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ANNUAL REPORT 2017 Cover Image: Athletes Compete in the Women's 60M Hurdles at the IAAF World Indoor Athletics Championships

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ANNUAL REPORT 2017 Cover Image: Athletes Compete in the Women's 60M Hurdles at the IAAF World Indoor Athletics Championships ANNUAL REPORT 2017 Cover image: Athletes compete in the women's 60m hurdles at the IAAF World Indoor Athletics Championships. In 2017, ITN Productions announced a worldwide joint venture production partnership with the IAAF (see page 20). Photo credit: Adrian Dennis/AFP/Getty Images Annual Report TRUSTED TO TELL THE WORLD’S STORIES. ITN is an Oscar-nominated production company that has been at the heart of the media landscape for over sixty years, internationally recognised for our quality, integrity and creativity. Combining our experience honed as one of the UK’s foremost media companies with cutting edge technology and expertise, we are the home of compelling content and technical innovation. We make the award-winning daily news programmes for ITV, Channel 4 and Channel 5, providing comprehensive and impartial news to the British public, with an accumulated peak audience of up to 12.3 million people in the UK. ITN Productions, our independent production company, produces high quality content across seven distinct areas: television production; sports; advertising; industry-specific programming; education content; entertainment and news footage syndication; and post-production. Independent Television News Limited 200 Gray’s Inn Road | London | WC1X 8XZ Registered number 548648 www.itn.co.uk 3 Independent Television News Limited 4 Annual Report CONTENTS OVERVIEW 2017 highlights 6 Business review: Broadcast News 8-15 Business review: ITN Productions 16-21 Chief Executive’s review 22 Chair’s statement 23 GOVERNANCE Board of Directors 24 Executive Team 26 Strategic report 29 Directors’ report 32 Statement of Directors’ responsibilities 35 Independent Auditor’s report 36 ACCOUNTS Accounts 38 5 Independent Television News Limited 2017 KEY STATISTICS ITN delivered a solid performance in a challenging market during 2017, as we continue to grow, diversify and change. The knock-on effect of broadcasters and advertisers tightening their belts following the turbulence of Brexit and related economic uncertainty created a difficult trading environment this year. In addition, ITN’s decision to withdraw from the third-party archive representation business during 2017 reduced revenue by £5m compared to 2016. Despite these challenges, ITN remains in good shape, with a robust plan for the future. REVENUE OPERATING PROFIT £m £126.4m £m £5.8m 129.7 126.4 7.1 119.7 6.9 112.0 108.7 105.8 5.8 5.8 98.2 96.2 5.0 3.7 2.3 0.9 10 11 12 13 14 15 16 17 10 11 12 13 14 15 16 17 6 Annual Report 2017 HIGHLIGHTS AWARDS BROADCAST BROADCAST WON COMMISSIONS HOURS 62 50 199 OSCAR NOMINATION ADVERTISING ACCUMULATED PEAK FOOTBALL MATCHES PROJECTS UK NEWS AUDIENCE FILMED AND EDITED up to 1600+ 44 12.3m 7 Independent Television News Limited SETTING THE AGENDA FIGHTING FAMINE ITV NEWS SPECIAL REPORT Airing throughout 2017, the Fighting Famine series of special reports took a close look at how widespread starvation is threatening countries in parts of the Middle East and Africa. ITV News' speed of response “One doesn’t need to go that far back in time across the very same affected regions to be reminded of the terrible cost that hunger to the story“ not only alerted and disease have taken as a result of both natural and man-made the world to this disaster, but famines,” says ITV News international affairs editor, Rageh Omaar. will undoubtedly save tens of “This situation did not crop up quickly or out of the blue, and it is thousands of lives. right to ask with urgency how the world finds itself in a position where it is in an almost impossible race against time to save the lives of millions. But that is exactly what this is - a desperate race - DEC against time.” Within hours of the initial coverage being broadcast, the Disasters Emergency Committee (DEC) appeal for aid had raised over £12million, which subsequently rose to more than £50 million, helping hundreds of thousands of affected people across the region. 8 Annual Report JON SNOW JAMES MACTAGGART MEMORIAL LECTURE The Channel 4 News presenter delivered a searing keynote speech at the Edinburgh International Television Festival, earning a standing ovation for his urgent address on the “disconnect” between the media and some parts of society. Reflecting on the “haunting” Grenfell Tower disaster, Snow warned that the media must address its lack of diversity and find a way to reconnect with people. “It will take the effort of every single one of us,” said Snow. “The producers, the journalists, the platforms, the politicians and the public – to reconnect our disconnected world.” The MacTaggart Lecture has formed the prestigious centrepiece of the festival since 1976. Previous speakers include Rupert Murdoch, Armando Iannucci and Vice founder Shane Smith. © Neil Hanna | Edinburgh