----

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**UNITED        STATES**

**SECURITIES        AND EXCHANGE COMMISSION**

**Washington,        D.C. 20549**

**FORM        10-Q**

**x           QUARTERLY        REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF        1934**

**For        the quarterly period ended June 30, 2007**

** ̈           TRANSITION        REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF        1934**

**CENTRAL        EUROPEAN MEDIA ENTERPRISES LTD.**

| **BERMUDA**                                                                      | **98-0438382**                                     |
|----------------------------------------------------------------------------------|----------------------------------------------------|
| (State                  or other jurisdiction of incorporation and organization) | (IRS                  Employer Identification No.) |
| **Clarendon                  House, Church Street, Hamilton**                    | **HM                  11 Bermuda**                 |
| (Address                  of principal executive offices)                        | (Zip                  Code)                        |

| Large                  accelerated filer  x |   | Accelerated                  filer   ̈ |   | Non-accelerated                  filer   ̈ |
|-------------------------------------------------------|--------|------------------------------------------------------|--------|----------------------------------------------------------|

| Class                                                  | Outstanding                  as of July 30, 2007 |
|--------------------------------------------------------|--------------------------------------------------|
| Class                  A Common Stock, par value $0.08 | 34,639,921                                       |
| Class                  B Common Stock, par value $0.08 | 6,312,839                                        |

----

----

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**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**FORM      10-Q**

**For      the quarterly period ended June 30, 2007**

**INDEX**

|                                                                                                                                            | Page   |
|-------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| **Part                    I. Financial information**                                                                                            |   |
| **Item                    1. Financial Statements**                                                                                             |   |
| Condensed                    consolidated Balance Sheets as at June 30, 2007                    and December 31, 2006                           | 2      |
| Condensed                    consolidated Statements of Operations for the Three                    and Six Months Ended June 30, 2007 and 2006 | 4      |
| Condensed                    consolidated Statements of Shareholders' Equity                    for the Six Months Ended June 30, 2007 and 2006 | 6      |
| Condensed                    consolidated Statements of Cash Flows for the Six                    Months Ended June 30, 2007 and 2006           | 7      |
| Notes                    to the condensed consolidated Financial                    Statements                                                  | 8      |
| **Item                    2. Management's Discussion and Analysis of Financial                    Condition and Results of Operations**         | 40     |
| **Item                    3. Quantitative and Qualitative Disclosures About                    Market Risk**                                    | 81     |
| **Item                    4. Controls and Procedures**                                                                                          | 82     |
| **Part                    II. Other Information**                                                                                               |   |
| **Item                    1. Legal Proceedings**                                                                                                | 83     |
| **Item                    1A. Risk Factors**                                                                                                    | 86     |
| **Item                    4. Submission of Matters to a Vote of Security                    Holders**                                           | 93     |
| **Item                    6. Exhibits**                                                                                                         | 94     |
| **Signatures**                                                                                                                                  | 95     |
| **Exhibit                    Index**                                                                                                            | 96     |

----

*Index*

**PartI.  Financial      Information**

**Item      1.  Financial Statements**

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**CONDENSED      CONSOLIDATED BALANCE SHEETS**

**(US$      000’s)**

**(Unaudited)**

|                                                           |   | **June                30,****2007** |          |   | **December                31,****2006** |       |
|----------------------------------------------------------------|--------|-------------------------------------|---------------|--------|-----------------------------------------|------------|
| **ASSETS**                                                     |   |                                |          |   |                                    |       |
| **Current                assets**                              |   |                                |          |   |                                    |       |
| Cash                and cash equivalents                       |   | $                                   | 116,662       |   |                                    | $          | 145,904 |   |
| Restricted                cash (Note 6)                        |   |                                | 1,174         |   |                                    |       | 4,954 |   |
| Accounts                receivable (net of allowance) (Note 7) |   |                                | 180,059       |   |                                    |       | 152,505 |   |
| Income                taxes receivable                         |   |                                | 4,766         |   |                                    |       | 3,053 |   |
| Program                rights, net                             |   |                                | 62,182        |   |                                    |       | 59,645 |   |
| Other                current assets (Note 8)                   |   |                                | 61,755        |   |                                    |       | 47,555 |   |
| **Total                current assets**                        |   | ** **                          | **426,598**   |   |                                    | ** ** | **413,616** |   |
| **Non-current                assets**                          |   |                                |          |   |                                    |       |   |   |
| Investments                                                    |   |                                | 16,563        |   |                                    |       | 19,214 |   |
| Property,                plant and equipment, net (Note 9)     |   |                                | 130,181       |   |                                    |       | 115,805 |   |
| Program                rights, net                             |   |                                | 85,715        |   |                                    |       | 76,638 |   |
| Goodwill                (Note 4)                               |   |                                | 922,739       |   |                                    |       | 905,580 |   |
| Broadcast                licenses, net (Note 4)                |   |                                | 210,881       |   |                                    |       | 198,730 |   |
| Other                intangible assets, net (Note 4)           |   |                                | 88,464        |   |                                    |       | 71,942 |   |
| Other                non-current assets (Note 8)               |   |                                | 19,151        |   |                                    |       | 17,475 |   |
| **Total                non-current assets**                    |   | ** **                          | **1,473,694** |   |                                    | ** ** | **1,405,384** |   |
| **Total                assets**                                |   | **$**                               | **1,900,292** |   |                                    | **$**      | **1,819,000** |   |

*The      accompanying notes are an integral part of these condensed consolidated      financial statements.*

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**CONDENSED      CONSOLIDATED BALANCE SHEETS (continued)**

**(US$      000’s)**

**(Unaudited)**

|                                                                                                                         |   | **June                30,****2007** |          |   | **December                31,****2006** |       |
|------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------|---------------|--------|-----------------------------------------|------------|
| **LIABILITIES                AND SHAREHOLDERS’ EQUITY**                                                                |   |                                |          |   |                                    |       |
| **Current                liabilities**                                                                                       |   |                                |          |   |                                    |       |
| Accounts                payable and accrued liabilities (Note 10)                                                            |   | $                                   | 141,640       |   |                                    | $          | 119,717 |   |
| Duties                and other taxes payable                                                                                |   |                                | 35,845        |   |                                    |       | 31,707 |   |
| Income                taxes payable                                                                                          |   |                                | 13,483        |   |                                    |       | 12,434 |   |
| Credit                facilities and obligations under capital leases (Note 11)                                              |   |                                | 12,433        |   |                                    |       | 13,057 |   |
| Dividends                payable to minority shareholders in subsidiaries                                                    |   |                                | 5,513         |   |                                    |       | - |   |
| Deferred                consideration – Croatia                                                                        |   |                                | -             |   |                                    |       | 4,010 |   |
| Deferred                consideration – Ukraine                                                                        |   |                                | 1,060         |   |                                    |       | 200 |   |
| Deferred                tax                                                                                                  |   |                                | 4,263         |   |                                    |       | 1,836 |   |
| **Total                current liabilities**                                                                                 |   | ** **                          | **214,237**   |   |                                    | ** ** | **182,961** |   |
| **Non-current                liabilities**                                                                                   |   |                                |          |   |                                    |       |   |   |
| Credit                facilities and obligations under capital leases (Note 11)                                              |   |                                | 5,802         |   |                                    |       | 6,359 |   |
| Senior                Notes (Note 5)                                                                                         |   |                                | 533,424       |   |                                    |       | 487,291 |   |
| Income                taxes payable                                                                                          |   |                                | 5,072         |   |                                    |       | 3,000 |   |
| Deferred                tax                                                                                                  |   |                                | 63,292        |   |                                    |       | 58,092 |   |
| Other                non-current liabilities                                                                                 |   |                                | 3,885         |   |                                    |       | 19,342 |   |
| **Total                non-current liabilities**                                                                             |   | ** **                          | **611,475**   |   |                                    | ** ** | **574,084** |   |
| Commitments                and contingencies (Note 18)                                                                       |   |                                |          |   |                                    |       |   |   |
| **Minority                interests in consolidated subsidiaries**                                                           |   | ** **                          | **21,556**    |   |                                    | ** ** | **26,189** |   |
| **SHAREHOLDERS'                EQUITY:**                                                                                     |   |                                |          |   |                                    |       |   |   |
| Nil                shares of Preferred Stock of $0.08 each (December 31, 2006 –                nil)                    |   |                                | -             |   |                                    |       | - |   |
| 34,639,921                shares of Class A Common Stock of $0.08 each (December 31, 2006 –                34,412,138) |   |                                | 2,771         |   |                                    |       | 2,753 |   |
| 6,312,839                shares of Class B Common Stock of $0.08 each (December 31, 2006 –                6,312,839)   |   |                                | 505           |   |                                    |       | 505 |   |
| Additional                paid-in capital                                                                                    |   |                                | 936,730       |   |                                    |       | 931,108 |   |
| Accumulated                deficit                                                                                           |   |                                | (609          | )      |                                    |       | (31,730 | ) |
| Accumulated                other comprehensive income / (loss)                                                               |   |                                | 113,627       |   |                                    |       | 133,130 |   |
| **Total                shareholders’ equity**                                                                          |   | ** **                          | **1,053,024** |   |                                    | ** ** | **1,035,766** |   |
| **Total                liabilities and shareholders’ equity**                                                          |   | **$**                               | **1,900,292** |   |                                    | **$**      | **1,819,000** |   |

*The      accompanying notes are an integral part of these condensed consolidated      financial statements.*

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**CONDENSED      CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE      INCOME**

**(US$      000’s, except share and per share data)**

**(Unaudited)**

|                                                                                                                                                                                                 |   | **For                the Three Months Ended****June                30,** |        |   | **For                the Six Months Ended****June                30,** |       |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------|-------------|--------|------------------------------------------------------------------------|------------|
|                                                                                                                                                                                                 |   | **2007**                                                                 |        |   | **2006**                                                               |       |   | **2007** |   |   | **2006** |   |
|                                                                                                                                                                                                 |   |                                                                     |        |   |                                                                   |       |   |   |   |   |   |   |
| **Net                revenues**                                                                                                                                                                      |   | **$**                                                                    | **216,284** |   |                                                                   | **$**      | **156,589** |   |   | **$** | **364,196** |   |   | **$** | **276,343** |   |
| Operating                costs                                                                                                                                                                       |   |                                                                     | 30,944      |   |                                                                   |       | 26,042 |   |   |   | 56,601 |   |   |   | 49,014 |   |
| Cost                of programming                                                                                                                                                                   |   |                                                                     | 82,773      |   |                                                                   |       | 52,850 |   |   |   | 149,126 |   |   |   | 101,268 |   |
| Depreciation                of station property, plant and equipment                                                                                                                                 |   |                                                                     | 7,680       |   |                                                                   |       | 6,059 |   |   |   | 14,579 |   |   |   | 11,761 |   |
| Amortization                of broadcast licenses and other intangibles (Note 4)                                                                                                                     |   |                                                                     | 5,165       |   |                                                                   |       | 4,620 |   |   |   | 10,327 |   |   |   | 8,952 |   |
| **Cost                of revenues**                                                                                                                                                                  |   | ** **                                                               | **126,562** |   |                                                                   | ** ** | **89,571** |   |   | ** ** | **230,633** |   |   | ** ** | **170,995** |   |
| Station                selling, general and administrative expenses                                                                                                                                  |   |                                                                     | 15,699      |   |                                                                   |       | 14,541 |   |   |   | 31,480 |   |   |   | 28,707 |   |
| Corporate                operating costs                                                                                                                                                             |   |                                                                     | 7,444       |   |                                                                   |       | 7,696 |   |   |   | 16,248 |   |   |   | 15,677 |   |
| Impairment                charge                                                                                                                                                                     |   |                                                                     | -           |   |                                                                   |       | 748 |   |   |   | - |   |   |   | 748 |   |
| **Operating                income**                                                                                                                                                                  |   | ** **                                                               | **66,579**  |   |                                                                   | ** ** | **44,033** |   |   | ** ** | **85,835** |   |   | ** ** | **60,216** |   |
| Interest                income                                                                                                                                                                       |   |                                                                     | 1,732       |   |                                                                   |       | 1,741 |   |   |   | 3,146 |   |   |   | 3,194 |   |
| Interest                expense                                                                                                                                                                      |   |                                                                     | (19,438     | )      |                                                                   |       | (11,337 | ) |   |   | (30,834 | ) |   |   | (21,855 | ) |
| Foreign                currency exchange loss, net                                                                                                                                                   |   |                                                                     | (2,116      | )      |                                                                   |       | (20,625 | ) |   |   | (5,252 | ) |   |   | (31,487 | ) |
| Change                in fair value of derivatives (Note 12)                                                                                                                                         |   |                                                                     | 7,528       |   |                                                                   |       | (1,876 | ) |   |   | 12,052 |   |   |   | (1,876 | ) |
| Other                (expense) / income                                                                                                                                                              |   |                                                                     | (546        | )      |                                                                   |       | 167 |   |   |   | (6,759 | ) |   |   | (381 | ) |
| **Income                before provision for income taxes, minority interest, equity in loss                of                unconsolidated affiliates and discontinued                operations** |   | ** **                                                               | **53,739**  |   |                                                                   | ** ** | **12,103** |   |   | ** ** | **58,188** |   |   | ** ** | **7,811** |   |
| Provision                for income taxes                                                                                                                                                            |   |                                                                     | (13,419     | )      |                                                                   |       | (3,582 | ) |   |   | (18,478 | ) |   |   | (7,576 | ) |
| **Income                before minority interest, equity in loss of unconsolidated affiliates                and                discontinued operations**                                            |   | ** **                                                               | **40,320**  |   |                                                                   | ** ** | **8,521** |   |   | ** ** | **39,710** |   |   | ** ** | **235** |   |
| Minority                interest in income of consolidated subsidiaries                                                                                                                              |   |                                                                     | (5,730      | )      |                                                                   |       | (1,276 | ) |   |   | (5,370 | ) |   |   | (6,717 | ) |
| Equity                in loss of unconsolidated affiliates                                                                                                                                           |   |                                                                     | -           |   |                                                                   |       | - |   |   |   | - |   |   |   | (730 | ) |
| **Net                income / (loss) from continuing operations**                                                                                                                                    |   | ** **                                                               | **34,590**  |   |                                                                   | ** ** | **7,245** |   |   | ** ** | **34,340** |   |   | ** ** | **(7,212** | **)** |
| **Discontinued                operations (Note 17):**                                                                                                                                                |   |                                                                     |        |   |                                                                   |       |   |   |   |   |   |   |   |   |   |   |
| Tax                on disposal of discontinued operations (Czech Republic)                                                                                                                           |   |                                                                     | -           |   |                                                                   |       | 1,277 |   |   |   | - |   |   |   | (2,530 | ) |
| **Net                income / (loss) from discontinued operations**                                                                                                                                  |   | ** **                                                               | **-**       |   |                                                                   | ** ** | **1,277** |   |   | ** ** | **-** |   |   | ** ** | **(2,530** | **)** |
| **Net                income / (loss)**                                                                                                                                                               |   | **$**                                                                    | **34,590**  |   |                                                                   | **$**      | **8,522** |   |   | **$** | **34,340** |   |   | **$** | **(9,742** | **)** |
| Currency                translation adjustment, net                                                                                                                                                  |   |                                                                     | (13,868     | )      |                                                                   |       | 44,706 |   |   |   | (19,503 | ) |   |   | 77,165 |   |
| **Total                comprehensive income**                                                                                                                                                        |   | **$**                                                                    | **20,722**  |   |                                                                   | **$**      | **53,228** |   |   | **$** | **14,837** |   |   | **$** | **67,423** |   |

*The      accompanying notes are an integral part of these condensed consolidated      financial statements.*

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**CONDENSED      CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME      (continued)**

**(US$      000’s, except share and per share data)**

**(Unaudited)**

|                                                                                                              |   | **For                the Three Months Ended****June                30,** |   |   | **For                the Six Months Ended****June                30,** |   |
|-------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------|--------|--------|------------------------------------------------------------------------|--------|
|                                                                                                              |   | **2007**                                                                 |   |   | **2006**                                                               |   |   | **2007** |   |   | **2006** |   |
| **PER                SHARE DATA (Note 15):**                                                                      |   |                                                                     |   |   |                                                                   |   |   |   |   |   |   |   |
| *Net                income / (loss) per share:*                                                                   |   |                                                                     |   |   |                                                                   |   |   |   |   |   |   |   |
| Continuing                operations – Basic                                                                |   | $                                                                        | 0.84   |   |                                                                   | $      | 0.18 |   |   | $ | 0.84 |   |   | $ | (0.18 | ) |
| Continuing                operations – Diluted                                                              |   |                                                                     | 0.83   |   |                                                                   |   | 0.18 |   |   |   | 0.83 |   |   |   | (0.18 | ) |
| Discontinued                operations – Basic                                                              |   |                                                                     | 0.00   |   |                                                                   |   | 0.03 |   |   |   | 0.00 |   |   |   | (0.07 | ) |
| Discontinued                operations – Diluted                                                            |   |                                                                     | 0.00   |   |                                                                   |   | 0.03 |   |   |   | 0.00 |   |   |   | (0.07 | ) |
| Net                income / (loss) – Basic                                                                  |   |                                                                     | 0.84   |   |                                                                   |   | 0.21 |   |   |   | 0.84 |   |   |   | (0.25 | ) |
| Net                income / (loss) – Diluted                                                                |   | $                                                                        | 0.83   |   |                                                                   | $      | 0.21 |   |   | $ | 0.83 |   |   | $ | (0.25 | ) |
|                                                                                                              |   |                                                                     |   |   |                                                                   |   |   |   |   |   |   |   |   |   |   |   |
| *Weighted                average common shares used in computing per share amounts                (000’s):* |   |                                                                     |   |   |                                                                   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                                                             |   |                                                                     | 40,941 |   |                                                                   |   | 40,597 |   |   |   | 40,867 |   |   |   | 39,355 |   |
| Diluted                                                                                                           |   |                                                                     | 41,407 |   |                                                                   |   | 41,186 |   |   |   | 41,390 |   |   |   | 39,355 |   |

*The      accompanying notes are an integral part of these condensed consolidated      financial statements.*

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**CONDENSED      CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY**

**(US$      000’s)**

**(Unaudited)**

|                                                                   |   | **Class                  A Common Stock** |           |   | **Class                  B Common Stock** |   |      |                                  |   |   |                           |   |   |                                            |    |   |                                     |   |
|------------------------------------------------------------------------|--------|-------------------------------------------|----------------|--------|-------------------------------------------|--------|-----------|---------------------------------------|--------|--------|--------------------------------|--------|--------|-------------------------------------------------|---------|--------|------------------------------------------|--------|
|                                                                   |   | **Number                  of shares**     |           |   | **Par                  value**            |   |      | **Number                  of shares** |   |   | **Par                  value** |   |   | **Additional                  Paid-In Capital** |    |   | **Accumulated                  Deficit** |   |   | **Accumulated                  Other Comprehensive Income / (Loss)** |   |   | **Total                  Shareholders' Equity** |   |
| **BALANCE,****December 31, 2006**                            |   |                                      | **34,412,138** |   |                                      | **$**  | **2,753** |                                  |   |   | **6,312,839**                  |   |   | **$**                                           | **505** |   |                                     | **$**  | **931,108** |   |   | **$** | **(31,730** | **)** |   | **$** | **133,130** |   |   | **$** | **1,035,766** |   |
| Impact                  of adoption of FIN 48                          |   |                                      | -              |   |                                      |   | -         |                                  |   |   | -                              |   |   |                                            | -       |   |                                     |   | - |   |   |   | (3,219 | ) |   |   | - |   |   |   | (3,219 | ) |
| BALANCE,                  upon the adoption                  of FIN 48 |   |                                      | **34,412,138** |   |                                      | **$**  | **2,753** |                                  |   |   | **6,312,839**                  |   |   | **$**                                           | **505** |   |                                     | **$**  | **931,108** |   |   | **$** | **(34,949** | **)** |   | **$** | **133,130** |   |   | **$** | **1,032,547** |   |
| Stock-based                  compensation                              |   |                                      | -              |   |                                      |   | -         |                                  |   |   | -                              |   |   |                                            | -       |   |                                     |   | 2,910 |   |   |   | - |   |   |   | - |   |   |   | 2,910 |   |
| Stock                  options exercised                               |   |                                      | 227,783        |   |                                      |   | 18        |                                  |   |   | -                              |   |   |                                            | -       |   |                                     |   | 2,712 |   |   |   | - |   |   |   | - |   |   |   | 2,730 |   |
| Net                  income                                            |   |                                      | -              |   |                                      |   | -         |                                  |   |   | -                              |   |   |                                            | -       |   |                                     |   | - |   |   |   | 34,340 |   |   |   | - |   |   |   | 34,340 |   |
| Currency                  translation adjustment                       |   |                                      | -              |   |                                      |   | -         |                                  |   |   | -                              |   |   |                                            | -       |   |                                     |   | - |   |   |   | - |   |   |   | (19,503 | ) |   |   | (19,503 | ) |
| **BALANCE,****June 30, 2007**                                |   |                                      | **34,639,921** |   |                                      | **$**  | **2,771** |                                  |   |   | **6,312,839**                  |   |   | **$**                                           | **505** |   |                                     | **$**  | **936,730** |   |   | **$** | **(609** | **)** |   | **$** | **113,627** |   |   | **$** | **1,053,024** |   |

|                                                                                                             |   | **Class                A Common Stock** |           |   | **Class                B Common Stock** |   |      |                                |   |       |                         |   |   |                                          |    |   |                                   |   |
|------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------|----------------|--------|-----------------------------------------|--------|-----------|-------------------------------------|--------|------------|------------------------------|--------|--------|-----------------------------------------------|---------|--------|----------------------------------------|--------|
|                                                                                                             |   | **Number                of Shares**     |           |   | **Par                Value**            |   |      | **Number                of Shares** |   |       | **Par                Value** |   |   | **Additional                Paid-In Capital** |    |   | **Accumulated                Deficit** |   |   | **Accumulated                Other Comprehensive Income / (Loss)** |   |   | **Total                Shareholders' Equity** |   |
| **BALANCE,****December 31, 2005**                                                                      |   | ** **                              | **31,032,994** |   |                                    | **$**  | **2,482** |                                |   | ** ** | **6,966,533**                |   |   | **$**                                         | **558** |   |                                   | **$**  | **754,061** |   |   | **$** | **(52,154** | **)** |   | **$** | **(24,394** | **)** |   | **$** | **680,553** |   |
| Stock-based                compensation                                                                          |   |                                    | -              |   |                                    |   | -         |                                |   |       | -                            |   |   |                                          | -       |   |                                   |   | 1,418 |   |   |   | - |   |   |   | - |   |   |   | 1,418 |   |
| Stock                options exercised                                                                           |   |                                    | 77,250         |   |                                    |   | 7         |                                |   |       | -                            |   |   |                                          | -       |   |                                   |   | 1,060 |   |   |   | - |   |   |   | - |   |   |   | 1,067 |   |
| Shares                issued, net of fees                                                                        |   |                                    | 2,530,000      |   |                                    |   | 202       |                                |   |       | -                            |   |   |                                          | -       |   |                                   |   | 168,397 |   |   |   | - |   |   |   | - |   |   |   | 168,599 |   |
| Conversion                of Class B to Class A Common Shares                                                    |   |                                    | 753,694        |   |                                    |   | 61        |                                |   |       | (753,694                     | )      |   |                                          | (61     | )      |                                   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Net                loss                                                                                          |   |                                    | -              |   |                                    |   | -         |                                |   |       | -                            |   |   |                                          | -       |   |                                   |   | - |   |   |   | (9,742 | ) |   |   | - |   |   |   | (9,742 | ) |
| Currency                translation adjustment                                                                   |   |                                    | -              |   |                                    |   | -         |                                |   |       | -                            |   |   |                                          | -       |   |                                   |   | - |   |   |   | - |   |   |   | 77,165 |   |   |   | 77,165 |   |
| **BALANCE,****June 30, 2006  ****as                restated (see****Note                2)** |   | ** **                              | **34,393,938** |   |                                    | **$**  | **2,752** |                                |   | ** ** | **6,212,839**                |   |   | **$**                                         | **497** |   |                                   | **$**  | **924,936** |   |   | **$** | **(61,896** | **)** |   | **$** | **52,771** |   |   | **$** | **919,060** |   |

*The      accompanying notes are an integral part of these condensed consolidated      financial statements.*

