1	Pierre Francoeur President and Chief Executive Officer Sun Media Corporation Appointed President and Chief Executive Officer of Sun Media Corporation in May 2001 Also Publisher and Chief Executive Officer of Le Journal de Montréal since 1995 Has been with Le Journal de Montréal and Quebecor for 13 years in various executive positions Has worked in the newspaper business for over 30 years Before joining Le Journal de Montréal, began his career as a reporter with the Sherbrooke daily La Tribune and founded the newspaper L’Hebdo de Laval
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3	Overview of Sun Media URBAN DAILIES Québec (Journal de) Montréal (Journal de) Montréal Métropolitain Ottawa SUN Toronto SUN London Free Press Winnipeg SUN Edmonton SUN Calgary SUN
4	Overview of Sun Media (C$ in millions) Urban Daily Group Community Newspaper Group Consolidated LTM Revenue: $623.7 (74%) $215.6 (26%) $839.3 LTM EBITDA: $180.9 $50.7 $221.1 EBITDA Margin: 29.0% 23.5% 26.3%
5	Overview of Sun Media Nationwide presence covering key markets offers national advertising solutions Clustering provides significant cost efficiencies and opportunities for bundled advertising packages
6	Overview of Sun Media Note: Revenues and EBITDA exclude discontinued operations
7	Overview of Sun Media Selected capital expenditures with accelerated payback Digital-to-plate, additional colour capacity, automated inserting, new system for classifieds in Toronto and Montréal Cost containment initiatives Consolidation of printing and administrative services Launch of new products and supplements Sports Xtra magazine, Votre Argent (Montreal), Le Journal de Sherbrooke and Le Journal de Trois-Rivières Recent recapitalization Refinancing of bank debt Provides for increased flexibility Selected divestitures of non-strategic assets British Columbia Florida
8	Overview of Sun Media Increase revenues Strengthen sales force and focus on selling by market Implement value-based pricing strategies Execute initiatives to drive circulation growth Capitalize on cross-promotion opportunities across Quebecor Media’s platforms Convergence sales meeting each month Share content (Star Académie, Mannequin d’un jour, etc.) Maintain stringent focus on costs Continue to apply best practices and benchmarking Capitalize on benefits of geographic clustering Invest additional capital to improve quality of publications and streamline production process Continue to invest in digital-to-plate, digital cameras and colour capability
9	Competitive Strengths
10	Competitive Strengths Toronto SUN Paid Circulation: Daily 203,000 Sat 173,000 Sun 365,500 Ottawa SUN Paid Circulation: Daily 49,800 Sat 44,500 Sun 52,900 Journal de Montréal Paid Circulation: Daily 266,400 Sat 314,700 Sun 265,500 Journal de Québec Paid Circulation: Daily 100,100 Sat 125,600 Sun 102,100
11	Competitive Strengths Edmonton SUN Paid Circulation: Daily 69,900 Sat 69,200 Sun 98,700 Calgary SUN Paid Circulation: Daily 64,200 Sat 63,900 Sun 96,300 Winnipeg SUN Paid Circulation: Daily 44,300 Sat 43,200 Sun 55,800 London Free Press Paid Circulation: Daily 93,100 Sat 112,600 Sun 66,000
12	Competitive Strengths Weekly readership of over 5 million which is very appealing to advertisers (in 000’s) Publication Market Position Avg. Daily Circulation Weekly Readership Year Founded Le Journal de Montréal 1 262.2 1,231.6 1964 The Toronto Sun 2 210.5 2,002.2 1971 Le Journal de Québec 1 96.3 345.3 1967 The London Free Press 1 91.1 246.5 1849 The Edmonton Sun 2 72.8 343.4 1978 The Calgary Sun 2 66.7 362.3 1980 The Winnipeg Sun 2 46.2 263.8 1980 The Ottawa Sun 2 50.8 250.3 1988 Total 896.6 5,045.4
13	Competitive Strengths Alberta 609,000 copies 2 Dailies 46 Weeklies / Shoppers 2 Agricultural Pubs Saskatchewan 35,000 copies 6 Weeklies Manitoba 115,000 copies 1 Daily 12 Weeklies / Shoppers Ontario 1,678,000 copies 4 Dailies 40 Weeklies / Shoppers 8 Specialty Pubs 7 Agricultural Pubs Quebec 1,278,000 copies 55 Weeklies / Shoppers 2 Alternative Pubs
14	Competitive Strengths Average weekly circulation of 3.7 million including 565,000 paid copies Seven paid dailies which are typically the only paid papers in their markets Distributed in strategically clustered markets surrounding urban dailies Provide efficiency benefits in production and administration as well as bundling opportunities with urban papers Provide stable and consistent free cash flow
15	Competitive Strengths Urban daily newspapers covering 8 of the top 11 markets in Canada #1 or #2 position in each market Le Journal de Montréal and Toronto Sun are the 2^nd and 3^rd largest non-national daily newspapers in Canada Ad space less expensive relative to competing broadsheets Provide comprehensive news coverage with emphasis on local news, sports and entertainment Weekly readership of 4.4 million High exclusive readership – on a weekly basis, 52% of readers do not read competing paid newspapers #1 in the 18 to 49 year-old demographic
16	Competitive Strengths More male readers, from 18 to 49 years old, than competition Advertising in the London Free Press, Le Journal de Montréal and Le Journal de Québec on Saturday, and in the Edmonton Sun, Calgary Sun, Winnipeg Sun, Toronto Sun and Ottawa Sun on Sunday, reaches 850,000 male readers aged between 18 and 49 years old 133,000 more male readers than competition *
17	Competitive Strengths Newspapers have maintained a stable share of total Canadian ad spending despite increased competition from other media Source: Based on Television Bureau of Canada compilation of various industry sources.
18	Competitive Strengths Largest newspaper publisher in Quebec and second largest in Canada #1 or #2 ranked daily newspapers in 8 of the top 11 markets
19	Competitive Strengths Advertising linage market share has increased in 5 of the 7 tabloid Urban Daily papers year-over-year
20	Competitive Strengths Top 10 national advertising clients collectively account for only 5% of total revenue and 7% of advertising revenue
21	Competitive Strengths
22	Competitive Strengths Portfolio of assets has proven resilience to advertising slowdown Sun Media’s focus on costs has increased EBITDA margins and driven EBITDA growth Proven track record
23	Competitive Strengths Continuously delivers industry-leading margins
24	Competitive Strengths Management depth with an average of over 20 years of industry experience, largely with Sun Media
25	Growth Potential
26	Growth Potential Financial Profile Profitable Immediately accretive to net earnings Dovetails with clustering strategy Significant synergy opportunities Purchasing savings Manufacturing savings Distribution savings SG&A savings New products
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