TV Festival 2017 EVERYDAY HARASSMENT 5 NEWS SPECIAL SERIES Presented by Sian Williams, the Everyday Harassment series was commissioned in response to the experiences of some 5 News staff and their friends and family in their day to day lives, as well as social media stories of harassment. The aim was to highlight ‘lower-level’ harassment that women and some men experienced but might not feel merited a formal complaint. Whether it was unwanted attention in a public place, groping, or persistent abuse on social media, the idea was to give victims a voice. “We’d commissioned the series before the scandal surrounding Harvey Weinstein changed minds and attitudes,” says 5 News editor Cait FitzSimons. “But there was definitely a sense that we were part of a moment in victims being able to say enough is enough.” 9 Independent Television News Limited SETTING THE AGENDA THE LEADER INTERVIEWS ITV NEWS / TONIGHT ELECTION SERIES “I must confess, when me and my friend used to run through the fields of wheat, the farmers weren’t too pleased about that.” Those words, uttered by Theresa May in response to Julie Etchingham’s question on the naughtiest thing she’d ever done, A magnificent moment rapidly went viral, reflecting an often turbulent election campaign. of the election The interview – part of an election series with each of the main party leaders - had a huge impact, proving that there are many - Nick“ Robinson, different approaches to coaxing a line out of a politician. BBC Radio 4 ‘Fields of Wheat’ became the subject of countless memes, parody songs and tens of thousands of #fieldsofwheat hashtags. It was a defining moment for May, where the prime minister was caught off-guard in a campaign that she has since admitted was “a mess”. 10 Annual Report THE BATTLE FOR RAQQA CHANNEL 4 NEWS SPECIAL REPORT Channel 4 News spent several days reporting from the Syrian city of Raqqa, the capital of the Islamic State caliphate, during the battle to liberate the city. International Editor Lindsey Hilsum, producer Thom Walker and camera operator Soren Munk went to the frontline against ISIS alongside the Syrian Democratic Forces, and talked to people fleeing the fighting. “The fighters are closing in from the east and the west but the Islamic State militants are still in the centre of Raqqa,” said Lindsey, travelling though the rubble in a military jeep. “Around here it’s ruins, but there are civilians - no-one seems to know how many. The militants are using them as human shields and they can easily fall victim to coalition airstrikes.” GENERAL ELECTION ITV NEWS SPECIAL PROGRAMME “By a clear margin and with an undisputed majority, ITV won the election,” wrote the Guardian of a critically acclaimed overnight election programme. Led by News at Ten anchor Tom Bradby, political editor Robert Peston, national editor Allegra Stratton and ITV News London anchor Nina Hossain, the programme also introduced the watching public to an unmissable new double act. Former Westminster sparring partners George Osborne and Ed Balls put aside old rivalries to join forces and provide an insider’s view on a night of high political drama. “Thanks to smart guest bookings and slick production, ITV was the clear winner,” wrote the Telegraph. 11 Independent Television News Limited SETTING THE AGENDA ELECTION EXPENSES: EXPOSED CHANNEL 4 NEWS INVESTIGATION A series of in-depth investigations by Channel 4 News revealed serious allegations that go to the very heart of British democracy. Political correspondent Michael Crick and the Channel 4 News Michael Crick, Channel 4 News investigations unit unearthed compelling evidence that the political correspondent, the Convervatives may have flouted election laws during the 2015 “ General Election and in three earlier by-elections. proverbial dog with a bone The revelations have led to more than a dozen police investigations, and what is understood to be the largest ever investigation by the - Nick Ferrari, LBC Electoral Commission. “From his forensic investigation of election expenses...this was vintage stuff from a specialist at the top of his form,” said the Royal Television Society in naming Michael Crick specialist journalist of the year for 2017. 12 Annual Report THE CHICKEN INDUSTRY: EXPOSED ITV NEWS / GUARDIAN INVESTIGATION An undercover investigation by ITV News and the Guardian into the supply of poultry to British supermarkets revealed worrying standards of food safety, and led to a parliamentary inquiry. During months of investigative journalism in 2017, an undercover reporter was deployed to work at a 2 Sisters site in the West Midlands, which processes fresh chicken for Tesco, Sainsbury’s, Aldi, Lidl and Marks and Spencer. The investigation showed workers changing both the date of slaughter and the source codes on crates of chicken crowns, potentially extending the meat’s shelf-life and making it untraceable in the event of an outbreak of food poisoning. Chicken which had fallen on the floor was also returned to the production line, while different ages of meat were mixed together.
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