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**CONDENSED      CONSOLIDATED STATEMENTS OF CASH FLOWS**

**(US$      000’s)**

**(Unaudited)**

|                                                                                                                        |   | **For                the Six Months Ended June 30,** |        |
|-----------------------------------------------------------------------------------------------------------------------------|--------|------------------------------------------------------|-------------|
|                                                                                                                        |   | **2007**                                             |        |   | **2006** |   |
| **CASH                FLOWS FROM OPERATING ACTIVITIES:**                                                                    |   |                                                 |        |   |   |   |
| **Net                income/(loss)**                                                                                        |   | **$**                                                | **34,340**  |   |   | **$** | **(9,742** | **)** |
| Adjustments                to reconcile net income / (loss) to net cash generated from operating                activities: |   |                                                 |        |   |   |   |   |   |
| Loss                from discontinued operations (Note 17)                                                                  |   |                                                 | -           |   |   |   | 2,530 |   |
| Equity                in loss of unconsolidated affiliates, net of dividends                received                        |   |                                                 | -           |   |   |   | 730 |   |
| Depreciation                and amortization                                                                                |   |                                                 | 110,945     |   |   |   | 74,429 |   |
| Impairment                charge                                                                                            |   |                                                 | -           |   |   |   | 748 |   |
| Loss                on disposal of fixed asset                                                                              |   |                                                 | -           |   |   |   | 1,171 |   |
| Stock-based                compensation (Note 14)                                                                           |   |                                                 | 2,605       |   |   |   | 1,418 |   |
| Minority                interest in income of consolidated subsidiaries                                                     |   |                                                 | 5,370       |   |   |   | 6,717 |   |
| Change                in fair value of derivative instruments                                                               |   |                                                 | (12,052     | ) |   |   | 1,876 |   |
| Foreign                currency exchange loss, net                                                                          |   |                                                 | 5,252       |   |   |   | 31,487 |   |
| Net                change in (net of effects of acquisitions and disposals of                businesses):                   |   |                                                 |        |   |   |   |   |   |
| Accounts                receivable                                                                                          |   |                                                 | (25,572     | ) |   |   | (7,970 | ) |
| Program                rights                                                                                               |   |                                                 | (100,593    | ) |   |   | (69,836 | ) |
| Other                assets                                                                                                 |   |                                                 | (8,018      | ) |   |   | 1,963 |   |
| Accounts                payable and accrued liabilities                                                                     |   |                                                 | 5,723       |   |   |   | (7,893 | ) |
| Income                taxes payable                                                                                         |   |                                                 | (274        | ) |   |   | (6,922 | ) |
| Deferred                taxes                                                                                               |   |                                                 | (458        | ) |   |   | 5,352 |   |
| VAT                and other taxes payable                                                                                  |   |                                                 | 4,333       |   |   |   | 11,217 |   |
| **Net                cash generated from continuing operating                activities**                                   |   |                                                 | **21,601**  |   |   |   | 37,275 |   |
|                                                                                                                        |   |                                                 |        |   |   |   |   |   |
| **CASH                FLOWS FROM INVESTING ACTIVITIES:**                                                                    |   |                                                 |        |   |   |   |   |   |
| Net                change in restricted cash                                                                                |   |                                                 | -           |   |   |   | (4,068 | ) |
| Purchase                of property, plant and equipment                                                                    |   |                                                 | (25,469     | ) |   |   | (18,461 | ) |
| Proceeds                from disposal of property, plant and equipment                                                      |   |                                                 | 123         |   |   |   | 19 |   |
| Investments                in subsidiaries and unconsolidated affiliates                                                    |   |                                                 | (63,017     | ) |   |   | (59,308 | ) |
| Repayment                of loans and advances to related parties                                                           |   |                                                 | 250         |   |   |   | 250 |   |
| **Net                cash used in continuing investing activities**                                                         |   | ** **                                           | **(88,113** | **)** |   | ** ** | **(81,568** | **)** |
|                                                                                                                        |   |                                                 |        |   |   |   |   |   |
| **CASH                FLOWS FROM FINANCING ACTIVITIES:**                                                                    |   |                                                 |        |   |   |   |   |   |
| Proceeds                from credit facilities                                                                              |   |                                                 | 135,465     |   |   |   | 34,765 |   |
| Payment                of credit facilities and capital leases                                                              |   |                                                 | (137,289    | ) |   |   | (65,519 | ) |
| Net                proceeds from issuance of Senior Notes                                                                   |   |                                                 | 199,400     |   |   |   | - |   |
| Redemption                of Senior Notes                                                                                   |   |                                                 | (169,010    | ) |   |   | - |   |
| Proceeds                from issuance of stock options                                                                      |   |                                                 | 2,730       |   |   |   | 1,067 |   |
| Issuance                of shares of Class A Common Stock                                                                   |   |                                                 | -           |   |   |   | 168,599 |   |
| Excess                tax benefits from share based payment arrangements                                                    |   |                                                 | 305         |   |   |   | - |   |
| Dividends                paid to minority shareholders                                                                      |   |                                                 | (476        | ) |   |   | (679 | ) |
| **Net                cash received from continuing financing                activities**                                    |   | ** **                                           | **31,125**  |   |   | ** ** | **138,233** |   |
|                                                                                                                        |   |                                                 |        |   |   |   |   |   |
| NET                CASH USED IN DISCONTINUED OPERATIONS – OPERATING                ACTIVITIES                         |   |                                                 | (1,624      | ) |   |   | (1,690 | ) |
| **Impact                of exchange rate fluctuations on cash**                                                             |   | ** **                                           | **7,769**   |   |   | ** ** | **(4,910** | **)** |
|                                                                                                                        |   |                                                 |        |   |   |   |   |   |
| Net                (decrease)/increase in cash and cash equivalents                                                         |   |                                                 | (29,242     | ) |   |   | 87,340 |   |
| **CASH                AND CASH EQUIVALENTS, beginning of period**                                                           |   | ** **                                           | **145,904** |   |   | ** ** | **71,658** |   |
| **CASH                AND CASH EQUIVALENTS, end of period**                                                                 |   | **$**                                                | **116,662** |   |   | **$** | **158,998** |   |

*The      accompanying notes are an integral part of these condensed consolidated      financial statements.*

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

**1.  ORGANIZATION      AND BUSINESS**

| **Company                Name**                                            | **Effective****Voting****Interest** | **Jurisdiction                of****Organization** | **Type                of Affiliate (1)**   |
|----------------------------------------------------------------------------|-------------------------------------|----------------------------------------------------|--------------------------------------------|
|                                                                       |                                |                                               |                                       |
| Nova                TV d.d. (“Nova TV (Croatia)”)              | 100.0%                              | Croatia                                            | Subsidiary                                 |
| Media                House d.o.o.                                          | 100.0%                              | Croatia                                            | Subsidiary                                 |
| Internet                Dnevnik d.o.o.                                     | 76.0%                               | Croatia                                            | Subsidiary                                 |
|                                                                       |                                |                                               |                                       |
| CME                Media Investments, s.r.o.                               | 100.0%                              | Czech                Republic                      | Subsidiary                                 |
| VILJA,                a.s. (“Vilja”)                           | 100.0%                              | Czech                Republic                      | Subsidiary                                 |
| CET                21 spol., s r.o. (“CET 21”)                 | 100.0%                              | Czech                Republic                      | Subsidiary                                 |
| ERIKA                a.s.                                                  | 100.0%                              | Czech                Republic                      | Subsidiary                                 |
| MEDIA                CAPITOL a.s.                                          | 100.0%                              | Czech                Republic                      | Subsidiary                                 |
| NOVA-V.I.P.                a.s.                                            | 100.0%                              | Czech                Republic                      | Subsidiary                (in liquidation) |
| HARTIC,                a.s.                                                | 100.0%                              | Czech                Republic                      | Subsidiary                                 |
| Galaxie                sport s r.o. (“Galaxie Sport”)          | 100.0%                              | Czech                Republic                      | Subsidiary                                 |
|                                                                       |                                |                                               |                                       |
| Media                Pro International S.A.  (“MPI”) | 95.0%                               | Romania                                            | Subsidiary                                 |
| Media                Vision SRL (“Media Vision”)               | 95.0%                               | Romania                                            | Subsidiary                                 |
| MPI                Romania B.V.                                            | 95.0%                               | Netherlands                                        | Subsidiary                                 |
| Pro                TV S.A. (“Pro TV”)                          | 95.0%                               | Romania                                            | Subsidiary                                 |
| Sport                Radio TV Media SRL (“Sport.ro”)           | 95.0%                               | Romania                                            | Subsidiary                                 |
| Media                Pro B.V.                                              | 10.0%                               | Netherlands                                        | Cost                investment             |
| Media                Pro Management S.A.                                   | 10.0%                               | Romania                                            | Cost                investment             |
|                                                                       |                                |                                               |                                       |
| A.R.J.                a.s. (“ARJ”)                             | 100.0%                              | Slovak                Republic                     | Subsidiary                                 |
| MARKIZA-SLOVAKIA                spol. s r.o. (“Markiza”)       | 80.0%                               | Slovak                Republic                     | Subsidiary                                 |
| GAMATEX                spol. s r.o.                                        | 80.0%                               | Slovak                Republic                     | Subsidiary                (in liquidation) |
| A.D.A.M.,                a.s.                                              | 80.0%                               | Slovak                Republic                     | Subsidiary                (in liquidation) |
|                                                                       |                                |                                               |                                       |
| MMTV                1 d.o.o.                                               | 100.0%                              | Slovenia                                           | Subsidiary                                 |
| Produkcija                Plus d.o.o. (“Pro Plus”)             | 100.0%                              | Slovenia                                           | Subsidiary                                 |
| POP                TV d.o.o. (“Pop TV”)                        | 100.0%                              | Slovenia                                           | Subsidiary                                 |
| Kanal                A d.o.o. (“Kanal A”)                      | 100.0%                              | Slovenia                                           | Subsidiary                                 |
| Euro                3 TV d.o.o                                             | 42.0%                               | Slovenia                                           | Equity-Accounted                Affiliate  |

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

| **Company                Name**                                                                    | **Effective                Voting Interest** | **Jurisdiction                of Organization** | **Type                of Affiliate (1)**                   |
|----------------------------------------------------------------------------------------------------|----------------------------------------------|-------------------------------------------------|------------------------------------------------------------|
|                                                                                               |                                         |                                            |                                                       |
| MTC                Holding d.o.o.                                                                  | 24.0%                                        | Slovenia                                        | Equity-Accounted                Affiliate (in liquidation) |
|                                                                                               |                                         |                                            |                                                       |
| International                Media Services Ltd. (“IMS”)                               | 60.0%                                        | Bermuda                                         | Subsidiary                                                 |
| Innova                Film GmbH (“Innova”)                                             | 60.0%                                        | Germany                                         | Subsidiary                                                 |
| Foreign                Enterprise “Inter-Media”  (“Inter-Media”) | 60.0%                                        | Ukraine                                         | Subsidiary                                                 |
| TV                Media Planet Ltd.                                                                | 60.0%                                        | Cyprus                                          | Subsidiary                                                 |
| Studio                1+1 LLC (“Studio 1+1”)                                           | 18.0%                                        | Ukraine                                         | Consolidated                Variable Interest Entity       |
|                                                                                               |                                         |                                            |                                                       |
| Ukrainian                Media Services LLC                                                        | 99.0%                                        | Ukraine                                         | Subsidiary                                                 |
| Ukrpromtorg                -2003 LLC (“Ukrpromtorg”)                                   | 65.5%                                        | Ukraine                                         | Subsidiary                                                 |
| Gravis                LLC                                                                          | 60.4%                                        | Ukraine                                         | Subsidiary                                                 |
| Delta                JSC                                                                           | 60.4%                                        | Ukraine                                         | Subsidiary                                                 |
| Nart                LLC                                                                            | 65.5%                                        | Ukraine                                         | Subsidiary                                                 |
| TV                Stimul LLC                                                                       | 49.1%                                        | Ukraine                                         | Equity-Accounted                Affiliate                  |
| Tor                LLC (“Tor”)                                                         | 60.4%                                        | Ukraine                                         | Subsidiary                                                 |
| Zhysa                LLC (“Zhysa”)                                                     | 60.4%                                        | Ukraine                                         | Subsidiary                                                 |
|                                                                                               |                                         |                                            |                                                       |
| CME                Media Enterprises B.V.                                                          | 100.0%                                       | Netherlands                                     | Subsidiary                                                 |
| CME                Czech Republic II B.V.                                                          | 100.0%                                       | Netherlands                                     | Subsidiary                                                 |
| CME                Romania B.V.                                                                    | 100.0%                                       | Netherlands                                     | Subsidiary                                                 |
| CME                Slovak Holdings B.V.                                                            | 100.0%                                       | Netherlands                                     | Subsidiary                                                 |
|                                                                                               |                                         |                                            |                                                       |
| Central                European Media Enterprises N.V.                                             | 100.0%                                       | Netherlands                Antilles             | Subsidiary                                                 |
| Central                European Media Enterprises II B.V.                                          | 100.0%                                       | Netherlands                Antilles             | Subsidiary                                                 |
|                                                                                               |                                         |                                            |                                                       |
| CME                SR d.o.o.                                                                       | 100.0%                                       | Serbia                                          | Subsidiary                (in liquidation)                 |
| CME                Ukraine Holding GmbH                                                            | 100.0%                                       | Austria                                         | Subsidiary                                                 |
| CME                Cyprus Holding Ltd.                                                             | 100.0%                                       | Cyprus                                          | Subsidiary                                                 |
| CME                Development Corporation                                                         | 100.0%                                       | Delaware                                        | Subsidiary                                                 |

| (1) | all                subsidiaries have been consolidated in our Consolidated Financial                Statements. All equity-accounted affiliates have been accounted for                using                the equity method. All cost investments have been accounted for using                the                cost method. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

*Croatia*

*Czech      Republic*

*Romania*

*Slovak      Republic*

*Slovenia*

*Ukraine      (Studio 1+1)*

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

*Ukraine      (KINO, CITI)*

**2.  SUMMARY      OF SIGNIFICANT ACCOUNTING POLICIES**

**Basis      of Presentation**

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

**Income      Taxes**

| **Jurisdiction**               | **Year** |
|--------------------------------|----------|
| Croatia                        | 2003     |
| Czech                Republic  | 2003     |
| Germany                        | 2000     |
| Netherlands                    | 2004     |
| Romania                        | 2002     |
| Slovak                Republic | 2001     |
| Slovenia                       | 2001     |
| Ukraine                        | 2003     |
| United                States   | 2001     |

**Recent      Accounting Pronouncements**

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

**Restatement**

|                                                       |   | **As                reported****previously** |    |   | **Adjustment** |   |   | **As                restated** |   |
|------------------------------------------------------------|--------|----------------------------------------------|---------|--------|----------------|--------|--------|--------------------------------|--------|
| **Balance                Sheet (as of June 30, 2006)**     |   |                                         |    |   |           |   |   |                           |   |
| Additional                paid-in capital at June 30, 2006 |   | $                                            | 917,755 |   |           | $      | 7,181  |                           |   | $ | 924,936 |   |
| Accumulated                deficit at June 30, 2006        |   |                                         | (54,715 | )      |           |   | (7,181 | )                              |   |   | (61,896 | ) |

**3.  ACQUISITIONS      AND DISPOSALS**

**Romania**

*Acquisition      of additional interest – Sport.ro*

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

|                                                                                                                                                                                                                                                                                       |   | **Fair                Value on Acquisition** |       |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------|------------|
|                                                                                                                                                                                                                                                                                       |   |                                         |       |
|                                                                                                                                                                                                                                                                                       |   |                                         |       |
| Property,                plant and equipment                                                                                                                                                                                                                                               |   | $                                            | 35         |   |
| Intangible                assets subject to amortization (1)                                                                                                                                                                                                                               |   |                                         | 4,784      |   |
| Intangible                assets not subject to amortization (2)                                                                                                                                                                                                                           |   |                                         | 8,974      |   |
| Other                assets                                                                                                                                                                                                                                                                |   |                                         | 2,904      |   |
| Goodwill                                                                                                                                                                                                                                                                                   |   |                                         | 2,311      |   |
| Deferred                tax liability                                                                                                                                                                                                                                                      |   |                                         | (1,575     | ) |
| Other                liabilities                                                                                                                                                                                                                                                           |   |                                         | (6,398     | ) |
| **Total                purchase price**                                                                                                                                                                                                                                                    |   | **$**                                        | **11,035** |   |
|                                                                                                                                                                                                                                                                                       |   |                                         |       |   |
| (1)                The intangible assets subject to amortization comprise customer                relationships, which are being amortized over one to twenty years                (weighted average: 15.5 years) and trademarks, which are being amortized                over two years. |   |
| (2)                Intangible assets not subject to amortization represent television                broadcast licenses.                                                                                                                                                                   |   |

*Acquisition      of additional interest – MPI and Pro TV*

|                                                                                                                                                                                                                               |   | **Fair                Value on Acquisition** |       |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------|------------|
|                                                                                                                                                                                                                               |   |                                         |       |
| Intangible                assets subject to amortization (1)                                                                                                                                                                       |   | $                                            | 4,517      |   |
| Intangible                assets not subject to amortization (2)                                                                                                                                                                   |   |                                         | 23,597     |   |
| Goodwill                                                                                                                                                                                                                           |   |                                         | 23,974     |   |
| Deferred                tax liability                                                                                                                                                                                              |   |                                         | (4,498     | ) |
| Minority                interests                                                                                                                                                                                                  |   |                                         | 4,029      |   |
| **Total                purchase price**                                                                                                                                                                                            |   | **$**                                        | **51,619** |   |
|                                                                                                                                                                                                                               |   |                                         |       |   |
| (1)                The intangible assets subject to amortization comprise customer                relationships, which are being amortized over one to ten years (weighted                average: 8.3 years).                     |   |
|                                                                                                                                                                                                                               |   |
| (2)                Intangible assets not subject to amortization comprise approximately                US$                9.2 million in trademarks and US$ 14.4 million relating to television                broadcast licenses. |   |

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

**Croatia**

*Internet      Dnevnik*

**Ukraine      (KINO, CITI)**

*Tor      and Zhysa*

**4.  GOODWILL      AND INTANGIBLE ASSETS**

*Goodwill:*

|                                |   | **Balance****December                31, 2006** |        |   | **Additions** |   |       | **Foreign                currency movement** |   |   | **Balance****June                30, 2007** |   |
|-------------------------------------|--------|-------------------------------------------------|-------------|--------|---------------|--------|------------|----------------------------------------------|--------|--------|---------------------------------------------|--------|
|                                |   |                                            |        |   |          |   |       |                                         |   |   |                                        |   |
| Croatia                             |   | **$**                                           | **-**       |   |          | $      | 712        |                                         |   | $      | -                                           |   |   | **$** | **712** |   |
| Czech                Republic       |   | ** **                                      | **823,786** |   |          |   | -          |                                         |   |   | (14,804                                     | )      |   | ** ** | **808,982** |   |
| Romania                             |   | ** **                                      | **31,130**  |   |          |   | 26,285     |                                         |   |   | -                                           |   |   | ** ** | **57,415** |   |
| Slovak                Republic      |   | ** **                                      | **25,483**  |   |          |   | -          |                                         |   |   | 1,427                                       |   |   | ** ** | **26,910** |   |
| Slovenia                            |   | ** **                                      | **16,458**  |   |          |   | -          |                                         |   |   | 415                                         |   |   | ** ** | **16,873** |   |
| Ukraine                (STUDIO 1+1) |   | ** **                                      | **4,096**   |   |          |   | -          |                                         |   |   | -                                           |   |   | ** ** | **4,096** |   |
| Ukraine                (KINO, CITI) |   | ** **                                      | **4,627**   |   |          |   | 3,124      |                                         |   |   | -                                           |   |   | ** ** | **7,751** |   |
| **Total**                           |   | **$**                                           | **905,580** |   |          | **$**  | **30,121** |                                         |   | **$**  | **(12,962**                                 | **)**  |   | **$** | **922,739** |   |

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

*Broadcast      licenses:*

|                                          |   | **Indefinite-Lived                Broadcast Licenses** |       |   | **Amortized                Broadcast Licenses** |   |        | **Total** |   |
|-----------------------------------------------|--------|--------------------------------------------------------|------------|--------|-------------------------------------------------|--------|-------------|-----------|--------|
|                                          |   |                                                   |       |   |                                            |   |        |      |   |
| **Balance,                December 31, 2006** |   | **$**                                                  | **26,344** |   |                                            | **$**  | **172,386** |      |   | **$** | **198,730** |   |
| Additions                                     |   |                                                   | 23,421     |   |                                            |   | -           |      |   | ** ** | **23,421** |   |
| Amortization                                  |   |                                                   | -          |   |                                            |   | (8,446      | )         |   | ** ** | **(8,446** | **)** |
| Foreign                currency movements     |   |                                                   | 132        |   |                                            |   | (2,956      | )         |   | ** ** | **(2,824** | **)** |
| **Balance,                June 30, 2007**     |   | **$**                                                  | **49,897** |   |                                            | **$**  | **160,984** |      |   | **$** | **210,881** |   |

|                                    |   | **June                30,****2007** |        |   | **December                31, 2006** |   |
|-----------------------------------------|--------|-------------------------------------|-------------|--------|--------------------------------------|--------|
|                                    |   |                                |        |   |                                 |   |
| Gross                value              |   | $                                   | 198,523     |   |                                 | $      | 201,994 |   |
| Accumulated                amortization |   |                                | (37,539     | )      |                                 |   | (29,608 | ) |
| **Total                net book value** |   | **$**                               | **160,984** |   |                                 | **$**  | **172,386** |   |

*Other      intangible assets:*

|                                          |   | **Trademarks** |       |   | **Customer                Relationships** |   |       | **Other** |   |   | **Total** |   |
|-----------------------------------------------|--------|----------------|------------|--------|-------------------------------------------|--------|------------|-----------|--------|--------|-----------|--------|
|                                          |   |           |       |   |                                      |   |       |      |   |   |      |   |
| **Balance,                December 31, 2006** |   | **$**          | **44,026** |   |                                      | **$**  | **27,213** |      |   | **$**  | **703**   |   |   | **$** | **71,942** |   |
| Additions                                     |   |           | 9,787      |   |                                      |   | 8,664      |      |   |   | 14        |   |   | ** ** | **18,465** |   |
| Amortization                                  |   |           | (106       | )      |                                      |   | (1,727     | )         |   |   | (48       | )      |   | ** ** | **(1,881** | **)** |
| Foreign                currency movements     |   |           | (241       | )      |                                      |   | 127        |      |   |   | 52        |   |   | ** ** | **(62** | **)** |
| **Balance,                June 30, 2007**     |   | **$**          | **53,466** |   |                                      | **$**  | **34,277** |      |   | **$**  | **721**   |   |   | **$** | **88,464** |   |

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

|                                    |   | **June                30,****2007** |       |   | **December                31,****2006** |   |
|-----------------------------------------|--------|-------------------------------------|------------|--------|-----------------------------------------|--------|
|                                    |   |                                |       |   |                                    |   |
| Gross                value              |   | $                                   | 95,359     |   |                                    | $      | 76,695 |   |
| Accumulated                amortization |   |                                | (6,895     | )      |                                    |   | (4,753 | ) |
| **Total                net book value** |   | **$**                               | **88,464** |   |                                    | **$**  | **71,942** |   |

**5.  SENIOR      NOTES**

|                                                        |   | **Carrying                Value**   |        |   | **Fair                Value**           |   |
|-------------------------------------------------------------|--------|-------------------------------------|-------------|--------|-----------------------------------------|--------|
|                                                        |   | **June                30,****2007** |        |   | **December                31,****2006** |   |   | **June                30,****2007** |   |   | **December                31,****2006** |   |
|                                                        |   |                                |        |   |                                    |   |   |   |   |   |   |   |
| EUR                245.0 million 8.25% Senior Notes         |   | $                                   | 330,858     |   |                                    | $      | 322,666 |   |   | $ | 357,326 |   |   | $ | 353,722 |   |
| EUR                125.0 million Floating Rate Senior Notes |   |                                | -           |   |                                    |   | 164,625 |   |   |   | - |   |   |   | 170,181 |   |
| EUR                150.0 million Floating Rate Senior Notes |   |                                | 202,566     |   |                                    |   | - |   |   |   | 202,313 |   |   |   | - |   |
|                                                        |   | **$**                               | **533,424** |   |                                    | **$**  | **487,291** |   |   | **$** | **559,639** |   |   | **$** | **523,903** |   |

**Fixed      Rate Notes**

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

| **From:**                                   |   | **Fixed                Rate Notes****Redemption                Price** |    |
|---------------------------------------------|--------|------------------------------------------------------------------------|---------|
|                                        |   |                                                                   |    |
| May                15, 2009 to May 14, 2010 |   |                                                                   | 104.125 | % |
| May                15, 2010 to May 14, 2011 |   |                                                                   | 102.063 | % |
| May                15, 2011 and thereafter  |   |                                                                   | 100.000 | % |

**2014      Floating Rate Notes**

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

| **From:**                                        |   | **2014                Floating Rate Notes****Redemption                Price** |    |
|--------------------------------------------------|--------|-------------------------------------------------------------------------------------|---------|
|                                             |   |                                                                                |    |
| November                15, 2007 to May 14, 2008 |   |                                                                                | 102.000 | % |
| May                15, 2008 to May 14, 2009      |   |                                                                                | 101.000 | % |
| May                15, 2009 and thereafter       |   |                                                                                | 100.000 | % |

**6.  RESTRICTED      CASH**

|                                     |   | **June                30,****2007** |      |   | **December                31,****2006** |   |
|------------------------------------------|--------|-------------------------------------|-----------|--------|-----------------------------------------|--------|
|                                     |   |                                |      |   |                                    |   |
| Croatia                                  |   | $                                   | 383       |   |                                    | $      | 4,183 |   |
| Slovenia                                 |   |                                | 743       |   |                                    |   | 724 |   |
| Ukraine                (STUDIO 1+1)      |   |                                | 48        |   |                                    |   | 47 |   |
| **Total                restricted cash** |   | **$**                               | **1,174** |   |                                    | **$**  | **4,954** |   |

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

**7.  ACCOUNTS      RECEIVABLE**

|                                                          |   | **June                30,****2007** |        |   | **December                31,****2006** |   |
|---------------------------------------------------------------|--------|-------------------------------------|-------------|--------|-----------------------------------------|--------|
| **Trading:**                                                  |   |                                |        |   |                                    |   |
| Third-party                customers                          |   | $                                   | 187,160     |   |                                    | $      | 156,701 |   |
| Less:                allowance for bad debts and credit notes |   |                                | (12,748     | )      |                                    |   | (11,472 | ) |
| Related                parties                                |   |                                | 5,114       |   |                                    |   | 7,655 |   |
| Less:                allowance for bad debts and credit notes |   |                                | (134        | )      |                                    |   | (798 | ) |
| **Total                trading**                              |   | **$**                               | **179,392** |   |                                    | **$**  | **152,086** |   |
|                                                          |   |                                |        |   |                                    |   |   |   |
| **Other:**                                                    |   |                                |        |   |                                    |   |   |   |
| Third-party                customers                          |   | $                                   | 365         |   |                                    | $      | 359 |   |
| Less:                allowance for bad debts and credit notes |   |                                | (105        | )      |                                    |   | (103 | ) |
| Related                parties                                |   |                                | 468         |   |                                    |   | 454 |   |
| Less:                allowance for bad debts and credit notes |   |                                | (61         | )      |                                    |   | (291 | ) |
| **Total                other**                                |   | **$**                               | **667**     |   |                                    | **$**  | **419** |   |
|                                                          |   |                                |        |   |                                    |   |   |   |
| **Total                accounts receivable**                  |   | **$**                               | **180,059** |   |                                    | **$**  | **152,505** |   |

