- LAUNCH OF METRO IN SAO PAULO Metro International S.A. ("Metro International"), the international newspaper group, today announced that it has entered into a joint venture and franchise agreement with Grupo Bandeirantes de Comunicação ("Grupo Bandeirantes"), one of the leading television broadcasters in Brazil. A new edition of Metro will be launched in Sao Paulo, Brazil, on 7th May 2007. Metro International has a 29.99% interest in the joint venture operation and will account for its interest in the company as an equity participation. Metro International will also receive a franchise fee reflecting Metro International's significant operational support of the joint venture. Grupo Bandeirantes owns the remaining shares in the joint venture and the operation will benefit from cross sales synergies with Grupo Bandeirantes' as well as Group Banderantes' considerable expertise of the Brazilian media market. Metro will initially distribute 150,000 copies in Sao Paulo under the name "Publimetro", a brand name which is already strongly established in Chile and Mexico. "Publimetro" will be one of the largest daily newspapers in Sao Paulo as well as one of Latin America's most-read titles. Sao Paulo, Brazil's leading economic centre, is with its population of c. 18 million inhabitants the fifth largest city in the world and is an ideal addition to the network of Metro International's global operations. Zenith Optimedia estimated that Brazil's gross newspaper advertising market grew 10% year-on-year in 2006 to c. US$ 1.2 billion, making it Latin America's largest newspaper advertising market. Pelle Törnberg, Metro International's President and CEO, commented: "This launch in Brazil builds on our established presence in Latin America and will complement our successful operations in Chile and Mexico, as well as in Portugal. We have found in Grupo Bandeirantes an ideal partner in Brazil and the operation will draw on the unique and complementary strengths of both shareholders and is also expected to benefit from the strong growth of Brazil's economy and its advertising markets. With Sao Paulo added to Seoul, New York and Mexico City, Metro is now in four of the five world's largest cities." "Franchise agreements have proven themselves to be a very efficient way for Metro International to penetrate new markets and increase Metro's unique global footprint. At the same time they ensure that the franchise editions remain true to the Metro model which constantly delivers young, active, well-educated, metropolitan readers to advertisers around the world." For further information, please visit www.metro.lu, email [email protected] or contact: Pelle Törnberg, CEO and President tel: +44 (0) 20 7016 1300 Birgitta Henriksson, Brunswick Group (IR Contact) tel: +46 (0) 708 12 86 39 ABOUT METRO INTERNATIONAL AND METRO Metro is the largest and fastest growing international newspaper in the world. Metro is published in over 100 major cities in 20 countries across Europe, North & South America and Asia. Metro has a unique global reach - attracting a young, active, well-educated Metropolitan audience of over 20 million daily readers. Metro International's advertising sales have grown at a compound annual rate of 41% since the launch of the first edition in 1995. Metro International 'A' and 'B' shares are listed on the OMX Nordic Exchange's Nordic List under the symbols MTRO SBD A and MTRO SBD B. ABOUT GRUPO BANDEIRANTES Grupo Bandeirantes is one of the most established and respected communication groups in Brazil. With 70 years of history and covering 95% of Brazilian territory, its TV channels and radio stations deliver independent journalism, sports and high quality entertainment. Grupo Bandeirantes media network includes two open TV networks (Band and Play TV), three cable channels (BandSports, BandNews and Terraviva), five radio networks (Rádio Bandeirantes, BandNewsFM, Nativa and Rádio SulAmerica Trânsito), one distributor of cable signal and content (TV Cidade), one recording company (Bandmusic) and the largest interactive platform in Brazil.