DESPITE competing for shares of the advertising market, the head of WIN TV, Bruce Gordon, gave his seal of approval to the Ten Network after the company delivered the most buoyant outlook in months in the wake of the worst downturn in 30 years.
Its executive chairman, Nick Falloon, told shareholders that the television advertising market continued to improve since the last update in October and that the company had concluded negotiations over rates with the big advertising buyer groups.
Addressing the company's annual general meeting in Sydney, Mr Falloon said he was confident that Ten would achieve its goal of a 30 per cent share of the $3.5 billion capital city TV ad market next year.
''We are seeing very healthy signs of a return in the advertising market. Certainly the cycle is starting to lengthen, and we have much greater visibility over the market.''
While he refused to deliver a forecast himself, Mr Falloon said he hoped analysts' forecasts of growth in the TV ad market of up to 5 per cent next year would come to pass.
The decision by the troubled Canadian media company CanWest to sell down its 50 per cent stake in Ten in late September ended a long period of uncertainty over Ten's future, he said. ''That was making life for difficult for us.''
A $138 million capital raising in August - which followed an aborted earlier attempt - left the company with a stronger balance sheet and diversified the shareholder base, leaving no one company or individual with a controlling interest, Mr Falloon said.
Shows such as MasterChef, Talkin' 'bout Your Generation, The Biggest Loser as well as The Good Wife, NCIS Los Angeles and Modern Family all return as part of its output deals with US broadcasters CBS and Fox.
Ten got a welcome fillip from its largest shareholder, Mr Gordon, owner of the Nine affiliate WIN TV, who told shareholders he was backing Ten over Nine. After investing between $300 million and $400 million in Ten over 20 years, Mr Gordon said he was ''sticking by it'' because it had greater prospects than other TV companies.
''We happen to be a Channel Nine affiliate, but we don't have an investment in Channel Nine the size of Channel Ten … that gives you some idea of the faith I have in the future of Channel Ten,'' said Mr Gordon who has a 12 per cent stake.
''In my opinion Channel Ten will be the easiest network to turn around … It's going to have a very successful year and with the return of advertising dollars … we shall see the share price improve.''
Ten said it would look to restore dividend payouts next financial year after no final dividend this year.
