28 June 2012

week 26

Share to stay number one The RTL Group Finance Meeting 2012

Luxembourg France / Spain IP Network publishes Fun Radio International Television expands to Spain Key Facts

Germany Spain A new jury for Antena 3 is Spain’s most Das Supertalent responsible TV channel week 26

Cover: Elmar Heggen, Chief Financial Offi cer of RTL Group

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Shared finance, fun and strategy Around 100 fi nance executives from across RTL Group met in Jodoigne, Belgium, for the Finance Meeting 2012, hosted by Elmar Heggen, CFO and Head of the Corporate Centre of RTL Group. Over two days, the participants shared fi nance-related experience and know-how, networked and gained insights into the review of RTL Group’s corporate strategy, which was presented by the Group’s Co-CEOs Anke Schäferkordt and Guillaume de Posch. Luxembourg - 28 June 2012

Elmar Heggen kicking off the Finance Meeting 2012 in Jodoigne, Belgium

After a welcome dinner with speeches from The leitmotif of the meeting clearly extended Elmar Heggen and Philippe Delusinne, CEO beyond the various presentations: networking of RTL Belgium, the packed agenda began and enjoying time together was never easier with a series of presentations on topics such than at the meeting’s impressive venue, the as investment decision processes, risk Grande Abbaye de La Ramée, situated in the management, incentive systems, compliance idyllic Belgian countryside. The site provided lots policies and future challenges in connection of cozy sitting rooms and living areas for informal with the International Financial Reporting exchanges and plenty of opportunities for joint Standards (IFRS). “The ‘strapline’ for the 2012 outdoor activities, from table tennis to football. Finance Meeting was ‘Share to stay number Clearly inspired by the European football one’,” explains Elmar Heggen. “All the championship, some participants even presentations were based around this theme, organised nightly football matches with the following our belief that we as a Group will be Belgian ‘red devils’ beating their French even stronger if we can share our experience colleagues in one of these late night games. and know-how, whether at business unit level or Group level.” RTL Group CFO Elmar Heggen kicked off the fi rst day of the meeting by reviewing the Group’s fi nancial development over the past

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Anke Schäferkordt – © Bob Karman ten years. While the years 2002 to 2006 were content business; develop new growth engines; characterised by strong revenue and EBITA and continue the digital transformation of the TV growth, the period from 2007 to 2011 was and radio business. marked by overall stagnating revenue in a diffi cult macro-economic environment. Schäferkordt began by focussing on the However, the Group’s EBITA continued to development of RTL Group’s existing core grow by a compound annual growth rate of broadcasting businesses. She said: “Yes, the 6.0 per cent from 2007 to 2011. “This growth broadcasting business is fairly mature. But there in profi tability came from two key factors: fi rst, advertising market share gains in our core markets Germany, France and the Netherlands – driven by our strong audience performance – and second increased effi ciency through cost control,” explained Heggen.

With profi t margins at record highs at most of RTL Group’s families of channels, and volatile, largely mature TV and radio advertising markets, Heggen stressed the importance of fi nding the next growth drivers for the Group. “Continued cost control and a higher profi le for our Synergy Committees – with concrete results expected – will help, no doubt. But this will not be enough. The outlook for our current portfolio remains stable, but transformational growth is unlikely within the existing scope.”

The responses to this challenge were presented during the morning of the second day, when Heggen welcomed RTL Group’s Co-CEOs Anke Schäferkordt and Guillaume de Posch. In a two-hour session, they shared insights into the strategic review they have initiated since they took over in mid-April 2012. The Co-CEOs took turns talking about seven strategic themes with a focus on four strategic goals: to optimise the Group’s existing core business; grow the Guillaume de Posch – © Bob Karman

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are several opportunities for growth as well as for further optimisation. This includes launching new channels such as RTL Nitro in Germany and Groupe M6’s planned new DTT free-to-air channel 6ter in France, but also the opportunity to develop platform revenues in certain countries.”

