US Development to Date

Agenda

• The 2-year development story

• Aegis Media US today

• Deeper look at iProspect and Carat in the US

• Future market development and opportunities for Aegis Media

Overview

• Fundamental change in the last 24 months

• The US market increasingly sophisticated from a media perspective

• Digital at the center of client thoughts and actions

• Legacy structures and processes are barriers to change in the advertising and media market

• Aegis Media demonstrating competitive advantage in almost every area of business

May 2009 - Today

Diversified Services

North America - May 2009

RECESSION DISCONTINUITY CONVERGENCE

Business Turnaround

• Focus on Vision, People and Product

• Exploit market discontinuity

• Identify areas of competitor vulnerability

• Leverage potential Aegis Media advantages

• Complete review of business support functions

• Create belief and inspire energy and action

• Create an organization of the future “Designed for Convergence”

60.90.180 Transformation Program Product & Capability Development

• Data & Insight • Social Media Strategy

• Sustainability Marketing• Carat • Search

• Specialist Capability Development (Content, Creative & Experience)• Vizeum re-launch

• Carat Trade• Procurement

Rationalize

• Property / Geography• Back End &

Support Services• Outsourcing

Brand Architecture Business Unit’s

Driving All

ProjectsHigh Performance

• Jump Tank• AMNA Leap

• HR – Talent & Training• Culture

Business Strategy & Planning• AMNA

• Business Units

GroupNew Business

Vision

Brand Architecture

Operating Model

Product: Organizing Principle &

Process

One OrganizationFinancial Enablement

Key Actions

• Vision - Convergence

• People - Emerging talent

• Management - Change

• Product – Renew and expand

• Innovation - Jumptank

• New Business and Marketing – New business

• Functional support - Upgrade

• Structure and Operating Model - Breakthrough solution

CONVERGENCE

CONVERGENCE - EVERYTHING INTERCONNECTEDINTERDEPENDENT AND TRANSPARENT

CONSUMERS DRAWN TO NEW BRAND ATTRIBUTES -SOCIAL, MOBILE, TRANSACTIONAL & SUSTAINABLE

Redefining How Brands Communicate Within An Ecosystem Approach

Bought Owned Earned

And Redefining The Consumer’s Interconnected Relationship With Media

Bought Owned Earned

Bought Owned Earned

Turning Earned Media into the new Mass Media

+

+

A NEW WAY OF WORKINGFOR NEW POSSIBILITIES

SPECIALIST

HOLISTIC

INTEGRATED

Designing the organization for Convergence

• A crystal clear understanding of the difference between strategy and execution

• An expert understanding of the role of all communications disciplines has to be integrated into the holistic strategy and service delivery of all our agencies

• Deep executional capabilities in key specialist disciplines need to be developed as centers of excellence

• The specialist disciplines cannot be trapped in silos and unable to be leveraged by the organization as a whole

• The organization needs an Operating Model that enables leverage

• The organization needs a culture where collaboration is second nature

Aegis Media North America – Internal Re-launch Sept 2009

Specialist Brands

Integration BrandsClient entry interface for specialist, or integrated needs.

Specialist brands. Client entry interface for single, discreet needs.

Aligned and Synchronized with Aegis Media Global Strategy Development

Vision and Values

Innovation

Network Power Brands

One OrganizationalOperating Model

Aegis Media Chassis

1

2

3

4

5

Aegis Media

“Re-inventing the way brands are built”

The Operating Model – Competitive Advantage

Sustainabilit

yMarketingScience

InnovationLifestyleSports

Experience

Sustainability

Comms.Planning Media

Planning & Buying

Performance& Search

Full Service Digital

Full Service

OOHAccount

Leadership

• Specialist capabilities work together effectively to produce holistic strategies and integrated solutions

• Enabled by One P&L structure

• Breakthrough solution for frustrated clients

The Operating Model: Aegis Media 2011

The Operating ModelBrand Led: Total System Leverage

The Operating ModelBrand Led: Total System Leverage

The Operating ModelBrand Led: Total System Leverage

The Operating ModelBrand Led: Total System Leverage

The Operating ModelBrand Led: Total System Leverage

The Operating ModelBrand Led: Total System Leverage

Key Successes to Date

• Major client wins across every business, with market leading performance by Carat

• Establishment of a genuinely differentiated market position

− Delivering a product designed for the convergence

− Digital represents 45% of total group revenue (33% above market)

• Clear sense of one organization and a culture of collaboration

• Starting to build profile amongst influencers in a market open to innovation

• Attracting and retaining strong talent

New Business – Group Wide Success

Source is AMNA internal

Driving the economic value of the operating Model: 2011 Top 20 Clients

Procter & Gamble N/A

Pfizer N/A

adidas/Reebok N/A

The Home Depot N/A

Diageo N/A

Pernod Ricard N/A

The Walt Disney Company N/A

University Of Phoenix N/A

Relativity Media N/A

Beiersdorf N/A

AT&T

FedEx

Wyndham N/A

Outback Steakhouse N/A

Sears

JM Smucker's N/A

Pepsi

Kohler N/A

Staples

Philips N/A

LEAD PARTNER NO RELATIONSHIP - CLIENT DEVELOPMENT OPPORTUNITY

2011 Priorities

• Build on momentum

• Drive the economic value of the Operating Model

• Build specialist capabilities

• Further leverage technology platforms and partnerships to enhance data and electronic trading capabilities

• Build a competitive Vizeum

• Scale Innovation

• Acquisitions to drive Innovation, Infill, and Scale