Morrison Could Leave Granada Within A Matter Of Weeks
Steve Morrison, chief executive of Granada, is reportedly set to leave the company within a matter of weeks, in a move that could see Charles Allen take more responsibility at ITV.
Speculation suggests that Morrison had been due to take early retirement some time next year (see Granada’s Morrison Set To Take Early Retirement), but that his departure has been brought forward after shareholders expressed their dissatisfaction with the collapse of the company’s joint pay-TV venture, ITV Digital.
The closure of ITV Digital earlier this year (see Administrators Confirm ITV Digital Sale) weighed heavily on Granada and the company announced in May that turnover was down 9% year on year for the first half of 2002, with advertising revenue dropping 12% in the same period (see Granada Profits Hit By Ad Downturn). This comes at a time when ITV is loosing audience share, which has fallen from 28.3% in June 2001 to 23% in June 2002.
Granada has refused to comment on speculation and it is not known whether Morrison will be replaced. However, reports suggest that Granada’s chairman, Charles Allen, may decide to flatten the company’s corporate structure, by having department heads report directly to him.
Last week Carlton’s chief executive, Gerry Murphy, announced that Carlton and Granada are planning to merge parts of their marketing operations in an attempt to reduce back-office costs (see ITV Power Brokers Team Up To Stop The Rot). The move has met with resistance from advertising associations ISBA and the IPA, which claim that the two ITV companies are attempting to “merge by stealth” (see ISBA Voices Concern Over Stealth ITV Merger).
Granada: 020 7620 1620 www.granadamedia.com
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