Guillaume de Posch went on to speak about growth plans for FremantleMedia: “FremantleMedia is another jewel in our portfolio. The company has a tremendous reputation among all players in the production business, and all major competitors are trying to copy FremantleMedia’s business model – to create blockbuster formats, to roll them out across a global network, and to create and grow brand value.” Structural changes in the TV industry – above all the proliferation of new digital distribution platforms – represent mid-term growth opportunities for RTL Group’s content arm as they drive up the importance of owning and controlling rights. De Posch emphasised: “As a consequence, FremantleMedia will focus its investments on two goals: fuelling its pipeline of intellectual property and serving new digital audiences, for example with online verticals, Youtube channels or gaming.”

After analysing RTL Group’s core business of broadcasting and content production, Participants during the team-building ‘rally’, Schäferkordt and de Posch turned to the featuring Citroën 2CVs – © Bob Karman overall topic of how the transformation to The Finance Meeting 2012 was complemented digital will affect the TV business – with by a popular team-building exercise – a ‘rally’ assessments of trends in non-linear video, online featuring iconic Citroën 2CVs in which the and mobile advertising. “Why is this important competing teams had to master various for us? Simply because we have to follow our navigation and know-how challenges – and viewers,” explained Schäferkordt. “For the time two presentations by external speakers. being, the growing non-linear viewing comes Ralf Hoffmann from Deutsche Bank gave an on top of linear usage and therefore does not instructive analysis about the Euro crisis, while cannibalise linear TV viewing. However, we have the former investment banker Rudolf Wötzel to actively shape this business and leverage our reported about his journey to a new life: how he strong brands.” left his banking job, at the pinnacle of his career, to cross the Alps by foot, from east to west, Securing rights; being available on all from Salzburg to Nice. “Being in a landscape screens and measuring all forms of viewing; on which you have zero infl uence is a formative establishing both paid-for and advertising- experience – it’s the best way to recalibrate your fi nanced on-demand models – these are some ego.” of the responses the management teams from Corporate and the business units are currently The RTL Group Finance Meeting 2012 was discussing and working on. “You start to under- organised by Josée Klein and Esther Pierard stand why two CEOs are needed – there are from HR Communications & Event Services so many themes to work upon,” summarised with help from Andrew Buckhurst and Carole Guillaume de Posch with a smile. Buttignol.

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Television Key Facts 2012 confirms world’s passion for TV IP Network and RTL Group present their 2012 edition of International Television Key Facts, the key source of information on European television. Cover of the Key Facts study Luxembourg - 27 June 2012

For its 19th edition, the study produced with the aid of media experts across Europe, analyses emerging trends and issues in television in 2012, covering top programmes, equipment, audiences, and the advertising market in thirty-fi ve European countries, as well as the United States and Japan.

People are spending more and more time in front of their televisions. Viewing time increased by two minutes per EU citizen per day to 230 minutes in 2011. France saw the Order biggest rise in viewing time per day in the full study at 2011 – plus 15 minutes – followed by Ireland at plus 13 minutes. The USA is still one IPNetwork.com of the countries where TV is watched most, at 290 minutes per person per day, but Serbia remains the leading country in the survey with 308 minutes. This rise is largely due to the increase in penetration of high-quality TV equipment as well as the increase in audiences for time-shifted viewing. 62.5 per cent of EU households have a HD TV set, while 9.9 per cent of households have a TV set with internet connectivity. More than 60 per cent of EU households own more than one TV set. Inside the booklet For the 2012 report, IP Network recruited David broadcasters), and Philippe Delusinne Brennan, an expert on European television, (CEO of RTL Belgium and President of as its editor-in-chief. Other experts involved in the Association of Commercial Television). compiling the report include Horst Stipp The report focuses on thefuture of television; (Vice President of the Advertising Research the impact and return on investment of Foundation), Patrick Barwise (President of TV advertising; new ways of calculating Which, the UK consumer rights organisation), audience share; young people and television; Tess Alps (chief executive of Thinkbox, new trends in programming and the impact of the UK’s marketing body for commercial social networking sites, among other issues.

