SMG has completed its 100-day business review, deciding to focus on the sale of non-core assets, restructuring the TV business and growing revenues.
The review was initiated after Bob Woodward became chief executive at the end of February (see
ITV Welcomes Ofcom’s Public Service Proposals).
SMG will continue to look for buyers for Pearl & Dean, its cinema advertising business, and Primesight, its outdoor advertising business, in an attempt to reduce the company’s £170 million debt.
The restructure of the TV business has already seen senior management reduced from seven to three, with a target of £2.5 million savings annually.
Rob Woodward, chief executive of SMG, said: “We have had a very thorough look at the business and taken some short term remedial actions and reconfigured SMG to deliver sustainable growth. I have set out 12 challenging but achievable key performance indicators in broadcast, content and ventures.
“Over the next six months we will focus on the disposal of the non-core assets. This will result in a content focused business that I am confident will be revived and transformed to become Scotland’s most influential, relevant, innovative and trusted media brand.”
In addition, SMG is set to float Virgin Radio on the stock market this autumn.
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