**8.  OTHER      ASSETS**

|                                              |   | **June                30,****2007** |       |   | **December                31,****2006** |   |
|---------------------------------------------------|--------|-------------------------------------|------------|--------|-----------------------------------------|--------|
| **Current:**                                      |   |                                |       |   |                                    |   |
| Prepaid                programming                |   | $                                   | 32,531     |   |                                    | $      | 23,072 |   |
| Other                prepaid expenses             |   |                                | 17,182     |   |                                    |   | 13,177 |   |
| Deferred                tax                       |   |                                | 2,872      |   |                                    |   | 2,124 |   |
| VAT                recoverable                    |   |                                | 2,328      |   |                                    |   | 2,562 |   |
| Loan                to related party              |   |                                | 600        |   |                                    |   | 600 |   |
| Capitalized                debt issuance costs    |   |                                | 2,723      |   |                                    |   | 2,908 |   |
| Other                                             |   |                                | 3,519      |   |                                    |   | 3,112 |   |
| **Total                other current assets**     |   | **$**                               | **61,755** |   |                                    | **$**  | **47,555** |   |
| **Non-current:**                                  |   |                                |       |   |                                    |   |   |   |
| Capitalized                debt costs             |   | $                                   | 10,765     |   |                                    | $      | 11,264 |   |
| Loan                to related party              |   |                                | 1,441      |   |                                    |   | 1,603 |   |
| Deferred                tax                       |   |                                | 4,636      |   |                                    |   | 3,443 |   |
| Other                                             |   |                                | 2,309      |   |                                    |   | 1,165 |   |
| **Total                other non-current assets** |   | **$**                               | **19,151** |   |                                    | **$**  | **17,475** |   |

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

**9.  PROPERTY,      PLANT AND EQUIPMENT**

|                                                                 |   | **June                30,****2007** |        |   | **December                31,****2006** |       |
|----------------------------------------------------------------------|--------|-------------------------------------|-------------|--------|-----------------------------------------|------------|
|                                                                 |   |                                |        |   |                                    |       |
| Land                and buildings                                    |   | $                                   | 57,958      |   |                                    | $          | 56,212 |   |
| Station                machinery, fixtures and equipment             |   |                                | 124,354     |   |                                    |       | 115,238 |   |
| Other                equipment                                       |   |                                | 23,933      |   |                                    |       | 21,980 |   |
| Software                licenses                                     |   |                                | 17,283      |   |                                    |       | 15,495 |   |
| Construction                in progress                              |   |                                | 18,404      |   |                                    |       | 4,070 |   |
| **Total                cost**                                        |   | ** **                          | **241,932** |   |                                    | ** ** | **212,995** |   |
| Less:  Accumulated                depreciation             |   |                                | (111,751    | )      |                                    |       | (97,190 | ) |
| **Total                net book value**                              |   | **$**                               | **130,181** |   |                                    | **$**      | **115,805** |   |
|                                                                 |   |                                |        |   |                                    |       |   |   |
| **Assets                held under capital leases (included above)** |   |                                |        |   |                                    |       |   |   |
| Land                and buildings                                    |   | $                                   | 5,682       |   |                                    | $          | 5,541 |   |
| Station                machinery, fixtures and equipment             |   |                                | 1,674       |   |                                    |       | 2,330 |   |
| **Total                cost**                                        |   | ** **                          | **7,356**   |   |                                    | ** ** | **7,871** |   |
| Less:                Accumulated depreciation                        |   |                                | (1,533      | )      |                                    |       | (1,877 | ) |
| **Net                book value**                                    |   | **$**                               | **5,823**   |   |                                    | **$**      | **5,994** |   |

**10.  ACCOUNTS      PAYABLE AND ACCRUED LIABILITIES**

|                                                              |   | **June                30,****2007** |        |   | **December                31,****2006** |   |
|-------------------------------------------------------------------|--------|-------------------------------------|-------------|--------|-----------------------------------------|--------|
|                                                              |   |                                |        |   |                                    |   |
| Accounts                payable                                   |   | $                                   | 27,080      |   |                                    | $      | 47,447 |   |
| Programming                liabilities                            |   |                                | 38,647      |   |                                    |   | 32,316 |   |
| Accrued                interest payable                           |   |                                | 5,149       |   |                                    |   | 5,375 |   |
| Deferred                income                                    |   |                                | 20,505      |   |                                    |   | 3,212 |   |
| Accrued                staff costs                                |   |                                | 16,854      |   |                                    |   | 12,947 |   |
| Accrued                production costs                           |   |                                | 7,197       |   |                                    |   | 7,435 |   |
| Accrued                legal costs                                |   |                                | 8,709       |   |                                    |   | 3,619 |   |
| Accrued                rent costs                                 |   |                                | 1,339       |   |                                    |   | 1,163 |   |
| Authors’                rights                              |   |                                | 7,215       |   |                                    |   | 943 |   |
| Onerous                contracts                                  |   |                                | 1,804       |   |                                    |   | - |   |
| Other                accrued liabilities                          |   |                                | 7,141       |   |                                    |   | 5,260 |   |
| **Total                accounts payable and accrued liabilities** |   | **$**                               | **141,640** |   |                                    | **$**  | **119,717** |   |

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

**11.  CREDIT      FACILITIES AND OBLIGATIONS UNDER CAPITAL LEASES**

|                                                          |                           |   | **June                30,****2007** |       |   | **December                31,****2006** |   |
|---------------------------------------------------------------|--------------------------------|--------|-------------------------------------|------------|--------|-----------------------------------------|--------|
| **Credit                facilities:**                         |                           |   |                                |       |   |                                    |   |
| Corporate                                                     | (a)                            |   | $                                   | -          |   |                                    | $      | - |   |
| Croatia                                                       | (b)                            |   |                                | -          |   |                                    |   | 847 |   |
| Czech                Republic                                 | (c)                – (e) |   |                                | 11,760     |   |                                    |   | 11,975 |   |
| Romania                                                       | (f)                            |   |                                | 40         |   |                                    |   | - |   |
| Slovenia                                                      | (g)                            |   |                                | -          |   |                                    |   | - |   |
| Ukraine                (KINO, CITI)                           | (h)                            |   |                                | 1,705      |   |                                    |   | 1,703 |   |
| **Total                credit facilities**                    |                           |   | **$**                               | **13,505** |   |                                    | **$**  | **14,525** |   |
|                                                          |                           |   |                                |       |   |                                    |   |   |   |
| **Capital                leases:**                            |                           |   |                                |       |   |                                    |   |   |   |
| Croatia                operations, net of interest            |                           |   | $                                   | -          |   |                                    | $      | 19 |   |
| Romania                operations, net of interest            |                           |   |                                | 430        |   |                                    |   | 495 |   |
| Slovak                Republic operations, net of interest    |                           |   |                                | 112        |   |                                    |   | 154 |   |
| Slovenia                operations, net of interest           |                           |   |                                | 4,188      |   |                                    |   | 4,223 |   |
| **Total                capital leases**                       |                           |   | **$**                               | **4,730**  |   |                                    | **$**  | **4,891** |   |
|                                                          |                           |   |                                |       |   |                                    |   |   |   |
| **Total                credit facilities and capital leases** |                           |   | **$**                               | **18,235** |   |                                    | **$**  | **19,416** |   |
| Less                current maturities                        |                           |   |                                | (12,433    | )      |                                    |   | (13,057 | ) |
| **Total                non-current maturities**               |                           |   | **$**                               | **5,802**  |   |                                    | **$**  | **6,359** |   |

**Corporate**

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

**Croatia**

**Czech      Republic**

**Romania**

**Slovenia**

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

**Ukraine      (KINO, CITI)**

*Total      Group*

| 2007                               |   | $      | 11,805      |   |
|------------------------------------|--------|--------|-------------|--------|
| 2008                               |   |   | -           |   |
| 2009                               |   |   | 1,700       |   |
| 2010                               |   |   | -           |   |
| 2011                               |   |   | -           |   |
| 2012                and thereafter |   |   | 533,424     |   |
| **Total**                          |   | **$**  | **546,929** |   |

*Capital      Lease Commitments*

| 2007                                                           |   | $      | 464       |   |
|----------------------------------------------------------------|--------|--------|-----------|--------|
| 2008                                                           |   |   | 1,190     |   |
| 2009                                                           |   |   | 726       |   |
| 2010                                                           |   |   | 620       |   |
| 2011                                                           |   |   | 620       |   |
| 2012                and thereafter                             |   |   | 3,024     |   |
|                                                           |   | **$**  | **6,644** |   |
| Less:                amount representing interest              |   |   | (1,914    | )      |
| **Present                value of net minimum lease payments** |   | **$**  | **4,730** |   |

**12.  FINANCIAL      INSTRUMENTS**

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

**.**

**13.  SHAREHOLDERS’      EQUITY**

*Preferred      Stock*

*Class      A and B Common Stock*

**14.  STOCK-BASED      COMPENSATION**

|                                                              |   | **For                the Three Months****Ended                June 30,** |   |   | **For                the Six Months ****Ended                June 30,** |   |
|-------------------------------------------------------------------|--------|--------------------------------------------------------------------------|--------|--------|------------------------------------------------------------------------------|--------|
|                                                              |   | **2007**                                                                 |   |   | **2006**                                                                     |   |   | **2007** |   |   | **2006** |   |
|                                                              |   |                                                                     |   |   |                                                                         |   |   |   |   |   |   |   |
| Stock-based                compensation charged under SFAS 123(R) |   | $                                                                        | 1,343  |   |                                                                         | $      | 730 |   |   | $ | 2,605 |   |   | $ | 1,418 |   |

**2007      Option Grants**

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

|    **Date                of Option Grant** |   | **Number                of Options Granted** |   |   | **Risk-free                interest rate (%)** |   |   | **Expected                term (years)** |   |   | **Expected                volatility (%)** |   |   | **Dividend                yield (%)** |   |   | **Weighted-average                fair value ($/share)** |   |
|-----------------------------------------------------------|--------|----------------------------------------------|--------|--------|------------------------------------------------|--------|--------|------------------------------------------|--------|--------|-------------------------------------------------|--------|--------|--------------------------------------------|--------|--------|---------------------------------------------------------------|--------|
|                                                      |   |                                         |   |   |                                           |   |   |                                     |   |   |                                            |   |   |                                       |   |   |                                                          |   |
| April                2, 2007                              |   |                                         | 12,500 |   |                                           |   | 4.57   | %                                        |   |   | 6.25                                            |   |   |                                       | 41.29  | %      |                                                          |   | 0 | % |   | $ | 42.25 |   |
| June                5, 2007 (Class A)                     |   |                                         | 35,000 |   |                                           |   | 4.92   | %                                        |   |   | 3.00                                            |   |   |                                       | 32.38  | %      |                                                          |   | 0 | % |   | $ | 25.19 |   |
| June                5, 2007 (Class B)                     |   |                                         | 5,000  |   |                                           |   | 4.92   | %                                        |   |   | 3.00                                            |   |   |                                       | 32.38  | %      |                                                          |   | 0 | % |   | $ | 23.35 |   |

|                                                       |   | **Shares** |          |   | **Weighted                Average Exercise Price per Share** |   |      | **Weighted                Average Remaining Contractual Term (years)** |   |       | **Aggregate                Intrinsic Value** |   |
|------------------------------------------------------------|--------|------------|---------------|--------|--------------------------------------------------------------|--------|-----------|------------------------------------------------------------------------|--------|------------|----------------------------------------------|--------|
|                                                       |   |       |          |   |                                                         |   |      |                                                                   |   |       |                                         |   |
| Outstanding                at December 31, 2007            |   |       | 1,288,575     |   |                                                         | $      | 35.51     |                                                                   |   |       | 7.45                                         |   |   | $ | 44,443 |   |
| Granted                                                    |   |       | 52,500        |   |                                                         |   | 89.77     |                                                                   |   |       |                                         |   |   |   |   |   |
| Exercised                                                  |   |       | (227,783      | )      |                                                         |   | 11.99     |                                                                   |   |       |                                         |   |   |   |   |   |
| Forfeited                                                  |   |       | (18,125       | )      |                                                         |   | 46.76     |                                                                   |   |       |                                         |   |   |   |   |   |
| **Outstanding                at June 30, 2007**            |   | ** ** | **1,095,167** |   |                                                         | **$**  | **42.82** |                                                                   |   | ** ** | **7.14**                                     |   |   | **$** | **59,974** |   |
| Vested                or expected to vest at June 30, 2007 |   |       | 1,022,652     |   |                                                         |   | 42.09     |                                                                   |   |       | 7.07                                         |   |   |   | 56,747 |   |
| **Exercisable                at June 30, 2007**            |   | ** ** | **467,792**   |   |                                                         | **$**  | **23.71** |                                                                   |   | ** ** | **6.45**                                     |   |   | **$** | **34,557** |   |

----

*Index*

**CENTRAL        EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES        TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular        amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

**15.         EARNINGS PER SHARE**

|                                                                                                    |   | **For                  the Three Months****Ended                  June 30,** |   |   | **For                  the Six Months ****Ended                  June 30,** |   |
|---------------------------------------------------------------------------------------------------------|--------|------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------|--------|
|                                                                                                    |   | **2007**                                                                     |   |   | **2006**                                                                         |   |   | **2007** |   |   | **2006** |   |
|                                                                                                    |   |                                                                         |   |   |                                                                             |   |   |   |   |   |   |   |
| **Net                  income / (loss) available for common shareholders**                              |   | $                                                                            | 34,590 |   |                                                                             | $      | 8,522 |   |   | $ | 34,340 |   |   | $ | (9,742 | ) |
|                                                                                                    |   |                                                                         |   |   |                                                                             |   |   |   |   |   |   |   |   |   |   |   |
| **Weighted                  average outstanding shares of common stock                  (000’s)** |   |                                                                         | 40,941 |   |                                                                             |   | 40,597 |   |   |   | 40,867 |   |   |   | 39,355 |   |
| Dilutive                  effect of employee stock options (000’s)                                |   |                                                                         | 466    |   |                                                                             |   | 589 |   |   |   | 523 |   |   |   | - |   |
| **Common                  stock and common stock equivalents (000’s)**                            |   |                                                                         | 41,407 |   |                                                                             |   | 41,186 |   |   |   | 41,390 |   |   |   | 39,355 |   |
|                                                                                                    |   |                                                                         |   |   |                                                                             |   |   |   |   |   |   |   |   |   |   |   |
| **Net                  income / (loss) per share:**                                                     |   |                                                                         |   |   |                                                                             |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                                                   |   | $                                                                            | 0.84   |   |                                                                             | $      | 0.21 |   |   | $ | 0.84 |   |   | $ | (0.25 | ) |
| Diluted                                                                                                 |   | $                                                                            | 0.83   |   |                                                                             | $      | 0.21 |   |   | $ | 0.83 |   |   | $ | (0.25 | ) |

**16.  SEGMENT      DATA**

| · | expenses                presented as corporate operating costs in our consolidated statements                of                operations and comprehensive                income; |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | stock-based                compensation charges; |
|--------|--------------------------------------------------|

| · | foreign                currency exchange gains and losses; |
|--------|------------------------------------------------------------|

| · | changes                in fair value of derivatives; and |
|--------|----------------------------------------------------------|

| · | certain                unusual or infrequent items (e.g., extraordinary gains and losses,                impairments on assets or                investments). |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

|                                                                                                                                                                 |   | **For                the Three Months Ended June 30,** |        |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------|-------------|
|                                                                                                                                                                 |   | **Segment                Net Revenues (1)**            |        |   | **Segment                EBITDA** |   |
|                                                                                                                                                                 |   | **2007**                                               |        |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| **Country:**                                                                                                                                                         |   |                                                   |        |   |   |   |   |   |   |   |   |   |
| Croatia                (NOVA TV)                                                                                                                                     |   | $                                                      | 10,414      |   |   | $ | 5,647 |   |   | $ | (2,167 | ) |   | $ | (2,639 | ) |
| Czech                Republic (TV NOVA, GALAXIE SPORT)                                                                                                               |   |                                                   | 80,544      |   |   |   | 56,312 |   |   |   | 47,595 |   |   |   | 29,509 |   |
| Romania                (2)                                                                                                                                           |   |                                                   | 52,224      |   |   |   | 37,769 |   |   |   | 22,530 |   |   |   | 16,424 |   |
| Slovak                Republic (MARKIZA TV)                                                                                                                          |   |                                                   | 29,652      |   |   |   | 20,046 |   |   |   | 11,712 |   |   |   | 7,827 |   |
| Slovenia                (POP TV, KANAL A)                                                                                                                            |   |                                                   | 20,095      |   |   |   | 15,555 |   |   |   | 8,388 |   |   |   | 6,430 |   |
| Ukraine                (STUDIO 1+1)                                                                                                                                  |   |                                                   | 22,701      |   |   |   | 21,062 |   |   |   | 565 |   |   |   | 6,037 |   |
| Ukraine                (KINO, CITI)                                                                                                                                  |   |                                                   | 654         |   |   |   | 198 |   |   |   | (1,755 | ) |   |   | (432 | ) |
| **Total                segment data**                                                                                                                                |   | **$**                                                  | **216,284** |   |   | **$** | **156,589** |   |   | **$** | **86,868** |   |   | **$** | **63,156** |   |
|                                                                                                                                                                 |   |                                                   |        |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Reconciliation                to condensed consolidated statement of                operations:**                                                                  |   |
|                                                                                                                                                                 |   |                                                   |        |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Consolidated                net revenues / income before provision for income taxes, minority                interest                and discontinued operations** |   | **$**                                                  | **216,284** |   |   | **$** | **156,589** |   |   | **$** | **53,739** |   |   | **$** | **12,103** |   |
| Corporate                operating costs                                                                                                                             |   |                                                   | -           |   |   |   | - |   |   |   | 7,444 |   |   |   | 7,696 |   |
| Depreciation                of station property, plant and equipment                                                                                                 |   |                                                   | -           |   |   |   | - |   |   |   | 7,680 |   |   |   | 6,059 |   |
| Amortization                of broadcast licenses and other intangibles                                                                                              |   |                                                   | -           |   |   |   | - |   |   |   | 5,165 |   |   |   | 4,620 |   |
| Impairment                charge                                                                                                                                     |   |                                                   | -           |   |   |   | - |   |   |   | - |   |   |   | 748 |   |
| Interest                income                                                                                                                                       |   |                                                   | -           |   |   |   | - |   |   |   | (1,732 | ) |   |   | (1,741 | ) |
| Interest                expense                                                                                                                                      |   |                                                   | -           |   |   |   | - |   |   |   | 19,438 |   |   |   | 11,337 |   |
| Foreign                currency exchange loss, net                                                                                                                   |   |                                                   | -           |   |   |   | - |   |   |   | 2,116 |   |   |   | 20,625 |   |
| Change                in fair value of derivatives                                                                                                                   |   |                                                   | -           |   |   |   | - |   |   |   | (7,528 | ) |   |   | 1,876 |   |
| Other                income                                                                                                                                          |   |                                                   | -           |   |   |   | - |   |   |   | 546 |   |   |   | (167 | ) |
| **Total                segment data**                                                                                                                                |   | **$**                                                  | **216,284** |   |   | **$** | **156,589** |   |   | **$** | **86,868** |   |   | **$** | **63,156** |   |
|                                                                                                                                                                 |   |                                                   |        |   |   |   |   |   |   |   |   |   |   |   |   |   |
| (1)                All net revenues are derived from external customers. There are no                inter-segmental revenues.                                  |   |
| (2)                Romanian networks are PRO TV, PRO CINEMA, ACASA, PRO TV INTERNATIONAL                and                SPORT.RO.                                 |   |

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

|                                                                                                                                                                                                                      |   | **For                  the Six Months Ended June 30,** |        |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------|-------------|
|                                                                                                                                                                                                                      |   | **Segment                  Net Revenues (1)**          |        |   | **Segment                  EBITDA** |   |
|                                                                                                                                                                                                                      |   | **2007**                                               |        |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| **Country:**                                                                                                                                                                                                              |   |                                                   |        |   |   |   |   |   |   |   |   |   |
| Croatia                  (NOVA TV)                                                                                                                                                                                        |   | $                                                      | 17,646      |   |   | $ | 9,457 |   |   | $ | (6,819 | ) |   | $ | (7,081 | ) |
| Czech                  Republic (TV NOVA, GALAXIE SPORT)                                                                                                                                                                  |   |                                                   | 132,063     |   |   |   | 96,861 |   |   |   | 73,262 |   |   |   | 42,335 |   |
| Romania                  (2)                                                                                                                                                                                              |   |                                                   | 91,566      |   |   |   | 67,640 |   |   |   | 37,666 |   |   |   | 28,037 |   |
| Slovak                  Republic (MARKIZA TV)                                                                                                                                                                             |   |                                                   | 48,329      |   |   |   | 31,252 |   |   |   | 17,468 |   |   |   | 6,850 |   |
| Slovenia                  (POP TV, KANAL A)                                                                                                                                                                               |   |                                                   | 32,764      |   |   |   | 25,782 |   |   |   | 11,389 |   |   |   | 9,463 |   |
| Ukraine                  (STUDIO 1+1)                                                                                                                                                                                     |   |                                                   | 40,776      |   |   |   | 46,540 |   |   |   | (1,805 | ) |   |   | 17,024 |   |
| Ukraine                  (KINO, CITI) (3)                                                                                                                                                                                 |   |                                                   | 1,052       |   |   |   | 572 |   |   |   | (4,172 | ) |   |   | (557 | ) |
| **Total                  segment data**                                                                                                                                                                                   |   | **$**                                                  | **364,196** |   |   | **$** | **278,104** |   |   | **$** | **126,989** |   |   | **$** | **96,071** |   |
|                                                                                                                                                                                                                      |   |                                                   |        |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Reconciliation                  to condensed consolidated statement of                  operations:**                                                                                                                   |   |
|                                                                                                                                                                                                                      |   |                                                   |        |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Consolidated                  net revenues / income before provision for income taxes, minority                  interest, equity in income of unconsolidated affiliates and discontinued                  operations** |   | **$**                                                  | **364,196** |   |   | **$** | **276,343** |   |   | **$** | **58,188** |   |   | **$** | **7,811** |   |
| Corporate                  operating costs                                                                                                                                                                                |   |                                                   | -           |   |   |   | - |   |   |   | 16,248 |   |   |   | 15,677 |   |
| Depreciation                  of station property, plant and equipment                                                                                                                                                    |   |                                                   | -           |   |   |   | - |   |   |   | 14,579 |   |   |   | 11,761 |   |
| Amortization                  of broadcast licenses and other intangibles                                                                                                                                                 |   |                                                   | -           |   |   |   | - |   |   |   | 10,327 |   |   |   | 8,952 |   |
| Impairment                  charge                                                                                                                                                                                        |   |                                                   | -           |   |   |   | - |   |   |   | - |   |   |   | 748 |   |
| Unconsolidated                  equity affiliates (4)                                                                                                                                                                     |   |                                                   | -           |   |   |   | 1,761 |   |   |   | - |   |   |   | (1,283 | ) |
| Interest                  income                                                                                                                                                                                          |   |                                                   | -           |   |   |   | - |   |   |   | (3,146 | ) |   |   | (3,194 | ) |
| Interest                  expense                                                                                                                                                                                         |   |                                                   | -           |   |   |   | - |   |   |   | 30,834 |   |   |   | 21,855 |   |
| Foreign                  currency exchange loss, net                                                                                                                                                                      |   |                                                   | -           |   |   |   | - |   |   |   | 5,252 |   |   |   | 31,487 |   |
| Change                  in fair value of derivatives                                                                                                                                                                      |   |                                                   | -           |   |   |   | - |   |   |   | (12,052 | ) |   |   | 1,876 |   |
| Other                  expense                                                                                                                                                                                            |   |                                                   | -           |   |   |   | - |   |   |   | 6,759 |   |   |   | 381 |   |
| **Total                  segment data**                                                                                                                                                                                   |   | **$**                                                  | **364,196** |   |   | **$** | **278,104** |   |   | **$** | **126,989** |   |   | **$** | **96,071** |   |

| (1)                All net revenues are derived from external customers. There are no                inter-segmental revenues.  |   |
|--------------------------------------------------------------------------------------------------------------------------------------|--------|
| (2)                Romanian networks are PRO TV, PRO CINEMA, ACASA, PRO TV INTERNATIONAL                and                SPORT.RO. |   |
| (3)                We acquired our Ukraine (KINO, CITI) operations in January                2006.                                   |   |
| (4)                Our Slovak Republic operations were accounted for as an equity affiliate                until January 23, 2006.   |   |