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A new jury for Das Supertalent Thomas Gottschalk will join pop titan Dieter Bohlen on the judging panel in the sixth season of RTL Television’s hit show series Das Supertalent (Got Talent). Michelle Hunziker has been named as the third judge. Thomas Gottschalk Germany - 25 June 2012

Says Gottschalk: “I’ve noted that the audience wants to see me on the big show stage – and RTL Television has offered me exactly that. Das Supertalent is the most popular show series on German television right now. And I look forward to Dieter Bohlen and the sparks that have always fl own between us.”

Tom Sänger, Head of Entertainment at RTL Television, says: “Thomas Gottschalk the show giant, Dieter Bohlen the pop titan, and Germany’s most popular show series: it’s hard to imagine a better combination in entertainment television. By bringing the best of the best together on Das Supertalent, we set new standards and deliver on our promise of renewal and ongoing development.” Michelle Hunziker Michelle Hunziker moderated Deutschland sucht the judging panel in 2011, will focus more on den Superstar from 2002 to 2004 and other dancing and the show Let’s Dance from now shows on RTL Television. In May of this year, on. Comments Sänger: “We thank them both for she was a judge on DSDS Kids alongside Dieter their splendid contribution to the longstanding Bohlen. From 2009 to 2011, she co-moderated success of Das Supertalent, and look forward to the TV show Wetten Dass…? with Thomas our continued collaboration.” Gottschalk. Says Hunziker: “I very much look forward to sharing the judges’ bench with my RTL Television will begin airing the next season favourite colleagues Dieter and Thomas. I’ve of Das Supertalent, which averaged 31 per cent already worked with both of them; we know each of young audiences (14 to 49) last season, this other and like each other. It’s going to be a lot of autumn. Besides a new judging panel, Das fun and I’m very excited about the many different Supertalent will be given a whole new concept talents we’re going to be seeing.” and script as well. Since April, RTL Television has been scouting in Germany and abroad for RTL Television will continue its more than people who possess a unique talent, a skill that four years of successful collaboration with the captivates audiences, surprises, fascinates and show’s previous judge Sylvie van der Vaart on inspires them. Das Supertalent is produced an exclusive level. Sänger says: “Sylvie van by Grundy Light Entertainment and is the only der Vaart is important to us and we will jointly show on German television that is open to every concentrate on new show and magazine kind of talent. Information on auditions is posted projects.” Motsi Mabuse, who also sat on at RTL.de. 7 week 26

Fun Radio is launched in Spain The French Fun Radio announced a new licence agreement with the Spanish company Movemos Madrid to establish its brand in Spain. Jérôme Fouqueray France - 26 June 2012

At the end of summer in 2011, Fun Radio Managing Director Jérôme Fouqueray talked about the station’s international development, beyond the Belgian and Slovak markets where the brand is already present. He now announces the launch of Fun Radio in Spain through a new partnership with the Loca FM network (Movemos Madrid) available on 35 frequencies in 14 of Spain’s 17 autonomous communities. As of 1 September 2012, the current network will be renamed Fun Radio with the slogan “Sonido Dancefl oor”.

“Our approach is to share expertise in new territories,” said Jérôme Fouqueray, on 21 June during an interview on the set of Buzz Média Orange-Le Figaro. In terms of programming, the station will be a “radio station for the Span- ish, with the same formula, the same values, the same brand territory and the same top artists as Fun Radio in France.” The objective is for the The Loca Fun Radio logo radio station to rank in the top fi ve Spanish radio stations.

While the value of the Fun Radio brand continues to increase in France as well as in new territories, these diversifi cations allow Fun Radio to see its “revenues other than advertising count for 5 to 10 per cent of the turnover in the fi ve years to come,” Jérôme Fouqueray said in conclusion.

