Document:

Participation Agreement, dated as of October 8, 2004

 EXHIBIT 10.2 
  

  
 PARTICIPATION AGREEMENT 
  
 By and Among 
  
 GLOBO COMUNICAÇÕES E PARTICIPAÇÕES S.A.,

  
 THE NEWS CORPORATION LIMITED 
  
 and 
  
 THE DIRECTV GROUP, INC. 
  
 Dated as of October 8, 2004 
  

 PARTICIPATION AGREEMENT, dated as of October 8, 2004, by and among Globo Comunicações e
Participações S.A., a sociedade anônima, The News Corporation Limited, an Australian corporation and The DirecTV Group Inc., a Delaware corporation (formerly known as Hughes Electronics Corporation). Capitalized terms used
herein without definition shall have the meaning set forth in, and shall be construed and interpreted in accordance with, Annex A. 
  
 W I T N E S S E T H 
  
 A. Globo and News, together with Liberty, indirectly own and operate Sky Brasil, which provides DTH subscription programming
services in Brazil. As of the date hereof, Globo, News and Liberty own directly or indirectly approximately 40.3%, 49.7% and 10%, respectively, of the registered capital of Sky Brasil, except that such ownership percentages do not reflect the
conversion into equity of any unconverted or uncapitalized Quotaholder Funding (including without limitation Quotaholder Funding that News or any Affiliate thereof has made to Sky Brasil in lieu of Quotaholder Funding by Globo or any Affiliate
thereof). 
  
 B. News is subject to certain non-compete covenants
contained in Section 6.6 of the Master Agreement, Section 8.1 of the Sky Brasil Quotaholders Agreement and Section 1 of the Schedule of General Terms to the MCOP MOU (collectively, the “Covenants”), and has requested from Globo a
waiver of such covenants with respect to its acquisition in December 2003 of an indirect 34% equity interest in DirecTV and the present and continuing ownership by News or any of its Affiliates of two competing DTH platforms pursuant to the common
ownership of Sky Brasil and DTV Brasil (the “DirecTV Acquisition”). As a result of the DirecTV Acquisition, News indirectly owns equity interests in DTVLA and DTV Brasil, a competing DTH platform to Sky Brasil operating in Brazil.

  
 C. In connection with the foregoing, subject to the terms and
conditions hereof, (i) News desires to assume certain financial and other obligations relating to Sky Brasil, MCOP and other related News and Globo ventures as provided herein and in the Sky Purchase Agreement; (ii) News and Globo
desire to make certain changes to their existing arrangements regarding Sky Brasil, including pursuant to the Amended Sky Brasil Quotaholders Agreement and certain other agreements entered into as of the date hereof; and (iii) News, DirecTV
and Globo desire to agree on the terms and conditions for the combination of Sky Brasil and DTV Brasil, including with respect to their common ownership, governance and operation and to the migration of the subscribers of the DTV Brasil platform to
Sky Brasil as the surviving platform. 
  
 D. In order to effect
the proposed combination of Sky Brasil and DTV Brasil, News and Globo, together with DirecTV, DTVLA and GLA, have entered into a Combination Agreement as of the date hereof. Upon the occurrence of the Closing 
  

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 thereunder, subject to the terms and conditions therein, DirecTV will cause GLA to contribute all of its equity interests
in TV Capital to Sky Brasil in exchange for equity interests in Sky Brasil. At the Closing, Affiliates of Globo, News (or DirecTV, in the event that News shall have already transferred its entire interest in Sky Brasil to DirecTV) and, if
applicable, Liberty, holding direct interests in Sky Brasil will enter into the Closing Sky Brasil Quotaholders Agreement, relating, among other things, to the governance and funding of Sky Brasil and the Combined Businesses. 
  
 E. News, DirecTV and Globo desire to agree to certain rights and obligations
that will apply if the Closing under the Combination Agreement does not occur within certain time periods described herein. 
  
 F. In connection with the foregoing transactions contemplated by the Parties, News and Globo have agreed to certain exchange and transfer rights
applicable to their interests in Sky Brasil under the Amended Sky Brasil Quotaholders Agreement and, following Closing, the Closing Sky Brasil Quotaholders Agreement. 
  
 NOW, THEREFORE, in consideration of the mutual promises, covenants, representations and warranties made herein, and of the
mutual benefits to be derived herefrom, the parties hereto agree as follows: 
  
 1. Waiver. 
  
 1.1
Temporary Waiver. From the date hereof until the earlier to occur of (a) the date on which the Release and Waiver becomes effective pursuant to Section 1.2 or (b) the date on which the waiver and covenant described herein are
deemed automatically revoked pursuant to Section 1.3, Globo, on its own behalf and on behalf of the other members of the Globo Group party to the agreements containing the Covenants, hereby, subject to any revocation pursuant to Section 1.3,
(x) fully waives the applicability of the Covenants to the DirecTV Acquisition, and (y) covenants that it will not commence any legal proceedings (in court, arbitration or any other forum) against News or any of its Affiliates in
connection therewith to the same extent, in both cases (x) and (y), as if the Release and Waiver were in effect (the “Temporary Waiver”). 
  
 1.2 Release and Waiver. Simultaneously with the execution and delivery of this Participation Agreement, Globo and
News shall execute and deliver the Release and Waiver, which shall only become effective as set forth herein. The Release and Waiver shall automatically become effective upon the earlier to occur of (a) the Closing and receipt of all Required
Approvals, (b) the Exchange Rights becoming effective pursuant to Section 1.4(a), (c) the Exchange Rights becoming effective pursuant to Section 1.4(b) and (d) any cure of the breach of the Covenants resulting from
the DirecTV Acquisition in accordance with the publicly announced Cure Plan. Subject to Section 1.4(b), in the event that the Temporary Waiver is deemed to be automatically 
  

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 revoked pursuant to Section 1.3, the Release and Waiver shall automatically terminate without having become
effective and neither party thereto shall have any right or obligation thereunder. 
  
 1.3 Remedies; Expiry of Waiver. In the event the conditions described in any of clauses (a), (b) or (c) (except for (c)(y)) below apply, then (i) the Temporary Waiver shall be
deemed to be automatically revoked and no longer have any force or effect and (ii) Globo and the other members of the Globo Group shall have the remedies set forth in the applicable clause below. Subject to Section 1.4(b), the rights
and remedies of Globo and the Globo Group set forth in this Section 1.3 (including any exercise thereof) shall not limit the rights of Globo and the other members of the Globo Group to damages under law, equity or otherwise with respect to
any breach by News or any of its Affiliates of the Covenants, and all such rights are expressly reserved. 
  
 (a) Effective January 1, 2005, if (x) the Required Approvals have been received or waived but the Closing has not occurred for a reason other than
failure to meet the conditions specified in clauses (B) and (C) of the definition of Specified Closing Conditions and (y) either (1) News, DirecTV or any of their respective Affiliates has a Competing Interest in a
Competing Platform or (2) News, DirecTV and their respective Affiliates no longer have a Competing Interest in a Competing Platform as a result of a breach of any obligation of News, DirecTV or any of their respective Affiliates under any
Transaction Agreement, then the following remedies shall apply: 
  
 (i) At Globo’s request (the “Disposition Right”), News shall, and shall cause its Affiliates (including, without limitation, DirecTV and its Affiliates, and Sky Brasil and its Controlled
Affiliates) to promptly dispose of any Competing Interest in a Competing Platform; provided that this Disposition Right (A) may not be exercised by Globo prior to January 1, 2007 if Globo has exercised any of its Transfer Rights (other
than Transfers within the Globo Group, pursuant to a pledge or hypothecation prior to any foreclosure and sale, as payment on any indemnity obligation or in accordance with Sections 4.4 through 4.7 of the Amended Sky Brasil Quotaholders Agreement)
or its Exchange Rights pursuant to Section 1.3(b) and (B) may not be exercised at all if a Globo Transfer Event has occurred. 
  
 (ii) All non-competition covenants applicable to the Globo Group, and all obligations of any member of the Globo Group to provide Content
to Sky Brasil on an exclusive basis (but for the avoidance of doubt, none of the rights of any member of the Globo Group to be an exclusive provider) under this Participation Agreement, any other Transaction Agreement, the Agency Agreement, any
Related Agency Agreement or otherwise shall automatically expire, and, without limiting the generality of the foregoing, there shall be no 
  

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 further restriction on any member of the Globo Group with regard to offering Content to, or owning an
interest in or managing, any other DTH platform. 
  
 (iii) Until the earlier to occur of (A) the date on which each of News, DirecTV and their respective Affiliates no longer has a Competing Interest in a Competing Platform and (B) a Globo Transfer Event, Globo’s
consent shall be required to hire or fire the President of Sky Brasil, as set forth in Section 3.7(a)(xv) of the Amended Sky Brasil Quotaholders Agreement. 
  
 (b) Effective January 1, 2006, and in addition to any remedies otherwise available pursuant to this Section 1.3, if (x) the Required
Approvals have been received or waived but the Closing has not occurred for a reason other than failure to meet the conditions specified in clauses (B) and (C) of the definition of Specified Closing Conditions and (y) either (1)
News, DirecTV or any of their respective Affiliates has a Competing Interest in a Competing Platform that is not as of January 1, 2006 the subject of an ongoing Required Disposition or (2) News, DirecTV and their respective Affiliates no
longer have a Competing Interest in a Competing Platform as a result of a breach of any obligation of News, DirecTV or any of their respective Affiliates under any Transaction Agreement, the following remedy shall apply: 
  
 (i) Upon the effective termination of the Combination
Agreement, Globo and each other applicable member of the Globo Group shall have, with immediate effect, the right to exercise Exchange Rights on the terms set forth in the Exchange Rights Agreement; provided that if prior to January 1, 2006
Globo gives notice hereunder that it expects to exercise the Exchange Rights effective as of January 1, 2006 if the Combination Agreement is terminated pursuant to Section 7.1(a)(iii) thereof, the Parties shall, upon request by a member of
the Globo Group, cause the commencement of the valuation procedures set forth in Article 3 of the Exchange Rights Agreement in a sufficiently timely manner during 2005 such that the closing of such exercise of Exchange Right can occur as early as
January 2, 2006. 
  
 (c) Effective on the later of (i)
January 1, 2006 or April 1, 2006, in the event that on January 1, 2006, the Parties reasonably expect to obtain the Required Approvals and effect the Closing within 90 days, or (ii) the Announced Cure Date, in the event that DirecTV publicly
announces a Cure Plan upon termination of the Combination Agreement, and in addition to any other remedies that may be available pursuant to Section 1.3(b) above, if (x) the Closing has not occurred for any reason (whether or not due
to a failure to meet a Specified Closing Condition) and (y) in the case of clause (i) below only, either (1) News, DirecTV or any of their respective Affiliates has a Competing Interest in a Competing Platform or
(2) News, DirecTV and their respective Affiliates no longer have a Competing Interest in a Competing Platform as a result of a 
  

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 breach of any obligation of News, DirecTV or any of their respective Affiliates under any Transaction Agreement, then the
following remedies shall also apply: 
  
 (i) The
remedies set forth in clauses (i) through (iii) of Section 1.3(a) shall apply, notwithstanding the failure to meet any Specified Closing Condition. 
  
 (ii) Upon termination of the Combination Agreement, Globo, News and each of their respective Affiliates
shall have the right to exercise the Transfer Rights on the terms set forth in the Amended Sky Brasil Quotaholders Agreement. 
  
 (d) For the avoidance of doubt, News, DirecTV and their respective Affiliates shall be deemed to hold a Competing Interest in a Competing Platform
(including for purposes of this Section 1.3 and Section 3.2) even if such Competing Interest is held through Sky Brasil or DTV Brasil, except to the extent permitted by the Amended Sky Brasil Quotaholders Agreement or the Closing Sky
Brasil Quotaholders Agreement, as applicable. 
  
 1.4 Exchange
Rights. 
  
 (a) In the event the Closing occurs prior to
receipt of all Required Approvals, the Exchange Rights shall become effective immediately upon notification by Globo to News at any time during the 12 months following Closing that the Release and Waiver is effective. 
  
 (b) If, on January 1, 2006, (x) the Closing has not occurred because
of a failure to meet a Specified Closing Condition, (y) News, DirecTV and their respective Affiliates no longer have a Competing Interest in a Competing Platform (other than as a result of a breach of Section 8.6) and (z) the
Exchange Rights and the Release and Waiver are not already effective, then, upon notice by News to Globo at any time during the following 12 months that the Exchange Rights are immediately effective, the Release and Waiver shall become immediately
effective, it being understood that in such case, the remedies set forth in Section 1.3 shall continue to be available except for the remedies set forth in Section 1.3(a)(ii) and (iii). If, after the expiry of such 12 month
period, News fails to provide notice to Globo that the Exchange Rights are immediately effective, the Release and Waiver shall automatically terminate without having become effective and neither party thereto shall have any right or obligation
thereunder. 
  
 (c) The Exchange Rights shall also become
effective (i) upon Closing and receipt of all Required Approvals, (ii) as set forth in Section 1.3(b), or (iii) upon News ceasing to be in violation of the Covenants due to the DirecTV Acquisition under the terms of a Cure Plan,
provided that, in the case of this clause (iii) so long as News is 
  

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 seeking Governmental Approval to effect the News/DirecTV Transfer, the Exchange Rights shall not become effective until
the date on which (1) approval from each of ANATEL and CADE (in both cases to the extent required) has been obtained to effect the News/DirecTV Transfer or (2) News, DirecTV or any of their respective Controlled Affiliates fails to use
commercially reasonable efforts to effect such transfer in accordance with applicable Law, including by failing to take any necessary legal action to obtain such approvals. 
  
 (d) Notwithstanding anything to the contrary in this Section 1.4, no Exchange Right shall be effective prior to
January 1, 2006. 
  
 1.5 PanAmSat Release and DTH Techco
Releases. No later than January 1, 2005, News shall promptly cause: (A) PanAmSat to execute and deliver the PanAmSat Release; (B) each of the beneficiaries of the Globo guarantees of the DTH Techco Financing Agreements to execute
and deliver the DTH Techco Releases; except that News’ obligation to deliver DTH Techco Releases with respect to such DTH Techco Financing Agreements that terminated prior to January 1, 2005 shall be limited to having used its commercially
reasonable efforts to obtain such DTH Techco Releases, so long as it continues to use commercially reasonable efforts until June 1, 2005 with respect to the DTH Techco Releases not obtained by January 1, 2005. 
  
 2. Relief from Obligations. Effective immediately and irrevocably:

  
 2.1 Sky Brasil, MCOP and DTH Techco Indemnification.
News shall defend, indemnify, hold harmless and pay and reimburse Globo and its Affiliates with respect to any Losses relating to any obligation of Globo or any of its Affiliates that was, is or becomes due: 
  
 (a) under the Sky Brasil Transponder Agreements and the MCOP Transponder
Agreements, except for the PanAmSat Settlement Amount (which shall be paid in accordance with Section 2.3); 
  
 (b) under the DTH Techco Financings; and 
  
 (c) all other Losses (including without limitation funding obligations and other Losses arising or resulting from or in connection with any partnership or
membership interest held by Globo or any of its Affiliates) relating to: 
  
 (i) MCOP and its subsidiaries (including but not limited to Losses under the MCOP Agreements); 
  
 (ii) DTH Techco and its subsidiaries (including but not limited to Losses under the DTH Techco Financing Agreements); and 
  

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 (iii) Sky Partners, Programco and Serviceco and any subsidiaries of any of the foregoing;

  
 provided, however, that, in the case of Section 2.1(c),
News shall not be obligated to indemnify Globo or its Affiliates for any such Losses resulting from any allocation for U.S. income tax purposes of any item of income, gain, loss, deduction or credit from MCOP, DTH Techco, Sky Partners, Programco or
Serviceco with respect to the period from the date Globo or any of its Affiliates became an owner of the applicable entity through December 31, 2003, so long as DTH USA, Inc. is not deemed the “tax matters partner” for any such entity for
any year after 2003. The indemnification obligations of News pursuant to this Section 2.1 shall be subject to Section 9.2. 
  
 2.2 DTH USA Inc. DirecTV and Globo have agreed to enter into an MCOP Purchase and Sale Agreement pursuant to which Globo will transfer and sell to
DirecTV its indirect interests in DTH USA, Inc. (or MCOP, in certain circumstances), DTH Techco and Sky Partners, subject to the certain terms and conditions to be included therein. 
  
 2.3 PanAmSat Payment. News and Globo shall use commercially reasonable
efforts to negotiate with PanAmSat to reduce the $12,200,000 in principal and all interest accruing thereon (collectively, the “PanAmSat Claim Amount”) due by MCOP and guaranteed by Globo under the MCOP Transponder Agreements. The
amount that PanAmSat agrees to accept in full satisfaction of the PanAmSat Claim Amount shall constitute the “PanAmSat Settlement Amount.” Upon request by Globo, News shall pay to PanAmSat on behalf of Globo the lesser of (i)
the PanAmSat Settlement Amount and (ii) $3,600,000. If the PanAmSat Settlement Amount exceeds $3,600,000, such excess shall be paid to PanAmSat by Globo and News, provided that Globo’s share shall not exceed its Closing Percentage
Interest in Sky Brasil. 
  
 2.4 Termination of Certain
Agreements. The Master Agreement and all prior agreements between News and Globo with respect to the funding of Sky Brasil are hereby terminated in all respects and no party thereto, or any of its directors, officers, representatives,
stockholders or Affiliates shall remain liable thereunder, except in each case in connection with any breach of Section 6.6 of the Master Agreement prior to the date hereof, and except that the R$7,570,994 due from Sky Brasil and its Affiliates to
Globo and its Affiliates with respect to programming that is owned by any member of the Globo Group and that was provided to Sky Brasil during July 2003, together with interest thereon (which interest has accrued and shall continue to accrue at the
IGPM rate from and after August 15, 2003), shall be payable by Sky Brasil to Globo or its designated Affiliate on or prior to February 28, 2005 without any right of offset against any other amount owed by Globo or any Affiliate thereof to Sky Brasil
or any Affiliate thereof. 
  

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 3. Combination of Platforms. 
  
 3.1 Funding of Sky Brasil. News shall indemnify, hold harmless and pay and reimburse Globo and its Affiliates against
any Loss arising or resulting from or in connection with any claim by a Sky Brasil Quotaholder with respect to any Sky Brasil Funding Obligation occurring prior to the Signing Date. The indemnification obligations of News pursuant to this Section
3.1 shall be subject to Section 9.2. 
  
 3.2
Business Covenant. From and after the execution of this Participation Agreement and until the second anniversary of a Globo Transfer Event: 
  
 (a) Neither News, DirecTV, nor any of their respective Affiliates (including without limitation, until the Closing, Sky Brasil and DTV Brasil,
respectively), will directly or indirectly own an interest in or manage any Content distribution system (other than, in the case of DTH Content distribution systems only, Sky Brasil or, so long as the Temporary Waiver or the Release and Waiver is in
effect, DTV Brasil) in or specifically targeted to Brazil by means of DTH, cable, Internet or broadcast, provided that News or any of its Affiliates shall be allowed to own interests in Internet sites that are not specifically designed to
serve, and are not specifically marketed to, the Brazilian market, but that are accessible to Brazilians via the Internet, including, without limitation, the Fox News and Canal Fox websites, and provided, further, that any member of the Sky Brasil
Group shall have the right to own an interest in DTV Brasil. Notwithstanding the foregoing, News and its Affiliates and the Sky Brasil Group shall be permitted to own an indirect interest in a Competing Cable Platform if: 
  
 (i) News or any of its Affiliates, as applicable, acquires
and holds such interest after the date hereof solely through its acquisition of an ownership interest in a Competing Cable Owner and fully divests of any interest in such Competing Cable Platform (such that neither News nor any Affiliate thereof
holds any interest in such Competing Cable Platform) within two years of the date of acquisition; or 
  
 (ii) (x) Globo, TV Globo and their respective Affiliates do not own any direct or indirect equity interest whatsoever or have any
management right or management involvement in any Competing Cable Platform and (y) immediately upon such acquisition, the Competing Cable Platform becomes bound without restriction by the same terms as are set forth in the Agency Agreement
and the Related Agency Agreements, as in effect immediately prior to such acquisition (the “Competing Cable Platform Agency Agreement”). 
  
 In order for the acquisition of a Competing Cable Platform to fall within the exception contained in Section 3.2(a)(ii), at the time of such acquisition, any
necessary consents to the Competing Cable Platform Agency Agreement shall have been obtained. 
  

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 (b) Neither Globo, TV Globo nor any of their respective Affiliates or any other member of the Globo Group
will directly or indirectly own an interest in or manage any DTH platform other than Sky Brasil or, following the Closing, DTV Brasil, in or specifically targeted to Latin America. 
  
 3.3 Transponder Agreements. News shall cause Sky Brasil to enter into a new Transponder Agreement on Arms-Length
Terms, which such new Transponder Agreement (i) shall not in any case require Globo or any Affiliate thereof to issue any guarantee or have any other financial obligation in connection therewith and (ii) shall give Globo and its
Affiliates the right to use such transponders to feed signals to cable head ends and other facilities developed for the distribution of video and audio programming, and, subject to existing restrictions, to use excess capacity for their own needs,
in each case in this clause (ii) on a cost basis and provided that Sky Brasil has such rights under such Transponder Agreement. 
  
 3.4 Migration. Following the Closing, News and DirecTV shall use commercially reasonable efforts to complete the migration of DTV Brasil
subscribers to Sky Brasil as the surviving platform, and otherwise effect the Migration, within two years of Closing. 
  
 4. Certain Transfers and Exchanges of Ownership Interests. 
  
 4.1 Permitted News Transfer. News shall have the right to, or to cause the applicable member of the News Group to,
transfer to DirecTV or its designated Affiliate the aggregate equity interest of the News Group in Sky Brasil (including, without limitation, the 2003 Promissory Note and all other rights to receive Quotas in connection with any uncapitalized or
unconverted Quotaholder Funding), representing the aggregate Percentage Interest of the News Group in Sky Brasil at such time, provided that concurrently with any such transfer, DirecTV assumes the obligations set forth in clauses (a) through
(b) below of this Section 4.1 (including without limitation its agreement to remain responsible for the performance in full of such obligations by any other member of the DirecTV Group in the event any such member directly assumes any
such obligation). In the event of any such transfer to, and assumption by, DirecTV or its designated Affiliate, News shall have none of the rights, and shall be released from the obligations, set forth below (except that News shall not be released
from any obligation or liability relating to any prior breach thereof by any member of the News Group): 
  
 (a) the rights and obligations set forth in Sections 2.1, 2.3, 3.1, 3.3, 3.4 and 8.8; and 
  
 (b) the rights and obligations of News or its applicable Affiliate under the
applicable Sky Brasil Quotaholders Agreement as a quotaholder of Sky Brasil, except as set forth therein; 
  

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 provided that News shall not be released from any, and shall continue to be bound by each, other provision of this
Participation Agreement, the Combination Agreement and the other Transaction Agreements to which it is a party, unless otherwise expressly set forth therein. 
  
 5. Representations and Warranties of Globo. Globo represents and warrants to News and DirecTV as of the date hereof as follows: 

 
 5.1 Authorization, Etc. Globo (and each Affiliate thereof that is
or will be a party to any Related Agreement) has full corporate or limited liability company power and authority to execute and deliver this Participation Agreement and the Related Agreements to which it (or such Affiliate, as applicable) is or will
be a party, to perform its (or such Affiliate’s, as applicable) obligations hereunder and thereunder and to consummate the transactions contemplated hereby and thereby. The execution and delivery of this Participation Agreement and the Related
Agreements to which Globo (or any such Affiliate, as applicable) is or will be a party, the performance of Globo’s (or such Affiliate’s, as applicable) obligations hereunder and thereunder, and the consummation of the transactions
contemplated hereby and thereby, have been duly authorized by all requisite corporate or limited liability company action of Globo (or such Affiliate, as applicable). Globo has duly executed and delivered this Participation Agreement, and Globo and
each such Affiliate has (or, on any other relevant date of execution and delivery contemplated by this Participation Agreement, will have) duly executed and delivered the Related Agreements to which it is or will be a party. This Participation
Agreement and the Related Agreements constitute (or will constitute, when executed and delivered on the relevant date) the legal, valid and binding obligation of Globo or such Affiliate, enforceable against Globo or such Affiliate in accordance with
their respective terms. 
  
 5.2 No Conflicts, Etc.

  
 (a) Except as set forth in Schedule 5.2, the
execution, delivery and performance of this Participation Agreement and the Related Agreements by Globo (and each of its Affiliates that is or will be a party to any Related Agreement) and the consummation of the transactions contemplated hereby and
thereby do not and will not violate, conflict with, contravene, result in a violation or breach of or default under (with or without the giving of notice or the lapse of time or both), create in any other Person a right or claim of termination,
amendment, modification, acceleration or cancellation of, or result in the creation of any Lien (or any obligation to create any Lien) upon any of the properties or assets of Globo or any such Affiliate under, (i) any provision of any of the
Organizational Documents of Globo or such Affiliate or (ii) any Contract, or any other agreement or instrument to which Globo or such Affiliate is a party or by which their respective properties or assets may be bound, except, in the case of
this clause (ii), for violations, breaches and defaults that, individually and in the aggregate, would not reasonably be expected to have or result in a Material Adverse Effect on Globo and such Affiliates, taken as a whole. 
  

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 (b) Except as set forth on Schedule 5.2(b), no Governmental Approval or other Consent is required
to be obtained or made by Globo or such Affiliate in connection with the execution, delivery and performance of this Participation Agreement or any Related Agreement or the consummation of the transactions contemplated hereby or thereby, except for
Consents the failure of which to be made or obtained, individually and in the aggregate, would not reasonably be expected to have or result in a Material Adverse Effect on Globo. 
  
 (c) The Transaction Agreements are the only agreements to which Globo, any of its Affiliates or, to the Knowledge of Globo,
any member of the Sky Brasil Group is a party with respect to the transactions contemplated thereby, other than (i) Contracts that do not, and will not, have any material adverse effect upon any right or obligation of News, DirecTV or any of
their respective Affiliates under any Transaction Agreement and (ii), as otherwise agreed. 
  
 5.3 Litigation. Except as set forth in Schedule 5.3, there is no Litigation pending or, to the Knowledge of Globo or its Affiliates,
threatened by, against or affecting Globo or any of its Affiliates, or any of their respective properties or assets, or any outstanding Orders against any such Persons, that, individually or in the aggregate (in the case of any such Litigation, if
adversely determined), would reasonably be expected to have or result in a material adverse effect on the ability of Globo or its Affiliates to perform its obligations under or otherwise comply with this Participation Agreement or any Related
Agreement. 
  
 6. Representations and Warranties of News.

  
 News represents and warrants to Globo as of the date hereof
as follows: 
  
 6.1 Authorization, Etc. News (and
each Affiliate thereof that is or will be a party to any Related Agreement) has full corporate or limited liability company power and authority to execute and deliver this Participation Agreement and the Related Agreements to which it (or such
Affiliate, as applicable) is or will be a party, to perform its (or such Affiliate’s, as applicable) obligations hereunder and thereunder and to consummate the transactions contemplated hereby and thereby. The execution and delivery of this
Participation Agreement and the Related Agreements to which News (or any such Affiliate, as applicable) is or will be a party, the performance of News’ (or any such Affiliate’s, as applicable) obligations hereunder and thereunder, and the
consummation of the transactions contemplated hereby and thereby, have been duly authorized by all requisite corporate or limited liability company action of News (or such Affiliate, as applicable). News has duly executed and delivered this
Participation 
  

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 Agreement, and News and each such Affiliate has (or, on any other relevant date of execution and delivery contemplated by
this Participation Agreement, will have) duly executed and delivered the Related Agreements to which it is or will be a party. This Participation Agreement and the Related Agreements constitute (or will constitute, when executed and delivered on the
relevant date) the legal, valid and binding obligation of News or such Affiliate, enforceable against News or such Affiliate in accordance with their respective terms. 
  
 6.2 No Conflicts, Etc. 
  
 (a) The execution, delivery and performance of this Participation Agreement and the other Related Agreements by News (and each of its Affiliates that is
or will be party to any Related Agreement) and the consummation of the transactions contemplated hereby and thereby do not and will not violate, conflict with, contravene, result in a violation or breach of or default under (with or without the
giving of notice or the lapse of time or both), create in any other Person a right or claim of termination, amendment, modification, acceleration or cancellation of, or result in the creation of any Lien (or any obligation to create any Lien) upon
any of the properties or assets of News or such Affiliate under, (i) any provision of any of the Organizational Documents of News or such Affiliate or (ii) any Contract, or any other agreement or instrument to which News or such
Affiliate is a party or by which their respective properties or assets may be bound, except, in the case of this clause (ii), for violations, breaches and defaults that, individually and in the aggregate, would not reasonably be expected to
have or result in a Material Adverse Effect on News and such Affiliates, taken as a whole. 
  
 (b) Except as set forth on Schedule 6.2(b), no Governmental Approval or other Consent is required to be obtained or made by News or such Affiliate in connection with the execution, delivery and performance of
this Participation Agreement or other Related Agreement or the consummation of the transactions contemplated hereby or thereby, except for Consents the failure of which to be made or obtained, individually and in the aggregate, would not reasonably
be expected to have or result in a Material Adverse Effect on News. 
  
 (c) The Transaction Agreements are the only agreements to which News, any of its Affiliates or, to the Knowledge of News, any member of the Sky Brasil Group is a party with respect to the transactions contemplated thereby, other than
(i) Contracts that do not, and will not, have any material adverse effect upon any right or obligation of Globo, DirecTV or any of their respective Affiliates under any Transaction Agreement or any adverse effect upon any right or obligation
of Globo, DirecTV or any of their respective Affiliates under the Agency Agreement or any Related Agency Agreement and (ii) as otherwise agreed. 
  

 12 

 6.3 Litigation. Except as set forth in Schedule 6.3, there is no Litigation pending or, to
the Knowledge of News or its Affiliates, threatened by, against or affecting News or any of its Affiliates, or any of their respective properties or assets, or any outstanding Orders against any such Persons, that, individually or in the aggregate
(in the case of any such Litigation, if adversely determined), would reasonably be expected to have or result in a material adverse effect on the ability of News or its Affiliates to perform its obligations under or otherwise comply with this
Participation Agreement. 
  
 7. Representations and Warranties
of DirecTV. DirecTV hereby represents and warrants to Globo as of the date hereof as follows: 
  
 7.1 Authorization, Etc. DirecTV (and each Affiliate thereof that is or will be a party to any Related Agreement) has full corporate or limited
liability company power and authority to execute and deliver this Participation Agreement and the Related Agreements to which it (or such Affiliate, as applicable) is or will be a party, to perform its (or such Affiliate’s, as applicable)
obligations hereunder and thereunder and to consummate the transactions contemplated hereby and thereby. The execution and delivery of this Participation Agreement and the Related Agreements to which DirecTV (or any such Affiliate) is or will be a
party, the performance of DirecTV’s (or such Affiliate’s, as applicable) obligations hereunder and thereunder, and the consummation of the transactions contemplated hereby and thereby, have been duly authorized by all requisite corporate
or limited liability company action of DirecTV and such Affiliates. DirecTV has duly executed and delivered this Participation Agreement, and DirecTV and each such Affiliate has (or, on any other relevant date of execution and delivery contemplated
by this Participation Agreement, will have) duly executed and delivered the other Related Agreements to which it is a party. This Participation Agreement and the Related Agreements constitute (or will constitute, when executed and delivered on the
relevant date) the legal, valid and binding obligation of DirecTV or such Affiliate, enforceable against DirecTV or such Affiliate in accordance with their respective terms. 
  