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

|                                                                                                                                                  |   | **For                the Three Months****Ended                June 30,** |       |   | **For                the Six Months****Ended                June 30,** |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------|------------|--------|------------------------------------------------------------------------|--------|
|                                                                                                                                                  |   | **2007**                                                                 |       |   | **2006**                                                               |   |   | **2007** |   |   | **2006** |   |
| **Depreciation                of station property, plant and equipment and amortization of broadcast                licenses and other intangibles:** |   |                                                                     |       |   |                                                                   |   |   |   |   |   |   |   |
| Croatia                                                                                                                                               |   | $                                                                        | 947        |   |                                                                   | $      | 902 |   |   | $ | 1,732 |   |   | $ | 1,431 |   |
| Czech                Republic                                                                                                                         |   |                                                                     | 6,689      |   |                                                                   |   | 5,883 |   |   |   | 13,150 |   |   |   | 11,408 |   |
| Romania                                                                                                                                               |   |                                                                     | 2,180      |   |                                                                   |   | 1,137 |   |   |   | 3,927 |   |   |   | 2,364 |   |
| Slovak                Republic                                                                                                                        |   |                                                                     | 947        |   |                                                                   |   | 877 |   |   |   | 2,134 |   |   |   | 2,348 |   |
| Slovenia                                                                                                                                              |   |                                                                     | 1,110      |   |                                                                   |   | 810 |   |   |   | 2,096 |   |   |   | 1,540 |   |
| Ukraine                (STUDIO 1+1)                                                                                                                   |   |                                                                     | 799        |   |                                                                   |   | 929 |   |   |   | 1,544 |   |   |   | 1,501 |   |
| Ukraine                (KINO, CITI)                                                                                                                   |   |                                                                     | 173        |   |                                                                   |   | 141 |   |   |   | 323 |   |   |   | 298 |   |
| **Total**                                                                                                                                             |   | **$**                                                                    | **12,845** |   |                                                                   | **$**  | **10,679** |   |   | **$** | **24,906** |   |   | **$** | **20,890** |   |
|                                                                                                                                                  |   |                                                                     |       |   |                                                                   |   |   |   |   |   |   |   |   |   |   |   |
| **Reconciliation                to condensed consolidated statement of                operations:**                                                   |   |
|                                                                                                                                                  |   |                                                                     |       |   |                                                                   |   |   |   |   |   |   |   |   |   |   |   |
| Unconsolidated                equity affiliates                                                                                                       |   |                                                                     | -          |   |                                                                   |   | - |   |   |   | - |   |   |   | (177 | ) |
| **Total                consolidated depreciation and amortization**                                                                                   |   | **$**                                                                    | **12,845** |   |                                                                   | **$**  | **10,679** |   |   | **$** | **24,906** |   |   | **$** | **20,713** |   |
| Represented                as follows:                                                                                                                |   |                                                                     |       |   |                                                                   |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation                of station property, plant & equipment                                                                                |   |                                                                     | 7,680      |   |                                                                   |   | 6,059 |   |   |   | 14,579 |   |   |   | 11,761 |   |
| Amortization                of broadcast licenses and other intangibles                                                                               |   |                                                                     | 5,165      |   |                                                                   |   | 4,620 |   |   |   | 10,327 |   |   |   | 8,952 |   |

| **Total                assets (1):**                                                                                                    |   | **June                30,****2007** |          |   | **December                31,****2006** |   |
|-----------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------|---------------|--------|-----------------------------------------|--------|
|                                                                                                                                    |   |                                |          |   |                                    |   |
| Croatia                                                                                                                                 |   | $                                   | 34,859        |   |                                    | $      | 30,394 |   |
| Czech                Republic                                                                                                           |   |                                | 1,205,154     |   |                                    |   | 1,200,894 |   |
| Romania                                                                                                                                 |   |                                | 302,436       |   |                                    |   | 206,850 |   |
| Slovak                Republic                                                                                                          |   |                                | 110,576       |   |                                    |   | 86,872 |   |
| Slovenia                                                                                                                                |   |                                | 75,858        |   |                                    |   | 67,919 |   |
| Ukraine                (STUDIO 1+1)                                                                                                     |   |                                | 80,287        |   |                                    |   | 75,020 |   |
| Ukraine                (KINO, CITI)                                                                                                     |   |                                | 14,756        |   |                                    |   | 13,293 |   |
| **Total                segment assets**                                                                                                 |   | **$**                               | **1,823,926** |   |                                    | **$**  | **1,681,242** |   |
|                                                                                                                                    |   |                                |          |   |                                    |   |   |   |
| **Reconciliation                to condensed consolidated balance sheets:**                                                             |   |                                |          |   |                                    |   |   |   |
| Corporate                                                                                                                               |   |                                | 76,366        |   |                                    |   | 137,758 |   |
| **Total                assets**                                                                                                         |   | **$**                               | **1,900,292** |   |                                    | **$**  | **1,819,000** |   |
|                                                                                                                                    |   |                                |          |   |                                    |   |   |   |
| (1)                Segment assets exclude any inter-company investments, loans, payables                and                receivables. |   |

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

| **Long-lived                assets (1):**                                   |   | **June                30,****2007** |        |   | **December                31,****2006** |   |
|-----------------------------------------------------------------------------|--------|-------------------------------------|-------------|--------|-----------------------------------------|--------|
|                                                                        |   |                                |        |   |                                    |   |
| Croatia                                                                     |   | $                                   | 8,040       |   |                                    | $      | 6,804 |   |
| Czech                Republic                                               |   |                                | 36,687      |   |                                    |   | 28,002 |   |
| Romania                                                                     |   |                                | 34,906      |   |                                    |   | 32,312 |   |
| Slovak                Republic                                              |   |                                | 20,374      |   |                                    |   | 19,498 |   |
| Slovenia                                                                    |   |                                | 16,904      |   |                                    |   | 15,595 |   |
| Ukraine                (STUDIO 1+1)                                         |   |                                | 7,569       |   |                                    |   | 7,965 |   |
| Ukraine                (KINO, CITI)                                         |   |                                | 4,082       |   |                                    |   | 3,674 |   |
| **Total                long-lived assets**                                  |   | **$**                               | **128,562** |   |                                    | **$**  | **113,850** |   |
|                                                                        |   |                                |        |   |                                    |   |   |   |
| **Reconciliation                to condensed consolidated balance sheets:** |   |                                |        |   |                                    |   |   |   |
| Corporate                                                                   |   |                                | 1,619       |   |                                    |   | 1,955 |   |
| **Total                long-lived assets**                                  |   | **$**                               | **130,181** |   |                                    | **$**  | **115,805** |   |
|                                                                        |   |                                |        |   |                                    |   |   |   |
| (1)                Reflects property, plant and equipment                   |   |

**17.  DISCONTINUED      OPERATIONS**

|                                                                |   | **For                the Three Months****Ended                June 30,** |   |   | **For                the Six Months****Ended                June 30,** |   |
|---------------------------------------------------------------------|--------|--------------------------------------------------------------------------|--------|--------|------------------------------------------------------------------------|--------|
|                                                                |   | **2007**                                                                 |   |   | **2006**                                                               |   |   | **2007** |   |   | **2006** |   |
|                                                                |   |                                                                     |   |   |                                                                   |   |   |   |   |   |   |   |
| Tax                on disposal of discontinued operations           |   |                                                                     | -      |   |                                                                   |   | 1,277 |   |   |   | - |   |   |   | (2,530 | ) |
| **Net                income / (loss) from discontinued operations** |   | **$**                                                                    | **-**  |   |                                                                   | **$**  | **1,277** |   |   | **$** | **-** |   |   | **$** | **(2,530** | **)** |

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

**18.  COMMITMENTS      AND CONTINGENCIES**

**Commitments**

*a)      Station Programming Rights Agreements*

|                                |   | **June                30,****2007** |        |
|-------------------------------------|--------|-------------------------------------|-------------|
|                                |   |                                |        |
| Croatia                             |   | $                                   | 2,771       |   |
| Czech                Republic       |   |                                | 48,033      |   |
| Romania                             |   |                                | 23,244      |   |
| Slovak                Republic      |   |                                | 16,717      |   |
| Slovenia                            |   |                                | 6,914       |   |
| Ukraine                (STUDIO 1+1) |   |                                | 18,792      |   |
| Ukraine                (KINO, CITI) |   |                                | 843         |   |
| **Total**                           |   | **$**                               | **117,314** |   |

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

*b)      Operating Lease Commitments*

|                               |   | **June                30,****2007** |      |
|------------------------------------|--------|-------------------------------------|-----------|
|                               |   |                                |      |
| 2007                               |   | $                                   | 1,673     |   |
| 2008                               |   |                                | 1,911     |   |
| 2009                               |   |                                | 1,169     |   |
| 2010                               |   |                                | 834       |   |
| 2011                               |   |                                | 428       |   |
| 2012                and thereafter |   |                                | -         |   |
| **Total**                          |   | **$**                               | **6,015** |   |

*c)      Acquisition of Minority Shareholdings in Romania*

*d)      Other*

*Dutch      tax*

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

*Czech      Republic - Factoring of Trade Receivables*

*‘Accounting for Transfers and Servicing of Financial      Assets and Extinguishments of Liabilities’,*

**Contingencies**

*a)      Litigation*

*Croatia*

*Global      Communications Disputes*

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

*Former      Shareholder Dispute*

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

*Czech Republic*

*Romania*

*Slovenia*

*Slovak Republic*

*Ukraine*

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

----

*Index*

**CENTRAL      EUROPEAN MEDIA ENTERPRISES LTD.**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(Tabular      amounts in US$ 000’s, except share and per share data)**

**(Unaudited)**

*b) Licenses*

| **Croatia**              | The                license of NOVA TV (Croatia) expires in April 2010.                                                                                                                                                                                                                                                                                                                                     |
|--------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                     |                                                                                                                                                                                                                                                                                                                                                                                                       |
| **Czech Republic**  | The                license of TV NOVA (Czech Republic) expires in January 2017. The                GALAXIE SPORT license expires in March 2014.                                                                                                                                                                                                                                                       |
|                     |                                                                                                                                                                                                                                                                                                                                                                                                       |
| **Romania**              | Licenses                expire on dates ranging from August 2007 to February                2016.                                                                                                                                                                                                                                                                                                          |
|                     |                                                                                                                                                                                                                                                                                                                                                                                                       |
| **Slovak Republic** | The                license of MARKIZA TV in the Slovak Republic expires in September                2019.                                                                                                                                                                                                                                                                                             |
|                     |                                                                                                                                                                                                                                                                                                                                                                                                       |
| **Slovenia**             | The                licenses of POP TV and KANAL A expire in August 2012.                                                                                                                                                                                                                                                                                                                                   |
|                     |                                                                                                                                                                                                                                                                                                                                                                                                       |
| **Ukraine**              | The                15-hour prime time and off prime time license of STUDIO 1+1 expires                in                December 2016. The license to broadcast for the remaining nine hours                in                off prime expires in August 2014.  Licenses used for the KINO                and CITI channels expire on dates ranging from June 2008 to July                2016. |

*Restrictions on dividends from Consolidated Subsidiaries and Unconsolidated      Affiliates*

**19.  SUBSEQUENT      EVENTS**

----

*Index*

| **Item2.  ** | **Management's                      Discussion and Analysis of Financial Condition and Results                      of                      Operations** |
|------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

*Contents*

| ***I.***   | ***Forward-looking                  Statements***                                  |
|------------|------------------------------------------------------------------------------------|
| ***II.***  | ***Executive                  Summary***                                           |
| ***III.*** | ***Analysis                  of Segment Results***                                 |
| ***IV.***  | ***Analysis                  of the Results of Consolidated Operations***          |
| ***V.***   | ***Liquidity                  and Capital Resources***                             |
| ***VI.***  | ***Critical                  Accounting Policies and                  Estimates*** |

***I.        Forward-looking Statements***

*This          report contains forward-looking statements, including the impact of the          competitive market dynamics and political environment in Ukraine, the impact          of          legal proceedings in Croatia and Ukraine, the results of additional investment          in Croatia and Ukraine, the implementation of an advertising sales strategy          in          the Czech Republic and cost reductions in the Czech and Slovak Republics,          our          ability to develop and implement multi-channel strategies generally, the          growth          of television advertising in our markets, the future economic conditions          in our          markets, future investments in television broadcast operations, the growth          potential of advertising spending in our markets, and other business strategies          and commitments.  For these statements and all other forward-looking          statements, we claim the protection of the safe harbor for forward-looking          statements contained in the Private Securities Litigation Reform Act of          1995.  Forward-looking statements are inherently subject to risks and          uncertainties, many of which cannot be predicted with accuracy or are otherwise          beyond our control and some of which might not even be          anticipated.  Future events and actual results, affecting our          strategic plan as well as our financial position, results of operations          and cash          flows, could differ materially from those described in or contemplated          by the          forward-looking statements.  Important factors that contribute to such          risks include, but are not limited to, the general regulatory environments          where          we operate and application of relevant laws and regulations, the renewals          of          broadcasting licenses, our ability to implement strategies regarding sales          and          multi-channel distribution, the rate of development of advertising markets          in          countries where we operate, our ability to acquire necessary programming          and the          ability to attract audiences, our ability to obtain additional frequencies          and          licenses, and general market and political and economic conditions in these          countries as well as in the United States and Western          Europe.*

***II.        Executive Summary***

*Continuing        Operations*

|                                                   |   | **For                  the Three Months Ended June 30, (US$ 000's)** |       |
|--------------------------------------------------------|--------|----------------------------------------------------------------------|------------|
|                                                   |   | **2007**                                                             |       |   | **2006** |   |   | ***Movement*** |   |
|                                                   |   |                                                                 |       |   |   |   |   |   |   |
| Net                  revenues                          |   | $                                                                    | 216,284    |   |   | $ | 156,589 |   |   | *$* | *59,695* |   |
| Operating                  income                      |   |                                                                 | 66,579     |   |   |   | 44,033 |   |   | * * | *22,546* |   |
| Net                  income from continuing operations |   |                                                                 | 34,590     |   |   |   | 7,245 |   |   | * * | *27,345* |   |
| **Net                  income**                        |   | **$**                                                                | **34,590** |   |   | **$** | **8,522** |   |   | ***$*** | ***26,068*** |   |
|                                                   |   |                                                                 |       |

----

*Index*

|                                                              |   | **For                    the Six Months Ended June 30, (US$ 000's)** |       |
|-------------------------------------------------------------------|--------|----------------------------------------------------------------------|------------|
|                                                              |   | **2007**                                                             |       |   | **2006** |   |   | ***Movement*** |   |
|                                                              |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| Net                    revenues                                   |   | $                                                                    | 364,196    |   |   | $ | 276,343 |   |   | *$* | *87,853* |   |
| Operating                    income                               |   |                                                                 | 85,835     |   |   |   | 60,216 |   |   | * * | *25,619* |   |
| Net                    income / (loss) from continuing operations |   |                                                                 | 34,340     |   |   |   | (7,212) |   |   | * * | *41,552* |   |
| **Net                    income / (loss)**                        |   | **$**                                                                | **34,340** |   |   | **$** | **(9,742)** |   |   | ***$*** | ***44,082*** |   |

| ·   | In                  the three months ended June 30, 2007, we reported growth in Segment                  Net                  Revenues of 38% and Segment EBITDA of 38% compared to the three                  months                  ended June 30, 2006, delivering a Segment EBITDA margin of 40%,                  in line                  with that reported in the three months ended June 30, 2006 (Segment                  EBITDA                  is defined and reconciled to our consolidated results in Item 1,                  Note                  16). |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Other                  than our operations in Ukraine, each of our stations reported revenue                  growth in excess of 25% compared to the three months ended June                  30, 2006,                  with particularly strong growth reported in Croatia and the                  Slovak Republic. Our operations in Ukraine experienced a slight                  increase in Segment Net Revenues but a significant decline in Segment                  EBITDA as we were required to increase our investment in programming                  in                  the face of increased competition and poor ratings                  performance. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | On                  May 15, 2007 we redeemed our EUR 125.0 million floating rate Senior                  Notes,                  bearing interest at six-month EURIBOR plus                  5.50%. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | On                  May 16, 2007 we issued EUR 150.0 million of floating rate Senior                  Notes,                  bearing interest at six-month EURIBOR plus                  1.625%. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | On                  June 1, 2007, we completed the acquisition of an additional 5%                  interest in                  Pro TV and MPI and now own a 95.0% interest in our Romania                  operations. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | On                  June 25, 2007, our shares of Class A Common Stock were included                  within the                  broad-market Russell 3000 Index, the large-cap stocks Russell 1000                  Index                  and the Russell Global Index. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | On                  July 13, 2007, we acquired an additional 20.0% interest in Markiza                  and now                  own 100.0% of our Slovak Republic                  operations. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

*Future        Developments*

----

*Index*

| ·   | Pursuing                  sub-regional efficiencies, especially in the area of local programming                  between Slovenia and Croatia and between the Czech and Slovak                  Republics; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Supporting                  the growth of television advertising in our markets through increased                  development and through the launch or acquisition of additional                  channels                  to expand our advertising inventory and target niche                  audiences; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Leveraging                  our existing brands and assets to develop new revenue opportunities,                  including in the creation and distribution of programming and in                  the new                  media sectors; and |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Continuing                  to expand our footprint into additional Central and Eastern European                  markets when financially prudent opportunities                  arise. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Continuing                  to improve the effectiveness of our operations in the Czech Republic                  and                  the Slovak Republic. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Additional                  investment in Russian series and local programming for STUDIO 1+1,                  which                  have driven ratings historically, and continuing the development                  of our                  Ukraine channels KINO and CITI which were launched in                  2006. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Further                  development of our non-broadcast activities, particularly in new                  media,                  which is being coordinated across our                  markets. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Acquisition                  of additional shares in our operations in Ukraine if the opportunity                  arises; and |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------|

| ·   | Continuing                  to invest in the development of our Croatia                  operations. |
|--------------------|------------------------------------------------------------------------------------------------------|

***III.        Analysis of Segment Results***

**OVERVIEW**

| ·   | expenses                  presented as corporate operating costs in our condensed consolidated                  statement of operations and comprehensive                  income; |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | stock-based                  compensation charges; |
|--------------------|----------------------------------------------------|

----

*Index*

| ·   | foreign                      currency exchange gains and losses; |
|--------------------|------------------------------------------------------------------|

| ·   | change                      in fair value of derivatives; and |
|--------------------|---------------------------------------------------------------|

| ·   | certain                      unusual or infrequent items (e.g., extraordinary gains and                      losses,                      impairments of assets or                      investments). |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

| **SEGMENT                    FINANCIAL INFORMATION**                                                                                                |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                                                |   | **For                    the Three Months Ended June 30, (US$ 000's)** |   |
|                                                                                                                                                |   | **2007** |   | ** ** | **(1)** |   |   | **2006** |   | ** ** | **(1)** |   |
| **Segment                    Net Revenue**                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Croatia                    (NOVA TV)                                                                                                                |   | $ | 10,414 |   |   | 5 | % |   | $ | 5,647 |   |   | 4 | % |
| Czech                    Republic (TV NOVA, GALAXIE SPORT)                                                                                          |   |   | 80,544 |   |   | 37 | % |   |   | 56,312 |   |   | 36 | % |
| Romania                    (2)                                                                                                                      |   |   | 52,224 |   |   | 24 | % |   |   | 37,769 |   |   | 24 | % |
| Slovak                    Republic (MARKIZA TV)                                                                                                     |   |   | 29,652 |   |   | 14 | % |   |   | 20,046 |   |   | 13 | % |
| Slovenia                    (POP TV, KANAL A)                                                                                                       |   |   | 20,095 |   |   | 9 | % |   |   | 15,555 |   |   | 10 | % |
| Ukraine                    (STUDIO 1+1)                                                                                                             |   |   | 22,701 |   |   | 11 | % |   |   | 21,062 |   |   | 13 | % |
| Ukraine                    (KINO, CITI)                                                                                                             |   |   | 654 |   |   | - |   |   |   | 198 |   |   | - |   |
| **Total                    Segment Net Revenues**                                                                                                   |   | **$** | **216,284** |   | ** ** | **100** | **%** |   | **$** | **156,589** |   | ** ** | **100** | **%** |
|                                                                                                                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Represented                    by:**                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Broadcast                    operations                                                                                                             |   | $ | 214,987 |   |   | 99 | % |   | $ | 155,902 |   |   | 100 | % |
| Non-broadcast                    operations                                                                                                         |   |   | 1,297 |   |   | 1 | % |   |   | 687 |   |   | - |   |
| **Total                    Segment Revenues**                                                                                                       |   | **$** | **216,284** |   | ** ** | **100** | **%** |   | **$** | **156,589** |   | ** ** | **100** | **%** |
|                                                                                                                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Segment                    EBITDA**                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Croatia                    (NOVA TV)                                                                                                                |   | $ | (2,167) |   |   | (2) | % |   | $ | (2,639) |   |   | (4) | % |
| Czech                    Republic (TV NOVA, GALAXIE SPORT)                                                                                          |   |   | 47,595 |   |   | 55 | % |   |   | 29,509 |   |   | 47 | % |
| Romania                    (2)                                                                                                                      |   |   | 22,530 |   |   | 26 | % |   |   | 16,424 |   |   | 26 | % |
| Slovak                    Republic (MARKIZA TV)                                                                                                     |   |   | 11,712 |   |   | 13 | % |   |   | 7,827 |   |   | 12 | % |
| Slovenia                    (POP TV, KANAL A)                                                                                                       |   |   | 8,388 |   |   | 9 | % |   |   | 6,430 |   |   | 10 | % |
| Ukraine                    (STUDIO 1+1)                                                                                                             |   |   | 565 |   |   | 1 | % |   |   | 6,037 |   |   | 10 | % |
| Ukraine                    (KINO, CITI)                                                                                                             |   |   | (1,755) |   |   | (2) | % |   |   | (432) |   |   | (1) | % |
| **Total                    Segment EBITDA**                                                                                                         |   | **$** | **86,868** |   | ** ** | **100** | **%** |   | **$** | **63,156** |   | ** ** | **100** | **%** |
|                                                                                                                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Represented                    by:**                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Broadcast                    operations                                                                                                             |   | $ | 87,175 |   |   | 100 | % |   | $ | 62,970 |   |   | 100 | % |
| Non-broadcast                    operations                                                                                                         |   |   | (307) |   |   | - |   |   |   | 186 |   |   | - |   |
| **Total                    Segment EBITDA**                                                                                                         |   | **$** | **86,868** |   | ** ** | **100** | **%** |   | **$** | **63,156** |   | ** ** | **100** | **%** |
|                                                                                                                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Segment                    EBITDA Margin (3)**                                                                                                    |   | ** ** | **40** | **%** |   |   |   |   | ** ** | **40** | **%** |   |   |   |
|                                                                                                                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| (1)                    Percentage of Total Segment Net Revenues and Total Segment                    EBITDA.                                        |   |
| (2)                    Romania networks are PRO TV, PRO CINEMA, ACASA, PRO TV INTERNATIONAL                    and                    SPORT.RO.     |   |
| (3)                    We define Segment EBITDA margin as the ratio of Segment EBITDA                    to Segment                    Net Revenue. |   |

----

*Index*

| **SEGMENT                  FINANCIAL INFORMATION**                                                                                                      |
|---------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                    |   | **For                  the Six Months Ended June 30, (US$ 000's)** |
|                                                                                                                                                    |   | **2007** |   | ** ** | **(1)** |   | **2006** |   | ** ** | **(1)** |   |
| **Segment                  Net Revenue**                                                                                                                |   |   |   |   |   |   |   |   |   |   |   |
| Croatia                  (NOVA TV)                                                                                                                      |   | $ | 17,646 |   |   | 5 | % | $ | 9,457 |   |   | 4 | % |
| Czech                  Republic (TV NOVA)                                                                                                               |   |   | 132,063 |   |   | 37 | % |   | 96,861 |   |   | 35 | % |
| Romania                  (2)                                                                                                                            |   |   | 91,566 |   |   | 25 | % |   | 67,640 |   |   | 24 | % |
| Slovak                  Republic (MARKIZA TV) (3)                                                                                                       |   |   | 48,329 |   |   | 13 | % |   | 31,252 |   |   | 11 | % |
| Slovenia                  (POP TV, KANAL A)                                                                                                             |   |   | 32,764 |   |   | 9 | % |   | 25,782 |   |   | 9 | % |
| Ukraine                  (STUDIO 1+1)                                                                                                                   |   |   | 40,776 |   |   | 11 | % |   | 46,540 |   |   | 17 | % |
| Ukraine                  (KINO, CITI) (4)                                                                                                               |   |   | 1,052 |   |   | - |   |   | 572 |   |   | - |   |
| **Total                  Segment Net Revenues**                                                                                                         |   | **$** | **364,196** |   | ** ** | **100** | **%** | **$** | **278,104** |   | ** ** | **100** | **%** |
|                                                                                                                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**                                                                                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations                                                                                                                   |   | $ | 362,409 |   |   | 100 | % | $ | 276,975 |   |   | 100 | % |
| Non-broadcast                  operations                                                                                                               |   |   | 1,787 |   |   | - |   |   | 1,129 |   |   | - |   |
| **Total                  Segment Revenues**                                                                                                             |   | **$** | **364,196** |   | ** ** | **100** | **%** | **$** | **278,104** |   | ** ** | **100** | **%** |
|                                                                                                                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA**                                                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Croatia                  (NOVA TV)                                                                                                                      |   | $ | (6,819) |   |   | (5) | % | $ | (7,081) |   |   | (7) | % |
| Czech                  Republic (TV NOVA)                                                                                                               |   |   | 73,262 |   |   | 58 | % |   | 42,335 |   |   | 44 | % |
| Romania                  (2)                                                                                                                            |   |   | 37,666 |   |   | 29 | % |   | 28,037 |   |   | 29 | % |
| Slovak                  Republic (MARKIZA TV) (3)                                                                                                       |   |   | 17,468 |   |   | 13 | % |   | 6,850 |   |   | 7 | % |
| Slovenia                  (POP TV, KANAL A)                                                                                                             |   |   | 11,389 |   |   | 9 | % |   | 9,463 |   |   | 10 | % |
| Ukraine                  (STUDIO 1+1)                                                                                                                   |   |   | (1,805) |   |   | (1) | % |   | 17,024 |   |   | 18 | % |
| Ukraine                  (KINO, CITI) (4)                                                                                                               |   |   | (4,172) |   |   | (3) | % |   | (557) |   |   | (1) | % |
| **Total                  Segment EBITDA**                                                                                                               |   | **$** | **126,989** |   | ** ** | **100** | **%** | **$** | **96,071** |   | ** ** | **100** | **%** |
|                                                                                                                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**                                                                                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations                                                                                                                   |   | $ | 127,889 |   |   | 101 | % | $ | 95,916 |   |   | 100 | % |
| Non-broadcast                  operations                                                                                                               |   |   | (900) |   |   | (1) | % |   | 155 |   |   | - |   |
| **Total                  Segment EBITDA**                                                                                                               |   | **$** | **126,989** |   | ** ** | **100** | **%** | **$** | **96,071** |   | ** ** | **100** | **%** |
|                                                                                                                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA Margin (5)**                                                                                                          |   | ** ** | **35** | **%** |   |   |   | ** ** | **35** | **%** |   |   |   |
|                                                                                                                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| (1)                  Percentage of Total Segment Net Revenues and Total Segment                  EBITDA.                                                |
| (2)                  Romania networks are PRO TV, PRO CINEMA, ACASA, PRO TV INTERNATIONAL                  and                  SPORT.RO.               |
| (3)                  Our Slovak Republic operations were accounted for as an equity                  affiliate                  until January 23, 2006. |
| (4)                  We acquired our Ukraine (KINO, CITI) operations on January 11,                  2006.                                              |
| (5)                  We define Segment EBITDA margin as the ratio of Segment EBITDA                  to Segment                  Net Revenue.           |

