Guest Article: Murdoch contrite. Will this end tabloid terrorism?

Faced by questioning by the British Parliament, media mogul all Rupert Murdoch could do was claim ignorance of the NOTW phone hacking and say “People I trusted let me down and betrayed the company”. But Cyril Pereira, Co-Chairman, Asian Publishing Convention, finds this incredulous...

e4m by Cyril Pereira
Published: Jul 28, 2011 8:52 AM  | 8 min read
Guest Article: Murdoch contrite. Will this end tabloid terrorism?

What started as a damage-limitation fire-fight for Rupert on his News of the World (NOTW) tabloid, has in two short weeks turned British politicians into a frenzied attack pack, shot the two top policemen at Scotland Yard, scythed his closest lieutenants, split his family and tarnished his legacy.

It all crumbled suddenly. Rupert looked worn, out-of-touch and isolated – to await the modern equivalent of a very British beheading. The last British monarch tried and axed by Parliament was Charles I in 1649 – accused of treason for warring Parliament to pursue personal interest above the good of England. There is déjà vu in the current drama for uncrowned King Rupert. His tabloids goosed British Royalty too.

The charge against Charles I read in part the “wicked designs and evil practices of him, the said Charles Stuart, have been, and are carried on for the advancement and upholding of a personal interest of will, power, and pretended prerogative to himself and his family, against the public interest, common right, liberty, justice, and peace of the people of this nation”.

In his imperious initial response, Rupert told Parliament he was too busy to attend their hearing till August! But the previously cowed politicians having lost their terror of Murdoch, dispatched the Serjeant-at-Arms to deliver the summons at his Wapping HQ. His diary found space for Parliament.

Up till the 7th of July, Rupert Murdoch was the man believed to have the power to make and unmake governments in the UK and Australia. He could call on and trade favours with prime ministers, presidents and politicians across the globe. He was never shy to leverage undue influence. He answered to no one. He was above and beyond politicians and parliaments.

In America, his Fox News network polarised politics, championed the Iraq war and amplified extreme right wing agendas. It played fast and loose with the lie that Barack Obama was a Muslim and born outside the United States – the latter, if true, could disqualify him from the presidency.

Stonewalling throughout, but contrite
The televised British Parliamentary hearing of three hours yielded no admission of prior knowledge, approval or complicity in phone-hacking and payments to the police. A grim faced Rupert declared it as the “humblest day of my life”. He was not responsible for what happened at the NOTW. He was betrayed by people he trusted.

James rested the company’s passivity on the closed police inquiry of assistant commissioner John Yates (resigned this week), clearance from the toothless Press Complaints Commission (declared by the PM to be soon replaced) and News Corp’s own internal inquiry of 2007 led by Les Hinton and Rebekah Wade (both resigned this week), which concluded that a rogue reporter was at fault.

Geoffrey Robertson QC, who in 2009 called for editors to quit the PCC said, “The PCC is a confidence trick that has ceased to inspire confidence – other countries which respect free speech have statutory ‘press ombudspersons’ who adjudicate public complaints, direct retractions and compensation, enforce rights of reply and monitor ethical standards.”

Asleep at the wheel?

When the captain of the ship, first and second officers, all declare they were unaware of phone-hacking and payments to the police, one wonders who then was on the bridge? Who made the rules, who defined the parameters, who called the shots? All three pleaded ignorance and absolved themselves of responsibility.

News Corporation is a tight ship. It monitors revenues, profits and losses across all business units, on a weekly basis like clockwork. Rupert speaks to his principal CEOs at least once a week. Any threat to the organisation would have been flagged up immediately for guidance from The Boss.

The plea of ignorance just does not wash. Rupert is the last man on whom the label ‘lax’ can be pinned. At the hearing he even sought to pose as an ethical and upright media leader, who believed phone-hacking and payments to police to be “wrong”, thumping the table repeatedly for emphasis.

