wan ifra - world press trends europe 2010

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rld Press Tren

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WPT 2010 EuropeISBN 978-2-918652-05-2

EAN 9782918652052

wpt2010_covers_europe.indd 1 20/07/10 15:57:59

WORLD PRESS TRENDSEUROPE

2010 EDITION

E-mail: [email protected] www.wan-ifra.org/worldpresstrends2010

© WAN-IFRA/ZenithOptimedia, 20101st Europe edition

The first global edition included 1986-87 data

Data provided by contributors, ZenithOptimedia, and gathered from other sources

Processed by Tatiana Repkova and Jacqueline Le Database support Stéphane Karges

Cover pages by Juan Carlos CedilloGraphic design and layout of inner pages by íver, s.r.o., Bratislava, Slovakia

ISBN 978-2-918652-05-2EAN 9782918652052

WAN-IFRA is the World Association of Newspapers and News PublishersDarmstadt – Paris – Lyon – Stockholm – Madrid – Chennai – Singapore

WAN-IFRA – WORLD PRESS TRENDS 2010 – EUROPE

WAN-IFRA – WORLD PRESS TRENDS 2010 – EUROPE

CONTENTS

Preface ..........................................................................................i

CHAPTER I: OVERALL STATISTICS

GLOBAL SUMMARIESTitles and circulationsPaid-for dailies ......................................................................... 4Free dailies ............................................................................... 5Paid-for and free dailies .......................................................... 6

Online/digital mediaInternet users ........................................................................... 8Internet subscribers ................................................................. 8Broadband subscribers ............................................................ 8Mobile cellular subscriptions ................................................... 8

EUROPE SUMMARIESTitles and circulations .............................................................. 10Dailies

Paid-for dailies ......................................................................... 10Top 50 paid-for dailies ........................................................... 10

Free dailies ............................................................................... 41Top 20 free dailies ................................................................. 41

Paid-for and free dailies ........................................................ 50Online editions ....................................................................... 58Top 100 daily newspaper websites ..................................... 58

Non-dailiesPaid-for non-dailies ................................................................ 61Free non-dailies ...................................................................... 72Paid-for and free non-dailies ................................................ 77Online editions ....................................................................... 84

SundaysPaid-for Sundays .................................................................... 85Free Sundays ........................................................................... 89Paid-for and free Sundays ..................................................... 90Online editions ....................................................................... 93

Online/digital mediaInternet users ......................................................................... 94Internet subscribers ................................................................ 97Broadband subscribers ......................................................... 100Mobile cellular subscriptions ............................................... 103

AdvertisingAdvertising expenditure shares .......................................... 106Newspaper advertising expenditure .................................. 107Internet advertising expenditure ........................................ 109Contribution of display, classified, inserts and online to total newspaper advertising expenditure ..................... 111Contribution of advertising and copy salesto paid-for daily newspaper revenues ............................... 111

CHAPTER II: COUNTRY REPORTS

Tables & Glossary ................................................................... 1141. Albania ............................................................................ 1232. Andorra ........................................................................... 1283. Austria ............................................................................. 1304. Belarus ............................................................................. 1395. Belgium ........................................................................... 1486. Bosnia and Herzegovina ................................................ 154 7. Bulgaria ........................................................................... 1618. Croatia ............................................................................. 1709. Cyprus .............................................................................. 178

10. Czech Republic ................................................................ 18111. Denmark .......................................................................... 19012. Estonia ............................................................................. 19713. Faroe Islands ................................................................... 203

14. Finland ............................................................................. 20515. France .............................................................................. 21316. Germany .......................................................................... 22517. Gibraltar .......................................................................... 23418. Greece .............................................................................. 23619. Hungary ........................................................................... 24320. Iceland ............................................................................. 25021. Ireland ............................................................................. 25722. Italy .................................................................................. 26723. Kosovo ............................................................................. 27724. Latvia ............................................................................... 28125. Liechtenstein ................................................................... 28726. Lithuania ......................................................................... 28927. Luxembourg .................................................................... 29428. Macedonia ....................................................................... 30129. Malta ............................................................................... 30630. Man, Isle of ..................................................................... 30831. Moldova .......................................................................... 30932. Monaco ............................................................................ 31633. Montenegro .................................................................... 31834. Netherlands, The ............................................................ 32335. Norway ............................................................................ 33236. Poland .............................................................................. 33937. Portugal ........................................................................... 35038. Romania .......................................................................... 35839. Russia ............................................................................... 36440. San Marino ...................................................................... 37641. Serbia ............................................................................... 37842. Slovakia ........................................................................... 38443. Slovenia ........................................................................... 39344. Spain ................................................................................ 39845. Sweden ............................................................................ 40846. Switzerland ..................................................................... 41747. Ukraine ............................................................................ 42548. United Kingdom ............................................................. 43449. Vatican ............................................................................. 482

CHAPTER III: QUICK REFERENCE

Reach/consumptionDaily newspaper reach ........................................................ 486Daily newspaper consumption ............................................ 487

PrintingNewsprint costs .................................................................... 488Four-colour newspapers: number of titles ......................... 488Formats of daily newspapers: number of titles ................. 489

DistributionCover prices of daily newspapers ....................................... 490Type of newspaper sales ...................................................... 491Newspaper distribution costs .............................................. 491

Taxes/TariffsVAT rates .............................................................................. 492Other taxes rates .................................................................. 493Transport & telecommmunications tariff reductions ........ 494

SubsidiesTotal amount of direct subsidies ........................................ 494

EmploymentNumber of journalists and employees ............................... 495

OwnershipOwnership regulations ........................................................ 497

CurrencyCurrency exchange rates ..................................................... 498

CONTACTS ............................................................................. 500

i WAN-IFRA – WORLD PRESS TRENDS 2010 – EUROPE

JAPAN PREFACE

In addition to the traditional global edition of World PressTrends, WAN-IFRA is launching this year a line of regionaleditions for Africa, the Americas, Asia and Europe.

This first edition of World Press Trends Europe containsreports on 49 countries and territories. In addition to thecountry reports, the book includes a wealth of summariesthat provide a detailed picture of the newspaper market inthis region.

Europe has several world leaders in the newspaper industry:

- Italy is the world leader in free daily newspapercirculation with more than four million copiesdistributed on average workday;

- Germany has the biggest number of free non-dailynewspaper titles (1,414) and their circulation(91,900,000 copies);

- Liechtenstein has the biggest paid-for daily newspapercirculation per adult population (almost 690 copies soldper thousand adults);

- Norway is number one in paid-for regional and local dailytitles (17.5 titles per million adults) and their circulation(398 copies per thousand adults);

- Russia is leading in the number of free daily newspapertitles (41), paid-for non-daily newspaper titles (27,391),and in the number of top 100 daily newspaper websites(11).

The European leader on the paid-for daily newspapermarket in terms of circulation is Germany with 19,746,000copies sold on average workday.

The Europe edition is compiled from basic data alreadypublished in the global edition of World Press Trends 2010.The data have been gathered and processed with theassistance of a wide variety of contributors, ranging fromnewspaper associations to individual analysts. Eachcontributor is motivated to ensure that the data on his orher country is as comprehensive and accurate as possible.Without the commitment of these dedicated contributorsthe book would be impossible to produce. You will find a list of our key contributors from Europe on the last pageof this book under the heading ‘Contacts’.

The book also contains a wealth of data fromZenithOptimedia, whose forecasts allow us not only tolook back at the trends in the press, but also give us a glimpse of what is in store for the newspaper business infuture years.

Preface by WAN-IFRA

CHAPTER I

OVERALL STATISTICS

GLOBAL SUMMARIES

4 WAN-IFRA – WORLD PRESS TRENDS 2010 – EUROPE

TITLES & CIRCULATIONS

PAID-FOR DAILIES: TITLES & CIRCULATION Change (%)

2005 2006 2007 2008 2009 2009/05 2009/08No. daily titlesAfrica 402 421 444 464 465 15.67 0.22America, North 2,100 2,092 2,081 2,071 2,098 -0.10 1.30America, South 1,097 1,100 1,133 1,269 1,281 16.77 0.95Asia 5,176 5,486 5,894 6,042 6,203 19.84 2.66Australia & Oceania 87 88 88 87 87 0.00 0.00Europe 2,308 2,342 2,353 2,341 2,343 1.52 0.09Total 11,170 11,529 11,993 12,274 12,477 11.70 1.65

Circulation of dailies* (000)Africa 9,202 10,003 10,572 11,396 11,944 29.80 4.81America, North 67,015 65,890 64,470 62,021 59,895 -10.62 -3.43America, South 13,441 13,759 14,543 14,809 14,133 5.15 -4.56Asia 300,771 315,870 333,374 336,645 340,128 13.09 1.03Australia & Oceania 3,495 3,464 3,439 3,351 3,300 -5.58 -1.52Europe 94,730 95,322 93,640 92,440 87,228 -7.92 -5.64Total 488,654 504,308 520,038 520,662 516,628 5.72 -0.77

This table includes figures from countries and territories for which we have at least one year data on number of titles or circulation.

The number of such countries and territories in each region is as follows:

Number of titles: Africa: 49 Circulation: Africa: 46America, North: 27 America, North: 26America, South: 14 America, South: 12Asia: 49 Asia: 48Australia & Oceania: 13 Australia & Oceania: 13Europe: 47 Europe: 46Total: 199 Total: 191

We have estimated some figures for countries and territories that do not have a complete set of data for all five years.* Total average circulation

PAID-FOR DAILIES: AVERAGE CIRCULATION PER TITLE Change (%)

2005 2006 2007 2008 2009 2009/05 2009/08Average circulation per title (000)Africa 22.9 23.8 23.8 24.6 25.7 12.23 4.47America, North 31.9 31.5 31.0 29.9 28.5 -10.66 -4.68America, South 12.3 12.5 12.8 11.7 11.0 -10.57 -5.98Asia 58.1 57.6 56.6 55.7 54.8 -5.68 -1.62Australia & Oceania 40.2 39.4 39.1 38.5 37.9 -5.72 -1.56Europe 41.0 40.7 39.8 39.5 37.2 -9.27 -5.82Total 43.7 43.7 43.4 42.4 41.4 -5.26 -2.36

This table only includes figures from countries and territories for which we have information on both number of titles and circulation.


Africa: 46America, North: 26America, South: 12Asia: 48Australia & Oceania: 13Europe: 46Total: 191

We have estimated some figures for countries and territories that do not have a complete set of data for all five years.

WAN-IFRA – WORLD PRESS TRENDS 2010 – EUROPE 5


FREE DAILIES: TITLES AND CIRCULATION Change (%)

2005 2006 2007 2008 2009 2009/05 2009/08No. daily titlesAfrica 1 1 4 5 4 300.00 -20.00America, North 40 51 53 57 47 17.50 -17.54America, South 15 21 24 24 27 80.00 12.50Asia 20 27 34 38 38 90.00 0.00Australia & Oceania 3 4 4 4 4 33.33 0.00Europe 81 155 166 163 150 85.19 -7.98Total 160 259 285 291 270 68.75 -7.22

Circulation of dailies * (000)Africa 65 65 183 285 302 364.62 5.96America, North 4,171 4,826 5,240 4,921 4,541 8.87 -7.72America, South 687 1,016 1,127 1,468 1,830 166.38 24.66Asia 5,020 5,643 7,188 9,239 8,642 72.15 -6.46Australia & Oceania 180 271 340 319 326 81.11 2.19Europe 15,192 22,199 25,817 25,824 21,178 39.40 -17.99Total 25,315 34,020 39,895 42,056 36,819 45.44 -12.45

This table includes figures from countries and territories for which we have at least one year data on number of titles and circulation.



* Total average circulation

FREE DAILIES: AVERAGE CIRCULATION PER TITLEChange (%)

2005 2006 2007 2008 2009 2009/05 2009/08Average circulation per title (000)Africa 65.0 65.0 45.8 57.0 75.5 16.15% 32.46%America, North 104.3 94.6 98.9 86.3 96.6 -7.38% 11.94%America, South 45.8 48.4 47.0 61.2 67.8 48.03% 10.78%Asia 251.0 209.0 211.4 243.1 227.4 -9.40% -6.46%Australia & Oceania 60.0 67.8 85.0 79.8 81.5 35.83% 2.13%Europe 187.6 143.2 155.5 158.4 141.2 -24.73% -10.86%Total 158.2 131.4 140.0 144.5 136.4 -13.78% -5.61%

This table includes figures from countries and territories for which we have at least one year data on number of titles and circulation.





PAID-FOR AND FREE DAILIES: TITLES AND CIRCULATION Change (%)

2005 2006 2007 2008 2009 2009/05 2009/08No. daily titlesAfrica 403 422 448 469 469 16.38 0.00America, North 2,140 2,143 2,134 2,128 2,145 0.23 0.80America, South 1,112 1,121 1,157 1,293 1,308 17.63 1.16Asia 5,196 5,513 5,928 6,080 6,241 20.11 2.65Australia & Oceania 90 92 92 91 91 1.11 0.00Europe 2,389 2,497 2,519 2,504 2,493 4.35 -0.44Total 11,330 11,788 12,278 12,565 12,747 12.51 1.45

Circulation of dailies * (000)Africa 9,267 10,068 10,755 11,681 12,246 32.15 4.84America, North 71,186 70,716 69,710 66,942 64,436 -9.48 -3.74America, South 14,128 14,775 15,670 16,277 15,963 12.99 -1.93Asia 305,791 321,513 340,562 345,884 348,770 14.06 0.83Australia & Oceania 3,675 3,735 3,779 3,670 3,626 -1.33 -1.20Europe 109,922 117,521 119,457 118,264 108,406 -1.38 -8.34Total 513,969 538,328 559,933 562,718 553,447 7.68 -1.65

This table includes figures from countries and territories for which we have at least one year data on number of titles or circulation of paid-for or free dailies.


Number of titles: Africa: 48 Circulation: Africa: 46America, North: 27 America, North: 26America, South: 13 America, South: 12Asia: 48 Asia: 48Australia & Oceania: 13 Australia & Oceania: 13Europe: 47 Europe: 47Total: 196 Total: 192

We have estimated some figures for countries and territories that do not have a complete set of data for all five years.* Total average circulation

PAID-FOR AND FREE DAILIES: AVERAGE CIRCULATION PER TITLEChange (%)

2005 2006 2007 2008 2009 2009/05 2009/08Average circulation per title (000)Africa 23.1 24.0 24.1 25.0 26.2 13.42 4.80America, North 33.3 33.0 32.7 31.5 30.1 -9.61 -4.44America, South 13.8 14.3 14.7 13.5 13.2 -4.35 -2.22Asia 58.9 58.3 57.4 56.9 55.9 -5.09 -1.76Australia & Oceania 40.8 40.6 41.1 40.3 39.8 -2.45 -1.24Europe 57.9 59.8 59.9 59.4 56.1 -3.11 -5.56Total 47.8 48.2 48.0 47.0 45.8 -4.18 -2.55

Note: This table includes figures from countries and territories for which we have information on both number of titles and circulation for both paid-for and free dailies.



We have estimated some figures for countries and territories that do not have a complete set of data for all five years.



2005 2006 2007

Paid-for dailies

NUMBER OF DAILY NEWSPAPER TITLES(worldwide)

Free dailies

2008 2009

14,000

12,000

10,000

8,000

6,000

4,000

2,000

0

11,17011,529

11,993

12,47712,274160

291285

2005 2006 2007

Paid-for dailies

DAILY NEWSPAPER CIRCULATION(000 copies, worldwide)

Free dailies

2008 2009

700,000

600,000

500,000

400,000

300,000

200,000

100,000

0

488,654 504,308520,038 516,628520,662

25,315 34,020 36,81942,05639,895

259

270


ONLINE/DIGITAL MEDIA

INTERNET USERS (000) Change (%)

2005 2006 2007 2008 2009 2009/05 2009/08Africa 33,278 45,797 54,532 80,292 109,385 228.70 36.23America, North 256,515 265,367 280,730 293,406 310,678 21.11 5.89America, South 66,390 87,385 103,299 125,386 138,128 108.06 10.16Asia 373,237 427,831 568,163 687,264 818,111 119.19 19.04Australia & Oceania 15,906 16,705 17,749 18,781 19,975 25.58 6.36Europe 291,208 316,566 385,102 421,310 465,773 59.95 10.55Total 1,036,534 1,159,651 1,409,575 1,626,439 1,862,050 79.64 14.49

Source: International Telecommunication Union (ITU)WAN-IFRA has estimated some figures for countries and territories that do not have a complete set of data for all five years.

INTERNET SUBSCRIBERS (000)Change (%)

2005 2006 2007 2008 2009 2009/05 2009/08Africa 8,221 8,067 8,595 8,651 9,978 21.37 15.34America, North 75,941 77,524 90,062 93,804 105,310 38.67 12.27America, South 10,369 13,100 17,689 22,096 28,325 173.17 28.19Asia 160,201 178,778 257,278 262,551 266,923 66.62 1.67Australia & Oceania 7,228 8,029 8,657 9,613 10,631 47.08 10.59Europe 109,695 135,825 156,198 182,166 202,006 84.15 10.89Total 371,655 421,323 538,479 578,881 623,173 67.68 7.65


BROADBAND SUBSCRIBERS (000)Change (%)

2005 2006 2007 2008 2009 2009/05 2009/08Africa 819 1,414 2,180 2,967 3,905 376.80 31.61America, North 57,525 72,209 84,973 96,025 107,279 86.49 11.72America, South 6,007 9,299 14,513 19,112 25,461 323.86 33.22Asia 85,265 107,944 133,352 160,115 191,092 124.12 19.35Australia & Oceania 2,368 4,414 5,745 6,291 6,473 173.35 2.89Europe 64,464 87,963 110,933 130,945 145,769 126.12 11.32Total 216,448 283,243 351,696 415,455 479,979 121.75 15.53


MOBILE CELLULAR SUBSCRIPTIONS (000)Change (%)

2005 2006 2007 2008 2009 2009/05 2009/08Africa 138,943 202,655 343,559 366,484 442,525 218.49 20.75America, North 300,583 348,927 396,503 425,471 471,625 56.90 10.85America, South 171,188 218,830 270,171 328,461 368,754 115.41 12.27Asia 931,859 1,206,012 1,548,824 1,977,969 2,405,920 158.18 21.64Australia & Oceania 22,707 24,510 27,033 28,743 31,422 38.38 9.32Europe 653,728 754,362 836,984 911,822 957,550 46.48 5.02Total 2,219,008 2,755,296 3,423,074 4,038,950 4,677,796 110.81 15.82


EUROPE SUMMARIES


DAILIES

TOP 50 PAID-FOR DAILIESTitle Country Language Circulation

(000)

1 Bild Germany German 3,3002 The Sun United Kingdom English 2,8633 Daily Mail United Kingdom English 2,1134 Daily Mirror United Kingdom English 1,2265 Kronen Zeitung Austria German 8196 Ouest France France French 7867 Daily Star United Kingdom English 7858 The Daily Telegraph United Kingdom English 7039 Moskovsky Komsomolets Russia Russian 70010 Daily Express United Kingdom English 67811 De Telegraaf Netherlands, The Dutch 67712 Komsomolskaya Pravda Russia Russian 66813 Fakt Gazeta Codzienna Poland Polish 63414 Ekspress Ukraine Ukrainian 54515 Corriere della Sera Italy Italian 54016 Zeitungsgruppe Köln Germany German 53117 The Times United Kingdom English 52218 Sovietskaya Belorussia Belarus Russian 503

- Belarus Segodnya19 La Repubblica Italy Italian 49920 Gazeta Wyborcza Poland Polish 49021 AD Netherlands, The Dutch 44722 Blik Ukraine Russian 44123 El País Spain Spanish 43124 Süddeutsche Zeitung Germany German 43025 Va-bank Belarus Russian 42226 Blesk Czech Republic Czech 41227 Financial Times United Kingdom English 40128 Helsingin Sanomat Finland Finnish 39829 Rheinische Post Germany German 37930 Frankfurter Allgemeine Germany German 368

Zeitung31 Aftonbladet Sweden Swedish 35932 Daily Record United Kingdom English 35333 La Gazzetta dello Sport Italy Italian 35134 Augsburger Allgemeine Germany German 33335 Le Figaro France French 33136 Le Monde France French 32337 El Mundo del Siglo XXI Spain Spanish 32338 Super Express Poland Polish 31639 Dagens Nyheter Sweden Swedish 31640 Zeitungsgruppe Thüringen Germany German 31641 L'Equipe France French 31542 Le Parisien France French 31143 Sud Ouest France French 30444 The Guardian United Kingdom English 30145 Vechernyaya Moskva Russia Russian 30046 La Stampa Italy Italian 30047 Marca Spain Spanish 29648 fp Freie Presse Germany German 29149 Expressen incl GT Sweden Swedish 291

and Kvällsposten50 Het Laatste Nieuws/ Belgium Dutch 287

De Nieuwe Gazet

Source: see respective country reports, table 8.ba Top paid-for dailies


DAILIES

COUNTRIES OF TOP 50 PAID-FOR DAILIESCountry No. top 50 dailies

1 United Kingdom 102 Germany 83 France 64 Italy 45 Poland 36 Russia 37 Spain 38 Sweden 39 Belarus 210 Netherlands, The 211 Ukraine 212 Austria 113 Belgium 114 Czech Republic 115 Finland 1

LANGUAGES OF TOP 50 PAID-FOR DAILIESLanguage No. top 50 dailies

1 English 102 German 93 Russian 64 French 65 Italian 46 Dutch 37 Spanish 38 Polish 39 Swedish 310 Czech 111 Finnish 112 Ukrainian 1


DAILIES

PAID-FOR DAILIES: NUMBER OF TITLESChange (%) No.titles Adult No. titles/adult

population population (million)Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* (000) 2009*

Albania 29 28 28 28 29 0.00 3.57 29 2,799 10.4

Andorra 2 2 2 2 2 0.00 0.00 2 71 28.2

Austria 16 17 17 16 16 0.00 0.00 16 7,094 2.3

Belarus 33 33 33 33 33 0.00 0.00 33 15,123 2.2

Belgium 28 28 26 22 22 -21.43 0.00 22 8,786 2.5

Bosnia and Herzegovina 7 7 7 12 12 71.43 0.00 12 3,945 3.0

Bulgaria 60 63 64 70 70 16.67 0.00 70 6,538 10.7

Croatia 13 15 15 15 15 15.38 0.00 15 3,791 4.0

Cyprus 21 21 22 22 22 4.76 0.00 22 644 34.2

Czech Republic 84 86 82 82 81 -3.57 -1.22 81 8,987 9.0

Denmark 31 30 32 32 32 3.23 0.00 32 4,503 7.1

Estonia 11 12 13 12 11 0.00 -8.33 11 1,140 9.7

Faroe Islands 2 2 2 2 2 0.00 0.00 2 39 51.3

Finland 53 53 53 52 51 -3.77 -1.92 51 4,435 11.5

France 85 85 85 85 85 0.00 0.00 85 50,429 1.7

Germany 368 370 359 358 357 -2.99 -0.28 357 70,854 5.0

Gibraltar 2 2 2 2 2 0.00 0.00 2 24 83.3

Greece 39 39 42 41 40 2.56 -2.44 40 9,508 4.2

Hungary 38 30 30 29 31 -18.42 6.90 31 9,915 3.1

Iceland 2 1 3 3 1 -50.00 -66.67 1 251 4.0

Ireland 8 9 9 9 9 12.5 0.00 9 3,526 2.6

Italy 89 86 85 84 85 -4.49 1.19 85 51,617 1.7

Kosovo - - 8 8 9 - 12.50 9 1,304 6.9

Latvia 22 21 18 17 17 -22.73 0.00 17 1,951 8.7

Liechtenstein 2 2 2 2 2 0.00 0.00 2 29 69.0

Lithuania 21 21 23 24 22 4.76 -8.33 22 2,845 7.7

Luxembourg 6 6 6 6 6 0.00 0.00 6 401 15.0

Macedonia 10 10 10 11 12 20.00 9.09 12 1,670 7.2

Malta 4 4 4 4 4 0.00 0.00 4 339 11.8

Moldova 7 8 9 7 7 0.00 0.00 7 3,632 1.9

Montenegro 4 4 4 4 4 0.00 0.00 4 565 7.1

Netherlands, The 35 29 29 29 29 -17.14 0.00 29 13,562 2.1

Norway 77 77 74 74 75 -2.60 1.35 75 3,829 19.6

Poland 43 44 49 49 38 -11.63 -22.45 38 32,315 1.2

Portugal 15 16 19 19 20 33.33 5.26 20 8,961 2.2

Romania 46 61 70 75 69 50.00 -8.00 69 18,761 3.7

Russia 491 521 510 495 541 10.18 9.29 541 120,812 4.5

San Marino 2 3 4 4 4 100.00 0.00 4 25 160.0

Serbia 13 10 15 18 12 -7.69 -33.33 12 6,260 1.9

Slovakia 10 10 9 9 9 -10.00 0.00 9 4,600 2.0

Slovenia 8 8 8 7 7 -12.50 0.00 7 1,756 4.0

Spain 139 140 140 140 139 0.00 -0.71 139 39,463 3.5

Sweden 88 85 84 84 84 -4.55 0.00 84 7,591 11.1

Switzerland 91 91 90 87 79 -13.19 -9.20 79 6,602 12.0

Ukraine 42 39 50 51 41 -2.38 -19.61 41 39,395 1.0

United Kingdom 106 106 106 105 104 -1.89 -0.95 104 49,206 2.1

Vatican 1 1 1 1 1 0.00 0.00 1 - -

* or latest available figure


DAILIES

PAID-FOR DAILIES: NUMBER OF TITLES(using most recent available figures)


DAILIES

PAID-FOR DAILIES: NUMBER OF TITLES / ADULT POPULATION (titles per million)(using most recent available figures)


DAILIES

PAID-FOR NATIONAL DAILIES: NUMBER OF TITLESChange (%) No.titles Adult No. titles/adult


Austria 6 7 7 7 7 16.67 0.00 7 7,094 1.0

Belarus 14 14 14 14 14 0.00 0.00 14 15,123 0.9

Belgium 10 10 10 9 9 -10.00 0.00 9 8,786 1.0

Bulgaria 26 27 29 31 31 19.23 0.00 31 6,538 4.7

Croatia 8 8 9 8 8 0.00 0.00 8 3,791 2.1

Czech Republic 9 10 9 9 8 -11.11 -11.11 8 8,987 0.9

Denmark 9 9 10 10 10 11.11 0.00 10 4,503 2.2

Estonia 6 6 7 6 5 -16.67 -16.67 5 1,140 4.4

Faroe Islands 2 2 2 2 2 0.00 0.00 2 39 51.3

Finland 10 9 9 9 9 -10.00 0.00 9 4,435 2.0

France 24 24 24 24 24 0.00 0.00 24 50,429 0.5

Germany 10 10 10 10 10 0.00 0.00 10 70,854 0.1

Gibraltar 2 2 2 2 2 0.00 0.00 2 24 83.3

Greece 39 39 42 41 40 2.56 -2.44 40 9,508 4.2

Hungary 16 11 11 11 11 -31.25 0.00 11 9,915 1.1

Iceland 2 1 3 3 1 -50.00 -66.67 1 251 4.0

Ireland 7 8 8 8 8 14.29 0.00 8 3,526 2.3

Italy 21 21 23 23 24 14.29 4.35 24 51,617 0.5

Latvia 14 13 10 10 10 -28.57 0.00 10 1,951 5.1

Liechtenstein 2 2 2 2 2 0.00 0.00 2 29 69.0

Lithuania 11 11 12 - - - - 12 2,748 4.4

Luxembourg 6 6 6 6 6 0.00 0.00 6 401 15.0

Macedonia 10 10 10 11 12 20.00 9.09 12 1,670 7.2

Malta 4 4 4 4 4 0.00 0.00 4 339 11.8

Moldova 6 7 8 7 7 16.67 0.00 7 3,632 1.9

Montenegro 4 4 4 4 4 0.00 0.00 4 565 7.1

Netherlands, The 9 10 10 10 10 11.11 0.00 10 13,562 0.7

Norway 8 8 8 8 8 0.00 0.00 8 3,829 2.1

Poland 11 12 11 11 10 -9.09 -9.09 10 32,315 0.3

Portugal 9 10 10 10 11 22.22 10.00 11 8,961 1.2

Romania 17 18 19 19 18 5.88 -5.26 18 18,761 1.0

Russia 23 25 25 25 24 4.35 -4.00 24 120,812 0.2

San Marino 2 3 4 4 4 100 0.00 4 25 160.0

Serbia 11 8 - - 12 9.09 - 12 6,260 1.9

Slovakia 7 7 7 7 7 0.00 0.00 7 4,600 1.5

Slovenia 7 7 7 6 6 -14.29 0.00 6 1,756 3.4

Sweden 4 4 4 4 4 0.00 0.00 4 7,591 0.5

Ukraine 16 13 38 41 30 87.50 -26.83 30 39,395 0.8

United Kingdom 12 12 12 12 12 0.00 0.00 12 49,206 0.2



DAILIES

PAID-FOR NATIONAL DAILIES: NUMBER OF TITLES(using most recent available figures)


DAILIES

PAID-FOR NATIONAL DAILIES: NUMBER OF TITLES / ADULT POPULATION (titles per million)

(using most recent available figures)


DAILIES

PAID-FOR REGIONAL AND LOCAL DAILIES: NUMBER OF TITLESChange (%) No.titles Adult No. titles/adult


Austria 10 10 10 9 9 -10.00 0.00 9 7,094 1.3

Belarus 19 19 19 19 19 0.00 0.00 19 15,123 1.3

Belgium 18 18 16 13 13 -27.78 0.00 13 8,786 1.5

Bulgaria 34 36 35 39 39 14.71 0.00 39 6,538 6.0

Croatia 5 7 6 7 7 40.00 0.00 7 3,791 1.9

Czech Republic 75 76 73 73 73 -2.67 0.00 73 8,987 8.1

Denmark 22 21 22 22 22 0.00 0.00 22 4,503 4.9

Estonia 5 6 6 6 6 20.00 0.00 6 1,140 5.3

Finland 43 44 44 43 42 -2.33 -2.33 42 4,435 9.5

France 61 61 61 61 61 0.00 0.00 61 50,429 1.2

Germany 358 360 349 348 347 -3.07 -0.29 347 70,854 4.9

Hungary 22 19 19 18 20 -9.09 11.11 20 9,915 2.0

Ireland 1 1 1 1 1 0.00 0.00 1 3,526 0.3

Italy 68 65 62 61 61 -10.29 0.00 61 51,617 1.2

Latvia 8 8 8 7 7 -12.50 0.00 7 1,951 3.6

Lithuania 10 10 11 - - - - 11 2,748 4.0

Moldova 1 1 1 - - - - 1 2,931 0.3

Netherlands, The 26 19 19 19 19 -26.92 0.00 19 13,562 1.4

Norway 69 69 66 66 67 -2.90 1.52 67 3,829 17.5

Poland 32 32 38 38 28 -12.50 -26.32 28 32,315 0.9

Portugal 6 6 9 9 9 50.00 0.00 9 8,961 1.0

Romania 42 43 51 56 51 21.43 -8.93 51 18,761 2.7

Russia 468 496 485 470 517 10.47 10.00 517 120,812 4.3

Serbia 2 2 - - - - - 2 6,315 0.3

Slovakia 3 3 2 2 2 -33.33 0.00 2 4,600 0.4

Slovenia 1 1 1 1 1 0.00 0.00 1 1,756 0.6

Sweden 84 81 80 80 80 -4.76 0.00 80 7,591 10.5

Switzerland 91 91 90 87 79 -13.19 -9.20 79 6,602 12.0

Ukraine 26 26 12 15 11 -57.69 -26.67 11 39,395 0.3

United Kingdom 94 94 94 93 92 -2.13 -1.08 92 49,206 1.9



DAILIES

PAID-FOR REGIONAL AND LOCAL DAILIES: NUMBER OF TITLES(using most recent available figures)


DAILIES

PAID-FOR REGIONAL AND LOCAL DAILIES: NUMBER OF TITLES / ADULT POPULATION (titles per million)



DAILIES

PAID-FOR MORNING DAILIES: NUMBER OF TITLESChange (%) No.titles Adult No. titles/adult


Austria 16 17 17 16 16 0.00 0.00 16 7,094 2.3

Belarus 28 28 28 28 28 0.00 0.00 28 15,123 1.9

Belgium 28 28 26 21 21 -25.00 0.00 21 8,786 2.4

Bulgaria 59 62 63 70 70 18.64 0.00 70 6,538 10.7

Czech Republic 84 86 82 82 81 -3.57 -1.22 81 8,987 9.0

Denmark 16 15 18 18 18 12.50 0.00 18 4,503 4.0

Finland 53 53 53 52 51 -3.77 -1.92 51 4,435 11.5

Germany 368 370 359 358 357 -2.99 -0.28 357 70,854 5.0

Greece 23 24 29 28 27 17.39 -3.57 27 9,508 2.8

Hungary 38 30 30 29 31 -18.42 6.90 31 9,915 3.1

Iceland 2 1 3 3 1 -50.00 -66.67 1 251 4.0

Ireland 6 7 7 7 7 16.67 0.00 7 3,526 2.0

Italy 89 86 85 84 85 -4.49 1.19 85 51,617 1.7

Lithuania 21 21 23 24 22 4.76 -8.33 22 2,845 7.7

Luxembourg 6 6 6 6 6 0.00 0.00 6 401 15.0

Poland 43 44 49 49 38 -11.63 -22.45 38 32,315 1.2

Romania 46 61 70 75 69 50.00 -8.00 69 18,761 3.7

Russia 470 497 486 473 520 10.64 9.94 520 120,812 4.3

Slovakia 8 8 8 8 8 0.00 0.00 8 4,600 1.7

Spain 139 140 140 140 139 0.00 -0.71 139 39,463 3.5

Sweden 86 83 82 82 82 -4.65 0.00 82 7,591 10.8

Switzerland 91 91 90 87 79 -13.19 -9.20 79 6,602 12.0

United Kingdom 19 - - - - - - 19 47,391 0.4



DAILIES

PAID-FOR MORNING DAILIES: NUMBER OF TITLES(using most recent available figures)

PAID-FOR MORNING DAILIES: NUMBER OF TITLES / ADULT POPULATION (titles per million)



DAILIES

PAID-FOR EVENING AND AFTERNOON DAILIES: NUMBER OF TITLESChange (%) No.titles Adult No. titles/adult


Belarus 5 5 5 5 5 0.00 0.00 5 15,123 0.3

Bulgaria 1 1 1 - - - - 1 6,648 0.2

Denmark 15 15 14 14 14 -6.67 0.00 14 4,503 3.1

Greece 16 15 13 13 13 -18.75 0.00 13 9,508 1.4

Ireland 2 2 2 2 2 0.00 0.00 2 3,526 0.6

Russia 21 24 24 22 21 0.00 -4.55 21 120,812 0.2

Slovakia 2 2 1 1 1 -50.00 0.00 1 4,600 0.2

Sweden 2 2 2 2 2 0.00 0.00 2 7,591 0.3

United Kingdom 75 - - - - - - 75 47,391 1.6


PAID-FOR EVENING AND AFTERNOON DAILIES: NUMBER OF TITLES(using most recent available figures)

PAID-FOR EVENING AND AFTERNOON DAILIES: NUMBER OF TITLES / ADULT POPULATION (titles per million)



DAILIES

PAID-FOR DAILIES: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/

circulation population adult population(000) (000) (copies per 000)

Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Albania 70 70 70 70 70 0.00 0.00 70 2,799 25.0

Andorra 27 27 27 27 27 0.00 0.00 27 71 380.3

Austria 2,111 2,322 2,406 2,348 2,305 9.19 -1.83 2,305 7,094 324.9

Belarus 1,760 1,770 1,800 1,810 1,796 2.05 -0.77 1,796 15,123 118.8

Belgium 1,466 1,424 1,417 1,414 1,382 -5.73 -2.26 1,382 8,786 157.3


Bulgaria 558 653 629 862 870 55.91 0.93 870 6,538 133.1

Croatia 411 560 560 520 535 30.17 2.88 535 3,791 141.1

Cyprus 100 100 102 103 100 0.00 -2.91 100 644 155.3

Czech Republic 1,742 1,669 1,672 1,549 1,365 -21.64 -11.88 1,365 8,987 151.9

Denmark 1,290 1,268 1,241 1,164 1,058 -17.98 -9.11 1,058 4,503 235.0

Estonia 256 276 279 261 227 -11.33 -13.03 227 1,140 199.1

Faroe Islands 16 17 17 17 17 6.25 0.00 17 39 435.9

Finland 2,240 2,224 2,202 2,127 2,049 -8.53 -3.67 2,049 4,435 462.0

France 7,807 7,686 7,649 7,600 7,362 -5.70 -3.13 7,362 50,429 146.0

Germany 21,543 21,091 20,590 20,079 19,746 -8.34 -1.66 19,746 70,854 278.7

Gibraltar 8 8 8 8 8 0.00 0.00 8 24 333.3

Greece 1,320 1,256 1,280 1,205 1,100 -16.67 -8.71 1,100 9,508 115.7

Hungary 1,460 1,451 1,331 1,310 1,239 -15.14 -5.42 1,239 9,915 125.0

Iceland 64 42 71 67 50 -21.88 -25.37 50 251 199.2

Ireland 758 800 797 833 767 1.19 -7.92 767 3,526 217.5

Italy 5,462 5,510 5,494 5,291 4,842 -11.35 -8.49 4,842 51,617 93.8

Kosovo - - 30 30 32 - 6.67 32.00 1,304 24.5

Latvia 348 321 236 230 220 -36.78 -4.35 220 1,951 112.8

Liechtenstein 20 20 20 20 20 0.00 0.00 20 29 689.7

Lithuania 527 535 554 641 574 8.92 -10.45 574 2,845 201.8

Luxembourg 115 114 114 120 113 -1.74 -5.83 113 401 281.8

Macedonia 160 140 140 170 160 0.00 -5.88 160 1,670 95.8

Malta 95 100 102 102 100 5.26 -1.96 100 339 295.0

Moldova 185 250 303 400 400 116.22 0.00 400 3,632 110.1

Montenegro 55 50 46 46 62 12.73 34.78 62 565 109.7

Netherlands, The 3,912 3,831 3,719 3,638 3,530 -9.76 -2.97 3,530 13,562 260.3

Norway 2,338 2,270 2,222 2,185 2,061 -11.85 -5.68 2,061 3,829 538.3

Poland 4,369 4,462 3,946 3,690 3,168 -27.49 -14.15 3,168 32,315 98.0

Portugal 530 536 544 558 533 0.57 -4.48 533 8,961 59.5

Romania 1,087 1,039 1,118 1,194 1,241 14.17 3.94 1,241 18,761 66.2

San Marino 4 5 6 6 6 50.00 0.00 6 25 240.0

Serbia 800 900 1,050 1,050 1,052 31.50 0.19 1,052 6,260 168.1

Slovakia 496 533 505 461 434 -12.5 -5.86 434 4,600 94.4

Slovenia 430 350 328 274 297 -30.93 8.39 297 1,756 169.1

Spain 4,196 4,138 4,196 4,165 3,915 -6.70 -6.00 3,915 39,463 99.2

Sweden 3,603 3,554 3,430 3,334 3,205 -11.05 -3.87 3,205 7,591 422.2

Switzerland 2,405 2,344 2,275 2,205 2,126 -11.60 -3.58 2,126 6,602 322.0

Ukraine 1,850 3,301 3,486 4,013 2,864 54.81 -28.63 2,864 39,395 72.7

United Kingdom 16,650 16,211 15,552 15,062 14,009 -15.86 -6.99 14,009 49,206 284.7

Vatican 1 1 1 1 1 0.00 0.00 1 - -



DAILIES

PAID-FOR DAILIES: TOTAL AVERAGE CIRCULATION (000)(using most recent available figures)


DAILIES

PAID-FOR DAILIES: TOTAL AVERAGE CIRCULATION / ADULT POPULATION (copies per thousand)



DAILIES

PAID-FOR NATIONAL DAILIES: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/


Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Austria 1,420 1,619 1,694 1,648 1,604 12.96 -2.67 1,604 7,094 226.1

Belarus 1,450 1,450 1,470 1,480 1,471 1.45 -0.61 1,471 15,123 97.3

Belgium 1,007 986 979 990 963 -4.37 -2.73 963 8,786 109.6

Bulgaria 452 567 539 - - - - 539 6,648 81.1

Croatia 383 500 500 460 485 26.63 5.43 485 3,791 127.9

Czech Republic 1,338 1,326 1,348 1,254 1,117 -16.52 -10.93 1,117 8,987 124.3

Denmark 725 690 725 676 623 -14.07 -7.84 623 4,503 138.4

Estonia 205 224 225 208 177 -13.66 -14.9 177 1,140 155.3

Faroe Islands 16 17 17 17 17 6.25 0.00 17 39 435.9

Finland 961 949 949 - - - - 949 4,376 216.9

France 2,140 2,114 2,118 2,140 2,035 -4.91 -4.91 2,035 50,429 40.4

Germany 1,646 1,632 1,624 1,624 1,599 -2.86 -1.54 1,599 70,854 22.6

Gibraltar 8 8 8 8 8 0.00 0.00 8 24 333.3

Greece 1,320 1,256 1,280 1,205 1,100 -16.67 -8.71 1,100 9,508 115.7

Hungary 740 705 620 620 582 -21.35 -6.13 582 9,915 58.7

Iceland 64 42 71 67 50 -21.88 -25.37 50 251 199.2

Ireland 731 774 771 799 744 1.78 -6.88 744 3,526 211.0

Italy 3,512 3,595 3,577 3,440 3,050 -13.15 -11.34 3,050 51,617 59.1

Latvia 297 273 187 188 180 -39.39 -4.26 180 1,951 92.3

Liechtenstein 20 20 20 20 20 0.00 0.00 20 29 689.7

Luxembourg 115 114 114 120 113 -1.74 -5.83 113 401 281.8

Macedonia 160 140 140 170 160 0.00 -5.88 160 1,670 95.8

Montenegro 55 50 46 46 62 12.73 34.78 62 565 109.7

Netherlands, The 1,814 2,125 2,038 2,002 1,938 6.84 -3.20 1,938 13,562 142.9

Norway 666 625 614 580 537 -19.37 -7.41 537 3,829 140.3

Poland 2,978 3,131 2,574 2,441 2,037 -31.6 -16.55 2,037 32,315 63.0

Portugal - - 500 505 481 - -4.75 481 8,961 53.7

Romania 813 770 829 909 946 16.36 4.07 946 18,761 50.4

Slovakia 450 490 468 427 402 -10.67 -5.85 402 4,600 87.4

Slovenia 410 330 310 257 280 -31.71 8.95 280 1,756 159.5

Sweden 905 907 902 844 909 0.44 7.70 909 7,591 119.8

Ukraine 990 2,256 3,212 3,715 2,636 166.26 -29.04 2,636 39,395 66.9

United Kingdom 11,820 11,479 11,198 10,920 10,430 -11.76 -4.49 10,430 49,206 212.0



DAILIES

PAID-FOR NATIONAL DAILIES: TOTAL AVERAGE CIRCULATION (000)(using most recent available figures)


DAILIES

PAID-FOR NATIONAL DAILIES: TOTAL AVERAGE CIRCULATION / ADULT POPULATION (copies per thousand)



DAILIES

PAID-FOR REGIONAL AND LOCAL DAILIES: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/


Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Austria 733 737 712 692 701 -4.37 1.30 701 7,094 98.8

Belarus 310 320 330 330 325 4.84 -1.52 325 15,123 21.5

Belgium 459 438 438 424 419 -8.71 -1.18 419 8,786 47.7

Bulgaria 106 86 90 - - - - 90 6,648 13.5

Croatia 28 60 60 60 50 78.57 -16.67 50 3,791 13.2

Czech Republic 404 343 324 295 248 -38.61 -15.93 248 8,987 27.6

Denmark 565 578 516 488 435 -23.01 -10.86 435 4,503 96.6

Estonia 51 52 54 53 50 -1.96 -5.66 50 1,140 43.9

Finland 1,279 1,275 1,253 - - - - 1,253 4,376 286.3

France 5,667 5,572 5,531 5,460 5,327 -6.00 -2.44 5,327 50,429 105.6

Germany 19,898 19,459 18,966 18,455 18,147 -8.80 -1.67 18,147 70,854 256.1

Hungary 720 746 711 690 657 -8.75 -4.78 657 9,915 66.3

Ireland 27 26 26 34 23 -14.81 -32.35 23 3,526 6.5

Italy 1,950 1,915 1,917 1,851 1,792 -8.10 -3.19 1,792 51,617 34.7

Latvia 51 48 49 42 40 -21.57 -4.76 40 1,951 20.5

Netherlands, The 2,099 1,706 1,681 1,636 1,592 -24.15 -2.69 1,592 13,562 117.4

Norway 1,672 1,645 1,608 1,569 1,525 -8.79 -2.80 1,525 3,829 398.3

Poland 1,391 1,331 1,372 1,249 1,131 -18.69 -9.45 1,131 32,315 35.0

Portugal - - 44 53 52 - -1.89 52 8,961 5.8

Romania 274 269 289 285 295 7.66 3.51 295 18,761 15.7

Slovakia 46 43 37 34 32 -30.43 -5.88 32 4,600 7.0

Slovenia 20 20 18 17 17 -15.00 0.00 17 1,756 9.7

Sweden 2,698 2,647 2,528 2,490 2,296 -14.90 -7.79 2,296 7,591 302.5

Switzerland 2,405 2,344 2,275 2,205 2,126 -11.60 -3.58 2,126 6,602 322.0

Ukraine 860 1,045 273 298 228 -73.49 -23.49 228 39,395 5.8

United Kingdom 4,830 4,732 4,354 4,142 3,579 -25.90 -13.59 3,579 49,206 72.7



DAILIES

PAID-FOR REGIONAL AND LOCAL DAILIES: TOTAL AVERAGE CIRCULATION (000)(using most recent available figures)

PAID-FOR REGIONAL AND LOCAL DAILIES: TOTAL AVERAGE CIRCULATION / ADULT POPULATION (copies per thousand)



DAILIES

PAID-FOR MORNING DAILIES: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/


Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Austria 2,111 2,322 2,406 2,348 2,305 9.19 -1.83 2,305 7,094 324.9

Belarus 1,660 1,670 1,700 1,710 1,700 2.41 -0.58 1,700 15,123 112.4

Belgium 1,466 1,424 1,417 1,414 1,382 -5.73 -2.26 1,382 8,786 157.3

Czech Republic 1,742 1,669 1,672 1,549 1,365 -21.64 -11.88 1,365 8,987 151.9

Denmark 881 1,055 1,025 975 870 -1.25 -10.77 870 4,503 193.2

Finland 2,240 2,224 2,202 2,127 2,049 -8.53 -3.67 2,049 4,435 462.0

Germany 21,543 21,091 20,590 20,079 19,746 -8.34 -1.66 19,746 70,854 278.7

Greece 474 477 523 528 500 5.49 -5.30 500 9,508 52.6

Hungary 1,460 1,451 1,331 1,310 1,239 -15.14 -5.42 1,239 9,915 125.0

Iceland 64 42 71 67 50 -21.88 -25.37 50 251 199.2

Ireland 645 691 689 724 675 4.65 -6.77 675 3,526 191.4

Lithuania 527 535 554 641 574 8.92 -10.45 574 2,845 201.8

Luxembourg 115 114 114 120 113 -1.74 -5.83 113 401 281.8

Poland 4,404 4,477 3,959 3,690 3,168 -28.07 -14.15 3,168 32,315 98.0

Slovakia 483 521 498 454 427 -11.59 -5.95 427 4,600 92.8

Sweden 2,835 2,784 2,738 2,677 2,565 -9.52 -4.18 2,565 7,591 337.9

Switzerland 2,405 2,344 2,275 2,205 2,126 -11.60 -3.58 2,126 6,602 322.0

United Kingdom 1,340 - - - - - - 1,340 47,391 28.3



DAILIES

PAID-FOR MORNING DAILIES: TOTAL AVERAGE CIRCULATION (000)(using most recent available figures)

PAID-FOR MORNING DAILIES: TOTAL AVERAGE CIRCULATION / ADULT POPULATION (copies per thousand)



DAILIES

PAID-FOR EVENING AND AFTERNOON DAILIES: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/


Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Belarus 100 100 100 100 96 -4.00 -4.00 96 15,123 6.4

Denmark 409 213 216 189 188 -54.03 -0.53 188 4,503 41.8

Greece 846 779 757 677 600 -29.08 -11.37 600 9,508 63.1

Ireland 113 109 108 109 92 -18.58 -15.60 92 3,526 26.1

Slovakia 13 12 7 7 7 -46.15 0.00 7 4,600 1.5

Sweden 768 743 692 657 640 -16.67 -2.59 640 7,591 84.3

United Kingdom 3,490 - - - - - - 3,490 47,391 73.6


PAID-FOR EVENING AND AFTERNOON DAILIES: TOTAL AVERAGE CIRCULATION (000)(using most recent available figures)

PAID-FOR EVENING AND AFTERNOON DAILIES: TOTAL AVERAGE CIRCULATION / ADULT POPULATION (copies per thousand)



DAILIES

PAID-FOR DAILIES: ANNUAL COPY SALES (millions of copies)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Austria 633 643 713 710 690 9.00 -2.82

Belgium 438 427 430 428 417 -4.88 -2.57

Croatia - - - 156 195 - 25.19

Czech Republic 506 501 502 468 409 -19.17 -12.61

Denmark 455 447 435 411 384 -15.60 -6.57

Estonia 75 79 82 69 66 -12.00 -4.35

Finland 753 746 739 721 693 -7.97 -3.88

France 2,410 2,325 2,347 2,342 2,263 -6.10 -3.37

Greece 213 206 203 191 - - -

Hungary 445 447 412 397 381 -14.31 -3.86

Iceland 22 15 - - - - -

Ireland 235 228 226 235 232 -1.40 -1.28

Italy 1,903 1,908 1,902 1,864 1,658 -12.87 -11.05

Latvia 73 - - - - - -

Luxembourg 34 34 - 36 35 0.88 -3.36

Moldova 11 - - - - - -

Netherlands, The 1,189 1,164 1,130 1,117 1,084 -8.83 -2.95

Norway 696 670 668 - 645 -7.33 -

Poland 807 818 822 778 702 -13.05 -9.81

Portugal 198 190 191 158 - - -

Slovakia 140 146 - - - - -

Spain 1,520 1,488 1,495 1,473 1,417 -6.78 -3.80

Sweden 1,214 1,185 1,153 1,121 1,077 -11.26 -3.87

Switzerland 736 710 687 668 642 -12.77 -3.89

Ukraine 474 662 689 874 686 44.86 -21.47

United Kingdom 5,134 4,867 4,674 4,490 - - -


DAILIES

PAID-FOR DAILIES: ANNUAL COPY SALES (millions of copies) (using most recent available figures)

PAID-FOR DAILIES: CHANGE IN ANNUAL COPY SALES (number of copies), 2009/08 (%)



DAILIES

PAID-FOR DAILIES: ADVERTISING REVENUES (national currencies, millions, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria (Bulgaria, lev) 71 73 75 72 69 -3.65 -4.19

Czech Republic (Czech koruna) 7,789 8,264 7,629 7,804 6,984 -10.34 -10.51

Denmark (Danish krone) 2,605 3,167 3,070 2,575 1,872 -28.14 -27.30

Estonia (Estonian kroon) 330 378 448 395 257 -22.12 -34.94

Finland (Finland, euro) 519 532 555 537 417 -19.65 -22.35

France (France, euro) 1,421 1,440 1,399 1,395 1,244 -12.43 -10.82

Germany (Germany, euro) 4,477 4,533 4,567 4,373 - - -

Greece (Greece, euro) 270 287 326 312 - - -

Hungary (Hungary, forint) 48,077 47,406 48,930 52,207 43,708 -9.09 -16.28

Ireland (Ireland, euro) 540 606 589 608 - - -

Italy (Italy, euro) 1,537 1,563 1,623 1,525 1,300 -15.42 -14.75

Latvia (Latvian lat) 14 15 14 12 7 -48.20 -39.50

Lithuania (Lithuania, litas) 134 142 144 159 108 -19.96 -32.47

Luxembourg (Luxembourg, euro) 72 69 - 73 69 -4.04 -5.49

Netherlands, The (Netherlands, euro) 636 634 665 617 489 -23.11 -20.75

Poland (Poland, zloty) 2,036 - - - - - -

Romania (Romania, new leu) 486 550 695 791 - - -

Serbia (Serbian dinar) - - - 4,281 3,319 - -22.47

Slovakia (Slovak koruna) - - - 1,500 - - -

Spain (Spain, euro) 1,615 1,737 1,848 1,476 1,109 -31.36 -24.89

Sweden (Swedish krona) 8,049 8,357 8,589 8,295 7,095 -11.85 -14.47

Ukraine (Ukraine, hryvnia) 87 140 157 99 182 108.94 84.04

United Kingdom (British pound) 2,455 2,369 2,374 2,127 1,757 -28.43 -17.38

PAID-FOR DAILIES: ADVERTISING REVENUES (USD, million, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria 45.35 46.50 52.52 53.43 48.65 7.28 -8.95

Czech Republic 324.68 365.18 375.26 456.37 365.85 12.68 -19.83

Denmark 434.17 533.16 564.34 504.90 349.25 -19.56 -30.83

Estonia 26.21 30.31 39.11 36.88 22.76 -13.16 -38.29

Finland 648.75 665.00 760.27 789.71 579.17 -10.73 -26.66

France 1,775.63 1,800.00 1,916.44 2,051.47 1,727.78 -2.69 -15.78

Germany 5,595.75 5,666.12 6,256.71 6,431.47 - - -

Greece 337.50 358.75 446.58 458.82 - - -

Hungary 240.46 224.85 265.90 302.30 215.98 -10.18 -28.55

Ireland 675.37 757.37 807.12 893.82 - - -

Italy 1,921.25 1,953.75 2,223.29 2,242.65 1,805.56 -6.02 -19.49

Latvia 24.82 26.07 28.04 24.29 14.12 -43.11 -41.87

Lithuania 48.66 51.64 56.88 66.89 43.17 -11.28 -35.46

Luxembourg 89.75 86.62 - 107.21 95.69 6.62 -10.75

Netherlands, The 795.00 792.50 910.96 907.35 679.17 -14.57 -25.15

Poland 628.4 - - - - - -

Romania 165.14 194.93 283.80 312.45 - - -

Serbia - - - 76.26 48.83 - -35.97

Slovakia - - - 70.03 - - -

Spain 2,018.87 2,171.63 2,530.96 2,170.44 1,539.72 -23.73 -29.06

Sweden 1,077.51 1,132.38 1,270.56 1,258.73 927.45 -13.93 -26.32

Ukraine 16.90 26.80 30.37 18.44 22.38 32.43 21.37

United Kingdom 4,463.64 4,387.04 4,748.00 3,938.15 2,745.47 -38.49 -30.29


DAILIES

PAID-FOR DAILIES: ADVERTISING REVENUES (USD, million, current prices) (using most recent available figures)

PAID-FOR DAILIES: CHANGE IN ADVERTISING REVENUES (current prices), 2009/08 (%)



DAILIES

PAID-FOR DAILIES: SALES REVENUES (national currencies, millions, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Belgium (Belgium, euro) 319 322 327 338 335 5.02 -0.89

Czech Republic (Czech koruna) 4,537 4,891 5,343 5,098 4,579 0.93 -10.18

Denmark (Danish krone) 4,144 - 4,205 4,209 4,192 1.16 -0.40


Finland (Finland, euro) - 462 473 - 481 - -


Greece (Greece, euro) 205 - - - - - -

Hungary (Hungary, forint) - 33,719 32,585 39,202 37,996 - -3.08

Iceland (Icelandic krona) 1,447 1,473 1,413 1,718 - - -

Ireland (Ireland, euro) 303 314 333 327 328 8.12 0.21

Italy (Italy, euro) 1,654 1,683 1,575 1,560 1,400 -15.36 -10.26

Latvia (Latvian lat) 16.8 - - - - - -

Luxembourg (Luxembourg, euro) 20 21 - 21 22 9.45 4.27

Netherlands, The (Netherlands, euro) 763 783 878 874 890 16.64 1.83

Portugal (Portugal, euro) 114 125 163 133 - - -

Slovakia (Slovak koruna) 1,501 1,530 - - - - -

Spain (Spain, euro) 1,263 1,260 1,300 1,290 1,200 -4.99 -6.98

Sweden (Swedish krona) 7,129 - - - - - -

Ukraine (Ukraine, hryvnia) 1,163 - - - - - -

United Kingdom (British pound) 2,193 2,323 2,269 2,291 - - -

PAID-FOR DAILIES: SALES REVENUES (USD, million, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Belgium 398.75 402.50 447.95 497.06 465.28 16.68 -6.39

Czech Republic 189.12 216.13 262.81 298.13 239.86 26.83 -19.55

Denmark 690.67 - 772.98 825.29 782.09 13.24 -5.23

Estonia 27.16 19.89 28.47 31.09 26.31 -3.13 -15.37

Finland - 577.50 647.95 - 668.06 - -

Germany 5,017.50 5,075.63 5,564.93 6,132.65 - - -

Greece 256.25 - - - - - -

Hungary - 159.93 177.07 226.99 187.76 - -17.28

Iceland 23.00 21.01 22.00 19.39 - - -

Ireland 378.62 392.88 455.48 480.59 454.86 20.14 -5.35

Italy 2,067.50 2,103.75 2,157.53 2,294.12 1,944.44 -5.95 -15.24

Latvia 29.99 - - - - - -

Luxembourg 25.13 26.12 - 31.03 30.56 21.61 -1.51

Netherlands, The 953.75 978.75 1,202.74 1,285.29 1,236.11 29.61 -3.83

Portugal 142.38 156.25 223.84 195.00 - - -

Slovakia 48.28 51.50 - - - - -

Spain 1,578.75 1,575.00 1,780.82 1,897.06 1,666.67 5.57 -12.14

Sweden 954.35 - - - - - -

Ukraine 225.33 - - - - - -

United Kingdom 3,987.64 4,301.85 4,538.20 4,242.59 - - -


DAILIES

PAID-FOR DAILIES: SALES REVENUES (USD, million, current prices) (using most recent available figures)

PAID-FOR DAILIES: CHANGE IN SALES REVENUES (current prices), 2009/08 (%)



DAILIES

TOP 20 FREE DAILIESTitle Country Language Circulation

(000)

1 Metro United Kingdom English 1,335

2 Leggo Italy Italian 1,050

3 Metro Italy Italian 850

4 City Italy Italian 840

5 20 Minutos Spain Spanish 789

6 Que! Spain Spanish 741

7 20 Minutes France French 712

8 ADN Spain Spanish 690

9 Metro France French 660

10 Metro Sweden Swedish 605

11 Metro, Novaya Gorodskaya Russia Russian 600Gazeta (Moscow)

12 20 Minuten Switzerland German 536

13 Heute Austria German 530

14 Metro Netherlands, The Dutch 514

15 thelondonpaper United Kingdom English 500

16 24 Minuti Italy Italian 500

17 DNews Italy Italian 500

18 E Polis Italy Italian 488

19 Metro Poland Polish 445

20 Adevarul de Seara Romania Romanian 432

Source: see respective country reports, table 8.bb Top free dailies

COUNTRIES OF TOP 20 FREE DAILIESCountry No. top 20 dailies

1 Italy 62 Spain 33 France 24 United Kingdom 25 Austria 16 Netherlands, The 17 Poland 18 Romania 19 Russia 110 Sweden 111 Switzerland 1


DAILIES

FREE DAILIES: NUMBER OF TITLESChange (%) No.titles Adult No. titles/adult


Andorra 1 1 1 1 1 0.00 0.00 1 71 14.1

Austria 1 4 4 3 3 200.00 0.00 3 7,094 0.4

Belgium 1 1 2 2 2 100.00 0.00 2 8,786 0.2

Bulgaria - - - 2 3 - 50.00 3 6,538 0.5

Croatia - 1 1 2 1 - -50.00 1 3,791 0.3

Czech Republic 2 4 4 3 2 0.00 -33.33 2 8,987 0.2

Denmark 6 12 7 4 3 -50.00 -25.00 3 4,503 0.7

Estonia 1 2 3 3 - - - 3 1,142 2.6

Finland 2 2 2 2 1 -50.00 -50.00 1 4,435 0.2

France 8 8 10 10 13 62.50 30.00 13 50,429 0.3

Greece 3 3 4 4 4 33.33 0.00 4 9,508 0.4

Hungary 1 1 2 1 1 0.00 0.00 1 9,915 0.1

Iceland 2 2 2 2 1 -50.00 -50.00 1 251 4.0

Ireland 3 3 2 2 2 -33.33 0.00 2 3,526 0.6

Italy 5 10 9 9 9 80.00 0.00 9 51,617 0.2

Latvia 1 1 2 2 2 100.00 0.00 2 1,951 1.0

Lithuania 1 1 1 1 1 0.00 0.00 1 2,845 0.4

Luxembourg - - 2 2 2 - 0.00 2 401 5.0

Macedonia - 1 2 1 1 - 0.00 1 1,670 0.6

Netherlands, The 2 3 6 6 5 150.00 -16.67 5 13,562 0.4

Poland 2 2 1 1 1 -50.00 0.00 1 32,315 0.0

Portugal 2 2 6 5 5 150.00 0.00 5 8,961 0.6

Romania 2 3 3 5 7 250.00 40.00 7 18,761 0.4

Russia 3 31 35 38 41 1,266.67 7.89 41 120,812 0.3

Serbia - 1 1 1 1 - 0.00 1 6,260 0.2

Slovakia - - 1 1 - - - 1 4,276 0.2

Slovenia - - 1 1 1 - 0.00 1 1,756 0.6

Spain 20 32 26 23 16 -20.00 -30.43 16 39,463 0.4

Sweden 3 6 7 6 5 66.67 -16.67 5 7,591 0.7

Switzerland 4 7 8 8 8 100.00 0.00 8 6,602 1.2

Ukraine - 2 3 5 2 - -60.00 2 39,395 0.1

United Kingdom 5 9 8 7 6 20.00 -14.29 6 49,206 0.1



DAILIES

FREE DAILIES: NUMBER OF TITLES(using most recent available figures)


DAILIES

FREE DAILIES: NUMBER OF TITLES / ADULT POPULATION (titles per million)



DAILIES

FREE DAILIES: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/


Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Andorra 5 5 5 5 5 0.00 0.00 5 71 70.4

Austria 200 573 582 609 564 182.00 -7.39 564 7,094 79.5

Belgium 226 236 248 255 252 11.50 -1.18 252 8,786 28.7

Bulgaria - - - 50 167 - 234.00 167 6,538 25.5

Croatia - 125 170 120 60 - -50.00 60 3,791 15.8

Czech Republic 303 838 692 526 335 10.56 -36.31 335 8,987 37.3

Denmark 656 1,171 1,630 986 570 -13.11 -42.19 570 4,503 126.6

Estonia 4 58 89 72 - - - 72 1,142 63.1

Finland 194 200 200 167 115 -40.72 -31.14 115 4,435 25.9

France 1,440 1,783 2,581 2,690 2,398 66.53 -10.86 2,398 50,429 47.6

Greece 235 235 242 242 215 -8.51 -11.16 215 9,508 22.6

Hungary 340 324 339 320 282 -17.06 -11.88 282 9,915 28.4

Iceland 159 178 211 184 100 -37.11 -45.65 100 251 398.4

Ireland 42 110 157 146 142 238.10 -2.74 142 3,526 40.3

Italy 3,120 3,974 3,959 4,385 4,023 28.94 -8.26 4,023 51,617 77.9

Latvia 42 103 200 140 120 185.71 -14.29 120 1,951 61.5

Lithuania 17 101 100 100 67 294.12 -33.00 67 2,845 23.6

Luxembourg - - 20 127 137 - 7.87 137 401 341.7

Macedonia - 50 90 125 120 - -4.00 120 1,670 71.9

Netherlands, The 1,109 889 1,798 1,671 1,317 18.76 -21.18 1,317 13,562 97.1

Poland 597 800 505 496 445 -25.46 -10.28 445 32,315 13.8

Portugal 221 326 521 612 345 56.11 -43.63 345 8,961 38.5

Romania 49 138 293 440 681 1,289.80 54.77 681 18,761 36.3

Russia 190 1,157 1,172 1,177 1,185 523.68 0.68 1,185 120,812 9.8

Serbia - 50 150 155 150 - -3.23 150 6,260 24.0

Slovakia - - 8 3 - - - 3 4,276 0.7

Slovenia - - 28 106 113 - 6.60 113 1,756 64.4

Spain 3,433 4,934 4,489 4,119 2,609 -24.00 -36.66 2,609 39,463 66.1

Sweden 765 919 1,215 1,060 699 -8.63 -34.06 699 7,591 92.1

Switzerland 748 1,029 1,420 1,886 1,499 100.40 -20.52 1,499 6,602 227.0

Ukraine - 156 350 456 117 - -74.34 117 39,395 3.0

United Kingdom 1,097 1,737 2,353 2,394 2,346 113.86 -2.01 2,346 49,206 47.7



DAILIES

FREE DAILIES: TOTAL AVERAGE CIRCULATION (000)(using most recent available figures)


DAILIES

FREE DAILIES: TOTAL AVERAGE CIRCULATION / ADULT POPULATION (copies per thousand)



DAILIES

FREE DAILIES: ADVERTISING REVENUES (national currencies, millions, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria (Bulgaria, lev) - - - - 3.1 - -

Czech Republic (Czech koruna) 260.0 922.0 1,095.0 1,327.0 1,059.0 307.31 -20.20

Estonia (Estonian kroon) - 23.6 25.0 22.0 - - -

Finland (Finland, euro) - - 153.0 151.0 - - -

France (France, euro) 1,090.0 1,168.0 1,196.0 1,115.0 799.0 -26.70 -28.34

Greece (Greece, euro) 54.0 77.0 80.0 72.0 - - -


Italy (Italy, euro) 64.0 70.0 88.4 80.8 57.6 -10.00 -28.71

Latvia (Latvian lat) 0.1 1.1 1.3 1.7 0.6 500.00 -64.71

Lithuania (Lithuania, litas) - 4.8 6.6 10.2 - - -

Luxembourg (Luxembourg, euro) - - - 7.0 9.7 - 38.57

Netherlands, The (Netherlands, euro) 100.0 114.0 120.0 110.0 72.0 -28.00 -34.55

Poland (Poland, zloty) 146.0 - - - - - -

Serbia (Serbian dinar) - - - 213.0 205.9 - -3.33

Spain (Spain, euro) 86.4 126.3 144.3 99.7 49.4 -42.82 -50.45

Sweden (Swedish krona) 1,355 1,504 1,655 1,647 1,875 38.38 13.84

Ukraine (Ukraine, hryvnia) - 2.9 14.1 19.6 3.0 - -84.69

FREE DAILIES: ADVERTISING REVENUES (USD, million, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria - - - - 2.2 - -

Czech Republic 10.84 40.74 53.86 77.60 55.47 411.72 -28.52

Estonia - 1.89 2.18 2.05 - - -

Finland - - 209.59 222.06 - - -

France 1,362.50 1,460.00 1,638.36 1,639.71 1,109.72 -18.55 -32.32

Greece 67.50 96.25 109.59 105.88 - - -

Hungary 28.55 26.53 27.49 29.69 23.61 -17.30 -20.48

Italy 80.00 87.50 121.10 118.82 80.00 0.00 -32.67

Latvia 0.18 1.96 2.55 3.47 1.18 555.56 -65.99

Lithuania - 1.75 2.61 4.29 - - -

Luxembourg - - - 10.29 13.47 - 30.90

Netherlands, The 125.00 142.50 164.38 161.76 100.00 -20.00 -38.18

Poland 45.06 - - - - - -

Serbia - - - 3.79 3.03 - -20.05

Spain 108.00 157.88 197.67 146.62 68.61 -36.47 -53.21

Sweden 181.39 203.79 244.82 249.92 245.10 35.12 -1.93

Ukraine - 0.56 2.72 3.65 0.37 - -89.86


DAILIES

FREE DAILIES: ADVERTISING REVENUES (USD, million, current prices) (using most recent available figures)

FREE DAILIES: CHANGE IN ADVERTISING REVENUES (current prices), 2009/08 (%)


Change (%) No.titles Adult No. titles/adultpopulation population (million)

Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* (000) 2009*

Albania 29 28 28 28 29 0.00 3.57 29 2,799 10.4

Andorra 3 3 3 3 3 0.00 0.00 3 71 42.3

Austria 17 21 21 19 19 11.76 0.00 19 7,094 2.7

Belarus 33 33 33 33 33 0.00 0.00 33 15,123 2.2

Belgium 29 29 28 24 24 -17.24 0.00 24 8,786 2.7


Bulgaria 60 63 64 72 73 21.67 1.39 73 6,538 11.2

Croatia 13 16 16 17 16 23.08 -5.88 16 3,791 4.2

Cyprus 21 21 22 22 22 4.76 0.00 22 644 34.2

Czech Republic 86 90 86 85 83 -3.49 -2.35 83 8,987 9.2

Denmark 37 42 39 36 35 -5.41 -2.78 35 4,503 7.8

Estonia 12 14 16 15 11 -8.33 -26.67 11 1,140 9.7

Faroe Islands 2 2 2 2 2 0.00 0.00 2 39 51.3

Finland 55 55 55 54 52 -5.45 -3.70 52 4,435 11.7

France 93 93 95 95 98 5.38 3.16 98 50,429 1.9

Germany 368 370 359 358 357 -2.99 -0.28 357 70,854 5.0

Gibraltar 2 2 2 2 2 0.00 0.00 2 24 83.3

Greece 42 42 46 45 44 4.76 -2.22 44 9,508 4.6

Hungary 39 31 32 30 32 -17.95 6.67 32 9,915 3.2

Iceland 4 3 5 5 2 -50.00 -60.00 2 251 8.0

Ireland 11 12 11 11 11 0.00 0.00 11 3,526 3.1

Italy 94 96 94 93 94 0.00 1.08 94 51,617 1.8

Kosovo - - 8 8 9 - 12.50 9 1,304 6.9

Latvia 23 22 20 19 19 -17.39 0.00 19 1,951 9.7

Liechtenstein 2 2 2 2 2 0.00 0.00 2 29 69.0

Lithuania 22 22 24 25 23 4.55 -8.00 23 2,845 8.1

Luxembourg 6 6 8 8 8 33.33 0.00 8 401 20.0

Macedonia 10 11 12 12 13 30.00 8.33 13 1,670 7.8

Malta 4 4 4 4 4 0.00 0.00 4 339 11.8

Moldova 7 8 9 7 7 0.00 0.00 7 3,632 1.9

Montenegro 4 4 4 4 4 0.00 0.00 4 565 7.1

Netherlands, The 37 32 35 35 34 -8.11 -2.86 34 13,562 2.5

Norway 77 77 74 74 75 -2.60 1.35 75 3,829 19.6

Poland 45 46 50 50 39 -13.33 -22.00 39 32,315 1.2

Portugal 17 18 25 24 25 47.06 4.17 25 8,961 2.8

Romania 48 64 73 80 76 58.33 -5.00 76 18,761 4.1

Russia 494 552 545 533 582 17.81 9.19 582 120,812 4.8

San Marino 2 3 4 4 4 100.00 0.00 4 25 160.0

Serbia 13 11 16 19 13 0.00 -31.58 13 6,260 2.1

Slovakia 10 10 10 10 9 -10.00 -10.00 9 4,600 2.0

Slovenia 8 8 9 8 8 0.00 0.00 8 1,756 4.6

Spain 159 172 166 163 155 -2.52 -4.91 155 39,463 3.9

Sweden 91 91 91 90 89 -2.20 -1.11 89 7,591 11.7

Switzerland 95 98 98 95 87 -8.42 -8.42 87 6,602 13.2

Ukraine 42 41 53 56 43 2.38 -23.21 43 39,395 1.1

United Kingdom 111 115 114 112 110 -0.90 -1.79 110 49,206 2.2

Vatican 1 1 1 1 1 0.00 0.00 1 - -



DAILIES

PAID-FOR AND FREE DAILIES: NUMBER OF TITLES


DAILIES

PAID-FOR AND FREE DAILIES: NUMBER OF TITLES(using most recent available figures)


DAILIES

PAID-FOR AND FREE DAILIES: NUMBER OF TITLES / ADULT POPULATION(titles per million)



DAILIES

PAID-FOR AND FREE DAILIES: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/


Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Albania 70 70 70 70 70 0.00 0.00 70 2,799 25.0

Andorra 32 32 32 32 32 0.00 0.00 32 71 450.7

Austria 2,311 2,895 2,988 2,957 2,869 24.15 -2.98 2,869 7,094 404.4

Belarus 1,760 1,770 1,800 1,810 1,796 2.05 -0.77 1,796 15,123 118.8

Belgium 1,692 1,660 1,665 1,669 1,634 -3.43 -2.10 1,634 8,786 186.0


Bulgaria 558 653 629 912 1,037 85.84 13.71 1,037 6,538 158.6

Croatia 411 685 730 640 595 44.77 -7.03 595 3,791 157.0

Cyprus 100 100 102 103 100 0.00 -2.91 100 644 155.3

Czech Republic 2,045 2,507 2,364 2,075 1,700 -16.87 -18.07 1,700 8,987 189.2

Denmark 1,946 2,439 2,871 2,150 1,628 -16.34 -24.28 1,628 4,503 361.5

Estonia 260 334 368 333 227 -12.69 -31.83 227 1,140 199.1

Faroe Islands 16 17 17 17 17 6.25 0.00 17 39 435.9

Finland 2,434 2,424 2,402 2,294 2,164 -11.09 -5.67 2,164 4,435 487.9

France 9,247 9,469 10,230 10,290 9,760 5.55 -5.15 9,760 50,429 193.5

Germany 21,543 21,091 20,590 20,079 19,746 -8.34 -1.66 19,746 70,854 278.7

Gibraltar 8 8 8 8 8 0.00 0.00 8 24 333.3

Greece 1,555 1,491 1,522 1,447 1,315 -15.43 -9.12 1,315 9,508 138.3

Hungary 1,800 1,775 1,670 1,630 1,521 -15.50 -6.69 1,521 9,915 153.4

Iceland 223 220 282 251 150 -32.74 -40.24 150 251 597.6

Ireland 800 910 954 979 909 13.62 -7.15 909 3,526 257.8

Italy 8,582 9,484 9,453 9,676 8,865 3.30 -8.38 8,865 51,617 171.8

Kosovo - - 30 30 32 - 6.67 32 1,304 24.5

Latvia 390 424 436 370 340 -12.82 -8.11 340 1,951 174.3

Liechtenstein 20 20 20 20 20 0.00 0.00 20 29 689.7

Lithuania 544 636 654 741 641 17.83 -13.50 641 2,845 225.3

Luxembourg 115 114 134 247 250 117.39 1.21 250 401 623.4

Macedonia 160 190 230 295 280 75.00 -5.08 280 1,670 167.7

Malta 95 100 102 102 100 5.26 -1.96 100 339 295.0

Moldova 185 250 303 400 400 116.22 0.00 400 3,632 110.1

Montenegro 55 50 46 46 62 12.73 34.78 62 565 109.7

Netherlands, The 5,021 4,720 5,517 5,309 4,847 -3.47 -8.70 4,847 13,562 357.4

Norway 2,338 2,270 2,222 2,185 2,061 -11.85 -5.68 2,061 3,829 538.3

Poland 4,966 5,262 4,451 4,186 3,613 -27.25 -13.69 3,613 32,315 111.8

Portugal 751 862 1,065 1,170 878 16.91 -24.96 878 8,961 98.0

Romania 1,136 1,177 1,411 1,634 1,922 69.19 17.63 1,922 18,761 102.5

Russia (1) 190 1,157 1,172 1,177 1,185 523.68 0.68 1,185 120,812 9.8

San Marino 4 5 6 6 6 50.00 0.00 6 25 240.0

Serbia 800 950 1,200 1,205 1,202 50.25 -0.25 1,202 6,260 192.0

Slovakia 496 533 513 464 434 -12.50 -6.47 434 4,600 94.4

Slovenia 430 350 356 380 410 -4.65 7.89 410 1,756 233.5

Spain 7,629 9,072 8,685 8,284 6,524 -14.48 -21.25 6,524 39,463 165.3

Sweden 4,368 4,473 4,645 4,394 3,904 -10.62 -11.15 3,904 7,591 514.3

Switzerland 3,153 3,373 3,695 4,091 3,625 14.97 -11.39 3,625 6,602 549.0

Ukraine 1,850 3,457 3,836 4,469 2,981 61.14 -33.30 2,981 39,395 75.7

United Kingdom 17,747 17,948 17,905 17,456 16,355 -7.84 -6.31 16,355 49,206 332.4

Vatican 1 1 1 1 1 0.00 0.00 1 - -


(1) Free dailies circulation only


DAILIES

PAID-FOR AND FREE DAILIES: TOTAL AVERAGE CIRCULATION (000)(using most recent available figures)

(1) Only free dailies figures


DAILIES

PAID-FOR AND FREE DAILIES: TOTAL AVERAGE CIRCULATION / ADULT POPULATION(copies per thousand)(using most recent available figures)

(1) Free dailies circulation only


DAILIES

PAID-FOR AND FREE DAILIES: ADVERTISING REVENUES (national currencies, millions, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria (Bulgaria, lev) 71 73 75 72 72 0.70 0.14

Czech Republic (Czech koruna) 8,049 9,186 8,724 9,131 8,043 -0.07 -11.92

Denmark (Danish krone) 2,605 3,167 3,070 2,575 1,872 -28.14 -27.30


Finland (Finland, euro) 519 532 708 688 417 -19.65 -39.39

France (France, euro) 2,511 2,608 2,595 2,510 2,043 -18.62 -18.61





Italy (Italy, euro)1,601 1,633 1,711 1,606 1,358 -15.20 -15.46

Latvia (Latvian lat) 14 16 16 14 8 -44.29 -42.65

Lithuania (Lithuania, litas) 134 147 151 169 108 -19.96 -36.54

Luxembourg (Luxembourg, euro) 72 69 - 80 79 9.47 -1.63

Netherlands, The (Netherlands, euro) 736 748 785 727 561 -23.78 -22.83

Poland (Poland, zloty) 2,182 - - - - - -

Romania (Romania, new leu) 486 550 695 791 - - -

Serbia (Serbian dinar) - - - 4,494 3,525 - -21.57

Slovakia (Slovak koruna) - - - 1,500 - - -

Spain (Spain, euro) 1,702 1,864 1,992 1,576 1,158 -31.94 -26.50

Sweden (Swedish krona) 9,404 9,861 10,244 9,942 8,970 -4.62 -9.78

Ukraine (Ukraine, hryvnia) 87 143 171 119 185 112.39 56.16

United Kingdom (British pound) 2,455 2,369 2,374 2,127 1,757 -28.43 -17.38

PAID-FOR AND FREE DAILIES: ADVERTISING REVENUES (USD, million, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria 45.35 46.50 52.52 53.43 50.85 12.13 -4.83

Czech Republic 335.51 405.92 429.12 533.98 421.32 25.58 -21.10

Denmark 434.17 533.16 564.34 504.90 349.25 -19.56 -30.83

Estonia 26.21 32.21 41.29 38.94 22.76 -13.16 -41.55

Finland 648.75 665.00 969.86 1,011.76 579.17 -10.73 -42.76

France 3,138.13 3,260.00 3,554.79 3,691.18 2,837.50 -9.58 -23.13

Germany 5,595.75 5,666.12 6,256.71 6,431.47 - - -

Greece 405.00 455.00 556.16 564.71 - - -

Hungary 269.01 251.38 293.38 340.67 239.59 -10.94 -29.67

Ireland 675.37 757.37 807.12 893.82 - - -

Italy 2,001.25 2,041.25 2,344.38 2,361.47 1,885.56 -5.78 -20.15

Latvia 25.00 28.04 30.59 27.76 15.29 -38.84 -44.92

Lithuania 48.66 53.38 59.49 71.18 43.17 -11.28 -39.35

Luxembourg 89.75 86.62 - 117.50 109.17 21.64 -7.09

Netherlands, The 920.00 935.00 1,075.34 1,069.12 779.17 -15.31 -27.12

Poland 673.46 - - - - - -

Romania 165.14 194.93 283.80 312.45 - - -

Serbia - - - 80.05 51.86 - -35.22

Slovakia - - - 70.03 - - -

Spain 2,126.88 2,329.50 2,728.63 2,317.06 1,608.33 -24.38 -30.59

Sweden 1,258.90 1,336.18 1,515.38 1,508.65 1,172.55 -6.86 -22.28

Ukraine 16.90 27.36 33.09 22.09 22.75 34.62 2.99

United Kingdom 4,463.64 4,387.04 4,748.00 3,938.15 2,745.47 -38.49 -30.29


DAILIES

PAID-FOR AND FREE DAILIES: ADVERTISING REVENUES (USD, million, current prices)


PAID-FOR AND FREE DAILIES: CHANGE IN ADVERTISING REVENUES (current prices), 2009/08 (%)



DAILIES

TOP 100 DAILY NEWSPAPER WEBSITESTitle Country Website Unique visitors per month

(000)

1 The Guardian United Kingdom guardian.co.uk 36,9812 The Daily Telegraph United Kingdom telegraph.co.uk 30,7113 Daily Mail United Kingdom dailymail.co.uk 26,0004 El Mundo Spain elmundo.es 22,2575 The Sun United Kingdom thesun.co.uk 20,9076 The Times United Kingdom timesonline.co.uk 19,8557 Marca Spain marca.com 18,6778 Komsomolskaya pravda Russia kp.ru 12,6189 Financial Times United Kingdom ft.com 11,39710 The Independent United Kingdom independent.co.uk 9,34811 Bild Germany bild.de 6,92012 Sport-Express Russia sport-expess.ru 6,79813 La Repubblica Italy repubblica.it 6,70014 Daily Mirror United Kingdom mirror.co.uk 6,40015 Corriere Della Sera Italy corriere.it 6,10016 Gazeta Wyborcza Poland wyborcza.pl 6,08917 Le Figaro France lefigaro.f 5,36418 Le Monde France lemonde.fr 5,34719 Aftonbladet Sweden aftonbladet.se 5,09320 Iz ruk v ruki Russia irr.ru 5,01621 El Pais Spain elpais.com 5,00022 Sport Spain sport.es 4,85423 Le Parisien France leparisien.fr 3,94324 Il Sole 24 Ore Italy ilsole24ore.com 3,90025 Gazeta Russia gzt.ru 3,74226 VG Norway vg.no 3,71027 20 Minutes France 20minutes.fr 3,69928 Mundo Deportivo Spain elmundodeportivo.es 3,65529 Liberation France liberation.fr 3,64930 De Telegraaf Netherlands, The telegraaf.nl 3,54531 20 Minutos Spain 20minutos.es 3,50032 Vedomosti Russia vedomosti.ru 3,49133 Kommersant Russia kommersant.ru 3,40834 La Vanguardia Spain lavanguardia.es 3,33235 Rossijskaya Gazeta Russia rg.ru 3,31136 Die Welt Germany welt.de 3,27037 Izvestia Russia izvestia.ru 3,21238 Mlada fronta Dnes Czech Republic idnes.cz 3,20539 Pravo Czech Republic novinky.cz 3,16240 La Gazzette Dello Sport Italy gazzetta.it 3,10041 Süddeutsche Zeitung Germany sueddeutsche.de 3,01042 Moskovsky Komsomolets Russia mk.ru 2,99743 Sovetsky Sport Russia sovsport.ru 2,86744 Metro United Kingdom metro.co.uk 2,83945 As Spain as.com 2,60046 RBC daily Russia rbcdaily.ru 2,56447 London Evening Standard United Kingdom standard.co.uk 2,50148 20 Minuten Switzerland 20min.ch 2,44249 The Irish Times Ireland irishtimes.com 2,31450 Ouest France France ouest-france.fr 2,303

Continued on the following page


DAILIES

TOP 100 DAILY NEWSPAPER WEBSITES - continued

Title Country Website Unique visitors per month (000)

51 The Irish Independent Ireland independent.ie 2,30152 Nezavisimaya gazeta Russia ng.ru 2,28653 Expressen Sweden expressen.se 2,27754 Trud Russia trud.ru 2,21755 ABC Spain abc.es 2,20056 AD Netherlands, The ad.nl 2,16257 Dagbladet Norway dagbladet.no 2,15758 Blick Switzerland blick.ch 2,09059 Publico Spain publico.es 2,01260 El Periodico de Catalunya Spain elperiodico.com 2,00661 Iltalehti Finland iltalehti.fi 1,93762 Expansion Spain expansion.es 1,92363 Rheinsiche Post Germany rp-online.de 1,89064 Ilta-Sanomat Finland iltasanomat.fi 1,82365 La Stampa Italy lastampa.it 1,80066 Die Zeit Germany zeit.de 1,72067 FAZ Germany faz.netz 1,71068 Postimees Estonia postimees.ee 1,70069 de Volkskrant Netherlands, The volkskrant.nl 1,69770 The Scotsman United Kingdom www.scotsman.com 1,68071 Pravo Czech Republic sport.cz 1,56772 Segodnia Ukraine segodnya.ua 1,55573 NZZ, Neue Zürcher Zeitung Switzerland nzz.ch 1,49974 Dziennik PES Poland dziennik.pl 1,47075 La Voz de Galicia Spain lavozdegalicia.es 1,46576 Libertatea Romania libertatea.ro 1,42377 Tages-Anzeiger Switzerland tagesanzeiger.ch 1,40778 Dagens Nyheter Sweden dn.se 1,39679 Ekstrabladet Denmark ekstrabladet.dk 1,39380 Le Journal du Dimanche France lejdd.fr 1,36981 Gazeta po ukrainsky Ukraine gazeta.ua 1,36882 La Depeche du Midi France ladepeche.fr 1,35583 Gazeta Sporturilor Romania gsp.ro 1,33884 Sme Slovakia sme.sk 1,31185 Cancan Romania cancan.ro 1,29286 WAZ Westdeutsche Allgemeine Zeitung Germany derwesten.de 1,29087 Komsomolskaya pravda v Ukraine Ukraine kp.ua 1,28588 Helsingin Sanomat Finland hs.fi 1,23689 Corriere Dello Sport Italy corrieredellosport.it 1,20090 Belfast Telegraph Online United Kingdom belfasttelegraph.co.uk 1,18091 Hamburger Abendblatt Germany abendblattt.de 1,18092 Evenimentul Zilei Romania evz.ro 1,16393 Il Giornale Italy ilgiornale.it 1,10094 Aftenposten Norway aftenposten.no 1,08195 Gandul Romania gandul.info 1,07396 NRC Netherlands, The nrc.nl 1,06597 Rzeczpospolita Poland rzeczpospolita.pl 1,06598 La Nueva Espana Spain lne.es 1,04799 Gazeta po Kievsky Ukraine mycityua.com 1,020100 Novye Izvestia Russia newizv.ru 998

Source: see respective country reports, table 6.c Top daily newspaper websites


DAILIES

NUMBER OF DAILY NEWSPAPER WEBSITES (ONLINE EDITIONS)Change (%)

Country 2005 2006 2007 2008 2009 2009/05 2009/08

Austria 16 16 15 15 15 -6.25 0.00

Belgium 18 20 22 14 14 -22.22 0.00

Bulgaria 31 35 37 45 - - -

Croatia 10 12 - 16 16 60.00 0.00

Czech Republic 9 13 13 11 11 22.22 0.00

Denmark 35 38 38 38 58 65.71 52.63

Estonia 12 12 16 15 11 -8.33 -26.67

Finland 53 52 52 50 49 -7.55 -2.00

Germany 384 382 386 267 267 -30.47 0.00

Gibraltar 2 2 2 2 2 0.00 0.00

Hungary 24 25 30 30 35 45.83 16.67

Iceland 4 3 5 5 2 -50.00 -60.00

Ireland 3 3 4 - - - -

Italy 96 96 107 106 108 12.50 1.89

Kosovo - - - 4 4 - 0.00

Latvia 16 16 18 18 - - -

Luxembourg 6 6 - 8 8 33.33 0.00

Macedonia 10 - - - - - -

Moldova - - 12 - - - -

Netherlands, The 35 29 31 33 33 -5.71 0.00

Norway 77 78 74 74 - - -

Poland 42 45 50 50 39 -7.14 -22.00

Portugal 32 16 22 16 - - -

Russia - 521 510 495 542 - 9.49

Serbia 11 - - - - - -

Slovakia 11 11 - 9 9 -18.18 0.00

Slovenia 7 8 7 7 7 0.00 0.00

Spain 59 53 51 - - - -

Sweden 70 75 77 78 78 11.43 0.00

Switzerland 29 34 36 34 33 13.79 -2.94

Ukraine 579 - 17 40 27 -95.34 -32.50

Vatican 1 1 1 1 1 0.00 0.00

COUNTRIES OF TOP 100 DAILY NEWSPAPER WEBSITESCountry No. top 100 daily newspaper websites

1 Russia 142 Spain 143 United Kingdom 124 France 85 Germany 86 Italy 77 Romania 58 Netherlands, The 49 Switzerland 410 Ukraine 411 Czech Republic 312 Finland 313 Norway 314 Poland 315 Sweden 316 Ireland 217 Denmark 118 Estonia 119 Slovakia 1


NON-DAILIES

PAID-FOR NON-DAILIES: NUMBER OF TITLESChange (%) No.titles Adult No. titles/adult


Albania 80 81 81 82 82 2.50 0.00 82.00 2,799 29.3

Austria 110 115 120 118 87 -20.91 -26.27 87.00 7,094 12.3

Belgium - - 2 2 2 - 0.00 2.00 8,786 0.2

Bosnia and Herzegovina - - 46 46 100 - 117.39 100.00 3,945 25.4

Bulgaria 363 383 384 358 359 -1.10 0.28 359.00 6,538 54.9

Croatia 132 - - - - - - 132.00 3,678 35.9

Czech Republic 234 232 228 223 209 -10.68 -6.28 209.00 8,987 23.3

Denmark 1 1 1 1 1 0.00 0.00 1.00 4,503 0.2

Estonia 27 27 28 26 27 0.00 3.85 27.00 1,140 23.7

Faroe Islands 2 3 2 2 2 0.00 0.00 2.00 39 51.3

Finland 148 147 145 144 143 -3.38 -0.69 143.00 4,435 32.2

Germany 27 28 28 28 27 0.00 -3.57 27.00 70,854 0.4

Gibraltar 4 4 4 4 4 0.00 0.00 4.00 24 166.7

Greece 15 16 15 13 13 -13.33 0.00 13.00 9,508 1.4

Iceland 12 13 12 10 11 -8.33 10.00 11.00 251 43.8

Ireland 111 111 94 94 94 -15.32 0.00 94.00 3,526 26.7

Italy - 5 - - - - - 5.00 48,043 0.1

Latvia 64 81 98 98 74 15.63 -24.49 74.00 1,951 37.9

Lithuania - - 304 302 275 - -8.94 275.00 2,845 96.7

Luxembourg 9 9 - 12 12 33.33 0.00 12.00 401 29.9

Malta 6 7 7 7 7 16.67 0.00 7.00 339 20.7

Man, Isle of 2 2 2 2 2 0.00 0.00 2.00 63 31.8

Moldova 120 - - - - - - 120.00 3,553 33.8

Monaco 2 2 2 2 2 0.00 0.00 2.00 28 71.4

Montenegro 20 20 42 42 44 120 4.76 44.00 565 77.9

Norway 86 142 151 151 154 79.07 1.99 154.00 3,829 40.2

Poland 15 18 18 18 19 26.67 5.56 19.00 32,315 0.6

Portugal 18 29 33 29 29 61.11 0.00 29.00 8,961 3.2

Romania 17 - - - 41 141.18 - 41.00 18,761 2.2

Russia 25,686 26,112 26,100 26,930 27,391 6.64 1.71 27,391 120,812 226.7

Serbia - - - 111 409 - 268.47 409.00 6,260 65.3

Slovenia 178 180 184 185 160 -10.11 -13.51 160.00 1,756 91.1

Sweden 78 79 81 82 82 5.13 0.00 82.00 7,591 10.8

Switzerland 111 109 105 101 103 -7.21 1.98 103.00 6,602 15.6

Ukraine 212 100 - 2,450 2,296 983.02 -6.29 2,296 39,395 58.3

United Kingdom 531 528 522 521 521 -1.88 0.00 521.00 49,206 10.6



NON-DAILIES

PAID-FOR NON-DAILIES: NUMBER OF TITLES(using most recent available figures)


NON-DAILIES

PAID-FOR NON-DAILIES: NUMBER OF TITLES / ADULT POPULATION(titles per million)



NON-DAILIES

PAID-FOR NON-DAILIES: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/


Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Bulgaria 3,063 3,135 3,420 3,831 3,900 27.33 1.80 3,900 6,538 596.5

Czech Republic 2,195 1,700 1,630 1,630 1,689 -23.05 3.62 1,689 8,987 187.9

Denmark 61 59 61 61 53 -13.11 -13.11 53 4,503 11.8

Estonia 209 208 239 214 213 1.91 -0.47 213 1,140 186.8

Faroe Islands 6 11 6 6 6 0.00 0.00 6 39 153.9

Finland 934 923 914 933 909 -2.68 -2.57 909 4,435 205.0

Germany 2,042 2,055 1,983 1,982 1,912 -6.37 -3.53 1,912 70,854 27.0

Greece 367 325 281 233 230 -37.33 -1.29 230 9,508 24.2

Iceland 23 30 27 13 - - - 13 241 53.9

Ireland 897 897 1,052 1,053 1,054 17.50 0.09 1,054 3,526 298.9

Latvia 538 729 1,285 1,062 - - - 1,062 1,959 542.2

Luxembourg 80 87 87 88 87 8.75 -1.14 87 401 217.0

Moldova 890 950 1,000 - - - - 1,000 2,931 341.2

Norway 444 590 623 - 621 39.86 - 621 3,829 162.2

Poland 280 298 280 255 335 19.64 31.37 335 32,315 10.4

Romania 240 233 216 198 722 200.83 264.65 722 18,761 38.5

Sweden 395 401 403 389 399 1.01 2.57 399 7,591 52.6

Switzerland 517 490 517 445 438 -15.28 -1.57 438 6,602 66.3

Ukraine 3,280 6,937 - - - - - 6,937 40,271 172.3

United Kingdom 6,180 5,888 5,758 5,672 5,189 -16.04 -8.52 5,189 49,206 105.5



NON-DAILIES

PAID-FOR NON-DAILIES: TOTAL AVERAGE CIRCULATION (000)(using most recent available figures)

PAID-FOR NON-DAILIES: TOTAL AVERAGE CIRCULATION (000) / ADULT POPULATION(copies per thousand)(using most recent available figures)


NON-DAILIES

PAID-FOR NON-DAILIES: ANNUAL COPY SALES (millions of copies)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Czech Republic 85.0 58.4 64.0 58.0 61.0 -28.24 5.17

Denmark 3.0 3.0 3.0 3.0 3.0 0.00 0.00

Estonia 17.0 18.2 18.6 16.0 17.0 0.00 6.25

Finland 87.0 87.0 85.0 80.0 77.0 -11.49 -3.75

Greece 23.0 22.9 19.0 16.0 - - -

Iceland 1.3 2.4 - - - - -

Ireland 46.5 46.4 48.7 48.6 47.6 2.37 -2.06

Latvia 37.0 - - - - - -

Moldova 40.1 - - - - - -

Norway 54.0 62.0 67.0 - 64.0 18.52 -

Poland 20.0 20.2 20.3 17.4 16.7 -16.50 -4.02

Portugal 18.2 20.6 23.6 21.2 - - -

Sweden 38.0 38.7 34.4 33.2 33.8 -11.05 1.81

Switzerland 44.0 41.0 42.0 39.0 38.0 -13.64 -2.56

Ukraine 173.5 - - - - - -

United Kingdom 319.0 304.0 298.0 289.0 - - -


NON-DAILIES

PAID-FOR NON-DAILIES: ANNUAL COPY SALES (millions of copies)(using most recent available figures)

PAID-FOR NON-DAILIES: CHANGE IN ANNUAL COPY SALES (number of copies),2009/08 (%)



NON-DAILIES

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Czech Republic (Czech koruna) 1,092 787.0 812.0 795.0 837.0 -23.35 5.28

Estonia (Estonian kroon) 112.0 86.0 114.0 121.0 111.0 -0.89 -8.26

Finland (Finland, euro) - 52.0 53.0 - 55.0 - -

Germany (Germany, euro) 202.0 200.7 198.3 202.3 - - -

Greece (Greece, euro) 55.0 - - - - - -

Iceland (Icelandic krona) 175.0 353.0 134.0 135.0 - - -

Ireland (Ireland, euro) 78.3 82.4 86.6 86.1 87.7 12.01 1.86

Latvia (Latvian lat) 8,714 - - - - - -

Portugal (Portugal, euro) 22.5 21.4 29.2 27.9 - - -

Sweden (Swedish krona) 124.0 - - - - - -

Ukraine (Ukraine, hryvnia) 153.1 - - - - - -

United Kingdom (British pound) - - 169.0 236.8 - - -

PAID-FOR NON-DAILIES: SALES REVENUES (national currencies, millions, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Czech Republic 45.52 34.78 39.94 46.49 43.84 -3.69 -5.70

Estonia 8.90 6.90 9.96 11.30 9.83 10.45 -13.01

Finland - 65.00 72.60 - 76.39 - -

Germany 252.50 250.87 271.64 297.50 - - -

Greece 68.75 - - - - - -

Iceland 2.78 5.04 2.09 1.52 - - -

Ireland 97.87 103.00 118.63 126.62 121.81 24.46 -3.80

Latvia 15.6 - - - - - -

Portugal 28.13 26.75 40.00 41.03 - - -

Sweden 16.6 - - - - - -

Ukraine 29.67 - - - - - -

United Kingdom - - 338.00 438.52 - - -

PAID-FOR NON-DAILIES: SALES REVENUES (USD, million, current prices)


NON-DAILIES

PAID-FOR NON-DAILIES: SALES REVENUES (USD, million, current prices)(using most recent available figures)

PAID-FOR NON-DAILIES: CHANGE IN SALES REVENUES (current prices), 2009/08 (%)



NON-DAILIES

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria (Bulgaria, lev) 21.0 22.5 21.4 24.0 20.2 -3.81 -15.83


Finland (Finland, euro) 56.0 58.0 67.0 67.0 57.2 2.14 -14.63

France (France, euro) 2,242.8 2,236.0 2,162.0 2,071.0 1,706 -23.93 -17.62



Ireland (Ireland, euro) 161.9 186.0 189.2 220.1 - - -

Latvia (Latvian lat) 7.0 7.5 7.7 7.1 4.8 -31.43 -32.39

Lithuania (Lithuania, litas) 24.8 30.4 33.7 49.9 38.2 54.03 -23.45

Luxembourg (Luxembourg, euro) 9.4 5.4 - 5.7 5.9 -37.23 3.51


Sweden (Swedish krona) 250.0 490.0 504.0 481.0 390.0 56.00 -18.92

Ukraine (Ukraine, hryvnia) 56.8 - - - 200.6 253.17 -

United Kingdom (British pound) 616.0 586.0 589.9 481.4 351.5 -42.94 -26.98

PAID-FOR NON-DAILIES: ADVERTISING REVENUES (national currencies, millions, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria 13.38 14.33 14.97 17.91 14.33 7.10 -19.99

Estonia 8.34 10.77 15.55 14.85 8.86 6.24 -40.34

Finland 70.00 72.50 91.78 98.53 79.44 13.49 -19.37

France 2,803.50 2,795.00 2,961.64 3,045.59 2,369.44 -15.48 -22.20

Germany 316.00 325.25 369.45 390.74 - - -

Iceland 4.19 6.06 2.72 1.76 - - -

Ireland 202.38 232.50 259.18 323.68 - - -

Latvia 12.50 13.39 15.10 14.49 9.41 -24.72 -35.06

Lithuania 8.99 11.05 13.32 20.97 15.34 70.63 -26.85

Luxembourg 11.75 6.75 - 8.38 8.19 -30.30 -2.27

Netherlands, The 8.75 10.00 12.33 11.76 8.33 -4.80 -29.17

Sweden 33.47 66.4 74.56 72.99 50.98 52.32 -30.15

Ukraine 11.01 - - - 24.64 123.80 -

United Kingdom 1,120.00 1,085.19 1,179.80 891.48 549.22 -50.96 -38.39

PAID-FOR NON-DAILIES: ADVERTISING REVENUES (national currencies, millions, current prices)


NON-DAILIES

PAID-FOR NON-DAILIES: ADVERTISING REVENUES (USD, million, current prices)(using most recent available figures)

PAID-FOR NON-DAILIES: CHANGE IN ADVERTISING REVENUES (current prices), 2009/08 (%)



NON-DAILIES

FREE NON-DAILIES: NUMBER OF TITLESChange (%) No.titles Adult No. titles/adult


Austria 103 95 127 125 136 32.04 8.80 136 7,094 19.2

Bulgaria - - - 23 25 - 8.70 25 6,538 3.8

Croatia 75 - - - - - - 75 3,678 20.4

Czech Republic 252 250 247 268 268 6.35 0.00 268 8,987 29.8

Denmark 285 266 279 273 269 -5.61 -1.47 269 4,503 59.7

Estonia 2 2 2 2 4 100.00 100.00 4 1,140 3.5

Faroe Islands 1 1 2 2 2 100.00 0.00 2 39 51.3

Finland - - - - 45 - - 45 4,435 10.2

Germany 1,306 1,350 1,374 1,393 1,414 8.27 1.51 1,414 70,854 20.0

Gibraltar 1 1 1 1 1 0.00 0.00 1 24 41.7

Hungary - - - 3 - - - 3 9,849 0.3

Iceland 11 11 12 11 9 -18.18 -18.18 9 251 35.9

Ireland 40 40 57 57 57 42.50 0.00 57 3,526 16.2

Latvia 7 8 6 6 14 100.00 133.33 14 1,951 7.2

Luxembourg 7 6 - 2 2 -71.43 0.00 2 401 5.0

Man, Isle of 1 1 1 1 1 0.00 0.00 1 63 15.9

Norway - 26 - - - - - 26 3,776 6.9

Poland 5 2 2 2 2 -60.00 0.00 2 32,315 0.1

Portugal 9 3 6 6 6 -33.33 0.00 6 8,961 0.7

Romania - - - - 34 - - 34 18,761 1.8

Russia 298 430 510 580 620 108.05 6.90 620 120,812 5.1

Slovenia 56 60 64 68 70 25.00 2.94 70 1,756 39.9

Sweden 43 54 54 55 55 27.91 0.00 55 7,591 7.3

Ukraine - 12 - 141 89 - -36.88 89 39,395 2.3

United Kingdom 645 652 643 624 588 -8.84 -5.77 588 49,206 12.0



NON-DAILIES

FREE NON-DAILIES: NUMBER OF TITLES(using most recent available figures)

FREE NON-DAILIES: NUMBER OF TITLES / ADULT POPULATION(titles per million)



NON-DAILIES

FREE NON-DAILIES: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/


Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Croatia - - 600 600 - - - 600 3,783 158.6

Czech Republic 11,225 9,700 10,230 10,804 11,529 2.71 6.71 11,529 8,987 1,282.9

Denmark 8,400 9,039 9,540 8,700 8,151 -2.96 -6.31 8,151 4,503 1,810.1

Estonia 37 42 36 34 96 159.46 182.35 96 1,140 84.2

Faroe Islands 20 19 26 26 26 30.00 0.00 26 39 666.7

Germany 85,600 86,400 88,600 90,000 91,900 7.36 2.11 91,900 70,854 1,297.0

Hungary - - - 935 - - - 935 9,849 94.9

Iceland 52 57 59 45 - - - 45 241 186.7

Ireland 250 250 1,027 1,027 1,017 306.80 -0.97 1,017 3,526 288.4

Latvia 402 412 533 700 - - - 700 1,959 357.4

Luxembourg 257 172 170 165 165 -35.80 0.00 165 401 411.5

Norway - 916 - - - - - 916 3,776 242.6

Poland 1,319 519 428 325 346 -73.77 6.46 346 32,315 10.7

Romania - - - - 3,612 - - 3,612 18,761 192.5

Slovenia 600 600 800 950 - - - 950 1,748 543.5

Sweden 1,603 1,908 2,091 1,986 1,636 2.06 -17.62 1,636 7,591 215.5

Ukraine - 4,591 - - - - - 4,591 40,271 114.0

United Kingdom 24,730 23,562 22,326 21,428 16,157 -34.67 -24.60 16,157 49,206 328.4



NON-DAILIES

FREE NON-DAILIES: TOTAL AVERAGE CIRCULATION (000)(using most recent available figures)

FREE NON-DAILIES: TOTAL AVERAGE CIRCULATION / ADULT POPULATION(copies per thousand)(using most recent available figures)


NON-DAILIES

FREE NON-DAILIES: ADVERTISING REVENUES (national currencies, millions, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Estonia (Estonian kroon) 17.4 - 7.5 8.0 16.0 -8.05 100.00

Finland (Finland, euro) 68.0 69.0 68.0 - 67.6 -0.59 -

Hungary (Hungary, forint) - - - 3,500 - - -


Latvia (Latvian lat) - 0.2 - - - - -

Luxembourg (Luxembourg, euro) 4.6 4.3 - 4.0 3.6 -21.74 -10.00

Ukraine (Ukraine, hryvnia) - - - - 1.5 - -

United Kingdom (British pound) 1,178.0 1,097.0 1,084.5 938.4 706.2 -40.05 -24.74

FREE NON-DAILIES: ADVERTISING REVENUES (USD, million, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Estonia 1.38 - 0.66 0.75 1.42 2.90 89.33

Finland 85.00 86.25 93.15 - 93.89 10.46 -

Hungary - - - 20.27 - - -

Iceland 2.94 3.12 5.26 2.58 - - -

Latvia - 0.36 - - - - -

Luxembourg 5.75 5.37 - 5.88 5.00 -13.04 -14.97

Ukraine - - - - 0.18 - -

United Kingdom 2,141.82 2,031.48 2,169.00 1,737.78 1,103.44 -48.48 -36.50


NON-DAILIES

PAID-FOR AND FREE NON-DAILIES: NUMBER OF TITLESChange (%) No.titles Adult No. titles/adult


Albania 80 81 81 82 82 2.50 0.00 82 2,799 29.3

Austria 213 210 247 243 223 4.69 -8.23 223 7,094 31.4

Belgium - - 2 2 2 - 0.00 2 8,786 0.2

Bosnia and Herzegovina - - 46 46 100 - 117.39 100 3,945 25.4

Bulgaria 363 383 384 381 384 5.79 0.79 384 6,538 58.7

Croatia 207 - - - - - - 207 3,678 56.3

Czech Republic 486 482 475 491 477 -1.85 -2.85 477 8,987 53.1

Denmark 286 267 280 274 270 -5.59 -1.46 270 4,503 60.0

Estonia 29 29 30 28 31 6.90 10.71 31 1,140 27.2

Faroe Islands 3 4 4 4 4 33.33 0.00 4 39 102.6

Finland 148 147 145 144 188 27.03 30.56 188 4,435 42.4

Germany 1,333 1,378 1,402 1,421 1,441 8.10 1.41 1,441 70,854 20.3

Gibraltar 5 5 5 5 5 0.00 0.00 5 24 208.3

Greece 15 16 15 13 13 -13.33 0.00 13 9,508 1.4

Hungary - - - 3 - - - 3 9,849 0.3

Iceland 23 24 24 21 20 -13.04 -4.76 20 251 79.7

Ireland 151 151 151 151 151 0.00 0.00 151 3,526 42.8

Italy - 5 - - - - - 5 48,043 0.1

Latvia 71 89 104 104 88 23.94 -15.38 88 1,951 45.1

Lithuania - - 304 302 275 - -8.94 275 2,845 96.7

Luxembourg 16 15 - 14 14 -12.50 0.00 14 401 34.9

Malta 6 7 7 7 7 16.67 0.00 7 339 20.7

Man, Isle of 3 3 3 3 3 0.00 0.00 3 63 47.6

Moldova 120 - - - - - - 120 3,553 33.8

Monaco 2 2 2 2 2 0.00 0.00 2 28 71.4

Montenegro 20 20 42 42 44 120.00 4.76 44 565 77.9

Norway 86 168 151 151 154 79.07 1.99 154 3,829 40.2

Poland 20 20 20 20 21 5.00 5.00 21 32,315 0.7

Portugal 27 32 39 35 35 29.63 0.00 35 8,961 3.9

Romania 17 - - - 75 341.18 - 75 18,761 4.0

Russia 25,984 26,542 26,610 27,510 28,011 7.80 1.82 28,011 120,812 231.9

Serbia - - - 111 409 - 268.47 409 6,260 65.3

Slovenia 234 240 248 253 230 -1.71 -9.09 230 1,756 131.0

Sweden 121 133 135 137 137 13.22 0.00 137 7,591 18.1

Switzerland 111 109 105 101 103 -7.21 1.98 103 6,602 15.6

Ukraine 212 112 - 2,591 2,385 1,025.00 -7.95 2,385 39,395 60.5

United Kingdom 1,176 1,180 1,165 1,145 1,109 -5.70 -3.14 1,109 49,206 22.5



NON-DAILIES

PAID-FOR AND FREE NON-DAILIES: NUMBER OF TITLES(using most recent available figures)


NON-DAILIES

PAID-FOR AND FREE NON-DAILIES: NUMBER OF TITLES / ADULT POPULATION(titles per million)



NON-DAILIES

PAID-FOR AND FREE NON-DAILIES: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/


Country 2005 2006 2007 2008 2009 2009/05 2009/05 2009* 2009*

Bulgaria 3,063 3,135 3,420 3,831 3,900 27.33 1.80 3,900 6,538 596.5

Croatia - - 600 600 - - - 600 3,783 158.6

Czech Republic 13,420 11,400 11,860 12,434 13,218 -1.51 6.31 13,218 8,987 1,470.8

Denmark 8,461 9,098 9,601 8,761 8,204 -3.04 -6.36 8,204 4,503 1,821.9

Estonia 246 250 275 248 309 25.61 24.60 309 1,140 271.1

Faroe Islands 26 30 32 32 32 23.08 0.00 32 39 820.5

Finland 934 923 914 933 909 -2.68 -2.57 909 4,435 205.0

Germany 87,642 88,455 90,583 91,982 93,812 7.04 1.99 93,812 70,854 1,324.0

Greece 367 325 281 233 230 -37.33 -1.29 230 9,508 24.2

Hungary - - - 935 - - - 935 9,849 94.9

Iceland 75 87 86 58 - - - 58 241 240.7

Ireland 1,147 1,147 2,079 2,080 2,071 80.56 -0.43 2,071 3,526 587.3

Latvia 940 1,141 1,818 1,762 - - - 1,762 1,959 899.6

Luxembourg 337 259 257 253 252 -25.22 -0.40 252 401 628.4

Moldova 890 950 1,000 - - - - 1,000 2,931 341.2

Norway 444 1,506 623 - 621 39.86 - 621 3,829 162.2

Poland 1,599 817 708 580 681 -57.41 17.41 681 32,315 21.1

Romania 240 233 216 198 4,334 1,705.83 2,088.89 4,334 18,761 231.0

Slovenia 600 600 800 950 - - - 950 1,748 543.5

Sweden 1,998 2,309 2,494 2,375 2,035 1.85 -14.32 2,035 7,591 268.1

Switzerland 517 490 517 445 438 -15.28 -1.57 438 6,602 66.3

Ukraine 3,280 11,528 - - - - - 11,528 40,271 286.3

United Kingdom 30,910 29,450 28,084 27,100 21,346 -30.94 -21.23 21,346 49,206 433.8



NON-DAILIES

PAID-FOR AND FREE NON-DAILIES: TOTAL AVERAGE CIRCULATION (000)(using most recent available figures)

PAID-FOR AND FREE NON-DAILIES: TOTAL AVERAGE CIRCULATION (000) / ADULTPOPULATION (copies per thousand)



NON-DAILIES

PAID-FOR AND FREE NON-DAILIES: ADVERTISING REVENUES (national currencies, millions, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria (Bulgaria, lev) 21.0 22.5 21.4 24.0 20.2 -3.81 -15.83


Finland (Finland, euro) 124.0 127.0 135.0 67.0 124.8 0.65 86.27

France (France, euro) 2,242.8 2,236.0 2,162.0 2,071.0 1,706.0 -23.93 -17.62


Hungary (Hungary, forint) - - - 3,500 - - -


Ireland (Ireland, euro) 161.9 186.0 189.2 220.1 - - -

Latvia (Latvian lat) 7.0 7.7 7.7 7.1 4.8 -31.43 -32.39

Lithuania (Lithuania, litas) 24.8 30.4 33.7 49.9 38.2 54.03 -23.45

Luxembourg (Luxembourg, euro) 14.0 9.7 - 9.7 9.5 -32.14 -2.06


Sweden (Swedish krona) 250.0 490.0 504.0 481.0 390.0 56.00 -18.92

Ukraine (Ukraine, hryvnia) 56.8 - - - 202.1 255.81 -

United Kingdom (British pound) 1,794.0 1,683.0 1,674.4 1,419.8 1,057.7 -41.04 -25.50

PAID-FOR AND FREE NON-DAILIES: ADVERTISING REVENUES (USD, million, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria 13.38 14.33 14.97 17.91 14.33 7.10 -19.99

Estonia 9.72 10.77 16.20 15.59 10.27 5.66 -34.12

Finland 155.00 158.75 184.93 98.53 173.33 11.83 75.92

France 2,803.50 2,795.00 2,961.64 3,045.59 2,369.44 -15.48 -22.20

Germany 316.00 325.25 369.45 390.74 - - -

Hungary - - - 20.27 - - -

Iceland 7.13 9.18 7.99 4.35 - - -

Ireland 202.38 232.50 259.18 323.68 - - -

Latvia 12.50 13.75 15.10 14.49 9.41 -24.72 -35.06

Lithuania 8.99 11.05 13.32 20.97 15.34 70.63 -26.85

Luxembourg 17.5 12.12 - 14.26 13.19 -24.63 -7.50

Netherlands, The 8.75 10.00 12.33 11.76 8.33 -4.80 -29.17

Sweden 33.47 66.40 74.56 72.99 50.98 52.32 -30.15

Ukraine 11.01 - - - 24.83 125.52 -

United Kingdom 3,261.82 3,116.67 3,348.80 2,629.26 1,652.66 -49.33 -37.14


NON-DAILIES

PAID-FOR AND FREE NON-DAILIES: ADVERTISING REVENUES (USD, million, current prices)