 7.2 No Conflicts, Etc. 
  
 (a) The execution, delivery and performance of this Participation Agreement and the Related Agreements by DirecTV (and, if applicable, its Affiliates) and
the consummation of the transactions contemplated hereby and thereby do not and will not violate, conflict with, contravene, result in a violation or breach of or default under (with or without the giving of notice or the lapse of time or both),
create in any other Person a right or claim of termination, amendment, modification, acceleration or cancellation of, or result in the creation of any Lien (or any obligation to create any Lien) upon any of the properties or assets of DirecTV or
such Affiliate under, (i) any provision of any of the Organizational Documents of DirecTV or such Affiliate or (ii) any Contract, or any other agreement or instrument to which DirecTV or such Affiliate is a party or by which its
respective properties or assets may be bound, except, in the case of this 
  

 13 

 clause (iii), for violations, breaches and defaults that, individually and in the aggregate, would not reasonably
be expected to have or result in a Material Adverse Effect on DirecTV and such Affiliates, taken as a whole. 
  
 (b) Except as set forth on Schedule 7.2(b), no Governmental Approval or other Consent is required to be obtained or made by DirecTV or such
Affiliate in connection with the execution, delivery and performance of this Participation Agreement or other Related Agreement or the consummation of the transactions contemplated hereby or thereby, except for Consents the failure of which to be
made or obtained, individually and in the aggregate, would not reasonably be expected to have or result in a Material Adverse Effect on DirecTV. 
  
 (c) The Transaction Agreements are the only agreements to which DirecTV, any of its Affiliates or, to the Knowledge of DirecTV, any member of the DTV
Brasil Group is a party with respect to the transactions contemplated thereby, other than (i) Contracts that do not, and will not, have any material adverse effect upon any right or obligation of Globo, News or any of their respective
Affiliates under any Transaction Agreement or any adverse effect upon any right or obligation of Globo, News or any of their respective Affiliates under the Agency Agreement or any Related Agency Agreement and (ii) as otherwise agreed.

  
 7.3 Litigation. Except as set forth in Schedule
7.3, there is no Litigation pending or, to the Knowledge of DirecTV or its Affiliates, threatened by, against or affecting DirecTV or any of its Affiliates, or any of their respective properties or assets, or any outstanding Orders against any
such Persons, that, individually or in the aggregate (in the case of any such Litigation, if adversely determined), would reasonably be expected to have or result in a material adverse effect on the ability of DirecTV or its Affiliates to perform
its obligations under or otherwise comply with this Participation Agreement. 
  
 8. Other Covenants. 
  
 8.1 Public Announcements. No Party shall, or shall permit any of its Affiliates (or in the case of the Sky Parties, Sky Brasil or any other member of the Sky Brasil Group, and in the case of DirecTV, DTV Brasil or any other member of
the DTV Brasil Group), to issue any press release or make any public announcement in respect of this Participation Agreement, any of the other Transaction Agreements or the transactions contemplated hereby or thereby without the prior written
consent of News, DirecTV and Globo, except as required by applicable Law, Governmental Authority or the rules or regulations of any stock exchange upon which any securities of such party are listed. In the event of any such required announcement,
the announcing party, as far as practicable, shall provide News, DirecTV and Globo with the proposed announcement reasonably in advance of making such announcement and shall use commercially reasonable efforts to 
  

 14 

 incorporate any comments made by such parties, as applicable, thereon. Notwithstanding the foregoing, News and DirecTV
shall publicly announce in Brazil on the Signing Date the plans for the Migration (including, without limitation, the identification of Sky Brasil as the surviving platform) subject to the prior approval of Globo over the text of such announcement.

  
 8.2 Confidentiality. 
  
 (a) Subject to this Section 8.2, the Parties acknowledge that
the Existing Confidentiality Agreements shall remain in full force and effect in accordance with their terms, provided that (i) the terms of all obligations of the Parties to each other under the Existing Confidentiality Agreements
shall be deemed extended until Closing and (ii) the Existing Confidentiality Agreements shall be deemed amended to permit use of Evaluation Material (as defined therein) both for evaluating and for consummating the transactions contemplated
by the Confidential Agreements, and each Party shall cause its Affiliates to comply with the provisions of the Existing Confidentiality Agreements, as amended by this Participation Agreement, as if each of them was party thereto. For the purposes of
this Section 8.2, Affiliates shall include Sky Brasil and DTV Brasil, as appropriate. 
  
 (b) During the Interim Period, the confidentiality safeguards and procedures set forth in Annex I shall also apply. During the Interim Period, Annex I shall govern in the event of any conflict between
Annex I and any other confidentiality provisions applicable to the Parties. 
  
 (c) Each Party shall, and shall cause its Affiliates to (each, with respect to Confidential Information disclosed or provided to it, a “Receiving Party”), subject to the terms of this Section
8.2, keep confidential and not disclose Confidential Information to any Person, and to use Confidential Information solely for the purposes of performing its obligations under, and consummating the transactions contemplated by, the Confidential
Agreements. A Party (the “First Party”) may disclose Confidential Information to the First Party’s Affiliates and to those of its and its Affiliates’ Representatives who in each case: 
  
 (i) has a need to know (but only to the extent that each has
a need to know); and 
  
 (ii) has agreed to be
bound by the same confidentiality obligations contained herein, provided that such First Party shall be responsible for any breach hereunder by any such Affiliate or Representative. 
  

 15 

 (d) The obligations of confidentiality under Section 8.2(c) do not extend to Confidential
Information that (whether before or after this Participation Agreement is executed): 
  
 (i) is or becomes known or available to a Receiving Party on a non-confidential basis from a third party, which third party is not
prohibited from disclosing such Confidential Information to the Receiving Party by any legal, contractual or fiduciary obligation and which has represented to the Receiving Party (and which the Receiving Party has no reason to disbelieve after due
inquiry) that it is entitled to disclose such information to the Receiving Party on such basis; 
  
 (ii) at the time of disclosure, is within the public domain or, after disclosure, comes into the public domain, other than by a breach or
breaches of any obligation under this Section 8.2 or other confidentiality obligation of the Receiving Party or any Affiliate or Representative thereof owed to any Party or Affiliate thereof; 
  
 (iii) is required by Law or the rules or regulations of any
securities exchange to be disclosed, provided that the Party required to make such disclosure first notifies and consults with the other Parties; 
  
 (iv) a Party wishes to disclose in good faith, with the prior written approval of the non-disclosing Parties (which approval shall not be
unreasonably withheld), to: (A) bona fide prospective financiers in connection with any proposal by such Party to finance any investment by it or its Affiliates in Sky Brasil or DTV Brasil or, including in the case of Globo and its
Affiliates, pursuant to any Globo Monetization in accordance with clause (e)(iii) below; or (B) a bona fide potential third-party assignees of such Party for purposes of a permitted assignment to be made in accordance with any of the
Confidential Agreements to the extent reasonably necessary for such third party to determine whether it desires to acquire such interest, provided that any information which is disclosed pursuant to this Section 8.2(d)(iv) may only be
disclosed if the recipient executes a confidentiality agreement with all Parties hereto in a form that is at least as restrictive as the terms of this Section 8.2 or the disclosing party agrees to be responsible for any breach hereunder by
any such recipient. 
  
 (e) Notwithstanding anything in the
Confidential Agreements or the Existing Confidentiality Agreements to the contrary: 
  
 (i) in the event that any Party (the “Disclosing Party”) is requested in any suit or proceeding or by any Governmental
Authority to disclose any Confidential Information, such Disclosing Party shall give the Party to which 
  

 16 

 such Confidential Information relates (or, in the case of Confidential Information relating to Sky
Brasil, DTV Brasil or any of their respective Controlled Affiliates, all the other Parties) prompt written notice so that the applicable Party or Parties (each, an “Affected Party”) may seek an appropriate order or other remedy
protecting such Confidential Information from disclosure, and such Disclosing Party will cooperate with each Affected Party, at such Affected Party’s expense (or, as applicable, at the expense of Sky Brasil, DTV Brasil or the applicable
Controlled Affiliate thereof), to obtain such order or remedy. If in the absence of any such order or remedy such Disclosing Party is compelled to disclose the Confidential Information, or if the Affected Parties waive their right to seek such order
or remedy, the Disclosing Party may, without liability under the Confidential Agreements or the Existing Confidentiality Agreements, disclose that portion of the Confidential Information that it is legally required to disclose, provided that
(A) the Disclosing Party gives written notice of the Confidential Information to be disclosed as far in advance of its disclosure as is practicable and consults with the Affected Parties (including in relation to the content of any such
disclosure), and (B) uses reasonable efforts to obtain assurances that confidential treatment will be accorded to such Confidential Information. 
  
 (ii) Globo and its Affiliates may (after consultation with News, including as to the content of any disclosure, to the extent such
disclosure would otherwise be restricted pursuant to this Section 8.2), without liability under any Confidential Agreement or the Existing Confidentiality Agreements, disclose the existence of the Confidential Agreements and the related
negotiations, and all or any part of the Confidential Agreements, to any or all of Globo’s creditors in connection with the ongoing renegotiation of its debt obligations. 
  
 (iii) Globo and its Affiliates may, without liability under any Confidential Agreement or the Existing
Confidentiality Agreements, but subject to prior written notice to News at least five (5) Business Days prior to such disclosure, disclose the existence of this Agreement, and all or any part of this Agreement, the Exchange Rights Agreement, the
applicable Quotaholders Agreement and the Articles of Association of the Company, in each case as it may be amended from time to time, to any financial institution pursuant to a Globo Monetization, provided that any information which is
disclosed pursuant to this Section 8.2(e)(iii) may only be disclosed if the recipient executes a confidentiality agreement with all Parties hereto in a form that is at least as restrictive as the terms of this Section 8.2 or the
disclosing party agrees to be responsible for any breach hereunder by any such recipient. 
  
 (f) The provisions of this Section 8.2 shall not restrict Sky Brasil or DTV Brasil from using any Confidential Information (other than Confidential Information relating specifically to any Party or Affiliate
thereof) to conduct its business 
  

 17 

 in the ordinary course, and shall not restrict the Parties and their Affiliates from filing the Transaction Agreements
(and any other agreement, document or information requested by CADE or ANATEL) with CADE and ANATEL to the extent required by CADE or ANATEL, as applicable. In the event that CADE or ANATEL makes any Transaction Agreement or other Confidential
Information publicly available, such disclosure by CADE or ANATEL shall not result in the liability of any Party hereunder for breach of this Section 8.2, and, in that case, such Transaction Agreement or other information shall no longer
constitute Confidential Information. 
  
 (g) Notwithstanding
anything to the contrary in the foregoing, the Parties acknowledge that the applicable Quotaholders Agreements shall not constitute Confidential Information and shall be made publicly available. 
  
 8.3 Reasonable Best Efforts; Governmental Approvals. 
  
 (a) Subject to Section 8.3(c), each of the Parties shall cooperate
with one another and use all reasonable best efforts to prepare all necessary documentation (including furnishing all information required under the communications and competition Laws of Brazil), to effect and obtain promptly all applicable
Governmental Approvals and notifications necessary to consummate the transactions contemplated by this Participation Agreement and the other Transaction Agreements. Each of the Parties shall provide the other Parties with copies of all filings made
by such Party or any of its Affiliates (and the Sky Parties shall provide DirecTV with copies of filings made by members of the Sky Brasil Group, and DirecTV shall provide the Sky Parties with copies of filings made by members of the DTV Brasil
Group) with any Governmental Authority and, upon request, any other information supplied by such Party or any of its Affiliates (or Sky Brasil or DTV Brasil, as applicable) to a Governmental Authority, in each case in connection with this
Participation Agreement or any other Transaction Agreement and the transactions contemplated hereby or thereby. 
  
 (b) Subject to Section 8.3(c), the Parties will jointly determine who shall lead all filings and conversations with, responses to, and all other
communication with the Governmental Authorities in Brazil relating to the consummation of the transactions contemplated by this Participation Agreement or any other Transaction Agreement. Each of the Parties shall: (i) consult with one
another prior to any filing or application relating to the transactions contemplated by this Participation Agreement or any other Transaction Agreement, (ii) share all relevant information relating to such filings and conversations,
and (iii) provide each other with advance notice of any meetings regarding such filings or other communications and, at any other Party’s request, the opportunity to participate in such meetings and conversations. Notwithstanding
the foregoing, nothing in this Section 8.3 shall be construed to restrict the ability of any Party or any of its Affiliates to comply with applicable Laws (provided that the other Parties, as far as practicable, are given reasonable
notice and reasonable ability to consult before any such compliance is effected). 
  

 18 

 (c) Notwithstanding anything to the contrary in this Participation Agreement or any other Transaction
Agreement, none of the Parties shall be required to agree to any restrictions on its business or that of any of its Affiliates or any member of the DTV Brasil Group or the Sky Brasil Group in order to gain any Governmental Approval necessary for the
consummation of the transactions contemplated hereby, or by any other Transaction Agreement. In the event that any Governmental Authority proposes to impose any such restrictions or requires concessions on the business of Sky Brasil, DTV Brasil or
the Combined Businesses in order to gain any Governmental Approval and such restrictions and concessions, individually and in the aggregate, do not and will not, in Globo’s good-faith view, directly or indirectly adversely affect or otherwise
affect in any material respect any member of the Globo Group (by including a position inconsistent with any position taken by any member of the Globo Group to any Governmental Authority) (collectively, the “Non-Globo Restrictions”),
News shall have the right to determine, in its reasonable discretion after consultation with Globo, whether or not to accept such Non-Globo Restrictions, and shall negotiate such Non-Globo Restrictions (but only so long and to the extent that such
restrictions and concessions continue, individually and in the aggregate, to constitute Non-Globo Restrictions) with the relevant authorities on behalf of the Parties, provided that Globo shall determine, in its sole discretion, whether or
not to accept, and shall negotiate, all restrictions and concessions relating to Sky Brasil, DTV Brasil or the Combined Businesses to the extent any such restriction or concession does not constitute a Non-Globo Restriction. 
  
 (d) The Parties further agree that each Party is fully and solely responsible
for the supply of any information relating to such Party or any of its Affiliates requested by CADE (or any other Governmental Authority) in connection with the filings hereunder, and that any penalty imposed by CADE under Law No. 8884/94 or by any
other Governmental Authority for failure to provide such information shall be borne by the Party that failed to comply with such law which Party shall indemnify, promptly defend and hold the other Parties harmless from any penalty or liability
arising therefrom. 
  
 8.4 Further Assurances. From time to
time, each Party shall execute and deliver or cause to be executed and delivered such additional instruments, documents, conveyances or assurances and take or cause to be taken such other actions as shall be necessary, or otherwise reasonably be
requested by any other Party, to confirm and assure the rights and obligations provided for in this Participation Agreement and any other Transaction Agreement and render effective the consummation of the transactions contemplated hereby or thereby,
or otherwise to carry out the intent and purposes of this Participation Agreement and the other Transaction Agreements. Each Party shall furnish to the other Parties such reasonable assistance as such other Party may reasonably request in connection
with the foregoing. 
  

 19 

 8.5 Actions by Affiliates/Affiliate Transactions. 
  
 (a) Where any provision of this Participation Agreement, the Combination
Agreement, the Amended Sky Brasil Quotaholders Agreement or the Closing Sky Brasil Quotaholders Agreement indicates or requires that an Affiliate of News, DirecTV or Globo shall take any specified action (or refrain from taking any specified
action), then, regardless of whether such Transaction Agreement specifically provides that the applicable Party do so, the applicable Party shall cause such Affiliate or Affiliates, as the case may be, to take or refrain from taking such action
(including, in the case of DirecTV, causing DTVLA or GLA as its Affiliates to take or refrain from taking such action). Each Party shall be responsible for the failure of any of its Affiliates to take or refrain from taking any action as required by
the applicable Transaction Agreement. “Affiliates” as used in this Section 8.5 shall include Sky Brasil, DTV Brasil and their respective Controlled Affiliates, as applicable, to the extent so specified in any provision of such
Transaction Agreement. 
  
 (b) For purposes of this Participation
Agreement and any other Transaction Agreement (other than the Combination Agreement), the obligation of Globo and its Affiliates to cause Sky Brasil, DTV Brasil or any Controlled Affiliate thereof to take or refrain from taking an action shall be
limited to (i) proposing, recommending and voting as a Quotaholder or shareholder at any Quotaholder or shareholder meeting attended by Globo or Affiliate thereof or (ii) if applicable, causing its designee director to propose,
recommend and vote at any board meeting attended by such designee director, in each case in support of causing such entity to take or refrain from taking any action required by this Participation Agreement or such Transaction Agreement.
Notwithstanding the above, any vote or approval by Globo pursuant to the antepenultimate sentence of Section 13.12 of the applicable Quotaholders Agreement shall not constitute approval for the purposes of this paragraph. This paragraph will also be
applicable to News and its Affiliates during the period in which Globo has a veto right under the applicable Quotaholders Agreement with respect to the hiring and firing of the President of Sky Brasil in accordance with Section 1.3(a)(iii)
hereof, but only to the extent that Globo exercises its rights thereunder to veto any hiring or firing proposed by News with respect to the President of Sky Brasil. Each Sky Party to which this Section 8.5(b) applies shall use commercially
reasonable efforts to attend quotaholder or shareholder meetings and to cause its designee director to attend board meetings. 
  
 8.6 Transfers of Equity Interests. Until the Closing or the termination of the Combination Agreement, except for transfers to any assignee
permitted under Section 10.7 (which transfer shall be permitted but not required in the event of any such assignment and provided such transfer is permitted under the terms of any applicable quotaholders agreement or articles of
association), (i) neither News nor any of the DTV Parties shall, or shall permit any of their respective Affiliates to, transfer or otherwise Contribute any interest it or such Affiliate owns, directly or indirectly, in any member of

  

 20 

 the DTV Brasil Group to any Person that is not a member of the News Group or the DirecTV Group, as applicable, or
otherwise dispose of a Competing Interest in DTV Brasil, except pursuant to the exercise by Globo of its Disposition Right or as specifically required by a final and permanent order or decree of a Governmental Authority which order or decree is not
appealable to such Governmental Authority and (ii) none of the Sky Parties shall, or shall permit any of its Affiliates to, transfer or otherwise Contribute any interest it or such Affiliate owns, directly or indirectly, in Sky Brasil
to any Person that is not a member of the News Group or the Globo Group, as applicable. 
  
 8.7 Encryption and Related Technologies. News shall cause NDS Limited to make available to Sky Brasil, on a most favored nations basis (vis-à-vis similar agreements between NDS Limited and other
Affiliates of News), encryption and other related technologies and services applicable to the DTH Business (as defined in the Amended Sky Brasil Quotaholders Agreement or the Closing Sky Brasil Quotaholders Agreement, as applicable). 
  
 8.8 Organizational Documents. The Parties shall amend the Articles of
Association of TV Capital, DTV Brasil and Sky Brasil to be in the form of, and file at Closing, (i) the Amended TV Capital Articles of Association, (ii) the Amended DTV Brasil Articles of Association and (iii) the Closing Sky
Brasil Articles of Association, in each case with the Junta Comercial do Estado de São Paulo. 
  
 9. Indemnification. 
  
 9.1 Indemnification. Subject to Sections 9.2 and 10.2, each Party will indemnify and hold each other Party, their respective
Affiliates and each officer, director, employee, representative and successor and permitted assign of any of the foregoing (collectively, the “Indemnified Parties”) harmless, and agrees to protect, save and keep harmless the
Indemnified Parties from payment, and hereby assumes liability for the payment, of any Losses, arising or resulting from or in connection with (a) any breach by such Party of a representation or warranty contained herein or (b) any
failure by such Party to perform any agreement or covenant contained herein. 
  
 9.2 Payment Adjustments, Etc. 
  
 (a) Any indemnification payment made pursuant to this Participation Agreement or the Combination Agreement in respect of any claim (i) shall be net of an amount equal to (x) any insurance proceeds realized by and paid to the
Indemnified Party minus (y) any related costs and expenses, including the aggregate cost of pursuing any related insurance claims plus any correspondent increases in insurance premiums or other chargebacks, and (ii) in the case of any
payment made to any member of the DTV Brasil Group or the Sky Brasil Group, shall be (A) reduced (but not below zero) by an amount equal to the Revenue Tax benefits, if any, attributable to such claim and (B) increased by 

 

 21 

 an amount equal to the Revenue Taxes, if any, attributable to the receipt of such indemnity payment, but only as and to
the extent that such Tax benefits are actually realized, or such Revenue Taxes are actually paid, as the case may be, by the Indemnified Party or any consolidated, combined or unitary group of which such Indemnified Party is a member. For the
avoidance of doubt, any indemnification payment made pursuant to this Participation Agreement or the Combination Agreement in respect of a Revenue Tax deficiency for a period shall be reduced by the amount of any refund of Revenue Taxes paid by the
Indemnified Party in another period, if such refund results from the assessment of such Revenue Tax deficiency. The Indemnified Party shall use its reasonable efforts to make insurance claims relating to any claim for which it is seeking
indemnification pursuant to this Article 9; provided that the Indemnified Party shall not be obligated to make such an insurance claim if the Indemnified Party in its reasonable judgment believes that the cost of pursuing such an insurance
claim together with any correspondent increase in insurance premiums or other chargebacks to the Indemnified Party would exceed the value of the claim for which the Indemnified Party is seeking indemnification pursuant to this Article 9. All
sums payable by the Indemnifying Party in accordance with this Article 9 shall be paid without any deduction, withholding, counterclaim or set-off. 
  
 9.3 Procedure for Indemnification. 
  
 (a) In the case of any claim asserted by a third party against an Indemnified Party for which indemnification is required under this Participation
Agreement, notice shall be given (the “Claim Notice”) by the Indemnified Party to the Party required to provide such indemnification (the “Indemnifying Party”) promptly after such Indemnified Party has actual
knowledge of any claim as to which indemnity may be sought, and the Indemnified Party shall permit the Indemnifying Party (at the expense of such Indemnifying Party) to assume the defense of any claim or any litigation resulting therefrom,
provided that (i) counsel for the Indemnifying Party who shall conduct the defense of such claim or litigation shall be reasonably satisfactory to the Indemnified Party, and the Indemnified Party may participate in such defense at such
Indemnified Party’s expense, and (ii) the failure of any Indemnified Party to give notice as provided herein shall not relieve the Indemnifying Party of its indemnification obligation under this Participation Agreement except to the
extent that such failure results in a lack of actual notice to the Indemnifying Party and such Indemnifying Party is materially prejudiced as a result of such failure to give notice. The Indemnifying Party shall have thirty (30) days from receipt of
the Claim Notice (the “Notice Period”) to notify the Indemnified Party whether or not it elects to assume the defense of the Indemnified Party against such claim or demand. If the Sky Parties collectively act as the Indemnifying
Party, no action shall be taken by them as “Indemnifying Party” without the agreement of all Sky Parties. 
  

 22 

 (b) In the event that the Indemnifying Party notifies the Indemnified Party within the Notice Period that
it elects to defend the Indemnified Party against such claim or demand, the Indemnifying Party shall have the right to defend the Indemnified Party by appropriate proceedings, provided that, except with the prior written consent of the
Indemnified Party, no Indemnifying Party, in the defense of any such claim or litigation, shall consent to entry of any judgment or enter into any settlement that provides for injunctive or other nonmonetary relief affecting the Indemnified Party or
that does not include as an unconditional term thereof the giving by each claimant or plaintiff to such Indemnified Party of a release from all liability with respect to such claim or litigation. In the event that the Indemnified Party shall
(i) in good faith determine that (x) the conduct of the defense of any claim subject to indemnification hereunder or any proposed settlement of any such claim by the Indemnifying Party might be expected to affect adversely the
Indemnified Party’s Tax liability or (y) that the Indemnified Party may have available to it one or more defenses or counterclaims that are inconsistent with one or more of those that may be available to the Indemnifying Party in respect
of such claim or any litigation relating thereto or (ii) in the case of any Globo Indemnitee, notify the Indemnifying Party in writing that there is a reasonable probability that such claim or demand is reasonably likely to adversely affect
the rights or ability of Globo or any Affiliate thereof to perform under the Agency Agreement or any related agreement, the Indemnified Party shall have the right at all times to take over and assume control over the defense, settlement,
negotiations or litigation relating to any such claim at the sole cost of the Indemnifying Party, provided that if the Indemnified Party does so take over and assume control, the Indemnified Party shall not consent to entry of any judgment or
settle such claim or litigation (except, in any case described by clause (ii) above, as may relate to Globo’s rights and obligations under the Agency Agreement or any related agreement) without the written consent of the Indemnifying
Party, such consent not to be unreasonably withheld. “Globo Indemnitee” as used herein means Globo, any of its Affiliates and each officer, director, employee, representative and successor and permitted assign of any of the
foregoing. In the event that the Indemnifying Party does not accept the defense of any matter for which indemnification is required, the Indemnified Party shall have the full right to defend against any such claim or demand, and shall be entitled to
settle or agree to pay in full such claim or demand at the expense of the Indemnifying Party. In any event, the Parties shall cooperate in the defense of any claim or litigation subject to this Article 9 and the records of each shall be
available to the other with respect to such defense. Each Indemnifying Party’s obligation under this Article 9 shall not affect the other Parties’ right to seek any other remedy upon a default by the Indemnifying Party under this
Agreement. 
  
 (c) In the event that an Indemnified Party has a
claim against the Indemnifying Party which does not involve a claim or demand being asserted by a third party, the Indemnified Party shall send a written notice with respect to such claim to the Indemnifying Party promptly following its discovery of
the existence of the facts giving rise to such claim. The Indemnifying Party shall have fifteen (15) Business Days from 
  

 23 

 the date such notice is received during which to notify the Indemnified Party in writing of any objections it has to the
Indemnified Party’s notice or claims for indemnification. If the Indemnifying Party does not deliver such written notice of objection within such fifteen (15) day period, the Indemnifying Party shall be deemed to have accepted the claim. If the
Indemnifying Party rejects the claim, then the Indemnified Party shall have the right (but not the obligation) to appoint an Independent Accountant to review the claim and determine its validity. If following receipt of the decision of the
Independent Accountant either party is not satisfied with the decision of the Independent Accountant, or in the event the Indemnified Party does not appoint an Independent Accountant, the Indemnified Party shall have the right to require that the
claim be resolved in accordance with Section 10.5. The fees and expenses of any Independent Accountant shall be borne 50% by the Indemnifying Party and 50% by the Indemnified Party. 
  
 (d) The indemnification required by this Article 9 shall be made by
periodic payments of the amount thereof during the course of the investigation or defense, as and when bills are received or expense, loss, damage or liability is incurred. Any payments due under this Article 9 shall be made by the
Indemnifying Party by wire transfer of immediately available funds within 30 Business Days of demand by the Indemnified Party. 
  
 9.4 Dilution Protection. Under no circumstances shall payment of any indemnity obligation under any Transaction Agreement by any Person other than
a member of the Globo Group result in any dilution of the Percentage Interest in Sky Brasil or, following the Closing, DTV Brasil held by Globo or any other member of the Globo Group. 
  
 10. Miscellaneous. 
  
 10.1 Terms Generally. The words “hereby”, “herein”, “hereof”, “hereunder” and words of similar import refer
to this Participation Agreement as a whole (including the Exhibits and Schedules hereto) and not merely to the specific section, paragraph or clause in which such word appears. All references herein to Articles, Sections, Exhibits, Annexes and
Schedules shall be deemed references to Articles and Sections of, and Exhibits, Annexes and Schedules to, this Participation Agreement unless the context shall otherwise require. The words “include”, “includes” and
“including” shall be deemed to be followed by the phrase “without limitation”. The definitions given for terms in this Article 10 and elsewhere in this Participation Agreement shall apply equally to both the singular and
plural forms of the terms defined. Whenever the context may require, any pronoun shall include the corresponding masculine, feminine and neuter forms. Except as otherwise expressly provided herein, all references to “dollars” or
“$” shall be deemed references to the lawful money of the United States of America. 
  

 24 

 10.2 Liability. Notwithstanding anything to the contrary in this Participation Agreement:

  
 (a) In the event of any breach of a representation or
warranty or of any covenant by any Sky Party with respect to any member of the Sky Brasil Group, such Sky Party shall only be liable (x) if such breach did not result from any act or failure to act by any other Sky Party, Liberty or any
Affiliate of any of the foregoing, and (y) to the extent of its Pro-Rata Share of any Loss incurred by any DirecTV Party, subject always to Section 8.5(b); 
  
 (b) Globo shall not have any liability to any DirecTV Party with respect to any breach of covenant included in Section
2.3; 
  
 (c) Globo shall not have any liability to any News
Party with respect to any Loss suffered by a DirecTV Party; and 
  
 (d) In the event that Globo has any liability for any breach of representation or warranty, breach of covenant or otherwise under this Participation Agreement, the Combination Agreement, the Parent Content Agreement, the Amended Sky Brasil
Quotaholders Agreement or any other agreement between or among Globo or its Affiliates, on the one hand, and one or more of the other Parties hereto or their respective Affiliates, on the other hand, permitting any member of the Globo Group to
settle such member’s indemnity obligation through the transfer of Sky Brasil Quotas, Globo shall have the option to meet part or all of its indemnification or other monetary obligations by (i) transferring to the applicable Indemnified
Party or other recipient such number of Sky Brasil Quotas (including, if applicable, Sky Brasil Quotas issuable upon conversion or capitalization of any Quotaholder Funding made by a member of the Globo Group) representing a capitalization in Reais
equal to the product of the US Dollar Indemnity and the Applicable Factor, based on a value of R$1 per Quota, provided that any indemnity payable in the form of Sky Brasil Quotas shall be paid to DirecTV or its designated Affiliate or (in the
event DirecTV or such Affiliate is not already a Quotaholder of Sky Brasil) News or its designated Affiliate whereupon DirecTV or News, as applicable, shall have the obligation to indemnify the applicable member of the Sky Brasil Group or the DTV
Brasil Group or such other Indemnified Party in cash for the amount of the applicable Loss, or (ii) setting off such indemnification or other obligations against any indemnification or other obligations the applicable Indemnified Party may
have to Globo, to the extent that such Indemnified Party may have indemnification or other obligations to Globo. Notwithstanding anything to the contrary herein, Globo shall have no obligation to transfer Quotas as payment on its indemnity
obligations, or otherwise make any indemnity payment based on its Pro-Rata Share of any Liability, until (x) the occurrence of the Value Determination Date and (y) the earlier of (i) the date the Sky Brasil Articles of Association have
been amended and the applicable Governmental Approvals have been received, each to the extent necessary 
  

 25 

 under applicable Law and (ii) 270 days after any such indemnity payment is due, provided that, with respect to
(y), Globo News and DirecTV will take all reasonable actions to effect the conditions in clause (y)(i); if, after the occurrence of the Value Determination Date, Globo is unable to transfer such Quotas within such 270 day period because of a failure
to amend the Sky Brasil Articles of Association and obtain any necessary Governmental Approval, Globo shall be required to make such indemnity payments pursuant to the second sentence of Section 9.3(d), as if the expiry of such 270 day period was
the date of demand by the Indemnified Party. 
  