Suddenly, Rupert flags the Singapore model
Out of the blue and out of context, he commented on the salaries paid to ministers in the Singapore government as the reason it remains the most corruption-free State globally. It was not clear whether he was implying that salaries of British MPs or Metropolitan police (or both) should be reviewed to prevent them falling prey to expenses fiddling and tabloid back-handers.

The salaries, bonuses and pay-revisions PAP ministers accorded themselves was a moot point in the recent elections which left significant sections of its society unimpressed and displeased. Some wondered if the once noble aspiration to serve society has been debased by crass commercial rewards. Many asked why ministerial failures did not result in dismissal as they would in business.

By any measure of leadership accountability, Rupert and James should be up for summary dismissal by News Corporation for gross negligence and dereliction of duty if nothing else.

News Corporation, even with the ‘Murdoch Discount’, is valued at US$41billion. A corporation so large, in the business of news and spanning the globe, cannot be left in the clutch of such ineptitude at the very top. The News Corporation board itself seems to be a creature of Rupert, unable and unwilling so far to act decisively. Nell Minnow, of Governance-Metrics International describes it as the “ultimate crony board”.

Too high up, too many people, don’t know how it happened
One is reminded of the pathetic performance of BP CEO Tony Hayward at the US Senate hearings on the Gulf of Mexico oil rig disaster. BP employed 90,000 staff globally. Tony Hayward denied awareness of the cost-cutting obsessions which compromised safety standards across the company. He did not know who approved such dangerous compromises and how such risky operations at sea were supervised. Perhaps he too was betrayed by the people he trusted?

Two high profile CEOs of high profile global corporations, both clueless when internal malpractice explodes into world news? Such lame excuses are unacceptable from corporate chiefs and political leaders. They are given too much power over people, resources and policy to be allowed to slither away.

How did daily news conferences at NOTW consider which stories to pursue and which to make the front page? Did the private detectives employed report to the editor? If such authority was delegated, who then authorised the phone-hacking? Who passed payments to police contacts? Who signed off?

The hearing was no wiser after three hours of the Murdochs.

Champion of free press without principles
While he held forth at public forums about “independence of the press”, Murdoch dictated editorial policy when it mattered to servant-editors at all his newspaper and broadcast properties. He paid well for unquestioning loyalty and got it. The Wall Street Journal this week dashed out an unseemly editorial accusing ‘commercial interests’ of rival media in the UK and the US for lambasting News Corporation. He is dumbing down the WSJ like he dumbed down The Times.

Murdoch espoused no particular political ideology. Some might call it a lack of principles. If anything was consistent in his media philosophy, it was profitable opportunism. If that meant pandering to the public appetite for ritual sacrifice of the rich and famous, so be it. If that meant offering a megaphone to Christian fanatics of America’s Bible belt and the kooky Tea Party wing of the Republicans, he would oblige. If bare breasts and titillation will outsell rival tabloids, fine.

Murdoch stakes out and dominates spaces squeamish publishers avoid. Did he have anything in common with the politics and politicians his media championed? Or empathy for the lives and reputations of individuals and families his tabloid press destroyed? No. It’s just business. Nothing personal.

It was all about astute market positioning with Fox News in America and unbridled tabloid terrorism in the UK. Other publishers just did not have the stomach for this level of sustained crudity.

The pressure to meet a daily strike rate on scandals and denouements made his UK tabloid editors slide beyond legality into allegedly criminal practices now being more thoroughly investigated by the Met and Parliament. NOTW or The Sun were not alone in this. Phone-hacking and payoffs to police are alleged to be widely practiced by all the tabloids.

Saving society from rogue media
All of this raises existential questions about the un-wisdom of allowing such media ownership concentration and the urgent need to: quarantine media from politicians, government and Big Business; protect citizens from intrusive paparazzi and privacy invasion; establish a press ombudsman with real statutory powers, and hold editors accountable for sins of commission and omission.

(Cyril Pereira is Co-Chairman, Asian Publishing Convention.)

