Trading Update

10 August 2012

Media Corporation Plc

(the "Company")

Trading Update

Media Corporation Plc, the AIM quoted digital advertising network and online gaming group, is pleased to announce solid commercial progress in both its divisions and also in terms of its funding position.

Highlights

·; Eyeconomy, Media Corporation's digital advertising agency, extends exclusive agreement with Digital Sports Group for a further two years

·; Intabet, the Company's unique online gaming platform, signs deal with Totepool.com

·; Media Corporation agrees revised terms to the loan facility announced in May 2012

Eyeconomy, its digital advertising agency, has extended its exclusive agreement with Digital Sports Group ("DSG") for a further two years following the renewal of its agreement. The renewal agreement sees Eyeconomy reappointed as sole representative for advertising space across the Digital Sports Group portfolio of websites. Eyeconomy has the exclusive rights to sell advertising space across their portfolio, as well as providing ad serving to DSG. Their portfolio includes leading sports focused sites such as footymad.net; football.co.uk; rugby.co.uk; tennis.co.uk; boxing.co.uk; golf.co.uk and motorsport.co.uk among others, giving a total of some 150,000,000 impressions per month.

In addition Intabet, the Company's unique online gaming platform, has signed heads of terms with totepool.com to become one of Intabet's launch partners. With a heritage dating back to 1928 when it was founded by the UK government, totepool.com is part of the Betfred Group and the home of online pool betting. With over 500 betting shops and outlets at over 60 racecourses totepool.com is one of the industry's best known names. Intabet is aiming to deliver a truly innovative product to the world of bookmaking which offers the customer real value and our partners a fully managed new source of high quality customers. The Board is delighted to announce such a prestigious name as a launch partner and looks forward to providing further updates on the launch of the site in due course.

The Board of Media Corporation plc has also agreed revised terms to the loan facility announced in May 2012 including an extension for a further 12 months to 15 May 2014 and the issue of a warrant instrument that allows the loan provider to subscribe for up to £750,000 at a price of 0.4p. The warrants will be allotted to the lender in a 2-to-1 proportion to the amount of loan drawn down in £50,000 tranches and the warrants, once allotted, must be exercised on or before 31 December 2012, at which point the warrants, and the ability to be awarded any more on a draw down lapse. This gives the Company funding security due to the loan extension alongside the potential additional funding of up to £750,000 of equity investment before the 31 December 2012 to drive the Company forward. The Company intends to make the first draw down of £100,000 today and will be allotting the corresponding £200,000 of warrants later today.

Eddie Bennett, Head of totepool.com, said: "We are delighted to be a launch partner of Intabet. Football betting turnover is a key area that we want to grow in order to complement our market leading horse racing product. We're confident Intabet will offer convenient betting and excellent value to football fans whilst delivering high volumes of vetted bets directly to totepool.com. The model and platform are innovative and we are delighted to be there from the kick-off. We will continue to work with the team at Intabet as they add other sports betting opportunities to the site."

Adam Fraser-Harris, Interim CEO, commented: "Over the past two months we have been working hard to bring about real change, focusing on reducing costs and putting in place firm foundations upon which to build value back into Media Corporation. The announcement of these two agreements with market leading players alongside the recent management team changes and the extension of our funding line are a reflection of some of that effort and the management team's growing confidence for the future and we look forward to making further announcements as and when appropriate."

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