----

*Index*

**ANALYSIS        BY GEOGRAPHIC SEGMENT**

*Cost        per GRP pricing*

*Rate-card        pricing*

**(A)        CROATIA**

**Market          Background:**

----

*Index*

**Three            months ended June 30, 2007 compared to the three months ended June 30,            2006**

|                                         |   | **CROATIA                    SEGMENT FINANCIAL INFORMATION**           |       |
|----------------------------------------------|--------|------------------------------------------------------------------------|------------|
|                                         |   | **For                    the Three Months Ended June 30, (US$ 000's)** |       |
|                                         |   | **2007**                                                               |       |   | **2006** |   |   | ***Movement*** |   |
| Spot                    revenues             |   | $                                                                      | 8,482      |   |   | $ | 4,698 |   |   | *$* | *3,784* |   |
| Non-spot                    revenues         |   |                                                                   | 1,932      |   |   |   | 949 |   |   | * * | *983* |   |
| **Segment                    Net Revenues**  |   | **$**                                                                  | **10,414** |   |   | **$** | **5,647** |   |   | ***$*** | ***4,767*** |   |
|                                         |   |                                                                   |       |   |   |   |   |   |   |   |   |   |
| **Represented                    by:**       |   |                                                                   |       |   |   |   |   |   |   |   |   |   |
| Broadcast                    operations      |   | $                                                                      | 10,389     |   |   | $ | 5,647 |   |   | *$* | *4,742* |   |
| Non-broadcast                    operations  |   |                                                                   | 25         |   |   |   | - |   |   | * * | *25* |   |
| **Segment                    Net Revenues**  |   | **$**                                                                  | **10,414** |   |   | **$** | **5,647** |   |   | ***$*** | ***4,767*** |   |
|                                         |   |                                                                   |       |   |   |   |   |   |   |   |   |   |
| **Segment                    EBITDA**        |   | **$**                                                                  | **(2,167** | **)** |   | **$** | **(2,639** | **)** |   | ***$*** | ***472*** |   |
|                                         |   |                                                                   |       |   |   |   |   |   |   |   |   |   |
| **Represented                    by:**       |   |                                                                   |       |   |   |   |   |   |   |   |   |   |
| Broadcast                    operations      |   | $                                                                      | (2,144     | ) |   | $ | (2,639 | ) |   | *$* | *495* |   |
| Non-broadcast                    operations  |   |                                                                   | (23        | ) |   |   | - |   |   | * * | *(23* | *)* |
| **Segment                    EBITDA**        |   | **$**                                                                  | **(2,167** | **)** |   | **$** | **(2,639** | **)** |   | ***$*** | ***472*** |   |
|                                         |   |                                                                   |       |   |   |   |   |   |   |   |   |   |
| **Segment                    EBITDA Margin** |   | ** **                                                             | **(21**    | **)%** |   | ** ** | **(47** | **)%** |   | *** *** | ***26*** | ***%*** |

| ·   | **Segment                  Net Revenues** for the three months ended June 30, 2007 increased                  by US$ 4.8 million, or 84%, compared to the three months ended                  June 30,                  2006.  In local currency, Segment Net Revenues increased by                  73%.  Spot revenues increased by US$ 3.8 million, or 81%, as a                  result of a significant increase in the volume of GRPs                  sold.  Non-spot revenues increased by US$ 1.0 million, or 104%,                  as a result of increased levels of                  sponsorship. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | **Segment                  EBITDA**for the three months ended June 30, 2007 was a loss of                  US$                  2.2 million compared to a loss of US$ 2.6 million in the three                  months                  ended June 30, 2006, an improvement of 18%.  In local currency,                  Segment EBITDA improved by 20%. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

**Six          months ended June 30, 2007 compared to the six months ended June 30,          2006**

|                                         |   | **CROATIA                    SEGMENT FINANCIAL INFORMATION**         |        |
|----------------------------------------------|--------|----------------------------------------------------------------------|-------------|
|                                         |   | **For                    the Six Months Ended June 30, (US$ 000's)** |        |
|                                         |   | **2007**                                                             |        |   | **2006** |   |   | ***Movement*** |   |
| Spot                    revenues             |   | $                                                                    | 13,503      |   |   | $ | 7,751 |   |   | *$* | *5,752* |   |
| Non-spot                    revenues         |   |                                                                 | 4,143       |   |   |   | 1,706 |   |   | * * | *2,437* |   |
| **Segment                    Net Revenues**  |   | **$**                                                                | **17,646**  |   |   | **$** | **9,457** |   |   | ***$*** | ***8,189*** |   |
|                                         |   |                                                                 |        |   |   |   |   |   |   |   |   |   |
| **Represented                    by:**       |   |                                                                 |        |   |   |   |   |   |   |   |   |   |
| Broadcast                    operations      |   | $                                                                    | 17,616      |   |   | $ | 9,457 |   |   | *$* | *8,159* |   |
| Non-broadcast                    operations  |   |                                                                 | 30          |   |   |   | - |   |   | * * | *30* |   |
| **Segment                    Net Revenues**  |   | **$**                                                                | **17,646**  |   |   | **$** | **9,457** |   |   | ***$*** | ***8,189*** |   |
|                                         |   |                                                                 |        |   |   |   |   |   |   |   |   |   |
| **Segment                    EBITDA**        |   | **$**                                                                | **(6,819)** |   |   | **$** | **(7,081)** |   |   | ***$*** | ***262*** |   |
|                                         |   |                                                                 |        |   |   |   |   |   |   |   |   |   |
| **Represented                    by:**       |   |                                                                 |        |   |   |   |   |   |   |   |   |   |
| Broadcast                    operations      |   | $                                                                    | (6,767)     |   |   | $ | (7,081) |   |   | *$* | *314* |   |
| Non-broadcast                    operations  |   |                                                                 | (52)        |   |   |   | - |   |   | * * | *(52)* |   |
| **Segment                    EBITDA**        |   | **$**                                                                | **(6,819)** |   |   | **$** | **(7,081)** |   |   | ***$*** | ***262*** |   |
|                                         |   |                                                                 |        |   |   |   |   |   |   |   |   |   |
| **Segment                    EBITDA Margin** |   | ** **                                                           | **(39)**    | **%** |   | ** ** | **(75)** | **%** |   | *** *** | ***36*** | ***%*** |

| ·   | **Segment                    Net Revenues** for the six months ended June 30, 2007 increased by                    US$ 8.2 million, or 87%, compared to the six months ended June                    30,                    2006.  In local currency, Segment Net Revenues increased by                    73%.  Spot revenues increased by US$ 5.8 million, or 74%, as a                    result of a significant increase in the volume of GRPs sold,                    augmented by                    increased prices.  Non-spot revenues increased by US$ 2.4                    million, or 143%, as a result of increased levels of                    sponsorship. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | **Segment                    EBITDA**for the six months ended June 30, 2007 was a loss of                    US$                    6.8 million compared to a loss of US$ 7.1 million in the six                    months ended                    June 30, 2006, an improvement of 4%.  In local currency, Segment                    EBITDA improved by 10%. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**(B)          CZECH REPUBLIC**

**Market          Background:**

----

*Index*

**Three          months ended June 30, 2007 compared to the three months ended June 30,          2006**

|                                       |   | **CZECH                  REPUBLIC SEGMENT FINANCIAL INFORMATION**    |       |
|--------------------------------------------|--------|----------------------------------------------------------------------|------------|
|                                       |   | **For                  the Three Months Ended June 30, (US$ 000's)** |       |
|                                       |   | **2007**                                                             |       |   | **2006** |   |   | ***Movement*** |   |
| Spot                  revenues             |   | $                                                                    | 74,048     |   |   | $ | 49,390 |   |   | *$* | *24,658* |   |
| Non-spot                  revenues         |   |                                                                 | 6,496      |   |   |   | 6,922 |   |   | * * | *(426)* |   |
| **Segment                  Net Revenues**  |   | **$**                                                                | **80,544** |   |   | **$** | **56,312** |   |   | ***$*** | ***24,232*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                    | 80,489     |   |   | $ | 56,092 |   |   | *$* | *24,397* |   |
| Non-broadcast                  operations  |   |                                                                 | 55         |   |   |   | 220 |   |   | * * | *(165)* |   |
| **Segment                  Net Revenues**  |   | **$**                                                                | **80,544** |   |   | **$** | **56,312** |   |   | ***$*** | ***24,232*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA**        |   | **$**                                                                | **47,595** |   |   | **$** | **29,509** |   |   | ***$*** | ***18,086*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                    | 47,822     |   |   | $ | 29,463 |   |   | *$* | *18,359* |   |
| Non-broadcast                  operations  |   |                                                                 | (227)      |   |   |   | 46 |   |   | * * | *(273)* |   |
| **Segment                  EBITDA**        |   | **$**                                                                | **47,595** |   |   | **$** | **29,509** |   |   | ***$*** | ***18,086*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA Margin** |   | ** **                                                           | **59**     | **%** |   | ** ** | **52** | **%** |   | *** *** | ***7*** | ***%*** |

| ·   | **Segment                  Net Revenues** for the three months ended June 30, 2007 increased                      by US$ 24.2 million, or 43%, compared to the three months ended                  June 30,                  2006.  In local currency, Segment Net Revenues increased by                  33%.  Spot revenues increased by US$ 24.7 million, or 50%,                  primarily due to an increase in the volume of GRPs sold as advertisers                  have shifted expenditure to our channel from our competitors, as                  well as                  increased average revenue per rating point sold. Non-spot revenue                  decreased by US$ 0.4 million, or 6%, primarily due to a reduction                  in the                  number of shows generating voting revenue in the three months ended                  June                  30, 2007 compared to those programs broadcast in the three months                  ended                  June 30, 2006 and also a reduction in votes in the shows that were                  broadcast. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

| ·   | **Segment                      EBITDA**for the three months ended June 30, 2007 increased                      by US$                      18.1 million, or 61%, compared to the three months ended June                      30, 2006,                      resulting in an EBITDA margin of 59% compared to 52% in the                      three months                      ended June 30, 2006.  In local currency, Segment EBITDA                      increased by 48%.  Costs charged in arriving at Segment EBITDA                      for the three months ended June 30, 2007 increased by US$ 6.1                      million, or                      23%, compared to the three months ended June 30, 2006.  Cost of                      programming increased by US$ 2.3 million, or 15%, primarily                      due to                      increased investment in local productions.  Other operating                      costs increased by US$ 3.3 million, or 49%, primarily due to                      increased                      accruals for performance-related bonus payments.  Selling,                      general and administrative expenses increased by US$ 0.5 million,                      or 12%,                      primarily due to increased marketing and research                      costs. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Six            months ended June 30, 2007 compared to the six months ended June 30,            2006**

|                                       |   | **CZECH                  REPUBLIC SEGMENT FINANCIAL INFORMATION**  |        |
|--------------------------------------------|--------|--------------------------------------------------------------------|-------------|
|                                       |   | **For                  the Six Months Ended June 30, (US$ 000's)** |        |
|                                       |   | **2007**                                                           |        |   | **2006** |   |   | ***Movement*** |   |
| Spot                  revenues             |   | $                                                                  | 120,712     |   |   | $ | 82,833 |   |   | *$* | *37,879* |   |
| Non-spot                  revenues         |   |                                                               | 11,351      |   |   |   | 14,028 |   |   | * * | *(2,677)* |   |
| **Segment                  Net Revenues**  |   | **$**                                                              | **132,063** |   |   | **$** | **96,861** |   |   | ***$*** | ***35,202*** |   |
|                                       |   |                                                               |        |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                               |        |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                  | 131,969     |   |   | $ | 96,494 |   |   | *$* | *35,475* |   |
| Non-broadcast                  operations  |   |                                                               | 94          |   |   |   | 367 |   |   | * * | *(273)* |   |
| **Segment                  Net Revenues**  |   | **$**                                                              | **132,063** |   |   | **$** | **96,861** |   |   | ***$*** | ***35,202*** |   |
|                                       |   |                                                               |        |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA**        |   | **$**                                                              | **73,262**  |   |   | **$** | **42,335** |   |   | ***$*** | ***30,927*** |   |
|                                       |   |                                                               |        |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                               |        |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                  | 73,759      |   |   | $ | 42,319 |   |   | *$* | *31,440* |   |
| Non-broadcast                  operations  |   |                                                               | (497)       |   |   |   | 16 |   |   | * * | *(513)* |   |
| **Segment                  EBITDA**        |   | **$**                                                              | **73,262**  |   |   | **$** | **42,335** |   |   | ***$*** | ***30,927*** |   |
|                                       |   |                                                               |        |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA Margin** |   | ** **                                                         | **55**      | **%** |   | ** ** | **44** | **%** |   | *** *** | ***11*** | ***%*** |

| ·   | **Segment                  Net Revenues** for the six months ended June 30, 2007 increased by                  US$ 35.2 million, or 36%, compared to the six months ended June                  30,                  2006.  In local currency, Segment Net Revenues increased by                  25%.  Spot revenues increased by US$ 37.9 million, or 46%,                  primarily due to an increase in the volume of GRPs sold, as well                  as                  increased average revenue per rating point sold. Non-spot revenue                  decreased by US$ 2.7 million, or 19%, primarily due to a reduction                  in the                  number of shows generating voting revenue in the six months ended                  June 30,                  2007 compared to those programs broadcast in the six months ended                  June 30,                  2006 and also a reduction in votes in the shows that were                  broadcast. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | **Segment                  EBITDA**for the six months ended June 30, 2007 increased by US$                  30.9 million, or 73%, compared to the six months ended June 30,                  2006,                  resulting in an EBITDA margin of 55% compared to 44% in the six                  months                  ended June 30, 2006.  In local currency, Segment EBITDA                  increased by 58%.  Costs charged in arriving at Segment EBITDA                  for the six months ended June 30, 2007 increased by US$ 4.2 million,                  or                  8%, compared to the six months ended June 30, 2006.  Cost of                  programming was in line with the six months ended June 30, 2006                  as we                  focused on improving operational efficiency.  Other operating                  costs increased by US$ 4.2 million, or 33%, primarily due to increased                  accruals for performance-related bonus payments.  Selling,                  general and administrative expenses were in line with the six months                  ended                  June 30, 2006 primarily                  due to increased accruals for performance-related bonus                  payments.  Selling, general and administrative expenses were in                  line with the six months ended June 30,                  2006. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

**(C)          ROMANIA**

**Market            Background:  **

**Three            months ended June 30, 2007 compared to the three months ended June 30,            2006**

|                                       |   | **ROMANIA                  SEGMENT FINANCIAL INFORMATION**           |       |
|--------------------------------------------|--------|----------------------------------------------------------------------|------------|
|                                       |   | **For                  the Three Months Ended June 30, (US$ 000's)** |       |
|                                       |   | **2007**                                                             |       |   | **2006** |   |   | ***Movement*** |   |
| Spot                  revenues             |   | $                                                                    | 49,069     |   |   | $ | 35,735 |   |   | *$* | *13,334* |   |
| Non-spot                  revenues         |   |                                                                 | 3,155      |   |   |   | 2,034 |   |   | * * | *1,121* |   |
| **Segment                  Net Revenues**  |   | **$**                                                                | **52,224** |   |   | **$** | **37,769** |   |   | ***$*** | ***14,455*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                    | 52,168     |   |   | $ | 37,769 |   |   | *$* | *14,399* |   |
| Non-broadcast                  operations  |   |                                                                 | 56         |   |   |   | - |   |   | * * | *56* |   |
| **Segment                  Net Revenues**  |   | **$**                                                                | **52,224** |   |   | **$** | **37,769** |   |   | ***$*** | ***14,455*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA**        |   | **$**                                                                | **22,530** |   |   | **$** | **16,424** |   |   | ***$*** | ***6,106*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                    | 22,625     |   |   | $ | 16,424 |   |   | *$* | *6,201* |   |
| Non-broadcast                  operations  |   |                                                                 | (95)       |   |   |   | - |   |   | * * | *(95)* |   |
| **Segment                  EBITDA**        |   | **$**                                                                | **22,530** |   |   | **$** | **16,424** |   |   | ***$*** | ***6,106*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA Margin** |   | ** **                                                           | **43**     | **%** |   | ** ** | **43** | **%** |   | *** *** | ***-*** |   |

----

*Index*

| ·   | **Segment                      Net Revenues** for the three months ended June 30, 2007 increased                      by US$ 14.5 million, or 38%, compared to the three months ended                      June 30,                      2006. Spot revenues increased by US$ 13.3 million, or 37%,                      driven                      primarily by increases in the average revenue per rating point                      sold in                      each of our three existing channels, which more than offset                      a decline in                      the volume of GRPs sold. Non-spot revenues increased by US$                      1.1 million,                      or 55%, primarily due to increased cable tariff revenue. The                      acquisition                      of Sport.ro added approximately US$ 2.2 million to our revenues                      for the                      three months ended June 30, 2007. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | **Segment                      EBITDA**for the three months ended June 30, 2007 increased                      by US$                      6.1 million, or 37%, compared to the three months ended June                      30, 2006,                      resulting in an unchanged EBITDA margin of 43%.  Costs charged                      in arriving at Segment EBITDA for the three months ended June                      30, 2007                      increased by US$ 8.3 million, or 39%, compared to the three                      months ended                      June 30, 2006.  Cost of programming grew by US$ 8.6 million, or                      66%, due partially to the inclusion of the salary-related costs                      of                      production staff within cost of programming rather than operating                      costs;                      excluding the impact of this change in classification, cost                      of programming                      increased by US$ 6.4 million, or 49%, as a result of increased                      market                      competition and investment in quality programming.  Other                      operating costs decreased by US$ 0.6 million, or 10%, after                      the difference                      in classification described above; excluding the impact of                      this change in                      classification, other operating costs increased by US$ 1.6                      million, or                      29%, primarily due to the impact of a weaker dollar on local                      currency                      denominated staffing costs.  Selling, general and administrative                      expenses increased by US$ 0.3 million, or 10%, primarily due                      to increased                      marketing and research costs and increased office running                      costs.  The acquisition of Sport.ro added approximately US$ 0.6                      million to our Segment EBITDA for the three months ended June                      30,                      2007. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Six            months ended June 30, 2007 compared to the six months ended June 30,            2006**

|                                       |   | **ROMANIA                  SEGMENT FINANCIAL INFORMATION**         |       |
|--------------------------------------------|--------|--------------------------------------------------------------------|------------|
|                                       |   | **For                  the Six Months Ended June 30, (US$ 000's)** |       |
|                                       |   | **2007**                                                           |       |   | **2006** |   |   | ***Movement*** |   |
| Spot                  revenues             |   | $                                                                  | 85,604     |   |   | $ | 63,870 |   |   | *$* | *21,734* |   |
| Non-spot                  revenues         |   |                                                               | 5,962      |   |   |   | 3,770 |   |   | * * | *2,192* |   |
| **Segment                  Net Revenues**  |   | **$**                                                              | **91,566** |   |   | **$** | **67,640** |   |   | ***$*** | ***23,926*** |   |
|                                       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                  | 91,510     |   |   | $ | 67,640 |   |   | *$* | *23,870* |   |
| Non-broadcast                  operations  |   |                                                               | 56         |   |   |   | - |   |   | * * | *56* |   |
| **Segment                  Net Revenues**  |   | **$**                                                              | **91,566** |   |   | **$** | **67,640** |   |   | ***$*** | ***23,926*** |   |
|                                       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA**        |   | **$**                                                              | **37,666** |   |   | **$** | **28,037** |   |   | ***$*** | ***9,629*** |   |
|                                       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                  | 37,899     |   |   | $ | 28,037 |   |   | *$* | *9,862* |   |
| Non-broadcast                  operations  |   |                                                               | (233)      |   |   |   | - |   |   | * * | *(233)* |   |
| **Segment                  EBITDA**        |   | **$**                                                              | **37,666** |   |   | **$** | **28,037** |   |   | ***$*** | ***9,629*** |   |
|                                       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA Margin** |   | ** **                                                         | **41**     | **%** |   | ** ** | **41** | **%** |   | *** *** | ***-*** |   |

| ·   | **Segment                  Net Revenues** for the six months ended June 30, 2007 increased by                  US$ 23.9 million, or 35%, compared to the six months ended June                  30, 2006.                  Spot revenues increased by US$ 21.7 million, or 34%, driven primarily                  by                  increases in the average revenue per rating point sold in each                  of our                  three existing channels, which more than offset a decline in the                  volume of                  GRPs sold. Non-spot revenues increased by US$ 2.2 million, or 58%,                  primarily due to increased cable tariff revenue.                  The acquisition of Sport.ro added approximately US$ 2.9 million                  to our                  revenues for the six months ended June 30,                  2007. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

| ·   | **Segment                      EBITDA** for the six months ended June 30, 2007 increased                      by US$                      9.6 million, or 34%, compared to the six months ended June                      30, 2006, with                      an unchanged EBITDA margin of 41%.  Costs charged in arriving at                      Segment EBITDA for the six months ended June 30, 2007 increased                      by US$                      14.3 million, or 36%, compared to the six months ended June                      30,                      2006.  Cost of programming grew by US$ 14.5 million, or 58%, due                      partially to the inclusion of the salary-related costs of production                      staff                      within cost of programming rather than operating costs; excluding                      the                      impact of this change in classification, cost of programming                      increased by                      US$ 10.5 million, or 42%, as a result of increased market competition                      and                      investment in quality programming.  Other operating costs                      decreased by US$ 0.7 million, or 6%, after the difference in                      classification described above; excluding the impact of this                      change in                      classification, other operating costs increased by US$ 3.3                      million, or                      34%, primarily due to the impact of a weaker dollar on local                      currency                      denominated staffing costs.  Selling, general and administrative                      expenses increased by US$ 0.5 million, or 11%, primarily due                      to increased                      marketing and research costs and increased office running                      costs.  The acquisition of Sport.ro added approximately US$ 0.8                      million to our Segment EBITDA for the six months ended June                      30,                      2007. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**(D)          SLOVAK REPUBLIC**

**Market          Background:  **

----

**Three        months ended June 30, 2007 compared to the three months ended June 30,        2006**

|                                       |   | **SLOVAK                  REPUBLIC SEGMENT FINANCIAL INFORMATION**   |       |
|--------------------------------------------|--------|----------------------------------------------------------------------|------------|
|                                       |   | **For                  the Three Months Ended June 30, (US$ 000's)** |       |
|                                       |   | **2007**                                                             |       |   | **2006** |   |   | ***Movement*** |   |
| Spot                  revenues             |   | $                                                                    | 28,494     |   |   | $ | 19,182 |   |   | *$* | *9,312* |   |
| Non-spot                  revenues         |   |                                                                 | 1,158      |   |   |   | 864 |   |   | * * | *294* |   |
| **Segment                  Net Revenues**  |   | **$**                                                                | **29,652** |   |   | **$** | **20,046** |   |   | ***$*** | ***9,606*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                    | 29,563     |   |   | $ | 20,039 |   |   | *$* | *9,524* |   |
| Non-broadcast                  operations  |   |                                                                 | 89         |   |   |   | 7 |   |   | * * | *82* |   |
| **Segment                  Net Revenues**  |   | **$**                                                                | **29,652** |   |   | **$** | **20,046** |   |   | ***$*** | ***9,606*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA**        |   | **$**                                                                | **11,712** |   |   | **$** | **7,827** |   |   | ***$*** | ***3,885*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                    | 11,894     |   |   | $ | 7,821 |   |   | *$* | *4,073* |   |
| Non-broadcast                  operations  |   |                                                                 | (182)      |   |   |   | 6 |   |   | * * | *(188)* |   |
| **Segment                  EBITDA**        |   | **$**                                                                | **11,712** |   |   | **$** | **7,827** |   |   | ***$*** | ***3,885*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA Margin** |   | ** **                                                           | **39**     | **%** |   | ** ** | **39** | **%** |   | *** *** | ***-*** |   |

| ·   | **Segment                  Net Revenues** for the three months ended June 30, 2007 increased                  by US$ 9.6 million, or 48%, compared to the three months ended                  June 30,                  2006.  In local currency, Segment Net Revenues increased by                  23%.  The increase in Segment Net Revenues was due to an                  increase of US$ 9.3 million, or 49%, in spot revenues and an increase                  of                  US$ 0.3 million, or 34%, in non-spot revenues.  The increase in                  spot revenues is mainly due to increases in the average revenue                  per rating                  point sold, as well as an increase in the volume of advertising                  spots                  sold. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | **Segment                  EBITDA**for the three months ended June 30, 2007 increased by                  US$                  3.9 million, or 50%, compared to the three months ended June 30,                  2006,                  resulting in an unchanged EBITDA margin of 39%.  In local                  currency, Segment EBITDA increased by 23%.  Costs charged in                  arriving at Segment EBITDA for the three months ended June 30,                  2007                  increased by US$ 5.7 million, or 47%, compared to the three months                  ended                  June 30, 2006.  Cost of programming increased by US$ 3.5                  million, or 54% primarily due to increased investment in local                  productions                  such as Bailando.  Other operating costs increased by US$ 1.8                  million, or 47%, primarily due to increased accruals for                  performance-related bonus payments and increased broadcast and                  operating                  expenses.  Selling, general and administrative expenses                  increased by US$ 0.4 million, or 23%, primarily due to increased                  consultancy costs. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

