A fortnightly newsletter covering developments in the Chinese media industry. The newsletter is free and is also available for download at G2Mi.com. G2Mi.com is a leading website providing information and analysis on the global media industry.

1. China Media Monitor
Monitoring industry and company developments in the Chinese media industry
| Fortnightly newsletter | Issue No. 6, Published 29th June 2009 | Published by Heernet Ventures Limited (heernet.com) | Subscribe at G2Mi.com |
News
China Youth Media enters into agreement with MOGO Network
Walt Disney agrees HK Disneyland expansion deal with Hong Kong government
VisionChina Media appoints CFO
Star Publications acquires 20% stake in 701Sou
Alibaba Group launches business social networking website
Hotels.com launches Chinese website
Sohu.com Inc. launches 3G channel
China Unicom plans to invest CNY40 billion in Henan province
Shanghai Telecom introduces mobile payment ordering services
Madhouse enters into agreement with Best Tone
Data
Share Price Performance
Deal Sheet
Chinese media market coverage
Heernet Ventures publishes this newsletter as part of its research coverage of the Chinese media industry. You can access more
research on the Chinese media industry from our research website at G2Mi.com.
If you are a media company or financial investor seeking growth opportunities in the Chinese media industry, we can assist you to
ensure that you are successful in identifying and executing the best opportunities. With dedicated teams in both Europe and Asia,
we are well placed to provide ‘on the ground’ assistance and support.
We can help you understand the structure of the Chinese media industry and the key challenges that exist for foreign investors.
We can also assist with deep analysis of key industry segments and assist you in both identifying and negotiating with suitable,
local companies.
For an initial discussion, contact Harjinder Singh-Heer on +44 (0) 208 180 7223 or by email on harjinder@heernet.com.
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2. News
Media Internet
China Youth Media enters into agreement with Alibaba Group launches business social
MOGO Network networking website
25 June, 2009 17 June, 2009
China-based youth marketing and media company China Alibaba Group, an online ecommerce website operator has
Youth Media Inc. has announced that Youth Media (Beijing) launched Ren Mai Tong, an online community for business
Ltd, a wholly owned subsidiary, has entered into a people that integrates e-commerce and social networking
syndication agreement with MOGO, an online content functions. The website features online gaming, interactive
company. China Youth Media will provide MOGO’s youth functions, business card production, a cardholder for friends’
content on its Koobee Campus Network. business cards and news. It also offers an online payment
service through Alipay for online trading.
Walt Disney agrees HK Disneyland expansion deal
with Hong Kong government Hotels.com launches Chinese website
25 June, 2009 17 June, 2009
Walt Disney has agreed a deal with the Hong Kong The online hotel booking website, Hotels.com has launched
government for the expansion of Hong Kong’s Disneyland a Chinese version of its website (Hotel.cn) in cooperation
theme park. Disney will finance the expansion project while with eLong.com. eLong.com has offered its membership
the government will convert its existing loans into equity. platform to Hotels.com users to access information about
7,000 hotels in 400 Chinese cities. eLong, Inc. is an online
travel company in China that provides access to travel
VisionChina Media appoints CFO reservation services through web-based distribution
23 June, 2009 technologies.
VisionChina Media, a large out-of-home digital television
network, has appointed Scott Chen as CFO. Before joining
Sohu.com Inc. launches 3G channel
VisionChina, Chen was an executive director in the
investment banking division of Nomura in Hong Kong. 17 June, 2009
The online content and search engine company, Sohu.com
has launched a 3G mobile offering. The mobile channel is
Star Publications acquires 20% stake in 701Sou run in cooperation with Sohu’s entertainment channel and
19 June, 2009 offers 3G map and product trials. It is available through
Star Publications has acquired a 20% stake in 701Sou Pte 3g.sohu.com.
Ltd for S$5.0 million through an agreement with SPH
Interactive International Pte Ltd, a wholly owned subsidiary
of Singapore Press Holdings Ltd. 701Sou, launched in
November 2008, provides online directory search services in
China through its 701Sou.com website. Star Publications is
a Malaysian consumer publishing company.
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3. Telecom
Madhouse enters into agreement with Best Tone
China Unicom plans to invest CNY40 billion in 17 June, 2009
Henan province
China Mobile’s Madhouse advertising network has entered
20 June, 2009 into an agreement with Best Tone Information Service, a
China Unicom has announced that China United Network wholly owned subsidiary of China Telecom. Best Tone
Communications Group, a subsidiary, will invest CNY40 provides local search services in China. Madhouse will use
billion in Henan province over the next 5 years to build a 3G Best Tone's mobile advertising business and serve as Best
mobile network and fixed-line broadband network. Tone's preferred mobile advertising platform partner.
Shanghai Telecom introduces mobile payment
ordering services
12 June, 2009
Shanghai Telecom, a subsidiary of China Telecom, has
introduced an e-surfing mobile payment service in China.
The service enables mobile payments and comes with
integrated mobile ordering functionality.
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4. Information and analysis on the
Chinese media industry
We publish a wide range of reports and market data on the global media industry. Details on the publications can be
viewed at our online research shop (shop.g2mi.com). In addition to our publications, we can undertake bespoke research
and consulting assignments for clients. Our client base includes leading media companies, private equity firms and
investment banks.
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© Heernet Ventures Limited. All Rights Reserved

