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1
Bank of America Securities35th Annual Investment
Conference September 19, 2005 - San Francisco
2
Safe Harbor Act

• Except for historical information contained
  herein, certain statements in this document may
  constitute forward-looking statements made
  pursuant to the safe harbour provisions of the
  Private Securities Litigation Reform Act of 1995.
  Forward-looking statements are subject to known
  and unknown risks and uncertainties that could
  cause Quebecor Medias actual results to differ
  materially from those set forth in the
  forward-looking statements. These risks include
  changes in customer demand for Quebecor Medias
  products, changes in equipment costs and
  availability, pricing actions by competitors, and
  general changes in the economic environment.
• Currency
• Unless noted otherwise, all dollars are expressed
  in Canadian dollars.
• LTM Results are for the period ended June 30,
  2005

3
Management Attendees

• Jacques Mallette Executive Vice President
  and Chief Financial Officer
• Mark DSouza Vice President and Treasurer

4
Corporate Structure

• Leading Canadian multi-platform media company

(C in millions)
54.7
45.3
Inc.
LTM Revenue 2,581 LTM EBITDA 719
45 Economic 99 Voting
100
100
Other
1 Pay television operator in Quebec 3 in
Canada 1 video store chain in Quebec
Largest newspaper publisher in Quebec second
largest in Canada
Book RetailingNew MediaBusiness Telecom
Largest French language broadcaster and magazine
publisher in Quebec and in North America
LTM Revenue 926 LTM EBITDA
365
LTM Revenue 907 LTM EBITDA
227
LTM Revenue 443 LTM EBITDA
63
LTM Revenue 378 LTM EBITDA
70
Note Segmented revenues include inter-company
revenues. Segmented EBITDA excludes head
office. Pro forma substantial issuer bid.
5
Leading Market Positions

• Quebecor Media can reach 60 of English Canadians
  in Major Canadian Markets and 95 of French
  Canadians in Quebec on a weekly basis

Leading Market Position in Quebec
1 Newspaper publisher 1 Cable operator 1 High
speed Internet service provider 1 Television
broadcaster 1 Magazine publisher 1 Video store
chain 1 Music producer/distributor/retailer 1
Internet portal
National Presence
2 Newspaper publisher Leading content-focused
national and local Internet portals
Sources BBM Survey (Sep 1 Nov 30, 2004)
NADbank 2003 PMB 2004 comscore (Media Metrix
December 2004) CARD (Infopresse Annual Media
Guide) IMS (Media Mix)
6
Quebecor Media A Unique Platform in a
Unique Market

• Exclusive Internet and VOD content
• Point of sale advertising and sales of CDs
  and DVDs in retail stores
• Videotron Telecom (VTL) handled
• telephone voting

Produced, distributed and retailed 4 spin-off
multiple platinum (Canada) CDs
Published several special issue magazines and
increased circulation of its entertainment
magazines
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Nationwide Presence and Strategically Clustered

• Nationwide presence covering key markets offers
  national advertising and distribution solutions
• Clustering provides significant cost efficiencies
  and opportunities for bundled advertising packages

8 Paid Urban Dailies 3 Free Commuter Dailies
194 Community Newspapers andSpecialty
Publications
9
Demonstrated Financial Performance

• EBITDA has been growing at a 3.9 CAGR pace (5.1
  excluding the impact of the recent start-up of
  free dailies)

(C MM) EBITDA
(C MM) Revenue
CAGR 3.9
Excludes discontinued operations.
10
Maintained Strong Margins

• Despite the launch of three free dailies,
  stringent focus on costs has allowed Sun Media to
  consistently deliver industry leading margins

Peer Comparison (LTM 06/30/05)
EBITDA Margin
Publishing EBITDA Margin
As of Apr 30, 2005 As of May 31, 2005
N.B Torstar, GTC, Canwest newspaper ops.
11
Strong Advertising Market Share Trends
Urban Dailies ROP Linage
Market Share
Market share vs competing broadsheets
Source CNA March 2005 report
12
Free Dailies Remarkable Market Reception

• 24 hours Toronto has a pick-up rate of 98
• 24 heures has a circulation that is 11 higher
  than Metros
• 24 hours Vancouver has the highest trial and
  past-week readership of all new free Vancouver
  daily papers
• This market reception confirms our strategy and
  will translate into robust long term return on
  our current investment