**Six          months ended June 30, 2007 compared to the six months ended June 30,          2006**

|                                       |   | **SLOVAK                  REPUBLIC SEGMENT FINANCIAL INFORMATION** |       |
|--------------------------------------------|--------|--------------------------------------------------------------------|------------|
|                                       |   | **For                  the Six Months Ended June 30, (US$ 000's)** |       |
|                                       |   | **2007**                                                           |       |   | **2006** |   |   | ***Movement*** |   |
| Spot                  revenues             |   | $                                                                  | 46,569     |   |   | $ | 29,496 |   |   | *$* | *17,073* |   |
| Non-spot                  revenues         |   |                                                               | 1,760      |   |   |   | 1,756 |   |   | * * | *4* |   |
| **Segment                  Net Revenues**  |   | **$**                                                              | **48,329** |   |   | **$** | **31,252** |   |   | ***$*** | ***17,077*** |   |
|                                       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                  | 48,225     |   |   | $ | 31,245 |   |   | *$* | *16,980* |   |
| Non-broadcast                  operations  |   |                                                               | 104        |   |   |   | 7 |   |   | * * | *97* |   |
| **Segment                  Net Revenues**  |   | **$**                                                              | **48,329** |   |   | **$** | **31,252** |   |   | ***$*** | ***17,077*** |   |
|                                       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA**        |   | **$**                                                              | **17,468** |   |   | **$** | **6,850** |   |   | ***$*** | ***10,618*** |   |
|                                       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                  | 17,753     |   |   | $ | 6,869 |   |   | *$* | *10,884* |   |
| Non-broadcast                  operations  |   |                                                               | (285)      |   |   |   | (19) |   |   | * * | *(266)* |   |
| **Segment                  EBITDA**        |   | **$**                                                              | **17,468** |   |   | **$** | **6,850** |   |   | ***$*** | ***10,618*** |   |
|                                       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA Margin** |   | ** **                                                         | **36**     | **%** |   | ** ** | **22** | **%** |   | *** *** | ***14*** | ***%*** |

| ·   | **Segment                  Net Revenues** for the six months ended June 30, 2007 increased by                  US$ 17.1 million, or 55%, compared to the six months ended June                  30,                  2006.  In local currency, Segment Net Revenues increased by                  36%.  The increase in Segment Net Revenues was due to an                  increase of US$ 17.1 million, or 58%, in spot revenues, with non-spot                  revenues in line with the six months ended June 30, 2007.  The                  increase in spot revenues is mainly due to increases in the average                  revenue per rating point sold, as well as an increase in the volume                  of                  advertising spots sold.  Our advertising revenues benefited from                  the launch of a new mobile phone operator during the six months                  ended June                  30, 2007, as well as increased spending from existing customers,                  particularly in the pharmaceutical sector.  Segment Net Revenues                  for the six months ended June 30, 2006 included approximately US$                  1.8                  million in respect of the period prior to acquisition on January                  23, 2006                  when Markiza was accounted for as an equity                  affiliate. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | **Segment                    EBITDA**for the six months ended June 30, 2007 increased by                    US$                    10.6 million, or 155%, compared to the six months ended June                    30, 2006,                    resulting in an EBITDA margin of 36% compared to 22% in the six                    months                    ended June 30, 2006.  In local currency, Segment EBITDA                    increased by 77%.  Costs charged in arriving at Segment EBITDA                    for the six months ended June 30, 2007 increased by US$ 6.5 million,                    or                    26%, compared to the six months ended June 30, 2006.  Cost of                    programming increased by US$ 3.1 million, or 23%, due to increased                    investment in local productions and syndicated programming; the                    amount                    charged in the six months ended June 30, 2006 included a charge                    of US$ 0.7                    million to write off an unsuccessful show.  Other operating                    costs increased by US$ 2.4 million, or 31%, due to increased                    accruals for                    performance-related bonus payments, increased broadcast and operating                    expenses and increased music right costs.  Selling, general and                    administrative expenses increased by US$ 0.9 million, or 28%,                    primarily                    due to increased consultancy and increased marketing and research                    costs.  Costs charged in arriving at Segment EBITDA for the six                    months ended June 30, 2006 included US$ 1.7 million of programming                    costs,                    US$ 0.9 million of other operating costs and US$ 0.4 million                    of selling,                    general and administrative expenses in respect of the period                    prior to                    acquisition on January 23,                    2006. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

**(E)          SLOVENIA**

**Market          Background:**

**Three        months ended June 30, 2007 compared to the three months ended June 30,        2006**

|                                       |   | **SLOVENIA                  SEGMENT FINANCIAL INFORMATION**          |       |
|--------------------------------------------|--------|----------------------------------------------------------------------|------------|
|                                       |   | **For                  the Three Months Ended June 30, (US$ 000's)** |       |
|                                       |   | **2007**                                                             |       |   | **2006** |   |   | ***Movement*** |   |
| Spot                  revenues             |   | $                                                                    | 17,435     |   |   | $ | 14,934 |   |   | *$* | *2,501* |   |
| Non-spot                  revenues         |   |                                                                 | 2,660      |   |   |   | 621 |   |   | * * | *2,039* |   |
| **Segment                  Net Revenues**  |   | **$**                                                                | **20,095** |   |   | **$** | **15,555** |   |   | ***$*** | ***4,540*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                    | 19,023     |   |   | $ | 15,095 |   |   | *$* | *3,928* |   |
| Non-broadcast                  operations  |   |                                                                 | 1,072      |   |   |   | 460 |   |   | * * | *612* |   |
| **Segment                  Net Revenues**  |   | **$**                                                                | **20,095** |   |   | **$** | **15,555** |   |   | ***$*** | ***4,540*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA**        |   | **$**                                                                | **8,388**  |   |   | **$** | **6,430** |   |   | ***$*** | ***1,958*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                    | 8,017      |   |   | $ | 6,296 |   |   | *$* | *1,721* |   |
| Non-broadcast                  operations  |   |                                                                 | 371        |   |   |   | 134 |   |   | * * | *237* |   |
| **Segment                  EBITDA**        |   | **$**                                                                | **8,388**  |   |   | **$** | **6,430** |   |   | ***$*** | ***1,958*** |   |
|                                       |   |                                                                 |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA Margin** |   | ** **                                                           | **42**     | **%** |   | ** ** | **41** | **%** |   | *** *** | ***1*** | ***%*** |

| ·   | **Segment                  Net Revenues** for the three months ended June 30, 2007 increased                  by US$ 4.5 million, or 29%, compared to the three months ended                  June 30,                  2006.  Spot revenues increased by US$ 2.5 million, or 17%, as                  our operations benefited from an increase in the average revenue                  per                  thirty-second advertising spot, particularly from large fast-moving                  consumer goods clients and local retailers, which more than offset                  a                  decline in the volume of GRPs sold.  Non-spot revenues increased                  by US$ 2.0 million, or 328%, due to an increased level of sponsorship                  and                  an increase in non-broadcast advertising                  revenue. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ·   | **Segment                  EBITDA** for the three months ended June 30, 2007 increased by                  US$                  2.0 million, or 30%, compared to the three months June 30, 2006,                  resulting                  in an EBITDA margin of 42% compared to 41% in the three months                  ended June                  30, 2006.  Costs charged in arriving at Segment EBITDA for the                  three months ended June 30, 2007 increased by US$ 2.6 million,                  or 28%,                  compared to the three months ended June 30, 2006.  Cost of                  programming grew by US$ 2.5 million, or 59%, due to increased investment                  in programming in a more competitive market environment.  Other                  operating costs decreased by US$ 0.4 million, or 12%, primarily                  due to                  lower salary and freelance costs, partially offset by higher music                  rights                  costs and higher transmitter and associated maintenance                  costs.  Selling, general and administrative expenses increased                  by US$ 0.5 million, or 39%, primarily due to higher office running                  costs                  and increased marketing and research                  costs. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Six          months ended June 30, 2007 compared to the six months ended June 30,          2006**

|                                       |   | **SLOVENIA                  SEGMENT FINANCIAL INFORMATION**        |       |
|--------------------------------------------|--------|--------------------------------------------------------------------|------------|
|                                       |   | **For                  the Six Months Ended June 30, (US$ 000's)** |       |
|                                       |   | **2007**                                                           |       |   | **2006** |   |   | ***Movement*** |   |
| Spot                  revenues             |   | $                                                                  | 28,760     |   |   | $ | 24,675 |   |   | *$* | *4,085* |   |
| Non-spot                  revenues         |   |                                                               | 4,004      |   |   |   | 1,107 |   |   | * * | *2,897* |   |
| **Segment                  Net Revenues**  |   | **$**                                                              | **32,764** |   |   | **$** | **25,782** |   |   | ***$*** | ***6,982*** |   |
|                                       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                  | 31,261     |   |   | $ | 25,027 |   |   | *$* | *6,234* |   |
| Non-broadcast                  operations  |   |                                                               | 1,503      |   |   |   | 755 |   |   | * * | *748* |   |
| **Segment                  Net Revenues**  |   | **$**                                                              | **32,764** |   |   | **$** | **25,782** |   |   | ***$*** | ***6,982*** |   |
|                                       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA**        |   | **$**                                                              | **11,389** |   |   | **$** | **9,463** |   |   | ***$*** | ***1,926*** |   |
|                                       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                  | 11,039     |   |   | $ | 9,305 |   |   | *$* | *1,734* |   |
| Non-broadcast                  operations  |   |                                                               | 350        |   |   |   | 158 |   |   | * * | *192* |   |
| **Segment                  EBITDA**        |   | **$**                                                              | **11,389** |   |   | **$** | **9,463** |   |   | ***$*** | ***1,926*** |   |
|                                       |   |                                                               |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA Margin** |   | ** **                                                         | **35**     | **%** |   | ** ** | **37** | **%** |   | *** *** | ***(2)*** | ***%*** |

| ·   | **Segment                  Net Revenues** for the six months ended June 30, 2007 increased by                  US$ 7.0 million, or 27%, compared to the six months ended June                  30,                  2006.  Spot revenues increased by US$ 4.1 million, or 17%, as                  our operations benefited from an increase in the average revenue                  per                  thirty-second advertising spot, which more than offset a decline                  in the                  volume of GRPs sold.  Non-spot revenues increased by US$ 2.9                  million, or 262%, due to an increased level of sponsorship and                  an increase                  in non-broadcast advertising                  revenue. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Segment        EBITDA**

----

*Index*

**(F)        UKRAINE (STUDIO 1+1)**

**Market        Background:**

----

*Index*

**Three        months ended June 30, 2007 compared to the three months ended June 30,        2006**

|                                       |   | **UKRAINE                  (STUDIO 1+1) SEGMENT FINANCIAL INFORMATION** |       |
|--------------------------------------------|--------|-------------------------------------------------------------------------|------------|
|                                       |   | **For                  the Three Months Ended June 30, (US$ 000's)**    |       |
|                                       |   | **2007**                                                                |       |   | **2006** |   |   | ***Movement*** |   |
| Spot                  revenues             |   | $                                                                       | 18,285     |   |   | $ | 17,596 |   |   | *$* | *689* |   |
| Non-spot                  revenues         |   |                                                                    | 4,416      |   |   |   | 3,466 |   |   | * * | *950* |   |
| **Segment                  Net Revenues**  |   | **$**                                                                   | **22,701** |   |   | **$** | **21,062** |   |   | ***$*** | ***1,639*** |   |
|                                       |   |                                                                    |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                                    |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                       | 22,701     |   |   | $ | 21,062 |   |   | *$* | *1,639* |   |
| Non-broadcast                  operations  |   |                                                                    | -          |   |   |   | - |   |   | * * | *-* |   |
| **Segment                  Net Revenues**  |   | **$**                                                                   | **22,701** |   |   | **$** | **21,062** |   |   | ***$*** | ***1,639*** |   |
|                                       |   |                                                                    |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA**        |   | **$**                                                                   | **565**    |   |   | **$** | **6,037** |   |   | ***$*** | ***(5,472)*** |   |
|                                       |   |                                                                    |       |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                                    |       |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                       | 716        |   |   | $ | 6,037 |   |   | *$* | *(5,321)* |   |
| Non-broadcast                  operations  |   |                                                                    | (151)      |   |   |   | - |   |   | * * | *(151)* |   |
| **Segment                  EBITDA**        |   | **$**                                                                   | **565**    |   |   | **$** | **6,037** |   |   | ***$*** | ***(5,472)*** |   |
|                                       |   |                                                                    |       |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA Margin** |   | ** **                                                              | **2**      | **%** |   | ** ** | **29** | **%** |   | *** *** | ***(27)*** | ***%*** |

| ·   | **Segment                  Net Revenues** for the three months ended June 30, 2007 increased                  by US$ 1.6 million, or 8%, compared to the three months ended June                  30,                  2006. Spot revenues increased by US$ 0.6 million, or 4%.  There                  was a decrease in the volume of GRPs sold in the three months ended                  June                  30, 2007 compared to the three months ended June 30, 2006 as our                  ratings                  declined due to the poor performance of the Russian series of Mothers                  and                  Daughters and of Damned Paradise (which aired following the conclusion                  of                  the successful current run of Cadets), particularly as against                  the runaway                  success of a new Russian series Day of Tatyana on Inter, which                  is expected                  to run until early 2008.  We also suffered increased competition                  from other broadcasters. These factors were partially offset by                  an                  increase in the average revenue per rating point sold.  Non-spot                  revenues increased by US$ 1.0 million, or 27%, primarily due to                  increased                  sponsorship and the sale of surplus                  programming. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | **Segment                  EBITDA**for the three months ended June 30, 2007 decreased by                  US$                  5.5 million, or 87%, compared to the three months ended June 30,                  2006,                  resulting in an EBITDA margin of 2% compared to 29% in the three                  months                  ended June 30, 2006.  Costs charged in arriving at Segment                  EBITDA for the three months ended June 30, 2007 increased by US$                  7.1                  million, or 47%, compared to the three months ended June 30,                  2006.  Cost of programming grew by US$ 7.7 million, or 87%,                  including a charge of US$ 2.2 million to write off poorly performing                  programming, principally second runs of American series.  The                  increase in cost of programming reflects continued price inflation                  for                  Russian programming, which drives strong ratings in the market,                  as well as                  increased investment in such programming to improve our programming                  schedule and boost ratings following disappointing ratings in the                  first                  half of 2007 and against unusually strong programming on                  Inter.  Other operating costs increased by US$ 1.0 million, or                  31%, due to increased salary costs and increased broadcast operating                  expenses.  Selling, general and administrative expenses                  decreased by US$ 1.6 million, or 53%, primarily due to decreased                  taxes and                  reduced bad debt expense. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

**Six        months ended June 30, 2007 compared to the six months ended June 30,        2006**

|                                           |   | **UKRAINE                      (STUDIO 1+1) SEGMENT FINANCIAL INFORMATION** |       |
|------------------------------------------------|--------|-----------------------------------------------------------------------------|------------|
|                                           |   | **For                      the Six Months Ended June 30, (US$ 000's)**      |       |
|                                           |   | **2007**                                                                    |       |   | **2006** |   |   | ***Movement*** |   |
| Spot                      revenues             |   | $                                                                           | 33,106     |   |   | $ | 40,324 |   |   | *$* | *(7,218* | *)* |
| Non-spot                      revenues         |   |                                                                        | 7,670      |   |   |   | 6,216 |   |   | * * | *1,454* |   |
| **Segment                      Net Revenues**  |   | **$**                                                                       | **40,776** |   |   | **$** | **46,540** |   |   | ***$*** | ***(5,764*** | ***)*** |
|                                           |   |                                                                        |       |   |   |   |   |   |   |   |   |   |
| **Represented                      by:**       |   |                                                                        |       |   |   |   |   |   |   |   |   |   |
| Broadcast                      operations      |   | $                                                                           | 40,776     |   |   | $ | 46,540 |   |   | *$* | *(5,764* | *)* |
| Non-broadcast                      operations  |   |                                                                        | -          |   |   |   | - |   |   | * * | *-* |   |
| **Segment                      Net Revenues**  |   | **$**                                                                       | **40,776** |   |   | **$** | **46,540** |   |   | ***$*** | ***(5,764*** | ***)*** |
|                                           |   |                                                                        |       |   |   |   |   |   |   |   |   |   |
| **Segment                      EBITDA**        |   | **$**                                                                       | **(1,805** | **)** |   | **$** | **17,024** |   |   | ***$*** | ***(18,829*** | ***)*** |
|                                           |   |                                                                        |       |   |   |   |   |   |   |   |   |   |
| **Represented                      by:**       |   |                                                                        |       |   |   |   |   |   |   |   |   |   |
| Broadcast                      operations      |   | $                                                                           | (1,622     | ) |   | $ | 17,024 |   |   | *$* | *(18,646* | *)* |
| Non-broadcast                      operations  |   |                                                                        | (183       | ) |   |   | - |   |   | * * | *(183* | *)* |
| **Segment                      EBITDA**        |   | **$**                                                                       | **(1,805** | **)** |   | **$** | **17,024** |   |   | ***$*** | ***(18,829*** | ***)*** |
|                                           |   |                                                                        |       |   |   |   |   |   |   |   |   |   |
| **Segment                      EBITDA Margin** |   | ** **                                                                  | **(4**     | **)%** |   | ** ** | **37** | **%** |   | *** *** | ***(41*** | ***)%*** |

| ·   | **Segment                  Net Revenues** for the six months ended June 30, 2007 decreased by                  US$ 5.8 million, or 12%, compared to the six months ended June                  30, 2006.                  Spot revenues decreased by US$ 7.2 million, or 18%.  There was a                  decrease in the volume of GRPs sold as our ratings declined due                  to the                  poor performance of certain series on Studio 1+1 and increased                  competition                  from other broadcasters. There was also a decrease in the                  average revenue per rating point sold in the six months ended June                  30,                  2007 compared to the six months ended June 30, 2006 due to extreme                  price                  competition in the first quarter.  In the six months ended June 30,                  2006, we benefited from US$ 8.4 million of political advertising                  revenue                  ahead of the parliamentary elections in March 2006 as well as the                  extraordinary ratings success of the Russian series Ugly Betty,                  which ran                  until July 2006. Non-spot revenues increased by US$ 1.5 million,                  or 23%,                  primarily due to the sale of surplus programming and increased                  sponsorship. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | **Segment                  EBITDA**for the six months ended June 30, 2007 decreased by US$                  18.8 million, or 111%, compared to the six months ended June 30,                  2006,                  resulting in an EBITDA loss of (4)% compared to an EBITDA margin                  of 37% in                  the six months ended June 30, 2006.  Costs charged in arriving                  at Segment EBITDA for the six months ended June 30, 2007 increased                  by US$                  13.1 million, or 44%, compared to the six months ended June 30,                  2006.  Cost of programming grew by US$ 13.0 million, or 75%,                  including a charge of US$ 2.7 million to write off poorly                  performing programming, principally second runs of American                  series.  The increase in cost of programming reflects continued                  price inflation for Russian programming, which drives strong ratings                  in                  the market, as well as increased investment in such programming                  to improve                  our programming schedule and boost ratings following disappointing                  ratings                  in the first half of 2007 and against unusually strong programming                  on                  Inter.  Other operating costs increased by US$ 1.6 million, or                  22%, due to increased salary costs and increased broadcast operating                  expenses.  Selling, general and administrative expenses                  decreased by US$ 1.5 million, or 27%, primarily due to decreased                  taxes and                  reduced bad debt expense.  We                  plan continued investment in programming throughout the remainder                  of 2007                  as we seek to recover audience share and improve                  profitability.  The performance of our Ukraine operations                  remains subject both to political developments, which can have                  a                  significant impact on market development in the second half of                  2007, and                  to the competitive dynamics of the market (See Part II, Item IA– “Risk                  Factors”). |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

**(G)        UKRAINE (KINO, CITI)**

**Three        months ended June 30, 2007 compared to the three months ended June 30,        2006**

|                                       |   | **UKRAINE                  (KINO, CITI) SEGMENT FINANCIAL INFORMATION** |        |
|--------------------------------------------|--------|-------------------------------------------------------------------------|-------------|
|                                       |   | **For                  the Three Months Ended June 30, (US$ 000's)**    |        |
|                                       |   | **2007**                                                                |        |   | **2006** |   |   | ***Movement*** |   |
| Spot                  revenues             |   | $                                                                       | 334         |   |   | $ | 106 |   |   | *$* | *228* |   |
| Non-spot                  revenues         |   |                                                                    | 320         |   |   |   | 92 |   |   | * * | *228* |   |
| **Segment                  Net Revenues**  |   | **$**                                                                   | **654**     |   |   | **$** | **198** |   |   | ***$*** | ***456*** |   |
|                                       |   |                                                                    |        |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                                    |        |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                       | 654         |   |   | $ | 198 |   |   | *$* | *456* |   |
| Non-broadcast                  operations  |   |                                                                    | -           |   |   |   | - |   |   | * * | *-* |   |
| **Segment                  Net Revenues**  |   | **$**                                                                   | **654**     |   |   | **$** | **198** |   |   | ***$*** | ***456*** |   |
|                                       |   |                                                                    |        |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA**        |   | **$**                                                                   | **(1,755)** |   |   | **$** | **(432)** |   |   | ***$*** | ***(1,323)*** |   |
|                                       |   |                                                                    |        |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**       |   |                                                                    |        |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations      |   | $                                                                       | (1,755)     |   |   | $ | (432) |   |   | *$* | *(1,323)* |   |
| Non-broadcast                  operations  |   |                                                                    | -           |   |   |   | - |   |   | * * | *-* |   |
| **Segment                  EBITDA**        |   | **$**                                                                   | **(1,755)** |   |   | **$** | **(432)** |   |   | ***$*** | ***(1,323)*** |   |
|                                       |   |                                                                    |        |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA Margin** |   | ** **                                                              | **(268)**   | **%** |   | ** ** | **(218)** | **%** |   | *** *** | ***(50)*** | ***%*** |

| ·   | **Segment                  Net Revenues** for the three months ended June 30, 2007 increased                  by US$ 0.5 million, or 230%, compared to the three months ended                  June 30,                  2006. Spot revenues increased by US$ 0.2 million, or                  215%.  Non-spot revenues increased by US$ 0.2 million, or 248%,                  primarily due to increased program                  sponsorship. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | **Segment                  EBITDA**for the three months ended June 30, 2007 decreased by                  US$                  1.3 million, or 306%, compared to the three months ended June 30,                  2006,                  resulting in an EBITDA margin of (268)%                  compared to (218)% in the three months ended June 30,                  2006.  Costs charged in arriving at Segment EBITDA for the three                  months ended June 30, 2007 increased by US$ 1.8 million, or 282%,                  compared                  to the three months ended June 30, 2006 as we continued to develop                  the                  channels.  Cost of programming grew by US$ 1.3 million, or                  854%.  Other operating costs increased by US$ 0.2 million, or                  62%.  Selling, general and administrative expenses increased by                  US$ 0.3 million, or 313%. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

**Six        months ended June 30, 2007 compared to the six months ended June 30,        2006**

|                                                           |   | **UKRAINE                  (KINO, CITI) SEGMENT FINANCIAL INFORMATION** |        |
|----------------------------------------------------------------|--------|-------------------------------------------------------------------------|-------------|
|                                                           |   | **For                  the Six Months Ended June 30, (US$ 000's)**      |        |
|                                                           |   | **2007**                                                                |        |   | **2006(1)** |   |   | ***Movement*** |   |
| Spot                  revenues                                 |   | $                                                                       | 477         |   |   | $ | 321 |   |   | *$* | *156* |   |
| Non-spot                  revenues                             |   |                                                                    | 575         |   |   |   | 251 |   |   | * * | *324* |   |
| **Segment                  Net Revenues**                      |   | **$**                                                                   | **1,052**   |   |   | **$** | **572** |   |   | ***$*** | ***480*** |   |
|                                                           |   |                                                                    |        |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**                           |   |                                                                    |        |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations                          |   | $                                                                       | 1,052       |   |   | $ | 572 |   |   | *$* | *480* |   |
| Non-broadcast                  operations                      |   |                                                                    | -           |   |   |   | - |   |   | * * | *-* |   |
| **Segment                  Net Revenues**                      |   | **$**                                                                   | **1,052**   |   |   | **$** | **572** |   |   | ***$*** | ***480*** |   |
|                                                           |   |                                                                    |        |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA**                            |   | **$**                                                                   | **(4,172)** |   |   | **$** | **(557)** |   |   | ***$*** | ***(3,615)*** |   |
|                                                           |   |                                                                    |        |   |   |   |   |   |   |   |   |   |
| **Represented                  by:**                           |   |                                                                    |        |   |   |   |   |   |   |   |   |   |
| Broadcast                  operations                          |   | $                                                                       | (4,172)     |   |   | $ | (557) |   |   | *$* | *(3,615)* |   |
| Non-broadcast                  operations                      |   |                                                                    | -           |   |   |   | - |   |   | * * | *-* |   |
| **Segment                  EBITDA**                            |   | **$**                                                                   | **(4,172)** |   |   | **$** | **(557)** |   |   | ***$*** | ***(3,615)*** |   |
|                                                           |   |                                                                    |        |   |   |   |   |   |   |   |   |   |
| **Segment                  EBITDA Margin**                     |   | ** **                                                              | **(397)**   | **%** |   | ** ** | **(97)** | **%** |   | *** *** | ***(300)*** | ***%*** |
|                                                           |   |
| (1)                  From acquisition on January 11, 2006 only |   |

| ·   | **Segment                  Net Revenues** for the six months ended June 30, 2007 increased by                  US$ 0.5 million, or 84%, compared to the six months ended June                  30, 2006.                  Spot revenues increased by US$ 0.2 million, or 49%.  Non-spot                  revenues increased by US$ 0.3 million, or 129%, primarily due to                  increased                  program sponsorship. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | **Segment                  EBITDA**for the six months ended June 30, 2007 decreased by US$                  3.6 million, or 649%, compared to the six months ended June 30,                  2006,                  resulting in an EBITDA margin of (397)% compared to (97)% in the                  six                  months ended June 30, 2006.  Costs charged in arriving at                  Segment EBITDA for the six months ended June 30, 2007 increased                  by US$ 4.1                  million, or 362%, compared to the six months ended June 30, 2006                  as we                  continued to develop the channels.  Cost of programming grew by                  US$ 3.0 million, or 1465%.  Other operating costs increased by                  US$ 0.6 million, or 101%.  Selling, general and administrative                  expenses increased by US$ 0.5 million, or                  167%. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

