Mediaset ready to bring Vivendi in court – Milano Finanza

As already announced in the press releases made last Tuesday, Mediaset is preparing to bring to justice Vivendi for the violation of the terms related to the contract of sale of pay-TV premium. The OK came yesterday by the board of the company that examined an action plan to protect the Company. The board decided to reject the alternative proposal delivered to the sender by the Alps, ie the acquisition of 20% of the premium instead of the original 89% with the possibility of up to 15% within three years of Mediaset , offer considered inadmissible because incompatible with the binding agreement already signed. Therefore the Directors was instructed to take all necessary actions to seek enforcement of the contract by Vivendi , and in the event of inaction by the latter, to take civil and possibly criminal in protection of interests of society. “We will do everything possible to complete the contract. Because when you sign, you are bound. There is a plan to execute the contract, which is still valid, “said the company’s CFO, Marco Giordani. Ready the transalpine partner reply: “Vivendi to honor their commitments and do not agree to be accused of the opposite. We reserve the right to sue for slander, “Mediaset . The civil case should comprise the payment of one billion and half billion euro.

Meanwhile, the group has released details of the first half of the year closed with a loss net of 27.8 million euro against 24.2 million recorded in the same period last year. This result was impacted its cash expenditure one-off arising solely from signing the contract with Vivendi , charges of 34.6 million euro. Net revenues of the group amounted to 1.87 billion, clearly increasing compared to 1.72 billion for the first half 2015. Focusing on the individual geographical areas, in Italy the turnover amounted to 1.35 billion, expanding than 1 24 billion in the same period of 2015, while in Spain it has reached 521.6 million, bringing back an improvement over the 478.5 million of 2015. Positive in both countries the trend in advertising sales: in Italy, revenues gross television advertising reached 1.05 billion (+ 3.7% from 1.01 billion in the first six months of last year); Spain, however, where the economic recovery is more evident, amounted to 508 million (+7.3%).

Net debt increased by 859.4 million December 31 2015000000 to 959.1000000. The change has affected the investment for 91.4 million made in the first quarter of the year due to the increase of the controlling interest in Mediaset España through the completion of the repurchase of own shares carried out by the company plan. To this he went to add the payment of dividend by Mediaset spa and Mediaset España, which accounted for 106.1 million. Finally, cash generation feature of the activities in Italy and Spain amounted to 152.8 million euro.
There’s confidence, however, for the rest of the year, which according to reports of the group, should see the persistence of a positive advertising sales in Italy, “despite the months of July and August of major international sporting events broadcast by the major competitor.” In addition, in September, the harvest trend should be positively supported from the start of the new fall television season which provides editorial offer further renewed and strengthened. In addition, in the second half of the year, the consolidated results should show a declining trend in television costs more in line with the same period of 2015 due to the continuum of sporting Mediaset premium compared to the same period ‘ previous year, and benefit from further growth in pay ordinary revenues and the positive contribution arising from the results of Mediaset España. “On this positive trend could weigh the negative impacts resulting either in decision delays on the operations of Mediaset Premium, both commercial and operational decisions taken by the Vivendi and not provided for in the original budget of Mediaset Premium. But it is premature to give precise numbers on the guidance, “concluded the Alfa.