 10.3
Expenses. Except as set forth below in this Section 10.3 or as otherwise specifically provided for in this Participation Agreement or another Transaction Agreement, the Parties shall bear their respective expenses, costs and fees
(including attorneys’ fees) in connection with the transactions contemplated hereby, including the preparation, execution and delivery of this Participation Agreement and the other Transaction Agreements and compliance herewith or therewith,
whether or not the transactions contemplated hereby or thereby shall be consummated, except that Sky Brasil and DTV Brasil shall bear all expenses incurred after the date hereof (other than attorneys’ fees incurred by the Parties) in connection
with the Required Approvals. 
  
 10.4 Notices. All notices
and other communications required or permitted by this Participation Agreement shall be made in writing and any such notice or communication shall be delivered in person, transmitted by telex or telecopier, mailed via certified or registered mail,
return receipt requested, with postage prepaid, or sent by courier service, and shall be deemed given when so received if delivered personally or by telex or telecopy (provided that a copy is also sent by certified or registered mail or by
internationally recognized courier service), or if mailed, seven calendar days after the date of mailing (three calendar days in the case of an internationally recognized courier service), as follows: 
  
 Globo: 
  
 Globo Comunicações e
Participações S.A. 
 Avenida de Afranio de Melo Franco, 135 
 Rio de Janeiro, 22430 – 060 
 Brasil 
 Attn: Mr. Jorge Nobrega and Mrs. Rossana Fontenele 
 Tel: +55-21-2540-4491 
 Fax: +55-21-2512-5046 
  

 26 

 with a copy to: 
  
 TV Globo Ltda. 
 Rua Marques de São Vicente, 30 
 Rio de Janeiro, 22451-040 
 Brasil 
 Attn:
Ms. Simone Lahorgue Nunes 
 Tel: +55-21-2540-1057 
 Fax: +55-21-2540-1086 
  
 with a copy to: 
  
 Debevoise & Plimpton LLP 
 919 Third Avenue 
 New York, NY 10022 
 U.S.A. 
 Attn:
Mr. Michael J. Gillespie 
 Tel: +1-212-909-6463 
 Fax: +1-212-909-6836 
  
 News: 
  
 The News Corporation Limited 
 1211 Avenue of the Americas 
 New York, NY 10036 
 U.S.A. 
 Attn:
Mr. Lawrence A. Jacobs 
 Tel: +1-212-852-7720 
 Fax: +1-212-852-7896 
  
 with a copy to: 
  
 Hogan & Hartson L.L.P. 
 875 Third Avenue 
 New York, NY 10022 
 U.S.A. 
 Attn:
Mr. Ira S. Sheinfeld 
 Tel: +1-212-918-8212 
 Fax: +1-212-918-3100 
  

 27 

 DirecTV: 
  
 The DIRECTV Group, Inc. 
 2250 East Imperial Highway 
 El Segundo, CA 90245 
 U.S.A. 
 Attn: General Counsel 
 Tel: +1-310-964-0808 
 Fax: + 1-310-964-4991 
  
 with a copy to: 
  
 DIRECTV Latin America, LLC 
 1211 Avenue of the Americas 
 New York, NY 10036 
 U.S.A. 
 Attn:
General Counsel 
 Tel: +1-212-462-5036 
 Fax: +1-212-462-5060 
  
 10.5 Governing Law, Jurisdiction, Process, Etc. 
  
 (a) This Participation Agreement will be governed by and construed in accordance with the laws of the State of New York, United States of America
(regardless of the laws that might otherwise govern under applicable principles of conflicts of law to the extent such principles or rules are not mandatorily applicable by statute and would require the application of the laws of another
jurisdiction). 
  
 (b) Each of the Parties irrevocably consents
and agrees that any legal action, suit or proceeding commenced to enforce any right under this Participation Agreement shall be commenced only in the courts of the State of New York, County of New York, or of the U.S. District Court for the Southern
District of New York. Each of the Parties irrevocably submits to the jurisdiction of those courts for any such legal action, suit or proceeding, and waives, to the fullest extent permitted by law, the right to commence any such legal action, suit or
proceeding in any other court or venue and any objection which it may now or hereafter have to the laying of the venue of any such suit, action or proceeding brought in any such courts, and any claim that any such suit, action or proceeding brought
in such courts has been brought in an inconvenient forum, and further agrees that a final judgment in any such suit, action or proceeding brought in such courts shall be conclusive and binding on such Party. 
  
 (c) News hereby irrevocably designates News America Incorporated, with an
office at 1211 Avenue of the Americas, New York, New York 10036, as its designee, appointee and agent to receive, for and on its behalf service of process in such 
  

 28 

 jurisdiction in any legal action or proceedings solely with respect to the enforcement of any right under this
Participation Agreement, and such service will be deemed complete upon delivery thereof to News America Incorporated, provided that in the case of any such service upon News America Incorporated, the Party effecting such service will also deliver a
copy thereof to News by facsimile and internationally recognized courier service in accordance with Section 10.4 hereto. 
  
 (d) News (if News America Incorporated is dissolved) hereby irrevocably designates Corporation Service Company (or, upon notice to the other Party
hereto, any other agent) as its designee, appointee and agent to receive, for and on its behalf service of process in such jurisdiction and in any legal action or proceedings, solely with respect to the matters set forth in Section 10.5(c)
above, and such service will be deemed complete upon delivery thereof to such process agent, provided that in the case of any such service upon the process agent, the Party effecting such service has also delivered a copy thereof to News by
facsimile and internationally recognized courier service in accordance with Section 10.4 hereto. News will take all such action as may be necessary to continue said appointment in full force and effect or to appoint another agent so that News
will at all times have an agent for service of process for the above purposes in New York, New York. In the event of the transfer of all or substantially all of the assets and business of the process agent (whether Corporation Service Company or
otherwise) to any other corporation by consolidation, merger, sale of assets or otherwise, such other corporation will be substituted hereunder for the process agent with the same effect as if named herein in place of Corporation Service Company or
such other agent. Nothing herein will affect the right of any Party to serve process in any other manner permitted by applicable law, provided that no service shall be deemed complete unless a copy of such service is also delivered to News by
facsimile and internationally recognized courier service in accordance with Section 10.4. Each Party expressly acknowledges that the foregoing waiver is intended to be irrevocable under the laws of the State of New York and of the United
States of America. 
  
 (e) Globo hereby irrevocably designates
Corporation Service Company, with an office at 1133 Avenue of the Americas, Suite 3100, New York, New York 10036, as its designee, appointee and agent to receive, for and on its behalf service of process in such jurisdiction in any legal action or
proceedings solely with respect to the enforcement of any right under this Participation Agreement, and such service will be deemed complete upon delivery thereof to Corporation Service Company, provided that in the case of any such service upon
Corporation Service Company, the Party effecting such service has also delivered a copy thereof to Globo by facsimile and internationally recognized courier service in accordance with Section 10.4. Globo will take all such action as may be
necessary to continue said appointment in full force and effect or to appoint another agent so that Globo will at all times have an agent for service of process for the above purposes in New York, New York. In the event of the transfer of all or
substantially all of the assets and business of the process agent (whether Corporation 
  

 29 

 Service Company or otherwise) to any other corporation by consolidation, merger, sale of assets or otherwise, such other
corporation will be substituted hereunder for the process agent with the same effect as if named herein in place of Corporation Service Company or such other agent. Nothing herein will affect the right of any Party to serve process in any other
manner permitted by applicable law, provided that no service shall be deemed complete unless a copy of any such service is also delivered to Globo by facsimile and internationally recognized courier service in accordance with Section 10.4.
Each Party expressly acknowledges that the foregoing waiver is intended to be irrevocable under the laws of the State of New York and of the United States of America. 
  
 (f) Each Party hereto acknowledges and agrees that the other Parties would be irreparably damaged in the event that the
provisions of this Participation Agreement were not performed in accordance with their specific terms or were otherwise breached. Accordingly, each of the Parties agrees that money damages would not be a sufficient remedy for the other Parties
hereto for any such non-performance or breach by it, and that in addition to all other remedies the other Parties hereto may have, they shall be entitled to specific performance and to injunctive or other equitable relief as a remedy for or to
prevent any such non-performance or breach or to seek to enforce specifically this Participation Agreement and the terms and provisions hereof. Each Party hereto agrees not to oppose the granting of such relief in the event a court determines that
such a nonperformance or breach has occurred, and to waive any requirement for the securing or posting of any bond in connection with such remedy. 
  
 10.6 Binding Effect. This Participation Agreement shall be binding upon and inure to the benefit of the Parties hereto and their respective heirs,
successors and permitted assigns. 
  
 10.7 Assignment.

  
 (a) This Participation Agreement shall not be assignable or
otherwise transferable by any Party hereto without the prior written consent of the other Parties, and any purported assignment or other transfer without such consent shall be void and unenforceable; provided that Globo shall have the right
to assign all or any part of its rights and obligations hereunder to TV Globo or any other member of the Globo Group, and provided further that each of News and DirecTV shall have the right to assign its rights and obligations
hereunder to its Controlled Affiliates. In the event of any assignment by Globo to a Controlled Affiliate, Globo shall remain responsible for the performance in full by such Controlled Affiliate, and in the event any such assignment by TV Globo or a
Controlled Affiliate of TV Globo, TV Globo shall be responsible for the performance in full by such Controlled Affiliate. In the event of any assignment by News or DirecTV to a Controlled Affiliate thereof, News or DirecTV, as applicable, shall
remain responsible for the performance in full by such Controlled Affiliate. News shall also have the right to assign certain of its rights and obligations under this Participation 
  

 30 

 Agreement upon a transfer of the entire aggregate interest in Sky Brasil held by the News Group to DirecTV (or any
Affiliate thereof) in accordance with Section 4.1. For the avoidance of doubt, notwithstanding any permitted assignment hereunder, in no case will the assigning party have the right to assign or otherwise be released from any of its
obligations under Section 3.2, 8.1, 8.2, 8.3 or (except in the case of assignment pursuant to Section 4.1) any obligation already applicable to such assigning Party and its Controlled Affiliates. 
  
 (b) For the avoidance of doubt, the exercise by News, DirecTV or any of their
respective Affiliates of any Transfer Right to a third-party with respect to its equity interest in Sky Brasil will not by itself release any such Party or Affiliate thereof from any of its obligations (i) under this Participation Agreement
or (ii) under any other Transaction Agreement, except to the extent specifically set forth in such other Transaction Agreement or otherwise specifically agreed by the parties thereto. 
  
 (c) For the avoidance of doubt, the exercise by any member of the Globo Group
of any Exchange Right or of any Transfer Right to a third-party, in each case with respect to its equity interest in Sky Brasil shall not release such member of the Globo Group from any of its obligations (i) under this Participation
Agreement or (ii) under any other Transaction Agreement, except to the extent specifically set forth in such other Transaction Agreement or otherwise specifically agreed by the parties thereto. Notwithstanding anything to the contrary herein,
Globo shall be permitted to assign its Exchange Rights under this Participation Agreement or other Transaction Agreement in order to effect a Globo Monetization. 
  
 (d) Notwithstanding Section 10.7(a), promptly upon a reorganization of News resulting in News Corporation, a Delaware
company, or any other Affiliate of News (“News Parent”), becoming the ultimate parent of News and its Controlled Affiliates, the rights and obligations of News under this Participation Agreement shall be deemed immediately
transferred to and assumed by News Parent, and each reference to News hereunder and thereunder shall be deemed a reference to News Parent, it being understood that News shall be a Controlled Affiliate of News Parent. Promptly following such
reorganization, News Parent shall execute and deliver to the other Parties hereto a joinder to the Transaction Agreements or other instrument confirming that it is party to and bound by the Transaction Agreements to the same extent that News was
bound immediately prior to such reorganization, whereupon News shall be released therefrom. 
  
 10.8 No Third-Party Beneficiaries. Except as provided in Sections 1.3, 3.1 and 3.3 and Article 2 with respect to the Affiliates of any relevant Party, Section 8.7 with respect
to Sky Brasil and Article 9 with respect to the Indemnified Parties relating to any relevant Party, Sky Brasil and DTV Brasil, nothing in this Participation Agreement shall confer any rights upon any person or entity other than the Parties
and their respective heirs, successors and permitted assigns. 
  

 31 

 10.9 Amendment; Waivers, Etc. No amendment, modification or discharge of this Participation
Agreement, and no waiver hereunder, shall be valid or binding unless set forth in writing and duly executed by the Party against whom enforcement of the amendment, modification, discharge or waiver is sought. Any such waiver shall constitute a
waiver only with respect to the specific matter described in such writing and shall in no way impair the rights of the Party granting such waiver in any other respect or at any other time. Neither the waiver by any of the Parties of a breach of or a
default under any of the provisions of this Participation Agreement, nor the failure by any of the Parties, on one or more occasions, to enforce any of the provisions of this Participation Agreement or to exercise any right or privilege hereunder,
shall be construed as a waiver of any other breach or default of a similar nature or as a waiver of any of such provisions, rights or privileges hereunder. 
  
 10.10 Remedies. The rights and remedies herein provided are cumulative and none is exclusive of any other, or of any rights or remedies that any
Party may otherwise have at law or in equity. The rights and remedies of any Party based upon, arising out of or otherwise in respect of any inaccuracy or breach of any representation, warranty, covenant or agreement or failure to fulfill any
condition shall in no way be limited by the fact that the act, omission, occurrence or other state of facts upon which any claim of any such inaccuracy or breach is based may also be the subject matter of any other representation, warranty, covenant
or agreement as to which there is no inaccuracy or breach. 
  
 10.11 Entire Agreement. This Participation Agreement, the other Transaction Agreements (including the Ancillary Closing Agreements (when executed and delivered)), the Existing Confidentiality Agreements and any other operational
agreements between any Party hereto and Sky Brasil constitute the entire agreement and supersede all prior agreements and understandings, both written and oral, between the Parties with respect to the subject matter hereof. For the avoidance of
doubt, the Master Agreement shall only continue to the extent set forth in Section 2.4 of this Participation Agreement. 
  
 10.12 Severability. Any term or provision of this Participation Agreement which is invalid, illegal or unenforceable in any jurisdiction shall, as
to that jurisdiction, be ineffective to the extent of such invalidity, illegality or unenforceability without rendering invalid, illegal or unenforceable the remaining terms and provisions of this Participation Agreement or affecting the validity,
illegality or enforceability of any of the terms or provisions of this Participation Agreement in any other jurisdiction. If any provision of this Participation Agreement is so broad as to be unenforceable, the provision shall be interpreted to be
only so broad as is enforceable. Upon such determination that any term or other provision is invalid, illegal or incapable of being enforced, the Parties shall negotiate in good faith to modify this Participation Agreement so as to effect the
original intent of the Parties as closely as possible in a mutually 
  

 32 

 acceptable manner in order that the transactions contemplated herein are consummated as originally contemplated to the
fullest extent possible. 
  
 10.13 Construction. The
parties have participated jointly in the negotiation and drafting of this Participation Agreement. In the event an ambiguity or question of intent or interpretation arises, this Participation Agreement shall be construed as if drafted jointly by the
parties and no presumption or burden of proof shall arise favoring or disfavoring any party by virtue of the authorship of any of the provisions of this Participation Agreement. 
  
 10.14 Headings. The headings contained in this Participation Agreement are for purposes of convenience only and shall
not affect the meaning or interpretation of this Participation Agreement. 
  
 10.15 Counterparts. This Participation Agreement may be executed in several counterparts, each of which shall be deemed an original and all of which shall together constitute one and the same instrument.

  

 33 

 IN WITNESS WHEREOF, the parties have duly executed this Participation Agreement as of the date first
above written. 
  

			
	 GLOBO COMUNICAÇÕES E PARTICIPAÇÕES S.A.

		
	 By:
	 	 /s/ Ronnie Vaz Moreira

	 Name:
	 	 Ronnie Vaz Moreira

	 Title:
	 	 Chief of Operations

		
	 By:
	 	 /s/ Stefan Alexander

	 Name:
	 	 Stefan Alexander

	 Title:
	 	 Chief Financial Officer

	
	 THE NEWS CORPORATION LIMITED

		
	 By:
	 	 /s/ Arthur M. Siskind

	 Name:
	 	 Arthur M. Siskind

	 Title:
	 	Senior Executive Vice President and Group General Counsel
	
	 THE DIRECTV GROUP, INC.

		
	 By:
	 	 /s/ Bruce B. Churchill

	 Name:
	 	 Bruce B. Churchill

	 Title:
	 	 Executive Vice-President

	 	 	 and Chief Financial Officer

  

 34 

 ANNEX A 
  
 COMMON DEFINITIONS 
  
 Whenever used in any Transaction Agreement to which this Annex A is attached, the following terms shall have the respective meanings given to them below or in the
Transaction Agreements indicated below. Failure of any of the following definitions to appear in any Transaction Agreement to which this Annex A is attached shall not affect the meaning or interpretation of such definition or such Transaction
Agreement. 
  
 2003 Promissory Note: the Promissory
Note, dated September 23, 2003, issued by Sky Brasil in favor of News America Incorporated, in the principal amount of $5,500,000. 
  
 2004 Sky Equity Funding: (i) all capital contributions and (ii) all other funding or advances (but excluding for the avoidance
of doubt the amount of R$7,570,994 plus accrued interest owed by Sky Brasil to Globo with respect to programming, the payment of which has been deferred and is now payable on or prior to February 28, 2005 pursuant to Section 2.4 of the Participation
Agreement and other funding through the deferral of trade receivables) made to Sky Brasil by or on behalf of any quotaholder thereof and not yet capitalized or converted as of the Value Determination Date, in each case whether in the form of AFACs,
debt or otherwise and including without limitation all such contributions, funding and advances made by News or an Affiliate thereof in lieu of Globo or an Affiliate thereof, and including without limitation the September 2003 Loan Amount.

  
 AFACs: Adiantamentos para Futuro Aumento de
Capital. 
  
 Affected Party: as defined in Section
8.2(e)(i) of the Participation Agreement. 
  
 Affiliate:
of a Person means a Person that directly or indirectly through one or more intermediaries, Controls, is Controlled by, or is under common Control with, the first Person, including any Controlled Affiliate, except (a) in the case of News,
excluding DirecTV and its Controlled Affiliates and the DTV Brasil Group, (b) in the case of each Sky Party, excluding the Sky Brasil Group, (c) in the case of DirecTV and DTVLA, excluding News and its Controlled Affiliates and the DTV
Brasil Group and (d) in the case of Sky Brasil and its Controlled Affiliates, excluding DTV Brasil and its Controlled Affiliates, except, in each of the foregoing clauses (a) through (d), as specifically otherwise indicated in any Transaction
Agreement. 
  
 Agency Agreement: Contrato de
Comissão, dated as of September 23, 2004, between Net Brasil S.A. and Sky Brasil. 
  
 Alternative Transaction: as defined in Section 5.3(a) of the Combination Agreement. 
  

 1 

 Amended DTV Brasil Articles of Association: the Articles of Association of DTV Brasil, as amended
and restated as of the Closing Date, in form and substance reasonably satisfactory to Globo, News (to the extent it has not already transferred its entire interest in Sky Brasil to DirecTV by the Closing Date) and DirecTV. 
  
 Amended TV Capital Articles of Association: the Articles of
Association of TV Capital, as amended and restated as of the Closing Date, in form and substance reasonably satisfactory to Globo, News (to the extent it has not already transferred its entire interest in Sky Brasil to DirecTV by the Closing Date)
and DirecTV. 
  
 Amended Sky Brasil Articles of
Association: the Articles of Association of Sky Brasil, as amended and restated as of the Signing Date. 
  
 Amended Sky Brasil Quotaholders Agreement: the Second Amended and Restated Quotaholders Agreement, entered into as of the Signing Date, among DTH
Comercio e Partiçipacões Ltda., News DTH do Brasil Comércio e Partiçipacões Ltda., Liberty Brasil Ltda. and Sky Brasil. The Amended Sky Brasil Quotaholders Agreement amends and replaces in its entirety the Sky
Brasil Quotaholders Agreement. 
  
 ANATEL: Agencia
Nacional de Telecomunicações. 
  
 ANATEL Approval: full, final and unconditional approval by ANATEL of the transactions contemplated by the Transaction Agreements. 
  
 Ancillary Closing Agreements: the Amended DTV Brasil Articles of Association, the Closing Sky Brasil Quotaholders Agreement, the Closing Sky Brasil
Articles of Association, the Amended TV Capital Articles of Association and the Releases. 
  
 Announced Cure Date: the date specified in the Cure Plan by which News will no longer continue to be in breach of the Covenants resulting from the DirecTV Acquisition, which date shall be within 180 days of the
date the Combination Agreement is terminated and the Cure Plan is publicly announced, provided that, if the Combination Agreement is terminated after January 1, 2006, the Announced Cure Date shall be within 135 days of the date the
Combination Agreement is terminated. 
  
 Applicable
Factor: the Closing Factor or the Termination Factor, as applicable. 
  
 Arms-Length Terms: means, with respect to any Contract and any party thereto, on terms and conditions (in the case of Contracts relating to Content, including but not limited to volume discounts, if
appropriate) at least as favorable for such party as could reasonably be expected to be obtained in arms-length negotiations by such party with an unrelated Person. 
  

 2 

 Articles of Association: as to any Person, its articles of association or contrato social,
as amended from time to time. 
  
 Balance Sheet: as
to any Person, any balance sheet provided by an internationally recognized accounting firm as part of such Person’s annual audited financial statements. 
  

Brazil Clean Room Agreement: the Clean Room Agreement among DirecTV, DTVLA, Darlene, Globo and News, dated as of July 2, 2003.

  
 Brazil Confidentiality Agreement: the Confidentiality
Agreement among DirecTV, DTVLA, Darlene, Globo and News, dated as of July 2, 2003. 
  
 Brazilian GAAP: Brazilian generally accepted accounting principles. 
  
 Business Day: any day, other than a Saturday or a Sunday or a day on which banking institutions in Rio de Janeiro or São Paulo, in the
Federative Republic of Brazil or in New York, NY, are authorized or obligated by law or executive order to close. 
  
 CADE: the Conselho Administrativo de Defesa Economica. 
  
 Central Bank of Brazil: The Central Bank of the Federative Republic of Brazil (BACEN) 
  
 Cisneros Content: means any Content owned or produced, or any channel
or commercial unit of Content a material portion of which is controlled or programmed by a member of the Cisneros Group, and shall include all Claxson channels. 
  
 Cisneros Group: means the Cisneros Group of Companies, a Venezuelan corporation, and its Controlled Affiliates.

  
 Claim Notice: as defined in Section 9.3 of the
Participation Agreement. 
  
 Claxson: means Claxson
Interactive Group, Inc., an Argentinean corporation. 
  
 Closing: as defined in Section 2.1 of the Combination Agreement. 
  
 Closing Date: as defined in Section 2.1 of the Combination Agreement. 
  
 Closing Factor: as defined in the applicable Quotaholders Agreement. 
  
 Closing Percentage Interest: with respect to any Party, the Percentage Interest of such Party in Sky Brasil
immediately following the Closing. 
  
 Closing Sky Brasil
Articles of Association: the Articles of Association of Sky Brasil, as amended and restated as of the Closing Date, in form and substance reasonably satisfactory to Globo and either News (to the extent it has not already transferred its entire
interest in Sky Brasil to DirecTV) or DirecTV. 
  

 3 

 Closing Sky Brasil Quotaholders Agreement: the amended and restated Quotaholders Agreement of Sky
Brasil, executed and delivered at the Closing Date, in substantially the form attached to the Combination Agreement as Exhibit 1. 
  
 Combination Agreement: the Brazil Business Combination Agreement, by and among News, Globo, Liberty, DirecTV, DTVLA and GLA, dated as of the
Signing Date. 
  
 Combined Businesses: the DTV Brasil
Business and the business and operations of Sky Brasil (each of them individually and taken together, whether or not they have been merged at the operational level). 
  
 Competing Cable Owner: a Person that directly or indirectly holds an equity interest in a Competing Cable Platform,
provided such equity interest comprises no more than 10% of the total consolidated assets of such Person. 
  
 Competing Cable Platform: a Content distribution system in or specifically targeted to Brazil by means of cable. 
  
 Competing Cable Platform Agency Agreement: as defined in Section
3.2(a)(ii) of the Participation Agreement. 
  
 Competing
Interest: with respect to any Content distribution system (other than those with respect to which a Shutdown has been completed), any direct or indirect interest in, or any contractual or other rights relating to the management of, or any right
(conditional or otherwise) to acquire any such interest or rights in, such system. 
  
 Competing Platform: a DTH satellite system (other than Sky Brasil) for the distribution of subscription programming services directly to any subscriber in Brazil (whether residential, non-residential or
otherwise). 
  
 Confidential Agreements: the Transaction
Agreements excluding the applicable Quotaholders Agreements, Sky Brasil Articles of Association, the Amended Sky Brasil Articles of Association and the Closing Sky Brasil Articles of Association. 
  
 Confidential Information: (a) the Confidential Agreements
and (b) following the Closing, (x) the Evaluation Material (as defined in the Brazil Confidentiality Agreement) and (y) all other information, written or oral, disclosed or provided to any Party, its Affiliates or their
respective Representatives (including any representatives such Party or any of its Affiliates designated to serve on any board or similar governing body of Sky Brasil, DTV Brasil or any of their respective Controlled Affiliates) relating to
(i) any other Party or Affiliate thereof and 
  

 4 

 disclosed in connection with or pursuant to any Confidential Agreement (including any negotiation thereof
or performance thereunder) or (ii) the business or operations of Sky Brasil, DTV Brasil or any Controlled Affiliate thereof, including, but not limited to, all notes, market and other analyses, compilations, forecasts, studies, strategic
plans, financial position, operations, prospects, terms of contracts or other documents that contain or reflect such information. 
  
 Consent: any consent, approval, authorization, waiver, permit, grant, franchise, concession, agreement, license, certificate, exemption, order,
registration, declaration, filing, report or notice of, with or to any Person. 
  
 Content: means all video, audio, and audiovisual signals, (including, without limitation, channels, specific programs, pay-per-view events, walled garden, digital enhancements and interactive services) that can
be viewed or interacted with by end users through the use of a television screen or video monitor. Except as specifically otherwise indicated, “Content” excludes cross-promotions, barker channels relating to the Sky Brasil and
advertisement insertions. 
  
 Continuing DTV Affiliate
Agreement: as defined in Section 4.6(b) of the Combination Agreement. 
  
 Continuing Sky Party Agreement: as defined in Section 3.6(b) of the Combination Agreement. 
  
 Contract: any oral or written contract, agreement, covenant, commitment, arrangement, understanding, settlement, indenture, note, bond, loan,
instrument, lease, guarantee, conditional sales contract, mortgage, deed of trust, security agreement, royalty, license, franchise or insurance policy, in each case as amended, supplemented, waived or otherwise modified 
  
 Contribute: contribute, assign, transfer, convey and deliver.

  
 Control: (including the terms “controlled
by,” “controlling” and “under common control with”) means the possession, directly or indirectly, of the power to direct or cause the direction of the management policies of a Person, whether through the ownership of voting
securities, by contract or otherwise. 
  
 Controlled
Affiliate: shall mean, with respect to a Person, any Affiliate that is Controlled by the first Person. 
  
 Covenants: as defined in Recital B of the Participation Agreement. 
  
 Cure Plan: a plan pursuant to which News ceases to be in violation of the Covenants that is (i) developed in
consultation with Globo and that takes into account any comments of Globo, (ii) grounded on the principles of the Transaction Agreements, (iii) specifies an Announced Cure Date and (iv) is publicly announced by DirecTV upon termination of the
Combination Agreement, in each case to the extent not violative of applicable Law. 
  

 5 

 Current Operating Expenses: with respect to each of Sky Brasil and DTV Brasil, its current
operating expenses (including without limitation amounts payable as of the Signing Date under Sky Brasil Programming Agreements or DTV Brasil Programming Agreements, as applicable) that are paid consistent with past practice in the ordinary course,
but no more than 90 days after the date payment is first due. 
  
 Darlene: Darlene Investments, LLC, a Cayman Islands limited liability company. 
  
 DirecTV: The DIRECTV Group, Inc. (formerly known as Hughes Electronics Corporation), a Delaware corporation. 
  
 DirecTV Acquisition: as defined in Recital B of the Participation
Agreement. 
  
 DirecTV Group: DirecTV, its Controlled
Affiliates including DTVLA and the DTV Brasil Quotaholders, and DTV Brasil and DTV Brasil Sub. 
  
 DirecTV Party: DirecTV and its Affiliates, and their respective officers, directors, employees, agents, advisers, representatives, successors and
permitted assigns. 
  
 DirecTV Registration Rights
Agreement: the Registration Rights Agreement, dated as of the Signing Date, by and between Globo and DirecTV. 
  
 DirecTV Threshold Amount: as defined in Section 8.1(b) of the Combination Agreement. 
  
 Disclosing Party: as defined in Section 8.2(e)(i) of the Participation Agreement. 
  
 Disposition Right: as defined in Section 1.3(a)(i) of the
Participation Agreement. 
  
 DTH: direct-to-home.

  
 DTH Techco: DTH Techco Partners, a Delaware general
partnership. 
  
 DTH Techco Financing Agreements: the
agreements, documents and instruments listed in Schedule 1 to this Annex A. For the avoidance of doubt, each reference to a draft agreement, document or instrument in Schedule 1 shall be understood to include a reference to any
subsequent drafts or executed copies of such agreement, document or instrument, including as may have been amended, and each reference to an agreement, document or instrument or draft agreement, document or instrument in Schedule 1 shall be
understood to include a reference to all guarantees and affirmations or other confirmations of guarantees issued by Globo or any other member of the Globo Group in connection therewith, and all amendments, supplements, waivers and modifications of
such agreements, guarantees, affirmations, confirmations and other documents and instruments. 
  

 6 

 DTH Techco Release: the release in full of each member of the Globo Group from all obligations in
connection with the relevant DTH Techco Financing Agreements (including, for the avoidance of doubt, all guarantees relating thereto issued by Globo) in a form acceptable to Globo, provided that Globo shall accept any form that is reasonable.

  
 DTH USA Inc.: DTH USA Inc., a Delaware corporation.

  
 DTV Affiliate Agreements: as defined in Section 4.6(a)
of the Combination Agreement. 
  
