MUMBAI: The global economic slowdown seems to be having an impact on Turner Broadcasting System (TBS). The company said it would be trimming 30 per cent of its staff in Europe, the Middle East and Africa.

The harsh decision comes after TBS international president Gerhard Zeiler took charge in September 2012. He began the review exercise soon after to identify redundancies and make operational changes across the region.

Zeiler told media today that a "30 per cent reduction in positions across EMEA is necessary in order to give more operating power and accountability within the regions, as opposed to large central functions.?

?This review required us taking some tough decisions, but they are absolutely necessary to put Turner International in the best possible position for future growth,? said Zeiler. ?Greater empowerment and broader accountability for local management will lead to simplified processes throughout the organization, improved efficiency and reduced costs,? Zeiler added.

Once the review is complete, some functions will be outsourced while others will be restructured for which proposal are being consulted upon presently.

?This review required us taking some tough decisions, but they are absolutely necessary to put Turner International in the best possible position for future growth. Greater empowerment and broader accountability for local management will lead to simplified processes throughout the organisation, improved efficiency and reduced costs,? said Zeiler.

No details about annual savings through these were given.

Turner Broadcasting System International operates more than 100 channels that are versions of core Turner brands, such as CNN, TNT, Cartoon Network and Turner Classic Movies, in more than 30 languages in 200 countries around the world. Turner?s EMEA business has 17 branded channels in 27 languages in more than 100 territories.

MUMBAI: European entertainment network RTL Group has earned a profit of ?795 million for the year ended December 2011, a rise of 8.9 per cent over the earlier year.

Revenue was up 4.2 per cent to ?5.7 billion, mainly based on higher revenue from FremantleMedia and RTL Nederland. Following an exceptional 2010, RTL Group?s profitability remained very high: reported EBITA was ?1.1 billion, while return on sales decreased slightly to 19.7 per cent. Net profit attributable to RTL Group shareholders is up 13.9 per cent to ?696 million Net cash from operating activities was ?1 billion, resulting in an operating cash conversion of 104 per cent and a net cash position of ?1,238 million at the end of 2011 .

RTL Group CEO Gerhard Zeiler said, "2011 was marked by three main developments.First, all of our families of channels maintained or increased their strong audience shares. This was the foundation to outperform the increasingly challenging TV advertising markets in almost every country we operate in. Secondly, RTL Group succeeded in maintaining its profitability at the very high level achieved in 2010: EBITA of over ?1.1 billion, EBITA margin of almost 20 per cent, and net profit of ?696 million ? all these key indicators were either stable or even up year-on-year."

Thirdly, RTL Group developed its international portfolio during 2011, to safeguard its leading market positions and to develop new businesses.

"We regained full control of our highly profitable Dutch TV
operations, and bought out minority shareholders in Hungary and Croatia to build strong families of channels. Targeted online acquisitions in Germany and the Netherlands significantly strengthened our new media activities in these countries. Finally, we signed an agreement to exit the declining Greek broadcasting market," Zeiler said.

RTL sees different developments in the various countries it operates in.

"Looking at January and February 2012 we can say that the negative development many had feared did not happen. Given the high volatility of the various TV advertising markets throughout Europe, and the very short-term bookings cycle, it is not possible to give full-year guidance at the moment. However, RTL Group has repeatedly demonstrated that it can operate successfully in very difficult economic environments," Zeiler said.

The European TV ad markets reflect a mixed picture in 2011: rather flat developments in Western Europe, with the exception of Belgium and the Netherlands, which were up.The markets in Southern and Eastern Europe reported lower advertising revenue compared to 2010. the year also saw the exit of Alpha Media Group, treated as discontinued
operations; and unwind of Talpa transaction completed.

With RTL Television reporting significantly higher audience ratings, Mediengruppe RTL Deutschland continued to increase its clear audience leadership over its main competitor, P7S1 Group, to 6.1 percentage points. With an EBITA of ?529 million, the profit centre achieved its second-best result ever ? by a large margin ? despite a challenging German TV advertising market and higher investments in programming.

In France, M6 was the only major French channel to increase its audience share year-on-year, while digital channel W9 reported significant growth, both in terms of advertising revenue and audience ratings. EBITA of Groupe M6 was up 1.6 per cent to ?249 million.

RTL Nederland scored its best ratings since 1997 and succeeded in capitalising them into double-digit growth of TV advertising revenue. EBITA increased 21.8 per cent to ?134 million for both TV and radio operations.

