The cumulative losses by the commercial channel franchisees in 2009 are expected to equal or be less than in 2008. Sources believe that, assuming that Channel 10 survives until the end of the year, the cumulative losses by it and Channel will amount to NIS 120 million.
Channel 2 franchisee Reshet Television Ltd. is expected to lose NIS 40 million, and the other franchisee, Keshet Broadcasting Ltd., is expected to lose NIS 30 million. Keshet also owns stakes in Channel 2's website Mako and in cable music channel, Channel 24, which are expected to affect the company's losses.
If Channel 10 stays on the air, its losses this year could be substantially less than in 2008 because of its thinner broadcasting schedule.
The franchisees declined to cooperate with the assessments, which are therefore only tentative.
Channel 2 and 10's franchises lost about NIS 135 million altogether in 2008. Channel 10 accounted for the bulk of the losses - NIS 80 million. Keshet lost NIS 15 million and Reshet lost NIS 40 million.
Published by Globes [online], Israel business news - www.globes-online.com - on July 14, 2009
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