Central European Media Enterprises Comments on Today's Decision of the Ukrainian Court

Central European Media Enterprises Comments on Today's Decision of the Ukrainian Court

HAMILTON, Bermuda, Aug. 16 /PRNewswire-FirstCall/ -- In an oral decision issued today, a district court in Kiev ruled that Igor Kolomoisky is entitled to the 70% interest in Studio 1+1LLC currently held by Alexander Rodnyansky. In connection with that ruling, Central European Media Enterprises Ltd. (CME) (Nasdaq/Prague Stock Exchange: CETV) makes the following statement.

CME does not believe that the grounds for this decision are supported by the facts or the law. Its Ukrainian subsidiary Intermedia, which owns 30% of Studio 1+1 and is a party to the proceedings, will appeal this decision. This decision has not come into force; and following the filing of an appeal notice, the decision cannot be enforced during the pendancy of such an appeal.

Michael Garin, CME's Chief Executive Officer, commented: "Today's outcome is very disappointing, which is why we will appeal this decision. We have a longstanding binding agreement with our partners that we are entitled to a 60% interest in Studio 1+1 and they are entitled to a 40% interest. Alexander Rodnyansky is effectively a custodian of our interest until a previously agreed restructuring of the ownership of Studio 1+1 to reflect these ownership interests has been completed. Igor Kolomoisky has acknowledged this right in the course of the proceedings in Kiev. The 40% interest in Studio 1+1 is not the property of CME and we cannot compel the sale or transfer of it. Any transfer, however, can only be by legal means. Accordingly, we do not believe that any person can have a legitimate claim to a 70% interest in Studio 1+1. We are confident the government is committed to ensuring the interests of foreign investors in the Ukraine are protected."

CME is a TV broadcasting company with leading networks in six Central and Eastern European countries reaching an aggregate of approximately 82 million people. The Company's television stations are located in Croatia (Nova TV Czech Republic (TV Nova, Galaxie Sport), Romania (PRO TV, Acasa, PRO Cinema), Slovakia (Markiza, Galaxie Sport), Slovenia (POP TV, Kanal A) and Ukraine (Studio 1+1, Studio 1+1 International, Kino). CME is traded on the NASDAQ and the Prague Stock Exchange under the ticker symbol "CETV".

Forward Looking Statements

This press release contains forward-looking statements, including statements regarding the expected suspension of enforcement of this decision. For these statements and all other forward-looking statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy or are otherwise beyond our control and some of which might not even be anticipated. Future events and actual results, affecting our strategic plan as well as our financial position, results of operations and cash flows, could differ materially from those described in or contemplated by the forward-looking statements. Important factors that contribute to such risks include, but are not limited to, the rate of development of advertising markets in countries where we operate, general market and economic conditions in these countries as well as in the United States and Western Europe, the renewals of broadcasting licenses, the ability to acquire programming and the ability to attract audiences, the general regulatory environments where we operate and application of relevant laws and regulations.

For additional information, please visit www.cetv-net.com.

Source: Central European Media Enterprises Ltd.

CONTACT: Romana Tomasova, Director of Corporate Communications Central
European Media Enterprises +44-20-7430-5357, romana.tomasova@cme-net.com

Web site: http://www.cetv-net.com/

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