Slide 1: Management Presentation: Fourth Quarter & Full Year 2005 Results
Management Presentation March 9, 2006 Fourth Quarter & Full Year 2005 Results MDC(K)PARTNERS
Slide 2: Forward Looking Statements and Other Information
MDC(K)PARTNERS Forward Looking Statements and Other Information This pesexation contans fad ooking Suamars. The Compay/srgmesataives may alco mike ormartlooking Sutenents orally fom tne 1 te Stands in ts pesatation thet ae not historia has, mclading Seta chet the Caupary's belt a epecations recent b
Slide 3: 2005 Estimates by Segment
MDC(K)PARTNERS Wakeing Saure Corporate Communications Preducte paves Commctidatea “Actual —-Eetinate” Actual Eslinale Actual ‘Eetiwale Actual’ ‘etme Revere $8634 g860-9570 GAOL 975-380 35-9450 MDC’ Share of EBITDA $1 6-47 7065-70 gs) S- 925) 30-325 can ms"? 1.00. $109 Shares Omeunding Basic ma 33 Di
Slide 4: Operating Expenses
MDC(()PARTNERS Operating Expenses Corto services sold Costof produ old Sikes ad oer Dea Operating incre margin Inceme (Less)ean Contning Operations Discatined operations Net income (Los) ‘Diree Menthe Ended Decenber 21, 2008 moa 86 Change 2008 mou Se Change 3 m3 3 m ms} 3es a1 a 43 Ws ons cn 7 Ho is
Slide 5: Summary of Segment Results - Revenue
MDC(()PARTNERS Summary of Segment Results - Revenue Bsn) “Three Menthe Ended December 31, ‘Twelve Mens Ended December 31, 2008 moos 96 Change 2005 B04 96 Change Revenue Staigic Maketing Services 3 85 8 a woe 8s Ba Bs (Custer Relationship Maagament wel 19 ao 6r2 29 RI Specialized Commamications Servi
Slide 6: Fourth Quarter 2005 Marketing Communications Revenue Growth by Segment
MDC(()PARTNERS Fourth Quarter 2005 Marketing Communications Revenue Growth by Segment Strategic Customer Specialized Weighted Marketing Relationship Communication Average Services Management Services Total Acquisition Growth, 35.2% Ss 1.5% 19.6% Foreign Exchange Growth 0.4% : 11% 0.5% Organic Growth
Slide 7: Full Year 2005 Marketing Communications Revenue Growth by Segment
Full Year 2005 Marketing Communications Revenue Growth by Segment MDC(()PARTNERS Strategic Customer Specialized Weighted Marketing Rebtionship Communication Average Services Management Services Total Acquisition Growth, 18% 67% 37.7% ForeignExchange Growth, 1.0% 3.5% 1.4% Organic Growth 27% 12.7% 13
Slide 8: EBITDA by Segment
MDC(()PARTNERS (ese ‘Dee Marthe Ended Deconber 2, ‘Twedve Months Ended Dec eer 2, 2008 ma 38 Change 2008 moo 6 ange EBA Marketing Communications Group ar nt ms 603 27 MS margin 22236 16396 12% 181% Secure Produce Entertonsd 46 oz) ane 0 40 0 magn 11996 a 17% 576 Coxporate Espenees 62 es Be 5) as) aa
Slide 9: MDC EBITDA by Segment
MDC(K)PARTNERS “Dhree Menthe Ended December 21, ‘Twelve Mendhy Ended Deconber 31, 2008 04% Change 2008 304% Change MDE EBITDA Sritegie Maeting Srvicee sous 8 at 26 $ 35 $a 960 Cuntamar Relationship Maaganent 16 24 ep 49 1 ean Specalaed Commamcations Savce 2s 09 sna 97 64 513 Marketing Communications
Slide 10: Cash EPS Reconciliation
MDC(()PARTNERS Cash EPS Reconciliation (US$ in rilions) Three Monihs “Twelve Months Ended Ended 1281/2005 1231/2005 Net (Loss) fiom Continuing Operations (on) BS Depreciation & Aneortzation 85 288 Goodwill apaizent é 05 Stock Based Conepensation og 33 Cash Earnings 19 2a Diluted Shares 239 233 [Cash
Slide 11: Free Cash Flow
MDC(()PARTNERS Free Cash Flow ‘Twelve Months Ended (USS in millions) December:31,2005 MDC EBITDA $32.6 Cash Distributions te MDC fram Unconsolidated Affliates 18 Capital Expencitures a3) Cash Taxes aa Cash Interest (er) FCF $145
Slide 12: Liquidity Profile
MDC(()PARTNERS Liquidity Profile Availah ke Liquidity at December 31, 2005 (Ussinmtions) Commitment Under Credit Facility 3 1000 Borrowings Under Credit Facility m2 Letters of Credit 45 Funds Available Under Credit Facility $183 Available Cash 33 Liquidity $16
Slide 13: Priorities for 2006
MDC(()PARTNERS Priorities for 2006 «Secure Products International *Organic Growth +Margin Improvement -Enhance Capabilities in Public Relations, Interactive and Data Analytics
Slide 14: 2006 Financial Outlook
MDC(()PARTNERS 2006 Financial Outlook (0 fi, a eh ne ‘Marketing Secure Coporaie Commumicatione Product Expenses Consolidated Reveme $e85-$205 989-491 © 74 $495 MDC’ Sate of EBITDA 52-54 n-12 (gan5 -4215) 415-455 Cashiers $1.25-$1.35 Fase Cash Flow" gis -#22 Shares Outstanding -Dilted 2B (0) cues = D
Slide 15: Appendix
Appendix MDC(K)PARTNERS
Slide 16: Potential Contractual Put Obligations and Impact on EBITDA
MDC(()PARTNERS Potential Contractual Put Obligations and Impact on EBITDA Estimated Put Impact (US$ in thous) Cash Stock EBITDA, 2006 § 9507 $ 672 $ 3,754 2007 720 1,206 3,154 2008 26,152 6,447 7,245 2009 26,339 7,042 3,738 2010 8,653 3,332 104 Thereafter 1,891 1,805, 529
Slide 17: Customer Relationship Management and Specialized Communication Services
Customer Retationship Management Allard Johnson ACLe Colle & Mevoy Crispin Porter Bokusky Fletcher Martin Kirshenbaum Bond + Partners, Margeotes Fertitta Powell Vitro Robertson ‘Zyman Group MDC(()PARTNERS Banio Bratskeir Bruce Mau Bryan Mills Chimici Computer Composition Hella Henderson bas Speciali
Slide 18: Summary of Segments — Secure Products International
MDC(K)PARTNERS Summary of Segments — Secure Products International Secured Secured Paper Card Business Business Ashton Patter Metaca Graphics Mercury Graphics Placard
Slide 19: Definition of Non-GAAP Metrics
+ Cash Ean MDC(K)PARTNERS Definition of Non-GAAP Metrics - EBITDA: EBITDA is a non-GAAP measure, that represents operating profit plus depreciation and amortization plus stock-based compensation, A reconciliation of EBITDA" to the US GAAP reported results of operations has been provided by the Compa