Central European Media Enterprises Ltd. Reports Results for the Full Year and Fourth Quarter Ended December 31, 2012

Central European Media Enterprises Ltd. Reports Results for the Full Year and
Fourth Quarter Ended December 31, 2012

                                  FULL YEAR

                    - Net revenues of US$ 772.1 million -

                        - OIBDA of US$ 125.4 million -

             - Non-cash impairment charge of US$ 522.5 million -

                                FOURTH QUARTER

                    - Net revenues of US$ 253.3 million -

                        - OIBDA of US$ 60.7 million -

HAMILTON, Bermuda, Feb. 27, 2013 (GLOBE NEWSWIRE) -- Central European Media
Enterprises Ltd. ("CME" or the "Company") (Nasdaq:CETV) (Prague Stock
Exchange:CETV) today announced financial results for the full year and three
months ended December 31, 2012.

Net revenues for the year ended December 31, 2012 were US$ 772.1 million
compared to US$ 864.8 million in 2011. OIBDA^1 for the year ended December 31,
2012 was US$ 125.4 million compared to US$ 167.0 million in 2011. For the year
ended December31, 2012, a non-cash impairment charge of US$ 522.5 million was
incurred compared to US$ 68.7 million for the year ended December31, 2011.
Operating loss for the year ended December31, 2012 was US$ 488.2 million
compared to operating income of US$ 6.8 million in 2011. Net loss for the year
ended December31, 2012 was US$ 546.4 million compared to US$ 179.6 million in
2011. Fully diluted loss per share for the year ended December31, 2012 was
US$ 6.96 compared to US$ 2.71 for year ended December31, 2011.

Net revenues for the fourth quarter of 2012 were US$ 253.3 million compared to
US$ 276.9 million for the fourth quarter of 2011. OIBDA for the quarter was
US$ 60.7 million compared to US$ 81.2 million in 2011.Operating loss for the
quarter was US$ 483.1 million compared to US$ 12.1 million in 2011. Net loss
for the quarter was US$ 503.1 million compared to US$ 77.2 million in
2011.Fully diluted loss per share for the quarter ended December31, 2012 was
US$ 5.59 compared to US$ 1.12 for the fourth quarter in 2011.

Adrian Sarbu, CME's President and CEO, commented: "As guided in November, our
performance this year reflected the tough market conditions in 2012.
Challenging times require bold actions: increasing advertising prices and
carriage fees. With strong leadership positions in all our markets, no debt
due until November 2015 and the support of our major shareholders, we are
looking forward into 2013 with confidence that we can build upon our strengths
and increase our revenues. We are planning to restructure our operating
model,toreduce the cost baseandimproveour capital structure and
liquidity."

^1 OIBDA, which includes program rights amortization costs, is determined as
operating income / (loss) before depreciation, amortization of intangible
assets and impairments of assets as defined in "Segment Data" below.

Consolidated Results for the Year Ended December31, 2012

Net revenues for the year ended December31, 2012 were US$ 772.1 million
compared to US$ 864.8 million for the year ended December31, 2011.For the
year ended December31, 2012, a non-cash impairment charge of US$ 522.5
million was incurred compared to US$ 68.7 million for the year ended
December31, 2011.Operating loss for the year ended December31, 2012 was US$
488.2 million compared to operating income of US$ 6.8 million for the year
ended December31, 2011.Net loss for the year ended December31, 2012 was US$
546.4 million from US$ 179.6 million for the year ended December31,
2011.Fully diluted loss per share for the year ended December31, 2012 was
US$ 6.96 from US$ 2.71 for the year ended December31, 2011.

OIBDA for the year ended December31, 2012 was US$ 125.4 million compared to
US$ 167.0 million in 2011. OIBDA margin^2 for the year ended December31, 2012
was 16.2% compared to 19.3% for the year ended December31, 2011.

Headline consolidated results for the year ended December31, 2012 and 2011
were:

                            
                            RESULTS
(US$000's)                   For the Year Ended December 31,
                            2012      2011      % Actual % Lfl^3
Net revenues                 $ 772,085 $ 864,782 (10.7)%  (1.6)%
OIBDA                        125,422   167,002   (24.9)%  (16.2)%
Operating (loss) / income    (488,193) 6,792     Nm^4     Nm^4
Net loss                     (546,393) (179,604) Nm^4     Nm^4
Fully diluted loss per share $ (6.96)  $ (2.71)  Nm^4     Nm^4

Consolidated Results for the Three Months Ended December31, 2012

Net revenues for the three months ended December31, 2012 were US$ 253.3
million compared to US$ 276.9 million for the three months ended December31,
2011.Operating loss for the quarter was US$ 483.1 million compared to US$
12.1 million for the three months ended December31, 2011.Net loss for the
quarter was US$ 503.1 million compared to of US$ 77.2 million for the three
months ended December31, 2011.Fully diluted loss per share for the three
months ended December31, 2012 was US$ 5.59 compared to US$ 1.12 for the three
months ended December31, 2011.