 DTV Brasil Ancine Sub:
DirecTV Programações Videofonograficas Ltda., a Brazilian limitada. 
  
 DTV Brasil: Galaxy Brasil Ltda., a Brazilian limitada. 
  
 DTV Brasil Business: the business and operations of DTV Brasil as conducted in the DTV Brasil Ordinary Course of Business. 
  
 DTV Brasil Group: TV Capital, DTV Brasil and the DTV Brasil Subs.

  
 DTV Brasil Licenses: as defined in Section 4.7 of the
Combination Agreement. 
  
 DTV Brasil Material Adverse
Effect: any event, occurrence, fact, condition, change, development, circumstance or other effect that, individually or in the aggregate, is or would be reasonably (a) expected to have a materially adverse effect on the DTV Brasil Business as of
the date of determination, excluding any such effect resulting from (i) changes in the Brazilian economy or the programming distribution industry in general, (ii) any public announcement of any of the Transaction Agreements,
(iii) changes in applicable law with respect to which the DTV Brasil Group is using commercially reasonable efforts to be in compliance or (iv) delay in obtaining Required Approvals which the Parties are using commercially reasonable
efforts to obtain in accordance with Section 8.3 of the Participation Agreement or (b) likely to have any material adverse effect or otherwise materially restrict the ability of any member of the DirecTV Group to perform its
obligations under any Transaction Agreement (including without limitation with respect to the Migration); provided that the exclusion set forth in clause (a)(iv) above shall not apply for purposes of Section 6.1(b) of the Combination
Agreement. 
  
 DTV Brasil Material Contracts: as defined
in Section 4.8(a) of the Combination Agreement. 
  
 DTV Brasil
Ordinary Course of Business: the ordinary course of business of DTV Brasil consistent with past practice since February 24, 2004, and if no relevant past practice since February 24, 2004 exists, in compliance, in all material respects, with all
applicable Laws. 
  

 7 

 DTV Brasil Programming Agreements: as defined in Section 4.8(a)(i) of the Combination Agreement.

  
 DTV Brasil Quotaholders: TV Capital and GLA. 
  
 DTV Brasil Quotas: at any time, the issued quotas, par value R$1, of
DTV Brasil at such time. 
  
 DTV Brasil Subs: the
Controlled Affiliates of DTV Brasil at any given time, including, without limitation, DTV Brasil Ancine Sub and Galaxy Latin America Brasil Ltda. to the extent that DTV Brasil Ancine Sub or Galaxy Latin America Brasil Ltda. is a Controlled Affiliate
of DTV Brasil at such time. 
  
 DTV Brasil Transponder
Agreements: as defined in Section 4.8(ii) of the Combination Agreement. 
  
 DTV Existing Brazilian Content: means the channels listed on Annex I to the Parent Content Agreement. 
  
 DTV Indemnitees: as defined in Section 8.2(a) of the Combination Agreement. 
  
 DTVLA: DIRECTV Latin America, LLC, a Delaware limited liability company. 
  
 DTVLA Credit Agreement: Credit Agreement, dated as of February 24,
2004, among DTVLA, as borrower, DirecTV, as lender, and the Material Subsidiaries (as defined in the Credit Agreement) of DTVLA, as guarantors. 
  
 DTV Parties: DirecTV, DTVLA and GLA. 
  
 DTV Related Person: as defined in Section 4.6(a) of the Combination Agreement. 
  
 Equity Funding: with respect to any entity, Quotaholder Funding of such entity convertible into equity of such
entity. 
  
 Evaluation Material: as defined in the Brazil
Confidentiality Agreement. 
  
 Exchange Rights: the right
to exchange the equity interest in Sky Brasil for Stock of News or DirecTV or cash in accordance with the Exchange Rights Agreement. 
  
 Exchange Rights Agreement: the Exchange Rights Agreement by and among Globo, News and DirecTV dated as of the Signing Date. 
  
 Exhibit: as used in any Transaction Agreement, the exhibit to such
Transaction Agreement (unless the context otherwise requires). 
  

 8 

 Existing Confidentiality Agreements: the Brazil Confidentiality Agreement and the Brazil Clean
Room Agreement. 
  
 FGTS: Fundo de Garantia pelo
Tempo de Serviço. 
  
 First Party: as defined
in Section 8.2(c) of the Participation Agreement. 
  
 GLA:
GLA Brasil Ltda., a Brazilian limitada. 
  
 Globo:
Globo Comunicações e Participações S.A., a Brazilian sociedade anônima. 
  
 Globo Designee: the applicable Globo Controlled Affiliate acting as the representative or agent of Sky Brasil and, after Closing, the Combined
Businesses, in the acquisition of DTH rights in Content pursuant to the Agency Agreement. 
  
 Globo Group: Globo, its Controlled Affiliates and, for so long as Globo and TV Globo are under common Control, TV Globo and its Controlled Affiliates. 
  
 Globo Indemnitee: as defined in Section 9.3(b) of the Participation
Agreement. 
  
 Globo Monetization: an assignment,
transfer, hypothecation, pledge or other disposition by Globo or an Affiliate, or the granting by Globo or an Affiliate of a security interest in all or a portion of its Sky Brasil Quotas, to one or more financial institutions where the purpose of
the transaction is the monetization of all or a portion of the face value of any Exchange Right available to Globo or its Affiliate. 
  
 Globo Prohibited Transferee: any Person set forth in Schedule 2 to this Annex A or, in each case, any Affiliate thereof, it being understood
that, to the extent any such entity is Controlled by or for the benefit of any individual, any other entity Controlled by or for the benefit of any member of the same immediate family as such first individual shall be deemed to be an Affiliate of
the first entity. 
  
 Globo Transfer: the sale, exchange,
monetization or other transfer by Globo or any member of the Globo Group of any equity interest in Sky Brasil, provided that pledges, mortgages and hypothecations of equity to financial institutions (including pursuant to a Globo Monetization) shall
not be deemed to be a Globo Transfer unless and until such equity is sold following a foreclosure by the lender or creditor thereunder. 
  
 Globo Transfer Event: a Globo Transfer (other than within the Globo Group) that results, or any such Globo Transfer that would have resulted (in
the event such Globo Transfer is not completed due to failure to obtain any necessary Governmental Approval and Globo delivers notice to News that it elects to have such proposed Globo Transfer treated as a Globo Transfer Event), in the Globo Group
ceasing to own at least 25% of the equity constituting the Retained Sky Interest of Globo. 
  

 9 

 Governmental Approval: any Consent of, with or to any Governmental Authority. 
  
 Governmental Authority: any nation or government, any state or other
political subdivision thereof; any entity, authority or body exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to government, including, without limitation, any government authority, agency,
department, board, commission or instrumentality of Brazil, any federal, state or municipality of Brazil or any political subdivision thereof; any court, tribunal or arbitrator; and any self-regulatory organization. 
  
 Income Tax: any Tax computed in whole or in part based on or by
reference to net income or based on or by reference to gross receipts (including all interest and penalties thereon and additions thereto). 
  
 Indebtedness: as applied to any Person, means, without duplication, as principal or guarantor, any financial or capital debt, including without
limitation (a) all indebtedness for borrowed money, (b) all obligations evidenced by a note, bond, debenture, letter of credit, draft, banker’s acceptance or similar instrument, (c) that portion of obligations with respect to capital leases
that is properly classified as a liability on a balance sheet in conformity with Brazilian GAAP, (d) notes payable and drafts accepted representing extensions of credit, (e) any obligation owed for all or any part of the deferred purchase price of
property or services, which purchase price is due more than six months from the date of incurrence of the obligation in respect thereof and (f) all indebtedness and obligations of the types described in the foregoing clauses (a) through (e) to the
extent secured by any Lien on any property or asset owned or held by that Person regardless of whether the indebtedness secured thereby shall have been assumed by that Person or is nonrecourse to the credit of that Person. 
  
 Indemnified Parties: (a) as used in the Participation Agreement, as
defined in Section 9.1 of the Participation Agreement, (b) as used in the Combination Agreement as defined in Section 8.4 of the Combination Agreement or (c) as used in the Parent Content Agreement, as defined in Section 5.1 of the Parent Content
Agreement. 
  
 Indemnifying Party: as used in the
Participation Agreement, as defined in Section 9.3 of the Participation Agreement. 
  
 Independent Accountant: any accounting firm approved (which approval shall not be unreasonably withheld) by both the applicable Indemnifying Party and Indemnified Party. 
  
 Individual Sky Party Threshold Amount: as defined in Section 8.2(b)
of the Combination Agreement. 
  

 10 

 Interim Period: the period from the Signing Date to the earlier of: (i) the Closing, and
(ii) the date on which none of News, DirecTV or any of their respective Affiliates (including without limitation Sky Brasil and its Controlled Affiliates) has a Competing Interest in a Competing Platform. 
  
 Knowledge: with respect to any Person other than natural persons, the
actual knowledge of its officers, directors and senior management and, in the case of natural persons, the actual knowledge of such person. 
  
 Law: all applicable provisions of all (a) constitutions, treaties, statutes, laws (including the common law), codes, rules, regulations,
ordinances or orders of any Governmental Authority, (b) Governmental Approvals and (c) orders, decisions, injunctions, judgments, awards and decrees of or agreements with any Governmental Authority. 
  
 Liability: any financial or capital debt or other liability or
obligation of any kind or nature (whether known or unknown, absolute or contingent, accrued or unaccrued, liquidated or unliquidated, conditional or otherwise and whether or not required to be reflected by Brazilian GAAP) and including all
applicable interest, expense and Taxes thereon. 
  
 Liberty: Liberty Media International Inc., a Delaware corporation. 
  
 Liberty Consent: Liberty Acknowledgment, Consent and Agreement, dated as of the Signing Date, by Liberty. 
  
 Lien: any mortgage, pledge, deed of trust, hypothecation, right of others, claim, security interest, encumbrance, burden, title defect, title
retention agreement, lease, sublease, license, occupancy agreement, easement, covenant, condition, encroachment, voting trust agreement, interest, option, right of first offer, negotiation or refusal, proxy, lien, charge or other restrictions or
limitations of any nature whatsoever, including any such lien as may arise under any Contract. 
  
 Limitada: sociedade limitada. 
  
 Litigation: any action, cause of action, claim, demand, suit, proceeding, citation, summons, subpoena, inquiry or investigation of any nature,
civil, criminal, regulatory or otherwise, in law or in equity, pending or threatened, by or before any court, tribunal, arbitrator or other Governmental Authority. 
  
 Loss: any claims, demands, damage, disbursement, expense, tax, liability, judgment, loss, deficiency, obligation,
penalty, royalty, Litigation, settlement or out-of-pocket cost, of any kind or nature (whether civil or criminal, or based on negligence, trespass, intentional tort, strict liability, contribution or indemnification, whether absolute or contingent,
accrued or unaccrued, liquidated or unliquidated or otherwise and whether or not resulting from third party claims), whether foreseeable 
  

 11 

 or unforeseeable, including interest or other carrying costs, penalties, and related reasonable legal,
accounting and other professional fees and expenses (including in connection with the investigation or defense of any of the foregoing or in asserting, preserving or enforcing rights). 
  
 Master Agreement: Master Agreement, dated as of November 1, 1995, between News and Globo, as amended by the Letter
Agreement, dated October 13, 2000, between Globo and News. 
  
 Material Adverse Effect: with respect to any Person, any event, occurrence, fact, condition, change, development, circumstance or other effect that is or would be (a) materially adverse to the financial condition of such
Person and its Controlled Affiliates, taken as a whole, as of the date of determination or (b) reasonably likely to have any material adverse affect or otherwise materially restrict the ability of such Person and its Controlled
Affiliates, taken as a whole, to perform their obligations under the Transaction Agreements. 
  
 MCOP: Sky Multi-Country Partners, a Delaware general partnership. 
  
 MCOP Agreements: the agreements, documents and instruments listed on Schedule 4 to this Annex A. For the avoidance of doubt, each reference to a
draft agreement, document or instrument in Schedule 4 shall be understood to include a reference to any subsequent drafts or executed copies of such agreement, document or instrument, including as may have been amended, and each reference to an
agreement, document or instrument or draft agreement, document or instrument in Schedule 4 shall be understood to include a reference to all guarantees and affirmations or other confirmations of guarantees issued by Globo or any other member of the
Globo Group in connection therewith, and all amendments, supplements, waivers and modifications of such agreements, guarantees, affirmations, confirmations and other documents and instruments. 
  
 MCOP MOU: the Multi-Country DTH Platform Memorandum of Understanding
(including the Schedule of Terms), between News, Globo, Grupo Televisa, S.A. and Tele-Communications International, Inc. (now known as Liberty Media International Inc.), dated on or about July 24, 1996. 
  
 MCOP Transponder Agreements: the Transponder Service Agreement
between PanAmSat and MCOP, dated as of March 5, 1998, as amended, supplemented, waived or modified, any related agreement and all guarantees and affirmations of guarantees issued by Globo in connection with the foregoing. 
  
 Migration: the migration of DTV Brasil subscribers to Sky Brasil as
the surviving platform, and the use by Sky Brasil as surviving platform of all material assets (including without limitation the uplink facility and other operational facilities as may be agreed by News, DirecTV and Globo) of DTV Brasil. 

 

 12 

 New Brazilian Content: means, with respect to any individual Platform, Content not carried by such
Platform on the Signing Date (i) that is originally produced predominantly in the Portuguese language or the principal market for which is the Brazilian market (as measured by economic value, viewer demand or number of subscribers),
(ii) that, or the production of which, predominantly involves Brazilians or (iii) that consists predominantly of event coverage, news, commentary and/or analysis related to such events, whether acquired from third parties or
originally created, where a portion of such Content, and the marketability of which, is significantly driven by (a) Brazilian athletes participating in events, in an individual or collective manner or (b) events which take place in Brazil. For
purposes of this definition, events shall mean events (x) owned, organized or promoted by a Brazilian Person or other Person whose operations and/or activities are located principally in Brazil or (y) a substantial portion of the Content of which is
Brazilian soccer teams or an event that includes a Brazilian national soccer team. Further, for purposes of this definition, none of the following shall be deemed New Brazilian Content: (1) events described by clause (iii) in the first sentence of
this definition that were completed more than twelve months earlier, (2) solely instructional or educational events that have athletes as participants and (3) events described by clause (iii) in the first sentence of this definition but in which the
participants are predominantly under the age of 16. Any particular commercial unit of Content acquired or distributed as such by the applicable Platform shall not be deemed New Brazilian Content solely by virtue of the inclusion in it of immaterial
amounts of Content that qualify as New Brazilian Content under the definition above (e.g., small amounts of interstitial Portuguese language programming or, in the case of 24-hour channels, small blocks of Brazilian programming not exceeding an
average of 1 hour per day each week, but in any case no more than 3 hours in any one day, (the “Daily Average”) and an average of 7 hours per week, but in any case no more than 10 hours in any one week, (the “Weekly
Average”), where such averages are calculated on a four-week basis. Repeat showings of any item of Content twice within 24 hours from the original transmission shall not count towards the Daily Average or the Weekly Average. The restriction
contained in this definition shall also apply to Content benefiting from an ANCINE scheme and that are produced with funds from an ANCINE scheme. For the avoidance of doubt, Content carried by DTV Brasil at any time that (A) satisfies any of clauses
(i), (ii) or (iii) in the first sentence of this defintion (regardless of whether or not carried by DTV Brasil at the Signing Date but subject to the other provisions of this definition) and (y) is not carried by Sky Brasil at such
time shall constitute New Brazilian Content, and shall be subject to News’ and Globo’s rights and obligations in connection therewith, for purposes of carriage by Sky Brasil, and Existing Brazilian Content (other than Globo Content that is
renewed as of June 30, 2011) shall constitute New Brazilian Content upon expiry of the applicable Content provider Contracts. Any other Content that, as of the date hereof, does not currently constitute Brazilian Content but that, upon renewal of
the term of the applicable Content provider Contract, has suffered such material change so as to cause it to fall within clause (i), (ii) or (iii) of the first sentence of this definition shall also constitute New Brazilian Content. 
  

 13 

 News: The News Corporation Limited, an Australian corporation. 
  
 News Group: News and its Controlled Affiliates. 
  
 News Parent: as defined in Section 10.7(d) of the Participation
Agreement. 
  
 News Party: News and its Affiliates, and
their respective officers, directors, employees, agents, advisers, representatives, successors and permitted assigns. 
  
 News Prohibited Transferee: as set forth on Schedule 5 or, in each case, any Affiliate thereof, (it being understood that, to the extent any such
entity is Controlled by or for the benefit of any individual, any other entity Controlled by or for the benefit of any member of the same immediate family shall be deemed to be an Affiliate of the first entity). 
  
 News Registration Rights Agreement: the Registration Rights
Agreement, dated as of the Signing Date, by and between Globo and News. 
  
 Non-Globo Restrictions: as defined in Section 8.3(c) of the Participation Agreement. 
  
 Non-Permitted Liabilities: means, with respect to each member of the DTV Brasil Group and each member of the Sky Brasil Group, (i) Liabilities of
such member relating to any period or portion thereof occurring on or prior to the Signing Date (other than Liabilities relating to (v) interest accruing after the Signing Date with respect to any Liability relating to any period or portion
thereof occurring on or prior to the Signing Date, (w) claims by any Person alleging an employment relationship with such member, (x) consumer-related claims brought by current or past subscribers, (y) the Liabilities set forth
in Schedule 6 and (z) Current Operating Expenses), in each case whenever arising, and whether or not subject to any extension or installment program, to the extent that such Liabilities (or portions thereof) exceed in aggregate R$27,909,498
(in the case of the DTV Brasil Group) or R$29,160,218 (in the case of the Sky Brasil Group), in each case as adjusted for inflation in accordance with Sistema Especial de Liquidação e de Custódia, published by the Central
Bank of Brazil, (ii) Liabilities relating to any minimum subscriber guarantee or other financial commitment to a Content provider (other than, in the case of Sky Brasil, the Telecine Services) which guarantee or commitment is in effect as
of the Signing Date or the Closing Date, including, in the case of DTV Brasil, any and all Liabilities under, with respect to or in connection with, the Shortfall Guarantee Agreement, executed February 12, 2004, between DirecTV and Brasil
Distribution, L.L.C.,and (iii) all Indebtedness (other than the Indebtedness set forth in Schedule 5.9(a) or 5.9(b) of the Combination Agreement) in existence on the Closing Date. 
  
 Notice Period: as defined in Section 9.3(a) of the Participation Agreement. 
  

 14 

 Order: orders, judgments, decrees, investigations or injunctions issued by any Governmental
Authority. 
  
 Organizational Documents: as to any Person,
its (i) certificate or articles of incorporation or similar corporate charter, or other instrument of organization, (ii) contrato social, Articles of Association, by-laws or other similar instrument and (iii) and other
governing corporate documents or organizational documents. 
  
 PanAmSat: PanAmSat International Systems, Inc., a Delaware corporation, as successor-in-interest to PanAmSat Corporation, a Delaware corporation. 
  
 PanAmSat Claim Amount: as defined in Section 2.3 of the Participation Agreement. 
  
 PanAmSat Release: the release in full of each member of the Globo
Group from all obligations under the Sky Brasil Transponder Agreements and the MCOP Transponder Agreements (including, for the avoidance of doubt, all guarantees relating thereto issued by Globo) to be executed and delivered by PanAmSat in a form
acceptable to Globo, provided that Globo shall accept any form that is reasonable. 
  
 PanAmSat Settlement Amount: as defined in Section 2.3 of the Participation Agreement. 
  
 Parent Content Agreement: the Parent Content Agreement, dated as of the Signing Date, by and among Globo, News and DirecTV. 
  
 Participation Agreement: the Participation Agreement, dated as of the
Signing Date, by and among Globo, News and DirecTV. 
  
 Parties: as used in any agreement, the parties to such agreement (unless the context otherwise requires) and their successors and permitted assigns. 
  
 Partnership Agreements: the agreements, documents and instruments listed on Schedule 6 to this Annex A. For
the avoidance of doubt, each reference to a draft agreement, document or instrument in Schedule 7 shall be understood to include a reference to any subsequent drafts or executed copies of such agreement, document or instrument, including as
may have been amended, and each reference to an agreement, document or instrument or draft agreement, document or instrument in Schedule 7 shall be understood to include a reference to all guarantees and affirmations or other confirmations of
guarantees issued by Globo or any other member of the Globo Group in connection therewith, and all amendments, supplements, waivers and modifications of such agreements, guarantees, affirmations, confirmations and other documents and instruments.

  

 15 

 Partnership Releases: each of the releases to be entered into in substantially the form of
Exhibit 1 attached to the Participation Agreement. 
  
 Paying Subscribers: subscribers that have been DTV Brasil subscribers continuously for at least six months immediately preceding the Closing and that, at the Closing, were current with their payments on the service, it being
understood that, for the purpose of this definition, a subscriber shall be deemed current with its payment if its payment for any unpaid invoice is not more than thirty (30) days past due. 
  
 Percentage Interest: the percentage equal to the quotient of
(i) the number of issued and outstanding Sky Brasil Quotas owned by a Quotaholder at any time divided by (ii) the aggregate number of Quotas issued and outstanding at such time, in the case of each of clauses (i) and (ii), on a
fully-diluted basis after giving effect, either through a deemed or an actual conversion in accordance with Section 4.4 of the Amended Sky Brasil Quotaholders Agreement or the Closing Sky Brasil Quotaholders Agreement, as applicable, of the Sky 2004
Sky Equity Funding and all other uncapitalized or unconverted Equity Funding made by all Quotaholders, provided that any such conversion shall only be a deemed capitalization or conversion and not an actual capitalization or conversion unless
approved in accordance with the Amended Sky Brasil Quotaholders Agreement or the Closing Sky Brasil Quotaholders Agreement, as applicable. 
  
 Permitted Liens: (a) Liens reserved against in the Balance Sheet, to the extent so reserved, (b) Liens for Taxes not yet due and
payable, or which are being contested in good faith and by appropriate proceedings if adequate reserve with respect thereto are maintained on the books of DTV Brasil or Sky Brasil, as applicable, in accordance with Brazilian GAAP, (c)
statutory preferences created or existing solely pursuant to applicable Laws and (d) those Liens that (i) are set forth in Schedule 8 hereto] and (ii) individually and in the aggregate with all other Permitted Liens, do
not and will not materially detract from the value of any of the property or assets of DTV Brasil or Sky Brasil, as applicable, or materially interfere with the use thereof as currently used, or otherwise be reasonably likely to have or result in a
DTV Brasil Material Adverse Effect or Sky Brasil Material Adverse Effect. 
  
 Person: any natural person, firm, partnership, association, corporation, company, limited liability company, trust, joint stock company, business trust, unincorporated association, joint venture, investment
fund, Governmental Authority or other entity. 
  
 Programco: Sky Entertainment Programming Latin America, LLC, a Delaware limited liability company. 
  
 Promancor: Promancor S.A., a Uruguayan sociedade anônima. 
  

 16 

 Pro-Rata Share: with respect to any Sky Party, the Percentage Interest of such Sky Party in Sky
Brasil as of the date the applicable representation or warranty is given, or as of the date the applicable covenant is breached. 
  
 Quotaholder Funding: with respect to any entity, any capital contribution or other funding or advance (including through the deferral of trade
receivables but excluding the amount of R$7,570,994 plus accrued interest owed by Sky Brasil to Globo with respect to programming, the payment of which has been deferred and is now payable on or prior to February 28, 2005 pursuant to Section 2.4 of
the Participation Agreement), whether in the form of AFACs, debt or otherwise. 
  
 Quotaholders Agreement: at any time on or after Closing, the Closing Sky Brasil Quotaholders Agreement and at all other times, the Amended Sky Brasil Quotaholders Agreement, in each case as may be amended from
time to time. 
  
 Quotas: with respect to any entity, the
issued and outstanding quotas of such entity. 
  
 Real /
Reais: the lawful currency of the Federative Republic of Brazil. 
  
 Receiving Party: as defined in Section 8.2(c) of the Participation Agreement. 
  
 Related Agency Agreements: at any time, the agreements to or by which Net Brasil S.A. (or other Globo Designee) is party or is otherwise bound
pursuant to the Agency Agreement relating to broadcast or other Brazilian Content to be carried by Sky Brasil or, after the Closing, DTV Brasil and such other agreements by which Sky Brasil, DTV Brasil or a member of the Globo Group may be bound at
such time with respect to any Content to be provided to Sky Brasil or DTV Brasil by a member of the Globo Group or otherwise in connection with the Agency Agreement. 
  
 Related Agreements: the Combination Agreement, the Amended Sky Brasil Quotaholders Agreement, the Amended Sky Brasil
Articles of Association, the News Registration Rights Agreement, the DirecTV Registration Rights Agreement, the Exchange Rights Agreement, the Parent Content Agreement, the Sky Purchase Agreement and, if there is no Closing as described in Section
1.3 of the Participation Agreement, the Releases. 
  
 Release
and Waiver: the Release and Waiver of Claims entered into on the Signing Date by and between Globo and News. 
  
 Releases: the PanAmSat Release, the Partnership Releases, the DTH Techco Releases and the Sky Affiliates Releases. 
  
 Relevant Affiliate: with respect to any Sky Party or DTV Party, each
of its Affiliates that shall be a party to any Ancillary Closing Agreement. 
  

 17 

 Replacement Content: any Globo Content offered in replacement of or in addition to then-current
Globo Content, provided that (a) the resulting per-subscriber cost of all Globo Content at such time is not changed as a result, (b) the distribution terms and packaging of such replacements are substantially the same as the
Globo Content being replaced and (c) such replacements are commercially reasonable, including as to the timing of such changes and the format and type of such replacement Content. 
  
 Representatives: as to any Person, its accountants, counsel, consultants (including actuarial, environmental and
industry consultants), officers, directors, employees, agents and other advisors and representatives. 
  
 Required Approvals: the Governmental Approvals set forth or required to be set forth on Schedules 3.4(b) and 4.4(b) to the Combination Agreement.

  
 Required Disposition: any ongoing disposition in full
by News, DirecTV and their respective Affiliates of the Competing Interest held by them in a Competing Platform which is occurring pursuant to the exercise by Globo of the Disposition Right and which Globo, News and DirecTV reasonably expect to be
completed within 90 days of the exercise of such Disposition Right, subject to one 90-day extension period if necessary to obtain regulatory approvals that News, DirecTV and their respective Affiliates have been using commercially reasonable efforts
to obtain. 
  
 Retained Sky Interest: with respect to
Globo or News, (a) at any time prior to the Closing, the Sky Brasil Quotas held by the Globo Group or the News Group, as applicable, as of the Signing Date or (b) at any time on or after the Closing, the Sky Brasil Quotas held by the
Globo Group or the News Group, as applicable, as of Closing, in each case (i) after giving effect to the conversion of all 2004 Sky Equity Funding and any other Equity Funding made but not yet capitalized or converted as of the Signing Date
or the Closing Date, as applicable, in accordance with Sections 4.4 through 4.7 of the Amended Sky Brasil Quotaholders Agreement or the Closing Sky Brasil Quotaholders Agreement, as applicable, provided that any such conversion shall only be a
deemed and not an actual conversion until the Value Determination Date, (ii) as adjusted to include additional securities of Sky Brasil issued in respect thereof (including debt or securities convertible, exchangeable or exercisable
for such securities) by way of stock or quota dividend, stock or quota split, reverse split, reorganization, reclassification, recapitalization or other corporate action and (iii) in the case of Globo, as may be reduced pursuant to a transfer
by Globo of Sky Brasil Quotas pursuant to Section 10.2(d) of the Participation Agreement or Section 8.7(c) of the Combination Agreement or pursuant to Section 4.5 of the Amended Sky Brasil Quotaholders Agreement or the Closing Sky Brasil
Quotaholders Agreement. 
  
 Revenue Taxes: means any and
all Taxes on gross revenues of any kind imposed by Brazilian tax authorities, including, without limitation, PIS and COFINS. 
  

 18 

 Schedule: as used in any Transaction Agreement, the schedule to such Transaction Agreement (unless
the context otherwise requires). 
  
 Section: as used in
any Transaction Agreement, the section to such Transaction Agreement (unless the context otherwise requires). 
  
 Serviceco: Sky Latin America, LLC, a Delaware limited liability company. 
  
 Shutdown: with respect to any company, the full and permanent shut down of all operations and business of such
company (including without limitation with respect to the distribution of programming services to subscribers). 
  
 Signing Date: the date on which the Participation Agreement and the Related Agreements are executed and delivered. 
  
 Sky Brasil Funding Obligations: any and all obligations as a
quotaholder, under the Amended Sky Brasil Quotaholders Agreement, the Articles of Association, any agreement relating to the funding of Sky Brasil, any approved budget or otherwise, and whether arising prior to, on or after the Signing Date, to make
any capital contributions to, provide any other funding or advance (whether through the deferral of trade receivables or in the form of AFACs, debt or otherwise) to, or provide any guarantees (other than, subject to the provisions of the
Participation Agreement and the Combination Agreement, those in effect as at the Signing Date) for the benefit of Sky Brasil. 
  
 Sky Brasil Group: means Sky Brasil and each of the Sky Brasil Subs. 
  
 Sky Brasil Information: as defined in Annex I of the Participation Agreement. 
  
 Sky Brasil Licenses: as defined in Section 3.7 of the Combination
Agreement. 
  
 Sky Brasil Material Adverse Effect: any
event, occurrence, fact, condition, change, development or effect that, individually or in the aggregate, is or would be reasonably (a) expected to have a materially adverse effect on the business and operations of Sky Brasil, as conducted in the
ordinary course, as of the date of determination excluding any such effect resulting from (i) changes in the Brazilian economy or the programming distribution industry in general, (ii) any public announcement of any of the Transaction
Agreements, (iii) changes in applicable law with respect to which the Sky Brasil Group is using commercially reasonable efforts to be in compliance or (iv) delay in obtaining Required Approvals which the Parties are using
commercially reasonable efforts to obtain in accordance with Section 8.3 of the Participation Agreement or (b) likely to have any material adverse effect or otherwise materially restrict the ability of any Sky Party or any member of the Sky
Brasil Group to perform its obligations under any Transaction Agreement; provided that the exclusion set forth in clause (a)(iv) above shall not apply for purposes of Section 6.1(b) of the Combination Agreement. 
  

 19 

 Sky Brasil Material Contracts: as defined in Section 3.8(a) of the Combination Agreement.

  
 Sky Brasil Programming Agreements: Contracts pursuant
to which any member of the Sky Brasil Group acquires, or has any rights or obligations to distribute or carry, Content, including affiliate, distribution or similar Contracts, including without limitation the Agency Agreement and the Related Agency
Agreements. 
  
 Sky Brasil Quotaholders: as defined in
Section 3.2(a) of the Combination Agreement. 
  
 Sky Brasil
Quotaholders Agreement: the Amended and Restated Quotaholders’ Agreement, dated as of July 31, 1997, among DTH Comercio e Participações Ltda., News DTH do Brasil Comércio e Participações Ltda., TCI
International Brasil Ltda. and Sky Brasil, as amended (other than pursuant to the Amended Sky Brasil Quotaholders Agreement). 
  