RTL Group?s production arm FremantleMedia reported revenue growth of 12.3 per cent, driven by higher revenue in North America and the first-time full consolidation of recent acquisitions Radical Media and Ludia. FremantleMedia?s EBITA was up 2.1 per cent to ?143 million, despite general pressure on margins and volumes from broadcasters RTL Radio in France reported EBITA growth of 25.0 per cent, at ?30 million.

RTL Group strengthens its portfolio by taking full control of RTL Nederland: following the exercise of a put option, RTL Group exchanged its 73.7 per cent interest in Radio 538 for Talpa Media Holding?s 26.3 per cent minority shareholding in RTL Nederland.

RTL Group acquired a portfolio of seven Hungarian cable channels plus a further 31 per cent shareholding in the country?s number one channel, RTL Klub. This acquisition, plus a separate smaller deal, brings RTL Group?s shareholding in RTL Klub to 100 per cent, and provides the ideal platform on which to build a complementary family of channels, and to safeguard market leadership in Hungary.

It also took full control of the Croatian broadcasting operation: RTL Group acquired the respective 13 per cent shareholdings of its local business partners in RTL Hrvatska (RTL Televizija and RTL 2, launched in January 2011)

Decision to exit the Greek broadcasting market: In the light of the country?s serious and on-going economic and financial crisis, RTL Group sold its 70 per cent majority shareholding in Alpha Media Group to the Greek entrepreneur Dimitris Contominas.

In June 2011, RTL Group swapped its 30 per cent shareholding in Ren TV for a 7.5 per cent shareholding in the Russian media company National Media Group (NMG), as part of an agreement with the current shareholders of NMG. Mediengruppe RTL Deutschland will launch new free-TV channel, RTL Nitro, on 1 April 2012.

RTL Group?s new media activities continue to grow: In 2011, RTL Group?s online platforms and on-demand offers across Europe collectively generated 1.9 billion video views of professionally produced content ? up 35 per cent year-on-year. Total online ad revenue was up 23 per cent year-on-year, driven by video advertising. RTL Group companies have launched 125 mobile applications, registering 38 million downloads to date.

Mobile live TV services are now available in Germany, France, the Netherlands, Belgium and Luxembourg. Pay-TV channels in Germany, France and the Netherlands are operating at a profit.

MUMBAI: International television executive Gerhard Zeiler will join Turner Broadcasting System International, the company?s global portfolio of branded television networks and related businesses, as president.

Prior to this, Zeiler served as the CEO of RTL Group, a division of Bertelsmann AG and Europe?s largest television production and broadcast company.

In his new role, Zeiler will have executive oversight for all entertainment and kids networks and media services offered outside of North America; the distribution and commercial operations of CNN?s international services; all of Turner Broadcasting?s international joint ventures; and all licensing and merchandising activity.

Turner Broadcasting System, Inc. chairman and CEO Phil Kent said, ?We are delighted that Gerhard is joining us and look forward to the leadership, perspective and wealth of international television experience he will bring to one of the most successful and most strategically important areas of our company. His programming success; entrepreneurial experience within a big company; ability to run multiple lines of business; deep understanding of the digital landscape and opportunity; relationships across the media landscape; and passion for the television business are a strong addition to our executive committee and the company overall. We all look forward to working with him to extend our core brands, target and develop new markets and build scale around the world.?

Zeiler, who will report to Kent, will lead a 3,800-person division across Europe, Asia-Pacific and Latin America.

Zeiler said, ?As a longtime observer of Turner?s networks, I am keenly aware of their strength with consumers and the company?s profile in the international business community. This move is an opportunity to help grow some of the most valuable media brands in the world and develop new businesses alongside people I admire, like Phil and colleagues across Time Warner I have known and worked with over the years. This is an exciting time for our industry and for Turner Broadcasting, and I believe in our ability to lead and succeed.?

As RTL CEO, Zeiler was a member of the executive board of Bertelsmann AG. Under his leadership, RTL expanded its international television footprint across Western Europe and into Croatia; brought the hit shows American Idol and America?s Got Talent to the U.S. market; and grew its holdings to 41 channels and 34 radio stations in 10 countries.

He started his career as a journalist and later spokesman for two Austrian Chancellors. After serving as secretary general of Austria?s public broadcaster, ORF, he became CEO of Tele 5. He returned to his native Austria to lead the ORF as Director General. In 1998 Zeiler was named CEO of RTL.

