Eutelsat statement on the suspension of broadcasting activities with respect to certain channels in Russia and Iran

Paris, 22 December 2022 – Eutelsat Communications (Euronext Paris: ETL) implements as soon as possible all restrictive measures on broadcasting activities adopted by the competent French and European Union regulatory bodies in line with its commitments. In this context, and as of Wednesday, 21December 2022, Eutelsat has enforced the following:

With respect to Russia:

• Pursuant to the decision of the French Regulatory Authority for Audiovisual and Digital Communication (ARCOM) dated 14 December 2022, Eutelsat has ended all involvement in the broadcast of three channels, Rossiya One, Pervyi Kanal and NTV, within the prescribed 7-day compliance period.
• Pursuant to the Council of the European Union (EU) Regulation 2022/2474 of 16 December 2022, these three channels as well as a fourth, RenTV, will be subject to sanctions if so confirmed by the Council by 1 February 2023, in accordance with the notice 2022/C 481 I/04 released by the Council on 19 December 2022.
• In the process of implementing or preparing for the implementation of the aforementioned measures, Eutelsat has also ensured that it is not involved in the broadcasting of RT News in Russia. Moreover, Eutelsat reviews on a regular basis its distribution partners globally to ensure that the provisions of Article 2(f) of EU Regulation 2014/833 on the broadcasting prohibition of certain Russian channels are fully respected.

With respect to Iran:

• Pursuant to the Council of the EU Regulation 2022/2428 dated 12 December 2022, Eutelsat has ceased all Islamic Republic of Iran Broadcasting (IRIB)-related broadcasting activity.

For FY 2022-2023, the implementation of these measures is estimated to have a negative combined impact of between 10 and 15 million euros on Group Revenues, and of between 15 and 20 million euros on EBITDA, taking account of related collection costs and risks. The estimated impact on the Group’s Adjusted Discretionary Free Cash Flow for FY 2022-2023 is c. 10 million euros.

The Group’s objective for revenues from the five Operating Verticals for FY 2022-23 is mechanically adjusted to take account of these impacts and is now expected between 1,135-1,165 million euros (based on a EUR/USD rate of 1.00). The objective of Adjusted Discretionary Free Cash Flow expected at an average of 420 million euros per year for FY 2022-23 and FY 2023-24 (based on a EUR/USD rate of 1.00) is confirmed[1].