 Sky Brasil Quotas: at any time, the issued and outstanding quotas of Sky Brasil, par value R$1.00, at such time. 
  
 Sky Brasil Subs: the Controlled Affiliates of Sky Brasil at any given
time, including, without limitation, Promancor and Net Sat USA to the extent that Promancor or Net Sat USA is a Controlled Affiliate of Sky Brasil at such time. 
  
 Sky Brasil Transponder Agreements: the Second Amended and Restated Transponder Purchase and Sale Agreement between
PanAmSat and Sky Brasil, dated as of March 5, 1998, as amended, supplemented, waived or modified, any related agreements and all guarantees and affirmations and confirmations of guarantees issued by Globo in connection with the foregoing.

  
 Sky Parties: Globo and News. 
  
 Sky Partners: Sky Latin America Partners, a Delaware general
partnership. 
  
 Sky Party Agreements: as defined in
Section 3.6(a) of the Combination Areement. 
  
 Sky Party
Indemnitees: as defined in Section 8.1(a) of the Combination Agreement. 
  
 Sky Purchase Agreement: the MCOP Purchase and Sale Agreement, to be entered into between Globo and DirecTV pursuant to which Globo will transfer and sell to DirecTV its indirect interest in DTH USA, Inc. (or,
in certain circumstances, MCOP), DTH Techco and Sky Partners, subject to certain terms and conditions to be included therein. 
  
 Sky Related Person: as defined in Section 3.6(a) of the Combination Agreement. 
  

 20 

 Specified Closing Conditions: (A) receipt of the Required Approvals or, if agreed by the
applicable parties, such parties’ reasonable expectation that the Required Approvals will be received, provided News and DirecTV and their respective Controlled Affiliates are and have been using their respective commercially reasonable
efforts to obtain such Required Approvals, (B) (i) conditions to the Closing, the satisfaction of which is in the sole control of Globo or any of its Controlled Affiliates and (ii) the conditions set forth in Section 6.3(b) and (c) of the
Combination Agreement to the extent the failure to meet such conditions is due solely to the failure of Globo or any of its Controlled Affiliates to execute and deliver any such Ancillary Closing Agreement or execute the Closing Sky Brasil Articles
of Association and (C) immaterial procedural Closing conditions such as delivery of stock certificates, if applicable (provided that, in the case of clause (C), such immaterial procedural Closing conditions are met within ten days
thereof). 
  
 Stock: (i) with respect to News, its
ordinary shares, preferred limited voting ordinary shares and American Depositary Shares representing ordinary shares or preferred limited voting ordinary shares (or, following the reorganization of News resulting in News Parent becoming the
ultimate parent of News and its subsidiaries, the analogous classes of stock of News Parent) and (ii) with respect to DirecTV, its common stock. 
  
 Subscriber Contribution: as defined in Section 1.2 of the Combination Agreement. 
  
 Subscriber Report: as defined in Section 1.2 of the Combination
Agreement. 
  
 Tax Returns: any report, return,
declaration, claim for refund, information report or return or statement required to be supplied to a taxing authority in connection with Taxes, including any schedule or attachment thereto or amendment thereof. 
  
 Taxes: means all taxes of any kind, including all federal, state,
provincial, territorial, municipal, local or foreign income, profits, franchise, gross receipts, environmental, customs, duties, net worth, sales, use, goods and services, withholding, value added, ad valorem, employment, social security (including
COFINS, PIS, CSLL and other social contributions on profits and for educational funds), workers’ compensation (including INSS), disability, occupation, pension, real property (including State or Municipal Real Estate Tax (IPTU, ITBI)), personal
property (tangible and intangible), stamp, transfer, conveyance, production, excise, bank account withdrawals (CMPF), financial transaction (including IOF and CPMF), payroll, severance (including FGTS), excise (IPI), services (ISS), import, export,
value added (ICMS), remittances of royalties abroad (CIDE-Royalties), remittances of payments for international programming abroad (CONDECINE) and other taxes, withholdings, duties, levies, imposts and other similar charges and assessments
(including any and all fines, penalties and additions attributable to or otherwise imposed on or with respect to any such taxes, charges, fees, levies or other assessments, and interest thereon) imposed by or on behalf of any taxing authority or
Governmental Agency, against the taxpayer or Person as defined in the applicable legislation. 
  

 21 

 Telecine: Telecine Programaçao de Filmes Ltda., a Brazilian limitada. 
  
 Telecine Services: any and all programming services and all
multiplexes thereof, provided from time to time by Telecine. 
  
 Televisa: means GrupoTelevisa S.A., a Mexican corporation. 
  
 Televisa Content: means any Content owned or produced, or any channel or commercial unit of Content a material portion of which is controlled or programmed by a member of the Televisa Group. 
  
 Televisa Group: means Televisa and its Controlled Affiliates.

  
 Temporary Waiver: as defined in Section 1.1 of the
Participation Agreement. 
  
 Terminated DTV Affiliate
Agreement: as defined in Section 4.6(b) of the Combination Agreement. 
  
 Terminated Sky Party Agreements: as defined in Section 3.6(b) of the Combination Agreement. 
  
 Termination Factor: as defined in the applicable Quotaholders Agreement. 
  
 Transaction Agreements: the Participation Agreement, the Combination Agreement, the Release and Waiver, the Related
Agreements and the Ancillary Closing Agreements, as may be amended from time to time. 
  
 Transfer: any transfer, sale, assignment, exchange, mortgage, pledge, hypothecation or other disposition of any Quotas or any interest therein. 
  
 Transfer Rights: the rights to Transfer Sky Brasil Quotas set forth in Article IX of the Amended Sky Brasil
Quotaholders Agreement or Article IX of the Closing Sky Brasil Quotaholders Agreement, as applicable. 
  
 Transponder Agreements: with respect to any DTH platform, one or more Contracts relating to the use of transponder capacity by such
platform. 
  
 TV Capital: TV Capital
Participações Ltda., a Brazilian limitada. 
  
 TV Capital Quotas: at any time, the issued and outstanding quotas of TV Capital at such time. 
  
 TV Globo: TV Globo Ltda., a Brazilian sociedade anônima. 
  

 22 

 US Dollar Indemnity: with respect to any indemnity obligation of a member of the Globo Group, such
indemnity obligation as originally expressed in US Dollars, or (if originally expressed in Reais) the US Dollar equivalent of such indemnity obligation converted at the average of the buy and sell exchange rates listed as PTAX 800, option 5, as
disclosed by the Central Bank of Brazil on the Business Day immediately preceding the date of payment. 
  
 Value Determination Date: the earlier to occur of (i) the Closing and (ii) following termination of the Combination Agreement, the
date on which News ceases to be in breach of the Covenants resulting from the DirecTV Acquisition in accordance with the publicly announced Cure Plan. 
  

 23Latin America Purchase Agreement, October 8, 2004-News Corp.

 Exhibit 10.3 
  
 EXECUTION COPY 
  
 LATIN AMERICA PURCHASE AGREEMENT 
  
 by and between 
  
 The News Corporation Limited 
  
 and 
  
 The DIRECTV
Group, Inc. 
  
 Dated as of 
  
 October 8, 2004 

 TABLE OF CONTENTS 
  

							
	 	  	 	  	 	  	Page

	 ARTICLE 1 DEFINITIONS
	  	3
	 	  	 1.1
	  	Definitions	  	3
	 ARTICLE 2 PURCHASE OF INTERESTS; OTHER ACTIONS
	  	3
	 	  	 2.1
	  	Brazil Transaction	  	3
	 	  	 2.2
	  	Mexico Transaction.	  	3
	 	  	 2.3
	  	MTS Platform Transaction.	  	4
	 ARTICLE 3 PURCHASE PRICE; CLOSING PAYMENT AND INCREASES; AND TERMINATION PAYMENT
	  	4
	 	  	 3.1
	  	Purchase Price	  	4
	 	  	 3.2
	  	Adjustment to the Brazil Purchase Price and the Mexico Option 2 Purchase Price.	  	5
	 	  	 3.3
	  	Termination Payment.	  	5
	 ARTICLE 4 REPRESENTATIONS AND WARRANTIES
	  	6
	 	  	 4.1
	  	Representations and Warranties of News	  	6
	 	  	 4.2
	  	Representations and Warranties of DIRECTV	  	13
	 ARTICLE 5 CERTAIN COVENANTS
	  	15
	 	  	 5.1
	  	Confidentiality	  	15
	 	  	 5.2
	  	Publicity	  	15
	 	  	 5.3
	  	Governmental Consents	  	15
	 	  	 5.4
	  	Additional Agreements	  	16
	 	  	 5.5
	  	Innova/Galaxy Mexico Transaction Documents	  	16
	 	  	 5.6
	  	Brazil Merger Transaction Documents	  	16
	 	  	 5.7
	  	Failure to Consummate	  	16
	 	  	 5.8
	  	Section 338(h)(10) Election	  	16
	 ARTICLE 6 CONDITIONS TO CLOSING
	  	17
	 	  	 6.1
	  	Conditions Precedent to the Obligations of News	  	17
	 	  	 6.2
	  	Conditions Precedent to Obligations of DIRECTV	  	19
	 ARTICLE 7 THE CLOSINGS
	  	20
	 	  	 7.1
	  	Place of Closings	  	20
	 	  	 7.2
	  	Date of Closing.	  	20
	 	  	 7.3
	  	Deliveries at Brazil Closing.	  	21
	 	  	 7.4
	  	Deliveries at Mexico Option 1 Closing.	  	21
	 	  	 7.5
	  	Deliveries at Mexico Option 2 Closing.	  	21
	 	  	 7.6
	  	Deliveries at the MTS Platform Closing.	  	22
	 ARTICLE 8 POST-CLOSING COVENANTS
	  	23
	 	  	8.1	  	Post-Closing Notifications	  	23
	 ARTICLE 9 INDEMNIFICATION
	  	23
	 	  	 9.1
	  	Indemnification	  	23
	 	  	 9.2
	  	Defense of Claims.	  	24
	 	  	 9.3
	  	Survival of Representations and Warranties	  	26

  

 - i - 

							
	 ARTICLE 10 TAX MATTERS
	  	26
	 	  	 10.1
	  	Termination of Existing Tax-Sharing Agreements	  	26
	 	  	 10.2
	  	Tax Return Responsibility	  	27
	 	  	 10.3
	  	Amended Tax Returns	  	27
	 	  	 10.4
	  	Allocation for Straddle Period	  	28
	 	  	 10.5
	  	Post-Closing Tax Audits	  	28
	 	  	 10.6
	  	Post-Closing Tax Assistance	  	28
	 ARTICLE 11 MISCELLANEOUS PROVISIONS
	  	29
	 	  	 11.1
	  	Notices	  	29
	 	  	 11.2
	  	Severability	  	30
	 	  	 11.3
	  	Successors and Assigns	  	30
	 	  	 11.4
	  	Waiver of Compliance	  	31
	 	  	 11.5
	  	Entire Agreement	  	31
	 	  	 11.6
	  	Amendments and Supplements	  	31
	 	  	 11.7
	  	Rights of the Parties	  	31
	 	  	 11.8
	  	Further Assurance	  	31
	 	  	 11.9
	  	Governing Law	  	31
	 	  	 11.10
	  	Choice of Forum	  	31
	 	  	 11.11
	  	Execution in Counterparts	  	32
	 	  	 11.12
	  	Expenses	  	32
	 	  	 11.13
	  	References and Titles	  	32

  

 - ii - 

 LIST OF SCHEDULES 
 TO LATIN AMERICA PURCHASE AGREEMENT 
  

			
	 Schedule

	 	 Description

	 Schedule 4.1(d)
	 	News Governmental and Third-Party Consents
	 Schedule 4.1(e)(iv)
	 	News DTH Ownership
	 Schedule 4.1(e)(v)
	 	Sky Brasil Ownership
	 Schedule 4.1(f)(iii)
	 	Ownership of Shares of News DTH (Mexico)
	 Schedule 4.1(f)(iv)
	 	Ownership Percentages of Innova and News/Innova Options
	 Schedule 4.1(g)(v)
	 	MCOP and Sky Partners Interests
	 Schedule 4.1(g)(vi)
	 	Techco Interest
	 Schedule 4.1(h)
	 	News Assigned Contracts/Non-Compliance
	 Schedule 4.1(i)
	 	Fundings
	 Schedule 4.2(d)
	 	DIRECTV Governmental and Third-Party Consents
	 Schedule 4.2(f)
	 	DIRECTV Assigned Contracts/Non-Compliance

  
 LIST OF EXHIBITS

 TO LATIN AMERICA PURCHASE AGREEMENT 
  

			
	 Exhibit

	 	 Description

	 Exhibit 1
	 	Definitions
	 Exhibit 2
	 	Mexico Option 1 Assignment and Assumption Agreement
	 Exhibit 3
	 	Mexico Option 2 Assignment and Assumption Agreement
	 Exhibit 4
	 	Innova/Galaxy Mexico Transaction Documents
	 Exhibit 5
	 	Sky Brasil Transaction Documents
	 Exhibit 6
	 	Wire Account Information
	 Exhibit 7
	 	Form of DIRECTV Consent Agreements
	 Exhibit 8
	 	Form of DIRECTV MC Releases
	 Exhibit 9
	 	Form of News Consent Agreement
	 Exhibit 10
	 	Form of News MC Releases
	 Exhibit 11
	 	Forms of MTS Platform Organizational Documents

  

 - iii - 

 LATIN AMERICA PURCHASE AGREEMENT 
  
 This Latin America Purchase Agreement (this “Agreement”) is made and entered into as of October 8, 2004, by
and between The News Corporation Limited, an Australian corporation (“News”), and The DIRECTV Group, Inc., a Delaware corporation (“DIRECTV”). 
  
 RECITALS 
  
 A. As of the date hereof, News indirectly owns approximately: 
  
 (i) 36% of the outstanding equity of Sky Brasil Serviços Ltda., a Brazilian limited liability company (“Sky Brasil”) that is
engaged in the business of developing and distributing television, audio and related entertainment programming services through direct-to-home satellite transmission (the “DTH Business”) in Brazil; 
  
 (ii) 30% of the outstanding equity of Innova Holdings, S. de R.L. de C.V., a
Mexican limited liability company with variable capital (“Innova Holdings”), and 30% of the outstanding equity of Innova, S. de R.L. de C.V., a Mexican limited liability company with variable capital (as the context requires,
together with Innova Holdings, “Innova”) that is majority-owned by Innova Holdings and is directly engaged in the DTH Business in Mexico; 
  
 (iii) 30% of the outstanding (and fully diluted) equity of Sky Multi-Country Partners, a Delaware general partnership (“MCOP”) that is
engaged in the DTH Business in Argentina, Chile, Colombia and Venezuela; 
  
 (iv) 30% of the outstanding (and fully diluted) equity of DTH Techco Partners, a Delaware general partnership (“Techco”) that owns and operates the satellite broadcast center that services Sky Brasil,
Innova and MCOP; and 
  
 (v) 30% of the outstanding (and fully
diluted) equity of Sky Latin America Partners, a Delaware general partnership (“Sky Partners”) that provides management services to Sky Brasil, Innova and MCOP. 
  
 B. DIRECTV owns approximately 82% of the outstanding (and fully diluted) equity of DIRECTV Latin America LLC, a Delaware
limited liability company (“DTVLA”) that is engaged in the DTH Business in Mexico, Central America, South America and the Caribbean. 
  
 C. News, DIRECTV and Globo Comunicações é Participações S.A., a Brazilian company (“Globo”) that
indirectly owns approximately 54% of the outstanding equity of Sky Brasil, are simultaneously herewith entering into the Brazil Merger Transaction Documents, which relate among other matters to the combination of the businesses of Sky Brasil and
DTVLA in Brazil (the “Brazil Merger”). 
  
 D.
Grupo Galaxy Mexicana S. de R.L. de C.V., a Mexican limited liability company with variable capital (“Galaxy Mexico”) that is an indirect majority-owned subsidiary of DIRECTV and is engaged in the DTH Business in Mexico, and Innova
are simultaneously herewith entering into a Purchase and Sale Agreement that provides for Innova’s purchase from Galaxy Mexico of a list of certain of Galaxy Mexico’s subscribers. 

 E. Innova and Innova Holdings, are simultaneously herewith entering into the Option Agreement providing
for, among other things, the grant by Innova Holdings and Innova to News of two options (the “News/Innova Options”) to acquire up to a 15% direct and indirect equity interest in Innova and Innova Holdings (after giving effect to the
exercise of such options). 
  
 F. News, Grupo Televisa, S.A., a
Mexican company (“Televisa”), Innova, Innova Holdings and DTVLA are simultaneously herewith entering into the DTH Agreement and certain related agreements providing for, among other things, the resolution of certain non-competition
claims, the transfer by DTVLA to Innova of certain rights to the Central American Platforms (as such term is defined in the Innova/Galaxy Mexico Transaction Documents) and the grant to Televisa of certain carriage rights in connection therewith.

  
 G. DIRECTV is simultaneously herewith entering into agreements
with (i) Globo, to acquire from Globo all of Globo’s indirect equity interests in MCOP, Techco and Sky Partners (collectively, the “MTS Platform”), and (ii) Televisa, to acquire from Televisa all of Televisa’s indirect
equity interests in MCOP and Sky Partners. 
  
 H. DIRECTV is
simultaneously herewith entering into an agreement with Liberty (the “Liberty/DIRECTV Agreement”) to acquire from Liberty all of Liberty’s direct and indirect equity interests in the MTS Platform, Innova and Sky Brasil.

  
 I. DIRECTV desires to acquire: (i) all of News’ indirect
equity interest in Sky Brasil, which Sky Brasil interest is held by News DTH, which is 99.99999984% indirectly owned by News Cayman DTH through News DTH Investment and .000000155% directly owned by News Cayman Holdings; (ii) options to purchase all
of News’ right, title and interest in, to and under the Innova Shares and the News/Innova Options; and (iii) News’ fully diluted indirect equity interests in the MTS Platform, as to which the MCOP and Sky Partners interests are held by
SESLA, which is 100% owned by Sky Global, and as to which the Techco interest is held by News America DTH, which is 100% owned by Sky Global. 
  

 2 

 AGREEMENTS 
  
 NOW, THEREFORE, in consideration of the respective representations, warranties, covenants, agreements and conditions
hereinafter set forth, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties agree as follows: 
  
 ARTICLE 1 
 DEFINITIONS

  
 1.1 Definitions. Capitalized terms used but not
defined in this Agreement have the meanings given to them in Exhibit 1. 
  
 ARTICLE 2 
 PURCHASE OF INTERESTS; OTHER ACTIONS 
  
 2.1 Brazil Transaction. Subject to the conditions set forth in
Sections 6.1(a) and 6.2(a), at the Brazil Closing: 
  
 (a) News shall cause the News Brasil Entities to sell, assign and transfer to DIRECTV and its designee, or its designees, as the case may be, and DIRECTV and such designee, or such designees, as the case may be, shall purchase from the News
Brasil Entities, the News DTH Shares, free and clear of all Liens other than Permitted Liens; and 
  
 (b) News shall assign and shall cause its Affiliates to assign, as applicable, to DIRECTV or its designee, and DIRECTV or such designee shall assume, all
of News’ or News’ Affiliates’, as the case may be, rights and obligations in, to and under the Sky Brasil Transaction Documents, except for the Excluded Brazil Obligations. 
  
 2.2 Mexico Transaction. 
  
 (a) Mexico Option 1 – News/Innova Options. 
  
 (i) News hereby grants to DIRECTV or its designee permitted under the Option Agreement an irrevocable option (“Mexico Option 1”),
exercisable as set forth in this Section 2.2(a), to acquire from News all of News’ right, title and interest in, to and under the Option Agreement, including to the News/Innova Options, and any other agreement which may amend, supplement
or otherwise modify the Option Agreement, upon the same terms and subject to the same conditions therein applicable to News. 
  
 (ii) News may cause DIRECTV to exercise Mexico Option 1 upon News obtaining the immediate right to transfer the Option Agreement in accordance with the
terms thereof. 
  
 (iii) The closing of the exercise of Mexico
Option 1 (the “Mexico Option 1 Closing”) shall take place at the location, date and time provided in Section 7.1 and Section 7.2(b). If the Mexico Option 1 Closing does not occur by the fifth anniversary of the date
hereof, Mexico Option 1 shall terminate and all of the rights and obligations of News and DIRECTV with respect thereto shall terminate and be of no further force or effect. Upon any such termination, neither of such parties shall have any liability
to the other with respect to Mexico Option 1, except for any willful breach of its obligations under this Agreement with respect to such option. 
  

 3 

 (iv) Following the Mexico Option 1 Closing, DIRECTV shall not exercise the News/Innova Options pursuant
to the Option Agreement unless the Mexico Option 2 Closing has occurred or will occur immediately thereafter. 
  
 (b) Mexico Option 2 – Innova Shares. 
  
 (i) News hereby grants to DIRECTV or its designee the irrevocable option (“Mexico Option 2”) to acquire from the News Mexico Entities
all of the News Mexico Entities’ direct and indirect right, title and interest in, to and under the Innova Shares, free and clear of all Liens other than Permitted Liens. 
  
 (ii) News may cause DIRECTV to exercise Mexico Option 2 upon the earlier of the Determination Date and second anniversary
of the date hereof. 
  
 (iii) The closing of the exercise of
Mexico Option 2 (the “Mexico Option 2 Closing”) shall take place at the location, date and time provided in Section 7.1 and Section 7.2(c). If the Mexico Option 2 Closing does not occur by the third anniversary of the
date hereof, Mexico Option 2 shall terminate and all of the rights and obligations of News and DIRECTV with respect thereto shall terminate and be of no further force or effect. Upon any such termination, neither of such parties shall have any
liability to the other with respect to Mexico Option 2, except for any willful breach of its obligations under this Agreement with respect to such option. 
  
 2.3 MTS Platform Transaction. 
  
 (a) At the MTS Platform Closing, which shall occur upon the execution and delivery of this Agreement, News shall cause Sky Global to sell, transfer and
assign to DIRECTV or its designee, and DIRECTV or such designee shall purchase from Sky Global, the MTS Platform Shares, free and clear of all Liens other than Permitted Liens. 
  
 (b) Effective on or before December 31, 2004, News shall be released from its obligations under the MTS Equipment Lease
Guarantee pursuant to the MTS Equipment Lease Release.  
  
 ARTICLE 3 
 PURCHASE PRICE; CLOSING PAYMENT AND INCREASES; 
 AND TERMINATION PAYMENT 
  
 3.1 Purchase Price. The Purchase Price for the conveyances and assignments described in Article 2 shall be payable as follows: 

 
 (a) Within ten Business Days of the execution of this Agreement, DIRECTV
shall pay to News $302 million in cash in consideration of the conveyances and assignments described in Section 2.1 (the “Brazil Purchase Price”). The Brazil Purchase Price shall be payable by wire transfer of immediately
available funds by DIRECTV to the account designated by News to DIRECTV in Exhibit 6. 
  

 4 

 (b) At the Mexico Option 2 Closing, DIRECTV shall pay to News $285 million in cash in consideration of
the conveyances and assignments described in Section 2.2(b) (as such amount may be increased pursuant to Section 3.2(b), the “Mexico Option 2 Purchase Price”). The Mexico Option 2 Purchase Price shall be payable at the
Mexico Option 2 Closing by wire transfer of immediately available funds by DIRECTV to the account designated by News to DIRECTV prior to the Mexico Option 2 Closing Date. 
  
 (c) At the MTS Platform Closing, DIRECTV shall pay to News $36 million dollars in cash (the “MTS Purchase
Price”). The MTS Purchase Price shall be payable by wire transfer of immediately available funds by DIRECTV to the account designated by News to DIRECTV in Exhibit 6. At the MTS Platform Closing, News shall be deemed to owe DIRECTV $127
million in cash (the “MTS Platform Offset Amount”), which amount shall be (i) deemed to be paid by offsetting the Brazil Purchase Price Adjustment in accordance with Section 3.2 (a) or, as applicable, (y) paid in accordance
with Section 3.3. 
  
 3.2 Adjustment to the Brazil
Purchase Price and the Mexico Option 2 Purchase Price. 
  
 (a) At the Brazil Closing, DIRECTV shall pay to News an amount equal to (x) (i) any capital contributions, other fundings or Advances made by News or its Affiliates to Sky Brasil from June 1, 2004 to the Brazil Closing Date and (ii) any
indemnity payments made by News or its Affiliates under the Brazil Merger Transaction Documents between the date of this Agreement and the Brazil Closing Date that are not caused by or related to any act or omission of News or its Affiliates,
minus (y) the MTS Platform Offset Amount (the “Brazil Purchase Price Adjustment”). News shall provide written notice to DIRECTV reasonably in advance of the Brazil Closing setting forth the Brazil Purchase Price Adjustment
and the reasonable details of the calculation thereof, together with supporting documentation evidencing the capital contributions, other fundings or Advances, and any indemnity payments, made by News as described in clause (x) of the immediately
preceding sentence. If the Brazil Purchase Price Adjustment is a positive number, then DIRECTV shall pay to News at the Brazil Closing the amount thereof in cash by wire transfer of immediately available funds to the account designated by News to
DIRECTV prior to the Brazil Closing Date. If the Brazil Purchase Price Adjustment is a negative number, then News shall pay to DIRECTV at the Closing the amount thereof in cash by wire transfer of immediately available funds on the date and to the
account designated by DIRECTV to News prior to the Brazil Closing Date. 
  
 (b) At the Mexico Option 2 Closing, DIRECTV shall reimburse News for any (i) capital contributions, other fundings or Advances made by News or its Affiliates to Innova from June 1, 2004 to the Mexico Option 2 Closing Date and (ii) indemnity
payments made by News or its Affiliates under the Innova/Galaxy Mexico Transaction Documents between the date of this Agreement and the Mexico Option 2 Closing Date that are not caused by or related to any act or omission of News or its Affiliates
(the “Mexico Purchase Price Adjustment”). Payment shall be made by wire transfer of immediately available funds on the date and to the account designated by News to DIRECTV on such notice. 
  
 3.3 Termination Payment. If the Brazil Closing shall not have occurred
by the third anniversary of the date hereof, News shall pay to DIRECTV an amount equal to the aggregate of the Brazil Purchase Price and the MTS Platform Offset Amount by wire transfer of immediately available funds to the account designated by
DIRECTV to News prior to such third anniversary. 
  

 5 

 ARTICLE 4 
 REPRESENTATIONS AND WARRANTIES 
  
 4.1 Representations and Warranties of News. Effective as of the date hereof and as of each applicable Closing (except to the extent any representation or warranty is made as of a specified date, in which case
such representation and warranty shall be made as of such date), News makes the following representations and warranties to DIRECTV: 
  
 (a) Due Organization of News. News is a corporation duly organized, validly existing and in good standing under the law of South Australia.

  
 (b) Authority of News. News has the requisite corporate
power and authority to execute and deliver this Agreement and to perform its obligations hereunder, and each of News and its Affiliates has the requisite corporate or other similar power and authority to execute and deliver this Agreement and each
Transaction Document to which it is a party and to perform its obligations thereunder. News has the requisite power and authority to cause its Affiliates to take the actions specified herein to be taken thereby. 
  
 (c) Binding Obligation of News. This Agreement and each Transaction
Document to which News and its Affiliates are parties have been duly executed and delivered by News and such Affiliates and constitutes (or will constitute when so executed and delivered) the valid and binding obligation of News and such Affiliates,
enforceable against News and such Affiliates in accordance with their respective terms. 
  
 (d) No Conflict; Required Filings and Consents. The execution and delivery by News of this Agreement and each of the Transaction Documents to which it or any of its Affiliates is a party shall not, and the
performance by News or any of its Affiliates of its obligations hereunder or thereunder (including the consummation by News or any of its Affiliates of the transactions contemplated hereby and thereby) shall not, subject to obtaining the
Governmental Consents and other third party consents described in Schedule 4.1(d), (i) conflict with or resulting in any violation of News’ or such Affiliate’s Organizational Documents, (ii) conflict with, or result in any violation
of, or constitute a default (with or without notice or lapse of time, or both) under, or give rise to a right of termination, cancellation or acceleration of any obligation or the loss of a benefit under, any material contract, permit, order,
judgment or decree to which News or such Affiliate is a party or by which any of News’ or such Affiliate’s properties are bound, (iii) constitute a violation of any Law applicable to News or such Affiliate or any of their respective
assets, or (iv) result in the creation of any Lien (other than Permitted Liens) upon any of the assets of News or such Affiliate subject to the transactions contemplated by this Agreement and each of the Transaction Documents, except in the cases of
the immediately preceding clauses (ii) or (iv), for any such conflicts, violations, defaults, rights or losses that would not reasonably be expected to impair the ability of News or such Affiliates to execute and deliver this Agreement and such
Transaction Documents to which they are parties and to consummate the transactions contemplated hereby and thereby. Except for the matters described in Schedule 4.1(d), no Governmental Consent or third party consent is required to be

  

 6 

 obtained or made by or with respect to News or any of its Affiliates in connection with the execution and delivery of
this Agreement or any Transaction Document or the performance by News or its Affiliates of its obligations hereunder or thereunder (including the consummation by News or any of its Affiliates of the transactions contemplated hereby or thereby),
except for any that would not materially impair News’ or such Affiliates’ ability to execute and deliver this Agreement and such Transaction Documents to which they are parties and to consummate the transactions contemplated hereby and
thereby. 
  
 (e) Brazil Transaction. In connection with the
Brazil Transaction: 
  
 (i) Due Organization. Each
of the News Brasil Entities and News DTH Investment is a company duly organized, validly existing and in good standing under the laws of the Cayman Islands. News DTH is a Brazilian limitada duly organized, validly existing and in good
standing under the law of the Republic of Brazil. 
  
 (ii)
Compliance with Organizational Documents. None of News, the News Brasil Entities, News DTH Investment, News DTH nor any of their Affiliates is in violation, breach or default of or under any of the Organizational Documents of, or other
agreements with, News DTH or News DTH Investment. None of News, News DTH, News Cayman Holdings nor any of their Affiliates is in violation, breach or default of or under any of the Organizational Documents of, or other agreements with, Sky Brasil.

  
 (iii) Capitalization of News DTH Investment.

  
 (A) There are 100 shares of common stock of News DTH
Investment issued and outstanding. Such shares are (i) held beneficially and of record by News Cayman DTH, free and clear of all Liens other than Permitted Liens, and (ii) duly authorized, validly issued and outstanding, fully paid and
nonassessable. As of the date hereof, no shares of News DTH Investment are held in the treasury of News DTH Investment or have been reserved for any purpose. As of the Brazil Closing Date, News Cayman DTH will have record and beneficial ownership of
all of the issued and outstanding shares of News DTH Investment as of such date (the “News DTH Investment Shares”), free and clear of all Liens other than Permitted Liens. At the Brasil Closing, News will transfer to DIRECTV, and
DIRECTV will acquire, good and valid title to all of the News DTH Investment Shares, free and clear of all Liens other than Permitted Liens. 
  