PAID-FOR AND FREE NON-DAILIES: CHANGES IN ADVERTISING REVENUES (current prices), 2009/08 (%)



NON-DAILIES

NUMBER OF NON-DAILY NEWSPAPER WEBSITES (ONLINE EDITIONS)Change (%)

Country 2005 2006 2007 2008 2009 2009/05 2009/08

Belgium - - 2 2 2 - 0.00

Bulgaria 20 25 25 25 - - -

Croatia 2 - - - - - -

Czech Republic 30 35 50 50 50 66.67 0.00

Denmark 1 1 1 1 1 0.00 0.00

Estonia 29 30 39 28 26 -10.34 -7.14

Finland 88 100 112 120 119 35.23 -0.83

Germany - - - 13 13 - 0.00

Hungary - - - 3 - - -

Iceland 18 19 21 21 19 5.56 -9.52

Latvia 25 38 72 66 - - -

Luxembourg 6 6 - 6 8 33.33 33.33

Norway 60 - 130 135 - - -

Poland 11 16 20 20 21 90.91 5.00

Portugal 67 22 32 21 - - -

Russia 4,521 7,140 10,050 17,950 25,689 468.21 43.11

Spain 43 - - - - - -

Sweden 47 103 103 103 103 119.15 0.00

Switzerland 6 7 10 9 12 100.00 33.33

Ukraine 1,000 - - - 46 -95.40 -


PAID-FOR SUNDAYS: NUMBER OF TITLESChange (%) No.titles Adult No. titles/adult


Belgium - - 3 3 3 - 0.00 3 8,786 0.3

Czech Republic 4 3 3 3 3 -25.00 0.00 3 8,987 0.3

France 33 34 37 42 45 36.36 7.14 45 50,429 0.9

Germany 6 6 7 6 6 0.00 0.00 6 70,854 0.1

Greece 4 4 5 6 6 50.00 0.00 6 9,508 0.6

Hungary 6 3 3 4 4 -33.33 0.00 4 9,915 0.4

Ireland 10 10 9 9 9 -10.00 0.00 9 3,526 2.6

Malta 6 6 6 6 6 0.00 0.00 6 339 17.7

Netherlands, The 2 2 2 2 1 -50.00 -50.00 1 13,562 0.1

Romania 4 5 7 8 9 125.00 12.50 9 18,761 0.5

Slovakia 1 1 1 1 1 0.00 0.00 1 4,600 0.2

Slovenia 2 2 2 2 2 0.00 0.00 2 1,756 1.1

Switzerland 4 7 13 15 15 275.00 0.00 15 6,602 2.3

United Kingdom 25 23 22 22 22 -12.00 0.00 22 49,206 0.5


PAID-FOR SUNDAYS: NUMBER OF TITLES(using most recent available figures)

PAID-FOR SUNDAYS: NUMBER OF TITLES / ADULT POPULATION (titles per million)


SUNDAYS


SUNDAYS

PAID-FOR SUNDAYS: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/


Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Czech Republic 531 476 441 417 386 -27.31 -7.43 386 8,987 43.0

France 4,308 4,282 4,308 4,339 4,532 5.20 4.45 4,532 50,429 89.9

Germany 3,868 3,830 3,677 3,521 3,477 -10.11 -1.25 3,477 70,854 49.1

Greece 227 236 244 297 290 27.75 -2.36 290 9,508 30.5

Hungary 440 430 400 457 438 -0.45 -4.16 438 9,915 44.2

Ireland 1,238 1,220 1,187 1,150 1,115 -9.94 -3.04 1,115 3,526 316.2

Netherlands, The 737 723 723 732 639 -13.30 -12.70 639 13,562 47.1

Romania 297 360 387 374 401 35.02 7.22 401 18,761 21.4

Slovakia 60 65 65 63 56 -6.67 -11.11 56 4,600 12.2

Slovenia 213 213 166 147 - - - 147 1,748 84.1

Switzerland 813 869 1,007 1,182 1,106 36.04 -6.43 1,106 6,602 167.5

United Kingdom 14,363 13,528 12,868 12,183 11,465 -20.18 -5.89 11,465 49,206 233.0


PAID-FOR SUNDAYS: TOTAL AVERAGE CIRCULATION (000)(using most recent available figures)

PAID-FOR SUNDAYS: TOTAL AVERAGE CIRCULATION / ADULT POPULATION (copies per thousand)



SUNDAYS

PAID-FOR SUNDAYS: ANNUAL COPY SALES (millions of copies)(using most recent available figures)

PAID-FOR SUNDAYS: CHANGE IN ANNUAL COPY SALES (number of copies), 2009/08 (%)

PAID-FOR SUNDAYS: ANNUAL COPY SALES (millions of copies)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Czech Republic 27 25 23 21 20 -25.93 -4.76

France 218 223 223 224 224 2.75 0.00

Greece 10 12.7 13 12 - - -

Hungary 33 22 20 22.9 22.3 -32.42 -2.62

Ireland - 63.4 61.7 59.8 57.9 - -3.18

Netherlands, The 35.8 37.6 37.6 38 33.2 -7.26 -12.63

Switzerland 42 45 52 61 57 35.71 -6.56

United Kingdom 719 678 643 609 - - -


SUNDAYS

PAID-FOR SUNDAYS: SALES REVENUES (national currencies, millions, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Czech Republic (Czech koruna) 323 221 256 235 232 -28.17 -1.28

Greece (Greece, euro) 180 - - - - - -

Hungary (Hungary, forint) - 1,993 2,000 2,342 2,165 - -7.56

Ireland (Ireland, euro) 119 118 126 119 126 5.44 5.80

United Kingdom (British pound) 753 753 771 777 - - -

PAID-FOR SUNDAYS: SALES REVENUES (USD, million, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Czech Republic 13.46 9.77 12.59 13.74 12.15 -9.73 -11.57

Greece 225 - - - - - -

Hungary - 9.45 10.87 13.56 10.70 - -21.09

Ireland 149.25 147.50 172.60 175.00 174.86 17.16 -0.08

United Kingdom 1,369.64 1,394.63 1,542.60 1,438.89 - - -

PAID-FOR SUNDAYS: ADVERTISING REVENUES (national currencies, millions, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Czech Republic (Czech koruna) 181 174 188 182 227 25.41 24.73


Hungary (Hungary, forint) 1,073 1,700 1,393 1,507 1,347 25.54 -10.62


United Kingdom (British pound) 365 350 343 307 244 -33.26 -20.70

PAID-FOR SUNDAYS: ADVERTISING REVENUES (USD, million, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Czech Republic 7.54 7.69 9.25 10.64 11.89 57.69 11.75

Greece 20.00 33.75 50.68 51.47 - - -

Hungary 5.37 8.06 7.57 8.73 6.66 24.02 -23.71

Ireland 244.13 273.25 318.08 362.65 - - -

United Kingdom 663.64 648.15 686.00 568.89 380.63 -42.65 -33.09


SUNDAYS

FREE SUNDAYS: NUMBER OF TITLESChange (%) No.titles Adult No. titles/adult


Belgium 1 2 2 2 2 100.00 0.00 2 8,786 0.2

Germany 201 239 238 255 258 28.36 1.18 258 70,854 3.6

Greece - - - 1 1 - 0.00 1 9,508 0.1

United Kingdom 9 8 8 6 7 -22.22 16.67 7 49,206 0.1


FREE SUNDAYS: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/


Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Belgium 535 715 766 783 774 44.67 -1.15 774 8,786 88.1

Germany 19,000 19,500 19,500 20,000 20,100 5.79 0.50 20,100 70,854 283.7

United Kingdom 390 432 302 187 533 36.67 185.03 533 49,206 10.8



SUNDAYS

PAID-FOR AND FREE SUNDAYS: NUMBER OF TITLESChange (%) No.titles Adult No. titles/adult


Belgium 1 2 5 5 5 400.00 0.00 5 8,786 0.6

Czech Republic 4 3 3 3 3 -25.00 0.00 3 8,987 0.3

France 33 34 37 42 45 36.36 7.14 45 50,429 0.9

Germany 207 245 245 261 264 27.54 1.15 264 70,854 3.7

Greece 4 4 5 7 7 75.00 0.00 7 9,508 0.7

Hungary 6 3 3 4 4 -33.33 0.00 4 9,915 0.4

Ireland 10 10 9 9 9 -10.00 0.00 9 3,526 2.6

Malta 6 6 6 6 6 0.00 0.00 6 339 17.7

Netherlands, The 2 2 2 2 1 -50.00 -50.00 1 13,562 0.1

Romania 4 5 7 8 9 125.00 12.50 9 18,761 0.5

Slovakia 1 1 1 1 1 0.00 0.00 1 4,600 0.2

Slovenia 2 2 2 2 2 0.00 0.00 2 1,756 1.1

Switzerland 4 7 13 15 15 275.00 0.00 15 6,602 2.3

United Kingdom 34 31 30 28 29 -14.71 3.57 29 49,206 0.6


PAID-FOR AND FREE SUNDAYS: NUMBER OF TITLES(using most recent available figures)

PAID-FOR AND FREE SUNDAYS: NUMBER OF TITLES / ADULT POPULATION (titles per million)



SUNDAYS

PAID-FOR AND FREE SUNDAYS: TOTAL AVERAGE CIRCULATION (000)Change (%) Average Adult Average circulation/


Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Belgium 535 715 766 783 774 44.67 -1.15 774 8,786 88.1

Czech Republic 531 476 441 417 386 -27.31 -7.43 386 8,987 43.0

France 4,308 4,282 4,308 4,339 4,532 5.20 4.45 4,532 50,429 89.9

Germany 22,868 23,330 23,177 23,521 23,577 3.10 0.24 23,577 70,854 332.8

Greece 227 236 244 297 290 27.75 -2.36 290 9,508 30.5

Hungary 440 430 400 457 438 -0.45 -4.16 438 9,915 44.2

Ireland 1,238 1,220 1,187 1,150 1,115 -9.94 -3.04 1,115 3,526 316.2

Netherlands, The 737 723 723 732 639 -13.30 -12.70 639 13,562 47.1

Romania 297 360 387 374 401 35.02 7.22 401 18,761 21.4

Slovakia 60 65 65 63 56 -6.67 -11.11 56 4,600 12.2

Slovenia 213 213 166 147 - - - 147 1,748 84.1

Switzerland 813 869 1,007 1,182 1,106 36.04 -6.43 1,106 6,602 167.5

United Kingdom 14,753 13,960 13,170 12,370 11,998 -18.67 -3.01 11,998 49,206 243.8


PAID-FOR AND FREE SUNDAYS: TOTAL AVERAGE CIRCULATION (000)(using most recent available figures)

PAID-FOR AND FREE SUNDAYS: TOTAL AVERAGE CIRCULATION / ADULT POPULATION (copies per thousand)



SUNDAYS

PAID-FOR AND FREE SUNDAYS: ANNUAL COPY SALES (millions of copies)(using most recent available figures)

PAID-FOR AND FREE SUNDAYS: CHANGE IN ANNUAL COPY SALES (number of copies), 2009/08 (%)

PAID-FOR AND FREE SUNDAYS: ANNUAL COPY SALES (millions of copies)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Belgium 26 26 30 38 40 53.85 5.26

Czech Republic 27 25 23 21 20 -25.93 -4.76

France 218 223 223 224 224 2.75 0.00

Greece 10 13 13 12 - - -

Hungary 33 22 20 23 22 -32.42 -2.62

Ireland - 63 62 60 58 - -3.18

Netherlands, The 36 38 38 38 33 -7.26 -12.63

Switzerland 42 45 52 61 57 35.71 -6.56

United Kingdom 719 678 643 609 - - -


SUNDAYS

PAID-FOR AND FREE SUNDAYS: ADVERTISING REVENUES (national currencies, millions, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Czech Republic (Czech koruna) 181 174 188 182 227 25.41 24.73


Hungary (Hungary, forint) 1,073 1,700 1,393 1,507 1,347 25.54 -10.62


United Kingdom (British pound) 365 350 343 307 244 -33.26 -20.70

PAID-FOR AND FREE SUNDAYS: ADVERTISING REVENUES (USD, million, current prices)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Czech Republic 7.54 7.69 9.25 10.64 11.89 57.69 11.75

Greece 20.00 33.75 50.68 58.82 - - -

Hungary 5.37 8.06 7.57 8.73 6.66 24.02 -23.71

Ireland 244.13 273.25 318.08 362.65 - - -

United Kingdom 663.64 648.15 686.00 568.89 380.63 -42.65 -33.09

NUMBER OF SUNDAY NEWSPAPER WEBSITES (ONLINE EDITIONS)Change (%)

Country 2005 2006 2007 2008 2009 2009/05 2009/08

Czech Republic 3 2 2 2 3 0.00 50.00

Hungary 2 2 2 2 1 -50.00 -50.00

Ireland 2 2 2 - - - -

Macedonia 1 - - - - - -

Netherlands, The 2 - - - - - -

Poland - 1 1 - - - -

Slovenia 2 - - - - - -

Switzerland 1 1 1 1 1 0.00 0.00


NUMBER OF INTERNET USERS (000)Change (%) No. Internet Adult No. Internet

users population users/adult(000) (000) population (000)

Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Albania 188.0 300.0 471.2 750.0 1,300.0 591.49 73.33 1,300.0 2,799 464.5

Andorra 30.0 40.0 59.0 59.1 67.2 124.00 13.71 67.2 71 943.7

Austria 4,771.4 5,261.0 5,762.6 6,075.4 6,143.6 28.76 1.12 6,143.6 7,094 866.1

Belarus 2,600.0 2,700.0 2,809.8 3,106.9 4,436.8 70.65 42.80 4,436.8 15,123 293.4

Belgium 6,229.3 6,720.6 7,294.7 7,545.6 8,113.2 30.24 7.52 8,113.2 8,786 923.4

Bosnia and Herzegovina 806.4 950.0 1,055.0 1,307.6 1,421.5 76.28 8.71 1,421.5 3,945 360.5

Bulgaria 1,545.2 2,083.2 2,570.4 3,012.0 3,395.0 119.71 12.72 3,395.0 6,538 519.3

Croatia 1,472.4 1,684.6 1,835.3 1,956.5 2,233.7 51.70 14.17 2,233.7 3,791 589.3

Cyprus 274.3 302.8 348.1 364.9 433.8 58.15 18.88 433.8 644 673.9

Czech Republic 3,595.7 4,900.7 5,332.3 6,498.1 6,680.8 85.80 2.81 6,680.8 8,987 743.4

Denmark 4,482.1 4,706.3 4,630.0 4,640.6 4,750.5 5.99 2.37 4,750.5 4,503 1,055.1

Estonia 827.6 854.0 888.8 946.8 969.7 17.17 2.42 969.7 1,140 850.9

Faroe Islands 33.0 34.0 37.5 37.5 37.5 13.64 0.00 37.5 39 974.4

Finland 3,906.0 4,192.5 4,267.8 4,438.2 4,480.9 14.72 0.96 4,480.9 4,435 1,010.4

France 26,156.4 28,765.7 40,786.8 43,847.0 44,625.3 70.61 1.78 44,625.3 50,429 884.9

Germany 56,623.0 59,454.6 61,888.7 64,092.1 65,124.0 15.01 1.61 65,124.0 70,854 919.1

Gibraltar 12.0 14.0 16.0 18.0 20.2 68.33 12.22 20.2 24 833.3

Greece 2,709.5 3,575.5 3,986.9 4,587.3 4,970.7 83.45 8.36 4,970.7 9,508 522.8

Hungary 3,927.2 4,731.4 5,347.3 6,111.5 6,176.4 57.27 1.06 6,176.4 9,915 622.9

Iceland 258.2 269.8 279.2 287.2 301.6 16.81 5.01 301.6 251 1,203.2

Ireland 1,742.3 2,341.4 2,636.9 2,899.1 3,042.6 74.63 4.95 3,042.6 3,526 863.0

Italy 20,736.8 22,407.2 24,190.4 26,541.5 29,235.9 40.99 10.15 29,235.9 51,617 566.4

Latvia 1,060.3 1,222.7 1,342.5 1,432.3 1,503.4 41.79 4.96 1,503.4 1,951 770.4

Liechtenstein 22.0 22.5 23.0 23.0 23.0 4.55 0.00 23.0 29 793.1

Lithuania 882.9 1,487.6 1,674.7 1,833.8 1,963.9 122.44 7.09 1,963.9 2,845 690.3

Luxembourg 326.8 340.4 374.9 395.2 424.5 29.90 7.41 424.5 401 1,059.9

Macedonia 538.3 583.2 740.5 939.8 1,057.4 96.43 12.51 1,057.4 1,670 632.9

Malta 166.0 163.5 190.5 204.1 240.6 44.94 17.88 240.6 339 710.9

Moldova 550.0 727.7 750.0 850.0 1,295.0 135.45 52.35 1,295.0 3,632 356.6

Monaco 18.0 20.0 21.0 22.0 23.0 27.78 4.55 23.0 28 821.4

Montenegro 180.0 200.0 230.0 255.0 280.0 55.56 9.80 280.0 565 495.6

Netherlands, The 13,182.0 13,539.2 14,125.8 14,448.5 14,872.2 12.82 2.93 14,872.2 13,562 1,096.6

Norway 3,800.6 3,860.1 4,103.4 4,317.1 4,431.1 16.59 2.64 4,431.1 3,829 1,157.2

Poland 14,824.8 17,012.9 18,532.2 20,244.7 22,450.6 51.44 10.90 22,450.6 32,315 694.8

Portugal 3,690.3 4,028.2 4,478.8 4,711.8 5,168.8 40.06 9.70 5,168.8 8,961 576.8

Romania 3,582.7 5,312.0 6,070.4 6,925.3 7,786.7 117.34 12.44 7,786.7 18,761 415.1

Russia 21,800.0 25,688.6 59,262.9 68,515.9 88,068.0 303.98 28.54 88,068.0 120,812 729.0

San Marino 15.2 15.4 15.6 17.0 17.0 11.84 0.00 17.0 25 680.0

Serbia 2,592.1 2,911.2 3,259.1 3,660.3 4,107.0 58.44 12.20 4,107.0 6,260 656.1

Slovakia 2,972.5 3,022.4 3,333.6 3,850.6 4,063.6 36.71 5.53 4,063.6 4,600 883.5

Slovenia 1,002.4 1,083.1 1,140.5 1,162.3 1,298.5 29.54 11.72 1,298.5 1,756 739.8

Spain 20,617.3 21,950.8 24,276.7 26,509.4 28,117.6 36.38 6.07 28,117.6 39,463 712.5

Sweden 7,691.1 7,997.5 7,511.4 8,203.1 8,397.9 9.19 2.37 8,397.9 7,591 1,106.3

Switzerland 5,076.6 5,300.7 5,020.7 5,267.1 5,480.0 7.95 4.04 5,480.0 6,602 830.0

Ukraine 1,760.0 2,100.0 6,400.0 10,400.0 15,300.0 769.32 47.12 15,300.0 39,395 388.4

United Kingdom 41,929.3 41,687.4 45,729.2 47,998.9 51,442.1 22.69 7.17 51,442.1 49,206 1,045.4





NUMBER OF INTERNET USERS (000)(using most recent available figures)



NUMBER OF INTERNET USERS / ADULT POPULATION (users per 000)(using most recent available figures)



NUMBER OF INTERNET SUBSCRIBERS (000)Change (%) No. Internet Adult No. Internet

subscribers population subscribers/adult(000) (000) population (000)

Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Albania 20.0 20.0 40.0 84.0 105.0 425.00 25.00 105.0 2,799 37.5

Andorra 17.0 17.0 27.2 29.3 32.0 88.24 9.22 32.0 71 450.7

Austria 1,771.6 2,380.0 2,521.0 2,047.0 2,142.0 20.91 4.64 2,142.0 7,094 302.0

Belarus 37.6 407.4 1,757.6 1,597.9 1,630.5 4,236.44 2.04 1,630.5 15,123 107.9

Belgium 2,283.4 2,559.0 2,861.7 3,055.7 3,205.1 40.37 4.89 3,205.1 8,786 364.8

Bosnia and Herzegovina 181.3 237.9 273.7 336.2 399.3 120.24 18.77 399.3 3,945 101.1

Bulgaria 206.9 466.8 647.6 853.0 853.0 312.28 0.00 853.0 6,538 130.5

Croatia 953.8 1,069.7 1,177.3 1,360.6 1,498.3 57.09 10.12 1,498.3 3,791 395.2

Cyprus 91.0 105.8 130.6 159.6 190.9 109.78 19.61 190.9 644 296.6

Czech Republic 1,400.0 1,407.9 1,409.0 1,794.1 2,020.0 44.29 12.59 2,020.0 8,987 224.8

Denmark 1,808.8 1,899.8 2,101.4 2,134.0 2,162.0 19.53 1.31 2,162.0 4,503 480.1

Estonia 197.0 258.7 284.2 324.5 342.9 74.06 5.67 342.9 1,140 300.9

Faroe Islands 11.9 13.1 14.5 15.4 16.0 34.45 3.90 16.0 39 410.3

Finland 1,400.0 1,400.0 1,400.0 1,400.0 1,400.0 0.00 0.00 1,400.0 4,435 315.7

France 13,217.0 15,252.0 17,058.0 18,700.0 20,338.0 53.88 8.76 20,338.0 50,429 403.3

Germany 20,000.0 20,000.0 20,000.0 20,000.0 20,000.0 0.00 0.00 20,000.0 70,854 282.3

Gibraltar 4.8 4.8 4.8 4.8 10.5 118.75 118.75 10.5 24 458.3

Greece 882.2 654.8 1,261.7 1,744.1 1,980.0 124.44 13.53 1,980.0 9,508 208.3

Hungary 976.8 1,292.1 1,444.8 1,705.9 1,902.5 94.77 11.52 1,902.5 9,915 191.9

Iceland 87.1 98.3 106.0 110.6 112.8 29.51 1.99 112.8 251 450.2

Ireland 925.5 1,036.8 1,085.6 1,128.8 1,104.1 19.30 -2.19 1,104.1 3,526 313.1

Italy 17,700.0 11,778.4 12,199.1 20,500.0 20,500.0 15.82 0.00 20,500.0 51,617 397.2

Latvia 73.1 116.1 145.9 145.9 145.9 99.59 0.00 145.9 1,951 74.8

Liechtenstein 15.7 15.8 16.7 16.7 16.7 6.37 0.00 16.7 29 586.2

Lithuania 257.4 380.1 513.4 593.9 636.0 147.09 7.09 636.0 2,845 223.6

Luxembourg 119.0 130.5 138.7 156.1 156.1 31.18 0.00 156.1 401 389.0

Macedonia 107.8 130.1 273.6 288.4 290.0 169.02 0.55 290.0 1,670 173.7

Malta 88.8 95.2 100.0 102.9 111.4 25.45 8.26 111.4 339 327.4

Moldova 61.1 93.7 110.2 155.8 203.5 233.06 30.62 203.5 3,632 56.2

Monaco 9.8 11.2 12.5 12.5 12.5 27.55 0.00 12.5 28 464.3

Montenegro 81.0 88.7 88.7 88.7 88.7 9.51 0.00 88.7 565 157.5

Netherlands, The 5,600.0 5,970.0 5,618.0 5,618.0 5,618.0 0.32 0.00 5,618.0 13,562 414.3

Norway 1,420.8 1,512.4 1,602.0 1,710.0 1,710.0 20.35 0.00 1,710.0 3,829 446.6

Poland 2,686.4 3,244.2 4,091.0 4,819.9 5,575.9 107.56 15.68 5,575.9 32,315 172.6

Portugal 1,436.5 1,580.0 1,611.8 1,675.4 1,898.0 32.13 13.29 1,898.0 8,961 211.8

Romania 790.0 1,425.3 2,150.0 2,520.0 2,805.0 255.06 11.31 2,805.0 18,761 149.5

Russia 1,890.5 24,778.1 35,000.0 45,400.0 59,700.0 3,057.89 31.50 59,700.0 120,812 494.2

San Marino 5.5 5.8 5.9 6.0 6.5 18.18 8.33 6.5 25 280.0

Serbia 756.7 1,005.2 1,011.7 849.9 842.8 11.38 -0.84 842.8 6,260 134.7

Slovakia 294.1 395.3 543.9 670.4 833.0 183.24 24.25 833.0 4,600 181.1

Slovenia 397.8 401.9 417.5 456.4 479.0 20.41 4.95 479.0 1,756 272.8

Spain 6,234.3 7,507.3 8,591.7 9,477.4 9,860.0 58.16 4.04 9,860.0 39,463 249.9

Sweden 3,289.0 3,595.0 4,054.0 4,271.0 4,271.0 29.86 0.00 4,271.0 7,591 562.6

Switzerland 2,585.3 2,827.1 2,800.0 2,760.2 2,772.0 7.22 0.43 2,772.0 6,602 419.9

Ukraine 1,000.0 1,200.0 1,374.6 1,905.1 2,649.5 164.95 39.07 2,649.5 39,395 67.3

United Kingdom 16,320.4 16,956.0 18,120.0 19,380.0 19,380.0 18.75 0.00 19,380.0 49,206 393.9




NUMBER OF INTERNET SUBSCRIBERS (000)(using most recent available figures)



NUMBER OF INTERNET SUBSCRIBERS / ADULT POPULATION (users per 000)(using most recent available figures)



NUMBER OF BROADBAND SUBSCRIBERS (000)Change (%) No. broadband Adult No. broadband

subscribers population subscribers/adult(000) (000) population (000)

Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Albania 0.3 0.3 10.0 64.0 90.0 29,900.00 40.63 90.0 2,799 32.2

Andorra 10.3 14.6 18.5 20.7 22.9 122.33 10.63 22.9 71 323.9

Austria 1,174.0 1,432.0 1,622.0 1,729.0 1,878.0 59.97 8.62 1,878.0 7,094 264.7

Belarus 1.6 11.4 169.8 477.8 1,092.3 68,168.75 128.61 1,092.3 15,123 72.2

Belgium 2,010.6 2,356.5 2,715.3 2,962.5 3,134.1 55.88 5.79 3,134.1 8,786 356.7

Bosnia and Herzegovina 13.7 40.0 84.7 188.5 292.1 2,032.12 54.96 292.1 3,945 74.0

Bulgaria 165.5 384.7 629.1 843.5 979.2 491.66 16.09 979.2 6,538 149.7

Croatia 116.0 251.8 387.0 524.7 685.0 490.52 30.55 685.0 3,791 180.7

Cyprus 31.9 63.1 97.6 141.2 176.0 451.72 24.65 176.0 644 273.3

Czech Republic 709.1 1,112.5 1,496.7 1,759.6 2,020.0 184.87 14.80 2,020.0 8,987 224.8

Denmark 1,343.9 1,735.3 1,953.0 2,005.7 2,071.0 54.10 3.26 2,071.0 4,503 459.9

Estonia 179.2 246.8 277.8 317.9 338.5 88.90 6.48 338.5 1,140 297.4

Faroe Islands 5.9 10.1 13.3 14.9 17.0 188.14 14.09 17.0 39 435.9

Finland 1,174.2 1,429.0 1,617.0 1,617.0 1,565.5 33.32 -3.18 1,565.5 4,435 353.1

France 9,471.0 12,711.0 15,550.0 17,691.0 19,398.0 104.81 9.65 19,398.0 50,429 384.7

Germany 10,800.0 15,000.0 19,600.0 22,600.0 25,000.0 131.48 10.62 25,000.0 70,854 352.8

Gibraltar - - - - 9.3 - - 9.3 24 375.0

Greece 160.1 488.2 1,017.5 1,506.6 1,916.6 1,097.13 27.21 1,916.6 9,508 201.6

Hungary 651.7 1,198.7 1,381.8 1,681.1 1,880.0 188.48 11.83 1,880.0 9,915 189.6

Iceland 78.0 87.7 97.9 103.7 107.2 37.44 3.38 107.2 251 426.3

Ireland 322.5 518.1 758.7 891.3 976.4 202.76 9.55 976.4 3,526 276.8

Italy 6,821.9 8,497.4 10,122.1 11,283.0 11,800.0 72.97 4.58 11,800.0 51,617 228.6

Latvia 60.8 109.7 146.1 200.0 259.0 325.99 29.50 259.0 1,951 132.8

Liechtenstein 8.6 - 14.0 19.6 27.0 213.95 37.76 27.0 29 931.0

Lithuania 234.1 368.7 507.6 590.1 633.8 170.74 7.41 633.8 2,845 222.9

Luxembourg 70.1 98.8 128.5 143.2 160.0 128.25 11.73 160.0 401 399.0

Macedonia 12.4 36.5 100.5 181.0 216.3 1,644.35 19.50 216.3 1,670 129.3

Malta 51.4 52.9 82.1 95.6 99.8 94.16 4.39 99.8 339 295.0

Moldova 10.4 21.8 47.2 115.1 187.0 1,698.08 62.47 187.0 3,632 51.5

Monaco 9.5 11.0 12.3 13.7 15.0 57.89 9.49 15.0 28 535.7

Montenegro 7.7 25.8 44.0 62.2 88.0 1,042.86 41.48 88.0 565 155.8

Netherlands, The 4,100.0 5,192.2 5,507.0 5,807.0 5,902.0 43.95 1.64 5,902.0 13,562 435.2

Norway 991.3 1,244.5 1,436.0 1,586.0 1,795.0 81.08 13.18 1,795.0 3,829 468.8

Poland 945.2 2,911.2 4,174.0 4,440.8 5,165.7 446.52 16.32 5,165.7 32,315 159.9

Portugal 1,165.4 1,423.7 1,512.4 1,634.4 1,865.1 60.04 14.12 1,865.1 8,961 208.1

Romania 377.1 1,090.0 1,949.1 2,506.0 2,804.0 643.57 11.89 2,804.0 18,761 149.5

Russia 1,589.0 2,900.0 4,900.0 9,280.0 12,900.0 711.83 39.01 12,900.0 120,812 106.8

San Marino 1.2 1.5 1.5 4.9 10.0 733.33 104.08 10.0 25 400.0

Serbia - 121.7 325.7 451.2 590.6 - 30.90 590.6 6,260 94.4

Slovakia 181.5 304.6 472.0 604.7 777.8 328.54 28.63 777.8 4,600 169.1

Slovenia 196.6 279.8 344.8 426.6 465.7 136.88 9.17 465.7 1,756 265.4

Spain 5,035.2 6,696.6 8,055.8 9,135.8 9,674.5 92.14 5.90 9,674.5 39,463 245.2

Sweden 2,522.0 1,930.0 2,780.0 3,791.0 3,800.0 50.67 0.24 3,800.0 7,591 500.6

Switzerland 1,624.2 2,020.0 2,367.4 2,556.2 2,622.0 61.43 2.57 2,622.0 6,602 397.1

Ukraine 130.0 520.0 800.0 1,600.0 1,907.7 1,367.46 19.23 1,907.7 39,395 48.4

United Kingdom 9,898.7 13,013.2 15,605.2 17,276.0 18,354.0 85.42 6.24 18,354.0 49,206 373.0




NUMBER OF BROADBAND SUBSCRIBERS (000)(using most recent available figures)



NUMBER OF BROADBAND SUBSCRIBERS / ADULT POPULATION (per 000)(using most recent available figures)



NUMBER OF MOBILE CELLULAR SUBSCRIPTIONS (000)Change (%) No. mobile cellular Adult No. mobile cellular

subscriptions population subscriptions/adult(000) (000) population (000)

Country 2005 2006 2007 2008 2009 2009/05 2009/08 2009* 2009*

Albania 1,530.2 0.0 2,322.4 3,141.2 4,161.6 171.96 32.48 4,161.6 2,799 1,487.0

Andorra 64.6 69.0 63.5 64.2 64.5 -0.15 0.47 64.5 71 915.5

Austria 8,665.0 9,281.0 9,912.0 10,816.0 11,773.0 35.87 8.85 11,773.0 7,094 1,659.6

Belarus 4,099.5 5,960.0 6,960.0 8,128.0 9,686.2 136.28 19.17 9,686.2 15,123 640.5

Belgium 9,604.7 9,847.4 10,738.1 11,822.2 12,419.0 29.30 5.05 12,419.0 8,786 1,413.5

Bosnia and Herzegovina 1,594.4 1,887.8 2,450.4 3,179.0 3,257.2 104.29 2.46 3,257.2 3,945 825.6

Bulgaria 6,244.9 8,253.4 9,897.5 10,500.2 10,617.1 70.01 1.11 10,617.1 6,538 1,623.9

Croatia 3,649.7 4,395.2 5,034.6 5,879.8 6,035.1 65.36 2.64 6,035.1 3,791 1,591.9

Cyprus 782.5 867.8 988.3 1,016.7 977.5 24.92 -3.86 977.5 644 1,518.6

Czech Republic 11,775.9 12,406.2 13,228.6 13,780.2 14,258.4 21.08 3.47 14,258.4 8,987 1,586.5

Denmark 5,449.2 5,828.2 6,308.0 6,862.0 7,406.0 35.91 7.93 7,406.0 4,503 1,644.7

Estonia 1,445.3 1,658.7 1,981.8 2,524.5 2,720.5 88.23 7.76 2,720.5 1,140 2,386.8

Faroe Islands 42.0 50.0 52.2 54.9 57.0 35.71 3.83 57.0 39 1,461.5

Finland 5,270.0 5,670.0 6,080.0 6,830.0 7,700.0 46.11 12.74 7,700.0 4,435 1,736.2

France 48,088.0 51,662.0 55,358.1 57,972.0 59,543.0 23.82 2.71 59,543.0 50,429 1,180.7

Germany 79,271.0 85,652.0 96,232.9 105,523.1 105,000.0 32.46 -0.50 105,000.0 70,854 1,481.9

Gibraltar 18.4 22.0 24.0 26.0 28.6 55.43 10.00 28.6 24 1,208.3

Greece 10,260.4 10,979.8 12,294.9 13,799.3 13,295.1 29.58 -3.65 13,295.1 9,508 1,398.3

Hungary 9,320.0 9,965.7 11,029.9 12,224.2 11,792.5 26.53 -3.53 11,792.5 9,915 1,189.4

Iceland 283.1 301.9 327.6 336.9 349.0 23.28 3.59 349.0 251 1,390.4

Ireland 4,270.0 4,690.1 0.0 5,048.1 4,871.1 14.08 -3.51 4,871.1 3,526 1,381.4

Italy 71,500.0 80,418.0 89,801.0 90,341.0 90,613.0 26.73 0.30 90,613.0 51,617 1,755.5

Latvia 1,871.6 2,183.7 2,217.0 2,234.0 2,243.0 19.84 0.40 2,243.0 1,951 1,149.7

Liechtenstein 27.5 28.8 32.0 34.0 35.0 27.27 2.94 35.0 29 1,206.9

Lithuania 4,353.4 4,718.2 4,912.1 5,022.6 4,961.5 13.97 -1.22 4,961.5 2,845 1,744.1

Luxembourg 510.0 713.0 684.5 707.0 719.0 40.98 1.70 719.0 401 1,793.0

Macedonia 1,261.3 1,417.0 1,946.7 1,946.7 1,943.2 54.06 -0.18 1,943.2 1,670 1,163.5

Malta 324.0 346.8 368.5 385.6 422.1 30.28 9.47 422.1 339 1,244.8

Moldova 1,089.8 1,358.2 1,882.8 2,423.4 2,784.8 155.53 14.91 2,784.8 3,632 766.8

Monaco 17.2 18.3 20.4 22.0 23.0 33.72 4.55 23.0 28 821.4

Montenegro 543.2 643.7 703.0 735.0 752.0 38.44 2.31 752.0 565 1,331.

Netherlands, The 15,834.0 17,296.0 19,285.0 20,627.0 21,182.0 33.78 2.69 21,182.0 13,562 1,561.9

Norway 4,754.5 4,868.9 5,037.6 5,250.9 5,336.0 12.23 1.62 5,336.0 3,829 1,393.6

Poland 29,166.4 36,745.5 41,388.8 43,926.4 44,553.1 52.75 1.43 44,553.1 32,315 1,378.7

Portugal 11,447.3 12,226.4 13,450.9 14,909.6 15,178.0 32.59 1.80 15,178.0 8,961 1,693.8

Romania 13,354.1 15,991.0 20,417.0 24,467.0 25,377.0 90.03 3.72 25,377.0 18,761 1,352.7

Russia 120,000.0 150,674.0 171,200.0 199,522.3 230,500.0 92.08 15.53 230,500.0 120,812 1,907.9

San Marino 17.2 17.4 17.5 24.0 24.0 39.53 0.00 24.0 25 960.0

Serbia 5,510.7 6,643.7 8,452.6 9,618.8 9,912.3 79.87 3.05 9,912.3 6,260 1,583.4

Slovakia 4,540.4 4,893.2 6,068.1 5,520.0 5,497.7 21.08 -0.40 5,497.7 4,600 1,195.2

Slovenia 1,759.2 1,819.6 1,928.4 2,054.9 2,100.4 19.40 2.21 2,100.4 1,756 1,195.9

Spain 42,694.1 45,695.1 48,422.5 49,677.5 50,991.1 19.43 2.64 50,991.1 39,463 1,292.1

Sweden 9,104.0 9,607.0 10,177.0 10,892.0 11,426.0 25.51 4.90 11,426.0 7,591 1,505.2

Switzerland 6,834.2 7,436.2 8,208.9 8,896.7 9,255.0 35.42 4.03 9,255.0 6,602 1,401.8

Ukraine 30,013.5 49,076.2 55,240.4 55,694.5 55,333.2 84.36 -0.65 55,333.2 39,395 1,404.6

United Kingdom 65,471.7 70,077.9 73,836.2 77,360.8 80,375.4 22.76 3.90 80,375.4 49,206 1,633.4




NUMBER OF MOBILE CELLULAR SUBSCRIPTIONS (000)(using most recent available figures)



NUMBER OF MOBILE CELLULAR SUBSCRIPTIONS / ADULT POPULATION (per 000)(using most recent available figures)


ADVERTISING EXPENDITURE SHARES2005 (%) 2009*(%) 2012*(%)

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Austria 39.0 19.8 23.8 8.1 0.7 7.4 1.3 39.1 17.2 24.1 6.6 0.4 7.1 5.4 38.1

Belarus - - 52.0 4.0 - 16.6 1.4 - - 60.6 5.8 - 11.9 6.5 -

Belgium 24.3 11.5 40.3 11.9 1.2 8.8 2.0 28.2 8.8 38.7 11.3 0.8 8.0 4.2 25.8

Bosnia & Herzegovina 5.5 3.2 79.3 4.0 - 7.9 0.1 4.9 2.8 86.2 1.9 - 3.9 0.3 4.0

Bulgaria 14.2 8.1 68.4 3.0 - 5.3 0.9 8.6 9.1 66.7 3.2 - 9.5 3.1 7.3

Croatia 14.3 10.7 68.2 - - 6.6 0.2 14.9 9.9 69.8 - - 4.1 1.2 14.8

Czech Republic 18.6 20.1 49.0 5.5 0.4 4.5 1.9 13.4 16.5 48.1 5.0 0.2 6.0 10.8 12.8

Denmark 46.5 13.8 19.2 2.4 0.5 3.3 6.3 33.9 12.8 15.8 1.6 0.5 3.8 25.5 28.0

Estonia 44.0 11.7 27.1 7.9 - 5.9 3.5 30.9 7.7 29.6 10.3 - 9.0 12.6 28.5

Finland 54.1 16.3 19.4 4.0 0.1 3.1 3.0 45.9 13.8 19.5 4.2 0.2 3.0 13.4 42.4

France 16.5 22.3 34.2 8.4 0.8 11.4 6.5 37.3 16.9 32.6 7.1 0.7 10.8 16.6 14.5

Georgia - - 96.2 - - 3.8 - - - 77.2 7.7 - 6.1 0.4 0.7

Germany 39.7 23.0 23.2 3.9 0.8 4.5 4.9 37.3 18.8 20.6 4.0 0.4 4.2 14.9 35.6

Greece 15.0 36.6 31.4 4.3 0.7 12.0 - 17.2 38.0 28.2 6.8 0.7 9.1 - 17.5

Hungary 20.9 21.4 38.8 3.9 0.8 9.8 4.4 18.0 17.6 34.8 4.4 0.7 10.8 13.6 17.5

Ireland 61.6 2.7 19.6 7.2 0.6 8.0 0.3 57.2 2.4 19.8 9.0 0.5 9.4 1.7 56.2

Italy 19.0 13.3 55.9 5.7 0.8 3.7 1.7 16.9 11.4 56.3 6.9 0.6 3.1 4.8 15.5

Latvia 29.3 13.2 36.3 11.7 0.7 6.2 2.5 12.7 11.8 40.5 12.5 0.7 10.3 11.4 12.0

Lithuania 14.8 5.9 72.4 2.2 0.01 3.7 0.9 8.7 6.8 76.4 2.3 0.08 2.9 2.8 7.8

Moldova 12.5 6.7 41.5 16.4 1.0 21.9 7.3 3.9 45.2 7.7 1.4 33.4 1.0 6.4

Netherlands 40.9 22.3 22.3 7.2 0.2 4.3 2.8 38.3 18.9 24.3 7.5 0.1 4.5 6.4 36.3

Norway 43.4 9.6 27.2 5.4 0.8 3.6 10.0 50.0 4.2 22.8 4.3 1.0 3.9 13.7 45.2

Poland 13.5 15.8 49.5 8.3 1.0 9.0 2.8 8.6 11.2 52.0 6.6 1.3 8.9 11.4 6.7

Portugal 7.6 16.2 56.4 6.1 0.7 12.4 0.5 6.9 14.5 57.7 5.2 0.5 12.5 2.6 6.6

Romania 11.2 10.7 61.1 6.5 0.7 9.0 0.9 5.3 7.0 66.1 6.2 0.5 11.0 4.0 4.7

Russia - - 46.3 6.0 0.8 18.1 1.2 - - 57.9 4.7 1.7 14.6 4.2 -

Serbia 4.1 4.5 88.7 0.6 - 2.1 0.1 6.9 4.5 84.5 1.2 0.1 2.1 0.7 7.2

Slovakia 6.6 7.9 75.9 5.9 0.07 3.0 0.7 3.6 6.8 78.3 4.4 0.04 5.2 1.7 3.1

Slovenia 20.6 10.2 55.4 5.2 0.4 7.0 1.3 16.7 7.5 63.5 3.5 0.2 5.3 3.4 12.6

Spain 25.2 10.2 44.7 9.2 0.7 7.5 2.4 20.1 7.9 43.4 9.4 0.2 7.6 11.4 18.0

Sweden 45.4 12.4 22.7 2.8 0.4 5.5 10.8 36.5 9.9 21.5 3.2 0.5 4.8 23.5 37.3

Switzerland 33.5 23.0 23.4 3.9 1.4 11.6 3.1 31.5 19.1 26.5 3.9 0.8 10.3 7.8 30.7

Ukraine 10.8 14.9 46.4 3.9 1.0 22.7 0.4 10.1 20.2 49.1 3.3 0.6 13.4 3.3 8.2

United Kingdom 35.5 13.7 29.4 3.8 1.4 6.5 9.9 25.5 9.6 26.8 3.6 1.5 6.3 26.7 23.9

Source: ZenithOptimedia

* Forecast as of December 2009

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NEWSPAPER ADVERTISING EXPENDITURE(USD, million, current prices)

Change (%)Country 2005 2006 2007 2008 2009* 2009/05 2009/08

Austria 1,219.62 1,291.36 1,426.06 1,489.02 1,445.10 18.49 -2.95

Belgium 867.34 1,282.58 1,319.76 1,298.86 1,274.40 46.93 -1.88

Bosnia and Herzegovina 10.26 13.19 16.12 17.58 22.25 116.91 26.53

Bulgaria 54.64 57.72 65.08 68.06 62.63 14.63 -7.98

Croatia 119.35 155.42 175.68 185.41 172.44 44.48 -6.99

Czech Republic 475.26 549.37 510.57 533.36 458.69 -3.49 -14.00

Denmark 1,071.40 1,169.09 1,163.79 1,037.47 840.35 -21.57 -19.00

Estonia 47.13 54.52 67.05 58.59 32.26 -31.55 -44.94

Finland 941.43 968.08 1,010.69 1,007.32 784.77 -16.64 -22.09

France 2,284.04 2,307.47 2,248.90 2,241.58 2,061.54 -9.74 -8.03

Germany 9,836.02 9,994.14 10,099.56 9,859.44 9,263.54 -5.82 -6.04

Greece 486.09 551.98 635.43 594.44 559.30 15.06 -5.91

Hungary 189.55 208.12 211.66 220.48 179.72 -5.19 -18.49

Ireland 1,322.11 1,519.77 1,584.19 1,579.80 1,267.94 -4.10 -19.74

Italy 2,376.28 2,382.04 2,460.65 2,268.18 1,844.09 -22.40 -18.70

Latvia 36.38 39.35 43.04 33.68 14.14 -61.14 -58.02

Lithuania 67.46 75.10 78.07 83.24 58.27 -13.62 -29.99

Moldova 0.99 1.42 1.77 1.92 1.91 92.69 -0.08

Netherlands, The 2,096.63 2,156.66 2,241.58 2,169.77 1,819.48 -13.22 -16.14

Norway 1,613.83 1,743.97 1,357.27 1,307.45 1,111.35 -31.14 -15.00

Poland 294.64 306.46 315.50 312.72 248.65 -15.61 -20.49

Portugal 102.20 98.10 98.10 96.63 82.13 -19.63 -15.00

Romania 34.40 37.80 44.40 57.08 28.32 -17.68 -50.39

Serbia 29.17 43.59 100.08 109.73 95.81 228.45 -12.69

Slovakia 95.47 94.58 105.71 98.72 71.74 -24.85 -27.33

Slovenia 105.12 125.04 147.88 158.96 143.94 36.93 -9.45

Spain 2,439.82 2,621.52 2,773.50 2,207.76 1,655.82 -32.13 -25.00

Sweden 1,258.84 1,348.48 1,383.10 1,337.57 1,081.47 -14.09 -19.15

Switzerland 1,068.33 1,226.22 1,306.56 1,309.33 1,216.99 13.92 -7.05

Ukraine 55.00 65.00 84.00 90.00 50.00 -9.09 -44.44

United Kingdom 7,727.27 7,396.51 7,371.31 6,486.12 5,054.39 -34.59 -22.07

* ZenithOptimedia forecast, December 2009


ADVERTISING

CHANGE IN NEWSPAPER ADVERTISING EXPENDITURE 2009/08 (%)


ADVERTISING

INTERNET ADVERTISING EXPENDITURE(USD, million, current prices)

Change (%)Country 2005 2006 2007 2008 2009* 2009/05 2009/08

Austria 41.00 54.17 118.59 158.13 197.66 382.14 25.00

Belarus 0.70 1.20 3.00 5.20 6.00 757.14 15.38

Belgium 70.23 120.63 160.77 182.38 191.01 171.99 4.73

Bosnia and Herzegovina 0.25 0.38 0.47 0.73 1.17 370.59 60.00

Bulgaria 3.48 7.70 13.51 24.68 22.58 548.90 -8.53

Croatia 1.82 2.43 8.71 13.17 13.78 655.56 4.62

Czech Republic 48.63 118.79 199.60 295.51 371.37 663.60 25.67

Denmark 145.55 351.90 490.78 573.95 631.35 333.77 10.00

Estonia 3.74 6.17 13.93 17.52 13.11 250.63 -25.16

Finland 52.71 70.28 89.31 222.55 228.40 333.33 2.63

France 898.24 1,251.83 1,694.00 2,107.47 2,245.13 149.95 6.53

Germany 1,218.16 2,196.19 3,065.89 3,657.39 3,699.85 203.73 1.16

Hungary 40.09 61.01 88.90 126.66 136.26 239.87 7.57

Ireland 5.86 19.03 32.21 35.14 36.60 525.00 4.17

Italy 209.37 301.92 430.84 490.72 522.62 149.62 6.50

Latvia 3.12 6.78 12.27 17.34 12.68 306.67 -26.86

Lithuania 4.24 6.79 14.85 21.64 18.43 334.50 -14.80

Moldova 0.00 0.11 0.11 0.16 0.27 - 65.68

Netherlands, The 142.02 200.59 278.18 307.39 304.32 114.28 -1.00

Norway 372.34 553.01 311.35 331.38 305.32 -18.00 -7.87

Poland 61.48 89.28 246.16 306.27 332.50 440.85 8.57

Portugal 7.17 10.25 18.96 28.45 31.29 336.18 10.00

Romania 2.80 5.60 17.47 28.75 21.43 665.32 -25.46

Russia 60.00 106.88 223.23 301.57 261.29 335.48 -13.36

Serbia 0.71 1.59 4.79 7.97 10.27 1,351.03 28.76

Slovakia 9.96 14.92 24.15 33.63 33.67 238.00 0.13

Slovenia 6.38 10.11 15.37 27.00 29.28 358.75 8.46

Spain 236.73 454.54 706.00 893.12 937.77 296.13 5.00

Sweden 299.50 455.70 617.42 731.60 697.01 132.73 -4.73

Switzerland 98.80 144.04 205.91 265.93 301.02 204.67 13.19

Ukraine 2.00 6.00 11.00 21.00 16.38 718.75 -22.02

United Kingdom 2,152.17 3,175.02 4,430.03 5,277.40 5,288.51 145.73 0.21

* ZenithOptimedia forecast, December 2009


ADVERTISING

CHANGE IN INTERNET ADVERTISING EXPENDITURE 2009/08 (%)


ADVERTISING

CONTRIBUTION OF DISPLAY, CLASSIFIED, INSERTS AND ONLINE TO TOTAL ADVERTISING REVENUE (%)


Country Display Classified Inserts Online

Belgium 56 41.8 2.2 -Bulgaria 90 7 3 -Czech Republic 80.4 3.3 2.8 13.5Denmark 55.3 41.7 3 -Estonia 75 10 10 5Finland 75.3 24.7 - -France 77 23 - -Greece 88 - 12 -Hungary 64 18 8 8Iceland 94 6 - -Ireland 72 28 - -Italy 92.4 7.6 - -Latvia 88.6 5.2 6.2 -Lithuania 66.6 8.5 24.9 -Luxembourg 76.3 23.7 - -Moldova 90 9 1 -Netherlands, The 92.1 7.9 - -Romania 99.46 - 0.54 -Russia 79.7 19.9 0.4 -Spain 90.8 9.2 - -Sweden 50 40 3 7Switzerland 76.3 21.6 2 -Ukraine 93.2 6.8 - -United Kingdom 64.7 35.3 - -

CONTRIBUTION OF ADVERTISING AND COPY SALES TO PAID-FOR DAILY NEWSPAPER REVENUES (%)

Contribution to revenuesCountry Year Advertising Copy Sales Advertising Copy Sales Year

Czech Republic 2005 69.8 30.2 63.5 36.5 2009Denmark 2005 38.6 61.4 30.9 69.1 2009Estonia 2005 49.1 50.9 46.4 53.6 2009Finland 2006 91.1 8.9 88.3 11.7 2009Germany 2005 52.7 47.3 51.2 48.8 2009Hungary 2006 58.8 41.2 53.5 46.5 2009Italy 2005 48.2 51.8 48.1 51.9 2009Luxembourg 2005 78.1 21.9 75.8 24.2 2009Netherlands, The 2005 45.5 54.5 35.5 64.5 2009Spain 2005 56.1 43.9 48.0 52.0 2009United Kingdom 2005 52.8 47.2 48.1 51.9 2008

CHAPTER II

COUNTRY REPORTS


Country reportsTables & Glossary

The list below includes all tables used in country reports. A specific country report only includes data available for the specific country, so some of the following tables may not be presented in all countryreports. Tables without order numbers are specific only for one or a few countries.

Every table described below includes a glossary of newspaper industry terms and expressions used in World Press Trends.

All data are presented in current prices. Currency conversions, if applied, are based on average yearly interbank exchange rates, unless specified otherwise.

1. COMMENTARYGeneral economic situation • Performance of newspapers vs. other media • Performance of differenttypes of newspapers • Newspaper launches / closures • Advertising • Circulation • Readership • Online/Digital Publishing • Ownership • Media/Press Laws • Copyright • Distribution • Postal Issues • Taxes • State Support • Environment • Other Factors

2. POPULATION

2.a Population by age and sex

Age groups: Groups of population by age ranges in accordance with demography statistics applied in respective countries; in most country reports, data in the table 2.a are republished from CIA – The World Factbook, using a unified age groups structure: 0-14, 15-64, 65+.

Adult population (indicator used in summaries of Chapter I – Overall Statistics): Population of agegroups 14+, whose upper age range is 20+ (that is, excluding, for example, the age group 15-17, but including the age group 15-24).

2.b Population by social class and sexSocial classes (grades) are defined as follows, unless specified otherwise:A = Upper middle class – higher managerial, administrative or professionalB = Middle class - intermediate managerial, administrative or professionalC1 = Lower middle class – supervisory or clerical, and junior managerial, administrative or professionalC2 = Skilled working class – Skilled manual workersD = Working class – Semi and unskilled manual workersE = Those at lowest levels of subsistence – State pensioners or widows (no other earners)

In some countries, absolute figures represent population samples rather than total population.

2.ca Households (occupancy)Data on numbers of households with specific numbers of persons

2.cb Households (children)Data on numbers of households without children and with children of specific age groups

2.d Housewives (co-habiting persons)

Housewife: Woman aged 18+ who both works and looks after the home; also called the main house-hold shopper (MHS) or as specified in country entry.

3. NUMBER OF TITLES AND CIRCULATION

3.a Number of titlesIncluding numbers of titles, and not numbers of editions


Title: Name of a specific newspaper; one title can represent one or more editions.

Edition: All copies of a portion of the total distribution of an issue of a newspaper or periodical, other than replate or split-run, in which the editorial and/or advertising content has been changed. (IF ABC definition); see also Online edition (Table 6.a)

Replate: A change of one or more pages during the printing of an edition or issue of a publication.This procedure generally serves the purpose of adding late news items or of correcting an error in the original copy. (IF ABC definition)

Split-run: The insertion or substitution of different advertising content for a portion of the distribution of an edition or of an issue for either a newspaper or periodical. (IF ABC definition)

Periodical: Publication of regular periodic issue, except newspapers

Newspaper: Periodic publication intended for the general public and mainly designed to be a primarysource of written information on current events connected with public affairs, international questions, politics, etc. It may also include articles on literary or other subjects, as well as illustrations and adver-tising. (UNESCO definition, adopted in 1998 by WAN in order to further standardise and thus facilitate international comparisons)

Daily: Newspaper published at least four times a week. (UNESCO definition)

Non-daily: Newspaper published three times a week or less. (UNESCO definition)

Sunday: Newspaper published on Sundays only (UNESCO definition); Sunday or weekend editions ofdaily newspapers are not Sundays.

Paid-for newspaper: Newspaper that sells any part of its circulation.

Free newspaper: Newspaper distributed to its target audience at no charge; the titles applying a free/paid-for model, that is those which sell a part of their circulation, are not includedamong free titles, unless notified otherwise.

International newspaper: Newspaper distributed in more than one continent.

Pan-regional newspaper: Newspaper distributed in more than one country within a geographicalregion/continent.

National newspaper: Newspaper distributed within one country/nationwide.

Regional/local newspaper: Newspaper distributed only within a limited geographical area of a country.

City (metropolitan) newspaper: Newspaper in Australia distributed in a city only.

Morning/forenoon daily: Daily newspaper distributed in the morning or before noon.

Afternoon/PM/evening daily: Daily newspaper distributed in the afternoon or in the evening.

3.b Circulation

Circulation: Number of copies of an issue of a newspaper which have been sold or distributed (delivered or handed out).

Average daily circulation: Number of copies sold or distributed per issue on weekdays (Monday-Friday).

Average non-daily circulation: Number of copies sold or distributed per issue of specific periodicity(thrice-weekly, bi-weekly, weekly, fortnightly, monthly, quarterly, other).


Total average circulation: Number of copies of all titles sold or distributed in a country/geographicalarea per issue.

Adjusted circulation (indicator here mostly used for free dailies, many of which cease publication afterless than one year): Average circulation per issue divided by 12 (months) and multiplied by the numberof months during which the title was actually sold or distributed.

Print run: Number of copies printed.

Add-ons (expression used in commentaries of country reports): Products sold along with newspapercopies, such as books, CDs, and DVDs, with aim to support newspaper circulation.

4. SALES

4.a Total number of copies sold or distributed annuallyData on total numbers of copies of all newspaper titles sold or distributed in one year

4.b Sales revenues

Copy sales revenue: Revenue from sales of newspaper copies; one of the two main sources of news -paper revenues, along with advertising sales; see also Advertising revenues (Table 7.c)

4.c Type of newspaper sales (%)Data on shares of particular types of newspaper copy sales, including all types of paid-for daily news-papers, unless specified otherwise

Single copy sales: Sales of single copies in kiosks, shops, via vendors or automated distributing machines

Street vendors: Sellers of newspapers on streets

Rack sales: Sales of newspapers from racks or boxes, placed on street corners or other convenient points, within the customer depositing coin in payment in a box provided for the purpose

Subscriptions: Sales of newspaper copies via subscription for a specific period of time

Home deliveries: Sales of newspaper copies via subscription with home delivery by other than postal services

Postal deliveries: Sales of newspaper copies via subscription with postal delivery

Office deliveries: Sales of newspaper copies via subscription with office delivery

Bulk (third-party) sales: Copies sold in bulk to a third party on a regular and contractual basis and nor-mally distributed free to the final recipient. For example, a newspaper may be sold in a bulk to a hotelfor free pick up in the hotel.

Free distribution: Distribution of newspaper copies for free

Electronic sales/subscriptions: Sales of newspaper’s online editions/subscriptions

4.d Cover pricesIncluding a range of cover prices of daily newspapers on weekdays

Cover price of a single copy: A nominal retail price per copy; usually printed on the newspaper’s front page

Cover price of subscription: The price of subscription divided by number of editions in a subscriptionperiod


5. NEWSPAPER REACH, READERSHIP AND MEDIA CONSUMPTION

5.a Newspaper reach (%)Including data on daily newspaper reach, unless specified otherwise

Newspaper reach: A percentage of a given audience exposed to a newspaper over a given period of time

5.b Age structure of readershipIncluding data on readership of daily newspapers, unless specified otherwise

Newspaper readership: Number of individuals within a target audience who read or looked at a copyof a publication within its last publication period, i.e. for a daily newspaper, yesterday, for a weeklynewspaper, within the last week.

Young reader (expression not used in World Press Trends directly, but applicable in young readershipcomparisons on international or global scale): There is no universal definition of young readers by age; the age ranges of young readers differ due to age groups applied in demographic statistics of respective countries and territories.

5.c Media consumption (minutes per day)Including data on all adults and all newspapers – dailies, non-dailies, and Sundays, unless specifiedotherwise

Media consumption: Average time per day spent reading newspapers or magazines, watching television, listening to the radio, or using the Internet.

5.d Number of readersData on total reader population

6. ONLINE / DIGITAL PUBLISHING

6.a Online editions

Online edition: Newspaper edition available online. See also Edition (Table 3.a)

6.b Online readershipMostly including data on unique visitors per month, unless specified otherwise

Unique visitor: A person who visits a website, counted only once, no matter how many times he visitsthe website within a specified period of time. Data on unique visitors are available on the server of particular newspaper’s website. For example, a daily New Times can go to the newspaper’s server‘www.newtimes.com’ to look up the number of unique visitors at its domain ‘newtimes.com’, including all subdomains, such as ‘sports.newtimes.com’ or ‘culture.newtimes.com’. Newspapers that have established their websites at more than one domain, should declare unique visitors of its “brand” (also referred to as a “newspaper group”). The brand is “a consolidation of its multipledomains that has a consistent collection of branded content,” according to Nielsen/NetRatings, a global leader in Internet media and market research. For example, the New Times daily will sum upthe number of unique visitors at its domain 'newtimes.com' and at the domain it shares with the dailyCourier, ‘newtimes-courier.com’.

Page impression: A file, or a combination of files, sent to a user as a result of that user’s request beingreceived by the server. (IF ABC definition)

Page hit: The retrieval of any item, like a page or a graphic from a web server. For example, whena visitor calls up a web page with four graphics, that is five hits, one for the page and four for thegraphics. For this reason, hits often are not a page view.

Page view: A web page that has been viewed by one visitor.

For comparison, see also Newspaper readership (Table 5.b)


6.c Top daily newspaper websitesMostly including data on unique visitors per month, unless specified otherwise

6.d Internet subscribers and users

Internet subscribers: The number of dial-up, leased line and broadband Internet subscribers (ITU – International Telecommunication Union definition).

Internet user: Anyone in capacity to use the Internet (Internet World Stats definition).

6.e Broadband Internet

Broadband subscribers/connections: The sum of DSL (digital subscriber line), cable modem and other broadband subscribers (ITU definition), as supplied by the Internet service provider and/or the official telecom regulator in each country.

Broadband: A sufficient bandwidth to permit combined provision of voice, data and video. Speedshould be greater than 256 kbps, as the sum of capacity in both directions (ITU definition).

6.f Mobile cellular subscriptions

Mobile cellular subscribers: Users of portable telephones subscribing to an automatic public mobiletelephone service using cellular technology that provides access to PSTN, that is the Public SwitchedTelephone Network (ITU definition).

7. ADVERTISING

7.aa Gross domestic product

Gross domestic product (purchasing power parity): The total market value of all final goods and services produced in a country in a given year.

7.ab Gross domestic product per capita

Gross domestic product per capita (purchasing power parity): The gross domestic product of a countrydivided by its total population.

7.ac Ad spend as a % of GDP

Ad spend (advertising expenditure) as a % of GDP: Share of total annual advertising expenditure in the country of its gross domestic product (GDP)

7.ba Advertising expenditure per mediumData 2007-2010 represent forecast, unless specified otherwise.‘Others’ represent transport, direct mail, video etc., or a combination of any of those media if only available as a total figure.

Advertising expenditure: Sum of money spent on advertising in different types of media, eitherincluding or excluding the cost of producing the advertisements.

7.bb Advertising expenditure per medium (%)Data 2007-2010 represent forecast, unless specified otherwise.‘Others’ represent transport, direct mail, video etc., or a combination of any of those media if only available as a total figure.

7.c Advertising revenues

Advertising revenue: Revenue realized from the sale of advertising; one of the two main sources ofnewspaper revenues, along with sales of newspaper copies; see also Copy sales revenue (Table 4.b)


Gross advertising revenue: Advertising revenue including discounts negotiated between advertisers/advertising agencies and media owners, and advertising agency commission

Net advertising revenue: Advertising revenue excluding discounts negotiated between advertisers/advertising agencies and media owners, and advertising agency commission

Rate card: A price-list issued by media owners for different space sizes or time lengths.

Daily newspaper advertising expenditure – National / Retail / Classified / Online (U.S. only)

National advertising: Advertising which is aimed at a national market, as opposed to local advertising.

Retail advertising: Advertising which promotes local merchandisers‘ goods and services; also referredto as local advertising.

Classified advertising: see Table 7.e

Online advertising: see Table 7.e

7.d Advertising volume sold (pages & page equivalents)Including data for all newspapers – dailies, non-dailies, and Sundays, unless specified otherwise

Advertising volume: A newspaper copy volume sold for advertisements, usually measured by newspaper pages; other measure units used are columns, column meters, and cm 2.

7.e Contribution of display, classified, insert and online advertising to total advertising revenue (%)Including data for dailies, unless specified otherwise

Display advertisement: A bordered advertisement, usually incorporating graphics, headline and text copy.

Classified advertising: Advertising sold by line, word, or column inch, and semi-display advertisements on classified pages.

Insert: An item inserted into a newspaper, either loose or bound in.

Online advertising: Advertisements delivered to Internet users via websites, ad-supported softwareand Internet-enabled cellphones.

7.f Top newspaper advertising categoriesIncluding data for dailies, unless specified otherwise

Top advertising categories in national newspapers (U.K. only)

Top advertising categories in regional newspapers (U.K. only)

7.g Top newspaper advertisersIncluding data for all newspapers – dailies, non-dailies, and Sundays, unless specified otherwise

Top national newspaper advertisers (U.K. only)

Top regional newspaper advertisers (U.K. only)

8. PUBLISHERS AND NEWSPAPERS

8.a Top publishing companies

Top national publishing companies (U.K. only)

Top regional publishing companies (U.K. only)


Top newspaper owners

8.ba Top paid-for dailies

Circulation: see Table 3.b

Readership: see Table 5.b

Format: see Table 10.a

Top national paid-for dailies (U.K. only)

Top regional paid-for dailies (U.K. only)

8.bb Top free dailies

Circulation: see Table 3.b

Readership: see Table 5.b

Format: see Table 10.a

Top national free dailies (U.K. only)

Top regional free dailies (U.K. only)

9. EMPLOYMENT AND SALARIES

9.a EmploymentIncluding data for all newspapers – dailies, non-dailies, Sundays, unless specified otherwise

Total number of journalists: Number of journalists working for newspapers, both full-time and part-time.

Total number of employees: Number of managers and staff employees working for newspapers, both on editorial and business side, full-time and part-time.

9.b SalariesIncluding data for all newspapers – dailies, non-dailies, Sundays, unless specified otherwise

Total salary costs: Costs of salaries and employers’ contributions (wage tax)

10. PRINTING AND DISTRIBUTION

10.a Newspaper colour capability and formatsIncluding data for all newspapers – dailies, non-dailies, Sundays, unless specified otherwise

Four-colour newspapers: Newspapers produced by a printing process that combines differing amountsof each of four colours (red, yellow, blue and black) to provide a full-colour print.

Newspaper format: Size of newspaper pagesBroadsheet: a page of minimum dimensions of 53x33 cm (21x13 inches)Tabloid: a page approximately half the size of a broadsheet newspaperBerliner: a page 47x31.5 cmRheinisch: a page 51x35 cmNordic: a page 57x40 cmBelgian: a page 52x33.6 cmInternational standard paper sizes

A2: a page 420x594 mm, or 16.54x23.39 inchesA3: a page 297x420 mm, or 11.69x16.54 inchesA4: a page 210x297 mm, or 8.27x11.69 inchesB3: a page 353x500 mm, or 13.90x19.68 inches


10.ba Distribution costs as a % of average cover price

10.bb Average distribution costs per copy

10.c Newsprint costsNewsprint costs per metric ton

Newsprint consumption

11. RESEARCH

11. ResearchConducted by independent organisations not operated by the newspapers themselvesCirculation • Readership • Methodology

12. TAXES

12. TaxesStandard value added tax (VAT) • VAT on single copy sales, subscription sales, advertising, newsprint,composition, plant • Other taxes: tax on profits, tax concessions

Value added tax: A consumtion tax that is levied at each stage of production based on the valueadded to the product at that stage.

Tax on profits: A fee charged by a government on company profits.

Tax concession: Reduced tax

13. SUBSIDIES

13.a Subsidies generally

Subsidy: A form of financial assistance paid to a business or economic sector. This can be used to support businesses that might otherwise fail or to encourage activities that would otherwise not take place; also referred to as a subvention.

13.b Direct subsidies

14. DISCOUNTS

14. DiscountsPost • Railroad • Telephone • Telegraph • Telex • Other

15. OWNERSHIP

15.a Ownership laws and rules

15.b Cross-media ownership restrictions


Media Market Description

General economic situationMacroeconomic growth has averaged around 5% overthe last five years and inflation is low and stable. Theeconomy is bolstered by annual remittances from abroadrepresenting about 15% of GDP, mostly from Albaniansresiding in Greece and Italy; this helps offset thetowering trade deficit. The agricultural sector, whichaccounts for over half of employment but only aboutone-fifth of GDP, is limited primarily to small familyoperations and subsistence farming. Energy shortagesbecause of a reliance on hydropower, and antiquated andinadequate infrastructure contribute to Albania’s poorbusiness environment and lack of success in attractingnew foreign investment. With help from EU funds, thegovernment is taking steps to improve the poor nationalroad and rail network, a long-standing barrier tosustained economic growth. The inflation rate wasestimated at 2.1% in 2009.

Performance of newspapers vs. other mediaThe public Albanian Radio and Television operated a national television channel and a national radio stationand, by law, receives 50 percent of its budget from thegovernment. The station remained under strictgovernment control in its editorial line.

According to official data, the country had 64 privatetelevision stations and 44 private radio stations in 2009,but the actual number was reportedly higher.

While there is not a Greek-language Albanian televisionstation, public-television branches in the districtsbroadcast in minority languages, including Greek,during several parts of the day.

“There are no regional dailies because the concept isconnected to communist propaganda. They were about26 in 1990,” recalls Shqip’s editor-in-chief AleksanderCipa, who also presides over Albania’s Union ofJournalists and comes from Gjirokaster, a southern cityclose to the border with Greece.

“This absence is mostly linked to market conditions,lack of demand, lack of resources”, thinks Ilda Londo,the research coordinator of the Albanian Media Institute(AMI).

Private news agencies are fairly undeveloped in Albania,while even the services of the state news agency, ATSH,which offers print news bulletins and photos online,tend to be avoided by commercial newspapers - not onlybecause of the expense, but also because the quality isconsidered poor.

Some news websites are coming on to the scene, such asBalkan Web, which is, however, modest compared withthe websites of neighboring countries.

Albanian media tend to prepare their news in-houserather than buy it from domestic agencies. The oppositeis also true: in some cities, there are journalists andreporters who work much like news agencies, preparingand broadcasting news for several newspapers andtelevisions at the same time.

Only two or three television stations and newspapersmanage to make any profit, while the rest of the mediaare unprofitable and cannot survive without externalfinancial support.

Politicization of the media remained a concern thatworsened during the election campaign. Publishers andnewspaper owners continued to direct news stories toserve their political and economic interests andsometimes blocked stories that ran counter to thoseinterests. There was minimal transparency in thefinancing of the media.

Performance of different types of newspapersPolitical parties, trade unions, and other groupspublished newspapers or magazines independent ofgovernment influence. An estimated 190 publicationswere available, including daily and weekly newspapers,magazines, newsletters, and pamphlets.

There is a large number of newspapers and magazines,totalling about 70 for magazines and 90 for newspapers,the general news dailies representing one quarter ofthem.

The newspapers with national reach remain based in thecapital. The local newspapers are now only a memory, asthey disappeared in the first years of the transition dueto depressed demand and the lack of advertising.

Most newspapers have to follow a political or businessagenda, as pointed out in industry surveys.

Tirana Times is Albania’s first weekly newspaper forEnglish speaking audience.

Newspaper launches / closuresDaily newspaper Tema ceased its publication on January26, 2010, claiming that it could no longer withstandgovernment pressure and economic hardship that derivesfrom the newspaper’s criticism against the government.

The staff of daily Tema newspaper were evicted fromtheir newsroom in January 2009 after a decision by theMinistry of Economical Affairs to cancel the newspaper’s20-year-old contract for the premises. A lawsuit issued by Tema followed and the Court ofTirana decided in favor of the newspaper. However, thecourt decision was not executed until the newspaperceased its publication.

ALBANIA


ALBANIA

AdvertisingThe government is no longer the main source ofadvertisement for the media.

Many media outlets have started to operate throughadvertising agencies rather than directly with advertisers.Advertising revenues are distributed disproportionallyand concentrated in the capital, as the most powerfulbusinesses and media are based there. The smaller citiesin the most distant and poorest areas are in a difficultfinancial position.

Though total annual advertising revenue is increasingand the total market represents about EUR45 millionper year, it still is too low to sustain the media. Theadvertising market in Albania continues to be just one-tenth of the Croatian market. Consequently, allnewspapers and most television stations survive not onadvertising revenue, subscriptions, or sales, but onmonthly subsidies from the other businesses of mediaowners.

CirculationIt is hard to establish a definitive ranking between themore than 20 general news dailies published in a countrylacking audited circulation figures.

Shekulli has been at the top of the list in the past years,as its cover price is lower than many of its competitors,but it is now joined, and maybe overtaken, by Panoramawith circulation of 20,000.

Their closest and most respected followers, selling lessthan 10,000 copies, include the Italian-owned GazetaShqiptare, which set the tone for the new democracy’smedia, as many of its former editors now control otherimportant outlets, Shqip or Albania.

Circulation numbers rarely exceed 4,000 andsubscriptions are non-existent or of a few hundredmaximum. People prefer to buy newspapers in themorning rather than wait for the afternoon subscriptionto arrive.

Print media cover prices have remained steady. Somenewspapers, like Panorama, have lower prices and highercirculations. Some dailies, like Shqip, are priced higherand have lower circulation. Both newspapers, however,seem to have found a satisfactory equilibrium betweenprice and circulation.

ReadershipThe largest media try to conduct market research tobetter tailor programming to the audience demands. InAlbania, the trend still leans toward media carrying outtheir own audience testing; offers made by specializedresearch companies have not been very successful. Phonesurveys are the preferred method; other methods remainunderdeveloped.

All media outlets carry out their own market researchand present their own findings to their advertisingclients. The practice is highly subjective. Because mediaconduct research independently, credibility is very low.As a result, advertisers are unsure of the efficiency ofmoney they spend on advertising based on unreliableaudience data.

Online / Digital PublishingThere were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail. Access to the Internetincreased exponentially during the year, but remainedlimited, particularly outside major urban areas.

According to International Telecommunication Union(ITU) statistics for 2008, approximately 15 percent ofthe country’s inhabitants used the Internet; however,there were other reports that usage could be as high as 30percent.

Mainly the satellite connections, but also the Internetservice and the mobile telephone service, have increasedthe options for citizens to explore international newsmedia. However, there are economic obstacles to access;there are still large numbers of Albanians who cannotafford to subscribe to an Internet service or buy a foreignnewspaper that is more costly than domestic newspapers.

The Internet is transforming into an increasinglyimportant source of information, especially in the maincities and among the intellectual elites and students.Some newspapers are more accessible on the Internetthan in the traditional market. The Internet website of a daily newspaper that sells about 5,000 copies has about16,000 visitors per day, most of whom are emigrantsabroad.

OwnershipGenerally speaking, media ownership is transparent.However, there is no specific law that regulates theproblem of media ownership transparency. Albania has amodern system of business registration, and anyone canreceive information on the ownership of a medium onthe website of the National Center of Registration.However, the problem of transparency has beendisplaced from transparency of ownership totransparency of media financing. Even the issue ofownership transparency remains unclear; in some cases,the owner of a television station is known to be oneindividual, while the law requires a television station tohave three owners.

Two of the three businessmen active in the constructionindustry, who founded the daily Panorama in 2003, leftshortly after to launch their own dailies, Tirana Observerand Metropol.


ALBANIA

“There will be a consolidation in three to five years, withless than ten dailies left on the market,” anticipatesRobert Rakipllari, editor-in-chief of the daily Panorama.

Italy’s Edisud Media, which publishes La Gazzetta delMezzogiorno just across the channel separating the twocountries, is practically the only foreign investor as theowner of Gazeta Shqiptare.

Germany’s press conglomerate WAZ Medien Gruppe isvery active in the Balkans, however, it has no assets inAlbania's print media, only in television.

Media / Press LawsThe law punishes libel with a prison sentence of up totwo years and a fine.

Prime Minister Sali Berisha’s government, reconfirmedto power in June 2009, imposed upon itself a moratorium on suits against journalists for libel anddefamation. In such cases, the burden of proof is alwayson the plaintiff.

During the year 2009 there were no libel suits againstreporters. However, two media outlets, Vision Plus andShekulli, filed libel suits against the prime minister inDecember 2009 for prejudicial public statements madeagainst them in parliament. Court hearings wereongoing at year’s end.

For five years in 2009, a bill decriminalizing defamationwas been pending approval by lawmakers, even thoughin principle it has been hailed by the whole politicalsphere. The bill transforms defamation from a criminalto a civil case, allowing proportional fines that would notlead to a chilling effect on the media.

Printing & DistributionThe number of commercial printing houses in Albaniahas increased, but only two, based in Tirana, printnewspapers. These two printing houses print some 40newspapers, leading to technical problems with thequality of print. Both companies are managed asbusinesses and have become less charitable towardnewspaper owners in recent years. Today, all printingmust be paid for on delivery.

Newspaper distribution is commercial without subsidiesfrom the state.

The Albanian printed media have to cope with a malfunctioning distribution system due to the poorinfrastructure in a land where half of the population isstill rural. Despite some European Union pressure andassistance, there is a lack of cooperation within theindustry.

The inability to distribute newspapers and magazinesacross the whole country has contributed to an artificial

narrowing of the print media market, which is anothercause of financial hardship for the press.

Newspapers are available only in the cities and are notdistributed in remote areas. About 60 percent ofinhabited territory, mainly the rural areas, remains out ofreach for print media. The citizens that live in thesuburbs of cities and large counties do not have theoption of buying newspapers and magazines. In the sameway, in these areas it is impossible to have any othertelevision signal apart from the public television RTSH,which is traditionally controlled editorially by thegovernment.

However, almost 80 percent of the population currentlylives in areas where media coverage is complete andassorted.

TaxesMedia are no more overtaxed than other businesses; infact, they are exempt from some taxes, such as value-added tax (VAT) on imported paper.

State SupportThere are no public subsidies officially, but print mediaare indirectly assisted through free or cheap access tooffice facilities, and through state advertising.

Other FactorsAccess to the journalism profession is free, and thegovernment does not impose licenses and limitations.

The number of journalism departments at Albanianuniversities has increased. Of 33 universities thatfunction in Albania, half have a journalism branch. Mostof media practitioners in the contry share an opinionthat the qualitative level of graduates in journalismschools remains low, in part because the abilities of thetrainers are low.

The Albanian Media Institute has been a source ofquality training, compensating for the low-quality workof universities. This institution sent journalists abroad tohigh-quality training courses and increased the numberof courses in Albania. UNDEF has also providedassistance to investigative journalism training in 2009,through Hapur and in special training for journalists inthe districts.

An Albanian reporter is paid on average EUR400-500per month, more or less the wage of 12 years ago. Withthe exception of editors-in-chief or show hosts, who canbe paid EUR1,500-3,000 per month, the salaries ofother journalists are similar to teachers, doctors, or other public-service employees. The salaries ofjournalists in the districts often are 50 percent lower.Furthermore, many journalists are not ensured by themedia owners or companies and are forced to spend ontheir own for private pension and health insurance


ALBANIA

Map: CIA – The World Factbook

programs. Many journalists complained their lack ofemployment contracts hindered their ability to reportobjectively.

In Albania, ethical standards for journalists are definedin the Code of Ethics, approved by the associations ofjournalists some years ago. They are harmonized withinternational standards. There is also a Council of Ethicstasked with reacting to violations of the code. However,it is difficult to spot even one case when the Code of

Ethics and its standards have been applied, despiteinstances of journalists using hate speech anddefamation in 2009. There were even journalists whoassaulted other journalists with differing opinions. As a reaction against violations of professional ethics, and tobuild solidarity within the media community on ethics,the Union of Albanian Journalists organized a roundtable of editors-in-chief and well-knownjournalists, who discussed implementation of the Codeof Ethics.

Source: CIA – The World Factbook; US State Department; Albanian Media Institute; WAN-IFRA Editors' Weblog;Tirana Times; IREX – Media Sustainability Index 2009, 2010

Age All individuals Male Female000 % 000 % 000 %

0-14 842 23 441 24 401 2215-64 2,442 67 1,251 67 1,191 6765 + 357 10 166 9 191 11Total 3,641 100 1,858 100 1,783 100

Source: CIA – The World Factbook

2.a Population by age and sex (2009)

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 29 28 28 28 29 0.00 3.57Total paid-for non-dailies 1 80 81 81 82 82 2.50 0.00

Source: 2005-2007 WAN from public sources; 2008 WAN assessment; 2009 WAN-IFRA assessment1 Estimate

3.a Number of titles

3.b Total average circulation per issue

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 70 70 70 70 70 0.00 0.00

Source: 2005 WAN estimate; 2006-2008 WAN assessment; 2009 WAN-IFRA assessment

4.d Cover prices (2009)

(Albania, lek)min max

Single copy 10.00 50.00

Source: WAN-IFRA from public sources

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 20 20 40 84 105 425.00 25.00Internet users 188.0 300.0 471.2 750.0 1,300.0 591.49 73.33

Source: International Telecommunication Union (ITU)


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Broadband subscribers 0.3 0.3 10.0 64.0 90.0 29,900.00 40.63



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Mobile cellular subscriptions 1,530.2 - 2,322.4 3,141.2 4,161.6 171.96 32.48



(Albania, lek, bln)2005 2006 2007 2008 2009

GDP 1,797.2 1,941.9 2,015.2 2,138.9 2,183.3

Source: 2005-2006 CIA – The World Factbook via Index Mundi; 2007-2009 CIA –The World Factbook


(Albania, lek, 000)2005 2006 2007 2008 2009

GDP per capita 504.40 545.40 560.57 589.60 599.20




ALBANIA

Title Founded Language Publishing company Circulation Cover price usual Format Full page ad rate Mono Colour

(year) (000) (Albania, lek) (Albania, lek)

Albania 111 - Ylli Rakipi - - A3 - -Albanian Daily News - English Tribuna Ekonomike Shqiptare e Pavarur - - A3 - -Balkan - - Ferrano Group - - A3 - -Biznes - - Sh. a. Spekter - - A3 - -Ekonomia - - Enti botues Ekonomia - - A3 - -Gazeta 55 - - Fahri Balliu - - A3 - -Gazeta Shqiptare - - Edisud sh. p. a. - - A3 - -Koha Jone (Our Time) 1991 1 - Nikolle Lesi 2 6 20 A3 28,000 56,000Korrieri 2001 - Media 6 - - A3 - -Panorama - - Panorama Group 20 3 - A3 - -Republika - - Partia Republikane e Shqiperise - - A3 - -Rilindja Demokratike - - Partia Demokratike - - A3 - -

(The Democratic Revival)Shekulli - - Sh. a. Spekter 20 3 - A3 - -Shqip - - Top Media - - - - -Sot - - - - - A3 - -Sport Ekspres - - Nikolle Lesi - - A3 - -Sporti Shqiptar - - Sh. a. Spekter - - A3 - -Tema - - Media Enter sh. p. k. - - A3 - -Zeri i Popullit (People’s Voice) 4 1944 - Partia Socialiste e Shqiperise - - A3 - -

Source: Albanian Media Institute; Wikipedia; WAN-IFRA from public sources

Due to lack of circulation and readership data, dailies are ranked in alphabetical order1 Founded as a local weekly of Lezha, a coastal town in the north of Albania; nowadays also distributed in Greece and Italy; data provided by the publishing company2 Aleksander Frangaj is a new owner from April 20073 WAN-IFRA estimate4 Originally the official newspaper of Albania and the news and propaganda organ of the Party of Labour

8.ba Top paid-for dailies (2009)

Tax %

VAT on:Single copy sales 0

Source: Distripress

12. Taxes (2009)


ANDORRA

General economic situation Tourism, the mainstay of Andorra’s tiny, well-to-doeconomy, accounts for more than 80% of GDP. Anestimated 11.6 million tourists visit annually, attractedby Andorra’s duty-free status and by its summer andwinter resorts. The banking sector, with its partial “taxhaven” status, also contributes substantially to theeconomy. Agricultural production is limited, only 2% ofthe land is arable and most food has to be imported.Andorra is a member of the EU Customs Union and istreated as an EU member for trade in manufacturedgoods (no tariffs) and as a non-EU member foragricultural products. The inflation rate was estimated at3.9% in 2009.

Performance of newspapers vs. other mediaThe Andorran media scene has been shaped by thecountry’s proximity to France and Spain. Andorranshave access to broadcasts from both countries, and formany years Andorra was home to Sud Radio, a powerfulradio station broadcasting to southwest France.

There is only one Andorran television station, Radio i Televisio d’Andorra (RTVA). Radio Nacionald’Andorra operates two radio stations, Radio Andorraand Andorra Musica.

Performance of different types of newspapersThere are two paid-for daily newspapers published in theprincipality, Diari D’Andorra and El Periodic. In 2004,a free daily Bondia was launched.

Diari D’Andorra, El Periodic, and Bondia are nationalnewspapers. Several local newspapers are published as

well. French and Spanish newspapers are also widelyavailable.

El 9 Esportiu, the unique Catalan language daily sportsnewspaper, was founded in Barcelona, Catalonia, in2002. In addition to selling individual, it is also includedin several newspapers, including Diari d’Andorra.

Online / Digital Publishing There were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail.

By the end of 2010, it is planned that every home in thecountry will have Fibre-Optic to the Home for Internetaccess at a minimum speed of 100 Mbps.

Mobile and fixed telephony and Internet services areoperated exclusively by the Andorran nationaltelecommunications company, SOM, also known asServei de Telecomunicacions d’Andorra (STA). The same company also manages the technicalinfrastructure for national broadcasting of digitaltelevision and radio.

Media / Press LawsThe constitution and law provide for freedom of speechand of the press, and the government generally respectedthese rights in practice. An independent press, aneffective judiciary, and a functioning democraticpolitical system combined to ensure freedom of speechand of the press.


Source: CIA – The World Factbook; US State Department; Wikipedia



0-14 13 15 7 16 6 1515-64 61 73 32 73 29 7365 + 10 12 5 11 5 13Total 84 100 44 100 40 100



Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 3 3 3 3 3 0.00 0.00Total paid-for dailies 2 2 2 2 2 0.00 0.00Total free dailies 1 1 1 1 1 0.00 0.00

Source: 2005-2007 WAN from public sources; 2008 WAN assessment; 2009 WAN-IFRA assessment



ANDORRA

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 32 32 32 32 32 0.00 0.00Total paid-for dailies 27 27 27 27 27 0.00 0.00Total free dailies 5 5 5 5 5 0.00 0.00

Source: 2005-2008 WAN assessment; 2009 WAN-IFRA assessment


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 17.0 17.0 27.2 29.3 32.0 88.24 9.22Internet users 30.0 40.0 59. 59.1 67.2 124.00 13.71



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Broadband subscribers 10.3 14.6 18.5 20.7 22.9 122.33 10.63



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Mobile cellular subscriptions 64.6 69.0 63.5 64.2 64.5 -0.15 0.47



(Euro Member Countries, euro, bln)2004 2005 2006 2007 2008

GDP 1.1 1.5 1.5 2.0 1.9

Source: CIA – The World Factbook via Index Mundi


(Euro Member Countries, euro, 000)2004 2005 2006 2007 2008

GDP per capita 15.4 21.4 19.2 28.3 26.4




Title Founded Language Publishing company Readership (year) (000)

Diari d’Andorra 1 1991 Catalan Premsa Andorrana, SA 19El Periodic d'Andorra - Catalan Grupo Zeta -

Source: Diari d’Andorra; El Periodic d'Andorra; Wikipedia1 Including also El 9 Esportiu, the unique Catalan language daily sports newspaper,founded in Barcelona, Catalonia, in 2002

8.bb Top free dailies (2009)

Title Founded Language Publishing company Circulation (year) (000)

Bondia 2004 Catalan La Veu del Poble SL 5 1

Source: WAN-IFRA from public sources1 WAN-IFRA assessment

Tax %

Standard VAT 4

Source: Deloitte Touche Tohmatsu

12. Taxes (2007)


General economic situation Austria has a well-developed market economy and highstandard of living. Its economy features a large servicesector, a sound industrial sector, and a small, but highlydeveloped agricultural sector. The Austrian economy hasbenefited greatly in the past from strong commercialrelations, especially in the banking and insurance sectors,with Central, Eastern, and South-Eastern Europe.However, these sectors have been vulnerable to recentinternational financial instabilities, and some of Austria’slargest banks have required government support.

The international financial and economic crisis spread toAustria and caused a slump, the biggest since the 1930s:gross domestic product (GDP) shrank in real terms by -3.6% and according to experts is expected to recoveronly very slowly in 2010. In 2009, the country’sinflation rate, using the national calculation method,amounted to 0.5%, or 0.4% using the Europeanstandard consumer price index (harmonized CPI)methodology. Due to the difficult economic situation,the unemployment rate in Austria increased from 5.8%in 2008 to 7.2% in 2009; it is expected to increase againboth in 2010 and 2011. This is bound to affect privateconsumption, which in 2009, nevertheless, increasedmarginally by 0.2%.

Performance of different types of newspapers Despite the difficult economic situation, Austriannewspapers continue to enjoy gratifying soundness andstability in terms of their reach and print runs.According to Media Analysis 2009 in Austria, 75% ofthe population over 14 years of age read a dailynewspaper every day, which represents an increase by2.1% compared to 2008. In the age group of 14 to 19-year-olds, the share of everyday readers rose to 64%from 61.1%, and in the 20 to 29-year-old group from66.8% to 69.9%. It must be noted, however, that themedia analysis published in 2009 included for the firsttime the free daily (commuter) newspaper Heute,available in eastern Austria.

Paid-for newspapers preserved their market position inthe crisis year 2009, and paid-for weekly newspapers alsoremained stable in the market. By optimizing print runs(reduction of free distribution), the publishing housesmanaged to harness savings. Declines in individual retailsales were partially offset by increases in subscriptions,which are traditionally prolific in Austria, wheresubscriptions on average represent 87% of all copiessold.

The segment of Sunday newspapers has been developingwell, with a total of seven titles on the Austrian marketin 2009. Despite the difficult economic situation andwithout augmenting their editorial resources, the dailynewspaper Die Presse launched a Sunday title, Die Presse

am Sonntag, on March 15, 2009 (retail cover priceEUR2.00, annual subscription EUR75.00). This is a stand-alone product rather than a traditionalnewspaper edition with its own rubrics and journalisticcoverage. Currently Die Presse sells around 231,000copies on weekends, of which some 119,000 are sold onSunday. That is 44 percent higher or about 70,000copies more than the annual average of 2008. Sundaybecame the strongest reading day for Die Presse since itslaunch.

Newspaper launches / closuresFree Austrian newspaper Oberösterreichs Neue,published in the Linz area, closed in May 2009.Declining advertising revenues in the recession pushedthe local free daily over the edge, even though thenewspaper stated that readership was increasing.Mediahaus Wimmer, the publisher of the newspaper,did not rule out a possible relaunch if the economyimproves.

The free regional weeklies Styria Media Group AG andMoser Holding started their 50:50 joint venture in thefirst quarter of 2009.

On March 14, 2009, the daily newspaper Die Pressefrom Styria Media Group AG launched its first Sundayedition.

Advertising The overall economic situation had an impact on theadvertising sector. In 2009, gross advertising expenditurein Austria (large-scale advertising), according to listprices and excluding discounts and taxes, totaledEUR3.34 billion, that is -0.2% compared to theprevious year. Traditional advertising (i.e. advertising indaily and weekly newspapers, magazines, specialistpublications, television, radio, outdoor and traditionalflyers) accounted for EUR2.70 billion, a decrease of -0.4%. There are no statistics available for classifiedads.

Due to increased media competition, it should be noted,however, that significant discounts are prevalent.Although gross advertising volume has not significantlydeclined, net advertising revenues have collapsed. Thisfact has to be taken into account when evaluating thefollowing figures:

With advertising revenues of EUR1.47 billion (-3.8%year-on-year) and a 54.2% share in classical advertisingin the face of increasing competition among variousmedia, print media was the undisputed market leader in2009. Daily newspapers generated EUR796 million, anincrease of 1.8% over the previous year. Regional weeklynewspapers, including free newspapers, accounted forEUR225 million, a year-on-year decline of -4.5%.


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Magazines and periodicals suffered a drastic drop of -10.4%, with their advertising revenues totallingEUR329 million. Newspaper supplements generatedEUR98 million, which means an increase of 8.5%compared to 2008. Online advertising expenditure isstill small in Austria, but in 2009 it grew by 32.8% overthe previous year to almost EUR116 million.

In sectoral terms, the capital goods industry remains theleading advertiser, spending a gross amount of EUR924million (-5.8% year-on-year). It was followed by theservices sector with gross advertising expenditure ofEUR696 million, representing a decrease of -4.5% overthe previous year. Growth in the branded goods sectorwas significantly high at 8.0%, representing a total ofEUR630 million. The retail and mail order tradereached a gross value of EUR446 million, representingan increase of 3.8%. (All data: FOCUS Research)

Readership In 2009, the first phase of the strategic readershipresearch, initiated by the Austrian NewspaperAssociation (VÖZ) in the previous year, was completed.The main thrust of the research was how young peoplebecome readers. Results of this qualitative study indicatethat a major impetus to newspaper reading is given byparents at home and by early access to print media, butalso school projects and peer groups play an importantrole. Research results show that the use of media, andespecially of newspapers, is conditioned by personalrituals and habits throughout the day.

As part of a reform of the Media Analysis, a comprehensive media use study is being planned. Theobjective is to map the “daily routine in mediaconsumption” and to answer the questions of when andwhich media are consulted and by whom. The Internet,mobile devices, print and electronic media will beincluded in this study.

Media-Analyse announced in May 2009 that it willbegin to include free daily newspapers in its readershipsurvey. After the paid/free newspaper Österreich wasincluded in the 2008 survey, questions were raised aboutthe inclusion of other titles. In 2009, total freecirculation in Austria was around 700,000, with Heuteleading the group with more than 500,000 daily copies.Oberösterreichs Neue (Die Neue) had a circulation of60,000 and TT Kompakt 9,000. Österreich distributed115,000 copies of its paid newspaper for free. The firstall-included survey might be available in 2010.

Online / Digital Publishing Considerable discussion followed a draft amendmentformulated by the government to the Telecommu -nications Act (TKG), which is designed to transpose thecontroversial EU directive on data retention intonational law. The bill provides that certaintelecommunications data be stored for a period of six

months for retrieval ""on demand"", in case they areneeded in order to investigate and prosecute seriouscrimes. Among many points of contention fornewspaper and magazine publishers, two issues inparticular need to be considered: on one hand, thepossible erosion of editorial confidentiality privileges,and, on the other - for all magazine publishers who wantto combine their online offerings in the future with“paid content” business models - the anonymity assuredfor content-hackers in the draft as submitted, enablingthem to redistribute paid content without permissionfree of charge and thus sabotage paid content businessmodels. The Austrian Newspaper Association (VÖZ), inany case, insisted that the law explicitly ensure that pressconfidentiality not be impaired by informationregarding stored data. The matter, however, has not yetbeen submitted to Parliament for examination.

Researchers at the Austria-based Know-Centre areworking on a program that analyzes the language usedon blogs in order to rank them as highly credible, havingaverage credibility, or “little credible.” The code looks atthe distribution of words over time, and compares blogtopics against articles from mainstream news, which areapparently weighted as being more credible.

Ownership In June 2009 the Styria Media Group AG and MoserHoldings published their intention to merge theirregional activities into one common corporation, MoserHolding as a whole and the regional Styria companies.

Media / Press Laws The constitution provides for freedom of speech and thepress, and the government generally respected theserights in practice. An independent press, an effectivejudiciary, and a functioning democratic political systemcombined to ensure freedom of speech and the press.The independent media were active and expressed awide variety of views with a few restrictions. Individualsgenerally could criticize the government publicly orprivately without reprisal.

The law prohibits public denial, belittlement, approval,or justification of the Nazi genocide or other Nazi crimesagainst humanity in a print publication, a broadcast, orother media. It also prohibits incitement, insult, orcontempt against a group because of its members’ race,nationality, or ethnicity if the statement violates humandignity. The government strictly enforced these laws.Strict libel laws discouraged reporting of governmentalabuse.

Printing & Distribution Daily newspapers are predominantly delivered bypublishers’ own delivery services. Mail delivery,representing just over 10%, plays only a minor part inthis field, as the post office does not offer early morningdelivery. Weekly newspapers and magazines, however,


AUSTRIA

continue to be predominantly delivered by mail (95%).Whereas the rates for postal delivery were increased by2.9% in 2009 compared to 2008, no increase is expectedin 2010 due to the low inflation rate.

Postal Issues In November 2009, a new Postal Market Law wasadopted by Parliament setting out the framework for thedevelopment of the postal market in the coming years.The law represented a chance for true liberalization. Thischance was missed, however, and instead the monopolyof the Austrian Post AG was extended until furthernotice. The law represents only a minimal version of thenecessary liberalization. Access to delivery via residentialletter boxes and the establishment of rural mailcollection points by third parties is essential fordevelopment of a free competitive market, but it hasbeen postponed without any interim solution to the endof 2012. Thus the EU deadline of January 1, 2011 forthe full liberalization of the postal market has beenpostponed for another two years. This brings additionalbenefit for the Post AG, which is also the only postalservice exempt from turnover tax in offering universalservice, creating a de facto extension of the postalmonopoly. The new law grants exemptions only tonewspaper delivery companies, which are exclusivelyowned by media enterprises or publishers themselves,but this does not to apply to cooperation with thirdparties, such as logistics companies.

State Support Press subsidy was awarded for the first time on a newstatutory basis in 2004. For criteria, please see the table‘13.a Subsidies generally’ in this country report.

In 2009, newspapers obtained press subsidies from theAustrian federal budget (for criteria, see World PressTrends 2005, page 156) totalling EUR12.84 million. Ofthe total sum, 14 daily newspapers received EUR2.44million in the form of a distribution subsidy, while sevendaily newspapers were awarded a total of EUR6.64million as a “special subsidy to preserve regionaldiversity”. Thirty-seven weekly newspapers receivedsubsidies totaling EUR2.08 million in 2009. A total ofalmost EUR1.67 million was disbursed under theheading “quality assurance and support for the future”,which also includes training for journalists, subsidies tocover costs of contractual foreign correspondents, andsubsidies for reading newspapers at school, as well aspress-related research projects. By way of comparison,the public service broadcaster ORF is funded annuallywith state aid from license fees in an amount of overEUR530 million.

In October 2009, the European Commission/Directorate General for Competition concluded itsinvestigation on the financing regime of the publicbroadcasting corporation ORF, triggered in part bystrenuous efforts from the Austrian Newspaper

Association (VÖZ). The EC decided to discontinue theinvestigation under the EC Treaty state aid rules, afterAustria formally committed itself to change the relevantlegal framework. The changes in question concernparticularly the spelling out of the public contractobligations of the special-interest TV channel ‘ORFSport plus’ as well as of the planned channel focusing onculture and news, together with the specification of thecurrent online contract obligations of the ORF plusprovisions for new audiovisual services. In addition,reasonable steps are supposed to be taken to preventover-compensation and cross-subsidization and toensure respect for market principles in commercialactivities.

A government draft of a new ORF Act revealed from theoutset serious discrepancies compared with EUguidelines, and is certainly not inspired by the basic ideaof developing a twin-track broadcasting system inAustria. The draft bill submitted to Parliament includesonly minor improvements over the original law. Forpublishing media companies, the key issue of the onlineactivities of ORF is treated inadequately as there is noclear limitation in regard to its public service mission,nor any quantitative restriction on the share ofadvertising content in the online offerings of ORF.VÖZ, on the other hand, has demanded a clearlycircumscribed definition for the online activities of theORF, which should not be in any case a part of thepublic service obligations. In addition, the law shouldprevent ORF from offering commercial online servicesgoing beyond its public service mandate. There shouldbe a media authority in charge of overseeing this publicservice function and investigating any violations of it;however, this oversight function is not adequatelyprovided for in the bill.

The desire of the ORF and of some regional politiciansto weaken the existing regional television advertising banthrough the new draft law and thereby further expandthe ORF’s advertising slots has so far been thwarted bythe VÖZ through targeted lobbying, but the possibilitypersists. This would mean a serious threat to theexistence of regional media companies, with a massiveshift of advertising spending away from the privateregional media to the ORF an inevitable consequence.

Other Factors Because the existing collective agreement on standardcontracts for staff journalists carries extraordinarybenefits (15-month annual salary, double-step incomeprogression in the first six years of their career, up toseven weeks annual leave etc.), this represents a substantial burden and a significant competitivedisadvantage for the publishing houses. The AustrianNewspaper Association (VÖZ) is negotiating with thejournalists’ union over a new contract, reflectingcontemporary minimal standards. An outcome isunlikely before summer 2010 at the earliest.


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Source: CIA – The World Factbook; US State Department; VÖZ – Austrian Newspaper Association; FDN Newsletter; Ars Technica; WAN-IFRA archives

After years of difficult negotiations, the AustrianNewspaper Association and the journalists’ unionreached an agreement for the new Austrian PressCouncil in late 2009. This ‘Association for Self-Regulation of Austrian Press - Austrian Press Council’,founded on March 26, 2010, will henceforth act as a bridging organization for two senates, each composedof six journalists and chaired by a legally qualified personthat will judge complaints on the basis of the Code ofHonour adopted by the Austrian press.

The Austrian Newspaper Association created a new prizein 2009 for outstanding scientific work conducted atuniversities or technical colleges. Submittedworks/papers may represent research related to themedia market in Austria and should at least also dealwith areas pertaining to the situation of newspapers andmagazines. In this context, works in the field ofeducation and democracy research as well as mediateaching and media economics may also be selected. Theworks/academic papers will be reviewed by a scientificadvisory board. The award ceremony will be held for thefirst time in autumn 2010.


0-14 1,261 15.1 647 15.9 614 14.315-24 1,023 12.2 521 12.8 502 11.725-34 1,087 13.0 545 13.4 542 12.635-44 1,342 16.0 675 16.6 667 15.645-54 1,252 15.0 627 15.1 625 14.655-64 936 11.2 455 11.2 481 11.265 + 1,454 17.4 598 14.7 856 20.0Total 8,355 100 4,068 100 4,287 100

Source: Statistics Austria


2.b Population by social class and sex (2009)

Social class All adults Male Female000 % 000 % 000 %

A+B 2,123 30.0 1,195 34.9 928 25.4C1 1,440 20.4 724 21.2 716 19.9C2 1,408 19.9 696 20.3 712 19.5D 1,408 19.9 605 17.7 803 22.0E 690 9.8 202 5.9 488 13.4Total 7,069 100 3,422 100 3,647 100

Source: Media Analysis Report 2008/2009

Occupancy Households000 %

1 person 1,261 35.42 people 1,014 28.43 people 574 16.14 people 469 13.15 or more people 248 7.0Total 3,566 100

Source: Statistics Austria – Microzensus2008

2.ca Households (occupancy)(2008)

Occupancy Households000 1 %

Without children 901 39.0With children 1,425 61.0

aged 0-15 792 38.3Total 2,326 100

Source: Statistics Austria – Microzensus2008

2.cb Households ( children)(2008)

2.d Housewives (co-habitingpersons) (2009)

Age Housewives000 %

Under 25 126 4.025-34 499 15.935-44 651 20.845-54 617 19.755-64 483 15.465 + 755 24.1Total 3,131 100

Source: Media Analysis 2009


AUSTRIA

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 17 21 21 19 19 11,76 0.00Total paid-for dailies 1 16 17 17 16 16 0.00 0.00National paid-for dailies 6 7 7 7 7 16.67 0.00Regional and local 10 10 10 9 9 -10.00 0.00paid-for dailiesMorning paid-for dailies 16 17 17 16 16 0.00 0.00

Total free dailies 1 4 4 3 3 200.00 0.00Regional and local 1 4 4 3 3 200.00 0.00free dailies

Total non-dailies 2 213 210 247 243 223 4.69 -8.23Total paid-for non-dailies 110 115 120 118 87 -20.91 -26.27National paid-for - - - 9 9 - 0.00non-dailiesRegional and local - - - 109 78 - -28.44paid-for non-dailies

Total free non-dailies 103 95 127 125 136 32.04 8.80Regional and local 103 95 127 125 136 32.04 8.80free non-dailies

Source: Austrian Press Handbook1 In 2006-2009 including the daily Österreich, which, due to large distribution

of free copies, is also called a ‘hybrid’ newspaper, that is one placed in-betweenpaid-for and free titles.

2 Number of titles listed in the Austrian Press Handbook (inclusive regional editions, exclusive combinations)


(000) Change (%)2005 2006 2007 1 2008 2009 2009/05 2009/08

Total dailies 2,311 2,895 2,988 2,957 2,869 24.15 -2.98Total paid-for dailies 2,111 2,322 2 2,406 3 2,348 4 2,305 5 9.19 -1.83National paid-for dailies 1,420 1,619 1,694 1,648 1,604 12.96 -2.67Regional and local 733 737 712 692 701 -4.37 1.30paid-for dailiesMorning paid-for dailies 2,111 2,322 2,406 2,348 2,305 9.19 -1.83

Total free dailies 200 573 582 609 564 182.00 -7.39Regional and local 200 573 582 609 564 182.00 -7.39free dailies

Source: ÖAK; M.A.K.neu, Mediacom; Publishers’ claims; VÖZ (calculation); WAN-IFRA (free dailies calculation)1 Average Monday-Saturday2 Including 283 thousand copies of the daily Österreich, which, due to large

distribution of free copies, is also called a ‘hybrid’ newspaper, that is one placed in-between paid-for and free titles.

3 Including 283 thousand copies of the daily Österreich4 Including 311 thousand copies of the daily Österreich5 Including 207 thousand copies of the daily Österreich


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 671 790 869 859 830 23.70 -3.38Total paid-for dailies 633 643 1 713 2 710 3 690 4 9.00 -2.82National paid-for dailies 424 433 506 499 481 13.44 -3.61Regional and local 209 210 206 211 209 0.00 -0.95paid-for dailiesMorning paid-for dailies 633 643 713 710 690 9.00 -2.82


Source: ÖAK; M.A.K.neu, Mediacom; Publishers’ claims; VÖZ (calculation)

Average Monday-Saturday1 Including 85 million copies of the daily Österreich, which, due to large

distribution of free copies, is also called a ‘hybrid’ newspaper, that is one placed in-between paid-for and free titles.

2 Including 86 million copies of the daily Österreich3 Including 93 million copies of the daily Österreich4 Including 15 million copies of the daily Österreich

4.a Total number of copies sold or distributed annually

(%)2005 2006 2007 2008 2009 1

Single copy sales 13.71 14.01 12.01 11.33 10.52Subscriptions 71.41 65.06 66.97 69.34 71.08Bulk - - - 5.49 5.33Free distribution 9.82 14.18 13.87 12.55 12.24Other 2 5.04 6.75 7.15 1.29 0.83Total 100 100 100 100 100

Source: 2006 ÖAK (Final Reports 2001-2006, Average Monday-Saturday); 2007 ÖAK (Final Reports 2001-2007, Average Monday-Saturday), M.A.K. neu; 2008 Calculation by VÖZ 2008; 2009 ÖAK

On January 1, 2004, the reformed guidelines of the ÖAK came into force, including changes in the definition of paid circulation. Therefore, 2004 and 2005 data are not comparable with those of previous years.1 Including paid-for dailies and hybrid (paid/free)2 Including Office and Bulk (sponsored) deliveries in 2005-2007

4.c Type of newspaper sales

(Austria, euro)average

Single copy 1.02Subscription 0.75

Source: Calculation by VÖZ


(%)Reached

All adults 75.0Men 76.9Women 73.2Main household shopper 76.4


5.a Newspaper reach (2009)

5.b Age structure of readership(2009)

Age % % daily reachof readership within age

group

14-19 7.2 64.020-29 13.9 69.930-39 16.1 72.240-49 20.2 77.650-59 15.5 78.760-69 14.1 82.470+ 13.0 76.0Total 100 75



AUSTRIA

(minutes per day)2002 2003 2004 2005 2006

All newspapers 30 - - - 41Regional and local newspapers - - - - 31

Magazines - - - - 35Radio 209 - - - 195Television 162 - - - 183Internet 25 - - - 84

Source: 2002 Radiotest, Teletest, MTU’s, AIM-Spezial; 2006 Regioprint 2006

6,263 CASI/CAPI interviews conducted in 2006, age 14+, subjective estimation of consumption the day before

5.c Media consumption

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 5,080 5,033 4,887 5,117 5,299 4.31 3.56

Source: Media Analysis

5.d Number of readers

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies - - - 2,734 2,589 1 - -5.30

Source: 2008 ÖWA Plus 2008-2; 2009 ÖWA Plus1 Data related to all online platforms associated with daily newspapers;

2009 data cannot be compared with 2008 because of different population

6.b Online readership

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 16 16 15 15 15 -6.25 0.00

Source: Austrian Press Handbook

6.a Online editions

Newspaper Website Unique visitors per month(000)

Kronen Zeitung krone.at 896Der Standard derstandard.at 760Kleine Zeitung kleinezeitung.at 561Kurier kurier.at 543Die Presse diepresse.com 492

Source: ÖWA Plus 2009 – IV

6.c Top daily newspaper websites (2009)

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 1,771.6 2,380.0 2,521.0 2,047.0 2,142.0 20.91 4.64Internet users 4,771.4 5,261.0 5,762.6 6,075.4 6,143.6 28.76 1.12




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Broadband subscribers 1,174 1,432 1,622 1,729 1,878 59.97 8.62



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Mobile cellular subscriptions 8,665 9,281 9,912 10,816 11,773 35.87 8.85


(Austria, euro, bln)2005 2006 2007 2008 2009

GDP 245.1 257.9 272.8 1 282.0 1 277.9 1

Source: Statistik Austria1 Estimate


(Austria, euro, 000)2005 2006 2007 2008 2009

GDP per capita 29.8 31.1 32.8 1 33.8 1 33.1 1

Source: Statistik Austria1 Estimate


(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.87 0.88 0.91 0.93 0.92 0.93 0.93 0.91



(Austria, euro, mln)2005 2006 2007 2008 2009 2010 2011 20121

Press 1,255 1,320 1,446 1,526 1,422 1,433 1,454 1,474Newspapers 833 882 974 1,017 987 993 1,005 1,018Magazines 422 438 472 509 435 440 449 456

Television 508 545 597 623 608 618 629 638Radio 172 170 170 178 167 169 171 1735Cinema 14 15 15 14 11 11 11 12Outdoor 157 170 171 180 180 182 185 188Internet 28 37 65 108 135 157 174 189Total 2,134 2,257 2,464 2,629 2,523 2,570 2,624 2,674

Source: Focus Media Research; ZenithOptimedia

Excludes agency commission; excludes production costs; excludes classified adver-tising (except online); before discounts; online includes actual figures for displayand estimates for search

7.ba Advertising expenditure per medium

(pages & page equivalents)2005 2006 2007 2008 2009

Total 123,243 129,978 150,169 154,554 150,622

Source: Focus Media Research

7.d Advertising volume sold

Advertising sector Expenditure (Austria, euro, 000)

Food 110,625Public Institutions 83,489Fairs/Events/Exhibitions 62,170Car Manufactures 56,311Banks 54,421Telecommunications 48,298Furniture (Retail) 41,769Digital Media 41,050Print Media 39,972Marketing/Advertising/ 35,758Printing

Source: Focus Research

7.f Top newspaper advertisingcategories (2009)

Advertiser Expenditure (Austria, euro, 000)

Hofer (Aldi) 38,105Spar Austria 33,467Media Saturn Group 22,857Rewe Austria 21,953Telekom Austria 20,617ORF – Austrian Broadcasting 17,583Raiffeisen 16,667News – Publishing Company 16,039Press and Information 15,790Services Vienna

L’Oreal Austria 14,716

Source: Focus Research

7.g Top newspaper advertisers(2009)


AUSTRIA

Publishing company Total circulation (000)

Krone-Verlag GmbH. & Co. KG 800Kleine Zeitung GmbH. & Co. KG 268Kurier-Zeitungsverlag und Druckerei GmbH. 149Mediengruppe Österreich 120Wimmer Medien 98Schlüssel Verlag J. S. Moser 87Standard Verlagsgesellschaft 66Die Presse Verlagsgesellschaft 66Salzburger Nachrichten Verlagsgesellschaft 66Eugen Ruß Vorarlberger Zeitungsverlag und Druckerei Gesellschaft 63

Source: ÖAK

Due to methodical changes, any comparisons to data published in this table in previouseditions of World Press Trends may be misleading.

8.a Top publishing companies (2008)

Title Founded Language Publishing company Circulation 3 Readership Cover price Format Full page ad rate Colourusual max usual max

(year) (000) (000) (Austria, euro) (Austria, euro)

Kronen Zeitung 1959 German Krone Verlag 819 2,853 1.00 - 196 x 265 mm 29,971.50 299,715.00Kleine Zeitung 1904 German Kleine Zeitung 279 858 1.00 - 200 x 275 mm - -Kurier 1954 German Kurier Zeitungsverlag 161 618 1.00 1.20 266 x 413 mm 22,848.00 22,848.00Österreich 1 2006 German Mediengruppe Österreich 148 2 671 0.70 1.00 216 x 315 mm - -OÖNachrichten 1945 German Wimmer Medien 110 322 1.00 1,40 270 x 410 mm 12,628.00 16,564.00

Tiroler Tageszeitung 1945 German Schlüssel Verlag J. S. Moser 90 331 1.10 1.40 284 x 430 mm 15,514.40 155,144.00Die Presse 1848 German Die Presse Verlagsgesellschaft 77 262 2.00 - 266 x 421 mm - -Der Standard 1988 German Standard Verlagsgesellschaft 75 394 1,40 1.60 271 x 428 mm 18,690.00 18,690.00Salzburger Nachrichten 1945 German Salzburger Nachrichten 71 262 1.00 1.30 410 x 270 mm 10,799.00 15,119.00

VerlagsgesellschaftVorarlberger Nachrichten 1887 German Eugen Ruß Vorarlberger 64 200 1.00 1.50 278 x 435 mm - 9,824.00

ZeitungsverlagWirtschaftsblatt 1995 German WirtschaftsBlatt Verlag AG 23 81 2.00 - 266 x 410 mm - 8,950.00

Source: Austrian Press Handbook; ÖAK 20091 Due to large distribution of free copies, Österreich is also called a ’hybrid’ newspaper, that is one placed in-between paid-for and free titles.2 ’Sold circulation with expanded bulk sales,’ calculated as a sum of direct copy sales and bulk sales if the share of bulk sales is not larger than 35.0% of the sum of direct

copy sales and bulk sales.3 ’Sold circulation,’ calculated as a sum of direct copy sales and bulk sales if the share of bulk sales is not larger than 17.5% of the sum of direct copy sales and bulk sales.


