MTVNI Announces 250 Layoffs Worldwide

LONDON, March 1: A restructuring at MTV Networks
International will result in the elimination of 250 jobs, the Viacom-owned
operation said today, as part of a move to focus on high-growth businesses and
markets and boost operating margins.

Among those divisions that will maintain their existing
structures are the Viacom Brand Solutions (VBS) Europe and VBS UK divisions,
charged with developing targeted opportunities for advertisers across the MTVNI
portfolio; as well as the consumer products, program sales and digital media
units.

The 250 layoffs include the restructuring that took place at
MTV Networks Asia in Singapore at the end of last year. In Latin America,
further regionalization is being planned, with some functions at the Miami
headquarters relocating to Buenos Aires. Ad sales and affiliate sales will
remain in Miami, while Buenos Aires will be home to production, programming and
creative strategy.

In Europe, meanwhile, a portion of the Emerging
Markets/Middle East group in London will relocate to Budapest, Hungary and
Warsaw. A new structure will be put in place in London to devote more support
to revenue-generating areas and its biggest business, MTV Networks U.K. Some
MTVNI functions will be merged with MTVN U.K., while others will be
restructured to realize economies of scale through its existing global MTV
Networks U.S. base.

Bob Bakish, the president of MTVNI, said of the changes “will
position us well for the next phase of our growth—increasing our
operating margins through more efficient corporate structures, while also
mobilizing our resources to build our multiplatform brand portfolios in
priority markets and expand growing revenue areas such as ad sales, digital
media and consumer products.”