TF1 Appoints New CEO, Bids for Majority Stake in Newen

October 29, 2015 World Screen Top Stories
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PARIS: In addition to announcing its financial results for the first nine months of 2015, TF1 has unveiled the appointment of Gilles Pélisson as successor to CEO Nonce Paolini and has also confirmed exclusive negotiations for a majority stake in French producer/distributor Newen.

Paolini's term as chairman and CEO expires in the first quarter of 2016. Pélisson will take over both posts as of February 17, 2016, and will take office on February 19, after the publication of the full-year 2015 results. Pélisson has been a director at TF1 since 2009, and previously headed up Euro Disney.

Consolidated revenue for the first nine months was 1.4 billion euros ($1.5 billion), a decline of 4.3 percent on the comparable period in 2014. Advertising revenue for the four free-to-air channels was stable year-on-year. Revenue from the DTT channels increased over the first nine months of the year, while TF1 maintained its strategy of not eroding the value of its advertising slots.

Revenue from the broadcasting and content segment’s other activities fell by 25.1 million euros ($27.5 million) year-on-year, with a sharp fall in revenue from the Metronews freesheet and the difference in the amount generated by the resale of sports rights. The cost of programs for the group’s four free-to-air channels fell by 48.4 million euros ($53 million) year-on-year. After stripping out major sporting events and replacement programs, the cost of programs was slightly higher as the group bolstered schedules on its DTT channels. Overall, the broadcasting and content segment showed a 43.5 million euros ($47.7 million) improvement in current operating profit. The pay-TV segment revenue was down 34.7 million euros ($38 million) year-on-year.

TF1 also announced that it has entered into "exclusive negotiations" with the Newen group "with a view to forging a partnership in the production and distribution of audiovisual rights." The statement confirmed that the negotiations "could lead to TF1 taking a majority stake in Newen."