**PROGRAMMING        PAYMENTS AND PROGRAM AMORTIZATION**

| **COST                  OF PROGRAMMING** |   |
|------------------------------------------|--------|
|                                     |   | **For                  the Three Months Ended June 30, (US$ 000’s)** |   |   | **For                  the Six Months Ended June 30, (US$                  000’s)** |   |
|                                     |   | **2007** |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
|                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| Production                  expenses     |   | $ | 40,778 |   |   | $ | 26,045 |   |   | $ | 68,334 |   |   | $ | 49,020 |   |
| Program                  amortization    |   |   | 41,995 |   |   |   | 26,805 |   |   |   | 80,792 |   |   |   | 52,248 |   |
| **Cost                  of programming** |   | **$** | **82,773** |   |   | **$** | **52,850** |   |   | **$** | **149,126** |   |   | **$** | **101,268** |   |

| ·   | US$                  4.0 million of additional programming costs from our Croatia                  operations; |
|--------------------|----------------------------------------------------------------------------------------------------------------|

| ·   | US$                  2.3 million of additional programming costs from our Czech Republic                  operations. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------|

| ·   | US$                  8.6 million of additional programming costs from our Romania                  operations; |
|--------------------|----------------------------------------------------------------------------------------------------------------|

| ·   | US$                  3.5 million of additional programming costs from our Slovak Republic                  operations; |
|--------------------|------------------------------------------------------------------------------------------------------------------------|

| ·   | US$                  2.5 million of additional programming costs from our Slovenia                  operations; |
|--------------------|-----------------------------------------------------------------------------------------------------------------|

| ·   | US$                  7.7 million of additional programming costs from our Ukraine (STUDIO                  1+1)                  operations; and |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | US$                  1.3 million of additional programming costs from our Ukraine (KINO,                  CITI)                  operations; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | US$                  7.8 million of additional programming costs from our Croatia                  operations; |
|--------------------|----------------------------------------------------------------------------------------------------------------|

| ·   | US$                  14.4 million of additional programming costs from our Romania                  operations; |
|--------------------|-----------------------------------------------------------------------------------------------------------------|

| ·   | US$                  4.8 million of additional programming costs from our Slovak Republic                  operations, which have been consolidated for the entire six-month                  period                  in 2007; |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | US$                  4.8 million of additional programming costs from our Slovenia                  operations; |
|--------------------|-----------------------------------------------------------------------------------------------------------------|

| ·   | US$                  13.0 million of additional programming costs from our Ukraine (STUDIO                  1+1)                  operations; and |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | US$                  3.0 million of additional programming costs from our Ukraine (KINO,                  CITI)                  operations; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

| **PROGRAM                  AMORTIZATION AND CASH PAID FOR PROGRAMMING**                                                                                                                                                                                                       |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                                                                                                                                                                          |   | **For                  the Three Months Ended June 30, (US$ 000’s)** |   |   | **For                  the Six Months Ended June 30, (US$                  000’s)** |   |
|                                                                                                                                                                                                                                                                          |   | **2007** |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| Program                  amortization:                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |
| Croatia                  (NOVA TV)                                                                                                                                                                                                                                            |   | $ | 5,234 |   |   | $ | 3,472 |   |   | $ | 10,634 |   |   | $ | 6,890 |   |
| Czech                  Republic (TV NOVA)                                                                                                                                                                                                                                     |   |   | 7,295 |   |   |   | 6,506 |   |   |   | 13,851 |   |   |   | 13,889 |   |
| Romania                  (PRO TV, ACASA, PRO CINEMA, PRO TV INTERNATIONAL and                  SPORT.RO)                                                                                                                                                                      |   |   | 9,906 |   |   |   | 7,074 |   |   |   | 19,335 |   |   |   | 13,790 |   |
| Slovak                  Republic (MARKIZA TV) (post-acquisition)                                                                                                                                                                                                              |   |   | 2,969 |   |   |   | (1)3,642 |   |   |   | 6,176 |   |   |   | (1)4,078 |   |
| Slovenia                  (POP TV and KANAL A)                                                                                                                                                                                                                                |   |   | 2,246 |   |   |   | 1,788 |   |   |   | 4,442 |   |   |   | 3,205 |   |
| Ukraine                  (STUDIO 1+1)                                                                                                                                                                                                                                         |   |   | 13,561 |   |   |   | 5,964 |   |   |   | 24,489 |   |   |   | 12,010 |   |
| Ukraine                  (KINO, CITI)                                                                                                                                                                                                                                         |   |   | 784 |   |   |   | 94 |   |   |   | 1,865 |   |   |   | 121 |   |
|                                                                                                                                                                                                                                                                          |   | **$** | **41,995** |   |   | **$** | **28,540** |   |   | ** ** | **80,792** |   |   | **$** | **53,983** |   |
|                                                                                                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| (1)                  Includes the program amortization of our operations in the Slovak                  Republic                  (MARKIZA TV) for the period prior to January 23, 2006 when they                  were                  accounted for as an equity affiliate |   |
|                                                                                                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash                  paid for programming:                                                                                                                                                                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Croatia                  (NOVA TV)                                                                                                                                                                                                                                            |   | $ | 10,002 |   |   | $ | 3,232 |   |   | $ | 10,907 |   |   | $ | 7,598 |   |
| Czech                  Republic (TV NOVA)                                                                                                                                                                                                                                     |   |   | 4,269 |   |   |   | 4,277 |   |   |   | 10,846 |   |   |   | 16,213 |   |
| Romania                  (PRO TV, ACASA, PRO CINEMA, PRO TV INTERNATIONAL and                  SPORT.RO)                                                                                                                                                                      |   |   | 12,931 |   |   |   | 10,789 |   |   |   | 22,977 |   |   |   | 17,395 |   |
| Slovak                  Republic (MARKIZA TV)                                                                                                                                                                                                                                 |   |   | 4,466 |   |   |   | 2,263 |   |   |   | 8,165 |   |   |   | 5,542 |   |
| Slovenia                  (POP TV and KANAL A)                                                                                                                                                                                                                                |   |   | 2,480 |   |   |   | 1,680 |   |   |   | 4,652 |   |   |   | 3,499 |   |
| Ukraine                  (STUDIO 1+1)                                                                                                                                                                                                                                         |   |   | 16,075 |   |   |   | 5,437 |   |   |   | 26,559 |   |   |   | 13,409 |   |
| Ukraine                  (KINO, CITI)                                                                                                                                                                                                                                         |   |   | 375 |   |   |   | 273 |   |   |   | 1,117 |   |   |   | 388 |   |
|                                                                                                                                                                                                                                                                          |   | **$** | **50,598** |   |   | **$** | **27,951** |   |   | **$** | **85,223** |   |   | **$** | **64,044** |   |

----

*Index*

***IV.      Analysis of the Results of Consolidated Operations***

**IV      (a) Net Revenues for the three months ended June 30, 2007 compared to the three      months ended June 30, 2006**

| **CONSOLIDATED                NET REVENUES**       |   |
|----------------------------------------------------|--------|
|                                               |   |
|                                               |   | **For                the Three Months Ended June 30, (US$ 000's)** |   |
|                                               |   | **2007** |   |   | **2006** |   |   | ***Movement*** |   |
|                                               |   |   |   |   |   |   |   |   |   |
| Croatia                                            |   | $ | 10,414 |   |   | $ | 5,647 |   |   | *$* | *4,767* |   |
| Czech                Republic                      |   |   | 80,544 |   |   |   | 56,312 |   |   | * * | *24,232* |   |
| Romania                                            |   |   | 52,224 |   |   |   | 37,769 |   |   | * * | *14,455* |   |
| Slovak                Republic                     |   |   | 29,652 |   |   |   | 20,046 |   |   | * * | *9,606* |   |
| Slovenia                                           |   |   | 20,095 |   |   |   | 15,555 |   |   | * * | *4,540* |   |
| Ukraine                (STUDIO 1+1)                |   |   | 22,701 |   |   |   | 21,062 |   |   | * * | *1,639* |   |
| Ukraine                (KINO, CITI)                |   |   | 654 |   |   |   | 198 |   |   | * * | *456* |   |
| **Total                Consolidated Net Revenues** |   | **$** | **216,284** |   |   | **$** | **156,589** |   |   | ***$*** | ***59,695*** |   |

**IV      (b) Net Revenues for the six months ended June 30, 2007 compared to the six      months ended June 30, 2006**

| **CONSOLIDATED                NET REVENUES**       |   |
|----------------------------------------------------|--------|
|                                               |   |
|                                               |   | **For                the Six Months Ended June 30, (US$ 000's)** |   |
|                                               |   | **2007** |   |   | **2006** |   |   | ***Movement*** |   |
|                                               |   |   |   |   |   |   |   |   |   |
| Croatia                                            |   | $ | 17,646 |   |   | $ | 9,457 |   |   | *$* | *8,189* |   |
| Czech                Republic                      |   |   | 132,063 |   |   |   | 96,861 |   |   | * * | *35,202* |   |
| Romania                                            |   |   | 91,566 |   |   |   | 67,640 |   |   | * * | *23,926* |   |
| Slovak                Republic *                   |   |   | 48,329 |   |   |   | 29,491 |   |   | * * | *18,838* |   |
| Slovenia                                           |   |   | 32,764 |   |   |   | 25,782 |   |   | * * | *6,982* |   |
| Ukraine                (STUDIO 1+1)                |   |   | 40,776 |   |   |   | 46,540 |   |   | * * | *(5,764* | *)* |
| Ukraine                (KINO, CITI)                |   |   | 1,052 |   |   |   | 572 |   |   | * * | *480* |   |
| **Total                Consolidated Net Revenues** |   | **$** | **364,196** |   |   | **$** | **276,343** |   |   | ***$*** | ***87,853*** |   |

----

*Index*

**IV      (c) Cost of Revenues for the three months ended June 30, 2007 compared to the      three months ended June 30, 2006**

| **CONSOLIDATED                COST OF REVENUES**                        |   |
|-------------------------------------------------------------------------|--------|
|                                                                    |   |
|                                                                    |   | **For                the Three Months Ended June 30, (US$ 000's)** |   |
|                                                                    |   | **2007** |   |   | **2006** |   |   | ***Movement*** |   |
|                                                                    |   |   |   |   |   |   |   |   |   |
| Operating                costs                                          |   | $ | 30,944 |   |   | $ | 26,042 |   |   | *$* | *4,902* |   |
| Cost                of programming                                      |   |   | 82,773 |   |   |   | 52,850 |   |   | * * | *29,923* |   |
| Depreciation                of station property, plant and equipment    |   |   | 7,680 |   |   |   | 6,059 |   |   | * * | *1,621* |   |
| Amortization                of broadcast licenses and other intangibles |   |   | 5,165 |   |   |   | 4,620 |   |   | * * | *545* |   |
| **Total                Consolidated Cost of Revenues**                  |   | **$** | **126,562** |   |   | **$** | **89,571** |   |   | ***$*** | ***36,991*** |   |

**Operating      costs:  **

**Cost      of programming:  **

**Depreciation      of property, plant and equipment:**

**Amortization      of broadcast licenses and other intangibles**

**IV      (d) Cost of Revenues for the six months ended June 30, 2007 compared to the      six      months ended June 30, 2006**

| **CONSOLIDATED                COST OF REVENUES**                        |   |
|-------------------------------------------------------------------------|--------|
|                                                                    |   |
|                                                                    |   | **For                the Six Months Ended June 30, (US$ 000's)** |   |
|                                                                    |   | **2007** |   |   | **2006** |   |   | ***Movement*** |   |
|                                                                    |   |   |   |   |   |   |   |   |   |
| Operating                costs                                          |   | $ | 56,601 |   |   | $ | 49,014 |   |   | *$* | *7,587* |   |
| Cost                of programming                                      |   |   | 149,126 |   |   |   | 101,268 |   |   | * * | *47,858* |   |
| Depreciation                of station property, plant and equipment    |   |   | 14,579 |   |   |   | 11,761 |   |   | * * | *2,818* |   |
| Amortization                of broadcast licenses and other intangibles |   |   | 10,327 |   |   |   | 8,952 |   |   | * * | *1,375* |   |
| **Total                Consolidated Cost of Revenues**                  |   | **$** | **230,633** |   |   | **$** | **170,995** |   |   | ***$*** | ***59,638*** |   |

----

*Index*

**Operating      costs:  **

**Cost      of programming:  **

**Depreciation      of property, plant and equipment:**

**Amortization      of broadcast licenses and other intangibles**

**IV      (e) Station Selling, General and Administrative Expenses for the three months      ended June 30, 2007 compared to the three months ended June 30,      2006**

| **CONSOLIDATED                STATION SELLING, GENERAL AND ADMINISTRATIVE                EXPENSES**       |   |
|-----------------------------------------------------------------------------------------------------------|--------|
|                                                                                                      |   |
|                                                                                                      |   | **For                the Three Months Ended June 30, (US$ 000's)** |   |
|                                                                                                      |   | **2007** |   |   | **2006** |   |   | **Movement** |   |
|                                                                                                      |   |   |   |   |   |   |   |   |   |
| Croatia                                                                                                   |   | $ | 2,013 |   |   | $ | 1,248 |   |   | $ | 765 |   |
| Czech                Republic                                                                             |   |   | 4,908 |   |   |   | 4,388 |   |   |   | 520 |   |
| Romania                                                                                                   |   |   | 2,918 |   |   |   | 2,646 |   |   |   | 272 |   |
| Slovak                Republic                                                                            |   |   | 2,321 |   |   |   | 1,894 |   |   |   | 427 |   |
| Slovenia                                                                                                  |   |   | 1,770 |   |   |   | 1,271 |   |   |   | 499 |   |
| Ukraine                (STUDIO 1+1)                                                                       |   |   | 1,417 |   |   |   | 3,009 |   |   |   | (1,592 | ) |
| Ukraine                (KINO, CITI)                                                                       |   |   | 352 |   |   |   | 85 |   |   |   | 267 |   |
| **Total                Consolidated Station Selling, General and Administrative                Expenses** |   | **$** | **15,699** |   |   | **$** | **14,541** |   |   | **$** | **1,158** |   |

----

*Index*

**IV      (f) Station Selling, General and Administrative Expenses for the six months      ended June 30, 2007 compared to the six months ended June 30,      2006**

| **CONSOLIDATED                STATION SELLING, GENERAL AND ADMINISTRATIVE                EXPENSES**       |   |
|-----------------------------------------------------------------------------------------------------------|--------|
|                                                                                                      |   |
|                                                                                                      |   | **For                the Six Months Ended June 30, (US$ 000's)** |   |
|                                                                                                      |   | **2007** |   |   | **2006** |   |   | ***Movement*** |   |
|                                                                                                      |   |   |   |   |   |   |   |   |   |
| Croatia                                                                                                   |   | $ | 3,739 |   |   | $ | 2,790 |   |   | $ | 949 |   |
| Czech                Republic                                                                             |   |   | 10,000 |   |   |   | 10,065 |   |   |   | (65 | ) |
| Romania                                                                                                   |   |   | 5,342 |   |   |   | 4,810 |   |   |   | 532 |   |
| Slovak                Republic                                                                            |   |   | 4,259 |   |   |   | 2,913 |   |   |   | 1,346 |   |
| Slovenia                                                                                                  |   |   | 3,477 |   |   |   | 2,484 |   |   |   | 993 |   |
| Ukraine                (STUDIO 1+1)                                                                       |   |   | 3,883 |   |   |   | 5,353 |   |   |   | (1,470 | ) |
| Ukraine                (KINO, CITI)                                                                       |   |   | 780 |   |   |   | 292 |   |   |   | 488 |   |
| **Total                Consolidated Station Selling, General and Administrative                Expenses** |   | **$** | **31,480** |   |   | **$** | **28,707** |   |   | **$** | **2,773** |   |

**IV      (g) Corporate Operating Costs for the three months ended June 30, 2007 compared      to the three months ended June 30, 2006**

| **CORPORATE                OPERATING COSTS**                                  |   |
|-------------------------------------------------------------------------------|--------|
|                                                                          |   |
|                                                                          |   | **For                the Three Months Ended June 30, (US$ 000's)** |   |
|                                                                          |   | **2007** |   |   | **2006** |   |   | ***Movement*** |   |
|                                                                          |   |   |   |   |   |   |   |   |   |
| Corporate                operating costs (excluding stock-based compensation) |   | $ | 6,101 |   |   | $ | 6,966 |   |   | *$* | *(865* | *)* |
| Stock-based                compensation                                       |   |   | 1,343 |   |   |   | 730 |   |   | * * | *613* |   |
| **Corporate                Operating Costs**                                  |   | **$** | **7,444** |   |   | **$** | **7,696** |   |   | ***$*** | ***(252*** | ***)*** |

| · | Decreased                legal costs incurred in connection with legal proceedings in respect                of                our Ukraine operations, partly offset                by; |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Increased                staff-related costs; and |
|--------|---------------------------------------------------|

| · | Increased                business development expenses incurred in researching potential                acquisition targets. |
|--------|------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

**IV      (h) Corporate Operating Costs for the six months ended June 30, 2007 compared      to      the six months ended June 30, 2006**

| **CORPORATE                OPERATING COSTS**                                  |   |
|-------------------------------------------------------------------------------|--------|
|                                                                          |   |
|                                                                          |   | **For                the Six Months Ended June 30, (US$ 000's)** |   |
|                                                                          |   | **2007** |   |   | **2006** |   |   | ***Movement*** |   |
|                                                                          |   |   |   |   |   |   |   |   |   |
| Corporate                operating costs (excluding stock-based compensation) |   | $ | 13,643 |   |   | $ | 14,259 |   |   | *$* | *(616* | *)* |
| Stock-based                compensation                                       |   |   | 2,605 |   |   |   | 1,418 |   |   | * * | *1,187* |   |
| **Corporate                Operating Costs**                                  |   | **$** | **16,248** |   |   | **$** | **15,677** |   |   | ***$*** | ***571*** |   |

| · | Decreased                property-related costs, as the expense incurred in the six months                ended                June 30, 2006 included  a lease exit charge of approximately US$                1.6 million (including additional depreciation of US$ 0.3 million)                incurred following relocation of our London office during the first                quarter of 2006; |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Decreased                legal costs incurred in connection with legal proceedings in respect                of                our Ukraine operations, partly offset                by; |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Increased                staff-related costs; and |
|--------|---------------------------------------------------|

| · | Increased                business development expenses incurred in researching potential                acquisition targets. |
|--------|------------------------------------------------------------------------------------------------------------------------------|

**IV      (i) Impairment charge for the three and six months ended June 30, 2007 compared      to the three and six months ended June 30, 2006**

**IV      (j) Operating Income for the three months ended June 30, 2007 compared to the      three months ended June 30, 2006**

| **OPERATING                INCOME** |   |
|-------------------------------------|--------|
|                                |   |
|                                |   | **For                the Three Months Ended June 30, (US$ 000's)** |   |
|                                |   | **2007** |   |   | **2006** |   |   | ***Movement*** |   |
|                                |   |   |   |   |   |   |   |   |   |
| **Operating                Income** |   | **$** | **66,579** |   |   | **$** | **44,033** |   |   | ***$*** | ***22,546*** |   |

----

*Index*

**IV      (k) Operating Income for the six months ended June 30, 2007 compared to the      six      months ended June 30, 2006**

| **OPERATING                INCOME** |   |
|-------------------------------------|--------|
|                                |   |
|                                |   | **For                the Six Months Ended June 30, (US$ 000's)** |   |
|                                |   | **2007** |   |   | **2006** |   |   | ***Movement*** |   |
|                                |   |   |   |   |   |   |   |   |   |
| **Operating                Income** |   | **$** | **85,835** |   |   | **$** | **60,216** |   |   | ***$*** | ***25,619*** |   |

**IV      (l) Other income / (expense) items for the three months ended June 30, 2007      compared to the three months ended June 30, 2006**

| **OTHER                INCOME / (EXPENSE) ITEMS**                       |   |
|-------------------------------------------------------------------------|--------|
|                                                                    |   |
|                                                                    |   | **For                the Three Months Ended June 30, (US$ 000's)** |   |
|                                                                    |   | **2007** |   |   | **2006** |   |   | ***Movement*** |   |
|                                                                    |   |   |   |   |   |   |   |   |   |
| Interest                income                                          |   | $ | 1,732 |   |   | $ | 1,741 |   |   | *$* | *(9* | *)* |
| Interest                expense                                         |   |   | (19,438 | ) |   |   | (11,337 | ) |   | * * | *(8,101* | *)* |
| Foreign                currency exchange loss, net                      |   |   | (2,116 | ) |   |   | (20,625 | ) |   | * * | *18,509* |   |
| Change                in fair value of derivatives                      |   |   | 7,528 |   |   |   | (1,876 | ) |   | * * | *9,404* |   |
| Other                (expense) / income                                 |   |   | (546 | ) |   |   | 167 |   |   | * * | *(713* | *)* |
| Provision                for income taxes                               |   |   | (13,419 | ) |   |   | (3,582 | ) |   | * * | *(9,837* | *)* |
| Minority                interest in income of consolidated subsidiaries |   |   | (5,730 | ) |   |   | (1,276 | ) |   | * * | *(4,454* | *)* |
| Discontinued                operations                                  |   | $ | - |   |   | $ | 1,277 |   |   | *$* | *(1,277* | *)* |

**Interest      income**

**Interest      expense**

**Foreign      currency exchange loss, net:**

**Change      in fair value of derivatives**

**Other      (expense) / income :**

**Provision      for income taxes:**

----

*Index*

**Minority      interest in income of consolidated subsidiaries:**

**Discontinued      operations:**

**IV      (m) Other income / (expense) items for the six months ended June 30, 2007      compared to the six months ended June 30, 2006**

| **OTHER                INCOME / (EXPENSE) ITEMS**                       |   |
|-------------------------------------------------------------------------|--------|
|                                                                    |   |
|                                                                    |   | **For                the Six Months Ended June 30, (US$ 000's)** |   |
|                                                                    |   | **2007** |   |   | **2006** |   |   | ***Movement*** |   |
|                                                                    |   |   |   |   |   |   |   |   |   |
| Interest                income                                          |   | $ | 3,146 |   |   | $ | 3,194 |   |   | *$* | *(48* | *)* |
| Interest                expense                                         |   |   | (30,834 | ) |   |   | (21,855 | ) |   | * * | *(8,979* | *)* |
| Foreign                currency exchange gain loss, net                 |   |   | (5,252 | ) |   |   | (31,487 | ) |   | * * | *26,235* |   |
| Change                in fair value of derivatives                      |   |   | 12,052 |   |   |   | (1,876 | ) |   | * * | *13,928* |   |
| Other                expense                                            |   |   | (6,759 | ) |   |   | (381 | ) |   | * * | *(6,378* | *)* |
| Provision                for income taxes                               |   |   | (18,478 | ) |   |   | (7,576 | ) |   | * * | *(10,902* | *)* |
| Minority                interest in income of consolidated subsidiaries |   |   | (5,370 | ) |   |   | (6,717 | ) |   | * * | *1,347* |   |
| Equity                in income / (loss) of unconsolidated affiliates   |   |   | - |   |   |   | (730 | ) |   | * * | *730* |   |
| Discontinued                operations                                  |   | $ | - |   |   | $ | (2,530 | ) |   | *$* | *2,530* |   |

**Interest        income**

**Interest        expense**

**Foreign        currency exchange loss, net:**

----

*Index*

**Change      in fair value of derivatives**

**Other      expense:**

**Provision        for income taxes:**

**Minority        interest in income of consolidated subsidiaries:**

**Equity      in income / (loss) of unconsolidated affiliates**

| **EQUITY                IN INCOME / (LOSS) OF UNCONSOLIDATED AFFILIATES** |   |
|---------------------------------------------------------------------------|--------|
|                                                                      |   |
|                                                                      |   | **For                the Six Months Ended June 30, (US$ 000's)** |   |
|                                                                      |   | **2007** |   |   | **2006** |   |   | ***Movement*** |   |
|                                                                      |   |   |   |   |   |   |   |   |   |
| Romania                operations                                         |   | $ | - |   |   | $ | 7 |   |   | *$* | *(7* | *)* |
| Slovak                Republic operations                                 |   |   | - |   |   |   | (737 | ) |   | * * | *737* |   |
| **Equity                in Income / (Loss) of Unconsolidated Affiliates** |   | **$** | **-** |   |   | **$** | **(730** | **)** |   | ***$*** | ***730*** |   |