Among his many professional honours, Zeiler is the first non-American to receive the prestigious Brandon Tartikoff Legacy Award from NATPE. In 2004, he was named Media Personality of the Year at Mipcom in Cannes.

MUMBAI: RTL Group is exiting the Greek broadcasting market due to the financial woes prevailing in that country. The leading European entertainment network has decided to sell its 70 per cent majority shareholding in Alpha Media Group to the Greek entrepreneur, Dimitris Contominas.

The transaction is subject to approval by the Greek Competition Commission and is expected to close in the first quarter of 2012.

As Contominas currently owns a minority stake of 30 per cent in Alpha Media Group, he will become again the sole owner of the company, while the current management will continue to be involved in the operating management of the channel.

RTL Group CEO Gerhard Zeiler said, ?Given the heavy and on-going economic and financial crisis in Greece, we have eventually decided to exit the Greek market. While we cannot influence the overall market development, our local management team led by CEO Christoph Mainusch, together with Alpha?s employees, succeeded in increasing the channel?s ratings and cutting programme costs at the same time ? both to a substantial extent. We are happy to have found a solution that enables Alpha to continue broadcasting."

Contominas added: ?Alpha has significantly improved its market.

MUMBAI: RTL Group has reported a 26.1 per cent jump in net profit to ?324 million for the first half of 2011.

Revenue grew 3.4 per cent to ?2,751 million, reflecting
higher TV ad revenues in RTL Group?s key territories Germany, France and the Netherlands plus growing revenue from the television format creator and distributor FremantleMedia.

First-half Ebita was up 3.7 per cent to ?557 million, reaching its highest level yet. This improvement was mainly driven by higher profit contributions from Mediengruppe RTL Deutschland, Groupe M6 and RTL Nederland

The Group reported Ebita margin stood stable at 20.2 per cent. Net cash from operating activities stood at ?463 million, resulting in operating cash conversion of 96 per cent and net cash position of ?973 million at the end of June

European TV advertising markets presented a mixed picture in the first half of 2011. While the markets in France, the Netherlands and Belgium were up year-on-year, the German market remained flat. The markets in South and Eastern Europe reported lower advertising revenue compared to the first six months of 2010

Most of RTL Group?s key businesses continued to outperform. With RTL Television reporting significantly higher audience ratings, Mediengruppe RTL Deutschland continued to increase its clear audience leadership over its main competitor to a record 7.4 percentage points; Ebita was up 4.3 per cent to ?268 million

In France, M6 and W9 reported significant growth, both in terms of advertising revenue and audience share; M6 was the only major French channel to increase its audience share year-on-year; Ebita of Groupe M6 was up 11.2 per cent to ?149 million.

RTL Nederland succeeded in capitalising its record audience ratings into double-digit growth of TV advertising revenue; Ebita was up 84.4 per cent to ?59 million.

RTL Group?s production arm FremantleMedia reported revenue growth of 4.2 per cent, driven by higher revenue in North America and the first-time full consolidation of recent acquisitions Radical Media and Ludia; FremantleMedia?s Ebita was down 20.0 per cent to ?72 million, mainly due to general pressure on margins and volumes from broadcasters.

RTL Group?s channel in Greece, Alpha TV, continued to operate in a difficult market environment: while the channel increased its audience and advertising share, the Greek TV advertising market was still down dramatically

RTL Group continued to develop its portfolio. In July, RTL Group announced to acquire a portfolio of seven
Hungarian cable channels plus a further 31 per cent shareholding in the country?s market leader, RTL Klub; this brings RTL Group?s shareholding in RTL Klub to 98 per cent.

In July, RTL Group signed agreements with its Croatian business partners, Atlantic and Agrokor, to acquire their respective 13 per cent shareholdings in the Croatian broadcasting operation RTL Hrvatska (RTL Televizija and RTL 2, launched in January 2011).

In July, RTL Group announced that it had exercised its put option towards Talpa Media Holding. Following this put option, RTL Group will get back Talpa Media?s 26.3 per cent minority shareholding in RTL Nederland in exchange for the Group?s 73.7 per cent interest in Radio 538.

In June, RTL Group swapped its 30 per cent shareholding in Ren TV for a 7.5 per cent shareholding in the Russian media company National Media Group (NMG), as part of an agreement with the current shareholders of NMG

RTL Group CEO Gerhard Zeiler said, ?After the strong growth seen in the Western European TV advertising markets in 2010, the first six months of this year show a mixed picture. Nevertheless, RTL Group has again managed to improve all key indicators ? revenue, Ebita and net profit."