OIBDA for the three months ended December31, 2012 was US$ 60.7 million
compared to US$ 81.2 million for the three months ended December31, 2011.
OIBDA margin for the three months ended December31, 2012 was 24.0% compared
to 29.3% for the three months ended December31, 2011.

Headline consolidated results for the three months ended December31, 2012 and
2011 were:

                            
                            RESULTS
(US$000's)                   For the Three Months Ended December 31,
                            2012          2011          % Actual    % Lfl
Net revenues                 $ 253,338     $ 276,882     (8.5)%      (3.8)%
OIBDA                        60,742        81,165        (25.2)%     (20.7)%
Operating loss               (483,139)     (12,106)      Nm^4        Nm^4
Net loss                     (503,084)     (77,225)      Nm^4        Nm^4
Fully diluted loss per share $ (5.59)      $ (1.12)      Nm^4        Nm^4
^2OIBDA margin is defined as the ratio of OIBDA to Net revenues.
^3 % Lfl represents period-on-period percentage change on a constant currency
basis.
^4Number is not meaningful.

Segment Results

We evaluate the performance of our operations based on Net revenues and OIBDA.

Our Net revenues and Consolidated OIBDA for the year ended December31, 2012
and 2011 were:

                       
                       SEGMENT RESULTS
                       For the Year Ended December 31,
(US$000's)              2012      2011       % Actual % Lfl
Broadcast               $665,355  $774,978   (14.1)%  (5.5)%
Media Pro Entertainment 205,064   187,224    9.5%     21.5%
New Media               18,690    15,764     18.6%    30.3%
Intersegment revenues^5 (117,024) (113,184)  (3.4)%   (14.2)%
Net revenues            $772,085  $864,782   (10.7)%  (1.6)%
                                                  
Broadcast               $147,729  $211,090   (30.0)%  (22.9)%
Media Pro Entertainment 15,912    3,996      Nm^4     Nm^4
New Media               (4,225)   (2,558)    (65.2)%  (82.6)%
Central                 (27,531)  (41,851)   34.2%    31.6%
Elimination             (6,463)    (3,675) (75.9)%  (100.2)%
Consolidated OIBDA      $125,422  $167,002   (24.9)%  (16.2)%

Our Net revenues and Consolidated OIBDA for the three months ended
December31, 2012 and 2011 were:

                          
                          SEGMENT RESULTS
                          For the Three Months Ended December 31,
(US$000's)                 2012          2011         % Actual     % Lfl
Broadcast                  $221,048      $245,062     (9.8)%       (5.2)%
Media Pro Entertainment    63,445        60,649       4.6%         10.1%
New Media                  6,019         5,285        13.9%        19.1%
Intersegment revenues      (37,174)      (34,114)     (9.0)%       (15.0)%
Net revenues               $253,338      $276,882     (8.5)%       (3.8)%
                                                               
Broadcast                  $66,330       $88,688      (25.2)%      (21.0)%
Media Pro Entertainment    5,409         2,293        Nm^4         Nm^4
New Media                  (478)         565          Nm^4         Nm^4
Central                    (8,303)       (9,882)      16.0%        14.0%
Elimination                (2,216)       (499)        Nm^4         Nm^4
Consolidated OIBDA         $60,742       $81,165      (25.2)%      (20.7)%
                                                               
^5 Reflects revenues earned by the Media Pro Entertainment segment through
sales to the Broadcast segment. All other revenues are third party revenues.


Liquidity

We ended 2012 with US$ 140.4 million of cash and cash equivalents. We continue
to take steps to conserve cash, including targeted reductions to our operating
cost base through cost optimization programs. In addition, we are exploring
further options to improve our liquidity, including new equity financings,
asset sales and continuing the renegotiation of payment obligations with a
number of major suppliers. In this respect, we are in discussion with Time
Warner regarding its possible participation in a public or private equity
offering.

Teleconference and Video Webcast Details

CME will host a teleconference and video webcast to discuss its fourth quarter
and full year results on Wednesday, February 27, 2013 at 9:00 a.m. New York
time (2:00 p.m. London time and 3:00 p.m. Prague time). The video webcast and
teleconference will refer to presentation slides which will be available on
CME's website at www.cme.net prior to the call.