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HT Media posts Consolidated Total Revenue of Rs 580 crore in Q2

Chairperson and Editorial Director Shobhana Bhartia says due to lower commodity prices and control on costs there has been an improvement in operating profit

e4m by exchange4media Staff
Published: Nov 5, 2019 7:28 AM  | 1 min read
HT Media

HT Media has posted a Consolidated Total Revenue for Q2, 2020 at Rs 580 crore.

As per a statement released by the company, EBITDA for Q2’20 increased by 139%, and margins at 14% vis-à-vis 6% in previous year. This has been driven by softening of newsprint prices and continued focus on cost.

The Net Cash position at a consolidated level continues to be strong.

The Print ad revenue has declined due to sluggish volumes, even as yields have improved. National advertising continues to be soft, although local advertising witnessed growth.

Savings in raw material costs have driven improvement in EBITDA margins.

Chairperson and Editorial Director Shobhana Bhartia said, “Slowing economic growth has hit advertising spends in key categories, putting pressure on revenues across the media industry. As a result, our Print and Radio (on like to like basis) businesses saw revenues dip as compared to a year-ago. However, thanks to lower commodity prices and a tight control on costs, we saw an improvement in our operating profit. On the digital front, Shine, our online recruitment portal has shown good progress and continues to grow. Our outlook for the coming quarter remains cautious, given overall economic sentiment and macroeconomic trends. Cost-control and falling commodity prices should help protect our margins.”

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ABP Group posts Rs 15.70 crore as net profit in Q1 FY20

The group’s total operating income stands at Rs 365.55 crore

e4m by exchange4media Staff
Published: Nov 4, 2019 5:41 PM  | 1 min read
ABP

ABP Group has posted a net profit of Rs 15.70 crore in the first quarter of FY20, as per media reports.

The group’s total operating income stands at Rs 365.55 crore.

It’s net profit for the fiscal ended March 31, 2019, was down 68% to Rs 31.90 crore compared to the previous fiscal.

The Profit Before Interest Lease Depreciation and Tax (PBILDT) has also dropped 53.52% to Rs 107.12 crore.

The group has six news channels - ABP News (Hindi), ABP Ananda (Bengali) ABP Majha (Marathi) and ABP Asmita (Gujarati), ABP Sanjha (Punjabi) and ABP Ganga (Hindi).

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Zee Media posts consolidated revenue of Rs 137.03 crore for Q2 FY20

ZMCL has recorded 4.4% growth in operating revenue for first half of FY20

e4m by exchange4media Staff
Published: Oct 24, 2019 9:19 AM  | 1 min read
ZMCL

Zee Media Corporation Ltd (ZMCL) has posted a 4.4 per cent growth in operating revenue to Rs 337.6 crore in the first half of FY20, as per media reports.

It has reported a consolidated revenue of Rs 137.03 crore for Q2 FY20.

In a statement, ZMCL has said: “During the quarter, the network expanded its footprint s into Southern India through the launch of Zee Hindustan in Tamil and Telugu languages. This is intended to make the network's content accessible to wider audience.”

The operating expenditure in Q2FY20 has dropped by 21.7 per cent.

The statement further said: “EBITDA for HlFY20 improved by 34.1 per cent to Rs 1,029 million from Rs 767.5 million EBITDA for H1FY19, while the same declined by 9.4 per cent to Rs 370.2 million from Rs 408.7 million for the corresponding period last financial year. EBITDA Margin grew from 23.7 per cent in H1FY19 to 30.5 per cent in HlFY20, while growing from 24.2 per cent in Q2FY19 to 27 per cent in Q2FY20.”

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No slowdown here: In-cinema ad rates up by at least 50% for 3 big Diwali releases

Housefull 4, Made In China and Saand Ki Aankh ready to hit the silver screen this week, with the hopes of giving brands the eyeballs they look for in theatres

e4m by Moumita Bhattacharjee
Published: Oct 24, 2019 8:41 AM  | 4 min read
DiwaliFilms

It’s that time of the year again when theatres gear up to pocket maximum gains. Diwali is here and there are three films ready to hit the silver screen this week--Housefull 4, Made In China and Saand Ki Aankh. The festive period brings much joy to exhibitors, distributors and theatre owners because it ensures footfalls, giving brands the eyeballs they look for. In fact, industry experts don’t feel that economic slowdown this year has impacted in-cinema advertising. While they are concerned about three movies clashing during Diwali, they predict 50-100 per cent rise in ad rates during this period. 