**Discontinued      operations:**

----

*Index*

**IV      (n) Condensed consolidated balance sheet as at June 30, 2007 compared to      December 31, 2006**

| **SUMMARIZED                CONDENSED CONSOLIDATED BALANCE SHEET (US$ 000’s)** |   |
|--------------------------------------------------------------------------------------|--------|
|                                                                                 |   |
|                                                                                 |   | **June                30,****2007** |   |   | **December                31,****2006** |   |   | ***Movement*** |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
| Current                assets                                                        |   | $ | 426,598 |   |   | $ | 413,616 |   |   | *$* | *12,982* |   |
| Non-current                assets                                                    |   |   | 1,473,694 |   |   |   | 1,405,384 |   |   | * * | *68,310* |   |
| Current                liabilities                                                   |   |   | 214,237 |   |   |   | 182,961 |   |   | * * | *31,276* |   |
| Non-current                liabilities                                               |   |   | 611,475 |   |   |   | 574,084 |   |   | * * | *37,391* |   |
| Minority                interests in consolidated subsidiaries                       |   |   | 21,556 |   |   |   | 26,189 |   |   | * * | *(4,633* | *)* |
| Shareholders’                equity                                            |   | $ | 1,053,024 |   |   | $ | 1,035,766 |   |   | * * | *17,258* |   |

**Current      assets:**

**Non-current      assets:**

**Current      liabilities:**

**Non-current      liabilities:**

**Minority      interests in consolidated subsidiaries:**

**Shareholders’      equity:**

----

*Index*

***V.      Liquidity and Capital Resources***

**V      (a) Summary of cash flows**

| **SUMMARY                OF CASH FLOWS**                                                            |   |
|-----------------------------------------------------------------------------------------------------|--------|
| **For                the Six Months Ended June 30, (US$ 000's)**                                    |   |
|                                                                                                |   | **2007** |   |   | **2006** |   |
|                                                                                                |   |   |   |   |   |   |
| Net                cash generated from continuing operating activities                              |   | $ | 21,601 |   |   | $ | 37,275 |   |
| Net                cash used in continuing investing activities                                     |   |   | (88,113 | ) |   |   | (81,568 | ) |
| Net                cash received from financing activities                                          |   |   | 31,125 |   |   |   | 138,233 |   |
| Net                cash used in discontinued operations – operating                activities |   |   | (1,624 | ) |   |   | (1,690 | ) |
| **Net                (decrease)/increase in cash and cash equivalents**                             |   | **$** | **(29,242** | **)** |   | **$** | **87,340** |   |

*Operating      Activities*

*Investing      Activities*

| · | Payment                of US$ 51.6 million in connection with our acquisition of an additional                5%                stake in our Romania broadcasting operations and a 20% stake in our                Romanian production company (for further information, see Part I,                Item 1,                Note 3); |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Payments                of EUR 6.7 million (approximately US$ 8.4 million) in connection                with our                acquisition of Sport.ro (for further information, see Part I, Item                1, Note                3); |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Payments                of US$ 2.1 million in connection with our acquisition of a 60.4%                stake in                each of Tor and Zhysa (for further information, see Part I, Item                1, Note                3); and |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Capital                expenditure of US$ 25.5 million. |
|--------|---------------------------------------------------------|

*Financing      Activities*

----

*Index*

*Discontinued        Operations*

**V      (b) Sources and Uses of Cash**

| **Operating                segment (US$ 000’s)** |   | **June                30, 2007** |        |   | **December                31, 2006** |   |
|--------------------------------------------------------|--------|----------------------------------|-------------|--------|--------------------------------------|--------|
| Croatia                                                |   | $                                | 85,140      |   |                                 | $      | 67,623 |   |
| Czech                Republic                          |   |                             | 411,821     |   |                                 |   | 434,897 |   |
| Romania                                                |   |                             | 37,235      |   |                                 |   | 25,620 |   |
| Slovak                Republic                         |   |                             | 23,518      |   |                                 |   | 23,670 |   |
| Slovenia                                               |   |                             | 58          |   |                                 |   | - |   |
| Ukraine                (STUDIO 1+1)                    |   |                             | 556         |   |                                 |   | - |   |
| Ukraine                (KINO, CITI)                    |   |                             | 11,972      |   |                                 |   | 4,621 |   |
| **Total**                                              |   | **$**                            | **570,300** |   |                                 | **$**  | **556,431** |   |

----

*Index*

**V      (c) Contractual Obligations, Commitments and Off-Balance Sheet      Arrangements**

| **Contractual                Obligations**        |   | **Payments                due by period (US$ 000’s)** |        |
|---------------------------------------------------|--------|-------------------------------------------------------------|-------------|
|                                              |   | **Total**                                                   |        |   | **Less                than 1 year** |   |   | **1-3                years** |   |   | **3-5                years** |   |   | **More                than 5 years** |   |
| Long-Term                Debt – principal   |   | $                                                           | 546,929     |   |   | $  | 11,805 |   |   | $  | 1,700 |   |   | $  | - |   |   | $ | 533,424 |   |
| Long-Term                Debt – interest    |   |                                                        | 208,481     |   |   |   | 39,510 |   |   |   | 78,383 |   |   |   | 78,077 |   |   |   | 12,511 |   |
| Capital                Lease Obligations          |   |                                                        | 6,644       |   |   |   | 540 |   |   |   | 1,840 |   |   |   | 1,240 |   |   |   | 3,024 |   |
| Operating                Leases                   |   |                                                        | 6,015       |   |   |   | 2,611 |   |   |   | 2,419 |   |   |   | 985 |   |   |   | - |   |
| Unconditional                Purchase Obligations |   |                                                        | 118,498     |   |   |   | 110,045 |   |   |   | 6,059 |   |   |   | 1,580 |   |   |   | 814 |   |
| Other                Long-Term Obligations        |   |                                                        | 9,199       |   |   |   | 7,199 |   |   |   | 2,000 |   |   |   | - |   |   |   | - |   |
| **Total                Contractual Obligations**  |   | **$ **                                                 | **895,766** |   |   | **$** | **171,710** |   |   | **$** | **92,401** |   |   | **$** | **81,882** |   |   | **$ ** | **549,773** |   |

*Long-Term      Debt*

|                                           |   |   |          |   | **June                30, 2007**** (US$                000’s)** |   |
|------------------------------------------------|--------|--------|---------------|--------|----------------------------------------------------------------------------|--------|
| Corporate                                      |   |   | (1)–(2) |   |                                                                       | $      | 533,424 |   |
| Croatia                operations              |   |   | (3)           |   |                                                                       |   | - |   |
| Czech                Republic operations       |   |   | (4)–(6) |   |                                                                       |   | 11,760 |   |
| Romania                operations              |   |   | (7)           |   |                                                                       |   | 40 |   |
| Slovenia                operations             |   |   | (8)           |   |                                                                       |   | - |   |
| Ukraine                (KINO, CITI) operations |   |   | (9)           |   |                                                                       |   | 1,705 |   |
| **Total**                                      |   |   |          |   |                                                                       | **$**  | **546,929** |   |

| (1) | In                May 2005, we issued Senior Notes in the aggregate principal amount                of EUR                370.0 million (approximately US$ 499.7 million) consisting of EUR                245.0 million (approximately US$ 330.9 million) of 8.25% Senior Notes                due May 2012 and EUR 125.0 million (approximately US$ 168.8                million) of floating rate Senior Notes due May 2012, which bore                interest at six-month Euro Inter-Bank Offered Rate (“EURIBOR”) plus                5.50%.  On May 15, 2007, we redeemed the floating rate Senior                Notes. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

| (2) | On                July 21, 2006, we entered into a five-year revolving loan agreement                for                EUR 100.0 million (approximately US$ 135.1 million) arranged by the                European Bank for Reconstruction and Development (the                “Loan”).  ING Bank N.V. (“ING”) and Ceska Sporitelna, a.s.                (“CS”) are participating in the facility for EUR 50.0 million in                aggregate. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | On                March 28, 2007, we repaid EUR 0.6 million (approximately US$ 0.8                million),                which was the total amount outstanding to our Croatia operations                under two                loan agreements with Hypo Alpe-Adria Bank d.d. Following this repayment,                the security held by the bank was                released. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (4) | CET                  21 has a four-year credit facility of CZK 1.2 billion (approximately                  US$                  56.4 million) with Ceska Sporitelna, a.s. (“CS”).  The final                  repayment date is October 31, 2009.  This facility may, at the                  option of CET 21, be drawn in CZK, US$ or EUR and bears interest                  at the                  three-month, six-month or twelve-month London Inter-Bank Offered                  Rate                  (“LIBOR”), EURIBOR or Prague Inter-Bank Offered Rate (“PRIBOR”) rate plus                  1.95%.  This facility is secured by a pledge of receivables,                  which are also subject to a factoring arrangement with Factoring                  Ceska                  Sporitelna, a.s., a subsidiary of CS.  As at June 30, 2007,                  there were no drawings under this facility, however on July 10,                  2007, CZK                  860.0 million (approximately US$ 40.4 million) was drawn down under                  this                  facility and on July 31, 2007, CZK 260.0 million (approximately                  US$ 12.7                  million) was repaid. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (5) | CET                21 has a working capital credit facility of CZK 250.0 million                (approximately US$ 11.8 million) with CS.  This working capital                facility bears interest at the three-month PRIBOR rate plus 1.65%                and is                secured by a pledge of receivables, which are also subject to a factoring                arrangement with Factoring Ceska Sporitelna, a.s. On June 30, 2007,                the                full CZK 250.0 million (approximately US$ 11.8                million) was drawn under this facility bearing interest at an aggregate                4.65% (three-month PRIBOR effective for this loan was                3.00%). |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

| (6) | As                at June 30, 2007, there were no drawings under a CZK 300.0 million                (approximately US$ 14.1 million) factoring facility with Factoring                Ceska                Sporitelna, a.s., a subsidiary of CS.  This facility is                available until June 30, 2010 and bears interest at the rate of one-month                PRIBOR plus 1.40% for the period that actively assigned accounts                receivable are outstanding. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (7) | As                   at June 30, 2007, an amount of RON 97 thousand (approximately                  US$ 40                  thousand) was outstanding under a loan agreement from one of the                  founding                  shareholders of Sport.ro. The loan is interest free and is repayable                  in                  equal monthly instalments by August 31,                  2007. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (8) | A                  revolving five-year facility agreement was entered into by Pro                  Plus for up                  to EUR 37.5 million (approximately US$ 50.6 million) in aggregate                  principal amount with ING Bank N.V., Nova Ljubljanska Banka d.d.,                  Ljubljana and Bank Austria Creditanstalt d.d., Ljubljana.  The                  facility availability amortizes by 10.0% each year for four years                  commencing one year after signing, with 60.0% repayable after five                  years.  This facility is secured by a pledge of the bank                  accounts of Pro Plus, the assignment of certain receivables, a                  pledge of                  our interest in Pro Plus and a guarantee of our wholly-owned subsidiary                  CME Media Enterprises B.V.  Loans drawn under this facility will                  bear interest at a rate of EURIBOR for the period of drawing plus                  a margin                  of between 2.1% and 3.6% that varies according to the ratio of                  consolidated net debt to consolidated broadcasting cash flow for                  Pro                  Plus.  As at June 30, 2007, EUR 33.8 million (approximately US$                  45.6 million)  was available for drawing under this revolving                  facility; there were no drawings                  outstanding. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (9) | Our                Ukraine (KINO, CITI) operations have entered into a number of three-year                unsecured loans with Glavred-Media, LLC, the minority shareholder                in                Ukrpromtorg.  As at June 30, 2007, the total value of loans                drawn was US$ 1.7 million.  The loans are repayable between                August 2009 and December 2009 and bear interest at                9.0%. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

*Capital      Lease Obligations*

*Operating      Leases*

*Unconditional      Purchase Obligations*

*Other      Long-Term Obligations*

----

*Index*

**V      (d) Cash Outlook**

**V      (e) Tax Inspections**

----

*Index*

**V      (f) Off-Balance Sheet Arrangements**

***VI.  Critical      Accounting Policies and Estimates***

*Recently      adopted accounting principles*

----

*Index*

| **Jurisdiction**               | **Year** |
|--------------------------------|----------|
| Croatia                        | 2003     |
| Czech                Republic  | 2003     |
| Germany                        | 2000     |
| Netherlands                    | 2004     |
| Romania                        | 2002     |
| Slovak                Republic | 2001     |
| Slovenia                       | 2001     |
| Ukraine                        | 2003     |
| United                States   | 2001     |

**Item      3.  Quantitative and Qualitative Disclosures about      Market Risk**

**Foreign      Currency Exchange Risk Management**

**Interest      Rate Risk Management**

----

*Index*

*Interest      Rate Table as at June 30, 2007*

| **Expected                Maturity Dates**    |   | **2007** |    |   | **2008** |   |   | **2009** |   |   | **2010** |   |   | **2011** |   |   | **Thereafter** |   |
|-----------------------------------------------|--------|----------|---------|--------|----------|--------|--------|----------|--------|--------|----------|--------|--------|----------|--------|--------|----------------|--------|
|                                          |   |     |    |   |     |   |   |     |   |   |     |   |   |     |   |   |           |   |
| **Total                debt in Euro (000's)** |   |     |    |   |     |   |   |     |   |   |     |   |   |     |   |   |           |   |
| Fixed                rate                     |   |     | -       |   |     |   | -      |     |   |   | -        |   |   |     | -      |   |           |   | - |   |   |   | 245,000 |   |
| Average                interest rate (%)      |   |     | -       |   |     |   | -      |     |   |   | -        |   |   |     | -      |   |           |   | - |   |   |   | 8.25 | % |
| Variable                rate                  |   |     | -       |   |     |   | -      |     |   |   | -        |   |   |     | -      |   |           |   | - |   |   |   | 150,000 |   |
| Average                interest rate (%)      |   |     | -       |   |     |   | -      |     |   |   | -        |   |   |     | -      |   |           |   | - |   |   |   | 5.80 | % |
|                                          |   |     |    |   |     |   |   |     |   |   |     |   |   |     |   |   |           |   |   |   |   |   |   |   |
| **Total                debt in US$ (000's)**  |   |     |    |   |     |   |   |     |   |   |     |   |   |     |   |   |           |   |   |   |   |   |   |   |
| Fixed                rate                     |   |     | -       |   |     |   | -      |     |   |   | 1,700    |   |   |     | -      |   |           |   | - |   |   |   | - |   |
| Average                interest rate (%)      |   |     | -       |   |     |   | -      |     |   |   | 9.00     | %      |   |     | -      |   |           |   | - |   |   |   | - |   |
|                                          |   |     |    |   |     |   |   |     |   |   |     |   |   |     |   |   |           |   |   |   |   |   |   |   |
| **Total                debt in CZK (000's)**  |   |     |    |   |     |   |   |     |   |   |     |   |   |     |   |   |           |   |   |   |   |   |   |   |
| Fixed                rate                     |   |     | -       |   |     |   | -      |     |   |   | -        |   |   |     | -      |   |           |   | - |   |   |   | - |   |
| Average                interest rate (%)      |   |     | -       |   |     |   | -      |     |   |   | -        |   |   |     | -      |   |           |   | - |   |   |   | - |   |
| Variable                rate                  |   |     | 250,000 |   |     |   | -      |     |   |   | -        |   |   |     | -      |   |           |   | - |   |   |   | - |   |
| Average                interest rate (%)      |   |     | 4.65    | %      |     |   | -      |     |   |   | -        |   |   |     | -      |   |           |   | - |   |   |   | - |   |

*Variable      Interest Rate Sensitivity as at June 30, 2007*

|                                                                                         |   |                                                              |   |   |                                                                          |       |       | **Yearly                interest charge if interest rates increase by (US$                000s):** |   |
|----------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------|--------|--------|-------------------------------------------------------------------------------|------------|------------|---------------------------------------------------------------------------------------------------------|--------|
| **Value                of Debt as at****June 30, 2007                (US$ 000's)** |   | **Interest                Rate as at****June 30, 2007** |   |   | **Yearly                Interest Charge****(US$                000’s)** |       |       | ** **                                                                                              | **1%** | ** ** |   | ** ** | **2%** | ** ** |   | ** ** | **3%** | ** ** |   | ** ** | **4%** | ** ** |   | ** ** | **5%** | ** ** |
|                                                                                         |   |                                                              |   |   |                                                                          |       |       |                                                                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| 202,566(EUR                150.0 million)                                                    |   |                                                              | 5.80%  |   |                                                                          |       | 11,743     |                                                                                                    |   |   | 13,768 |   |   |   | 15,794 |   |   |   | 17,820 |   |   |   | 19,845 |   |   |   | 21,871 |   |
| 11,760(CZK                250.0 million)                                                     |   |                                                              | 4.65%  |   |                                                                          |       | 547        |                                                                                                    |   |   | 664 |   |   |   | 782 |   |   |   | 900 |   |   |   | 1,017 |   |   |   | 1,135 |   |
| **Total**                                                                                    |   |                                                              |   |   |                                                                          | ** ** | **12,290** |                                                                                                    |   | ** ** | **14,443** |   |   | ** ** | **16,576** |   |   | ** ** | **18,719** |   |   | ** ** | **20,863** |   |   | ** ** | **23,006** |   |

**Item4.  Controls      and Procedures**

----

*Index*

**PART      II  OTHER INFORMATION**

**Item      1.  Legal Proceedings**

*General*

*Croatia*

*Global      Communications Disputes*

----

*Index*

*Former      Shareholder Dispute*

*Czech Republic*

*Romania*

*Slovenia*

----

*Index*

*Slovak      Republic*

*Ukraine*

----

*Index*

**Item      1A.  **
**Risk      Factors**

**Risks      Relating to our Operations**

*We      do      not have management control of our affiliate in Ukraine*

*Our      operating results depend on our ability to generate advertising sales generally      and, in the Czech Republic, to fully implement our advertising sales      strategy*

----

*Index*

*Our      operations are in developing markets where there is a risk of economic      uncertainty, biased treatment and loss of business*

*Our      broadcasting licenses may not be renewed and may be subject to      revocation*

*We      may not be aware of all related party transactions; such transactions may      involve risks of conflicts of interest and of concluding transactions on less      favorable terms than could be obtained in arms length      transactions*

----

*Index*

*We      may not be able to prevent our general directors from entering into transactions      that are outside their authority and not in the best interests of      shareholders*

*We      may seek to make acquisitions of other stations, networks, content providers      or      other companies in the future, and we may fail to acquire them on acceptable      terms or successfully integrate them or we may fail to identify suitable      targets*

|   | · | Additional                demands placed on our senior management, who are also responsible                for                managing our existing operations; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Increased                overall operating complexity of our business, requiring greater personnel                and other resources; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Difficulties                of expanding beyond our core expertise, in the event that we acquire                content providers or other ancillary                businesses; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Significant                initial cash expenditures to acquire and integrate new businesses;                and |
|--------|--------|------------------------------------------------------------------------------------------------------------------|

|   | · | In                the event that debt is incurred to finance acquisitions, additional                debt                service costs related thereto as well as limitations that may arise                under                our Senior Notes and the EBRD Loan                Agreement. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

*Our      operating results are dependent on the importance of television as an      advertising medium*

----

*Index*

*Our      operating results are dependent on general economic conditions*

*Our      programming content may become more expensive to produce or acquire or we may      not be able to develop or acquire programming content that is attractive to      our      audiences*

*Our      operations are subject to significant changes in technology that could adversely      affect our business*

----

*Index*

*Our      success depends on attracting and retaining key personnel*

**Risks      Relating to our Financial Position**

*Our      increased debt service obligations following the issuance of the Senior Notes      may adversely affect our business*

*We      may require additional external sources of capital, which may not be available      on acceptable terms*

----

*Index*

*Under      the Senior Notes and the EBRD Loan Agreement, we have pledged shares in our      two      principal subsidiary holding companies that hold substantially all of our assets      and a default on our obligations could result in our inability to continue      to      conduct our business*

*Our      cash flow and capital resources may not be sufficient for future debt service      obligations*

*We      are subject to risks relating to fluctuations in exchange      rates*

*If      our goodwill or amortizable intangible assets become impaired we may be required      to record a significant charge to earnings*

*Our      holding company structure may limit our access to cash*

----

*Index*

**Risks      Relating to Enforcement Rights**

*We      may not be able to enforce our indemnification rights in a timely      manner*

*Enforcement      of civil liabilities and judgments may be difficult*

**Risks      Relating to Our Common Stock**

*CME      Holdco L.P. is in a position to decide corporate actions that require      shareholder approval and may have interests that differ from those of other      shareholders*

*The      price of our Class A Common Stock is likely to remain volatile*

----

*Index*

*Our      share price may be adversely affected by potential future issuances and sales      of      our shares*

**Item      4. Submission of Matters to a Vote of Security Holders**

|                                  | **For**    | **Withheld** |
|---------------------------------------|------------|--------------|
|                                  |       |         |
| Ronald                  S. Lauder     | 82,659,508 | 2,816,548    |
| Michael                  Garin        | 85,379,243 | 2,615,038    |
| Frank                  Ehmer          | 82,861,018 | 2,817,418    |
| Charles                  R. Frank, Jr | 82,658,638 | 243,309      |
| Herbert                  A. Granath   | 85,232,747 | 96,813       |
| Herbert                  Kloiber      | 79,804,852 | 5,671,204    |
| Alfred                  W. Langer     | 85,232,747 | 243,309      |
| Bruce                  Maggin         | 85,101,994 | 374,062      |
| Ann                  Mather           | 85,233,017 | 243,039      |
| Christian                  Stahl      | 82,658,738 | 2,817,318    |
| Eric                  Zinterhofer     | 79,591,571 | 5,884,485    |

----

*Index*

**Item      6.  Exhibits**

| 10.63  | Purchase                Agreement, among Central European Media Enterprises Ltd. as Issuer,                Central European Media Enterprises N.V. and CME Media Enterprises                B.V. as                Guarantors and J.P. Morgan Securities Ltd., Lehman Brothers International                (Europe) and ING Bank N.V., London Branch as the Initial Purchasers,                dated                May 9, 2007.                                                                                                                                                                     |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 10.64  | Amended                and Restated Registration Rights Agreement, between Central European                Media                Enterprises Ltd., and Testora Ltd., dated May 11, 2007.                                                                                                                                                                                                                                                                                                                                                                                                               |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 10.65  | Indenture,                among Central European Media Enterprises Ltd. as Issuer, Central                European                Media Enterprises N.V. and CME Media Enterprises B.V. as Subsidiary                Guarantors, BNY Corporate Trustee Services Limited as Trustee, The                Bank of                New York as Security Trustee, Principal Paying Agent and Transfer                Agent                and The Bank of New York (Luxembourg) S.A. as Registrar, Luxembourg                Transfer Agent and Luxembourg Paying Agent, dated May 16,                2007. |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 10.66  | Sale-Purchase                Contract for Shares in Pro TV S.A., between Rootland Trading Ltd.                and CME                Romania B.V., dated June 1, 2007.                                                                                                                                                                                                                                                                                                                                                                                                                                |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 10.67  | Sale-Purchase                Contract for Shares in Media Pro International S.A., between Rootland                Trading Ltd. and CME Romania B.V., dated June 1, 2007.                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 31.01  | Sarbanes-Oxley                Certification s. 302 CEO, dated August 2, 2007.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 31.02  | Sarbanes-Oxley                Certification s. 302 CFO, dated August 2, 2007.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 32.01  | Sarbanes-Oxley                Certification – CEO and CFO, dated August 2, 2007 (furnished                only).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |

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*Index*

**SIGNATURES**

| Date:                August 2, 2007 | /s/                Michael Garin                                                   |
|-------------------------------------|------------------------------------------------------------------------------------|
|                                | Michael                Garin                                                       |
|                                | Chief                Executive Officer                                             |
|                                | (Duly                Authorized Officer)                                           |
|                                |                                                                               |
|                                |                                                                               |
| Date:                August 2, 2007 | /s/                Wallace Macmillan                                               |
|                                | Wallace                Macmillan                                                   |
|                                | Chief                Financial Officer                                             |
|                                | (Principal                Financial Officer and Accounting                Officer) |

----

*Index*

**EXHIBIT      INDEX**

| 10.63  | Purchase                Agreement, among Central European Media Enterprises Ltd. as Issuer,                Central European Media Enterprises N.V. and CME Media Enterprises                B.V. as                Guarantors and J.P. Morgan Securities Ltd., Lehman Brothers International                (Europe) and ING Bank N.V., London Branch as the Initial Purchasers,                dated                May 9, 2007.                                                                                                                                                                     |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 10.64  | Amended                and Restated Registration Rights Agreement, between Central European                Media                Enterprises Ltd., and Testora Ltd., dated May 11, 2007.                                                                                                                                                                                                                                                                                                                                                                                                               |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 10.65  | Indenture,                among Central European Media Enterprises Ltd. as Issuer, Central                European                Media Enterprises N.V. and CME Media Enterprises B.V. as Subsidiary                Guarantors, BNY Corporate Trustee Services Limited as Trustee, The                Bank of                New York as Security Trustee, Principal Paying Agent and Transfer                Agent                and The Bank of New York (Luxembourg) S.A. as Registrar, Luxembourg                Transfer Agent and Luxembourg Paying Agent, dated May 16,                2007. |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 10.66  | Sale-Purchase                Contract for Shares in Pro TV S.A., between Rootland Trading Ltd.                and CME                Romania B.V., dated June 1, 2007.                                                                                                                                                                                                                                                                                                                                                                                                                                |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 10.67  | Sale-Purchase                Contract for Shares in Media Pro International S.A., between Rootland                Trading Ltd. and CME Romania B.V., dated June 1, 2007.                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 31.01  | s.                302 Sarbanes-Oxley Certification - CEO, dated August 2,                2007                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 31.02  | s.                302 Sarbanes-Oxley Certification - CFO, dated August                2,  2007                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 32.01  | s.                906 Sarbanes-Oxley Certification - CEO and CFO, dated August 2, 2007                (furnished only)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |

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