To access the teleconference, U.S. and international callers may dial +1
785-424-1834 ten minutes prior to the start time and reference passcode
CETVQ412. The conference call will be video webcasted live via www.cme.net. It
can be viewed on iPads, iPhones and a range of devices supporting Android and
Windows operating systems.

The video webcast and a digital audio replay in MP3 format will be available
for two weeks following the call at www.cme.net.

CME will post the results for the full year and fourth quarter ended
December31, 2012 for its wholly-owned subsidiary CET 21 spol. s r.o. at
www.cme.net by March 31, 2013.

Forward-Looking and Cautionary Statements

This press release contains forward-looking statements. For all
forward-looking statements, we claim the protection of the safe harbor for
forward-looking statements contained in the Private Securities Litigation
Reform Act of 1995. Forward-looking statements are inherently subject to risks
and uncertainties, many of which cannot be predicted with accuracy or are
otherwise beyond our control and some of which might not even be
anticipated.Forward-looking statements reflect our current views with
respect to future events and because our business is subject to such risks and
uncertainties, actual results, our strategic plan, our financial position,
results of operations and cash flows could differ materially from those
described in or contemplated by the forward-looking statements.

Important factors that contribute to such risks include, but are not limited
to, the following: the effect of the economic downturn and Eurozone
instability in our markets and the extent and timing of any recovery; our
ability to access external sources of capital in light of our current severe
liquidity constraints; decreases in TV advertising spending and the rate of
development of the advertising markets in the countries in which we operate;
the extent to which our debt service obligations restrict our business; our
success in implementing our initiatives to diversify and enhance our revenue
streams; our ability to make cost-effective investments in television
broadcast operations, including investments in programming; our ability to
develop and acquire necessary programming and attract audiences; changes in
the political and regulatory environments where we operate and application of
relevant laws and regulations; and the timely renewal of broadcasting licenses
and our ability to obtain additional frequencies and licenses.

The foregoing review of important factors should not be construed as
exhaustive. For a more detailed description of these uncertainties and other
factors, please see the "Risk Factors" and "Forward-looking Statements"
sections in CME's Annual Report on Form 10-K for the period ended December31,
2012, which was filed with the Securities and Exchange Commission on February
27, 2013. We undertake no obligation to publicly update or review any
forward-looking statements, whether as a result of new information, future
developments or otherwise.

This press release should be read in conjunction with our Annual Report on
Form 10-K for the year ended December31, 2012, which was filed with the
Securities and Exchange Commission on February 27, 2013.

We make available free of charge on our website at www.cme.net our Annual
Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form
8-K and amendments to those reports as soon as reasonably practicable after we
electronically file such material with, or furnish it to, the Securities and
Exchange Commission.

CME is a media and entertainment company operating leading businesses in six
Central and Eastern European markets with an aggregate population of
approximately 50 million people. CME's broadcast operations are located in
Bulgaria (bTV, bTV Cinema, bTV Comedy, bTV Action, bTV Lady and Ring.bg),
Croatia (Nova TV, Doma and Nova World), the Czech Republic (TV Nova, Nova
Cinema, Nova Sport, Fanda, Smichov, Telka and MTV Czech), Romania (PRO TV, PRO
TV International, Acasa, Acasa Gold, PRO Cinema, Sport.ro, MTV Romania and PRO
TV Chisinau Moldova), the Slovak Republic (TV Markiza, Doma, Dajto and Fooor),
and Slovenia (POP TV, Kanal A and the POP NON STOP subscription package). CME
also operates Voyo, the pan-regional video-on-demand service. CME is traded on
the NASDAQ Global Select Market and the Prague Stock Exchange under the ticker
symbol "CETV".

CENTRAL EUROPEAN MEDIA ENTERPRISES LTD.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(US$ 000's, except per share data)
                                                     
                                                     For the Year Ended
                                                     December31,
                                                     2012        2011
Net revenues                                          $ 772,085   $ 864,782
Operating expenses:                                              
Operating costs                                       175,172     182,046
Cost of programming                                   377,983     399,774
Depreciation of property, plant and equipment         41,732      52,954
Amortization of broadcast licenses and other          46,627      34,881
intangibles
Cost of revenues                                      641,514     669,655
Selling, general and administrative expenses          96,274      119,587
Impairment charge                                     522,490     68,748
Operating (loss) / income                             (488,193)   6,792
Interest expense, net                                 (127,189)   (158,704)
Foreign currency exchange gain / (loss), net          4,922       (31,124)
Change in fair value of derivatives                   49,027      7,281
Other income                                          901         1
Loss before tax                                       (560,532)   (175,754)
Credit / (provision) for income taxes                 14,139      (3,850)
Net loss                                              (546,393)    (179,604)
Net loss attributable to noncontrolling interests     10,713      4,993
Net loss attributable to CME Ltd.                     $ (535,680) $ (174,611)
                                                                
