The Boards of Carlton Communications and Granada last night said that a “fundamental restructuring of ITV Digital’s cost base must be concluded as a matter of urgency in order to secure the long term future of the business.”
The financial viability of the troubled digital terrestrial business has been the subject of speculation for some time now, with shareholders in Granada reportedly wanting out of the project altogether.
The admission, from the 50:50 owners of ITV Digital, that the business is in dire straits rather vindicates a damning report on the company’s prospects released by Zenith Media in September last year (see Forecasts).
Deloitte & Touche has been appointed to assist in the implementation of the restructuring of the company.
