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ANNUAL REPORT 2014 the Company Entertains and Informs up to 10Million Australians Each Week

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ANNUAL REPORT 2014 the Company Entertains and Informs up to 10Million Australians Each Week ENTERTAINING AUSTRALIA Southern Cross Austereo entertains combined audiences of up to 10million weekly across its Television, Radio and Digital networks #1 RADIO BRAND – TODAY NETWORK 3.3M LISTENERS #1 RADIO NETWORK FOR MEN – TRIPLE M 2.7M LISTENERS TV WEEKLY REGIONAL AUDIENCE 5M VIEWERS #1 RADIO GROUP ONLINE UNIQUE 220,000 BROWSERS DAILY #1 RADIO BUSINESS ON SOCIAL 6.5M FANS Source: GFK Radio Ratings (Metro: S5, 2014, Regional: Gold Coast, Canberra, Newcastle, S1, 2014, Central Coast, S1, 2012). Triple M Network includes mix 94.5 (Perth) and LocalWorks. SCA CATI Surveys 2014. 4 AGGS & TAS, Regional TAM Week 29. Sun-Sat, 0200 – 2600. 1 min Cume Reach. NMR TV Advisor. Sun-Sat, 0530 – 2400. SGT (Survey 1 2007), Central (Survey 1 2008), Darwin (Survey 1 2011). Nielsen Online Ratings – Market Intelligence (Domestic), Average Daily Unique Browsers, June 2014. Facebook Insights, Twitter and SCA Social Analytics, as at 1/07/2014. FANS: Facebook total page likes + Twitter followers. CONTENTS Australia’s Most Innovative Powerful Radio Brands Engaging with Regional Entertainment Company 08 Television Audiences 04 12 Entertaining Audiences Big Talent and Brand with Intimate Scale Leading Digital Solutions Get Results 10 Innovations 06 14 Giving Back to Our Board of Directors and Communities Leadership Team 16 20 Chairman and CEO’s Report Financial Report 18 22 AUSTRALIA’S MOST INNOVATIVE ENTERTAINMENT COMPANY Southern Cross Austereo is Australia’s most innovative entertainment company, encompassing one of the largest media footprints of any broadcast business in the country. The business delivers unique and absolutely Its personalities are familiar and hugely popular, engaging content across its leading metropolitan and made even more accessible than ever before and regional radio stations, multitude of digital via the interactive mediums of live radio, online, assets and extensive regional television networks. mobile and social media. The company’s award winning content creation is Southern Cross Austereo provides highly ever evolving thanks to its access to world class innovative and effective business solutions live music acts and celebrities, plus its incredible across its multiple media channels, allowing depth of performers and off-air talent. maximum engagement with audiences and delivering exceptional connections across Southern Cross Austereo has the largest stable of advertiser campaigns Australia wide. on-air talent of any broadcast company in Australia. SOUTHERN CROSS AUSTEREO 4 ANNUAL REPORT 2014 The company entertains and informs up to 10million Australians each week. It excels in content solutions across its Delivering unique and absolutely popular radio shows, leads digital ratings engaging content across its leading and social media engagement, and has an exciting television portfolio that entertains metropolitan and regional radio regional Australians with locally produced stations, multitude of digital assets and affi liate programming. All of these and extensive regional television factors combine to deliver engaging and innovative media coverage for advertisers networks. and audiences alike. SOUTHERN CROSS AUSTEREO ANNUAL REPORT 2014 5 When Australia’s most loved personalities talk, people listen. That’s why clients choose to put their brand in an environment that gets results. SOUTHERN CROSS AUSTEREO 6 ANNUAL REPORT 2014 BIG TALENT AND BRAND SOLUTIONS GET RESULTS Southern Cross Austereo generates more live content than any other media company. Its biggest talent line-up and broadest brand solutions ensure successful outcomes for brands across Australia. When Australia’s most loved personalities talk, Branded solutions also extend to regional TV, people listen. That’s why advertisers choose to allowing brands across the country to align with put their brands in environments that get results. some of Australia’s most anticipated and sought after shows and event programming. The incredible depth of Southern Cross Austereo’s radio talent lineup includes Andy Lee, Dan Debuf, Southern Cross Austereo formulates effective Dave Thornton, Eddie McGuire, Ed Kavalee, solutions and sponsorships that build awareness Fifi Box, Greg Martin, Gus Worland, Hamish Blake, and lead to buying behaviour. This is all set Joe Hildebrand, Jules Lund, Luke Darcy, against a backdrop of engaging and entertaining Matt Tilley, Maz Compton, Merrick Watts, content endorsed by much-loved personalities. Michelle Anderson, Mick Molloy and Sophie Monk and sports icons such as Andrew Johns, Billy Brownless, Garry Lyon, James Brayshaw, Jason Dunstall, Mark Geyer, Mark Ricciuto, Matty Johns, Peter Sterling, Wayne Carey, Wendell