Advertising moolah

Mohan Umrotkar, CEO, Carnival Cinemas, is expecting 60-70 per cent surge in advertisement topline compared to last year. “Going by the buzz and advance booking for these three releases, market is bullish. Advertisers have blocked most of the advt-slots during the festival period. Housefull 4, Made In China and Saand Ki Aankh all combined together should generate around Rs 350 crore topline at the box office during the festival week. We are expecting 60-70 per cent surge in the advertisement topline from last year. Also, this year we have added around 14 per cent new advertisers, and 4 per cent of them are first-time cinema advertisers,” he says.

But according to Siddharth Bhardwaj, Chief Marketing Officer - Head of Enterprise Sales, UFO Moviez, things have changed a lot in the last couple of years. “Since some films have not really lived up to their expectation, advertisers are spreading the spends all through the year. They are picking up far more number of titles in the year rather than focusing only on Diwali or Eid.”

“It is good for the industry because you can monetise the inventories beyond just big weeks. A lot of content- driven films have come up which has given us the opportunity to monetise more markets. It has put lesser pressure on Diwali. Most of the cinemas are sold out for Diwali. It becomes difficult to accommodate everything,” Bharadwaj opines. He also reveals that for this week, the inventories are already full.

Diwali ad rates

Experts reveal that ad rates differ from property to property and depends on location as well. But Diwali surely sees a massive hike in rates. This year, theatre owners are expecting 100 per cent rise in ad rates. While Umrotkar revealed that for Diwali, they are charging 100 per cent higher than the regular card rates, Girish Johar, trade analyst and film producer, shared that even the rates for putting up kiosks of brands go up during festivals like Diwali.

“It’s based on property. On a ballpark, ad rates double up. So if you are putting up a kiosk, they charge say Rs 50,000-25,000 for a month. During Diwali, they charge almost double because of the kind of footfalls theatres witness,” Johar revealed.

Economic slowdown? Not for Cinema!

This year, brands have been pulling back their spends on other mediums due to economic slowdown, but cinema seems unaffected. Calling entertainment business recession-proof, Johar explains, “If you see the other side, box office is up by 15-20 per cent. Yes, it is a bit subdued because the brands are in a wait-and- watch scenario. They are increasing their focus around consumption rather than awareness.”

Bharadwaj too seconded it by saying, “These are challenging times but our medium is very efficient. If you see economy has slowed down, but the cinema has grown instead.”

Clash cover

Three movies are clashing this Diwali which means shared screens and box office gains.

“It’s never good for us when two or more big-ticket films release together. If they would have come on different dates, there are chances that more advertisers will take advt. inventory in those weeks separately instead of that one particular week,” shares Umrotkar.

 

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INOX Leisure Ltd sees 42% growth in total revenue

Profit After Tax up 327% to Rs 51 crore

e4m by exchange4media Staff
Published: Oct 23, 2019 6:06 PM  | 1 min read
INOX

INOX Leisure Ltd (INOX) has reported financials for the second quarter ending September 2019.

Its total revenue has risen to Rs 524 crore with a 42% growth from Rs 369 crore in the corresponding quarter in FY19. Its EBITDA has more than doubled to Rs 107 crore with a 121% growth, while the PAT stood at an impressive Rs 51 crore, up 327% from previous year’s second quarter.