Title Founded Language Publishing company Circulation Readership Format Full page ad rate Colour(year) (000) (000) (Austria, euro)

Heute 1 2004 German AHVV Verlags GmbH 530 712 203 x 272 mm 19,548Oberösterreichs Neue 2006 German Neue Medien Verlags GmbH 60 - 199 x 272 mm -TT Kompakt - German Schlüsselverlag J. S. Moser GmbH 2 9 - 212 x 275 mm -

Source: Austrian Press Handbook; Publishers’ claims; FDN Newsletter1 Distributed in Vienna, St. Polten, and Linz; Graz edition closed down on July 6, 2007 (last issue published)2 Publisher of paid-for newspapers the Tiroler Tageszeitung and the Neue Zeitung fur Tirol


11. Research (2009)

Circulation is audited byÖsterreichische Auflagenkontrolle (ÖAK) – AuditBureau of Circulation: www.oeak.at

Readership is measured byVerein Arbeitsgemeinschaft Media-Analysen – MediaAnalysis: www.media-analyse.at

MethodologyMedia Analysis: 16.053 interviews (CAPI/CASI) runthroughout the year with a disproportionate randomsample aged 14+.Source: VÖZ

Tax %

Standard VAT 20VAT on:

Single copy sales 10Subscription sales 10Advertising 20Newsprint 20Composition 20Plant 20

Tax on profits – standard rate 34Tax on profits for newspapers 34Tax on advertising 5

Source: VÖZ

12. Taxes (2009)


AUSTRIA

13.a Subsidies generally (2009)

Are there subsidies for the purchase of newsprint?No

Are loans granted at low rates for re-equipment orimproving existing equipment?There is no general subsidy for capital investment, butpreferential loans are available in the Vienna region.

Are there any direct subsidies?All Austrian newspapers may apply to a committee foreither a general subsidy or a special subsidy. The generalsubsidy is for all dailies and weeklies. The special subsidyis available to smaller dailies with less than 15%coverage and 22% advertising pagination.

The press subsidy was awarded for the first time on a new statutory basis in 2004. The subsidy nowencompasses three areas: the sales subsidy (distribution),‘the special subsidy of the press’ and ‘the qualityassurance and a subsidy for the future’. The sales subsidyis available for all daily and weekly newspapers that meetcertain criteria, such as a minimum circulation (10,000sold copies for daily newspapers / 5,000 sold copies forweekly newspapers) and being of more than a purelylocal interest. Daily newspapers are subsidized withequal sums, while weekly newspapers obtain a subsidyfor the first 15,000 copies sold on subscription. ‘Thespecial subsidy of the press’, reserved exclusively fordaily newspapers, is to maintain the diversity ofnewspapers. Leading daily newspapers on the market(nationwide and regional) are excluded from this type of subsidy; the same applies for daily newspapers withover 100,000 sold copies. Daily newspapers worthy of a subsidy receive a uniform basic sum and additionalfunds for the first 25,000 sold copies. ‘The qualityassurance and subsidy for the future’ is intended topromote training for journalists. Newspapers can alsoapply for subsidies to cover costs of their contractualforeign correspondents and for training modules fortheir journalists. A new subsidy for reading is toencourage reading of daily and weekly newspapers atschools. A subsidy for press-related research projects isalso new. It covers up to 50% of the project costs.

Source: VÖZ

(Austria, euro, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Special subsidy of the press 6.6 6.6 6.6 6.6 6.6 0.00 0.00Sales subsidy 4.5 4.5 4.5 4.5 4.5 0.00 0.00Quality assurance 1.0 1.7 1.7 1.7 1.7 70.00 0.00and future promotion subsidyTotal amount 12.1 12.9 12.8 12.8 12.8 5.79 0.00

Source: Austrian Communications Authority (KommAustria),http://www.rtr.at/de/ppf/Uebersicht2009


Discount on rates of Discount rate (%)

Post 0Railroad 0Telephone 0Telegraph 0Telex 0

Source: VÖZ

14. Discounts (2009)

15a. Ownership laws and rules (2009)

Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?

Except for specific merger control provisions (see belowthe question no. 5) there are no special provisionsgoverning ownership or the registration of shares innewspaper publishing companies. The general rulesapply.

Is there any law prohibiting or restricting foreign companiesor individuals from owning shares, and in particular, themajority of shares, of domestic daily newspapers?No

Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?

Parliament enacted the Private TV Broadcasting Act on5th July 2001, opening up the market for privateterrestrial TV. The media clause of the Act allowsnewspaper publishers to hold 100% of a TV operator,except that publishers with a 30% share of the nationalnewspaper readership may not own the national TVoperator, and publishers with a 30% share of a region’snewspaper readership may not own a TV operator inthat region.

There is no restriction for publishers to operate a radiobroadcasting station in the same locality (Private RadioBroadcasting Act 2001).

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company? According to the Media Act, a publication must disclosethe identity of its owners/stakeholders and parentcompanies as well as controlling interests in othercompanies.

Is there an antitrust law limiting concentration in the dailypress? The merger control provisions of the Austrian Cartel Act(KartG) provide specific thresholds for the notificationof media mergers to the Federal Competition Authorityand specific conditions for the approval of mediamergers by the Federal Competition Authority:


AUSTRIA

Generally, an intended merger (in particular: theacquisition of a business undertaking or a controllingstake) must be notified if, (i) in the last business year thecombined worldwide turnover of all the undertakingsinvolved exceeded EUR300 million, (ii) the combinedAustrian turnover of all the undertakings involvedexceeded EUR30 million and (iii) the individualworldwide turnover of at least two of the undertakingsinvolved exceeded EUR5 million each. In respect of (i)and (ii), the turnover of media undertakings and media service undertakings has to be multiplied by afactor of 200; the turnover of media supportundertakings (e.g. printing houses) must be multipliedby a factor of 20.

The Federal Competition Authority may initiate theexamination of the intended merger with the CartelCourt. The Cartel Court will issue a prohibition

decision if it considers that the intended merger wouldcreate or strengthen a dominant market position or, incase of a media merger, that it is suited to impair themedia diversity.

Whereas mergers falling within the jurisdiction of theEuropean Commission are generally not subject toAustrian merger control (‘one-stop shop’ principle),media mergers require a parallel notification of theFederal Competition Authority (the Austrian mergercontrol proceedings will in such case be limited toexamine whether the intended merger will impair themedia diversity).

Is further regulation of media concentration expected?No

Source: VÖZ

15.b Cross–media ownership restrictions (2009)

Owners Regional TVs National TVs Regional Newspapers National Newspapers Radio

Regional TVLicensees

Allowed 100% as long as areas

don’t overlapForbidden Allowed 100% Allowed 100% Allowed 100%

National TVLicensees Forbidden Only one private

national TV licence Allowed 100% Allowed 100% Allowed 100%

RegionalNewspaperOwners

Allowed 100%, as long asowner does not cover more

than 30% of readership in region


than 30% of readership in Austria

Cartel Act Cartel Act Allowed 100%

NationalNewspaperOwners


than 30% of readership in region


than 30% of readership in Austria

Cartel Act Cartel Act Allowed 100%

Satellite TVBroadcasters Allowed 100% Allowed 100% Allowed 100% Allowed 100% Allowed 100%

Local RadioLicensees

Allowed 100% as long asthe radio has no more than

30% of the audience in the region


30% of the nationwideaudience

Allowed 100% Allowed 100%

Allowed 100% but everyregion may only be coveredonce by one owner (twice

by one media chain)

National RadioLicensees


30% of the audience in the region


30% of the nationwideaudience

No national licence No national licence

Allowed 100% but everyregion may only be coveredonce by one owner (twice

by one media chain)

Foreign Investors EEA companies: 100% Others: 49%

EEA companies: 100% Others: 49% Allowed 100% Allowed 100% EEA companies: 100%

Others: 49%

Source: VÖZ


BELARUS

General economic situation GDP growth has been strong in recent years, reaching10% in 2008, despite the roadblocks of a tough,centrally directed economy with a high rate of inflation.Belarus receives discounted oil and natural gas fromRussia and much of Belarus’ growth can be attributed tothe re-export of Russian oil at market prices. Trade withRussia, by far its largest single trade partner, decreased in2007-08, largely as a result of a change in the way thevalue added tax (VAT) on trade was collected. Russia hasintroduced an export duty on oil shipped to Belarus,which will increase gradually through 2009, and a requirement that Belarusian duties on re-exportedRussian oil be shared with Russia; 80% was slated to goto Russia in 2008, and 85% in 2009. Russia’s recentpolicy of bringing energy prices for Belarus to worldmarket levels may result in a slowdown in economicgrowth in Belarus over the next few years. Externalborrowing has been the main mechanism used tomanage the growing pressures on the economy. Theinflation rate was estimated at 12.5% in 2009.

Performance of newspapers vs. other media According to the Belarus Ministry of Information, inFebruary 2009 there were 158 radio stations (twonationwide) and 71 television stations (six nationwide)oficially registered in the country.

Since February 8, 2009 till February 1, 2010, theMinistry of Information of Belarus registered 11 newbroadcasting media outlets (4 radio-programs and 7 TVprograms), including 7 non-state broadcastingcompanies.

State-owned media dominated the information field andmaintained the highest circulation and viewership.

Of the 71 television broadcasters in Belarus, 41 areprivately owned. The only television with national reachoutside of governmental control is the First MusicChannel. The others are small local stations offering a small amount of their own programming, whichconsists mostly of personal messages (like birthdaygreetings) and some daily local news in which thegovernment is never criticized. In fact, localgovernments frown on any critical reporting at all.

Euronews and Russian channels First Channel, NTV,and RTR were generally available, although onlythrough paid cable services in many parts of the country.Their news programs were at times blocked or replacedwith local programming. Broadcasts from othercountries, including Poland and Lithuania, could bereceived in parts of the country, usually along the border.

Only the state-run radio and the state-run televisionnetworks ONT, the First National Channel, STV, and

LAD were allowed to broadcast nationwide. Thegovernment continued to use its virtual monopoly ontelevision and radio broadcasting to disseminate itsversion of events and minimize all opposing viewpoints.State television coordinated its propagandadocumentaries with the country’s security services.

Local independent television stations operated in someareas and reported local news; however, most were undergovernment pressure to forego reporting on nationalissues or risk being censored. Such stations werefrequently pressured into sharing materials andcooperating with authorities to intimidate localopposition and human rights groups that met withforeign diplomats.

Domestic radio broadcasters are hardly producing anynews of their own. Instead, they rely on BelTA, Interfax-Zapad, and the Internet. International radio companiestargeting Belarus, including the ERB, Radio Racyja, andRadio Liberty, do produce their news, yet their reach isvery limited. Some, such as ERB and Radio Liberty, aremore important as Internet news agencies, with otherInternet portals using their news.

On October 1, 2009, private radio station Avtoradiodiscontinued broadcasting an international, political,cultural news and music show, produced jointly with theEuropean Radio for Belarus, after an InformationMinistry warning that the station would be shut down.

Belarus has four traditional news agencies, and only oneof them is state-owned, according to the Ministry ofInformation.

The independent news company BelaPAN hastraditionally won accolades for its high-quality reportingand its broad spectrum of services: news subscriptions,the e-paper Naviny.By, photos, infographics, audio,video, and multimedia content.

State-owned BelTA is the mouthpiece of thegovernment. It offers news, photo services, andinfographics and publishes the weekly 7 Dnei and several journals. Separately, BelTA is buildingwebsites for local governments and state-ownednewspapers and is supplying them with national news.

Two more prominent market players, Interfax-Zapadand Prime-TASS, are Russian-owned. A monthly newssubscription would cost around USD300, according to a Belarusian media expert. Most media can afford to buynews from one company only, and a handful of big state-owned media covering international news can afford andmake use of subscriptions to international news (AFP,Associated Press, and Reuters).



BELARUS

Performance of different types of newspapers According to the Belarus Ministry of Information, inFebruary 2009 there were 1,305 print media outlets,including 663 newspapers, among them nine dailies,594 magazines and journals, 42 bulletins and sixcatalogues oficially registered in the country.

As of February 1, 2010, 67.3% of printed media (733periodical editions), including 72.1% of non-stateprinted media (527 periodicals) passed the stage ofofficial re-registration.

Since February 8, 2009 till February 1, 2010, theMinistry of Information of Belarus registered 152 newprinted periodical editions, including 119 non-statemedia. The majority of registered periodicals deal withentertainment and advertising.

Advertising The law limits advertising to 20 percent of total dailybroadcast time and 30 percent of prime time (6 p.m. to10 p.m.). For the press, advertising is restricted to 30percent of content in non-state, general newspublications and 25 percent in state-owned.

In 2009, the Belarusian advertising market dropped 20percent to a total of USD92.4 million, according toadvertising group ZenithOptimedia. To certain degree,the loss was offset by the aforementioned devaluation ofthe local currency against the U.S. dollar. Still, televisionremained the dominant advertising medium, with 60percent (USD56 million) of total advertising spent.Print generated USD14 million, the Internet USD6million, and radio USD5.4 million.

The advertising market is rather underdeveloped,especially outside the capital. There are a lot of creativeagencies, very few media agencies, and not a singledigital agency. Even at the biggest of agencies, only oneperson might be tackling media planning and mediaplacement.

Budget-wise, multi-national giants like Procter &Gamble and Colgate-Palmolive and domestic mobiletelephone operators continued to dominate the market.Their marketing accounts are still managed by biginternational advertising agencies and the money is bycustom channeled to the national television networksoffering the broadest reach. Still, they do sustain other media. Despite the huge discounts they demand, these agencies buy newspaper space or air timewell in advance, thus helping the media to close cashflow gaps.

Traditionally, regional media companies have relied onclassified advertising from local small business andmedium-sized businesses, but 2009 saw a morepronounced influx of national advertisers.

Authorities warned businesses not to advertise innewspapers that criticized the government.

Circulation According to Medusa Advertising Agency, top threedaily newspapers in terms of circulation in December2009 were Sovietskaya Belorussia – Belarus Segodnya(state-owned, 2,000,000 weekly circulation),Komsomolskaya Pravda v Belorussii (independent,558,000 weekly circulation), and Respublika (state-owned, 271,250 weekly circulation).

Government-controlled print media also capitalize oninflated state-imposed subscriptions. Private businesses,state companies, and even government officialsthemselves have to subscribe to two newspapers andthen send receipts to ideology bosses at localgovernments. Typically, these are the SovietskayaBelorussia - Belarus Segodnya, the organ of presidentLukashenka administration, and a local state-ownednewspaper.

Readership State television continued to dominate media market in2009. In a September independent opinion poll, 89.8percent of Belarusians aged 18 and older said that theywatch state-owned national television channels; 85.0mentioned Russian television; 47.2 cited local televisionstations; 40.9 said cable television; and 22.2 namedsatellite television. In a March 2009 survey by the samepollster, only 5 percent said they were watchingindependent donor-funded satellite television Belsat.Novak, a television audience research company, reportedthe following weekly audiences for state televisionchannels: ONT, 2.42 million; NTv-Belarus, 875,000;Channel One, 620,000.

According to the same March 2009 survey, 50.9 percentlistened to state radio and 50.8 percent to private FMstations offering mostly entertainment content.Independent broadcasters based outside Belarus reachedfar smaller audiences: European Radio for Belarus, 3.6percent; Radio Racyja, 2.4 percent; and Radio Liberty(Belarusian service), 2.1 percent. (The margin of errorfor the survey was 3 percent.) These broadcasters alsoemployed the Internet as a key tool in distributing theircontent.

Meanwhile, the Internet is evolving as an increasinglyimportant source of news: 7.3 percent said in theaforementioned March 2009 survey that they arereading news on the Internet. In October 2009 theweekly audience of Belarusian news websites totaledaround 250,000 visitors, according to Gemius, anInternet research company. Blogs and social networkshave hardly become a source of news on their own, andsome “traditional” media have representation online.Internet access remains faster and cheaper in moreurbanized areas. New media technology is available,


BELARUS

Internet via mobile phones, for instance, but theiradoption remains relatively low.

Online / Digital Publishing The government partially restricted access to theInternet, and monitored e-mail and Internet chat rooms.Many individuals and groups were generally able toengage in the peaceful expression of views via theInternet, including by e-mail.

The state controls all international Internet traffic.However, costs are decreasing and bandwidth isincreasing. Belarus’s direct Internet connection withother countries (Russia and Poland) reached a totalbandwidth of 22 Gbps as of the end of 2009, up from 5Gbps a year earlier. At the same time, Internet fees havelowered considerably: a 1 MB ADSL connectionwithout a traffic cap costs around USD35 a month,down from USD500 a year earlier.

Approximately 30 percent of the population had accessto the Internet, and Internet use was highest in urbanareas. Access was restricted by relatively high costs andlack of high-speed services. On occasion state providersblocked independent and opposition Web sites duringmajor political events.

The authorities freely monitored Internet traffic.Internet cafe owners were required to maintain recordsof their customers and submit them to governmentsecurity services. By law Beltelekam and otherorganizations authorized by the government had theexclusive right to maintain Internet domains.

In response to the government’s interference andInternet restrictions, many opposition groups andindependent newspapers switched to Internet domainsoperated outside the country. The few remainingindependent media sites with domestic “.by” domainspracticed heavy self-censorship.

Ownership Although the law orders disclosure of the direct ownersof media, the real proprietors are not always apparent toan average reader or viewer. This is even more an issue incase of online media or blogs that remain largelyunregulated. Media ownership is hardly concentratedother than by the state. The only foreign investment inthe media industry is from Russia. In addition to the twoaforementioned news agencies, Russian businesses ownpopular daily Komsomolskaya Pravda v Belorussii andthe weeklies BelGazeta and Argumenty i Fakty.

Media / Press Laws The constitution provides for freedom of speech and ofthe press; however, the government did not respect theserights in practice and enforced numerous laws to controland censor the media.

Individuals could not criticize the government publiclywithout fear of reprisal. Authorities videotaped politicalmeetings, conducted frequent identity checks, and usedother forms of intimidation. Wearing masks, displayingunregistered flags, symbols, and placards bearingmessages deemed threatening to the government orpublic order are also prohibited.

The law also limits free speech by criminalizing actionssuch as giving information to a foreigner about thepolitical, economic, social, military, or internationalsituation of the country that authorities deem to be falseor derogatory.

Accreditation of journalists working for Belarus orforeign media, as well as the registration of offices, arerestricted by non-transparent and discriminatorydecisions of the authorities.

On February 8, 2009, a new media law entered intoforce that allows authorities to further restrict pressfreedoms. The law subjects online news sources to thesame regulations as print and broadcast media, requiresreregistration of existing media before February 8, 2010,mandates accreditation of journalists, and limits supportfrom foreign organizations to 30 percent.

According to media experts’ findings, the law contains a range of legal regulations that toughen state controlover media activity.

The media law orders existing print and broadcastoutlets to re-register with the Ministry of Information.Although the ministry manages registration ratherunrestrictively, at least half a dozen small-circulationregional bulletins were unable to register as newspapersunder the law. Their applications were repeatedlyreturned, neither denied nor approved. The ministrycited various dubious reasons for returns: a companybeing registered at a home address (most common), a newspaper’s specialization being non-compliant withpublishing standards, and would-be editors lackingjournalism diplomas and experience.

The Belarusian Association of Journalists (BAJ),monitoring the practical application of the new MassMedia Law adopted in February 2009, has drawn thefollowing conclusions:

* Re-registration of existing media outlets finished onFebruary 8, 2010. Generally, it was held withoutconflicts. However, in several cases the Ministry ofInformation refused to re-register some mediaorganizations. At the same time, a large number of mediaoutlets failed to submit documents for re-registration ontime. As of February 1, 2010, 67.3% printed media (733periodical editions), including 72.1% non-state printedmedia (527 periodicals) passed the official re-registration.From among broadcasting media, 52.8% of radio and


BELARUS

TV programs (121 media outlets), including 62.9% ofnon-state radio and TV programs (39 media outlets)passed the official re-registration. At the same time, fivenews agencies out of six agencies, existing in Belarus,passed the official re-registration. All five news agenciesare not owned by the state.

* Problems with registration of new media appearedsince August 2009. The Ministry of Information ofBelarus resumed preventing new socio-political mediaoutlets from getting official registration certificateswithout any good cause seven months after the newmedia law had come into effect. Registration of no lessthan seven new periodicals was refused. Some of themsaw their applications returned several times in a row.The Ministry of Information most often explained itsrefusals due to insufficient competence of editors-in-chief and improper premises for editorial offices.However, the new Mass Media Law does not provide fordismissals of registration applications due to suchreasons. Moreover, the law does not require to mentionthis information in the applications at all. On October7, 2009 the Ministry of Information changed theapplication form for registration of mass media, thusviolating the new Mass Media Law.

* Publishing of small-circulation periodicals that can beissued without any official registration has become morecomplicated. It is permitted to issue periodicals withoutany registration certificates, in case the print-run doesn’texceed 299 copies. According to the new Mass MediaLaw, publishers of small-circulation editions are obligedto present the output data and send several free copies tothe responsible state authorities. Thus, for example, fivestate institutions and organizations have to receive theperiodical and non-periodical editions, distributed in 10to 299 copies on the territory of Belarus. Moreover, thePublic Prosecutor’s Office for Kletsk district warned thepublisher of Boykiy Kletsk, a non-registered small-circulation newspaper, for failing to have the newspaperregistered as a legal entity. The Public Prosecutor’s Officefor Miensk region and the Prosecutor Generalconfirmed the warning.

The Ministry of Information amended its regulations onmedia registration in October 2009. Editors-in-chiefwere obliged to be graduates of higher education. Theywere also expected to have similar managerialexperience.

On October 12, 2009, the Information Ministry deniedregistration to the regional independent newspaperMahileuski Chas on the grounds that its chief editor“had no higher education diploma.” The newspaper’sregistration was denied on three separate occasionsduring the year.

On November 2, 2009, the Information Ministryrefused to register the regional publication Mar’yna -

horskaya Gazeta over its failure to secure a legal address,after local authorities pressured its landlord to terminatethe newspaper’s lease.

On November 10, 2009, the ministry deniedregistration to the regional independent newspaperPrefekt Plus, noting that the paper was located inresidential premises, which violated the media law.

During the year the ministry twice rejected a registrationapplication from regional newspaper Salihorsk-plus,claiming that the application did not comply with themedia law regulations.

On November 18, 2009, the Information Ministryreleased a statement that it had issued warnings to fournational independent newspapers, including the NashaNiva and the Narodnaya Volya, and noted that thesenewspapers could be closed for disseminating illegalinformation and other violations of the media law.Authorities sent a second warning to Narodnaya Volyaon December 24 for allegedly publishing falseinformation about media subscription rates in Minsk.

Journalists reporting for international media focused onthe country, such as the Warsaw-based independentsatellite channel Belsat and Polish radio station RadioRacyja, continued to receive warnings from theprosecutor’s office for working without accreditation.After enactment of the new media law, authorities sentwarnings to at least 20 independent journalists.

On April 1, 2009, the government suspendedbroadcasting of five popular Russian channels, includingTV Center International and Ren TV. These channelsfrequently broadcast critical and satirical pieces onLukashenka. A representative of the InformationMinistry claimed that there were no political groundsbehind the ban and asserted that cable providers hadmade a decision to remove the broadcasts based oneconomic calculations. The Russian channels alsoostensibly failed to obtain permits under the media lawfor broadcasts in Belarus.

On December 8, 2009, the Foreign Affairs Ministryrejected a third registration application from Belsat.

A court in Homyel fined independent journalistsZmitser Karmazin and Aleh Razhkou BYR700,000(USD250) each for participating in the InternationalMother Language Day rally on February 21, 2009. OnJuly 8, 2009, in Homyel, police detained Razhkou forthree hours and questioned about him over his coverageof an entrepreneur rally that day. Police searched hisbelongings and copied the photographs taken at theevent.

On April 16, 2009, law enforcement officers detainedand beat independent correspondent Uladzimir Grydzin


BELARUS

while he was photographing a police precinct on fire inMinsk. On April 21, 2009, independent journalist AlesLyubianchuk was fined BYR770,000 (USD275) forallegedly resisting police during his detention on April16.

On August 14, 2009, authorities deported two Russianjournalists from the television station NTV for filming a documentary about the 1999-2000 high-profiledisappearances. KGB officers questioned the journalistsand seized their electronic equipment and printedmaterials.

On October 22, 2009, Deputy Interior MinisterYauheni Poludzen stated that the government wouldtake measures to ensure that police did not obstructjournalists. According to Poludzen, ministry pressofficers would attend future mass public events, andmedia representatives would have to refer to them forany questions about the event. On November 27, 2009,Interior Minister Anatol Kulyashou echoed his deputy’sremarks, noting that the ministry would like to pursue“businesslike and open relations” with media.

The government censored the media. Many publicationswere forced to exercise self-censorship. Authoritieswarned, fined, or jailed members of the media whopublicly criticized the government.

The government tightly controlled the content ofdomestic broadcast media. In April 2007 the presidentstated that control of radio and television stationsremained a high priority for the government and thatprivate stations would not be allowed to operate in thecountry. He also stated that state publishing houseswould never sign contracts with independent mediapublications that violated media laws. On April 9, 2009,the president reiterated his earlier remarks and dismissedconcerns about “the closure of the Russian channels.”

Under the law, the government may close a publicationafter two warnings in one year for violating a range ofrestrictions on speech and the press. In addition,regulations give authorities arbitrary power to prohibit or censor reporting. The Information Ministrycan suspend periodicals or newspapers for three months without a court ruling. The law also prohibitsthe media from disseminating information on behalf of unregistered political parties, trade unions, andNGOs.

Under the law, libel is a criminal offense. Slandering andinsulting the president and public officials carry largefines and prison sentences of up to four years. The libellaw makes no distinction between private and publicpersons concerning defamation of character. A publicfigure who was criticized for poor performance while inoffice may sue both the journalist and the media outletthat disseminated the critical report.

On February 25, 2009, a court in Brest declared in a closed-door hearing that the popular independenthistory magazine ARCHE published “extremist”materials. KGB officers confiscated copies of themagazine from an independent journalist in October2008 and claimed that the publication, and particularlyarticles critical of the 2008 parliamentary elections,“discredited state activities, incited social and politicaltension,” and “posed a threat to Belarus’ security.”Following numerous appeals, the KGB dropped thecharges on June 23, 2009.

On February 8, 2009, a new media law entered intoforce. Under the law, the government may legally blockany unregistered Web sites, regardless of their origin.

On June 8, 2009, authorities blocked the Web site ofhuman rights group Charter97 after it posted a satiricalshow about Lukashenka and other materials criticizingthe government.

On June 23, 2009, traffic police in Schuchyn detainedUnion of Poles Deputy Chairperson MechyslauYaskevich, along with organization members andjournalists Andrzej Paczobut, Ihar Bantsar, and AndrzejPisalnik. Police seized 100 copies of the unregisterednewspaper Glos znad Niemna na uchodzstwie and theUnion of Poles’ magazine Magazyn Polski nauchodzstwie from them “for further examination” by thelocal ideology department. Issues of the magazinefeatured a satirical portrait of President AlexanderLukashenko on the front page.

On July 17, 2009, police officers banned eightopposition activists from distributing the independentweekly Novy Chas at the heavy machinery factoryBelAZ in Zhodzina and confiscated 500 copies of thenewspaper. Police also detained two of the activists,Raman Bahdanau and Alyaksandr Serhiyenka, forseveral hours.

In December 2009 President Alexander Lukashenkoissued a decree to tighten state control over the Internet.The draft decree on “protecting vitally importantinterests of the individual, society and the state” wouldset up a presidential “operative and analytical centre” toregulate the Internet. The centre would controlregistration of addresses in the national domain andrestrict information on the Internet. The decree wouldalso force Internet providers to hand over data on theirusers on requests from police, prosecutors, courts and taxofficials. Under Belarussian law, a presidential decree onlyrequires Lukashenko’s signature to come into force.Previously, Internet providers in Belarus had complainedthat the state-owned telecoms monopoly cut off access toindependent web sites during elections and referendums.

In December 2009 the Council of Ministers drafted a bill that would provide for registration of all Internet


BELARUS

media outlets and identification of all Internet users andwould allow authorities to block access to “extremist”and other objectionable Web sites. The bill, which wasnot subject to public discussion, would also makeInternet service providers accountable for informationreleased by customers. On December 30, 2009,President Alexander Lukashenko stated the governmentshould “establish order” on the Internet to “rigidlyregulate and hold responsible” Internet users.

Printing & Distribution The government retains ownership over supportingfirms like printing presses, distribution networks, thepostal service, and the telecommunicationsinfrastructure. As businesses, these are neitherprofessional nor efficient but might be profit-makinggiven the exorbitant fees they charge. They make moneyin areas other than providing services to the media.

Belsayuzdruk, a press distribution monopoly thatoperates more than 1,500 newspaper kiosks nationwide,sells everything from cigarettes to toothpaste andstationery. The postal service, Belposhta, retains a monopoly over press subscriptions has turned itsoffices into mini-banks.

Belsayuzdruk and Belposhta distribution systems limitaccess and circulation of non-state newspapers.Subsidized, state-controlled publications dominate theprint market. Private newspapers are discriminatedagainst in distribution, severely limiting their reach.Most notably, since 2005 the state has banned 10 out of 25 non-state publications from government-owned distribution and subscription networks. Thosepublications have to rely on their own in-housedistribution services.

The state-owned postal system, Belposhta, and the state-owned kiosk system, Belsayuzdruk, continued to refuseto deliver and sell 11 independent newspapers. In 2007Belposhta removed three popular Russian newspapers(Kommersant, Moskovskiy Komsomolets, andNezavisimaya Gazeta) from its subscription list.However, other Russian newspapers, including Izvestiya,were distributed. Media analysts asserted that thenewspapers were removed because of reporting critical ofLukashenka’s policies.

Since November 2008 authorities allowed independentnewspapers Narodnaya Volya and Nasha Niva and oneregional newspaper to be distributed through statedistribution systems after two- to three-year governmentbans. Narodnaya Volya also reached agreement withauthorities for the newspaper to be printed at a state-owned press in Minsk. The newspaper previously wasprinted in Smolensk, Russia, due to governmentharassment. However, while both papers were publiclyavailable, they were still subject to restrictions. InSeptember 2009 the state-owned Belsayuzdruk printing

company denied a request from the Narodnaya Volya toincrease its circulation from twice a week to three timesa week, claiming that it was “not possible to distributeadditional copies due to the massive output of otherperiodicals” on that specific day of the week.

The government took numerous other actions duringthe year to limit the independent press, includinglimiting access to newsprint and printing presses. Severalindependent newspapers, including Vitsyebski Kuryerand Tavarysch, printed materials in Russia becausedomestic printing presses (mostly state-owned) refusedto print them. Other independent newspapers, such asSalidarnasc and BDG, disseminated Internet-onlyversions due to printing and distribution restrictions.

Taxes A presidential decree of September 25, 2009 exemptsstate-controlled television channels ONT and STV fromVAT and income taxes for three years, on the conditionthat the outlets reinvest the money to upgrade theirtechnical facilities and buy and produce content. Just a month later, the National State Television and RadioCompany secured similar tax breaks.

State Support Businesswise, state-owned media enjoy subsidized rent,salaries, distribution, and printing on top of USD67million (down from USD75 million a year earlier) indirect funding from the state budget.

The state budget for 2010 approved on December 29,2009 provides for allocation of BYR167,185.3 million(about USD58 million) for financing of mass mediasubsidized by the state. The major part is allocated totelevision and radio broadcasting (BYR130,316.4million, or more than USD44 million); the sum ofBYR16,711.2 million is allocated for printed periodicalsand publishing houses, and BYR20,157.7 million forother issues in the sphere of mass media.

Other Factors Belarusian law requires editors-in-chief to have a diploma or degree in journalism and at least five yearsof managerial experience. That condition has been inplace for years and the labor inspectorate at the Ministryof Labor and Social Protection checks for compliance.The Ministry of Information has introduced thatrequirement of editors as a prerequisite for entitiesapplying to register a new media outlet.

In 2009, a journalist at a regional newspaper earned atleast USD300 a month in the regions and aroundUSD700 in the capital, according to a Belarusian mediaexpert. In local currency equivalents, salaries remainedthe same at best as a year earlier. Throughout 2009, theBelarusian ruble slumped 33 percent against the U.S.dollar, including a one-off devaluation of 20 percent toseek a USD2.5 billion loan from the International


BELARUS


Source: CIA – The World Factbook; US State Department; Belarusian Association of Journalists (BAJ); AFP; IREX – Media Sustainability Index 2010

Monetary Fund. In 2009, the median salary in Belaruswas around USD350 a month. Overall, journalistsworking for the state media remained better offcompared to their independent counterparts. Apartfrom higher salaries, state-owned media are still capableof securing subsidized housing loans for their employees.

Belarus has two working associations of mediaprofessionals. The Belarusian Union of Journalists (BUJ)is a “governmental” association uniting around 2,000professionals who work for state-controlled media. BUJhas been functioning so for more than 50 years. Amongother government officials, the deputy informationminister is on the BUJ board.

The 1,200-member-strong Belarusian Association ofJournalists (BAJ), meanwhile, works to protectindependents journalists’ rights via legal advice anddefense, professional development, and public advocacy.However, its resources remained stretched.

Each of the country’s two journalistic organizations, thegovernmental BUJ and the independent BAJ, has itsown code of conduct. The codes are quite universal: “It all boils down to the Ten Commandments,” a Belarusian media expert said. Another added, “Mediaoperate in such a narrow corridor that there is hardly anypossibility to violate ethical standards.”

Age All individuals Male Female000 000 000

0-15 1,415 728 68816-24 1,496 764 73125-34 1,478 747 73135-44 1,356 662 69445-54 1,550 732 81855-64 1,010 442 56865 + 1,367 437 930Total 9,672 4,512 5,160

Source: MIN STAT via ZenithOptimedia


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

All newspapers 748 1 718 2 710 3 673 4 663 5 -11.36 -1.49Total paid-for dailies 33 33 33 33 33 0.00 0.00

National paid-for dailies 14 14 14 14 14 0.00 0.00Regional and local 19 19 19 19 19 0.00 0.00paid-for dailiesMorning paid-for dailies 28 28 28 28 28 0.00 0.00Evening and afternoon 5 5 5 5 5 0.00 0.00paid-for dailies

Total non-dailies 715 685 677 640 630 -11.89 -1.56

Source: 2005-2008 Belarusian Association of Journalists; WAN-IFRA estimate; 2009IREX – Media Sustainability Index 2010; WAN-IFRA based on ZenithOptimedia data1 Registered titles, included in the total number of 1,187 registered printed

periodicals (newspapers, magazines, bulletins, catalogues, and almanacs)2 Registered titles, included in the total number of 1,224 registered printed

periodicals (newspapers, magazines, bulletins, catalogues, and almanacs)3 Registered titles, included in the total number of 1,264 registered printed

periodicals (newspapers, magazines, bulletins, catalogues, and almanacs); including 219 state-owned and 491 non-state titles

4 Registered titles, included in the total number of 1,307 registered printed periodicals (673 newspapers, 586 magazines, 42 newsletters, and 6 catalogues);of the total 1,307 registered printed periodicals, 409 were state-owned; of 673newspapers, 221 were state-owned; a large number of non-state media outletsdeals with entertainment and advertising; less than 30 non-state social and political periodicals have survived in the country, according to the BAJ estimate

5 Registered titles, included in the total number of 1,305 registered printed periodicals (663 newspapers, 594 magazines and journals, 42 bulletins, and 6 catalogues)


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 1,760 1,770 1,800 1,810 1,796 2.05 -0.77National paid-for dailies 1,450 1,450 1,470 1,480 1,471 1.45 -0.61Regional and local 310 320 330 330 325 4.84 -1.52paid-for dailiesMorning paid-for dailies 1,660 1,670 1,700 1,710 1,700 2.41 -0.58Evening and afternoon 100 100 100 100 96 -4.00 -4.00paid-for dailies

Source: WAN-IFRA assessment



BELARUS


Newspaper Website Unique visitors per month(000)

Komsomolskaya Pravda v Belorusii kp.ru 7

Source: Akavita via ZenithOptimedi

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 37.6 407.4 1,757.6 1,597.9 1,630.5 4,236.44 2.04Internet users 2,600.0 2,700.0 2,809.8 3,106.9 4,436.8 70.65 42.8



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Broadband subscribers 1.6 11.4 169.8 477.8 1,092.3 68,168.75 128.61



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Mobile cellular subscriptions 4,099.5 5,960.0 6,960.0 8,128.0 9,686.2 136.28 19.17



(Belarusian ruble, bln)2004 2005 2006 2007 2008

GDP 49,992 65,067 79,267 96,087 121,867



(Belarusian ruble, 000)2004 2005 2006 2007 2008

GDP per capita 5,075.3 6,639.5 8,138.3 9,916.1 12,589.6



(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.16 0.17 0.19 0.20 0.15 0.15 0.16 0.18




(Belarusian ruble, mln) 2005 2006 2007 2008 2009 2010 2011 2012

Press 27,950.0 27,899.0 32,272.5 38.727.0 30,121.0 36,145.0 43,460.0 52,066.0Television 55 900.0 75 113.0 114,029.5 154,908.0 120,484.0 133,393.0 165,666.0 198,799.0Radio 4,300.0 7,511.0 9 681.8 12,909.0 11,618.0 12,909.0 15,061.0 17,320.0Outdoor 17,845 20,388 25,818 29,691 23,667 27,324 32,703 39,157Internet 1,505.0 2,575.0 6,454.5 11,188.0 12,909.0 16,136.0 20,870.0 26,033.0Total 107,500.0 133,486.0 188,256.3 247,423.0 198,799.0 225,908.0 277,759.0 333,375.0


Excludes agency commission; excludes production costs; excludes classified advertising; before discounts; exchange rate used: USD1 = BHD0.38 (2008 exchange rate)


BELARUS


Title Founded Language Publishing company Circulation Readership Full page ad rateMono Colour

(year) (000) (000) (Belarusian ruble)

Sovietskaya Belorussia – Belarus Segodnya 1 1927 Russian - 503 1,073 8,201,844 8,201,844(Soviet Belarus – Belarus Today)Va-bank - Russian - 422 614 2,633,400 2,633,400Argumenty i fakty v Belarusi - Russian - 186 787 7,297,710 9,851,909Iz pervyh ruk - - - 72 - 1,656,720 -Komsomolskaya pravda v Belarusi - - - 55 627 2,646,065 3,174,851Belaruski chas - - - 55 - 1,725,750 -Respublika (Republic) - Russian Council of Ministers 54 256 10,980,857 -Moj gorod Brest - - - 50 - 3,027,227 3,784,033Vechernij Brest - - - 35 112 1,487,272 -Zviazda (The Star) 2 1917 3 Belarusian Government 33 47 3,681,600 3,681,600Gomelskaya prauda - - - 31 50 3,090,750 3,607,500Znamya yunosti - - - 28 53 2,237,625 5,742,750Obozrevatel - - - 25 103 975,000 7,410,000Vechernij Grodno - - - 22 71 620,208 -Vitsbichi 4 - Russian - 21 157 2,730,000 3,412,500Vecherniy Minsk - Russian / English Vecherniy Minsk OOO 19 98 3,152,526 3,152,526Dneprovskaya nedelya - - - 19 21 2,915,250 -Vechernij Mogilev - - - 19 88 2,730,000 -Grodzenskaya prauda - - - 18 61 1,817,790 2 363,127Zarya - - - 16 42 3,793,374 5 687,526Narodnae slova - - - 15 40 2,145,000 2 145,000Vitebskij rabochij - - - 13 62 1,755,000 1 950,000Grodzenskaya prauda - - - 12 - 255,765 255,765Vitebskij prospekt - - - 11 51 975,000 1,267,500Mogilevskie vedomosti - - - 11 56 3,022,500 3,607,500Minskij kurier - - - 10 48 2,600,130 3,796,650Mogilevskaya pravda - - - 9 18 2,466,750 -Brestskij kurier - - - 8 67 2,991,300 -Vesnik Magileva - - - 7 37 1,657,500 2,154,750Vechernij Gomel - - - 5 18 1,404,000 1,872,000100% (sto protsentov) - - - 5 111 1,333,200 -Telepanorama (Gomel) - - - 4 43 1,885,650 -Izvestiya - - - 2 41 15,437,733 15,437,733

Source: NOVAK via ZenithOptimedia; WAN-IFRA from public sources1 Since 1994 the newspaper is the official organ of the Presidential Administration of Belarus; published Tuesday-Saturday2 Until 1991 it was an official newspaper of the Communist Party of Belarus and the Communist parliament and government of Belarus; published five times a week

3 Founded as an organ of the Minsk Committee of the Bolshevik party RSDLP(b)4 City daily newspaper in Vitebsk


Are there subsidies for the purchase of newsprint?Yes

Are loans granted at low rates for re-equipment orimproving existing equipment?Yes

Are there any direct subsidies?Yes


Tax %

Standard VAT 18


12. Taxes (2007)

(Belarusian ruble, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total amount 12,599.0 13,000 1 15,899.5 17,000.0 16,711.2 32.64 -1.70

Source: Belarusian Association of Journalists

2005 All printed media; state budget funding of all state-owned media represented BYR87,741.5 mln2006 State budget funding of all state-owned media was BYR128,000 mln; in 2006, the government also spent USD704,225 on computers and photo equipment for state-owned media, while local government-owned newspapersreceived USD354,000 to purchase computers, cameras, and vehicles2007 State budget of Belarus for 2008; all printed media (periodical press andpublishing companies); state budget funding of all state-owned media representsBYR158,981.2 mln; the government subsidizes state-owned outlets’ rent, subscription, printing, postage, and distribution2008 WAN-IFRA estimate based on data from the state budget of Belarus for2009; subsidies for all media except TV and radio represented BYR46,276.7 million;state budget funding of all state-owned media represented BYR193,211.4 mln2009 State budget of Belarus for 2010; all printed media (periodical press andpublishing companies); state budget funding of all state-owned media representsBYR167,185.3 mln

1 WAN estimate



BELGIUM

General economic situation This modern, private-enterprise economy has capitalizedon its central geographic location, highly developedtransport network, and diversified industrial andcommercial base. Industry is concentrated mainly in thepopulous Flemish area in the north. With few natural resources, Belgium must import substantialquantities of raw materials and export a large volume of manufactures, making its economy vulnerable tovolatility in world markets. Roughly three-quarters of Belgium’s trade is with other EU countries and itsoverall current account deficit widened to 4% of GDPin 2009. Public debt is nearly 100% of GDP. On thepositive side, income distribution is relatively equal andthe government succeeded in balancing its budgetduring the 2000-2008 period. In 2009 Belgian GDPcontracted by 3.4%, the unemployment rate roseslightly, and the budget deficit worsened because of large-scale bail-outs in the financial sector. Belgianbanks have been severely affected by the internationalfinancial crisis with three major banks all receivingcapital injections from the government. An ageing population and rising social expenditures are alsoputting downward pressure on public finances, making it likely the government will need to implement unpopular austerity measures to restore fiscalbalance.

Newspaper launches / closuresIn March 2009 Metro Belgium (Concentra Group)launched a glossy luxury weekend magazine in twolanguages, Dutch and French. The first edition wasdevoted to fashion. The Metro Deluxe concept sees a total of six magazines launches with each editionbringing another theme.

AdvertisingAdvertising expenditure totalled EUR3.16 billion in2009, which is an increase of 1.4% on 2008. Paid-fordailies received 23.0 % of total advertising expenditure,counting for EUR730 million. Paid-for daily newspaperadvertising expenditure decreased by 0.9% in 2009versus 2008; advertising in free newspapers increased by1.2%. Internet advertising shrunk by 0.8%, withnewspaper websites being amongst the most importantadvertising resources.

Launched in Belgium in 2008, Pumbby.com allowsregistered users to receive ads and be paid in return.Advertising can come in the form of SMS messages orvoice messages, along with more traditional mediums,and remuneration varies between 0.10 and 0.35 euros(USD0.16 and 0.56) per message. The offer is targetedat 16-35 year-old users and has attracted some 183 000people. In its first year, Pumbby paid its users a total of156,000 euros (USD2480,000) for a turnover of 2.5million euros (USD4 million).

According to Metro Belgium (Concentra Group),almost 90% of the ‘urbanites’ (the target group of thefree newspaper) are interested in advertising thataddresses environmental, ecological or ethical issues.Almost 80% buy environmental-friendly products.

CirculationIn 2009, newspapers saw an overall 1.88% decline intotal circulation and a 1.61% decline in paid-forcirculation compared to 2008. The drop was moresignificant in French-speaking Belgium with all dailiesshowing a drop in paid-for circulation, with a totaldecline of 3.72%. Flemish newspapers fell back 0.59%in paid-for circulation. Flemish selective titles and thelargest popular daily continue to steadily increase theircirculation. When looking at the types of paid-forcirculation in Belgium, there is a small increase in printsubscriptions (1.8%) and a decrease in single copy sales(6.5%).

ReadershipThe total daily reach of paid-for and free newspapers isaround 5 million readers, representing 53.8% of theBelgian population over 12 years of age.

Overall, newspaper readership in Belgium is holdingsteady. Most newspapers show a slight decrease inaverage issue readership compared to the previousstudied period (2007-2008). The Flemish selective titlesand the largest Flemish popular newspaper, however,show an increase in readership. In Wallonia, there is anoverall increase in readership.

Le Soir is read by 566,700 readers daily. For the yearJune 2008 to June 2009, it was a slight decrease of 2.4%compared to the same period the previous year, whichhad increased by over 30%. Le Soir shared its readershiplead in Francophone press with Rossel group and theFrench daily paper Sud Presse and its readership of567,000. Together, these newspapers represent 51% ofthe market.

Online / Digital PublishingThere were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail. In cooperation with thegovernment, Child Focus, a government-sponsoredcenter for missing and exploited children, developedprograms to warn users of Web sites containing illegalcontent, especially child pornography.

All national and regional paid-for and free newspapershave online editions, as well as the non-dailies, whichprovide their readers with editorial content online ondays where there is no newspaper edition. Websites of



BELGIUM


Source: CIA – The World Factbook; US State Department; National Bank of Belgium – Report 2009 Economic and Financial Developments; Journaux Francophones Belges (JFB) & Vlaamse Dagbladpers (VDP);

NRC Handelsblad; Le Soir; Deredactie.be; L'Echo; FDN Newsletter

daily newspapers are among the most consulted in thecountry.

OwnershipIn March 2009 Belgian media company PersgroepPublishing acquired a majority stake in the Dutch mediagroup PCM Uitgevers, publishers of NRC Handelsblad,de Volkskrant and Trouw. Persgroep Publishing agreed topay 100 million euros for 51% of the shares in PCM. InBelgium, the Persgroep publishes the popular dailynewspaper Het Laatste Nieuws, the smaller De Morgenand the financial newspapers De Tijd and L’Echo. It alsohas a 50% share in the Flemish commercial TV stationVTM. In 2005, the Persgroep acquired the ailingAmsterdam daily newspaper Het Parool and has sincemade it profitable again. Persgroep acquired all of PCM’snewspaper titles: de Volkskrant, NRC Handelsblad,Trouw, as well as PCM’s majority share in AD. Six bookpublishers are also part of the deal. PCM is currentlyowned by non-commercial foundations that wereestablished to safeguard the diversity of the Dutch press.PCM will continue to exist as a Dutch legal entity. At a later stage, Persgroep’s existing Dutch activities, HetParool and radio station Q Music, should be integratedinto PCM Uitgevers.

Media / Press LawsIndividuals could criticize the government publicly andprivately without reprisal. The law prohibits publicstatements that incite national, racial, or religioushatred, including denial of the Holocaust. Themaximum sentence for Holocaust denial is one year’simprisonment. In June 2008 two individuals were eachsentenced to one year’s imprisonment, fined 24,789 euro(approximately USD34,700), and denied their civil andpolitical rights for 10 years for having over a long perioddenied the Holocaust in brochures and leaflets. On June15, 2009, a Charleroi court convicted a man for havingmade a Nazi straight-arm salute during his swearing-inceremony as city councilor and denied him the right torun for elected office for a five-year period.

During the year 2009 authorities took action against a Dutch national who started a website that posted thewhereabouts in the country of convicted pedophiles, byblocking access to the website upon order from theFederal Prosecuting Office.

State SupportWalloon newspapers receive direct state subsidies ofEUR6.9 million a year. Flemish newspaper publishersreceive state aid when providing editorial training forjournalists, enabling a more pluriform, independent andeffective press sector.


0-14 1,798 17 919 18 879 1615-24 1,280 12 648 12 632 1225-34 1,370 13 689 13 681 1335-44 1,580 15 800 15 780 1445-54 1,521 14 764 15 757 1455-64 1,226 12 607 12 619 1165 + 1,809 17 754 15 1,055 19Total 10,584 100 5,181 100 5,403 100

Source: National Institute for Statistics



A+B 672 7 476 11 196 4C1 2,198 24 976 22 1,222 26C2+D 1,224 14 884 20 340 7E 4,890 54 2,029 46 2,861 62Total 8,934 100 4,365 100 4,619 100

Source: National Institute for Statistics/CIM



BELGIUM

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 29 29 28 24 24 -17.24 0.00Total paid-for dailies 28 28 26 22 22 -21.43 0.00National paid-for dailies 10 10 10 9 9 -10.00 0.00Regional and local 18 18 16 13 13 -27.78 0.00paid-for dailiesMorning paid-for dailies 28 28 26 21 21 -25.00 0.00

Total free dailies 1 1 1 2 2 2 100.00 0.00National free dailies 1 1 2 2 2 100.00 0.00

Total paid-for non-dailies - - 2 2 2 - 0.00National paid-for non-dailies - - 2 2 2 - 0.00

Total Sundays 1 2 5 5 5 400.00 0.00Total paid-for Sundays - - 3 3 3 - 0.00National paid-for Sundays - - 3 3 3 - 0.00

Total free Sundays 1 2 2 2 2 100.00 0.00National free Sundays 1 2 2 2 2 100.00 0.00

Source: 2005-2007 Association Belge des Editeurs de Journaux; 2008-2009 VDP/JFB1 From 2007, the Dutch and French version of the free daily Metro are consideredas two different titles


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 1,692 1,660 1,665 1,669 1,634 -3.43 -2.10Total paid-for dailies 1 1,466 1,424 1,417 1,414 1,382 -5.73 -2.26National paid-for dailies 1,007 986 979 990 963 -4.37 -2.73Regional and local 459 438 438 424 419 -8.71 -1.18paid-for dailiesMorning paid-for dailies 1,466 1,424 1,417 1,414 1,382 -5.73 -2.26

Total free dailies 226 236 248 255 252 11.50 -1.18National free dailies 226 236 248 255 252 11.50 -1.18

Total free Sundays 2 535 715 766 783 774 44.67 -1.15National free Sundays 535 715 766 783 774 44.67 -1.15

Source: 2005-2007 Association Belge des Editeurs de Journaux, CIM; 2008-2009CIM; VDP/JFB1 Including paid-for Sundays; no separate distribution figures for paid-for Sundaysare available

2 Including all editions of De Zondag and 7 Dimanche, whereas data prior to 2006only included De Zondag editions


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 490 481 484 487 472 -3.67 -3.08Total paid-for dailies 1 438.4 427.0 430.0 428.0 417.0 -4.88 -2.57National paid-for dailies 302 295 299 299 290 -3.97 -3.01Regional and local 136.4 132.0 131.0 129.0 127.0 -6.89 -1.55paid-for dailiesMorning paid-for dailies 438.4 427.0 430.0 428.0 417.0 -4.88 -2.57

Total free dailies 52 54 54 59 55 5.77 -6.78National free dailies 52 54 54 59 55 5.77 -6.78

Total free Sundays 26 26 30 38 40 53.85 5.26National free Sundays 26 26 30 38 40 53.85 5.26

Source: 2005-2007 Association Belge des Editeurs de Journaux; 2008-2009 CIM;VDP/JFB1 Including paid-for Sundays; no separate distribution figures for paid-for Sundays

are available


(Belgium, euro, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 319 322 327 338 335 5.02 -0.89National paid-for dailies 225 227 230 239 238 5.78 -0.42Regional and local 94 95 97 99 97 3.19 -2.02paid-for dailies

Source: 2005-2007 Association Belge des Editeurs de Journaux; 2008-2009 CIM;VDP/JFB

2008-2009 Estimate by VDP/JFB; online newspaper sales not included

4.b Sales revenues


(%)2005 2006 2007 2008 2009

Single copy sales 52.0 50.1 49.2 49.3 46.1Postal deliveries 46.5 47.8 49.5 47.3 51.9

Free distribution 1.5 1.7 1.4 3.4 2.0Other - 0.4 - - -Total 100 100 100 100 100

Source: 2005 Association Belge des Editeurs de Journaux, CIM; 2006 AssociationBelge des Editeurs de Journaux; 2007 ABEJ; 2008 CIM 2009; JFB/VDP


(Belgium, euro)min max

Single copy 1.00 2.70Subscription 0.84 1.50

Source: VDP/JFB

(%)Reached


Source: CIM readership survey 2008-2009


Numberof readers

Total dailies (paid-for & free) 4,966Total paid-for dailies 4,566Total free dailies 400

Source: CIM 2008/2009

5.d Number of readers (2009)Age % % daily reachof readership within age

group

12-14 2.8 37.315-24 14.2 54.525-34 14.0 50.635-44 16.5 52.245-54 17.7 57.155-64 14.8 58.265 + 19.9 54.5Total 100 -

Source: CIM readership survey 2008-2009


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 18 20 22 14 14 -22.22 0.00Non-dailies - - 2 2 2 - 0.00

Source: 2005-2007 Association Belge des Editeurs de Journaux; 2008-2009 VDP/JFB

6.a Online editions

(Unique visitors per month, 000) Change (%)2005 2006 2007 2008 1 2009 2 2009/05 2009/08

Total paid-for dailies - - - 1,556 1,724 - 10.8

Source: CIM Metriweb1 Only data for average number of unique visitors per day are available2 Unique visitors per day (14 April 2010); data on unique visitors per month not

available



BELGIUM

Newspaper Publishing company Website Unique visitors per month

(000)

Het Laatste Nieuws De Pergroep Publishing hln.be / 7sur7.be 463Het Nieuwsblad VUM nieuwsblad.be 265De Standaard Online VUM standaard.be 189De Tijd Mediafin tijd.be 119La Dernière Heure / IPM dh.be 117Les Sports

Le Soir Rossel & Cie lesoir.be 107Gazet van Antwerpen De Vlijt gva.be 102Het Belang van Limburg Concentra Media bvl.be 81De Morgen De Pergroep Publishing demorgen.be 72La Libre Belgique IPM lalibre.be 55

Source: CIM Metriweb


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Broadband subscribers 2,010.6 2,356.5 2,715.3 2,962.5 3,134.1 55.88 5.79



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(Belgium, euro, bln)2005 2006 2007 2008 2009

GDP 302 317 327 331 328

Source: 2005-2006 IFS, ZenithOptimedia; 2007-2009 National Bank of Belgium


(Belgium, euro, 000)2005 2006 2007 2008 2009

GDP per capita 29.0 30.4 30.9 30.9 26.4

Source: 2005-2006 ZenithOptimedia; 2007-2008 National Bank of Belgium, FederalGovernment Department Economy; 2009 CIA – The World Factbook


(%)2006 2007 2008 2009 2010 2011 2012 2013

Ad expenditure 0.92 0.95 - 0.97 - - - -

Source: CIM MDB; National Bank of Belgium


(Belgium, euro, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 873 1,163 1,202 1,187 1,142 1,114 1,107 1,103Newspapers 592 876 901 887 870 852 842 832Magazines 280 287 301 300 272 262 265 271

Television 982 1,071 1,161 1,205 1,194 1,188 1,221 1,243Radio 290 327 376 377 347 326 337 353Cinema 29 30 26 27 23 22 22 23Outdoor 215 227 239 249 246 243 257 274Internet 48 82 128 125 130 144 179 233Total 2,435 2,899 3,132 3,170 3,082 3,036 3,124 3,229

Source: MediaMark Belgium; CIM MDB; IAB; ZenithOptimedia

Excludes agency commission; excludes production costs; excludes classified advertising; before discounts; exchange rate used: USD1 = BHD0.38 (2008 exchange rate)



Advertising sector % of displayad revenue

Culture, Tourism, Leisure, Sport 26Distribution 15Services 13Food 12Transport 9Telecom 6Beauty - Hygiene 6Home/Office Equipment 4Home/Office Maintenance 2Health - Wellness 2

Source: CIM MDB; VDP/JFB

Data apply for all media

Advertiser Expenditure (Belgium, euro, 000)

Delhaize De Leeuw 21,595Regional Salespoint 17,919Home/Office Equipment

Carrefour Group 17,803Regional Advertising Culture, 13,204Tourism, Leisure, Sports

Colruyt 12,797Vlaamse Media Maatschappij 12,276Axa Group 12,262Lidl & Co 12,045De Persgroep 11,961Communities and Regions 11,373

Source: CIM MDB



Roularta 587Corelio 356De Persgroep 345Rossel 274Mass Transit Media 252Concentra 203Sud Presse 120IPM 108EDA 96MediaFin 55

Source: VDP/JFB; CIM

Average circulation per day; paid-fordailies, free dailies and Sundays

8.a Top publishing companies(2009)


BELGIUM

Title Founded Language Publishing company Circulation Readership Cover price Format Full page ad rate usual max Colour

(year) (000) (000) (Belgium, euro) (Belgium, euro)

Het Laatste Nieuws/De Nieuwe Gazet 1888 1 Dutch De Persgroep Publishing 287 1,081 1.00 1.60 Belgian 35,600Het Nieuwsblad/De Gentenaar 1879 2 Dutch Corelio 263 916 1.00 1.60 Tabloid 37,900La Meuse/La Capitale/La Nouvelle 1856 French Sud Presse 120 567 1.10 1.50 Belgian 20,900Gazette/La Province/Nord Eclair

Gazet van Antwerpen 1891 Dutch Concentra (De Vlijt) 103 426 1.10 1.60 Tabloid 20,120Het Belang van Limburg 1933 Dutch Concentra (Media) 99 390 1.10 1.60 Tabloid 18,305Groupe Vers L’Avenir 1918 French Editions de l’Avenir 96 368 1.10 1.20 Tabloid 18,230De Standaard 1918 Dutch Corelio 93 358 1.20 2.20 Tabloid 24,100Le Soir 1887 French Rossel & Cie 87 567 1.10 1.30 Belgian 24,500La Dernière Heure/Les Sports 1906 French IPM 64 465 1.10 1.20 Tabloid 18,375De Morgen 1978 Dutch De Persgroep Publishing 58 274 1.00 2.40 Belgian 14,700

Source: 2009 VDP/JFB; CIM Readership Study; CIM Authentication1 Relaunched in 18972 Relaunched in 1891 and again in 1929



Title Founded Language Publishing company Circulation Readership Format Full page ad rate Colour(year) (000) (000) (Belgium, euro)

Metro 1 2000 Dutch Mass Transit Media 134 366 Tabloid 10,850Metro 1 2000 French Mass Transit Media 118 541 Tabloid 14,075Source: VDP/JFB; CIM Readership Study; CIM Authentication; Wikipedia

Separate Dutch and French-language versions of Metro, each with its own content, are according to the area's language(s)available in railway stations, subway stations, universities, etc. from dedicated stands that have the colour of the paper'sheader: blue for Dutch and green for French for easy recognition, especially where both occur.1 From 2007, the Dutch and French version of the free daily Metro are considered as two different titles

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total number of journalists - - - 1,266 1 1,236 2 - -2.37

Source: VVJ/AJP1 Including 730 in Flanders and 536 in Wallonia2 Number of professionally acknowledged journalists, including interns

9.a Employment

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 28 32 28 23 23 -17.86 0.00Broadsheets 3 - - - - - -Tabloids 14 20 22 17 17 21.43 0.00Other formats 1 11 12 6 6 6 -45.45 0.00

Source: 2005-2007 Association Belge des Editeurs de Journaux; 2008-2009 VDP/JFB1 Belgian and Berliner

10.a Newspaper colour capability & formats


(%)2005 2006 2007 2008 2009

Single copy sales 31 31 31 31 31Home deliveries 31 31 31 31 31

Source: 2005-2007 Association Belge des Editeurs de Journaux; 2008-2009 VDP/JFB

11. Research (2009)

Circulation is audited byC.I.M.

Readership is measured byC.I.M.

MethodologyCirculation: accounting control; Readership: face-to-face interviews

Source: VDP/JFB

Tax %


Single copy sales 0Subscription sales 0Advertising 21Newsprint 21Composition 21Plant 21 1

Tax on profits – standard rate 34Tax on profits for newspapers 34Tax concessions for newspaper companies 0

Source: VDP/JFB1 6% and 21%

12. Taxes (2009)


BELGIUM



Are loans granted at low rates for re-equipment orimproving existing equipment?No

Are there any direct subsidies?Walloon newspapers receive subsidies. Investmentsubsidies vary according to regions: in Flanders andWallonia, investments by daily and weekly newspaperscan receive a 15% subsidy under certain conditions.There are no specific provisions for the daily press inBrussels.

Source: VDP/JFB

(Belgium, euro, mln) Change (%)2005 1 2006 2007 2008 2009 2009/05 2009/08

Total amount 1 6.2 6.0 6.5 6.5 6.9 11.29 6.15

Source: 2005-2007 Association Belge des Editeurs de Journaux; 2008-2009 VDP/JFB1 Direct subsidies for Wallon newspapers



Telephone 50

Source: VDP/JFB


15.a Ownership laws and rules (2009)

Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?No. There are no special rules for newspapers regardingownership/capital structure. The competitionauthorities apply the general rules to everyone.


Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?No. However, in the French community, broadcastingmedia have to communicate the identity of theirshareholders as well as the interests of their shareholdersin other media. The audit commission can thus evaluateif a shareholder is in a dominant position: such a position must not hamper the public right to access a plurality of broadcasting services.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?There is no specific provision for publishing companies.All Belgian companies must publish their annualaccounts: these state in detail the administrators andtheir main interests in other companies.

Is there an antitrust law limiting concentration in the dailypress?There is no anti-trust law specific to the press. Thegeneral law regulating competition applies to publishingcompanies as to all other companies.


Source: VDP/JFB


General economic situation GDP growth exceeded 5% per year in 2003-08. Bosnia’sprivate sector is growing and foreign investment is slowlyincreasing, but government spending, at nearly 40% ofadjusted GDP, remains high because of redundantgovernment offices at the state, entity and municipallevel. Implementing privatization, however, has beenslow, particularly in the Federation where politicaldivision between ethnically-based political parties makesagreement on economic policy more difficult. A sizeablecurrent account deficit and high unemployment rateremain the two most serious macroeconomic problems.Successful implementation of a value-added tax in 2006provided a predictable source of revenue for thegovernment and helped rein in gray market activity.National-level statistics have also improved over time buta large share of economic activity remains unofficial andunrecorded. Bosnia’s economy has been largely shelteredfrom the global financial downtown although keyeconomic indicators have worsened. The inflation ratewas estimated at 0.6% in 2009.

Performance of newspapers vs. other media At the end of the war in 1995, there was a total of 272active media, 203 in the Federation of Bosnia andHerzegovina and 69 in Republika Srpska. In thefollowing year, 490 media could be counted. At thebeginning of 2000, 210 radio stations and 71 televisionchannels were registered in Bosnia and Herzegovina, inaddition to 130 newspapers, magazines, journals andperiodicals, including 6 daily newspapers (threepublished in Sarajevo and two in Banja Luka) and 20weekly newspapers, though with small circulations(between 60,000 and 80,000 copies). There were sixnews agencies, with four of them offering their serviceson a daily basis.

The war left behind deep scars in the media landscape.Three independent media systems were created whichhad nothing to do with one another, a fact which can beexplained by the national, political and geographicaldivision of Bosnia and Herzegovina.

The development of the media in post-war Bosnia andHerzegovina can be viewed in three phases:

The first phase comprises the time immediately after thewar, when the media, despite the cessation of militaryaction, were still at loggerheads with one another. In thestate media, the language of hate was predominant. Atfirst, hardly any new independent media weredeveloped.

The second phase of development was ushered in at thebeginning of 1996 with the international communityand its administration in Bosnia and Herzegovina. Theinternational community exerted pressure on the media

with the aim of creating a democratic climate anddeveloping news channels.

The third phase of development of the media in Bosniaand Herzegovina was marked by the reorganisation ofthe state radio and TV broadcasters into public sectorinstitutions.

Between 1995 and 1997, 66 new media were founded,including 57 new radio stations and TV channels.Figures from the international crisis group show that, inthe year 1996 alone, a total of EUR12,884,555.40 wasinvested in Bosnian media. The results were significant:the state media monopoly was broken and numerousmedia were created.

The most recent market study regarding media revenuewas conducted in 2006. (Observers do not believe thatfigures have shifted substantially since.) The study foundthat overall revenues equaled BAM118,000,000, whichis 40 percent more than 2003 (about BAM83,000,000).The most important revenue is from advertising,composing 45 percent of income. The RTv tax, which isnot shared with commercial stations, is approximately33 percent, and the remainder of revenue comes frompublic financing, donations, and other sources.

Public broadcasting stations captured more than 60percent of the market revenue in 2006. Twenty-fivepercent of the overall revenue went to three privatebroadcasters (Hayat, Pink BH, and OBN), with the restof the local television stations sharing about 15 percent.

In the country’s television market, the number of theactive stations is relatively large. There are 44 televisionstations in addition to the national public broadcasterand the two entity public broadcasters: 15 local publicand 29 private stations. However, more than two-thirdshave a coverage area of less than 500,000 inhabitants.RTv’s coverage is the largest, at 93 percent of the Bosniaand Herzegovina territory. The other two entity publicbroadcasters cover mostly the areas of their entity, so thatup to 92 percent of the inhabitants of the federationhave access to FTv, and 78 percent of the inhabitants ofRepublika Srpska have access to RTRS.

Political pressures on state-level broadcast mediacontinued. Both Bosnia-Herzegovina Radio Television(BHRT) and the Communications Regulatory Agency(CRA) were exposed to political pressure, withpoliticians often alleging a lack of impartiality. In thecase of the BHRT, observers believed the attacks wereaimed at undermining the state-level public broadcastersand building support for transferring mediacompetencies from the state to the entity level. Otherpublic broadcasters remained vulnerable to politicalinfluence as well. Two public broadcasters, Federation


BOSNIA AND HERZEGOVINA



Television (FTV) and Radio Television of RepublikaSrpska (RTRS), remained the largest televisionbroadcasters in the country. RTRS reportedpredominantly pro-Republika Srpska ruling party views.

In the current radio market, 144 radio stations areactive. They include three public services, 60 publicstations, and 81 private stations. The radio market hasseen sales growth since 2003. The revenue earned byradio stations in 2006 was BAM30,000,000, an increaseof 14.6 percent over 2005. The main source of revenue,about 56 percent in 2006, is selling advertising andother activities related to ìmarketingî – sponsorship,teleshopping, and other activities such as thebroadcasting of greetings and SMS messages.

According to the Press Council’s data, Bosnia andHerzegovina has six news agencies. The two mostimportant are FENA and SRNA, which are entity-basedpublic agencies. Major independent news agenciesinclude ONASA, covering the whole country; andNINA, which covers mainly the region of Herzegovina.

The majority of media use the services of one of six newsagencies, however, these services are limited to print andperhaps photo news, while audio and video services arenot available. The practice of quoting the agencies as thesource for news varies in all newspapers. However, itseems that the high professional standards have not beenreached in this area, yet.

The few media outlets in Republika Srpska that retainededitorial independence continued to report governmentinterference with their operations. A local commercialnetwork of five stations operated in both entities (MrezaPlus), as did the private television networks OBN andPinkBH. Dozens of small independent televisionstations broadcast throughout the country. Radiocontinued to provide a forum for diverse points of view.In many cases, news programs of independentbroadcasters reflected opposition perspectives.

The majority of Republika Srpska media showed a distinct pro-Republika Srpska government bias.

Performance of different types of newspapers The number of print media in Bosnia and Herzegovinacurrently stands at 168; these are the officially registeredmedia in the country, according to the Press Council ofBosnia and Herzegovina.

There are six major daily newspapers: Dnevni avaz(www.avaz.ba), Oslobođenje (www.oslobodjenje.ba),SAN Dnevne Novine (www.san.ba), Nezavisne novine(www.nezavisne.com), Dnevni list (www.dnevni-list.ba)and Glas Srpske (www.glassrpske.com). Four of them arepublished in the Federation of Bosnia and Herzegovinaand two (Nezavisne novine, Glas Srpske) in RepublikaSrpska. Glas Srpske is the only daily paper with

government affiliations, while the others try to maintaineditorial independence.

Dnevni avaz has the highest circulation and is the mostwidely read and most popular daily newspaper both inthe country and abroad. Read by 36% of all print mediaconsumers today, it already used to reach more than30% of readers in the past. Unlike most othernewspapers, Dnevni avaz is read by all age groups. ADnevni avaz edition for the German-speaking area ispublished in Frankfurt, Germany. In the Federation ofBosnia and Herzegovina, Dnevni avaz has a market shareof 62 per cent while it only reaches 18 per cent inRepublika Srpska. The newspaper primarily deals withthe interests of Bosniaks – also in a political context –and is often linked with the SDA party. Dnevni avazbelongs to Avaz-roto press d.o.o., the biggest newspaperpublisher in Bosnia and Herzegovina, that also publishesthe newspapers As, Express (www.bosna-express.net),Azra, Avaz Sport.

The daily newspaper Oslobođenje is one of the oldestnewspapers in the country, Oslobođenje is the leadingquality newspaper in Bosnia and Herzegovina. Only 12per cent of regular Oslobođenje readers also read otherdaily newspapers.

Nezavisne novine has been the only opposition dailynewspaper in Republika Srpska since it was founded in1995 and is considered to be free from party affiliations.Its editors regularly come into conflict with thegovernment of Republika Srpska. The main office is inBanja Luka but it also has offices in Sarajevo and Mostar.Nezavisne novine is published in the entire country andis increasingly read in the Federation as well. Its regularreaders are aged from 35 to 54 years.

The head office of Glas Srpske is also located in BanjaLuka. This newspaper has gradually developed into apublishing company. Apart from the newspaper it alsopublishes leaflets.

Dnevni list entered the Bosnian media market on 1 October 2001. It is an opposition newspaper that isclose to the HDZ party (HDZ = Croatian DemocraticUnion). It represents the interests of Croatians in Bosniaand Herzegovina and is published in Croatian. Dnevnilist enjoys a good reputation primarily in Herzegovinabut is read in the entire Federation of Bosnia andHerzegovina. Its editorial office is in Mostar.

SAN Dnevne novine is a daily newspaper based inSarajevo that mainly covers communal topics. It hasbeen published since 2002.

A total of 96 magazines are registered in Bosnia andHerzegovina: 50 in the Federation and 46 in RepublikaSrpska. There are two leading products in the field ofweekly newspapers/magazines:



Slobodna Bosna (Free Bosnia, www.slobodna-bosna.ba)is in the lead with 28,000 sold copies. It was foundedshortly before war broke out in late 1991. During thewar it was only published sporadically. In 1993 itmerged with Ljiljan, a very popular newspaper at thetime. Slobodna Bosna has been able to maintain itscirculation since 2000, which makes it the most widelyread weekly magazine in the country. It is one of the fewweekly magazines that are distributed in the Federationas well as in Republika Srpska. It engages in investigativejournalism; one focus of its work is on exposingcorruption and organised crime in Bosnia. Its readershipmainly comes from the Bosniak part of the population.

Started as a monthly publication by a group ofjournalists and writers in wartime Sarajevo in September1992, BH-Dani (BH-days, www.bhdani.com) comessecond after Slobodna Bosna with a weekly circulationof 25,500 copies. BH-Dani also pursues a decidedlyinvestigative policy; its main topic also is the struggleagainst excessive corruption, particularly corruption andnepotism among the Muslim community in Bosnia.This has led to allegations of an anti-Muslim attitude.The magazine also publishes the monthly supplementsAuto Dani and Ljepota & Zdravlje (Beauty & health).

A total of 60 monthly magazines are registered inBosnia: 36 in the Federation and 24 in RepublikaSrpska.

Advertising Advertising agencies often establish media outlets thatthey then place advertising in. Agencies create televisionshows, radio shows, and practically finance themselvesthis way.

Another issue is the informal influence of the largestadvertising groups on editorial policies at media outlets.There are two groups of agencies that control televisionadvertising, which accounts for two-thirds of the totaladvertising market. These agencies can thereforeinfluence program schedules and control subject matter.They also demand cut-rate prices; some media outletsoffer a 90 percent discount on the initial pricing, or elsethey risk getting nothing.

Circulation There is no legal obligation to reveal circulation data.Newspaper publishers have shown no readiness toorganize a system, similar to that of electronic media, forindependently monitoring their medium. As a result, theonly readership data come from the independentagencies that conduct polls and estimate circulation ofcertain media.

Foreign print media are rather expensive to buy. Theprice of a Bosnia and Herzegovina magazine is BAM3(USD2), whereas the price of The Economist from theUnited Kingdom is BAM13.5 (USD9.50).

Readership 74% of men and 63% of women read daily newspapersin Bosnia and Herzegovina, according to the latestmedia analyses. However, print media reach a far smalleraudience than radio and TV. Almost one third of thepopulation of Bosnia and Herzegovina does not readnewspapers at all. Earlier surveys in 2004 even put thatfigure at 40%, which indicates that the number ofnewspaper readers has increased over the past few years.

The most popular newspapers are Dnevni avaz,Oslobođenje, Glas Srpske, Nezavisne novine, and dailynewspapers from the neighbouring countries Croatia(Večernji list, Jutarnji list) and Serbia (Blic).

A countrywide GfK survey among 1,000 Bosniansshowed that 36% read Dnevni avaz, 10% read Blic, 4%read Glas Srpske, 2% read Nezavisne novine andOslobođenje, and 1% read Dnevni list. 32% ofrespondents stated that they did not read newspapers atall.

The content of print media largely depends on theethnic affiliation of the readers. Newspaperspredominantly write for specific ethnic groups in therespective regions, and the content published matchesthe interests and tastes of these groups. With only a fewexceptions, this predominantly ethnic focus on local andregional news tends to leave little room for topics ofsupra-regional interest.

Readerships are ethnically divided: almost 70% ofDnevni avaz readers live in areas with a Bosniakmajority, while Blic, Glas Srpske and Nezavisne novineare hardly read in areas where Serbs are not the majority.The same also holds true, to some extent, for Dnevni listand other publications from Croatia (2006 data).


The latest data from the Communications RegulatoryAgency (CRA) show that Internet penetration isconstantly increasing. It is estimated that there were1,307,585 Internet users in 2008, representing 34-percent growth compared to the previous year. Thenumber of subscribers to cable Internet has increased sotheir share represents 56 percent of the total number ofInternet users, while dial-up users’ share has decreasedfrom 69 percent in 2007 to 44 percent in 2008.

According to GfK Bosnia and Herzegovina’s researchfrom 2009, students and pupils use the Internet mostoften (84 percent), followed by employed persons (about



50 percent), and retired persons (4 percent); almost halfof the Internet users use the Internet on a daily basis.

The average monthly Internet subscription costsBAM30 (USD21), which is relatively expensive,especially in economically underdeveloped areas, giventhat the average monthly salary is about BAM780(USD550).

Ownership Media ownership is partly transparent, which meansthat court registration for every company can beaccessed, but the accuracy of the data listed inregistration documents is questionable. Ownership ofInternet media is often even more opaque.

The main print media are owned by a small group oflocal conglomerates. Large foreign media companies arenot especially interested in the Bosnia and Herzegovinamarket, likely because they are able to reach thecountry’s readers through the special B&H editions theyissue from Serbia and Croatia. For example, Serbia’sdaily Blic, owned by the Swiss publishing house Ringier,publishes an edition called Euro Blic, now the second-most-read newspaper in Bosnia and Herzegovina.

Media / Press Laws The law provides for freedom of speech and of the press;however, the government did not always respect pressfreedom in practice. Laws delegated safeguardingfreedom of the press to the cantons in the Federationand to the entity-level authorities in Republika Srpska.Defamation laws exist at the entity level, and freedom ofinformation legislation exists at both the entity and statelevels. Government respect for freedom of speech andthe press continued to decline during the year 2009.

The Federation criminal code prohibits hate speech; theRepublika Srpska criminal code does not. Thebroadcasting code of practice also regulates hate speechby broadcasters. The country’s CommunicationsRegulatory Agency (CRA) did not register any cases ofhate speech during the year. However, independentanalysts noted a tendency by politicians and otherleaders to label unwanted criticism as hate speech. Manymedia outlets used language, often nationalistic,considered incendiary on matters related to ethnicity,religion, sexual orientation, and political affiliation.Both entities have defamation laws which were used incourts.

Since 2002, the law on protection against defamationhas been in effect, decriminalizing this field and movingit from criminal to civil law. The law stipulates freedomof expression to the degree that expressions that mayinsult, embitter, or disturb are protected. On the otherhand, professional conduct is required of journalists,harmonized with the code for journalists and free ofmalicious intent. Article 6:3 of the law defines this as

journalists who “willfully or negligently made ordisseminated the expression of false facts.”

Implementation of the law is problematic. Some publicofficials, journalists, and media owners are notcomplying with the standards prescribed by the law. Alarge number of defamation lawsuits involve counter-accusations between journalists and media owners. Thisactually points to insufficient implementation of thepress self-regulation system. According to latest availabledata, between 170 and 190 civil suits were filed in B&Hin 2007.

The status of the Communications Regulatory Agency(CRA) remained shaky, and its authority was challengedon political grounds. The Council of Ministers failed,for a second year in a row, to appoint a CRA generalmanager and attempted to influence the selection of a candidate by making it part of broader politicalpackage. In April 2009 the mandate of CRA councilmembers expired. At year’s end, the state parliament hadnot completed procedures for appointing new councilmembers.

In May 2009, the Republika Srpska Prime MinisterDodik filed suit for slander against the BETA news agency and a Banja Luka correspondent, Ljiljana Kovacevic, for reporting that SIPA submitted a report on suspected criminal activity against him andother persons in connection with questionableconstruction tenders. Dodik asked the court for 15,000convertible marks (USD11,000) in compensation fordamages.

Printing & Distribution Sources of newsprint and printing houses are in privatehands and there are no major concerns that either ofthese are a pressure point on media.

Likewise, channels of media distribution are mainlyprivate, especially kiosks used for the print mediadistribution.

State Support Governmental subsidies for independent media is notconsidered to be a burning issue, because these subsidiesare rather rare and do not have a substantial impact onthe independence of private media. However, a case thatoccurred in December 2008 shows that the practices ofcertain segments of governmental authorities clash withthe usual democratic standards. Members of theAssociation of Private Radio and Television Stationscommented on the provision of BAM1,300,000 ofpublic funds to the media in Herzegovina-Neretvacanton. They claimed that the authorities of this cantonbehaved improperly when inviting tenders for radio andtelevision stations for projects. According to theallegations, the funds were allocated, mainly to threelarger media, before the tender was completed.



Local media outlets are mostly dependent on localgovernments, since they are mainly financed directlyfrom the budgets of municipalities and cantons.

On September 17, 2009, the government of RepublikaSrpska decided to distribute five million convertiblemarks (USD3.6 million) to media outlets, includingindependent media, to help them overcome theconsequences of economic crisis. The criteria and theamount given to certain media outlets raised somesuspicions about the government’s intentions. Criteriafor obtaining the assistance did not incentivize contentto benefit the public, such as the noncommercialproduction of educational content. Rather the criteriaused included the number of employees, circulation, thescope of programming, and financial factors. OnNovember 16, 2009, Republika Srpska media signedindividual agreements with the government and receivedthe first instalment of these funds.

Other Factors Since the end of the war, journalists’ salaries have notreached satisfying levels to be able to prevent journalistsfrom leaving the profession. The monthly salaries ofjournalists at public television channels are aboutBAM900 (USD630) and at some of the more successfulprivate stations about BAM1,100 (USD770). On theother hand, the salaries of the members of parliament aresignificantly higher, at more than BAM4,000(USD2,800) per month.

Journalism education programs are available at fourpublic faculties and one private faculty in Bosnia andHerzegovina. Media practitioners’ general opinion isthat the staff graduating from these faculties do not havean adequate level of training and lack the practicalknow-how to work independently as journalists. On theother hand, short-term journalism training programs,

which have been present in B&H for years, generallyreceive higher marks than the classic, academicprograms.

The Press Code in Bosnia and Herzegovina has existedfor 10 years, but its implementation faces variousobstacles, primarily the non-acceptance of standards byjournalists. This is why the director of the Press Councilclaims that in 2009 there was no political pressure on thePress Council’s work, but rather that the pressures camefrom the media outlets. She believes that these reactionsoccur inevitably because the entire process of self-regulation of newspapers is a novelty and as such it hasstill not been recognized as one of the benefits for theprofession.

During the year 2009 the Press Council considered 116complaints related to print media, accepting 32 as validand rejecting 45 as unfounded. In some cases the councilinstructed media outlets to publish a refutation or a retraction, or advised the same, resolving 23 cases inthis way. The council rejected 16 cases, as they werealready in court procedures. Most of the complaintsaccepted by the council involved allegations that printmedia outlets denied persons the right to respond toreports and articles that they considered false ordefamatory. The Press Council was faced with difficultyin preserving its status as an organization able to dealwith media issues throughout the country.

There are numerous trade associations in Bosnia andHerzegovina, such as the Publishers’ Association,Electronic Media Association, Private Electronic MediaAssociation, Media Industry Association, etc.Furthermore, there are six journalist associations.However, some of these associations exist only on paper,as their activities are imperceptible in the society.

Source: CIA – The World Factbook; US State Department; Wien International; IREX – Media Sustainability Index 2009, 2010





0-14 668 14 345 15 323 1415-64 3,262 71 1,645 72 1,617 6965 + 683 15 280 12 403 17Total 4,613 100 2,270 100 2,343 100



Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 7 7 7 12 12 71.43 0.00Total paid-for non-dailies - - 46 46 100 - 117.39

Source: 2005 South East Europe Media Handbook 2005/2006; 2006 WAN assess-ment; 2007-2008 IREX – Media Sustainability Index 2006-2007; 2009 IREX – MediaSustainability Index 2010


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


Source: 2005-2007 WAN assessment; 2008-2009 WAN-IFRA assessment


Newspaper Publishing company Website Unique visitors per month (000)

Dnevni avaz (Daily Voice) Avaz-roto press d.o.o. dnevniavaz.ba 180

Source: Google Ad Planner

Data as of March 2010; all traffic statistics are estimates


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 181.3 237.9 273.7 336.2 399.3 120.24 18.77Internet users 806.4 950.0 1,055.0 1,307.6 1,421.5 76.28 8.71



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(Bosnia and Herzegovina, marka, bln)2004 2005 2006 2007 2008

GDP 15.8 16.9 19.1 21.0 23.7



(Bosnia and Herzegovina, marka, 000)2004 2005 2006 2007 2008

GDP per capita 4.2 4.5 5.1 5.5 6.3



(%)2005 2006 2007 2008 2009

Ad expenditure 1.46 1.66 1.67 2.02 2.60



(Bosnia and Herzegovina, marka, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 21.5 27.4 31.3 35.2 46.5 46.0 53.8 54.8Newspapers 13.7 17.6 21.5 23.5 29.7 29.7 32.0 32.5Magazines 7.8 9.8 9.8 11.7 16.8 16.8 21.8 22.3

Television 196.1 266.7 293.4 414.6 520.3 520.3 639.5 700.0Radio 9.8 5.9 9.8 11.7 11.7 11.7 12.0 12.0Outdoor 19.6 17.6 15.6 17.6 23.5 23.5 32.5 35.0Internet - 0.5 - 1.0 1.6 1.6 3.0 4.0Total 247.4 318.2 350.7 480.1 603.6 603.6 740.8 805.8

Source: MIB; Ad monitoring; ZenithOptimedia

Excludes production costs; before discounts; excludes agency commission; excludes classified


Advertising sector Expenditure (Bosnia and Herzegovina, marka, 000)

Department stores/ 2,139.6retail/hypermarkets

Telecommunications 1,935.0Cars 1,585.0Banking 767.4Pharmaceuticals 256.1Non-alcoholic drinks 94.9Food 56.3Dairy products 51.7Alcohol 50.7Personal care 32.0

Source: PULS via ZenithOptimedia


Advertiser Expenditure (Bosnia and Herzegovina, marka, 000)

BTelekom Srpske 553.2OBN 442.0BH Telecom 441.8Robot Comerce 409.0Avaz Roto Press 377.4ASA Prevent Group 333.5HT (Hrvatske Telekomunikacije) 282.7Mostar

Agrokor 226.9Telefonske Usluge Nepoznato 198.1Hypo Group Alpe Adria 177.6

Source: PULS via ZenithOptimedia




Owners Revenue (Bosnia and Herzegovina, marka, 000)

Avaz-roto press 6,723.5Dnevni List 3,700.1Nezavisne Novine 1,703.4Oslobodenje 2,555.0PressRS 1,369.7Glas Srpske 739.7Vecernji List BH 564.1IP “Euroblic Press” 394.5


Top newspaper owners (2008)


Title Founded Language Publishing company Circulation Readership Format Full page ad rateMono Colour

(year) (000) (000) (Bosnia and Herzegovina, marka)

Dnevni avaz (Daily Voice) 1 1995 Bosnian Avaz-roto press d.o.o. 55 609 Berliner 562 731Press - - - 22 103 - - 486Euro Blic - - - 21 149 - 450 665Oslobodjenje (Liberation) 1943 Bosnian / Serbian / Croatian Sarajevska pivara 2 20 64 Berliner 526 682Vecernji list - - - 15 77 - 672 914Glas Srpske 1943 Serbian Local consortium of Nezavisne 14 59 - 511 614

novine and Integral InzinjeringSAN Dnevne Novine 2002 Bosnian / Serbian / Croatian MIMS Grupacija 14 7 - 307 460(SAN Daily Newspaper) 3

As - - - 12 9 - - 230Dnevni list 4 2001 Croatian National holding 10 19 - 460 598Nezavisne novine - Bosnian / Serbian / Croatian N.I.G.D. DNN in Banja Luka 5 3 19 - 460 598(Independent Newspaper)

Source: ZenithOptimedia (circulation); South East Europe Media Handbook; Wikipedia1 Often viewed as Pro-Bosniak2 In 2006, the company was bought up via the Sarajevo Stock Exchange by two leading city industries, the Sarajevo Tobacco Factory and the Sarajevska Pivara3 Formerly called Sarajevske novine4 Headquarters in Mostar5 Established and owned by Zeljko Kopanja and Natasha Kopanja

Tax %


Source: Distripress

12. Taxes (2009)


BULGARIA

General economic situation Bulgaria demonstrated more than 6% year-on-yeareconomic growth between 1996 and 2008, driven bysignificant foreign direct investment. Successivegovernments demonstrated commitment to economicreforms and responsible fiscal planning, but the globaldownturn is reducing exports, capital inflows, andindustrial production. GDP in 2009 contracted byapproximately 5% to BGN66,256 mln in current prices(EUR33,876 mln). In 2009, the unemployment ratewas estimated at 9.1%, compared to 6.3% in 2008. Thegross fixed investment represented 28.6% of GDP in2009. The inflation rate of 2.7% was relatively low.

The global economic crisis became more tangible in2009 and it has affected numerous businesses. Accordingto the Bulgarian Industrial Association, the internalcompany debt is amounting to BGN100 billion, withthe highest levels in commerce, building constructionand real estate.

Foreign direct investment in 2009 amounted toEUR2,844 million (EUR6,549 million in 2008), whichrepresented 8.4% of GDP (19.2% in 2008), accordingto Bulgarian National Bank data.

The newspaper industry was affected by the low level offoreign investment, the shrunk advertising budgets andby the overall low level of economic development.

Performance of newspapers vs. other media Print media’s influence has been decreasing in Bulgaria.The reasons are split between the economic crisis andthe withdrawal of advertisers (6.6.% decrease of printmedia advertising expenditure in 2009), and theexpansion of electronic editions of newspapers and the overall use of the Internet.

Other reasons, which are equally or even moreimportant, are the lack of transperancy of mediaownership, lack of reliable circulation data, and thepublic suspicion of the press being misused for economicand political purposes. The highest media consumptiontime remains for TV, followed by radio, Internet,magazines, and newspapers, which take the last rank.

Some examples of newspapers surviving in combinationwith radio or TV might prove to be a successful way toovercome the crisis.

Glossy magazines dominate the monthly magazinemarket. These include famous international brands likeElle, Cosmopolitan and Grazia or men’s magazines likePlayboy or Maxim as well as Bulgarian productions likeZhenata dnes and Eva. More than 40 women’smagazines currently compete on the Bulgarian market,and new products are expected to be launched.

The Italian Amica magazine, published by Q&M, andMadame Figaro, published by the Intersound PublishingGroup (which also publishes the men’s magazine FHMin Bulgaria), entered the market in late 2007, and theAmerican Harper’s Bazar followed in October 2008.Another magazine, the French Marie Claire, was in thepipeline, to be published by the Bulgarian SanomaBlasak publishing house. However, the market does notseem to be ready yet for magazines like GQ or Vogue.

Men’s magazines are not as successful in Bulgaria. Mediaexperts attribute this to the fact that the target group,Bulgarian men, are weak readers and observers; women,they say, are better consumers so that they automaticallyattract the interest of the advertisement industry.

The Finnish Sanoma publishing house is a strong playerin the market. With a 50% share in the Bulgariancompany Sanoma Blasak, Sanoma is the biggestmagazine publisher in the country. Its portfolio includesthe women’s Cosmopolitan, the number one fashionmagazine Elle, Harper’s Bazar and the renownedNational Geographic. The other major magazinepublisher is Attica Media Bulgaria; its biggestshareholder is the Greek company of the same name.Attica Media publishes the high-circulation magazinesPlayboy, Maxim and Grazia.

Performance of different types of newspapers Out of 486 newspapers published in Bulgaria in 2008according to the National Statistical Institute, 23 werefree. One of the newspapers which originally started asfree became paid-for seven months later, selling at thedumping cover price of BGN0.20.

There are no evening newspapers in Bulgaria. Somedailies publish their evening editions in Sofia, however,they are mostly almost identical with morning editions,including some minor differences.

Almost all newspapers in the country are printed intabloid-size format, but some of them tend to providequality content.

Regional and local newspapers are comparable withnational titles in terms of their content quality, however,the former are weaker in terms of liquidity, investmentresources and business perspective.

The Wirtschaftsblatt und Südosteuropäischer Report(Business newspaper and South-Eastern Europeanreport, www.wirtschaftsblatt-bg.com) is the onlyGerman-language newspaper published in Bulgaria on amonthly basis since 1992. It covers current affairs andoffers background information on political andeconomic matters in Bulgaria and the other countries ofSouth-Eastern Europe.



BULGARIA

Newspaper launches / closuresThe year 2009 was marked by growing expansion ofNova Bulgarska Medijna Grupa (New Bulgarian MediaGroup), which enlarged its portofolio by acquiringnational dailies (including Monitor and Telegraf ),regional dailies (Borba), the biggest weekly Weekend,radio and TV channels, and online media, as well as a distribution network. Nova Bulgarska Medijna Grupahas thus become a major media market player inBulgaria.

In January 2009, one of the business weeklies, Cash, wasclosed.

In February 2009, the free newspaper Gradski VestnikCity Newspaper) stopped its publication, only fourmonths after its launch.

In March 2009, a new free weekly Anonce was launchedby Rossel Media Bulgaria. Rossel (Rossel & Cie, S.A.) isa Belgium group with representation in Belgium, Franceand Luxemburg. Annonce has the circulation of100,000 copies; initially it was distributed only in thecapital of Sofia.

In April 2009, the free daily Novinite Dnes (The NewsToday) was launched with the initial circulation of150,000 copies. The newspaper covers Sofia and three of the largest towns in Bulgaria, Plovdiv, Varna andBourgas. Formerly printed on 16 pages, it has increasedthe pagination to 24 in November. On December 1, thenewspaper switched to paid circulation with the lowestcover price among dailies in Bulgaria (BGN0.20 BGN =EUR0.11). Novinite Dnes is distributed via its owndistribution network between 7 a.m. and 11.30 a.m.Monday – Friday.

In May 2009, a new regional newspaper Nov Glas (NewVoice) was launched in Plovdiv, the second biggesy cityin Bulgaria. Nov Glas has the circulation of 5,000 copiesand is distributed throughout South Bulgaria. Theinvestor is the local businessman Georgi Gergov, whohas close ties with Georgi Parvanov, the incumbentPresident of Bulgaria.

On May 29, the last edition of Noshten Trud NightLabour) was published. The first yellow paper in Bulgariaand the only afternoon one, Noshten Trud tried tosurvive by launching a morning edition on the followingday. However, the morning circulation of 14,000 copieswas not high enough to cover the costs. Noshten Trudclosed definitely on June 1 after 17 years of its existence.

In September 2009, Later Nedyalkov, an ex-co-owner ofWeekend, launched a new newspaper, the weekly Retro,which targets retirees.

In October 2009, the new tabloid weekly newspaperGaleria (Gallery) was launched with circulation of

120,000 copies. The newspaper was labeled “yellow”, asits first editor-in-chief was the ex-spokesperson of theState National Security Agency (SNSA). There weresuspicions that other ex-SNSA officers stood behind thenewspaper."

In December 2009, Vestnikarska Grupa Bulgaria(Newspaper Group Bulgaria), one of the largestpublishers in the country, launched the free newspaperTuk (Here). Its A2 format is double the size of most of the newspapers on the market. Tuk is delivered free to67,250 mail boxes on Saturday morning.

Advertising In 2009, the gross advertising expenditure per capita wasBGN136.31 (EUR70), compared to BGN157.74(EUR81) in 2008 and BGN128.47 (EUR66) in 2007.

The net advertising expenditure per capita wasBGN52.44 (EUR27) in 2009, BGN68.88 BGN(EUR35) in 2008, and BGN62.03 (EUR32) in 2007.

Total advertsing expenditure in 2009 was BGN1,032.60mln, which is 15% less compared with BGN1,217.26mln in 2008.

In 2009, the advertising expenditure only increased forthe Internet (4%) and radio (28%). The biggest year-on-year drop has been marked for below-the-line (56%) andoutdoor (32%), followed by TV (18%) and print media(6.6%).

In 2009, the gross advertising expenditure was split asfollows: TV 62.7%, print media 17.1%, radio 8.4%,outdoor 8.1%, Internet 3.2%, and below-the-line 0.5%.

Top 10 advertisers in Bulgaria in 2009 were cosmetics,food, beverages, telecommunications, pharmaceuticals,detergents, financial services, lifestyle, shopping malls,automobile industry and accessories.

In 2009, goods and services consumption in Bulgariadecreased by estimated 6% to 10%, while the main pricelevels remain relatively stable. To cope with the situation,the prices of advertising and media services have shrunkby 20% to 35%.

Newspapers and magazines increased their advertisingrates by 5% and 10%, respectively. According to TVPlan/TNS research, the reported gross decrease in printadvertising was 7%, and the net decrease 38%. Thereasons were the shrinking advertising budgets of thebiggest advertisers in the sectors of automobile andfinancial advertising, telecommunications, and realestate. Another important factor behind the decline inprint media advertising, especially in magazines, was a shrunk expenditure in fashion brands, the majorincome source for magazines. The traditional lack ofcredible circulation figures for measuring advertising


BULGARIA

effectiveness also has had a negative impact onadvertising revenues.

In 2009, the gross Internet advertising expenditure wasBGN33.44 mln. The major and traditional Internetadvertisers shrunk their budgets by 20%. On the otherhand, a large number of small advertisers appeared onthe Internet, however, their expenditure did notcompensate for the reduced bdgets of the largestadvertisers.

The Internet was the only media in Bulgaria which did not revise its advertising price rates and did notcome with flexible ad proposals due to the financialcrisis.

In 2009, the Code of Advertising Ethics in ElectronicMedia was adopted and a National Council for Self-Regulation in Advertising Industry was established.

The maximum advertising time in broadcast media isregulated by law: 12 minutes per hour in commercialmedia and six minutes per hour for the public media.This market is not transparent, though, and one canonly speculate by how much it has shrunk in 2009, butin general media experts believe it is 30 percent downfrom 2008.

Circulation In 2008, there were 438 newspapers published with theannual circulation of 370,789 thousand copies. Itrepresents 48.6 newspaper titles per capita, or 4.4 morethan in 2007. In comparison with 2007, the number ofnewspaper titles decreased by 2.2 %, while circulationincreased by 9.5%. In comparison with 2000 thenumber of newspaper titles decreased by 19.6%, andcirculation by 16.2%.

In 2008, weekly newspapers represented 42.9% of allnewspaper titles, and 34.7% of the annual circulation ofall newspapers.

In 2008, there were nine newspapers published forchildren and the young with circulation of 1,170thousand. Compared to 2000, their number fell 2.2times, and circulation increased three times. Incomparison with 2007, their number increased threetimes, and circulation five times.

The number of humoristic and satirical newspaperspublished in Bulgaria in 2000, 2007 and 2008 remainedconstant. Their circulation decreased 7.7 times for the period 2000 - 2008, and increased by 5.2% in 2008compared to 2007.

The capital of Sofia was the leading region with 213published newspapers in 2008, which is less by 17 titlesin comparison with 2007. The share of their circulationin 2008 was 87.7% of the total country ciculation.

Newspapers published in Bulgarian represented 96.1%in 2008 and the share remained unchanged incomparison with 2007. Newspapers published in foreignlanguages in 2008 represented 17 titles, including two inRussian and Turkish, three in English, and 10 in two ormore languages.

There were 601 magazines and 174 bulletins publishedin 2008. In comparison with 2000, the number ofmagazines increased by 40.1%, while the number of bulletins fell by 20.2%. The annual circulation ofmagazines was 13,118 thousand in 2008, whichrepresents a decrease by 20.7% in comparison with2000.

In 2008, 107 magazines and bulletins in foreignlanguages were published with an annual circulation of691 thousand. They included publications in English,the most numerous, with 55 titles and circulation of 359thousand. Publications in two or more languagesincluded 39 titles with the annual circulation of 293thousand.

Readership Readership in Bulgaria was vaguely researched in 2009.According to a few sources available, 69.6% of thepopulation under 35 spent most of its free (media) timein front of TV. The number of TV viewers and Internetusers increased dramatically in comparison withdecreasing numbers of readers of print media. It isestimated that less than 35% of adult population readnewspapers. The age of newspapers readers is gettinghigher, with the majority of readers being 45-65 yearsold.

In order to stop the deteriorating readership trends,many dailies and weeklies make different marketingpromotions, including CDs, DVDs, books and otherpromo materials as their inserts. Newspapers becomemore and more engaged in PR campaigns on socialcauses.

The most read dailies are Trud, 24 hours (both WAZ-owned), and Telegraph (published by Nova BulgarskaMedijna Grupa). The most popular weeklies are Tretavazrast (Third Age), Show and Doctor.

Readers still prefer “boulevard”-type of information,although there is an increase in the consumption oflifestyle and economic segments of the information. Themost preferable format combines serious (quality) andlighter information on a variety of topics, from politicsto sports and healthy lifestyle. There is a stronggravitation towards topics like health, environment andconsumer protection. Politics and domestic politicalscandals represent over 50% of newspaper content.

Online / Digital Publishing There were no government restrictions on access to the


BULGARIA

Internet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail.

In December 2008 the Supreme Administrative Courtstruck down a January 2008 decree that allowed securityservices to gather data on Internet users’ activities. Thecourt ruled that the decree lacked limitations on the datathat the services could access.

A recent survey of households and people aged 16-74years about the use of information and communicationtechnologies, conducted by the National StatisticalInstitute in 2009, shows a stable trend of growth.Internet services are accessible and preferred by moreand more households. In comparison with 2008, thenumber of households with Internet access increased by4.3%. Households in the South-West of Bulgaria havethe highest share of Internet access (37.3%) due to thefact that this region is equipped with good opticalinfrastructure, has the largest number of Internet ServiceProviders and holds the highest consumer interest.People access the Internet via their personal computer(91.8%, or 739,691 people), laptop (19.4%, or 156,389people), pocket PC (1.1%, or 9,067 people), mobilephones (4.9%, or 39,121 people), TV (0.5%, or 4,138people), and playstation (0.6%, or 4,782 people).

In 2009, 39.7% adult population regularly used theInternet. Whiler 41.5% of Internet users surfed fromtheir home computers in 2004, this share was already86% in 2009. The most active age group using theInternet in 2009 is represented by 16-24 years olds. Theshare of people spending their free time on the Internetin this age group has risen by 41.7% over last five yearsand reached 75.1% in 2009. The share of people usingonline commerce (3.3%) is still very low. Only 7.9%Internet users take the advantages of the e-Government.The number of people reading news, newspapers, andmagazines on the Internet has been increasing, from31.8% of all Internet users in Bulgaria in 2007 to 43.6%in 2008 and 49.4 % in 2009.

Most of the newspapers in Bulgaria have full and free-of-charge Internet editions. In 2009, the two mostInternet-conservative newspapers in the country, Trud(The Labor) and 24 Chasa (24 Hours), launched theirnew free Internet editions as well. A new trend of mostnewspaper websites is to publish not only the news fromthe print edition, but also news in real time.

The national daily Standart launched an Internet basednews agency in 2009.

Ownership Lack of transparency in media ownership consistentlychallenges the sustainability of Bulgarian media.Although the Radio and Television Act explicitly

requires disclosure of ownership, extending as far asnominal share certificates, the actual owners of largebroadcast and print outlets, as well as a number of onlinemedia, remain shrouded in secrecy. The most notableexample is a conglomerate that has been buying mediafor the last two years.

There is a growing tendency for successful Bulgariannewspapers to be bought by foreign media corporations.The German WAZ Group is the biggest media group inthe Bulgarian market; it has been the sole proprietor ofBulgaria’s first private press group, 168 Chasa Ltd, since1997 and the first foreign investor in the Bulgarianmedia market. WAZ publishes the biggest newspapers:24 Chasa (www.24chasa.bg) and Trud (www.trud.bg).

Economedia is Bulgaria’s leading publisher of businessmedia; it was founded by the German Handelsblattpublishing group and the Bulgarian Agency forInvestment Information. The business daily Dnevnik(www.dnevnik.bg) is published in a compact, 40-pageformat.

In June 2009, Nova Bulgarska Medijna Grupa (NewBulgarian Media Group) which owns the newspapersMonitor, Telegraph, Politika, the regional newspaperBorba (in Veliko Tarnovo) and a portion of the largestpublishing complex in the country, Rodina, bought a second TV channel, BBT. Thus BBT became anotheracquisition by the group after TV7.

In July 2009, publisher of the business daily Pari(Money) Valentin Panayotov sold his shares in BusinessMedia Group to the Bonnier Business Press, whichbecame the sole owner of the newspaper.

In September 2009, Later Nedyalkov, a co-owner ofWeekend, the yellow weekly with the highest circulationin the country, sold his shares to Nova BulgarskaMedijna Grupa. The latter become the largest mediaowner in Bulgaria. Later on, Mr. Nedyalkov launched anew newspaper, the weekly Retro, which targets retirees.

Media / Press Laws The law provides for freedom of speech and of the press;however, there were reports that individuals withpolitical and economic interests intimidated journalists.

Libel is punishable under the law. Usually the courtsinterpreted the law in a manner that favored journalisticexpression. Many defamation cases were prompted byreporting about corruption or mismanagement, and themost frequent plaintiffs were government officials orother persons in public positions.

Both the Press Council and the newly establishedNational Council for Self-Regulation in AdvertisingIndustry have been included in recent amendments of the draft Radio and TV Law (Media Law).


BULGARIA


Source: CIA – The World Factbook; US State Department; Media Development Center; Wien International; IREX – Media Sustainability Index 2010

The amendments mandate the broadcasting regulator(CEM) to penalize financially media outlets in case theydo not comply with decisions of the self-regulatorybodies. The new Media Law is expected to pass vote inthe Parliament in late 2010.

Printing & Distribution In 2009, the volume of newspaper copies delivereddropped by 1.2% due to the drop in the volume ofnewspapers and magazines in Bulgaria, according to theChair of the Union of the Printing Industry Petar Kanev.According to Mr. Kanev, the printing industryrepresents between 2.0% and 2.5% GDP and employsbetween 10,000 and 12,000 people.

State Support During several last years, the state became a majoradvertiser in Bulgaria. Significant amounts of directpayments to media outlets (or via mediators) took placeas a part of various “communication tools” or

“communication strategies”, such as for publicizingprojects or activities, some of which are partly funded bythe EU operative programmes.

Other Factors The National Council on Journalism Ethics continuedits work in 2008 through its Committees.

In 2009, the Committee for disclosing and announcingaffiliation of Bulgarian citizens to the State Security andthe intelligence services of the Bulgarian national armyannounced the names of agents who work or worked inBulgarian National Radio, Bulgarian National TV,electronic and print media. This was accepted by thegeneral Bulgarian population with controversy. For mostof people these disclosures are too late, coming 20 yearsafter the start of transition. The disclosures againexposed the issues of the fragile trust in media inBulgaria.


0-14 1,026 14 527 14 499 1315-24 933 12 478 13 455 1225-34 1,114 15 571 16 543 1435-44 1,073 14 543 15 530 1445-54 1,050 14 516 14 534 1455-64 1,042 14 485 13 557 1465 + 1,326 18 539 15 787 20Total 7,564 100 3,659 100 3,905 100

Source: National Statistical Institute – Information System Demography



A+B 369 12 249 15 120 8C1 860 28 382 23 478 33C2 1,842 59 1,009 61 833 57D 40 1 13 1 27 2Total 3,111 100 1,653 100 1,458 100

Source: National Statistical Institute


Occupancy Households%

1 person 242 people 323 people 224 people 165 or more people 6Total 100



2.cb Households (children) (2007)

Children Households%

Without children 73With children 27Total 100



BULGARIA

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 60 63 64 72 73 21.67 1.39Total paid-for dailies 60 63 64 70 70 16.67 0.00National paid-for dailies 26 27 29 31 31 19.23 0.00Regional and local 34 36 35 39 39 14.71 0.00paid-for dailiesMorning paid-for dailies 59 62 63 70 70 18.64 0.00Evening and afternoon 1 1 1 - - - -paid-for dailies

Total free dailies - - - 2 3 - 50.00Regional and local free dailies - - - 2 3 - 50.00

Total non-dailies - - - 381 384 - 0.79Total paid-for non-dailies 363 383 384 358 359 -1.10 0.28

National paid-for non-dailies 237 245 199 195 196 -17.30 0.51Regional and local 126 138 185 163 163 29.37 0.00paid-for non-dailies

Total free non-dailies - - - 23 25 - 8.70Regional and local - - - 23 25 - 8.70free non-dailies

Source: 2005-2007 National Statistical Institute of Bulgaria; 2008 NationalStatistical Institute; WAN-IFRA assessment (free dailies); 2009 WAN-IFRA assessment


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 558 653 629 912 1,037 85.84 13.71Total paid-for dailies 558 653 629 862 870 55.91 0.93National paid-for dailies 452 567 539 - - - -Regional and local 106 86 90 - - - -paid-for dailies

Total free dailies - - - 50 167 - 234.00Regional and local free dailies - - - 50 167 - 234.00

Total paid-for non-dailies 3,063 3,135 3,420 3,831 3,900 27.33 1.80National paid-for non-dailies 2,894 2,918 3,024 - - - -Regional and local 169 217 396 - - - -paid-for non-dailies

Source: 2005-2007 National Statistical Institute of Bulgaria; 2008 NationalStatistical Institute; WAN-IFRA assessment (free dailies); 2009 WAN-IFRA estimate;WAN-IFRA assessment (free dailies)


(%)2005 2006 2007 2008 2009

Single copy sales 52.0 48.5 89.5 - 95.0Subscriptions 20.0 15.0 2.0 - 0.5

Home deliveries - - 2.0 - 0.5Office deliveries 27.0 35.0 8.0 - 4.5Free distribution 1.0 1.5 0.5 - -Total 100 - 100 100 100

Source: Media Development Center


(Bulgaria, lev)min max




(%)Reached

All adults 32.9Men 37.1Women 29

Source: Market Links NationalRepresentative Survey 2009



group

16-24 9.0 19.925-34 17.7 34.035-44 20.3 36.245-54 18.7 46.255-64 23.2 39.065 + 11.2 22.3Total 100 -

Source: Market Links NationalRepresentative Survey 2009


(minutes per day)2005 2006 2007 2008 2009

All newspapers 43 - - - -National newspapers 40 - - - -Regional and local newspapers 5 - - - -

Magazines 45 - - - -Radio 119 240 234 222 182Television 208 260 - - -Internet - - - 196 -

Source: 2005 TNS TV Plan: Newspapers and Radio – Media Diary Panel – nationallyrepresentative of population aged 12 or more: Magazines (definition “read atall”) – Yearly databases, face to face interviews, nationally representative of urbanpopulation aged 15-60: Television – Nationally representative Peoplemeter Panel,ages 4 and up; 2006-2009 Market Links National Representative Survey 2009

2009 The only available figures are for Radio; population aged 15+


Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Dailies 12 31 35 37 45 275.00 21.62Non-dailies 1 22 20 25 25 25 13.64 0.00


Estimate1 Weeklies, published usually on Thursday, Friday or Saturday;

most of the weeklies in Bulgaria still remain without full Internet editions

6.a Online editions


(000)

Standart daily Standart News PLC www.standartnews.com 1,200 1

Monitor New Bulgarian Media Group www.monitor.bg 825 1

Dnevnik daily Economedia JSC www.dnevnik.bg 699Sega daily SEGA JSC www.segabg.com 663

Source: Media Development Center (Internet Web counters)1 Publisher’s claim


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 206.9 466.8 647.6 853.0 853.0 312.28 0.00Internet users 1,545.2 2,083.2 2,570.4 3,012.0 3,395.0 119.71 12.72




BULGARIA

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(Bulgaria, lev, bln)2005 2006 2007 2008 2009

GDP 41.9 49.1 56.8 64.5 66.3

Source: Bulgarian National Bank


(Bulgaria, lev, 000)2005 2006 2007 2008 2009

GDP per capita 5.4 6.4 7.4 8.7 8.8

Source: Bulgarian National Bank


(%)2005 2006 2007 2008 2009

Ad expenditure 1.46 1.66 1.67 2.02 2.60



(%)2006 2007 2008 2009 2010 2011 2012 2013

Ad expenditure 1.53 1.67 1.75 1.75 1.57 1.62 1.63 1.59



(Bulgaria, lev, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 135 159 176 189 177 177 178 178Newspapers 86 95 93 91 86 84 83 82Magazines 49 64 83 98 91 93 95 96

Television 413 477 617 791 670 690 730 770Radio 18 22 22 28 32 33 34 35Outdoor 32 78 107 124 95 95 99 103Internet 5 10 19 33 31 31 33 35Total 604 746 941 1,165 1,005 1,026 1,074 1,121

Source: BBSS Gallup; TNS; ZenithOptimedia

Before discounts; includes classified; excludes production costs; excludes agencycommission; Internet figures include display only


(Bulgaria, lev, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 71.2 73.0 75.1 71.6 71.7 0.70 0.14Total paid-for dailies 71.2 73.0 75.1 71.6 68.6 -3.65 -4.19National paid-for dailies 71.2 73.0 75.1 71.6 68.6 -3.65 -4.19Morning paid-for dailies - - 74.8 71.3 68.6 - -3.79Evening and afternoon - - 0.3 0.3 - - -paid-for dailies

Total free dailies - - - - 3.1 - -Regional and local - - - - 3.1 - -free dailies

Total paid-for non-dailies 21.0 22.5 21.4 24.0 20.2 -3.81 -15.83National paid-for non-dailies 21.0 22.5 21.4 24.0 20.2 -3.81 -15.83

Source: TV Plan TNS Adex Monitoring

Rate card figures, only national editions are monitored



In colour 11,330,294 11,632,764 10,800,000 12,400,000 9,210,000Total 13,999,643 13,210,213 12,100,000 13,000,000 10,000,000

Source: TNS TV Plan, AdEx Monitoring

Square cm


Advertising sector % of display ad revenue

(%)

Telecommunication 22.86Motoring 17.79Financial services 12.48Publishing 12.46Miscellaneous 8.25Retail outlets 3.99Immovables/construction/ 3.92repairs

Hobby/fashion/sport 2.90Pharmaceuticals 2.42Tourism 2.16



Advertiser Expenditure (Bulgaria, lev, 000)

Vestnikarska Grupa Bulgaria 12,380Mobiltel 6,586Moto Pfohe 4,132Economedia 1,664First Investment Bank 1,622DSK Bank 1,599Globul 1,499Porsche Bulgaria 1,317Kia Motors 1,232Sofia France Auto 1,091



Publishing company Total circulation Total revenue (000) (Bulgaria, lev, 000)

Media Holding JSC 30,652 38,183168 Chasa Ltd (EOOD) 28,360 32,019Economedia JSC 3,848 26,200Standart News JSC (EAD) 20,600 22,372Nova Bulgarska Medijna Grupa Jsc (EAD) 48,388 16,689Novinar Media Jsc 3,080 14,510Finansova Informatsionna Agentsia Ltd (EOOD) 312 7,713New Media Group 31,200 6,505Intermedia Ltd 30,420 5,797Sega Jsc (EAD) 2,464 2,949

Source: Media Development Center based on ICAP Bulgaria, financial reports of companies published in the Trade Register, and media market data



BULGARIA

Title Founded Language Publishing company Circulation Cover price usual Format Full page ad rateMono Colour

(year) (000) (Bulgaria, lev) (USD) (Bulgaria, lev)

Telegraph 2005 Bulgarian New Bulgarian Media Group 115 1 0.40 0.27 Tabloid 6,449.4 9,744.7Trud (The Labor) 1936 Bulgarian WAZ 82 2 0.80 0.54 Tabloid 21,796.1 3 29,431.8 3

24 Chasa (24 Hours) 1999 Bulgarian WAZ 70 4 0.90 0.61 Tabloid 21,796.1 3 29,431.8 3

Standart 1992 Bulgarian Standart News 45 5 0.50 0.34 Tabloid 7,328.0 11,589.0Douma 1990 Bulgarian Douma 2008 Jsc 12 0.70 0.48 Tabloid 4,329.0 6,435.0Zemja 1958 Bulgarian Koopmedia Jsc 10 0.50 0.34 Tabloid 2,300.0 2,900.0Monitor 1998 Bulgarian New Bulgarian Media Group 10 6 0.60 0.41 Tabloid 9,321.1 12,616.4Dnevnik (The Daily) 2001 Bulgarian Economedia Jsc 10 0.80 0.54 Tabloid 3,600.0 5,400.0Sega 1997 Bulgarian Sega Ltd 9 0.50 0.34 Tabloid 4,728.6 6,771.0Novinar 1992 Bulgarian Novinar Ltd 9 0.40 0.27 Tabloid 1,500.0 3,000.0

Source: Media Development Center1 158,000 on Fridays2 130,000 on Saturdays3 Trud and 24 Chasa offer only mirror advertisements, that is advertisers are obliged to place an advertisement simultaneously in both newspapers, except on Saturdays4 111,000 on Saturdays5 100,000 on Saturdays6 11,000 on Saturdays


Title Founded Language Publishing company Circulation Format(year) (000)

Novinite Dnes (Today’s News) 1 2009 Bulgarian Petyo Bluskov 2 150 -Gradski vestnik 3 2008 4 Bulgarian Economedia 5 100 -19 Minuti 6 2008 Bulgarian Bul Media Jsc 50 31x21 cm

Source: Media Development Center; FDN Newsletter1 Converted into a paid-for daily on December 1, 20092 Former owner of the dailies Monitor, Telegraph, and Politics; he sold the dailies at nearly EUR5 million to Ms Irena Krusteva,

former CEO of the Bulgarian national lottery Toto.3 Distributed in Sofia4 Launched in November 2008; closed down in February 20095 Publishing company of the economic daily Dnevnik and economic weekly Capital6 The pagination shrank from the initial 24/36 pages to six pages during 2009; circulation estimate by Media Development

Center as of August 2009


Change (%)2003 2004 2005 2006 2007 2007/03 2007/06

Total number of journalists 6,500 6,500 7,000 7,250 7,200 10.77 -0.69Number of part-time journalists - - - - 6,080 1 - -

Total number of employees 11,000 17,750 17,250 16,250 - - -

Source: 2003 M3 Communications, Union of Bulgarian Journalists, Union ofPublishers in Bulgaria; 2004-2007 Media Development Center

No official statistical data exist; publishers do not reveal such data1 Estimate by Media Development Center and the Union of Journalists in Bulgaria

9.a Employment

(Bulgaria, lev, mln) Change (%)2002 2003 2004 2005 2006 2006/02 2006/05

Total salary costs - - - 68.0 74.8 - 10.00


9.b Salaries

11. Research (2009)

Circulation is audited byNational Statistical Institute of Bulgaria

Readership is measured byMarket Links

MethodologyNational Representative Survey, sample size 1,100people, 3 months, interview


Tax %



Tax on profits – standard rate 10Tax on profits for newspapers 10

Source: National Statistical Institute via Media Development Center

12. Taxes (2009)


BULGARIA




Are there any direct subsidies?No



Post 0Railroad 0Telephone 0Telegraph 0Telex 0Other 0




Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?No

Is there any law prohibiting or restricting foreign companiesor individuals from owning shares, and in particular, themajority of shares, of domestic daily newspapers?

