Interim Management Statement

Entertainment One Ltd.

Interim Management Statement

Entertainment One Ltd., the international entertainment group, presents its Interim Management Statement covering the quarter ending 30 June 2013:

§ Year-to-date reported Group revenues up over 40% on prior year, with Group digital revenues more than doubling

§ Year-to-date investment in content and programmes 85% higher than prior year levels

§ Full year earnings expected to be in line with management expectations

Overview

The Group has had a strong start to the financial year, with year-to-date reported revenues up 40% on prior year and Group digital revenues more than doubling, now representing more than 20% of Group revenues. EBITDA margin is up year-on-year, driven by improved gross margin percentages in both the Film and Television divisions, and with operating costs in line with management expectations.

The Group intends to release over 250 films during the current financial year, including The Hunger Games: Catching Fire, RED 2, Now You See Me and Ender's Game. Investment in content and programmes is expected to increase to over £250 million in the current financial year (2013 pro-forma with Alliance: £219 million).

The Group expects earnings for the financial year to be in line with management expectations.

Film

Reported Film revenues have increased by over 65% on prior year (pro-forma in line year-on-year), driven by 68 box office releases (compared to 49 in the prior year) and the performance of the enlarged library of films across the Group. Total box office takings of $68 million were more than three times prior year levels. Theatricalreleases have included Now You See Me, MUD, The Place Beyond the Pines, Scary Movie 5, The Big Wedding and Behind the Candelabra. DVD releases have included Django Unchained, The Impossible, Safe Haven, The Silver Linings Playbook and Bullet to the Head.

Television

Year-to-date Television production is in line with management expectations, delivering 26 half hours in the first quarter, and the production slate for the financial year includes commissioned renewals for season two of Saving Hope, season three of Hell on Wheels and season four of Haven. New shows in production include Klondike, the Discovery Channel's first scripted mini-series. The pipeline of future programming was further enhanced by the recently announced season five of Rookie Blue.

Peppa Pig continues to perform well internationally, and in the US it is now enjoying two prime time slots on Nick Jr. In addition, the Group has strengthened its licensing and brand management business through the acquisition of Art Impressions, an LA-based brand-development and licensing business which owns three key brands, So-So Happy, Skelanimals and Galaxy Girls.

Financing

The Group's operating cashflows are up year-on-year supporting the increased investment in content and programmes, which is over 85% higher in the quarter to 30 June 2013. Net debt at 30 June 2013 was higher than the corresponding point in the prior year, primarily as a result of the Alliance acquisition, and up on the year end position reflecting higher investment in content and programmes. The Group's net asset position is broadly in line with its year end position.

Corporate Development

On 1 July 2013, the Company transferred the listing of its common shares to a Premium Listing on the Official List of the FCA and the Main Market of the London Stock Exchange and expects to be considered for inclusion in the UK FTSE Index Series.

Notes to Editors:

About Entertainment One

Entertainment One Ltd. (LSE:ETO) is a leading international entertainment company that specialises in the acquisition, production and distribution of film and television content. The company's comprehensive network extends around the globe including Canada, the US, the UK, Ireland, Spain, Benelux, France, Germany, Scandinavia, Australia, New Zealand, South Africa and South Korea.

The company provides extensive expertise in film distribution, television and music production, family programming and merchandising and licensing. Its current rights library is exploited across all media formats and includes more than 35,000 film and television titles, 2,800 hours of television programming and 45,000 music tracks.

Further information is available at www.entertainmentonegroup.com or email Redleaf Polhill at [email protected].