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Today,Tomorrow,Together today, tomorrow, together Annual Report & Group Financial Statements 2012 2012 Contents Highlights 3 What we Do 4 Organisation Structure 5 Chairman’s Statement 6 Director-General’s Review 8 Financial Review 12 Operational Review 20 Board 66 Executive 68 Corporate Governance 70 Board Members’ Report 75 Statement of Board Members’ Responsibilities 76 Independent Auditor’s Report 77 Raidió Teilifís Éireann Board Financial Statements 78 52nd Annual Report and Group Financial Statements for the 12 months Accounting Policies 85 ended 31 December 2012, presented to the Minister for Communications, Energy and Natural Resources Notes forming part of the Group Financial Statements 90 pursuant to section 109 and 110 of the Broadcasting Act 2009. Other Reporting Requirements 127 Other Statistical Information 142 Is féidir leagan Gaeilge den Tuarascáil a íoslódáil ó Financial History 143 www.rte.ie/about/ie/policies-and- reports/annual-reports/ Annual Report & 2012 Group Financial Statements 1 VISION Throughout 2012, RTÉ’s Director-General set out in a number of key public RTÉ’S VISION IS to ENRICH IRISH statements a new vision for RTÉ. In turn this has led to a revised Vision, Mission and LIFE; to inforM, ENTErtain AND Values statement for RTÉ. CHALLENGE; to CONNECT WITH THE LIVES OF ALL THE PEOPLE. Mission • Deliver the most trusteD, inDepenDent, irish news service, accurate anD impartial, for the connecteD age • ProviDe the broaDest range of value for money, quality content anD services for all ages, interests anD COMMUNITIES • Reflect irelanD’s cultural anD regional Diversity anD enable access to major events • Support anD nurture irish proDuction anD irish creative talent VALUES • UnDerstanD our auDiences anD put them at the heart of everything we Do • Be creative, innovative anD RESOURCEFUL • be open, collaborative anD flexible • Be responsible, respectful, honest anD accountable to one another anD to our auDiences 2 ANNUAL REPORT & GROUP FINANCIAL STATEMENTS 2012 highlights 1. 2. 3. €874 million was raised More than 2.5 million RTÉ RTÉ Radio 1 was the for the State from the sale Apps were downloaded in most listened-to station of the communication the year to December 2012. in Ireland during 2012, spectrum arising from with 18 of the top 20 RTÉ’s successful delivery programmes nationally. of the digital switchover via Saorview. 4. 5. 6. 19 of the top 20 There were 1.6 billion page RTÉ has reduced its 2012 programmes broadcast impressions on RTÉ.ie in cost base by over €100 on any channel available 2012, up 16%, with 6% million since 2008 . to Irish viewers in 2012 more streams in 2012 than were on RTÉ Television. in 2011. 3 OPEWHatrationa WE DOL REVIEW rtÉ television television raDio RTÉ operates two core free-to-air television channels: RTÉ Radio operates four primary national stations and seven • RTÉ One - the most popular TV channel in Ireland, RTÉ One exclusively digital stations. Primary stations are available on serves the wider population with high-impact programmes, FM, on digital radio, on Saorview, on the RTÉ Radio Player landmark drama, documentary, factual and entertainment on mobile, tablet and desktop; digital stations are available programming, news and current affairs, bringing the country on digital radio, on Saorview and on the RTÉ Radio Player on together for key national events. mobile, tablet and desktop. RTÉ Radio 1 is also available on LW. • RTÉ Two - the home of sport and children & young people’s Primary Stations daytime television. RTÉ Two provides distinctive and relevant • RTÉ Radio 1 - news and current affairs; arts, drama and programming for young people through factual, entertainment, documentary strands; entertainment; sport; and general and comedy, sports, documentary and acquired drama. niche music. • RTÉ 2fm - innovative programming, popular and alternative music, sport and entertainment. RTÉ operates four new complementary TV channels on the • RTÉ lyric fm - a unique alternative listening choice for an Saorview platform. Those channels are as follows: audience of classical, world music and arts lovers. • RTÉ Two HD - a simulcast of RTÉ Two and broadcasts key • RTÉ Raidió na Gaeltachta - a national Irish-language service programming from the RTÉ Two schedule in high definition. that connects listeners to a personalised, authentic Gaeltacht • RTÉjr - a dedicated daytime television service for children aged and Irish-language world, with special attention paid to local 6 years and younger which is completely free of advertising. news and traditional music from Gaeltacht communities. RTÉjr is on air from 9 am to 6.30 pm on weekdays and 6 am to 12 pm on Saturdays and Sundays. Home-produced RTÉ Radio - Digital Stations programming is the cornerstone of the RTÉjr schedule, with • RTÉ 2XM - rock and pop for the student generation with an live action programming and Irish animation featuring emphasis on new and Irish material. strongly. • RTÉ Radio 1 Extra - the best of international public radio and • RTÉ One+1 - on air from 7pm until late. This