 (B) There are no outstanding securities convertible into or exchangeable or exercisable for the shares of News DTH Investment or other securities of News
DTH Investment and no outstanding options, rights (preemptive or otherwise), or warrants or other rights to purchase or to subscribe for any quotas of such stock or other securities of News DTH Investment. There are no outstanding contracts or other
agreements affecting or relating to the voting, issuance, purchase, redemption, repurchase or transfer of the shares of News DTH Investment or any other securities of News DTH Investment, except as contemplated hereunder. 
  
 (iv) Capitalization of News DTH. 
  
 (A) As of the date hereof, each of News DTH Investment and News Cayman
Holdings has record and beneficial ownership of the quotas in News DTH set 
  

 7 

 forth opposite its name on Schedule 4.1(e)(iv), free and clear of all Liens other than Permitted Liens. Such
quotas represent all of the issued and outstanding quotas of News DTH as of the date hereof and are duly authorized, validly issued and outstanding, fully paid and nonassessable. As of the date hereof, no quotas of capital stock of News DTH
are held in the treasury of News DTH or have been reserved for any purpose. As of the Brazil Closing Date, each of News DTH Investment and News Cayman Holdings will have record and beneficial ownership of all of the issued and outstanding quotas of
News DTH, free and clear of all Liens other than Permitted Liens. Upon the execution and filing of the Closing News DTH Articles of Association with the Junta Comercial do Estado de São Paolo at the Brasil Closing, News will cause to
be transferred to DIRECTV, and DIRECTV will acquire, good and valid title to the News DTH Nominal Share, free and clear of all Liens other than Permitted Liens. 
  

(B) There are no outstanding securities convertible into or exchangeable or exercisable for the capital stock of News DTH or other securities of News
DTH and no outstanding options, rights (preemptive or otherwise), or warrants or other rights to purchase or to subscribe for any quotas of such stock or other securities of News DTH. There are no outstanding contracts or other agreements affecting
or relating to the voting, issuance, purchase, redemption, repurchase or transfer of the capital stock of News DTH or any other securities of News DTH, except as contemplated hereunder. 
  
 (v) Capitalization of Sky Brasil and Other Fundings. 
  
 (A) Schedule 4.1(e)(v) contains a complete and correct description
of all of the equity interests of Sky Brasil (including without limitation all unconverted Quotaholder funding) that are owned as of the date hereof, beneficially and of record, by News DTH. Such equity interests are owned by News DTH free and clear
of all Liens other than Permitted Liens and are duly authorized, validly issued and outstanding, fully paid and nonassessable. News shall cause News DTH to update Schedule 4.1(e)(v) at the Brasil Closing to reflect any additional Quotas or
other equity interests relating to unconverted Quotaholder funding of Sky Brasil held by News DTH at the Brasil Closing. As of the Brazil Closing Date, News DTH will own the Sky Brasil Shares free and clear of all Liens other than Permitted Liens.

  
 (B) Except as set forth in the Brazil Merger Transaction
Documents, the Sky Brasil Transaction Documents, the Liberty/DIRECTV Agreement or in Schedule 4.1(e)(v), as of the date hereof to News’ Knowledge, there are no outstanding (i) securities convertible into or exchangeable or exercisable
for the capital stock of Sky Brasil or other securities of Sky Brasil, (ii) options, rights (preemptive or otherwise), or warrants or other rights to purchase or to subscribe for any quotas of such stock or other securities of Sky Brasil; or (iii)
contracts or other agreements affecting or relating to the voting, issuance, purchase, redemption, repurchase or transfer of the capital stock of Sky Brasil or any other securities of Sky Brasil. 
  
 (vi) No Other Assets or Business of News DTH Investment and News DTH.
Other than with respect to its direct and indirect equity interests in Sky Brasil (including in unconverted quotaholder funding) and its rights and obligations under the Sky Brasil Transaction Documents to which it is a party, neither News DTH
Investment nor News DTH (A) conducts or has ever conducted, any business or operations of any kind whatsoever, (B) holds or 
  

 8 

 owns, or has ever held or owned, any right, title or interest in, under or to any assets or property of any kind
whatsoever, and (C) is subject to, or has ever been subject to, any Other Liabilities. No Other Liabilities of News DTH Investment or News DTH shall be transferred or assigned to, or otherwise give rise to any liability of, DIRECTV as a result of
the Brazil Closing, other than liabilities or obligations in respect of News DTH Investment’s equity ownership in News DTH, News DTH’s equity ownership in Sky Brasil (including in unconverted quotaholder funding) and liabilities and
obligations under the Sky Brasil Transaction Documents and only insofar as such liabilities or obligations relate to the operation of the DTH Business by Sky Brasil. 
  
 (f) Mexico Transaction. In connection with the Mexico Transaction: 
  
 (i) Due Organization. Each of the News Mexico Entities and News DTH
(Mexico) is duly organized, validly existing and in good standing under the law of its jurisdiction of organization. 
  
 (ii) Compliance with Organizational Documents. None of News, the News Mexico Entities, News DTH (Mexico) nor any of their Affiliates is in
violation, breach or default of or under any of the Organizational Documents of, or other agreements with, News DTH (Mexico). None of News, News DTH (Mexico), NAI nor any of their Affiliates is in violation, breach or default of or under any of the
Organizational Documents of, or other agreements with, Innova or Innova Holdings, as applicable. 
  
 (iii) Capitalization of News DTH (Mexico). 
  
 (A) As of the date hereof, News Cayman II has record and beneficial ownership of the shares in News DTH (Mexico) set forth opposite its name on
Schedule 4.1(f)(iii), free and clear of all Liens other than Permitted Liens. Such shares represent all of the issued and outstanding shares of News DTH (Mexico) as of the date hereof and are duly authorized, validly issued and outstanding,
fully paid and nonassessable. As of the date hereof, no shares of News DTH (Mexico) are held in the treasury of News DTH (Mexico) or have been reserved for any purpose. As of the Mexico Option 2 Closing Date, News Cayman II will have record and
beneficial ownership of all of the issued and outstanding shares of News DTH (Mexico) (the “News DTH (Mexico) Shares”), free and clear of all Liens other than Permitted Liens. At the Mexico Option 2 Closing, News will cause News
Cayman II to transfer to DIRECTV and DIRECTV will acquire good and valid title to all of the News DTH (Mexico) shares, free and clear of all Liens other than Permitted Liens. 
  
 (B) There are no outstanding securities convertible into or exchangeable or exercisable for the shares of News DTH (Mexico)
or other securities of News DTH (Mexico) and no outstanding options, rights (preemptive or otherwise), or warrants or other rights to purchase or to subscribe for any shares or other securities of News DTH (Mexico). There are no outstanding
contracts or other agreements affecting or relating to the voting, issuance, purchase, redemption, repurchase or transfer of the shares of News DTH (Mexico) or any other securities of News DTH (Mexico), except as contemplated hereunder. 

 

 9 

 (iv) Ownership of Shares of Innova and Innova Holdings and News/Innova Options. 
  
 (A) As of the date hereof, each of News DTH (Mexico) and NAI has record and
beneficial ownership of the social parts representing the percentage interest of Innova and Innova Holdings set forth opposite its name on Schedule 4.1(f)(iv), free and clear of all Liens other than Permitted Liens. Such shares represent 30%
of all of the issued and outstanding social parts of Innova and Innova Holdings and all of News’ direct and indirect interest in Innova and Innova Holdings as of such date and are duly authorized, validly issued and outstanding, fully paid and
nonassessable. As of the Mexico Option 2 Closing Date, News DTH (Mexico) and NAI collectively will have record and beneficial ownership of all of the Innova Shares, free and clear of all Liens other than Permitted Liens. News shall update
Schedule 4.1(f)(iv) at the Mexico Option 2 Closing to reflect any additional equity interests relating to Innova and Innova Holdings held directly or indirectly by News at the Mexico Option 2 Closing. As of the date hereof, News owns, and as
of the Mexico Option 1 Closing Date prior to their transfer to DIRECTV, News will own, the News/Innova Options free and clear of all Liens (other than Permitted Liens). At the Mexico Option 1 Closing, News will transfer to DIRECTV, and DIRECTV will
acquire, good and valid title to the News/Innova Options, free and clear of all Liens other than Permitted Liens and Liens under the Option Agreement and Innova/Galaxy Mexico Transaction Documents. At the Mexico Option 2 Closing, News will cause NAI
to transfer to DIRECTV, and DIRECTV will acquire, good and valid title to the NAI Innova Shares, respectively, free and clear of all Liens other than Permitted Liens. Upon such transfer, DIRECTV will acquire good and valid title to the NAI Innova
Shares owned by NAI, free and clear of all Liens other than Permitted Liens. 
  
 (B) Except as set forth in the Innova/Galaxy Mexico Transaction Documents, including without limitation, the News/Innova Options under the Option Agreement or the Liberty/DIRECTV Agreement, as of the date hereof to
News’ Knowledge, there are no outstanding (i) securities convertible into or exchangeable or exercisable for the social parts of Innova or Innova Holdings or other securities of Innova or Innova Holdings, (ii) options, rights (preemptive or
otherwise), or warrants or other rights to purchase or to subscribe for any social parts or other securities of Innova or Innova Holdings; or (iii) contracts or other agreements affecting or relating to the voting, issuance, purchase, redemption,
repurchase or transfer of the social parts of Innova or Innova Holdings or any other securities of Innova or Innova Holdings. 
  
 (v) Option Agreement. As of the date hereof, each of the Option Agreement is, and as of the Mexico Option 1 Closing Date the Option Agreement will
be, in full force and effect in accordance with its terms. 
  
 (vi) CTB Election. News DTH (Mexico) has a valid election of Form 8832 pursuant to Treasury Regulations Section 310-7701-3, which classifies it as disregarded as an entity separate from its owner. 
  
 (vii) No Other Assets or Business of News DTH (Mexico). Other than
with respect to its direct and indirect equity interests in Innova and Innova Holdings (including in unconverted shareholder funding) and its rights and obligations under the Innova/Galaxy Mexico Transaction Documents to which it is a party, News
DTH (Mexico) does not (A) conduct or has ever conducted, any business or operations of any kind whatsoever, (B) holds or owns, or has ever held or owned, any right, title or interest in, under or to any assets or property of any 
  

 10 

 kind whatsoever, and (C) is subject to, or has ever been subject to, any Other Liabilities. No Other Liabilities of News
DTH (Mexico) shall be transferred or assigned to, or otherwise give rise to any liability of, DIRECTV as a result of the Brazil Closing, other than liabilities or obligations in respect of News DTH (Mexico)’s equity ownership in Innova and
Innova Holdings, News DTH (Mexico)’s equity ownership in Innova and Innova Holdings (including in unconverted quotaholder funding) and liabilities and obligations under the Innova/Galaxy Mexico Transaction Documents and only insofar as such
liabilities or obligations relate to the operation of the DTH Business by Innova and Innova Holdings. 
  
 (g) MTS Platform Transaction. In connection with the MTS Platform Transaction: 
  
 (i) Due Organization. Each of Sky Global, SESLA and News America DTH is a corporation duly organized, validly
existing and in good standing under the law of the State of Delaware. 
  
 (ii) Compliance with Organizational Documents. None of News, Sky Global, News America DTH, SESLA nor any of their Affiliates is in violation, breach or default of or under any of the Organizational Documents of, or other agreements
with, SESLA or News America DTH. None of News, SESLA or News America DTH nor any of their Affiliates is in violation, breach or default of or under any of the Organizational Documents of, or other agreements with, the MTS Platform. 
  
 (iii) Capitalization of SESLA. 
  
 (A) As of the date hereof, Sky Global has record and beneficial ownership
of all of the issued and outstanding shares of SESLA, free and clear of all Liens other than Permitted Liens, which shares represent all of the issued and outstanding shares of capital stock of SESLA as of the date hereof. All of the issued and
outstanding shares of SESLA are duly authorized, validly issued and outstanding, fully paid and nonassessable. No shares of capital stock of SESLA are held in the treasury of SESLA or have been reserved for any purpose. At the MTS Platform Closing,
Sky Global will transfer to DIRECTV, and DIRECTV will acquire, good and valid title to the SESLA Shares, free and clear of all Liens other than Permitted Liens. 
  

(B) There are no outstanding securities convertible into or exchangeable or exercisable for the capital stock of SESLA or other securities of SESLA
and no outstanding options, rights (preemptive or otherwise), or warrants or other rights to purchase or to subscribe for any quotas of such stock or other securities of SESLA. There are no outstanding contracts or other agreements affecting or
relating to the voting, issuance, purchase, redemption, repurchase or transfer of the capital stock of SESLA or any other securities of SESLA, except as contemplated hereunder. 
  
 (iv) Capitalization of News America DTH. 
  
 (A) As of the date hereof, Sky Global has record and beneficial ownership of all of the issued and outstanding shares of
News America DTH, free and clear of all Liens other than Permitted Liens, which shares represent all of the issued and outstanding 
  

 11 

 shares of capital stock of News America DTH as of the date hereof. All of the issued and outstanding shares of News
America DTH are duly authorized, validly issued and outstanding, fully paid and nonassessable. No shares of capital stock of News America DTH are held in the treasury of News America DTH or have been reserved for any purpose. At the MTS Platform
Closing, Sky Global will transfer to DIRECTV, and DIRECTV will acquire, good and valid title to the News America DTH Shares, free and clear of all Liens other than Permitted Liens. 
  
 (B) There are no outstanding securities convertible into or exchangeable or exercisable for the capital stock of News
America DTH or other securities of News America DTH and no outstanding options, rights (preemptive or otherwise), or warrants or other rights to purchase or to subscribe for any quotas of such stock or other securities of News America DTH. There are
no outstanding contracts or other agreements affecting or relating to the voting, issuance, purchase, redemption, repurchase or transfer of the capital stock of News America DTH or any other securities of News America DTH, except as contemplated
hereunder. 
  
 (v) MCOP and Sky Partners Interests.
Schedule 4.1(g)(v) reflects (a) the partnership interest in MCOP to which SESLA has record and beneficial ownership as of the date hereof (the “MCOP Interest”) and (b) the partnership interest in Sky Partners to which SESLA
has record and beneficial ownership as of the date hereof (the “Sky Partners Interest”). Such partnership interests represent all of News’ direct and indirect interest in each of MCOP and Sky Partners, respectively, as of the
date hereof, and are duly authorized and validly issued and outstanding. Schedule 4.1(g)(v) reflects the ownership interests of the other partners of MCOP and Sky Partners (other than SESLA) as of the date hereof. As of the date hereof, (i)
Sky Partners has record and beneficial ownership of all of the issued and outstanding equity and other ownership interests of ServiceCo and (ii) ServiceCo has record and beneficial ownership of all of the issued and outstanding equity and other
ownership interests of ProgramCo. Other than such interest in ProgramCo, ServiceCo does not own any direct or indirect equity or other ownership interest in any other Person. ProgramCo does not own any direct or indirect equity or other interest in
any Person. Except as set forth in the MTS Platform Closing Documents, the Liberty/DIRECTV Agreement, the MTS Platform Organizational Documents or in Schedule 4.1(g)(v), to News’ Knowledge, there are no outstanding (i) securities
convertible into or exchangeable or exercisable for the partnership interests of MCOP or Sky Partners or other securities of MCOP or Sky Partners, (ii) options, rights (preemptive or otherwise), or warrants or other rights to purchase or to
subscribe for any partnership interests or other securities of MCOP or Sky Partners; or (iii) contracts or other agreements affecting or relating to the voting, issuance, purchase, redemption, repurchase or transfer of the partnership interests or
other securities of MCOP or Sky Partners. 
  
 (vi) Techco
Interest. Schedule 4.1(g)(vi) reflects the partnership interest in Techco to which News America DTH has record and beneficial ownership as of the date hereof (the “Techco Interest”). Such partnership interest represents
all of News’ direct and indirect interest in Techco as of the date hereof, and is duly authorized and validly issued and outstanding. Except as set forth in the MTS Platform Closing Documents, the Liberty/DIRECTV Agreement, the MTS Platform
Organizational Documents or in Schedule 4.1(g)(vi), to News’ Knowledge, there are no outstanding (i) securities convertible into or exchangeable or exercisable for the partnership interests of Techco or other securities of Techco, (ii)
options, rights (preemptive or otherwise), or warrants or other rights to purchase or 
  

 12 

 to subscribe for any partnership interests or other securities of Techco; or (iii) contracts or other agreements
affecting or relating to the voting, issuance, purchase, redemption, repurchase or transfer of the partnership interests of Techco or any other securities of Techco. 
  
 (vii) No Other Business or Assets of SESLA. Other than with respect to the MCOP Interest and the Sky Partners
Interest and SESLA’s rights and obligations under the MTS Platform Organizational Documents to which it is a party, SESLA (i) does not conduct, and has never conducted, any business or operations of any kind whatsoever, (ii) does not hold or
own, and has never held or owned, any right, title or interest in, under or to any assets or property of any kind whatsoever, and (iii) is not subject to, and has never been subject to, any Other Liabilities. No Other Liabilities of SESLA shall be
transferred or assigned to, or otherwise give rise to any liability of, DIRECTV as a result of the MTS Platform Closing, other than liabilities or obligations with respect to the MCOP Interest or the Sky Partners Interest and only insofar as such
liabilities or obligations relate to the operation of the DTH Business by MCOP or Sky Partners. 
  
 (viii) No Other Business or Assets of News America DTH. Other than with respect to the Techco Interest and News America DTH’s rights and
obligations under the MTS Platform Organizational Documents to which it is a party, News America DTH (i) does not conduct, and has never conducted, any business or operations of any kind whatsoever, (ii) does not hold or own, and has never held or
owned, any right, title or interest in, under or to any assets or property of any kind whatsoever, and (iii) is not subject to, and has never been subject to, any Other Liabilities. No Other Liabilities of News America DTH shall be transferred or
assigned to, or otherwise give rise to any liability of, DIRECTV as a result of the MTS Platform Closing, other than liabilities or obligations with respect to the Techco Interest and only insofar as such liabilities or obligations relate to the
operation of the DTH Business by Techco. 
  
 (h) Assigned
Contracts. As of each of the Brazil Closing Date, the Mexico Option 1 Closing Date, the Mexico Option 2 Closing Date and the MTS Platform Closing Date, the applicable Assigned Contracts to which News and its Affiliates are parties will be valid,
binding and enforceable obligations of News and such Affiliates in accordance with such Assigned Contracts respective terms and, except as set forth in Schedule 4.1(h), News and its Affiliates are in compliance in all material respects with
their obligations thereunder. 
  
 (i) Affiliate Fundings.
Schedule 4.1(i) sets forth as of the date hereof all contracts, commitments, loans, guarantees or other obligations of any kind whatsoever, whether or not entered into in the ordinary course of business, pursuant to or by which each of News,
the News DTH (Mexico), NAI, the News Brasil Entities, News DTH Investment, SESLA or News America DTH, respectively, are required to fund, Innova, Sky Brasil, the MTS Platform or any of their respective subsidiaries (each, a
“Funding”), other than contributions to the capital of any such Person in respect of an equity or other ownership interest therein. News shall update Schedule 4.1(i) on each applicable Closing to reflect any Funding made from
and after the date hereof until such applicable Closing. 
  
 4.2
Representations and Warranties of DIRECTV. Effective as of the date hereof and as of each applicable Closing (except to the extent any representation or warranty is made as 
  

 13 

 of a specified date, in which case such representation and warranty shall be made as of such date), DIRECTV makes the
following representations and warranties to News: 
  
 (a) Due
Organization of DIRECTV. DIRECTV is duly organized, validly existing and in good standing under the law of the State of Delaware. 
  
 (b) Authority of DIRECTV. DIRECTV has the requisite corporate power and authority to execute and deliver this Agreement and to perform its
obligations hereunder, and each of DIRECTV and its Affiliates has the requisite corporate or other similar power and authority to execute and deliver each Transaction Document to which it is a party and to perform its obligations thereunder.

  
 (c) Binding Obligation of DIRECTV. This Agreement and
each Transaction Document to which DIRECTV and its Affiliates are parties constitutes (or will constitute when so executed and delivered) a valid and binding obligation of DIRECTV and such Affiliates, enforceable in accordance with their respective
terms. 
  
 (d) No Conflict; Required Filings and Consents.
The execution and delivery by DIRECTV of this Agreement and each of the Transaction Documents to which it or any of its Affiliates is a party shall not, and the performance by DIRECTV or any of its Affiliates of its obligations hereunder or
thereunder (including the consummation of the transactions contemplated hereby or thereby) shall not, subject to obtaining the Governmental Consents and other third party consents necessary for each of the Brazil Transaction, Mexico Transaction and
MTS Platform Transaction described on Schedule 4.2(d), (i) conflict with or resulting a violation of DIRECTV’s or such Affiliates’ Organizational Documents, (ii) conflict with, or result in any violation of, or constitute a default
(with or without notice or lapse of time, or both) under, or give rise to a right of termination, cancellation or acceleration of any obligation or the loss of a benefit under, any material contract, permit, order, judgment or decree to which
DIRECTV of such Affiliate is a party or by which any of DIRECTV’s or such Affiliates’ properties are bound, (iii) constitute a violation of any Law applicable to DIRECTV of such Affiliate or any of their respective assets, or (iv) result
in the creation of any Lien upon any of the assets of DIRECTV of such Affiliate, except in the cases of the immediately preceding clauses (ii) or (iv), for any such conflicts, violations, defaults, rights or losses that would not reasonably be
expected to impair the ability of DIRECTV or such Affiliates to execute and deliver this Agreement and such Transaction Documents to which they are parties and to consummate the transactions contemplated hereby and thereby. Except for the matters
described in Schedule 4.2(d), no Governmental Consent or third party consent is required to be obtained or made by or with respect to DIRECTV or any of its Affiliates in connection with the execution and delivery of this Agreement or any
Transaction Document or the performance by DIRECTV or its Affiliates of its obligations hereunder or thereunder (including the consummation by DIRECTV or any of its Affiliates of the transactions contemplated hereby or thereby), except for any that
would not materially impair DIRECTV’s or such Affiliates’ ability to execute and deliver this Agreement and such Transaction Documents to which they are parties and to consummate the transactions contemplated hereby and thereby.

  
 (e) Investment Purposes. DIRECTV is acquiring, or will
acquire, the News DTH Shares, the Mexico Options, the Innova Shares, the News/Innova Options and the equity in 
  

 14 

 Innova subject thereto, and the MTS Platform Shares, in good faith solely for its own account, for investment purposes
only and not with a view to the distribution or resale thereof in violation of any applicable securities laws, and DIRECTV shall not offer for sale, sell or otherwise transfer any of such securities in violation of any applicable securities laws.

  
 (f) Assigned Contracts. As of each of the Brazil
Closing date, the Mexico Option 1 Closing Date and the Mexico Option 2 Closing Date, each Assigned Contract to which DIRECTV or its Affiliates are parties will be valid, binding and enforceable obligations or DIRECTV and such Affiliates in
accordance with such Assigned Contracts respective terms and, except as set forth in Schedule 4.2(f), DIRECTV and such Affiliates are in compliance in all material respects with their obligations thereunder. 
  
 ARTICLE 5 
 CERTAIN COVENANTS 
  
 5.1 Confidentiality. Each Party shall, except to the extent required by any Governmental Entity, keep confidential, and shall use its commercially reasonable efforts, fully commensurate with those which it
employs for the protection of comparable information of its own, to cause to be kept confidential by its Affiliates, employees and representatives, all information disclosed prior to the date hereof or hereafter to any such Persons in connection
with this Agreement, the Transaction Documents and the consummation of the transactions contemplated hereby, and none of such information shall be used in any manner other than in connection with this Agreement and the Transaction Documents,
provided that the Parties may disclose any information to third Persons and their respective consultants who are investors in such Party or its Affiliates, if commercially reasonable efforts, fully commensurate with those it uses to protect
comparable information of its own, are used to protect such information from further disclosure. The provisions of this Section 5.1 shall not be applicable to information (a) that is public knowledge or becomes public knowledge through no
fault of the receiving Party or its representatives, (b) required to be disclosed by Law or governmental order (including pursuant to, or in connection with, any filing under applicable disclosure Laws including, without limitation, the applicable
rules of any stock exchange or similar public trading system) or (c) that was already in the possession of the disclosing Party and not subject to an obligation of confidentiality. 
  

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 5.2 Publicity. No Party shall issue or cause the publication of any press release or other public
announcement with respect to this Agreement, the Transaction Documents or the consummation of the transactions contemplated hereby or thereby without the prior written consent of the other Party, which consent shall not be unreasonably withheld;
provided, however, that (a) any such release or announcement that discloses the identity of the other Party shall require the consent of such Party, which may be withheld in its sole discretion; and (b) nothing herein shall prohibit any Party from
issuing or causing publication of any such press release or public announcement to the extent that such action is required by Law, governmental order or the rules of any national stock exchange applicable to it or to its Affiliates, in which event
the Party making such public announcement will use commercially reasonable efforts to allow the other Party reasonable time to comment on such release or announcement in advance of its issuance. 
  
 5.3 Governmental Consents. Unless otherwise contemplated under the
Transaction Documents, the Parties shall proceed to prepare and file with the appropriate Governmental Entities the documents necessary to obtain the Governmental Consents and shall diligently and expeditiously prosecute, and shall cooperate fully
with each other in the prosecution of, such matters. Except as provided on Schedule 4.1(d) and Schedule 4.2(d), the Parties, after due investigation, have determined that no filing with, or prior approval from, any Governmental
Entities under applicable antitrust, pre-merger or similar applicable Laws is required in order to consummate the Closings hereunder. Notwithstanding anything herein to the contrary, each Party assumes the risk of such determination and no Party
shall be deemed to make any representation or warranty with respect to the necessity or lack of necessity of such a filing or approval. 
  
 5.4 Additional Agreements. Subject to the terms and conditions of this Agreement, each Party will use its commercially reasonable efforts to take,
or cause to be taken, all action and to do, or cause to be done, all things necessary, proper or advisable under applicable Laws to consummate and make effective the transactions contemplated by this Agreement and the Transaction Documents. Without
limiting the generality of the foregoing, each Party shall use its commercially reasonable efforts to obtain all requisite Governmental Consents to the Brazil Transaction and to cause the Brazil PAS Release and the Mexico PAS Release to be prepared,
executed and delivered by all requisite parties thereto by the applicable Closing Date. 
  
 5.5 Innova/Galaxy Mexico Transaction Documents. Each of News and DIRECTV shall not, and shall not permit its Affiliates to, amend, supplement or modify any of the Innova/Galaxy Mexico Transaction Documents,
including the Option Agreement, without the prior written consent of the other, unless such consent has already been delivered under any of such documents. In addition, each of News and DIRECTV shall, and shall cause its Affiliates to, comply in all
material respects with their obligations under the Innova /Galaxy Mexico Transaction Documents. 
  
 5.6 Brazil Merger Transaction Documents. Each of News and DIRECTV shall not, and shall not permit its Affiliates to, amend, supplement or modify
any of the Brazil Merger Transaction Documents without the prior written consent of the other, unless such consent has already been delivered under any of such documents. In addition, each of News and DIRECTV shall, and shall cause its Affiliates
to, comply in all material respects with their obligations under the Brazil Merger Transaction Documents. 
  

 16 

 5.7 Failure to Consummate. If, for regulatory or other reasons, the parties are not able to
consummate any or all of the conveyances and assignments contemplated by Article 2, they shall cooperate in good faith with each other to agree on, and shall use their commercially reasonable efforts to effect, an alternative transaction that
as closely as practicable achieves the purposes of this Agreement and the intent of the parties and provides to News and its Affiliates the economic and other benefits that would otherwise have accrued to News and its Affiliates, and transfers to
DIRECTV and its Affiliates the benefits and obligations of News and its Affiliates that would have otherwise been transferred to DIRECTV and its Affiliates, had the conveyances and assignments contemplated by Article 2 been consummated as
contemplated hereby. 
  
 5.8 Section 338(h)(10) Election.
At the request of DIRECTV, News and its Affiliates shall join with DIRECTV in making an election under IRC Section 338(h)(10) (and any applicable corresponding election under state, local and foreign tax law) with respect to any or all of the Brazil
Transaction, the Mexico Transaction and the MTS Platform Transaction (collectively, the “Section 338(h)(10) Election”) and shall cooperate in preparing and filing an IRS Form 8023. At the applicable Closing, News shall deliver five
(5) executed copies of IRS Form 8023 with respect to the transaction being consummated at such Closing. DIRECTV will notify News of its decision in writing as to whether or not to make a Section 338(h)(10) Election with respect to each of the
transactions prior to the date for making each respective election. The Parties and their respective Affiliates, as applicable, shall include any income, gain, loss, deduction, or other tax item resulting from the Section 338(h)(10) Election on
their respective tax returns to the extent required by applicable law. News shall also pay any U.S. federal income tax imposed on any of the Acquired Entities attributable to the making of the Section 338(h)(10) Election. News shall indemnify
DIRECTV, the Purchaser and the Acquired Entities against any Loss incurred by any of such Persons as a result of any failure on the part of News to join in making the Section 338(h)(10) Election or to pay any such U.S. federal income taxes.

  
 ARTICLE 6 
 CONDITIONS TO CLOSING 
  
 6.1 Conditions Precedent to the Obligations of News. Other than with respect to the MTS Platform Closing, which is being consummated simultaneously
herewith, the obligations of News under this Agreement to consummate the transactions contemplated hereby will be subject to the satisfaction, at or prior to the applicable Closing Date, of the following conditions, any one or more of which may be
waived in News’ sole discretion: 
  
 (a) Conditions to
the Brazil Closing. 
  
 (i) The representations and
warranties of DIRECTV set forth in Section 4.2, insofar as they relate to the Brazil Transaction, shall be true and correct in all material respects as of the Brazil Closing Date. 
  
 (ii) DIRECTV shall have complied in all material respects with its covenants hereunder that are required to be complied
with prior to the Brazil Closing Date, insofar as such covenants relate to the Brazil Transaction. 
  

 17 

 (iii) DIRECTV shall have delivered or caused to be delivered to News the items to be delivered or caused
to be delivered by DIRECTV to News at the Brazil Closing pursuant to Section 7.3. 
  
 (iv) No Governmental Entity nor any court of competent jurisdiction shall have taken any action, including without limitation the issuance of any temporary restraining order, preliminary or permanent injunction or
other court order or the enactment of any Law, that prohibits or renders illegal the consummation of the Brazil Transaction. 
  
 (b) Conditions to the Mexico Closings. 
  
 (i) Conditions to Mexico Option 1 Closing. 
  
 (A) The representations and warranties of DIRECTV set forth in Section 4.2 (insofar as they relate to Mexico Option 1) shall be true and correct
in all material respects as of the Mexico Option 1 Closing Date. 
  
