Stockholm, 16 February 2007 – Modern Times Group MTG AB (publ.) (“MTG” or “the Group”) (The Nordic Stock Exchange: MTGA, MTGB) today announced its financial results for the fourth quarter and twelve months ended 31 December 2006. The Group’s consolidated accounts have been prepared according to International Financial Reporting Standards (IFRS) as adopted by the European Union. FOURTH QUARTER HIGHLIGHTS • Group net sales up 18% to record level of SEK 2,918 (2,463) million • Group operating income of SEK 435 (427) million, including SEK 79 million non- cash write down of intangible assets • Viasat Broadcasting net sales up 14% to SEK 2,310 (2,023) million and operating income up 16% to SEK 501 (431) million • Net income of SEK 316 (288) million • Basic earnings per share of SEK 4.60 (4.29) FULL YEAR HIGHLIGHTS • Group net sales up 27% to record level of SEK 10,136 (8,012) million • Group operating income up 47% to SEK 1,777 (1,213) million, including SEK 79 million non-cash write down of intangible assets • Viasat Broadcasting net sales up 29% to SEK 8,291 (6,437) million and operating income up 43% to SEK 1,880 (1,316) million • Net income of SEK 1,499 (1,185) million, including SEK 241 million non-cash financial gain arising from CTC Media IPO new share issue in 2006 (SEK 389 million net gain from the sale of TV4 shares in 2005) • Basic earnings per share of SEK 21.57 (17.78) • Completion of SEK 1.5 billion distribution of Metro International shares • Board to propose payment of SEK 7.50 dividend per share • Board to seek authorisation for buy-back of up to 10% of issued share capital Hans-Holger Albrecht, President and CEO, commented: “It is over two and a half years since we provided our five year strategic objectives in June 2004, so we are now halfway through the timeline. We are outperforming the target of doubling the size of Viasat Broadcasting with annual sales for the division having now grown by 78% since the end of 2003. We have also achieved more than 15% operating margins in each of our three core broadcasting segments and a 17% full year margin for Viasat Broadcasting, whilst 40% of the Group’s operating profits are now derived from Central and Eastern Europe.” “We have maintained the balance between sales growth and profitability and have reported sales in excess of SEK 10 billion for the first time in the Group’s history, at the same time as we are reporting record profitability levels and an operating profit margin of nearly 18%. We have demonstrated the discipline of disposing of non-core or underperforming assets, in line with our declared focus on entertainment broadcasting, as well as continuing to strictly manage our capital allocations. This performance has yielded an increased return on average capital employed for the past twelve months of 29%.” “Whilst the pay-TV and Eastern European operations continued to perform ahead of expectations, the results for our free-to-air business in Scandinavia were weaker than anticipated. We are addressing the ratings softness in Sweden by reviewing and improving every step of the programming acquisition, scheduling, sales and marketing process, in order to be able to regain the market position necessary to capitalise on advertising market growth and penetration increases.” “In line with the strong overall performance in the Group’s operations, the SEK 430 million net cash position at the end of the year and the flexibility provided by the Group’s SEK 3.5 billion credit facility, the Board will propose a dividend payment of SEK 7.50 per share, and seek authorisation for a buy-back of up to 10% of the Group’s shares over a twelve month period, at this year’s AGM. We remain focused on continuing to expand our operations by investing in organic growth and making selected acquisitions, and the Board also continuously reviews the Group's capital structure in order to maintain the balance between providing an appropriate level of financial flexibility and delivering enhanced shareholder returns.” For further information, please visit www.mtg.se, email investor.relations@mtg.se , or contact: Hans-Holger Albrecht, President & CEO tel: +46 (0) 8 562 000 50 Mathias Hermansson, Chief Financial Officer tel: +46 (0) 8 562 000 50 Matthew Hooper, Corporate Communications tel: +44 (0) 7768 440 414