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Company Brief

Mumbai, October 31, 2007

B.A.G Films & Media Limited (Formerly known as B.A.G. Films Limited), a leading Media Company in India, today announced its financial results for the second quarter ended 31 October 2007. The Company, with a presence in the Programming, Films and New Media Business segments besides running a Media School, has delivered strong financial and operating growth on a quarterly basis.

Commenting on the performance for Q2 FY 2008, Ms. Anurradha Prasad, Managing Director, B.A.G. Films Limited, said:

“Our performance in the quarter ended October 31, 2007 has been quite satisfactory. Strong emphasis on cost control measures have yielded higher bottom line. Going forward, we are confident of continuing to achieve healthy revenue and profitability growth”

Financial performance review:

Q2 FY 2008 (July - September 2007)

B.A.G. Films’ Net income from sales / operations appreciated 2% to Rs 120.56 millions. The Profit before Tax increased 101% to Rs 20.37 million. Profit after Tax was higher by 45% to Rs 11.4 million.

Half Yearly FY 2008 (April 2007 - September 2007)

B.A.G. Films’ Profit before tax increased 70% to Rs 32.22 million. Profit after Tax was higher by 43% to Rs 19.25 million. Net income from sales / operations appreciated 3% to Rs 212.47 million from Rs.205.81 million last year.

New Initiatives

BAG Films is launching its first television channel next month through its subsidiary. The Channel is called NEWS 24. Within the next quarter the Company is launching its second channel called E-24.

BAG Films & Media Limited (Formerly known as B.A.G. Films Limited) already has 10 FM Radio licenses by the name of RADIO DHAMAAL at 106.4 FM through its subsidiary B.A.G. Infotainment (P) Limited in the cities of Hissar, Karnal, Patiala,Shimla, Muzaffarpur, Ranchi, Jabalpur, Jalgaon ,Dhule and Ahmadnagar out of which 6 stations are already operational.

Gulab Makhija/ Manish Sinha

B.A.G. Films & Media Limited

Tel: 0120 3911444 / 555

Fax: 0120 3911401

e-mail: gulab@bagfilms.com

manish.sinha@bagfilms.com