 (B) DIRECTV shall have complied in all material respects with its covenants hereunder that are required to be complied with prior to the Mexico Option 1 Closing Date, insofar as they relate to Mexico Option 1. 
  
 (C) DIRECTV shall have delivered or caused to be delivered to News the items
to be delivered or caused to be delivered by DIRECTV to News at the Mexico Option 1 Closing pursuant to Section 7.4. 
  
 (ii) Conditions to Mexico Option 2 Closing. 
  
 (A) The representations and warranties of DIRECTV set forth in Section 4.2 of this Agreement (insofar as they relate to Mexico Option 2) shall be
true and correct in all material respects as of the Mexico Option 2 Closing Date. 
  
 (B) DIRECTV shall have complied in all material respects with its covenants hereunder that are required to be complied with prior to the Mexico Option 2 Closing Date, insofar as such covenants relate to Mexico Option
2. 
  
 (C) DIRECTV shall have delivered or caused to be delivered
to News the items to be delivered or caused to be delivered by DIRECTV to News at the Mexico Option 2 Closing pursuant to Section 7.5. 
  

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 6.2 Conditions Precedent to Obligations of DIRECTV. Other than with respect to the MTS Platform
Closing, which is being consummated simultaneously herewith, the obligations of DIRECTV under this Agreement to consummate the transactions contemplated hereby will be subject to the satisfaction, at or prior to the applicable Closing Date, of the
following conditions, any one or more of which may be waived in DIRECTV’s sole discretion: 
  
 (a) Conditions to the Brazil Closing. 
  
 (i) The representations and warranties of News set forth in Section 4.1(a) through Section 4.1(e), Section 4.1(h) and in Section
4.1(i), insofar as they relate to the Brazil Transaction, shall be true and correct in all material respects as of the Brazil Closing Date, provided, however, that the representations and warranties of News set forth in Section
4.1(e)(iii)(A), Section 4.1(e)(iv)(A), the first, second and fourth sentences of Sections 4.1(e)(v)(A) and 4.1(e)(vi) (collectively, the “Brazil Ownership Representations”) shall be true and correct in all
respects as of the Brazil Closing Date (except for any such representations and warranties that speak as of a specified date, which representations and warranties shall be true and correct as of such specified date). 
  
 (ii) News shall have complied in all material respects with its covenants
hereunder that are required to be complied with prior to the Brazil Closing Date, insofar as such covenants relate to the Brazil Transaction. 
  
 (iii) News shall have delivered or caused to be delivered to DIRECTV the items to be delivered or caused to be delivered by News to DIRECTV at the Brazil
Closing by News or any of its Affiliates pursuant to Section 7.3. 
  
 (iv) Each of the Governmental Consents set forth in Schedule 4.2(d) relating to the Brazil Closing shall have been obtained or DIRECTV shall have reasonably determined that such consents are not required to
consummate the Brazil transaction. 
  
 (v) No Governmental Entity
nor any court of competent jurisdiction shall have taken any action, including without limitation the issuance of any temporary restraining order, preliminary or permanent injunction or other court order or the enactment of any Law, that prohibits
or renders illegal the consummation of the Brazil Transaction. 
  
 (b) Conditions to the Mexico Closings. 
  
 (i)
Conditions to the Mexico Option 1 Closing. 
  
 (A) The
representations and warranties of News set forth in Section 4.1(a) through Section 4.1(d), Section 4.1(f), Section 4.1(h) and in Section 4.1(i) (in each case, insofar as they relate to Mexico Option 1), shall be
true and correct in all material respects as of the Mexico Option 1 Closing Date; provided, however, that the representations and warranties of News set forth in the fifth and sixth sentences of Section 4.1(f)(iv)(A)
(collectively, the “Mexico News/Innova Options Ownership Representations”) shall be true and correct in all respects as of the Mexico Option 1 Closing Date (except for any such representations and warranties that speak as of a
specified date, which representations and warranties shall be true and correct as of such specified date). 
  
 (B) News shall have complied in all material respects with its covenants hereunder that are required to be complied with prior to the Mexico Option 1
Closing Date, insofar as such covenants relate to Mexico Option 2. 
  
 (C) News shall have delivered or caused to be delivered to DIRECTV the items to be delivered or caused to be delivered by News to DIRECTV at the Mexico Option 1 Closing as contemplated by Section 7.4. 
  

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 (D) DIRECTV shall have reasonably determined that such Governmental Consents set forth on Schedule
4.2(d) are not required to consummate the Mexico Option 1. 
  
 (E) No Governmental Entity nor any court of competent jurisdiction shall have taken any action, including without limitation the issuance of any temporary restraining order, preliminary or permanent injunction or other court order or the
enactment of any Law, that prohibits or renders illegal the consummation of the Mexico Transaction. 
  
 (ii) Conditions to the Mexico Option 2 Closing. 
  
 (A) The representations and warranties of News set forth in Section 4.1(a) through Section 4.1(d), and in Section 4.1.(f),
Section 4.1(h) and in Section 4.1(i) (in each case, insofar as they relate to Mexico Option 2), shall be true and correct in all material respects as of the Mexico Option 2 Closing Date; provided, however, that the
representations and warranties of News set forth in Section 4.1(f)(iii)(A), the first, second, third and last sentence of Section 4.1(f)(iv)(A) (collectively, the “Mexico Innova Shares Ownership Representations”) shall
be true and correct in all respects as of the Mexico Option 2 Closing Date (except for any such representations and warranties that speak as of a specified date, which representations and warranties shall be true and correct as of such specified
date). 
  
 (B) News shall have complied in all material respects
with its covenants hereunder that are required to be complied with prior to the Mexico Option 2 Closing Date, insofar as such covenants relate to Mexico Option 2. 
  
 (C) News shall have delivered or caused to be delivered to DIRECTV the items to be delivered or caused to be delivered by
News to DIRECTV at the Mexico Option 2 Closing as contemplated by Section 7.5. 
  
 (D) DIRECTV shall have reasonably determined that such Governmental Consents set forth on Schedule 4.2(d) are not required to consummate the Mexico Option 2. 
  
 (E) No Governmental Entity nor any court of competent jurisdiction shall
have taken any action, including without limitation the issuance of any temporary restraining order, preliminary or permanent injunction or other court order or the enactment of any Law, that prohibits or renders illegal the consummation of the
Mexico Transaction. 
  
 ARTICLE 7 
 THE CLOSINGS 
  
 7.1 Place of Closings. The Closings of the transactions contemplated in this Agreement shall take place at the offices of Hogan & Hartson
L.L.P., 875 Third Avenue, New York, New York 10022, U.S.A.; provided that any documents that must be executed before a Notary Public in Brazil or Mexico shall be delivered on each of the Brazil Closing Date, Mexico Option 1 Closing Date or
the Mexico Option 2 Closing, as applicable, to the place or places 
  

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 agreed by News and DIRECTV at least two Business Days prior to the applicable Closing. Each of the Closings shall be
deemed to occur as of the close of business on the respective Closing Date. 
  
 7.2 Date of Closing. 
  
 (a) Brazil Closing Date. The closing of the transactions described in Section 2.1 (the “Brazil Closing”) shall take place on the third Business Day following the date on which all conditions precedent set
forth in Section 6.1(a) and Section 6.2(a) have been satisfied or waived (other than those conditions that by their terms are to be satisfied at the Brazil Closing, but subject to the satisfaction or waiver of such conditions at such
closing) (the “Brazil Closing Date”). 
  
 (b)
Mexico Option 1 Closing Date. The Mexico Option 1 Closing shall take place on the first Business Day following the date on which all conditions to the Mexico Option 1 Closing set forth in Section 6.1(b)(i) and Section 6.2(b)(i)
have been satisfied or waived (other than those conditions that by their terms are to be satisfied at the Mexico Option 1 Closing, but subject to the satisfaction or waiver of such conditions at such closing) (the “Mexico Option 1 Closing
Date”). 
  
 (c) Mexico Option 2 Closing Date. The
Mexico Option 2 Closing shall take place on the first Business Day following the date on which all conditions to the Mexico Option 2 Closing set forth in Section 6.1(b)(ii) and Section 6.2(b)(ii) have been satisfied or waived (other
than those conditions that by their terms are to be satisfied at the Mexico Option 2 Closing, but subject to the satisfaction or waiver of such conditions at such closing) (the “Mexico Option 2 Closing Date”). 
  
 (d) MTS Platform Closing Date. The closing of the transactions
described in Section 2.3 (the “MTS Platform Closing”) shall take place on the MTS Platform Closing Date simultaneously with the deliveries described in Section 7.6. 
  
 7.3 Deliveries at Brazil Closing. 
  
 (a) DIRECTV shall pay or cause to be paid to News the Brazil Purchase Price
Adjustment or, as applicable, News shall pay or cause to be paid to DIRECTV the Brazil Purchase Price Adjustment, all in accordance with Section 3.2(a). 
  

(b) DIRECTV shall deliver or cause to be delivered to News the Brazil PAS Release. 
  
 (c) News shall have received the Sky Brasil Credit Agreement Release. 
  
 (d) News shall cause News DTH Investment to (x) issue to DIRECTV Share
Certificate No. 003 representing the two shares of News DTH Investment transferred by News Cayman DTH to DIRECTV and (y) update the Register of Members of News DTH Investment to reflect the transfer contemplated in (x) above. 
  

 21 

 (e) News shall cause the execution and filing of the Closing News DTH Articles of Association with the
Junta Comercial do Estado de São Paolo. 
  
 (f) News
shall deliver or cause to be delivered to DIRECTV all of the Books and Records of News DTH Investment and News DTH. 
  
 7.4 Deliveries at Mexico Option 1 Closing. News and DIRECTV shall have delivered or caused to be delivered to each other duly executed counterparts
of the Mexico Option 1 Assignment and Assumption Agreement, substantially in the form of Exhibit 2 attached hereto (the “Mexico Option 1 Assignment and Assumption Agreement”), in proper form for filing and recording when
appropriate. 
  
 7.5 Deliveries at Mexico Option 2 Closing.

  
 (a) DIRECTV shall pay or cause to be paid the Mexico Option 2
Purchase Price as specified in Section 3.1(b). 
  
 (b)
DIRECTV shall deliver or cause to be delivered to News the Mexico PAS Release. 
  
 (c) News shall cause News DTH (Mexico) to (x) issue to DIRECTV Share Certificate No. 003 representing the two shares of News DTH (Mexico) transferred by News Cayman II to DIRECTV and (y) update the Register of Members
of News DTH Investment to reflect the transfer contemplated in (x) above. 
  
 (d) News shall deliver or cause to be delivered to DIRECTV certificates representing the NAI Innova Shares, duly endorsed in blank and accompanied by stock powers duly endorsed in blank, or such other instruments or
documents as may be necessary or appropriate to properly transfer to DIRECTV title to the NAI Innova Shares, together with evidence that all applicable taxes and stamp or similar taxes, if any, have been paid or are not due. 
  
 (e) News and DIRECTV shall have delivered or caused to be delivered to each
other duly executed counterparts of the Mexico Option 2 Assignment and Assumption Agreement, substantially in the form of Exhibit 3 attached hereto (the “Mexico Option 2 Assignment and Assumption Agreement”), in proper form
for filing and recording when appropriate. 
  
 (f) News shall
deliver or cause to be delivered to DIRECTV all of the Books and Records of News DTH (Mexico). 
  
 (g) News shall have received the Mexico Financing Guarantee Release, to the extent required. 
  
 7.6 Deliveries at the MTS Platform Closing. 
  
 (a) DIRECTV shall pay or cause to be paid the MTS Purchase Price as specified in Section 3.1(c). 
  

 22 

 (b) News shall deliver or cause to be delivered to DIRECTV certificates representing the MTS Platform
Shares, duly endorsed in blank and accompanied by stock powers duly endorsed in blank, or such other instruments or documents as may be necessary or appropriate to properly transfer to DIRECTV title to the MTS Platform Shares. 
  
 (c) News shall deliver or cause to be delivered to DIRECTV all of the Books
and Records of SESLA and News America DTH. 
  
 (d) DIRECTV shall
deliver or cause to be delivered to News the MTS PAS Release. 
  
 (e) DIRECTV shall deliver or cause to be delivered to News the DIRECTV Consent Agreements. 
  
 (f) DIRECTV shall deliver or cause to be delivered to News the DIRECTV MC Release. 
  
 (g) News shall deliver or cause to be delivered to DIRECTV the News Consent Agreement. 
  
 (h) News shall deliver or cause to be delivered to DIRECTV the News MC
Release. 
  
 (i) DIRECTV shall pay, or cause to be paid, to Sky
Global, an amount equal to $4.5 million, as reimbursement of funding provided to the MTS Platforms between June 1, 2004 and the date of this Agreement. 
  
 ARTICLE 8 
 POST-CLOSING
COVENANTS 
  
 8.1 Post-Closing Notifications. The
Parties will, and each will cause its respective Affiliates to, comply with any post-closing notification or other requirements relating to this Agreement, to the extent then applicable to such Party, of any antitrust, trade competition, foreign or
domestic investment or control, export or other Law of any Governmental Entity having jurisdiction over any of the Parties. 
  
 ARTICLE 9 
 INDEMNIFICATION

  
 9.1 Indemnification. The indemnification
obligations in this Article 9 with respect to the Brazil Transaction, the Mexico Transaction and the MTS Platform Transaction, respectively, shall apply from and after the Brazil Closing Date, each Mexico Closing Date and the MTS Platform
Closing Date, respectively. 
  
 (a) News agrees to indemnify and
hold DIRECTV and its Affiliates, partners, officers, directors, employees, agents and representatives (each, a “DIRECTV Indemnitee”) harmless from and against all Losses incurred or suffered by any DIRECTV Indemnitee as a result of
or arising out of: (i) the breach by News of any of its representations and warranties 
  

 23 

 contained in this Agreement or in any of the Transaction Documents; (ii) the failure by News to perform any of its
covenants or fulfill any of its agreements in this Agreement or in any of the Transaction Documents; or (iii) Pre-Closing Taxes. 
  
 (b) DIRECTV agrees to indemnify and hold News and its Affiliates, partners, officers, directors, employees, agents and representatives (each, a
“News Indemnitee”) harmless from and against all Losses incurred or suffered by any News Indemnitee as a result of or arising out of: (i) the breach by DIRECTV of any of its representations and warranties contained in this Agreement
or in any of the Transaction Documents; or (ii) the failure by DIRECTV to perform any of its covenants or fulfill any of its agreements in this Agreement or in any of the Transaction Documents. 
  
 (c) From each respective Closing Date, DIRECTV will indemnify and hold each
News Indemnitee harmless from and against any and all Losses incurred or suffered by any News Indemnitee and whether arising before, on or after the applicable Closing Date, as a result of, arising out of or relating to: (x) Sky Brasil Credit
Facility Guarantee, the Brazil PAS Guarantee and the Sky Brasil Transaction Documents (except for Losses as a result of, arising out of, or relating to the Excluded Brazil Obligations); (y) the Mexico Refinancing, the Mexico Credit Facility, the
Mexico PAS Guarantee and the Innova/Galaxy Mexico Transaction Documents (except for Losses as a result of, arising out of, or relating to the Excluded Innova Obligations); and (z) the MTS PAS Guarantee and MTS Equipment Lease Guarantee (from and
after December 31, 2004). 
  
 (d) Notwithstanding (c) above, from
and after the date hereof, DIRECTV will indemnify and hold each News Indemnitee harmless from and against any and all Losses incurred or suffered by any News Indemnitee and whether arising before, on or after the applicable Closing Date, as a result
of, or arising out of or relating to any breach or alleged breach by News or any News Affiliate (other than, for this purpose, DIRECTV and any of its Controlled Affiliates) of the Sky Brasil Transaction Documents and the Innova/Galaxy Mexico
Transaction Documents as a result of, arising out of or relating to any act or omission to act by DIRECTV or any of its Controlled Affiliates. 
  
 (e) Nothing in this Section 9.1 shall be, or deemed to be, in violation of or conflict with any right or indemnification granted to DIRECTV and its
Affiliates by News and its Affiliates in connection with the acquisition by News of the 34% interest in DIRECTV (formerly known as Hughes Electronics Corporation). 
  
 9.2 Defense of Claims. 
  
 (a) In the case of any claim asserted by a third party against an Indemnified Party for which indemnification is required
under this Agreement, notice shall be given (the “Claim Notice”) by the Indemnified Party to the Party required to provide such indemnification (the “Indemnifying Party”) promptly after such Indemnified Party has
actual knowledge of any claim as to which indemnity may be sought, and the Indemnified Party shall permit the Indemnifying Party (at the expense of such Indemnifying Party) to assume the defense of any claim or any litigation resulting therefrom,
provided that (i) counsel for the Indemnifying Party who shall conduct the defense of such claim or litigation shall be reasonably satisfactory to the 
  

 24 

 Indemnified Party, and the Indemnified Party may participate in such defense at such Indemnified Party’s expense,
(ii) the failure of any Indemnified Party to give notice as provided herein shall not relieve the Indemnifying Party of its indemnification obligation under this Agreement except to the extent that such failure results in a lack of actual notice to
the Indemnifying Party and such Indemnifying Party is materially prejudiced as a result of such failure to give notice, and (iii) claims for Taxes shall be handled pursuant to Article X. The Indemnifying Party shall have thirty (30) days from
receipt of the Claim Notice (the “Notice Period”) to notify the Indemnified Party whether or not it elects to assume the defense of the Indemnified Party against such claim or demand. 
  
 (b) In the event that the Indemnifying Party notifies the Indemnified Party
within the Notice Period that it elects to defend the Indemnified Party against such claim or demand, the Indemnifying Party shall have the right to defend the Indemnified Party by appropriate proceedings, provided that, except with the prior
written consent of the Indemnified Party, no Indemnifying Party, in the defense of any such claim or litigation, shall consent to entry of any judgment or enter into any settlement that provides for injunctive or other nonmonetary relief affecting
the Indemnified Party or that does not include as an unconditional term thereof the giving by each claimant or plaintiff to such Indemnified Party of a release from all liability with respect to such claim or litigation. In the event that the
Indemnified Party shall in good faith determine that (x) the conduct of the defense of any claim subject to indemnification hereunder or any proposed settlement of any such claim by the Indemnifying Party might be reasonably expected to affect
adversely the Indemnified Party’s tax liability or (y) that the Indemnified Party may have available to it one or more defenses or counterclaims that are inconsistent with one or more of those that may be available to the Indemnifying Party in
respect of such claim or any litigation relating thereto, the Indemnified Party shall have the right at all times to take over and assume control over the defense, settlement, negotiations or litigation relating to any such claim at the sole cost of
the Indemnifying Party, provided that (i) the Indemnifying Party shall not be required to pay for more than one legal counsel and (ii) if the Indemnified Party does so take over and assume control, the Indemnified Party shall not consent to entry of
any judgment or settle such claim or litigation without the written consent of the Indemnifying Party, such consent not to be unreasonably withheld. In the event that the Indemnifying Party does not accept the defense of any matter for which
indemnification is required, the Indemnified Party shall have the full right to defend against any such claim or demand, and shall be entitled to settle or agree to pay in full such claim or demand at the expense of the Indemnifying Party. In any
event, the Parties shall cooperate in the defense of any claim or litigation subject to this Article 9 and the records of each shall be available to the other with respect to such defense. Each Indemnifying Party’s obligation under this Article
9 shall not affect the other Parties’ right to seek any other remedy upon a default by the Indemnifying Party under this Agreement. 
  
 (c) In the event that an Indemnified Party has a claim against the Indemnifying Party which does not involve a claim or demand being asserted by a third
party, the Indemnified Party shall send a written notice with respect to such claim to the Indemnifying Party promptly following its discovery of the existence of the facts giving rise to such claim. The Indemnifying Party shall have fifteen (15)
Business Days from the date such notice is received during which to notify the Indemnified Party in writing of any objections it has to the Indemnified Party’s notice or claims for indemnification. If the Indemnifying Party does not 

 

 25 

 deliver such written notice of objection within such fifteen (15) day period, the Indemnifying Party shall be deemed to
have accepted the claim. If the Indemnifying Party rejects the claim, then the Indemnified Party shall have the right (but not the obligation) to appoint an Independent Accountant to review the claim and determine its validity. If following receipt
of the decision of the Independent Accountant either party is not satisfied with the decision of the Independent Accountant, or in the event the Indemnified Party does not appoint an Independent Accountant, the Indemnified Party shall have the right
to require that the claim be resolved in accordance with Section 11.10. The fees and expenses of any Independent Accountant shall be borne 50% by the Indemnifying Party and 50% by the Indemnified Party. 
  
 (d) The indemnification required by this Article 9 shall be made by periodic
payments of the amount thereof during the course of the investigation or defense, as and when bills are received or expense, loss, damage or liability is incurred. Any payments due under this Article 9 shall be made by the Indemnifying Party by wire
transfer of immediately available funds within 5 Business Days of demand by the Indemnified Party. 
  
 9.3 Survival of Representations and Warranties. For purposes of the indemnification provided in Section 9.1(a)(i) and Section
9.1(b)(i), the representations and warranties of the Parties shall survive for two years following the applicable Closing, except that the Brazil Ownership Representations, the Mexico News/Innova Options Ownership Representations, the Mexico
Innova Shares Ownership Representations, and the representations and warranties of News in Sections 4.1(g)(ii), 4.1(g)(iii), 4.1(g)(iv), 4.1(g)(vii) and 4.1(g)(viii) (collectively, with the Brazil Ownership
Representations, the Mexico News/Innova Options Ownership Representations and the Mexico Innova Shares Ownership Representations, the “Fundamental Representations”) shall survive the applicable Closing indefinitely. No Indemnifying
Party has any indemnification obligation under Section 9.1 with respect to such Party’s representations and warranties unless a written claim for indemnification is delivered in accordance with Sections 9.1(a)(i) or
9.1(b)(i) by the Indemnified Party to the Indemnifying Party on or before the second anniversary of the applicable Closing Date, except that this time limitation shall not apply to any breach of any of the Fundamental Representations.

  
 ARTICLE 10 
 TAX MATTERS 
  
 10.1 Termination of Existing Tax-Sharing Agreements 
  
 (a) Brazil Transaction. All Tax-sharing agreements or similar arrangements (“Tax-sharing Agreements”) with respect to or involving
News DTH Investment or News DTH (the “Acquired Brazil Entities”) shall be terminated with respect to the Acquired Brazil Entities on or prior to the Brazil Closing Date. After the Brazil Closing Date, neither News and its
Affiliates, on the one hand, nor the Acquired Brazil Entities, on the other, shall be bound by any Tax-sharing Agreement or have any liability under any Tax-sharing Agreement to the other party for amounts due in respect of any Tax-sharing
Agreement. 
  
 (b) Mexico Transaction. All Tax-sharing
Agreements with respect to or involving News DTH (Mexico) shall be terminated with respect to News DTH (Mexico) on or prior to the Mexico Option 2 Closing Date. After the Mexico Option 2 Closing Date, neither 
  

 26 

 News and its Affiliates, on the one hand, nor News DTH (Mexico), on the other, shall be bound by any Tax-sharing
Agreement or have any liability under any Tax-sharing Agreement to the other party for amounts due in respect of any Tax-sharing Agreement. 
  
 (c) MTS Platform Transaction. All Tax-sharing Agreements currently in effect with respect to or involving SESLA or NAI shall be terminated with
respect to SESLA and NAI on or prior to the MTS Platform Closing Date. After the MTS Platform Closing Date, neither News and its Affiliates, on the one hand, nor SESLA and NAI, on the other, shall be bound by any Tax-sharing Agreement or have any
liability under any Tax-sharing Agreement to the other party for amounts due in respect of any Tax-sharing Agreements. 
  
 10.2 Tax Return Responsibility. News and the Affiliated Group that currently includes the Acquired Entities shall prepare and timely file all Tax
Returns of the Acquired Entities for all pre-Closing periods, including the short period ended on the applicable Closing Date (each a “Closing Return”) and will (a) bear the costs (including the fees and expenses of the Acquired
Entities’ accountants) of preparing each Closing Return, and (b) pay any amounts shown to be due on such Tax Returns. DIRECTV shall cause the Acquired Entities to prepare and timely file all Tax Returns of the Acquired Entities for the Straddle
Period. The Purchaser shall cause the Acquired Entities to pay and discharge all Taxes shown to be due on such Tax Returns. No later than five (5) Business Days prior to the due date of such return, News shall pay to the Acquired Entities the amount
of Taxes shown due which is attributable to the pre-Closing portion of the Straddle Period less estimated Tax payments for such Taxes made prior to the Closing Date. The Tax Returns referred to above shall be prepared in a manner consistent with
past practice, unless a contrary treatment is required by an intervening change in the applicable Law. An exact copy of any such Tax Return relating solely to the Acquired Entities filed by News or its Affiliates, the Affiliated Group mentioned
above or News or its Affiliates, and evidence of payment of such Taxes shall be provided to the other party no later than ten (10) Business Days after such Tax Return is filed; provided, however, that nothing in this Agreement shall entitle
DIRECTV or its Affiliates to any Tax Return or Tax information relating to the members of any Affiliated Group of which any of the Acquired Entities is a member, other than information relating to the Acquired Entities.  
  
 10.3 Amended Tax Returns. Notwithstanding anything to the contrary in
this Agreement, neither News and its Affiliates nor the Affiliated Group that currently includes the Acquired Entities shall file, or permit the Acquired Entities to file, any amended Tax Return relating to the Acquired Entities (or otherwise change
such Tax Returns or make an election) with respect to taxable periods ending on or prior to the applicable Closing Date without a written consent of DIRECTV, if such amendment adversely affects the Acquired Entities, unless required to do so by Law.
If an amended return is required by Law to be filed for any of the Acquired Entities with respect to taxable periods ending on or prior to the Closing Date relating to such Acquired Entity, and such amended return adversely affects the Acquired
Entities’ Tax attributes, DIRECTV shall have the right to review and reasonably approve such amended Tax Return; provided, however, that DIRECTV’s right to review such amended return is strictly limited to the review of pro forma
information related to each of the Acquired Entities, and DIRECTV shall have no right to any information relating to any other members of an Affiliated Group of which the Acquired Entities are or were a member.  
  

 27 

 10.4 Allocation for Straddle Period. For purposes of this Agreement, the amount of Taxes of each
of the Acquired Entities attributable to the pre-Closing portion of any taxable period beginning before and ending after the applicable Closing Date (the “Straddle Period”) shall be determined based upon a hypothetical closing of
the taxable year on such Closing Date with such Closing Date being included in the pre-Closing portion of such Straddle Period (including the impact of the Section 338(h)(10) Election); provided, however, real and personal property Taxes and
other non-income Taxes shall be determined by reference to the relative number of days in the pre-Closing and post-Closing portions of such Straddle Period. 
  
 10.5 Post-Closing Tax Audits. News shall have control over the conduct of any Tax audit or proceeding relating to a
pre-Closing Period and shall be responsible for fees and expenses related to such representation except as otherwise provided in this Section 10.5. DIRECTV shall have control over the conduct of any Tax audit or proceeding relating to a
post-Closing Period and shall be responsible for fees and expenses related to such representation except as otherwise provided in this Section 10.5. DIRECTV and News shall jointly represent the Acquired Entities in any Tax audit or proceeding
relating to a Straddle Period, and fees and expenses related to such representation shall be paid equally by DIRECTV and News. News and its Affiliates shall not agree to any settlement concerning Taxes for a pre-Closing period which may adversely
impact DIRECTV, or the Acquired Entities for a post-Closing period or the Tax attributes of the Acquired Entities without the prior written consent of DIRECTV, and DIRECTV shall not agree to any settlement concerning Taxes for a post-Closing period
which may adversely impact News, its Affiliates or the Acquired Entities for a pre-Closing period or the tax attributes of the Acquired Entities without the prior written consent of News or its Affiliates. DIRECTV shall have the right to be kept
fully informed of any material developments and receive copies of all correspondence and shall have the right to observe the conduct of any Tax audit or proceeding with respect to pre-Closing periods (through attendance at meetings) at its own
expense, including through its own counsel and other professional experts to the extent such Tax audit or proceeding affects post-Closing periods; and provided, that DIRECTV shall have no right to any information relating to any other members
of an Affiliated Group of which any of the Acquired Entities is or was a member and shall not be permitted to be in attendance with respect to matters related to such other members. News and its Affiliates shall have the right to be kept fully
informed of any material developments and receive copies of all correspondence and shall have the right to observe the conduct of any Tax audit or proceeding with respect to post-Closing periods (through attendance at meetings) at its own expense,
including through its own counsel and other professional experts to the extent such Tax audit or proceeding affects pre-Closing periods; and provided, that News shall have no right to any information relating to any other members of an
Affiliated Group of which any of the Acquired Entities is a member and shall not be permitted to be in attendance with respect to matters related to other such members.  
  
 10.6 Post-Closing Tax Assistance. Following each Closing, each of News and its Affiliates (as to pre-Closing matters)
and DIRECTV shall, as reasonably requested by the other party: (A) assist the other Party in preparing any Tax Returns relating to the applicable Acquired Entities which such other Party is responsible for preparing and filing; (B) cooperate fully
in preparing for any audit of, or dispute with taxing authorities regarding, and any judicial or administrative proceeding relating to, liability for Taxes, in the preparation or conduct of litigation or investigation of claims, and in connection
with the preparation of financial 
  

 28 

 statements or other documents to be filed with any Governmental Entity, in each case with respect to the applicable
Acquired Entities; (C) make available to the other and to any Governmental Entity as reasonably requested all information, records, and documents relating to Taxes relating to the applicable Acquired Entities (at the cost and expense of the
requesting party), (D) provide timely notice to the other in writing of any pending or threatened Tax audits or assessments relating to the applicable Acquired Entities for taxable periods for which the other Party is responsible; and (E) furnish
the other with copies of all correspondence received from any taxing authority in connection with any Tax audit or information request with respect to any Tax periods for which the other is responsible. 
  
 ARTICLE 11 
 MISCELLANEOUS PROVISIONS 
  
 11.1 Notices. All notices and other communications required or permitted hereunder will be in writing and, unless otherwise provided in this Agreement, will be deemed to have been duly given when delivered in
person or when dispatched by electronic facsimile transfer or one Business Day after having been dispatched by a internationally recognized overnight courier service to the appropriate Party at the address specified below: 
  

			
	 (a)
	  	If to News, to:
		
	 	  	The News Corporation Limited
	 	  	1211 Avenue of the Americas
	 	  	New York, NY 10036-8795
	 	  	Facsimile No.: (212) 852-7168
	 	  	Attention: Arthur Siskind
		
	 	  	with a copy (which shall not constitute notice hereunder) to:
		
	 	  	Hogan & Hartson L.L.P.
	 	  	875 Third Avenue
	 	  	New York, NY 10022
	 	  	Facsimile No.: (212) 918-3100
	 	  	Attention: Ira S. Sheinfeld and Mitchell S. Ames
		
	 (b)
	  	If to DIRECTV, to:
		
	 	  	DIRECTV Latin America, LLC
	 	  	1211 Avenue of the Americas
	 	  	New York, NY 10036-8795
	 	  	Facsimile No.: (212) 852-7895
	 	  	Attention: Bruce Churchill

  

 29 

	
	 with a copy (which shall not constitute notice hereunder) to:

	
	 The DIRECTV Group, Inc.

