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Didier Guérin
President

Inside this issue:

20.2% growth in India 14.3% growth in China 9.2% growth across the region Magazine advertising expenditure in the Asia Pacific region's main markets is expected to grow at a rate of 9.2% in 2008 (compared with 4.3% in the US and 1.5% in Europe). Outside Japan – which is still contracting – four markets in the region will show the largest advertising growth: Australia, China, South Korea and India, representing close to US$1.9 billion of magazine advertising. Unless the US economy goes into a recession in early 2008, these four markets are expected to continue experiencing strong economic expansion until at least 2009. As has happened during the nine years Media Convergence Asia Pacific has been monitoring the region’s magazine advertising, China and India are expected to be the powerhouses with another year of double-digit growth. ZenithOptimedia* – which has been fairly conservative in its projection – forecasts China's magazine advertising spending will grow by 14.3% with India up by 19.8%. Based on the resources of the WPP network, GroupM is more bullish on China and predicts a 28% increase in 2008 compared with an 18% growth in India. * ZenithOptimedia is one of the world’s leading global media services agencies, with 175 offices in 69 countries. The annual Advertising Expenditure Forecasts report is based on the company’s tools for strategy development and implementation (ZenithOptimedia Optimisation of Media), which have been designed to add value and insight. The following analysis has been prepared by Media Convergence Asia Pacific, which has isolated the magazine industry data from ZenithOptimedia's Forecasts. All figures are in current prices.

Click on the flags below to be transferred directly to the country of your choice. Japan -0.5% Australia +5.0% China +14.3% South Korea +3.0% Taiwan +4.5% Hong Kong +9.5% India +20.2% New Zealand +2.0% Thailand +7.0% Indonesia +20.0% Singapore +4.7% Malaysia +2.5%

Mondadori will launch a local edition of its star performing up-market weekly fashion magazine, GRAZIA, in Australia, China and India in 2008. The Chinese edition will be published in cooperation with SEEC Media. Due to appear in September, the Indian edition will be monthly and published under a licence agreement by the Times of India and the British Broadcasting Corp. The launch date and the frequency of the Chinese edition have not yet been finalised . The Australian edition of GRAZIA will be published under licence by ACP, as a weekly magazine, probably in March 2008.

In Australia also, ACP has acquired 50% of Northern & Shell’s local subsidiary, publisher of the Australian edition of the weekly OK! magazine. Launched in 2004, the celebrity magazine is one of the most successful recent launches down-under with a circulation of about 150,000 copies a week.

In China, The Reader’s Digest will launch a local edition in January 2008, under a copyright co-operation agreement with Shanghai Puzhi Magazine Company - a subsidiary of the Shanghai Press and Periodical Development Company, which holds the licence for the magazine in China. The Chinese name for the magazine will be Puzhi - which translates to 'Universal Knowledge' - and the cover price will be RMB12 (€1.10). Puzhi Reader's Digest will be the 51st edition of Reader's Digest globally. Also in China, Trends Group launched a local edition of the Robb Report in November.

In India, Time Inc. has concluded two licence agreements with different partners to launch People and Fortune in 2008. The local edition of People will be published by the Outlook Group, a magazine publisher based in New Delhi. Following an "in-principle agreement", Fortune will be published by Ananda Bazar Patrika Pvt - a division of Eastern India’s powerful ABP Group, publisher of the Daily Telegraph and Business World, the leading weekly business magazine in India with a circulation of 135,000. Fortune India is expected to appear monthly.

The first issue of Vogue India sold about 50,000 of the 55,000 copies distributed nationally last September. With a cover price of 100 Rupees (€1.70), the magazine published by Condé Nast’s wholly-owned subsidiary carried a total of 396 pages. In March, Condé Nast also launched Self in China in cooperation with China Women’s Press. The first issue carried 92 advertising pages out of 350 pages and had to be reprinted a second time. Also in India, FHM was launched in October by Next Gen Publishing - a company owned by Forbes, HDFC and Emap, which recently acquired 41% of the company. This is the 31st edition of the beer and babes lad’s magazine.