Source NADbank 2004 Study Montreal CMA,
Toronto CMA. Ipsos-Reid, Vancouver Free, Daily
Newspaper Market Assessment,
April 2005, May 2005 Sample 500 for each
study Notes CCAB for the six months ending
March 2005 Distribution estimates
13
Continuing Focus on Profit Improvement Programs

• Expenses
• Newsprint (manage pages / waste)
• Labour (headcount / cost control)
• Centralizing processes
• Increasing automation (data entry processes)

• Revenue
• Increasing ad rates
• Increasing newspaper prices
• Increasing flyer revenues
• New products (Free dailies)
• Enhancing on-line revenues

• Investment
• 220M printing facilities investment by QMI
• 2.6M invested in new press (Leduc)
• Call centres
• Press room distribution equipment
• Urban circulation system
• Classified systems

14
Printing Plant Modernization

• QMI investment of 220M is underway for the
  modernization and consolidation of printing
  operations in Ontario and Montreal
• Enhancing product quality (heat set printing
  capability)
• Reducing costs (headcount, waste, productivity)
• Providing additional revenue opportunities
  (leasing of press time, colour revenues etc)
• Consolidating printing operations
  (Toronto-London, Montreal)

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Leading Canadian Cable Operator

• Cable TV
• 1,459 basic subs as of August 31, 2005
• 411 K digital subs
• Fastest growing digital TV provider in Canada
  (cable or satellite) over the LTM and last three
  years
• Superior offering including VOD and SVOD

• Internet
• 572 K subs as of August 31, 2005
• Fastest growing cable Internet provider in Canada
  during LTM
• Highest speed in its market

• Telephony
• Launched in H1-2005
• Hybrid VOIP telephony service
• 75,300 subscribers as of August 31, 2005
• Integration of Vidéotron Telecom Ltée (VTL) on
  January 1st, 2006
• Strong lift effect

• Wireless
• Initiative currently under study
• Would pursue under a MVNO strategy (white
  label)
• Would complete Vidéotron bundling offer

Quadruple Play
"Triple Play" Bundle
Source Company reports. Based on LTM ended
June 30, 2005 except for Shaw and Cogeco which
are as at May 31, 2005.
17
Vidéotron Key Priorities
Disciplined Growth
Cost Control

• Reduce costs and improve operating efficiency and
  productivity
• Vidéotron / VTL merger 3M in savings being
  implemented
• Strict control of programming costs
• Strict control of growth driven cost expansion
• Maximize marketing synergies within the QMI group
  of companies

• Maximize customer service through delivery of
  best experience
• Superior, high-quality products
• Exclusive entertainment content
• One-stop-shop
• Telephony THE TRIPLE PLAY BUNDLE
• Launch valued added services (a)
• Maintain and upgrade advanced broadband network
• Increasing Internet penetration
• Preferred supplier at retail level

• Note
• (a) Value added services include unified
  messaging, video-conferencing and world-wide VoIP
  connection.

18
Basic Cable Subscriber Base
Positive trend 6 consecutive quarters of net
adds on a LTM basis
2004
2005
2002
2003
Source Vidéotron
19
Digital Services Subscriber Growth

• Fastest growing Cable DTV and HSD service
  provider
• Bells recent anti-piracy measures (new smart
  cards) have been followed by increased momentum
  for Vidéotrons digital services

High-Speed Internet Customers
Digital Customers
Vidéotron CAGR 27
Vidéotron CAGR 42
2002
2003
2004
2005
2002
2003
2004
2005
Source Vidéotron and Company Reports
20
Growing ARPU Despite Intense DTH Competition

• 9.2 CAGR since 2001

Gross Total ARPU
CAGR 9.2
2002
2004
2001
2005
2003
Source Vidéotron (ARPU is gross of programming
credits and excludes accounting changes relating
to installation revenues starting Q2-04)
21
Taking Care of Business and Customers

• Improved Quality of Service and Bundling Lead to
  Lower Churn

Monthly Churn (a)
Call Answer Rate vs. Cable TV Churn
2001
2005
2002
2003
2004
2005
2004
Note (a) Figures presented are monthly averages
on a last twelve months (LTM) basis
22
Residential Telephony Subscribers
Telephony Subscribers
Roll-out Progress