	 2250 East Imperial Highway

	 El Segundo, CA 90245

	 Facsimile No.:

	 Attention: Larry D. Hunter

	
	 and

	
	 Weil, Gotshal & Manges LLP

	 767 Fifth Avenue

	 New York, NY 10153

	 Facsimile No.: 212-310-8007

	 Attention: Michael Lubowitz

  
 or to such other address or addresses
as any such Party may from time to time designate as to itself by like notice. 
  
 11.2 Severability. If any term or other provision of this Agreement is determined by a court of competent jurisdiction to be invalid, illegal or incapable of being enforced under any rule of applicable Law or
public policy, all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect so long as the economic or legal substance of the transactions contemplated herein are not affected in any manner materially
adverse to any Party. Upon such determination that any term or other provision is invalid, illegal or incapable of being enforced, the Parties hereto shall negotiate in good faith to modify this Agreement so as to effect the original intent of the
Parties as closely as possible and in a mutually acceptable manner so that the transactions contemplated herein are consummated as originally contemplated to the fullest extent possible. 
  
 11.3 Successors and Assigns. This Agreement will be binding upon and inure to the benefit of the Parties hereto and
their respective successors and permitted assigns. Neither this Agreement nor any of the rights, interests, nor obligations hereunder shall be assigned by any of the Parties hereto, whether by operation of law or otherwise; provided, however, that
upon written notice to the other Party: (i) DIRECTV shall have the right to assign its rights and obligations hereunder, on the whole or in part, to DTVLA or any other of its Affiliates, although such assignment shall not release DIRECTV from
liability hereunder; and (ii) News shall have the right to assign its rights and obligations hereunder, on the whole or in part, to any of its Affiliates, although such assignment shall not release News from liability hereunder, provided
that, promptly upon a reorganization of News resulting in News Corporation, a Delaware company, or any other Affiliate of News (“News Parent”), becoming the ultimate parent of News and its Controlled Affiliates, the rights and
obligations of News under this Agreement shall be immediately transferred to News Parent, whereupon News Parent shall assume such rights and obligations and News shall be released therefrom, and each reference to News hereunder shall be deemed a
reference to News Parent, it being understood that News shall be a Controlled Affiliate of News Parent. Promptly following such reorganization, News Parent shall execute and deliver to DIRECTV a joinder to this Agreements or other instrument
confirming that it is party to and bound by this Agreements to the same extent that News was bound immediately prior to such reorganization. 
  

 30 

 11.4 Waiver of Compliance. Any failure of any Party to comply with any obligation, covenant,
agreement or condition contained herein may be waived only if set forth in an instrument in writing signed by the Party or parties to be bound by such waiver, but such waiver or failure to insist upon strict compliance with such obligation,
covenant, agreement or condition shall not operate as a waiver of, or estoppel with respect to, any other failure. 
  
 11.5 Entire Agreement. This Agreement and the Transaction Documents (including the Exhibits and Schedules hereto and thereto) supersede any other
agreement, whether written or oral, that may have been made or entered into by any Party or any of their respective Affiliates (or by any director, officer or representative thereof) relating to the matters contemplated hereby. This Agreement and
the Transaction Documents (together with the Exhibits and Schedules hereto and thereto) constitute the entire agreement by and among the Parties relating to the subject matter hereof, and there are no agreements or commitments by or among such
Parties or their Affiliates relating thereto, except as expressly set forth herein. 
  
 11.6 Amendments and Supplements. This Agreement may be amended or supplemented at any time by additional written agreements signed by the Parties. 
  
 11.7 Rights of the Parties. Except as provided in Article 9, nothing expressed or implied in this Agreement is
intended or will be construed to confer upon or give any Person other than the Parties and their respective Affiliates any rights or remedies under or by reason of this Agreement or any transaction contemplated hereby. 
  
 11.8 Further Assurance. From time to time, as and when requested by
any Party, the other Party will execute and deliver, or cause to be executed and delivered, all such documents and instruments as may be reasonably necessary to consummate the transactions contemplated by this Agreement. 
  
 11.9 Governing Law. This Agreement, including without limitation the
interpretation, construction and validity hereof, shall be governed by the laws of the State of New York, United States of America (without reference to its rules as to conflicts of law). 
  
 11.10 Choice of Forum. Each of the Parties agrees that any action or proceeding commenced to enforce any right under
this Agreement, or that is in any way related to this Agreement shall be commenced only in the courts of the State of New York, County of New York, or of the U.S. District Court for the Southern District of New York. Each of the Parties irrevocably
submits to the jurisdiction of those courts and waives, to the fullest extent permitted by law, the right to commence any such action in any other court or venue and any objection which it may now or hereafter have to be laying of the venue of any
such suit, action or proceeding brought in any such courts, and any claim that any such suit, action or proceeding brought in such courts has been brought in an inconvenient forum, and further agrees that a final judgment in any such suit, action or
proceeding brought in such courts shall be conclusive and binding upon such Party. 
  

 31 

 11.11 Execution in Counterparts. This Agreement may be executed in two or more counterparts, each
of which will be deemed an original, but all of which together will constitute one and the same agreement. 
  
 11.12 Expenses. Except as otherwise provided herein, each Party will pay any expenses incurred by it incident to this Agreement and the Transaction
Documents and in preparing to consummate and consummating the transactions provided for herein and therein. 
  
 11.13 References and Titles. All references in this Agreement to Exhibits, Schedules, Articles, Sections, subsections, and other subdivisions and
to the recitals refer to the corresponding Exhibits, Schedules, Articles, Sections, subsections, and subdivisions and to the recitals of this Agreement unless expressly provided otherwise. Titles appearing at the beginning of any Articles, Sections,
subsections, or other subdivisions of this Agreement are for convenience only, do not constitute any part of such Articles, Sections, subsections or other subdivisions, and shall be disregarded in construing the language contained therein. The words
“this Agreement,” “herein,” “hereby,” “hereunder,” and “hereof,” and words of similar import, refer to this Agreement as a whole and not to any particular
subdivision unless expressly so limited. The words “this Section,” “this subsection,” and words of similar import, refer only to the Sections or subsections hereof in which such words occur. The word
“including” (in its various forms) means “including without limitation.” Pronouns in masculine, feminine or neuter genders shall be construed to state and include any other gender and words, terms and titles
(including terms defined herein) in the singular form shall be construed to include the plural and vice versa, unless the context otherwise expressly requires. Unless the context otherwise requires, all defined terms contained herein shall include
the singular and plural and the conjunctive and disjunctive forms of such defined terms. 
  
 [Signature Page Follows] 
  

 32 

 IN WITNESS WHEREOF, this Latin America Purchase Agreement has been duly executed by duly authorized
representatives of each of the Parties. 
  

			
	 THE NEWS CORPORATION LIMITED

		
	 By:
	 	 /s/ Arthur M. Siskind

	 Name:
	 	Arthur M. Siskind
	 Title:
	 	 Senior Executive Vice President and
 Group General
Counsel

	
	 THE DIRECTV GROUP, INC.

		
	 By:
	 	 /s/ Bruce Churchill

	 Name:
	 	Bruce Churchill
	 Title:
	 	 Executive Vice President and
 Chief Financial
Officer

  

 33 

 EXHIBIT 1 
 TO LATIN AMERICA PURCHASE AGREEMENT 
  
 DEFINITIONS 
  
 “Acquired Brazil
Entities” means News DTH Investment and News DTH. 
  
 “Acquired Entities” means News DTH, News DTH Investment, News DTH (Mexico), SESLA and NAI. 
  
 “Advances” means, collectively, any (i) advances for future capital increases or through deferral of trade receivables, (ii) loans not
convertible into equity and (iii) contributions to offset accumulated losses. 
  
 “Affiliate” means with respect to: (i) DIRECTV, any Person Controlling, Controlled by, or under common Control with, DIRECTV; and (ii) News, any Person, present or future which is directly or
indirectly in Control of, is Controlled by, or is under common Control with, News (other than Sky Brasil or Innova); provided, that, in the case of (i) and (ii), (x) DIRECTV and its subsidiaries shall be deemed not to be Affiliates of News and (y)
News and its subsidiaries shall be deemed not to be Affiliates of DIRECTV. 
  
 “Affiliated Group” means any affiliate group within the meaning of Code Section 1504 (or any similar group defined under a similar provision of state, local or foreign Law). 
  
 “Agreement” has the meaning provided in the preamble of this
Agreement. 
  
 “Assigned Contracts” means the Sky
Brasil Transaction Documents and the Innova/Galaxy Mexico Transaction Documents. 
  
 “Books and Records” means books, records, files, papers, minute books, tax records and other corporate records (including historical financial records) whether in hard copy or computer format.

  
 “Brazil Closing” has the meaning provided in
Section 7.2(a). 
  
 “Brazil Closing Date”
has the meaning provided in Section 7.2(a). 
  
 “Brazil Closing Documents” means, collectively, the Closing News DTH Articles of Association and any other agreement required to be delivered at the Brazil Closing under this Agreement. 
  
 “Brazil Merger” has the meaning provided in the Recitals.

  
 “Brazil Merger Transaction Documents” means
the Transaction Agreements to which News or its Affiliates are parties. As used in this definition, the term “Transaction Agreements” is defined in Annex A to the Participation Agreement entered into between News, DIRECTV and Globo as of
the date of this Agreement. 
  

 Exhibit 11 – Page 1 

 “Brazil Ownership Representations” has the meaning provided in Section 6.2(a).1.

  
 “Brazil PAS Guarantee” means the Guaranty,
dated as of March 5, 1998, issued by News in favor of PanAmSat under the Second Amended and Restated Transponder Purchase and Sale Agreement between PanAmSat and Sky Brasil, dated as of March 5, 1998. 
  
 “Brazil PAS Release” means a release duly executed by
PanAmSat that terminates and releases in full News and its Affiliates and their respective releasees from any and all obligations News’ ever had or will have under the Brazil PAS Guarantee, in form and substance reasonably acceptable to News
and DIRECTV. 
  
 “Brazil Purchase Price” has the
meaning provided in Section 3.1(a). 
  
 “Brazil Purchase Price Adjustment” has the meaning provided in Section 3.2(a). 
  
 “Brazil Transaction” means the transactions described in Section 2.1. 
  
 “Business Day” means any day, other than a Saturday or a
Sunday or a day on which banking institutions in the Federative Republic of Brazil; New York (United States of America); Mexico D.F. (Mexico) or Bogota (Colombia) are authorized or obligated by law or executive order to close. 
  
 “Claim Notice” has the meaning provided in Section
9.2(a). 
  
 “Closing Dates” means,
collectively, the Brazil Closing Date, the Mexico Option 1 Closing Date, the Mexico Option 2 Closing Date and the MTS Platform Closing Date. 
  
 “Closing News DTH Articles of Association” means the amended and restated Articles of Association of News DTH reflecting the transfer of
the News DTH Nominal Share contemplated hereunder. 
  
 “Closing Return” has the meaning provided in Section 10.2. 
  
 “Closings” means, collectively, the Brazil Closing, the Mexico Option 1 Closing, the Mexico Option 2 Closing and the MTS Platform Closing. 
  
 “Code” means the U.S. Internal Revenue Code of 1986, as amended. 
  
 “Control” (together with the correlative meanings,
“Controlled by” or “under common Control with”) means the possession, direct or indirect, of the power to direct, or cause the direction of, the management and policies of a Person whether through the ownership of
shares or ownership interests, voting rights, by contract or otherwise. 
  
 “Controlled Affiliate” means, with respect to a Party, any Affiliate that is Controlled by such Party. 
  
 “Current Tax Audit” means the U.S. federal income tax audit of MCOP, Techco and Sky Partners for the taxable years 1998 through 2000.

  

 2 

 “DIRECTV” has the meaning provided in the preamble of this Agreement. 
  
 “DIRECTV Consent Agreements” means, collectively, the
Acknowledgement, Consent and Agreement to be delivered by each of Globo, Televisa and Liberty to News and DIRECTV, substantially in the form attached to this Agreement as Exhibit 7. 
  
 “DIRECTV MC Release” means the Release Agreement for the
benefit of News entered into by Globo, Televisa and Liberty that is attached to this Agreement as Exhibit 8. 
  
 “DIRECTV Indemnitee” has the meaning provided in Section 9.1(a). 
  
 “DTH Agreement” means the DTH Agreement, dated the date hereof, by and among Televisa, News, Innova, Innova
Holdings, DIRECTV and DTVLA, as the same may be amended, modified or supplemented from time to time. 
  
 “DTH Business” has the meaning provided in the Recitals. 
  
 “DTVLA” has the meaning provided in the Recitals. 
  
 “Excluded Brazil Obligations” means the rights and
obligations of News under the Brazil Merger Transaction Documents for which News has agreed to remain obligated (whether or not such rights or obligations are also assigned or otherwise transferred to, or assumed by, DIRECTV). 
  
 “Excluded Innova Obligations” means the rights and
obligations of News under the Innova/Galaxy Mexico Transaction Documents for which News has agreed to remain obligated (whether or not such rights or obligations are also assigned or otherwise transferred to, or assumed by, DIRECTV). 
  
 “Fundamental Representations” has the meaning provided in
Section 9.3. 
  
 “Funding” has the meaning
provided in Section 4.1(i). 
  
 “Galaxy
Mexico” has the meaning provided in the Recitals. 
  
 “Globo” has the meaning provided in the Recitals. 
  
 “Governmental Consents” means all governmental consents, filings, permits, registrations, declarations and approvals that are necessary in order to consummate the transactions contemplated by this
Agreement. 
  
 “Governmental Entity” means any
governmental department, commission, board, bureau, agency, court or other instrumentality of any country or any state, county, parish or municipality, jurisdiction or other political subdivision thereof. 
  
 “Indemnified Party” means either a News Indemnitee or a
DIRECTV Indemnitee. 
  
 “Indemnifying Party” has
the meaning provided in Section 9.2(a). 
  

 3 

 “Independent Accountant” means any accounting firm approved (which approval shall not be
unreasonably withheld) by both the applicable Indemnified Party and Indemnifying Party. 
  
 “Innova” has the meaning provided in the Recitals. 
  
 “Innova/Galaxy Mexico Transaction Documents” means the transaction agreements and documents governing the transactions contemplated by
the Innova/Galaxy Mexico Transaction, which are listed in Exhibit 4. 
  
 “Innova Holdings” has the meaning provided in the Recitals. 
  
 “Innova Shares” means, collectively, (i) all of the NAI Innova Shares and (ii) all of the News DTH (Mexico) Shares, which NAI Innova
Shares and News DTH (Mexico) Shares collectively represent, directly or indirectly, social parts that represent in the aggregate at least 30% of the issued and outstanding social parts in Innova and Innova Holdings on such date. 
  
 “IRC” means the U.S. Internal Revenue Code of 1986, as
amended. 
  
 “IRS” means the U.S. Internal
Revenue Service. 
  
 “Knowledge” means, with
respect to any Person other than natural persons, the actual knowledge of its officers, directors and senior management and, in the case of natural persons, the actual knowledge of such person. 
  
 “Law” means any statute, law, ordinance, rule or regulation.

  
 “Liberty” means Liberty Media International,
Inc., a Delaware corporation. 
  
 “Liberty/DIRECTV
Agreement” has the meaning provided in the Recitals. 
  
 “Liens” means all liens, pledges, claims, voting agreements, voting trusts, proxy agreements, security interests, restrictions, possessory interests, conditional sale or other title retention agreements, rights of first
refusal, mortgages, tenancies, easements, rights-of-way, covenants, encumbrances and other burdens, options or restrictions of any kind. 
  
 “Loss” means any out-of-pocket cost, damage, disbursement, expense, tax, liability, judgment, loss, deficiency, obligation, penalty or
settlement of any kind or nature (whether civil or criminal, or based on negligence, trespass, intentional tort, strict liability, contribution or indemnification, or otherwise), whether foreseeable or unforeseeable, including interest or other
carrying costs, penalties and related reasonable legal, accounting and other professional fees and expenses. 
  
 “Measurement Date” has the meaning assigned to such term in the Purchase and Sale Agreement dated as of the date of this Agreement by and
between Innova and Galaxy Mexico. 
  
 “MCOP” has
the meaning provided in the Recitals. 
  
 “MCOP
Interest” has the meaning provided in Section 4.1(g)(v). 
  

 4 

 “Mexico Closing Documents” means (i) with respect to the Mexico Option 1 Closing, the
Mexico Option 1 Assignment and Assumption Agreement and any other agreement, document or instrument required to be delivered at the Mexico Option 1 Closing and (ii) with respect to the Mexico Option 2 Closing, the Mexico Option 2 Assignment and
Assumption Agreement and any other agreement, document or instrument required to be delivered at the Mexico Option 2 Closing. 
  
 “Mexico Closings” means, collectively, the Mexico Option 1 Closing and the Mexico Option 2 Closing. 
  
 “Mexico Credit Facility” means the Credit Agreement among
Innova, S. de R.L. de C.V., Corporacion Novavision, S. de R.L. de C.V., Grupo Televisa, S.A., News America Incorporated and Liberty Mexico DTH, Inc. regarding loans to Innova, S. de R.L. de C.V., and Corporacion Novavision, S. de R.L. de C.V., dated
July 22, 2002. 
  
 “Mexico Financing Guarantee”
means the guarantee to be provided in favor of Innova’s lenders by News or its Affiliates in connection with the refinancing of Innova’s U.S.$88 million in aggregate principal amount (plus interest) of indebtedness represented by the
Innova Notes dated April 1, 1997. 
  
 “Mexico Financing
Guarantee Release” means a release duly executed by Innova’s lenders that terminates and releases in full News and its Affiliates from any and all obligations News or its Affiliates ever had or will have under the Mexico Financing
Guarantee, in form and substance reasonably acceptable to News. 
  
 “Mexico Innova Shares Ownership Representations” has the meaning provided in Section 6.2(b)(ii)(A). 
  
 “Mexico News/Innova Options Ownership Representations” has the meaning provided in Section 6.2(b)(i)(A). 
  
 “Mexico Option 1” has the meaning provided in Section
2.2(a)(i). 
  
 “Mexico Option 1 Assignment and
Assumption Agreement” has the meaning provided in Section 7.4. 
  
 “Mexico Option 1 Closing” has the meaning provided in Section 2.2(a)(iii). 
  
 “Mexico Option 1 Closing Date” has the meaning provided in Section 7.2(b). 
  
 “Mexico Option 2” has the meaning provided in Section
2.2(b)(i). 
  
 “Mexico Option 2 Assignment and
Assumption Agreement” has the meaning provided in Section 7.5(e). 
  
 “Mexico Option 2 Closing” has the meaning provided in Section 2.2(b)(iii). 
  
 “Mexico Option 2 Closing Date” has the meaning provided in Section 7.2(c). 
  

 5 

 “Mexico Option 2 Purchase Price” has the meaning provided in Section 3.1(b).

  
 “Mexico Options” means, collectively, Mexico
Option 1 and Mexico Option 2. 
  
 “Mexico PAS
Guarantee” means the Guaranty, dated as of February 8, 1999, issued by News in favor of PanAmSat severally guaranteeing 30% of the obligations of Corporacion de Radio y Television del Norte de Mexico, S. de R.L. de C.V. under the
Transponder Services Agreement, dated February 8, 1999, with PanAmSat. 
  
 “Mexico PAS Release” means a release duly executed by PanAmSat that terminates and releases in full News and its Affiliates and their respective releasees from any and all obligations News’ ever
had or will have under the Mexico PAS Guarantee, in form and substance reasonably acceptable to News and DIRECTV. 
  
 “Mexico Purchase Price Adjustment” has the meaning provided in Section 3.2(b). 
  
 “Mexico Transaction” means, collectively, the transactions
contemplated under Section 2.2. 
  
 “MTS Equipment
Lease Guarantee” means the Guaranty, dated as of December 26, 1997, issued by News, Globo, Televisa and Liberty in favor of General Foods Credit Investors No. 1 Corporation and State Street Bank and Trust Company of Connecticut, National
Association. 
  
 “MTS Equipment Lease Release”
means an agreement duly executed by General Foods Credit Investors 1 Corporation and State Street Bank and Trust Company of Connecticut, National Association that terminates, and releases in full News and its Affiliates and their respective releases
from any and all obligations News ever had or will have of its obligations as guarantor under the MTS Equipment Lease Guarantee, in form and substance reasonably acceptable to News and DIRECTV. 
  
 “MTS PAS Guarantee” means the Guaranty, dated as of March 5,
1998, issued by News in favor of PanAmSat severally guaranteeing 30% of the obligations of MCOP under the Transponder Service Agreement, dated March 5, 1998 with PanAmSat. 
  
 “MTS PAS Release” means a release duly executed by PanAmSat that terminates and releases in full News and
its Affiliates and their respective releasees from any and all obligations News ever had or will have under the MTS PAS Guarantee, in form and substance reasonably acceptable to News and DIRECTV 
  
 “MTS Platform” has the meaning provided in the Recitals.

  
 “MTS Platform Closing” has the meaning
provided in Section 7.2(d). 
  
 “MTS Platform
Closing Date” means the date hereof. 
  
 “MTS
Platform Closing Documents” means, collectively, the documents required to be delivered at the MTS Platform Closing under Section 7.6 of this Agreement. 
  

 6 

 “MTS Platform Organizational Documents” are the documents listed in Exhibit 11
hereto. 
  
 “MTS Platform Offset Amount” has the
meaning provided in Section 3.1(c). 
  
 “MTS
Platform Shares” means (i) the SESLA Shares, and (ii) the News America DTH Shares. 
  
 “MTS Platform Transaction” means the transaction described in Section 2.3. 
  
 “MTS Purchase Price” has the meaning provided in Section 3.1(c). 
  
 “NAI” means News America Incorporated, a Delaware corporation. 
  
 “NAI Innova Shares” means all of the issued and outstanding
social parts owned by NAI in Innova Holdings on the Mexico Option 2 Closing Date. 
  
 “News” has the meaning provided in the preamble of this Agreement. 
  
 “News America DTH” means News America DTH Techco Inc., a Delaware corporation. 
  
 “News America DTH Shares” means the 100 shares of common
stock, with no par value, of News America DTH held by Sky Global on the MTS Platform Closing Date, which shares represent all of the issued and outstanding shares of News America DTH on such date. 
  
 “News Brasil Entities” means News Cayman DTH and News Cayman
Holdings. 
  
 “News Cayman II” means News Cayman
DTH (Mexico) Ltd., a Cayman Islands company. 
  
 “News
Cayman DTH” means News Cayman DTH Limited, a Cayman Islands company. 
  
 “News Cayman Holdings” means News Cayman Holdings Limited, a Cayman Islands Company. 
  
 “News Consent Agreement” means the Acknowledgement, Consent and Agreement entered into by News for the benefit of Globo, Liberty and
Televisa, substantially in the form attached to this Agreement as Exhibit 9. 
  
 “News DTH” means News DTH do Brasil Comércio é Participações Ltda., a Brazilian limited liability company. 
  
 “News DTH Investment” means News DTH Investments Limited, a Cayman Islands company. 
  
 “News DTH Investment Shares” has the meaning provided in
Section 4.1(e)(iii)(A). 
  
 “News DTH
(Mexico)” means News DTH (Mexico) Investment Ltd., a Cayman Islands company. 
  

 7 

 “News DTH (Mexico) Shares” has the meaning provided in Section 4.1(f)(iii)(A).

  
 “News DTH Nominal Share” means, as of the
Mexico Option 2 Closing Date, the 1 quota of News DTH owned beneficially and of record by News Cayman Holdings. 
  
 “News DTH Shares” means (i) the News DTH Investment Shares and (ii) the News DTH Nominal Share. 
  
 “News Indemnitee” has the meaning provided in Section
9.1(b). 
  
 “News/Innova Options” has the
meaning provided in the Recitals. 
  
 “News Mexico
Entities” means News Cayman II and NAI. 
  
 “News
MC Release” means the Release Agreement delivered by News for the benefit of Globo, Liberty and Televisa attached hereto as Exhibit 10. 
  
 “News Parent” has the meaning provided in Section 11.3. 
  
 “Notice Period” has the meaning provided in Section 9.2(a). 
  
 “Option Agreement” means the Option Agreement, dated the
date hereof, by and among Innova, Innova Holdings and News, as the same may be amended, modified or supplemented from time to time. 
  
 “Organizational Documents” means, with respect to any Person, the articles of association, bylaws, stockholders agreement or comparable
organizational documents for such Person. 
  
 “Other
Liabilities” means, with respect to any Person, any liability or obligation of any kind whatsoever (whether known or unknown, whether asserted or unasserted, whether absolute or contingent, whether accrued or unaccrued, whether matured or
unmatured, whether liquidated or unliquidated and whether due or to become due). 
  
 “Parties” means any of the parties to this Agreement. 
  
 “Permitted Liens” means: (i) with respect to the Brazil Transaction, any Liens under the Sky Brasil Transaction Documents, other than any
restriction under such documents limiting or prohibiting News’ ability to make the transfers necessary to consummate the Brazil Transaction; (ii) with respect to the Mexico Transaction, any Liens under the Innova and Innova Holdings
Organizational Documents, or under the Innova/Galaxy Mexico Transaction Documents and under the Mexican Closing Documents, other than any restriction under such documents limiting or prohibiting News’ ability to make the transfers necessary to
consummate the Mexico Transaction; and (iii) with respect to the MTS Platform Transaction, any Liens under the MTS Platform Closing Documents, other than any restriction under such documents limiting or prohibiting News’ ability to make the
transfers necessary to consummate the MTS Platform Transaction. 
  

 8 

 “Person” means any natural person, corporation, limited liability company, limited
partnership, general partnership, joint stock company, joint venture, association, company, trust, bank trust company, land trust, business trust or other organization, whether or not a legal entity, and any government or agency or political
subdivision thereof. 
  
 “Pre-Closing Taxes”
means (i) all Taxes imposed on or with respect to the Acquired Entities or asserted against the properties, income or operations of the Acquired Entities for any taxable period of the Acquired Entities or portion thereof ending on or prior to the
applicable Closing Date, including the pre-Closing portion of any Straddle Period and including any Tax resulting from the Section 338(h)(10) Election; (ii) Taxes of another Person claimed from any of the Acquired Entities as a result of any of the
Acquired Entities being included prior to the applicable Closing Date in a combined, consolidated or unitary tax group under Treasury Regulations §1.1502-6 (or any similar provision of state, local or foreign Law) or, as a transferee or
successor, by contract or otherwise; provided, however, that any Pre-Closing Taxes included in this subsection (ii) of “Pre-Closing Taxes” shall specifically not include Taxes of another Person claimed from any of the Acquired
Entities with respect to any period beginning after the applicable Closing Date; and (iii) any state, local, or foreign Tax attributable to an election under the state, local, or foreign Law similar to the election available under Section 338(h)(10)
of the Code and if a state, local or foreign jurisdiction does not have provisions similar to the election available under Section 338(h)(10) of the Code, any Tax imposed on any of the Acquired Entities by such state, local and/or foreign
jurisdiction resulting from any of the transactions contemplated by this Agreement. 
  
 “ProgramCo” means Entertainment Programming Latin America, LLC, a Delaware limited liability company. 
  
 “Purchase Price” means, collectively, the Brazil Purchase Price and the Mexico Option 2 Purchase Price. 
  
 “Section 338(h)(10) Election” has the meaning recorded in
Section 5.8. 
  
 “ServiceCo” means Sky
Latin America, LLC, a Delaware limited liability company and a wholly-owned subsidiary of Sky Partners. 
  
 “SESLA” means SESLA, Inc., a Delaware corporation. 
  
 “SESLA Shares” means the 100 shares of common stock, with no par value, of SESLA held by Sky Global on of
the MTS Platform Closing Date, which shares represent all of the issued and outstanding shares of SESLA on such date. 
  
 “Sky Brasil” has the meaning provided in the Recitals. 
  
 “Sky Brasil Credit Agreement” means the Credit Agreement, dated as of August 3, 2004, for $210,000,000
entered into between Sky Brasil as borrower, The News Corporation Limited, News America Incorporated, Fox Entertainment Group, Inc., News Publishing Australia Limited, FEG Holdings, Inc., and News America Marketing FSI, Inc., as initial guarantors,
the several lenders from time to time parties thereto, JPMorgan Chase Bank, as syndication agent, and Citibank, N.A., as administrative agent. 
  

 9 

 “Sky Brasil Credit Agreement Release” means Consent and Acknowledgment of the lenders
under the Sky Brasil Credit Agreement to (i) the full release of News and its Affiliates as Guarantors under the Sky Brasil Credit Facility Guarantee (as such term is defined therein) and (ii) the acceptance of DIRECTV or its Affiliates as a Cash
Collateral Provider under the Sky Brasil Credit Agreement (as such term is defined therein). 
  
 “Sky Brasil Credit Facility Guarantee” means the guarantee issued by The News Corporation Limited, News America Incorporated, Fox Entertainment Group, Inc., News Publishing Australia Limited, FEG
Holdings, Inc., and News America Marketing FSI, Inc., under the Sky Brasil Credit Agreement. 
  
 “Sky Brasil Shares” means all of the issued and outstanding quotas and all unconverted quotaholder funding owned beneficially and of record by News DTH in Sky Brasil on the Brazil Closing Date, which
quotas and unconverted quotaholder funding shall represent at least 36% of the issued and outstanding quotas of Sky Brasil on such date. 
  
 “Sky Brasil Transaction Documents” means the agreements listed in Exhibit 5. 
  
 “Sky Global” means Sky Global Operations, Inc., a Delaware
corporation. 
  
 “Sky Partners” has the meaning
provided in the Recitals. 
  
 “Sky Partners
Interest” has the meaning provided in Section 4.1(g)(v). 
  
 “Straddle Period” has the meaning provided in Section 10.4. 
  
 “Taxes” means all taxes, charges, fees, duties, levies, penalties or other assessments, including, without limitation, income, gross
receipts, excise, real and personal property, sales, use, transfer, license, payroll, withholding, social security, franchise, unemployment insurance, workers’ compensation, employer health tax or other taxes, imposed by any Governmental Entity
and shall include any interest, penalties or additions to tax attributable to any of the foregoing. 
  
 “Tax Return” means all returns, declarations, reports, forms, estimates, information returns, statements or other documents (including
any related or supporting information) filed or required to be filed with or supplied to any Governmental Entity Authority in connection with any Taxes. 
  
 “Tax-sharing Agreements” has the meaning set forth in Section 10.1. 
  
 “Techco” has the meaning provided in the Recitals. 
  
 “Techco Interest” has the meaning provided in Section
4.1(g)(vi). 
  
 “Televisa” has the meaning
provided in the Recitals. 
  
 “Transaction
Documents” means the Brazil Closing Documents, the Mexico Closing Documents and the MTS Platform Closing Documents. 
  

 10

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