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UFA Lab opens a branch in Cologne UFA is opening a Cologne offshoot of its UFA Lab with the support of the Film- und Medienstiftung NRW foundation. Germany - 28 June 2012

Jens-Uwe Bornemann (left) and Petra Müller

UFA Lab NRW will serve as an open Jens-Uwe Bornemann, Vice President Digital innovation platform for young talent and Ventures & Innovation at UFA, who heads UFA startups in the ‘video’ and ‘storytelling’ sectors. Lab in Berlin, will also oversee UFA Lab NRW. The lab will pursue its activities in close A Creative Consultant and Coach will join coordination with the state’s media industry experts from Grundy Light Entertainment and and work with the startup scene in North Grundy UFA and other specialised project Rhine-Westphalia (NRW). managers in driving forward the projects with the talented individuals and startups. UFA Lab NRW will provide selected young professionals and companies with a ready-to- Petra Müller, Managing Director of Film- und use “plug & play” structure as well as a network Medienstiftung NRW, adds: “The establishment of industry partners including established media of UFA Lab is another important step on the path companies and major technology fi rms. to promoting and creating a network for young developers in the new media in NRW. We look “UFA Lab in Berlin has developed into an forward to the creative impetus that NRW will extremely effi cient interface between fi lm and receive from this new UFA Lab.” TV production and the new media and new technologies for us,” says UFA CEO Wolf Bauer. “The launch of UFA Lab NRW in Cologne, a city where we are very active in Entertainment and Daily Drama, is a continuation of our strategy to help shape the media landscape’s transformation to digital in our role as the market-leading provider of video content.”

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Responsible television According to the recently published ‘Esporas de helechos y elefantes 2012’ study, Antena 3 is Spain’s most responsible broadcaster. Spain - 27 June 2012

The ranking carried out by Fundación Compromiso Empresarial

Antena 3 topped the ranking carried out by Only four of the channels surveyed – Antena 3, Fundación Compromiso Empresarial, having RTVE, Telecinco and TV3 – publish complaints scored 25 points – ahead of RTVE (21 points) they receive, if any. The survey also examined and TV3 (17 points). The study involved an the channels’ guidelines in regard to Corporate analysis of the content of the Web sites of Governance and the tools and mechanisms Spain’s top 16 commercial and public-service used to ensure compliance with these TV channels. standards. Antena 3 led the pack in this category as well – ahead Most Spanish broadcasters profess to embrace of Telecinco. Antena 3 is the values such as truthfulness, freedom of opinion, only channel with an ethics independence and the protection of minors, but code that also applies to only few have mechanisms in place to monitor producers the channels the implementation of these values. works with.

The authors of the study emphasise that For more information, see social responsibility is especially important in CompromisoEmpresarial the protection of minors. Ten of the channels .com surveyed had guidelines on the protection of minors, but only three channels, including Antena 3, have set up a complaints scheme. Only four of the channels surveyed have a labelling and controlling system for this purpose – Antena 3 is one of them.

10 One family (almost) like the rest

All summer long, M6 is airing a new comedy series, ‘En famille’, featuring short sketchesfi rst on the ups and downs of the Le Kervelec. 3.5 million viewers tuned in to the episode, for an audience share for 21.3 per cent among housewives under 50. week 26

Nine consecutive months of excellent performance The Médiamétrie measuring system for radio podcasts in May 2012 confi rms the powerful dynamics of RTL Radio in France in this new mode of radio consumption, which registers 4.5 million podcasts downloaded. France - 22 June 2012

RTL Hrvatska signs exclusive deal with Disney RTL Hrvatska recently signed a volume deal with Disney for the Croatian broadcast rights to 70 popular box-offi ce hits, along with children series, many of them TV premieres. Croatia - 22 June 2012

