literary guestsdiscuss the latest in the world ofbooks on “Field dans ta chambre.”Paris Première: breaking newground in television withprogramming that’s iconoclastic,bold, inquiring, playful yet serious,and never dull.

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TF6THE OH-SO-TV CHANNEL5,224,000 subscribers

TF6, the entertainment channel,attracts a young adult audiencewith great films, made-for-TVmovies, TV series with loyalfollowings, and originalproductions. In just three years,TF6 has risen to become the Nº 5

cable and satellite TV channel forcombined audiences* and is ratedNº 1 among cable and satellite TVsubscribers.

* All audiences, ages 4 and older, excluding

commercial television.

SÉRIE CLUBTHE BEST SERIES ONTELEVISION2,100,000 subscribers

For 11 years, Série Club has been“the” channel for television series.Once again, in 2003, it broadcastmore than twenty groundbreakingseries (Oz, The West Wing, Buffy

the Vampire Slayer, and more)along with some of the greatest TVstandard-bearers (Starsky andHutch, The X Files, etc.). Série Clubalso has the programming flexibilityto air special events such as “LesScreenings de Série Club,” aninteractive concept that allows TVviewers to participate in choosingprogramming content, or “Hit desséries,” a ranking of the top fiftyseries by French audiences.

TPS is 34% owned by M6. In2003, it generated EUR 536.8million in turnover, a 7%improvement.2003 growth driven bydynamic new offerings:■ A new movie offering waslaunched with the arrival in August

TPS, NEW CONTENT AND THE LAUNCHING OF TPS L

of TPS home cinema. The TPSfamily now consists of 7 channels.■ An expanded program thanks totwo new major agreements signedwith Warner Bros. (“Harry Potter,”“The Matrix,” and more) and TheWalt Disney Company. As a resultTPS partners with 6 of the 7 major

American movie studios. ■ Youth offerings have beenenriched with the creation of the“Eurêka” and “Piwi” channels andthe launch of “Tfou” and“Boomerang,” bringing the numberof TPS youth channels to 9.■ Commercial adjustments weremade, with the addition of an 11-euro access price.

TPS has also been very active in sports:■ Shared rights to pay-TV

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broadcasts of soccer matcheshave been extended to the 2004-2005 season: this means 308League 1 soccer matches perseason.■ TPS is now the exclusivebroadcaster of French nationalbasketball.■ In March 2004, TPS signed anagreement to broadcast all theEngland Football Championshipsfor three seasons, beginning inAugust 2004.With well know teams such as

Manchester United, Arsenal,Liverpool, and Chelsea, and no less than 45 French players, this is the most popular foreignsporting event of all.

This proactive approach andenriched program offering enabledTPS to rack up 1,527,000 activesubscribers by end of 2003,including 1,239,000 satelliteviewers, an increase of 200,000subscribers over 2002.

The Outlook for 2004Things are looking good forsatellite TV. TPS has alreadylaunched several initiatives in2004, both in sports and theexpansion of broadcast media,launching – with France Télécom– ADSL broadcasting, or televisiontransmitted via the telephone line.TPS L and MaLigne allow users tophone, surf the Web, and watchtelevision simultaneously. After theDecember launch in Lyon, Parisfollowed in March 2004 as a

beneficiary of this new service.TPS is pursuing a strategy ofexpansion with the goal ofattracting between 300,000 and500,000 subscribers in 5 years.

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OVER THE YEARS, M6 HAS CONSTRUCTED

GROWTH GENERATORS AROUND THE M6

BRAND – AND ITS FLAGSHIP PROGRAMS. IN

2003, FOR THE FIRST TIME, MORE THAN

HALF OF GROUP SALES, INCLUDING THOSE

FROM PAY TV, WERE GENERATED BY

PRODUCTS OTHER THAN ADVERTISING.

A VERY DYNAMIC YEAR The M6 Group distributes andproduces films, sells magazines,DVDs, discs, and kiosk collections,and produces music concerts andartists. It also owns the soccerteam F.C. Girondins de Bordeaux,and is a force to be reckoned within digital television with its networkof specialty and satellite TVchannels.

This diversification generatesstrong synergy between M6programming and spin-off

products: a well-positionedchannel, exciting events, andstrong brands make this a winningstrategy. In addition to providing ameans of circulating the M6 brand,these activities also serve to createan entire brand universe.

■ M6 Interactions sold more than20 million products in 2003through its various offerings:publications, books and magazines,discs, etc.Through early positioning in kiosk

DVD sales, M6 Interactions hasrisen to become the Nº 4 publisherin this market today. Thissubsidiary is racking up excellentperformances with kioskcollections, which account forabout one quarter of M6Interactions’ sales.Building on the success of theBelmondo collections and the firstDVD encyclopedia, “E=M6,” the2003 releases of the “Angoisse”and “Action” collections are alsoreceiving very positive responses.