Sailor and more. In addition, Southern Cross Austereo has the biggest talent pool in regional Australia, with local personalities such as Charlie Delany, Paul Gale, Spida Everitt, Steve G and Steve Price entertaining passionate and loyal communities around the nation. Research proves that people listen and take action. Australians are increasingly likely to seek products recommended by Today Network talent and more men are buying what Triple M showcases and recommends – audiences are particularly infl uenced by live on-air reads, integrated messaging, and content marketing involving on-air performers. SOUTHERN CROSS AUSTEREO ANNUAL REPORT 2014 7 POWERFUL RADIO BRANDS Southern Cross Austereo has the largest radio footprint in Australia engaging 5.2million1 listeners across its powerful radio brands weekly. Put simply, Southern Cross Austereo’s radio TRIPLE M networks are the best in the country, consistently Triple M is the iconic home of rock in Sydney, delivering the most engaging locally made Melbourne and Brisbane and plays the widest entertainment, music, sport, comedy, events variety of rock music in Adelaide where it has and up-to-the-minute news across Australia, recently re-formed as Classic Triple M. Proudly 24 hours a day, seven days a week. Aussie, the legendary Triple M Network plays the best rock music, leads the way in sporting content THE TODAY NETWORK and features a depth of respected talent – from The Today Network is the biggest radio network comedians to media greats and sporting icons. in Australia with over 3.3million2 loyal listeners nationally across metro and regional markets, who Triple M is down to earth and proudly local. love the station’s hit music and pop culture. Today Its solid mix of rock, sport, news, comedy and Network personalities are adored by audiences for breaking the rules is what sees the station their relatable, honest and humorous delivery of consistently win the ratings with male listeners. everything that’s hot right now. MIX94.5 Combined with the latest hit music, access mix94.5 is Perth’s most-loved radio station with to the world’s biggest artists and stars, genuine, energetic and much-loved presenters Today Network content is uplifting, shareable who have been entertaining locals with the widest and downright addictive! variety of music for over 20 years. SOUTHERN CROSS AUSTEREO 8 ANNUAL REPORT 2014 LOCALWORKS Two additional Triple M Digital Radio The LocalWorks Network comprises 30 stations Stations have been launched in the past year, that broadcast regionally on both AM and complementing the existing brand portfolio: FM channels throughout Australia, growing from strength to strength with some stations • Triple M Classic Rock Digital – Classic rock celebrating a heritage of over 80 years. from the 1960s and 1970s • Triple M Perth Digital – Modern rock and All LocalWorks stations pride themselves on being Australia’s best AFL coverage connected to the community in every way. They • Buddha Radio – Tune in, chill out are committed to their variety music format too, • LoveLand Radio – Where the love lives playing the greatest hits from the last 50 years that people know and love – always familiar • Stardust Radio – The greatest songs of all time and never straying too far from what their loyal Digital Radio continues to build in terms of listeners have come to expect! listeners, receivers sold and placement in new vehicles. This brings exciting new content for DIGITAL RADIO Australians and additional options for advertisers Southern Cross Austereo continues its and audiences. commitment to the growth of Digital Radio with extensive reach across metropolitan Australia. Source: 1+2 GFK Radio Ratings (S5, 2014, Regional: Gold Coast, Canberra, Newcastle, S1, 2014, Central Coast, S1 2012). SCA CATI Surveys. SOUTHERN CROSS AUSTEREO ANNUAL REPORT 2014 9 ENTERTAINING AUDIENCES WITH INTIMATE SCALE Southern Cross Austereo is proudly one of Australia’s fastest growing digital publishers, with the ability to entertain online audiences with intimate scale. The past year has been characterised by rapid In addition to pure audience scale and high growth in digital audiences and commercial engagement levels, Southern Cross Austereo activity. This has enabled the business to has delivered 17.3% growth, year-on-year, expand digital revenue. in digital revenues. Southern Cross Austereo is a clear leader in Southern Cross Austereo is passionate about Australia’s digital space, reaching millions of leading edge media and is increasingly looking individuals with a personalised touch, thanks beyond the Australian radio and television to its interactive and innovative products. industries to benchmark its digital performance, and to create and sustain a world class digital business. SOUTHERN CROSS AUSTEREO 10 ANNUAL REPORT 2014 #1 SOCIAL ENGAGEMENT #1 RADIO GROUP ONLINE Fifi and Dave – Australia’s most
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