No. Common anti-trust legislation and practices areapplicable.

Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?No. By 2009, there was a restriction for broadcast mediaowners to own advertising businesses. In 2010 thisrestriction was abolished.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?

In 2009, the Union of Publishers reinforced the launchof a voluntary online register of media owners inBulgaria in an attempt to improve the transparency of media ownership that would guarantee betterprofessional standards. At the beginning, the register is applicable only to the members of the Union of Publishers. The Union of Publishers has beendiscussing with the Government a possibility of legalobligation to disclose information about ownership.

Is there an antitrust law limiting concentration in the dailypress?The general anti-trust regulation is applicable,according to which a market share over 35% isconsidered a dominating position.




CROATIA

General economic situation Since 2000, Croatia’s economic fortunes have begun toimprove slowly, with moderate but steady GDP growthbetween 4% and 6% led by a rebound in tourism andcredit-driven consumer spending. Inflation over thesame period has remained tame and the currency, thekuna, stable. Nevertheless, difficult problems stillremain, including a stubbornly high unemploymentrate, a growing trade deficit and uneven regionaldevelopment. The state retains a large role in theeconomy, as privatization efforts often meet stiff publicand political resistance. While macroeconomicstabilization has largely been achieved, structural reformslag because of deep resistance on the part of the publicand lack of strong support from politicians. The EUaccession process should accelerate fiscal and structuralreform. The inflation rate was estimated at 2.5% in2009.

Performance of newspapers vs. other media A deep economic crisis influenced the media in severalways, including financing problems, lack of profit andinvestment, no new jobs, and dismissed employees,mostly journalists. Governmental measures against theeconomic crisis, such as the “crisis tax,” have additionallyworsened the economic situation of media companies.(See more in the part Taxes in this Media MarketDescription.)

In 2009, two media outlets closed, dozens of journalistswere fired, and several trade union organizations in themedia announced strikes and public protests. (See alsothe part Other Factors in this Media MarketDescription.)

Independent television and radio stations operated inthe country, and two of the four national televisionchannels were private.

On June 18, 2009, the first Croatian news television,24sata TV, exclusively started broadcasting on MAXtv,T-Com’s interactive digital television. 24sata TV is a unique channel on which the viewers have thepossibility to get the information when they choose,once or several times a day, and receive the newestupdate on all relevant events in the last 24 hours. Apartfrom broadcasting on MAXtv, 24sata TV is also availableat the web address www.24sata.tv.

Performance of different types of newspapers A wide range of private newspapers and magazines werepublished without government interference.

The best selling Croatian daily newspaper is 24 sata, a typical “tabloid,” which only publishes sensationalissues. In Croatia, this is a new and refreshing modelwhich has brought commercial success.

Other newspapers have mixed editorial concepts. Onone hand, they publish quality journalism pieces, and onthe other, the worst possible sensational stories, or evenlies. Readers are not attracted by this type of newspapers,which is obvious in sales results of these titles. Somenewspapers, such as Vjesnik, serve the government in themost primitive way, publishing on a daily basiseverything related to the Prime Minister, without anycriticisms.

Free newspapers are undergoing a crisis. Metro is nolonger published; the News is facing a lack of fundingfrom local governments.

Novi list from the city of Rijeka has decided to return toits local roots. This newspaper, once known for itsbalanced and impartial reporting on the national level, ispaying more attention to the local area.

The city and region of Zadar is very specific inpublishing terms: the region of 120,000 inhabitants isserved by two daily newspapers, four weeklies, two localTV and three local radio stations, along with nationalmedia offices in the city.

Newspaper launches / closuresAfter 51 years of successful publishing, the weeklymagazine Arena stopped printing due to the economiccrisis and lack of advertising revenues. Back in 1968,Arena recorded the circulation of 478,000 copies, theamount that magazines today can only dream about.

In February 2009, the prominent business dailyBusiness.hr closed, following a decision by Swedishgroup Bonnier AB, the owner of the newspaper and itsweb portal business.hr. The reason behind the closurewas the global financial crisis and falling profits in othercountries where the Swedish group operates. DjurdjicaKlancir, editor of Business.hr wrote that the closure wasnot due to lack of interest in a quality brand. Thenewspaper has found potential partners to continueunder a different owner. Business.hr is now published asa weekly magazine.

Advertising In 2009, advertising market shrunk by about 20%-25%.

Circulation In 2009, daily newspaper circulation declined by about20%; the trend of falling circulation continues.

Readership In 2009 newspapers had more readers per copy, butgenerally readership figures have been falling.

Newspapers are not credible any more, and they are nolonger a synonym for quality journalism. Media



CROATIA

audiences in Croatia do not trust newspapers, mostlybecause of their “tabloidization” and sensationalism.Many Croatian newspapers manipulate their audience,serving different centers of power, such as secret services,political parties, or even organized crime.

A recent poll conducted by GfK agency has shown thatof all the media, Croats trust the Internet the most: 45%of respondents have confidence in the Internet. Radio issecond with 39%, television third with 35%, followedby magazines and weekly newspapers with 30% and31%, respectively. Daily newspapers are last with 24%.

Among institutions, the Church is the most credibleinstitution with a score of 3.44. After the Church,Croatian citizens believe most scientists (3.36) andeducational institutions (3.32). Prominent intellectuals(2.98) ranked much lower than priests, and journalistsare even lower at eighth place (2.73). The bottom ranksare occupied by the government, parliament, andpolitical parties in general occupy the last rank on thescale of trust.

On the scale of media reach, the Internet is also abovedaily newspapers. The Internet is regularly visited by33% citizens, whereas a daily newspaper is read by 28%.Only television and radio have a higher reach (57% and50%, respectively).

Online / Digital Publishing There were no government restrictions on access to theInternet or reports the government monitored e-mail orInternet chat rooms. In general individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail. Internet access was widelyavailable and used by citizens throughout the country.

Nearly half of all citizens older than 15, that is about1,700,000 people, use the Internet, which has becomean integral part of their life. Communication andinformation activities and services have becomeunthinkable for them without the Internet, which makestheir lives easier. Almost 1.3 million people rely onInternet searches at least partially, and about 850,000people use social networks.

Ownership In spite of the media law, media ownership was not fullytransparent, making it possible for political or otherinterests to conceal their influence on media outlets.

Local governments partly or fully owned approximately70 percent of the local media, making local broadcastmedia particularly vulnerable to political pressure.

Media / Press Laws The law regulates the national television and radionetworks separately from other electronic media. In linewith EU accession, Croatia should change the Media

Law and the Law on Croatian Radio-Television to makethem compatible with EU standards. The process ofadopting law reforms has started. Skeptics comment thatbehind the reforms to the Law on Croatian Radio-Television a politically motivated goal from the rulingparty to appoint a general manager of Croatian Radio-Television.

The law provides for no less than six months’ and nomore than five years’ imprisonment for hate speech.Hate speech committed over the Internet is punishableby six months’ to three years’ imprisonment.

Libel is a criminal offense; in recent years there were noreports of politically motivated libel cases. However, a large number of libel cases from previous yearsremained unresolved due to judicial backlogs. Courtsmay fine, but not imprison, persons convicted of slanderand libel.

Transparency International Croatia (TIH) and GONG,a non-government organization, again jointly launchedan initiative regarding citizens’ legal right of access toinformation. “We have the right to know!” is the mainobjective of the campaign aimed at improving legislation regulating access to information andfinancing of election campaigns. However, the law,which came into force in early 2004, does notaccomplish its purpose.

Copyright Journalists demand a change to copyright law,particularly in regard to press clipping agencies sellingtheir published news to clients and not remuneratingwriters. A society for the protection of journalists’copyright is trying to negotiate potential solutionsregarding writers’ copyrights with press clipping agenciesand publishers.

Taxes Candidate EU member Croatia took the highly unusualstep of introducing a “crisis tax” in order to keep thecountry’s ailing budget “above water”. The measure,announced by the country’s newly appointed primeminister Jadranka Kosor on July 22, 2009, unleashedangry reactions. The government introduced the new taxon August 1, 2009 and estimates that it will provide anextra EUR600 million of revenue. The measure istemporary and the government hopes to lift it by the endof 2010. This new “crisis tax” has indirectly affectedmedia businesses."

The government was also planning to increase value-added tax (VAT) from 22% to 23%. The earlier changeof VAT to 10% for the newspapers did not have majorpositive effects on media businesses.

Prime Minister Kosor also indicated a new tax on luxurygoods and mobile-phone services might be introduced.


CROATIA

Source: CIA – The World Factbook; US State Department; WAN-IFRA; ProEduca; Croatian Assosiation of Journalists;Croatia government reports; EurActiv.com

State Support Daily newspaper Vjesnik is still indirectly supported bythe government. Vjesnik is owned by Narodne novined.d., a public publishing company run by thegovernment. The public is not informed about Vjesnik’sbusiness results.

Approximately 46 percent of local radio stationsdepended on the financial support of local authorities.

Other Factors The year 2009 was one of the most difficult for Croatianmedia. Two journalists, Ivo Pukanic and Niko Franicwere killed in a bomb attack. Several journalists werebeaten, and dozens fired.

In the latest Reporters Without Borders’ (RSF) report onthe state of media freedom in the world, Croatia isranked the 78th, a drop of up to 33 places compared tothe previous year.

The Croatian Journalist Society and the Syndicate ofJournalists sent a letter to parliamentary committees onmedia and human rights, inviting them to discuss theprofessional and economic crisis of Croatian media,which, they say, threatens to weaken democracy andpluralism and strengthens corruption in the country.The NGO Babe, one of the signatories, said the letterwas signed by 41 journalists, 53 civil societyorganizations and six individuals.

Croatian President Stjepan Mesic commented on themedia situation: “I firmly believe that attacks on

journalists mean an attack on press freedom, and thus ondemocracy and on all of us.”

In 2009, the Commission of the Croatian BishopsConference (CBC) Lustitia et Pax issued a statementabout Croatian media and marketing. The statementsaid that in the interests of bigger profits, the interests ofowners and advertisers are put in front of the reader’sright to be informed. The media should be obliged toprovide complete information, otherwise it is notpossible to find a way out of the crisis, said the bishopsin their statement.

The Trade Union of Croatian Journalists in Porecdecided to organize a demonstration for its membersand threatened to launch a strike because, as they say, theNewspaper Publishers’ Association at the CroatianAssociation of Employers delayed negotiations on theadoption of a national collective agreement forjournalists. It has been decided that should the membersstrike, it will be if the national collective agreement isnot reached by October 1, 2010.

In July 2009, Europapress Holding (EPH) founded a new media university in Split, as the first privateuniversity in Dalmatia. The new faculty will be tuned tonew media and work methods, with a lot of practicaltraining, while the education costs of students will becovered by media companies from the region. The newuniversity will have the following programs: journalism,media design, business and management in media andpublic relations, and business economics.


CROATIA




0-14 698 16 358 17 340 1515-64 3,029 67 1,506 70 1,523 6565 + 762 17 296 14 466 20Total 4,489 100 2,160 100 2,329 100




A+B 381 10.2 218 13.3 163 8.5C1 678 18.0 276 16.9 402 20.9C2 836 22.2 554 33.8 282 14.6D 722 19.3 337 20.6 385 20.0E 1,135 30.3 442 27.0 693 36.0Total 3,747 100 1,637 100 1,925 100

Source: Statistical Yearbook of the Republic of Croatia


1 person 315 20.32 people 357 23.03 people 293 18.84 people 312 20.15 or more people 245 15.8Total 1,552 100




Children Households000 %

Without children 323 22.3With children 956 74.3

aged 0-3 277 -aged 4-9 183 -aged 10-15 275 -

Total 1,279 100


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 13 16 16 17 16 23.08 -5.88Total paid-for dailies 13 15 15 15 15 15.38 0.00

National paid-for dailies 8 8 9 8 8 0.00 0.00Regional and local 5 7 6 7 7 40.00 0.00paid-for dailies

Total free dailies - 1 1 2 1 - -50.00National free dailies - - 1 1 - - -Regional and local - - - 1 1 - 0.00free dailies

Total non-dailies 207 - - - - - -Total paid-for non-dailies 132 - - - - - -

National paid-for non-dailies 115 - - - - - -Regional and local 17 - - - - - -paid-for non-dailies

Total free non-dailies 75 - - - - - -

Source: 2005 Croatian Journalists Association, Research Institute estimates; 2006 ICEJ; 2007-2009 Croatian Association of Publishers; Chamber of Economy



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 411 685 730 640 595 44.77 -7.03Total paid-for dailies 411 560 560 520 535 30.17 2.88

National paid-for dailies 383 500 500 460 485 26.63 5.43Regional and local 28 60 60 60 50 78.57 -16.67paid-for dailies

Total free dailies - 125 170 120 60 - -50.00Total free non-dailies - - 600 600 - - -

Regional and local - - 600 600 - - -free non-dailies

Source: 2005 Croatian Journalists Association, Research Institute estimates; 2006 WAN assessment; 2007-2008 Croatian Association of Publishers; Chamber ofEconomy; WAN assessment (free dailies); 2009 Croatian Association of Publishers;Chamber of Economy; WAN-IFRA assessment (free dailies)


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies - - - 222 - - -Total paid-for dailies - - - 156.0 195.3 - 25.19

National paid-for dailies - - - 138 177 - 28.26Regional and local - - - 18.0 18.3 - 1.67paid-for dailies

Total free dailies - - - 66 - - -National free dailies - - - 36 - - -Regional and local - - - 30 - - -free dailies

Source: Croatian Association of Publishers; Chamber of Economy


(%)2003 2004 2005 2006 2007

Single copy sales 93.5 90.0 93.0 - 95.0Subscriptions - - 7.0 - 5.0

Home deliveries 6.5 - - - 3.0Postal deliveries - 10.0 - - 2.0

Total 100 100 100 - 100

Source: ICEJ


(%)Reached

All adults 60.5

Source: MediaPuls


(Croatia, kuna)min max


Source: Croatian Association of Publishers


CROATIA

Age %of readership

19 and less 2920-29 1730-39 940-49 1350-59 1760-74 20Total 100



(000)2005 2006 2007 2008 2009

Total paid-for dailies - - - - 2,943

Source: MediaPuls


6.a Online editions

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 10 12 - 16 16 60.00 0.00Non-dailies 2 - - - - - -

Source: 2006 ICEJ; 2008-2009 Croatian Association of Publishers

Newspaper Website Page impressions per month(000)

Vecernji list www.vecernji-list.hr 2,000Novi list www.novilist.hr 1,450Vjesnik www.vjesnik.hr 1,100Slobodna Dalmacija www.slobodnadalmacija.hr 980Glas Slavonije www.glas-slavonije.hr 781

Source: ICEJ


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 953.8 1,069.7 1,177.3 1,360.6 1,498.3 57.09 10.12Internet users 1,472.4 1,684.6 1,835.3 1,956.5 2,233.7 51.70 14.17




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(Croatia, kuna, bln)2005 2006 2007 2008 2009

GDP 264.4 286.3 314.2 341.5 341.5



(Croatia, kuna, 000)2005 2006 2007 2008 2009

GDP per capita 59.5 64.5 70.9 77.3 77.3




(%)2006 2007 2008 2009 2010 2011 2012 2013

Ad expenditure 1.70 1.73 1.64 1.64 1.71 1.76 1.77 1.82


(Croatia, kuna, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 1,031 1,315 1,501 1,566 1,417 1,523 1,649 1,785Newspapers 589 767 867 915 851 906 970 1,038Magazines 442 548 634 651 566 617 679 747

Television 2,810 3,218 3,612 3,706 3,978 4,177 4,386 4,825Outdoor 272 311 275 267 235 256 282 316Internet 9 12 43 65 68 74 87 100Total 4,121 4,856 5,431 5,604 5,698 6,030 6,404 7,025

Source: MediaPuls; AGB Nielsen; ZenithOptimedia

Excludes production costs; before discounts; excludes agency commission; excludesclassified; Internet figures are display only



Financial institutions, marketing 12.5Retailers 11.5Media and publishing 11.4Communciations-telecommunications 11.2Transportation and automotive industry 10.6Leisure and entertainment; travel, art 7.9Group and brand general advertising 5.9Government and non-government organisations 4.5Machinery and professional equipment 4.0Service industry 3.8

Source: MediaPuls

7.f Top newspaper advertising categories (2008)


Advertiser Expenditure (Croatia, kuna, 000)

Europapress Holding 37,874.5Konzum 29,547.9T-mobile Hrvatska 21,260.8Vip net GSM 18,775.3Pliva 17,437.2Kitio mobile doo 15,408.8Telephone line services 14,530.7Croatia Osiguranje 14,114.7Lidl 14,051.5T-Hrvatski Telekom 13,752.2

Source: MediaPuls


Publishing Total circulation company (000)

24sata 165Vecernji List 127Jutarnji List 104Slobodna Dalmacija 67Novi List 47Sportske Novosti 42Glas Istre 17Glas Slavonije 15Vjesnik 12Zadarski List 96

Source: Croatian Chamber of Industry

Owner Revenue(Croatia, kuna, 000)

EPH 420,753Styria 319,152Novi List 60,596Glas Slavonije 33,332Glas Istre 21,281RTD 8,950Vjesnik 3,215

Source: MediaPuls



CROATIA

Title Founded Language Publishing company Circulation Readership Cover price usual Format Full page ad rateMono Colour

(year) (000) (000) (Croatia, kuna) (USD) (Croatia, kuna)

24sata 2005 Croatian 24Sata d.o.o 165 1,140 4 0.75 Berliner - 34,900Vecernji List 1959 Croatian Vecernji List d.d. 135 493 7 1.20 Tabloid - 34,500Jutarnji List 1995 Croatian Eph d.o.o 120 500 7 1.20 Tabloid 27,600 33,120Slobodna Dalmacija 1945 Croatian Slobodna Dalmacija d.d. 67 250 7 1.20 Tabloid 23,100 27,720Novi List 1900 Croatian Novi List d.d. 47 145 7 1.20 Tabloid 16,872 20,246Sportske Novosti 1946 Croatian Sportske Novosti d.d. 41 163 7 1.20 Tabloid 13,000 15,600Glas Istre 1945 Croatian Glas Istre d.d. 17 81 7 1.20 Tabloid 10,944 13,133Glas Slavonije 1945 Croatian Glas Slavonije d.d. 15 65 7 1.20 Tabloid 5,600 7,840Zadarski List - Croatian Zadarski List d.d. - - - - Tabloid 3,700 4,900Vjesnik 1940 Croatian Narodne Novine d.d. 12 25 7 1.20 Tabloid 10,000 12,000

Source: Croatian Chamber of Industry



(year) (000) (000) (Croatia, kuna)

24 sata 1 2008 Croatian 24 sata d.d. 2 60 240 Berliner 19,000 34,900

Source: Croatian Association of Publishers; MediaPuls; FDN Newsletter1 Free evening edition of the inexpensive morning daily 24 Sata2 Owned by Styria Medien AG


Change (%)2003 2004 2005 2006 2007 2007/03 2007/06

Total number of journalists 1 3,334 - 2,844 2,850 3,100 -7.02 8.77Number of part-time journalists 572 - 1,201 1,300 - - -

Total number of employees 4,918 - - - - - -

Source: 2003, 2005 Croatian Journalists Association; 2006 ICEJ; 2007 IREX – MediaSustainability Index 20081 All media

9.a Employment

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 1 13 15 16 17 16 23.08 -5.88Tabloids 12 14 - 15 15 25.00 0.00Other formats - - - 2 1 - -50.00Berliner 1 1 - - - - -

Source: 2006 ICEJ; 2007 WAN assessment; 2008 Croatian Chamber of Economy;2009 Croatian Association of Newspaper Publishers1 Paid-for and free dailies


11. Research (2009)

Circulation is audited byThere are no official data on circulation, sold copies andrevenues.

Readership is measured byIndependent agencies Media Metar, MediaPuls

MethodologyQuestionnaries and interviews


Tax %





12. Taxes (2009)


Are there subsidies for the purchase of newsprint? No

Are loans granted at low rates for re-equipment orimproving existing equipment? No

Are there any direct subsidies? Yes, for the daily newspaper Vjesnik, and for newspapersfor minorities and some local newspapers.







CROATIA


Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies? Law on Media, adopted in 2004, Article 32: by January31 each year, publishers have to report to the CroatianChamber of Commerce data on their company, nameand address of all persons or institutions owning sharesor having any other part of ownership, including dataabout percentage of ownership. By February 28,publishers are obliged to publish the same data in theOfficial Gazette.


Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?Yes. Under the Law on Electronic Media, a companywith a national broadcasting licence may not publishany daily newspaper with a circulation of more than3,000, and may not own more than: 25% of a national,regional or local publisher; 10% of any publisher ofdaily newspapers with circulation exceeding 3,000; or 10% of a news agency. A company with a regional orlocal broadcasting licence may not publish dailynewspapers in the same or neighbouring region, andmay own more than 30% of a publisher that producesnewspapers in the same region.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?All data on media ownership are public, except the

personal identity number of the owners and address ofthe editor-in-chief. Information on owners of shares of1% or above of total ownership are published in theOfficial Gazette as summary information.

If someone wants to know such data, he should provehis legal interest first. In other words, public does notknow names of the owners of 1% of shares and less.

Basic data should be accessible by law, but it does notmean that one will know who the real owners are. Publicdata is that the owner of 90% shares of Vecernji list isthe company Styria. But one cannot obtain data on whoowns the company Styria.

Hypothetically, if the Catholic Church owns 30% of ofStyria shares and the Archbishop of Zagreb owns 5% ofthe related 30%, public will not know.

Is there an antitrust law limiting concentration in the dailypress?Article 33 of the Law on Media states that no publisherof daily or weekly newspapers may sell more than 40%of all dailies and weeklies sold in the relevant market.

It is questionable how the Agency for Protection ofMarket Competition can define the level of marketconcentration for media companies if hard data isunavailable.

Is further regulation of media concentration expected?Yes, the definition of “dominating position” for mediacompanies needs to be defined to prevent mediaconcentration once hard data is available. Also, theMedia Law does not define the term “daily newspapers.”Do sports and business/financial newspapers belong inthe same category as general/political newspapers?"



CROATIA

15.b Cross-media ownership restrictions (2009)


Regional TVLicensees Maximum 25% stake Maximum 25% stake Maximum 10% stake

if circulation exceeds 3,000Maximum 10% stake


National TVLicensees Maximum 25% stake Maximum 25% stake Maximum 10% stake




Not allowed if circulationexceeds 3,000 No restrictions Not allowed if circulation

exceeds 40% of the market - Not allowed if circulationexceeds 3,000


Not allowed if circulationexceeds 3,000 - -

Not allowed if combined circulation exceeds 40%

of total market circulation

Not allowed if circulationexceeds 3,000

Satellite TVBroadcasters Not regulated Not regulated Not regulated Not regulated Not regulated

Foreign Investors No special restrictions No special restrictions No special restrictions No special restrictions No special restrictions

Source: ICEJ


CYPRUS

General economic situation The area of the Republic of Cyprus under governmentcontrol has a market economy dominated by the servicesector, which accounts for 78% of GDP. Tourism,financial services, and real estate are the most importantsectors. The economy in the area under governmentcontrol has grown at a rate well above the EU average.Cyprus adopted the euro as its national currency on 1 January 2008. Growth is expected to slow to less than2%, which would be its lowest level since 2003. As in thearea administered by Turkish Cypriots, water shortagesare a perennial problem. The inflation rate was estimatedat 0.9% in 2009.

Performance of newspapers vs. other media The Cypriot media mirror the island’s political division,with the Turkish-controlled zone in the north operatingits own press and broadcasters.

State-run radio and TV compete with private operators,and relays of Greek and Turkish stations are on air acrossthe island. Nicosia officials say the switch from analogueto digital TV broadcasting will be made in 2011.

Several private television and radio stations competedeffectively with government-controlled stations;government-owned stations accounted forapproximately 18-20 percent of the viewership fortelevision news and 30 percent of the general radioaudience.

International broadcasts, including telecasts from Turkeyand Greece, were available without interferencethroughout the island.

Performance of different types of newspapers Independent newspapers and periodicals proliferated.

There are nine daily newspapers in Greek: Phileleftheros,Simerini, Alithia, Haravaghi, Politis, Makhi, XPressEconomiki (online newspaper launched in 2000),Apogevmatini, and Agon.

In the Turkish-speaking part of Cyprus, with a population of around 200,000, there are 11 dailies:Afrika (formerly Avrupa), Birlik, Kibris, Kibrisli, Ortam,Star Kibris, Volkan, Yeniduzen, Yenicag, Halkin Sesi,and Haber Havadis. Conservative Turkish dailies Sabahand Hurriyet have a daily circulation of around 13,000between them, while sales of the most popular TurkishCypriot paper, Kibris, are about 13,000 copies a day.

English is used widely by permanent foreign residents onthe island, creating a market for two local dailies, CyprusNews and Cyprus Times, and one weekly publication,Cyprus Weekly.

The Cyprus Weekly is the top-selling English-languagepublication in Cyprus, with a circulation exceeding17,000. It holds second place out of all Cyprus printmedia behind the daily Phileleftheros. Founded in 1979,it is an independent publication, without any politicalaffiliations. It is published every Friday.

The Famagusta Gazette Online is the first Englishlanguage newspaper website that offers a 24-hour rollingnews service, focusing primarily on events in Cyprus. Ithas more than 120,000 unique visitors per week. TheFamagusta Gazette was originally launched in 2003 as a monthly colour newspaper, which was distributed insouth-east Cyprus by Hellenic Press. The last printededition of the Famagusta Gazette was published onSeptember 1st, 2007 before the entire operation wentonline.

Slavic-speaking residents have also created their ownlocal media. Since 1975, the island has grown into a major centre for the publication of numerous Arab andRussian magazines and newspapers.

Online / Digital Publishing There were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including e-mail. The Internet was easilyaccessible and widely available to the public.

Media / Press Laws The law provides for freedom of speech and of the press,and the government generally respected these rights inpractice.

The government imposed significant restrictions onTurkish (as opposed to Turkish Cypriot) journalistscrossing the green line to cover news events in thegovernment-controlled area.

In 2006 the Council of Ministers rejected a 2005decision by the board of the Cyprus News Agency toappoint Christoforos Christoforou as its new director.Some newspapers and opposition parties attributed therejection to Christoforou’s authorship of articlescriticizing government policies regarding the UN effortsin 2004 to reunify the island. The Cyprus Journalists’Union called on the government to reverse its decisionand approve the appointment. Christoforou appealed tothe Supreme Court, which ruled in his favor in June2008. In July 2008 the Attorney General’s Officeappealed the Supreme Court decision. The appeal waspending before the court at year’s end.


Source: CIA – The World Factbook; US State Department; BBC News


CYPRUS



0-14 153 19 78 20 75 1915-64 546 69 277 70 269 6765 + 98 12 43 11 55 14Total 797 100 398 100 399 100




Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 100 100 102 103 100 0.00 -2.91



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 91.0 105.8 130.6 159.6 190.9 109.78 19.61Internet users 274.3 302.8 348.1 364.9 433.8 58.15 18.88



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Mobile cellular subscriptions 782.5 867.8 988.3 1,016.7 977.5 24.92 -3.86



(Cypriot pound until 2007, Cyprus euro from 2008, bln)2005 2006 2007 2008 2009

GDP 7.9 8.2 11.2 16.6 16.5


2006 Republic of Cyprus only; GDP of North Cyprus was 2.1 bn Cypriot pounds2007 Area under government control: CYP9.2 billion; area administered by TurkishCypriots: CYP2.0 billion (2007 est.)


(Cypriot pound until 2007, Cyprus euro from 2008, 000)2005 2006 2007 2008 2009

GDP per capita - - 15.26 15.60 15.30




Title Founded Language Publishing company Circulation 1 Cover price usual 2 Format (year) (000) (Cyprus, euro)

Phileleftheros (The Liberal) 1955 Greek Phileleftheros Public Co. Ltd. 26 0.85 BroadsheetKibris - Turkish - 13 - -Alithia (The Truth) 1952 3 Greek Alithia Ltd 11 1.50 BroadsheetHaravghi (Dawn) 4 1956 Greek Tilegraphos Ltd. 9 0.70 BroadsheetSimerini (Today) 1976 Greek Dias Publishing House Ltd 9 0.70 BroadsheetApogevmatini - Greek - 8 - -Politis (Citizen) 1999 Greek Arktinos Publications Ltd 7 0.70 BerlinerHalkin Sesi (Voice of the People) - Turkish - 6 - -Agon (Struggle) - Greek - 5 - -Cyprus Mail 1945 English Cyprus Mail Co. Ltd 4 0.70 Berliner

Source: Wikipedia; WAN-IFRA from public sources1 2002 data2 2007 figures converted from Cypriot pounds to euros3 Alithia became a daily in 19824 A mouthpiece of the Cyprus Communist Party (AKEL)


CYPRUS

Tax %

Standard VAT 15VAT on:Single copy sales 5

Tax on profits – standard rate 10

Source: Deloitte Touche Tohmatsu; Distripress

12. Taxes (2009)



Source: WAN archives




Regional TVLicensees Maximum of one Maximum of one No limit No limit

Max. one. Barred if they ownmore than 20% of the share

capital in a TV station.

National TVLicensees Maximum of one Maximum of one No limit No limit


capital in a TV station.



capital in a newspaper.


capital in a newspaper.No limit No limit







capital in a newspaper.No limit No limit



Local Radio Licensees

Max. one. Barred if they own more than 20% of the share capital in a radio station.


No limit No limit -

National Radio Licensees



No limit No limit -

Foreign Investors

Up to 2.5% per investor. All foreign investors cannot own more than 10% of total

share capital.


share capital.

No limit No limit


share capital.

Source: WAN archives


CZECH REPUBLIC

General economic situation The small, open, export-driven Czech economy grew byover 6% annually from 2005-2007 and strong growthcontinued throughout the first three quarters of 2008.Despite the global financial crisis, the conservativeCzech financial system has remained relatively healthy.

In 2009, the economic situation in the Czech Republicwas significantly affected by consequences of the worldfinancial and economic crisis. The GDP decreased by4.7 per cent. The Czech economy encountered such a situation for the first time after 20 years of the freemarket economy development; particular entities werenot prepared for such a situation and they were not ableto react to it adequately. The relatively small Czecheconomy is largely dependent on export, which wasespecially strongly affected by the crisis. Perhaps the onlypositive factor in 2009 was a negligible inflation rate,reaching 0.1 per cent year-on-year.

Performance of different types of newspapers The daily newspaper market was affected not only by a decrease in advertising revenues, but also by structuralchanges in the media behaviour of people and negativeconsequences of the changes in their life style in relationto the reception of media.

The structural changes in the media behaviour showedthemselves on the daily market in the Czech Republic in2009 by a continuing decrease in sales and a decrease inreadership. A decrease in daily readership is onlymoderate and lower than a decrease in their paidcirculation.

Both in 2009 and at the beginning of 2010, Czechdailies, such as Hospodarske noviny and MF Dnes, were gradually redesigning their format and editorialcontent.

A more dynamic development took place on the non-dailies market:

The publishing house Mafra finished a pilot project ofpublishing the regional free weekly 14 dni. In the firsthalf of 2009, the publishing house Mlada fronta startedpublishing the regional free weekly Sedmicka, covering a considerable part of the territory of the Czech Republicwith the total of 27 editions.

In the previous years, Czech newspaper publishers weretransforming their original press publishing houses intocurrent multimedia news houses and mastered usingonline and mobile channels for news contentdissemination. In this respect, the crisis contributed tothe market refinement, as it forced publishers to focuson main directions and the most successful products,both in the area of printed titles and online media.

The project of the publishing house PPF Media calledOur Address was also launched in 2009. It is an attemptfor connecting a hyperlocal news service on both onlineand paper platforms. According to the media marketcategorization of the Czech Publishers Association,weeklies are included among magazines, that means theassociation supersedes periodicity over technicalities.

Our Address aims to reconnect newspapers with readersand advertisers by focusing on neighbourhood concernsat a neighbourhood level. The project belongs to PPFMedia, a firm based in Amsterdam with banking,insurance and media holdings in Central and EasternEurope. In May 2009 PPF confirmed it was investingless than EUR10 million, or USD13.4 million, in theproject. A month later PFF began publishing sevenweekly newspapers and about 30 websites serving fourdistinct regions of the country, clustered around the fourcities in which the “news cafes” were situated: Olomouc,Usti, Teplice, and Kromeriz. The cafes, websites andnewspapers operate under the name Nase Adresa, or“our address,” with the names of the local communitiesincluded for the publications. Most of the 90 or so staffhired so far are under 30-years-old. Roman Gallo,director for media strategies at PPF, said that if thewebsites and newspapers are successful, the goal is to addscores of similar ones across the Czech Republic andperhaps beyond in other Central and Eastern Europeancountries. Google is a partner to the project, althoughthe Internet company has not invested directly in theventure. Instead, it is making its local staff available tohelp teach PPF journalists how to use tools like GoogleMaps, Google Translate and YouTube. Another partnerin the project is Atex, a provider of publishing software.

In May 2009 representatives of the World Association ofNewspapers (WAN) and PPF Group launched theInternational Multimedia News Lab in Prague. Thetraining and educational centre, combined, with theeditorial house, is called Futuroom; it is part of the PPFMedia project in the area of hyperlocal news, both printand online. Through the World Editors Forum (WEF),WAN provides advisory and consulting services. Themultimedia news lab is housed in PPF’s Prague premisesand offers media education and training aimed at localnews reporting and modern day journalism in a purposebuilt newsroom that features advanced technologies.

Expectations are uncertain about the newspaper marketdevelopment in 2010. The existing partial informationshows that even if the decrease in paid circulation ofdailies has stopped, there is no obvious trend ofreturning to the level reached a year ago. A certainpositive turn in the first quarter of 2010 was an increasedvolume of gross advertising revenues of dailies by 7 percent, as well as the number of advertising pages,compared to the same period of 2009.



CZECH REPUBLIC

In spite of the mentioned indications of improvement,however, perspective of the Czech media marketdevelopment in 2010 remains unclear. Expert opinionsdiffer considerably in this respect.

Newspaper launches / closuresThe tabloid daily Sip has been transformed into a socialweekly magazine in April 2009. Sip is still published ina newspaper format, but the project has been transferredfrom the publishing house Vltava Labe Press to thepartner publishing house of magazines and newspapersupplements, Astrosat.

In 2009, there were no other launches or closures ofdaily newspapers on the Czech market.

National weekly free newspaper Sedmicka was launchedwith a million-copy print run on 15 April, 2009,reaching a tenth of the Czech Republic’s 10.5 millionpopulation. Sedmicka, which means ‘seven’ in Czech, isdelivered to post boxes and is also available from 600pickup points. The Czech newspaper is headed up byMark Whittaker, the ex-MD of Trinity Mirror’sMidlands weekly papers, who collaborated with Czechpublisher Mlada Fronta to launch Sedmicka. Thelaunch was based on 10 regional editions, which hassince grown to 15. The newspaper had a target for 27 bythe end of May 2009. According to the publisher, thetitle has 200 staff and 25 offices. The group also plans toset up a network of local and hyperlocal websites.

Advertising A decrease in GDP and industrial production negativelyaffected the advertising market. The total volume ofadvertising in traditional media decreased. Estimatesrange between 10 and 20 per cent. However, thecatastrophic estimate, according to which theadvertising volume should have decreased by up to onequarter, did not come true. In spite of that, impacts ofthe crisis on the advertising market were substantial,especially in the commodity groups playing a key role inadvertising on the Czech market, such astelecommunication services, cars, and finance. Certainstructural changes also influence the advertising market.One of them is the saturation of the mobilecommunication market and a considerable decrease inadvertising volume of their operators after many years ofgrowing expenditures.

Another unfavourable factor was an increase indiscounts required by advertisers, which affected thepress in a considerable extent: total gross advertisingrevenue of periodical publishers in 2009 decreased by9.8 per cent compared to 2008, according to ad-spenddata monitoring by TNS Media Intelligence. However,net advertising revenues of all publishers decreased by21 per cent, according to a survey conducted byPricewaterhouseCoopers for the Czech PublishersAssociation. This result is considerably better than

foreseen in some estimates. For example, the agencyOmnicom Media Group expected at the end of August2009 that the total volume of net advertising revenues ofthe periodical press would fall by unprecedented 36 percent.

Circulation During 2009 and in the early 2010, a decrease in bulksales to hotels or airlines contributed considerably to thetotal decrease in paid circulation, which can beconsidered a direct consequence of the economic crisisthat has caused a decrease in tourism, rather than a consequence of structural changes in people’spreferences.

In the last quarter 2009, cover prices of most Czechdailies slightly increased. Publishers thus tried to leveloff unfavourable consequences of an increase in prices of some inputs during the period when cover prices ofdailies remained unchanged.

Online / Digital Publishing There were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould and did engage in the peaceful expression of viewsvia the Internet, including by e-mail.

Ownership At the end of 2009, publishing of the daily Lidovenoviny and its supplements was transferred from theoriginal publishing house Lidove noviny to thepublishing house Mafra. In fact, it is not a majorownership change, as both Mafra and Lidove novinybelong to the German publishing group Rheinisch-Bergische Verlagsgeselschaft.

Media / Press Laws The law mandates prison sentences of six months tothree years for persons who deny Communist-era crimesor the Nazi Holocaust. Speech inciting hatred based onrace, religion, class, nationality, or other group affiliationis also illegal and carries a sentence of up to three yearsin prison.

As the result of a televised election advertisement thatreferred to a “final solution of the Gypsy question,” thePrague Municipal State Attorney’s Office filed charges inSeptember 2009 against a member of the unregistered,ultranationalist National Party for inciting hatred basedon race. In November 2009 a Prague district court gavea representative of the National Party a one-yearsuspended sentence and three years’ probation for theadvertisement."

In November 2008 a Prague district court finedjournalist Sabina Slonkova 20,000 korunas (USD1,100)for refusing to reveal her sources in a court caseregarding a leaked video published on the Web site


CZECH REPUBLIC

aktualne.cz. The video showed a presidential advisormeeting with a lobbyist in a hotel before the February2008 presidential elections. On February 6, 2009, anappeals court upheld the fine.

On April 1, 2009, a law criminalizing the publication of information obtained from police wiretaps came intoeffect. The law also criminalizes the publication ofnames of victims of serious crimes and the names of allvictims younger than age 18. Journalists violating thelaw, dubbed “muzzle law,” face fines of up to five millionkorunas (USD276,000) and prison sentences of up tofive years.

The International Press Institute criticized the law,asserting that its provisions are unclear, may inhibitinvestigative journalism, and provides no exception forthe public interest. Czech publishers and journalists didnot succeed, in spite of the international support of theWorld Association of Newspapers (WAN), EuropeanNewspaper Publishers’ Association (ENPA) and FAEP,to avert the passing of the Act and its coming into force.

Publishers and editors have sought exemptions from thelaw, citing a 2004 football match-fixing scandal whichresulted in prosecutions after newspapers obtained proofusing police telephone recordings that referees had beenbribed. Current joint efforts of media and somepoliticians give at least a certain hope for cancellingsevere restrictions introduced by the “muzzle law” andmitigation of threatening punishments. The Parliamentof the Czech Republic has been discussing a mitigatingamendment to the law, and the Constitutional Courtwill review the compliance of the law with theconstitutional rights.

Taxes An increase in VAT for newspaper sales from theoriginal 5 per cent to 9 per cent two years ago has also a certain negative impact on the newspaper market.

Since January 2010, the reduced VAT rate has beenincreased to 10 per cent as a part of newly introducedanti-crisis measures.

Source: CIA – The World Factbook; US State Department; The New York Times; Press Gazette; WAN-IFRA – World Editors Forum; AFP; Aktualne Centrum; Czech Publishers’ Association



0-14 1,480 14 760 15 720 1415-24 1,345 123 692 14 652 1225-34 1,727 17 890 17 837 1635-44 1,502 14 772 15 730 1445-54 1,385 13 696 14 689 1355-64 1,472 14 706 14 766 1465 + 1,556 15 620 12 936 18Total 10,467 100 5,136 100 5,331 100

Source: Czech Statistical Office



A+B 1,164 13 639 15 525 12C1 971 11 488 11 482 11C2 1,067 12 525 12 542 12D 1,876 21 854 20 1,021 23E 3,804 42 1,872 43 1,932 43Total 8,800 100 4,379 100 4,502 100

GfK Czech & Median – Media projekt 2009



1 person 1,255 28.82 people 1,269 29.13 people 831 19.14 people 778 17.85 or more people 229 5.2Total 4,361 100

Source: GfK Czech & Median – Mediaprojekt 2009



CZECH REPUBLIC



Without children 3,018 69.2With children 1,343 30.8aged 0-3 183 4.2aged 4-9 548 12.6aged 10-15 612 14.0

Total 4,361 100



Age Housewives000 %

Under 25 137 3.325-34 726 17.735-44 809 19.845-54 777 19.055-64 795 19.465 + 851 20.8Total 4,069 100


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 86 90 86 85 83 -3.49 -2.35Total paid-for dailies 84 86 82 82 81 -3.57 -1.22National paid-for dailies 9 10 9 9 8 -11.11 -11.11Regional and local 75 76 73 73 73 -2.67 0.00paid-for dailiesMorning paid-for dailies 84 86 82 82 81 -3.57 -1.22

Total free dailies 2 4 4 3 2 0.00 -33.33National free dailies - - 1 1 2 - 100.00Regional and local free dailies 2 3 3 2 - - -

Total non-dailies 486 482 475 491 477 -1.85 -2.85Total paid-for non-dailies 234 232 228 223 209 -10.68 -6.28

National paid-for 53 52 50 47 43 -18.87 -8.51non-dailiesRegional and local 181 180 178 176 166 -8.29 -5.68paid-for non-dailies

Total free non-dailies 252 250 247 268 268 6.35 0.00National free non-dailies 14 13 11 12 12 -14.29 0.00Regional and local 238 237 236 256 256 7.56 0.00free non-dailies

Total paid-for Sundays 4 3 3 3 3 -25.00 0.00National paid-for Sundays 4 3 3 3 3 -25.00 0.00

Source: 2005 ABC CR, OMD Czech - Media Data System; 2006 ABC CRs OMD Czech– Media Data Systems; WAN-IFRA assessment (non-dailies); 2007-2008 ABC CR,OMG Czech – Media Data System; 2009 Media Data System powered by OmnicomMedia Group; ABC CR


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 2,045 2,507 2,364 2,075 1,700 -16.87 -18.07Total paid-for dailies 1,742 1,669 1,672 1,549 1,365 -21.64 -11.88

National paid-for dailies 1,338 1,326 1,348 1,254 1,117 -16.52 -10.93Regional and local 404 343 324 295 248 -38.61 -15.93paid-for dailiesMorning paid-for dailies 1,742 1,669 1,672 1,549 1,365 -21.64 -11.88

Total free dailies 303 838 692 526 335 10.56 -36.31National free dailies - - 296 297 335 - 12.79Regional and local 303 838 396 229 - - -free dailies

Total non-dailies 13,420 11,400 11,860 12,434 13,218 -1.51 6.31Total paid-for non-dailies 2,195 1,700 1,630 1,630 1,689 -23.05 3.62

National paid-for non-dailies 1,192 800 774 774 750 -37.08 -3.10Regional and local 1,003 900 856 856 939 -6.38 9.70paid-for non-dailies

Total free non-dailies 11,225 9,700 10,230 10,804 11,529 2.71 6.71National free non-dailies 3,462 1,500 1,454 1,071 1,064 -69.27 -0.65Regional and local 7,763 8,200 8,776 9,733 10,465 34.81 7.52free non-dailies

Total paid-for Sundays 531 476 441 417 386 -27.31 -7.43National paid-for Sundays 531 476 441 417 386 -27.31 -7.43

Source: 2005 ABC CR; OMD Czech - Media Data System; Czech Publishers’Association Yearbook 2006; WAN-IFRA assessment (free dailies); 2006 ABC CR;OMD Czech – Media Data System; Czech Publishers' Association Yearbook 2007;WAN-IFRA assessment (non-dailies); 2007 ABC CR, OMG Prague – Media DataSystem; WAN assessment (free daily E15); 2008-2009 Media Data System poweredby Omnicom Media Group; ABC CR

Circulation of free newspapers has been audited since 2007, so there is a difference between the figures claimed before 2007 and those audited in 2007


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 566.0 713.7 675.0 601.0 492.0 -13.07 -18.14Total paid-for dailies 506 501 502 468 409 -19.17 -12.61

National paid-for dailies 383 398 404 378 334 -12.79 -11.64Regional and local 123 103 98 90 75 -39.02 -16.67paid-for dailiesMorning paid-for dailies 506 501 502 468 409 -19.17 -12.61

Total free dailies 60.0 212.7 173.0 133.0 83.0 38.33 -37.59National free dailies - - 74 75 83 - 10.67Regional and local 60.0 212.7 99.0 58.0 - - -free dailies

Total non-dailies 335.0 238.4 267.0 250.0 292.0 -12.84 16.80Total paid-for non-dailies 85.0 58.4 64.0 58.0 61.0 -28.24 5.17

National paid-for non-dailies 39 28 25 21 20 -48.72 -4.76Regional and local 46.0 30.4 39.0 37.0 41.0 -10.87 10.81paid-for non-dailies

Total free non-dailies 250 180 203 192 231 -7.60 20.31National free non-dailies 112 30 27 16 16 -85.71 0.00Regional and local 138 150 176 176 215 55.80 22.16free non-dailies


Source: 2005 ABC CR; Czech Publishers' Association (calculation); 2006 ABC CR;OMD Czech – Media Data System; WAN-IFRA assessment (non-dailies, exceptregional and local paid-for non-dailies, which is Czech Publishers' Association);2007 ABC CR, OMG Czech – Media Data System; 2008-2009 Media Data Systempowered by Omnicom Media Group; ABC CR



CZECH REPUBLIC

(Czech koruna, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 4,537 4,891 5,343 5,098 4,579 0.93 -10.18National paid-for dailies 3,365 3,906 4,333 4,170 4,017 19.38 -3.67Regional and local 1,172 985 1,010 928 562 -52.05 -39.44paid-for dailies

Total paid-for non-dailies 1 1,092 787 812 795 837 -23.35 5.28National paid-for non-dailies 564 450 2 432 406 389 -31.03 -4.19Regional and local 528 337 380 389 448 -15.15 15.17paid-for non-dailies


Source: 2005-2006 ABC CR; Czech Publishers’ Association (calculation); 2007-2009Media Data System powered by Omnicom Media Group; ABC CR1 All non-dailies figures are not compararable with 2005 and 2006 data which

represent a former estimate2 WAN-IFRA assessment

4.b Sales revenues

(%)2005 2006 2007 2008 2009

Single copy sales 69.1 68.4 68.1 66.9 66.5Subscriptions 29.4 29.0 28.3 28.9 30.8

Home deliveries 29.4 29.0 28.3 28.9 30.8Bulk 1 1.5 2.6 3.6 4.2 2.7Total 100 100 100 100 100

Source: 2005 ABC CR, Czech Publishers' Association, situation December 2005;2006-2009 ABC CR

2005 National + regional dailies only, audited figures; home deliveries representclose to 100% of subscriptions; post deliveries not audited; free distribution notaudited for dailies in the net press run; 2006 As of December 2006; 2008December 2008; paid-for dailies only; ‘Free distribution’ and ‘Other’ not audited;2009 Data as of December 2009; paid-for dailies only; all copies of dailies distributed on subscription are home delivered1 Including both office deliveries and bulk (sponsored) deliveries


(Czech koruna)min max


Source: Media Data System powered byOmnicom Media Group; ABC CR


(%)Reached


Source: Gfk Praha & Median – Mediaprojekt 2009



group

less than 16 1.6 12.416-24 9.7 33.225-34 17.1 45.135-44 19.2 49.445-54 18.3 53.855-64 17.6 53.465 + 16.4 50.1Total 100 46.1

Source: Gfk Praha & Median – Mediaprojekt 2009


(minutes per day)2005 2006 2007 2008 2009

All newspapers - - - - 19Magazines - - - - 30Radio 164 205 202 194 197Television 216 214 194 197 199Internet 230 65 85 95 96

Source: 2005 Media projekt 2005, TV projekt 2005, NetMonitor; 2006 RadioProjekt – Median & STEM/MARK, TV projekt - Mediaresearch, NetMonitor –Mediaresearch & Gemius; 2007 Radio Projekt 2007 – Median & STEM/Mark; TV Projekt 2007 – Mediaresearch; Net Monitor (November 2007) – Mediaresearch & Gemius; 2008 Radio Projekt 2008 – Median & STEM/Mark; TV Projekt 2008 –Mediaresearch; Net Monitor 2008 – Mediaresearch & Gemius; 2009 MediaMarketing Lifestyle 2009 by Median (print); Median & STEM/MARK (Radio projekt2009 in July-December 2009); Media research (TV projekt 2009); Media research & Gemius (Net Monitor 2009 in November 2009)

Age groups: print 15-79; radio 12-79; television 15+; Internet – all Internet users


(000)2005 2006 2007 2008 2009

Total dailies - 4,378 4,524 4,383 4,059Total paid-for dailies - 4,219 4,310 4,198 3,863Total free dailies - 353 515 476 406

Source: GfK Czech & Median – Media projekt


6.a Online editions

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 1 9 13 13 11 11 22.22 0.00Non-dailies 30 35 50 2 50 2 50 2 66.67 0.00Sundays 3 2 2 2 3 0.00 50.00

Source: 2005 Czech Publishers Association Yearbook 2006; 2006-2007 CzechPublishers Association Yearbook, OMD Czech – Media Data System; 2008-2009Media Data System powered by Omnicom Media Group1 Content of all regional dailies is included on one website, www.denik.cz2 Estimate


(Unique visitors per month, 000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies - - - 8,300 10,821 - 30.37Total paid-for dailies - - 7,899 8,270 10,750 - 29.99Total free dailies - - - 30 71 - 136.67

Source: Net Monitor – Mediaresearch & Gemius

Including only audited websites; July – December


Newspaper Publishing company Website Unique visitors per month(000)

Mlada fronta Dnes Mafra idnes.cz 3,205Pravo Borgis novinky.cz 3,162Pravo Borgis sport.cz 1,567Blesk Ringier CR blesk.cz 845Denik Vltava Labe Press denik.cz 626Lidove noviny Mafra lidovky.cz 538Hospodarske noviny Economia ihned.cz 535Aha! Ringier CR ahaonline.cz 272E15 Mlada fronta e15.cz 71

Source: Mediaresearch & Gemius – Net Monitor 2009

July-Dec 2009; including only the websites whose audience is audited


CZECH REPUBLIC

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Broadband subscribers 709.1 1,112.5 1,496.7 1,759.6 2,020.0 184.87 14.80


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(Czech koruna, bln)2005 2006 2007 2008 2009

GDP 2,984.0 3,231.6 3,441.7 3,705.7 3,546.4

Source: 2005 IFS, ZenithOptimedia; 2006-2009 Czech Statistical Office


(Czech koruna, 000)2005 2006 2007 2008 2009

GDP per capita 291.5 312.5 334.6 357.0 337.7

Source: 2005 IFS, ZenithOptimedia; 2006-2009 Czech Statistical Office



(%)2006 2007 2008 2009 2010 2011 2012 2013

Ad expenditure 1.56 1.50 1.60 1.60 1.64 1.61 1.62 1.62


(Czech koruna, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 16,855 19,151 19,334 20,039 17,485 17,951 18,636 19,404Newspapers 8,114 9,379 8,716 9,105 7,831 8,026 8,235 8,482Magazines 8,741 9,772 10,618 10,934 9,655 9,925 10,401 10,921

Television 21,350 23,681 24,374 26,707 28,208 27,320 28,413 30,402Radio 2,398 2,640 2,815 3,005 2,924 2,983 3,075 3,128Cinema 154 199 192 139 107 109 112 117Outdoor 1,943 2,502 2,748 4,261 3,544 3,608 3,724 3,852Internet 830 2,028 3,408 5,045 6,340 7,327 8,217 9,123Total 43,530 50,201 52,871 59,196 58,607 59,299 62,178 66,025

Source: Amer Nielsen; TNS MI; AdMonitoring; Screenvision; Cinexpress; SVIT;ZenithOptimedia

Excludes agency commission; excludes production costs; before discounts; excludesclassified; Internet includes display and search; since 2006, outdoor has includedan estimate for in-store media; since 2008, figures for outdoor include long-leasedeals and special formats e.g. bridge billboards; up to 2008, TV Ocko was countedas pay-TV in our pay-TV/free split; from 2009 it is counted as free




National paid-for dailies 5,546 5,794 5,395 5,709 5,140 -7.32 -9.97Regional and local 2,243 2,470 2,234 2,095 1,844 -17.79 -11.98paid-for dailiesMorning paid-for dailies 7,789 8,264 7,629 7,804 6,984 -10.34 -10.51

Total free dailies 260 922 1,095 1,327 1,059 307.31 -20.20National free dailies - - 869 983 1,059 - 7.73Regional and local 260 922 226 344 - - -free dailiesRegional and local - - - 11 87 - 690.91free non-dailies

Total paid-for Sundays 181 174 188 182 227 25.41 24.73National paid-for Sundays 181 174 188 182 227 25.41 24.73

Total online newspapers 250 350 509 1,059 1,272 408.80 20.11

Source: 2005 TNS A-Connect adspend monitoring; 2006 TNS Media Intelligence2006, ad spend monitoring; 2007 TNS Media Intelligence 2007; Online PublishersSection of the Czech Publishers Association (online ad revenues estimate); 2008TNS Media Intelligence 2008; SPIR/Mediaresearch – Ad Monitoring 2008 (online ad revenues); 2009 TNS Media Intelligence 2009; SPIR/Mediaresearch – AdMonitoring 2009 (online ad revenues)



In colour 32,481 39,075 39,193 43,295 38,594Total 53,009 60,230 65,629 63,295 50,057

Source: 2005 TNS A-Connect adspend monitoring, calculated by Czech Publishers’Association; 2006-2007 TNS Media Intelligence 2006, ad spend monitoring; 2008-2009 TNS Media Intelligence

Including paid-for and free dailies


(%)2005 2006 2007 2008 2009

Display 86.1 86.5 86.8 - 80.4Classified 6.5 6.3 5.4 - 3.3Inserts 4.4 3.5 2.3 - 2.8Online 3.0 3.7 5.5 - 13.5Total 100 100 100 - 100

Source: 2005-2007 TNS A-Connect adspend monitoring, calculated by CzechPublishers Association; 2009 TNS Media Intelligence 2009; AdMonitoring by SPIR –Association for the Internet Advertising (online)

Paid for and free dailies

7.e Contribution of display, classified, insert and online advertisingto total advertising revenue


Finance 13.2Retail chains, distance sale 10.2Cars, fuel, accessories 9.6Entertainment, culture, 7.0education

Household, gardening, 6.5home hobbies

Industrial production, 6.1energy suppliers

Telecommunications 5.2Traveling, hotels, restaurants 4.1Home appliances, photo, optic 3.8Sports, sport equipment 2.5

Source: TNS Media Intelligence 2009

Paid-for and free dailies


Advertiser Expenditure (Czech koruna, 000)

Czech Social 270,493Democratic Party

Mountfield 227,503Lidl CR 204,185Sazka 193,066Tesco Stores CR 188,089Datart 135,632Ford Motor Company CR 124,778Vodafone 121,148Ahold CR 110,819Skoda Volkswagen Group 102,988

Source: TNS Media Intelligence 2009

Figures are based on pricelist pricesbefore discounts and reductions



CZECH REPUBLIC


Publishing company Total circulation Total revenue(000) (Czech koruna, 000)

Ringier CR 580 1,989,325Mafra 315 2,439,661Metro CR 270 1 871,286Vltava-Labe-Press 258 1,851,725Borgis 138 415,848Mlada fronta 60 1 188,107Economia 54 355,979Futura 20 2 10,748

Source: ABC CR; TNS Media Intelligence 20091 Net press run2 Estimate


Title Founded Language Publishing Circulation Readership Cover price Format Full page ad ratecompany usual max usual max Mono Colour

(year) (000) (000) (Czech koruna) (USD) (Czech koruna)

Blesk 1992 Czech Ringier CR 412 1,390 9.00 15.00 0.47 0.79 Berliner 490,000 686,000Mlada fronta Dnes 1945 Czech Mafra 256 938 15.00 18.00 0.79 0.95 Berliner 496,000 694,000Denik 1 2006 Czech Vltava Labe Press 248 979 12.00 14.00 0.63 0.74 Berliner 426,000 596,000Pravo 1921 Czech Borgis 138 447 13.00 16.00 0.68 0.84 Berliner 172,000 246,000Aha! 2006 Czech Ringier CR 107 249 7.00 10.00 0.37 0.53 Berliner 136,000 191,000Sport 1953 Czech Ringier CR 60 257 12.00 16.00 0.63 0.87 Berliner 178,000 250,000Lidove noviny 1992 Czech Mafra 59 194 15.00 18.00 0.79 0.95 Berliner 211,000 296,000Hospodarske noviny 1957 Czech Economia 54 183 - 23.00 - 1.21 Berliner 367,000 496,000Halo noviny 1991 Czech Futura 20 2 - 9.00 - 0.47 - Berliner 60,000 80,000

Source: Media Data System provided by Omnicom Media Group; ABC CR; Gfk Czech & Median – Media projekt 2009 during July 2009 to December 2009

Exchange rate used: USD1 = CZK191 Network of dailies2 Estimate

Title Founded Language Publishing Circulation Readership Format Full page ad rate company Mono Colour

(year) (000) (000) (Czech koruna)

Metro 1997 Czech Metro CR 270 398 Tabloid 242,000 283,000E15 2007 Czech Mlada fronta 65 1 57 Tabloid - 244,000

Source: Media Data System powered by Omnicom Media Group; ABC CR; Media projekt 2009 – GfK Praha & Median, July-December 20091 Estimate


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total number of journalists 2,000 2,000 2,000 2,100 2,200 10.00 4.76Total number of employees 23,000 23,000 24,000 24,500 25,000 8.70 2.04

Source: Czech Journalists Syndicate; Czech Statistical Office

In all the publishing industry, including print production

9.a Employment


Total salary costs 747.5 747.5 786.6 828.0 920.0 1 23.08 11.11

Source: WAN assessment based on UVDT data1 According to the Survey on Salaries in the Publishing Industry (periodicals, books,CDs) by PricewaterhouseCoopers CR for the Czech Publishers' Association in 2006,and Czech Statistical Office data, average monthly salary costs per employee represented CZK46,250 (CZK34,250 salary + CZK12,000 employer's contribution)

9.b Salaries


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 90 92 88 88 86 -4.44 -2.27Tabloids 3 2 3 3 5 66.67 66.67Other formats 87 90 85 85 81 -6.90 -4.71

Source: OMD – Media Data System

Dailies + Sundays; non-dailies not included

(%)2005 2006 2007 2008 2009

Single copy sales 35 35 35 35 35Home deliveries 40 40 40 40 40

Source: 2005 ABC CR; Czech Publishers’ Association; distribution companies; 2006-2007 ABC CR; distribution companies; 2008-2009 ABC CR

Estimate; dailies are only home delivered in the Czech Republic



CZECH REPUBLIC

(Czech koruna)2005 2006 2007 2008 2009

Single copy 3.6 3.8 3.9 4.0 4.0Subscription 4.0 4.3 4.2 4.6 4.6

Source: 2005 ABC CR; Czech Publishers’ Association; distribution companies; 2006-2007 ABC CR; distribution companies; 2008-2009 ABC CR

Estimate


(Czech koruna)2005 2006 2007 2008 2009

Average per ton - - - - 14,827

Source: Publishers

Exchange rate used EUR1 = CZK26.47755

10.c Newsprint costs

11. Research (2009)

Circulation is audited byABC CR (Audit Bureau of Circulation, CzechRepublic), member of the IF ABC

Readership is measured byOne currency national readership research MediaProjekt, realised by GfK Praha & Median

MethodologyReadership: population aged 12-79; 8,900 persons,30,000 interviews per year; random access by addresses;face-to-face interviews using portable computers(CAPI); joint research for periodicals, magazines andnewspapers; outputs 4x per year (gliding half-years);questionnaire includes all dailies, more than 70 paid-forand free local non-dailies, and about 300 country-widemagazines.

Source: Czech Publishers’ Association

Tax %

Standard VAT 19VAT on:Single copy sales 9Subscription sales 9Advertising 19Newsprint 19Composition 19Plant 19

Tax on profits – standard rate 21Tax on profits for newspapers 21Tax concessions for newspaper companies 0(e.g. for reinvesting profits)

Source: Ministry of Finance

12. Taxes (2009)




Are there any direct subsidies? No







Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies? All private companies are ruled by the Competition Lawand the Company Law in the Czech Republic.

Is there any law prohibiting or restricting foreign companiesor individuals from owning shares, and in particular, themajority of shares, of domestic daily newspapers? No

Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality? No

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company? Yes, the Company Law.

Is there an antitrust law limiting concentration in the dailypress? All private companies are ruled by the Competition Lawand the Company Law in the Czech Republic.

Is further regulation of media concentration expected? It is not expected during the year 2010.



CZECH REPUBLIC



Regional TVLicensees A A A A A

National TVLicensees A A A A A


A A No limit No limit A


A A No limit No limit A

Satellite TVBroadcasters A A A A A

Local Radio Licensees A A A A A

National Radio Licensees A A A A A

Foreign Investors A A No limit No limit A


A – subject to approval of the licensing authority


DENMARK

General economic situation Denmark is a net exporter of food and energy and enjoysa comfortable balance of payments surplus.Unemployment is low and capacity constraints limitgrowth potential. Denmark’s fiscal position is among thestrongest in the EU, but after a long consumption-driven upswing between 2004-06, Denmark’s economybegan slowing in early 2007 with the end of a housingboom. The slowing global economy cut GDP by 1.2%in 2008. A major long-term issue will be the sharpdecline in the ratio of workers to retirees. The inflationrate was estimated at 1.3% in 2009.

Due to the weakened cyclical conditions anddiscretionary fiscal policy initiated to support growthand employment, a significant deterioration of thepublic finances is expected. The large generalgovernment surpluses in the latter years are thusexpected to be followed by deficits.

The central government budget for 2010 reflects a substantial deficit on the so called CIL-account, ofDKK77.25 billion in 2010. The deficit in 2009 isestimated at DKK52.25 billion. The deficit on thecentral government net balance, which is essential forthe central government debt, is estimated atDKK141.25 billion in 2009 and 74.25 billion in 2010.Thus, larger deficits on the CIL-account and the netbalance are estimated in 2009, while lower deficits areexpected in 2010 compared to the estimates in BudgetOutlook of August 2, 2009.

The larger deficit in 2009 and lower deficit in 2010primarily reflect the possibility for private businesses todefer payments of income tax and labour markedcontribution. The deferred payment implies thatrevenues of approximately DKK19bn are transferredfrom 2009 to 2010. The net balance is further affectedby a reduced amount of relending.

The general government budget balance is estimated todecrease by DKK154bn from 2008 to 2010. Thiscorresponds to a reduction of 8.9 per cent of GDP, ofwhich one third reflects the loosening of fiscal policy.The deterioration reflects that public finances inDenmark are very sensitive to cyclical changes andtrends in financial markets.

Measured by the fiscal effect fiscal policy is estimated tostimulate economic activity by 1.0 per cent of GDP in2009. Furthermore, the release of the Special Pension(SP) funds is estimated to stimulate activity by 0.3 percent of GDP in 2009. In 2010 the fiscal effect isestimated at 0.8 per cent of GDP. Activity is alsoexpected to be stimulated by 0.1 per cent of GDP due towithdrawals of certain individual pension-savingaccounts in 2010. The expansionary fiscal policy in

2009 and 2010 primarily reflects the estimated growthin public investments and tax cuts due to the taxagreement from 2007 and the tax reform included in theSpring Package 2.0.

Performance of newspapers vs. other media For many years Danish newspaper publishers tended toconcentrate solely on newspaper publishing, but thischanged in the early 2000s, when several regionalnewspaper publishers brought local commercial radiostations into their home markets as a move towardmultiple platforms: print media, local radio/televisionand the internet. Another motive was to compensate forthe decline in advertising revenues in their print mediatitles. Newspaper publishers are also involved in thepublishing of free newspapers, mainly local free weeklies,but also dailies. One reason why Danish newspaperpublishers relied on print only so long, compared totheir colleagues in other Nordic countries, was that thefirst alternative to the public service broadcaster inDenmark, TV 2, was state-owned rather than privatelyowned. Newspaper companies were not able to buy intothe channel, and that is still the case today.

Performance of different types of newspapers The number of paid-for dailies has been steady over thelast nine years.

Denmark differs from Finland, Norway and Swedenwith considerably fewer paid-for newspapers. On theother hand, almost all dailies appear six or seven days aweek.

The Danish newspaper market is characterized by thepresence of many free local and regional newspapers.These distriktsblade are exclusively financed byadvertising revenue and serve the same purpose as localnewspapers serve in other countries. Most of thesenewspapers are weeklies and are distributed in districtsdefined according to households shopping habits, thelargest of which is Sondagsavisen with 11 regionaleditions distributed on weekends to 1.4 millionhouseholds. Sondagsavisen reduced the number ofdistributed copies from 2.1 million to 1.4 million copiesin January 2009, in response to falling advertisingrevenue.

Advertising After 2007 which represented an all-time high,advertising turnover has been decreasing throughout2008 and 2009. At the end of 2009, advertising turnovershowed a decrease of 23 percent; indications for 2010show a still decreasing market.

Circulation Paid-for circulation has continued to decrease; in 2009 itwas 6.4 per cent lower compared to 2008.



DENMARK

The number of free newspaper copies went down to326,000 copies per day in autumn 2009 compared tomore than 1.5 million per day at the beginning of 2008.

Readership The reach of daily newspapers is still very high. In 2009more than 75 per cent of all adults were reading a newspaper every day.

Online / Digital Publishing There were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail. However, some observerscontended that a system designed to block childpornography mistakenly blocked other sites.

Publisher JP/Politiken’s five websites – three bearing thenewspapers’ brand names, and two, epn.dk and fpn.dk,niched (business news and consumer information,respectively), are among the most visited of the sitesrelated to traditional media.

Ownership The Danish newspaper market is mainly dominated bytwo companies: JP/Politikens Hus and BerlingskeMedia.

J/P Politikens Hus is Danish owned (foundations) and isa result of the merger of two newspaper companies:Aktieselskabet Dagbladet Politiken and Jyllands-Postenin 2003.

J/P Politiken’s newspaper activities include free localnewspapers in Denmark (and, since 2001-2002, insouthern Sweden), published by a subsidiary, PolitikensLokalaviser (70 titles in Denmark and Swedenaltogether), plus 24.5 per cent ownership ofMetroXpress Danmark A/S, the publisher of the freedailies MetroXpress and 24timer. JP/Politiken is alsoactive in classified advertising sites, book publishing,printing and TV-production.

Berlingske Media (formerly Det Berlingske Officin), oneof Denmark’s two leading newspaper publishers, isowned by the British Mecom Group since 2006. In late2000, Det Berlingske Officin was acquired by OrklaMedia in Norway. In 2006 the company changed handsagain, when Orkla Media was purchased by Mecom.The company was renamed Berlingske Media in 2008.

Berlingske Media publishes both major nationallydistributed papers, local newspapers and a great numberof websites. The company’s three nationally distributednewspaper titles are the two dailies, Berlingske Tidendeand B.T., and Denmark’s sole nationally distributedweekly, Weekendavisen. Berlingske’s others interests areprimarily in Jutland, where the company publishes

a number of daily regional papers under the name ofMidtjyske Medier – Århus Stiftstidende, one of thelarger regional newspapers in Denmark, among them.

Berlingske Media owns 50 per cent of the regionalJydske Vestkysten. In 2008 Berlingske’s newspapersaccounted for just under 30 per cent of total weekdaycirculation.

Berlingske Media also has interests in some 50 free localweeklies and operates the daily free paper, Urban, whichwas started in 2001 to compete with the Danish Metro-edition, MetroXpress. Among the company’s websitesare online newspaper sites, with bt.dk and berlingske.dkat the top, as well as sites for classified advertising (jobs,vehicles, etc.) Berlingske Media suffered from therecession’s advertising downturn, and its mothercompany, Mecom Group, faces mounting financialproblems. Mecom’s value on the stock market, andthereby also the value of Berlingske Media, has fallensharply.

Media / Press Laws The law prohibits any public speech or dissemination ofstatements or other pronouncements by which a groupof persons is threatened, derided, or degraded because oftheir race, skin color, national or ethnic background,faith, or sexual orientation; offenders may be fined orimprisoned for up to two years. The law also prohibits“blasphemy” and provides that a person who publiclymocks or insults a legally existing religious community’stenets of faith or worship may be fined or imprisoned forup to four months.

In a submission to the UN Committee on theElimination of Racial Discrimination published inAugust 2009, authorities reported that in 2008prosecutors brought charges of violating theseprohibitions in four cases; two cases were settled with a fine and two had not been decided.

Authorities continued to provide protection tocartoonist Kurt Westergaard, whose caricatures of theProphet Mohammed in 2005 led to demonstrations inDenmark and in many Muslim countries.

State Support The financial situation of newspapers has forced somejournalists to leave their jobs. According to DanskPresse, the reason for this is the decrease in distributionsupport for newspapers already included in the supportsystem following the allocation of distribution supportof DKK34 million to free newspapers MetroXpress and24timer.

Prime Minister Anders Fogh Rasmussen, who is ministerfor press matters in the Danish government, believes thatstate support should be reserved for the paper-basedmedia. In January 2009, in an interview with the Danish


DENMARK


Source: CIA – The World Factbook; US State Department; Journalisten; Nordicom; Danish Economic Council;Ministry of Finance; Danish Newspaper Publishers’ Association

Journalists Association newspaper, Journalisten, AndersFogh Rasmussen said, “We know from experience that the printed media are the main providers of newsfor the electronic media, and they therefore would be

sorely missed if the electronic media squeezed them outof the market. So I think I can justify that we currentlygive some direct and indirect subsidies to the printmedia.”



0-14 1,009 18.3 516 18.9 492 17.715-24 656 11.9 336 12.3 322 11.625-34 678 12.3 342 12.5 336 12.135-44 810 14.7 410 15.0 400 14.445-54 755 13.7 280 13.9 372 13.455-64 733 13.3 363 13.3 364 13.165 + 871 15.8 385 14.1 492 17.7Total 5,511 100 2,732 100 2,779 100

Source: TNS Gallup 1H 2009


A+B 1,174 25 716 31 458 19C1 1,737 37 821 35 716 38D 1,474 31 660 28 814 34E 332 7 128 6 204 9Total 4,717 100 2,325 100 2,392 100




1 person 994 392 people 843 333 people 295 124 people 293 115 or more people 139 5Total 2,564 100




Age Housewives000 %

Under 25 138 725-34 328 1635-44 397 1945-54 381 1855-64 354 1765 + 491 24Total 2,089 100


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 37 42 39 36 35 -5.41 -2.78Total paid-for dailies 31 30 32 32 32 3.23 0.00National paid-for dailies 9 9 10 10 10 11.11 0.00Regional and local 22 21 22 22 22 0.00 0.00paid-for dailiesMorning paid-for dailies 16 15 18 18 18 12.50 0.00Evening and afternoon 15 15 14 14 14 -6.67 0.00paid-for dailies

Total free dailies 6 12 7 4 3 -50.00 -25.00National free dailies 3 6 4 3 3 0.00 0.00Regional and local free dailies 3 6 3 1 - - -

Total non-dailies 286 267 280 274 270 -5.59 -1.46Total paid-for non-dailies 1 1 1 1 1 0.00 0.00National paid-for non-dailies 1 1 1 1 1 0.00 0.00

Total free non-dailies 285 266 279 273 269 -5.61 -1.47National free non-dailies 1 1 1 1 1 0.00 0.00Regional and local 284 265 278 272 268 -5.63 -1.47free non-dailies

Source: 2005 Danish Newspaper Publishers’ Association; 2006 Danish Audit Bureau of Circulation 1 H 2006; Danish Newspaper Publishers’ Association; WANassessment (free dailies); 2007 Danish Audit Bureau of Circulation (1st half 2007);Danish Newspaper Publishers’ Association; 2008 Danish Audit Bureau ofCirculation (1st half 2008); Danish Newspaper Publishers' Association; 2009 DanishAudit Bureau of Circulation (2nd half 2009); Danish Newspaper Publishers’Association



DENMARK

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 1,946 2,439 2,871 2,150 1,628 -16.34 -24.28Total paid-for dailies 1,290 1,268 1,241 1,164 1,058 -17.98 -9.11National paid-for dailies 725 690 725 676 623 -14.07 -7.84Regional and local 565 578 516 488 435 -23.01 -10.86paid-for dailiesMorning paid-for dailies 881 1,055 1,025 975 870 -1.25 -10.77Evening and afternoon 409 213 216 189 188 -54.03 -0.53paid-for dailies

Total free dailies 656 1,171 1,630 986 570 -13.11 -42.19National free dailies 568 1,061 1,530 681 570 0.35 -16.3Regional and local 88 110 100 305 - - -free dailies

Total non-dailies 8,461 9,098 9,601 9,601 8,204 -3.04 -14.55Total paid-for non-dailies 61 59 61 61 53 -13.11 -13.11

National paid-for non-dailies 61 59 61 61 53 -13.11 -13.11Total free non-dailies 8,400 9,039 9,540 8,700 8,151 -2.96 -6.31National free non-dailies 2,100 2,527 2,519 2,100 1,326 -36.86 -36.86Regional and local 6,300 6,512 7,021 6,600 6,825 8.33 3.41free non-dailies

Source: 2005 Danish Audit Bureau of Circulation 1H 2005; 2006 Danish AuditBureau of Circulation 1 H 2006; WAN assessment (free dailies); 2007 Danish AuditBureau of Circulation (1st half 2007); Danish Newspaper Publishers’ Association;2008 Danish Audit Bureau of Circulation (1st half 2008); Danish NewspaperPublishers’ Association; WAN assessment (regional free dailies); 2009 Danish AuditBureau of Circulation (2nd half 2009); Danish Newspaper Publishers’ Association


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 627 920 933 594 526 -16.11 -11.45Total paid-for dailies 455 447 435 411 384 -15.60 -6.57National paid-for dailies 265 262 262 244 230 -13.21 -5.74Regional and local 190 185 173 167 154 -18.95 -7.78paid-for dailiesMorning paid-for dailies 314 374 369 353 328 4.46 -7.08Evening and afternoon 141 73 66 58 56 -60.28 -3.45paid-for dailies

Total free dailies 172 473 498 183 142 -17.44 -22.40National free dailies 148 439 467 183 142 -4.05 -22.40Regional and local free dailies 24 34 31 - - - -

Total non-dailies 440 473 497 455 427 -2.95 -6.15Total paid-for non-dailies 3 3 3 3 3 0.00 0.00National paid-for non-dailies 3 3 3 3 3 0.00 0.00

Total free non-dailies 437 470 494 452 424 -2.97 -6.19National free non-dailies 109 131 130 109 69 -36.70 -36.70Regional and local 328 339 364 343 355 8.23 3.50free non-dailies

Source: 2005 Danish Audit Bureau of Circulation 1Q 2005; 2006 Danish AuditBureau of Circulation 1 H 2006; 2007 Danish Audit Bureau of Circulation (1st half2007); Danish Newspaper Publishers’ Association; 2008 Danish Audit Bureau ofCirculation (1st half 2008); Danish Newspaper Publishers’ Association; 2009 DanishAudit Bureau of Circulation (1st half 2009); Danish Newspaper Publishers’Association


(Danish krone, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 4,144 - 4,205 4,209 4,192 1.16 -0.40

Source: 2005 Danish Audit Bureau of Circulation 1Q 2005; 2006 Danish AuditBureau of Circulation 1 H 2006; 2007 Danish Audit Bureau of Circulation (1st half2007); Danish Newspaper Publishers’ Association; 2008 Danish Audit Bureau ofCirculation (1st half 2008); Danish Newspaper Publishers’ Association; 2009 DanishAudit Bureau of Circulation (1st half 2009); Danish Newspaper Publishers’Association

4.b Sales revenues

(%)2005 2006 2007 2008 2009


Home deliveries 78 79 - - -Postal deliveries 22 21 - - -

Total 100 100 100 100 100

Source: 2005 Danish Audit Bureau of Circulation 1Q 2005; 2006 Danish AuditBureau of Circulation 1 H 2006; 2007 Danish Audit Bureau of Circulation (1st half2007); 2008 Danish Audit Bureau of Circulation (1st half 2008); 2009 Danish AuditBureau of Circulation (1st half 2009)


(Danish krone)min max


Source: Danish Newspaper Publishers’Association


(%)Reached

All adults 74Men 76Women 72Main household shopper 74



(000)Readers

Total dailies (paid-for & free) 5,660Total paid-for dailies 4,322Total free dailies 1,338


5.d Number of readers (2009)


group

less than 16 6 4816-24 12 6625-34 14 6335-44 17 7045-54 16 7755-64 16 8465 + 19 85Total 100 -




(minutes per day)2004 2005 2006 2007 2008

All newspapers 19 - 23 - 23Magazines 2 - - - 6Radio 1 188 179 180 - 131Television 2 158 153 150 - 167Internet 18 - - - 55

Source: TNS Gallup1 Age 12+2 Age 3+

Change (%)2005 2006 2007 2008 2009 1 2009/05 2009/08

Dailies 35 38 38 38 58 65,71 52,63Non-dailies 1 1 1 1 1 0.00 0.00

Source: 2005-2008 Danish Newspaper Publishers' Association; 2009 FDIM.dk1 October 2009

6.a Online editions


DENMARK

(Unique visitors per month, 000) Change (%)2005 2006 2007 2008 2009 1 2009/05 2009/08

Total dailies - - 7,469 9,701 9,871 - 1.75Total paid-for dailies - - 7,419 9,394 9,548 - 1.64Total free dailies - - 20 288 258 - -10.42Total non-dailies - - 21 19 11 - -42.11Total paid-for non-dailies - - 21 19 11 - -42.11

Source: FDIM.dk1 October 2009




(000)

Ekstrabladet JP/Politikens Hus ekstrabladet.dk 1,393B.T. Berlingske Media bt.dk 857Politiken JP/Politikens Hus politiken.dk 775Meorgenavisen JP/Politikens Hus jp.dk 635Jyllands-Posten

Meorgenavisen JP/Politikens Hus epn.dk 461Jyllands-Posten

Berlingske Tidende Berlingske Media berlingske.dk 429Fyens Stiftstidende Fynske Medier P/S guloggratis.dk 406Berlingske Tidende Berlingske Media sporten.dk 380Dagbladet Børsen Dagbladet Børsen borsen.dk 376Berlingske Tidende Berlingske Media aok.dk 321

Source: FDIM.dk

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


Source: 2005-2008 International Telecommunication Union (ITU); 2009 TNS Gallup


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


Source: 2005-2008 International Telecommunication Union (ITU); 2009 IT &Telestyrelsen


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(Danish krone, bln)2005 2006 2007 2008 2009

GDP 1,545.3 1,628.6 1,687.9 1,734.6 1,739.7

Source: 2005-2008 ZenithOptimedia; 2009 Statistics Denmark


(Danish krone, 000)2005 2006 2007 2008 2009

GDP per capita 285.1 299.9 309.7 317.7 315.7

Source: 2005-2008 ZenithOptimedia; 2009 Statistics Denmark


(%)2006 2007 2008 2009 2010 2011 2012 2013

Ad expenditure 0.84 0.86 0.81 0.81 0.73 0.72 0.71 0.70



(Danish krone, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 2,254 2,471 2,516 2,431 2,000 2,085 2,200 2,266Radio 280 279 285 250 200 180 185 195Cinema 57 55 56 60 66 69 71 73Outdoor 383 405 473 516 475 498 513 539Internet 742 1,794 2,502 2,926 3,219 3,540 3,895 4,206Others 945 911 873 829 763 770 793 817Total 11,739 13,679 14,478 14,119 12,624 12,799 13,110 13,416

Source: Dansk Oplagskontrol; ZenithOptimedia

Excludes agency commission; excludes production costs; excludes classified advertising; after discounts; newspapers includes paid-for and free newspapers;magazines includes trade press from 2005; 'others' includes trade press (until2005), annuals and directories; Internet advertising includes display, classified and paid search




Total paid-for dailies 2,605 3,167 3,070 2,575 1,872 -28.14 -27.30National paid-for dailies 1,671 2,170 2,021 1,674 1,307 -21.78 -21.92Regional and local 934 997 1,049 901 565 -39.51 -37.29paid-for dailies

Source: Danish Newspaper Publishers’ Association


(%)2004 2005 2006 2007 2008

Display 46.0 50.0 52.7 54.0 55.3Classified 51.0 47.0 44.9 44.1 41.7Inserts 3.0 3.0 2.4 1.9 3.0Total 100 100 100 100 100

Source: Advertising expenditure survey


Miscellaneous advertising 26Electronics, EDP 18and telecommunication

Means of transport 9Travels and transport 9Furniture and fittings 8Retailing 8Foodstuffs 6Finance, capital and insurance 6Clothes and clothing industry 5Personal care 5

Source: TNS Media Intelligence


Advertiser Expenditure (Danish krone, 000)

Danske Spil 207,523Norwegian Air Shutle 182,180Telia 178,386SAS 144,869TDC 132,936L’Oreal 129,782Danske Bank 111,421Hotels com 110,054Universal Music 107,616DSB 101,819




DENMARK


JP/Politikens Hus 312Berlingske Medier 267Borsen 73JydskeVestkysten 65Nordjyske Stiftstidende 57Fyens Stiftstidende 51Dagbladet/Frederiksborg 44Amts AvisKristeligt Dagblad 26Information 22Vejle Amts Folkeblad/ 20Fredericia Dagblad

Source: Danish Audit Bureau ofCirculation 1H 2009



Title Founded Language Publishing company Circulation Readership Cover price usual Format(year) (000) (000) (Danish krone) (USD)

Morgenavisen Jyllands-Posten 1871 Danish JP/Politikens Hus 119 473 20.00 3.50 TabloidPolitiken 1884 Danish JP/Politikens Hus 108 432 22.00 3.85 BroadsheetBerlingske Tidende 1749 Danish Berlingske Medier 103 345 23.00 4.00 TabloidEkstra Bladet 1904 Danish JP/Politikens Hus 84 431 14.00 2.45 TabloidB.T. 1916 Danish Berlingske Medier 75 348 15.00 2.60 TabloidDagbladet Borsen 1896 Danish Dagbladet Børsen 73 235 26.00 4.55 TabloidJydske Vestkysten 1929 Danish Jydske Vestkysten 65 221 22.00 3.85 TabloidNordjyske Stiftstidende 1767 Danish Nordjyske Medier 57 197 20.00 3.50 TabloidFyens Stiftstidende 1772 Danish Fynske Medier 51 151 20.00 3.50 BroadsheetDagbladet/Frederiksborg Amst Avis 1878 Danish Sjællandske Medier 44 146 12.00 2.10 Broadsheet

Source: TNS-Gallup 1H 2009; Danish Audit Bureau of Circulation 1H 2009; Danish Newspapers Publishers’ Association

Title Founded Language Publishing company Circulation Readership Format(year) (000) (000)

MetroXpress 2001 Danish MetroXpress 1 228 524 Tabloid24timer 2006 Danish MetroXpress 1 180 394 TabloidUrban 2 2001 Danish Berlingske Medier 162 420 Tabloid

Source: TNS Gallup 1 H 2009, Danish Audit Bureau of Circulation 1 H 2009, Danish Newspapers Publishers’ Association1 Shares held by Metro International (51%), A-Pressen (24.5%) and JP Politikens Hus A/S (24.5%), according to publicitas.com2 Urban merged with Dato free daily in April 2007


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total number of journalists - 2,099 3,086 2,958 2,112 - -28.6Total number of employees - 9,880 10,005 9,863 9,529 - -3.39


9.a Employment

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 37 41 40 35 35 -5.41 0.00Broadsheets 18 16 16 15 10 -44.44 -33.33Tabloids 19 25 24 20 25 31.58 25.00



11. Research (2009)

Circulation is audited byDanish Audit Bureau of Circulation

Readership is measured byTNS Gallup

MethodologyCATI



DENMARK

Tax %




12. Taxes (2009)




Are there any direct subsidies? Yes, to support distribution.



Total amount 14 14 14 14 14 0.00 0.00








Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies? No


Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?No

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company? No

Is there an antitrust law limiting concentration in the dailypress? No

Is further regulation of media concentration expected? No



ESTONIA

Source: CIA – The World Factbook; US State Department; The Baltic Times; Estonian Newspaper Association (EALL); BBC News; FDN Newsletter


General economic situation Estonia has a modern market-based economy and one ofthe highest per capita income levels in Central & EasternEurope. The economy benefits from strong electronicsand telecommunications sectors and strong trade tieswith Finland, Sweden, Russia and Germany. The currentgovernment has pursued relatively sound fiscal policies,resulting in balanced budgets and low public debt.Rapid growth, however, has made it difficult to keepinflation and large current-account deficits from soaring,putting downward pressure on the country’s currency.The government plans to adopt the Euro but hasrepeatedly postponed its target date. Estonia’s economyslowed down markedly and fell sharply into recession inmid-2008, primarily as a result of an investment andconsumption slump following the bursting of the realestate market bubble. In 2009 the GDP decreased by14% compared to previous year. Unemployment ratewas 15.5% at the end of 2009; average salary alsodecreased year-on-year. The inflation rate was estimatedat -0.4% (deflation) in 2009.

Performance of newspapers vs. other media Estonia’s broadcasting industry grew significantly in the1990s. It has attracted foreign media groups; the mainprivately-owned TVs are run by Swedish and Norwegianconcerns.

Eesti Televisioon (ETV) and Eesti Raadio (ER) arepublic broadcasters. Take-up of cable TV is extensive;the offering includes stations in Finnish, Swedish,Russian and Latvian.

In 2009, the media sector faced a rapid turnover andprofit decrease.

Performance of different types of newspapers In 2010, free daily Linnaleht switched from daily toweekly periodicity. The newspaper was formerlypublished four days a week, Tuesday-Friday. In January2009 the Tuesday and Thursday editions were dropped.In April 2009 the Tartu edition went weekly. In January2010 all editions were weekly only, published on Fridays.

Newspaper launches / closuresNo new newspapers were launched during 2009.

Two Russian national dailies and one Estonian regionalweekly were closed in 2009.

Advertising Newspaper advertising revenue decreased by 42% in2009 compared to 2008. Advertising sales fell by morethan 30% for every major newspaper in the country. Intotal, newspaper advertising in Estonia fell to 308million kroons (USD26 million). Internet advertisingfell by an average of 21%, which represents over 80million kroons (USD7 million).

Circulation Newspaper circulation decreased by 11% in 2009compared to 2008.


Estonia has a reputation for being at the cutting edge oftechnology. By December 2008, 854,000 Estonians, or65% of the population, were using the Internet. Thecountry held the world’s first parliamentary “e-vote” in2007.

Two market leaders in online newspaper publishing areDelfi, a standalone online newspaper, and Postimees,which publishes both a paper and online edition.

Media / Press Laws The constitution provides for freedom of speech and ofthe press, and the government generally respected theserights in practice. An independent press, an effectivejudiciary, and a functioning democratic political systemcombined to ensure freedom of speech and the press.

Taxes In 2009, VAT for newspapers increased from 5% to 9%,whereas general VAT increased from 18% to 20%.

Other Factors Estonian Press Council handled a lot of complaints in2009.


ESTONIA



0-14 200 15 103 17 97 1415-24 196 15 100 16 96 1325-34 192 14 97 16 95 1335-44 180 13 88 14 92 1345-54 188 14 87 14 101 1455-64 154 12 66 11 88 1265 + 230 17 76 12 154 21Total 1,340 100 617 100 723 100

Source: Statistical Office of Estonia


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 12 13 16 15 11 -8.33 -26.67Total paid-for dailies 11 12 13 12 11 0.00 -8.33National paid-for dailies 6 6 7 6 5 -16.67 -16.67Regional and local 5 6 6 6 6 20.00 0.00paid-for dailies

Total free dailies 1 2 3 3 - - -Regional and local 1 2 3 3 - - -free dailies

Total non-dailies 29 29 30 28 31 6.90 10.71Total paid-for non-dailies 27 27 28 26 27 0.00 3.85

National paid-for non-dailies 10 10 11 9 10 0.00 11.11Regional and local 17 17 17 17 17 0.00 0.00paid-for non-dailies


Source: Estonian Newspaper Association


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 298 334 368 333 227 -23.83 -31.83Total paid-for dailies 256 276 279 261 227 -11.33 -13.03

National paid-for dailies 205 224 225 208 177 -13.66 -14.90Regional and local 51 52 54 53 50 -1.96 -5.66paid-for dailies

Total free dailies 4 58 89 72 - - -Regional and local 4 58 89 72 - - -free dailies

Total non-dailies 246 250 275 248 309 25.61 24.60Total paid-for non-dailies 209 208 239 214 213 1.91 -0.47National paid-for 154 158 163 138 144 -6.49 4.35non-dailiesRegional and local 55 50 76 76 69 25.45 -9.21paid-for non-dailies




(mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total dailies 71.0 84.0 90.5 97.0 84.0 18.31 -13.4Total paid-for dailies 71.0 75.0 78.5 81.7 69.0 -2.82 -15.54

National paid-for dailies 57.0 61.0 65.0 67.1 55.0 -3.51 -18.03Regional and local 14.0 14.0 13.5 14.6 14.0 0.00 -4.11paid-for dailies

Total free dailies - 9.0 12.0 15.3 15.0 - -1.96Regional and local - 9.0 12.0 15.3 15.0 - -1.96free dailies

Total non-dailies 23.0 19.0 20.4 19.8 18.0 -21.74 -9.09Total paid-for non-dailies 16.0 17.0 18.2 18.6 16.0 0.00 -13.98National paid-for 10.0 8.0 8.2 8.5 7.0 -30.00 -17.65non-dailiesRegional and local 6.0 9.0 10.0 10.1 9.0 50.00 -10.89paid-for non-dailies

Total free non-dailies 7.0 2.0 2.2 1.2 2.0 -71.43 66.67Regional and local 7.0 2.0 2.2 1.2 2.0 -71.43 66.67free non-dailies



(Estonian kroon, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 342 248 326 333 297 -13.16 -10.81National paid-for dailies 305 217 286 291 255 -16.39 -12.37Regional and local 37 31 40 42 42 13.51 0.00paid-for dailies

Total paid-for non-dailies 112 86 114 121 111 -0.89 -8.26National paid-for non-dailies 85 69 76 80 75 -11.76 -6.25Regional and local 27 17 38 41 36 33.33 -12.20paid-for non-dailies


4.b Sales revenues

(%)2005 2006 2007 2008 2009

Single copy sales 35 40 40 34 36Subscriptions 65 60 60 66 64Total 100 100 100 - 100




ESTONIA

(Estonian kroon)min max




(%)Reached


Source: TNS EMOR; NRS




group

15-19 8.2 54.920-29 17.4 55.130-39 17.3 60.140-49 18.1 63.450-59 17.6 63.960-74 21.5 70.9Total 100 -


(minutes per day)2005 2006 2007 2008 2009

Radio 1 303 282 277 276 266Television 2 235 244 243 248 250

Source: TNS EMOR TV-Meter Survey, video is included; TNS EMOR Radio DiarySurvey (Sep - Nov), recorded music is included1 Aged 18-742 Aged 18+


(000)Readers

Total dailies (paid-for & free) 645Total paid-for dailies 585Total free dailies 162


5.d Number of readers (2009)

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 12 12 16 15 11 -8.33 -26.67Non-dailies 29 30 39 28 26 -10.34 -7.14


6.a Online editions

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies - - - 4,085 4,897 - 19.88Total paid-for dailies - - - 3,206 3,644 - 13.66Total free dailies - - - 879 1,253 - 42.55Total non-dailies - - - 558 1,253 - 124.55Total paid-for non-dailies - - - 528 1,216 - 130.30Total free non-dailies - - - 30 37 - 23.33




(000)

Postimees AS Postimees postimees.ee 1,700Ohtuleht AS SL Ohtuleht ohtuleht.ee 732Infopress AS Inforing inforing.net 460Parnu Postimees AS Parnu Postimees parnupostimees.ee 274Aripaev AS Aripaev ap3.ee 245Postimees vene keeles AS Postimees rus.postimees.ee 230Sakala OU Sakala Kirjastus sakala.ajaleht.ee 186Jarva Teataja OU Järva Teataja jt.ee 181Komsomolskaja Pravda OU SKP Media nordeurope.kp.ru 135Pohja-Euroopas

Virumaa Teataja OU Virumaa Teataja virumaateataja.ee 134



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Estonian kroon, bln)2005 2006 2007 2008 2009

GDP 153.0 205.0 243.3 248.0 215.0

Source: Statistics Estonia


(Estonian kroon, 000)2005 2006 2007 2008 2009

GDP per capita 113.5 152.5 181.5 185.2 160.5

Source: Statistics Estonia


(%)2006 2007 2008 2009 2010 2011 2012 2013

Ad expenditure 0.66 0.78 0.70 0.70 0.52 0.50 0.53 0.56




ESTONIA

(Estonian kroon, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 310 363 479 469 330 310 325 354Radio 90 105 134 147 115 109 120 136Outdoor 67 84 123 138 100 95 105 118Internet 40 66 149 187 140 135 150 173Total 1,145 1,355 1,793 1,739 1,116 1,045 1,120 1,243

Source: TNS EMOR Advertising Expenditure Survey; ZenithOptimedia

After discounts; includes classified; excludes production costs; excludes agencycommission; Internet includes display, classified and search



Total dailies 330.0 401.6 472.8 417.0 257.0 -22.12 -38.37Total paid-for dailies 330.0 378.0 447.8 395.0 257.0 -22.12 -34.94National paid-for dailies 289.0 327.8 379.2 328.0 216.0 -25.26 -34.15Regional and local 41.0 50.2 68.6 67.0 41.0 0.00 -38.81paid-for dailies

Total free dailies 1 - 23.6 25.0 22.0 - - -Regional and local - 23.6 25.0 22.0 - - -free dailies

Total non-dailies 122.4 134.3 185.5 167.0 116.0 -5.23 -30.54Total paid-for non-dailies 105.0 134.3 178.0 159.0 100.0 -4.76 -37.11

National paid-for non-dailies 91.0 110.4 144.0 122.0 73.0 -19.78 -40.16Regional and local 14.0 23.9 34.0 37.0 27.0 92.86 -27.03paid-for non-dailies

Total free non-dailies 17.4 - 7.5 8.0 16.0 -8.05 100.00Regional and local - - 7.5 8.0 16.0 - 100.00free non-dailies

Total online newspapers 2 - - - - - -

Source: Estonian Newspaper Association1 Including total free dailies and total free non-dailies



In colour 12,400 13,500 17,300 13,840 9,700Total 17,900 19,000 23,000 18,400 12,800



(%)2005 2006 2007 2008 2009

Display 78.0 84.8 79.0 68.0 75.0Classified 17.0 15.2 16.0 17.0 10.0Inserts 5 - 1 2 10Online - - 4 13 5Total 100 100 100 100 100



Advertiser Expenditure (Estonian kroon, 000)

Info-Auto 19,800Veho Eesti 17,500A-Selver 17,000Rimi Baltic 12,500Indoor Group 12,200Masku Baltic 9,400Inchcape Motors 9,300Nordoptika 9,000Vanemuine 8,700Prisma Peremarket 8,600

Source: TNS Emor via ZenithOptimedia


Advertising Expenditure sector (Estonian kroon, 000)

Transport 60,100Trading 35,900Construction & furniture 21,600Business/finance/property 10,600Entertainment/culture/ 8,800recreation

Medicine 8,700Transport/tourism 6,900Communication/electronics/ 6,500computers

Source: TNS Emor via ZenithOptimedia


Publishing company Total circulation Total revenue (000) (Estonian kroon, 000)

AS Eesti Ajalehed 79 108,900AS LInnaleht 76 17,000AS Postimees 72 205,000AS SL Ohtuleht 56 121,500AS Eesti Paevaleht 33 107,400AS Aripaev 21 84,000OU Ajaleht 20 760OU SKP Media 15 4,300AS Pärnu Postimees 14 27,600OU Den za Dnjom Kirjastus 13 15,000



Owner Revenue (Estonian kroon, 000)

Postimees 130,300Aripaev 89,500Eesti Ekspressi Kirjastuse 70,000Eesti Päevalehe Kirjastuse 68,100SL Õhtuleht 60,600Linnaleht 28,400Pärnu Postimees 22,300Infesto 19,900Maaleht 19,200Sakala Kirjastuse 18,700

Source: Central Commercial Registervia ZenithOptimedia



ESTONIA

Title Language Publishing company Circulation Cover price usual Format Full page ad rateMono Colour

(000) (Estonian kroon) (USD) (Estonian kroon)

Postimees Estonian AS Postimees 60 12.00 1.04 Tabloid 56,000 56,000Õhtuleht Estonian AS SL Õhtuleht 56 9.00 0.78 Tabloid - 42,900Eesti Päevaleht Estonian AS Eesti Päevaleht 33 18.00 1.55 Tabloid 44,900 44,900Äripäev Estonian AS Äripäev 16 25.00 2.16 Tabloid - 59,900Pärnu Postimees Estonian AS Pärnu Postimees 14 8.00 0.69 Tabloid 21,006 21,006Postimees vene keeles Estonian/Russian AS Postimees 12 6.00 0.52 Tabloid 29,000 29,000Sakala Estonian OÜ Sakala Kirjastus 10 8.00 0.69 Tabloid 19,920 19,920Virumaa Teataja Estonian OÜ Virumaa Teataja 8 8.00 0.69 Tabloid 14,520 14,520Meie Maa Estonian OÜ Saaremaa Raadio 7 5.00 0.43 Tabloid 9,600 12,000Põhjarannik/ Estonian/Russian AS PR Põhjarannik 7 5.00 0.43 Tabloid 13,800 15,800Severnoje Poberezje



Title Founded Language Publishing Circulation Format Full page ad ratecompany Colour

(year) (000) (Estonia, kroon)

Linnaleht 2005 Estonian AS Linnaleht 32 Tabloid 30,106Linnaleht vene keeles 2005 Russian AS Linneleht 23 Tabloid 30,106Tartu Linnaleht 2007 Estonian AS Linnaleht 17 Tabloid 30,106

Source: Estonian Newspaper Association; FDN Newsletter


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total number of journalists 795 894 987 941 829 4.28 -11.90Total number of employees 1,363 1,402 1,403 1,372 1,182 -13.28 -13.85


9.a Employment

9.b Salaries


Total salary costs 259 282 - 261 203 -21.62 -22.22


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 41 42 45 42 40 -2.44 -4.76Tabloids 42 43 46 43 42 0.00 -2.33



11. Research (2009)

Readership is measured byTNS Emor

MethodologyEmor carries out the national readership survey once a month in the course of the Emor bimonthly CAPI-bussurvey. Media usage and background data are gatheredby using the computer assisted personal interviewing(CAPI) method. The national readership survey is a continuous survey in the course of which 500Estonian residents aged 15-74 are interviewed everymonth.


Tax %





12. Taxes (2009)




Are there any direct subsidies? Yes



Total amount 28.0 29.0 34.9 36.4 42.0 50.00 15.38




ESTONIA














FAROE ISLANDS

General economic situation The Faroese economy is dependent on fishing, whichmakes the economy vulnerable to price swings. Thesector accounts for 95% of exports and nearly half ofGDP. Since 2003 the Faroese economy has picked up asa result of higher prices for fish and for housing.Unemployment is minimal and government finances arerelatively sound. Oil finds close to the Islands give hopefor economically recoverable deposits, which couldeventually lay the basis for a more diversified economyand lessen dependence on Danish economic assistance.Aided by a substantial annual subsidy (about 15% ofGDP) from Denmark, the Faroese have a standard ofliving not far below the Danes and other Scandinavians.The inflation rate was estimated at 6.4% in 2008.

Performance of newspapers vs. other media In 2005, the public radio and television (Utvarp Foroya– UF) and Sjonvarp Foroya (SvF) merged into a newcompany called Kringvarp Foroya. The main nationalradio and TV services are publicly funded.

There are three radio stations, one of which is publiclyfunded.

Performance of different types of newspapers All newspapers in Faroe Islands are printed in tabloidformat.

There are two national dailies, Dimmalætting andSosialurin.

Dimmalætting is the oldest and largest newspaper in theFaroe Islands, printing 10,000 copies five times a week.The 24-page newspaper is printed in full colour. Itsformat changed from broadsheet to tabloid in February2005.

Sosialurin is also published five times a week. It wasestablished in 1927 originally as a political newspaperassociated with Faroese social democrats, but in 2006the Islands’ Social Democratic Party sold the newspaper.

There are three weekly newspapers:

Vinnuvitan is a business newspaper, established in 2004,with circulation of 2,300 copies.

VikuBladid is a free newspaper, established in 2001. It isdistributed to households with circulation of 20,000copies.

Nordlysid is a regional newspaper. Its frequencyincreased from one to two in a week from October 2005.One issue was distributed free to all households in thetown of Klaksvik, the northern islands and in thenorthern part of the island of Eysturoy in 6,400 freecopies and in 2,500 sold copies every other issue, or with4,450 copies on average per issue. Since the beginning of2007 the newspaper has been published once a week. Itis distributed free to households in the northern islandsand Eysturoy, but sold to subscribers elsewhere.

Oyggjatidindi, published bi-weekly, was established in1977.

Ownership In 2007, the daily Sosialurin acquired the private radioRas 2; the business weekly Vinnuvitan acquired the freeweekly VikuBladid.

In 2008, the daily Dimmalætting acquired the weeklybusiness newspaper Vinnuvitan. Thus, after the purchaseDimmalaetting also controls the free weekly VikuBladid.

Along with the Dimmalætting newspaper, theDimmalætting group operates three other companies:the book-publishing house Dimmalætting, thecomputer company Tor Data Ltd, which specializes indeveloping software, and the advertising bureau Team-85.

Media / Press Laws As Danish subjects, the Faroese people enjoy freedom ofthe press.


Source: CIA – The World Factbook; BBC; Wikipedia; Randburg; Press Reference; Nordicom


FAROE ISLANDS




0-14 10 20 5 20 5 2115-64 32 65 17 68 15 6365 + 7 14 3 12 4 17Total 49 100 25 100 24 100


Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total paid-for dailies 2 2 2 2 2 0.00 0.00National paid-for dailies 2 2 2 2 2 0.00 0.00

Total non-dailies 3 4 4 4 4 33.33 0.00Total paid-for non-dailies 2 3 2 2 2 0.00 0.00National paid-for non-dailies 2 3 2 2 2 0.00 0.00

Total free non-dailies 1 1 2 2 2 100.00 0.00National free non-dailies - - 1 1 1 - 0.00Regional and local 1 1 1 1 1 0.00 0.00free non-dailies

Source: 2005-2007 Nordicom; 2008 WAN assessment; 2009 WAN-IFRA assessment


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


Total non-dailies 26 30 32 32 32 23.08 0.00Total paid-for non-dailies 6 11 6 6 6 0.00 0.00Total free non-dailies 20 19 26 26 26 30.00 0.00

Source: 2005-2007 Nordicom; 2008 WAN assessment; 2009 WAN-IFRA assessment



Dimmalaetting Dimmalaetting dimma.fo 9.3

Source: Nordicom

August 2008


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Mobile cellular subscriptions 42.0 50.0 52.2 54.9 57.0 35.71 3.83




Title Founded Language Publishing company Circulation 1 Format (year) (000)

Dimmalætting (The Dawn) 2 1878 Danish / Faroese 3 Sp/f Dimmalætting 9 Tabloid 4

Sosialurin 1927 Faroese Sp/f Sosialurin 5 8 -

Source: Source: Nordicom; Wikipedia1 2007 data, based on publishers' claims; figures refer in some cases to print run2 Published five days a week; the Tuesday edition has been delivered free of charge to all households since April 5, 20053 In its early years, the newspaper was only published in the Danish language. Then, from 1910 to 1947, it was printed in bothlanguages, and in the years since 1947, Faroese has dominated.

4 Format changed from broadsheet to tabloid in February 20055 The Social Democratic Party was the sole owner of the newspaper until March 2006, when the newspaper was sold to members of the staff (2/3 of shares) and the publicly owned Foroya Tele (1/3 of shares).

Tax %

Standard VAT 25Single copy sales 0Subscription sales 0

Source: Customs and Tax Authorities of the Faroe Islands via Nordicom

12. Taxes (2008)


FINLAND

General economic situation Finland’s key economic sector is manufacturing,principally the wood, metals, engineering,telecommunications, and electronics industries. Trade isimportant; Finland’s ratio of exports to GDP has risenfrom a quarter to 37% over the past 15 years. Except fortimber and several minerals, Finland depends onimports of raw materials, energy, and some componentsfor manufactured goods. Because of the climate,agricultural development is limited to maintaining self-sufficiency in basic products. Forestry, an importantexport earner, provides a secondary occupation for therural population. The world slowdown has hit exportgrowth and domestic demand and will serve as a brakeon economic growth in 2009 and 2010. The inflationrate was estimated at 0% in 2009.

Performance of newspapers vs. other media Finland’s broadcasting sector is very dynamic and thecountry is digitising its transmission network. Analogueterrestrial TV broadcasts were switched off in September2007.

Public YLE, funded by licence fees, operates radio andTV networks. New stations have emerged in a marketonce dominated by YLE and the established privatebroadcaster MTV. Pay-TV channels are provided bypan-Nordic operator Canal+.

According to a National Radio Survey carried out byFinnpanel, radio reaches 95% of Finns on a weekly basis.The most popular channel remains YLE’s middle-of-the-road Radio Suomi. With a market share of 36%, itreaches more than two million people a week. Thenumber-two channel is the commercial Radio Nova,with an 11% market share. This nationwide AdultContemporary channel is owned by the Swedishcompanies Bonnier and Proventus. Overall publicbroadcaster YLE’s channels held a 52% market share.The poll also indicated that the average Finn listens tothe radio for just over three hours a day. The surveyindicated that most people still listen to the radiothrough traditional devices. However, just over one thirdlisten to radio via Internet at least occasionally. Onlyabout 6% regularly listen to the radio over their mobilephones.

Performance of different types of newspapers Printed media has traditionally dominated the Finnishmass media market. The core competitiveness of theprinted mass media lies in the high quality and reliablecontent, high subscription rates and easy access throughhighly efficient distribution.

Of the Nordic countries, Finland has the second largestnumber of newspapers, and it has the greatest number oftrue dailies (7 issues/week). Finland also has the largest

non-daily press among the Nordic countries in terms ofcirculation.

Advertising sales revenue has traditionally accounted forapproximately 55-60 of newspapers’ revenue, andnewspaper copy sales for the rest.

Finland has a great number of free newspapers, that areprimarily financed via advertising sales. In order to beconsidered a newspaper they must contain someeditorial material and appear at least twice a month. Freenewspapers have proven to be a cost effective alternativeto advertisers and are performing relatively better thanadvertising markets in general.

Advertising The dominance of print on the media market influencesthe Finnish advertising market. All newspapers,including national and local paid-for dailies, still hold a lion’s share of 37.5% of total advertising expenditure.

In the wake of the economic turmoil of late 2008, theadvertising market took a sharp downward turn. As a result, in early 2009 virtually all media houses startedpersonnel negotiations in connection with diversereorganization and rationalization plans.

The recession has caused printed newspapers’ advertisingrevenues to decrease slightly more compared to othermedia. A total of EUR1,263 million was spent on mediaadvertising in Finland in 2009, which was 15.8 percentless than in the previous year. The amount spent onnewspaper advertising fell by 21.6 percent compared to2008.

In September 2009 newspaper advertising expendituredecreased by -9.0%, while all-media decline was -2.3%.In October there was a small increase in newspapersadvertising expenditure by 1.9%, compared with all-media average growth by 1.3%, due to the municipalelections in the same month. In November the declinecontinued by -11.6 % (all media average -6.2%), and inDecember by -16.6% (all media average -13.0%).

The dailies’ share decreased by 3.3 percentage points,down to 35.8% of all advertising expenditure. Localnewspapers’ share of all media advertising increased byone percentage point to 4.5%.

Circulation The total average circulation of all printed newspapersdecreased by 2.7% in 2009, to 2.896 million copies.

Most Finnish newspapers are sold on subscription. Theratio of subscription to single-copy sales is nearly 9 to 1.Two tabloids account for the lion’s share of single-copysales; they are almost exclusively sold over the counter.



FINLAND

In 2009, Kauppalehti Oy undertook a number ofmeasures to secure profitability in the tight economicsituation. Part of the measures included cutting back onthe free subscriptions to student organisations inautumn 2009 and spring 2010. Kauppalehti’s auditedcirculation is expected to drop significantly in the nextaudit, due in spring 2010. However, readership numbersare not expected to change significantly due to thismeasure, as students are not a major target group for theadvertising in Kauppalehti.

Readership Newspapers still have a very high level of readership inFinland. Overall, 79% of the population over 12 yearsold read newspapers every day. The data is derived fromNational Readership Survey that includes 40 newspapersout of 197 members of the Finnish Newspapers’Association.

In addition, young people continue to read printednewspapers. Among people aged 12–24 years, the reachis 62 percent. According to the Media Images 2009survey commissioned by the Finnish Newspapers’Association, young readers consider newspapers evenmore reliable and credible than the rest of thepopulation.

The total reach of all newspapers is further increasing.On average, 19 percent of all readers of printed andonline newspapers only read the online versions.

Finland’s leading business newspaper Kauppalehti, partof Alma Media Group, further increased its readership inthe first half of 2009. According to the Finnish AuditBureau of Circulations, Kauppalehti’s new reader countis 230,000 (+7%) and Kauppalehti Optio’s 229,000(+3%). The readership figures have continuously grownsince 2007.


On October 14, 2009, the Finnish government becamethe first in the world to make broadband Internet accessa legal right. The Ministry of Transport andCommunications in Helsinki passed a law forcingtelecommunications providers to offer high-speedInternet connections to all of the country’s 5.3 millioncitizens. Starting in July 2010, telecommunicationscompanies will be obliged to provide all Finnishresidents with broadband lines that can run at speeds ofat least 1 megabit per second. Finland is one of theworld’s most connected countries, with 96% of citizensonline, and the communications minister, Suvi Linden,said that the mandate was necessary in order to improve

the availability of Internet in Finland’s remote ruralareas.