PER SHARE DATA:                                                  
Net loss per share                                               
Net loss per share - Basic and diluted                $ (6.96)    $ (2.71)
                                                                
Weighted average common shares used in computing per             
share amounts (000's):
Basic and diluted                                     76,919      64,385

                                      

                                      

CENTRAL EUROPEAN MEDIA ENTERPRISES LTD.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (continued)
(US$ 000's, except per share data)
                                           
                                           For the Three Months Ended
                                           December31,
                                           2012        2011
Net revenues                                $ 253,338   $ 276,882
Operating expenses:                                    
Operating costs                             61,020      33,282
Cost of programming                         106,153     132,058
Depreciation of property, plant and         9,557       11,969
equipment
Amortization of broadcast licenses and      11,231      11,488
other intangibles
Cost of revenues                            187,961     188,797
Selling, general and administrative         26,026      31,443
expenses
Impairment charge                           522,490     68,748
Operating loss                              (483,139)   (12,106)
Interest expense, net                       (32,790)    (32,150)
Foreign currency exchange gain / (loss),    5,085       (32,576)
net
Change in fair value of derivatives         143         2,681
Other income                                742         770
Loss before tax                             (509,959)   (73,381)
Credit / (provision) for income taxes       6,875        (3,844)
Net loss                                    (503,084)   (77,225)
Net loss attributable to noncontrolling     8,889       4,834
interests
Net loss attributable to CME Ltd.           $ (494,195) $ (72,391)
                                                      
PER SHARE DATA:                                        
Net loss per share                                     
Net loss per share - Basic and diluted      $ (5.59)    $ (1.12)
                                                      
Weighted average common shares used in                 
computing per share amounts (000's):
Basic and diluted                           88,397      64,393


CENTRAL EUROPEAN MEDIA ENTERPRISES LTD.
CONDENSED CONSOLIDATED BALANCE SHEETS
(US$ 000's)
                                                                
                                                    December31, December31,
                                                     2012         2011
ASSETS                                                           
Cash and cash equivalents                            $140,393     $186,386
Other current assets                                 378,158      351,903
Total current assets                                 518,551      538,289
Property, plant and equipment, net                   206,706      217,367
Goodwill and other intangible assets, net            1,121,479    1,633,388
Other non-current assets                             327,979      292,725
Total assets                                         $2,174,715   $2,681,769
LIABILITIES AND EQUITY                                           
Accounts payable and accrued liabilities             $255,681     $240,048
Current portion of long-term debt and other          21,918       1,058
financing arrangements
Other current liabilities                            13,765       14,469
Total current liabilities                            291,364      255,575
Long-term portion of long-term debt and other        1,198,873    1,323,311
financing arrangements
Other non-current liabilities                        53,211       84,941
Total liabilities                                    $1,543,448   $1,663,827
                                                                
EQUITY                                                           
Common Stock                                         $6,174       $5,151
Additional paid-in capital                           1,556,250    1,404,648
Accumulated deficit                                  (982,513)    (425,702)
Accumulated other comprehensive income               46,150       17,595
Total CME Ltd. shareholders' equity                  626,061      1,001,692
Noncontrolling interests                             5,206        16,250
Total equity                                         $631,267     $1,017,942
Total liabilities and equity                         $2,174,715   $2,681,769

                                      

CENTRAL EUROPEAN MEDIA ENTERPRISES LTD.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(US$ 000's)
                                                    
                                                    For the Year Ended
                                                    December31,
                                                    2012         2011
Net cash (used in) / generated from operating        $ (30,027)   $ 29,638
activities
Net cash used in investing activities                (32,426)     (42,698)
Net cash generated from / (used in) financing        11,896       (38,168)
activities
Impact of exchange rate fluctuations on cash and     4,564        (6,436)
cash equivalents
Net decrease in cash and cash equivalents            $ (45,993)   $ (57,664)
                                                                
                                                                
Net cash (used in) / generated from operating        $ (30,027)   $ 29,638
activities
Capital expenditure, net of proceeds from disposals   (32,426)  (33,101)
Free cash flow                                       $ (62,453)   $ (3,463)
                                                                
                                                                
Supplemental disclosure of cash flow information:                
Cash paid for interest                               $ 104,650    $ 111,802
Cash paid for income taxes (net of refunds)          $ 6,442      $ 6,315

Segment Data

We manage our business on a divisional basis, with three reportable segments:
Broadcast, Media Pro Entertainment (our production and distribution business)
and New Media.