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■ In music, M6 has maintained itsposition as leader of the singlesmarket, thanks to its synergy withon-air broadcasting.

■ 2003 was a year of innovation inpublishing, with the launch of a newtitle for teens, “Hit machine girl,” anddevelopment of the book business.

■ The Internet activity has beenstreamlined, generating significantprofit generated from content andinteractivity.

■ M6 took on a major challenge inlive event production, producing amusical comedy for the first time.“Gone with the Wind” was the onlysuccessful show of its kind in thismarket in 2003.

■ SND (Société Nouvelle deDistribution) really took off thisyear, and is now a full-fledgedplayer in the film rights market(distribution in theaters, pay andcommercial channels, and videodistribution).

■ Results for home shopping weredriven by expanded broadcastcoverage and the development ofnew segments (infomercials andcatalogues) and new territories,with the launch of a channel inHolland.

■ As for F.C. Girondins de Bordeaux,M6 has reshuffled the deck, bettingon young talent and a reducedpayroll to fend off the negativeimpacts of an expected downturn inprofessional French soccer.

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A GROWTH BUSINESS

M6 distributes compositepublications in kiosks, includingDVDs, VHS, collector’s items, and video games for PCs orPlaystations. With 8.7 millionitems sold through this network,M6 is now the Nº 4 publisher in France, after the Hachette, Prisma and EMAP groups, and in 2003 increased its salesvolume by 50% in relation to2002.

This business was the primarysource of revenue for M6Interactions in 2003.The subsidiary’s 2003 successesinclude: the “Science-fiction” and “Action” collections,particularly the full-length feature films “Mission to Mars”and “Cliffhanger.”The record for DVD sales goes to the James Bond feature film“Die Another Day.” “Stuart Little”capped the top-sellers list forVHS.

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THE YEAR OF THE GREATLAUNCH

A newcomer to the world of literarypublishing, M6 Interactions got offto a flying start with 3 books: ■ Caméra café: le guide dubonheur en entreprise (“on-the-jobhappiness guide”)■ Le journal intime de Ellen Rimbauer(“The Diary of Ellen Rimbauer”)

■ Minuit sonne pour Charlie Bone(children’s book “Midnight forCharlie Bone”)

M6 also confirmed its status asteen magazine publisher:■ Launch of a new bi-monthlymagazine – the only bi-monthly inthe teen magazine market – “Hitmachine girl,” with an averagedistribution of 60,000 copies.

■ Strong development for “Fan 2,”which increased paid distributionby 30% in 2003, selling 310,000copies of each edition (source:OJD 2003).■ For 2004, efforts are underwayto develop the market formagazines for adults.

STAYING ON TOP

WITH NEARLY 10 MILLIONDISCS SOLD, M6INTERACTIONS IS HOLDING ITSOWN IN A MARKETDOWNTURN IN FRANCE (- 25%FOR SINGLES AND - 18% FORALBUMS).

A dynamo in the music business,the M6 subsidiary remains theleading independent label in thesingle and compilations market,landing four Nº 1 spots on the2003 Top Single charts, thanks toAlphonse Brown, Chimène Badi,

Lorie, and the Link Ups, and twoNº 1 spots in the 2003 Top Albumcharts, with Lorie Live and Link Up.This performance is a solidconfirmation of M6’s strategy offocusing on young talent throughexposure in such forums as “Hit

Machine,” “Popstars,” and “laNouvelle Star.”M6 debuts in 2003 includedChimène Badi, Just a Man,Jonatan Cerrada, Thierry Amiel, theLink Ups, and the Diadems.

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M6 Événements contributes to theplanning, creation, and organizingof events for companies outsidethe Group. With approximately 50events to its credit, the M6subsidiary is now a serious playerin this market, serving suchprestigious advertisers as LVMH,Orangina, Prisma, and EMAP.

But in 2003, M6 Événements tooka risk, deciding to produce a livestage production. The subsidiaryhad developed its know-how inthis area through numerous

successful theater partnershipsover the previous three years,including the co-production of“Arrête de pleurer Pénélope” –now running for the 3rdconsecutive year – AnneRoumanoff’s comedy show, operassuch as “Carmina Burana,” andmusical comedies such as “TheLittle Prince,” and “Émilie jolie” atthe Casino de Paris.

