SKY Network Television : 31.01.17 Interim Dividend Announcement

31 January 2017

Market Information Services Section NZX Limited

PO Box 2959

Wellington

Company Announcements Office ASX Limited

Level 4, 20 Bridge Street Sydney, NSW

Australia

Declaration of an Interim Dividend

SKY TV

PO Box 9059

Newmarket Auckland 1149 New Zealand

10 Panorama Road Mt Wellington Auckland 1060 New Zealand

T. [phone]

sky.co.nz skybusiness.co.nz

SKY Network Television Limited (SKY) advises that it will pay a fully imputed interim dividend of 15.0 cents per share to shareholders on its register on 15 February 2017 (Record Date), with payments to be sent to shareholders on 22 February 2017.

This dividend is being declared before release of SKY's interim results for the six months ended 31 December 2016 to enable payment of a dividend prior to the proposed merger with Vodafone New Zealand Limited (Vodafone NZ), completion of which remains subject to satisfaction of certain conditions.

The Board notes that under the terms of the sale and purchase agreement relating to the merger with Vodafone NZ (SPA), SKY would, in the absence of an amendment, only have been entitled at this time to pay a dividend of up to 10.0 cents per share to shareholders. Accordingly, SKY and Vodafone have agreed an amendment to the terms of the SPA to allow the 15.0 cent dividend to be paid. As part of that amendment agreement, if the merger with Vodafone NZ proceeds, the cash portion of the purchase price payable by SKY for Vodafone NZ will increase to reflect the 5.0 cents per share increase in the dividend that will be paid to SKY's existing shareholders before the merger.

Ends

For further information please contact:

Jason Hollingworth

Chief Financial Officer

SKY Network Television Limited [phone] mob: [phone]

[e-mail]

TO FAX ++64-4-473-1470 APPENDIX 7 - NZX CONDUCT RULES Notice of event affecting securities

Number of pages including this one (Please provide any other relevant

New Zealand Stock Exchange Listing Rule 7.12.2. For rights, Listing Rules 7.10.9 and 7.10.10. details on additional pages) For change to allotment, Listing Rule 7.12.1, a separate advice is required.

SKY NETWORK TELEVISION LIMITED

Full name of Issuer

JASON HOLLINGWORTH

Directors' Resolution

Name of officer authorised to Authority for event,

make this notice e.g. Directors' resolution

09 579 9999

09 525 8324

26 01 2017

Contact phone Contact fax

number number Date

Nature of event Bonus Tick as appropriate Issue	If ticked, state whether:	Taxable	/ Non Taxable	Conversion		I	nterest		Rights Issue Renouncable
Rights Issue non-renouncable	Capital change	Call	Dividend	x	If ticked, state whether:	Interim	x	Full Year	Special

EXISTING securities affected by thisIf more than one security is affected by the event, use a separate form.

Description of the ISIN

class of securities

NZSKTE0001S6

If unknown, contact NZX

Details of securities issued pursuant to this event If more than one class of security is to be issued, use a separate form for each class.

Description of the ISIN

class of securities

If unknown, contact NZX

Number of Securities to Minimum Ratio, e.g

be issued following event Entitlement 1 for 2 for

Conversion, Maturity, Call Treatment of Fractions

Payable or Exercise Date

Enter N/A if not applicable

Tick if provide an

pari passu OR explanation

Strike price per security for any issue in lieu or date of the

Strike Price available. ranking

Monies Associated with Event Dividend payable, Call payable, Exercise price, Conversion price, Redemption price, Application money.

Amount per security

In dollars and cents

$0.15

Retained earnings

Source of Payment

NZD

$0.026471

Supplementary Amount per security

Currency dividendin dollars and cents

$58,370,968

22 February, 2017

details - Listing Rule 7.12.7

Total monies

Date Payable

Taxation Amount per Security in Dollars and cents to six decimal places

$0.0104167

$

In the case of a taxable bonus Resident Credits

issue state strike price Withholding Tax (Give details)

Timing (Refer Appendix 8 in the Listing Rules)

Record Date 5pm Application Date

For calculation of entitlements - Also, Call Payable, Dividend /

15 February, 2017

22 February, 2017

must be the last business day of Interest Payable, Exercise Date,

a week Conversion Date. In the case

of applications this must be the last business day of the week.

Notice Date Allotment Date

Entitlement letters, call notices, For the issue of new securities.

conversion notices mailed Must be within 5 business days

of record date.

OFFICE USE ONLY

Ex Date:

Commence Quoting Rights: Security Code:

Cease Quoting Rights 5pm:

Commence Quoting New Securities: Security Code:

Cease Quoting Old Security 5pm:

$0.058333