Online versions of newspapers have proliferated quiterapidly. All dailies and most other newspapers nowpublish a web version. Sanoma and Alma Media also runextensive portofolios of thematized web services,especially in classified advertising.

With regard to online newspapers, the year 2007 wassignificant because of two events. First, Taloussanomat(Sanoma), a business newspaper, ceased publishing theprinted version and continues as a web-only publication.Second, over fifteen years since its closure in 1991, UusiSuomi (est. 1847), formerly the prime rival of HelsinginSanomat, was resurrected online.

In 2009, online readership increased on average by 27%(data only available for 31 newspapers included in theTNS Gallup weekly site rankings statistics). Two paid-for evening newspapers are ranked among the top threemost visited web sites.

Finnish Newspapers’ Association is collaborating ineReading Services Project aiming to create a content anduser based approach for chargeable newspaper, magazineand literary content distribution via electronic readers.The project aims to create a market and a base forecosystems providing commercial services and forinternational scale business models.

Ownership Ownership of newspapers is concentrated in Finland.Also, regional newspapers are all owned by largerpublishing companies.

Sanoma is the largest newspaper publisher in Finland, interms of both newspaper sales revenue and market share(circulation). The company’s operations are organized infive divisions: Sanoma News (newspapers), SanomaMagazines, Sanoma Entertainment (broadcasting, cableand broadband services), Sanoma Learning &Literature, and Rautakirja/Sanoma Trade (pressdistribution, cinemas, retail). Newspaper publishingaccounts for less than 20 per cent of Sanoma’s net sales.Sanoma publishes six dailies, two of which are the largestnewspapers in Finland: Helsingin Sanomat and Ilta-Sanomat, a tabloid. With a total of eleven newspapers,the company controlled about one-fourth of totalnewspaper circulation in Finland in 2007. In addition,Sanoma is the publisher of several free newspapers,among them Finland’s only free daily Metro, introducedby MTG/Metro in metropolitan Helsinki in 1999.

As for foreign ownership, Independent Media, a subsidiary of Sanoma Magazines since 2005, publishesfour newspapers in Russia, two in English and two inRussian. One of the latter, the business newspaperVedomosti, is published in collaboration with Financial


FINLAND

Times and The Wall Street Journal. The company alsohas a comprehensive cooperation agreement, includingprinting and distribution, with International HeraldTribune on Russian territory.

Finland’s second-largest newspaper publisher is AlmaMedia. Newspapers contribute some 80% of AlmaMedia’s net sales. The largest title is Aamulehti(Tampere), third-largest in the country and the largestprovincial newspaper. Alma Media also publishes thetabloid Iltalehti and the leading business newspaper,Kauppalehti. In addition, the company is the owner of20 other newspapers, seven of which are dailies. In 2007Alma Media controlled 19% of the total newspapercirculation in Finland.

Keskisuomalainen is a major regional newspaperpublisher in central Finland. In 2007 Savon Mediat wasmerged with Keskisuomalainen. The acquisition madeKeskisuomalainen the third-largest newspaper publisherin Finland, with eight per cent of total newspapercirculation and 21 titles, four of which are dailies. Thelargest newspapers among Keskisuomalainen’s holdingsare the regional dailies Keskisuomalainen (Jyväskylä) andSavon Sanomat (Kuopio). Both rank among the tenlargest newspapers in the country. Keskisuomalainen isthe oldest and fifth-largest true daily (7 issues/week) inFinland. The ownership of Keskisuomalainen is ratherscattered, mostly among local owners.

Based in Turku, TS-Yhtymä publishes Finland’s fifth-largest newspaper, Turun Sanomat, a regional morningnewspaper. TS Group’s eight newspapers represent 5%of total circulation. TS-Yhtymä is Finland’s third-largestmedia company. However, the lion’s share of thecompany’s revenue derives from printing (magazines).The Ketonen family owns the company.

In May 2009, Stora Enso finalised its acquisition ofMyllykoski Paper’s remaining 49%-minorityshareholding in Sunila Oy in Finland after receiving allthe necessary approvals from the competitionauthorities.

In September 2009, Finland’s Competition Authority(FCA) extended its investigation of magazine publisherAlma Media’s proposed acquisition of rival Talentum. Aswell as publishing several newspapers and magazines,both companies have competing advertising businessesselling online and print advertising space and jobadvertising websites. Under the deal, three nationalnewspapers were to become part of the same group:Kauppalehti, controlled by Alma, and Talouselämä andTeknikka & Talous, owned by Talentum. In itsinvestigation the FCA wanted to see whether the mergewould create or strengthen a dominant position thatwould stifle competition in the news or advertisingmarkets. The FCA cleared the merger in November2009 after finding the deal would not give the combined

companies a dominant position in print mediaadvertising.

In November 2009, Kauppalehti Oy, part of the AlmaMedia Group, sold Kauppalehti 121 Oy, its directmarketing company, to Bisnode AB. Bisnode is one ofEurope’s leading providers of digital businessinformation, including credit reports, company andconsumer marketing information services and directmarketing tools. Bisnode employs approximately 3,200people in 18 countries. The company is owned by theprivate equity company Ratos and the media companyBonnier.

Media / Press Laws The constitution and law provide for freedom of speechand of the press, and the government generally respectedthese rights in practice. An independent press, aneffective judiciary, and a functioning democraticpolitical system combined to ensure freedom of speechand of the press. The independent media were active andgenerally expressed a wide variety of views withoutrestriction, with the exception of hate speech.

Publishing hate material and public speech intended toincite discrimination or violence against any national,racial, religious, or ethnic group are crimes.

Courts can fine persons found guilty of inciting racialhatred on the Internet, and there were reports of courtdecisions in 2008 against persons for publishing anddistributing hate material via the Internet. On March17, 2009, the Helsinki District Court found a municipalpolitician in Turku guilty of circulating hate materialand fined him 615 euros (approximately USD920). Thecourt found the defendant’s remarks during the 2007election campaign to be derogatory and slanderoustoward immigrants. The Helsinki District Court alsofound an independent member of the Helsinki CityCouncil guilty of writing hate material on his blog andfined him 330 euros (approximately USD470). Duringthe year the Kouvola Court of Appeals upheld theconviction of a man for posting anti-Roma hate materialon the Internet.

Copyright In 2009, after much public debate, Minister of Culturerejected a working group proposal concerning a presumed transfer of copyright ownership toemployers.

Printing & Distribution On November 4, 2009, Alma Media Group announcedthe group’s printing and distribution operations wouldbe reorganised by combining them into a new group-level service unit. The change affects Alma Media’s threenewspaper printing houses and the early-morningdelivery company Aamujakelu Oy. The new unit wasscheduled to begin operations on January 1, 2010.


FINLAND


Source: CIA – The World Factbook; US State Department; BBC News; Radio Netherlands Worldwide; Hugin;Finland's Competition Authority; Stora Enso; Nordicom; WAN-IFRA records; The Guardian; Finnish Newspapers'

Association

In December 2009, Alma Media signed an agreementwith Lehtisepät Oy, part of the KeskisuomalainenGroup, and I-Print Oy, part of Ilkka-yhtymä, to startjoint purchases of printing materials. At the moment,the scope of the agreement covers newsprint, printingink and printing plates. On average, Alma Mediaexpends 20 million euro annually for purchases of thesematerials.

Postal Issues Under the 3rd Postal Directive (Directive 2008/06/EC),full market opening will be accomplished by December31, 2010 for the majority of the EU member states,including Finland.

State Support The press subsidy is granted to minority languagenewspapers and to the financing of the Swedish newsservice. Electronic communications comparable tonewspapers can also apply for the aid.

In party subsidies, the appropriation for political partiesin 2009 was EUR36 million. Of this supplementaryappropriation, EUR18 million was allocated for parties’information and communication activities. The aid isnot directly allocated to newspapers; the political partiesdecide how the aid is used.


0-14 891 455 43615-24 658 336 32225-34 674 346 32835-44 680 346 33445-54 760 382 37855-64 771 381 39065 + 892 365 527Total 5,326 2,611 2,715

Source: Statistics Finland 2008 via ZenithOptimedia



A+B 1,050 20 572 22 479 18C1 1,049 20 369 14 680 25C2 507 10 270 10 238 9D 1,056 20 650 25 406 15E 1,592 30 711 28 880 33Total 5,256 100 2,572 100 2,683 100Total 5,256 100 2,572 100 2,683 100

Source: Statistical Yearbook of Finland 2008




Source: Statistical Yearbook of Finland2008




Without children 1,745 72With children 710 28Total 2,455 100

Source: Statistical Yearbook of Finland2008

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 55 55 55 54 52 -5.45 -3.70Total paid-for dailies 53 53 53 52 51 -3.77 -1.92National paid-for dailies 10 9 9 9 9 -10.00 0.00Regional and local 43 44 44 43 42 -2.33 -2.33paid-for dailiesMorning paid-for dailies 53 53 53 52 51 -3.77 -1.92

Total free dailies 2 2 2 2 1 -50.00 -50.00Total non-dailies - - - - 188 - -Total paid-for non-dailies 148 147 145 144 143 -3.38 -0.69National paid-for non-dailies 4 4 4 4 3 -25.00 -25.00Regional and local 144 143 141 140 140 -2.78 0.00paid-for non-dailies

Total free non-dailies - - - - 45 - -

Source: 2005-2006 Finnish Newspapers’ Association; WAN assessment (free dailies); 2007-2009 Finnish Newspapers’ Association



FINLAND

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 2,434 2,424 2,402 2,294 2,164 -11.09 -5.67Total paid-for dailies 2,240 2,224 2,202 2,127 2,049 -8.53 -3.67National paid-for dailies 961 949 949 - - - -Regional and local 1,279 1,275 1,253 - - - -paid-for dailiesMorning paid-for dailies 2,240 2,224 2,202 2,127 2,049 -8.53 -3.67

Total free dailies 194 200 200 167 115 -40.72 -31.14Total paid-for non-dailies 934 923 914 933 909 -2.68 -2.57

National paid-for non-dailies 176 172 - - - - -Regional and local 758 751 - - - - -paid-for non-dailies

Source: 2005 Finnish Newspapers’ Association; WAN assessment (free dailies);2006-2007 Finnish Newspapers’ Association; 2008 Finnish Audit Bureau ofCirculations; WAN assessment (free dailies); 2009 Finnish Newspapers’ Association



(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 753 746 739 721 693 -7.97 -3.88Total paid-for non-dailies 87 87 85 80 77 -11.49 -3.75

National paid-for non-dailies - - - 18 - - -Regional and local - - - 62 - - -paid-for non-dailies

Source: Finnish Newspapers’ Association

4.b Sales revenues

(Finland, euro, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies - 462 473 - 481 - -Total paid-for non-dailies - 52 53 - 55 - -



(%)2003 2004 2005 2006 2007

Single copy sales 12 13 13 13 12Subscriptions 88 87 87 87 88Home deliveries 1 69 69 69 69 70Postal deliveries 2 19 19 19 18 18

Total 100 100 100 100 100

Source: 2005 Finnish Newspapers' Association, Statistics of Distribution Costs1 Early morning delivery2 Regular postal delivery

(Finland, euro)min max

Single copy 1.20 2.00Subscription 0.55 -



(%)Reached

All adults 80

Source: KMT Lukija



group

12-19 9 5120-24 6 5025-29 6 5130-34 6 6135-39 6 6840-44 8 7345-49 9 7850-54 9 8055-64 19 8365 + 22 84

Source: TNS Gallup; KMT Lukija 2009


(minutes per day)2005 2006 2007 2008 2009

All newspapers - - - 34 32Magazines - - - 19 17Radio - - - 129 120Television - - - 167 166Internet - - - 45 56

Source: TNS Atlas Intermedia


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 53 52 52 50 49 -7.55 -2.00Non-dailies 88 100 112 120 119 35.23 -0.83

Source: Finnish Newspapers’ Associaton

6.a Online editions

(Unique visitors per month, 000) Change (%)2004 2005 2006 2007 2008 1 2008/04 2008/07

Total paid-for dailies - - - - 6,670 - -

Source: Finnish Newspapers’ Associaton1 Unique visitors per week (44/2008); only 34 newspapers are included in this figure


Newspaper Publishing Website Unique visitors Page impressionscompany per month per month

(000) (000)

Iltalehti Alma Media iltalehti.fi 1,937 49,257Ilta-Sanomat Sanoma iltasanomat.fi 1,823 35,885Helsingin Sanomat Sanoma hs.fi 1,236 15,633Kauppalehti Alma Media kauppalehti.fi 655 12,057Taloussanomat Sanoma taloussanomat.fi 643 3,928

Source: TNS Gallup


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 1,400 1,400 1,400 1,400 1,400 0.00 0.00Internet users 3,906.0 4,192.5 4,267.8 4,438.2 4,480.9 14.72 0.96



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Broadband subscribers 1,174.2 1,429.0 1,617.0 1,617.0 1,565.5 33.32 -3.18




FINLAND

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(Finland, euro, bln)2004 2005 2006 2007 2008

GDP 152.4 157.3 167.0 179.0 186.0

Source: 2004-2006 ZenithOptimedia; 2007-2008 Statistics Finland, www.stat.fi


(Finland, euro, 000)2004 2005 2006 2007 2008

GDP per capita 29.1 30.0 31.8 34.0 35.0

Source: 2004-2006 ZenithOptimedia; 2007-2008 Statistics Finland, www.stat.fi



(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.76 0.74 0.73 0.76 0.66 0.61 0.60 0.59


(Finland, euro, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 231 243 262 268 228 216 220 228Radio 47 47 47 51 49 49 51 52Cinema 1.5 1.0 2.3 30.0 23.0 20.0 18.0 18.0Outdoor 37 36 42 44 35 31 31 33Internet 36 47 61 152 156 164 189 196Total 1,189 1,233 1,315 1,408 1,167 1,094 1,118 1,145

Source: Gallup Mainostieto; TNS Media Intelligence; ZenithOptimedia

Excludes agency commission; excludes production costs; includes classified adver-tising until 2007, excludes thereafter; after discounts; Internet includes display andclassified but excludes search until 2007, includes all three thereafter



Total dailies - - 708 688 - - -Total paid-for dailies 519 532 555 537 417 -19.65 -22.35Morning paid-for dailies - - 469 454 - - -Evening and afternoon - - 86 83 - - -paid-for dailies

Total free dailies - - 153 151 - - -Total non-dailies 124.0 127.0 135.0 - 124.8 0.65 -Total paid-for non-dailies 56.0 58.0 67.0 67.0 57.2 2.14 -14.63Total free non-dailies 1 68.0 69.0 68.0 - 67.6 -0.59 -

Source: TNS Gallup Oy, Mainonnan Neuvottelukunta1 Including free dailies and free non-dailies



In colour 391,000 411,000 445,000 486,000 473,000Total 468,000 474,000 500,000 535,000 515,000

Source: TNS Gallup Media Intelligence

Column meters


(%)2002 2003 2004 2005 2006

Display 76.9 77.9 78.9 77.1 75.3Classified 23.1 22.1 21.1 22.9 24.7Total 100 100 100 100 100

Source: TNS Gallup



Retail trade 43.0Motor vehicles 10.0Real estate 6.0Furniture 4.0Career vacancies 3.0Entertainments 3.0Public services 3.0Telecommunications 2.0Travel 2.0Construction 1.5



Advertiser Expenditure(Finland, euro, 000)

Suomi-Soffa 11,024.8Teliasonera 5,445.3VV-Auto 4,561.0Elisa 3,570.5Toyota 3,540.8Ford 3,540.0DNA 3,519.5Asko 3,341.1Op-Pohjola 2,886.7Nokia 2,786.0

Source: TNS Media Intelligence viaZenithOptimedia


Publishing Total circulationcompany (000)

Sanoma News 657Alma Media Oyj 570Keskisuomalainen Oyj 246TS Yhtymä Oy 170Ilkka-Yhtymä Oyj 106Esan Kirjapaino Oy – 88Mediatalo ESA

Pohjois-Karjalan Kirjapaino Oyj 84Kaleva Oy 81Suomen Lehtiyhtymä Oy 72HSS Media Ab 37




FINLAND

Title Language Publishing company Circulation Format(000)

Metro 1 Finnish Sanoma News Oy/ Sanoma Kaupunkilehdet 115 Tabloid

Source: Finnish Newspapers’ Association1 Distributed in Helsinki and 18 towns around southern Finland



Helsingin Sanomat 1889 Finnish Sanoma 398 BroadsheetIlta-Sanomat 1932 Finnish Sanoma 153 TabloidAamulehti 1881 Finnish Alma media 135 BroadsheetIltalehti 1980 Finnish Alma media 113 -Turun Sanomat 1905 Finnish TS-Yhtymä 109 BroadsheetKaleva 1889 Finnish Kaleva Kustannus Oy 81 BroadsheetKauppalehti 1898 Finnish Alma media 79 TabloidKeskisuomalainen 1871 Finnish Keskisuomalainen Oyj 72 BroadsheetSavon Sanomat 1907 Finnish Savon Mediat Oy 64 BroadsheetEtelä-Suomen Sanomat - Finnish - 60 -

Source: Finnish Newspapers’ Association; WAN-IFRA records


Change (%)2003 2004 2005 2006 2007 2007/03 2007/06

Total number of journalists 3,150 - 3,246 3,387 3,420 8.57 0.97Total number of employees 9,511 - 9,500 - - - -


9.a Employment


Total salary costs 304 306 - 312 327 7.57 4.81

Source: 2002-2005 Finnish Newspapers’ Association; 2006 Federation of the FinnishMedia Industry

9.b Salaries


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 201 - 199 197 194 -3.48 -1.52Broadsheets 39 - 41 40 35 -10.26 -12.50Tabloids 119 - 158 157 159 33.61 1.27Other formats 43 - - - - - -


(%)2003 2004 2005 2006 2007

Home deliveries - 41 35 35 35Postal deliveries - 41 35 35 35



(Finland, euro)2003 2004 2005 2006 2007

Single copy - 0.2 0.2 0.2 0.2



11. Research (2009)

Circulation is audited byFinnish Audit Bureau of Circulations


MethodologyCATI computer assisted telephone interviews,continuous surveySource: Finnish Newspapers’ Association

Tax %




Source: Finnish Newspapers’ Association; Deloitte Touche Tohmatsu

12. Taxes (2009)


FINLAND




Are there any direct subsidies?At the end of 2007, the press subsidy system was dividedinto two parts:

1) the allocation towards political party newspapers andinformation provision for the Åland Islands (the socalled parliamentary subsidy), and

2) the discretionary press subsidy (also “selectivesubsidy”).

From 2008, the government has started to grantdiscretionary subsidies only to the newspapers publishedin minority languages and The Finnish News Agency(STT).

Source: Ministry of Transport and Communications


Total amount - 13.6 13.6 6.1 0.5 - -91.8

Source: 2005 Ministry of Finance; 2006-2008 Ministry of Transport andCommunications











Is there an antitrust law limiting concentration in the dailypress?No




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General economic situation The government has partially or fully privatized manylarge companies, banks, and insurers, and has cededstakes in such leading firms as Air France, FranceTelecom, Renault, and Thales. It maintains a strongpresence in some sectors, particularly power, publictransport, and defense industries. The telecommuni -cations sector is gradually being opened to competition.GDP growth dropped to 0.3% in 2008 on account ofthe economic and financial crisis. France’s tax burdenremains one of the highest in Europe, at nearly 50% ofGDP in 2005. With at least 75 million foreign touristsper year, France is the most visited country in the worldand maintains the third largest income in the world fromtourism. The inflation rate was estimated at 0.1% in2009.

Performance of newspapers vs. other media Public broadcaster Radio France runs services for thedomestic audience, French overseas territories andforeign audiences. Radio France Internationale is one ofthe world’s leading international stations. Its Arabic-language Monte Carlo International service is availableon mediumwave (AM) and FM in many Middle Eastcountries.

The international French-language channel TV5 Monde,financed by Belgium, Canada and Switzerland, isavailable globally. Global satellite news channel France 24launched in December 2006 with services in French andEnglish. Its chairman said the channel aimed to present“a different point of view from the Anglo-Saxon world”.

France’s flagship TV station, TF1, was privatised in1987. The growth of satellite and cable has led to a proliferation of channels. Major satellite pay-TVoperator CanalSatellite is controlled by media giantVivendi Universal.

A digital terrestrial TV service, with more than a dozenfree-to-air channels, is being rolled out.

France’s long-established commercial radio stations,particularly RTL and Europe 1, still command largeaudiences. They have been joined by a multiplicity ofFM stations, often consolidated into successfulcommercial networks such as hit music station NRJ andoldies station Nostalgie.

In December 2009, Minister of Culture andCommunication set up a committee to think aboutpositioning, reform of the statutes, preserving theindependence and funding of the news agency AgenceFrance-Presse (AFP). The committee will publish theirfindings in spring 2010 and a law on amendment of theAFP statutes should be presented in the parliamentbefore the summer 2010.

Pierre Louette, the current CEO of AFP, presented hisplan in March 2009. It aims to transform the statutes ofAFP from 1957, so that it becomes a state-owned publiccompany. The state would own the entire capital. Forfinancing development activities and the migration todigital, Mr. Louette believes that the agency needs aboutEUR65 million, including a significant amount (EUR45million) as equity.

The committee must also raise the question of pressrepresentatives at the AFP board. Currently, the pressholds eight of the 16 seats.

Performance of different types of newspapers In 2008, the turnover of print media fell 2.3% toEUR10.6 billion, in line with previous years’development, according to an annual study of theDirectorate of Media Development (DDM), publishedin August 2009.

The turnover of the whole print media sector fell toEUR10.6 billion, compared with EUR10.9 billion in2007, due to decline both in sales and advertisingrevenues.

In 2008, copy sales accounted for 56.2% at total printrevenues (55.5% in 2007), and advertising for 43.8%(44.5% in 2007).

National dailies suffered particularly after the year 2007when they had benefited from the presidential andlegislative elections. Their turnover fell by 3.5% year-on-year, to EUR817 million. Sales revenues were down by2.4%, and advertising revenues by 4.9%.

The turnover of regional newspapers was less effected byelections held in 2007, shrank by 0.7% due to stablesales (+0.1%) and a limited decline of advertisingrevenues (-1.8%).

The rapid increase of the turnover of free press, whichrepresents only 3% of the total turnover of press sector,has undergone a slight slowdown in 2008, when it roseby 18%.

The satirical weekly newspaper Le Canard Enchaînécontinues to be distinguished in the press landscape. Itsbusiness model is based entirely on copy sales; thenewspaper does not print any advertisements. Due tostrong sales up by 7%, the satirical weekly has seen itsrevenues grow from EUR21.64 million in 2007 toEUR34.05 million in 2008, and operating profit fromEUR4.01 million to EUR4.50 million. Average weeklypaid circulation represented 536,874 copies in 2008,while the cover price has not been increased sinceDecember 1991. However, the newspaper acknowledgesa decline in sales by 10% in early 2009.


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In June 2009, L’Humanité, formerly the newspaper ofthe French Communist Party, launched a new call fordonations by its readers. In 2008, it sold its headquartersdue to financial problems and called for donations.More than EUR2.5 million was donated by the end of2008. The government had decided to allow individualsto make tax-free donations to the media company oftheir choice, a provision long sought by L’Humanité.

In June 2009, the regional daily La Provence announcedthat it was dropping its subscription to the AgenceFrance-Presse news wire. The newspaper came to thedecision after realising that it used only 20 dispatchesper day for an annual cost of EUR550,000, a journalistfor the Marseille-based newspaper told Le Monde.

In March 2009, The International Herald Tribune(IHT) unveiled a redesign of its print edition andmerged its website with that of its owner, The New YorkTimes. The new front page features a new streamlinednameplate using a typeface that more closely identifiesthe Paris-based English language daily with the NewYork Times editions. The new website was described as a “global home page” for combined copy from the IHTand the New York Times from more than 40 bureausworldwide, and edited in New York, Paris and HongKong. There had been speculation that the IHT’s dayswere numbered after The New York Times announced in2008 that it was shutting down the website. But IHTpublisher Stephen Dunbar-Johnson said in October2008 that the Times was committed to the IHT, whichhas been based in Paris since 1887.

A redesign of the daily Libération had a positive effecton its sales. On September 7, 2009, the day of launch,circulation doubled in Paris, the area where thenewspaper sells 40% of its total circulation. The nextday, the increase reached 80%, then remained at 40%from Wednesday to Saturday inclusive. The second weekof the new format seems to confirm the trend, withincrease of 40% which was confirmed on Monday,September 14.

On September 21, 2009, Le Figaro switched to Berlinerformat, a change related to the establishment of a newprinter installed in Tremblay near Paris.

Three other French dailies have been redesigned in2009: Le Parisien, sports newspaper L’Equipe, andL’Express. Redesigns are often seen as a response to thetough times the newspaper industry faces, as publishersare trying to keep and engage their readership.

The daily newspaper France Soir is planning a redesignand will launch its new format in mid-March 2010, itwas widely reported in the French press. The goal of theredesign is to create a popular and quality dailynewspaper that can compete with Aujourd’hui en France,which is the national edition of Le Parisien. France Soir

was purchased a year ago by a young Russian investor,Alexandre Pugachev. He announced in spring 2009 thathe wanted to revitalise the title by substantially investingin the newspaper and its editorial team.

French financial daily La Tribune aims to make EUR6.5million of savings in 2010. A year ago, the newspaperrelaunched with a new design and layout in a Berlinerformat. At the same time, their website was redesignedand a weekend supplement was added to the printedition. From January 2010, the daily reduced its sizeagain to the tabloid format. Besides the tabloid size,other cost-cutting strategies for 2010 include closing theSaturday edition and rationalising distribution costs by,for example, making cuts to the paper budget.

Newspaper launches / closuresIn March 2009, another edition of the free Directnewspapers of the Bolloré Group was launched. DirectToulouse started on March 2 with a circulation of29,000. After Nice it was already the second launch in2009 of the chain that also operates free dailies in Paris(Direct Matin and Direct Soir) and in Nantes. Thenewspapers also operate jointly with the Plus freenewspapers that are operated by local newspaperspublishers in Bordeaux, Marseille, Lille, Lyon andMontpellier.

On June 12, 2009 the Bolloré Group launched a freesports weekly. The magazine, Direct Sports, is availableevery Friday, distributed together with Direct Soir inParis. The Bolloré group also owns commercial TVstation Direct 8.

In June 2009, an English-language newspaper tailoredfor the UK’s expat community living in France, calledThe French Post, was to be launched. The newspaper isthe brandchild of Nicki Wade, a former Emappublishing director, who moved to France five years agoand now runs Agence Idee, which already publishes a number of travel guides. Wade is targeting the expatcommunity along with the 200,000 Britons who ownsecond homes in France, as well as holidaymakers.

On September 21, 2009 Midi Libre, regional daily,launched a weekly supplement of 12 pages devoted tosports. Midi Sports (Sports Noon) covers all the sportssubjects held at regional, national or international level.Midi Libre has paid circulation of 140,829 copies (OJD2008-2009).

In February 2010, Le Monde group launched Mensuel(Monthly), which will publish on 120 pages a monthlyselection of articles from the daily or its supplements.

In the format of a book (23.5 cm x 18.5 cm), LeMensuel is sold at EUR5.90 at newsstands, and is alsoavailable on subscription within a special ‘Discovery’offer at EUR49 per year, or EUR39 for students.


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After Paris, Lille, Lyon, Marseille, Bordeaux, Toulouse,Nantes and Strasbourg, 20 Minutes is to launch its ninthlocal edition in Nice on March 31, 2010. The Niceedition will have a circulation of 35,000 copies.

On June 30, 2009 regional daily Tribune du Sud ceasedpublication after a month and a half of existence.Tribune du Sud launched on May 15 in Marseilles. Thepublisher and sole shareholder of the daily, SebastienLaporte, announced to the editorial staff on the eve ofthe last issue that the newspaper was suspendingpayments, with a monthly deficit close to EUR200,000.

In December 2009, Le Quotidien du Foot switchedtemporarily to weekly publication. It was to switch todaily publication again from February 22, 2010,following an increase of the publishing group capital.The sports daily which launched October 13, 2009 hasfailed to distinguish itself vis-à-vis the established sportsdaily L’Equipe. According to publisher, the group LafontPresse (80 magazines), “Le Quotidien du Foot has20,000 regular buyers on average day,” far from the50,000 expected at its launch and from “the bottomlimit set at 30,000 copies.”

Advertising Beginning on March 4, 2009 the law prohibitsprimetime advertising from state-funded televisionnetworks and authorizes the president to name the headof public broadcasting. The board of the publictelevision network began voluntarily implementing theprohibition in December 2008 and was compensatedEUR450 million (USD644 million) by the governmentfor the loss of profit during the year.

In 2009, media advertising revenues fell by 14.8% inFrance, a “historic recession” according to estimatesreleased by the union of the regional daily press (SPQR).In the first half, the decline reached 18.1%, according toIREP data. The analyses of SPQR also show the declineby 25% in the free press, 19% in the national dailies,and 15% in magazines. With advertising revenues ofEUR960 million, regional newspapers suffered a loss of“moderate” 11% due to national advertising. “Theregional newspapers have quite well resisted,” analysesVincent Bernardi, director of SPQR since September2007. “This is a historic fall in a disastrous situation.Presumably the fall will slow down with the marketrecovery of employment, automotive and real estate.However, we know that the ads migrate to the Internetand they will not return to the paper. We need solutionsto compensate for this structural decline,”says Mr.Bernardi in an interview with Buzz Media Orange-LeFigaro.

Circulation The first 2009 data provided by OJD (French AuditBureau of Circulations) show a decline in paidcirculation of national dailies in France by 3.5%, to

about 1,528,000 copies on average day. In 2008, theyear-on-year decline was 2.4%. The biggest decline wasthat of the International Herald Tribune (-15.1% to20,604 copies), La Tribune (-10.6% to 67,295 copies)and Libération (-9.5% to 111,584 copies).

Le Figaro retains its top rank with 314,947 copies (-1.5%), due to its new all-colour printing launched onSeptember 21, 2009 and strategy to win subscribers. Thefollowing titles are L’Equipe (303,305 copies, -2.5%), Le Monde (288,049 copies, -4.1%) and Aujourd’hui enFrance (183,571 copies, -3.6%). Le Parisien, anothertitle of the Amaury group listed by the OJD amongregional dailies, also decreased in circulation by 5.3%, to304,971 copies. Only Les Echos (121,357 copies) andLa Croix (95,130 copies) slightly increased their paidcirculation in France by 0.3% and 0.2%, respectively.

In 2009, Le Figaro and Libération took the decision to suspend publication on certain public holidays, in addition to the traditional abstention from printingon the 1st May. That follows the earlier lead of financialdailies Les Echos and La Tribune to sit out nationalholidays, a sous-pinching habit to which Catholic dailyLa Croix and its communist opposite L’Humanité havealso since subscribed.

“Everyone agrees sales on these days are derisory,” LeFigaro director general Francis Morel told Le Monde(which says it will continue publishing on all holidaysexcept May 1). “The savings involved are aroundUSD135,000 per day.”

Le Journal du Dimanche (JDD) has achieved “nearly20,000” additional copy sales through its Saturdayedition, launched on March 7, 2009, according to itspublishing company, Lagardere Active. In addition to itsusual Sunday morning edition, JDD has startedpublishing the first edition distributed Saturday noon.The first edition was distributed in Paris and its region,as well as in Lille, Lyon, Marseille, Rouen, Caen, Rennesand Deauville, Nice, Bordeaux, Toulouse and Tours. In2008, JDD had average daily paid circulation of262,086 copies.

In March 2009, Ouest-France increased its cover pricefrom EUR0.70 to EUR.80. “We believe that when weincrease by 10 cents we lose 10,000 buyers,” said DanielFloch, special advisor to Ouest France. It is a modestdecline in the reported paid circulation of 770,000copies Ouest France sells in France.

Following Ouest France, Les Echos, Le Figaro orLibération, the sports daily L’Equipe (Amaury Group)increased its cover price from March 1, 2009. Ratesincreased Monday by 10 cents for every edition. Thedaily is sold at EUR0.95 from Tuesday to Friday,EUR2.00 Saturday and EUR1.10 on Sunday andMonday.


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The daily Le Monde increased its cover price byEUR0.10, rising to EUR1.40, from mid-March 2009.The cover price for its Friday edition (dated Saturday)remains at EUR2.50 euros. Management has explainedthis by higher paper prices and declining advertisingrevenues. The cover price of Le Monde had grown toEUR1.30 in September 2006.

The other general national dailies have also increasedtheir selling prices in recent months, raising it toEUR1.30 for most. Le Parisien / Aujourd’hui en Francesells at EUR1.15; Les Echos at EUR1.40 since early2009.

The French daily press is one of the most expensive inEurope. The quality newspapers in the United Kingdomsell below one pound (EUR1.14). In Italy, La Repubblica costs EUR1.00 and the Corriere dellasera EUR1.20. In Spain, El Pais costs EUR1.10. Thesenewspapers generally publisher bigger number of pages.The German dailies are the most expensive in Europe:the Süddeutsche Zeitung and Frankfurter Allgemeinecost EUR1.90 each. In the United States, The New YorkTimes costs USD2 (EUR1.42) on weekdays.

In October 2009, the major distribution company LesNouvelles Messageries de la Presse Parisienne (NMPP)launched a pilot project in collaboration with eightnational newspapers and 157 sales of point in Marseille,representing 70% to 80% of daily newspaper sales onsite. The operation, called ‘My Press Card,’ offers readersto buy a prepaid card in store to acquire their favoritenewspaper at a promotional rate (-17% to -25% savings)when they want, but within a fixed period of time,between three and 12 weeks. Buying a prepaid card atEUR20 of Le Figaro, for example, entitles to 20 issues(excluding weekends) within eight weeks, a savings of 30cents per issue. The card of Libération charges EUR10for 10 issues and is valid for three weeks. The experimentwill last six months. If it generates an increase of 10% to20% of sales, it should be extended to ten big Frenchcities, that is to between 10,000 and 15,000 storesnationwide.

In the first three months of 2009, OJD (French AuditBureau of Circulations) measured the pick-up rate of allFrench free dailies and some weeklies. Two dozen freedailies (including different local editons) were audited.With very few exceptions, the pick-up rate is above 95%and in many cases even above 99%. Both Metro and 20Minutes in Paris, the two largest free daily editions inFrance, have a pick-up rate of more than 99% in allmonths. Direct Matin Plus and Direct Matin performsomewhat less but even those have less than 5% of theircopies not picked up.

Readership Readership at French newspapers stayed the same in theperiod from July 2008 to July 2009 compared to the

previous year, according to a survey by Audipressedetailed in Le Figaro. In all, 24.2 million of Frenchcitizens over the age of 15, or 48 percent of thepopulation, flip through a newspaper each day.

The current stabilization of newspaper readership,however, follows two successive waves of growth. Not alltypes of newspapers fared the same either. While freedailies saw readership increase by about 2 percent, thenational newspapers experienced an overall decline of 2percent. Readership at regional dailies remained static.

Among the national newspapers, Le Figaro alone heldon to its readership figures, achieving its second bestaudience (1.3 million) since Audipresse began its Etudede la presse d’information quotidienne, or EPIQ, in2005. In contrast, readership at Le Monde, Libérationand sports daily L’Equipe dropped two to four times theaverage.


In September 2009, France’s lower house of parliamenthas approved a pioneering bill allowing authorities to cutoff Internet access to people who download illegally. Thebill has garnered attention beyond France, both frommusic and film industries struggling to keep up officialrevenue and from privacy advocates who say it threatenscivil liberties. The measure passed in the NationalAssembly following approval by the Senate in July. Itmust clear another hurdle to become law, gainingapproval from a small committee from both houses ofparliament. Under the bill, pirates who ignore e-mailwarnings and a registered letter could see their Internetconnections cut for up to a year. They could also face upto EUR300,000 in fines or jail time.

French news sites like L’Express and Le Figaro will beproviding paid-for online content, Le Monde reported.News magazine L’Express intends to propose a paywallin 2010. Le Monde already provides certain pay-forfeatures on its site.

Lefigaro.fr is the leading French news site, with 6.6million unique visitors per month, according to PressNews. French daily newspaper Le Figaro has announceddetails of its plans to charge for online content, offeringthree different tiers of subscriptions. The three levels willbe called Connect, Select and Business:

Connect is a free subscription that allows access to freeemail newsletters with general, cultural and financialnews. It also enables users to comment on articles andcreate a personalised front page.


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Select also offers these features, and in addition, itincludes more in-depth news, and specialist reporting onpolitics, culture, and international news. It features aselection of articles from The New York Times translatedinto French, access to the digital edition of thenewspaper from 3am, 30 archived articles a month, andaccess to networks of other subscribers with commoninterests. Subscribers can publish their own articles andask questions directly to Le Figaro’s journalists about a particular theme of the news. All of this will cost subscribers EUR8 a month, with the firstmonth free.

The third level, Business, gives subscribers access toeverything included in Select, but with 90 archivedarticles a month instead of 30. It will also add a morningand afternoon economics newsletter, as well as newsabout business and management, a business-focusedsocial network, and a concierge service for restaurant andtravel bookings. It will cost EUR15 a month.

The Paris-based citizen photojournalism agencyCitizenside has partnered with Metro International tolaunch a new website for citizen reporting. The site,MetroReporter, allows readers to upload and share theirnews photos and video. All contributions are vetted byeditors before being posted. If they are published inprint or on Metro’s primary site, the member is paid between EUR10 and EUR70. Membership ofMetroReporter is free and Metro has agreed to purchase and publish user contributions on a regularbasis. This means that an international publication hasplans to regularly pay its audience to contribute content, rather than expecting user-generated content tobe free.

Citizenside has also partnered with French free daily 20Minutes to launch a citizen journalism portal on thenewspaper’s website 20minutes.fr. In the area “la une deslecteurs” (the readers’ front page) there is a new section called “vos images” (your images) where readerscan upload their photos and see them sorted andpublished.

Media / Press Laws The constitution and law provide for freedom of speechand of the press, and the government generally respectedthese rights in practice. An independent press, aneffective judiciary, and a functioning democraticpolitical system combined to ensure freedom of speechand of the press.

There were some limitations of freedom of speech and ofthe press. Strict antidefamation laws prohibit racially orreligiously motivated verbal and physical abuse. Writtenor oral speech that incites racial or ethnic hatred as wellas denial of the Holocaust and crimes against humanityare illegal. On October 27, comic Dieudonne M’BalaM’Bala was fined EUR14,300 (USD20,400) by a Paris

court for lauding a renowned Holocaust denier, RobertFaurisson, during a show. Authorities may deport a noncitizen for publicly using “hate speech” orconstituting a threat of terrorism."

Copyright In December 2009, a Paris court ruled that Google Inc.is breaking French law with its policy of digitizingbooks, handing the U.S. Internet giant a EUR10,000-a-day fine until it rids its search engine ofthe literary extracts. A judge also ordered Google to payEUR300,000 in damages and interest to Frenchpublisher La Martiniere, which brought the case onbehalf of a group of French publishers. The attorney forGoogle, Alexandra Neri, said Google plans to appeal thedecision. Google’s plans to scan millions of books tomake them available online has drawn criticism frompublishers and libraries in both the U.S. and Europe.Even if the case doesn’t have much financial impact on Google or force a big change in its book-scanning strategy, it is a reminder that its ambitions are increasingly colliding with fears that thecompany is getting too powerful. The judgment willhave negligible impact on Internet users outside ofFrance, and French books from publishers Google hasagreements with will remain searchable, even in France. A consortium of French technology companiesannounced a plan to create a book scanning project theysaid would be better than Google’s, but only in threeyears time.

Printing & Distribution In the first week of January 2010, the distributioncompany Presstalis (ex-NMPP) blocked the distributionof newspapers to different parts of the country two daysin a row. It was northern France and part of centralFrance that went without their national dailynewspapers on Wednesday, January 6. Newspapers weredistributed normally in the east, west and south. Le Monde made a PDF version of that day’s newspaperavailable for free on its website.

On Thursday, January 7, distribution was interrupted inthe east and south of the country. By contrast, the northof France, including Paris, received its newspapersmostly as normal.

In response, France Soir decided not to publish a Fridayedition. The newspaper’s director of communicationsCyrille Benoist said that the decision was both symbolicand collective. “It’s a painful decision,” he said, “that wewished to make, to respond to the absurd with theabsurd.”

The union for printing and distribution workers, leSyndicat Général du Livre et de la CommunicationEcrite, was behind the interruption. The union isprotesting the cost-cutting plans of by Presstalis, France’sprincipal distribution company, formerly known as


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Nouvelles Messageries de la Presse Parisienne. Thecompany has decided not to renew the fixed contracts ofsome staff. More broadly, the company has embarked onan extensive process of modernisation, known as theDéfi 2010 plan, and aims to make savings of EUR50million in 2009 and 2010.

This action was the latest in a series of protests againstthe cutbacks. In October 2009, the distributioncompany staged a 24-hour strike, meaning mostnational daily newspapers were absent from thenewsstands.

Strikes are not uncommon in the French newspaperindustry. A 24-hour strike by editorial staff at dailies Le Parisien and Aujourd’hui en France in December2009 meant that the newspapers did not publish anedition on one day.

On February 4, 2010 a raid by union militants on a printing works east of Paris destroyed 150,000 copiesof the free newspaper Direct Matin, a police source said.A 40-strong group broke into the Brodard Graphiquesite in Coulommiers shortly after midnight and used firehoses to soak copies of the newspaper. Militants fromthe Livre trade union opposed to Brodard Graphiqueprinting the newspaper were thought to be behind theattack, according to a source close to the case. Police saidshortly after the incident, two delivery lorries loadedwith copies of the newspaper had their tyres burst.Brodard Graphique began producing the newspaper onTuesday, after Groupe Bollore ended its contract withanother printer. The Brodard Graphique managementsaid they had lodged a complaint with the police fortrespass and criminal damage.

Taxes A French investigation into ‘creation and the Internet’has proposed a ‘Google tax’ on online advertisingrevenues, it was widely reported in the French press.Culture minister Frédéric Mitterrand launched the‘mission Zelnik’ in September 2009, comprising PatrickZelnik, CEO of independent music label Naïve, JacquesToubon, former minister of culture and GuillaumeCerutti, CEO of Sotheby’s France.

The proposals made to support content creation willrequire about EUR50 million of financing in 2010, thenEUR35 million to EUR40 million a year in 2011 and2012, and this is where the ‘Google tax,’ as coined byToubon, would come in. The recommendation to taxGoogle and other internet giants such as “Microsoft,AOL, Yahoo or Facebook” reflects complaints fromonline news outlets and cultural sites that thesecompanies make much of their advertising revenue fromusing content without the owners’ permission, accordingto AFP.

The Zelnik report also asked the government to ask thecompetition authorities to look into competition in theonline advertising sector.

State Support In 2009, The European Commission opened an in-depth probe into France’s plans to boost aid to statebroadcaster France Televisions, while authorisingEUR450 million (USD643 million) in subsidies for2009. France plans to phase out advertising from itspublic channels and provide subsidies instead for FranceTelevisions which runs France 2, France 3, France 4 andFrance 5 among others. The state has in effect promisedto contribute funding from a new tax levied againsttelephony operators and internet providers and anannual subsidy, which together would exceed two billioneuros by 2012. Brussels is keen to ensure that suchfunding does not skew competition in the TV market. However the commission stressed that itauthorised the initial 450-million-euro payment “ascomplying with European Commission treaty state aidrules.”

In June 2009, Laurent Wauquiez, Secretary of State forEmployment to the Minister of Economy, launched thetraining of print media employees to the newtechnology. He officially signed a “developmentagreement for the employment and skills” (CEDA),which binds the state and representatives of theprofession. EUR18.5 million are mobilized for a periodof three years (2009-2011), including EUR5.5 millionfrom the state and EUR13 million of the joint bodydevoted to vocational training, Médiafor.

The CEDA agreement is one of the measures of theConvention of the Press (Les Etats généraux de la presseécrite) launched October 2, 2008 by President NicolasSarkozy. The Convention of the Press is to provideanswers to the economic difficulties facing the press,especially regarding the development of the Internet andfree newspapers. The Convention of the Press has a budget of EUR600 million over three years. Mid-June2009, Christine Albanel, Minister of Culture, stated thathalf of the thirty steps relevant to the state had beenachieved.

In June 2009, in an effort to aid its ailing newspapers,the French government offered adults between the agesof 18 and 24 a free one-year subscription to theirfavourite broadsheet or tabloid. ‘Trade unions foresee200,000 subscriptions with a potential of reaching750,000 young adults,’ Culture Minister ChristineAlbanel said. The measure will cost the governmentsome EUR5 million (USD7 million) a year. The projectis another part of a series of measures proposed byPresident Nicolas Sarkozy to help struggling Frenchnewspapers.


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The online news publishers will receive an allocation ofEUR20.2 million in 2010 and in 2011, said FredericMitterrand, minister of Culture and Communication at

a press conference for presentation of the 2010 statebudget. Online publishers will also have access to a fundto support the online service.

Source: CIA – The World Factbook; US State Department; AFP; CBNews; WAN-IFRA - Editors Weblog; Le Figaro;TarifMedia.com; Media Week; Les Echos; Time; Le Monde; FDN Newsletter; The New York Times;

AP via European Journalism Centre; EU Business



15-24 7,584 15.0 3,844 15.9 3,742 14.225-34 7,606 15.1 3,762 15.6 3,844 14.635-44 8,774 17.4 4,302 17.8 4,472 17.045-54 8,304 16.5 4,110 17.0 4,194 15.955-64 7,751 15.4 3,708 15.4 4,043 15.465 + 10,410 20.6 4,401 18.2 6,009 22.8Total 50,430 100 24,125 100 26,305 100

Source: EPIQ 2009



A+B 12,340 24.5 7,042 29.2 5,297 20.1C1+C2 15,130 30.0 7,324 30.4 7,807 29.7D 552 1.1 388 1.6 165 0.6E 22,408 44.4 9,370 41.8 13,038 58.2Total 50,430 100 24,125 100 26,305 100

Source: EPIQ 2009



1 person 9,278 18.42 people 17,306 34.33 people 9,149 18.14 people 9,305 18.55 or more people 5,392 10.7Total 50,430 100

Source: EPIQ 2009




Without children 26,271 52.1With children 24,147 47.9Total 50,430 100

Source: EPIQ 2009


Age Housewives000 %

Under 25 172 4.625-34 478 12.935-44 576 15.545-54 597 16.155-64 643 17.365 + 1,249 33.6Total 3,713 100

Source: EPIQ 2009

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 93 93 95 95 98 5.38 3.16Total paid-for dailies 85 85 85 85 85 0.00 0.00National paid-for dailies 1 24 24 24 24 24 0.00 0.00Regional and local 61 61 61 61 61 0.00 0.00paid-for dailies

Total free dailies 8 2 8 2 10 2 10 2 13 3 62.50 30.00Total paid-for Sundays 33 34 37 42 45 36.36 7.14National paid-for Sundays 3 3 3 3 4 33.33 33.33Regional and local 30 31 34 39 41 36.67 5.13paid-for Sundays

Source: DDM; SPQN; SPQR; WAN-IFRA assessment (free dailies)1 Including 10 national dailies of general coverage (Aujourd'hui en France, France

Soir, L'Humanité, La Croix, La Tribune, Le Figaro, Le Monde, Les Echos, Libération,and Présent), and 14 national specialized dailies (Bilto, L'Actu, L'Equipe, La Gazette des courses, Le Favori, Matin courses, Mon Quotidien, Paris Turf,Quinté Plus Magazine, Paris Courses, Spéciale Dernière le Meilleur, TiercéMagazine, Le Petit Quotidien, and Quoti)

2 Including as one title 20 Minutes (8 editions in Paris, Bordeaux, Toulouse, Lille,Lyon, Marseille, Nantes, Strasbourg), and Metro (9 editions in Paris, Marseille,Lyon, Toulouse, Lille, Bordeaux, Nice, Strasbourg, Nantes+Rennes = Metro Ouest)

3 Including as one title 20 Minutes (8 editions in Paris, Bordeaux, Toulouse, Lille,Lyon, Marseille, Nantes, Strasbourg), and Metro (9 editions in Paris, Marseille,Rhône-Alpes/Lyon, Toulouse, Lille, Bordeaux, Côte d'Azur-Nice, Strasbourg,Ouest/Nantes-Rennes)



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(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 9,247 9,469 10,230 10,290 9,760 5.55 -5.15Total paid-for dailies 7,807 7,686 7,649 7,600 7,362 -5.70 -3.13National paid-for dailies 1 2,140 2,114 2,118 2,140 2,035 -4.91 -4.91Regional and local 5,667 5,572 5,531 5,460 5,327 -6.00 -2.44paid-for dailies

Total free dailies 1,440 1,783 2,581 2,690 2,398 66.53 -10.86Total paid-for Sundays 4,308 4,282 4,308 4,339 4,532 5.20 4.45National paid-for Sundays 708 729 753 754 806 13.84 6.90Regional and local 3,600 3,553 3,555 3,586 3,726 3.50 3.90paid-for Sundays

Source: 2005 OJD DSH; 2006-2009 OJD; WAN-IFRA assessment (free dailies)1 Including circulation of only 12 national dailies according to OJD/DSH data (DSHdata = figures declared by publishers): Aujourd'hui en France, La Croix, Les Echos,L'Equipe – general edition, Le Figaro, International Herald Tribune, France Soir,L'Humanité, Libération, Le Monde, Paris Turf, and La Tribune. These 12 titles represented 92% of total national circulation in 2002.


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 2,410 2,675 2,874 2,897 2,757 14.40 -4.83Total paid-for dailies 2,410 2,325 2,347 2,342 2,263 -6.10 -3.37National paid-for dailies 657 645 639 656 619 -5.78 -5.64Regional and local 1,753 1,680 1,708 1,686 1,644 -6.22 -2.49paid-for dailies

Total free dailies - 350 527 555 494 - -10.99Total paid-for Sundays 218 223 223 224 224 2.75 0.00National paid-for Sundays 36 38 39 39 41 13.89 5.13Regional and local 182 185 184 186 193 6.04 3.76paid-for Sundays

Source: 2005-2007 OJD DSH; 2008-2009 OJD

(%)2005 2006 2007 2008 2009

Single copy sales 67.3 68.0 49.0 - -Subscriptions - - 48 48 48

Home deliveries 7.9 40.0 34.0 - -Postal deliveries 18.7 20.0 14.0 - -

Free distribution 4.3 5.0 3.0 - -Total 100 100 100 - -

Source: OJD


(France, euro)min max


Source: SPQR/SPQN


(%)Reached


Source: EPIQ 2009



group

15-24 11.1 30.725-34 11.8 32.635-44 15.6 37.545-54 16.3 41.255-64 17.6 47.865 + 27.6 55.8Total 100 41.7

Source: EPIQ 2008

Paid-for dailies only



(minutes per day)2005 2006 2007 2008 2009

National newspapers 32 31 32 33 32Regional and local newspapers 24 25 25 25 24

Source: EPIQ

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

National dailies 12 12 12 12 12 0.00 0.00Regional & local dailies 32 33 37 45 45 40.63 0.00Total 44 45 49 57 57 29.55 0.00

Source: 2005 SPQR; SPP; 2006 WAN assessment; 2007 SPQR; WAN assessment;2008-2009 SPQR/SPQN

6.a Online editions

Newspaper Website Unique visitors per month

(000)

Le Figaro lefigaro.f 5,364Le Monde lemonde.fr 5,347Le Parisien leparisien.fr 3,94320 Minutes 20minutes.fr 3,699Liberation liberation.fr 3,649Ouest France ouest-france.fr 2,303Le Journal du Dimanche lejdd.fr 1,369La Depeche du Midi ladepeche.fr 1,355La Voix du Nord lavoixdunord.fr 932Le Telegramme letelegramme.fr 865

Source: Nielsen NetRatings


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(France, euro, bln)2004 2005 2006 2007 2008

GDP 1,660 1,726 1,808 1,892 1,948



(France, euro, 000)2004 2005 2006 2007 2008

GDP per capita 27.4 28.3 29.5 30.7 31.4




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(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.55 0.55 0.54 0.52 0.48 0.48 0.48 0.48


(France, euro, mln)2006 2007 2008 2009 2010 2011 2012 2013

Press 4,506 4,396 4,247 3,547 - - - -Newspapers 2,244 2,205 2,139 1,801 - - - -Magazines 2,263 2,191 2,108 1,746 - - - -

Television 4,209 4,306 4,112 3,660 - - - -Radio 1,001 951 921 839 - - - -Cinema 126 138 117 117 - - - -Outdoor 1,414 1 428 1,455 1,290 - - - -Internet 542 740 1,007 1,179 - - - -Total 11,798 11,959 11,859 10,632 - - - -

Source: IREP 2009



(France, euro, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 2,510.5 2,608.0 2,595.0 2,510.0 2,043.0 -18.62 -18.61Total paid-for dailies 1,420.5 1,440.0 1,399.0 1,395.0 1,244.0 -12.43 -10.82National paid-for dailies 357.5 362.0 331.0 316.0 260.0 -27.27 -17.72Regional and local 1,063 1,078 1,068 1,079 984 -7.43 -8.80paid-for dailies

Total free dailies 1,090 1,168 1,196 1,115 799 -26.70 -28.34Total paid-for non-dailies 2,242.8 2,236.0 2,162.0 2,071.0 1,706.0 -23.93 -17.62National paid-for non-dailies 2,107.5 2,099.0 2,025.0 1,935.0 1,579.0 -25.08 -18.40Regional and local 135.3 137.0 137.0 136.0 127.0 -6.13 -6.62paid-for non-dailies

Source: IREP

(%)2004 2005 2006 2007 2008

Display 71.0 70.1 70.3 68.0 77.0Classified 29.0 29.9 29.7 32.0 23.0

Source: IREP

Data available only on commercial advertisements and classified ads


Advertiser Expenditure (France, euro, 000)

Renault 68,441Carrefour Magasins 62,425Citroen 55,857Lidl 46,137Peugeot 40,615Mercedes Benz 36,665SFR 36,144Audi 32,009Orange 30,264Credit Agricole 29,903



Advertising sector Expenditure (France, euro, 000)

Auto 463,215Retail 375,740Culture & leisure 309,813Information media 283,511Services 276,268Insurance 201,397Real estate 176,032Travel & tourism 153,173Distribution 140,323Telecoms 124,582




Ouest France 785,967Le Figaro 331,022Le Monde 323,039L'Equipe 315,504Le Parisien 311,483Sud Ouest 304,144La Voix du Nord 281,851La Dauphiné Libéré 241,867International Herald Tribune 219,188Le Progrés 217,652

Source: OJD 2009


Title Language Publishing company Circulation Readership Cover price usual Format (000) (000) (France, euro)

Ouest France French Société Ouest France, SA 786 2,242 0.80 BerlinerLe Figaro French Société du Figaro, SA 331 1,268 1.30 BerlinerLe Monde French Société éditrice du Monde, SA 323 1,841 1.40 BerlinerL’Equipe French L’Equipe 24/24, SA 315 2,262 0.95 BroadsheetLe Parisien French SNC Le Parisien 311 1,616 1.00 TabloidSud Ouest French La Société Anonyme de Presse 304 1,053 0.90 Tabloid

et d’Edition du Sud Ouest(S.A.P.E.S.O.)

La Voix du Nord French La Voix du Nord, SA 282 1,020 1.00 TabloidLe Dauphiné Libéré French Le Dauphiné Libéré, SA 242 843 0.85 BerlinerInternational Herald Tribune English The New York Times Company 219 - 3.00 BerlinerLe Progrés French Le Progrés, SA 218 729 0.90 Berliner

Source: OJD 2009; EPIQ 2009; SPQR; SPQN



FRANCE

Title Founded Language Publishing company Circulation Readership Format (year) (000) (000)

20 Minutes 1 2002 French 20 Minutes France (SAS) 2 712 2,129 TabloidMetro 3 2002 French SAS Publications Metro France 660 1,865 Tabloid

(Metro International)Direct Matin Plus 4 2007 French Matin Plus, SA 5 386 666 Micro (half-Berliner)Direct Soir 6 2006 French Direct Soir, SA 7 345 786 Micro (half-Berliner)Direct Lyon Plus 8 2004 French Le Progrès (Socpresse) 65 - TabloidDirect Marseille Plus 9 2002 French La Provence (Hachette Filipacchi Médias) 58 - TabloidDirect Lille Plus 10 2004 French La Voix du Nord (Socpresse) 50 - TabloidDirect Strasbourg Plus 2009 French Bolloré Group 32 - TabloidDirect Montpellier Plus 11 2005 French Midi Libre (Le Monde) 28 - TabloidDirect Nice Plus 2009 French Bolloré Group 27 - Tabloid

Source: OJD 2009; EPIQ 2008-2009; WAN-IFRA records1 8 editions in 2004-2009: Paris, Bordeaux, Toulouse, Lille, Lyon, Marseille, Nantes, Strasbourg2 The capital of 20 Minutes is held by the Norwegian group Schibsted (50%), one of the principal Scandinavian media groups,

and by the French group Sipa (publisher of the regional newspaper Ouest France, a part of theOuest France Group),through the corporations Sofiouest (25%) and Spir Communication (25%).

3 9 editions in 2009: Paris, Marseille, Rhône-Alpes/Lyon, Toulouse, Lille, Bordeaux, Côte d’Azur-Nice, Strasbourg, Ouest/Nantes-Rennes

4 The former title was Matin Plus until December 2007.5 Main shareholders Vincent Bolloré, Société editrice du Monde, and Sofiprom6 Afternoon daily7 Major shareholders: Bolloré, Bolloré Investissement, Sofiprom8 Formerly Lyon Plus, name of the title changed in 20099 Formerly Marseille Plus, name of the title changed in 200910 Formerly Lille Plus, name of the title changed in 200911 Formerly Montpellier Plus, name of the title changed in 2009


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total number of journalists 5,441 - - 5,467 5,389 -0.96 -1.43Total number of employees 18,259 - - 17,384 16,460 -9.85 -5.32

Source: SPQR

Regional press only

9.a Employment


(France, euro)2002 2003 2004 2005 2006 1

Average per ton 570 505 - - 518

Source: SPPP-CFPP1 March 2006

11. Research (2009)

Circulation is audited byDiffusion Contrôle/OJD, a collaboration ofnewspapers, agencies and advertisers

Readership is measured byTNS Sofres

Methodology25,500 telephone interviews throughout the year

Source: SPQR/SPQN

Tax %

Standard VAT 19.6VAT on:

Single copy sales 2.1Subscription sales 2.1Advertising 19.6Newsprint 19.6Composition 6Plant 6



12. Taxes (2009)


FRANCE


Are there any direct subsidies?In 2002 the finance ministry introduced a new subsidyto help pay for the distribution of national dailynewspapers providing political and general information.

In 1998 two new funds made loans available topublishers under certain conditions:

1. The Multimedia Press Fund – The government hascreated a fund to help the French print media moderniseand adapt to new information technologies. This fundshall advance money to print media companies, part ofwhich must be repaid. 40% of this advance may berebated when the publisher is able to prove a givenproject has been completed.

2. The Modernisation Fund for daily newspapers – Thisfund is financed by the proceeds of a 1% tax levied onadvertisers investing in the free and commercial printedmedia (free and promotional papers, brochures,catalogues, direct mailing and so on). The objective ofthis aid is to finance modernisation projects presentedby publishers, treated on a case-by-case basis. To beeligible for this (direct) subsidy, projects have to beinnovative, outside of daily management, have positiveeffects on employment and the financial health of thecompany.

Source: SPQR/SPQN


(France, euro, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total amount 61.3 106.0 101.0 89.0 92.0 50.08 3.37

Source: SPQR/SPQN


Railroad 60

Source: DDM



Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?Yes. No silent partners are allowed. Shares in publishingcompanies must be registered. The holder of themajority of shares is considered the publisher.

Is there any law prohibiting or restricting foreign companiesor individuals from owning shares, and in particular, themajority of shares, of domestic daily newspapers?Yes. Foreign companies and individuals may own nomore than 20% of the capital in a company thatpublishes a newspaper. No individual shareholder canhold more than 49% of the capital or voting rights.

Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?Yes. Law of september 30th 1986 on Freedom ofcommunication.

General principle / the rule of ‘any two of four’.

At national level

To protect pluralism on the national level in analogue ordigital mode, no authorisation may be issued to a personwho, on account thereof, would be in more than two ofthe following situations:

1° Be a holder of one or more authorisations fortelevision services broadcast by terrestrial radio linkin digital mode that allows servicing of areas whoserecorded population stands at 4 million people;

2° Be a holder of one or more authorisation for radiobroadcasting services that allows servicing of areaswhose recorded population stands at 30 millionpeople;

3° Be a holder of one or more authorisations todistribute services that allow servicing of areas whoserecorded population stands at 6 million people;

At regional/local level

To protect pluralism on the regional and local level inanalogue or digital mode, no authorisation for a radio ortelevision broadcasting service, other than national, byterrestrial radio link or the operation of a network thatdistributes radio and television broadcasting services bycable may be issued for a specific geographic area to a person who, on account thereof, would be in morethan two of the following situations:

1° Be a holder of one or more authorisations fortelevision services, whether national or not, broadcastby terrestrial radio link in the area in question;


FRANCE

2° Be a holder of one or more authorisations for radiobroadcasting services, whether national or not, whosetotal potential audience in the area in questionexceeds 10 percent of the total potential audiences inthe same area of all public or authorised services ofthe same kind;

3° Be a holder of one or more authorisations for theoperation of networks that distribute radio andtelevision broadcasting services by cable within saidarea;

No individual shareholder can hold more than 49% ofthe capital or voting rights, either directly or indirectly,of a TV station broadcasting on terrestrial if thatcompany’s average annual audience share across allplatforms is greater than 2.5%.

No individual or legal entity holding an analogue radiolicence may reach more than 150 million listeners,either through its own transmissions, or through theprogramming it supplies to other licence-holders, orthrough any combination of these.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company? Yes. The law of August 1, 1986 prohibits the lending ofone’s name to any publishing company by falselyapplying for shares, another instrument or the purchaseof a company.

The shares of any joint venture must be registered, andany transfer must receive the prior approval of thecompany’s board of administrators or supervisory board.Moreover, every newspaper issue must contain thenames of the owners if the company is not a legal entity,or the designation, registration office, form and name ofthe legal representative if the company is a legal entity.

Is there an antitrust law limiting concentration in the dailypress?Yes. The law of November 30 1986 prohibits theacquisition, takeover or management of one or moregeneral or political-interest dailies by any individual orlegal entity, or by any group of people, when such anaction would permit control or ownership, directly orindirectly, of the publication(s) if the total circulation isgreater than 30% of the total circulation on the nationalterritory of printed daily publications of the same kind.

Source: SPQR/SPQN


GERMANY

General economic situation The German economy, the fifth largest economy in theworld in purchasing power parity terms and Europe’slargest, began to contract in the second quarter of 2008as the strong euro, high oil prices, tighter credit markets,and slowing growth abroad took their toll on Germany’sexport-dependent economy. At just 1% in 2008, GDPgrowth was negative in 2009. Recent stimulus andlender relief efforts led to strong growth in 2007, whileunemployment in 2008 fell below 8%, a new post-reunification low. Germany’s aging population,combined with high chronic unemployment, has pushedsocial security outlays to a level exceeding contributions.The modernization and integration of the easternGerman economy, where unemployment still exceeds30% in some municipalities, continues to be a costlylong-term process, with annual transfers from west toeast amounting to roughly USD80 billion. The inflationrate was estimated at 0% in 2009.

Performance of newspapers vs. other media The number of German online radio stations has sharplyrisen in the past years. By April 2009, there were 1,914online radios. By the end of 2009, their number wasexpected to increase to approximately 2,200, whichmeans a five-fold increase in stations since 2006 whenthere were around 450.

Nearly four fifths of German online radio stations areavailable only on the Internet. The others are live streamsof FM radio stations (so-called simulcast streams). Over120 online channels from FM radio stations exist inGermany.

Online radios are listened to for an average of 73minutes per day. At 91 minutes, the simulcast streams ofFM broadcasters have a distinctly longer use per daythan online-only channels, which average 64 minutes.The data are based upon a large, representative sample ofGerman online radios conducted from May to June of 2009.

Performance of different types of newspapers On November 2, 2009, Handelsblatt, Germany’sleading business newspaper, relaunched in tabloidformat. The new smaller format, referred to as a business-format, is composed of 64 pages, as opposedto its previous 32, and is stapled down the spine. The newspaper’s website also underwent a makeover. The relaunch came at an estimated cost ofEUR350,000.

Welt am Sonntag (the Sunday edition of Die Welt) wonthe Society of News Design’s World’s Best-DesignedNewspaper award in 2009. The newspaper also made itsonline debut in November 2009.

Newspaper launches / closuresIn March 2009 it was reported that German publisherHoltzbrinck (Handelsblatt) was ending the print editionof free newspaper News am Abend, which wasdistributed from 4 p.m. in first class coaches of GermanICE trains. However, German railways Deutsche Bahnindicated they wanted to continue the free daily project,with or without Holtzbrinck.

In May 2009 Personal News stopped its print editiondue to greater demand for its electronic version. Thepersonalised newspaper, which allowed users to tailortheir news to specific topics from 20 regional, nationaland international newspapers, was launched inDecember 2008 as a test run. The project was developedby German start-up company Syntops Ltd.

In October 2009 Hamburger Abendblatt launched a weekend supplement to be included inSonnabendausgabe newspaper. The 8-page supplementfeatures interviews and lifestyle articles about the city.The supplement is the first metropolitan magazine innewspaper format.

In October 2009 Polish newspaper publisher Agoraintroduced a Berlin edition of its free newspaper Metro.The newspaper was published on October 21, 2009 withan initial circulation of 30,000 copies. The A3, 12-pageGerman-language edition should serve as a medium fortourism information.

In October 2009 two young German entrepreneurslaunched a newspaper tailored to readers’ individualwishes and delivered to their door before 8 a.m. Thepersonalised newspaper, called Niiu, carries articles inboth English and German and is aimed primarily atstudents, explained founders Hendrik Tiedemann (27)and Wanja Soeren Oberhof (23). Initially, the newspaperconsisted of 16 pages. Customers of the paper choosewhat topics they want to read about, be it sport, politics,fashion or any from a wide choice, and receive news onlyon their chosen subjects collected together and deliveredlike any other newspaper. Users must select their newssources for the following day’s newspaper by 2 p.m.Articles are pulled together from major Germannewspapers such as Handelsblatt, Bild and Tagesspiegel,foreign titles such as the International Herald Tribune orthe New York Times, as well as major blogs and Internetnews sources. For the right to print their news, Niiu paysa licence to these newspapers. The first edition wassuccessfully circulated on November 16, 2009. Thenewspaper is available from Monday to Saturday. Niiuaimed to have 5,000 subscribers within six months.

In January 2010 the Financial Times Germanysuspended its health industry monthly supplementMedbiz. Medbiz was launched in March 2006.



GERMANY

The 20-page supplement was aimed at decision makersfrom hospitals, pharmaceutical and medical technologycompanies, banks and insurance companies, universities,and medical personnel. Medbiz will continue to appearon the newspaper’s website and in special supplements.

In January 2010, German publishing group M.DuMont Schauberg, which owns the daily newspaperBerliner Kurier, announced its intentions to launch a news supplement aimed directly at a younger audience.The move came after news magazine Spiegel successfullyhad launched Dein Spiegel in 2009, a separatepublication from its news magazine and aimed at youngreaders between the ages of nine and 12. Since its debutin September 2009, with the first edition focusing onthe then hot topic of Germany’s general election, thepublication has enjoyed considerable success and nowlines the shelves of newsstands across the country.

In July 2009 it was reported that Axel Springer plannedto launch an international weekly edition of its flagshipdaily, Die Welt, in a 48-page tabloid format startingFebruary 2010. The newspaper should be available fromairlines.

Online / Digital Publishing There were no government restrictions on access to theInternet; however, government agencies may monitor e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail.

Federal and state laws permitted the Federal Office forthe Protection of the Constitution (FOPC) and stateoffices for the protection of the constitution (OPCs) tomonitor the private e-mails and chat room postings ofindividuals and groups under FOPC and OPCsurveillance; an independent commission elected by a parliamentary control body was responsible foroversight of such activities. The law prohibits access tomaterial such as child pornography and Nazipropaganda.

According to 2009 research by ComScore, Germany hasthe largest number of Internet users in Europe, followedby the United Kingdom. The study found that of the 17European countries individually reported by comScore,Germany’s online audience was the largest with 40million unique visitors in April 2009, followed by theUK (36.8 million), and France (36.3 million).

In November 2009, Süddeutsche Zeitung declared itsintentions to publish fewer free articles online. Springer’smost popular Berlin tabloid, B.Z. was set to charge forits previously free iPhone application. For a one offpayment of just EUR0.79 users should have access to allphoto galleries and articles, which as of 2010 will requirea subscription. Similarly, Süddeutsche Zeitung wasabout to charge for its own application from the middle

of November 2009, offering access to all articles and a smarter homepage for EUR1.59 a month.

In December 2009, Axel Springer launched its paid-foriPhone applications for two of its German titles, thetabloid Bild and Die Welt. Christoph Keese, head ofpublic affairs at Axel Springer and an architect of itsonline strategy, also announced Axel Springer’s intentionto work with Google and other search engines to developa direct payment system, which will charge forindividual articles when users click on Google’s searchresults. Mr. Keese wants publishers and Internetcompanies to work together to create a “one-clickmarketplace solution” for their online content instead ofseparate pay walls around individual newspaperwebsites. In that system, Google or other Internetgateways would display links to newspaper articles,videos and other content from a variety of providers, assearch engines currently provide.

In February 2010 Germany indicated it might take legalaction to prevent Google Street View from offeringphotos on the country’s cities and streets. The country’sconsumer protection minister has warned of a “millionfold violation of privacy rights.” The country’sConsumer Protection Minister Ilse Aigner said she wasconsidering reversing a 2009 settlement wherebyindividuals would have to object should they not want tohave their house or property photographed. Aignersuggested it should be Google who has to seekpermission from individuals to put their data online.Google rejected the criticism, saying that it had beengranted the permission to take the pictures under the2009 settlement with the German authorities. The dealincluded a provision that licence plates and faces wouldbe blurred and that any individual could object tophotographs appearing online. Google said only somehundred people so far had objected. The Internetcompany plans to make the street view service availablelater in 2010.

In February 2010 Axel Springer decided to add onlinepaywalls on two of its German newspapers, the BerlinerMorgenpost and the Hamburger Abendblatt. It is free toaccess national news on Abendblatt.de, but it costs extrafor content specific to the Hamburg region.Subscriptions for both are renewed every month.

Ownership Active in 35 countries with more than 170 titles, AxelSpringer is Germany’s largest newspaper publisher andthird-largest magazine publisher.

In February 2009, Axel Springer sold its stakes in fourregional newspapers to the Hannover-basedVerlagsgruppe Madsack for a total of EUR310 million.It said it wanted to concentrate on its national dailies Die Bild and Die Welt and to expand its onlinebusiness.


GERMANY

In March 2009 German media manager Dieter vonHoltzbrinck announced he would buy Handelsblatt, thecountry’s biggest financial newspaper, from his half-brother Stefan von Holtzbrinck, who is sellingpublications to focus on the Internet. Dieter vonHoltzbrinck will also gain control of Berlin’s DerTagesspiegel newspaper and take a 50 percent stake inthe Die Zeit weekly.

In March 2009, Axel Springer sold its fully owned unitElmshorner Nachrichten and a minority stake inPinneberger Tageblatt newspaper to Schleswig-Holsteinischen Zeitungsverlag (SHZ).

In April 2009, the management board of Axel SpringerAG decided to implement a bonus share and shareparticipation program. The bonus share program andthe share participation program are voluntary and will beoffered once. A maximum of approximately 8,000employees are authorized to participate. All of the sharesissued within the framework of the two programs aremade available from the assets of Axel Springer AG. Theholding period for the shares from the bonus shareprogram is one year ending May 31, 2010 and for theshare participation program two years ending May 31,2011.

On November 25, 2009, Axel Springer announced itsplanned purchase of a 29% stake in Turkish media groupDogan Yayin Holding was suspended, not cancelled,after talks between Dogan and the Turkish governmenton a tax fine failed. Axel Springer had previouslyannounced its plan to buy the stake on the conditionthat Dogan settle the tax row with Turkish authorities.The fine relates to transactions after Axel Springerbought a stake in Dogan TV, a unit of Dogan Yayin. Inthe planned 29% stake, Axel Springe was to have threeseats out of 10 on Dogan Yayin’s board and the right tonominate one person with a veto to Dogan’s executivecommittee.

In December 2009, German news agency DeutscherDepeschendienst (DDP) bought the German-languageservice of the Associated Press (AP). The deal grantsDDP a 15-year license to adapt and use English-language content from AP’s network of 3,000 reportersbased in 250 bureaus in 97 countries. The acquisitionwill see 110 AP reporters from Germany, Austria andSwitzerland join DDP’s pool of 140 journalists.Representatives from AP’s German works council saidemployees were disappointed that top managers in theUnited States had not kept them up to date onnegotiations with DDP, and that they only found outthe deal had been finalised in the press.

Media / Press Laws The constitution provides for freedom of speech and ofthe press; while the government mostly respected theserights in practice, it imposed limits aimed at groups

deemed extremist. On November 17, the FederalConstitutional Court limited free speech that specificallyendorses neo-Nazi doctrines, claiming this was “anexceptional circumstance.”

Individuals could criticise the government publicly or privately without reprisal, and an active independentmedia expressed a wide variety of views withoutgovernment restriction. However, making ordisseminating oral statements or propaganda incitingracial hatred, endorsing Nazism, or denying theHolocaust is prohibited. On August 13, 2009 theFederal Court of Justice ruled that persons can beprosecuted for displaying Nazi slogans in the countryonly if they are in the German language. The courtargued that translations of Nazi slogans cannot beconsidered as Nazi symbols, since Nazi slogans areinseparably connected with the use of the Germanlanguage.

On January 27, 2009, Hamburg police confiscated 500copies of the second edition of the Newspaper Witnessesthat contained a supplement of the Nazi-era newspaperRacial Observer (Voelkischer Beobachter) and a Naziposter. The confiscation was part of a nationwide actioninitiated by the Munich Municipal Court, whichclaimed that the reprint used banned symbols (e.g.swastikas) and infringed on the copyrights for the RacialObserver, which the state of Bavaria had inheritedfollowing World War II. A total of 150,000 copies of theoffensive supplement were distributed throughout thecountry.

Copyright In June 2009 German publishing houses bandedtogether to call for effective measures to protect theirintellectual property. The German media industrydemanded that lawmakers pass effective measures toprotect their intellectual property on the Internet. At theInternational Media Dialogue in Hamburg on June 8,2009, leading publishing houses and the trade unions ofthe music, advertising and film industry warned aboutthe economically devastating consequences of the“ongoing theft of intellectual property” on the Internet.A statement about the greatly damaging financialrepercussions of intellectual property theft by providersand demanded legal protection for online content wassigned by the German Producers Alliance, the GermanAssociation of Communications Agencies, and the bigpublishing houses Springer, Bauer, Ganske, Gruner & Jahr, Spiegel and Zeit.

In October 2009 the new governing coalition, led bychancellor Angela Merkel, her party the ChristianDemocrats and including the Free Democratic Party,pledged to create a new kind of copyright to protectonline journalism. The government’s proposal,championed by Culture Minister Bernd Neumann,would give publishers a so-called neighbouring right,


GERMANY

something that music labels and movie houses alreadyenjoy. Details of how the proposal would work have notbeen spelled out, but publishing executives say onepossibility would be to require a license for anycommercial use of published material online.

Printing & Distribution In June 2009, TNT Post Germany acquired shares inGeorg von Holtzbrinck’s regional mail companies.While TNT Post works together with many distributionpartners to cover around 90% of Germany,

Holtzbrinck’s own delivery network coversapproximately 26% of German households. Thestrategic partnership with Georg von Holtzbrinckincreases TNT’s coverage for the distribution of mailitems to more than 40% of all German households.Included in this strategic distribution partnership aretwo 50% joint ventures in the Berlin and Brandenburgarea and five minority participations of 25.1% in theareas of Cottbus, Freiburg, Konstanz, Saarbrucken, Trierand Würzburg.


Source: CIA – The World Factbook; US State Department; Deutsche Welle; WAN-IFRA – SFNblog Newsletter; DNV Online; AFP; WAN-IFRA – Editors Weblog; Journalism.co.uk; New Business; Axel Springer; Reuters; FinanzNachrichten; The Financial Times; World of Print; The New York Times; Bloomberg; Net Imperative; Print Week;

Goldmedia; Eye For Transport; Global Print Monitor



0-6 4,154 5 - - - -6-15 6,985 9 - - - -15-25 9,380 11 - - - -25-45 22,353 27 - - - -45-65 22,402 27 - - - -65 + 16,719 20 - - - -Total 82,002 100 40,184 100 41,808 100

Source: Federal Office of Statistics


1 person 15,791 39.402 people 13,636 34.023 people 5,247 13.094 people 3,966 9.905 or more people 137 3.58Total 40,076 100

Source: Federal Office of Statistics


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 368 370 359 358 357 -2.99 -0.28National paid-for dailies 10 10 10 10 10 0.00 0.00Regional and local 358 360 349 348 347 -3.07 -0.29paid-for dailiesMorning paid-for dailies 368 370 359 358 357 -2.99 -0.28

Total non-dailies 1,333 1,378 1,402 1,421 1,441 8.10 1.41Total paid-for non-dailies 27 28 28 28 27 0.00 -3.57National paid-for non-dailies 6 6 6 6 6 0.00 0.00Regional and local 21 22 22 22 21 0.00 -4.55paid-for non-dailies

Total free non-dailies 1 1,306 1,350 1,374 1,393 1,414 8.27 1.51Regional and local 1,306 1,350 1,374 1,393 1,414 8.27 1.51free non-dailies

Total Sundays 207 245 245 261 264 27.54 1.15Total paid-for Sundays 6 6 7 6 6 0.00 0.00National paid-for Sundays 3 3 3 3 3 0.00 0.00Regional and local 3 3 4 3 3 0.00 0.00paid-for Sundays

Total free Sundays 1 201 239 238 255 258 28.36 1.18

Source: 2005 ZMG-Auflagenstatistik II/2005, BVDA; 2006 ZMG-AuflagenstatistikIII/2006, BVDA; 2007 ZMG-circulation III/2007, BVDA; 2008 ZMG-circulation III/2008;BVDA; 2009 ZMG-circulation III/2009; BVDA1 In Germany, free non-dailies and free Sundays (Anzeigenblätter = advertising

journals) do not comply with the definition of newspaper as the share of theireditorial content is too small in proportion with advertising



GERMANY

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 21,543 21,091 20,590 20,079 19,746 -8.34 -1.66National paid-for dailies 1,646 1,632 1,624 1,624 1,599 -2.86 -1.54Regional and local 19,898 19,459 18,966 18,455 18,147 -8.80 -1.67paid-for dailiesMorning paid-for dailies 21,543 21,091 20,590 20,079 19,746 -8.34 -1.66

Total non-dailies 87,642 88,455 90,583 91,982 93,812 7.04 1.99Total paid-for non-dailies 2,042 2,055 1,983 1,982 1,912 -6.37 -3.53Total free non-dailies 1 85,600 86,400 88,600 90,000 91,900 7.36 2.11Total Sundays 22,868 23,330 23,177 23,521 23,577 3.10 0.24Total paid-for Sundays 3,868 3,830 3,677 3,521 3,477 -10.11 -1.25Total free Sundays 1 19,000 19,500 19,500 20,000 20,100 5.79 0.50

Source: 2005 ZMG-Auflagenstatistik II/2005, BVDA; 2006 ZMG-AuflagenstatistikIII/2006, BVDA; 2007 ZMG-circulation III/2007, BVDA; 2008 ZMG-circulation III/2008;BVDA; 2009 ZMG-circulation III/2009; BVDA1 In Germany, free non-dailies and free Sundays (Anzeigenblätter = advertising

journals) do not comply with the definition of newspaper as the share of theireditorial content is too small in proportion with advertising


(Germany, euro, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total paid-for dailies 3,970.2 4,014.0 4,060.5 4,062.4 4,170.2 5.04 2.65Total paid-for non-dailies 1 193.2 202.0 200.7 198.3 202.3 4.71 2.02

Source: BDZV1 Including paid-for weeklies and paid-for Sundays

4.b Sales revenues


(%)2005 2006 2007 2008 2009


Source: 2005 ZMG-Auflagenstatistik II/2005; 2006 ZMG Auflagenstatistik, III/2006;2007 ZMG circulation, III/2007; 2008 ZMG circulation, III/2008; 2009 ZMG circulation, III/2009

4.d Cover prices (2009) 5.a Newspaper reach (2009)


group

14-19 4.8 45.120-29 10.4 56.330-39 12.9 65.040-49 19.5 72.650-59 17.4 79.860-69 16.5 83.070+ 18.3 82.2Total 100 71.4

Source: BVZV; ZMG;Arbeitsgemeinschaft Media-Analyse


(Germany, euro)min


Source: BDZV

(%)Reached


Source: BDZV; ZMG; ArbeitsgemeinschaftMedia-Analyse

(minutes per day)2005 2006 2007 2008 2009

All newspapers 28 28 28 28 28National newspapers - - - 28 28Regional and local newspapers - - - 28 28

Magazines 10 10 12 12 12Radio 221 221 221 221 182Television 220 220 220 220 228Internet 73 44 54 58 70

Source: 2005 Media-Perspektiven 2005, Internet facts 2005-II; 2006 Media-Perspektiven; 2007 Media-Perspektiven 2007; ARD-ZDF-Onlinestudie 2007; 2008Media-Perspektiven 2008; ARD-ZDF-Onlinestudie 2008; 2009 Media-Perspektiven2009; ARD-ZDF-Onlinestudie 2009


(000)2005 2006 2007 2008 2009

Total paid-for dailies 64,720 - - 64,870 64,820

Source: Arbeitsgemeinschaft Media-Analyse


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 384 382 386 267 267 -30.47 0.00Non-dailies - - - 13 13 - 0.00

Source: 2005 IVW 12/2005; 2006 www.bdzv.de; 2007 BDZV – World Wide Web;2008-2009 BDZV

6.a Online editions


(000)

Bild Axel Springer AG bild.de 6,920Die Welt Axel Springer AG welt.de 3,270Süddeutsche Zeitung Südwestdeutsche Medien Holding sueddeutsche.de 3,010Rheinsiche Post Rheinische Post Verlagsgesellschaft mbH rp-online.de 1,890Die Zeit Zeitverlag Gerd Bucerius zeit.de 1,720FAZ Frankfurter Allgemeine Zeitung GmbH faz.netz 1,710WAZ Westdeutsche Allgemeine Zeitung WAZ Mediengruppe derwesten.de 1,290Hamburger Abendblatt Axel Springer AG abendblattt.de 1,180Handelsblatt Verlagsgruppe Handelsblatt handelsblatt.de 950Tagesspiegel Verlagsgruppe Holtzbrinck tagesspiegel.de 820

Source: AGOF Internet facts III 2009



GERMANY

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Mobile cellular subscriptions 79,271.0 85,652.0 96,232.9 105,523.1 105,000.0 32.46 -0.50


(Germany, euro, bln)2004 2005 2006 2007 2008

GDP 2,211 2,243 2,322 2,423 2,488




(Germany, euro, 000)2004 2005 2006 2007 2008

GDP per capita 26.8 27.2 28.2 29.4 30.2


(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.75 0.78 0.78 0.76 0.72 0.71 0.71 0.72



(Germany, euro, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 3,930 4,114 4,156 4,036 3,489 3,432 3,536 3,660Radio 664 680 743 711 673 680 696 717Cinema 132 117 106 77 68 67 69 70Outdoor 769 787 820 805 705 679 696 716Internet 832 1,500 2,094 2,498 2,527 2,580 2,795 3,008Total 16,935 18,034 18,870 18,810 16,974 16,727 17,187 17,797

Source: ZAW, ZenithOptimedia

Excludes agency commission of 15%; excludes production costs; includes classifiedadvertising; after discounts; Magazines include directories and trade titles;Newspapers includes dailies, weeklies, Sundays and supplements; Internet includes display, paid search and affiliate deals


(Germany, euro, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total paid-for dailies 4,502.0 4,476.6 4,532.9 4,567.4 4,373.4 -2.86 -4.25Morning paid-for dailies 4,502.0 4,476.6 4,532.9 4,567.4 4,373.4 -2.86 -4.25

Total paid-for non-dailies 1 240.0 252.8 260.2 269.7 265.7 10.71 -1.48

Source: BDZV, ZMG1 Including paid-for weeklies and paid-for Sundays



Total 564,946 562,906 480,527 548,868 463,209

Source: ZMG



Local 29.8National wide retail 24.0Placement 6.3Family 9.6Other 7.8Real estate 5.5Automotive classified 5.0Corporate brand image 4.5Events 3.7Travel 2.2Automotive brand image 1.6

Source: ZMG

December 2009


Advertiser Expenditure (Germany, euro, 000)

Media-Markt / Saturn 480,218Procter & Gamble 385,514Albrecht (Aldi) 362,377Ferrero Deutschland 343,426L’Oreal 286,927Lidl 284,885Axel Springer AG 245,524Unilever Deutschland 230,946Volkswagen 201,339Edeka 193,792

Source: ZAW



Axel Springer AG 4,250Verlagsgruppe Stuttgarter Zeitung/Rheinpfalz/ 1,750Südwest Presse/Süddeutsche Zeitung

Schauberg, Köln 1,270WAZ-Gruppe, Essen 1,240Ippen-Gruppe, München 830Madsack, Hannover 800Holtzbrinck, Stuttgart 770Verlagsgruppe FAZ 620DDVG, Deutsche Druck- und Verlagsgesellschaft mbH, Hamburg 500Gruner + Jahr, Hamburg 330

Source: Magazine Wirtschaftswoche 2009



GERMANY

(Germany, euro)2005 2006 2007 2008 2009

Average per ton - - - 522.5 540.0

Source: Verband Deutscher Papierfabriken (German Pulp and Paper Association)



(year) (000) (000) (Germany, euro) (USD) (Germany, euro)

Bild 1952 German Axel Springer AG 3,300 11,630 0.60 0.82 Nordic 392,114 397,386WAZ-Mediengruppe 1948 German Verlagsgruppe WAZ 818 2,230 1.20 1.64 Rheinisch 125,535 169,861Zeitungsgruppe Köln 1802 German M.DuMont Schauberg 531 1,060 1.10 1.50 Berliner 27,890 38,287Süddeutsche Zeitung 1945 German Süddeutscher Verlag GmbH 430 1,160 1.80 2.46 Nordic 62,700 62,700Rheinische Post 1946 German Rheinische Post 379 1,090 1.00 1.37 Rheinisch 42,336 60,480

Verlagsgesellschaft mbHFrankfurter Allgemeine Zeitung 1949 German Verlag Frankfurter Allgemeine 368 890 1.90 2.60 Nordic 58,710 58,710

Zeitung GmbHAugsburger Allgemeine 1945 German Presse-Druck-und Verlags GmbH 333 920 1.20 1.64 Rheinisch 32,189 48,754Zeitungsgruppe Thüringen 1945 German Zeitungsgruppe Thüringen 316 890 0.90 1.23 Rheinisch 51,946 71,165

Verwaltungsgesellschaft mbHfp Freie Presse 1946 German Chemnitzer Verlag und Druck GmbH 291 720 1.00 1.37 Rheinisch 47,870 62,247Nürnberger Nachrichten 1945 German Mitteldeutsches Druck-und 283 800 1.20 1.64 Berliner 18,447 24,897

Verlagshaus GmbH & Co. KG

Source: BDZV; IVW; MA; ZMG


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total number of journalists - - - 15,677 15,556 - -0.77

Source: BDZV

9.a Employment

11. Research (2009)

Circulation is audited byInformationssgemeinschaft zur Feststellung derVerbreitung von Werbeträgern e.V. (IVW), AmWeidendamm 1A, 10117 Berlin, Germany, www.ivw.de

Readership is measured byArbeitsgemeinschaft Media Analyse ev. V. (AG.MA),Media-MicroCensus GmbH, Am Weingarten 25,60487 Frankfurt am Main; www.agma-mmc.de

Source: BDZV

Tax %

Standard VAT 19VAT on:Single copy sales 7Subscription sales 7Advertising 19Newsprint 19Composition 19


Source: BDZV; Deloitte Touche Tohmatsu

12. Taxes (2009)





Source: BDZV



Source: BDZV



GERMANY


Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?General ownership regulations apply to all businesses;there are no specific provisions for the press.


So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?Newspapers are subject to the same transparencyregulations as all other businesses.

Is there an antitrust law limiting concentration in the dailypress? There are general competition laws to prevent excessiveconcentration. These laws have always had a stronginfluence on the development of the German press, andmore so since the introduction in 1976 of specificcontrols on press mergers.

The competition laws regulate, among other things,discrimination and the right to impose prices on pressproducts, and enable associations to draw upcompetition regulations for a specific sector and havethem recorded in a register kept by the Federal Office ofMonopoly Control.

It should be noted that the anti-monopoly laws precludeall agreements between newspaper publishers andmagazine publishers, as well as those with directcompetitors.

There is normally no restriction on mergers wherecombined turnover is below or equal to EUR256million. There are, however, several tests for whetherpress mergers qualify for regulation, and they are muchmore stringent. One is whether the new company’sturnover is above EUR 13 million, but the preferred test is to look at copies sold. The ceiling fordailies is 40,000 copies, which means that in effect theregulatory trigger for press is actually EUR17 million.Companies with combined profits of EUR5 million orless are exempted, but for press this is qualified byvarious revenue limits dependent on the type ofperiodical in question.

In the press sector, a planned merger must be declared inadvance when the turnover reaches a minimum level,which ranges from EUR26 million to EUR51 milliondepending on circumstances. This duty to declare doesnot however enable the cartel authorities to exert powerover or to forbid the merger. Otherwise, it would imply that all such agreements would favour or reinforcea pre-eminent position in the market, which is what theregulations are designed to prevent. There is a legalpresumption that a one-third market share ispreeminent, rebuttable with evidence that the annualturnover of the company concerned is less thanEUR128 million, or in the press sector, EUR6 million.The creation of an oligopoly, when only a small numberof suppliers operate in a market, is presumed in the pressindustry when the turnover reaches EUR2.5 million.

Mergers are permissible if the companies can show thatcompetition is actually being increased, but few succeedwith this argument. Companies have the right to appealagainst decisions to the Federal Ministry of Economy,but it is very rarely used.

Although the notion of ‘market monopolisation’ is at thecore of the merger control, the legislature never definesthe market concerned. In the government proposal atthe time of enactment, it was established that such a market must be determined for each particular case, inrelation to its concrete, local and chronological effects.

There are two determining “markets” for the press:readership and advertising. If, for example, the mergingof two publishing companies places them in a pre-eminent position in the advertising market, orreinforces their position in that market, the merger canbe totally banned, regardless of its effect on thereadership market. This is of major importance foragreements between dailies and advertising papers, for which the regulations pertaining to mergers in thepress also apply.

The readership and advertising markets are themselvesdivided into several distinct categories, depending uponthe nature of the paper and whether it is classified, forexample, as subscription; local; “sensational”; or weekly.Electronic media and printing houses are seen asbelonging to different markets.

Is further regulation of media concentration expected?Yes, a new regulation is discussed; a new law is expectedto be adopted.

Source: BDZV


GERMANY



Max. 30% market share in TV (either German

or foreign)


or foreign)Allowed Allowed Allowed

National TVLicensees


or foreign)




Allowed Allowed Allowed Allowed Up to 25% or 35% ordinary capital


Allowed Allowed Allowed Allowed Up to 25% or 35% ordinary capital

Satellite TVBroadcasters


or foreign)



Local Radio Licensees Allowed Allowed Up to 25% or 35% ordinary capital

Up to 25% or 35% ordinary capital Allowed

National Radio Licensees Allowed Allowed Up to 25% or 35%

ordinary capitalUp to 25% or 35%

ordinary capital Allowed

Foreign Investors No difference betweenGerman or foreign investors

No difference betweenGerman or foreign investors





Source: BDZV


GIBRALTAR



General economic situation Self-sufficient Gibraltar benefits from an extensiveshipping trade, offshore banking, and its position as aninternational conference centre. The British militarypresence has been sharply reduced and now contributesabout 7% to the local economy, compared with 60% in1984. The financial sector, tourism, shipping servicesfees, and duties on consumer goods also generaterevenue. The financial sector, the shipping sector, andtourism each contribute 25%-30% of GDP.Telecommunications accounts for another 10%. Inrecent years, Gibraltar has seen major structural changefrom a public to a private sector economy, but changesin government spending still have a major impact on thelevel of employment. The inflation rate was estimated at2.9% in 2005.

Performance of newspapers vs. other media Television and radio services in Gibraltar are operated bythe Gibraltar Broadcasting Corporation (GBC). GBCoperations are overseen by a board, said to be modelled on the BBC's Board of Governors. GBCTelevision was previously funded by a mix of advertising,government funding, and an annual television licence fee that was abolished in June 2006 by thegovernment.

It is possible to receive radio and TV stations based inSpain, as well as broadcasts for British forces in theterritory by the British Forces Broadcasting Service(BFBS) Radio Gibraltar.

Performance of different types of newspapers Gibraltar has two daily newspapers.

The Gibraltar Chronicle, established in 1801, was theRock’s first daily newspaper and is one of the world’soldest newspapers in continuous production. Thenewspaper’s ownership is structured as a trust and operatesunder the obligations of a charter partly modelled on theIrish Times so as to ensure it is not politically partisan, butfair and factual in its editorial content.

Panorama is a newspaper published since December1975. It was first published as a weekly and became a daily in 2002. Its online edition has been running since1997 and printed edition since 1975.

There are five weekly newspapers: Vox, 7 Days, The NewPeople, Gibsport, and El Faro de Gibraltar.

Vox, founded in 1955, is a weekly bilingual newspaperappearing every Friday in both Spanish and English.

El Faro de Gibraltar is a Spanish language free weeklynewspaper published since 2003. It is the only Spanishlanguage newspaper currently published in Gibraltar andbelongs to the Spanish media group Publicaciones delSur, S.A.

Insight Magazine is printed monthly. The monthlyGibraltar Magazine is aimed at residents of Gibraltar andfrequent visitors.

Source: CIA – The World Factbook; BBC News; Press Reference; Wikipedia; World Newspapers



0-14 4 14 2 14 2 1415-64 19 68 10 71 9 6465 + 5 18 2 14 3 21Total 28 100 14 100 14 100


Change (%)2004 2005 2006 2007 2008 2008/04 2008/07



Source: 2005-2008 WAN from public sources; 2009 WAN-IFRA from public sources



GIBRALTAR


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 2 2 2 2 2 0.00 0.00


6.a Online editions

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Broadband subscribers - - - - 9.3 - -


(Gibraltar pound, bln)2004 2005 2006 2007 2008

GDP 0.3 0.4 0.4 0.4 0.6



(Gibraltar pound, 000)2004 2005 2006 2007 2008

GDP per capita 9.6 15.3 15.6 14.0 20.6




Title Founded Language Publishing company Circulation Cover price usual Format (year) (000) (Gibraltar pound)

Gibraltar Chronicle 1 1801 2 English Gibraltar Chronicle Ltd 5 3 - TabloidPanorama 4 1975 5 English - - 0.50 Tabloid

Source: Wikipedia; Panorama; WAN-IFRA from public sources1 Published six days a week2 It became a daily in 18213 In 1935 the circulation was 800 copies a day4 Published on weekdays5 Established as a weekly; it became a daily in 2002

Tax %

Standard VAT 0Tax on profits – standard rate 22


12. Taxes (2009)


GREECE

General economic situation Greece has a capitalist economy with the public sectoraccounting for about 40% of GDP and with per capitaGDP about two-thirds that of the leading euro-zoneeconomies. Tourism provides 15% of GDP. Immigrantsmake up nearly one-fifth of the work force, mainly inagricultural and unskilled jobs. Greece is a majorbeneficiary of EU aid, equal to about 3.3% of annualGDP. The Greek economy grew by nearly 4.0% per yearbetween 2003 and 2007, due partly to infrastructuralspending related to the 2004 Athens Olympic Games,and in part to an increased availability of credit, whichhas sustained record levels of consumer spending. Butgrowth dropped to 2.9% in 2008 as a result of the worldfinancial crisis and tightening credit conditions. The inflation rate was estimated at 1% in 2009.

Greece is facing up to three years of recession, as it triesto slash its deficit. Its government owes about 300bneuros (USD400bn) and has to pay off part of it in May2010. The European Union and International MonetaryFund (IMF) announced a bail-out package on 2 May2010, the biggest in recent history. They were offering110bn euros (USD146.2bn) spread over three years, oncondition that Greece slashes public spending andboosts tax revenue. Ratings agency S&P has alreadydowngraded Greek debt to “junk”, which means it viewsGreece as a highly risky place to invest. There are fearsthat the Greek problem could spread to other eurozonecountries, which are anxious to bolster investorconfidence.

Performance of newspapers vs. other media State TV enjoyed a near-monopoly until the late 1980s,when new commercial TV services quickly gained a lion’s share of the audience. Public TV lost a large sliceof its advertising revenue as a result.

News, domestically-made variety programmes, comediesand game shows dominate the peak-time TV schedules.

Broadcasting is relatively unregulated by Europeanstandards, and many of the country’s approximately1,700 private radio and TV stations are unlicensed.

Performance of different types of newspapers There were numerous independent newspapers andmagazines in circulation, and they generally expressed a wide variety of news without restriction.

Newspaper launches / closuresOn June 22, 2009, Greek daily Eleftheros Typos shutdown after 26 years in business. Stakeholders votedunanimously in a June 19, 2009, meeting to ceaseoperations of Eleftheros Typos and e-tipos.com due tocontinued losses and poor industry outlook. EleftherosTypos, which means Free Press in English, was originally

founded by Aris and Lilian Boudouris and owned byformer shipping magnate Theodoris Angelopoulos andformer Athens 2004 President Gianna Angelopoulou-Daskala. Various Greek news sources reported thatbetween 300-450 journalists and administrative supportstaff lost their jobs. Despite mounting losses, in 2006 itsowners decided the newspaper was worth saving but by2007 much-needed makeover more than doubled debtsto EUR34 million.

Readership Television is Greece’s medium of choice. Research in2009 showed that 78% of Greeks turn to the TV fornews, followed by the press (41%), the Internet (35%)and radio (32%).

Online / Digital Publishing There were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail. Internet was availablethroughout the country and widely used.

Greek sports portal Sport.gr, run by ConstantineKamaras, has around 500,000 unique users per month,with about 15,000 registered users. Advertising makesup 77% of the website’s revenue, and mobile 8%. CEO Constantine Kamaras says that users are lessreluctant to pay for mobile content, but also warned that mobile advertising will make up at best 6% ofinteractive advertising in 2010 globally, and will be only2% in the US, lagging behind social media and onlinevideo.

In Greece, there is a high penetration of mobile, and a low but fast growing penetration of smart phones, withvery few paid applications. The best-known application,for Greece’s leading daily newspaper, has had 15,000downloads. According to Constantine Kamaras ofSport.gr, mobile is a secondary medium to the web andmobile advertising is not yet a source of revenue thatpublishers can bank on.

Media / Press Laws The constitution and law generally provide for freedomof speech and of the press, and the government generallyrespected these rights in practice. However, the lawprohibits speech that endangers the country’s foreignrelations, spreads false information or rumors causingfear among citizens, causes rivalry or division amongcitizens, or incites citizens to disturb the peace orcommit acts of violence. In practice, these legalprohibitions were seldom invoked. In most criminaldefamation cases, defendants were released on bailpending trial without serving time in jail.



GREECE

Individuals could criticize the government publicly orprivately without reprisal, and the government did notimpede criticism.

The law provides for the government to exercise“immediate control” over radio and television stationsand establishes ownership limits on media frequencies.State-operated stations emphasized the government’sviews but also reported objectively on other parties’positions.

The law requires that radio and television stationsbroadcast primarily in Greek and that radio stationsbroadcast 24 hours a day. It sets minimum capitalizationrequirements and numbers of employees. Members ofthe Muslim minority in Thrace stated that the lawdiscriminated against smaller, independent, Turkish-language stations. During the year 2009 the WesternThrace Minority University Graduates Associationreported that the government had begun to enforce thelaw, with one Turkish-language radio station receiving a violation notice.

The law allows any prosecutor to order the seizure ofpublications that insult the president, offend

Christianity or any religion, contain obscenity, advocatethe violent overthrow of the political system, or disclosemilitary secrets. The government did not enforce thislaw during the year.

The law punishes individuals who “intentionally inciteothers to actions that could provoke discrimination,hatred, or violence against persons or groups of personson the basis of their race or ethnic origin or express ideasinsulting to persons or to groups of persons because oftheir race or ethnic origin.”

The libel and defamation trial of an Internet blogadministrator who, on one of his Web sites, allegedlycalled a Greek Orthodox televangelist “stupid” waspostponed until May 2010.

Other Factors Following the closure of Greek daily Eleftheros Typos onJune 22, 2009, the Journalists Union of Athens DailyNewspapers called a 24-hour strike of print, digital andbroadcast media starting today at 17:00 local Greek timeto protest the closure of Eleftheros Typos and highlightissues of transparency, redundancy and unpaid workersin the media industry.

Source: CIA – The World Factbook; US State Department; WAN-IFRA - Editors Weblog; Living in Greece; BBC News



0-15 1,596 821 77516-24 1,353 705 64825-34 1,710 885 82535-44 1,676 845 83145-54 1,498 743 75555-64 1,238 595 64365 + 2,033 904 1,129Total 11,104 5,498 5,606

Source: National Statistical Service of Greece via ZenithOptimedia



Social class All adults Male Female000 000 000

AB 538 265 273C1 516 264 252C2 2,193 1,098 1,095D 1,350 662 688E 2,377 1,203 1,174Total 6,974 3,492 3,482

Source: TGI via ZenithOptimedia


GREECE


1 person 518 82 people 1,364 213 people 1,497 244 people 2,084 335 or more people 891 14Total 6,354 100

Source: FOCUS BARI S.A.




Without children 4,797 76With children 1,556 25

aged 0-1 209 3aged 1-2 377 6aged 3-5 486 8aged 6-9 532 8aged 10-15 617 10aged 16-18 292 5

Total 6,353 100

Source: FOCUS BARI S.A.2.d Housewives (co-habitingpersons) (2006)

Age Housewives000 %

13-17 1 018-24 4 425-34 209 2135-44 194 2045-54 219 2255-70 326 33Total 986 100


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 42 42 46 45 44 4.76 -2.22Total paid-for dailies 39 39 42 41 40 2.56 -2.44National paid-for dailies 39 39 42 41 40 2.56 -2.44Morning paid-for dailies 23 24 29 28 27 17.39 -3.57Evening and afternoon 16 15 13 13 13 -18.75 0.00paid-for dailies


Total paid-for non-dailies 15 16 15 13 13 -13.33 0.00National paid-for non-dailies 15 16 15 13 13 -13.33 0.00

Total Sundays 4 4 5 7 7 75.00 0.00Total paid-for Sundays 4 4 5 6 6 50.00 0.00National paid-for Sundays 4 4 5 6 6 50.00 0.00

Total free Sundays - - - 1 1 - 0.00City - - - 1 1 - 0.00

Source: 2005 ADNPA; WAN assessment; 2006 Athens Daily Newspaper Publishers’Association; 2007-2008 Athens Daily Newspaper Publishers’ Association; WANassessment (free dailies); 2009 WAN-IFRA assessment


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 1,555 1,491 1,522 1,447 1,315 -15.43 -9.12Total paid-for dailies 1,320 1,256 1,280 1,205 1,100 -16.67 -8.71National paid-for dailies 1,320 1,256 1,280 1,205 1,100 -16.67 -8.71Morning paid-for dailies 474 477 523 528 500 5.49 -5.30Evening and afternoon 846 779 757 677 600 -29.08 -11.37paid-for dailies

Total free dailies 235 235 242 242 215 -8.51 -11.16Regional and local 235 235 242 242 215 -8.51 -11.16free dailies

Total paid-for non-dailies 367 325 281 233 230 -37.33 -1.29National paid-for non-dailies 367 325 281 233 230 -37.33 -1.29

Total paid-for Sundays 227 236 244 297 290 27.75 -2.36National paid-for Sundays 227 236 244 297 290 27.75 -2.36

Source: 2005-2007 ADNPA; WAN assessment (free dailies); 2008 ADNPA; 2009 WAN-IFRA assessment

2005 Financial newspapers not included


(mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total paid-for dailies 226.5 213.0 205.8 203.0 191.0 -15.67 -5.91National paid-for dailies 226.5 213.0 205.8 203.0 191.0 -15.67 -5.91Morning paid-for dailies 96.0 96.0 99.0 100.0 97.0 1.04 -3.00Evening and afternoon 130.5 117.0 106.8 103.0 94.0 -27.97 -8.74paid-for dailies

Total paid-for non-dailies 14.1 23.0 22.9 19.0 16.0 13.48 -15.79National paid-for non-dailies 14.1 23.0 22.9 19.0 16.0 13.48 -15.79

Total paid-for Sundays 1.4 10.0 12.7 13.0 12.0 757.14 -7.69National paid-for Sundays 1.4 10.0 12.7 13.0 12.0 757.14 -7.69

Source: Athens Daily Newspaper Publishers’ Association


(Greece, euro)min max


Source: Athens Daily NewspaperPublishers’ Association


(%)Reached





group

less than 16 1.6 3.816-24 10.4 6.325-34 18.6 9.535-44 20.6 11.645-54 22.4 14.355-64 17.0 12.665 + 9.4 12.9Total 100 -



(minutes per day)2003 2004 2005 2006 2007

All newspapers 30 - - - -National newspapers - - - - 63

Magazines 22 - - - 59Radio 90 156 156 186 135Television 230 162 162 168 161Internet - - - 54 60

Source: 2003-2005 National statistics services; 2006 ADNPA; 2007 BARI FOCUS S.A.



(000)

Naftemporiki P. Athanasiadis & Co. Inc. naftemporiki.gr 480




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 882.2 654.8 1,261.7 1,744.1 1,980.0 124.44 13.53Internet users 2,709.5 3,575.5 3,986.9 4,587.3 4,970.7 83.45 8.36




GREECE


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Broadband subscribers 160.1 488.2 1,017.5 1,506.6 1,916.6 1,097.13 27.21


(Greece, euro, bln)2004 2005 2006 2007 2008

GDP 185.2 198.6 214.0 228.9 228.0

Source: 2004-2006 ZenithOptimedia; 2007 ADNPA; General Secretariat of NationalStatistical Service of Greece



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Greece, euro, 000)2004 2005 2006 2007 2008

GDP per capita 16.7 17.9 19.2 20.9 21.0

Source: 2004-2006 ZenithOptimedia; 2007 ADNPA; General Secretariat of NationalStatistical Service of Greece


(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 1.12 1.12 1.18 1.07 0.91 0.80 0.74 0.72



(Greece, euro, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 1,139 1,243 1,379 1,437 1,227 1,105 1,050 1,050Newspapers 332 377 434 406 382 344 327 327Magazines 807 886 945 1,031 845 761 723 723

Television 693 705 855 784 627 532 489 489Radio 94 96 115 189 151 121 109 109Cinema 15 16 17 16 15 14 13 13Outdoor 265 306 330 184 202 202 212 212Total 2,206 2,386 2,696 2,610 2,222 1,974 1,873 1,873

Source: Media Services, ZenithOptimedia

Includes agency commission (15%); excludes production costs; excludes classifiedadvertising; before discounts (except TV); the figures exclude certain advertisingcategories that receive unusually high discounts; cinema is ZenithOptimedia estimate; no data available for Internet


(Greece, euro, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total dailies 314 324 364 406 384 22.29 -5.42Total paid-for dailies 271 270 287 326 312 15.13 -4.29

Morning paid-for dailies 74 88 90 106 90 21.62 -15.09Evening and afternoon 197 182 197 220 222 12.69 0.91paid-for dailies

Total free dailies 43 54 77 80 72 67.44 -10.00Total non-dailies 13 27 25 27 29 123.08 7.41Total Sundays 2 16 27 37 40 1,900.00 8.11Total paid-for Sundays - 16 27 37 35 - -5.41Total free Sundays - - - - 5 - -

Source: ADNPA



Total 34,137 36,099 38,316 39,434 36,370

Source: ADNPA


Advertising sector Expenditure 1

(Greece, euro, 000)

Financial organizations 59,380Public sector 46,869Entertainment 43,908Publishing 33,424Travel agencies 31,496Various off categories 19,684Mobile communications 19,616Services 17,980Communications 17,811Private cars 17,330

Source: Media Services S.A.1 All Newspapers


Advertiser Expenditure (Greece, euro, 000)

OPAP SA (Betting) 16,245Piraeus Bank SA 13,559EFG Eurobank SA 7,414Cosmote 6,485National Bank SA 5,894Modern Times SA (Publishing) 5,751Post Bank SA 5,578Alpha Bank SA 4,896Marfin Egnatia Bank SA 4,672Ministry of Finance 4,664

Source: Media Services S.A.




Pegasus Publishing SA 38,902Lambrakis Press SA 35,590C K Tegopoulos SA 28,296Kathimerini SA 15,724Sportday SA 14,321Press Foundation 14,105Th. M. Nikolaidis SA 8,945Up Publishing SA 8,819Daily Press SA 8,201Kouris Media Group Ltd 4,884

Source: ADNPA


GREECE

Title Founded Language Publishing company Circulation Readership Cover price Format Full page ad rateusual max usual max Mono Colour

(year) (000) (000) (Greece, euro) (USD) (Greece, euro)

Ta Nea 1931 Greek Lambrakis Press S.A. 59 191 1.30 1.60 2.08 2.18 Tabloid 9,600 14,350Kathimerini 1919 Greek Kathimerini S.A. 53 110 1.00 3.50 1.36 4.78 Broadsheet 6,800 9,200Eleftherotypia 1975 Greek C.K.Tegopoulos S.A. 46 176 1.30 4.00 2.08 5.46 Tabloid 8,100 11,600To Vima 1922 Greek Lambrakis Press S.A. 46 63 2.00 4.25 2.73 5.80 Tabloid 14,000 19,100Ethnos 1981 Greek Pegasus Publishing 42 170 1.30 4.00 2.08 5.46 Tabloid 7,600 9,600Sportday 2005 Greek Sportday S.A. 41 190 1.30 1.50 2.08 2.05 Tabloid - 7,700Eleftheros Typos 1983 Greek Press Foundation 32 130 1.30 5.00 2.08 6.80 Tabloid 7,000 10,000To Fos ton Spor 1968 Greek Th.M.Nikolaidis S.A. 25 - 1.00 1.00 1.36 1.36 Broadsheet 4,000 5,200Protathlitis 1998 Greek Up Publishing S.A. 25 - 1.00 1.00 1.36 1.36 Tabloid - 1,500Goal News 2002 Greek Sport Plus S.A. 24 117 1.00 1.00 1.36 1.36 Tabloid 6,926 7,800

Source: ADNPA; ZenithOptimedia


Title Language Publishing company Circulation Readership Format Full page ad rate Mono Colour

(000) (000) (Greece, euro)

City Press 1 Greek K.M.P. Publications S.A. 100 333 Tabloid 12,000 12,000Metro 2 Greek Metrorama Ltd 100 332 Tabloid 16,000 16,000Metropolis 2 Greek Metropolis Publications S.A. 10 167 Tabloid 10,500 10,500Magnesia 3 Greek - 5 - - - -

Source: ZenithOptimedia; FDN Newsletter; WAN-IFRA assessment (circulation Metropolis and Magnesia)1 Athens, Thessaloniki2 Athens3 Published in the town of Volos, distributed Tuesday-Saturday; circulation figures represent print-run


(%)2002 2003 2004 2005 2006

Single copy sales 26 26 26 26 26Home deliveries 35 35 35 35 35Postal deliveries 17 18 18 18 18

Source: ADNPA


11. Research (2009)

Circulation is audited by1) Argos S.A. Distribution Agency2) Europi S.A. Distribution Agency

Readership is measured byFOCUS BARI S.A.

Source: ADNPA

Tax %

Standard VAT 19VAT on:Single copy sales 4.5Subscription sales 4.5Advertising 19Newsprint 19Composition 4.5Plant 4.5


Source: ADNPA

12. Taxes (2009)





Source: ADNPA


GREECE

Discount rate % 1 Reduction % National Regional

Newspapers Newspapers

Post 2

up to 20 g - 80 90up to 100 g - 79 89up to 250 g - 72 86up to 500 g - 61 80up to 1,000 g - 53 77up to 2,000 g - 25 62

Telephone 3

110,000–500,000 17.5 - -500,001–1,200,000 35 - -1,200,001–4,200,000 52 - -4,200,001+ 105 - -

Telegraph 50 - -Telex 50 - -

Source: ADNPA

Air Transportation: a) 50% of the air transportation fares of daily and weeklynewspapers to EU countries, USA and Canada is paid by the State; b) Approximately95% of the air fares of daily and weekly newspapers to remote islands and certaininland destinations is also paid by the State.1 Charge units deducted (applies for telephone discounts)2 The reductions apply on post for newspapers and magazines3 Each newspaper is allowed a discount for monthly telephone charges based onits circulation



Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?Shares may only be registered by individuals. Article 40of Law 1806/1988 allows the court to scrutinise thefinances of press and broadcast companies. Ownershipdetails must be submitted annually under pain ofimprisonment. Article 24 of Law 1746/1988 strictlycompels individual shareholder registration except forforeign or domestic investment funds holding up to2.5% shares, state-owned concerns and official political-party organs. Relevant legislation and regulation appliesto listed publishing companies.


Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?Law 3592 effective as of July 7, 2007 permits cross-media control and/or ownership in Greece. The law hasintroduced principals of “concentration control” and“dominant position” as combined weighing factors inissues related to media companies operation.

A concentration control of media entreprises is onlyprohibited when holding a dominant position isascertained in one or more undertakings participating insuch a concentration, or if a dominant position isacquired due to such a concentration.

