Media Release 7 March 2012 AUSTAR WELCOMES ACCC'S MARKET INQUIRY ON FOXTEL'S DRAFT UNDERTAKINGS

AUSTAR United Communications (ASX: AUN) (AUSTAR) notes that the Australian Competition and Consumer Commission (ACCC) has today announced a brief market inquiry into draft undertakings provided to the ACCC by FOXTEL Management Pty Ltd (FOXTEL). These undertakings are aimed at resolving the ACCC's competition concerns relating to FOXTEL's proposed acquisition of AUSTAR.

AUSTAR remains optimistic that the ACCC will be able to complete its market inquiry and reach a decision in time for AUSTAR's shareholder meetings on 30 March 2012.

If shareholders have questions in relation to the Transaction they may call the AUSTAR Shareholder Information Line 1300 706 158 (within Australia) or on +61 3 9946 4459 (outside Australia) Monday to Friday between 9:00am and 5:00pm (Sydney time) or contact their legal, financial, taxation or other professional adviser. Information is also available through AUSTAR's website, www.austarunited.com.au.

AUSTAR Contact:

Deanne Weir

M +61 (0) 402 865 300

E dweir@austar.com.au

Rebecca Tabakoff

M +61 (0)419 229 878

E rebecca.tabakoff@fticonsulting.com

Austar United Communications (AUSTAR) www.austarunited.com.au

AUSTAR (Australian Stock Exchange "AUN") is a leading provider of subscription television services in regional and rural Australia, with more than 750,000 customers enjoying satellite digital television services. AUSTAR is also a significant provider of programming in the Australian television market through its 50% owned joint venture, XYZnetworks, which owns and/or distributes Nickelodeon, Nick Jr, Discovery Channel, Channel [V], [V]Hits, MAX, Arena, The Lifestyle Channel, Lifestyle Food, LifeStyle You, Country Music Channel and The Weather Channel. Liberty Global, Inc., the largest international broadband cable operator in terms of subscribers, holds an indirect controlling stake in AUSTAR.