Alliance Atlantis Given Green Light For Food Network Canada By The CRTC.

Business & Entertainment Editors

TORONTO--(BUSINESS WIRE)--July 4, 2000

First Ever U.S. Network Becomes Canadianized - Set to Launch as

Analogue Channel Fall 2000

Alliance Atlantis Co (NASDAQ:AACB) (TSE:AAC.A.) (TSE:AAC.B.) Alliance Atlantis Broadcasting President Phyllis Yaffe is pleased to announce that the channel presently occupied by Food Network U.S. is set to re-launch in Canada as Food Network Canada in fall 2000. Today's announcement comes as a result of a favourable decision by the Canadian Radio-television & Telecommunications Commission (CRTC) on an application by Alliance Atlantis Broadcasting, the majority shareholder of Food Network Canada, and the channel's two minority shareholders, The E.W. Scripps Company and Corus Entertainment Inc., to replace the American version of the channel (controlled and operated by Scripps) with Food Network Canada. This license may be the last one granted by the CRTC for an analogue channel. For Canadian viewers, the new channel will launch following a seamless transition from Food Network U.S. to Food Network Canada.

In Canada, Food Network U.S. has quickly grown to the second most-watched American channel launched in October 1997 with over 3 million paid subscribers. Food Network Canada will generally air in the same channel position that was previously occupied by Food Network U.S.

"Food Network U.S. is already a winner with audiences and advertisers," said Ms. Yaffe. "With the injection of great Canadian programming, a commitment to a seamless transition for viewers, and advertising interest from a number of major Canadian players, Food Network Canada is a recipe for success."

"Our business deal with the E.W. Scripps Company has been a great partnership from the beginning," said Michael MacMillan, Chairman and Chief Executive Officer of Alliance Atlantis Communications. "This is the first agreement of its kind in Canadian broadcasting history whereby an American channel steps aside, at its owners' request, to partner with a Canadian company to launch a new Canadian channel. We are also delighted to be in partnership on Food Network Canada with Corus, an organization with whom we have a number of strategic interests, including the recent filing of several digital television services."

This news follows Alliance Atlantis' announcement on June 28, which reported a growth in earnings before interest, taxes, depreciation and amortization (EBITDA) of 79 per cent on revenue growth of 22 per cent for the Company's fourth quarter and year end results ending March 31, 2000. Also highlighted in last week's announcement was the Company's commitment to growth through the addition of new channels to its Broadcasting division. Food Network Canada now becomes the eighth network in which Alliance Atlantis' has a direct ownership interest.

"Given their track record with Home & Garden Television, we fully expect Food Network Canada to be as popular a choice for Canadian viewers as Food Network U.S has been. It's the best of both worlds," said Ken Lowe, President and Chief Operating Officer of The E.W. Scripps Company, parent company of Scripps Networks.

Also last week, Alliance Atlantis announced a partnership with Scripps Networks for Fine Living--a television network and web site that will embody the affluent lifestyle. Alliance Atlantis presently partners with Scripps on the ever-growing HGTV Canada (Home & Garden Television) Canada and DIY (Do-it-Yourself) Canada (digital application). "Alliance Atlantis has been a strong strategic partner of Scripps for over five years, and we are extremely pleased to now be involved together on our fourth channel," Mr. Lowe continued.

Karen Gelbart, who brings a 25-year broadcasting career to the Company, has been named Vice President, Programming for Food Network Canada. Prior to joining Alliance Atlantis Broadcasting in 1997 as production executive, Karen was an executive producer for CBC Television News. Ms. Gelbart will oversee the day-to-day operation of the channel, create the programming schedule and manage the acquisitions and original productions for Food Network Canada.

Food Network Canada will offer entertaining information and practical guidance about food, dinning and nutrition. Featuring much more than just cooking, Food Network Canada is about real people connecting through food. Food Network Canada will continue to air popular Food Network U.S. programs including Emeril Live, Cooking Live With Sarah Moulton, From Martha's Kitchen and Iron Chef, most of which will air in their current time slots. It will also feature all-new shows from Canadian stars like Ken Kostick (What's for Dinner) and Elizabeth Baird (Canadian Living Magazine) and the network is in discussion with Rob Feenie (executive owner/chef of Vancouver's Lumiere restaurant).

Scripps Networks, an operating unit of The E.W. Scripps Company (NYSE: SSP), is one of the nation's fastest-growing creators of original brands and content for television and the Internet. Its cable networks have nearly 110 million combined subscribers, a 17 percent increase from a year ago. Scripps Networks' hgtv.com and foodtv.com Web sites are together attracting an average of more than 2 million unique visitors per month, and more than 43 million page views. The company recently completed a $12 million, 78,000-square-foot, expansion of its Knoxville headquarters and technical facility, which provides hosting capabilities for up to 1,500 Web sites and additional studio and production space.

Corus Entertainment Inc. is one of Canada's leading media companies. Its principal assets consist of 31 radio stations, specialty television networks including YTV and CMT, and interests in Teletoon, Telelatino and The Comedy Network. Corus has an additional investment in WIC Western International Communications. Corus is also prominent in the digital music market (DMX) and local cable advertising services (Digital Adventure) and is listed on the Toronto (CJR.B) and New York (CJR) Stock Exchange.

Alliance Atlantis Communications Inc. is a leading broadcaster, creator, producer and distributor of filmed entertainment with significant ownership interests in eight Canadian specialty television networks: Showcase, Life Network, History Television, HGTV (Home & Garden Television) Canada, Food Network Canada, Headline Sports, Historia and Series +. The Company's principal business activities are conducted through three operating groups: Television, Motion Pictures and Broadcasting. Headquartered in Toronto, Alliance Atlantis operates offices in Los Angeles, Montreal, London, Sydney, and Shannon. The Company's common shares are listed on The Toronto Stock Exchange - trading symbols AAC.A, AAC.B and on NASDAQ - trading symbol AACB. The Company's website is www.allianceatlantis.com.

Food Facts:

An independent research study, conducted in late January by The Strategic Counsel, found that:

- 95 per cent of Canadians who were aware of Food Network said that they would watch the same amount or more of the network if Canadian programming were added to their favourite U.S. shows.

- 77 per cent of Canadians who are aware of Food Network agree that some Canadian programming should be added to the Food Network.

- 74 per cent of Canadians think that it is important for Food Network to have programming that celebrates Canadian events, like Canada Day and Canadian Thanksgiving.

- The average Canadian household spends almost $6,000 annually on food (third highest household expenditure after shelter and transportation).

Corporate images of Michael MacMillan and Phyllis Yaffe are available at www.allianceatlantismedia.com People Section, under Executive Committee Log In: aaci, Password: media

Archived images of Karen Gelbart and Michael MacMillan are available at www.allianceatlantismedia.com People Section, under Recent Announcements Log In: aaci, Password: media