M6 Web concludes a partnership agreement with Intenium M6 Web and Intenium, the European leader of casual games, have launched the new Bonga Online game in France. France - 22 June 2012

The very essence Since its release on 11 June 2012, the compilation La collection Georges Lang volume 2 has been very well received with the public and ranks as the third most popular compilation in France. France - 25 June 2012

A colourful summer M6 presented its summer viewing schedule with the slogan ‘Toutes les couleurs de l’été’ (All the colours of summer), featuring love, family life, laughter, news, discovery, sport and suspense. France - 19 June 2012

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Two ads for a new story… Tiilt, Groupe M6’s online dating site, just launched its third TV campaign on the group’s channels. France - 27 June 2012

Social music TV on the Internet Clipfi sh’s new ‘Dooloop’ portal lets music lovers fi nd their favourite videos, recommend them and share them with friends via Facebook. Germany - 27 June 2012

Kabel Deutschland and Mediengruppe RTL Deutschland expand their collaboration From the beginning of September 2012, the high-defi nition programmes RTL HD, Vox HD, Super RTL HD and RTL II HD will be distributed to digital TV users via Kabel Deutschland’s cable networks. The new free-to-air channel RTL Nitro, which fi rst went on air on 1 April, will be fed into the Kabel Deutschland network in SD quality from 3 July. Germany - 28 June 2012

RTL.fr passes the 4 million unique visitor mark According to the results of the Internet survey published by Médiamétrie for the month of May 2012, RTL.fr beat its all-time record with more than 4 million unique visitors and confi rms its status as the number one radio website in France for the fourth consecutive month. France - 28 June 2012

Our relationship with Earth On 28 June 2012 at 20:40, Paris Première airs the documentary La Terre vue du ciel (Earth from Above) based on the book of photography of the same name by the French photographer and ecologist Yann Arthus-Bertrand. France - 28 June 2012

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People Trish Kinane Trish Kinane North America - 22 June 2012

Trish Kinane has been appointed President of Trish Kinane, President of Entertainment Entertainment Programming – American Idol, Programming, FMNA said: “It’s a great privilege The X Factor and America’s Got Talent, at to take on this exciting new challenge. FremantleMedia North America (FMNA), American Idol, America’s Got Talent and The effective 1 August 2012. X Factor are loved by audiences not only in America but around the world. I am very much Trish, currently the President of Worldwide looking forward to the opportunity to work with Entertainment at FremantleMedia, will be based the production teams of the shows and our in Los Angeles where she will initially report partners to build upon the considerable success to Cecile Frot-Coutaz, the incoming CEO of of these hit programmes.” FremantleMedia. In this new executive post, Trish will be responsible for overseeing all Trish has an extensive and unique background strategic, day-to-day operational and creative in international TV production, most recently aspects of American Idol, The X Factor and as President of Worldwide Entertainment at America’s Got Talent, on behalf of FMNA. As FremantleMedia. In this role she oversaw the part of this role, she will also work closely on global roll-out of all FremantleMedia’s developed the programmes with Fox and NBC, as well as and acquired non-scripted formats including FMNA’s production partners Syco and 19. Idols, Got Talent and The X Factor, working to safeguard their integrity, guarantee production Cecile Frot-Coutaz, FremantleMedia’s incoming quality, and manage commercial and talent CEO, said: “Trish Kinane is a pre-eminent relationships arising from them, as well as TV production executive with decades of promoting and enhancing best-practice experience at the forefront of the industry. She production and collaboration within also has fi rst-hand knowledge and a huge FremantleMedia’s international production breadth of experience with the Idols, Got Talent network. and The X Factor formats, gained during her time as the President of Worldwide Entertainment at FremantleMedia. Trish’s experience, combined with her remarkable natural creative instincts and inherent management and production know-how make her the perfect choice to ensure the continued success of these market-leading shows.”