• Exceptional consumer reception
• Strong lift experienced (more than one new
  product)
• Significant new customer penetration

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TVA Leading Margins and Market Share
Peer Comparison (LTM)
French-language TV Market Share
Industry leading margins
Consistently delivering strong market share
despite increased fragmentation 24 of top 30
shows in Spring 2005 season
As at May 31, 2005
Source Audimétrie BBM Monday - Sunday, 6am to
2am. 2 years
25
QMI Financial Review
26
QMI Diversified Financial Profile
LTM Revenue
LTM EBITDA
Business Telecommunications3.6
Business Telecommunications4.1
Newspapers35.1
Cable 50.7
Cable35.9
Newspapers 31.5
Leisure andEntertainment9.5
Leisure and Entertainment 3.3
Other Inter-Segment1.2
Other Corporate Expenses0.7
Broadcasting14.7
Broadcasting 9.7
719 Million
2.6 Billion
27
QMI Financial Performance
28
QMIs Financing Strategy

• Excess cash flow and conservative leverage at
  wholly-owned subsidiaries are utilized to reduce
  debt at Parent Company

(c)
45 Economic 99 Voting
58 Economic 58 Voting
100
100
Editions QMI
Leverage (Debt/LTM EBITDA) Current 2.4x
Leverage (Debt/LTM EBITDA) Current 2.7x
Leverage (Debt/LTM EBITDA) Current 1.7x
Unlevered
Unlevered
(a)
(b)
(c)
Excess Cash Flow Incremental Debt
Notes (a) As per Vidéotron credit agreement
actual at June 30, 2005 (excluding VTL) (b) As
per Sun Media credit agreement actual at June 30,
2005 (c) Pro forma substantial issuer bid
29
Optimizing Capital Structure

• Repurchased US140.3 MM principal amount of
  outstanding notes on July 19, 2005. Paid
  consideration of 215.3 MM
• Completion of QMI Sr Notes/Sr Discount Notes
  refinancing expected to reduce interest expense
  and drive significant free cash flow growth post
  Q2 2006
• Vidéotron US175M financing will reload QMI for
  anticipated next steps
• Unfettered and 100 access to wholly-owned
  subsidiaries excess cash flow
• QMI continues to make structural enhancements and
  improve financial performance
• QMI credit facility reduced to 75 MM, extended
  to 2007 with a 10 bps pricing reduction
• Increased liquidity at TVA combined with an
  extension of the maturity to 2010 and relaxed
  covenants

30
Delivering on Key Objectives Leverage

• Almost C1 billion in debt reduction over the
  last two and a half years

(C in millions)
(a)
(a)
(a)
(a)
(c)
(d)
(b)

• As per respective Credit Agreements
• Debt / proportionate EBITDA (restricted
  subsidiaries)
• Redeemable preferred shares held by the Carlyle
  Group
• Including FX differential liability of
  derivatives instruments. Net of prepayments of
  derivative obligations.

31
Delivering on Key Objectives Free Cash Flow
Growth
QMI Consolidated

• QMIs intense focus on profitable growth and cost
  containment has resulted in significant
  improvements in EBITDA and Free Cash Flow

Vidéotron
Sun Media
Note Free Cash Flow is defined as EBITDA less
interest expense less cash taxes less Capex
Sun Media FCF shows benefit of recovering taxes
from prior years
32
Delivering on Key Objectives Financial
Flexibility

• Debt maturities well staggered over the next ten
  years

QMI Consolidated Debt Maturity Profile
Notes Pro forma Vidéotron financing (US175M _at_
1.1800), QMI partial Notes repurchase and CF
Cable Notes repurchase US debt
converted at exchange rates under hedging
agreements.
33
QMI Key Priorities

• Continue to improve Free Cash Flow generation by
• Launching new products and services
• Cross selling using our multiple media platform
• Investing in cost reducing technologies
• Optimizing capital structure
• Execute residential telephony strategy
• Increase market share penetration with triple
  play bundle
• Targeting strategic acquisitions in core business
  segments
• Toronto One acquisition
• Six community newspaper swap and acquisitions in
  H1-2005