CONTACT:  Jeff Pryor
Executive Vice President/Corporate Communications
Metro-Goldwyn-Mayer Inc.
p. 310-449-3446; e. jpryor@mgm.com;

MGM’S NEW CENTRAL EUROPEAN CHANNEL APPOINTS GENERAL MANAGER,

KEY STAFF MEMBERS AND SETS LAUNCH PLANS

Local Versions of MGM Channel Plan Launches this Month to over 1.5 million subscribers across Central Europe

Munich, Germany 4 October, 2006 -- MGM Networks, a division of Metro-Goldwyn-Mayer Studios Inc., and Chellomedia, a division of Liberty Global, Inc., have announced launch plans for their new MGM channel joint venture (50/50) for Central Europe, and the appointment of Klaus Michler as its General Manager.  The announcement was made today by Bruce Tuchman, Executive Vice President, MGM Networks and Mike Moriarty, CEO, Chellomedia Central Europe.

Planned for launch across the region starting October 26, 2006, The MGM Channel Central Europe will at launch be distributed to over 1.5 million cable and satellite (DTH) subscribers across Hungary, the Czech Republic, Slovakia and Romania.

In his new role, Michler will be responsible for managing the day-to-day operations of the MGM Channel as it gears up for launch, and going forward as it develops distribution and advertising sales opportunities across this region.  Michler will be based in MGM Networks’ regional headquarters in Munich, Germany and report to the joint venture’s board of directors.

Michler, a seasoned media executive with extensive experience in television in Central and Eastern Europe, joins MGM from Arbo Media in Munich, where he served as Chief Operating Officer and oversaw the advertising agency’s diverse operations across Central and Eastern Europe.  Prior to working at Arbo Media, Michler headed up marketing and research at Eurosport in Germany.

Bruce Tuchman, who heads MGM’s international channels, reporting to Chairman and CEO Harry E. Sloan, said “Klaus brings a very unique set of skills into this new role - - not only deep experience to the region, but also a very entrepreneurial approach to creating new revenue opportunities in this dynamic market.  He is the ideal candidate to manage and grow our new business, and we are very pleased to have him on board.”

Mike Moriarty, CEO, Chellomedia Central Europe, added, “Chellomedia is extremely pleased to be working with MGM on MGM Central Europe as this channel is a great opportunity to bring high quality programming to a brand new audience. MGM is associated with quality films and Klaus Michler has a strong track record, and with this combination we are confident that we will bring a broadly popular channel to this region. We look forward to working with Klaus and wish him well in his new role.

“I’m thrilled to be joining the MGM Channel at such an exciting time,” remarked Michler.  “We enter into the region endowed with an unrivaled combination of content and distribution:  The MGM brand, programming from the extraordinary MGM library, and commitments from UPC cable and satellite platforms across the region that will provide us with over 1.5 million subscribers at launch, and many more to come from UPC and other multichannel operators.”

Two other key appointments to the MGM Channel in Central Europe were also named today.  Sisco Schultis will serve as the joint venture’s Finance Director, joining the new channel from NBC Universal Global Networks in Munich, where he had been serving as Controlling Manager for the sales department.  In addition, Thorsten Schweer  will serve as the Channel’s Manager of Programming and On-Air, arriving from Premiere in Munich, where he had served as a Programming Manager.                       

The MGM Channel joint venture between MGM Networks and Chellomedia plans to commence broadcasting 24/7 starting October 26th across Hungary, the Czech Republic, Slovakia and Romania.  Versioned into local languages, over the coming months The MGM Channel Central Europe will feature handpicked selections from the esteemed MGM film library, including Never Say Never Again, The Magnificent Seven, Robocop, The Good, the Bad and the Ugly, A Bridge Too Far and Three Amigos.

The launch of the MGM Channel follows on the heels of the announcement at April’s MIP TV market that MGM and Liberty Global (through Chellomedia) would be forming a 50/50 partnership to launch and operate the channel, extending their already successful MGM Channel partnership in Latin America to these burgeoning markets of Central Europe.

About MGM Networks
MGM Networks manages Metro-Goldwyn-Mayer Studios Inc.’s interests in MGM-branded networks, Hollywood film studio joint venture channels and other programming services spanning markets across Europe, North and South America, Asia, Oceana and Africa. For more information, visit www.mgmchannel.com.

About Metro-Goldwyn-Mayer Inc.
Metro-Goldwyn-Mayer Inc., through its operating subsidiaries is actively engaged in the worldwide production and distribution of motion pictures, television programming, home video, interactive media, music, and licensed merchandise. The company owns the world’s largest library of modern films, comprising around 4,000 titles. Operating units include Metro-Goldwyn-Mayer Studios Inc., Metro-Goldwyn-Mayer Pictures Inc., United Artists Films Inc., MGM Television Entertainment Inc., MGM Networks Inc., MGM Distribution Co., MGM International Television Distribution Inc., Metro-Goldwyn-Mayer Home Entertainment LLC, MGM ON STAGE, MGM Music, MGM Consumer Products and MGM Interactive. In addition, MGM has ownership interests in international TV channels reaching over 110 countries.  MGM ownership is as follows: Providence Equity Partners (29%), Texas Pacific Group (21%), Sony Corporation of America (20%), Comcast (20%), DLJ Merchant Banking Partners (7%) and Quadrangle Group (3%). For more information, visit www.mgm.com.

About chellomedia
Chellomedia, is the European based content division of Liberty Global, Inc. and a leading international distributor of channels, content and video services. It currently owns and distributes 16 branded TV channels, On Demand and Interactive Services internationally as well a portfolio of Media Investments. Its operating companies and business units comprise: global thematic channels (Extreme Sports Channel, the channels of Zone Media Networks), regionally focused channels (chellomedia Iberia (Multicanal), chellomedia Benelux and chellomedia Central Europe) and services and investments (chellomedia on demand, chellomedia Interactive Services and chellomedia Investments). Chellomedia's main operations are based in London, Amsterdam, Budapest and Madrid.

About Liberty Global
Liberty Global is the leading international cable operator offering advanced video, voice and Internet-access services to connect its customers to the world of entertainment, communications and information. As of June 30, 2006, Liberty Global operated state-of-the-art broadband communications networks that served approximately 13 million customers in 17 countries, principally located in Europe, Japan, Chile, and Australia. Liberty Global's operations also include significant media and programming businesses such as Jupiter TV in Japan and Chellomedia in Europe.