Siddharth Jain, Director, INOX Group, said: “At INOX, setting new benchmarks is now a routine, thanks to our consistently sharp focus on luxury, service and technology and our uncompromised desire to offer our patrons, nothing but the latest and the best! We are delighted with our remarkable consistency on all parameters, and we are sure about maintaining the momentum and focus on innovativeness. Content once again proved that why we term it as the ‘hero’. Thanks to the creators of such spellbinding movies, which keep inviting our guests to our properties, and allowing us to pamper them with our signature hospitality. With the launch of Megaplex, we are delighted to further our endeavor of developing experience-driven cinema destinations of global standards, and we will continue to do so. On behalf of Team INOX, I assure all our stakeholders that we will continue to break barriers and exceed all expectations.”

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Hathway Cable & Datacom reports 100% subscription collection efficiency in Q2

The broadband subscriber base has increased from the previous quarter’s 840,000 to 860,000

e4m by exchange4media Staff
Published: Oct 18, 2019 11:17 AM  | 1 min read
Hathway

Hathway Cable and Datacom has reported subscription collection efficiency at 100%, and the broadband subscriber base has increased from previous quarter’s 840,000 to 860,000 in quarter ending September, as per media reports.

It has narrowed its consolidated net loss by 74% and the operating EBITDA has been reported 15% up to Rs 107.5 crore compared to Rs 93.1 crore a quarter ago.

The total income has dropped 2%, while the expenditure is down 6%.

In the financial results, the company has said the FTTH markets are leading growth in customer acquisition.

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ZEEL posts 7.4% YoY growth in total revenue for Q2 FY20

ZEEL's domestic advertising revenue has grown 1.4% YoY in Q2FY20

e4m by exchange4media Staff
Published: Oct 18, 2019 7:51 AM  | 2 min read
ZEEL

Zee Entertainment Enterprises Limited (ZEEL) has reported a consolidated revenue of Rs 2,122 crore for the second quarter of FY20, recording a growth of 7.4% on YoY basis.

The Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA) was recorded as Rs 692.9 crore with an EBITDA margin of 32.7%. PAT for the quarter was Rs 413.2 crore. The Profit After Tax (PAT) for the quarter was Rs 413.2 million, with a growth of 6.9% YoY.

During the second quarter, ZEEL’s consolidated advertising revenue grew by 1.2% YoY to Rs 1,224.7 crore. The domestic advertising revenues grew by 1.4% YoY to Rs 1169 crore.

ZEEL has posted 26.8% YoY growth in Q2FY20 domestic subscription revenue. ZEEL’s consolidated subscription revenue grew by 19.0% to Rs 723.5 crore during the quarter.

ZEEL’s total expenditure in Q2FY20 stood at Rs 1429.1 crore, higher by 9.9% YoY compared to Q2FY19.

While ZEE5 recorded a peak DAU (Daily Active User) base of 8.9 million in September 2019, ZEE5 users watched an average of 120 minutes of content on the platform in the same month.
During Q2 FY20, the television network had an all-India viewership share of 18.4%.

During the quarter, ZEEL’s international business revenue was Rs 208.2 crore. The advertising and subscription revenues for international business declined by 4.0% YoY and 21.5% YoY, respectively.

Zee Music Company has registered 7.1 billion views on YouTube in Q2.

Punit Goenka, Managing Director and CEO, ZEEL, said, “I am pleased with the performance we have exhibited during the quarter. Our entertainment portfolio continues to grow from strength to strength across all formats and maintained its leading position. Our television network has emerged stronger post the implementation of tariff order on the back of a strong customer connect and brand pull of its channels. ZEE5 continued to gain traction across audience segments and markets, driven by its compelling content library and expanding list of partnerships across the digital eco-system. This strong operating performance allowed us to deliver industry leading growth in both advertising and subscription despite the tough macro-economic environment. Domestic subscription growth of 27% has reaffirmed the value proposition our television network has built over the years. The impact of tariff order has now largely settled down and has brought increased transparency along with improved monetization. Our domestic advertising revenue growth, though significantly lower than historical trend, is higher than the industry growth. We have witnessed an improvement in ad spends through the quarter and we believe that the onset of festive season along with measures taken by the government will help revive the consumption growth.”

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