We evaluate the performance of our segments based on Net revenues and OIBDA.
OIBDA, which includes program rights amortization costs, is determined as
operating income / (loss) before depreciation, amortization of intangible
assets and impairments of assets. Items that are not allocated to our segments
for purposes of evaluating their performance and therefore are not included in
their OIBDA, include stock-based compensation and certain other items. We
believe OIBDA is useful to investors because it provides a more meaningful
representation of our performance, as it excludes certain items that do not
impact either our cash flows or the operating results of our operations.OIBDA
is also used as a component in determining management bonuses. Intersegment
revenues and profits have been eliminated in consolidation.OIBDA may not be
comparable to similar measures reported by other companies.

Below are tables showing our Net revenues and OIBDA by segment for the three
and twelve months ended December31, 2012 and 2011, together with a
reconciliation of OIBDA to our Condensed Consolidated Statement of Operations:

                                      

                       
                       For the Year        For the Three Months
                       Ended December 31,  Ended December 31
(US $000's)             2012      2011      2012       2011
Net revenues                                        
Broadcast:                                          
Bulgaria                $83,027   $93,732   $27,293    $30,373
Croatia                 54,618    61,502    18,422     19,053
Czech Republic          241,034   285,865   80,017     90,212
Romania                 134,029   159,387   41,978     46,962
Slovak Republic         88,853    101,973   32,436     34,834
Slovenia                63,794    72,519    20,902     23,628
Total Broadcast         $665,355  $774,978  $221,048   $245,062
Media Pro Entertainment 205,064   187,224   63,445     60,649
New Media               18,690    15,764    6,019      5,285
Intersegment revenues   (117,024) (113,184) (37,174)   (34,114)
Total net revenues      $772,085  $864,782  $253,338   $276,882

                                      

                                                                           
                       For the Year              For the Three Months
                       Ended December 31,        Ended December 31,
(US $000's)             2012          2011        2012          2011
OIBDA                                                        
Broadcast:                                                   
Bulgaria                $13,857       $12,897     $10,464       $7,682
Croatia                 5,892         4,659       1,723         3,798
Czech Republic          101,677       140,386     39,082        52,795
Romania                 10,156        25,939      785           8,568
Slovak Republic         6,535         9,968       8,313         8,284
Slovenia                14,213        19,602      7,208         8,205
Divisional operating     (4,601)  (2,361)  (1,245)   (644)
costs
Total Broadcast         $147,729      $211,090    $66,330       $88,688
Media Pro Entertainment 15,912        3,996       5,409         2,293
New Media               (4,225)       (2,558)     (478)         565
Central                 (27,531)      (41,851)    (8,303)       (9,882)
Elimination              (6,463)   (3,675)  (2,216)  (499)
Total OIBDA             $125,422      $167,002    $60,742       $81,165

                                      

                       
                       For the Year                 For the Three Months
                       Ended December 31,           Ended December 31,
(US $000's)             2012          2011           2012          2011
Reconciliation to
Condensed Consolidated                                          
Statement of
Operations:
                                                               
Total OIBDA             $125,422      $167,002       $60,742       $81,165
Depreciation of
property, plant and     (44,498)      (56,581)       (10,160)      (13,035)
equipment
Amortization of         (46,627)      (34,881)       (11,231)      (11,488)
intangible assets
Impairment charge        (522,490)  (68,748)  (522,490)  (68,748)
Operating (loss) /      $(488,193)    $6,792         $(483,139)    $(12,106)
income
Interest expense, net   (127,189)     (158,704)      (32,790)      (32,150)
Foreign currency
exchange gain / (loss), 4,922         (31,124)       5,085         (32,576)
net
Change in fair value of 49,027        7,281          143           2,681
derivatives
Other income            901           1              742           770
Credit / (provision)    14,139                6,875         
for income taxes                      (3,850)                      (3,844)
Net loss                $(546,393)    $(179,604)     $(503,084)    $(77,225)

CONTACT: Romana Wyllie
         Vice President of Corporate Communications
         Central European Media Enterprises
         +420 242 465 525
         romana.wyllie@cme.net
         www.cme.net
 
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