ABC And Fox Kids Europe Sign Deal
Financial Times, p 20 - January 09, 2004
By Tim Burt
Fox Kids Europe, the cable children's channel behind programmes such as Power Rangers and Sonic X, yesterday announced a far-reaching distribution and co-production alliance with the cable arm of ABC, the US TV network.
The tie-up follows almost a year of talks between Fox Kids Europe and ABC Cable Networks, a wholly-owned subsidiary of Walt Disney.
Under the deal, Dutch-listed Fox Kids Europe and its Latin American sister company will join forces with ABC to acquire and produce children's programmes as part of a global alliance, known as Jetix.
Fox Kids Europe, in which Disney also controls a 76 per cent stake, is expected to seek shareholder approval to rename the company Jetix.
Bruce Steinberg, chairman of Fox Kids Europe, said the alliance would deliver a vital US partner to co-produce children's programming. Last Year, Fox Kids Europe spent about Dollars 40m on programmes.
The alliance reinforces the international co-ordination that previously existed at Fox Family Worldwide, the children's network acquired by Disney two years ago for Dollars 5.2bn.
Following that acquisition, the US side of Fox Family Worldwide was folded into the ABC Family cable channel while the European and Latin American Fox Kids divisions were granted semi-autonomous status.
"This gives us a US partner to co-produce and acquire shows," said Mr Steinberg. "From a business perspective it's an opportunity to turn on the tap for programme supply."
Anne Sweeney, president of ABC Cable Networks, welcomed the deal. "Jetix is a strategic, ad-supported complement to Disney-branded television around the world," she said.
Financial terms and potential cost-savings from the link were not disclosed.
The alliance follows Fox Kids Europe's disclosure of pre-tax profits of Dollars 5.6m on sales of Dollars 152m in the year ending September 30. The gain compares with a Dollars 32.7m loss in the 12 months to June 30 of the previous year, when sales were Dollars 133m. The company changed its year end to co-ordinate with Disney, its majority shareholder.
At the operating level, the company made a Dollars 4.16m profit in the 12 months to September 30 last year, compared with a Dollars 34.6m loss in the previous period. The losses were due partly to a Dollars 26.1m write-down in the value of the Fox Kids programme library.
Financial Times, p 20 - January 09, 2004
By Tim Burt
Fox Kids Europe, the cable children's channel behind programmes such as Power Rangers and Sonic X, yesterday announced a far-reaching distribution and co-production alliance with the cable arm of ABC, the US TV network.
The tie-up follows almost a year of talks between Fox Kids Europe and ABC Cable Networks, a wholly-owned subsidiary of Walt Disney.
Under the deal, Dutch-listed Fox Kids Europe and its Latin American sister company will join forces with ABC to acquire and produce children's programmes as part of a global alliance, known as Jetix.
Fox Kids Europe, in which Disney also controls a 76 per cent stake, is expected to seek shareholder approval to rename the company Jetix.
Bruce Steinberg, chairman of Fox Kids Europe, said the alliance would deliver a vital US partner to co-produce children's programming. Last Year, Fox Kids Europe spent about Dollars 40m on programmes.
The alliance reinforces the international co-ordination that previously existed at Fox Family Worldwide, the children's network acquired by Disney two years ago for Dollars 5.2bn.
Following that acquisition, the US side of Fox Family Worldwide was folded into the ABC Family cable channel while the European and Latin American Fox Kids divisions were granted semi-autonomous status.
"This gives us a US partner to co-produce and acquire shows," said Mr Steinberg. "From a business perspective it's an opportunity to turn on the tap for programme supply."
Anne Sweeney, president of ABC Cable Networks, welcomed the deal. "Jetix is a strategic, ad-supported complement to Disney-branded television around the world," she said.
Financial terms and potential cost-savings from the link were not disclosed.
The alliance follows Fox Kids Europe's disclosure of pre-tax profits of Dollars 5.6m on sales of Dollars 152m in the year ending September 30. The gain compares with a Dollars 32.7m loss in the 12 months to June 30 of the previous year, when sales were Dollars 133m. The company changed its year end to co-ordinate with Disney, its majority shareholder.
At the operating level, the company made a Dollars 4.16m profit in the 12 months to September 30 last year, compared with a Dollars 34.6m loss in the previous period. The losses were due partly to a Dollars 26.1m write-down in the value of the Fox Kids programme library.