RTVE loses €71.8 million
Spain's national public broadcaster Radio Televisión Española (RTVE) lost €71.8 million in 2008. But the company plans to save nearly €97 million this year due to the absence of the Olympic Games, the most expensive event for the company last year.
Luis Fernández, RTVE's president said the negative results were due to the advertising downturn in the media and also to the lack of compensation from the government as a consequence of the reduction in the number of advertising minutes per hour. Last year the number of minutes of ads per hour was 11 and not the 12 planned for in the government's budget for the broadcaster.
But RTVE did save some €52.4 million in total expenses last year. And in the incomes chapter the company got €126 million fewer than budgeted in September 2007. Advertising sales came in at €557.1 million, 18.6% less than budgeted for.
RTVE forecasts advertising incomes will be at €478 million this year contemplating the new advertising limit of 10 minutes per hour which will be completed by the government subsidies of €555 million as a concept for the public service.