Didier Bellens, the chief executive of RTL, has restated his commitment to Channel 5 and said that the broadcaster was capable of achieving a 10% share of the UK television audience.
In an interview in this weekend’s
Observer, Bellens denied rumours that RTL was prepared to sell its 65% share in the rebranded Five to News Corp (see
Bertelsmann May Sell Channel 5 Stake) and asserted that the firm will be a “long term holder” of the station. Rupert Murdoch has also gone out of his way to play down talk of a deal (see
Murdoch Denies Interest In Five).
Last year Channel 5 spent £150 million on programming, a small amount by UK standards, but did manage to garner a 6% share of the viewing audience. Spending may have to be increased if it is to progress to double-digit growth and this would require co-operation from RTL’s fellow shareholder United Business Media. However, Bellens was at pains to emphasise that the two companies had “a great and trusting relationship”.
Like all commercial broadcasters, Channel 5 has been hit by the advertising downturn and RTL sees little sign of recovery in the year ahead. Bellens predicts that the first half will be weak with a stronger second half as in 2003. However, he said that the company was still in the market for acquisitions and indicated that the radio sector could prove particularly attractive once prices fall.
More pressing is the need to find a chief executive for Channel 5 which has been without a leader since Dawn Airey left to join Sky Networks in September (see Airey Leaves Channel 5 Top Post For BSkyB). Jane Lighting, currently boss of Flextech, has emerged as favourite for the post.
