Israeli advertisers are working on an offer that could potentially save Channel 10 from closing.
By BEN HARTMANPublished: DECEMBER 15, 2011 02:32Advertisement
Israeli advertisers are working on an offer that could potentially save Channel 10 from closing, the head of the Israel Advertising Federation told Army Radio Wednesday.Mody Kidon, chairman of the Israel Advertising Federation, told Army Radio he has devised a plan in which advertisers would cover half of Channel 10’s NIS 60 million debt, as an up-front payment for ad time over the coming year.Kidon’s statement came two days after the Knesset Finance Committee voted eight to five against a request by Channel 10 to postpone by a year the repayment of its debt to the state, leaving the future of the channel in jeopardy.Kidon said “Channel 10 has stated it’s not capable of paying its debt at the moment and has asked to have until next year to pay it off. I understand the station’s distress – the past three months were very difficult in every branch of advertising and the media.“We, the advertisers, give Channel 10 an upfront payment equal to what we paid them in ads last year – NIS 30 million. In my opinion, if the channel presents this figure to the Knesset committee, [the finance committee] will make an effort that could save the channel.”Kidon said his plan has been greeted very warmly by the advertisers he has spoken with, and he has already attained pledges equaling NIS 5 million simply by making five phone calls this week.An official from Channel 10 who asked not to be named said Kidon’s plan “is not practical” because of the size of the channel’s debts and its high operating costs.
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