In China, Autocar was launched in September 2007 by SEEC Media under a licensing agreement with Haymarket Media Group. The British publisher’s automotive title is a sister publication to the existing China Auto Pictorial. Separately, Haymarket Media Group launched Campaign India magazine last September. Published by the British media group’s wholly-owned subsidiary in Mumbai, Haymarket Media (India) Pvt Ltd. The marketing, advertising and media title appears every other Friday with an initial controlled circulation of 7,000 copies, growing to 10,000 by the end of 2008. The circulation will be audited by the BPA.

In Australia, the 180-page first issue of Woman’s Health was launched by Pacific Magazines in October. The magazine, published under licence from Rodale, distributed 100,000 copies and received a substantial television promotional support from Channel Seven, Pacific Magazines’ sister company. Last March, Rodale launched Prevention in India through a licensing agreement with India Today. With a cover price of 50 Rupees (€0.85), the initial print order was 50,000 copies.

Time Out has launched a local edition in Singapore, Delhi and Sydney. Starting last February, Time Out Singapore was launched by in-flight publisher, Ink Publishing, initially as a monthly magazine with a cover price of Sin$3.95 (€1.85). Then in April, Time Out Delhi was launched as a fortnightly edition by Paprika Media Private Ltd., with a 30 Rupees (€0.50) cover price. Finally in October, Time Out Sydney was launched as a weekly magazine by a new publisher on the market, Print & Digital Publishing, with a cover price of A$1.95 (€1.20), an initial print order of 35,000 copies and 16 pages of advertising.

In the Philippines, Summit Publishing Company launched a local edition of Town & Country in September, under a licence agreement with Hearst Magazine International. With a cover price of 150 PHP (€2.35), this is the fourth Hearst magazine to be released by the country’s leading magazine publisher. In Japan, International Luxury Media Co. launched the local editions of Town & Country and Rolling Stone, both under licence agreements.

In Thailand, a local edition of In Style was launched in May by Amarin Printing & Publishing under a licence agreement with Time Inc. The two partners had previously published the Thai edition of Parenting magazine. The 272-page monthly In Style Thailand’s first issue contained 100 pages of advertising. Also in Thailand, Business Week was launched last August under a licence agreement between McGraw-Hill and Bangkokstation Network. The Thai language edition is published monthly with a cover price of 175 Baht (€3.80) and an initial print run of 30,000.

In India, a local edition of HELLO! was launched last March by Worldwide Media, a company owned equally by BBC Worldwide and The Times Group. The glossy celebrity monthly magazine had an initial print-run of 50,000. The same month, HELLO! was also launched in Malaysia under a licence agreement with Hot Potato Publishing. The initial print order was 25,000 copies. In India, Meredith Corporation has launched a local edition of Better Homes & Gardens under a licensing agreement with Media Transasia.

And the most tragic launch: The first issue of the trendy young women’s magazine called NOW! went on sale on September 28th. The 54-page magazine featured Nicole Kidman on the cover revealing "My Secret Engagement". A good promotion with radio and billboard supported the launch. Unfortunately, the city was Rangoon. The next day 1,000 Buddhist monks demonstrated in the streets before the military regime started the most brutal and tragic slaughter of civilians in the history of Burma. The magazine never had a second issue.

BASIC BLACK: The Essential Guide for Getting Ahead at Work (and in Life) – 290 pages – published by Crown Business, New York – Cathie Black, President of Hearst Magazines, not only presents a complete review of a brilliant career with rare insights into the magazine business, but delivers a series of tips and valuable advice which can be used immediately. LA PRESSE DANS LE SANG – 184 pages – published by Robert Laffont, Paris – Gérald de Roquemaurel, former CEO of Hachette Filipacchi Médias, explains how the magazine world works with three essential values: passion, madness and intelligence.

For a review of the book by Didier Guérin, read The bow-tie man who changed the magazine world

"You cannot really win the media race of the 21st century unless you find your way in Asia. Winners without Asia will be half losers. " Roberto Briglia General Manager, Magazine Division Arnoldo Mondadori Editore S.p.A Segrate – Italy, November 15, 2007