But September 2003 marked aturning point with the co-productionof "Gone with the Wind," an original

musical comedy productiondeveloped by Gérard Presgurvic.350,000 spectators and fourmonths at the Palais des Sportslater, this very ambitious productionis now operating in the black. Withadvance ticket sales for its tour inthe French provinces and abroadalready at 150,000, the adventureis very likely profit-making. “Autanten emporte le vent,” by its Frenchtitle, was the only successfulmusical comedy offered to theFrench public in 2003.

In 2004, M6 Événements willcontinue investing in live stageproductions with two renownedmusical comedies: “Chicago” at theCasino de Paris and “Hair” at thePalais des Sports. The firstsoundtrack, by J-Five (ModernTimes), has been released and isnow at the top of the charts.

M6 Événements will also co-produce “Don Juan,” developed byCharles Talar (“Notre Dame deParis”), which will run at the Palaisdes Congrès from early 2005.

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“GONE WITH THE WIND,” THE WAGER IS WON!

M6 Web, the M6 Group’sinteractive subsidiary wasreorganized this year, with a neworientation focusing on:■ One goal: development ofelectronic brands and contents.

■ Two business areas: publishingand services.

■ Three media: television,computers, and cell phones.

■ Four themes: M6 Groupprogramming, automobiles, games,and music.

M6 Web is now structured intothree operational hubs:Internet, mobile telephony, and program interactivity.

The M6 Internet business:refocusing on contentIn 2003, M6.fr held its position asone of the top three audiovisualInternet sites, attracting 800,000different visitors per month. Inorder to meet the expectations ofits Internet users (70% of whomare equipped with high-speedaccess), M6 Web has expanded itsvideo offering (30 million videos

distributed in 2003) and hasrefocused its business around its core sites, m6.fr, turbo.fr, and m6music.fr.

Strong development of SMSM6 Web is among the Top 5 SMS(Short Message Service) suppliers,with an 11% market share. The number of calls has tripled in the past year, thanks to variousinteractive programs and thesuccess of call-in TV shows (“Star Six” and “Tubissimo”). M6 Web has adapted its contentto new media, MMS (MultimediaMessaging Service) and WAP(Wireless Application Protocol),

offering news and information aswell as game sites in partnershipwith the 3 major French operators.

Exploration of newinteractivity modes M6 Web has become moreinvolved in the creation of programconcepts. Tools such as theInternet, audiotel, and SMS allenhance proximity with the publicand are being integrated upstreamof program broadcasting. In 2003, M6.fr was put to use inthe casting of “Popstars” and“Nouvelle Star” and in the liveevaluation of French Internet userperformances for “Culture générale:

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2003: M6 WEB’S YEAR FOR REDEPLOYMENT

le grand test,” as well as in gatheringviewer reactions in public forums.

2004 begins with new projects. In April 2004, M6 Web launched a new concept, the M6 Webcam,which allows television viewers totransmit their home videos bydirect connection to M6 servers,with the possibility of making it onthe air in the context of casting,games, or questions asked in“C’est pas trop tôt.” In the contextof the program “Les Colocataires,”M6 Web will also launch the firstbroadcast of a 24-hour TV stationaccessible by mobile telephone.

Through its SND subsidiary(Société Nouvelle de Distribution),M6 is successfully distributingfilms in theaters, on television andvia video. This business, recentlydeveloped by the Group, isgrowing strong.In 2003, theater distribution madea giant leap, + 70% in relation2002, with approximately 4.5million admissions, “Gangs of New-York” accounting for the lion’sshare at 2.2 million tickets sold.With the distribution of 15 filmsover the next year, including “TheAmerican” (Patrick Timsit, with

Thierry Lhermitte and LorantDeutsch), “Arsène Lupin” (withRomain Duris and Kristin ScottThomas), and “People Jet Set 2”(with José Garcia and RupertEverett), SND will continue itsstrong development.Video registered a spectacular135% growth:3.3 million items sold, 80% ofthem DVDs.Among the 40 titles released,“Gangs of New-York” generatedthe greatest sales (470,000 copiessold), followed by “Caméra café”(420,000 copies sold).

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A SUBSIDIARY GROWING STRONG IN ITS OWN “RIGHT”

Here again, M6 is developing abusiness sector with real growthpotential. Contributing 8% of theGroup’s consolidated turnover,HSS is the leader in its market.Earning EUR 100 million inrevenue in 2003, the M6subsidiary produced 32 televisedprograms (24 in France, 3 inGermany and in Belgium, and 2 inthe Netherlands) and broadcast

HOME SHOPPING SERVICE, EUROPEAN LEADER IN SALESVIA TELEVISION

900 hours of homeshopping everyweek on partneringtelevision channels. It hasattracted 2 million activecustomers.