An existing dominant position (before concentration) isallowed, but must not be abused, as provided in Law3592. A concentration control in the form of dominantposition is carried out, according to the provisions ofincumbent legislation, including the competition law,when the following market shares (advertising revenueand other income) are exceeded as follows:

35% A or B or C or D, where A = newspapers, B =periodicals, C = radio, and D = television

32% A+B or A+C or A+D or B+C or C+D

28% A+B+C or A+B+D or A+C+D or B+C+D

25% A+B+C+D

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?The law 3310/2005, which had introduced strictlimitations to media ownership, has been amended (orrather frozen) under EU pressure. According to thesystem introduced by the law 3310/2005 (that purportsto implement art. 14 paragraph 9 of the GreekConstitution of 2001), no owner, “main shareholder”,member of the board or officeholder of any mediacompany could have these same capacities in anycompany which enters into agreements with public-sector entities. A tight prohibition covers anyagreements of public-sector entities with mediacompanies or owners, “main shareholders” etc. of thesame. As “main shareholders” were deemed those whoare among ten largest shareholders or who hold thelargest voting blocks, or possess more than one percentof the capital. Any use of offshore companies to holdparticipations in media companies was prohibited,while their shares had to be nominative/registered – andin case of participations through corporate entities, theshares of such companies had to be nominative, too.Moreover, all companies who have business dealingswith public-sector entities had to comply with similarmandatory requirements, with partial wavers for foreigncompanies and mutual funds, banks etc.

As of March 2006, the EU Commission has called uponGreece to reply to accusations, according to which it wasagain applying de facto the above mentioned restrictiveprovisions, lest the earlier procedures that had been startedbefore the ECJ be re-activated.In April 2006, the Government aired a new draft law,which is to be introduced to Parliament before summer2006. The new proposed legislation is based on theconcept of “dominant position”, but sanctions for usingdominant position arise only when there is an “abuse” ofthe dominant position. A dominant position may befound when the audience share (circulation, viewership)in the relevant market is higher than a threshold to be


GREECE

fixed. The thresholds discussed vary around 30%-33%.The relevant market may be geographic (national-regional-local), or content-based (information or other),or technological (broadcast or subscription). Dominantposition may be found also whenever advertising spaceor time grows above a threshold (regardless the content).As to when abuse may be found, there are threepossibilities: 1) direct or indirect price-fixing or otherinequitable terms; 2) application of unequal terms insimilar situations; 3) unjustified tied sales. Sanctionsmay be also imposed in cases of concentration or ofcollusive practices (the turnover thresholds forconcentration are to be fixed). Cases are to be judgedand sanctions to be imposed by the CompetitionAuthority, upon information that a dominant positionexists and is abused on the part of the Radio-TelevisionAuthority. The proposed draft law prohibits control ofmore than one electronic media (radio, TV) of the same

category (information or other content), but allows upto 100% ownership on information media (while up tonow there was a 25% ceiling, often circumvented).Information media are further split into those of“general content” and “specific scope” (political,economic, sports, etc). As to what constitutes “control”,the strict provisions of the earlier legislation will be used.

Is there an antitrust law limiting concentration in the dailypress?Concentration in the daily press shall be limited to 35%of market share (see answer to the question 4).


Source: ADNPA


Owners Regional TVs National TVs Regional Newspapers National Newspapers

Regional TVLicensees - Not allowed Allowed Allowed

National TVLicensees Not allowed - Allowed Allowed

Regional NewspaperOwners Allowed Not allowed - Allowed

National NewspaperOwners Not allowed Not allowed Allowed -

Satellite TVBroadcasters Not allowed Not allowed Allowed Allowed

Foreign Investors up to 25% up to 25% Allowed Allowed

Source: ADNPA


HUNGARY

General economic situation Hungary has made the transition from a centrallyplanned to a market economy, with a per capita incomenearly two-thirds that of the EU-25 average. The privatesector accounts for more than 80% of GDP in Hungary.Foreign ownership of and investment in Hungarianfirms is widespread, with cumulative foreign directinvestment totalling more than USD200 billion since1989. The government’s IMF-mandated austeritymeasures, imposed since late 2006, have reduced thebudget deficit from over 9% of GDP in 2006 to 3.3%in 2008. Hungary’s impending inability to service itsshort-term debt, brought on by the global credit crunchin late 2008, led Budapest to seek and receive an IMF-arranged financial assistance package worth over USD25billion. The inflation rate was estimated at 4.3% in2009.

Performance of newspapers vs. other media An active and independent media expressed a widevariety of views without restriction; however, thetraditionally nonpartisan state-owned radio andtelevision stations, in some instances took into greaterconsideration the concerns of the main opposition party.

In November 2009, the National Television and RadioCommission (ORTT) unexpectedly pulled the plug onHungary’s only two nationwide commercial radiostations, Slager Radio, and its smaller rival networkDanubius Radio. Their frequencies were given to twobroadcasters with close ties to the ruling Socialists andthe main centre-right opposition party Fidesz. ORTTpresident Laszlo Majtenyi resigned in protest. US-basedEmmis Communications had won the broadcastinglicence for Slager Radio in 1997. Emmis submitted a license-renewal application in late September 2009,promising 11.5% of net revenue as a license fee.Danubius Radio’s operators pledged 15%. But rivalsoffering between 50 and 55 percent of revenue won thebids. Media observers, however, believe they will funnelmoney to political parties rather than putting it into thepublic purse.

Advertising In 2009 publishers in Hungary created a foundationdedicated to carrying out public service advertisingcampaigns aimed at improving Hungarian society. Thecampaign by the Médiaunió Foundation, which focuseson healthcare and the importance of individualresponsibility, will involve more than 200 media outletsand provide HUF6 billion (EUR20 million) ofadvertising space. The aim of the campaign is to raiseawareness, in measurable terms, and to spark action onthe national level.

Online / Digital Publishing There were no government restrictions on access to the

Internet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail.

Ownership Soon after the fall of Communism, the first financiallypowerful foreign investors, many of them from German-speaking countries, appeared on the scene in theHungarian media market, including names likeSpringer, Maxwell and Hersant or Bertelsmann andRingier.

The Swiss publisher Ringier was a comparative late-comer, first appearing in Hungary in 1994, but itgradually cornered a substantial share of the market.Today, Ringier owns the most popular tabloid paper, Blikk, 49% of the biggest national qualitynewspaper, Népszabadság, the highest-selling sportsnewspaper, Nemzeti Sport, and various magazines.

Bertelsmann offloaded Népszabadság in order to be ableto retain its stake in the private TV channel, RTL Klub,the reason for this being that the HungarianCompetition Authority (GVH) does not allow a singlecompany to own more than 65% of the entire mediamarket.

Media / Press Laws The constitution and law provide for freedom of speechand of the press, and the government generally respectedthese rights in practice. An independent press, aneffective judiciary, and a functioning democraticpolitical system combined to ensure freedom of speechand of the press; however, there were charges that thestate-owned Public Service Broadcasting was politicallyinfluenced due to improper media regulations.

Individuals could criticize the government in public orprivate without reprisal; however, individuals, includingjournalists, can be held liable for their publishedstatements or for publicizing libelous statements madeby others. Libel is a criminal offense. Officials continuedto use the libel laws to claim compensation for perceivedinjuries to their character.

On October 1, 2009, police opened an investigation,including taking fingerprints, of a journalist from thenewspaper Magyar Hirlap after State Secretary LaszloKeller accused him of defamation in two articles by thejournalist that were published on January 28, 2009, andFebruary 2, 2009. In the articles the journalisthighlighted a ruling by the Constitutional Court,published in December 2008, that revealed a legislativemistake associated with Keller. In response to theinvestigation, the journalist launched an officialcomplaint against the police, arguing that in the case of



HUNGARY

a criminal charge filed by a private citizen, they were notauthorized to investigate or fingerprint a suspect withoutthe assistance of a state prosecutor. The police apologizedfor the investigation and the fingerprinting procedure;they initiated disciplinary measures against the officerdeemed responsible. The police investigation into thelibel case was pending at year’s end.

The criminal code includes provisions against incitementof hatred and hate-inspired violence. Any person whopublicly incites hatred against any national, ethnic, orracial group or certain other groups of the population isguilty of a misdemeanor punishable by imprisonment forup to three years. Additionally, any person who assaultssomeone because he belongs to a national, ethnic, racial,or religious group is guilty of a felony punishable byimprisonment up to five years. An amendment that cameinto force on January 1 included a provision makingpreparations for the use of force against any member ofthe community a misdemeanor punishable byimprisonment for up to two years.

Courts have failed to convict persons of inciting hatredwhen no physical assault followed. Under the civil code,a person specifically targeted by hate speech may file a civil suit, but, as long as the speech remains abstractand does not mention any specific individual, there is nolegal recourse.

The law prohibits the public display of certain symbols,including the swastika, the hammer and sickle, the five-pointed red star, and the arrow cross, a symbol associatedwith the country’s fascist World War II-era government.

The National Television and Radio Commission(ORTT) is responsible for monitoring public andcommercial broadcasting outlets and for grantinglicenses and frequencies. The president and primeminister jointly nominate the head of the six-membercommission, and the National Assembly appoints thefive other members. The board monitors newsbroadcasts to ensure equal treatment of all politicalparties.

Source: CIA – The World Factbook; US State Department; Deutsche Welle; Wien International


Age All individuals000 %

0-14 1,460 1415-64 7,020 7040-49 1,340 1365 + 1,555 15Total 10,035 100

Source: GfK-Ipsos: NRS 2009 Q4;National Statistical Office

2.a Population by age and sex(2009)


A+B 1,555 183 715 18 840 185C1 655 77 317 8 338 75C2 1,808 212 823 207 985 217D 1,523 179 768 193 755 167E 2,971 349 1,358 341 1,613 356Total 8,515 100 3,983 100 4,532 100

Source: GfK-Ipsos: NRS 2009 Q4



1 person 1,724 202 people 2,577 303 people 1,757 214 people 1,539 185 or more people 919 11Total 8,515 100





Without children 5,840 68With children 2,674 31Total 8,515 100



Age Housewives000 %

Under 25 269 625-34 806 1735-44 897 1845-54 848 1755-64 854 1765 + 1,183 24Total 4,858 100



HUNGARY

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 39 31 32 30 32 -17.95 6.67Total paid-for dailies 38 30 30 29 31 -18.42 6.90National paid-for dailies 16 11 11 11 11 -31.25 0.00Regional and local 22 19 19 18 20 -9.09 11.11paid-for dailiesMorning paid-for dailies 38 30 30 29 31 -18.42 6.90

Total free dailies 1 1 2 1 1 0.00 0.00National free dailies 1 1 1 1 1 0.00 0.00Regional and local - - 1 - - - -free dailies

Total free non-dailies - - - 3 - - -National free non-dailies - - - 1 - - -Regional and local - - - 2 - - -free non-dailies

Total paid-for Sundays 6 3 3 4 4 -33.33 0.00National paid-for Sundays 3 3 3 4 4 33.33 0.00Regional and local 3 - - - - - -paid-for Sundays

Source: 2005 Szonda Ipsos; 2006-2009 Magyar Lapkiadok Edyesulet


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 1,800 1,775 1,670 1,630 1,521 -15.50 -6.69Total paid-for dailies 1,460 1,451 1,331 1,310 1,239 -15.14 -5.42National paid-for dailies 740 705 620 620 582 -21.35 -6.13Regional and local 720 746 711 690 657 -8.75 -4.78paid-for dailiesMorning paid-for dailies 1,460 1,451 1,331 1,310 1,239 -15.14 -5.42

Total free dailies 340 324 339 320 282 -17.06 -11.88National free dailies 340 324 322 320 282 -17.06 -11.88Regional and local - - 17 - - - -free dailies

Total non-dailies - 1,784 - - - - -Total free non-dailies - - - 935 - - -

Regional and local - - - 935 - - -free non-dailies

Total paid-for Sundays 440 430 400 457 438 -0.45 -4.16National paid-for Sundays 290 430 400 457 438 51.03 -4.16Regional and local 150 - - - - - -paid-for Sundays

Source: 2005 Szonda Ipsos; 2006-2007 Magyar Lapkiadok Edyesulete; 2008-2009Matesz (Hungarian ABC)


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 541.0 529.0 492.0 476.6 451.0 -16.64 -5.37Total paid-for dailies 445.0 447.0 412.0 396.6 381.3 -14.31 -3.86National paid-for dailies 222.0 220.0 192.0 189.6 180.8 -18.56 -4.64Regional and local 223.0 227.0 220.0 207.0 200.5 -10.09 -3.14paid-for dailiesMorning paid-for dailies 445.0 447.0 412.0 396.6 381.3 -14.31 -3.86

Total free dailies 96.0 82.0 80.0 80.0 69.7 -27.40 -12.87National free dailies 96.0 82.0 80.0 80.0 69.7 -27.40 -12.87

Total free non-dailies - - - 46.8 - - -Regional and local - - - 46.8 - - -free non-dailies

Total paid-for Sundays 33.0 22.0 20.0 22.9 22.3 -32.42 -2.62National paid-for Sundays 21.0 22.0 20.0 22.9 22.3 6.19 -2.62Regional and local 12 - - - - - -paid-for Sundays

Source: 2005 Szonda Ipsos; 2006 Magyar Lapkiadok Edyesulete; 2007-2009 Matesz(Hungarian ABC)


(Hungary, forint, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies - 33,719 32,585 39,202 37,996 - -3.08National paid-for dailies - 19,244 18,259 22,116 20,824 - -5.84Regional and local - 14,475 14,326 17,086 17,172 - 0.50paid-for dailies

Total paid-for Sundays - 1,993 2,000 2,342 2,165 - -7.56National paid-for Sundays - 1,993 2,000 2,342 2,165 - -7.56

Source: Magyar Lapkiadok Edyesulete

4.b Sales revenues

(%)2005 2006 2007 2008 2009


Postal deliveries 65.0 61.7 65.0 64.0 65.0Bulk 0.7 0.7 1.0 1.0 1.0Free distribution 1.8 - 0.5 2.0 1.0Other - - - - 1.0Total 100 100 100 100 100

Source: 2005-2007 Magyar Lapkiadok Edyesulete; 2008-2009 Matesz (HungarianABC)


(Hungary, forint)min max




(%)Reached


Source: GfK-Ipsos: NRS


% % daily reachof readership within age

group

less than 16 2 2416-24 13 3725-34 16 4235-44 17 4745-54 17 5255-64 18 5665 + 19 43Total 100 45.4

Source: GfK-Ipsos: NRS


(000)2005 2006 2007 2008 2009

Total dailies - - - 3,931 3,874Total paid-for dailies - - - 3,740 3,627Total free dailies - - - 466 501Total 100 100 100 100 100

Source: GfK-Ipsos NRS 2008-2009 Q4


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 24 25 30 30 35 45.83 16.67Non-dailies - - - 3 - - -Sundays 1 2 2 2 2 1 -50.00 -50.00

Source: Magyar Lapkiadok Edyesulete1 The other three Sunday online editions belong to dailies

6.a Online editions


HUNGARY


Total dailies - - - 1,706 1,828 - 7.15Total paid-for dailies - - - 1,677 1,822 - 8.65Total free dailies - - - 63 73 - 15.87

Source: Ipsos-Gemius online audience measurement

Dec 2009


Newspaper Publishing company Website Unique visitors per month Page impressions per month(000) (000)

Blikk Ringier blikk.hu 565 17,614Népszabadság Népszabadság nol.hu 449 6,938Bors HídRádió borsonline.hu 404 9,617Nemzeti Sport Ringier nso.hu 376 24,057Világgazdaság Axel Springer vg.hu 309 2,212

Source: Ipsos-Gemius online audience measurement


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(Hungary, forint, bln)2005 2006 2007 2008 2009

GDP 22,043 23,562 25,374 26,826 26,600

Source: 2005 ZenithOptimedia; 2006-2007 Magyar Lapkiadok Edyesulete; 2008-2009 National Statistical Office


(Hungary, forint, 000)2004 2005 2006 2007 2008

GDP per capita 2,049 2,185 2,318 2,533 2,674

Source: 2004-2005 ZenithOptimedia; 2006-2007 Magyar Lapkiadok Edyesulete;2008 National Statistical Office



(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.71 0.71 0.72 0.78 0.64 0.62 0.60 0.58


(Hungary, forint, mln) 2005 2006 2007 2008 2009 2010 2011 2012


Television 60,447 62,178 70,562 80,630 59,825 61,324 63,641 68,733Radio 6,127 6,804 7,845 8,895 7,650 7,200 7,470 7,560Cinema 1,191 1,152 853 884 1,248 1,202 1,055 1,068Outdoor 15,200 19,000 19,093 20,245 18,615 18,676 18,860 19,044Internet 6,900 10,500 15,300 21,800 23,451 25,932 27,842 29,160Total 155,833 168,314 183,017 205,345 171,947 176,858 182,918 192,055

Source: Mediagnozis; TNS Media Intelligence; ZenithOptimedia

Excludes agency commission; excludes production costs; after discounts; includesclassified; Internet includes display only


(Hungary, forint, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 53,786 53,000 53,988 57,335 48,486 -9.85 -15.43Total paid-for dailies 48,077 47,406 48,930 52,207 43,708 -9.09 -16.28National paid-for dailies 21,123 17,706 17,680 17,514 15,470 -26.76 -11.67Regional and local 26,954 29,700 31,250 34,692 28,237 4.76 -18.61paid-for dailiesMorning paid-for dailies 48,077 47,406 48,930 52,207 - - -

Total free dailies 5,709 5,593 5,058 5,127 4,778 -16.31 -6.81National free dailies - - 5,058 5,127 4,778 - -6.81

Total free non-dailies - - - 3,500 - - -National free non-dailies - - - 3,500 - - -

Total paid-for Sundays 1,073 1,700 1,393 1,507 1,347 25.54 -10.62National paid-for Sundays 1,073 1,700 1,393 1,507 1,347 25.54 -10.62

Total online newspapers - - - 1,500 - - -Online dailies - - - 1,500 - - -

Source: 2005-2008 TNS-MI; 2009 Kantar Media



Total 1 39,978 40,240 40,080 39,805 33,972

Source: 2005 TNS-MI; 2006-2009 Magyar Lapkiadok Edyesulete1 Colour; no data available on B/W advertising



HUNGARY

(%)2005 2006 2007 2008 2009

Display 69 65 65 66 64Classified 25 26 25 18 18Inserts 5 6 5 10 8Online 1 3 5 6 8Total 100 100 100 100 100



Advertising sector Expenditure (Hungary, forint, 000)

Trade 9,271,320Classified 5,816,481Services 5,572,997Finance 3,983,288Media 3,680,412Car, Automotive 3,447,993Culture 2,931,106Food 2,782,131IT, Telecom 2,146,811Tourism 1,796,436

Source: Kantar Media

Ratecard prices


Advertiser Expenditure (Hungary, forint, 000)

Aldi 3,826,939Penny Market 1,311,767M-telekom 1,170,837National Development 876,446AgencyLidl 718,718National Lottery 709,266Hovany Kft (Car dealer) 701,935Telenor 544,492Mediamarkt 543,622Erste bank 539,111

Source: Kantar Media

Ratecard prices

7.g Top newspaper advertisers(2009) Publishing company Total circulation Total revenue

(000) (Hungary, forint, 000)

Ringier 96,511 13,006,514Axel Springer 75,234 13,336,019Metropol (MTG) 68,817 2,627,975PLT (WAZ) 59,285 7,750,014Inform Média 40,146 6,711,816Lapcom (DMG) 36,827 7,019,239Hídrádió 31,008 3,311,709Népszabadság 27,751 6,441,215Nemzet Kiadó 15,339 3,227,322Népszava 5,959 1,260,367

Source: TNS-MI; Matesz


Title Founded Language Publishing Circulation Readership Cover price Format Full page ad ratecompany usual max Colour

(year) (000) (000) (Hungary, forint) (Hungary, forint)

Blikk 1994 Hungarian Ringier 206 1 098 80 110 Berliner 3,976,000Népszabadság 1957 Hungarian Népszabadság 90 274 160 190 Berliner 2,520,000Bors 2001 Hungarian Hídrádió 88 268 90 110 Tabloid 932,880Kisalföld 1945 Hungarian Lapcom (DMG) 72 277 125 - Berliner 2,376,000Nemzeti Sport 1903 Hungarian Ringier 71 343 125 135 Berliner 1,678,887Vas Népe 1947 Hungarian PLT (WAZ) 51 173 90 - Berliner 2,071,475Zalai Hírlap 1947 Hungarian PLT (WAZ) 51 172 90 - Berliner 2,049,670Magyar Nemzet 1938 Hungarian Nemzet Kiadó 50 183 145 - Berliner 2,950,000Kelet-Magyarország 1947 Hungarian Inform Média 47 170 95 - Berliner 2,073,600Napló 1947 Hungarian PLT (WAZ) 43 153 90 - Berliner 2,014,782

Source: GfK-Ipsos NRS 2009 Q4; Matesz; publishers


Title Founded Language Publishing company Circulation Readership Format Full page ad rate Colour (year) (000) (000) (Hungary, forint)

Metropol 1998 Hungarian MTG Metro Gratis 282 501 Tabloid 3,700,000(Metro International)

Source: GfK-Ipsos NRS 2009 Q4; Matesz; publisher


Change (%)2005 2006 2007 2008 2009 1 2009/05 2009/08

Total number of journalists 2,000 1,900 2,050 2,200 1,800 -10.00 -18.18Number of part-time journalists 400 600 650 1,000 800 100.00 -20.00

Total number of employees 4,000 3,900 4,100 5,000 3,500 -12.50 -30.00

Source: Magyar Lapkiadok Edyesulete1 Estimate; excluding online journalists

9.a Employment

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 45 34 34 34 32 -28.89 -5.88Broadsheets 42 - - - - - -Tabloids 3 5 5 5 3 0.00 -40.00

Berliner - 29 29 29 29 - 0.00




HUNGARY

(%)2005 2006 2007 2008 2009

Single copy sales 38 38 38 39 35Postal deliveries 41 41 43 44 42



(Hungary, forint)2004 2005 2006 2007 2008

Single copy - 32.5 32.0 36.0 35.0Subscription - 34.0 35.0 39.0 50.0



11. Research (2009)

Circulation is audited byMagyar Terjesztés Ellenörzési Szövetség (MATESZ, orHungarian Audit Bureau of Circulation),www.matesz.hu

Readership is measured byGfK and Ipsos - joint project

MethodologyFace-to-face interview (CAPI), 31,560 interviews peryear; quarterly report, recent reading method


Tax %




12. Taxes (2009)




Are there any direct subsidies? No.









Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?Yes. Regional newspaper publishers may not hold sharesin regional radio or television broadcasters whose signalareas overlap the publisher’s circulation area by morethan 80%. National newspapers may not acquireholdings in any broadcaster over 25%.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?No





HUNGARY




No holding in stations withmore than 20% signal

overlap-

No holding permitted if more than 80% overlap

between circulation and signal areas

- -

National TVLicensees No holding permitted No other holding permitted - No holding permitted No holding permitted




- - - -


- No holding permitted - - -

Local Radio Licensees No holding in stations with

more than 20% signal overlap

-



- -

National Radio Licensees No holding permitted No holding permitted - No holding permitted No other holding permitted

Foreign Investors - At least 26% of shares must be Hungarian-owned - -

At least 26% of shares in national radio stations

must be Hungarian-owned



ICELAND

General economic situation Iceland’s Scandinavian-type social-market economycombines a capitalist structure and free-marketprinciples with an extensive welfare system, includinggenerous housing subsidies. The economy dependsheavily on the fishing industry, which provides 40% ofexport earnings, more than 12% of GDP, and employs7% of the work force. Abundant geothermal sourceshave attracted substantial foreign investment in thealuminium and hydropower sectors and boostedeconomic growth, although the financial crisis has putseveral investment projects on hold. Domestic banksexpanded aggressively in foreign markets, and consumersand businesses borrowed heavily in foreign-currencyloans, following the privatization of the sector in theearly 2000s. Much of Iceland’s economic growth inrecent years came as the result of the rapid expansion ofthe country’s financial sector. Worsening global financialconditions throughout 2008 resulted in a sharpdepreciation of the krona compared to other majorcurrencies. The foreign exposure of Icelandic banks,whose loans and other assets totalled more than 10 timesthe country’s GDP, became unsustainable. Iceland’s threelargest banks collapsed in late 2008. A protractedrecession is expected in 2010 with GDP likely tocontract and unemployment likely to surpass 10%. The inflation rate was estimated at 12% in 2009.

Performance of newspapers vs. other media National radio and TV services are provided by theIcelandic National Broadcasting Service (RUV), a public-service broadcaster owned by the state.

The RUV is obliged to promote the Icelandic languageand the nation’s history and cultural heritage. Its servicesare funded by a licence fee, and by advertising revenues.

There are two commercial television channels andnumerous private radio stations. CNN, Fox News, SkyNews, BBC News and other international channels areavailable via a widely-subscribed cable system.

Performance of different types of newspapers In economic terms, the newspaper sector is the largestmedia sector in Iceland. In 2007, the revenue (copy salesand advertising sales) totalled EUR96.3 million. In 2007advertising contributed 82 per cent of newspaperrevenue, up from 63 per cent in 2000.

The distribution of newspaper revenue has been relativelystable between dailies and non-dailies over the years, withdailies accounting for some 85-90 per cent of the total.

In 2008, there were three daily national newspaperspublished in Iceland, two paid-for and one free,distributed door-to-door. All three were published inReykjavik.

Paid-for daily Morgunbladid, founded in 1913, has a strong base of subscribers and has traditionally beenthe newspaper of record, with a circulation of about30,000 on weekdays and up to 50,000 on weekends.Morgunbladid is published seven days a week.

The popular tabloid-like DV became a daily again earlyin 2007 after having been published as a weekly for lessthan year. In 2008, the newspaper was issued four days a week, with a circulation of about 10,000.

Free daily Frettabladid was founded in 2001. It is thelargest newspaper with a circulation of above 100,000.Frettabladid has met increased distribution costs byconfining door-to-door distribution to the capital regionand the town of Akureyri.

Since free daily newspapers were introduced in 2001,they have come to greatly outnumber paid-for dailies,with eight of every ten circulated copies. Total dailycirculation (paid-for and free) leaped from 91,000 copiesin 2001 to 288,000 copies in 2007.

In 2008, there were twenty non-daily newspapers inIceland, which all appeared once a week. Nine of thenewspapers were paid-for, and eleven were distributedfree of charge. All the newspapers, both paid-for andfree, were regional and local newspapers, except for one paid-for business newspaper, Vidskiptabladid,which incorporated the weekly fishing news, Fiskifrettir.

The business journal Vidskiptabladid, until 2008 a dailynewspaper, is published only on Fridays and has a circulation of 30,000 copies. It is aimed at upscalereaders in the commercial, financial, and governmentsectors and it is styled after the Financial Times ofLondon.

Newspaper launches / closuresFollowing the economic collapse of late 2008, thenumber of dailies has dropped from five to three. Thefirst title to surrender was the free daily 24 stundir(initially Bladid). Then the business dailyVidskiptabladid was reverted to weekly publication, afterhaving been published as a daily since early 2007.Existing dailies have cut down number of pages per issueand frequency of publication. The non-daily regionaland local press has also suffered from the fall inadvertising revenue of the media and general economichardships. Several newspapers have suspended or ceasedpublication during the year.

Advertising Since the launch of free dailies onto the market in 2001,newspapers’ advertising revenue has increasedappreciably. Advertisers have welcomed the free dailies as



ICELAND

new channels for advertisements, offering high display atcompetitive cost.

Circulation The paid-for newspapers are sold both on subscriptionand single-copy sale. Subscriptions predominate, withsome eight of every ten copies sold.

Most of the regional and local newspapers are small,varying in size from four to 24 pages, with an average of10 pages; they are either of tabloid or a smaller format,and the circulation of many is quite limited. Thecirculation varies considerably, from some 13,000 copiesdown to 300 copies, around 3,400 copies on average.

Readership Newspaper readership in Iceland is very high.Morgunbladid is read daily by over 40 per cent ofIcelanders aged 12-80. At mid-year 2007, daily readingof DV measured seven per cent. Since its foundation in2001, the free daily Frettabladid has become the mostwidely read newspaper in the country, with over 60 percent daily readership an average.


All the dailies in Iceland have an active presence online,offering readers frequent update of news, extra featuresand assorted services through their websites, such ashosting of blogs and videos from readers, etc. Visits tonewspapers’ websites are quite common: six of every tenof age 12-80 visit the website of Morgunbladid, mbl.is,each day, and three to four of every ten visit visir.is, thejoint website of Frettabladid and other media in the 365midlar ehf. group. Over the years, these websites havebeen the most highly visited sites according to a harmonized web measure. The editorial boards operateparallel to, and semi-independently of the newsrooms of the print editions. Most weekly newspapers, too, areactive on the web. The newspapers’ websites areredominantly financed by the sale of space foradvertisements, as users have been reluctant to pay formedia content on Internet.

Most of the regional and local newspapers have an activepresence online. Judging by the traffic to some of thesites, the service is widely used by locals and highlyappreciated by those who have moved somewhere elsebut still want to keep up with news and informationfrom their former surroundings.

Ownership Ownership of newspapers in Iceland is entirely indomestic hands and has always been. By and large, daily

newspaper ownership is divided among three blocks ofowners, all of whom are representatives of broaderfinancial interests and familial constellations.Convergence in ownership of daily newspapers andother media is the rule, and horizontal and verticalintegration is quite high, reflecting the efforts of mediacompanies to exploit economies of scale and scope.

Arvakur is Iceland’s second-largest media company byturnover, after the 365 midlar ehf. In 2007, it noted a total turnover of EUR47.5 million. The principaloccupation of the company is newspaper publicationand printing. Arvakur has been the publisher ofMorgunbladid since 1919, when the newspaper wasacquired from the founders by a tightly knit group ofmerchants and business associates. For decades,publishing and printing of Morgunbladid was the soleactivity of Arvakur. In 2006, however, the companyacquired the free daily, 24 stundir, which shortlythereafter fused with the parent company. 24 stundirceased publication, however, in October 2007, followingthe collapse of the Icelandic economy. In 2006, theentrepreneur Bjorgolfur Gudmundsson, a leadingentrepreneur, banker and industrialist in Iceland,became the single largest shareholder of Arvakur, directlyand indirectly through various holdings. He also ownedthe country’s largest book publishing house, Edda hf.After the economic collapse in autumn 2008, newowners took over Arvakur and the publication ofMorgunbladid in February 2009.

Frettabladid, the free daily, is published by 365 midlarehf., which since late 2008 has Jon Asgeir Johannessonas its main shareholder. Until recently 365 midlar ehf.was a daughter company of 365 hf., the largest mediagroup in Iceland with a noted turnover in 2007 ofEUR141.3 million. The 365 hf. was itself the result of restructuring of the former media andtelecommunication group Dagsbrun hf., which afterhaving overextended itself financially was split up late in2006 into two separate companies: the media branch365 hf. and a telecommunication and IT branch, bothheaded under the mother company 365 hf. Besidesnewspaper publishing, 365 hf. was active in broadcasting(radio and TV), theatrical film release and exhibition,release and distribution of video, music, video andcomputer games through various subsidiaries. Thecompany was in a leading position in many of theirfields of activity.

In Iceland, until mid-year 2008, Baugur was the ownerof the tabloid-like newspaper DV (90%), the magazinepublishing house Birtingur utgafufelag ehf. (the largestconsumer magazine publisher in Iceland) and owner of a book publishing house. DV and Birtingur were sold tobusiness partner and former chair of board of BaugurGroup in mid-year 2008 (see below). Abroad, BaugurGroup was the financial backbone behind the free dailyNyhedsavisen in Denmark from its start late in year


ICELAND

2006, until the newspaper was sold to the investorMorten Lund, founder and previous owner of the IP-telephone company Skype. The newspaper wentbankrupt in August 2008. Baugur Group was also thefinancial backer of the free daily BostonNow in Boston,launched in April 2007. The publication ended abruptlyin April 2008, with great debts and huge loss. Late in2008 in the wake of the economic turbulence, the singlelargest shareholder, Jon Asgeir Johannesson thechairman of the Baugur Group, acquired the mediaoperations of 365 midlar through his private venture,Syn ehf.

Birtingur utgafufelag ehf. is the largest publisher ofconsumer and special interest magazines in Iceland. Inmid-year 2008 the company was merged with thetabloid-like daily newspaper DV. Until they were sold inautumn 2008, both Birtingur and DV belonged to theBaugur sphere, through direct and indirect ownership.The buyer, Austursel ehf., is a private company ownedby a close business associate and former chairman of theboard of Baugur Group, who owns a 10-per cent sharein the group.

A private company Myllusetur ehf. acquired the formerbusiness daily, Vidskiptabladid, in 2008 after theoperation collapsed, and previous owners foundthemselves in serious financial difficulties in autumn2008. One of the main new owners is also behind therecently launched web media, pressan.is.

Media / Press Laws The constitution provides for freedom of speech and ofthe press, and the government respected these rights inpractice. Individuals could criticize the governmentpublicly or privately without reprisal.

An independent press, an effective judiciary, and afunctioning democratic political system combined toensure freedom of speech and of the press. Theindependent media were active and expressed a widevariety of views without restriction.

The law establishes fines and imprisonment for up tothree months for persons convicted of publicly deridingor belittling the religious doctrines of a lawful religiousassociation active in the country. The law also establishesfines and imprisonment for up to two years for anyonewho publicly ridicules, slanders, insults, threatens, or inany other manner publicly assaults a person or a groupon the basis of their nationality, skin color, race, religion,or sexual orientation. There were no reports that the lawwas invoked during the year 2009.

In February 2010, the Icelandic parliament put forwarda measure aimed at making the country an internationalcentre for investigative journalism publishing, by passingthe strongest combination of source protection, freedomof speech, and libel-tourism prevention laws in theworld. Supporters of the proposal say the move wouldmake Iceland an “offshore publishing centre” for freespeech, analogous to the offshore financial havens thatallow corporations to hide capital from authorities. Thetext of the proposal is called the Icelandic Modern MediaInitiative (IMMI) and is aided by whistle-blowingwebsite Wikileaks. The proposal has been informed byWikileaks’ experience in fighting legal threats topublication. The proposal also includes steps to end“libel tourism”, the practice of pursuing libel actions inthe most favourable legal jurisdiction irrespective ofwhere the parties are based.

Source: CIA – The World Factbook; US State Department; Nieman Journalism Lab; BBC News; US Commercial Service; Nordicom


ICELAND



0-14 66 21 34 21 33 20.615-24 47 15 24 15 23 14.625-34 47 15 24 15 23 14.435-44 43 14 22 14 21 13.445-54 43 14 22 14 21 13.655-64 33 11 17 11 16 10.465 + 38 12 17 11 21 13.1Total 318 100 160 100 158 100

Source: Statistics Iceland



Total 123 1 100

Source: Statistics Iceland1 Estimated at the end of 2009


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 4 3 5 5 2 -50.00 -60.00Total paid-for dailies 2 1 3 3 1 -50.00 -66.67National paid-for dailies 2 1 3 3 1 -50.00 -66.67Morning paid-for dailies 2 1 3 3 1 -50.00 -66.67

Total free dailies 2 2 2 2 1 -50.00 -50.00National free dailies 2 2 2 2 1 -50.00 -50.00

Total non-dailies 23 24 24 21 20 -13.04 -4.76Total paid-for non-dailies 12 13 12 10 11 -8.33 10.00

National paid-for non-dailies 2 3 2 1 2 0.00 100.00Regional and local 10 10 10 9 9 -10.00 0.00paid-for non-dailies

Total free non-dailies 11 11 12 11 9 -18.18 -18.18Regional and local 11 11 12 11 9 -18.18 -18.18free non-dailies



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


National paid-for dailies 64 42 71 67 50 -21.88 -25.37Morning paid-for dailies 64 42 71 67 50 -21.88 -25.37


Total non-dailies 75 87 86 58 - - -Total paid-for non-dailies 23 30 27 13 - - -National paid-for non-dailies 6 14 2 - - - -Regional and local 17 16 25 13 - - -paid-for non-dailies

Total free non-dailies 52 57 59 45 - - -Regional and local 52 57 59 45 - - -free non-dailies

Source: 2005-2008 Statistics Iceland; 2009 WAN-IFRA assessment



(mln) Change (%)2002 2003 2004 2005 2006 2006/02 2006/02

Total dailies 48.0 56.1 56.7 73.2 72.6 51.25 -0.82Total paid-for dailies 22.9 24.2 21.6 21.9 15.0 -34.50 -31.51

National paid-for dailies 22.9 24.2 21.6 21.9 15.0 -34.50 -31.51Morning paid-for dailies 16.3 24.2 21.6 21.9 15.0 -7.98 -31.51Evening and afternoon 6.6 - - - - - -paid-for dailies

Total free dailies 26.0 31.9 35.1 51.3 57.6 121.54 12.28National free dailies 26.0 31.9 35.1 51.3 57.6 121.54 12.28

Total non-dailies 3.3 3.7 4.0 3.9 5.2 57.58 33.33Total paid-for non-dailies 1.2 1.2 1.4 1.3 2.4 100 84.62

National paid-for non-dailies 0.3 0.2 0.6 0.5 1.6 433.33 220.00Regional and local 0.9 0.9 0.8 0.8 0.8 -11.11 0.00paid-for non-dailies

Total free non-dailies 2.1 2.6 2.6 2.6 2.8 33.33 7.69Regional and local 2.1 2.6 2.6 2.6 2.8 33.33 7.69free non-dailies


Annual number of copies sold/distributed = average circulation per issue multiplied by number of issues per year

4.b Sales revenues

(Icelandic krona, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

All paid-for newspapers 1,534.2 1,622.0 1,826.0 1,547.0 1,853.0 20.78 19.78Total paid-for dailies - 1,447 1,473 1,413 1,718 - 21.59National paid-for dailies - 1,447 1,473 1,413 1,718 - 21.59

Total paid-for non-dailies - 175 353 134 135 - 0.75


(Iceland, krona)min max




(minutes per day)2005 2006 2007 2008 2009

Radio 240 231 130 130 121Television 155 150 191 183 173

Source: Capacent via Statistics Iceland

2007 Week 5/2008; 2008 Week 7/2009; 2009 Week 7/2010



ICELAND

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 4 3 5 5 2 -50.00 -60.00Non-dailies 18 19 21 21 19 5.56 -9.52


6.a Online editions

Newspaper Publishing company Website Unique visitors per month 1

(000)

Morgunbladid Arvakur hf. mbl.is 330Frettabladid 365 midlar ehf. visir.is 255

Source: Modernus.is1 Unique users per week (50/2009)


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(Icelandic krona, bln)2005 2006 2007 2008 2009

GDP 1,026.7 1,168.6 1,308.5 1,477.6 1,500.2 1

Source: Statistics Iceland1 Preliminary data

(Icelandic krona, 000)2005 2006 2007 2008 2009

GDP per capita 3,424 3,798 4,148 4,627 4,723 1

Source: Statistics Iceland1 Preliminary data


(%)2000 2001 2002 2003 2004 2005 2006 2007

Ad expenditure 1.30 1.14 1.08 1.27 - - - -

Source: IFS; Statistics Iceland; IM Gallup; ZenithOptimedia


(Icelandic krona, mln)2004 2005 2006 2007 2008 2009 2010 2011

Newspapers 1 3,891 5,028 6,492 6,891 - - - -

Source: Statistics Iceland via Nordicom

Survey data, net of discounts and agency commission1 Paid-for and free newspapers


(Icelandic krona, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

All newspapers 3,898.0 5,027.6 6,121.5 6,319.0 5,725.0 46.87 -9.40Total dailies 3,429.2 4,578.7 5,478.0 5,805.0 5,340.0 55.72 -8.01Total non-dailies 461.8 448.9 643.5 514.0 385.0 -16.63 -25.10Total paid-for non-dailies 246.9 263.7 424.6 175.0 156.0 -36.82 -10.86Total free non-dailies 214.9 185.1 218.9 338.0 229.0 6.56 -32.25Regional and local 214.9 185.1 218.9 338.0 229.0 6.56 -32.25free non-dailies


Figures include classified and inserts, exclude VAT. Figures are at rate card prices.



Arvakur hf. 158 1

365 midlar ehf. 103 2

DV ehf. 13Framtidarsyn ehf. 4 3

Source: Statistics Iceland1 One paid-for daily and one free daily2 A free daily3 A paid-for business daily


Title Founded Language Publishing Circulation Formatcompany

(year) (000)

Morgunbladid 1913 Icelandic Arvakur hf. 50 1 Tabloid 2

Source: Statistics Iceland1 Circulation in 2008; reach 32% between Nov 2009 and Jan 20102 42 cm x 28 cm



Title Founded Language Publishing Circulation Formatcompany

(year) (000)

Frettabladid 2002 Icelandic 365 midlar ehf. 103 1 Tabloid 2

(The Newspaper)

Source: Statistics Iceland1 Circulation in 2008; reach 63% between Nov 2009 and Jan 20102 42 cm x 28 cm

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 4 3 5 5 2 -50.00 -60.00Tabloids 1 4 3 5 5 2 -50.00 -60.00

Source: Statistics Iceland1 42 cm x 28 cm



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11. Research (2009)

Circulation is audited byCirculation was audited by Iceland Chamber ofCommerce, only for two dailies, the free Frettabladidand paid-for Morgunbladid, until early 2007.

Readership is measured byCapacent (www.capacent.is)

MethodologySample of 1,300 – 1,600 respondents aged 12-80, sixtimes a year; diary over a week


Tax %

Standard VAT 24.5VAT on:Single copy sales 7Subscription sales 7Advertising 24.5Newsprint 24.5Composition 24.5Plant 24.5


Source: Deloitte Touche Tohmatsu; Distripress; Statistics Iceland

12. Taxes (2009)








Are there any direct subsidies? NoSource: Statistics Iceland



Is there any law prohibiting or restricting foreign companiesor individuals from owning shares, and in particular, themajority of shares, of domestic daily newspapers? No restrictions on individuals or companies domiciledin the European Economic Area (EU + Iceland +Norway + Liechtenstein). Other foreign individuals andcompanies are subject to general regulations set forforeign capital investment.



Is there an antitrust law limiting concentration in the dailypress? No. There are no laws directed specifically at the dailypress or any other mass medium. There are however,general anti-trust laws and a regulatory/surveillancebody for the supervision of possible restrictive businesspractices. The laws do not provide an exact ‘threshold’of what is or should be conceived as an unlawful marketbarrier.




ICELAND


Owners Regional TVs National TVs RegionalNewspapers

NationalNewspapers Radio Commercial

TV licence

Regional TVLicensees No restrictions No restrictions No restrictions No restrictions No restrictions No restrictions

National TVLicensees No restrictions No restrictions No restrictions No restrictions No restrictions No restrictions

Regional Newspaper Owners No restrictions No restrictions No restrictions No restrictions No restrictions No restrictions

National Newspaper Owners No restrictions No restrictions No restrictions No restrictions No restrictions No restrictions

Satellite TV Broadcasters No restrictions No restrictions No restrictions No restrictions No restrictions No restrictions

Local RadioLicensees No restrictions No restrictions No restrictions No restrictions No restrictions No restrictions

National Radio Licensees No restrictions No restrictions No restrictions No restrictions No restrictions No restrictions

Foreign Investors No restrictions No restrictions No restrictions No restrictions No restrictions No restrictions



IRELAND


General economic situation Ireland is a small, modern, trade-dependent economy.GDP growth averaged 6% in 1995-2007, but economicactivity dropped sharply in 2008 and Ireland enteredinto a recession for the first time in more than a decadewith the onset of the world financial crisis andsubsequent severe slowdown in the property andconstruction markets. Agriculture, once the mostimportant sector, is now dwarfed by industry andservices. The export sector, dominated by foreignmultinationals, remains a key component of Ireland’seconomy, with construction adding to recent economicgrowth.

The Irish economy endured a wrenching recession in2009, perhaps the biggest ever recorded by a developedeconomy. The small size of the Irish economy, with a workforce of just under two million people, make itvolatile, but the vulnerability became much greater by a huge construction boom which, at its peak, accountedfor round one eighth of economic activity.

Construction came to a shuddering halt with the globaleconomic crisis. This accounted for almost half of the estimate 8.5% fall in GDP over the course of theyear.

The rest reflected an 8% drop in personal spending aspeople reacted to job losses, a perilous banking crisis andgeneral uncertainty. Such a huge drop in economicactivity played havoc with government finances. From asurplus of 3% of GDP in 2006, they swung to a massive deficit of almost 12% of GDP in 2009.

The fiscal hole would have been even bigger but for twoemergency budgets which raised taxes and cutgovernment spending. The normal budget in Decemberwas highly controversial with cuts in both public wagesand welfare payments.

These actions improved Ireland’s standing in financialmarkets, especially as the economic problems in Greeceemerged. But they are enough only to stabilise thedeficit, not shrink it, with the economy expected toshow little or no growth in 2010, and a further smallcontraction possible.

The fall in activity, combined with a sharp rise in theeuro’s Irish trade-weighted value produced a large fall inconsumer prices. A drop of almost 4% was one of onlythree such ‘deflations’ in the OECD, and more thantwice the fall in Japanese prices.

There are hopes that lower prices may revive someconsumer spending, but car sales are down 60% fromtheir peak and unemployment has risen from a low of4% to 13% of the workforce. The unemployment rate

would have been higher but for the departure of around50,000 foreign workers, mostly from eastern Europe,who had been working mainly in construction andretailing.

The inflation rate was estimated at -3.9% (deflation) in2009.

Performance of newspapers vs. other media The independent print media were active and expresseda wide variety of views without government restriction.

Broadcasting remained mostly under state control, butprivate sector broadcasting continued to thrive. Therewere 57 independent radio stations and one nationalindependent television station. Access to cable andsatellite television was widespread.

Newspaper launches / closuresAs of November 18, 2009, fluent Irish speakers can nowread Foinse, the country’s biggest Irish languagenewspaper, for free with their Irish Independent everyWednesday. The newly revitalised Foinse is distributedevery Wednesday, ensuring it reaches more than 150,000people through the Irish Independent, the largest sellingnational quality daily in Ireland. Foinse, which is basedin the Connemara Gaeltacht, was forced to ceasepublication in June 2009 after advertising incomeplummeted 75 per cent. But the ‘Foinse sa Rang’ sectionhas been extended to seven pages of attractivelypresented learning tools and texts which include articlesintended as a resource for primary school students. Therefreshed Foinse publication will employ five full-timestaff and utilise a network of correspondents,contributors and services.

Advertising A total of EUR208 million was spent across 18 member titles of the National Newspapers of Ireland (NNI) for the period January - December 2009.EUR130.3 million was spent by agencies, whichrepresents a drop of 32% on the same period in 2008.Direct advertising grossed EUR77.8 million in 2009, a decrease of 35%, which was attributed mainly to theslump in property and recruitment advertising.

Circulation Newspaper sales fell in the first half of 2009, continuingthe trend shown in audited figures published at the endof 2008.

Figures released on August 20, 2009, by the AuditBureau of Circulations (ABC) show that sales of all themain daily newspapers in the country fell in the sixmonths to June 2009. The circulations of a number ofthe leading titles in Ireland are dwarfed by sales of Irisheditions of UK newspapers; however, the ABC does not


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include the Irish editions of London-based nationalnewspapers in its Ireland circulation report.

Average net circulation of The Irish Times each day was114,488, a slight decline of 0.8 per cent on December’saudited figure of 115,462. In the year since June 2008,sales of The Irish Times fell by 3.2 per cent.

In the six months to June 2009, average net circulationof the Irish Independent fell by 1.6 per cent to 152,204.Sales of the Irish Independent fell by 4.5 per cent in theyear since June 2008.

The number of copies of The Irish Times that are‘actively purchased’, which excludes bulk and discountedcopies, was 92.9 per cent. The percentage of the IrishIndependent’s sales that are actively purchased was 87.3per cent.

In Dublin sales of the Evening Herald fell by 5 per centin the six months to 71,187, while the decline in thatnewspaper’s sales since June 2008 was 10.4 per cent.

The Irish Examiner’s audited circulation for the sixmonths to June 2009 fell by 4.2 per cent to 50,346. Inthe year since June 2008, the Irish Examiner’s salesdeclined by 7.1 per cent.

Figures for Sunday newspapers show an increase in salesfor the Sunday Business Post, which added 5.1 per centin the six months to June 2009 to bring its circulation to57,783. The newspaper has increased its circulation by3.2 per cent year-on-year.

The Sunday Independent increased its sales marginallyby 0.7 per cent in the first six months of 2009 to272,174. Between June 2008 and June 2009, however,sales of the Sunday Independent fell by 3.8 per cent.

The Sunday Tribune’s net circulation fell by 1.4 per centto 65,727 in the six-month period to June 2009.Overall, sales of the Sunday Tribune remained flat whencalculated over the 2008-09 since June 2008.

Sales of the Sunday World fell by 2.7 per cent to277,504 at the end of June 2009, and its circulation wasdown by 5 per cent year-on-year.

In the North, sales of the Irish News were down 2.1 percent to 47,819 in the first six-month period of 2009. Inthe year since June 2008, the newspaper’s sales weredown 2.3 per cent.

Circulation of the Newsletter remained static in the sixmonths to June 2009 at 25,253, but was down by 3.6per cent year-on-year.

The Belfast Telegraph’s circulation was down 2.1 percent to 69,457 at the end of June 2009, while its sales

dropped overall by 10.5 per cent in the year since June2008.

According to figures from the Audit Bureau ofCirculation published in February 2010, all of the dailyand Sunday newspapers published only in Ireland sawcirculation declines in the final six months of 2009.

The Sunday Tribune saw the greatest percentage declineyear-on-year of any of the Irish daily or Sundaynewspapers.

According to the Island of Ireland report published onFebruary 18, 2010, the average circulation of the SundayTribune was 60,344, down 9.5% from the final sixmonths of 2008 and down 8.2% from the first sixmonths of 2009.

Despite a fall in its circulation, tabloid The SundayWorld remained the largest newspaper to be publishedsolely in Ireland with an average circulation of 270,453.

In the first six months of 2009 The Sunday World’scirculation dropped for the first time since 2004 and itscirculation in the second half of 2009 was down again,by 5.2% when compared with the same period in 2008,and by 2.5% when compared with the first six monthsof 2009.

The circulation of broadsheet The Sunday Independent,the second largest paper in Ireland, remained steady inthe second half of 2009. It reported an averagecirculation of 268,140 between July and December2009, down just 0.8% year-on-year and down 1.5%period on period.

Sunday Business Post was finally hit by the Irisheconomy and saw its year-on-year first decline incirculation since the first six months of 2008.

The Sunday Business Post’s circulation was 52,271,down 4.9% year-on-year and down 9.5% period onperiod.

The circulation of The Irish Times was 106,926, down7.4% year-on-year and 6.6% period on period.

Readership For many years, Ireland has been one of the world’sforemost consumers of newspapers, and new readershipstatistics confirm that is still the case. According to thelatest Joint National Readership Survey (JNRS) 2009, more than 3 million people, or 87% of the adult population in Ireland, are regular newspaperreaders.

Over 7,000 interviews were conducted by MillwardBrown Lansdowne for the JNRS 2009 amongst a representative sample of the adult population by


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personal in-home interview, using a combination offace-to-face and self-completion questionnaires.

The latest figures underline again that in an era ofunprecedented media choice, Irish consumers are stillmost likely to turn to their favourite newspaper for in-depth news and analysis.

The JNRS report shows a total of 87.3% of adults whoregularly read any newspaper, a slight increase overcorresponding figures for previous year. While some ofthe other categories, including reading daily and Sundaytitles, were fractionally down, the industry will point tothe crucial reading ‘any newspaper’ category as the truebarometer of readership.

“Clearly there is a huge appetite amongst Irish people fordetailed analysis of all the issues facing this country,” saysFrank Cullen of National Newspapers of Ireland andadds: “That is what newspapers do best, it’s the mainreason that people have such a strong relationship withtheir favourite newspaper, and it’s the key to ourexcellent readership levels.”

“There are of course other issues affecting our industrybut these are commercial issues that every business inevery sector is having to deal with right now,” Mr Cullengoes on. “When it comes to readership, however, we areas strong as ever – among the best in the world, in fact –and we can be heartened by the latest JNRS data.”

Of particular interest to advertisers and the advertisingcommunity, the new JNRS report contains a variety ofinformation about newspapers and those who readthem. Some highlights of the latest report include thefollowing:

• 83.4% of 15-24 year olds read the average issue of a newspaper;

• 54.3% of adults say they tend to try new products andservices after seeing an advertisement;

• 62% of people are loyal to their newspaper and wouldnot change;

• 73.6% of men regularly read the sports pages of thenewspapers;

• 55.9% of women like to read about food and drink.

Online / Digital Publishing There were no government restrictions on access to theInternet or reports that the government monitore-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail.

According to a 2009 Joint National Internet Research(JNIR) report, 17 per cent of Ireland’s 1.9 millionInternet users went online for business news in the lastsix months of 2008, a jump of 6 per cent from the lastreport, which covered the second half of 2007. Some 38

per cent of users are going online for general news andcurrent affairs, a rise of 5 per cent. Social networkingusage has also surged ahead, with 28 per cent of thoseonline using them, or a rise of 9 per cent.

The survey also showed increases in the number ofpeople reading blogs (7 per cent) and watching TVonline (10 per cent).

On May 6, 2009, it was revealed an Irish student’s fakequote on the Wikipedia online encyclopaedia was usedin newspaper obituaries around the world. The quotewas attributed to French composer Maurice Jarre whodied in March 2009. Shane Fitzgerald, 22, a final-yearstudent studying sociology and economics at UniversityCollege Dublin, said he placed the quote on the websiteas an experiment when doing research on globalisation.He quoted Oscar-winning composer Jarre as saying,“One could say my life itself has been one longsoundtrack. Music was my life, music brought me to life,and music is how I will be remembered long after I leavethis life. When I die there will be a final waltz playing inmy head, that only I can hear.” The quote was posted onWikipedia shortly after Jarre’s death and later appearedin obituaries in major British, Indian and Australiannewspapers. Fitzgerald said the hoax remainedundiscovered for weeks until he e-mailed the newspapersthat had been deceived to tell them that they hadpublished an inaccurate quote.

Ownership In May 2009, Johnston Press, publisher of the YorkshirePost and the Scotsman, risked breaching its bankingcovenants after it abandoned the planned sale of its titlesin the Republic of Ireland. In a trading statementpublished on May 13, 2009, the company said thatdespite “considerable interest” from potential buyers ofthe Irish papers, which include the Leinster Leaderseries, the board had been unable to obtain a sufficientlyhigh price. The company had seen the sell-off as a crucial way to raise funds and had previously statedthat failure to sell its Irish titles would mean it had a “strong likelihood” of breaching its financial covenantsfor 2009. It then decided to enter discussions with itsdebt providers to seek a relaxation of existing terms. Thecompany also said that from the start of 2009 to May 9,2009, advertising revenue was down 34% comparedwith the same period in 2008. This was broadly in linewith an announcement made in March 2009 whenJohnston Press said ad revenue for the first nine weeks of2009 was down 36%, contributing to the greatest fall inrevenue in the company’s history.

In July 2009, Associated Newspapers, The Irish Timesand Independent News & Media, owners of rival Irishfree dailies Metro Ireland and Herald AM, announcedtheir intention to merge into a new offering, MetroHerald. Irish Times and DMG Ireland ownFortunegreen, which publishes the Metro Ireland


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newspaper. The merger would allow IndependentNewspapers, owner of Herald AM, to acquire an equalstake in Fortunegreen. The three groups claimed theproposed new free newspaper would boast a 70,000-plusdaily distribution across the greater Dublin area.Associated Newspapers said the merger, which will besubject to approval by the country’s CompetitionAuthority, would be backed by shareholders’ increasinginvestment into the Metro Herald. A merger betweenMetro Ireland, launched in 2005, and Herald AM, alsolaunched in 2005, had long been predicted.

On August 28, 2009, Ireland’s Competition Authoritylaunched an in-depth investigation into the merger ofthe free dailies. The authorities said it needed more timeand information to examine whether the loss of one ofthe country’s free dailies would “substantially lessencompetition in markets for goods and services” and thepotential for coordination between the company’sshareholders. The deadline for the investigation was setfor November 16, 2009. On November 9, 2009,Ireland’s Competition Authority conditionally clearedthe merger. To address the authorities concerns, theparties promised the Metro Herald would competeindependently of the shareholders’ other newspapers andthat Fortunegreen’s management would be able to makedecisions without shareholders’ approval. In addition,directors nominated to Fortunegreen’s board would nothave responsibility for advertising in any dailynewspapers distributed in the greater Dublin area, andthe shareholders and Fortunegreen will not exchangeinformation about their business activities.

Media / Press Laws The constitution provides for freedom of speech, andthe government generally respected this right in practice.

The constitution provides for freedom of the press withthe qualification that it not “undermine public order ormorality or the authority of the state.” The constitutionprohibits the publication or utterance of “blasphemous,seditious, or indecent” material.

In July 2009, the Irish defamation laws of 1961 werereformed. The new law allows for apologies to be madewithout an admission of liability whilst the statue oflimitations has been reduced from six years to one year.The Defamation Act also includes clauses that create theoffence of “blasphemous libel”. A person can be foundguilty of blasphemy if “he or she publishes or uttersmatter that is grossly abusive or insulting in relation tomatters held sacred by any religion, thereby causingoutrage among a substantial number of the adherents ofthat religion.” Blasphemy is a crime punishable by a fineof up to EUR25,000. Thew new law is scheduled to gointo effect in 2010.

The law proscribes words or behaviors that are likely togenerate hatred against persons in the country or

elsewhere because of their race, nationality, religion,national origins, or sexual orientation. There were noreports that authorities invoked these provisions duringthe year 2009.

The law empowers the government to prohibit the state-owned radio and television network from broadcastingany material “likely to promote or incite to crime orwhich would tend to undermine the authority of thestate.” Authorities did not invoke this prohibitionduring the year 2009.

The Censorship of Publications Board has the authorityto censor books and magazines it finds indecent orobscene. The board did not exercise this authorityduring the year 2009.

On July 31, 2009, the Supreme Court overturned alower court finding that two journalists had to revealtheir sources and answer questions regarding theiractions following their 2007 publication of detailsconcerning then prime minister Bertie Ahern’s finances.

The Irish Film Classification Office (IFCO) mustclassify films and videos before they can be shown orsold; it must cut or prohibit any film that is “indecent,obscene, or blasphemous” or which tends to “inculcateprinciples contrary to public morality or subversive ofpublic morality.” During the year 2009 the IFCO didnot prohibit any films or videos.

Printing & Distribution On November 17, 2009, Independent News & Media(INM) announced the complete reorganisation of itsprint and production assets on the island of Ireland. The group’s three leading print and production facilities,at Citywest in Dublin, Newry and Belfast are to bemanaged as a single, combined entity. INM is the largestcommercial newspaper printer in Ireland, north andsouth. The new group printing operation will bemanaged centrally and will continue to provide printservices to the publishing operations of the group’smarket-leading newspaper titles on the island of Ireland,as well as continuing to provide print services to thesignificant and long-term third-party customers inNewry and Belfast.

Independent News & Media (INM) operates three stateof the art print plants on the island of Ireland atlocations in Dublin (Citywest), Newry and Belfast. Thefull output from these plants now covers approximately40 titles, accounting for over 350 million copies eachyear. In September 2009, INM announced a £40million print deal that made Northern Ireland one of thebiggest producers of daily newspapers in Europe.

Citywest is the largest newsprint facility in the country,printing the Irish Independent, Sunday Independent,Evening Herald and associated supplements as well as


IRELAND

regional titles, such as the Sligo Champion and selectedPeople Newspaper titles. Newspapers printed in Newry,which was opened in 2007, include the Irish Daily Star,the Sunday World (Republic of Ireland edition), SundayLife, selected INM regional newspapers (such as theDrogheda Independent) and, following a recent 15 yearprint agreement with the Daily Telegraph, all sections ofthe Sunday Telegraph and Daily Telegraph. Belfast nowprints the Mirror titles (Daily Mirror and Daily Record)plus the Sun, News of the World, the Daily Express andSunday Express, the Daily Star, the Sunday World(Northern Ireland edition), the Sunday Tribune, TheBelfast Telegraph, the London Independent titles and a series of associated high quality magazines.

Taxes In the December 2009 budget the Irish Governmentincreased the standard rate of VAT from 21% to 21.5%.

Environment There is no doubt that the outstanding environmentachievement in 2009 was attaining agreement on thejoint industry protocols. On September 18, 2009 theMinister for the Environment, Heritage & LocalGovernment (DOEHLG) John Gormely launched twoprotocols, the Environment Standards for the PressIndustry (ESPI) and the Code of Practice for the PressIndustry (COPPI).

The subsequent media coverage was widespread andvery positive. These protocols were the culmination ofmany meetings and a year and a half of dialogue withindustry partners. NNI played the lead role in thisagreement, having instigated the discussions, and wasresponsible for creating up to 19 drafts prior toagreement on the final versions.

The sub-committees responsible for drafting andimplementing the protocols were chaired by EndaBuckley and the main joint industry committeemeetings were chaired by Frank Cullen. NNI also co-ordinated the entire process which involved tenrepresentative associations and the DOEHLG.

The protocols are both historic and significant. Historicin that it is the first time retailers, wholesalers andpublishers have come together on one forum to providea transparent methodology for the press industry. Theenvironment standards are the first of their kind inEurope and should lead to a much more efficient andenvironment-friendly supply chain.

In 2009 NNI continued the research it conducted in2007 and 2008 to determine the national rate ofnewspaper recycling. The study provided excellent newsonce more. The research results show that 75% of oldnewspapers and magazines were recycled in 2008,representing an increase of 47% since 2002. Also, morethan 51% of paper used by Irish publishers is now made

up of recycled paper. This can be partly attributed toNNI’s ongoing efforts to encourage publishers to buymore recycled newsprint. All of the findings wereaudited and validated by RPS Group.

On the back of these results NNI developed anenvironmental ad campaign that has been publishedthroughout the 18 member titles and has elicited a verypositive response from the Irish public. In conjunctionwith the ads, NNI has updated the newspaper recyclinglogo and strapline which all NNI editions are nowcontinuously displaying.

Thanks to the 2007 NNI initiative, all affiliatedpublishers are now implementing a nationwide policy of‘whole copy’ returns. This will ensure that the maximumamount of retail unsold material is available forrecycling. It is expected that up to 30,000 tonnes ofnewsprint will be diverted from landfill in 2009. Thisscheme ensures that the supply chain is more efficientwith a substantial reduction to the carbon footprint.Such is the success of this scheme that the EnvironmentProtection Agency (EPA) wants to use it as a case studyin their National Waste report (2009).

In tandem with the initiatives set out in the PRIdocument of 2009 and the recently agreed protocols,NNI is also spearheading the establishment of avoluntary industry environment program which willhopefully see all publishers financially contributing tothe environment initiatives undertaken by NNI thus far.The main aim of the program will be to act as a platformfor the producer responsibility initiatives specific to therequirements of newsprint waste. A comprehensiveproposal has been issued to all of the potential membersand a final decision is expected very shortly. The comingweeks and months will be a crucial period in thedevelopment of the environment program and the PRI.

NNI has also embarked on developing a carbon andgreen procurement policy for the industry. These arevery important instruments for the industry toundertake as bottom line savings and efficiencies can beidentified and effectuated by both policy programs. Aspart of the programs it is envisaged that carbon footprintanalysis will be conducted for publishers in 2010. Bothframeworks will ensure that the industry is acting in a sustainable manner and providing good example toothers.

Other Factors In March 2009, the Irish Times asked its high-earningstaff, including its editor, to take pay cuts as it forecastthat advertising would drop year-on-year by EUR20m(GBP18.5m) in 2009. Under the proposal, MaeveDonovan, the managing director of the Irish Times, andeditor Geraldine Kennedy would take a 20% pay cut.The deputy managing director and deputy editor wouldtake a 15% cut. Staff earning more than EUR100,000


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Source: CIA – The World Factbook; US State Department; Brand Republic; Irish Independent; FDN Newsletter;Global Competition Review; Media Week; The Guardian; The Post; Investigate; The Irish Times; Spero News;

National Newspapers of Ireland

would be subject to a 10% cut under the plan, whilestaff earning between EUR40,000 and EUR100,000would see a 5% cut. Those earning less than EUR40,000would not be subject to a reduction in salary.

In May 2009, Celtic Media Group, the owner of fiveregional newspapers, announced it was going to cut staffby 10 per cent as it battles a steep drop in advertisingrevenue. Staff at the Meath Chronicle, the Anglo Celt,

Westmeath Independent, Westmeath Examiner andOffaly Independent were informed at a series ofmeetings that their pay was to be cut by between 5 and10 per cent. Anyone earning less than EUR40,000annually, which is understood to include the majority ofemployees, will have pay cut by 5 per cent, while anyoneearning more than EUR40,000 faces a 10 per cent cut.The company was also seeking eight voluntaryredundancies, equating to a 10 per cent staff cut.


0-14 945.7 21.15 484.3 21.79 461.4 20.5115-24 580.0 12.96 288.7 12.99 291.2 12.9525-34 781.2 17.47 388.7 17.49 392.5 17.4535-44 661.4 14.79 333.1 14.99 328.3 14.6045-54 558.5 12.49 279.8 12.59 278.7 12.3955-64 445.5 9.96 223.8 10.07 221.7 9.8665 + 499.5 11.17 224.3 10.09 275.3 12.24Total 4,472.0 100 2,222.8 100 2,249.2 100

Source: CSO QNHS QTR 3 2009



A+B 477 13.5 252 14.5 225 12.6C1 980 27.8 432 24.8 548 30.7C2 848 24.0 465 26.7 383 21.4D 536 15.2 258 14.8 278 15.6E 409 11.6 175 10.0 234 13.1F 282 8.0 162 9.3 120 6.7Total 3,532 100 1,744 100 1,788 100

Source: Joint National Readership Survey 2008/09




Source: Census 2006




Without children 304 29With children 750 71

aged 0-3 225 30aged 4-9 130 17aged 10-15 107 14aged 16+ 228 35

Total 750 100

Source: Census 2006


Age Housewives000 %

Under 25 25 2.525-34 215 21.335-44 256 25.345-54 219 21.655-64 168 16.665 + 129 12.8Total 1,012 100

Source: JNRS Base


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Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 11 12 11 11 11 0.00 0.00Total paid-for dailies 8 9 9 9 9 12.50 0.00National paid-for dailies 1 7 8 8 8 8 14.29 0.00Regional and local 1 1 1 1 1 0.00 0.00paid-for dailiesMorning paid-for dailies 6 7 7 7 7 16.67 0.00Evening and afternoon 2 2 2 2 2 0.00 0.00paid-for dailies

Total free dailies 3 3 2 2 2 -33.33 0.00Regional and local free dailies 3 3 2 2 2 -33.33 0.00

Total non-dailies 150 151 151 151 151 0.67 0.00Total paid-for non-dailies 111 111 94 94 94 -15.32 0.00National paid-for non-dailies 1 1 1 1 1 0.00 0.00Regional and local 110 110 93 93 93 -15.45 0.00paid-for non-dailies


Total paid-for Sundays 10 10 9 9 9 -10.00 0.00National paid-for Sundays 2 10 10 9 9 9 -10.00 0.00

Source: 2005-2006 National Newspapers of Ireland; WAN assessment (free dailies);2007-2009 National Newspapers of Ireland1 Including Irish editions of UK dailies2 Including Irish editions of UK Sundays


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 885 965 954 979 909 2.71 -7.15Total paid-for dailies 758 800 797 833 767 1.19 -7.92National paid-for dailies 731 774 771 799 744 1.78 -6.88Regional and local 27 26 26 34 23 -14.81 -32.35paid-for dailiesMorning paid-for dailies 645 691 689 724 675 4.65 -6.77Evening and afternoon 113 109 108 109 92 -18.58 -15.60paid-for dailies

Total free dailies 42 110 157 146 142 238.10 -2.74Regional and local free dailies 42 110 157 146 142 238.10 -2.74

Total non-dailies 1,147 1,147 2,079 2,080 2,071 80.56 -0.43Total paid-for non-dailies 897 897 1,052 1,053 1,054 17.50 0.09


Total free non-dailies 250 250 1,027 1,027 1,017 306.80 -0.97Regional and local 250 250 1,027 1,027 1,017 306.80 -0.97free non-dailies

Total paid-for Sundays 1,238 1,220 1,187 1,150 1,115 -9.94 -3.04National paid-for Sundays 1,238 1,220 1,187 1,150 1,115 -9.94 -3.04

Source: 2005-2006 National Newspapers of Ireland; WAN assessment (free dailies);2007-2008 National Newspapers of Ireland; 2009 National Newspapers of Ireland;WAN-IFRA assessment (free dailies)


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 267.0 278.2 266.3 272.5 262.5 -1.69 -3.67Total paid-for dailies 235.0 228.2 225.5 234.7 231.7 -1.40 -1.28National paid-for dailies 227.0 220.0 217.0 224.0 224.6 -1.06 0.27Regional and local 8.0 8.2 8.5 10.7 7.1 -11.25 -33.64paid-for dailiesMorning paid-for dailies 201.5 - 196.0 200.7 203.0 0.74 1.15Evening and afternoon 33.0 - 29.5 34.0 28.7 -13.03 -15.59paid-for dailies

Total free dailies 31.0 50.0 40.8 37.8 30.8 -0.65 -18.52Regional and local free dailies 31.0 50.0 40.8 37.8 30.8 -0.65 -18.52

Total non-dailies 56.0 59.4 - - - - -Total paid-for non-dailies 46.5 46.4 48.7 48.6 47.6 2.37 -2.06

National paid-for non-dailies 3.5 3.4 3.6 3.6 3.6 2.86 0.00Regional and local 43.0 43.0 45.1 45.0 44.0 2.33 -2.22paid-for non-dailies

Total free non-dailies 13 13 - - - - -Regional and local 13 13 - - - - -free non-dailies

Total paid-for Sundays - 63.4 61.7 59.8 57.9 - -3.18National paid-for Sundays 64.0 63.4 61.7 59.8 57.9 -9.53 -3.18

Source: National Newspapers of Ireland


(Ireland, euro, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 302.9 314.3 332.5 326.8 327.5 8.12 0.21National paid-for dailies 302.9 1 305.3 318.5 318.0 317.5 4.82 -0.16Regional and local - 9.0 14.0 8.8 9.9 - 12.50paid-for dailies

Total paid-for non-dailies 78.3 82.4 86.6 86.1 87.7 12.01 1.86National paid-for non-dailies - 6.9 7.6 7.1 8.7 - 22.54Regional and local - 75.5 79.0 79.0 79.0 - 0.00paid-for non-dailies

Total paid-for Sundays 119.4 118.0 126.0 119.0 125.9 5.44 5.80National paid-for Sundays 119.4 1 118.0 126.0 119.0 125.9 5.44 5.80

Source: National Newspapers of Ireland1 Includes Irish editions of UK titles

4.b Sales revenues

(%)2005 2006 2007 2008 2009


Total 100 100 100 100 100



(Ireland, euro)min max




(%)Reached

All adults 56.4Men 58.7Women 58.7

Source: Joint National Readership Survey(JNRS) 2009



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(000)2005 2006 2007 2008 2009

Total dailies 1,856 1,883 1,934 1,967 2,062Total paid-for dailies 1,856 1,883 1,934 1,967 2,017Total free dailies - - - 41 154

Source: Joint National Readership Survey (JNRS)



group

15-18 4.7 41.119-24 9.4 52.325-34 20.8 52.735-44 17.9 54.245-54 16.8 60.455-64 14.4 65.365 + 15.6 62.9Total 100 -

Source: Joint National ReadershipSurvey (JNRS)


Change (%)2003 2004 2005 2006 2007 2007/03 2007/06

Dailies 3 3 3 3 4 33.33 33.33Non-dailies - 0 - - - - -Sundays 1 1 2 2 2 100.00 0.00


6.a Online editions


(000)

The Irish Times The Irish Times Limited irishtimes.com 2,314 1

The Irish Independent Independent News independent.ie 2,301 2

and Media PLC

Source: ABCe UK1 Nov 20092 Oct 2009


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 925.5 1,036.8 1,085.6 1,128.8 1,104.1 19.3 -2.19Internet users 1,742.3 2,341.4 2,636.9 2,899.1 3,042.6 74.63 4.95



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(Ireland, euro, bln)2004 2005 2006 2007 2008

GDP 147.6 162.1 176.8 189.8 181.8

Source: CSO National Accounts


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Mobile cellular subscriptions 4,270.0 4,690.1 - 5,048.1 4,871.1 14.08 -3.51



(Ireland, euro, 000)2004 2005 2006 2007 2008

GDP per capita 36.6 39.3 41.2 43.7 41.1

Source: 2004 ZenithOptimedia; 2005-2009 CSO National Accounts


(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.90 0.95 0.97 0.97 0.86 0.90 0.97 1.00




(Ireland, euro, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 943 1,078 1,123 1,120 903 907 997 1,047Newspapers 903 1,038 1,082 1,079 866 870 957 1,005Magazines 40 40 41 41 37 37 40 42


Source: Advertising Statistics of Ireland; IAPI Scope; BASE; ZenithOptimedia

Excludes production costs; includes agency commission of 15%; includes classifieddisplay advertising, but not linage; before discounts; newspaper data includes UKtitles in Ireland; TV includes satellite from 2006; radio data includes independentlocal radio; Internet includes display only; Internet figures are NetBehaviour estimates

(Ireland, euro, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total paid-for dailies 448.2 540.3 605.9 589.2 607.8 35.61 3.16National paid-for dailies 372.2 456.4 512.4 493.6 514.5 38.23 4.23Regional and local 76.0 83.9 93.5 95.6 93.3 22.76 -2.41paid-for dailies

Total paid-for non-dailies 183.1 161.9 186.0 189.2 220.1 20.21 16.33National paid-for non-dailies 10.9 20.4 29.7 26.5 36.2 232.11 36.60Regional and local 172.2 141.5 156.3 162.7 183.9 6.79 13.03paid-for non-dailies

Total paid-for Sundays 167.5 195.3 218.6 232.2 246.6 47.22 6.20National paid-for Sundays 167.5 195.3 218.6 232.2 246.6 47.22 6.20

Source: IAPI Adspend



In colour 8,507,392 13,264,001 14,054,673 18,840,348 21,186,888Total 20,801,539 31,756,036 26,941,759 32,214,580 32,837,997


Total volume sold for print


(%)2004 2005 2006 2007 2008





IRELAND


Classified advertising 26.1Retail outlets 15.3Construction/property 7.1Entertainment 6.5Telecommunications 6.5Motor sales 5.2Tourism 4.5Banks and financial houses 3.8Recruitment 3.7Media 3.1



Advertiser Expenditure (Ireland, euro, 000)

MCD 19,868.7Tesco 16,774.1Supervalu 13,827.2Aiken Promotions 12,066.8Xtra-Vision 9,063.3Dunnes Stores 9,018.7Vodaphone 7,829.1Dell Computer Corporatiion 7,536.9Sherry Fitzgerald 6,950.3Savills Hamilton 6,830.9Osborne King


7.g Top newspaper advertisers(2008) Publishing company Total circulation Total revenue

(000) (Ireland, euro, 000)

Independent Newspapers 95,800 161,000The Irish Times Limited 33,300 60,000The Star Newspaper Group 33,300 48,700News International 41,500 48,900Thomas Crosbie Holdings 25,100 44,300Sunday Newspapers 14,000 32,300Associated Newspapers 21,800 28,100Mirror Group Newspapers 21,700 21,900The Agricultural Trust 3,600 8,700Tribune Newspapers 3,100 7,800

Source: National Newspapers of Ireland (NNI)


Title Language Publishing company Circulation Readership Cover price usual Format Full page ad rate Mono Colour

(000) (000) (Ireland, euro) (Ireland, euro)

The Irish Independent English Independent News and Media PLC 150 581 1.80 Broadsheet / Compact 29,425 36,955The Irish Times English The Irish Times Limited 107 369 1.80 Broadsheet 24,670 27,000Irish Daily Star English Independent Star Limited 98 420 1.40 Compact 17,690 20,330The Irish Sun English News International 92 295 0.90 Compact 9,240 11,700Evening Herald English Independent News and Media PLC 69 289 1.20 Compact 10,430 12,365Irish Daily Mail English Associated Newspapers 50 142 1.00 Compact 11,550 15,960Irish Examiner English Thomas Crosbie Holdings 49 208 1.80 Compact 16,750 -Irish Daily Mirror English Mirror Group Newspapers 63 211 1.00 Compact 8,925 6,664

Source: National Newspapers of Ireland (NNI); Audit Bureau of Circulations (ABC)


Title Founded Language Publishing company Circulation Readership Format Full page ad rate Mono Colour

(year) (000) (000) (Ireland, euro)

Herald AM 2005 English Independent Newspapers 72 100 Compact 4,455 5,515Metro 2005 English Fortune Green Ltd 1 70 90 Compact 6,200 7,700

Source: Audit Bureau of Circulations; The Guardian; National Newspapers of Ireland (NNI)

The Metro Herald, the daily Dublin newspaper created through the merger of Herald AM and Metro Ireland, launchedJanuary 7, 2010 as a morning freesheet. The title is jointly owned by Associated Newspapers, the Daily Mail & General Trustsubsidiary, the Irish Times and Independent News & Media. Sweden's Metro International, which previously held about a 10% share in Metro Ireland, has sold its stake in the venture.1 Owned by Associated Newspapers and the Irish Times Ltd



Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 18 19 18 18 18 0.00 0.00Broadsheets 7 7 6 6 6 -14.29 0.00Tabloids 11 12 12 12 12 9.09 0.00


National newspapers only

(Ireland, euro)2005 2006 2007 2008 2009

Average per ton 510 510 525 500 480



11. Research (2009)

Circulation is audited byAudit Bureau of Circulations

Readership is measured byJoint National Readership Survey (JNRS)

MethodologyA random probability survey based on a sample of 7,000using a moving annual total, published twice yearly.Interviewers choose interviewees from the GEODirectory and then visit them at their homes address.More information is available at www.jnrs.ie



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Tax %

Standard VAT 21.5VAT on:Single copy sales 13.5Subscription sales 13.5Advertising 21.5Newsprint 21.5Composition 21.5Plant 21.5

Tax on profits – standard rate 12.5Tax on profits for newspapers 12.5Tax concessions for newspaper companies 0.0(e.g. for reinvesting profits)


12. Taxes (2009)



















Owners National TVs Regional Newspapers National Newspapers Radio

Regional TV Licensees Only one private licence No No State broadcaster only

Regional Newspaper Owners Only one private licence; limitedinvestment allowed - No limit Up to 25% of maximum

2 licences

National Newspaper Owners Only one private licence; limitedinvestment allowed Subject to ministerial approval Subject to ministerial approval Subject to IRTC approval


No cases to date. Subject to IRTCand ministerial approval Subject to ministerial approval Subject to ministerial approval No cases to date. Subject to IRTC

and ministerial approval

Local Radio Licensees No cases to date. Subject to IRTCapproval

No cases to date. Subject to IRTCapproval

No cases to date. Subject to IRTCapproval -

National Radio Licensees State only No cases to date. Subject to ministerial approval

No cases to date. Subject toministerial approval

State and independents restrictedto one local licence

Foreign Investors One case to date. Yes, but subjectto IRTC approval

Yes, but subject to ministerialapproval

Yes, but subject to ministerialapproval Yes, but subject to IRTC approval



ITALY

General economic situation The Italian economy is driven in large part by themanufacture of high-quality consumer goods producedby small and medium-sized enterprises. Italy also has asizable underground economy, which by some estimatesaccounts for as much as 15% of GDP. These activitiesare most common within the agriculture, construction,and service sectors. The Italian government faces a severeeconomic constraint with Italy’s official debt remainsabove 100% of GDP. The inflation rate was estimated at0.6% in 2009.

The world recession triggered by the financial crisis hashad a strong impact on economic activity in Italy. It hasbeen estimated that the events prompted by the financialturmoil subtracted 6.5 percentage points from theeconomic activity over the period 2008-2010.Specifically, crisis factors curtailed GDP growth by 5%in 2009.

Even though the effects of the crisis were mostlyimported from abroad, the worsening of domesticfinancing terms and business and household economicsituation played a non-negligible role in deepening sucheffects. In 2009 household consumption decreased by1.7% and gross fixed investments by 11.7%.

The latest figures on industrial production and thefindings of business opinion surveys indicate a morelively recovery in the first few months of 2010. However,consumer confidence has weakened, reflectingincreasing worries over the economic picture and thelabour market outlook. The contraction of employment,by 1.7% in 2009, continued in the early months of2010. Companies’ propensity to invest is curtailed by a drop in profits and low capacity utilization.Furthermore, the industrial sector still reports difficultiesin access to credit. In short, the factors responsible forthe slackness of internal demand could weigh on thespeed and strength of the recovery.

Performance of different types of newspapers The crisis left an evident mark on the press sector, whichis highly sensitive to the economic cycle. In 2009, dailynewspapers as a whole showed a drop by 5.9% in thenumber of copies sold on an average day, compared toprevious year. The most sensible drop, however, was thatof advertising revenues, which decreased by 16.4% inthe same period.

The cut in advertising and sales revenues hit severely theprofitability of publishing companies. In 2009, revenueswere 9% lower compared to 2008, reflecting also a 30%drop of add-on sales. In the same period, productioncosts decreased by 5%, not enough to avoid a sharp fallin earnings before interest, taxes, depreciation, andamortization (EBITDA) by 89.7%.

If the pressures on newspaper revenues continue in2010, publishers will be forced to gain some positiveimpact mainly by applying cost reduction plans.

In April 2009, free daily City, owned by the RCS MediaGroup (Corriere della Sera and La Gazzetta dello Sport),moved into paid print products. The free daily beganselling cooking books priced at EUR2 with theirnewspapers.

On February 3, 2010, newspaper Il Secolo XIX ofGenoa introduced a new compact format.

Newspaper launches / closuresOn September 23, 2009, a new national generalinformation daily called Il Fatto Quotidiano (The DailyFact) was launched. Published by Editoriale Il Fatto SpA,Il Fatto is a full colour newspaper printed in compactformat. Il Fatto’s backers said the newspaper aimed tocounter pressure from Prime Minister Silvio Berlusconiagainst press criticism. The newspaper, which comes outsix days a week and costs EUR1.20 (USD1.77), is beingfinanced without any state funding. According to thecompany articles, 70% shares can be owned byentrepreneurs, and each of them can hold up to 16%.The remaining 30% shares are owned by newspaperjournalists, who hold a blocking minority in the venture.Almost a half (43%) of Il Fatto circulation of about100,000 copies is sold by subscription. According toexecutives prior to the launch, the newspaper alreadyhad 27,000 subscribers.

Free afternoon daily 24 Minuti, published by businessnewspaper Il Sole 24 Ore, closed on April 1, 2009.According to the company, the closure is due to thecollapse in advertising revenue due to the globalfinancial crisis. The newspaper was launched in October 2006 with total circulation of 450,000. Thenine staff journalists who worked for the newspaper werealso employed by media group 24 Ore’s financial news agency Radiocor, and therefore did not lose theirjobs.

Advertising In 2009, advertising expenditure in all mediaplummeted by 13.2%. The only segment to grow wasonline advertising, with the Internet turnover increasedby 5.1% year-on-year.

The press advertising expenditure declined by 21.4%,which is more negative than the result of the overall admarket. Advertising expenditure in magazines showed a severe downward trend (-29.3%), while in dailynewspapers it decreased by 16.4%. Advertisingexpenditure in free dailies fell by 28.6%, and in paid-fordailies by 15.8%.



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As for other media, TV suffered a decline by 10.2%,radio by 7.7%, outdoor by 10.2%, and cinema by 7.7%.

In the first three months of 2010 advertisingexpenditures as a whole recorded an increase of 3.5%compared to the same period in previous year. The pressconfirmed a downward trend (-0.5%). Within thistrend, paid-for dailies showed a slight recovery (+3.5%),while free dailies (-12%) and magazines (-7%) were stilldeclining.

Circulation Circulation of daily newspapers was affected by thecontinued slump in consumption. In 2009, paidcirculation reported a 5.9% drop year-on-year. Thedecline was particularly sharp for national dailies (-9.0%); a critical factor was a decision of manypublishing companies to reduce distribution throughlow-margin promotional channels. Sports dailies, a largesegment of the Italian newspaper market, have alsosuffered an 8% drop over the period, reflecting thegeneral contraction in consumption. More resistant,although also declining (-2%), was paid circulation oflocal newspapers.

During 2009 the add-on market of daily newspapersconfirmed a negative trend with an 18% slowdown ofthe overall turnover. The two main players, RCS andGruppo L’Espresso, kept on increasing their own marketshares to the disadvantage of other minor players, eventhough the two recorded a slowdown of their turnoverand the average sales of each collection kept ondecreasing.

Readership Changes in readership auditing methods make the lastfigures of Audipress incomparable with those of previoussurveys. However, the last Audipress survey shows highlevels of newspaper readership in 2009. The number ofadult readers aged 14 years and over represented 24,108individuals on an average day in 2009, an increase of3.6% over 2008.

Since 2000, daily readership has been steadily growing.In ten years, newspaper reach increased from 39.3% ofall adult population to 46.2% The analysis found thatfree dailies have strongly contributed to this increase, atleast in the last four years, with about 6 million readersin 2009.

Online / Digital Publishing The daily net reach of printed newspapers and websitescombined exceeds by far 50% of adult population. Onan average day in 2009, newspaper websites were visitedby 4.2 million unique users. This represents more than8% of the universe of people aged 14 years and over.Newspapers are successfully leveraging their websites togrow their audiences, especially among young readers.

About 40% of all website unique users per day arenewspaper readers.

During 2009 the audiences of major Internet newswebsites grew continuously. According to Audiweb, thetwo major players, Repubblica and Corriere della Sera,continued to increase their unique audience.

All daily newspapers are present on the Internet,providing a selection of text, video and audio contentsdeveloped in a multimedia and interactive way. Theparticipation of users is strongly increasing as it has beenpointed out above (4.2 million users per day in 2009).

The evolution of the newspaper industry has demandeda different and more concentrated approach on how theprint and the Internet interact. In addition to their ownwebsites, the leading publishing groups are trying to get revenues by supplying value added services toprivate individuals and to telephone and Internetoperators.

There were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail.

A special unit of the police monitored websites forcrimes involving child pornography online. Thegovernment could request other governments to blockforeign-based Internet websites if they contravenednational laws. As an anti-terrorism measure, authoritiesrequired that Internet cafe operators obtain licenses.

In August 2009, Italy’s antitrust regulator launched a probe into Google Inc.’s Italian unit for alleged abuseof its dominant position, thus following a complaintfrom the Italian Federation of Newspaper Publishers(FIEG). FIEG claims that the Google News Italia’scontent aggregating lacks transparency and leavespublishers with no control over distribution andpresentation on the Web of the news they produce.News and information analysis that cost a lot are at riskof being thinned out in the digital world, wherepremium content publishers compete not only withother content producers, but also with completelydifferent businesses and products, including some thatthrive on distributing and aggregating the publishers’own content and on exploiting the relationship betweenpublishers and their customers.

The issue in this case is abuse, rather than dominantposition. Publishers are faced with two options only:granting Google a full access to their Web content, orwalling it off completely and thus blocking potentialWeb traffic coming from Google’s search engine, whichcontrol about 90% of the national search market,according to Italy’s Antitrust Authority. The lack of


ITALY

transparency could damage the companies that competewith Google in the online advertising market.

Newspaper publishers are not alone in complainingabout Google. Fedeweb, the Italian Federation of OnlinePublishers, have lodged a complaint with the AntitrustAuthority about Google’s Ad Planner. Formerly, on May2009, the European Newspaper Publishers’ Association(ENPA), published a statement on Google news andother news aggregators which urged Google to respectthe copyright protection of newspapers’ content, the faircompetition regarding editorial content and advertising,and balanced partnerships with newspaper publishers inEurope.

In February 2010, Carlo de Benedetti, president ofGruppo Editoriale L’Espresso, whose publicationsinclude the daily newspaper La Repubblica and weeklymagazine L’Espresso, outlined his support for paidonline content and his belief that both Google andInternet providers should be pushed to share incomewith content producers. De Benedetti argued consumersneed to pay for news. Without the readers who werepaying EUR1 each day for the print copy of LaRepubblica, the newspaper would not have been able tocarry out its ten questions to Berlusconi campaign, towhich the prime minister eventually responded inNovember 2009. “News that is free is worth nothing,”De Benedetti said, “If you want your content to bevalued you have to charge for it.” He also suggestedpublishers should take a strong stance against searchengines. “Google cannot exploit the content created byothers without giving anything in return,” he argued.“Aggregators do not respect the rules which protectintellectual property rights.”

Ownership Prime Minister Silvio Berlusconi’s family holdingcompany, Fininvest, held a controlling share in thecountry’s largest private television company, Mediaset,its largest magazine publisher, Mondadori, and its largestadvertising company, Publitalia. His brother owned oneof the country’s nationwide dailies, Il Giornale.

Prime Minister Berlusconi also controls three of Italy’sseven main terrestrial television channels; another three,operated by the state-owned RAI, answer to a parliamentdominated by his supporters; and he or his family own a weekly news magazine and the country’s biggestpublishing house.

Italy’s leading magazines and book publisher, ArnoldoMondadori posted a near 14 per cent fall in 2008 netprofit, leading it to propose to scrap its dividendpayment. Mondadori, owned by the family of PrimeMinister Berlusconi, and with operations in France andGreece, said it expected its business to perform less wellin 2009 than it did in 2008 because of the uncertaintyover consumer and advertising spending. At the release

of its results in March 2009, Mondadori proposed toallocate profits to an extraordinary reserve instead ofpaying them out as a dividend. Chief ExecutiveMaurizio Costa said the money could be used to financepossible acquisitions, though there was nothing on thetable at present.

Media / Press Laws The constitution provides for the freedoms of speechand of the press, and the government generally respectedthese rights in practice. An independent press, aneffective judiciary, and a functioning democraticpolitical system combined to ensure freedom of speechand the press.

On July 17, 2009, the European Court of HumanRights (ECHR) determined that the country hadviolated freedom of expression in a case in which a journalist had been convicted for defamation of a localpolitician.

During the year 2009 public officials continued to bringcases against journalists under the country’s libel laws.On August 28, 2009, Prime Minister Silvio Berlusconifiled a libel suit against the daily La Repubblica for thepublication of a list of leading questions over a period ofmonths. Some of the provocative questions played offpersonal issues that became public as Berlusconi’s wifeasked for a divorce. Ezio Mauro, editor-in-chief of LaRepubblica, said, “It is not only an attack on LaRepubblica but on freedom of the press.”

In September 2009, Prime Minister Silvio Berlusconisaid charges that press freedom in Italy was under threatwere a joke but the right to privacy was in real danger.Allegations about lack of press freedom “were a joke putout by a minority of communists and Catholic-communists who control 90 percent of the newspapers,”Berlusconi said in an interview with his own televisionnetwork. The wealthy media magnate accusednewspapers of acting as if freedom of the press wasfreedom to “mystify, insult and slander” by publishingreports linking him to prostitutes and under-age girls.

On September 2, 2009, Prime Minister Berlusconi suedthe daily L’Unita for libel for printing two unfavorablearticles on his private life in July and August of 2009.Berlusconi sought three million euros (USD4.3 million)in damages. He also demanded EUR200,000 apiecefrom five named journalists for its articles, including onesaying he abused his control of the media. L’Unita risksclosure if it loses against the prime minister.

On October 3, 2009, Milan’s civil court ruled thatCompagnie Industriali Riunite was entitled to EUR750million (USD1 billion) in compensation from Fininvest,which wrested control of the leading Mondadoripublishing house from CIR in 1991. Judge RaimondoMesiano’s ruling published on October 5, 2009, said


ITALY

Berlusconi was “co-responsible” for the bribery of a judge who decided in favour of Fininvest during thetakeover battle. CIR, whose honorary president isBerlusconi’s rival Carlo de Benedetti, controls thenewsweekly L’Espresso and the left-leaning dailynewspaper La Repubblica, both avid chroniclers of thesex scandals that have been dogging Berlusconi sinceApril 2009. Marina Berlusconi, the head of Fininvest and the daughter of the prime minister,announced the company would appeal against the courtdecision.

On October 21, 2009, the European Parliament rejecteda resolution denouncing the lack of press freedom inItaly. Parliamentarians rejected a European Commissionproposal for EU legislation to protect media pluralism inEurope by the narrowest of margins, with 338 votesagainst and 335 in favour amid 13 abstentions. Themotion would have seen the Parliament condemnpolitical interference with the media and call for EUlegislation to ban media monopolies in Europe. Prime Minister Silvio Berlusconi avoided officialcondemnation by the European Parliament,highlighting divisions among member countries overwhat some see as a purely national issue.

In January 2010, Internet companies and civil libertygroups voiced alarm over a proposed Italian law whichwould make online service providers responsible fortheir audiovisual content and copyright infringementsby users. The draft, due to be approved in February2010, would make Internet Service Providers (ISPs) likeFastweb and Telecom Italia, along with websites like

Google’s YouTube, responsible for monitoring TVcontent on their pages. The proposed law comes afterGoogle’s YouTube unit became engaged in a legal battlewith Mediaset, controlled by Prime Minister SilvioBerlusconi. Mediaset wanted 500 million euros indamages from YouTube for copyright infringement. Theproposed regulations would make Internet websites asliable as television stations for their content and subjectto hefty fines by the Italian Communications RegulatoryAuthority (AGCOM). Italy’s parliament, which heldconsultations with civil groups and Internet associations,was due to present a non-binding opinion to SilvioBerlusconi’s government in February 2010. The draftdecree only requires presidential approval.

Postal Issues The financial law valid for 2010 has reduced to EUR10million the allocation of funds for the reduction ofpostal tariffs for daily newspapers. The funds have beenalready dried up and the newspapers will benefit only a quarter of the amount allocated in the former budget.This leads to the conclusion that distribution costs willrise sharply and eliminate any attempt to increasesubscriptions that represent only 9% of total sales inItaly.

State Support EUR180 million have been set aside in 2009 and 2010to subsidize newspapers and periodicals which areofficial organs of political parties acting in theParliament, or published by cooperatives of journalists.According to the government financial forecast, thisamount will be cut by half in 2011.

Source: CIA – The World Factbook; US State Department; Italian Federation of Newspaper Publishers (FIEG); WAN-IFRA Editors Weblog; Garcia Media; FDN Newsletter; AFP; Reuters; Radio Netherlands Worldwide;

WAN-IFRA from public sources; EurActiv


ITALY



0-14 8,429 14.0 4,334 14.9 4,095 13.315-24 6,096 10.2 3,123 10.7 2,973 9.625-34 7,918 13.2 3,995 13.7 3,923 12.735-44 9,794 16.3 4,921 16.9 4,872 15.845-54 8,453 14.1 4,176 14.3 4,277 13.855-64 7,271 12.1 3,531 12.1 3,740 12.165 + 12,085 20.1 5,072 17.4 7,013 22.7Total 60,045 100 29,152 100 30,893 100

Source: Istat



A 888 1.7 527 2.1 361 1.3B 6,000 11.5 3,163 12.6 2,837 10.5C 33,916 65.0 16,445 65.5 17,471 64.5D 9,340 17.9 4,117 16.4 5,223 19.3E 2,035 3.9 828 3.3 1,207 4.4Total 52,179 100 25,107 100 27,072 100

Source: Audipress 2009



1 person 7,273 33.22 people 6,794 31.03 people 4,443 20.34 people 374 1.75 or more people 85 0.4Total 21,916 100

Source: Istat




Without children 11,538 49.7With children 11,679 50.3

aged 0-5 3,095 26.5aged 6-13 2,698 23.1aged 14-17 1,985 17.0aged 18+ 3,901 33.4

Total 23,217 100

Source: Istat


Age Housewives000 %

Total 7,480 100

Source: Istat

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 94 96 94 93 94 0.00 1.08Total paid-for dailies 89 86 85 84 85 -4.49 1.19

National paid-for dailies 21 21 23 23 24 14.29 4.35Regional and local 68 65 62 61 61 -10,29 0.00paid-for dailiesMorning paid-for dailies 89 86 85 84 85 -4.49 1.19

Total free dailies 5 10 9 9 9 80.00 0.00National free dailies 5 5 5 5 5 0.00 0.00Regional and local - 5 4 4 4 - 0.00free dailies

Total paid-for non-dailies - 5 - - - - -National paid-for non-dailies - 2 - - - - -Regional and local - 3 - - - - -paid-for non-dailies

Source: 2005-2007 FIEG; 2008 FIEG; WAN assessment (free dailies); 2009 FIEG;WAN-IFRA assessment (free dailies)



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 8,582 9,484 9,453 9,676 8,865 3.30 -8.38Total paid-for dailies 5,462 5,510 5,494 5,291 4,842 -11.35 -8.49

National paid-for dailies 3,512 3,595 3,577 3,440 3,050 -13.15 -11.34Regional and local 1,950 1,915 1,917 1,851 1,792 -8.10 -3.19paid-for dailies

Total free dailies 3,120 3,974 3,959 4,385 4,023 28.94 -8.26National free dailies 1,900 1,900 1,850 1,900 1,900 0.00 0.00Regional and local 1,220 2,074 2,109 2,485 2,123 74.02 -14.57free dailies

Source: 2005-2007 FIEG; 2008 FIEG; WAN assessment (free dailies); 2009 FIEG;WAN-IFRA assessment (free dailies)

Paid-for dailies circulation figures are based only on information from FIEG members

(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


National paid-for dailies 1,217 1,238 1,230 1,205 1,050 -13.72 -12.86Regional and local 686 670 672 659 608 -11.37 -7.74paid-for dailiesMorning paid-for dailies 1,903 1,908 1,902 1,864 1,658 -12.87 -11.05

Total free dailies 811 1,037 1,033 1,101 992 22.32 -9.90National free dailies 811 861 887 918 - - -Regional and local - 176 146 183 - - -free dailies

Source: FIEG estimates

Paid-for dailies circulation figures are based only on information from FIEG members



ITALY

4.b Sales revenues

(Italy, euro, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 1,654 1,683 1,575 1,560 1,400 -15.36 -10.26National paid-for dailies 1,166 1,174 1,115 1,105 914 -21.61 -17.29Regional and local 488 509 460 455 486 -0.41 6.81paid-for dailies

Source: FIEG estimates

Excluding VAT

(%)2005 2006 2007 2008 2009


Home deliveries - - - 0.4 0.4Postal deliveries 9.3 9.0 8.5 8.6 8.6

Total 100 100 100 100 100

Source: FIEG

Estimate


(Italy, euro)min max


Source: FIEG


(%)Reached

All adults 46.2

Source: Audipress



group

14-17 3.8 39.518-24 9.4 50.125-34 17.0 48.435-44 20.0 48.345-54 17.2 50.055-64 14.2 46.165 + 18.4 36.3Total 100 -

Source: Audipress


(minutes per day)2005 2006 2007 2008 2009

All newspapers - 43.9 79.0 - 64.0Magazines - 12.5 40.3 - 26.0Radio - 55.1 77.7 - 81.0Television - 90.1 96.4 - 98.0Internet - 28.5 45.3 - 47.0Mobile phones - - 86.4 - 85.0

Source: 2006 Audipress; 2007, 2009 Censis

Weekly regular frequency: readers, viewers, listeners, Internet users who make useof media at least once a week; percentages of all population


(000)2005 2006 2007 2008 2009

Total dailies - - - - 24,108Total paid-for dailies - - - - 18,103Total free dailies - - - - 6,005

Source: Audipress


6.a Online editions

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 96 96 107 106 108 12.50 1.89

Source: FIEG



Total dailies - 45,000 65,000 80,000 86,000 - 7.50

Source: FIEG

There were 3,604,000 unique visitors on an average day of the month in 2008

Newspaper Publishing company Website Unique visitorsper month

(000)

La Repubblica Gruppo Edit. L'Espresso repubblica.it 6,700Corriere Della Sera RCS Media Group corriere.it 6,100Il Sole 24 Ore Il Sole 24 Ore S.P.A. ilsole24ore.com 3,900La Gazzette RCS Media Group gazzetta.it 3,100Dello Sport

La Stampa Editrice La Stampa S.P.A. lastampa.it 1,800Corriere Dello Sport Corriere Sport S.R.L. corrieredellosport.it 1,200Il Giornale Europea Edizioni S.P.A. ilgiornale.it 1,100Il Messaggero Il Messaggero S.P.A. ilmessaggero.it 690





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(Italy, euro, bln)2005 2006 2007 2008 2009

GDP 1,428.4 1,480.0 1,535.5 1,572.2 1,493.6

Source: Istat via FIEG


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(Italy, euro, 000)2005 2006 2007 2008 2009

GDP per capita 24.2 25.2 25.8 26.3 24.9

Source: Istat via FIEG


ITALY


(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.59 0.59 0.59 0.55 0.50 0.49 0.50 0.51


(Italy, euro, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 2,756.0 2,828.0 2,912.0 2,690.2 2,112.9 1,983.5 2,018.0 2,045.5Newspapers 1,623 1,627 1,681 1,549 1,260 1,190 1,217 1,240Magazines 1,133 1,201 1,231 1,141 853 793 801 806

Television 4,776 4,704 4,761 4,704 4,205 4,302 4,409 4,542Radio 484 522 563 575 517 528 546 577Cinema 70 64 59 49 45 43 45 47Outdoor 315 312 318 309 232 225 230 241Internet 143 206 294 335 357 401 473 568Total 8,544 8,637 8,907 8,663 7,468 7,482 7,722 8,019

Source: Media Key; AC Nielsen; ZenithOptimedia

Includes agency commission; excludes production costs; includes some classifiedadvertising; after discounts; Magazines includes newspaper supplements; Internetincludes display, classified, search




Total dailies 1,601.0 1,633.0 1,711.4 1,605.8 1,357.6 -15.20 -15.46Total paid-for dailies 1,537 1,563 1,623 1,525 1,300 -15.42 -14.75National paid-for dailies 1,001 1,035 1,085 1,035 856 -14.49 -17.29Regional and local 536 528 538 490 444 -17.16 -9.39paid-for dailies

Total free dailies 64.0 70.0 88.4 80.8 57.6 -10.00 -28.71Total online newspapers 1 - 49.0 59.9 73.9 78.0 - 5.55

Source: FIEG; Osservatorio FCP-FIEG; Nielsen

2005-2006 Typical discount to ratecard is around 50%. VAT not included. The above figures include classifieds and inserts1 FIEG estimate


In colour 474,883 527,349 585,412 601,456 597,161Total 158,172 237,774 358,529 422,170 420,170

Source: Osservatorio FCP-FIEG


(%)2005 2006 2007 2008 2009


Source: Osservatorio FCP-FIEG



Automotive 13.9Fashion and clothing 10.3Finance and insurance 9.6Retail 9.1Legal and professional services 9.1Home furnishings and supplies 6.0Media/publishing 5.6Tourism and travel 4.5Building industry 4.3Personal objects 4.1

Source: AC Nielsen


Advertiser Expenditure (Italy, euro, 000)

Toyota 20,200Fiat 17,400Media Market 13,800Vodafone 13,000Telecom It. Mobile 12,200Eni Roma 11,700Peugeot 11,400Poltrone E Sofa’ 11,100Volkswagen 10,700Citizen It. 10,200

Source: AC Nielsen



(year) (000) (000) (Italy, euro) (Italy, euro)

Corriere della Sera 1876 Italian RCS Media Group 540 2,870 1.20 Rheinish - 175,800La Repubblica 1976 Italian Gruppo Edit. L’Espresso 499 3,209 1.00 Berliner - 158,000La Gazzetta dello Sport 1896 Italian RCS Media Group 351 3,995 1.00 Belgian - 95,000La Stampa 1867 Italian Editrice La Stampa Spa 300 1,693 1.20 Berliner - 228,660Il Sole 24 Ore 1865 Italian Il Sole 24 Ore Spa 283 1,032 1.50 Nordic - 234,290Corriere dello Sport 1924 Italian Corriere dello Sport Srl 205 1,677 1.00 Belgian 78,000 78,000Il Messaggero 1878 Italian Il Messaggero Spa 202 1,293 1.00 Rheinish 129,248 193,872Il Giornale 1974 Italian Soc. Europea Ed. Spa 185 767 1.20 Rheinish - 100,800Il Resto del Carlino 1885 Italian Poligrafici Editoriale 151 1,330 1.20 Tabloid 150,000 210,000La Nazione 1859 Italian Poligrafici Editoriale 123 926 1.20 Tabloid 150,000 210,000

Source: FIEG; Audipress



ITALY


(year) (000) (000) (Italy, euro)

Leggo 1 2001 Italian Leggo S.P.A. 1,050 2,201 Tabloid 148,560 148,560Metro 2 2000 Italian Edizioni Metro S.R.L. 850 1,771 Tabloid - 166,792City 3 2001 Italian RCS Freepress S.R.L. 840 2,033 Tabloid 100,000 100,000DNews 4 2008 Italian Mag Editoriale S.R.L. 500 - Tabloid - 44,00024 Minuti 5 2007 Italian Il Sole 24 Ore 500 6 - Tabloid - -E Polis 7 2006 Italian E Polis S.P.A. 488 1,445 Tabloid 144,000 180,000

Source: ADS; Audipress; FIEG from public sources1 15 local editions in 20092 Seven editions published at the beginning of 2009; Bergamo edition launched in 2006 was closed down in 20083 First launched in Milan and Rome; present in nine markets at the beginning of 20094 Formerly four editions launched in Rome, Milan, Verona and Bergamo; distributed in public transport, bars, coffee shops, bakeries and pastry shops5 Available from 4 p.m.; the newspaper ceased publishing in April 20096 WAN-IFRA estimate7 The E Polis concept started in 2004 with Il Cagliari, followed by Il Venezia, Il Mestre, Il Padova, Il Treviso, Il Verona, Il Vicenza, Il Bergamo, and Il Brescia, with 35,000 to

40,000 copies for each edition. In June 2006, Il Firenze (60,000) followed; Milan and Rome from August 2006; Napoli by the end 2006, when E Polis run 13 editions. The 14th edition in Bologna launched in January 2007 with a circulation of 50,000; the 15th edition Il Napoli was launched the same day. Less than 10% circulation is sold in newsstands at 50 cents, majority of copies distributed for free in coffee houses, restaurants, bars and other public places. The company formerly aimed at 30titles with a combined circulation of one million at the end of 2008; the 15 editions were said to have a combined circulation of 650,000 to 750,000 in 2007, althoughthe readership was 515,000 in 2006/2007. Local editions are distributed for free, although the official cover price is EUR0.50.


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total number of journalists 6,469 6,660 6,731 6,723 6,491 0.34 -3.45Number of part-time journalists 752 890 900 - - - -

Total number of employees 13,764 13,857 13,726 13,375 12,971 -5.76 -3.02

Source: INPGI; Fondo Casella

9.a Employment


Total salary costs 935 948 954 985 980 4.81 -0.51

Source: FIEG/Publishing companies balance sheets

9.b Salaries


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 96 101 103 103 104 8.33 0.97Broadsheets 53 53 50 45 40 -24.53 -11.11Tabloids 43 48 53 58 64 48.84 10.34

Source: FIEG


(%)2005 2006 2007 2008 2009

Single copy sales 26 26 26 26 26Postal deliveries 14 14 14 14 14

Source: FIEG


(Italy, euro)2005 2006 2007 2008 2009

Single copy 0.22 0.26 0.24 0.24 0.24Subscription 0.13 0.13 0.14 0.14 0.14

Source: FIEG

(Italy, euro)2005 2006 2007 2008 2009

Average per ton 495 526 533 527 541

Source: FIEG

Imported newsprint


11. Research (2009)

Circulation is audited byADS (Accertamento Diffusione Stampa)

Readership is measured byAudipress

MethodologyADS – Audits the circulation of daily newspapers viaexternal auditing companies. Readership is measured byAudipress: interviews with a sample of 20,000individuals, reported yearly, in two waves: autumn andspring; universe size 51,397,000 adults (14+); surveyingmethod: CAPI (Computer Assisted PersonalInterviewing).

Source: FIEG

Tax %




Source: FIEG

12. Taxes (2009)


ITALY




Are there any direct subsidies? Yes. Subsidies are granted only to newspapers andperiodicals published by political parties or bycooperatives of journalists.

Source: FIEG



Total amount 150 150 150 150 150 0.00 0.00

Source: FIEG

Direct subsides are available only for newspapers and periodicals which are officialorgans of political parties acting in the Parliament, or published by cooperativesof journalists



Post 40 1

Railroad 0Telephone 50Telegraph 0Telex 0Other 0

Source: FIEG1 At the beginning of 2010, the fund set aside by the government for the post

discounts to newspapers and periodicals was short of resources. The benefit for the press has been actually reduced by 25%.


Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?Yes, individuals and corporations have to register theirnewspaper interests. Magazines with five or more full-time journalists and more than 12 issues a year count asnewspapers for these purposes.

Is there any law prohibiting or restricting foreign companiesor individuals from owning shares, and in particular, themajority of shares, of domestic daily newspapers?No restriction on EU countries. Reciprocalarrangements apply to some other countries.

Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?Previous restrictions have been lifted. However, for a period up to 31 st December 2010, TV station ownersmay not own daily newspaper publishing companies.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?Law 416 (Article 1) provides that daily newspapers mustbe owned only by individuals, private unlimitedpartnerships, limited partnerships (non-stockcorporations) and public corporations. Voting shares orpartnership of a publishing house may be registeredunder the name of another company only if themajority of the voting shares of this other company areregistered under the name of individuals or companiesquoted on the stock exchange, whose identity is thus a matter of public record.

Is there an antitrust law limiting concentration in the dailypress?Law 416 (Article 4) specifically limits daily pressconcentration to 20% of all circulation, or 50% in oneof Italy’s four large (‘macro’) regions, or half of titles inone of the 21 smaller regions. (The latter rule obviouslydoes not apply if there is only one title.) Any purchase(or equivalent) which breaches these limits is liable to bedeclared void in court, but the limits may be exceededin the normal course of organic business growth.


Source: FIEG


ITALY




One licence per micro region

and three licences in allNot allowed

Max 50% of circ. in anymacro region/max half oftitles in any micro region

Max 20% of all circulation No national stations, but regional stations allowed

National TVLicensees Not allowed Max 20% of national

stations (i.e. 2 of 12)

1 channel=max 16% of alldaily circ. 2 channels=8%,

3 channels=0%


3 channels=0%Not allowed



and three licences in all


3 channels=0%


Max 20% of all circulation No limit



and three licences in all


3 channels=0%


Max 20% of all circulation No limit

Local Radio Licensees Allowed Not allowedMax 50% of circ. in any

macro region/max half oftitles in any micro region

Max 20% of all circulation No nat. stations, but furtherregional stations allowed

National Radio Licensees Not allowed Not allowed


Max 20% of all circulation Max 25% of national stations

Foreign Investors No limit inside EU.

Reciprocal arrangementswith some other countries

No limit inside EU.Reciprocal arrangements

with some other countries







Source: FIEG

There are four macro-regions and 21 micro-regions. No-one may control more than 20% of total newspaper circulation, regional plus national.


KOSOVO

General economic situation Over the past few years Kosovo’s economy has shownsignificant progress in transitioning to a market-basedsystem and maintaining macroeconomic stability.Nevertheless, it is still highly dependent on theinternational community and the diaspora for financialand technical assistance. Remittances from the diaspora,located mainly in Germany and Switzerland, areestimated to account for about 15% of GDP, and donor-financed activities and aid for another 15%. Kosovo’scitizens are the poorest in Europe with an average annualper capita income of only USD2,300. Unemployment,at around 40% of the population, is a significantproblem that encourages outward migration and blackmarket activity. Most of Kosovo’s population lives inrural towns outside of the capital, Pristina. Inefficient,near-subsistence farming is common - the result of smallplots, limited mechanization, and lack of technicalexpertise. Kosovo’s tie to the euro has helped keep coreinflation low. The inflation rate was estimated at 5.3% in2007.

Performance of newspapers vs. other media As of August 2009, the country had 110 licensedbroadcasters, 42 of which broadcast in minoritylanguages. The broadcasters expressed a wide variety ofviews.

Of the 68 broadcasters whose primary language wasAlbanian, the three entities of the publicly funded RadioTelevision Kosovo (RTK) group (RTK TV, RadioKosova, and Radio Blue Sky) also broadcast daily inminority languages.

There were 22 television stations. Right before the localelections in November 2009, the general director ofRadio Television Kosovo (RTK) submitted hisresignation after eight years in the position, citingpolitical pressure even from the prime minister.

The number of news agencies did not change between2008 and 2009. Kosovo has only two existingsubscription-based news agencies: Kosovalive andKosovapress.

The majority of national media reserve space forinternational news and subscribe to international newsagencies such as Reuters, AP, and AFP. Subscriptionnews agencies have continued to decline in importance,however, given the free news available to the publicthrough news agencies that publish their news online.Media outlets still subscribe to agencies because Kosovoneeds news sources that can provide unbiased reporting.

The government does not restrict the issuance of licensesand does not hamper the flow of information fromabroad. Regarding international media, journalists have

unrestricted access to foreign news agencies, websites,and newspapers.

Performance of different types of newspapers There are nine daily newspapers.

A few newspapers were financially self-sufficient andthus were able to develop editorial policies independentof business and political interests. However, othernewspapers relied on funding from businesses andpolitical interest groups, including the government,which provided financial support in exchange forpositive coverage or absence of critical coverage.

Newspaper launches / closuresIn the second half of 2009, a ninth daily newspaper waslaunched.

Advertising The print media have no advertising space limit.Electronic media are allowed by law to air 12 minutes ofadvertising per broadcasting hour, that is 20 percent ofbroadcasting time. The Independent MediaCommission (IMC), the body in charge of mediamonitoring, occasionally allows the advertising time tobe increased. “One month, during an election campaign,the media requested that IMC grant an expansion ofadvertising time, since political parties required their adsbe aired during prime time. This request was approvedby the IMC,” said Ardita Zejnullahu, executive directorof Association of Kosova Independent Electronic Mediain Prishtina.

