March 1st, 2011

Dear Colleagues,

I am proud to announce that the Company has reached its first major sustainability milestone: we have become carbon neutral across all of our global operations and we are the first company of our kind to do so.

We made a bold commitment in 2007 to embed the values of energy efficiency and environmental sustainability into all of our businesses — for the benefit of our communities and our bottom line.

But achieving net zero carbon emissions was never our only goal. Less than four years ago, I invited all of our employees, business partners and audiences to join us in this exciting initiative — and your response has been extraordinary. Today, I’m pleased to share some of our successes across the Company, as well as our long-term commitment to environmental sustainability.

Together, despite some of the toughest markets our industry has ever seen, we have saved millions of dollars by improving the energy efficiency of our day-to-day operations. Our efficiency projects pay for themselves in less than two years, on average, and span from simple solutions like lighting retrofits and automatic PC shut-down to systemic changes like installing telepresence and videoconferencing technology to reduce the need for air travel. The Company’s global data center consolidation strategy alone will save approximately $20M per year and reduce data center emissions by almost 15% when completed later in 2011…

We have provided leadership in our industry, across our supply chain, and among the global business community. Fox Entertainment developed robust carbon footprinting standards and tools for film, television, sports, and event production, as well as a sustainable vendor guide. The standards we set helped lead to a new industry-wide consortium and the online, open-source Green Production Guide…We have collaborated with business partners who were already leading the way, including our DVD supply chain initiative with Wal-mart, which pioneered an eco-case that reduced emissions from raw materials alone by 13% and has become the industry standard…

Most important, throughout this endeavor we have continued to do what we do best: engage our audiences around the world with the most compelling content. Twentieth Century Fox’s Ice Age franchise and the most successful film of all time, Avatar, prove that passionate environmental messages can be fodder for both blockbusters and real-world action, like the million trees planted in 2010 through the Avatar Home Tree initiative. National Geographic Channel offers scientifically rigorous programs, like Preserve Our Planet and Great Migrations, that are also visually stunning…

The Company’s leadership in this area has been recognized by key independent parties, recently earning top marks in the Carbon Disclosure Project’s leadership indices and winning big in the Environmental Media Association’s 20th annual awards, with top honors going to Avatar and Bones.

We are well on our way to becoming the innovative, regenerative business we want to be. In the long term, we aim to grow our business without growing our carbon footprint, to power our operations with clean electricity, to minimize solid waste to landfill from our production operations, and to continue to engage our audiences on sustainability issues through partnerships and content of the highest caliber.

To help us realize this vision, I ask only that you apply the same creative thinking to sustainability that you already do to your jobs every day.

Congratulations and thank you for putting us on the right path. We have come a long way and we have much to do together.