Nine is back after reaching a deal with lenders
THE Big Brother Housemates won't go hungry after Nine Entertainment Company struck a deal with its lenders yesterday.
After two days of intense negotiations the NEC Group was brought back from the brink of financial collapse and the company now has "zero debt" according to Nine Network CEO David Gyngell.
"Nine's back! And back in a huge way with zero debt, which is the best possible news for our stakeholders - Nine's viewers, our clients, our partners and our staff," Gyngell said in a statement.
"As I've reiterated throughout this process, Nine is a great business with terrific people and outstanding brands.
"This historic agreement positions us for unrivalled leadership and I cannot wait to lead the Group into an exciting 2013 and beyond."
A restructure will take place over the next three months and once effective, Nine's senior lenders will collectively receive 95.5 per cent of the equity in the Group with the remaining 4.5 per cent of equity going to mezzanine lenders including Goldman Sachs.
So what does this mean for Nine's staff and programming?
Speaking to Greg Hoy on 7.30 last night, Peter Cox of Cox Media believes there's not a lot of fat to trim and that lenders will be looking to keep the network strong and build on its ratings successes of 2012.
So hits like The Voice, House Husbands and Underbelly aren't going anywhere and the channel's sporting mainstays will remain its strongest assets.
Meanwhile, Network Ten has reported a $12.9 million full-year loss and will slash the costs of its television unit by 7.5 per cent.
Ten's CEO James Warburton described it as a "poor result".
Channel Seven held its 2013 sales launch in Brisbane last night, with executives highlighting the network's ratings consistency and high market share.