If you’ve been anywhere near the internet today, you’ve probably heard that Network Ten is entering into voluntary administration — but how does that affect your favourite shows?
The network posted a $232.19 million loss in April, and went into a trading halt earlier this week after two key shareholders — Illyria Pty Limited and Birketu Pty Limited — announced that they wouldn’t be renewing their support.
It’s not entirely shocking, then, that they’ve gone into voluntary administration, meaning that an administrator from outside of the company will be called in to assess the business, consider its assets and determine the best way forward.
In this case, that external administrator will be KordaMentha, an advisory and investment firm.
“The decision follows correspondence received from Illyria and Birketu over the weekend which left the directors with no choice but to appoint administrators,” the network said in a statement.
“The administrators have advised the company that they will work closely with management, employees, suppliers and content partners while they undertake a financial and operational assessment of the business. During this period, the administrators intend to continue operations as much as possible on a business-as-usual basis.
“The directors of Ten regret very much that these circumstances have come to pass. They wish to take this opportunity to thank all Ten employees and contractors for their commitment and enthusiasm for Ten’s programs and business.
“In particular, they would like to express their sincere gratitude, respect and admiration for Ten’s leadership team, who have achieved everything the board has asked them to do over the past few years in very challenging circumstances. They wish Ten and its management … all success in the future as the administrators look to the potential sale or recapitalisation of the business.”
It’s a difficult and stressful time for the network’s employees and their families, to say the least — but what does it mean for you, the humble viewer who just wants to find out who wins MasterChef, or whether Sonya will get back with Toadie on Neighbours?
Well, for now, the answer is that it doesn’t affect you. The network won’t suddenly be switching off — programming will continue, at least for the meantime, as the administrators continue to operate the business as usual while they restructure.
Or, as Channel 10 journalist Lachlan Kennedy put it on Twitter, “well that sucks… but news doesn’t stop. See you at 5.”
Well that sucks…
But news doesn't stop. See you at 5 pic.twitter.com/2fkaeuHODT
— Lachlan Kennedy (@lachlan_kennedy) June 14, 2017
The network’s statement also says it has agreed in principle to new terms with its US studio partners, Fox and CBS, that would approximately halve the amount of money the network is spending on their shows, while still allowing them access to their best content “over the medium term”, although it’s worth noting that these terms have not been finalised.
So while it’s obviously not a good sign for the network that they’ve gone into voluntary administration, it looks like your favourite shows are safe — at least for now.
Oh, and for the record, of course Sonya is going to get back with Toadie…