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People Matthias Dang / Martin Krapf Germany - 26 June 2012

Matthias Dang Martin Krapf On 1 September, Matthias Dang (45) will take Anke Schäferkordt, CEO of Mediengruppe RTL over as Managing Director of IP Deutschland Deutschland: “I accept Martin Krapf’s decision, from Martin Krapf (52), who is stepping down even though I regret it very much personally and from the position at his own request. Dang professionally. He leaves us with a top-notch is currently Deputy Managing Director of the company and team, both of them well positioned advertising sales house. for the future. At the same time I’m pleased that his successor Matthias Dang is a proven expert Krapf will continue to serve Mediengruppe RTL and a highly esteemed colleague from within our Deutschland in a consultative capacity until the own ranks, who is deeply familiar with both our end of 2013, and will continue to operationally company and the market. I wish them both every coordinate strategic projects for Mediengruppe success in future.” RTL Deutschland on committees, among other things. “After 17 years at IP Deutschland, ten of After studying business administration in Mainz, them as Managing Director, I’m looking forward Dang began his career at IP Deutschland in 1993 to a new focus,” says Krapf. “I’m going to work as Marketing Assistant for RTL Television. After on projects for Mediengruppe RTL Deutschland, successive positions in marketing, he served but will also tackle other exciting new topics. as a Sales Director from 1998 to 2002. From Matthias Dang is my own top pick as my 2003 to 2004 he moved back into marketing as a successor, and he more than deserves to manager. In June 2004, Dang took over as become Managing Director. I wish him all the Senior Sales Director. In October 2009, he also best, lots of success and above all, I hope became Deputy Managing Director. he continues to enjoy working at his old and soon-to-be new job. Martin Krapf studied education, psychology and philosophy at the University of Würzburg. Krapf: “Together with our colleagues in senior After graduation he began his career at GfK management at both IP and Mediengruppe Fernsehforschung, later becoming CEO of RTL Deutschland, we have turned a pure TV the Media Stand-by agency. He then held a airtime sales agency into a leading marketer number of senior positions at the Media of integrated media solutions. I’d like to thank Direction and TMP media agencies. In 1995 he everyone who has supported me during joined IP Deutschland, and from 1998 served as this time. My special thanks go to Sales Director and Deputy Managing Director. Anke Schäferkordt for enabling me to take this Krapf was appointed Managing Director of the path and for leadership and cooperation that ad sales house in June 2002. was characterised by freedom, trust and passion.” 15 week 26

People Oliver Fahlbusch Oliver Fahlbusch Luxembourg - 26 June 2012

RTL Group announced the appointment of Oliver Anke Schäferkordt and Guillaume de Posch, Fahlbusch (39) as the new head of RTL Group Co-CEOs of RTL Group, say: “We’re very pleased Corporate Communications, with effect from that Oliver Fahlbusch will take over RTL Group’s 1 July 2012. communications. He is deeply familiar with RTL Group, Bertelsmann and the international As Senior Vice President Corporate Communi- media industry, and has a remarkable track cations & Marketing he will be in charge of the record. Over the past six years, Oliver has Group’s internal and external communications played an instrumental role in successfully activities, reporting to Anke Schäferkordt and communicating RTL Group’s strategy and Guillaume de Posch, Co-CEOs of RTL Group. results, and in actively contributing to the Group’s reputation. We look forward to working Oliver Fahlbusch joined RTL Group in August with him, and wish him every success in his new 2006 as Deputy Head of Corporate Communica- position.” tions. In this position, he has served as a media spokesman for RTL Group, produced the Group’s Annual Report and a series of print publications, and was involved in all of its internal and external communications projects. After completing his studies in Media and Communication Sciences at Freie Universität Berlin, Oliver Fahlbusch held successive positions in Bertelsmann AG’s Corporate Communications department from April 2000 to July 2006. He became a member of the Bertelsmann spokesperson group in March 2001 and was promoted to Vice President Media Relations in January 2004.

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