In 2003, HSS continued togrow by developing newsegments and new territories: ■ Infomercials on specialty channels■ 1.5 million copies of its publishedcatalog■ 2 home shopping channels in theNetherlands (Yorin and RTL 4)

The outlook for 2004 is just asdynamic:■ In early 2004 HSS acquiredCanal Club (a subsidiary ofCanalsatellite) to expand itsinfomercial offerings.■ HSS is increasing the print run ofits catalog to 6 million copies.■ On April 29, 2004, HSSlaunched “M6 Boutique la chaîne,"a 24-hour channel offering 8hours of live shopping every day to

5.2 million potential households via TPS, Canalsatellite and thebest cable networks in France and French-speaking Belgium.■ With 50 shows and 400 differentproducts every week, from majorbrands to products marketed bysmall, innovative companies,viewers get all the benefit of a big-box store from the comfort of their own living room.

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GIRONDINS: A TRANSITION YEAR

On the sports front, the M6-sponsored FC Girondins deBordeaux soccer team placed 4thin the L1 Championship for the2002/2003 season. This meansthat for the 4th season in a row,the team went on to compete inthe UEFA Cup. Under coachMichel Pavon, the Girondins teamrallied with such dynamic young

players as Chamakh, Francia (oneof the top goal scorers in theClub), Planus, and Mavuba.

Strongly focused on recruitingyoung players, the F.C. Girondinsde Bordeaux is becoming a new-talent incubator. Its success-proven strategic choices arefurther affirmed by the changingeconomics of international soccer.

The operating finances of FC Girondins deBordeaux are in balance. In anticipation of thefinancial crisis toward which soccer is heading asrevenues decrease, the Club has instituted prudentpayroll management policies. In 2003, it achievedaccelerated amortization of its player costs.

In EUR millionsOperating incomeOperating income, excl. transfersIncome from transfers, before accelerated amortizationAccelerated amortization of player costsNet income

200251.1(0.5)(7.1)

0.05.8

200348.31.40.5

(7.5)6.6

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Outlook

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OBJECTIVE: GROWTH AND CREATIVITY

M6 HAS SET AMBITIOUS GROWTH OBJECTIVES FOR ITSVARIOUS MARKETS. MORE COMMITTED THAN EVER TO ITSSTRATEGY, THE GROUP WILL BE PUTTING EVEN MORE EFFORTAND CREATIVITY INTO THE M6 NETWORK, WHICH REMAINSTHE DRIVING FORCE BEHIND THE SUCCESS OF ITS ACTIVITIES.

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M6 is moving to increase itsshare of the highlycompetitive advertisingmarket through:

1. Strong programming ■ M6 will not hesitate to seizeevery opportunity to invest inprograms, particularly event-programming. During the first halfof 2004, the channel has alreadysecured a second season for thevery popular “Bachelor” show andan all-new season 2 of “Lanouvelle star.” ■ M6 will continue to stand out bybroadcasting original shows likethe newly launched “Colocataires”and “Chantier,” as well as many

brand-new documentaries, dramassuch as “Finals,” and reality TVprogramming throughout the year.■ With this profusion of M6-brandcreative programming, the channelwill attract more viewers in the 15-24 and 25-50 age brackets.

2. Expanded digital TV The Group is taking calculatedrisks to secure its position on theleading edge of the expandingdigital-TV market.■ Specialty channel content willcontinue to be enhanced,particularly with Fun TV, which willbe introducing an all-new line-upthis year. With its uniquepositioning among the highest

socio-professional targetaudiences, Paris Première willenlarge and enhance the Group’sfamily of channels. Efforts will alsobe made to widen the reach of theGroup’s digital channels.■ The Group will fosterdevelopment of TPS, particularly bypopularizing distributiontechnologies (launch of televisionover telephone lines).

Group M6 will increaseprofitability.

The clearly defined objective is toleverage Group synergy throughevent-focused entertainmentcarried by M6 Interactions and M6Web as well as by the specialtychannels. The Group will nurtureasset creation through diversifiedoperations that preserve thestrong, innovative M6 brand, andthrough more effective networkcross promotion. The Group willalso optimize margins throughcontinued integration of know-howin strategic business areas.

Text:M6 Communication

Design and production:Erwann Kervadec Design

English version:Broccoli in California, Inc.

Photos:M6 / Pascalito / Christophe Geral /Pierre Olivier Callede / Pierre Guibert /Jacques Morell / JL Pariente / Eric Fougère / Sylvia Tostain / Cyril de Plater- Métis / Xavier Lambours-ParisPremière / François Darmigny-TF6 /Chevalin-TCM-Antena 3-BBC-ChauveSouris-M6MUSIC / Visual / Zimmermann-Fox-TPS-M6 Evenement-Girondins de Bordeaux-M6 Interactions-M6 Web-SND-DR