5. Share Price Performance
Company name Reuters Bloomberg Currency Current % Change
Code Code price
1 mth 6 mth 12 mth
Diversified Media
Sing Tao News Corporation Limited 1105.HK 1105:HK HK$ 0.4 0.0 9.6 -62.6
TOM Group 2383.HK 2383:HK HK$ 0.4 -1.1 33.3 -6.4
Broadcasting
Phoenix Satellite Television Holdings 2008.HK 2008:HKG HK$ 1.1 -9.3 55.1 -3.6
Shaanxi Broadcast & TV Network 600831.SS 600831:SHH CNY 8.0 2.0 40.7 12.0
Publishing
Ming Pao Enterprise Corp Ltd 0685.HK 685:HK HK$ 1.1 -5.2 -8.3 -45.0
Next Media Limited 0282.HK 282:HKG HK$ 1.1 -9.4 19.1 -65.4
Internet
Baidu BIDU.O BIDU:US US$ 293.2 22.2 137.0 -11.7
Alibaba 1688.HK 1688:HK HK$ 14.1 -27.6 158.4 34.6
i-Cable Communications 1097.HK 1097:HK HK$ 0.7 -4.0 35.2 -38.1
Shanda Interactive Entertainment Ltd SNDA.O SNDA:US US$ 58.5 6.4 93.5 140.7
Sina Corporation SINA.O SINA:US US$ 31.8 11.4 38.3 -27.7
Sohu.com Inc. SOHU.O SOHU:US US$ 65.6 21.0 54.0 -10.2
Tencent Holdings Limited 0700.HK 700:HK HK$ 92.8 18.5 86.1 47.9
Online Gaming
China Mass Media IC Corporation CMM.P CMM:US US$ 5.8 83.5 215.2 -71.0
Giant Interactive group Inc GA.N GA:US US$ 8.6 3.6 43.9 -33.0
Kingsoft Corporation Limited 3888.HK 3888:HK HK$ 5.4 -4.8 123.8 36.6
NetDragon Websoft Inc. 0777.HK 777:HK HK$ 5.0 -8.3 75.4 -51.5
Outdoor Advertising
Clear Media 0100.HK 100:HK HK$ 3.1 2.7 167.5 -52.8
VisionChina Media VISN.O VISN:US US$ 5.8 9.6 14.5 -66.6
© Heernet Ventures Limited. All Rights Reserved

6. Deal Sheet
A summary of key deals and joint ventures.
Sub Sector Investor Investee Terms Details
June-09 Publishing Star Publications 701Sou Pte Ltd S$5.0million Star Publications, a Malaysian company, publishes, prints
and distributes newspapers and magazines. 701Sou,
launched in November 2008, provides online directory
search services in China through its 701Sou.com website.
May-09 Online Media Ctrip.com International, Home Inns & Hotels HK$50 million Ctrip.com International Ltd provides online travel services
Ltd (China) Management Inc. (additional 9.52% for accommodation, airline tickets and package tours in
(China) stake) China. Home Inns & Hotels Management Inc. develops and
manages economy hotels in China under the Home Inn
brand.
April-09 Telecommunications China Mobile (China) Far EasTone HK$4.1 billion China Mobile is a telecommunications operator that offers
Telecommunications (12% stake) fixed, wireless and broadband services in China. Far
EasTone Telecommunications is a Taiwanese telecom
operator.
April-09 Publishing Pearson PLC (United Wall Street English US$145 million Pearson PLC is an international media company engaged in
Kingdom) (China) (100% stake) education, business and consumer publishing in the UK.
Wall Street English is a Chinese subsidiary of Wall Street
Institute and operates 39 English language training centres
in 7 Chinese cities.
April-09 Broadband China Broadband, Inc. AdNet Media n.d China Broadband Ltd. provides cable broadband services
Technologies Co. and publishes digital and analogue programme guides in
Ltd. the Shangdong province of China. AdNet Media
Technologies Co. Ltd. is a Beijing-based provider of
advertising content to Internet cafes.
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