Australia’s Ten Network Sinks to Loss, Flags Further Cuts
After recording a net loss of $A12.9 million ($13.3 million) in the year to August 31, Australia’s Network Ten has flagged another round of cost-cutting, including voluntary buyouts. The broadcaster reduced TV costs by 6.6% or $42 million in fiscal 2012 but chief executive James Warburton insisted “that has not come at the expense of content.” Warburton said a strategic review launched earlier this year is ongoing and covers all departments. Revenue from continuing businesses fell by 15% to $729 million. In the first half of this year Ten captured 25.5% of the capital city television advertising market, trailing Seven’s 40% and Nine’s 34.5%, as the overall market shrunk by 3.6%. Ten’s shares edged up to 32.2 cents after hitting a record low of 30 cents yesterday after the company revealed a deal to sell its outdoor advertising business Eye Corp. to private equity firm Champ for $145 million had fallen over. Ten said it’s still negotiating with Champ. Broker CBA has raised the prospect that Ten’s four major shareholders, chairman Lachlan Murdoch, James Packer, Gina Rinehart and Bruce Gordon, who collectively own 40% of the stock, will opt to take the company private. – Don Groves
Netflix Goes Live In Sweden, Denmark And Norway
Netflix began rolling out this week in the Nordic territories. The UK’s ITV Studios Global Entertainment has now pacted with the streaming service for its titles to become available in those countries plus Finland. The multi-year deal includes a range of titles psychological thriller Appropriate Adult with Dominic West and Emily Watson, detective dramas Lewis, Vera and Agatha Christie’s Poirot and La Plante Productions’ Above Suspicion.