Act 40.3 of Law no. 2003/17 on public procurementstipulates that government advertisements andannouncements should be given to the media with thehighest circulation in Albanian and Serbian languages.However, government institutions do not follow this rule.

According to editors, government agencies andcorporations withdrew regular advertising fromnewspapers that had published critical coverage of them.

Larger businesses, such as banks, mobile telephonecompanies, and insurance companies very seldom electto advertise in local media. Small businesses in generalrarely use media to advertise.

Readership The media has seen no improvement in 2009 on theavailability of market research data, and no promisinginitiatives to improve the situation are in development.

Online / Digital Publishing There were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groups



KOSOVO

could engage in the peaceful expression of views via theInternet, including by e-mail.

In Kosovo, blogs are not used commonly for news orinformation, although individuals and organizations useblogs to express their opinions and exchange commentson individual articles.

Social networking sites such as Facebook and YouTubeare used widely, especially by the younger generation.Twitter is gaining popularity in Kosovo very rapidly.

Ownership Every medium registered in Kosovo is obliged to declareits owners, and information on ownership is open to thepublic, but Kosovo has no specific law or regulation onmedia ownership.

Veton Surroi, a politician who is currently critical of thegovernment, owns a TV station and Koha Ditore, thedaily newspaper with the biggest circulation.

Other daily newspapers in Kosovo are also owned orinfluenced by politicians:

Kosova Sot, the second largest daily newspaper is ownedby Ruzhdi Kadriu, owner of large supermarkets inPristina.

Gazeta Express is owned by IPKO, who also controls thebiggest cable TV and Internet network and is the secondbiggest mobile network provider in Kosovo. In 2009,one of the most successful businesspeople in the country,Remzi Ejupi, bought Gazeta Express and expressedinterest in buying another newspaper as well. Accordingto Visar Ymeri, member of the anti-establishmentpolitical organisation Vetevendosje (Self-Determination), IPKO’s close links to the PartiaDemokratike e Kosoves (PDK) makes it a characteristiccase of the complex between political and businessinterests. “Dino Hasanaj, the head of PrivatisationAgency Board, responsible for overseeing a long termprivatization process of multiple public assets, appointedthere by PDK, is said to own shares in IPKO, while therehave been talks that IPKO’s CEO Akan Ismaili is goingto run for Pristina Mayor on the PDK list,” he says.

Infopress is published by Rexhep Hoti, a close associateof Hashim Thaci, who publicly declares that he supportsThaci regardless of his policies; his newspaper ran thecampaign against Jeta Xharra.

Epoka e Re is under PDK influence, as Epoka e Re andInfopress get the most of governments advertisements,while being the least sold newspapers.

Lajm is owned by Behxhet Pacolli, a businessman turnedpolitician, heading the third strongest party AleancaKosova e Re (AKR).

Zeri is owned by Blerim Shala, Aleanca per Ardhmerinee Kosoves (AAK) vice president. AAK is the party orRamush Haradinaj, who resigned as Kosovo’s Prime Minister in March 2005 after his indictment by the International Criminal Tribunal for the former Yugoslavia, for 37 counts of war crimes. He was acquitted on April 3, 2008, returned to Kosovoand immediately resumed his duties as president of theparty.

The tight weave among politicians, media and businessinterests in Kosovo plays a significant role on the toughstruggle for power undergoing in the newborn republic.Local elections will take place in November 2010. Thereis a lot of activity going on, with media playing a significant role in promoting various politicians, butalso legitimizing a widely devaluated political process,according to Mr Ymeri: “It started by getting each othersmembers, and it is continuing by accusing each other onwho is the most corrupted. This shows that thelegitimacy of all the parties is in crises.” In the lastKosovo elections held in 2007, only 37% legible votersvoted.

Media / Press Laws The constitution and law provide for freedom of speechand of the press, and the government generally respectedthese rights in practice. However, there were reports thatreporters were intimidated by public officials,politicians, and businesses. The media also encountereddifficulties and obstructions in obtaining informationfrom the government and public institutions. The lawon broadcast media prohibits hate speech and speechthat incites ethnic violence.

Individuals generally could criticize authorities publiclyor privately without reprisal.

There was no direct censorship of print or broadcastmedia; however, journalists reported pressure frompoliticians and organized crime, which frequentlyresulted in indirect forms of censorship.

The assembly passed a law defining libel as a civil crime.The government is not enforcing the law, however, andthere still seems to be confusion on whether libel is partof the civil or penal code. So far, however, the court hasnot seen a single libel case, nor has any journalist beensentenced to prison on libel charges.

Print media self-regulated through a code of conductadopted by the Press Council, an organization composedof print editors and publishers, and led by aninternational member elected by the council. TheCouncil’s complaint board may impose fines forbreaches of the code of conduct, including penalties ofup to 2,000 euros (USD2,860) for serious violations,such as hate speech or defamation.


KOSOVO

The Independent Media Commission (IMC)implemented regulations and enforced codes of conductgoverning broadcast media. The commission is a permanent body overseen by a six-member governingcouncil.

The Radio Television Kosovo (RTK) board of directorsis responsible for overseeing RTK, the country’s publicbroadcaster, and the Ministry of Finance controlled itsbudget. The law provides for regulation of RTK programcontent and requires that at least 15 percent of RTKprogram time, including prime time, be dedicated tominority communities in their respective languages on a proportional basis. On October 9, 2009, the Assemblyselected the nine members of the RTK Board ofDirectors and the Board selected its chairman onOctober 27, 2009.

The RTK board actually functioned with an expiredmandate for nearly three years, and the Assembly ofKosovo was negligent in selecting and appointing thenew board until it appointed the new board in October2009.

There were no reports of censorship or harassment for the publication of books, and publishing houses expressed a wide variety of views withoutrestriction.

On May 3, 2009, local daily newspaper Express reportedthat a police security detail detained photographer FisnikDobreci while he was taking photos of President Sejdiuat lunch with the family of former president Rugova.Express reported that police detained Dobreci in a policevehicle until the end of the lunch and threatened himwith five years in prison. The paper filed a lawsuitagainst the police, without effect. An internal policereview concluded that the police had actedappropriately.

On June 18, 2009, the Committee to Protect Journalistsasked Prime Minister Thaci to publicly condemn andinvestigate a recent wave of threats against televisionjournalist Jeta Xharra. Xharra, the director of theBalkans Investigative Reporting Network (BIRN), hadaired a video report on May 28, 2009, showing a BIRNnews team being expelled from Skenderaj/Srbicamunicipality’s public information office and beingforced to leave town by an armed individual whoconfiscated some of the film crew’s footage. Following the release of the video, a series of lettersthreatening Xharra appeared in Infopress, a localnewspaper supportive of the Democratic Party ofKosovo (PDK) party. On June 22, 2009, the PressCouncil, responding to a complaint filed by Xharra,concluded that the opinions published by Infopressconstituted hate speech and fined the newspaper 1,000euros (USD1,430).

Printing & Distribution Printing houses are in the hand of private individuals,and the state has never tried to control them. Printhouses are increasing in number and advancing theiroutput.

The newspaper distribution network remains under amonopoly, claims Bardh Hamzaj, former editor-in-chiefof the daily newspaper Zeri.

State Support Until the end of 2009, the state did not give anysubsidies to the public media, although the Law onRadio Television of Kosovo is neutral as to whether thepublic media could be financed from the state budget.

Based on the law that regulates its operation, RadioTelevision Kosovo (RTK) is financed primarily throughsubscriptions and advertisements, and from the statebudget. The subscription fee for RTK has been collectedthrough the bills of the Kosovo Energy Corporation inthe amount of EUR3.5 (USD5) per month from eachbill.

On October 16, 2009, the Constitutional Courtsuspended RTK’s principal funding mechanism, theEUR3.5 monthly fee that had been added to allelectrical bills. The suspension of the fee caused theEuropean Broadcast Union to issue a public letter notingthat this decision endangered the broadcaster’sindependence, as it would increase the likelihood thatRTK would have to engage in the political process ofgoing to the Assembly for funding. Authoritiescontinued to search for a funding mechanism that wouldpreserve RTK’s independence and operations.

Under the Minority and Multiethnic Media Fund, thegovernment has allocated EUR180,120 to 17 mediastations in 2009.

Private media do not receive any state subsidies, exceptfor some allowances to multi-ethnic and minority mediain order to promote and support minorityprogramming.

Other Factors Some journalists refrained from critical investigativereporting out of fear for their personal security.Journalists were occasionally offered financial benefits inexchange for positive reporting or for abandoning aninvestigation; some were verbally threatened bygovernment officials and suspected criminals forperceived negative reporting.

During the year 2009 the Association of ProfessionalJournalists of Kosovo (APJK) reported 20 instances ofpress freedom abuse by government officials, businessinterest groups, and media owners including verbalthreats to journalists and their agencies by individuals


KOSOVO


Source: CIA – The World Factbook; US State Department; IREX – Media Sustainability Index 2010; The Short StoryMade Long – A space for undermined journalistic work (blog)

affected by negative media coverage, pressure not topublish certain materials and articles, and obstruction oftheir work.

During the year 2009 there were several incidents ofviolence or harassment directed at the media.


0-14 501 28 261 28 240 2715-64 1,186 66 618 67 568 6565 + 118 7 50 5 68 8Total 1,805 100 929 100 876 100



Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies - - 8 8 9 - 12.5



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies - - 30 30 32 - 6.67

Source: 2007 Kosovo Institute of Journalism and Communication; WAN estimate;2008 WAN estimate; 2009 WAN-IFRA estimate


(Kosovo, euro)min

Single copy 0.20

Source: Wikipedia


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies - - - 4 4 1 - 0.00

Source: 2008 WAN assessment; 2009 WAN-IFRA assessment1 Including websites of Koha Ditore, Gazeta Express, Bota Sot, and Lajm

6.a Online editions

(Kosovo, euro, bln)2004 2005 2006 2007 2008

GDP - - - 2.9 3.8

Source: 2007 CIA – The World Factbook; 2008 Government of Kosovo via TheEconomist



(Kosovo, euro, 000)2004 2005 2006 2007 2008

GDP per capita - - - 1.3 1.8

Source: 2007 CIA – The World Factbook via Index Mundi; 2008 Government ofKosovo via The Economist


Title Founded Language Publishing Format company

(year)

Koha Ditore (Daily Time) 1997 Albanian Koha Group BroadsheetGazeta Express 2005 Albanian MediaWorks -(Express Newspaper)

Epoka e Re (The New Epoch) - Albanian - -Lajm (News) 2004 Albanian Mabetex Group BroadsheetZëri (The Voice) - Albanian - -Kosova Sot (Kosovo Today) 1998 Albanian - -Bota Sot (World Today) - Albanian - -Infopress - Albanian - -

Source: Wikipedia; BBC News; Kosovo Institute of Journalism and Communication(KIJAC); WAN-IFRA from public sources


LATVIA

General economic situation Latvia’s economy experienced GDP growth of more than10% per year during 2006-07, but entered a severerecession in 2008 as a result of an unsustainable currentaccount deficit and large debt exposure amid thesoftening world economy. The International MonetaryFund, European Union, and other donors providedassistance to Latvia as part of an agreement to defend thecurrency’s peg to the euro and reduce the fiscal deficit toabout 5% of GDP. The majority of companies, banks,and real estate have been privatized, although the statestill holds sizable stakes in a few large enterprises. Theinflation rate was estimated at 3.3% in 2009.

Performance of newspapers vs. other media The country has one state owned television station,Latvian National Television (LTV), and one radiostation, Latvian National Radio. Privately ownedtelevision and radio outlets also operated in the country.Independent media were active and expressed a widevariety of views without government restriction.

Russian language print and electronic media were alsoprevalent and active. Extensive Russian-languageprogramming was available on both traditional channelsand cable networks.

Performance of different types of newspapers There was one government-owned newspaper, whichprimarily published official records of governmentactions and decisions. Other newspapers were widelybelieved to be associated with political or economicinterests.

Daily newspaper Diena which has the biggestcirculation, is published by Diena media group. Thecompany publishes both national and regional press, as well as magazines and books.

Dienas Bizness, also published by Diena media group, isLatvia’s largest business newspaper, which also operatestwo business information websites. Dienas Biznessorganizes conferences and publishes handbooks forbusiness.


Ownership By 2007, almost all private Latvian-language media inthe country had become foreign owned. RupertMurdoch’s company News Corp Europe has purchasedthe leading Latvian TV station, LNT, and 70 percent of

TV5. The British-based Swedish company ModernTimes Group (MTG) controls TV3 and the Russian-language 3+, as well as several radio stations, includingStar FM. The major newspaper Diena was owned by theBonnier Group, a multinational Swedish company. Thiscompany also controled about one-third of localnewspapers and the Baltic News Service.

The newspapers Neatkariga Rita Avize and Vakara Zinashave been controlled by the owners of Ventspils Nafta,an oil concern, but it appears that the ownership has alsomoved “offshore.” Another leading newspaper, LatvijasAvize, is controlled through Ventbunkers, which in turnis under the direction of a foreign-owned corporationbased in the Netherlands. The most watched and usedInternet news source and interaction Web site, Delfi, waspurchased by the Estonian Ekspress Grupp on August 2,2007.

The Russian-language First Baltic Channel, a Baltic-wide television network based in Riga, and the leadingRussian newspapers Vesti Segodnya, Chas, and Telegrafappear to be locally owned. Their limited audiences andprofit margins have not yet enticed foreign firms to buythem out. Telegraf, however, was sold, and Janis Jurkans,a former Latvian minister of foreign affairs, is one of thenew owners.

In July 2009, Bonnier Business Press, a subsidiary ofSwedish media giant Bonnier, sold Latvian media groupAS Diena to Nedela S.A., a company led by former CEOof newspaper Diena, Aleksandrs Tralmaks. AS Dienapublishes the largest-circulation newspaper, Diena, andthe business daily Diena’s Bizness.

Tralmaks is the sole owner of Nedela S.A., but the dealwas financed 100% by Luxembourg Financial Services(LSF). According to a statement, made by BonnierBusiness Press, LSF is owned by a group of wealthyEstonian entrepreneurs, headed by Kalle Norberg, oneof LFS founders.

Tralmaks pointed out that Nedela S.A. plans includefurther investments to enhance development of thecompanies. However, in the near future, no majorchanges are expected in the work of both enterprises, asthe former owners have already taken significant actionto adjust the organizations to the prevailing economicalenvironment. Tralamks also underlined that, in the longterm, the companies will focus on developing theInternet versions of Diena and Dienas Bizness.

Estonian business website Aripaev.ee estimates that thevalue of the deal could be around EEK0.5 billion(LVL44.9 million); the parties, which concluded thedeal, abstain from revealing the actual figure. Aripaev.eeestimated also that the Estonian investment in Latvia



LATVIA

might even reach nearly a billion Estonian kroons, thehighest amount ever invested from Estonia to Latvia.

Media / Press Laws The constitution and law provide for freedom of speechand of the press, and the government generally respectedthese rights in practice.

In contrast with 2008, there were no reports of policedetaining persons for publically suggesting that thecountry’s banking system or currency were unstable.

The law criminalizes incitement to racial or ethnichatred.

The law governing broadcast media contains a numberof restrictive provisions regulating the content andlanguage of broadcasts. Primary broadcast radio andtelevision stations are required to use the state language(Latvian), and secondary broadcasters are allotted up to20 percent of total broadcast time for non-Latvianlanguage programming. Non-Latvian television

broadcasts are required to have Latvian subtitles.However, these laws only apply to terrestrial broadcasts,as opposed to satellite or cable television.

In December 2009 a court postponed until February2010 its hearing of the government’s appeal of a 100,000lat (USD200,000) civil award for invading the privacy ofLTV journalist Ilze Jaunalksne. The case included a review of possible criminal conduct by financial policeinvolved in the case.

Postal Issues In June 2009, Latvian Post reported it was consideringreducing newspaper delivery days to just five a week tocombat a fall in subscribers and a worsening economiccrisis. Latvian Post said that the six-day delivery servicewas proving expensive. It noted that it was already in theprocess of cost-saving measures for mail delivery but wasnow asking publishers whether or not a five-daynewspaper service is necessary given subscribed pressvolume. It said a decision had not been made but ifapproved would be submitted to ministerial advisors.

Source: CIA – The World Factbook; US State Department; Press Business; Hell Mail; Baltic Media News; Freedom House



0-14 310.3 13.7 158.7 15.2 151.6 12.415-24 341.3 15.1 173.8 16.7 167.5 13.725-34 325.6 14.4 165.4 15.9 160.2 13.235-44 313.4 13.9 154.9 14.8 158.5 13.045-54 328.2 14.5 154.3 14.8 173.9 14.355-64 251.6 11.1 108.3 10.4 143.3 11.865 + 390.9 17.3 127.7 12.2 263.2 21.6Total 2,261.3 100 1,043.1 100 1,218.2 100

Source: Central Statistical Bureau of Latvia



1 93.1 9.4 53.1 11.1 40.0 7.92 169.0 17.1 57.9 12.0 111.1 21.93 154.7 15.7 54.4 11.3 100.3 19.84 50.9 5.2 9.0 1.9 41.9 8.35 131.9 13.4 36.8 7.7 95.1 18.86 44.1 4.5 25.9 5.4 18.2 3.67 120.8 12.2 97.2 20.2 23.6 4.78 91.2 9.2 81.1 16.9 10.1 2.09 126.9 12.9 61.7 12.9 65.2 12.9Total 986.7 100 480.3 100 506.4 100

Source: Central Statistical Bureau of Latvia (CSB), Labour Force survey

Employed population by occupation in the main job, persons aged 15-74 years

1 legislators, managers, and senior officials2 professionals3 technicians and associate professionals4 clerks5 service workers and shop and market sales workers6 skilled agriculture and fishery workers7 craft and related trades workers8 plant and machine operators and assemblers9 elementary occupations



Age Housewives000 %

15-24 7.4 13.625-34 15.4 28.535-44 9.7 18.045-54 12.4 22.855-64 9.1 16.9Total 54.2 100

Source: CSB Labour Force survey 2009


LATVIA

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 23 22 20 19 19 -17.39 0.00Total paid-for dailies 22 21 18 17 17 -22.73 0.00National paid-for dailies 14 13 10 10 10 -28.57 0.00Regional and local 8 8 8 7 7 -12.50 0.00paid-for dailies


Total non-dailies 71 89 104 104 88 23.94 -15.38Total paid-for non-dailies 64 81 98 98 74 15.63 -24.49

National paid-for non-dailies 29 36 44 44 34 17.24 -22.73Regional and local 35 45 54 54 40 14.29 -25.93paid-for non-dailies

Total free non-dailies 7 8 6 6 14 100.00 133.33National free non-dailies 1 2 4 4 2 100.00 -50.00Regional and local 6 6 2 2 12 100.00 500.00free non-dailies

Source: Latvian Press Publishers’ Association


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 448 424 436 370 340 -24.11 -8.11Total paid-for dailies 348 321 236 230 220 -36.78 -4.35National paid-for dailies 297 273 187 188 180 -39.39 -4.26Regional and local 51 48 49 42 40 -21.57 -4.76paid-for dailies


Total non-dailies 940 1,161 1,818 1,762 - - -Total paid-for non-dailies 538 729 1,285 1,062 - - -National paid-for 331 432 940 761 - - -non-dailiesRegional and local 207 220 345 301 - - -paid-for non-dailies

Total free non-dailies 402 412 533 700 - - -National free non-dailies 115 112 420 213 - - -Regional and local 287 300 113 487 - - -free non-dailies

Source: 2005-2008 Latvian Press Publishers’ Association; 2009 WAN-IFRA estimate(paid-for dailies); WAN-IFRA assessment (free dailies)


(Latvian lat)min max


Source: Preses Serviss


(%)Reached 1


Source: TNS Latvia, National ReadershipSurvey 2009; ages 15-741 Average % of readers in target groupfor one issue of print edition



group

less than 16 1 2716-24 16 3025-34 16 3135-44 17 3345-54 20 3755-64 15 3865 + 14 37Total 100 -

Source: TNS Latvia, NationalReadership Survey 2009; ages 15-74


(minutes per day)2005 2006 2007 2008 2009

Radio 1 297 280 - 268 282Television 2 204 206 - 298 311

Source: 2005 TNS Latvia Radio: National Readership Survey: radio, Summer-Autumn 2005 (09.05.2005-23.10.2005); Television: TAM, 01.01.2005-31.12.2005;2006 TNS Latvia; 2008 TNS Latvia; radio: National Readership Survey, Summer-Autumn 2008; 2009 TNS Latvia, Radio Diary Survey, Summer-Autumn 20091 Respondents aged 12-742 Aged 4+


(000)2005 2006 2007 2008 2009

Total dailies 818 849 802 721 612Total paid-for dailies 818 701 640 562 517Total free dailies - 287 299 272 156

Source: TNS Latvia, National Readership Survey

Target base: population aged 15-74Average number of readers in target group for one issue of print edition


6.a Online editions

Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Dailies 14 16 16 18 18 28.57 0.00Non-dailies 15 25 38 72 66 340.00 -8.33



Diena Dienas Mediji diena.lv 108Dienas Bizness Dienas Bizness db.lv 95Zemgales Zinas Dienas Mediji zz.lv 33Chas Petits chas-daily.com 20

Source: Gemius SA – gemiusAudience 2008

Not all dailies included in the survey


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




LATVIA

(Latvian lat, bln)2005 2006 2007 2008 2009

GDP 9.1 11.2 14.0 16.2 13.2

Source: 2005-2007 ZenithOptimedia; 2008-2009 Central Statistical Bureau of Latviavia TNS Latvia


(Latvian lat, 000)2005 2006 2007 2008 2009

GDP per capita 3.9 4.9 6.1 7.2 5.9

Source: 2005-2007 ZenithOptimedia; 2008-2009 Central Statistical Bureau of Latviavia TNS Latvia


(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.66 0.68 0.64 0.59 0.40 0.41 0.42 0.40



(Latvian lat, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 21.7 27.1 32.8 34.8 21.6 22.1 24.5 25.1Radio 7.0 8.5 9.8 10.6 6.7 6.5 6.7 6.6Cinema 0.4 0.5 0.6 0.6 0.4 0.4 0.5 0.5Outdoor 3.7 6.5 8.1 9.5 5.5 5.6 5.6 5.8Internet 1.5 3.3 5.9 8.3 6.1 6.2 7.0 7.6Total 59.7 76.0 94.2 95.8 53.4 53.7 57.8 59.2

Source: TNS BMF Gallup Media; ZenithOptimedia

Includes classified; excludes agency commission; after discounts; excludes production costs; Internet includes all forms of advertising on the main domains;Internet includes banner advertisements on main portals


(Latvian lat, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 14.0 15.7 15.6 13.6 7.8 -44.29 -42.65Total paid-for dailies 13.9 14.6 14.3 11.9 7.2 -48.20 -39.50National paid-for dailies 13.9 14.6 14.3 11.9 7.2 -48.20 -39.50

Total free dailies 0.1 1.1 1.3 1.7 0.6 500.00 -64.71Regional and local 0.1 1.1 1.3 1.7 0.6 500.00 -64.71free dailies

Total non-dailies 7.0 7.7 7.7 7.1 4.8 -31.43 -32.39Total paid-for non-dailies 7.0 7.5 7.7 7.1 4.8 -31.43 -32.39

National paid-for non-dailies 7.0 7.5 7.7 7.1 4.8 -31.43 -32.39Total free non-dailies - 0.2 - - - - -Regional and local - 0.2 - - - - -free non-dailies

Source: TNS Latvia, Adex



Total - 16,386,755 16,310,000 11,047,563 6,368

Source: TNS Latvia, Adex

2006-2008 Square cm; 2009 Full pages; measurement only introduced in 2009, no comparison to earlier data available


Advertiser Expenditure 1

(Latvian lat, 000)

Maxima 379.7Bite 289.8Tele2 287.6LMT 218.4PTA 178.8DNB Nord 124.5Studio Moderna 110.0Swedbank 100.5Parex 98.1Lattelecom 76.6

Source: TNS Latvia1 Gross figures



Retail 10.2Financial institutions, services 9.7Mobile communication 7.4Ready-made constructions 5.0Travel 4.9Cars 3.9Household equipment – other 3.5Training 3.4Passenger transport 3.3Remedies 2.6

Source: TNS Latvia



Diena 42,938IN Fenster 40,809IN Petits 32,916Lauku Avize 15,010Mediju Nams 12,275Izdevnieciba LAMA grupa 8,170Regionala prese Diena 6,241Kurzemes Vards 4,056B&B Redakcija 3,120Izdevnieciba Dienas Bizness 2,621

Source: Latvian Press Publishers’Association



LATVIA


Title Founded Language Publishing company Circulation Readership Cover price usual Format

(year) (000) (000) (Latvian lat) (USD) 1

Latvijas Avize 1988 Latvian Lauku Avize 36 138 0.45 0.86 TabloidDiena 1990 Latvian Dienas Mediji 31 157 0.45 0.86 TabloidVesti Segodna 1999 Russian Fenster 26 135 0.40 0.76 BroadsheetNeatkariga Rita Avize 1904 Latvian Mediju Nams 24 62 0.50 0.95 TabloidChas 1997 Russian Petits 13 69 0.35 0.67 BroadsheetBiznes & Baltija 1992 Russian Bizness & Baltija 12 29 0.99 1.89 TabloidKurzemes Vards 1918 Latvian Kurzemes Vards 11 37 0.35 0.67 TabloidTelegraf 2001 Russian Telegraf 9 34 0.39 0.74 TabloidDienas Bizness 1992 Latvian Izdevnieciba Dienas Bizness 8 40 0.75 1.43 TabloidLiesma 1991 Latvian Imanta Info 7 31 0.34 0.65 Tabloid

Source: Latvian Press Publishers’ Association1 Exchange rate used: USD1 = LVL0.524 (Bank of Latvia, 1 April 2010)


(year) (000) (000) (Latvian lat)

5 min 1 2005 Latvian Dienas Mediji 60 137 Tabloid 1,548 1,5485 min 1 2005 Russian Dienas Mediji 60 137 Tabloid 1,548 1,548

Source: Latvian Press Publishers' Association; TNS Latvia via ZenithOptimedia; ZenithOptimedia1 Distributed in Riga; from 2007, both Latvian and Russian editions are considered as two different titles


Change (%)2002 2003 2004 2005 2006 2006/02 2006/05

Total number of employees - - - - 1,275 - -


9.a Employment

9.b Salaries

(Latvian lat, mln) Change (%)2002 2003 2004 2005 2006 2006/02 2006/05

Total salary costs - - - - 7,271 - -


Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

4-colour newspapers 24 27 31 31 31 29.17 0.00Broadsheets 7 7 7 6 6 -14.29 0.00Tabloids 76 80 97 98 97 27.63 -1.02Other formats 12 7 8 8 8 -33.33 0.00



(Latvian lat)2003 2004 2005 2006 2007

Average per ton 297 303 327 - 370

Source: 2003-2005 Latvian Press Publishers’ Association; 2007 Latvian Associationof Polygraphy Companies


11. Research (2009)

Circulation is audited byCirculation is not audited

Readership is measured byTNS Latvia

MethodologyNational Readership survey, face-to-face, nationallyrepresentative sample aged 15-74, quarterlySource: Latvian Press Publishers’ Association

12. Taxes (2009)

Tax %






LATVIA




Are there any direct subsidies? NoSource: Latvian Press Publishers’ Association














LIECHTENSTEIN

General economic situationDespite its small size and limited natural resources,Liechtenstein has developed into a prosperous, highlyindustrialized, free-enterprise economy with a vitalfinancial service sector and the highest per capita incomein the world. The Liechtenstein economy is widelydiversified with a large number of small businesses. Lowbusiness taxes, with the maximum tax rate of 20%, andeasy incorporation rules have induced many holdingcompanies to establish nominal offices in Liechtenstein,providing 30% of state revenues. The countryparticipates in a customs union with Switzerland anduses the Swiss franc as its national currency. It importsmore than 90% of its energy requirements. In 2008Liechtenstein came under renewed internationalpressure, particularly from Germany, to improvetransparency in its banking and tax systems. Theinflation rate was estimated at 1% in 2001.

Performance of different types of newspapersTwo daily newspapers are published; each openly sideswith one of the two major political parties. The largestLiechtenstein daily newspaper is the Liechtensteiner

Vaterland with a circulation of over 10,000 copies; a large Tuesday edition has a circulation of 18,000. TheLiechtensteiner Vaterland is published by the VaduzerMedienhaus AG, a public company that publishes andmarkets both print and electronic media.

Online / Digital PublishingThere were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail.

Media / Press LawsThe constitution and law provide for freedom of speechand of the press, and the government generally respectedthese rights in practice. However, the law prohibitspublic insult directed against a race, people, or ethnicgroup, with a possible prison sentence of up to two years.During the year 2009 no one was charged under the law.Independent press, an effective judiciary, and a functioning democratic political system combined toensure freedom of speech and of the press.


Source: CIA – The World Factbook; US State Department



0-14 6 17 3 18 3 1715-64 24 69 12 71 12 6765 + 5 14 2 12 3 17Total 35 100 17 100 18 100




Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


Source: 2005-2008 WAN estimate; 2009 WAN-IFRA estimate



LIECHTENSTEIN

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Broadband subscribers 8.6 - 14.0 19.6 27.0 213.95 37.76




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Swiss franc, bln)2004 2005 2006 2007 2008

GDP 1.0 1.0 2.2 2.1 1.9




(Swiss franc, 000)2004 2005 2006 2007 2008

GDP per capita 31.0 31.3 31.3 30.0 27.0



Title Publishing company Circulation (000)

Liechtensteiner Vaterland Vaduzer Medienhaus AG 11Liechtensteiner Volksblatt - -

Source: WAN-IFRA from public sources


LITHUANIA

General economic situationLithuania’s economy grew on average 8% per year for thefour years prior to 2008, driven by exports and domesticconsumer demand. Unemployment stood at 4.8% in2008, while wages grew at double digit rates. Thecurrent account deficit rose to roughly 15% of GDP in2007-08. Privatization of the large, state-owned utilitiesis nearly complete. The inflation rate was estimated at4.7% in 2009.

Performance of newspapers vs. other mediaLithuania’s private TVs have eroded the publicbroadcaster’s audiences. The radio market is similarlycompetitive, with dozens of stations competing forlisteners and advertisers.

Public Lithuanian National Radio and Television (LRT)operates national networks.

The media are free and operate independently of thestate. Nonetheless, the national broadcaster hassometimes encountered attempts by politicians toinfluence its editorial policy.

International media generally operated withoutrestriction.

Performance of different types of newspapersThere are no government-owned newspapers.

AdvertisingThe market research and consulting company TNSLithuania reported that media advertising in Lithuaniafell 39.2 percent in 2009. Media advertising spendingmade up LTL329.6 mln in 2009 including advertisingvolume discounts and other discounts.

In 2009, the slump of the Lithuanian advertising marketwas worse than expected; the advertising marketreturned to the level of early 2004.

As in previous years, the largest share of advertisingrevenue in 2009 came from TV and newspaperadvertising, 44 percent and 21.8 percent, respectively.Compared with 2008, adverting spending decreased inall media channels in 2009. Advertising revenue ofmagazines fell 48.6 percent, newspapers 46.7 percent,TV 37.2 percent, outdoor medium (outdoor videoscreens and fillboards) 36.1 percent, radio 28.2 percent,Internet 33.3 percent and cinema 8.3 percent.Advertising spending per capita in 2009 fell fromLTL161.25 to LTL98.39, year-on-year.

The most active advertisers in 2009 were shoppingchains, mobile communication operators, foodproducers, pharmacies, pharmaceutical companies, stateinstitutions, events organizers. The biggest advertisers in

2009 were Tele2, Procter&Gamble, Bite, DanoneGroup, Henkel, Omnitel, Reckitt-Benckiser, MaximaLT, Palink, L’Oreal.

The owners of the largest media planning agencies andmedia channels who took part in a TNS Lithuaniasurvey of media experts in February-March 2010expressed pessimistic expectations. They forecast that in2010 the Lithuanian advertising market will shrink 14percent, TV advertising 10 percent, radio 13 percent,newspaper 18 percent, magazine 16 percent, outdoor 12percent, cinema 13 percent. According to media experts,only Internet advertising will grow in 2010 and thegrowth may reach 15 percent.

TNS Lithuania conducted the survey of the Lithuanianadvertising market based on the 2009 advertisingmonitoring data, in cooperation with the LithuanianRadio and Television Commission, media planningagencies, national commercial televisions, theLithuanian National Radio and Television, the largestInternet service providers, and cinema, outdoor andindoor advertisers. The data represents 95-100% of TV,95-100% of radio, 90-100% of print, 90-100% ofoutdoor, 95-100% of cinema, 80-100% of Internet,100% of fillboard and 95-100% of indoor TVadvertising market.

Online / Digital PublishingThere were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould generally engage in the peaceful expression ofviews via the Internet, including by e-mail; however,authorities initiated criminal prosecutions againstpersons posting material they deemed incitement tohatred.

Media / Press LawsThe constitution provides for freedom of speech and ofthe press, and the government generally respected theserights in practice.

Incitement to hatred and discriminatory speech arecrimes punishable by up to two years’ imprisonment. Asof December 1, 2009, the Prosecutor’s Office hadopened 39 investigations of incitement to hatred (mostof them over the Internet). There were no newinvestigations involving discriminatory speech. In thesame period the Prosecutor’s Office forwarded 10 casesto the courts for trial. Courts completed seven of theseand convicted six persons, imposing fines of 650 to5,000 litas (USD271 to USD2,085). Another 37investigations (including some from previous years) wereterminated during the year for lack of evidence. A number of investigations and court cases (includingsome from previous years) were ongoing. Most of the



LITHUANIA

allegations of incitement to hatred involved racist, anti-Semitic, or homophobic expression.

In July 2009 the parliament passed, over the president’sveto, amendments to the Law on the Protection ofMinors against the Detrimental Effect of PublicInformation. The amendments, which were to takeeffect in March 2010, would prohibit the disseminationof information that promoted hypnosis, “bad eatinghabits,” paranormal phenomena, gambling, lotteries,physical passivity, and other subjects considered“detrimental” to minors’ bodies or thought processes, orwhich would promote homosexual, bisexual, andpolygamous relations. The law specifically stated that itwas to apply to movies and websites. Followingcomplaints from human-rights organizations and theEuropean Union, the parliament in December 2009passed another set of amendments to the law, whichreplaced the prohibition on promoting homosexual,bisexual and polygamous relations with a ban oninformation “which promotes sexual abuse andharassment of minors and sexual relations by minors” aswell as information “which promotes sexual relations” ingeneral. Human rights organizations remained sceptical,noting that the amendment bars the promotion of anyconcept of the family other than that set down in theconstitution, which stipulates that marriage is between a man and a woman.

The law prohibits the dissemination of information that is both untrue and damaging to an individual’shonor and dignity. Libel is punishable by a fine orimprisonment of up to one year, or up to two years for dissemination of libelous material through themass media. No cases were reported during the year2009.

Taxes In April 2010, it has been proposed to apply the reducedvalue-added tax (VAT) rate on periodic press inLithuania starting from July 1, 2010. According to threemembers of the Seimas (parliament) who have registeredsuch amendment to the Law on Value-Added Tax at theSecretariat of the Seimas Sittings, having reduced VATrate from 21% to 9%, the costs of periodic press woulddecrease, the prices of newspapers and magazines wouldgo down.

Member of the Homeland Union – LithuanianChristian Democrats political party Vaidotas Baceviciusnoted that due to the higher VAT rate periodic pressbecame more expensive and thus less available in thoseregions, where the press has a very importanteducational and cognitive function.

Source: CIA – The World Factbook; US State Department; Baltic Media News; BBC News; LETA/ELTA via The Baltic Course




0-14 505 15 259 17 246 1415-24 526 16 268 17 258 1425-34 456 14 231 15 225 1335-44 488 15 239 15 249 1445-54 490 15 230 15 260 1555-64 349 10 151 10 199 1165 + 536 16 182 12 354 20Total 3,350 100 1,559 100 1,791 100

Source: Lithuanian Statistic Department


A+B 679 26.0 304 24.9 375 26.9C1 273 10.4 125 10.2 148 10.6C2 1,075 41.1 525 43.0 550 39.4D 181 6.9 68 5.5 113 8.1E 406 15.5 198 16.3 208 14.9Total 2,613 100 1,219 100 1,394 100

Source: TNS LT National Readership Survey 2009



LITHUANIA




Without persons below 20 1,089 42With persons below 20 1,524 58aged 0-3 622 24aged 4-11 394 15aged 12-19 230 9

Total 2,613 100

Source: TNS LT National ReadershipSurvey 2009





Age Housewives000 %

Under 25 13 13.325-34 44 44.835-44 21 21.845-54 16 16.655-64 3 3.665 + 0 0.0Total 98 100


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

All newspapers 325 1 334 2 328 327 298 -8.31 -8.87Total dailies 22 22 24 25 23 4.55 -8.00Total paid-for dailies 21 21 23 24 22 4.76 -8.33National paid-for dailies 11 11 12 - - - -Regional and local 10 10 11 - - - -paid-for dailiesMorning paid-for dailies 21 21 23 24 22 4.76 -8.33

Total free dailies 1 1 1 1 1 0.00 0.00Total paid-for non-dailies - - 304 302 275 - -8.94

Source: 2005-2006 Statistics Lithuania (all newspapers); WAN assessment; WAN from public sources (free dailies); 2007 Statistics Lithuania; 2008 StatisticsLithuania; WAN assessment (free dailies); 2009 Statistics Lithuania; WAN-IFRA assessment (free dailies) 1 Also published 543 magazines and other periodicals, including 434 magazines2 Also published 566 magazines and other periodicals, including 449 magazines


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 577 636 654 741 641 11.09 -13.50Total paid-for dailies 527 535 554 641 574 8.92 -10.45Morning paid-for dailies 527 535 554 641 574 8.92 -10.45

Total free dailies 17 101 100 100 67 294.12 -33.00Total non-dailies 1,563 1,940 1,820 1,870 1,575 0.77 -15.78

Source: 2005 Statistics Lithuania (2,140,000 all newspapers = total paid-for and free dailies + total paid-for and free non-dailies); WAN assessment (paid-for and free dailies); 2006 Statistics Lithuania (2,576,000 all newspapers = total paid-for and free dailies + total paid-for and free non-dailies); WAN assessment (paid-for and free dailies); 2007 Statistics Lithuania (2,474,000 allnewspapers = total paid-for and free dailies + total paid-for and free non-dailies);WAN assessment (free dailies); 2008 Statistics Lithuania; WAN assessment (free dailies); 2009 Statistics Lithuania; WAN-IFRA assessment (free dailies)


(mln) Change (%)2002 2003 2004 2005 2006 2006/02 2006/05

All newspapers 208.2 215.5 215.9 218.2 258.3 24.06 18.38

Source: Statistics Lithuania


(Lithuania, litas)min max


Source: WAN-IFRA assessment, based ontop paid-for dailies


(%)Reached






group

15-24 18.5 44.125-34 17.1 46.135-44 19.8 53.645-54 18.7 54.555-64 13.5 53.165 + 12.4 45.5Total 100 -


(minutes per day)2005 2006 2007 2008 2009

All newspapers - - 16 - 24Magazines - - 7 - 19Radio - - 179 - 181Television - - 202 - 212Internet - - - - 78

Source: TV Audience Survey; Radio Audience Survey; National Readership Survey2009; Computer and Internet Users Survey; TNS LT

Population aged 15-74


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 257.4 380.1 513.4 593.9 636.0 147.09 7.09Internet users 882.9 1,487.6 1,674.7 1,833.8 1,963.9 122.44 7.09



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Lithuania, litas, bln)2005 2006 2007 2008 2009

GDP 72.1 82.8 98.7 111.2 92.4

Source: 2005-2006 ZenithOptimedia; 2007-2009 IMF via TNS LT



LITHUANIA

(Lithuania, litas, 000)2005 2006 2007 2008 2009

GDP per capita 21.1 24.4 29.1 33.0 27.6

Source: 2005-2006 ZenithOptimedia; 2007-2009 IMF via TNS LT


(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 1.49 1.50 1.58 1.64 1.68 1.68 1.74 1.81



(Lithuania, litas, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 777.0 907.0 1,145.0 1,339.7 1,205.7 1,145.5 1,205.8 1,326.4Radio 24.0 22.0 35.0 48.4 36.3 30.9 34.0 37.4Cinema 0.1 0.7 0.7 1.1 1.3 1.3 1.6 1.8Outdoor 40.0 41.0 50.0 56.6 45.3 40.8 46.9 51.6Internet 10.0 16.0 35.0 51.0 43.5 44.5 57.9 63.6Total 1,073.1 1,243.7 1,548.7 1,827.9 1,577.3 1,471.4 1,575.3 1,726.5

Source: TNS Gallup; Agency estimates; ZenithOptimedia

Excludes agency commission; excludes production costs; before discounts; printincludes classified from 2005; Internet includes banners and other display;excludes classified and paid-search; TV figures do not include cable/satellite channels



(Lithuania, litas, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 134.3 146.8 150.5 169.5 107.5 -19.96 -36.58Total paid-for dailies 134.3 142 143.9 159.2 107.5 -19.96 -32.47National paid-for dailies 93.5 98.9 95.8 90 53.6 -42.67 -40.44Regional and local 40.8 43.1 48.1 69.2 53.9 32.11 -22.11paid-for dailies

Total free dailies - 4.8 6.6 10.2 - - -Regional and local - 4.8 6.6 10.2 - - -free dailies

Total paid-for non-dailies 24.8 30.4 33.7 49.9 38.2 54.03 -23.45National paid-for non-dailies 24 29.5 32.4 48.4 36.8 53.33 -23.97Regional and local 0.8 0.9 1.3 1.5 1.4 75.00 -6.67paid-for non-dailies

Source: TNS LT



In colour 10.0 11.0 14.0 15.3 11.3Total 26.0 28.0 30.0 28.7 20.6

Source: TNS LT

(%)2005 2006 2007 2008 2009


Source: TNS LT

All newspapers; gross advertising expenditure



Government institutons 16.4Retail 9.7Mobile communications 4.8Financial institutions, services 4.6Gambling 2.7Alcoholic beverages 2.5Medical services, institutions 2.4Remedies 2.1Concerts, festivals, shows 1.9Job offers 1.9

Source: TNS LT

All newspapers; gross advertisingexpenditure


Advertiser Expenditure (Lithuania, litas, 000)

Nacionaline mokejimo 6,403agentura prie zemes ukiokioministerijos

Bite 3,280Olifeja 3,163Lietuvos respublikos zemes 3,129ukio ministerija

Tele2 2,918Maxima lt 2,471Akropolis 2,122Palink 1,603Bankas snoras 1,480Rimi 1,393

Source: TNS LT


Owner Revenue (Lithuania, litas, 000)

Respublika 103,185Lietuvos Rytas 68,881Kauno Diena 49,695Verslo Zinios 23,00215 Minuciu 13,739Siauliu Krastas 10,336Valstieciu Laikrastis 9,084Lietuvos Zinios 7,331Ukininko Patarejas 6,693Sekunde 5,839

Source: TNS Gallup viaZenithOptimedia



LITHUANIA


(year) (000) (000) (Lithuania, litas) (USD) (cm x cm) (Lithuania, litas)

Vakaro zinios 2000 Lithuanian Naujasis aitvaras 67 540 36.00 15.00 39.5x25.8 15,796 20,535Lietuvos rytas 1990 Lithuanian Lietuvos rytas 60 486 59.03 24.50 42x28.2 16,065 19,278Respublika 1989 Lithuanian Respublikos leidiniai 26 230 26.00 10.80 39.5x25.8 12,229 15,898Kauno diena 1945 Lithuanian Diena Media News 23 127 26.94 11.20 - 11,169 11,169Lietuvos zinios 1909 Lithuanian Lietuvos zinios 20 70 20.00 8.30 39x25.7 9,021 11,727Siauliu krastas 1990 Lithuanian Siauliu krastas 14 112 24.00 10.00 39.5x25.8 8,764 11,832Vakaru ekspresas 1991 Lithuanian Vakaru ekspresas 12 87 20.00 8.30 39.5x25.8 7,134 9,274Klaipeda 1945 Lithuanian Diena Media News 12 70 22.28 9.30 38x26.5 9,308 9,308Verslo zinios 1995 Lithuanian Verslo zinios 9 79 20.24 8.40 - 12,006 16,810Respublika 1991 Russian Respublikos leidiniai 9 64 10.00 4.20 39.5x25.8 7,134 9,274

Source: TNS LT


Title Founded Language Publishing company Circulation Readership Format Full page ad rate Colour(year) (000) (000) (Lithuania, litas)

15 minuciu 1 2005 Lithuanian 15 minuciu 2 100 390 38cm x 26.5cm 16,432

Source: TNS Gallup via ZenithOptimedia; FDN Newsletter1 Launched in Vilnius in September 2005; Kaunas edition in February 2006; Klaipeda edition in September 2006; from September 2009 only published as a non-daily, three

times a week.2 Acquired by Schibsted in 2006; publishing company of the paid-for morning daily Lietuvos Rytas sold its share of 34% in 15 minuciu to Schibsted at the end of 2008.


11. Research (2007)

Circulation is audited byThere is no independent circulation audit organizationin Lithuania.

Readership is measured byTNS Gallup carries out the National Readership Survey(NRS) every month from 1998.

MethodologyNRS results are presented four times a year. A multiplestage probability sampling is used for surveys. At least1,400 permanent residents of Lithuania aged 15-74 arequestioned each season (quarter). CAPI (computerassisted personal interview) at the respondent’s livingplace is used as survey method.

Data for 2007 cover period between December 4, 2006and November 25, 2007. Survey was conducted among6,296 respondents aged 15-74. Data about 207Lithuanian newspapers and magazines were collected.Coverage and Maximum Coverage are the mainparameters used in press audience analyses. Cover (%and 000) is an average number or a percentage of peoplewho have read or looked through one edition. CoverMaximum (% and 000) is a total number or a percentage of people who read or look through at leastone edition during a certain period of time.

TNS Gallup conducts Advertising Expenditure Survey(Advertising Monitoring) from 1998. The survey coversadvertising in various types of media, including TV,newspapers, magazines, radio, outdoor, cinema, and theInternet. All advertisements from magazines andnewspapers are registered manually, includingmeasuring dimensions of advertisements. From January 1, 2007, 27 newspapers and 37 magazines are inthe list.Source: TNS Gallup

Tax %


Single copy sales 21Subscription sales 21



12. Taxes (2009)


LUXEMBOURG

General economic situation This stable, high-income economy that benefits from itsproximity to France, Belgium, and Germany, hashistorically featured solid growth, low inflation, and lowunemployment. The industrial sector, initiallydominated by steel, has become increasingly diversifiedto include chemicals, rubber, and other products.Growth in the financial sector, which now accounts forabout 28% of GDP, has more than compensated for thedecline in steel. Most banks are foreign owned and haveextensive foreign dealings. Agriculture is based on smallfamily-owned farms. The economy depends on foreignand cross-border workers for about 60% of its labourforce. GDP per capita ranks third in the world, afterLiechtenstein and Qatar. After two years of strongeconomic growth in 2006-07, turmoil in the worldfinancial markets slowed Luxembourg’s economy in2008, but growth remained above the European average.The inflation rate was estimated at 0.5% in 2009.

Performance of newspapers vs. other media Luxembourg exerts immense media clout and has a longtradition of operating radio and TV services for pan-European audiences, including those in France,Germany and the United Kingdom.

The Luxembourg-based media group RTL is behindmuch of this activity. RTL’s radio stations have been a part of the broadcasting landscape in France andGermany for decades.

Generations of British listeners grew up with RadioLuxembourg, which beamed pop music programmesinto the UK on the legendary ‘208’ wavelength. ‘TheGreat 208’ is no more, but RTL’s TV and radio stationsremain key players in media markets across Europe.

Luxembourg’s media empire extends to the skies. Thecountry is home to Europe’s largest satellite operator,Societe Europeenne des Satellites (SES), which operatesthe Astra satellite fleet.

RTL and other privately-owned radio and TV stationsbroadcast to domestic audiences.

Due to the audiovisual law of 1988, which established aspecial tax regime for audiovisual investment, the filmand co-production in Luxembourg has grown steadily.

Performance of different types of newspapers Print media are privately owned and reflect diverseviewpoints.

From 2008, media research experts in Luxembourgdistinguish truly free newspapers from announcementnewspapers (Lux-Bazaar and Bingo), the latter belongingto the category of national paid-for newspapers. Free

newspapers do not display any cover price orsubscription price and they include the titles Contacto,a Portuguese-language weekly newspaper sent for free toPortuguese households, Luxpost, a free weekly, and FraieBauer, a free regional title distributed in the East.

In 2006, some free newspaper titles changed their layoutto become magazines of size A4, edited completely infull color and printed on a quality paper. Thesemagazines, which are no longer taken into account inreports on newspaper press, include: Peitenger Wand(distributed in the South), Sauer Zeitung (East), MuselZeitung (East), Ardennes Express, Minett Express, andLokal Express.

Newspaper launches / closuresThe major event in the media world of Luxembourgover last two years has been a launch of two free dailynewspapers in late 2007.

Advertising In 2009, Prodialog, the Luxembourg companyconducting the advertising expenditure research, hasassociated with its Belgian counterpart Mediaxim thatconducts the research for the Belgian CIM, under thename Mediaxim Luxembourg (the name of the productremains as LAR).

In Luxembourg, the advertising survey records not onlycommercial advertisements, but also a host of ads fromindividuals, including family ads, obituaries, classifieds,or institutional announcements exempt from traditionaladvertising, such as announcements published by investment funds, legal advertisements, notices ofcompanies, job offers etc. Therefore it is necessary todistinguish (1) commercial advertising market (ordisplay) which is comparable to other countries, and (2)total advertising market, that is commercial advertisingplus other announcements, the latter being mainly activein the daily press.

In addition, while most countries measure advertisingexpenditure in five traditional media (press, radio, TV,outdoor and cinema), in Luxembourg there are alsoadvertising leaflets distributed directly to homes (not tobe confused with newspaper inserts) which aremeasured.

The worldwide economic crisis that started in summer2008 has not had such an impact on the media inLuxembourg as in its three neighboring countries.

In 2009, total advertising expenditure in Luxembourgmedia (five traditional media plus advertising leaflets)represented EUR144 million, or 7.4% more comparedto 2008. Such performance puts Luxembourg relativelyhigher compared to its three neighboring countries:



LUXEMBOURG

France (+1.4% Kantar adspend), Belgium (+0.2% ICD),and Germany (+0.9% Nielsen S&P).

Advertising expenditure in almost all media has beengrowing, with the exception of leaflets (-6.4%) andmagazines (-4.3%).

The most positive dynamics of advertising expenditurehave been recorded in cinema (+27%) and the dailypress (+14.5%), the latter also due to addition of twofree dailies. It is therefore appropriate to highlight thegood health of the daily press which attracted EUR59.9million in 2009, that is EUR7.6 million more comparedto 2008.

TV advertising expenditure grew 9.0% and radio 4.4%in 2009 compared to 2008.

In terms of ad market share, daily newspapers remain byfar number one with a share of 42%, followed by radio(19%), weeklies and TV. Leaflets remain an importantcommunication tool: two distribution networks accountfor 6% of advertising expenditure, while periodicals areonly slightly better with 8% share, however, there are 39titles contributing to make this score. Cinema andoutdoor share the remaining 5%.

Advertising market has been very well maintained inLuxembourg compared to its neighboring countriesbecause of its dependence on advertising categories ofthe basic needs (including food, clothing, beverages,home furnishings etc.), and less on brands. Classified adsand other types of communication to individuals,however, had to face a severe regression by -32% toEUR19 million.

Readership The daily press as a whole has undoubtedly benefitedfrom the contribution of new free daily newspapers, astotal readership of the daily press as a whole hasincreased by 23% between October 2008 and May2009, according to a TNS Plurimédia 2009 surveyconducted among population aged 15+. Whilereadership of paid-for dailies declined by 3%, readershipof free dailies rose by 18%. The Internet enjoyed a significant growth of its audience by 12%.

The free daily newspapers have managed to mobilize a new segment of the resident population: young people,certain active groups, and it also tries to seduce themostly French-speaking residents near to the Franceborder.

Traditional media in Luxembourg, usually in German orLuxembourgish, are almost all in decline of readership oraudience. By contrast, niche media, including the newlymeasured media (Internet) or newly established media(two free daily newspapers) have generally witnessed a growth.

Online / Digital Publishing There were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail. A majority of thepopulation had connections to the Internet.


Source: CIA – The World Factbook; US State Department; Saint-Paul Luxembourg; BBC News; Wikipedia


LUXEMBOURG



0-14 91 18 47 19 44 1815-64 328 67 165 68 163 6565 + 73 15 30 12 43 17Total 492 100 242 100 250 100




Group 1 109.7 27.1 58.8 29.6 50.9 24.7Group 2 91.5 22.6 47.5 23.9 44.0 21.3Group 3 93.0 23.0 45.3 22.8 47.7 23.1Group 4 87.4 21.6 35.8 18.0 51.6 25.0No response 23.3 5.8 11.2 5.7 12.1 5.9Total 404.9 100 198.6 100 206.3 100

Source: TNS Plurimedia 2009



1 person 62 152 people 108 273 people 76 194 people 105 265 or more people 54 13Total 405 100



Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 6 6 8 8 8 33.33 0.00Total paid-for dailies 6 6 6 6 6 0.00 0.00

National paid-for dailies 6 6 6 6 6 0.00 0.00Morning paid-for dailies 6 6 6 6 6 0.00 0.00

Total free dailies - - 2 2 2 - 0.00Total non-dailies 16 15 15 14 14 -12.50 0.00Total paid-for non-dailies 9 9 - 12 12 33.33 0.00

National paid-for non-dailies 9 9 - 12 12 33.33 0.00Total free non-dailies 7 6 - 2 2 -71.43 0.00

National free non-dailies 4 3 - 2 2 -50.00 0.00Regional and local 3 3 - - - - -free non-dailies

Source: 2005-2006 ALEJ; 2007 WAN assessment; 2008-2009 ALEJ research

The size of the Grand Dutchy (2,560 square km) leaves little opportunity for publishing profitable regional and local paid-for newspapers; all newspapers are therefore national except the free advertising newspapers.


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 115 114 134 247 250 117.39 1.21Total paid-for dailies 115 114 114 120 113 -1.74 -5.83

National paid-for dailies 115 114 114 120 113 -1.74 -5.83Morning paid-for dailies 115 114 114 120 113 -1.74 -5.83

Total free dailies - - 20 127 137 - 7.87National free dailies - - 20 127 137 - 7.87

Total non-dailies 1 337 259 257 253 252 -25.22 -0.40Total paid-for non-dailies 80 87 87 88 87 8.75 -1.14

National paid-for non-dailies 80 87 87 88 87 8.75 -1.14Total free non-dailies 257 172 170 165 165 -35.80 0.00

National free non-dailies 187 172 170 165 165 -11.76 0.00Regional and local 70 - - - - - -free non-dailies

Source: 2005-2006 ALEJ; 2007-2008 WAN-IFRA assessment; 2009 CIM; ALEJ

For daily newspapers, circulation means paid circulation. For other categories,circulation refers to print-run, due to the imprecision and lack of homogeneity of available information.1 Print run figures


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 34.2 33.7 - 48.8 65.5 91.52 34.22Total paid-for dailies 34.2 33.7 - 35.7 34.5 0.88 -3.36

National paid-for dailies 34.2 33.7 - 35.7 34.5 0.88 -3.36Morning paid-for dailies 34.2 33.7 - 35.7 34.5 0.88 -3.36

Total free dailies - - - 13.1 31.0 - 136.64National free dailies - - - 13.1 31.0 - 136.64

Source: ALEJ

Declared circulation multiplied by the number of publishing days


(Luxembourg, euro, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 20.1 20.9 - 21.1 22.0 9.45 4.27National paid-for dailies 20.1 20.9 - 21.1 22.0 9.45 4.27

Source: ALEJ

4.b Sales revenues


LUXEMBOURG


Total dailies - - - 228 345 - 51.32Total paid-for dailies - - - 154 228 - 48.05Total free dailies - - - 75 117 - 56.00

Source: CIM Metriweb

Based on six dailies



(%)2005 2006 2007 2008 2009

Single copy sales 9.8 9.9 - 6.0 4.4Postal deliveries 68.8 70.2 - 42.9 38.6

Free distribution - - - 51.1 57.0Total 100 100 - 100 100

Source: CIM and publishers’ declarations

2006 Data relevant to six dailies; 2008-2009 Based on eight dailies, including sixpaid-for and two free dailies

(Luxembourg, euro)min max average

Single copy 0.70 1.29 1.11Subscription 0.41 0.75 0.58

Source: Publishers’ declarations


(%)Reached





group

15-24 13.9 75.425-34 15.3 67.735-49 28.9 75.250-64 22.5 81.765 + 19.3 88.5Total 100 77.6

Source: TNS 2009


(minutes per day)2005 2006 2007 2008 2009

Radio 193 217 - 190 203Television 203 209 - 200 208

Source: TNS Plurimedia

Population aged 15+, yesterday audience, average time Monday-Sunday


(000)2005 2006 2007 2008 2009

Total dailies - - - - 314Total paid-for dailies - - - 250 250Total free dailies - - - 109 131

Source: TNS Plurimedia


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 6 6 - 8 8 33.33 0.00Non-dailies 6 6 - 6 8 33.33 33.33

Source: ALEJ research

6.a Online editions

Newspaper Publishing company Website Unique visitorsper month

(000)

Luxemburger Wort Saint-Paul Luxembourg wort.lu 171L’Essentiel 1 Edita lessentiel.lu 98Tageblatt Editpress tageblatt.lu 39Le Quotidien Lumedia lequotidien.lu 19Point 24 1 Saint-Paul Luxembourg point24.lu 18

Source: CIM Metriweb 20091 Free daily


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(Luxembourg, euro, bln)2005 2006 2007 2008 2009

GDP 29.3 33.1 36.1 36.7 37.8

Source: STATEC

(Luxembourg, euro, 000)2005 2006 2007 2008 2009

GDP per capita 64.4 71.9 74.7 75.8 76.5

Source: STATEC



(%)2006 2007 2008 2009 2010 2011 2012 2013

Ad expenditure 0.31 0.33 0.34 0.36 - - - -

Source: STATEC

(Luxembourg, euro, mln)2006 2007 2008 2009 2010 2011 2012 2013

Press 94.9 - 106.4 105.6 - - - -Newspapers 69.3 - 79.9 78.6 - - - -Magazines 25.6 - 26.6 27.0 - - - -

Television 10.6 - 13.8 14.9 - - - -Radio 20.5 - 26.2 27.3 - - - -Cinema 1.2 - 1.5 1.8 - - - -Outdoor 3.6 - 4.2 4.9 - - - -Others 8.0 - 9.3 8.9 - - - -Total 138.8 - 161.5 163.4 - - - -

Source: Lux Ad Report, Mediaxim 2009



LUXEMBOURG


Total dailies 71.8 69.3 - 79.9 78.6 9.47 -1.63Total paid-for dailies 71.8 69.3 - 72.9 68.9 -4.04 -5.49National paid-for dailies 71.8 69.3 - 72.9 68.9 -4.04 -5.49Morning paid-for dailies 71.8 69.3 - 72.9 68.9 -4.04 -5.49

Total free dailies - - - 7.0 9.7 - 38.57National free dailies - - - 7.0 9.7 - 38.57

Total non-dailies 14.0 9.7 - 9.7 9.5 -32.14 -2.06Total paid-for non-dailies 9.4 5.4 - 5.7 5.9 -37.23 3.51

National paid-for non-dailies 9.4 5.4 - 5.7 5.9 -37.23 3.51Total free non-dailies 4.6 4.3 - 4.0 3.6 -21.74 -10.00National free non-dailies 4.6 4.3 - 4.0 3.6 -21.74 -10.00

Source: 2005-2006 Luxembourg Ad Report; 2008-2009 LAR-Mediaxim 2009 (LAR stands for Lux Ad Report)


(%)2005 2006 2007 2008 2009

Display 59.2 61.5 - 65.6 76.3Classified 40.8 38.5 - 34.4 23.7

Source: 2005-2006 Publinvest; 2008-2009 LAR-Mediaxim 2009

Based on total daily press ad market; inserts distributed through newspapers are considered their integral parts, therefore they are included in the volume of display or classifieds, hence 0% inserts; advertisements on employment, familycommunication, public, legal and financial announcements, including those by investment funds, have been aggregated with the classifieds.


Advertising sector Expenditure (Luxembourg, euro, 000)

Services 17,104 1

Culture, tourism, hobbies 14,111 2

Supermarkets 9,580 3

Public and legal 78,726 4

announcementsHome furnishing, 6,978 5

refurbishingTransport 6,440 6

Classified announcements, 6,402 7

family announcementsJob announcements 4,227 8

Clothes, accessories 2,508 9

Telecommunications 1,390 10

Source: LAR-Mediaxim 20091 Including 99.9% advertising

announcements2 Including 98.7% advertising









announcements


Advertiser Expenditure (Luxembourg, euro, 000)

Cactus (supermarket) 2,942Mobel Martin (furniture) 1,093Autosdiffusion Losch 1,056(automobile)

De Miwwel & Kichechef 922(furniture)

BCEE (bank) 688Schlecker (supermarket) 567Saturn (specialized 551supermarket)

Auchan (supermarket) 469BGL BNP Paribas (bank) 454Mercedes-Benz (automobile) 440

Source: LAR-Mediaxim 2009

Based on daily press only; total adexpenditure EUR59,947,123


Publishing company Total circulation 1 Total revenue 2

(000) (Luxembourg, euro, 000)

Saint-Paul Luxembourg SA 129 15,132Edita 3 85 -Editpress SA 18 3,855Lumedia SA 7 1,248Editions du Letzeburger Journal 7 619Zeitung SA 5 1,131

Source: CIM 20091 Based on average quarterly declarations of publishers; paid-for and regular free

circulation2 Sales revenue (single copy sales and subscription)3 Publishing company of free daily L’Essentiel


Title Founded Language Publishing company Circulation Readership 1 Cover price usual Format Full page ad rateMono Colour

(year) (000) (000) (%) (Luxembourg, euro) (USD) 2 (Luxembourg, euro)

Luxemburger Wort 1848 German Saint-Paul Luxembourg SA 71 176 44 1.29 1.67 Nordic 7,096 9,980Tageblatt 1913 German Editpress SA 18 56 14 1.20 1.55 Berliner 4,884 6,542Letzebuerger Journal 1948 German Editions du Letzeburger Journal 7 12 3 0.70 0.90 Compact 2,400 4,320Le Quotidien 2000 French Lumedia SA 7 28 7 1.20 1.55 Berliner 2,409 3,647La Voix du Luxembourg 1998 French Saint-Paul Luxembourg SA 6 26 7 1,14 1.30 Nordic 2,579 4,032Zeitung vum Letzebuerger - German Zeitung SA 5 2 1 0.80 0.64 Compact 1,950 3,500Vollek

Source: CIM 2009; TNS Plurimedia 2009; Wikipedia1 Yesterday readers2 Exchange rate used EUR1 = USD1.2924



LUXEMBOURG


(year) (000) (000) (%) (Luxembourg, euro)

L’Essentiel 2007 French Edita 1 85 108 26.7 Berliner 3,660 3,660Point 24 2 2007 French Saint-Paul Luxembourg SA 52 60 14.9 Nordique 2,450 2,450

Source: CIM 2009 (circulation); TNS Plurimedia 2009 (readership); Saint-Paul Luxembourg1 A joint venture 50:50 between Swiss publisher Tamedia (20 Minuten) and the Luxembourg publisher Editpress (Das Tageblatt); L'Essentiel is distributed in public transport, retail chains and companies

2 Distributed Sunday-Thursday via more than 270 distribution points and some 20 bars and restaurants; in April 2009, the first biligual version was published; the blue German version can be read when the paper is turned over; the French version is lila; the content of the two sections is different


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total number of journalists 302 308 - 464 470 55.63 1.29

Source: Press Council

2006 As of 05/12/2006, there were 419 journalists in all media who were registered at the press council, including working journalists (329), trainees (52),and retirees (38). Out of the total of 419, 308 journalists worked for print media,including retirees and trainees. It is impossible to distinguish between full-timeand part-time journalists.

2009 As of 31/12/2009, there were 470 journalists in all media who were registered at the press council, including working journalists (368), trainees (57),and retirees (45). Out of the total of 470, 318 journalists worked for print media,including retirees and trainees. It is impossible to distinguish between full-timeand part-time journalists.

9.a Employment

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 5 5 - 7 7 40.00 0.00Broadsheets 2 2 - 2 2 0.00 0.00Other formats 4 4 - 6 6 50.00 0.00

Berliner 2 2 - 3 3 50.00 0.00Nordic 2 2 - 3 3 50.00 0.00

Source: ALEJ


(%)2005 2006 2007 2008 2009

Single copy sales 38 38 - 38 38Home deliveries 26 - - - -Postal deliveries 15.00 16.55 - 16.55 16.55

Source: ALEJ


(Luxembourg, euro)2005 2006 2007 2008 2009

Single copy 0.35 0.36 - 0.39 0.42Subscription 0.09 0.09 - 0.09 0.10

Source: ALEJ


(Luxembourg, euro)2005 2006 2007 2008 2009

Average per ton 520 565 - 563 583

Source: Service des Médias et des Communications


11. Research (2009)

Circulation is audited byCIM (Centre d’Information sur les Médias, Brussels)

Readership is measured byTNS Plurimedia (Taylor-Nelson/Sofres)

Methodology3,077 CATI interviews from Octobre 9, 2008 to May24, 2009; population aged 15+

Source: ALEJ

Tax %


Single copy sales 3Subscription sales 3Advertising 15Newsprint 15Composition 15Plant 3 1


Source: ALEJ1 VAT rate 3% for brochures, books, newspapers and periodical publications;

12% for commercial catalogues and advertising prints; 15% for business cards

12. Taxes (2009)


Are there subsidies for the purchase of newsprint? There is no specific aid for newsprint purchases; all aidis included in the direct press subsidy.

Are loans granted at low rates for re-equipment orimproving existing equipment? There are no specific low-rate loans available to theprinting or publishing sectors; only industrial andcommercial companies are eligible for low-rate loans,which are granted by the SNCI (Société Nationale deCrédit et d’Investissement).

Are there any direct subsidies? Yes. The law of August 3, 1998 promoting print mediaprovides for subsidies, the amount of which is decidedeach year.

Source: ALEJ


LUXEMBOURG


Total amount 6.6 7.1 - 7.7 7.8 18.18 1.30

Source: SMC Service des Medias et des Communications

2006 Subsidies to nine newspapers and two magazines, including EUR6.442 million for nine newspapers (dailies, weeklies and others); six dailies receivedEUR5.701 million2008 Subsidies to nine newspapers and two magazines, including EUR7.037 million for nine newspapers (dailies and weeklies); six dailies received EUR6.187million2009 Subsidies to nine newspapers and two magazines, including EUR7.056 million for nine newspapers (dailies and weeklies); six dailies received EUR6.208million

13.b Direct subsidies 14. Discounts (2009)


Post 1 -Railroad 0Telephone 0Telegraph 0Telex 0Other 0

Source: ALEJ1 Fixed special rate. Tariff on distribution by the P&T is EUR12.10 per 75 grams plus a one-off fixed tax of 0.25%.




Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality? The participation of a newspaper business in a regional

radio station may not exceed 25% of the station’s capital.



Is further regulation of media concentration expected?NoSource: ALEJ



Regional TVLicensees No restriction No restriction No restriction No restriction Up to 25% of share capital

National TVLicensees No restriction No restriction No restriction No restriction Up to 25% of share capital


No restriction No restriction No restriction No restriction Up to 25% of share capital


No restriction No restriction No restriction No restriction Up to 25% of share capital

Satellite TVBroadcasters No restriction No restriction No restriction No restriction Up to 25% of share capital

Local Radio Licensees No restriction No restriction No restriction No restriction Up to 25% of share capital

National Radio Licensees No restriction No restriction No restriction No restriction Up to 25% of share capital

Foreign Investors No restriction No restriction No restriction No restriction Up to 25% of share capital

Source: ALEJ


MACEDONIA

General economic situation Macedonia’s small, open economy makes it vulnerable toeconomic developments in Europe and dependent onregional integration and progress toward EUmembership for continued economic growth. Growthaveraged 4% per year during 2003-06 and more than5% per year during 2007-08. Macedonia has maintainedmacroeconomic stability with low inflation, but it has sofar lagged the region in attracting foreign investmentand creating jobs, despite making extensive fiscal andbusiness sector reforms. Official unemployment remainshigh at nearly 35%, but may be overstated based on theexistence of an extensive gray market, estimated to bemore than 20% of GDP, that is not captured by officialstatistics. The inflation rate was estimated at 0.3% in2009.

Performance of newspapers vs. other media Macedonian Radio and Television (MRTV), whichgenerally favored the government’s views on politicalissues, was the country’s sole public broadcaster.

There were five private television broadcasters withnational coverage, 16 national television stationsbroadcasting via satellite, and 57 private local andregional television stations. Most of them broadcastnews programs and reflected a variety of viewpoints.

There were 70 independent radio stations.

There are three news agencies in Macedonia. TheMacedonian Information Agency is state-owned;MakFax and NetPress are privately held.

Macedonia has minority-language media in print and inbroadcast format, as well as a specialized publicbroadcasting channel that broadcasts in a variety ofminority languages. The minority media face unusualchallenges achieving economic sustainability, as theiraudiences are drawn from a limited segment of thepublic.

Media institutions and reporting were divided alongethnic and political lines, with the most strikingdivisions visible in reporting on controversial politicalissues. There were complaints and allegations ofgovernment pressure and even threats against mediaoutlets that did not report favorably on the government.

Performance of different types of newspapers There were approximately 600 print media outlets,including daily, weekly, biweekly, monthly, andperiodical editions.

There were six major private daily newspapers inMacedonian and three in Albanian. Most dailies arepublished every day, except Sunday.

Dnevnik is a daily newspaper with the largestcirculation.

Nova Makedonija is the oldest daily newspaper in theRepublic of Macedonia. It was established by ASNOM,the supreme legislative and executive people’srepresentative body of the Macedonian state from 1944until the end of World War II. Nova Makedonija is a state-owned newspaper.

Skopje Diem provides daily news from Macedonia inEnglish. The newspaper provides daily informationabout Macedonian matters for almost all embassies,international organisations and foreign media.

The major newspapers have established regularsupplements on health, vehicles, and entertainment, aswell as material geared toward teenagers.

Macedonia has several new specialized magazines onvehicles, interior decoration, celebrities, health, andwomen’s issues.

International newspapers and magazines were availablethroughout the country.

Newspaper launches / closuresSport Press, a daily sports newspaper was launched onNovember 18, 2009. It is published every day exceptSunday. Its cover price is 15 denaris.

Advertising The government was one of the largest advertisingbuyers in the country and favored outlets and journalistsit perceived as friendly. On January 26, 2009, the headof the NGO Transparency Macedonia criticized thegovernment for nontransparent expenditures and foradvertising in selected media.

The legal limit for broadcast advertising is 20 percent ofthe total air time. This is typically entirely filled; if thereis lack of advertisements, the time is used to promoteother business interests of the outlet’s owner.

In print, the usual share of advertising pages is between15 and 25 percent, depending on the newspaper and theissue.

Circulation Correct circulation data are generally not known.Newspapers tend to hide their copy sales from eachother and present inflated circulation figures to theiradvertisers. The press sector has no rating system; mediasimply claim circulation based on the number of printedcopies. However, some agencies and newspapers arenegotiating how to establish a mutual, crediblemeasurement system.



MACEDONIA

Newspapers have seen a substantial fall in circulation.Media experts in the country point to the growingnumber of Internet users and the financial crises asmajor causes for the drop. An additional factor is themedia’s underestimation of new technologies and theirusage. All media sectors were surprised by the suddenshift of audiences away from print and towards Internetuse. The print sector was simply unprepared for thechange and has been hurt badly.

Online / Digital Publishing There were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail. The government tried toincrease Internet use and operated Internet cafesthroughout the country that provided free Internetaccess to persons under the age of 27 and to seniorcitizens.

In October 2009 the State Statistical Office released dataon Internet penetration indicating that 41.8 percent ofhomes had Internet access and that a full half of thepopulation had used the Internet during the first quarterof the year, up 8.5 percent over the first quarter of 2008.

All major broadcast and print media offered up-to-dateweb editions. The major newspapers have establishedregular supplements on health, vehicles, andentertainment, as well as material geared towardteenagers.

Internet fees for broadband connections have fallensubstantially, however, large portions of the populationstill cannot afford bundled service packages of IPTV,ADSL Internet, and telephone, but they can subscribe tolower-cost cable packages. The problem is the lowavailability of cable service in rural areas.

Blogs and Internet-based social networks alsocontributed to developing freedom of speech.

Macedonians host a few specialized blogs on newtechnology, archeology, and other very narrowly targetedtopics.

Social networking has become the number one mediaphenomenon; Macedonians have 400,000 profiles onFacebook alone.

The major publishing outlet, Media Print Macedonia(MPM), announced that it is working on a new strategybased on the full utilization of new media. Mediaobservers expect that new business models in thesemedia will be introduced in 2010.

Ownership Macedonia laws regulate media ownership, but the

situation on the ground does not reflect this fact. A couple of large media groups are what is known as“paper clear”, that is showing no proof of ownership inofficial documents. The problem surroundingtransparency is the law implementation.

Media / Press Laws The constitution provides for freedom of speech and ofthe press, and the government generally respected theserights in practice. However, the law prohibits speech thatincites national, religious, or ethnic hatred, and the lawprovides penalties for broadcasters who violate theselaws.

Individuals could criticize the government publicly orprivately without reprisal, and the government did notattempt to impede criticism.

In December 2008, following criticism from the media,the ruling political party, VMRO-DPMNE, announcedthat it was dropping slander charges that were thenpending against 12 journalists in connection with theirpolitical reporting. On June 28, 2009, the Association ofMacedonian Journalists stated at a news conference thatthe government had actually changed the criminalcharges into civil charges, instead of dropping thementirely as suggested by the original VMRO-DPMNEannouncement.

Defamation is still part of the criminal code. In 2009,changes in the criminal code eliminated journalists’liability for publishing the statements of third personsgiven in front of the general public or at pressconferences. The Association of the Journalists ofMacedonia helped lobby for this change.

On May 4, 2009, the Association of MacedonianJournalists announced that there were more than 160ongoing defamation, libel, and slander suits. The lawallows only fines as penalties in such cases. Theassociation stated that courts had ordered journalists topay over 250,000 euros (USD358,000) for cases thatwere filed in 2007 and 2008. In several cases, the courtdid not fine accused offenders who apologized before thecourt.

In October 2008 the appellate court granted the appealof a journalist of a Bitola court decision to fine thejournalist 720,000 denars (USD14,400) for publishinga report on a judge being fined by police for drivingunder the influence of alcohol. The appellate courtreturned the case to the basic court for retrial. The retrialwas ongoing at the end of 2009.

On May 28, 2009, the Skopje Appellate Court rejectedLjubomir Frckoski’s appeal of a December 2008judgment against him for slandering Prime MinisterNikola Gruevski in a 2007 column he published.Subsequently, Frckoski requested the prosecutor’s office


MACEDONIA


Source: CIA – The World Factbook; US State Department; Wikitravel; IREX – Media Sustainability Index 2010

file a special motion for protection of legality before theSupreme Court on his behalf. At year’s end, theprosecutor’s office had not responded to his request,although the 30-day deadline for such a motion hadexpired. NGO Reporters without Borders criticized thedecision as harmful to freedom of the press. TheEuropean Court of Human Rights has acceptedFrckoski’s application to hear the case.

Copyright Legislators have initiated work on a copyright law inorder to align Macedonia’s domestic legislation withEuropean legal norms. The law is still being drafted, andthe procedure remains closed.

Printing & Distribution Newspaper companies own Macedonia’s printingfacilities and distribution systems.

Generally, distribution systems, including those forbroadcast, are privately owned. The same is true forInternet and telecom providers. The government is a lesser partner in the major telecommunicationcompany.

Taxes Aside from the 5 percent VAT that print media pay(instead of the standard 18 percent), business regulations

and the tax code do not differentiate between media andother types of businesses. Media are subject to additionaltaxation when they buy programs from countries that donot have agreements with Macedonia to avoid doubletaxation.

Other Factors Formal education opportunities for journalists includeuniversity-level courses on journalism and publicrelations offered by the Macedonian Institute for Media(MIM). State universities also provide journalismcourses. In addition, several privately owned universitiesoffer journalism and communications studies.

The Association of Private Print Media and Associationof Private Electronic Media of Macedonia are no longeractive. They collapsed due to the divergent interests of media owners. There is no new initiative for re-establishing either association. Macedonia has noactive trade union that represents the rights of mediaindustry workers.

The Association of Journalists of Macedonia (AJM) isundergoing a troublesome restructuring, initiated by a group of journalists who were unsatisfied with theassociation’s efforts related to media ownerships andlabour issues. The association has drafted new statutesthat await adoption.


0-14 397 19 206 20 191 1815-64 1,434 69 723 70 711 6965 + 236 11 102 10 134 13Total 2,067 100 1,031 100 1,036 100



Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 10 11 12 12 13 30.00 8.33Total paid-for dailies 10 10 10 11 12 20.00 9.09National paid-for dailies 10 10 10 11 1 12 2 20.00 9.09

Total free dailies - 1 2 1 1 - 0.00

Source: 2005 Association of Printed Media – Macedonia; WAN assessment; 2006-2007 WAN assessment; 2008 WAN from public sources; 2009 WAN-IFRA assessment1 Eight titles in Macedonian and three in Albanian2 Nine titles in Macedonian and three in Albanian


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 160 190 230 295 280 75.00 -5.08Total paid-for dailies 160 140 140 170 160 0.00 -5.88National paid-for dailies 160 140 140 170 160 0.00 -5.88

Total free dailies - 50 90 125 120 - -4.00

Source: 2005 Association of Printed Media – Macedonia; WAN assessment; 2006-2008 WAN assessment; 2009 WAN-IFRA assessment



MACEDONIA

(Macedonia, denar)min max


Source: Association of Printed Media


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 107.8 130.1 273.6 288.4 290.1 169.02 0.55Internet users 538.3 583.2 740.5 939.8 1,057.4 96.43 12.51




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Macedonian denar, bln)2005 2006 2007 2008 2009

GDP 810.3 850.7 807.2 850.0 829.5

Source: 2005-2006 CIA - The World Factbook; OANDA (exchange rate); 2007-2009CIA – The World Factbook

2005 Exchange rate used: 1 USD = 52.11 MKD2006 Exchange rate used: 1 USD = 50.31 MKD


(Macedonian denar, 000)2005 2006 2007 2008 2009

GDP per capita 362.0 412.5 392.7 410.5 401.6



Advertising sector

TelecommunicationsAutoBanksBeveragesComputersElectronicsHygieneCosmeticsTravel AgenciesReal-estate Agencies



Advertiser

T-MobileCosmofonMacedonian TelecommunicationsSkopsko BeerCoca ColaGermanosAlkaloidProCredit BankT-MobileQB MacedoniaCitroen



Title Founded Language Publishing company Circulation 1 Cover price usual Format(000) (Macedonia, denar)

Dnevnik 1996 Macedonian Krug 2 50 15.00 TabloidVreme 2004 Macedonian Plus Produkcija 30 15.00 TabloidVest 2000 Macedonian Ogledalo 2 25 15.00 TabloidNova Makedonija - Macedonian NIK Nova Print 22 - -Utrinski Vesnik 1999 Macedonian Most 2 20 15.00 BerlinerVecer 1963 Macedonian Vecer 14 15.00 TabloidMakedonski Sport - Macedonian Unika M 10 20.00 TabloidMakedonija Denes - Macedonian - - - -Koha - Albanian Media-Koha - 10.00 -Sport Press 2009 Macedonian - - 15.00 -

Source: WAZ Mediengruppe; Wikipedia; Publishers; WAN-IFRA records1 Publishers' claims (print run)2 Media Print Macedonia (MPM), established by WAZ Mediengruppe



Shpic 2006 Macedonian Vreme 120 1 Tabloid

Source: WAN-IFRA from public sources; WAN-IFRA estimate (circulation)1 Publisher's claim


11. Research (2006)

Circulation is audited byCirculation is not audited.

Readership is measured byNo readership research was conducted in 2006.


Tax %



Source: Distripress; IREX – Media Sustainability Index 2010

12. Taxes (2009)


MACEDONIA




Are there any direct subsidies? The goverment decided to cease newspaper subsidiesfrom 2004.

Source: WAN-IFRA assesment




Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality? Newspaper publishers cannot operate radio or TVstations.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company? Joint Stock companies must register their shares at theCentral Registry. However, most publishing companiesare registered as Limited, so they are not under this rule.

Is there an antitrust law limiting concentration in the dailypress? There are no special rules for newspapers, but normalanti-monopoly laws apply.

Is further regulation of media concentration expected? NoSource: WAN-IFRA records






MALTA

General economic situation Malta produces only about 20% of its food needs, haslimited fresh water supplies, and has few domesticenergy sources. Malta’s geographic position between theEU and Africa makes it a recipient of illegalimmigration, which has strained Malta’s political and economic resources. The financial services industryhas grown in recent years, but is not fully modernized. Malta’s economy is dependent on foreigntrade, manufacturing; especially electronics andpharmaceuticals; and tourism, all of which have beennegatively affected by the global economic downturn.Malta adopted the euro on 1 January 2008. Theinflation rate was estimated at 2.7% in 2009.

Performance of newspapers vs. other media National Public Broadcasting (PBS) receives revenuefrom TV licences. Such a privilege, however, obligesthem to provide programming that is educational andinformative, as well as being entertaining.

Performance of different types of newspapers Malta has four daily newspapers, two written in Malteseand two in English.

There are also three Sunday newspapers in Maltese andthree published in English: The Malta Independent OnSunday, MaltaToday, The Sunday Times, Il-Mument(Moment), It-Torca (The Torch), and Kullhadd(Everyone).

Additionally, there are three Maltese non-dailynewspapers, Il-Gens, Lehen is-Sewwa (The Voice ofTruth), and Illum (Today); and four English ones,including The Malta Business Weekly, Business Today,MaltaToday and MaltaToday Mid-Week.

The first privately owned newspaper in Maltese in years,Illum, was launched in 2006. For three decades, Maltahas had newspapers in Maltese run by political parties orthe Church. The new Sunday newspaper is published byMediaToday, adding another newspaper to theMediaToday publishing house which also includesMaltaToday, Business Today and MaltaNow.


Internet use was widespread; an estimated 59 percent ofhouseholds and 90 percent of schools (state, church, andprivate) had Internet access. Numerous Internet cafesand many blogs operated freely throughout the islands.

Media / Press Laws The constitution and law generally provide for freedomof speech and of the press; however, there are restrictionson “vilification” of, or “giving offense” to, the RomanCatholic Apostolic Religion, the country’s officialchurch. Also illegal, but carrying a lesser punishment, isvilification of, or giving offense to, any “cult tolerated bylaw.” It is an offense to publicly utter any obscene orindecent words or make obscene acts or gestures, or inany other way offend public “morality, propriety, ordecency.”

According to the Times of Malta, the home affairsminister told parliament in October 2009 that in thefirst three months of the year, authorities initiatedcriminal proceedings against 162 persons forblaspheming in public; they began similar proceedingsagainst 621 persons during 2008.


Source: CIA – The World Factbook; US State Department; Wikipedia


MALTA




0-14 66 16 34 17 32 1615-64 281 69 142 71 139 6865 + 58 14 25 12 33 16Total 405 100 201 100 204 100


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


Total paid-for non-dailies 6 7 7 7 7 16.67 0.00National paid-for non-dailies 6 7 7 7 7 16.67 0.00




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 95 100 102 102 100 5.26 -1.96

Source: 2005-2008 WAN estimate; 2009 WAN-IFRA estimate


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Malta, euro, bln)2005 2006 2007 2008 2009

GDP 2.5 10.7 7.1 7.2 6.9



(Malta, euro, 000)2005 2006 2007 2008 2009

GDP per capita 6.40 26.70 17.57 17.90 17.10




Title Founded Language Publishing company Circulation Readership Full page ad rateMono Colour

(year) (000) (000) (Malta, euro)

The Times of Malta 1 1935 English Allied Newspapers Ltd. 22 72 675 1,230In-Nazzjon (The Nation) - Maltese Media Link Communications 2 - - - -L-Orizzont (The Horizon) 1962 Maltese Union Press 3 20 - - -The Malta Independent - English Standard Publications Ltd. - - - -

Source: The Times of Malta; Wikipedia; WAN-IFRA from public sources1 The oldest newspaper in Malta still in circulation; The Sunday Times has circulation 40,000, readership 119,000 and cover price EUR0.802 Owned by the Maltese National Party – Partit Nazzjonalista3 Owned by the General Workers Union

Tax %

Standard VAT 18VAT on:Single copy sales 5



12. Taxes (2009)


MAN, ISLE OF

General economic situation Offshore banking, manufacturing, and tourism are keysectors of the economy. The government offersincentives to high-technology companies and financialinstitutions to locate on the island. This has paid off inexpanding employment opportunities in high-incomeindustries. As a result, agriculture and fishing, once themainstays of the economy, have declined in theircontributions to GDP. The Isle of Man also attractsonline gambling sites and the film industry. Trade ismostly with the UK. The inflation rate was estimated at3.1% in 2006.

Performance of newspapers vs. other media National public radio station Manx Radio (RadioVannin, in Manx) is funded by advertising and a government grant.

The Isle of Man was a pioneer of commercial radio inthe British Isles, thanks to its local laws. Manx Radiolaunched in 1964, long before the UK authorities gavethe green light to commercial radio. The station carriessome programmes in the Manx language.

Plans for a Manx TV station have yet to reach fruition.Services from the UK’s national TV and radiobroadcasters, including the BBC, are available via localrelays.

Performance of different types of newspapers Isle of Man Newspapers, owned by United Kingdom

media group Johnston Press, publishes three weeklies:Isle of Man Examiner, Manx Independent, and the free-of-charge weekly Isle of Man Courier. The companywas formerly called the Isle of Man Courier Group.

The Isle of Man Examiner is a broadsheet newspaperpublished every Tuesday. The Examiner began in the1880s and was the island’s most popular newspaper formost of the 20th century.

The Manx Independent is a tabloid weekly, publishedevery Friday. It was founded as a broadsheet in 1987after a strike that closed the Isle of Man Examiner, theIsle of Man Times, the Isle of Man Gazette and theManx Star. It became a twice-weekly tabloid and wasowned by Mercantile Press and then MortonNewspapers from Northern Ireland in the early 1992. Itclosed and was bought by Isle of Man Newspapers in1993, which revived it in its current weekly format.

The Isle of Man Courier is a free weekly that can trace itroots back to the Ramsey Courier, which began in the19th century. The Isle of Man Courier became a freedelivered newspaper in 1981.

Media / Press Laws The island's Communications Commission licenses andregulates radio and TV, although the United Kingdom’sOffice of Communications (Ofcom) oversees frequencyuse.



Source: CIA – The World Factbook; BBC News



0-14 13 17 7 19 6 1515-64 50 66 25 68 25 6465 + 13 17 5 14 8 21Total 76 100 37 100 39 100


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





MOLDOVA

General economic situation Moldova remains one of the poorest countries in Europedespite recent progress from its small economic base. Itenjoys a favourable climate and good farmland but hasno major mineral deposits. As a result, the economydepends heavily on agriculture, featuring fruits,vegetables, wine, and tobacco. Moldova must importalmost all of its energy supplies. Moldova’s dependenceon Russian energy was underscored at the end of 2005,when a Russian-owned electrical station in Moldova’sseparatist Transnistria region cut off power to Moldovaand Russia’s Gazprom cut off natural gas in disputes overpricing, and again in January 2009, during a similardispute. Russia’s decision to ban Moldovan wine andagricultural products, coupled with its decision todouble the price Moldova paid for Russian natural gas,slowed GDP growth in 2006-07. However, in 2008growth exceeded the 6% level Moldova had achieved in2000-05, boosted by Russia’s partial removal of the bans,solid fixed capital investment, and strong domesticdemand driven by remittances from abroad. Theinflation rate was estimated at 0% in 2009.

Performance of newspapers vs. other media The government continued to influence the mediathrough its role in distributing broadcast licenses and itsfinancial support for privatized media outlets, includingthe public radio and television broadcaster TeleradioMoldova (TRM), which covered most of the country.

According to the Audiovisual Coordinating Council(ACC), 46 radio stations, 38 television stations, and 166cable providers operated in the country. Most stationsrebroadcast programs from Romania, Russia, andUkraine and offered limited locally producedprogramming. Other foreign programs, including arange of international news broadcasts, were available bysubscription from private cable television operators.Some local governments, including that of Gagauzia,operated television and radio stations and newspapers.

It is difficult to register, maintain, and financially sustainindependent newspapers, radio stations, or televisionstations in Transnistria, although several exist. Mostnewspapers from government-controlled areas did notcirculate widely in Transnistria, although they wereavailable in Tiraspol. Foreign publications, includingpublications edited in Chisinau, were difficult to obtain,as separatist authorities imposed a 100 percent customsduty.

Moldova has several news agencies. In addition to printnews services, some agencies provide photo and audioservices (Info-prim Neo) and online services (Novosti-Moldova). Initially, news agencies in Moldovaestablished themselves as independent and non-partisanbodies. News outlets considered them trustworthy

sources of information and were used and quotedextensively by other media. The government owned theMoldpress News Agency.

Performance of different types of newspapers There were approximately 260 newspapers andmagazines in the country. The print media expresseddiverse political views and commentary.

Local and city governments subsidized approximately 25newspapers. Political parties and professionalorganizations also published newspapers.

Formerly government-owned newspapers, MoldovaSuverana and Nezavisimaya Moldova, continued tofavor the Party of Communists of the Republic ofMoldova (PCRM) in their coverage. These newspapersoften used inflammatory language and photo-editedportrayals of opponents as Nazis in articles criticizing theopposition.

The newspaper Flux, a mouthpiece for the ChristianDemocratic Party, published articles in favor of the partyand against its opponents, but sometimes critical ofboth.

Newspapers such as Timpul, Jurnal de Chisinau, Ziarulde Garda, and Moldavskye Vedomosti published morediverse views and articles critical of the PCRMgovernment and its policies. At times these outletssensationalized coverage, including by using graphicimages to denigrate opponents, such as photo-editingheads of public figures onto naked bodies andsuperimposing images with photos of Nazis.

Both of Transnistria’s major newspapers, Pridnestrovieand Dnestrovskaya Pravda, were official publications ofthe separatist administration. Separatist authoritiesharassed independent newspapers for critical reportingof the regime. Independent newspapers such as NovayaGazeta and Chelovek i Yevo Prava were published, buthad a limited circulation of about 3,000.

One independent weekly newspaper was published inBender and another in the northern city of Ribnita.According to a study by a western academic researcher,the Ribnita-based Dobryi Den newspaper did notpublish any articles critical of Transnistria or separatistauthorities.

Other Transnistrian media that printed reports critical ofsecessionist authorities also had small circulations andappeared either weekly or monthly. There were fewRomanian and Ukrainian language publicationsavailable to the ethnic Ukrainians and Moldovans in theregion. Apart from the publicly financed Gomin(Ukrainian), Adevarul Nistrean (Romanian in Cyrillic



MOLDOVA

script), and the political party-controlled newspaperDrujba (Romanian in Cyrillic script), most publicationswere in the Russian language.

The government did not restrict foreign publications,but most were not widely circulated because of high cost.Newspapers from Russia were available; some publishedspecial weekly local editions.

Newspaper launches / closuresIn December 2009, the print publication Economistand the online Business Expert merged to establish a new newspaper, Economist, with 16 pages and a circulation of 6,500 copies.

Advertising About 50 percent of advertising in Moldova goes intotelevision, and is estimated at EUR16 million annually,which the director of the National Agency forCompetition Protection announced at a November2009 government meeting. The amount of advertisinggoing into newspapers was estimated at about EUR5million, whereas the amount going to magazines wasestimated at EUR1 million. Radio broadcasters receivedabout EUR1.5 million.

The fast-growing online advertising market representsabout 2 percent of the total share of the advertisingmarket in Moldova, and was estimated at USD800,000in 2009. Experts forecast 50 percent growth in onlineadvertising in 2010, based in part on the growingnumber of Internet users (numbers climbed to about 1.4million in 2009).

The government is an insignificant source of advertisingfor Moldovan media compared to foreign or local privatecompanies. However, distribution of what little stateadvertising exists is unfair and lacks transparency, andthis generated public debates in 2009.

Circulation Print media circulation figures in Moldova are randomand are usually stated higher than the reality. In 2009,after a number of attempts over several years, the AuditBureau of Circulation in Moldova (ABCM) wasestablished. It aims to provide a real picture for theadvertising market in the country.

Readership Because placement of private and governmentadvertising is in part politically motivated, “marketstudies are not in demand, let alone the fact that they arevery expensive,” said Constantin Marin, dean ofJournalism Department at Moldova State University inChisinau. Although there are professional, internationalcompanies that do independent audience measurementsand provide complex data (including audiencedemographic characteristics and preferences), only a limited number of media outlets can afford to

commission such studies. These outlets use the marketstudy results in order to tailor their products to audiencepreferences.

According to reports provided by AGB Nielsen MediaResearch, audiences prefer mainly foreign movies andentertainment programs, especially from Russia, ratherthan local news programs. Some media outlets carry outaudience measurements on their own, mainly by meansof telephone polls. For instance, Jurnal de Chisinaunewspaper cannot afford to commission studies butpublishes annual reader questionnaires.

Online / Digital Publishing According to the National Regulatory Agency forElectronic Communications and InformationTechnology (ANRCETI), broadband Internet reached a penetration of 4.63 percent (compared to 23 percentin the EU) in September 2009 in Moldova. The vastmajority of Internet users are concentrated in cities. Forinstance, broadband Internet has reached a penetrationof more than 30 percent in Chisinau, and more than 10percent in Balti.

More than 40 operators provide Internet access, withMoldtelecom holding a 67.2 percent market share andStarnet and Orange Moldova with 10.4 percent and 5.3percent, respectively (www.anrceti.md). Based on theNovember 2009 Public Opinion Barometer, 8.6 percentof the respondents consider the Internet their primarysource for information. Cell phone operators provideSMS news feed service for a fee, but this means ofinformation has not become popular.

While most citizens could not afford computers andprivate access to the Internet, public access at cafes inmajor cities was readily available. In August 2009 a localISP created public Wi-Fi hot spots in several publicparks in Chisinau.

In Transnistria Internet connections were available inmost parts of the region, and most residents accessed theInternet through publicly available computers at cafes.One company, Sherriff Enterprises, was the sole ISP inthe region.

During and after the April 2009 protests, thegovernment restricted use of the Internet. Internet userscomplained that state-owned Moldtelecom blockedaccess to the most popular news portals and socialnetworking websites on April 9 and 10, 2009.

On April 9, 2009, Facebook and the social networkingwebsite Odnoklassniki.ru became inaccessible to users inMoldova. On April 8, 2009, the administrators of theUnimedia information portal reported that their serverhad been attacked several times.


MOLDOVA

Ownership Moldovan media law generally uses the terms“founders/co-founders” rather than the term “owner.”This is one reason why citizens do not have access toinformation about the ownership of media outlets,although readers generally can deduce ownership basedon the publication’s content.

According to the press law, in January and July each year,periodical publications and news agencies are required toreport sources and value of donations, including thenon-financial donations, from local and foreignindividuals and legal entities. However, this provisionhas not been observed.

There is no record of financial corporations purchasingmedia outlets in Moldova. Officially, the media sectorhas no monopolies. The broadcasting code stipulatesthat an individual or a legal entity may own up to twobroadcasting licenses for the same area and that “anindividual or a legal entity, local or foreign, may be a direct or indirect investor or major shareholder of upto two different types of broadcasters.”

No major foreign investments were in Moldovan mediaat the end of 2009, although Romanian and Russianprogramming has a heavy presence on Moldovantelevision. At the end of 2009, it was announced thattwo newly established satellite television stations, JurnalTV and TV Publika, will receive investments fromGermany and Romania.

Media / Press Laws The law provides for freedom of speech and of the press;however, the government did not respect these rights inpractice. Individuals could criticize the governmentpublicly and privately without reprisal, althoughauthorities attempted to impede criticism by limitingthe access of some media to government informationand events and by repressing media outlets deemed“nonloyal” during and after the April 2009parliamentary elections. In addition, individuals andorganizations critical of the government risked beingmonitored and subjected to abusive tax and registrationinspections.

The Constitution of Moldova, the press law, and thebroadcasting code guarantee freedom of expression, butsome provisions can be used as pretexts to limit thisright. The constitution forbids “defamation of the stateand the nation … as well as other actions attempting tooverthrow the constitutional regime.” The criminal codehas not been adjusted to the European Conventionstandards, and provides for fines, community work, orimprisonment for libel against judges and prosecutors.Other criminal offenses include dissemination of certaininformation that is “protected by law and concerningprivate life.” The administrative code, which provides forup to 30 days of imprisonment for libel and insult, also

does not live up to European Convention on HumanRights standards. On the other hand, a 2000 SupremeCourt of Justice decision on protection of honor, dignity,and professional reputation contributes to freeexpression by establishing that “no one may be punishedfor criticizing or insulting the nation, the state, or itssymbols, unless the criticism or insult was intended andlikely to incite imminent violence.”

Journalists and NGOs reported that the governmentdenied independent media access to various officialevents. On May 26 and August 18 of 2009, the interiorministry prevented journalists from Internet-basedJurnal TV from covering its press conferences. On July14, 2009, police in Donduseni expelled two journalistsfrom the Moldavskie Vedomosti newspaper from a hallwhere the prime minister had been meeting with localresidents.

Moldova has laws facilitating access to information. Thelaw mandates that the government provide requestedinformation immediately, in verbal or written form, if itis available. However, journalists are asked to sendwritten requests that will be answered within 15 days. InSeptember 2009, the Supreme Court of Justice ruled infavour of the Investigative Journalism Centre andobliged the government to provide requestedinformation concerning how funds were spent for thereconstruction of a monastery. During the last five years,the centre has won 17 lawsuits against state institutionsfor restricting access to public information.

During and after the protests following the April 5, 2009elections, law enforcement bodies launched a campaignof intimidation and aggression against the media. Policeand security forces illegally detained and interrogatedmany journalists. On April 7-8, 2009, more than 20Romanian journalists were denied entry to the country,as the government publicly accused Romania of playinga role in organizing the April 7-8 violence. On April 8,2009, several plainclothes police officers severely beat a cameraman from Jurnal TV, who was filming in publicand also seized and destroyed his video equipment. OnApril 10, 2009, several plainclothes police abducted theeditor in chief of the Jurnal de Chisinau newspaper onthe street and took her to an unknown destination. Shetold the media that, after several hours of detention, shewas taken to the Special Mission Department of theInterior Ministry and was accused of assessing andcollecting information to help attack the governmentbuildings.

Although libel is not a criminal offense, and the lawlimits the amount of fines that can be claimed forslander, some newspapers continued to practice self-censorship and avoid controversial issues out of concernthat government officials and other public figures coulduse civil defamation laws to retaliate against critical newscoverage.


MOLDOVA

Under Moldovan law regarding defamation cases, therights of the plaintiffs are prioritized over those of themedia.

In a case that reached the European Court of HumanRights, Flux newspaper was sued by a Communistparliament member who said his honour and dignitywere harmed by an article. Moldovan courts ruledagainst the newspaper, but the European courtcondemned Moldova in November 2009 for violatingthe newspaper’s right of free expression and ordered thegovernment to pay Flux EUR5,000, includingEUR3,000 for moral damages.

In April 2008 a district court in Chisinau froze the bankaccount of the Jurnal de Chisinau newspaper tosequester funds in a libel case. The case was filed againstthe newspaper by a former prosecutor, who sued foralleged damages inflicted on him by articles published in2003 and 2004. The newspaper appealed, and in May2008 the Court of Appeals unblocked the bank account.At the end of 2009 the case was before the ChisinauCourt of Appeals for reconsideration.

In June 2008 parliament passed amendments to theediting law, making it illegal to edit and publishliterature that contains “denial and defamation of thestate and the people; calls to war or aggression, to ethnic,racial or religious hatred; [or] incitement ofdiscrimination, territorial separatism, or publicviolence.” Several private publishing houses opposed thenew law, claiming that it imposed censorship.

Printing & Distribution Authorities controlled all printing houses and, at times,threatened to stop the printing of independentnewspapers.

The lion’s share of distribution is controlled by the statecompany Posta Moldovei.

The press distribution network, including kiosks, ismanaged mainly by the state. Burdeinii noted that eventhough Moldova has a private network of kiosks,distribution is extremely expensive for the media. InJune 2009, a new press distribution network wasestablished, managed by the Moldo-Romanian companyMegapress. The company announced that it would sellnewspapers and magazines in Romanian and Russianpublished in Moldova, and plans to includeinternational press in the network. Megapress also said itwill not discriminate on any ground, political affiliation,language, or country of origin in particular.

State Support The government subsidizes a certain number of mediaoutlets, but lack of transparency about the criteria forfund distribution makes outlets more dependent on theauthorities, affecting their editorial policies. Theindependent Jurnal de Chisinau reported in 2009 aboutthe pressure that authorities applied on businesses towithdraw their advertising from non-state media.

In the countryside, the publications loyal to localadministrations receive funding from local budgets andhave more access to information than independentpublications. For example, the publication FarulNistrean in the city of Rezina, which strongly promotesthe Communists, received 120,000 Moldovan lei fromthe Rezina budget for the last quarter of 2009.

Other Factors In October 2009, six NGOs operating in the field ofmedia, human rights, and public policy founded thePress Council of Moldova. This self-regulatory bodydeclared itself independent and stated that its major taskwas to “examine complaints concerning the editorialactivity of newspapers, magazines, news agencies, as wellas web portals.”

Source: CIA – The World Factbook; US State Department; IREX – Media Sustainability Index 2010


MOLDOVA




0-14 688 16 353 17 335 1515-64 3,166 73 1,536 75 1,630 7265 + 466 11 172 8 294 13Total 4,320 100 2,061 100 2,259 100




A+B 62 49 13C1 272 86 186C2 373 108 265D 686 372 314E 1,793 906 888Total 3,186 1,521 1,665

Source: AGB Moldova 2008

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

All newspapers - - 253 247 248 - 0.40Total paid-for dailies 7 8 9 7 7 0.00 0.00National paid-for dailies 6 7 8 7 7 16.67 0.00Regional and local 1 1 1 - - - -paid-for dailies

Total non-dailies - - 244 240 241 - 0.42Total paid-for non-dailies 120 - - - - - -

National paid-for non-dailies 79 - - - - - -Regional and local 41 - - - - - -paid-for non-dailies

Source: 2005 Association of Independent Press from Moldova; 2006 WAN assessment; 2007 Independent Journalism Centre – Mass Media Guide in Moldova(all newspapers); WAN assessment (dailies); 2008 Association of Independent Press,Moldova; 2009 WAN-IFRA assessment


(Moldovan leu)average


Source: Association of IndependentPress, Moldova


Reached 1

(%)

All adults 84

Source: ZenithOptimedia Grouprecords1 Monthly


Age % daily reachwithin age

group

less than 16 7.616-24 15.525-34 19.435-44 21.945-54 22.755-64 9.065 + 4.0Total 100

Source: Marketing Media Index poll forAssociation of Independent Press


Change (%)2003 2004 2005 2006 2007 2007/03 2007/06

Dailies - 12 - - 12 - -Non-dailies - 63 - - - - -

Source: Association of Independent Press

6.a Online editions

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 61.1 93.7 110.2 155.8 203.5 233.06 30.62Internet users 550.0 727.7 750.0 850.0 1,295.0 135.45 52.35



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





MOLDOVA


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Moldovan leu, bln)2004 2005 2006 2007 2008

GDP 32.0 37.7 44.8 53.4 64.6



(Moldovan leu, 000)2004 2005 2006 2007 2008

GDP per capita 8.4 10.0 12.1 14.5 17.8




(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.26 0.32 0.39 0.51 0.54 0.57 0.57 0.54


(Moldovan leu, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 41.0 61.8 85.2 150.1 146.0 185.9 205.0 220.0Radio 16.2 23.0 24.3 27.0 24.8 25.0 26.0 27.3Cinema 1.0 1.2 1.5 3.7 4.6 4.0 4.3 4.5Outdoor 21.6 27.0 60.9 108.2 108.2 110.0 115.5 120.0Internet 0.0 1.4 1.4 2.0 3.4 3.7 3.9 4.2Total 98.7 141.5 207.0 327.6 323.4 364.6 393.8 415.9

Source: AGB Moldova; TNS Moldova; ZenithOptimedia

Excludes agency commission; excludes production costs; after discounts


(Moldovan leu, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

All newspapers 43.2 50.4 61.2 62.1 64.0 48.15 3.06

Source: Association of Independent Press, Moldova


Owners Revenue (Moldovan leu, 000)

Komsomolyskaya Pravda 5,833Antenna 4,964Makler 2,599Arguments and Facts 2,443SUN TV 1,177Logos Press 1,140TV Programe 1,062SP 858Saptamina 627Chisinau News 609

Source: ZenithOptimedia Grouprecords


Title Language Publishing company Circulation Readership Cover price usual Format(000) (000) (Moldovan leu) (USD)

Komsomolskaya Pravda Russian Komsomolskaya Pravda 50 200 5.00 0.56 A3v Moldove Basarabia Ltd

Timpul de Dimineata Romanian Timpul de Dimineata Ltd 28 112 4.00 0.45 A3Jurnal de Chisinau Romanian Jurnal de Chisinau Ltd 28 112 4.00 0.45 A3Moldova Suverana Romanian Moldova Suverana Ltd 18 72 1.50 0.25 A2Nezavisimaya Moldova Russian Nezavisimaya Moldova Ltd 17 68 4.00 0.45 A3Sport Curier Russian Sport Curier Ltd 17 68 3.00 0.35 A3Sport Meredian Russian Sport Meredian Ltd 15 60 3.00 0.35 A3


2008 data


Tax %

Standard VAT 20


12. Taxes (2008)

11. Research (2009)

Circulation is audited byAudit Bureau of Circulations Moldova (ABCM)

Source: IREX – Media Sustainability Index 2010


Are there any direct subsidies?Yes, but they are only provided for several newspaperswhich are close to government.

Source: WAN-IFRA records


MOLDOVA




14. Discounts (2009) 15.a Ownership laws and rules (2009)


Is there any law prohibiting or restricting foreign companiesor individuals from owning shares, and in particular, themajority of shares, of domestic daily newspapers? Article 12 of the Press Law allows newspapers to acceptdonations from abroad, but forbids them to accept anyother form of funding from foreign governments, exceptfrom countries with which Moldova has reached a bilateral agreement. Foreign natural persons and legalentities can own no more than 49% of the capital of a periodical or press agency.





Source: WAN records


MONACO

General economic situation Monaco, bordering France on the Mediterranean coast,is a popular resort, attracting tourists to its casino andpleasant climate. The principality also is a major bankingcentre and has successfully sought to diversify intoservices and small, high-value-added, non-pollutingindustries. The state has no income tax and low businesstaxes and thrives as a tax haven both for individuals whohave established residence and for foreign companiesthat have set up businesses and offices. The state retainsmonopolies in a number of sectors, including tobacco,the telephone network, and the postal service. Livingstandards are high, roughly comparable to those inprosperous French metropolitan areas. The inflation ratewas estimated at 1.9% in 2000.

Performance of newspapers vs. other media The influence of Monaco’s broadcast media extends farbeyond the borders of the tiny state. From the 1960sRadio Monte-Carlo used powerful transmitters to reachlisteners across much of France, and in the 1970sbroadcasts to Italy began. Radio Monte-Carlo now hasextensive FM networks in both countries.

Monte-Carlo Doualiya, a service for the Arab world setup in 1972, is now operated by Radio FranceInternationale.

Television’s great and good gather in Monaco every yearfor the Monte-Carlo Television Festival, set up in 1961by Prince Rainier.

Performance of different types of newspapers Monaco has no domestically published daily newspaper,but French newspapers cover news from the country.

There are two state weeklies: Journal de Monaco,published by the government, and Monaco Hebdo.


Media / Press Laws The constitution and law provide for freedom of speechand of the press, and the government generally respectedthese rights. Articles 58 and 60 of the Penal Codeprohibit public denunciations of the ruling family,provisions that the media followed in practice. The lawprovides for imprisonment of between six months to fiveyears for violation of Articles 58 and 60. No one wascharged with violation of these statutes during the year2009.

On November 5, 2009, several hundred people (900according to the police, 1,200 according to organizers)demonstrated in Monaco for, among other things, the“freedom of the press.” An official of the Union ofUnions in Monaco (USM) denounced a “colorless,odorless and good thinking” press. “The consensus atany price, the culture of secrecy, the predilection for therumor govern at the expense of information,” said Betty Tambuscio, denouncing “a press center andsanitized press closing an eye”. The press center is theorgan of the Monaco government communication. Itsdirector Francis Chantra told AFP that he has “no powerof censorship.” He said: “The press is free in thiscountry.”

Prince Albert II, under the Constitution of Monaco, hasreal power in Monaco and he is immune to criticismfrom the press. The Monegasque law provides that localmedia companies undertake not to harm the person ofPrince or his family.

Commentary

Source: CIA – The World Factbook; US State Department; BBC News


MONACO



0-14 4 13 2 13 2 1215-64 20 63 10 67 10 5965 + 8 25 3 20 5 29Total 32 100 15 100 17 100



Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for non-dailies 2 2 2 2 2 0.00 0.00National paid-for non-dailies 2 2 2 2 2 0.00 0.00




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 9.8 11.2 12.5 12.5 12.5 27.55 0.00Internet users 18 20 21 22 23 27.78 4.55


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07




GDP 0.7 0.7 0.7 0.7 0.7


Monaco does not publish national income figures; the estimates are extremelyrough




GDP per capita 21.9 21.6 21.6 21.9 20.4


Tax %

Standard VAT 19.6


12. Taxes (2007)


MONTENEGRO

General economic situation The dissolution of the loose political union betweenSerbia and Montenegro in 2006 led to separatemembership in several international financialinstitutions. Severe unemployment remains a keypolitical and economic problem for this entire region.Montenegro has privatized its large aluminium complex,the dominant industry, as well as most of its financialsector, and has begun to attract foreign direct investmentin the tourism sector. The inflation rate was estimated at3.4% in 2007.

Performance of newspapers vs. other media A wide variety of public and private broadcast mediaincluded a national public radio and a televisionbroadcaster; 14 local public radio and four local publictelevision stations; and 41 private radio and 19 privatetelevision stations.

Montenegro has a plurality of news sources with morethan 150 local and national print and electronic mediaoutlets. In fact, Montenegro’s media market isoversaturated, with one media outlet per 4,000residents.

There were 38 radio stations, including five operatingnationwide.

There were 37 television stations, including nineoperating nationwide.

The only news agency, Mina News Agency, is privatelyheld.

The independent media were active and generallyexpressed a wide variety of political and social viewswithout government restriction.

The movement toward more entertainment and less newscontinued in 2009. This is especially true of electronicmedia, which enjoy the most influence in Montenegro.The ratio is about 80 percent entertainment to 20percent news, except in state public service television,which is near 50:50. Entertainment programs are oftentasteless and promote immoral messages andquestionable values, according to the panelists. In printmedia, news still dominates, but these outlets are facingtough times in the Montenegrin market.

Performance of different types of newspapers There were four dailies, four weeklies, and 40 monthlies.

Pobjeda is the oldest Montenegrin newspaper still incirculation. Until September 1997 it was the only dailynewspaper in Montenegro. Following severalunsuccessful privatization attempts, it is the only dailynewspaper in Montenegro that is state-owned.

The government did not restrict the distribution offoreign publications.

Advertising Advertising revenues generally flow to national mediawith headquarters in Podgorica, while the rest ofMontenegro gets crumbs when it comes to advertising.However, the advertising market in Montenegro islimited in its potential of about EUR12 millionannually.

Readership Montenegro has few media market surveys. Mediaoutlets cannot afford to pay public opinion agencies, soNGOs conduct a majority of surveys. Some also conductratings surveys. However, even these surveys are sporadicand insufficient for drafting business plans ordevelopment strategies.


Ownership In the last few years, media ownership transparency hasimproved as the government has introduced legalregulations. The public is now informed about theownership structure of media, although suspicions lingerregarding the authenticity of formal owners. All mediacompanies are registered in the commercial court, sotheir reported ownership structure is readily availableand confirmable. Regarding the threat of monopolies,the phenomenon is visible in print media, andsporadically in electronic media.

Foreign investment interest in the media sector has notpicked up. Montenegrin media have just a few foreigninvestors (for TV IN, PRO TV, and Vijesti newspaper)at the moment. Problems in the media sector deterforeign investors. For example, Fox TV withdrew fromMontenegro; and after several attempts, WAZ gave uptrying to buy Pobjeda.

A 2008 attempt by Montenegrin government to sell off51 percent of its shares in the public company thatpublishes the daily newspaper Pobjeda failed. The onlybidder withdrew after lengthy negotiations. A previoustender in 2007 also failed when no company placed a bid. No tender was offered during 2009, leaving thelegal requirement to privatize the state-owned newspaperunfulfilled at year’s end.

In November 2007, the government announced itsintention to sell 51% of its stake in Pobjeda, thus



MONTENEGRO

keeping the remaining 25.7% for itself “in order to beable to influence strategic decision of the new owner”,and opened a tender for qualifying offers to do so. By thetender’s closing on March 4, 2008 no offers came in. Inearly May 2008, the government announced that it willopen another tender by the end of May 2008. It also letit be known on the same occasion that in order to makethe entity more appealing to potential buyers, it’sconsidering writing-off Pobjeda’s EUR2.2 million debtto the State through personal income taxes andcontributions. In late June 2008, Pobjeda posted a lossof EUR3.75 million for the calendar year 2007.