channel offers RTÉ feature archives while offering a catch-up and split- viewers another opportunity to experience the key offerings of content service for RTÉ Radio 1. RTÉ One, one hour later. • RTÉjr Radio - the only children’s radio station in Ireland; • RTÉ News Now - a rolling news channel with live news playing music and stories from 7 a.m. to 9 p.m. bulletins, live current affairs programmes, catch-up on recent • RTÉ Gold - uninterrupted popular music for the over-35s. news and current affairs, live coverage of special events, • RTÉ Pulse - electronic dance music. breaking news and continuous sport, business and weather updates throughout the day. RTÉ News Now is also available online and as a mobile service on iPhone, iPad and Android. NETWORK news & CURRENT AFFAIRS RTÉNL (RTÉ Transmission Network Limited) provides a national transmission network for RTÉ Radio and Television, TG4, TV3 and Today FM. It also rents tower space on its masts RTÉ provides independent, accurate and impartial news and to local radio stations and a range of telecommunications service current affairs programming, in both languages, across all providers and operators. services, on radio, television, online and mobile. DIGITAL orchestras, QUARTET & CHOIRS RTÉ is a major contributor to the arts in Ireland, and operates RTÉ Digital operates four of Ireland’s leading media services: five performing groups which offer music lovers in Ireland high- • RTÉ.ie - the most-popular media website in Ireland delivers quality live, broadcast and recorded music: RTÉ content to both Irish and international audiences through • RTÉ National Symphony Orchestra a first-class user experience and multi-platform, multi-device • RTÉ Concert Orchestra availability. • RTÉ Vanbrugh Quartet • RTÉ Aertel - the leading free-to-air teletext service. • RTÉ Philharmonic Choir • RTÉ Player – Ireland’s leading on-demand television service, • RTÉ Cór na nÓg giving audiences choice and control to enjoy RTÉ programmes wherever and whenever they choose. • RTÉ News Now – RTÉ’s live/catch-up news service, online, on guiDe mobile and on Saorview. • The best-selling Irish weekly listings and features magazine 4 ANNUAL REPORT & GROUP FINANCIAL STATEMENTS 2012 Organisation STRUCTURE rtÉ’s organisational structure is as follows: RTÉ Secretariat RTÉ Board Internal Audit Director-General Legal The RTÉ Executive manages RTÉ’s RTÉ Television MD Television Integrated Business Divisions (IBDs) and the Group’s Shared Services on a day-to- day basis. The Director-General is an ex officio member of the Board of RTÉ, which is charged by the Irish Government with RTÉ Radio overseeing the activities of the RTÉ Group. MD Radio RTÉ Orchestras MD Digital RTÉ Digital MD News RTÉ News and Current Affairs and Current Affairs People Payments Chief Financial Officer Group Treasury Group Commercial Director Group Group IT RTÉ Network Technology Officer Property and Services Group HR MD Corporate Development Central Communications, Events & Brand Development RTÉ INTEGRATED BUSINESS DIVISIONS RTÉ EXECUTIVE RTÉ CENTRAL SHARED SERVICES 5 CHAIRMAN’S StatEMENT 2012 was the year 2012 was the year of TV50, a series of of the organisation, in which cost reductions of of tv50, a series of commemorations and celebrations to mark a half €18 million were achieved and 270 people left the century of RTÉ Television. organisation. One-off restructuring costs of €46 commemorations million formed a large portion of a deficit of €65 anD celebrations While TV50 was looking back to a proud record million for the year. However, while economic to marK a half of achievement, TV50 also came at a time of circumstances remain uncertain, it is a slimmer restructuring and re-focus for an RTÉ that and more efficient RTÉ that faces into the future. CENTURY OF RTÉ strove to deliver on its public purpose despite television. the challenging economic environment. Part One outcome of these necessary measures of this process was a complete review of RTÉ’s has been the departure of many valued and responsibilities, operations and interaction with experienced colleagues who have given decades its audiences in a changing society. Rather than of service to the organisation. I would like to remaining attached to the broadcasting models wish each and every one of them the best in that have served us well in the past, RTÉ is their new careers or in some cases in retirement. looking into a future in which rapid technological A significant part of the challenge for RTÉ change in particular is constant and in which throughout the last year has been the necessary audiences have to be facilitated on many different reorganisation of the station arising from the platforms. The next five years will see further reduction in numbers. development of the organisation to address these evolving needs. Editorially, the organisation continued to deal with the consequences of the libel of Fr Marking the end of one era and the start of Kevin Reynolds in the edition of Prime Time another, Analogue Switch-Off took place in Investigates of May 2011.
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