HONG KONG — AOL Time Warner Inc. (NYSE: AOL) announced today an historic agreement under which its CETV channel will be distributed to cable television subscribers in the Southern region of the People's Republic of China. According to Minister Xu Guang Chun, Director of China's State Administration of Radio, Film and Television (SARFT), "this is the first time for a foreign TV institution to be granted cable TV carriage rights in Mainland China."

The carriage agreement was signed at SARFT headquarters in Beijing today among AOL Time Warner's Turner Broadcasting System Asia Pacific unit; China Central Television (CCTV), China's national television network; China International Television Corporation (CITVC), the commercial branch of CCTV; and Guangdong Cable TV Networks Co., Ltd. (GCTV), one of China's largest cable operators.

Under the agreement, CETV, a 24-hour Mandarin-language information and entertainment channel, will be carried beginning in January 2002 on GCTV cable systems in Southern China. As part of the agreement, CCTV-9, CCTV's English-language news and information channel, will be carried on select Time Warner Cable systems -- the first time a CCTV network will be carried on a 24-hour basis on any U.S. cable system.

Gerald M. Levin, Chief Executive Officer of AOL Time Warner, said: "We are very pleased to have achieved this landmark agreement, which represents a significant step in the growing relationship between AOL Time Warner and the people of China. It is part of a sustained effort by our operating divisions to work with Chinese partners in creating products and services for this dynamic marketplace. Today's agreement provides us further opportunities to collaborate with local talent and to continue the mutually beneficial exchange of knowledge and expertise. The reciprocal nature of the agreement means that American audiences will gain a greater understanding of Chinese culture as well as an appreciation for the immense intellect, artistry and creativity of the Chinese people."

Minister Xu also said: "The CETV and CCTV-9 reciprocal carriage agreement is the first Sino-US cooperative agreement signed after APEC in Shanghai. It is a concrete action, which echoes the spirit of APEC and is firmly supported by all parties involved. This significant step also serves as a starting point towards developing further cooperation in the future."

Peter Wolff, Executive Advisor, AOL Time Warner, said: "We are gratified to reach this groundbreaking accord and regard this vote of trust from the PRC with great pride. We warmly acknowledge the commitment that Minister Xu Guangchun and SARFT have shown in developing this important agreement with our team."

Following AOL Time Warner's acquisition of the channel in June 2000, CETV was re-launched in February 2001. Reaching 80 million households in Asia via AsiaSat 3S, the channel has been repositioned to serve the viewing tastes of modern Chinese audiences. It airs a combination of original Chinese co-productions as well as specially-selected programming derived from AOL Time Warner resources.

Steve Marcopoto, President of Turner Broadcasting System Asia Pacific Inc., said: "This agreement forges meaningful partnerships within the Chinese creative community and television industry. We expect to develop friendships that will lead to a reciprocal transfer of valuable expertise in today's global media world, and we look forward to participating in the organic creation of information and entertainment products that appeal to both PRC and worldwide Chinese audiences."

China Central Television (CCTV), established in 1958, is the national television station of the People's Republic of China. CCTV is China's earliest and largest TV broadcaster, and runs 11 channels reaching one billion viewers.

CCTV-9, the English channel of China Central Television, which launched on September 25, 2000, provides viewers in China and around the world with a wide array of news and current affairs programs. Broadcast from Beijing, CCTV-9 is transmitted to viewers around the world via satellite.

Zhao Hua Yong, President of CCTV, said: "We are delighted to deepen and broaden our cooperative relationship with AOL Time Warner. The carriage of CCTV-9 on Time Warner Cable is a milestone, which has turned a new page in China's TV industry."

China International TV Corp. (CITVC) is the commercial branch of CCTV. It is making efforts to rapidly develop China's media industry. The group has operations located in China, the U.S. and Japan, with business interests in TV production, TV technical services, tourist services, information services and the electronics industry.

Guangdong Cable TV Networks Co., Ltd. (GCTV) is one of China's largest cable operators.

Turner Broadcasting System Asia Pacific, Inc., a unit of AOL Time Warner Inc., is a major producer and distributor of news and entertainment product and a leading program provider for the cable television industry.

Time Warner Cable owns and manages the world's most advanced, best-clustered cable television operations, with 90 percent of its 12.7 million customers in systems of 100,000 subscribers or more. It is a division of AOL Time Warner Inc.

AOL Time Warner is the world's first Internet-powered media and communications company, whose industry-leading businesses include interactive services, cable systems, publishing, music, networks and filmed entertainment.

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Contact Info:
"Tricia Primrose (AOL Time Warner, New York)"
+1 (212) 484-7450

"Grace Wong (Turner Broadcasting, Hong Kong)"
+(852) 3128-3523