The Vijesti daily is published and managed by an entitycalled Daily Press d.o.o., a limited liability companybased in Podgorica. The company’s ownership iscurrently split between Montenegrin partners (59%),Austrian Styria Medien AG (25%), and American fundMDLF started by George Soros.

The legal and financial entity behind the paper, DailyPress d.o.o. company, was founded on November 25,1996 and registered on December 16, 1996. Thecompany’s founding capital of USD5,000 was providedby three entities: Miodrag Perovic’s companyMontenegropublic, journalist Milka Tadic, and SlavicaPopovic acting on the behalf of Podgorica TobaccoFactory director Dragoljub “Mico” Dautovic.

The Vijesti newspaper was started on September 1, 1997as only the second daily newspaper in Montenegro atthat point with the long running state-owned Pobjedabeing their only competition. Listed as the newspaper’sowners were four individuals: Miodrag Perovic, LjubisaMitrovic, Slavoljub Scekic, and Zeljko Ivanovic.

During May 2002, Vijesti announced a strategicpartnership with German media concern WAZ, whichbought a 50% stake in Vijesti. The amount paid was notdisclosed. In early October 2007, after four-and-a-halfyears of co-ownership, German media concern WAZsold its stake in Vijesti to the other ownership party(four individuals). In a vague public statement followingthe sudden decision, WAZ’s representative AndreasRudas said: “The weight of the past was too strong, andthis had to be done”.

In mid-March 2009, Styria Medien AG bought 25% inthe Daily Press company that oversees the publishing ofVijesti. The partnership contract was signed by Vijestidirector Zeljko Ivanovic.

Currently, Styria is the largest media publisher inSoutheast Europe. Styria Medien AG was founded in1869 and is the third largest media concern in Austria.It is the sole proprietor of the leading Croatian dailies -Vecernji List and 24 Sata. The Austrian group alsoannounced future investments into Serbia.

Media / Press Laws The constitution and law provide for freedom of speechand of the press; however, there were some restrictions offreedom of the press in practice.

In 2009, the government was drafting a new law onelectronic media.

According to a law on electronic communications thattook effect in August 2008, a new Agency for ElectronicCommunication and Postal Activity (AECPA) wasauthorized to take responsibility for issuing licenses tobroadcasters. AECPA published its first tender for 20television frequencies on November 26. It blamed thedelay on gaps in the law. On December 28, the bidsreceived for the new television frequencies were openedpublicly. AECPA promised to announce its decisionwithin 30 days. The private television broadcasterVijesti, often seen as a strong critic of the governmentand the prime minister, had accused the government ofblocking its access to a wider market for political reasonsby delaying the tender process.

Although Montenegro has a freedom of information act,journalists attempting to collect public information faceserious obstacles. Government and public institutionsoften refuse to submit the requested information withinthe legally prescribed deadline. various court disputeshave been initiated because of this issue; more than 100ongoing cases of violations of the freedom ofinformation act are currently before the court.

Officials frequently brought, or threatened to bring, libelsuits against media organizations that accused them ofwrongdoing. Some NGOs warned that criminal libelcharges against journalists could deter them fromreporting candidly on events. Criminal libel chargescould carry fines of up to 14,000 euros (USD20,000) orimprisonment if fines are not paid.

On June 28, 2009, the Podgorica Basic Court fined thedaily newspaper Dan 30,000 euros (USD42,900) fordefaming Veselin Barovic, Branko Vujosevic, and DaniloMitrovic, by reprinting articles that originally appearedin the Croatian newspaper Nacional in 2001, in which the three were named as members of thecountry’s “tobacco mafia.” The court found that Dancaused mental pain and damaged the dignity of theplaintiffs.

Although libel is criminally punishable, a libel sentencecould include initiation of civil proceedings. The courtshave a very imbalanced penal policy; fines for mentalinjury range from symbolic to EUR40,000. Theinconsistency is especially problematic because of thenumber of libel cases related to politicians andgovernment officials. Courts have shown reluctance toimplement the principle that public officials should facea greater level of public criticism.


MONTENEGRO

On September 7, 2009, the Podgorica Basic Court finedVijesti, along with Nebojsa Medojevic, the leader of theopposition Movement for Change political party,33,000 euros (USD47,290) for tarnishing thereputation of the firm MNSS BV, owner of the NiksicSteelworks. The case involved an opinion piece, writtenby Medojevic and published in February 2008, warningof the potential for money laundering following MNSSBV’s purchase of the steelworks. The court dismissedVijesti’s argument that, since the article in question waspublished as an opinion piece by a presidential candidate(Medojevic was running for president at the time) thenewspaper could not be held accountable for anydamage the article may have caused.

On September 8, 2009, the Supreme Court upheld a 2008 superior court ruling ordering the weeklynewspaper Monitor and its journalist, AndrejNikolaidis, to pay 12,000 euros (USD17,000) in libeldamages to Serbian movie director Emir Kusturica. In a 2004 commentary entitled “Hangman’s Apprentice,”Nikolaidis claimed that Kusturica was a supporter offormer Serbian/Yugoslav president Slobodan Milosevicin the 1990s. The OSCE voiced concerns over thejudgment against Monitor and Nikolaidis, notingamong other things that public figures shoulddemonstrate a greater degree of tolerance of criticismthan ordinary citizens and that fines for libel casesshould be proportionate to the economic power of themedia company and the damage caused.

On October 7, 2009, the Podgorica Basic Court finedPetar Komnenic, a journalist for the weekly newspaperMonitor, 3,000 euros (USD4,200) for libeling the thenpresident of the Podgorica Superior Court, IvicaStankovic, in a 2007 article. The article claimed policesecretly had wiretapped Stankovic at the request of thespecial prosecutor for organized crime because ofStankovic’s alleged connections with criminals. A formerjudge of the court, Radovan Mandic, testified during thetrial that he and a majority of the other PodgoricaSuperior Court judges were illegally wiretapped for more than two months in 2005. At year’s end a defamation lawsuit Stankovic brought against theVijesti editor in chief was pending. He sued over anarticle alleging that in a closed session of the Assembly’ssecurity committee, the director of police namedStankovic as one of the judges who obstructed severalpolice investigations.

On October 21, 2009, the Podgorica Superior Courtfined Vijesti’s director Zeljko Ivanovic and thenewspaper’s publisher, Daily Press, 10,000 euros(USD14,300) for defaming Prime Minister MiloDjukanovic. Djukanovic sued in 2007 after Ivanovictold reporters he thought Djukanovic had arranged a physical attack on him in retaliation for press coverageof alleged corruption and mafia influence in thegovernment. The Podgorica Basic Court ruled in 2008

that Ivanovic and Daily Press were guilty of defamingDjukanovic and fined them 20,000 euros (USD28,600).Vijesti’s owners claimed that the conviction and thelawsuit represented an attempt to suppress freedom ofexpression.

Printing & Distribution Printing shops are mostly privately owned and linked tothe media business of their respective companies (Vijesti,Dan), except for the state-owned printing shop linked toPobjeda.

Distribution companies are privately owned, but theyare also suffering economic hardship. A couple of yearsago, the state-owned distribution network wentbankrupt, while the remaining companies are operatingwith difficulties. Montenegro is facing the danger ofmonopolization of this particular market, which couldhave a negative impact on the business of print mediaand the free press.

Taxes Media companies are treated the same way as othercompanies, although printed media enjoy certain taxbenefits: dailies and periodicals pay a lower value-addedtax (VAT) rate of 7 percent.

State Support Private media depend heavily on circulation and non-commercial support from donors and local owners,while public and state media are dependent upon thegovernment and ruling parties. The public media aredominantly financed by the state and local councils,although they also earn money from advertising.

Government opponents continued to criticize theAssembly’s 2008 passage of legal amendments regulatingthe functioning of the country’s public radio andtelevision broadcaster, Radio and Television ofMontenegro (RTCG). They alleged that the change inthe method of funding of the public broadcaster,substituting government subsidies for user fees, made itmore dependent on the government. They also criticized changes in the method of selection of themembers of the governing board of the public outlets,increasing the role of the Assembly at the expense of civilsociety.

Other Factors Media business is hardly profitable, and as a result,journalists are among the lowest paid professionals inMontenegro. A beginning journalist cannot expect tomake more than EUR300 per month, while moreexperienced journalists might bring in EUR500-600.Salaries above EUR1,000 are extremely rare.

Montenegro has an ethical code for journalists,composed in line with international standards. The Journalists’ Self-Regulatory Body, which aims to


MONTENEGRO


Source: CIA – The World Factbook; US State Department; IREX – Media Sustainability Index 2010; Wikipedia; SEEbiz

promote responsible journalism, often reacts toviolations of the ethical code with public statements.

However, many journalists fail to follow professionalstandards.



0-14 107 16 52 16 55 1615-64 473 70 245 73 228 6765 + 92 14 37 11 55 16Total 672 100 334 100 338 100


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


Total paid-for non-dailies 20 20 42 1 42 1 44 2 120.00 4.76

Source: 2005-2006 WAN from public sources; 2007 IREX - Media SustainabilityIndex 2008; 2008 WAN assessment; 2009 IREX – Media Sustainability Index 2010;WAN-IFRA assessment1 Including 2 weeklies and 40 monthlies2 Including 4 weeklies and 40 monthlies


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


Source: 2005-2006 WAN estimate; 2007 IREX - Media Sustainability Index 2008;2008 WAN estimate; 2009 WAN-IFRA assessment partly based on IREX – MediaSustainability Index 2010



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 81.0 88.7 88.7 88.7 88.7 9.51 0.00Internet users 180 200 230 255 280 55.56 9.80


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Montenegro, euro, bln)2005 2006 2007 2008 2009

GDP - 2.1 4.6 5.0 4.8



(Montenegro, euro, 000)2005 2006 2007 2008 2009

GDP per capita 3.0 - 6.8 7.3 7.1




MONTENEGRO

Title Founded Language 1 Publishing company Circulation Cover price usual Format Full page ad rateMono Color

(year) (000) (Montenegro, euro) (Montenegro, euro)

VVijesti (The News) 1997 Montenegrin (Latin) Daily Press d.o.o. 2 26 0.50 Berliner 460.00 690.00Dan (The Day) 1998 Serbian Jumedia Mont D.O.O. 3 25 - Berliner 420.00 -Pobjeda (The Victory) 1944 4 Montenegrin (Cyrillic) Pobjeda Cooperative 8 - Berliner 358.00 -

(Novinsko izdavacko i graficko akcionarsko drustvo Pobjeda)

Daily Press Republika 5 2004 Montenegrin (Latin) Company Millenium Ltd. 3 0.50 Berliner 299.00 499.00

Source: Wikipedia; Daily Press Republika; IREX – Media Sustainability Index 2010 (circulation); WAN-IFRA from public sources1 Montenegrin language is the name given to the Ijekavian-Shtokavian dialect, spoken in Montenegro. Generally it is recognized as a variant of the Serbian language,

but some Montenegrins refer to their specific dialect as a language on its own. Unlike in Serbia, Cyrillic and Latin alphabets are deemed to be equal.2 Owned by four individuals who founded the newspaper (59%), Styria Medien AG (25%), and MDLF (16%)3 The group also owns the weekly Revija D and radio stations Radio D and Radio D plus4 In October 2007, the Daily Press d.o.o. (WAZ Media Group) sold 100% shares to the four individuals: Miodrag Perovic, Ljubisa Mitrovic, Slavoljub Scekic, and Zeljko

Ivanovic5 Founded as a weekly in 1944; it became a daily in 19756 Established as a continuance of the Daily Press Publika


Tax %


Source: Distripress

12. Taxes (2009)


NETHERLANDS, THE

General economic situationThe Netherlands has a prosperous and open economy,which depends heavily on foreign trade. The economy isnoted for stable industrial relations, moderateunemployment and inflation, a sizable current accountsurplus, and an important role as a Europeantransportation hub. Industrial activity is predominantlyin food processing, chemicals, petroleum refining, andelectrical machinery. A highly mechanized agriculturalsector employs no more than 3% of the labour force butprovides large surpluses for the food-processing industryand for exports. The pace of job growth reached 10-yearhighs in 2007, but economic growth fell sharply in 2008as fallout from the world financial crisis constricteddemand and raised the spectre of a recession in 2009.

In 2009 the economy shrank on all fronts. Consumptionin households, investments and exports fell sharply in2009 and contributed to the 4 percent shrink of grossdomestic product. Only government expenses showedan increase. The credit crisis caused the greatest post-warshrinkage.

However, in October 2009 the Central Bureau ofstatistics reported a marginal growth in the third quarter.The revival of the economy in the fourth quarter wasdue to the recovery of export. Despite this development,Dutch unemployment continued to rise. The inflationrate was estimated at 0.7% in 2009.

The effects of the credit crisis on government financeswill still be felt for a long time. Households and pensionfunds have significantly smaller power than before andunemployment will remain high for a long time. TheCentral Planning bureau foresees a 1.5 percent growth in2010 for the Euro area.

Performance of different types of newspapersIn 2009 there were 11 newspaper publishing companies,which altogether published 29 independent paid-fordaily newspapers in the Netherlands. The total turnoverin the newspaper industry decreased by 10 percentcompared to the previous year.

Circulation Some 50% of Dutch households had a newspapersubscription, compared with 62% in 1997, according tothe national statistics office CBS. City dwellers and the 25 to 45 age group are least likely to subscribe to a newspaper. Subscriptions account for almost 90% ofDutch newspaper sales.

Online / Digital Publishing There were no governmental restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via the

Internet, including by e-mail. More than 90 percent ofthe population had access to the Internet.

During the year 2009 the government took legal actionagainst four right-wing websites. On February 2, 2009,a judge convicted the former leader of the NationalAlliance for not removing discriminatory texts deemedoffensive to Jews and Muslims from the organization’swebsite. In 2009 authorities took measures to deal moreeffectively with incitement to discrimination on theInternet. Despite the priority given to such cases, therewere only three convictions in 2007, the latest year forwhich data were available.

The police maintained a list of websites they have judgedto be purveyors of child pornography and reviewed thelist periodically. All major Internet service providers inthe Netherlands have agreed not to permit access tothose websites.

Ownership In 2009 the Belgian Press Group (De Persgroep) tookover PCM Uitgevers (PCM Publishers), the third-largestnewspaper and magazine publisher in the Netherlandsafter Wegener, 87 percent owned by Mecom Group, andTelegraaf Media Group.

In March 2009, the Press Group acquired a 51 percentinterest in PCM Uitgevers (PCM Publishers). PCMannounced De Persgroep would pay 100 million euros(USD126 million) for the 51 percent stake. DePersgroep, which publishes Belgian newspaper De Morgen, said it would combine its Dutch radiostation, Q-Music, as well as Amsterdam newspaper, HetParool, with PCM at a later stage.

In April 2009, Wegener, the Dutch subsidiary of DavidMontgomery’s Mecom Group, announced it would sellits 37% stake in newspaper group AD NieuwsMedia toPCM Uitgevers for 42.3 million euros (USD60 million).PCM Uitgevers already owned the remaining 63% ofAD NieuwsMedia. In turn, Wegener planned to expandin the Dutch market by buying PCM’s subsidiary,centred in Rotterdam, which publishes 27 free localnewspapers with a combined distribution of 1.1 millioncopies. As part of the deal, PCM Uitgevers was also buythe Wegener printing plant in The Hague. At the end ofApril 2009 Mecom had debts of almost GBP500million, almost nine times its market value, and had soldsome of its German and Norwegian newspapers to easethe situation.

In July 2009, Mecom, owner of Wegener, sold itsinterest in AD news media to PCM/The Press Group.The titles Het Parool (already owned by the PressGroup), Het AD, de Volkskrant and Trouw were mergedinto the enterprise.



NETHERLANDS, THE

In order to prevent a too-dominant position in theadvertising industry, the Press Group was obliged to sellNRC Handelsblad, along with NRC Next and nrc.nl.On March 12, 2010, the sale of NRC to the InvestmentCorporation Egeria and to the shareholders of HetGesprek was completed.

In September 2009 the Dutch competition authority,the NMa, carried out inspections at the offices ofregional newspapers de Provinciale Zeeuwse Courant(PZC) and BN/De Stem in Middleburg, Terneuzen andBreda. The NMa is following up whether parentcompany Wegener is still fulfilling its obligation tomaintain BN/De Stem and PZC editoriallyindependent, which was a condition imposed by theNMa in 2000 when Wegener acquired VNUDagbladen.

In November 2009 it was reported Mecom hadpostponed the merger of Dutch subsidiaries KoninklijkeWegener and Limburg Media Groep. The merger waspostponed because of “tax considerations”. The deal wasoriginally scheduled for early January 2010.

In December 2009 the works council at the NRCnewspaper backed a takeover by a investment fundEgeria and television company Het Gesprek. Egeria is aninvestment arm of the wealthy Brenninkmeijer family,which owns the C&A clothing retail group. Het Gesprekis partly owned by Derek Sauer, who founded theMoscow Times. The takeover bid is in line with NMa’sorder that Persgroep Nederland sell NRC.

In 2009, the Temporary Commission on the Future ofthe Press recommended to abolish the Temporary MediaConcentrations Act. This would make it easier fornewspaper concerns to merge and take over oneanother’s newspaper titles. The present law barsnewspaper concerns from controlling more than 35percent of the newspaper market.

Media / Press Laws The law provides for freedom of speech and of the press,and the government generally respected these freedomsin practice.

Individuals could criticize the government publicly orprivately without reprisals.

It is a crime to engage in public speech that inciteshatred, discrimination, or violence against personsbecause of their race, religion, convictions, gender,sexual orientation, or disability. During the year thegovernment successfully prosecuted several cases,notably cases in which judges considered the language inquestion to be “unnecessarily offensive.” Thegovernment urged prosecutors and police to give properattention to incidents of “discrimination,” which in thecountry’s jurisprudence includes racially offensive

speech. Convictions for these offences were rare becausecourts were reluctant to restrict freedom of expression,especially when it took place within the context of a public debate.

However, on January 21, 2009, the Amsterdam Court ofAppeals ordered the Amsterdam Prosecutor’s Office toprosecute politician and Islam critic Geert Wilders forincitement. The prosecutor earlier declined to indictdespite dozens of complaints filed by severalorganizations and private persons about his anti-Islamicstatements in the press and his “Fitna” movie, whichmany considered offensive to Muslims. The appealscourt found that his anti-Islamic statements yielded “a reasonable suspicion of guilt,” thus requiring reviewby a criminal judge. The court recognized theparamount importance of the right to freedom ofopinion, but noted that this right was not unlimited. It also stated that such a prosecution would serve thegeneral interest in drawing a clear boundary as to whatwas permissible in public debate.

On August 18, 2009, the Amsterdam Prosecutor’s Officedismissed complaints over the dissemination of a series ofcontroversial cartoons, including those of a Danish artistdepicting the Prophet Mohammed, determining thatthey were not offensive to Muslims as a group, nor thatthey incited hatred, discrimination, or violence againstMuslims. The prosecutor’s office found one cartoon,which the Arabic European League (AEL) had put on itswebsite in reaction to the Danish cartoons, punishablebecause it offended Jews as a group on grounds of theirrace or religion. The cartoon expressed the idea that Jewsdeliberately invented or exaggerated the Holocaust.

The Amsterdam Prosecutor’s Office did not decide byyear’s end whether to prosecute Gregorius Nekschot forsome cartoons that the prosecutor believed violated thelaw on intentional discrimination and incitement tohatred.

In January 2010 before the European Court of HumanRights, the Dutch government affirmed journalistsshould not guarantee anonymity to sources as the widerinterests of society could mean they have to reveal them.Roeland Bocker, on behalf of the Dutch government,said Dutch journal Autoweek was wrong to promisetotal anonymity to the organisers of an illegal street race.Dutch police in February 2002 forced the weeklypublication to hand over a CD-Rom showingparticipants of the race. Bocker said the general interest“which supposes the prevention of crime and themaintenance of order” can take precedence over theprotection of journalists’ sources.

State Support In May 2009 Media Minister Ronald Plasterkintroduced a subsidy scheme with which 60 youngjournalists can build up work experience at commercial


NETHERLANDS, THE

daily newspapers. They receive their salary from thegovernment for a period of two years. The Labour(PvdA) minister reserved more than 4 million euros forthe project. During this period, the journalists will beable to start writing for the approximately 30 nationaland regional daily newspapers that are published in theNetherlands. This means each newspaper can use two‘government journalists’.

On June 23, 2009, the Temporary Commission on theFuture of the Press recommended Media MinisterRonald Plasterk introduce an Internet tax and give theproceeds to the newspapers. The commission was set upby Plasterk to propose ways to preserve the traditional‘quality media’ from collapsing and is headed by formerChristian democratic (CDA) politician Elco Brinkman.Minister Ronald Plasterk has already made 8 millioneuros available for a press innovation fund. TheBrinkman commission also advised setting up a jointdistribution company for all newspapers.

Other Factors On May 20, 2009, AD News Media, the publisher of AD newspaper, announced it was scrapping a quarter

of its workforce or 185 out of 700 jobs. The companysaid the jobs were to go as part of a reorganisationnecessitated by sharply falling advertising revenues.Another cause was the sale of AD and its mothercompany PCM to Belgian publisher De Persgroep. Mostof the job cuts affect the editorial staff of the paper.Dozens of journalists will not see their short-termcontracts renewed.

On December 7, 2009, Belgian newspaper groupPersgroep reported it planned to cut 131 jobs at theVolkskrant and Trouw newspapers. Persgroep took overthe PCM newspaper group in March 2009 and nowowns all of the Dutch national dailies apart from the Telegraaf and the Financieele Dagblad. TheNRC was up for sale to meet competition authorityobjections.

The Limburg Media Groep, owned by Britishnewspaper publisher Mecom, also announced onDecember 7, 2009, its plans to scrap 48 jobs. The grouplost 8% of its subscribers and advertising income wentdown by 25% over the past two years.

Source: CIA – The World Factbook; US State Department; Reuters; European Journalism Centre; Dutch News;Netherlands Info Services (NIS); The Guardian; Dutch Newspaper Publishers’ Association



0-14 2,923 17.7 1,496 18.3 1,427 17.115-24 2,007 12.2 1,021 12.5 987 11.825-34 2,000 12.1 1,003 12.3 997 12.035-44 2,532 15.4 1,276 15.6 1,256 15.145-54 2,429 14.7 1,223 15.0 1,207 14.555-64 2,122 12.9 1,066 13.1 1,055 12.765 + 2,472 15.0 1,072 13.1 1,400 16.8Total 16,486 100 8,156 100 8,329 100

Source: CBS (Statistics Netherlands, January 1, 2009)




W1 (High) 3,272 23.9 1,780 26.4 1,492 21.5W2 2,373 17.4 1,309 19.4 1,063 15.3W3 2,902 21.2 1,339 19.9 1,563 22.6W4 3,816 27.9 1,725 25.6 2,091 30.2W5 (Low) 1,302 9.5 583 8.7 719 10.4Total 13,665 100 6,736 100 6,929 100

Source: NOM Print Monitor July 2008 – June 2009


NETHERLANDS, THE


Age Housewives000 %

Under 25 431 625-34 1,322 1735-44 1,673 2245-54 1,477 1955-64 1,243 1665 + 1,624 21Total 7,769 100

Source: NOM Print Monitor July 2008 –June 2009


1 person 2,590 35.82 people 2,318 32.03 people 843 11.74 people 1,033 14.35 or more people 453 6.3Total 7,237 100




Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 37 32 35 35 34 -8.11 -2.86Total paid-for dailies 35 29 1 29 29 29 -17.14 0.00

National paid-for dailies 9 10 10 10 10 11.11 0.00Regional and local 26 19 19 19 19 -26.92 0.00paid-for dailies

Total free dailies 2 3 6 6 5 150.00 -16.67National free dailies 2 3 4 4 3 50.00 -25.00Regional and local - - 2 2 2 - 0.00free dailies

Total paid-for Sundays 2 2 2 2 1 -50.00 -50.00National paid-for Sundays 1 1 1 1 1 0.00 0.00Regional and local 1 1 1 1 - - -paid-for Sundays

Source: Cebuco1 A new national daily newspaper resulting from a merger between seven

regional and one national newspaper

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 5,021 4,769 5,517 5,309 4,847 -3.47 -8.70Total paid-for dailies 3,912 3,831 3,719 3,638 3,530 -9.76 -2.97National paid-for dailies 1,814 2,125 2,038 2,002 1,938 6.84 -3.20Regional and local 2,099 1,706 1 1,681 1,636 1,592 -24.15 -2.69paid-for dailies

Total free dailies 1,109 889 1,798 1,671 1,317 18.76 -21.18National free dailies 1,109 865 1,708 1,580 1,226 10.55 -22.41Regional and local - 24 90 91 91 - 0.00free dailies

Total paid-for Sundays 737 723 2 723 732 639 -13.30 -12.70National paid-for Sundays 688 673 671 684 639 -7.12 -6.58Regional and local 49 50 52 47 - - -paid-for Sundays

Source: 2005 Cebuco, HOI; WAN assessment; 2006 Cebuco; 2007-2008 Cebuco;WAN assessment (free dailies); 2009 Cebuco; WAN-IFRA assessment (regional and local free dailies)1 Year-on-year decline due to a merger between seven regional and one national

newspaper2 Based on 3Q 2006 data


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 1,307 1,296 1,568 1,567 1,397 6.89 -10.85Total paid-for dailies 1,189 1,164 1,130 1,117 1,084 -8.83 -2.95

National paid-for dailies 546 641 615 615 595 8.97 -3.25Regional and 643 523 1 515 502 489 -23.95 -2.59local paid-for dailies

Total free dailies 118 132 438 450 313 165.25 -30.44Total paid-for Sundays 35.8 37.6 37.6 38.0 33.2 -7.26 -12.63

National paid-for Sundays 33.3 35.0 34.9 35.6 33.2 -0.30 -6.74Regional and local 2.5 2.6 2.7 2.4 - - -paid-for Sundays

Source: Cebuco1 Year-on-year decline due to a merger between seven regional and one national

newspaper


(Netherlands, euro, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 763 783 878 874 890 1 16.64 1.83

Source: Nielsen Media Research; Cebuco1 Gross figure

4.b Sales revenues


(%)2005 2006 2007 2008 2009

Single copy sales 8.0 8.0 8.0 7.8 7.0Home deliveries 90.1 90.1 90.1 90.1 90.1Postal deliveries 0.1 0.1 0.1 0.1 0.1

Other 1.8 1.8 1.8 2.0 2.8Total 100 100 100 100 100

Source: Cebuco

(Netherlands, euro)min max


Source: Cebuco


(%)Reached


Source: NOM Print Monitor



group

less than 16 3 4816-24 11 6025-34 12 5435-44 17 6245-54 19 7555-64 18 8165 + 20 81Total 100 68



(minutes per day)2005 2006 2007 2008 2009

All newspapers 1 43.1 43.9 31.3 31.2 31.1National newspapers - - 31.1 31.0 30.6Regional and local newspapers - - 31.9 32.1 32.4

Radio 192.0 192.0 - - 150.0Television 194.0 201.0 - - 126.0Internet 59.0 67.0 - 59.1 60.0

Source: NOM Print Monitor/STIR Establishment Survey1 Daily newspapers, including free dailies Metro and Sp!ts; all respondents 13+



NETHERLANDS, THE

(000)2005 2006 2007 2008 2009

Total dailies 9,517 9,602 9,663 9,369 9,312Total paid-for dailies 8,462 8,546 8,516 8,245 8,171Total free dailies - - 3,074 2,924 2,871

Source: NOM Print Monitor


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 35 29 31 33 33 -5.71 0.00Sundays 2 - - - - - -

Source: Cebuco

6.a Online editions


Total dailies - - 4,910 6,419 6,811 - 6.11Total paid-for dailies - - 4,802 6,088 6,542 - 7.46

Source: Cebuco



(000)

De Telegraaf Uitgeversmaatschappij telegraaf.nl 3,545De Telegraaf bv

AD Persgroep ad.nl 2,162de Volkskrant Persgroep volkskrant.nl 1,697NRC Persgroep nrc.nl 1,065Trouw Persgroep trouw.nl 893Sp!ts Uitgeversmaatschappij spitsnieuws.nl 746

De Telegraaf bvDe Stentor Wegener NieuwsMedia destentor.nl 607De Gelderlander Wegener NieuwsMedia gelderlander.nl 529BN/DeStem Wegener NieuwsMedia bndestem.nl 515Brabants Dagblad Wegener NieuwsMedia brabantsdagblad.nl 493

Source: Cebuco


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Netherlands, euro, bln)2004 2005 2006 2007 2008

GDP 491.2 513.4 539.9 567.1 594.6



(Netherlands, euro, 000)2004 2005 2006 2007 2008

GDP per capita 30.2 31.4 33.0 34.5 36.0



(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.68 0.68 0.68 0.63 0.56 0.53 0.53 0.53



(Netherlands, euro, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 2,212 2,273 2,338 2,238 1,855 1,753 1,741 1,760Newspapers 1,432 1,473 1,531 1,482 1,243 1,179 1,172 1,179Magazines 780 800 807 756 613 574 569 582


Source: VEA; BBC; ZenithOptimedia

Excludes production costs; includes agency commission; after discounts; includesclassified; magazines include consumer and business titles; includes expenditure byregional advertisers in regional media; outdoor includes transport and ambientmedia; Internet includes display only; television and radio: spot only


(Netherlands, euro, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


National paid-for dailies 362 409 429 398 314 -13.26 -21.11Regional and local 274 225 236 219 175 -36.13 -20.09paid-for dailies


Total paid-for non-dailies 7 8 9 8 6 -14.29 -25.00Regional and local 7 8 9 8 6 -14.29 -25.00paid-for non-dailies

Source: Nielsen Media Research



In colour 28,692 35,578 34,832 34,599 30,842 1

Total 43,833 46,901 45,918 44,654 38,805

Source: Nielsen Media Research1 Estimate



NETHERLANDS, THE


Retail 17Automotive 5Tour operators 3Mobile services 3Lotteries 2Charity 2Telecommunication 2Cosmetics 2Internet providers 2Services 2




De Persgroep 1,197nv Holdingmij De Telegraaf 921 1

Wegener nv 817Noordelijke Dagblad 238Combinatie bv

Media Groep Limburg 179Het Financieele Dagblad bv 66Reformatorisch Dagblad bv 55Nederlands Dagblad bv 31Friesch Dagblad bv 16Barneveldse Krant bv 11

Source: Cebuco1 Free newspapers not included


Advertiser Expenditure (Netherlands, euro, 000)

Kras Ammerzoden 40,200Lidl Nederland Huizen 35,174KPN ‘S-Gravenhage 27,695Prominent Comfort 16,487Producten Nunspeet

Unilever Nederland Rotterdam 15,801Seats & Sofas Sliedrecht 14,223BBI Amsterdam Lijnden 12,167Media Markt Saturn 11,995Nederland Rotterdam

Telfort Amsterdam ZO 9,196De Nederlandse Energie 9,079Mij Rotterdam



Title Founded Language Publishing company Circulation Readership Cover price usual Format Full page ad rate MonoMono Colour

(year) (000) (000) (Netherlands, euro) (Netherlands, euro)

De Telegraaf 1893 Dutch Telegraaf Media Groep 677 2,074 1.45 Broadsheet 50,540 75,809AD 1946 Dutch AD Nieuwsmedia 447 1,546 1.20 Tabloid 44,148 66,222de Volkskrant 1921 Dutch PCM Uitgevers 260 825 1.30 Tabloid 29,352 44,028NRC Handelsblad 1970 Dutch PCM Uitgevers 209 541 1.75 Broadsheet 29,571 44,357Dagblad De Limburger/ 1918 Dutch Media Groep Limburg 179 496 1.45 Tabloid 28,155 42,233Limburgs Dagblad

De Gelderlander 1848 Dutch Wegener 153 502 1.45 Tabloid 17,685 26,528Dagblad van het Noorden 2001 Dutch Noordelijke Dagblad Combinatie bv 143 416 1.00 Broadsheet 15,380 23,070Noordhollands Dagblad 1799 Dutch Telegraaf Media Groep 141 427 1.25 Broadsheet 12,250 18,375de Stentor 2003 Dutch Wegener 134 412 1.50 Tabloid 15,206 22,809Brabants Dagblad 1959 Dutch Wegener 132 395 1.45 Tabloid 13,698 20,547

Source: Cebuco



(year) (000) (000) (Netherlands, euro)

Metro 1999 1 Dutch Metro Holland B.V. 514 1,875 Tabloid 29,600 38,480Sp!ts 1999 Dutch Telegraaf Media Groep 426 1,682 Tabloid 19,975 26,966De Pers (The Press) 2 2007 Dutch Ben Rogmans 3 286 875 Tabloid 19,000 24,700Almere Vandaag 4 2006 Dutch Telegraaf Media Groep 76 - - - -(Almere Today)

Barneveld Vandaag 5 2006 Dutch Wegener 15 - - - -(Barneveld Today)

Source: Cebuco; FDN Newsletter; Almere Vandaag; WAN-IFRA estimate (circulation Almere Vandaag and Barneveld Vandaag)1 Metro Rotterdam launched in October 2004; Metro Amsterdam in April 20052 The only free daily in the country with a Saturday edition3 The previous publishing company was Mountain Media B.V., Joint venture Marcel Boekhoorn / PCM (51:49)4 Almere Today is published four times a week (Wednesday, Thursday, Friday and Saturday); it is distributed in door-to-door

in the municipality of Almere.5 Published four days a week, to compete with the local tabloid Barneveldse Krant, which is published six days a week.


(%)2005 2006 2007 2008 2009





NETHERLANDS, THE

9.a Employment

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total number of journalists 3,983 3,757 3,654 3,529 3,248 -18.45 -7.96Total number of employees 11,575 10,709 10,077 9,168 7,962 -31.21 -13.15

Source: 2005-2007 Nederlands Uitgeversverbond (NUV); 2008-2009 Cebuco

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 36 30 29 33 32 -11.11 -3.03Broadsheets 32 25 12 16 13 -59.38 -18.75Tabloids 4 5 17 17 19 375.00 11.76

Source: Cebuco


(Netherlands, euro)2004 2005 2006 2007 2008

Single copy - - 0.80 0.78 0.80Subscription - - 0.80 0.78 0.80

Source: Cebuco


11. Research (2009)

Circulation is audited byHOI, Instituut voor Media auditing

Readership is measured byNOM – Nationaal Onderzoek MultimediaSTIR – Stichting Internetreclame

Source: Cebuco

Tax %


Tax on profits for newspapers 33

Source: Cebuco

12. Taxes (2009)




Are there any direct subsidies? There are no direct subsidies. However, newspapers andmagazines may apply to the Press Fund for subsidies: theDutch Press Fund (Stimuleringsfonds voor de Pers)provides loans and subsidies to print media (dailies,non-dailies and magazines) and for research related tothe press industry. The Fund is financed by the Dutchgovernment, but it is an independent authority whichaims at maintaining and increasing the diversity of thepress by financially strengthening the position of printmedia. More information at http://www.presssupport.org/purpose/

Innovation Arrangement for Press and Journalism

As from January 2010, it is possible to apply to theDutch Press Fund for subsidies based on the so called‘Innovatieregeling voor pers en journalistiek’ (a subsidyarrangement for press and journalism innovation). Thissubsidy arrangement came into force in 2010, and isopen for projects stimulating and promoting innovationin journalism and media. The subsidy is mainlyintended for (publishers of ) printed media, but projectsmay also refer to audiovisual media, Internet products,mobile carriers or cross-media projects. The Press Fundgives priority to projects involving one or morepublishers of print media. Applications may besubmitted in two rounds a year. For each round, asubsidy amount of EUR4 million (at most) is available.The arrangement will exist for a three-year period.

Stimulating Arrangement for Young Journalists

The Dutch Press Fund grants subsidies to a joint projectappointment of young journalists to editorialdepartments of newspapers and opinion magazines.This project was announced by the former minister ofEducation, Culture and Science in 2009. The projectshould create new jobs for recently qualified journalists.The arrangement provides work for more than sixtyyoung journalists for a period of two years in joining theeditorial boards of newspapers (paid, free and specialist)and opinion magazines. An amount of EUR4 million isavailable to implement this project.

Source: Cebuco


NETHERLANDS, THE



Source: Cebuco


Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?Since 1 January 1998 general Competition Legislationhas applied to ownership and market behaviour.


Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?Publishers are free to invest in commercial radio and TVat the regional or local level, provided that frequencies orcable channels are available.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?Owners of more than 5% of the capital stock mustdeclare their shares.

Is there an antitrust law limiting concentration in the dailypress?Since 1 January 1998 the general Competition Law hasmade the sector’s self-regulation code redundant. TheCompetition Authority must be notified of any mergerin which participating companies have a combinedturnover of over EUR113.5 million and at least two ofthem have a turnover within The Netherlands of minimum EUR30 million.

Is further regulation of media concentration expected?On June 13, 2007 the Temporary Law on MediaConcentrations (Twm) became effective. The new lawimplies a mitigation of existing restrictions concerningcross-ownerships. This temporary law allows companiesto acquire up to 100% of company shares in newspaper,radio and television markets, provided that the totalmarket share in those three markets does not surpass90% (of a maximum of 300%; 100% per market). Forthe newspaper market an additional maximum marketshare restriction of 35% is set. Publishing companies areallowed to gain market shares beyond the restrictions asmentioned, i.e. autonomous growth. In case of mergersand acquisitions the legal maximum market shares haveto be respected.

In 2009 the ‘Twm’ was evaluated and prolongued.Possible adjustments are subject of the political debate in2010.

Source: Cebuco


NETHERLANDS, THE

Owners Regional TVs National TVs RegionalNewspapers

NationalNewspapers Radio Commercial TV

licence Newspapers

RegionalTV Licensees Twm Twm Twm Twm Twm Twm Twm

National TV Licensees Twm Twm Twm Twm Twm Twm Twm

Regional NewspaperOwners

Twm Twm Twm Twm Twm Twm Twm

National NewspaperOwners

Twm Twm Twm Twm Twm Twm Twm

Satellite TVBroadcasters Twm Twm Twm Twm Twm Twm Twm

Local RadioLicensees Twm Twm Twm Twm Twm Twm Twm

National Radio Licensees Twm Twm Twm Twm Twm Twm Twm

ForeignInvestors Twm Twm Twm Twm Twm Twm Twm


Source: Cebuco

Twm = the Temporary Law on Media Concentrations, effective as of June 13, 2007; for more details, see Table 15.a, the answer to the last question.


NORWAY

General economic situation The government controls key areas, such as the vitalpetroleum sector, through large-scale state enterprises.The country is richly endowed with natural resources;petroleum, hydropower, fish, forests, and minerals; andis highly dependent on the petroleum sector, whichaccounts for nearly half of exports and over 30% of staterevenue. Norway is the world’s third-largest gas exporter;its position as an oil exporter has slipped to seventhlargest as production has begun to decline. Afterlacklustre growth of less than 1.5% in 2002-03, GDPgrowth picked up to 2.5-6.2% in 2004-07, partly due tohigher oil prices. Growth fell to 2.6% in 2008 as a resultof the slowing world economy and the drop in oil prices.

Norway has weathered the financial crisis better thanmost countries. The economic downturn in Norwayproved to be mild. Norway has not experienced apronounced downturn since the crisis around 1990,when a cost crisis, an employment crisis with a sharpincrease in unemployment and a decline in output, acurrency crisis, a fall in property prices and a bankingcrisis all occurred at the same time. A long upturnfollowed from 1992 to 2008.

In 2008, the expansionary period was drawing to a close,but instead of a gradual slowdown, economic growthcame to an abrupt halt in autumn 2008 when the globalfinancial crisis peaked. Norway entered a downturn inearly 2009. The downturn was milder than expected,partly because oil prices proved to be higher thanexpected and partly because the policy measures takenby the government were more effective than most haddared to assume.

The decline appears to have ended in the second quarterof 2009. Activity has been underpinned by substantialinterest rate cuts combined with higher public spendingand high oil investment. Government fiscal policy wasvery expansionary in 2009.

Employment stopped falling in the fourth quarter of2009, and activity in the economy picked up againtowards the end of 2009. Growth in privateconsumption increased through 2009 and growth isexpected to continue. However, measured by relativelabour costs, Norwegian labour has never been as costlyas it is now. As a result, the Norwegian export industrymay lose market shares ahead. The uncertainty facingexposed industries is still considerable and wage growthamong trading partners is low. A reserve of foreignlabour and persons who have temporarily exited thelabour force, and who may rapidly return, is probablypulling down wage growth.

In 2009, GDP decreased by 1.5 percent and theunemployment rate achieved 3.3 percent. The inflation

rate was estimated at 2.3% in 2009. The overall outlookfor the Norwegian economy is very good compared tomost countries. In 2010, GDP is predicted to grow by 2 percent.

Performance of newspapers vs. other media Norway’s public broadcaster, NRK, monopolised theairwaves until 1981, when the first local radio and TVstations opened. Since then, private local and nationalstations have built up substantial audiences, competingwith NRK for listeners and viewers.

Digital television via cable and satellite offers a widerange of specialist channels. Digital terrestrial TV is setto replace analogue networks by the end of 2009.

The country’s Schibsted group, publisher of theAftenposten daily and the mass-circulation VG, is one ofScandinavia’s largest media concerns. Schibsted hasorganized its business in three main business areas:Norway, Sweden and International. The most importantmarket for the company revenue wise is still Norway(NOK5.9 billion, 43 percent), Sweden comes second(NOK5.3 billion, 38 percent) and International is third(NOK2.6 billion, 19 percent). However, 3,590employees work for Schibsted’s International division(44 percent), only 2,677 in Norway (33 percent) and1,807 in Sweden (22 percent). All the group’s operations outside Norway and Sweden, both editorialand advertisement-based services, are organized inSchibsted International, which has operations in 20countries.

Performance of different types of newspapers Cost saving and efficiency programmes were adopted bymost publishers when the financial crisis hit; some hadbegun earlier. These measures have proved efficient, asseen from the 2009 preliminary results. Newspapershave been able, to a large extent, to offset by cost cuttingthe reduced revenue from falling circulation and loweradvertising. Newspapers have thus maintained theirprofitability, be it on a low level.

The two largest newspapers in Norway are the populartabloid, Verdens Gang or VG, and Aftenposten Morgen,a subscribed newspaper. Both are owned by Schibsted.Third largest is another popular tabloid, Dagbladet,owned by the Berner group. Among the ten largest thereare also regional newspapers Bergens Tidende, StavangerAftenblad, Faedrelandsvennen (Kristiansand), Adresse -avisen (Trondheim) and the business daily DagensNaeringsliv.

There are no free dailies in Norway, a circumstance thatmay be attributed to the very strong market position ofthe paid-for press and a highly dispersed population,which makes distribution rather costly.



NORWAY

Most free newspapers are weeklies and are distributed bymail. In 2006 there were 26 free newspapers in total.Edda Media is the largest actor in this branch, withthirteen titles, all in southern Norway, nine of which inmetropolitan Oslo. Schibsted has entered thecompetition by distributing Aftenposten Aften free ofcharge one day a week in the Oslo area. A-pressenpublishes free newspapers in two small towns.

Advertising In 2009, total advertising market in Norway fell by 14.9percent year-on-year. Newspapers were among the worsthit advertising carriers, having lost 19.7 percent ofadvertising revenue compared to 2008. Newspapers’share of advertising market was 35.3 percent, down from37.3 percent in 2008.

Internet advertising decreased by 8.1 percent year-on-year and accounted for 11 percent of total advertisingmarket in 2009.

The economic downturn had a negative impact onSchibsted’s advertising revenues in 2008. Aftenposten,which obtains a significant proportion of its advertisingrevenues from the recruitment and real estate markets,and InfoJobs, with advertising revenues from therecruitment market, were particularly affected. Thedownturn has continued into 2009. The advertisingrevenues of Schibsted declined by 0.4 percent in thefourth quarter of 2009 compared with the same periodin 2008, indicating a lower decline rate than earlier in2009. Schibsted’s revenues from online activities grew inthe fourth quarter of 2009 with revenues from onlineclassifieds increasing by 14 percent.

Circulation The underlying total circulation trend has been negativesince 1998. Worst hit are the single copy sales of nationalnewspapers. Eight of ten Norwegian newspapers are soldby subscription, with VG and Dagbladet accounting fornearly all single-copy sales.

Best off are the small local newspapers, which have beenvery stable. Some niche newspapers have also performedvery well and seen increased circulation, such as businessdailies and some daily and weekly newspapers coveringniche topics.

In 2009, total newspaper circulation was down by 3.7percent year-on-year. Subscription was down by 2percent, whereas single copy sales fell by 10 percent.

In April 2009, Verdens Gang AS decided to increase thecover price of the VG newspaper edition from NOK11to NOK12 for the Monday to Thursday editions. Theprice change took effect on July 1, 2009. The change isto have a positive effect on EBITA for 2009 of NOK20million (half year effect).

Readership In 2009, web editions of ten largest newspapers enjoyedan average readership (unique visitors) increase by 12percent year-on-year.


In recent years web-based operations represent a steadilyincreasing share of Schibsted’s revenue, not least thanksto classified ad sites: Finn.no (Norway), Blocket/BytBil(Sweden) and several similar sites in other Europeancountries.

Schibsted’s digital initiatives were responsible for awhopping 81 percent of the company’s operating profitin 2008, after a remarkable 2007 in which digitalaccounted for 45 percent of the company’s operatingprofit.

Schibsted’s overall revenue in 2008 was NOK13.74billion (USD2.1 billion), the profit (EBITA) NOK822million (USD126 million), equivalent to an operatingmargin of 6 percent (compared with 9 percent in 2007).

Ownership Nearly all the larger newspapers in Norway belong to, orare otherwise associated with, Schibsted, A-pressen or Edda Media. Schibsted, which is by far the largest ofthe three, publishes thirteen newspapers, which includeNorway’s largest national and regional newspapers,accounting for roughly one-third of total newspapercirculation. A-pressen is the second-largest actor, withsome 50 local newspapers of varying size; together theyamount to 17 percent of total circulation. Edda Mediaowns 29 local newspapers and controls 12.5 percent ofcirculation.

Schibsted is Norway’s largest media group with holdingschiefly in newspaper publishing, film distribution andInternet. It is the largest newspaper publisher in Norwaymeasured in circulation, with about one-third of thecombined total. The company also invested extensivelyin film and television in the Nordic and Baltic countries,and in the Swedish newspaper market. Schibstedwithdrew from television in Norway and Sweden in2006, and sold its film and TV production companyMetronome Film & Television in 2009. Through itsownership of Aftonbladet and Svenska Dagbladet,Schibsted is one of Sweden’s principal newspaperpublishers. The company also owns Eesti Media Group,a newspaper and magazine publishing house in Estoniathat publishes one of the largest newspapers in thecountry.


NORWAY

In 2008 Schibsted acquired 35 percent of Metro SverigeAB, which publishes free newspapers in a number ofSwedish towns and cities. At the same time, Schibsteddiscontinued its Punkt.se, which was produced byAftonbladet.

In June 2009 Schibsted bought 41% of SwedishAftonbladet, and now holds 91% of Aftonbladet.

Schibsted’s share of total combined circulation inNorway derives from only 13 titles, but several of themare among the largest newspapers in the country: VG, a nationally distributed tabloid, Aftenposten (Oslo), thecountry’s largest subscribed newspaper, and AftenpostenAften, a newspaper serving greater Oslo. In addition tothese wholly owned newspapers, Schibsted hassignificant holdings (25-80%) in Norway’s largestprovincial newspapers. In 2006 a decision was taken togroup Aftenposten and Aftenposten Aften and threeregional newspapers in the framework of a newcompany, Media Norge, in which Schibsted holds a majority interest.

On June 25, 2009, Media Norge ASA was formallyestablished as a company. The group consists of themedia houses Aftenposten, Bergens Tidende,Faedrelandsvennen and Stavanger Aftenblad, in additionto Finn.no (88.3% owned by Media Norge). Theshareholders of the media companies that compriseMedia Norge will now be direct shareholders of the newcompany. The largest shareholder of Media Norge isSchibsted ASA, holding 80.2%.

One group of newspapers that is not controlled by the‘big three’ came about as a response to Schibsted’splanned Media Norge merger. Two principal actors incentral and northern Norway, the regional Adresseavisenand a local newspaper owner, Harstad TidendeGruppen, elected to form a new group, Polaris Media.Schibsted’s plans made it possible, and also advisable, forthe companies to form an alliance to meet heightenedcompetition on the regional market. Schibsted owns 43percent of the new group, but, due to Norwegianownership regulations, must reduce it share beforecarrying out its plans for Media Norge.

Other newspapers not controlled by large Norweigancompanies are Dagbladet, a popular tabloid, DagensNaeringsliv, a business and finance newspaper, VartLand, a Christian newspaper, and several localnewspapers of varying size.

A-pressen is Norway’s second-largest newspaperpublisher in terms of circulation, with 17 percent of thecombined total. It is the country’s principal publisher oflocal newspapers, with fifty titles in all. The grouporiginally consisted of newspapers affiliated with theLabour Party, which joined together to get back on theirfeet after the second world war. A-pressen’s ownership

structure is as follows: the Norwegian Confederation ofTrade Unions and affiliated unions (44.5 percent),Telenor Broadcast (44.1 percent), the Freedom of Expression Foundation (9.9 percent). The remaining1.5 percent is owned by the group’s employees. As a consequence of the recession, A-pressen has announcedbudget cuts and the discontinuation of two localnewspapers and a number of local television stations.

Edda Media’s owner, Mecom, is the only active foreignowner on the Norwegian newspaper market aside fromthe Swedish Nya Wermlands-Tidningen AB, whichowns a share in Bergens Tidende, a regional newspaper.

In 2006, after a much-discussed divestment process,Orkla Media was bought by Mecom Group Plc., a British investment company, specializing in thenewspaper industry. The new owners reorganized thecompany’s operations into geographical divisions, allmanaged from London. Orkla Media’s Norwegianoperations were gathered together in Edda Media, nowNorway’s third-largest newspaper publisher, with 29local newspapers and 12.5 percent of total newspapercirculation. The largest of Edda’s newspapers areDrammens Tidende (41 000 copies) and HaugesundsAvis (33,000). Edda Media is the principal publisher offree newspapers in Norway, with nine free newspapers inthe Oslo area and four newspapers in smaller towns. Inaddition to its newspapers’ web editions, the group alsocontrols a miscellaneous portfolio of web operations,which include a classified ads site, Tinde.no. The sale ofOrkla Media marked the start of a new epoch inNorwegian media history. Never before had a foreignowner assumed such a presence in the newspapermarket. Shortly after the take-over Mecom introducedcomprehensive economizing regimes and slimmed staff,meanwhile collecting sizable profits from thenewspapers. The company sold Orkla’s holdings in theSwedish newspaper, Norrländska Socialdemokraten aswell as its shares in Bergens Tidende (28.5%) andAdresseavisen (18.7%) in Norway.

In 2009, Mecom sold two of Edda Media’s largestnewspapers to Polaris Media. Should the whole group beput up for sale, A-pressen has expressed an interest inbuying the company. However, Norwegian mediaownership regulations stand in the way of such asolution.


On April 16, 2009, the European Court of HumanRights rejected an appeal by John Olav Egeland of the


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Source: CIA – The World Factbook; US State Department; World of Print; Reuters; AFP; Hugin; Garcia Media; PaidContent; Nordicom; Advanced Interactive Media Group LLC; Norwegian Media Businesses Association –

Mediebedriftenes Landsforening (MBL); BBC News

Dagbladet newspaper and Einar Hanseid of theAftenposten daily who were fined for publishingphotographs of a woman sentenced for murder,photographs that showed the woman leaving the courtin tears. They were each fined EUR1,139 (USD1,502)for the photographs of the woman leaving court after shewas sentenced to 21 years for a triple murder. The court

had ruled the newspapers were guilty of violating theright to privacy. Under Norwegian law, an accusedcannot be filmed without consent. The court said thatwhile the case was in public domain, the photographswere “extremely indiscreet” and showed the woman inan “extremely vulnerable psychological state.”


0-14 907 19 465 20 443 1915-24 600 13 307 13 293 1225-34 618 13 313 13 305 1335-44 713 15 365 15 348 1545-54 635 13 324 14 311 1355-64 570 12 289 12 281 1265 + 693 15 297 13 396 17Total 4,737 100 2,360 100 2,377 100

Source: Statistics Norway



Total 2,105 100

Source: Statistics Norway via Nordicom


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 77 77 74 74 75 -2.60 1.35National paid-for dailies 8 8 8 8 8 0.00 0.00Regional and local 69 69 66 66 67 -2.90 1.52paid-for dailies

Total paid-for non-dailies 86 142 151 151 154 79.07 1.99National paid-for non-dailies 11 11 11 11 12 9.09 9.09Regional and local 75 131 140 140 142 89.33 1.43paid-for non-dailies

Total free non-dailies - 26 - - - - -

Source: 2005 Mediebedriftenes Landsforening; 2006 Norwegian Media BusinessAssociation (MBL); Norwegian Association of Local Newspapers (LLA); Iceland,Institute of Journalism/Volda University College Norway via Nordicom (free non-dailies); 2007-2009 Norwegian Media Business Association (MBL);Norwegian Association of Local Newspapers (LLA)


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 2,338 2,270 2,222 2,185 2,061 -11.85 -5.68National paid-for dailies 666 625 614 580 537 -19.37 -7.41Regional and local 1,672 1,645 1,608 1,569 1,525 -8.79 -2.80paid-for dailies

Total paid-for non-dailies 444 590 623 - 621 39.86 -National paid-for non-dailies 82 85 85 - 94 14.63 -Regional and local 362 505 538 - 527 45.58 -paid-for non-dailies

Total paid-for dailies 2,338 2,270 2,222 2,185 2,061 -11.85 -5.68

Source: 2005 Mediebedriftenes Landsforening; 2006 Norwegian Media BusinessAssociation (MBL); Norwegian Association of Local Newspapers (LLA); Iceland,Institute of Journalism/Volda University College Norway via Nordicom (free non-dailies); 2007-2009 Norwegian Media Business Association (MBL); Norwegian Association of Local Newspapers (LLA)

As of 2006, the statistics cover all newspapers that are members either of theNorwegian Media Businesses Association (MBL) or the Norwegian Association of Local Newspapers (LLA); in previous years only newspapers that were membersof MBL were included


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 696 670 668 - 645 -7.33 -National paid-for dailies 202 191 188 - 180 -10.89 -Regional and local 495 482 480 - 466 -5.86 -paid-for dailies

Total paid-for non-dailies 54 62 67 - 64 18.52 -National paid-for non-dailies 6 6 6 - 6 0.00 -Regional and local 48 56 61 - 58 20.83 -paid-for non-dailies

Source: Norwegian Media Businesses Association (MBL); Norwegian Association ofLocal Newspapers (LLA)Landsforening



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4.b Sales revenues

(Norwegian krone, mln) Change (%)2003 2004 2005 2006 2007 2007/03 2007/06

All paid-for newspapers 7,000 7,000 6,139 - 5,748 -17.89 -

Source: Mediebedriftenes Landsforening

Estimates; excludes VAT; before discounts; typical discount 19%; Including onlynewspapers that were members of The Norwegian Media Business Association(MBL)


(%)2005 2006 2007 2008 2009

Single copy sales 24 23 22 22 22Postal deliveries 76 77 78 78 78Total 100 100 100 100 100

Source: 2005-2006 Mediebedriftenes Landsforening; 2007-2009 MBL; LLA


(%)Reached

All adults 82Men 82Women 81

Source: TNS Gallup Forbruker & Media


(Norwegian krone)min max

Single copy 10.00 25.00Subscription 490.00 3,850.00

Source: MBL based on data from aviskatalogen.no


group

13-19 7120-39 7540-59 8660 + 90

Source: TNS Gallup Forbruker & Media


Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Dailies 78 77 78 74 74 -5.13 0.00Non-dailies 1 50 60 - 130 135 170.00 3.85

Source: MBL; LLA1 Estimate

6.a Online editions

Newspaper Publishing Website Unique visitors company per month 1

(000)

VG Verdens Gang vg.no 3,710Dagbladet Dagbladet dagbladet.no 2,157Aftenposten Aftenposten aftenposten.no 1,081Bergens Tidende Bergens Tidende bt.no 397Dagens Naeringsliv NHST dn.no 390Adresseavisen Adresseavisen adressa.no 388

Source: TNS Gallup1 Unique visitors per week; week 50/2009


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Norwegian krone, bln)2004 2005 2006 2007 2008

GDP 1,743 1,946 2,160 2,277 2,538



(Norwegian krone, 000)2004 2005 2006 2007 2008

GDP per capita 378.9 419.3 461.4 482.4 532.0




(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 1.08 1.07 0.63 0.57 0.49 0.47 0.45 0.44


(Norwegian krone, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 11,104 11,922 8,304 8,016 6,794 6,455 6,271 6,213Newspapers 9,102 9,836 7,655 7,374 6,268 5,955 5,776 5,718Magazines 2,002 2,086 649 642 526 500 495 495

Television 5,696 5,923 3,050 3,175 2,858 2,915 3,002 3,152Radio 1,141 1,124 547 596 536 520 546 574Cinema 162 173 127 143 122 115 115 120Outdoor 759 894 494 547 492 478 501 526Internet 2,100 3,119 1,756 1,869 1,722 1,795 1,898 2,055Total 20,962 23,155 14,278 14,346 12,524 12,278 12,333 12,640

Source: AC Nielsen; IRM; ZenithOptimedia

Excludes agency commission; excludes production costs; excludes classified advertising to 2006; includes from 2007; before discounts to 2006; after discountsfrom 2007; Magazines includes business magazines; Internet includes display, classified and search to 2006 (classified and search figures are ZenithOptimediaestimates), excludes search from 2007



All newspapers 7,010 7,400 6,138 6,5011 7,696 1 9.79 18.38

Source: 2003-2004 Mediebedriftenes Landsforening; 2005-2007 IRM Norge

Before discounts. Typical discount is 19%1 All paid-for newspapers, excluding online newspapers



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Advertiser Expenditure (Norwegian krone, 000)

Lilleborg AS 330,619Elkjop 282,587Tine BA 255,187Expert 243,574Rema 1000 239,780Coop OBS! 221,223L’Oréal Norge AS 210,182Spar 207,492Stabburet AS 205,913Norsk Tipping AS 203,385




Information/National 11lottery/Services

Entertainment 11Cars – Car accessories 8Travel/Transport 6Office/Computers/ 4Office Equipment

Books/Magazines/Education 4Food 3Building/Construction 2Sound and vision 2Furniture/Homes 2




Aftenposten 355(Aftenposten Morgen og Aften)

VG 262Dagbladet 105Bergens Tidende 83Dagens Næringsliv 80Adresseavisen 76Stavanger Aftenblad 65Fædrelandsvennen 39Drammens Tidende 38Romerikes Blad 36

Source: MBL

8.a Top publishing companies(2009) Title Founded Language Publishing company Circulation Format

(year) (000)

VG 1945 Norwegian Schibsted 262 TabloidAftenposten Morgen 1860 Norwegian MediaNorge 243 TabloidDagbladet 1869 Norwegian Bernergruppen 105 TabloidBergens Tidende 1868 Norwegian MediaNorge 83 TabloidDagens Naeringsliv 1890 Norwegian NHST 80 TabloidAdresseavisen 1767 Norwegian Polaris 76 TabloidStavanger Aftenblad 1893 Norwegian MediaNorge 65 TabloidFaedrelandsvennen 1875 Norwegian MediaNorge 39 TabloidDrammens Tidende 1832 Norwegian Edda Media 38 TabloidRomerikes Blad 1902 Norwegian A-Pressen 36 Tabloid

Source: MBL; Aviskatalogen


Change (%)2003 2004 2005 2006 2007 2007/03 2007/06

Total number of journalists 3,000 3,200 3,100 3,000 3,000 0.00 0.00Total number of employees 9,000 9,000 8,800 9,000 8,800 -2.22 -2.22

Source: Mediebedriftenes Landsforening

Dailies

9.a Employment

11. Research (2009)

Circulation is audited byNorsk Opplagskontroll


MethodologyCATI, 30,000 interviews per year

Source: Norwegian Media Businesses Association

Tax %





12. Taxes (2009)







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Total amount - - - 240.0 251.8 - 4.92










Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?Not as such, but there is a limited number offrequencies available and publishers have to apply to themedia authority, which is a government body, to get a licence.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?No. The media authority does however publish a register of ownership in the media sector.

Is there an antitrust law limiting concentration in the dailypress?Yes. Dominant position at national level is 40% if theowner owns newspapers only, or national TV or radiostations only. If there is ownership in more than onemedia type, the limits for two media types is 30% and20% respectively. For three media types the limits are20%, 20% and 20%. If an owner owns more than 10%of the national market in newspapers, TV or radio, theycannot own anything in another owner with the morethan 10% of the said markets. At regional level, thedominant position is 60%. There is no regulation of TVor radio ownership at the regional level. There is no localregulation whatsoever.

Is further regulation of media concentration expected?Media regions are to be set this spring. This willcomplete the overhaul of The Acquisition of Newspaperand Broadcasting Enterprises Act.



POLAND

General economic situation In 2009, Poland as the only country in the EuropeanUnion recorded 1.8 percent growth of the real GDP.Poland was portrayed as the only “green island” on themap of Europe spared from the economic crisis.However, the growth rate had been declining from 6.8percent in 2007 and 5.0 percent in 2008 to 1.8 percentin 2009.

Since 2004, EU membership and access to EU structuralfunds have provided a major boost to the economy.Unemployment is falling rapidly, though at roughly9.7% in 2008, it remained above the EU average.

The aftermath of the crisis has been reflected in the dropof all major indicators, including industry andconstruction manufacturing, internal and foreign tradeturnover, the growth of employment, wage rise andothers.

The good news is that the downward trend in theeconomic growth dynamics, lasting from early 2008, hasreversed. In the last quarter of 2009, the GDP grew 2.8percent year-on-year. Still, it is unclear whether thistrend is sustainable.

The GDP growth recorded in Poland in 2009 had veryfrail and unstable foundations. The annual volume ofdomestic demand decreased by 0.9 percent compared tothe previous year. Private and public consumptiondemonstrated some growth, due to which a productionincrease was maintained. However, in the context of thedecrease in overall level of domestic demand, the onlyfactor that enabled the GDP growth and saved thecountry from recession in 2009, was the importreduction by 26 percent, associated with a drop indomestic production and demand. The importreduction, however, has its limits and it cannot beperceived as a solution for sustained production growth.

The inflation rate was estimated at 3.4% in 2009.

Performance of newspapers vs. other media Newspapers, both in their print and digital editions,having been generally perceived as “old-time media,” areforced to compete fiercely with other channels providinginformation and entertainment, in order to get theirshare of interest, time and resources, allocated for thepurchase of goods. This competition has becomestronger with the expansion of electronic mediaincluding, in particular, the Internet. This rivalry istaking place just right on the Internet.

The entire year 2009 was marked by announcements ofinvestment in the presence on the Internet, that haveresulted in a significant increase in the number of visitorsand the amount of their time spent on the Internet.

While publishers’ advertising revenues related to theironline presence were growing, they were not enough tosecure sufficient repayment of incurred expenditures. So,the truth is that the traditional publishing (printing)business finances not only publishers’ web investments,but also raises significantly the attractiveness of thenetwork as a source of attractive and high qualitycontent material.

Indeed, the Internet has not yet revealed its entirepotential, so it cannot and should not be underestimatedtoday. While investing in the network presence, it is,however, worth answering at least two questions:

1) Are the publishers in a position to provide a supplythat will generate a large enough traffic and enable themonetization?

2) Does not the policy of editorial cost reduction meanthat publishers, following the loss of readers ofspecific titles, have less and less to offer not only toadvertisers, but also to readers themselves?

In 2009, a significant majority of newspapers andmagazines witnessed a circulation decline. Interpretingthis decline as a “crisis of readership,” and even more soas the “end of the printed press,” however, is definitelytoo farfetched and not substantiated. For although thenumbers of readers of particular titles do actually shrink,reading a carefully edited and content-completenewspaper, perceived as one’s “own,” is still the mosteffective way for the majority of Poles to achieve thestatus of ‘well informed’.

Of course, the policy and practice of cutting editorialcosts is not neutral and it does have impact on both the”diligence in editing” and “integrity of an offer,”whatever this would mean for the reader and what isdefinitely worth exploring. Therefore, approachingreaders as ordinary customers of consumer goods mustresult in the ultimate destruction of ties and mutualbonds connecting the reader with the title, and in theprogressive erosion of the title’s circle of regularcustomers. So, perhaps instead of announcing “the endof the era of traditional print,” it would be better to lookcarefully at the processes and their determinants,governing the use of contemporary newspapers.

Nonetheless, the future of newspapers, whether in paperor electronic form, or both, shall always depend oncontent, its quality and superiority over the competingsubscription services and offers.

Performance of different types of newspapers The segment of daily newspapers represents 96% ofnewspaper titles with audited circulation. A highnumber of dailies associated with the ZKDP (Audit



POLAND

Bureau of Circulation in Poland) confirms that for mostof daily newspaper publishers the transparency is a valuein itself and it is essential in dealing with advertisers.

In 2009, number of copies of daily newspapers sold anddistributed generally declined compared to 2008 by10% and 14%, respectively.

At the same time, the segment of non-dailies(newspapers published 2-3 times a week), recordedmuch better results: the number of sold copies declinedby 1.5% while the number of distributed copies rose bymore than 17%.

The proportions of dailies and non-dailies on thenewspaper market in Poland leaves no doubt, however,that the latter perform a complementary role.

In 2009, the share of nationwide dailies (57%distributed copies and 54% sold copies) continued togrow at the expense of regional dailies (28.75% and28.13%, respectively); and the share of dailies (85.64%distributed copies and 81.70% sold copies) grew overnon-dailies (2.18% and 1.82%, respectively).

In 2009, free dailies’ circulation declined by nearly 8.5%year-on-year.

Agora SA, Poland’s largest publisher, returned to profitin the fourth quarter of 2009 after earnings in 2008 werecut by a takeover writedown. Costs fell 25 percent in thequarter to PLN271.6 million (USD94 million) after itcut employment by 15 percent and promotion expensesby a third.

Newspaper launches / closuresIn 2009, 10 daily newspapers left the market. The resultsof the remaining sixty titles do not encourage thinkingabout new projects.

As soon as in January 2009, Polskapresse Group, thepublisher and organizer of the editorial project ‘Poland.The Times’ announced that it would suspend eight outof 10 regional editions of the daily. All of the eighteditions were published in the regions, where thePolskapresse Group did not have regional dailies beforethe ‘Poland. The Times’ was launched in the localmarkets. In September, the ninth edition, Mazowsze,was added to the reduction list. Thus the project,originally planned to be nationwide, has been narroweddown to seven regions and the capital city. The officialreason for suspending editions was their unsatisfactoryresults, which was actually true, however, the root causeof the poor results was a relatively poor quality of thelocally-related content, which could not meet theinterest of potential readers. The elimination of the vastmajority of local editions, however, did not put an endto the controversy about whether ‘Poland. The Times’newspaper is nationwide or regional. At the same time,

advertising revenues of the group Polskapresse show thateven after reductions, this project had a great advertisingpotential.

General news weekly Wprost, a conservative publicationdefending free-market and Christian values, launched anentertainment and gossip news version called WprostLight on May 28, 2009. Wprost Light has a print-run ofabout 260,000. The original title, which claims to be themost important opinion forming weekly in Poland, sellsabout half as many copies as its mother title. Its new 68-page affiliate includes movie and television, health andbeauty, and food pages. Wprost Light is largely aimed atwomen, intending to attract advertisers for cosmeticproducts in particular, while its original sibling is breadmostly by men. The new weekly is often made of shortreprints from other newspapers.

In the middle of 2009, a new title Futbol News waslaunched. Its publisher, SportLive 24 SA, might assumethat such an early debut would allow for establishing thetitle on the market before the advertising harvest duringthe Euro 2012 championship. For the time being,however, the future of the project remains highlyuncertain.

‘Dziennik Polska Europa Swiat’, published by AxelSpringer Poland, merged with Gazeta Prawna, publishedby Grupa Infor. The new daily ‘Dziennik. GazetaPrawna’, published by a new company Infor BusinessLtd., appeared on the market on September 14, 2009.The former ‘Dziennik Polska Europa Swiat’ wasoriginally supposed to become a competition of anothermajor daily, Gazeta Wyborcza. The assumption that thenew daily ‘Dziennik. Gazeta Prawna’ would keep readersof both previously published newspapers and attract newones, was definitely an overstatement.

In December 2009, Trybuna, the only left-wingnewspaper in Poland ceased publishing. The title wassuffering significant financial problems for a long time,yet the real problem was the loss of readers’ interest andlack of institutional support from leftist groups.

Advertising It is not publishers of newspapers, but television and –increasingly more often – the Internet that dictateadvertising market terms in Poland. The calculations are strongly supported by Expert Monitor, as they are based on results of monitoring the advertising space, or advertisement exposure time in the electronicmedia.

In 2009, newspaper publishers failed to earn more thanin the previous year. These poor results did not affect allthe publishers. Apart from those who reported heavylosses, there were some, such as Przeglad Sportowy,which succeeded to increase both their circulation andadvertising revenues. It proves that the downward trend


POLAND

is not the rule, and press publishers can effectivelydefend against it.

Declining advertising revenues in 2009, according toExpert Monitor data, did not affect television and theInternet. The dynamically growing Internet advertisingrevenues are indeed one of the reasons why so manypress publishers get involved in presenting theirpublishing products on the Internet.

It should be noted, however, that reports and analysessponsored by the Interactive Advertising Bureau (IAB)and ZenithOptimedia Group highlight materialsaccording to which the Internet advertising in 2009reached a higher level than advertising in newspapers.They do not reveal, however, neither methodology ofsuch calculations, nor source of data they are based on.Such results can be justifiable in the countries with a widespread Internet access. In Poland, such anoutcome can be feasible once the limitations – not onlyto broadband, but to any Internet connection – areremoved. Due to the above reasons, The Chamber ofPress Publishers (Izba Wydawcow Prasy) in Poland donot perceive these results as reliable and suggest todoublecheck them next year, after a careful analysis ofmethodology used by the IAB and ZenithOptimedia.

While struggling for higher advertising revenue,newspaper publishers continue to emphasize as theirmain asset the numbers of copies sold and distributed,and the size and value of their readership groups. Thisstrategy, however, works rather poorly, as the press sharesin the advertising cake fall steadily. This was the case in2009, too. The press share of advertising budgets shrankfrom 25.9% in 2008 to 22.3% in 2009. Newspaperpublishers continue to lose more (from 13.2% in 2008to 11.1% in 2009) than magazine publishers (12.7%and 11.1%, respectively). It is at the expense of the press,mainly newspapers, that other media gain advertising.

Nevertheless, the press, including newspapers andmagazines, still retains its second rank in advertisingrevenues after television, which dominated theadvertising market in Poland in 2009.

Agora recorded the biggest fall among dailies in Polandwith advertising sales at its flagship daily dropping by 20percent in 2009. Sales of advertising space in Agora’sGazeta Wyborcza, Poland’s top non-tabloid daily whichdraws a third of the sector’s advertising revenues, fell toPLN806 million (USD277.4 million).

Axel Springer’s Polish tabloid daily Fakt, Poland’s largestdaily newspaper, saw its advertising revenues rise 5percent last year to PLN200 million (USD69 million).

Circulation Circulation of daily newspapers has been generallydeclining from 2006, although there are exceptions

proving the continued attractiveness and value of printas an effective channel of communication andinformation.

In 2009, the total average daily circulation declined by13.7% year-on-year. Circulation of nationwidenewspapers decreased more (-16.6%) than circulation oflocal and regional newspapers (-9.4%). The decliningtrend also affected free newspapers; their circulationdecreased by more than 10%.

A major part of the decline can be surely attributed toeconomic reasons (lower circulation means lower costs),but it cannot be excluded that a monopolistic position ofpublishers on specific markets (in the segment ofregional and free newspapers) is responsible for at least a part of the cuts.

Publishers should be also aware of the fact that cuttingcirculation – although it may temporarily improvefinancial results – also restricts the access of readers tonewspapers. In 2008, the total daily circulation allowedabout a third of Polish families for the contact with a daily newspaper. In 2009, the volume of newspaperspublished on the market gave such a chance only to oneout of four families. It is not difficult to cut thecirculation volume; the trick is to publish such a dailynewspaper, which people want to buy and read.

On April 10, 2009 Gazeta Wyborcza, Poland’s largestnon-tabloid newspaper, incurred a price increase. Thenewspaper now costs PLN2 (USD0.70) on Monday toThursday, PLN2.5 (USD0.90) on Friday and Saturday,and PLN1.6 (USD0.55) in subscription. Sincedecreasing the cover price in 2006, Gazeta Wyborczahad the lowest price among national quality dailies. Nowit will still cost less than Rzeczpospolita, which costsPLN3.4, and will have the same price as Dziennik, saidStanislaw Turnau, Publisher of Gazeta Wyborcza andDirector of Newspaper Operations. “We increase thecover price of Gazeta to sustain its quality and enable itsfurther growth,” said Mr. Turnau.

Agora, the publisher of Gazeta Wyborcza, reported salesof the flagship daily in 2009 rose 2.2 percent toPLN37.4 million, as a price increase cushioned anaverage drop of 15 percent in copy sales.

Readership It is significant that readership surveys do not confirm,or confirm rather poorly, downward trends in sales ofnewspapers and journals. Such results may come fromthe philosophy of “using the press for advertisers’ needs,”proclaimed officially and supported financially by thelargest newspaper publishers.

The PBC’s studies fetish is still the evidence of the size ofthe group of persons in contact with a journal title ratherthan their assets (socio-professional status, experience,


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reading, reading motivations behind the specific titles,readiness to continue reading particular titles,rationalization of benefits resulting from reading thenewspaper, etc .), or readers’ relationship with the readtitle (readership history, regular reaching for next copy,identification of editorial suggestions, etc.).

Shortfalls in measuring reading interests and preferences,and the changes they are subject to, are probably one ofthe reasons of publishers’ helplessness in the struggle forwinning the reader, especially a younger one. However,the PBC research suggests the interest in this category ofreaders very timidly. A PBC survey shows that in 2009compared to 2008, there was a growing interest in thereading of daily newspapers amongst young people agedup to 16, while in other age categories the number ofreaders slightly decreased. It is also intriguing that theinterest in reading newspapers differs little in particularage groups, which is quite unlikely when consideringdifferent reading experience, professional activity, leisuretime etc.

Increasingly, the findings appear that emphasize the factthat even very active Internet users confirm the use ofnewspapers and magazines more often than the averagepopulation. So instead of burying newspapers alive, it isbetter to focus on all the advantages they give to readers.A large population of newspaper readers is the best proofthereof.


In 2009, virtually all newspaper publishers invested inwebsites and web portals. There has been a significantincrease in the numbers of customers/users. Burdeningthe traditional editorial staff with preparation ofelectronic publication, as well as offering on the Internetcomplete (and identical) editions of traditionalpublications, proves to be a strategy that is not onlyexpensive and extremely risky, but also ineffective interms of attracting large numbers of users. Whilenewspaper publishers are still willing to boast theincrease in the number of users of their web projects, thisenthusiasm translates poorly in effective defense of themarket position held by paper editions; it is the papereditions that are still the primary source of revenue forpublishers of newspapers and magazines.

In 2009 Agora SA and Microsoft Inc. signed anagreement which provides for the development ofcommon products and grants Agora exclusive rights tothe sales of advertising spaces in those products. Agorawill run a common portal of both companies in Polandthrough Msn.gazeta.pl, and the sales team of Gazeta.pl

have exclusive rights to sales and development ofadvertisement offer of all Polish Internet products ofMicrosoft. Agora is also responsible for the developmentand delivery of content to the jointly created portalMSN.gazeta.pl, which will replace MSN.pl.

Ownership In 2009, the publishing group Agora managed to regainleadership in the segment of dailies after five years, beingslightly ahead of the previous leader, Axel SpringerPoland. To a large extent, this change is the result of a new ranking methodology, in which the basis forcalculating is the state of ‘ownership’ as of December 31,2009; consequently, ‘Dziennik Polska Europa Swiat’ wasmoved from Axel Springer to the Group Infor, publisherof Gazeta Prawna. The list of newspapers publishers stillcounts as many as 30 publishing houses whichdemonstrate different potential.

The concentration rate in the segment of dailies is quitehigh, since eight largest newspaper publishers accountfor nearly 92% of the entire newspaper market ofdistributed copies, or 93% of sold copies. The decreasein the number of sold copies and advertising revenue hasnot changed substantially the balance of power andinfluence on the daily newspaper market. Big publishershave defended their positions, however, they have to payhigh price for that; small publishers have remainedsmall, generally achieving less favorable results anddiscarding their reserves. This situation does not createincentives for the emergence of new players in thismarket segment.

In June 2009 Axel Springer Poland and Polish businesspublisher Infor PL established a joint venture. AxelSpringer Poland acquired 49 percent of shares in InforBiznes, a subsidiary of Infor PL, which publishes GazetaPrawna, the leading Polish business newspaper. AxelSpringer brought the title Dziennik and the online portaldziennik.pl into the joint venture. The goal of the jointventure is to amalgamate both titles into a new qualitydaily newspaper as of autumn 2009. This newspaper willoffer a broader spectrum of content and unite theeditorial strengths of Dziennik (politics, culture, sport)and Gazeta Prawna (business, law). The transaction wassubject to approval by competition authorities.

On June 24, 2009, European newspaper group Mecomabandoned plans to sell its 51 per cent stake in Polishnewspaper group Presspublica. The group said it hadterminated all sale discussions because the offers did notcome close to reflecting the value of the titles.

In July 2009 Agora SA became the 50.27% owner ofAdTaily Ltd, a Krakow-based provider of Internetservices.

In August 2009 Edipresse Polska, a subsidiary of theSwiss media and communications company Edipresse


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Source: CIA – The World Factbook; US State Department; Bloomberg; Finanz Nachrichten; WAN-IFRA – EditorsWeblog; Agora; WAN-IFRA – SFN Weblog; Axel Springer; The Chamber of Press Publishers (Izba Wydawcow Prasy)

Group, acquired 65 percent of top Polish women portalwizaz.pl. The joint venture is now be called EdipresseWizaz Sp. z o.o.

Media / Press Laws The constitution provides for freedom of speech and ofthe press; however, in practice there were laws thatrestricted these freedoms. Since the collapse of theCommunist government in 1989, the government andcourts have either upheld or instituted laws thatcriminalize defamation by individuals and the media,and limit editorial independence.

Individuals could not publicly criticize governmentofficials without risk of reprisal.

Defamation is a criminal offense punishable by up totwo years’ imprisonment and includes publicly insulting,defaming, or libeling members of parliament,government ministers, and other public officials. Forpublicly insulting the president, the maximum sentenceis three years’ imprisonment. Maximum penalties wererarely applied; persons found guilty of defamation weregenerally only fined. The law also prohibits hate speech,including dissemination of anti-Semitic literature.

On September 15, 2009, the Lublin Regional Courtoverturned the prosecutor’s decision not to pursuecharges against Sejm deputy Janusz Palikot, who in hisInternet blog referred to the president as a “dwarf.” Thecourt ruling was in response to the president’s July 16,2009, appeal of the prosecutor’s decision."

On November 27, 2009, the president signed a revisionto the criminal code lowering the penalties fordefamation. Under the revised law, which will take effectin June 2010, defamation will carry a maximum penaltyof one-year imprisonment.

The law also prohibits hate speech, includingdissemination of anti-Semitic literature and the publicpromotion of fascist or other totalitarian systems. OnNovember 27, 2009, the president signed into law a revision to the criminal code adding communistsystems to the prohibited list.

The KRRiTV or National Radio and TelevisionBroadcasting Council, is a five-member body appointedby the National Assembly and the president. TheKRRiTV is responsible for protecting freedom ofspeech, has broad power to monitor and regulateprogramming, allocate broadcasting frequencies andlicenses, apportion subscription revenues to publicmedia, and impose financial penalties on broadcasters.While council members are required to suspend theirmembership in political parties or public associations,

critics asserted that the council continued to bepoliticized. The president selects two members, the Sejm two members, and the Senate selects onemember.

Content restrictions on the media include a law thatprohibits the promotion of activities that are againstgovernment policy, morality, or the common good andrequires that all broadcasts “respect the religious feelingsof the audiences and, in particular, respect the Christiansystem of values.” The government enforced thisprovision in practice, levying fines on programs deemedoffensive. The press code also places some limits oneditorial independence, for example, by specifying thatjournalists must verify quotes and statements with theperson who made them before publication.

On June 18, 2009, the Bielsko Biala District Courtordered Krzysztof Oremus, former editor in chief oflocal newspaper Super-Nowa, to apologize to MayorJacek Krywult for publishing his photo alongside a photo of the president of Belarus, thus suggesting a similarity in Krywult’s manner of governing. The courtalso ordered Oremus to pay a 5,000 zloty (USD1,750)fine to the Polish Red Cross.

On June 30, 2009, the Zielona Gora district courtupheld a lower court decision to fine former GazetaWyborcza journalist, Robert Rewinski, for his 2004article accusing a local businessman of collusion with thestate-owned Environment Protection Fund. The courtordered Rewinski to pay a 3,000 zloty (USD1,050) fineand a donation of 1,000 zloty (USD350) to the PolishRed Cross.

Copyright In 2009, a copyright law amendment was beingprepared, aimed at adapting the existing legal status tothe situation in today’s media market.

Printing & Distribution While printing is being increasingly controlled bypublishers due to their subsequent new investments,distribution has been stagnating, if not regressing,following the exclusion of the consortium of newspaperpublishers from privatization of the major distributioncompany Ruch SA. Services of the largest distributors, inparticular Ruch SA, have been less attractive andrewarding for publishers; a dispute between publishersand Ruch SA regarding distribution margins at the endof 2009 has been resolved, however, only temporarily.

Taxes The period of reduced VAT (tax grace period) for specialinterest magazines and those with low circulation comesto its end in 2010.


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0-14 5,829.4 15.3 2,989.9 16.2 2,839.5 14.415-24 5,697.0 14.9 2,904.2 15.8 2,792.8 14.265 + 5,146.3 13.5 1,940.2 10.5 3,206.1 16.325-34 6,215.1 16.3 3,148.3 17.1 3,066.8 15.535-44 4,898.1 12.8 2,469.1 13.4 2,429.0 12.345-54 5,670.9 14.9 2,777.0 15.1 2,893.9 14.755-64 4,687.9 12.3 2,186.3 11.9 2,501.6 12.765 + 5,146.3 13.5 1,940.2 10.5 3,206.1 16.3Total 38,144.7 100 18,415.0 100 19,729.7 100

Source: Concise Statistical Yearbook of Poland 2009




A 4,897.0 15.2 2,025.0 13.1 2,872.0 17.0B 7,303.0 22.6 3,504.0 22.7 3,799.0 22.5C 3,329.0 10.3 1,131.0 7.3 2,198.0 13.0D 8,005.0 24.8 4,833.0 31.3 3,172.0 18.8E 7,848.0 24.3 3,370.0 21.8 4,479.0 26.5F 932.3 2.9 562.1 3.6 370.2 2.2Total 32,315.3 100 15,425.1 100 16,890.2 100

Source: Concise Statistical Yearbook of Poland 2009


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


National paid-for dailies 11 12 11 11 10 -9.09 -9.09Regional and local 32 32 38 38 28 -12.50 -26.32paid-for dailiesMorning paid-for dailies 43 44 49 49 38 -11.63 -22.45

Total free dailies 2 2 1 1 1 -50.00 0.00National free dailies 2 2 1 1 1 -50.00 0.00



Total free non-dailies 5 2 2 2 2 -60.00 0.00Regional and local 5 2 2 2 2 -60.00 0.00free non-dailies

Source: 2005 Polish Media Catalogue; OBP UJ; 2006 Polish Media Catalogue; OBPUJ; Ruch SA; Kolporter SA; 2007-2008 Ruch SA; Kolporter SA; Publishers’ data;2009 ZKDP; OBP UJ (estimate for non-members of ZKDP)

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


National paid-for dailies 2,978 3,131 2,574 2,441 2,037 -31.60 -16.55Regional and local 1,391 1,331 1,372 1,249 1,131 -18.69 -9.45paid-for dailiesMorning paid-for dailies 4,404 4,477 3,959 3,690 3,168 -28.07 -14.15

Total free dailies 597 800 505 496 445 -25.46 -10.28Total non-dailies 1,599 817 708 580 681 -57.41 17.41Total paid-for non-dailies 280 298 280 255 335 19.64 31.37

National paid-for non-dailies 173 175 154 141 238 37.57 68.79Regional and local 107 123 126 114 97 -9.35 -14.90paid-for non-dailies

Total free non-dailies 1,319 519 428 325 346 -73.77 6.46Regional and local 1,319 519 428 325 346 -73.77 6.46free non-dailies

Source: ZKDP; OBP UJ (estimate for non-members of ZKDP)


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 971.0 1,014.6 944.1 900.8 814.1 -16.16 -9.62Total paid-for dailies 807.0 818.0 821.7 778.0 701.7 -13.05 -9.81

National paid-for dailies 502.4 528.1 544.0 510.2 450.3 -10.37 -11.74Regional and local 304.6 290.0 277.7 267.8 251.4 -17.47 -6.12paid-for dailiesMorning paid-for dailies 807.7 818.0 821.7 778.0 701.7 -13.12 -9.81

Total free dailies 164.0 196.6 122.4 122.8 112.4 -31.46 -8.47Total non-dailies 88.9 70.9 62.5 51.5 50.7 -42.97 -1.55Total paid-for non-dailies 20.0 20.2 20.3 17.4 16.7 -16.50 -4.02

National paid-for non-dailies 7.6 9.5 9.7 8.5 9.5 25.00 11.76Regional and local 12.4 10.7 10.6 8.8 7.2 -41.94 -18.18paid-for non-dailies

Total free non-dailies 68.9 50.7 42.4 34.1 34.0 -50.65 -0.29Regional and local 68.9 50.7 42.4 34.1 34.0 -50.65 -0.29free non-dailies

Source: ZKDP; OBP UJ (estimate for non-members of ZKDP)



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(%)2005 2006 2007 2008 2009


Home deliveries 2.4 5.7 6.8 7.0 7.6Postal deliveries 13.1 13.0 12.3 12.6 12.2

Office deliveries 1.8 1.8 1.6 1.5 1.6Bulk - 0.2 0.3 2.3 2.9Free distribution 0.8 0.8 0.8 0.7 0.7Other 0.2 0.2 0.2 0.2 0.5Total 100 100 100 100 100

Source: ZKDP

Data for ZKDP members and estimates for dailies outside of ZKDP; paid-for dailiesand paid-for Sunday editions


(Poland, zloty)min max


Source: Pricelist of distributor Ruch SA


(%)Reached


Source: PBC (Polish Readership Survey)




group

less than 16 2.92 45.9516-24 16.10 51.1525-34 20.38 54.3535-44 16.51 56.0045-54 19.29 58.0555-64 17.34 57.8865 + 9.23 50.86Total 100 -


(minutes per day)2004 2005 2006 2007 2008

All newspapers 15 20 20 - -National newspapers - 25 25 - -Regional and local newspapers - 15 15 - -

Magazines 18 25 30 - -Radio 102 115 105 - 280Television 205 215 195 - 232Internet 33 45 56 73 88

Source: 2004 Osrodek Badan Prasoznawczych, based on AGB and SMG/KRC data;Starkom. Badania StarTreck; Research of PBI/Gemius (Internet); 2005 Research ofPBI/Gemius (Internet); AGB (television), SMG/KRC (newspapers/Internet), OBP UJ(national and regional newspapers); 2006-2008 Research of PBI/Gemius (Internet);Radio Track SMG/KRC (Radio); AGB Nielsen Media Research (TV)

Estimates based on partial data made available by research companies AGB, TNS,Startrack, SMG/KRC, surveying specific media; due to the large number of sources,data do not originate from a comprehensive research on “daily time budget andtime use”, and result from unverified declarations on the “average use time” by specific media channels; as a result, the data tend to be considerably overestimated; therefore OBP UJ applies a downward correction.


(000)2005 2006 2007 2008 2009

Total dailies - - - 17,143 16,109Total paid-for dailies - - - 16,550 15,454Total free dailies - - - 2,209 2,197


Data based on 36 paid-for dailies and 1 free daily; January-December; CCS (SeasonCycle Readership), N=48,848 people


6.a Online editions

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 42 45 50 50 39 -7.14 -22.00Non-dailies 11 16 20 20 21 90.91 5.00Sundays - 1 1 - - - -

Source: 2005-2007 Polish Media Catalogue; OBP UJ; 2008-2009 IWP based on dataavailable on the Internet

Website Publishing company Website Unique visitors per month (000)

Gazeta Wyborcza Agora SA wyborcza.pl 6,089Dziennik PES Axel Springer dziennik.pl 1,470Rzeczpospolita Mecom/Prespublica rzeczpospolita.pl 1,065Fakt Axel Springer efakt.pl 971Gazeta Prawna Infor Biznes gazetaprawna.pl 907Super Express Murator SA se.pl 805Echo Dnia Media Regionalne echodnia.eu 417Nowiny Media Regionalne nowiny24.pl 377Dziennik Wschodni Media Regionalne dziennikwschodni.pl 363Gazeta Pomorska Media Regionalne pomorska.pl 352

Source: Megapanel PBI; Gemius

Data for November 2009


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Poland, zloty, bln)2005 2006 2007 2008 2009

GDP 983.3 1,060.2 1,175.3 1,272.8 1,304.7 1

Source: Concise Statistical Yearbook of Poland 1 Estimate



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Total 215,083 249,074 247,261 254,306 207,094

Source: Expert Monitor

Number of advertising columns in newspapers monitored by Expert Monitor


(Poland, zloty, 000)2005 2006 2007 2008 2009

GDP per capita 25.8 27.8 30.9 33.4 34.2 1

Source: Concise Statistical Yearbook of Poland1 Estimate


(%)2006 2007 2008 2009 2010 2011 2012 2013

Ad expenditure 1.51 1.57 - 1.62 - - - -

Source: IWP based on research of PBI Monitor Expert and Concise StatisticalYearbook of National Acocunts


(Poland, zloty, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 1,543 1,593 1,653 1,670 1,384 1,276 1,242 1,267Newspapers 710 738 760 753 599 550 527 542Magazines 833 855 893 916 785 726 715 725

Television 2,603 3,010 3,528 4,015 3,638 3,695 4,000 4,330Radio 435 482 499 528 461 467 489 515Cinema 53 60 72 95 93 96 101 107Outdoor 474 523 670 707 624 630 660 693Internet 148 215 593 738 801 910 1,050 1,230Total 5,256 5,884 7,015 7,753 7,001 7,074 7,542 8,142

Source: Expert Monitor; Media Watch; IAB (Internet); ZenithOptimedia

After discounts; excludes agency commission; excludes production costs; excludesclassified; excludes self-promotion; from 2007, Internet includes search, displayand e-mail marketing


Advertiser Expenditure (Poland, zloty, 000)

Euro-Net Warszawa 78,120.6Metro Group 62,131.8Polska Telefonia Cyfrowa 42,397.5PTK Centertel 25,703.2Polkomtel 20,587.7Toyota Motor Poland 17,590.5PKO BP 16,977.4Fiat Auto Poland 16,807.9Citroen Polska 16,601.6P4 15,410.0




Others 42.4Retail 15.1Automotive 8.9Financial 8.7Telecoms 7.0Leisure 4.3Travel, tourism, hotels 3.4and restaurants

Media, books, CDs and DVDs 2.6Pharmaceutical products, 2.4medicine

Hygene and beauty care 1.3


Net prices, excluding VAT anddiscounts



Agora SA 261,896.8Axel Springer Polska sp. z.o.o. 231,019.7Grupa Polskapresse 181,277.0Grupa Media Regionalne 176,439.9Murator SA 96,358.1Infor Biznes sp. z.o.o. 69,061.5SPES 27,450.0Express Media sp. z.o.o. 19,864.5Wydawnictwo Jagiellonia SA 18,385.9Edytor sp. z.o.o. 11,212.3

Source: ZKDP


Title Founded Language Publishing company Circulation Readership Cover price Format Full page ad rateusual max Mono Colour

(year) (000) (000) (Poland, zloty) (Poland, zloty)

Fakt Gazeta Codzienna 2003 Polish Axel Springer Polska sp. z o.o. 634 4,276 1.40 1.80 Tabloid 91,000 91,000Gazeta Wyborcza 1989 Polish Agora SA 490 4,216 2.00 2.50 Tabloid 85,170 102,480Super Express 1991 Polish Murator SA 316 1,986 1.40 1.70 Tabloid 50,295 71,850Rzeczpospolita 1982 Polish Presspublica sp. z o.o. 187 1,224 3.40 - Tabloid - -Dziennik Gazeta Prawna 2009 Polish Infor Biznes sp. z o.o. 151 890 2.60 2.90 Tabloid - -Futbol News 2009 Polish SportLive24 SA 110 157 1.50 2.00 35cm x 29cm - -Przeglad Sportowy 1921 Polish Axel Springer Polska sp. z o.o. 105 1,142 2.10 2.50 Tabloid 40,000 40,000Polska Dziennik Zachodni 1945 Polish Polskapresse sp. z o.o. 104 959 1.60 1.80 Tabloid - -Nasz Dziennik 1998 Polish SPES 90 618 1.50 2.00 Tabloid - -Gazeta Pomorska 1948 Polish Media Regionalne sp. z o.o. 87 597 1.50 2.00 Berliner 10,082 12,600

Source: ZKDP (circulation); PBC (readership)



(year) (000) (000) (Poland, zloty)

Metro 2000 Polish Agora SA 445 2,049 Tabloid 84,000 84,000

Source: ZKDP (circulation); PBC (readership)



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Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 59 60 70 70 60 1.69 -14.29Broadsheets 1 1 - - - - -Tabloids 54 55 60 60 49 -9.26 -18.33Other formats 10 10 10 10 10 0.00 0.00

Source: IWP based on data from distributors

(Poland, zloty)2005 2006 2007 2008 2009

Average per ton 1,850 - 2,162 1,937 2,169

Source: IWP

2007 Exchange rate used EUR1 = PLN3.792502008 Exchange rate used EUR1 = PLN3.522592009 Exchange rate used EUR1 = PLN4.33733


11. Research (2009)

Circulation is audited byZKDP (Audit Bureau of Circulations Poland)

Readership is measured byPBC (Polskie Badania Czytelnictwa); the latest surveywas done by Millward Brown SMG/KRC

MethodologyDirect questionnaire-interview supported by computerdevice (CAPI), national address randomly picked up bypersonal identification number (PESEL) on 48,000persons (per year); interviewed persons were presentedonly the vignettes of newspapers and magazines ofpublishers belonging to the Polish Readership Research(PBC) and to ZKDP (Audit Bureau of CirculationsPoland)

Source: IWP

12. Taxes (2009)

Tax %

Standard VAT 22VAT on:Single copy sales 7Subscription sales 7Advertising 22Newsprint 22Composition 22


Source: IWP





Source: IWP



Source: IWP



Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies? In Poland, the basic legal act guaranteeing ownershiprights is the Constitution of the Republic of Poland, andalso the Civil Code and the Code of CommercialCompanies. The latter also applies to the publishingactivity.

Is there any law prohibiting or restricting foreign companiesor individuals from owning shares, and in particular, themajority of shares, of domestic daily newspapers?

The Polish legal system does not limit foreign entities asto their possession of shares/stocks in publishingcompanies established either in the form of sharecompanies (limited liability and joint stock company) orother legal and organizational forms (e.g. partnerships).The shareholders may also be natural persons who arenationals of other states.

Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?Generally, there is no such a prohibition. However,pursuant to provisions of the Law on the Radio andTelevision Broadcasting dated of December 29, 1992, a concession may be withdrawn from a broadcaster, ifdissemination of the program will result in thebroadcaster’s achieving of dominant position in the areaof mass media in the given relevant market within themeaning of provisions of the Law on Protection ofCompetition and Consumers.


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The Law on Protection of Competition and Consumersdated of February 16, 2007, provides that an entityholding a “dominant position” is a business entity whichmay act independently from the behavior ofcompetitors, counterparties, and consumers in the givenmarket; concurrently, it is assumed that an entity has a dominant position, if its share in the given relevantmarket exceeds 40%. The media market is too broad inorder to be recognized as the relevant market within themeaning of the above law. Therefore, publication ofnewspapers or magazines while concurrently running a radio or television station will not by itself lead to theachieving of a dominant position in any relevant market

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?In Poland there are legal norms enabling identificationof an owner of a press publisher. The owner may beidentified pursuant to provisions regulating the systemand organization of the Central Records of the NationalCourt Register and the principles of provision ofinformation from the register (the National CourtRegister), and, if the publishing activity is conducted bynatural persons or civil law companies – the Register ofBusiness Activity (Ewidencja Dzialalnosci Gospodarczej– EDG).

The Polish law contains no provisions that would referto business activity (including the publishing activity)conducted in the form of a dormant company. By thesame, the typology of companies is governed by the ruleof numerus clausus. However, in accordance with therule of freedom of contract applicable to the Polish civillaw, one may establish a structure containing elements ofdormant company. The Polish law also permits a possible incorporation of a dormant company withinthe meaning of a foreign law, in particular, where the lawto which an entity refers provides for a possiblefunctioning of such a company in the territory of thestate in which the entity has its seat.

In addition to legal and natural persons andorganizational units without legal personality (whoseowners may be identified in the National Court Registerand the Register of Business Activity), or publiccompanies (the ones listed on the stock exchange, whoseshares have been dematerialized), the publishers of pressmay be political organizations, trade unions,cooperatives, local self-government organizations, otherpublic organizations, the Catholic Church and otherreligious organizations; it is impossible to identify theshareholders of such bodies because of the character oftheir organization.

Is there an antitrust law limiting concentration in the dailypress?There are no provisions of law that explicitly limit

concentration of the daily press market, since limitationscontained in the antimonopoly law are of general natureand do not refer to the press market only.

Under the Law on Protection of Competition andConsumers, the intention of concentration of businessentities whose:

1) total global turnover of the business entitiesparticipating in the concentration exceeds theequivalent of EUR1,000,000,000 in the financialyear preceding the year of notification; or

2) total turnover of the business entities participating inthe concentration exceeds the equivalent ofEUR50,000,000 in the territory of the Republic ofPoland in the financial year preceding the year ofnotification; or

3) acquisition by a business entity of a portion ofproperty of another business entity (the whole or a portion of the enterprise), if the turnover generatedby the property exceeded EUR10,000,000 in theterritory of the Republic of Poland in any of twofinancial years preceding the notification,

is subject to notification to the President of the Officefor Protection of Competition and Consumers, whoassesses whether as a result of the concentration,competition will not be significantly limited in themarket, in particular through the arising orreinforcement of the dominant position in the market.Whether an entity holds a dominant position isexamined in particular on the basis of determination ofthe product and geographical markets, in which thegiven entity operates. The antimonopoly law does notintroduce different criteria for a local, regional or thenational market. The size and scope of the businessconducted by the given entity is decisive.

To hold a dominant position is not yet prohibited.However, it is non-permissible to abuse the said position(in particular through imposition of unfair prices,limitation of production or sale, or technical progress tothe detriment of the counterparties or consumers,application of arduous or inconsistent terms in similaragreements with third party , thus creating differentconditions of competition for the said people, etc.).

Is further regulation of media concentration expected?The Chamber of Press Publishers is not aware of anyinitiatives that might change the rules of mediaconcentration.

Source: Legal acts applicable on the territory of the Republic of Poland, including: 1) The Constitution of the Republic of Poland dated April 2, 1997; 2) The Act datedJuly 2, 2004 – the Law on Freedom of Business Activity; 3) The Act dated April 23,1964 – the Civil Code; 4) The Act dated September 15, 2000 – the Code ofCommercial Companies; 5) The Act dated January 26, 1984 – the Press Law; 6) The Act dated December 29, 1992 – the Law on the Radio and TelevisionBroadcasting; 7) The Act dated February 16, 2007 – the Law on Protection ofCompetition and Consumers; and 8) The Act dated August 20, 1997 – the Law on theNational Court Register


POLAND



Regional TV Licensees 1 No restriction No restriction No restriction No restriction No restriction

National TV Licensees 1 No restriction No restriction No restriction No restriction No restriction

RegionalNewspaper Owners No restriction No restriction No restriction No limit No restriction

NationalNewspaper Owners No restriction No restriction No restriction No limit No restriction

Satellite TVBroadcasters No restriction No restriction No restriction No restriction No restriction

Local Radio Licensees No restriction No restriction No restriction No restriction No restriction

National Radio Licensees No restriction No restriction No restriction No restriction No restriction

Foreign Investors

Acquisition/takeover ofshares/stocks by a foreign

person in a company, whichholds a concession for dis-semination of a program,requires a permit from thePresident of the National

Board of Radio andTelevision Broadcasting. The foregoing does notapply to foreign persons

or their subsidiaries, whoseseats are in the memberstates of the European

Economic Area. Additionally,the intention of concentra-

tion of business entities,whose turnover exceeds

the thresholds indicated inthe law on protection of

competition and consumersis subject to notification tothe President of the Office

for Protection ofCompetition and Consumers.The President assesses the

impact of the concentrationon the competition.


person in a company, whichholds a concession for

dissemination of a program,requires a permit from thePresident of the National









The only limitations resultfrom the antimonopoly law, and pertain to the

obligation of notification of the concentration to thePresident of the Office forProtection of Competition

and Consumers. The President assesses the


The only limitations resultfrom the antimonopoly law, and pertain to the

obligation of notification of the concentration to thePresident of the Office forProtection of Competition

and Consumers. The President assesses the



person in a company, whichholds a concession for

dissemination of a program,requires a permit from thePresident of the National









Source: Izba Wydawcow Prasy1 A concession may be withdrawn from a broadcaster, if another person takes over the direct or indirect control of the activity of the broadcaster, irrespectively

of the type of business conducted by such a person.


PORTUGAL

General economic situationEconomic growth had been above the EU average formuch of the 1990s, but fell back in 2001-08. GDP percapita stands at roughly two-thirds of the EU-27average. A poor educational system, in particular, hasbeen an obstacle to greater productivity and growth.Portugal has been increasingly overshadowed by lower-cost producers in Central Europe and Asia as a target forforeign direct investment. The budget deficit surged toan all-time high of 6% of GDP in 2005, but thegovernment reduced the deficit to 2.6% in 2007, a yearahead of Portugal’s targeted schedule. Nonetheless, thegovernment faces tough choices in its attempts to boostthe economy, which declined 0.1% in 2008, whilekeeping the budget deficit within the euro-zone 3%-of-GDP ceiling. The inflation rate was estimated at -0.9%(deflation) in 2009.

Newspaper launches / closuresPortugal’s newest daily newspaper, i, was launched inearly May 2009. The 56- to 64-page paper is tabloid sizeand stapled, so looks as much like a magazine as a newspaper. I’s circulation in August 2009 was over16,000 copies, up from just under 11,000 in its firstmonth. I has a team design team of seven, two infographic artists and a group of photographers. Thecompany hired staff through an “I want to be a journalist.com” website, starting with 1,350 candidatesand choosing and training 18 to join a seasoned staff of55 journalists. It sends teams of distributors aroundrestaurant districts at lunchtime hawking the newspaper,and is building distribution machines that will useprepaid cards.

I also has an increasingly significant web presence atwww.ionline.pt: online editor-in-chief Mónica Bello saidthat the site passed 900,000 uniques per month. Fortyper cent of content from the paper goes online, with theother 60% being exclusive to the print product. I’s website is an aggregator as well as displaying originalcontent. According to editor-in-chief Martim AvillezFigueiredo, who holds a 5 percent stake, I’s specialisedfocus on politics and economics attracts educated,ambitious readers: 69% of readers have a universitydegree, 39% are in top management. Publisher Lena

Group is committed to the newspaper for the long termand expects it to break even within five years and to fullypay off as an investment in eight years. Lena, whichinvested EUR10 million (USD14.8 million) in i, said itwas satisfied with the results so far.

Online / Digital PublishingThere were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including e-mail.

OwnershipIn May 2009 free newspaper publisher MetroInternational reported it was in advanced negotiationsfor possible sales or partial sales of its newspapers in Italyand Portugal. The step is part of the Swedish group’s“rationalisation” strategy in Europe. In Portugal, Metro’sturnover in the first quarter of 2009 fell by 48%. Like somany publishers, Metro is suffering from the collapse ofthe advertising market in the global economic crisis.

As of June 2009, SGPS, S.A, a company controlled byAlberto do Rosário, formerly of Lusomundo Media(now Controlinveste Group) is the new owner of MetroPortugal. Holdimédia bought 80% of the shares of thecompany. Before the transaction, Metro Internationalbought the remaining shares from minority shareholderMeglo Média Global, SGPS, S.A. Metro NewsPublicações S.A will hold a minority share in thePortuguese edition that will be published as a Metrofranchise.

Media / Press LawsThe constitution and law provide for freedom of speechand of the press, and the government generally respectedthese rights in practice. An independent press, aneffective judiciary, and a functioning democraticpolitical system combined to ensure freedom of speechand of the press. According to the European Federationof Journalists, the Journalist Statute requires journaliststo hand over confidential information and disclosesources in criminal cases. Thus far, however, the statutehas not been invoked and tested.


Source: CIA – The World Factbook; US State Department; L'Echo; WAN-IFRA – Editors Weblog; FDN Newsletter; The New York Times


PORTUGAL




0-14 1,747 16 912 18 835 1515-64 7,081 66 3,526 68 3,555 6565 + 1,880 18 772 15 1,108 20Total 10,708 100 5,210 100 5,498 100


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


National paid-for dailies 9 10 10 10 11 22.22 10.00Regional and local 6 6 9 9 9 50.00 0.00paid-for dailies




Total free non-dailies 9 3 6 6 6 -33.33 0.00National free non-dailies 1 1 2 2 2 100.00 0.00Regional and local 8 2 4 4 4 -50.00 0.00free non-dailies

Source: 2005 Obercom/APCT (Portuguese Association for Circulation Auditing);2006-2007 APCT (Portuguese Association for Circulation Auditing); 2008 API; L. Landerset Cardoso, Ph.D; Amavel Santos, MA (Sociology); APCT (PortugueseAssociation for Circulation Auditing); 2009 APCT; WAN-IFRA assessment (non-dailies)


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 751 862 1,065 1,170 878 16.91 -24.96Total paid-for dailies 530 536 544 558 533 0.57 -4.48

National paid-for dailies - - 500 505 481 - -4.75Regional and local - - 44 53 52 - -1.89paid-for dailies


Source: 2005 WAN assessment; 2006-2008 WAN assessment, based on APCT circulation data of respective titles; 2009 WAN-IFRA based on APCT circulationdata of respective titles


(mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total dailies 176.0 253.5 262.1 298.2 295.6 67.95 -0.87Total paid-for dailies 155.0 198.4 189.9 190.8 158.3 2.13 -17.03

National paid-for dailies 144.0 182.5 173.8 172.3 140.2 -2.64 -18.63Regional and local 11.0 15.9 16.1 18.5 18.1 64.55 -2.16paid-for dailies

Total free dailies 21.0 55.1 72.2 107.4 137.3 553.81 27.84Regional and local 21.0 55.1 72.2 107.4 137.3 553.81 27.84free dailies

Total non-dailies 980.0 177.8 168.6 184.9 189.1 -80.70 2.27Total paid-for non-dailies 12.0 18.2 20.6 23.6 21.2 76.67 -10.17National paid-for non-dailies 9.0 13.0 14.5 16.3 14.1 56.67 -13.50Regional and local 3.0 5.2 6.1 7.3 7.1 136,67 -2.74paid-for non-dailies

Total free non-dailies 968.0 159.6 148.0 161.3 167.9 -82.65 4.09National free non-dailies 783.0 149.6 137.0 148.8 165.8 -78.83 11.42Regional and local 185.0 10.0 11.0 12.5 2.1 -98.86 -83.20free non-dailies

Source: 2004 Obercom/APCT; 2005-2007 APCT (Portuguese Association forCirculation Auditing); 2008 API; L. Landerset Cardoso, Ph.D; Amavel Santos, MA (Sociology); APCT

2004 January-September 2004; 2005 Only titles audited by APCT; copies distributed, including free distribution; 2006 Only titles audited by APCT; data January-September 2006; copies distributed, including free distribution; 2007 Titles audited by APCT, exclusively; 2008 Titles audited by APCT, exclusively;copies distributed, including free distribution



PORTUGAL

(Portugal, euro, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total paid-for dailies 114.0 113.9 125.0 163.4 132.6 16.32 -18.85National paid-for dailies 106.0 108.5 123.1 160.5 129.7 22.36 -19.19Regional and local 8.0 5.4 1.9 2.9 2.9 -63.75 0.00paid-for dailies

Total paid-for non-dailies 24.0 22.5 21.4 29.2 27.9 16.25 -4.45National paid-for non-dailies 22.0 21.1 21.0 28.6 27.1 23.18 -5.24Regional and local 2.0 1.4 0.4 0.6 0.8 -60.00 33.33paid-for non-dailies

Source: 2004-2005 Obercom/APCT; 2006-2007 APCT; 2008 API; L. LandersetCardoso, Ph.D; Amavel Santos, MA (Sociology); APCT

4.b Sales revenues

(%)2004 2005 2006 2007 2008

Single copy sales - 88.0 41.9 35.0 33.0Subscriptions - 7.0 4.5 5.0 4.0Bulk (sponsored) deliveries - - - 2.0 3.0Free distribution - 5.0 53.6 58.0 60.0Total - 100 100 100 100

Source: 2005 Obercom/APCT; 2006 APCT; 2007-2008 API; L. Landerset Cardoso,Ph.D; Amavel Santos, MA (Sociology); APCT

2005-2006 Titles audited by APCT exclusively, data from January to September;2007-2008 Titles audited by APCT, exclusively


(Portugal, euro)min max

Single copy 1.00 1.30Subscription 0.81 -

Source: API; L. Landerset Cardoso, Ph.D;Amavel Santos, MA (Sociology)


(%)Reached


Source: API; L. Landerset Cardoso, Ph.D;Amavel Santos, MA (Sociology); Marktest


Age % % daily reachof readership within age group

15-17 4.6 93.218-24 14.8 96.725-34 22.2 96.635-44 20.2 92.245-54 14.2 88.655-64 12.0 80.465 + 11.8 56.2Total 100 -

Source: API; L. Landerset Cardoso, Ph.D; Amavel Santos, MA (Sociology); Marktest

5.b Age structure of readership (2008)

Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Dailies 12 32 16 22 16 33.33 -27.27Non-dailies 11 67 22 32 21 90.91 -34.38

Source: 2004 Obercom/ICS; 2005 Obercom/API (Portuguese Press Association);2006-2007 API (Portuguese Press Association); 2008 API; L. Landerset Cardoso,Ph.D; Amavel Santos, MA (Sociology)

6.a Online editions


(000)

Record Edisport – Sociedade record.xl.pt 840de Publicações Desportivas, S.A.

Correio da Manhã Presselivre – Imprensa Livre, S.A. cmjornal.xl.pt 570Jornal de Notícias Global Notícias – Publicações, S.A. jn.sapo.pt 570




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Portugal, euro, bln)2004 2005 2006 2007 2008

GDP 144.1 149.1 155.4 163.2 166.1



(Portugal, euro, 000)2004 2005 2006 2007 2008

GDP per capita 13.8 14.1 14.7 15.3 15.6



(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.61 0.58 0.58 0.56 0.50 0.50 0.52 0.54



(Portugal, euro, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 517 512 533 529 466 478 497 543Radio 56 52 51 47 42 42 42 42Cinema 7 6 6 5 4 4 4 4Outdoor 114 114 120 119 101 101 108 112Internet 5 7 13 19 21 26 29 34Total 916 906 939 928 808 819 856 918


After discounts; excludes production costs; includes agency commission; excludesclassified advertising; Internet includes all advertising formats (banners, pop-ups,interstitials etc.)



PORTUGAL

Advertiser Expenditure (Portugal, euro, 000)

Impala-Soc. Editorial LDA 15,938L’Oréal Portugal LDA 15,276Cofidis SA 12,397Grupo Caixa Geral 9,905de Depositos

Grupo Banco Espirito Santo 9,192Global Noticias 8,578Publicacoes SA

Vodafone Telecel-Commun. 7,784Pessoais SA

Telecommunicacoes Moveis 7,452Nacionais

Siva-Soc.Importadora 7,080Veiculos AutomoveisModelo Continente 6,919Hipermercados SA

Source: API; L. Landerset Cardoso,Ph.D; Amavel Santos, MA (Sociology);Mediamonitor

Data for print media

7.g Top newspaper advertisers(2008) Owner Revenue

(Portugal, euro, 000)

Global Noticias Publicacoes 140,458Presselivre Imprensa Livre 65,369Sojornal Sociedade Jor. E Edit. 59,362Metro News Publicacoes 54,883Publico Comunicacao Social 31,340Transjornal-Edicoes De Publ. 31,142St & Sf Sociedade De Publ. 26,187A Tipografica Das Beiras 20,939Edisport Soc. Publ. Desport. 14,751O Sol E Essencial 12,890

Source: Mediamonitor viaZenithOptimedia



Entertaining and cultural 8.9industry

Vehicles industry 8.1Banks and other financial 7.7institutions

Paper, graphic art 6.5and publishing industry

Home hygiene 5.2Commerce 4.1Community services 4.0Telecoms 3.7Tourism 2.9Jewellery, watches 2.8and goldsmith industry

Source: API; L. Landerset Cardoso,Ph.D; Amavel Santos, MA (Sociology);Mediamonitor

Data for print media



Lidl & Cia 1,550,041.0Globam Notícias – 112,099.0Publicações, S.A.

Metro News Publicações, Ldª 48,322.7Presselivre – Imprensa 44,483.5Livre, S.A.

Transjornal – Edição 38,318.3de Publicações, S.A.

Edisport – Sociedade de 26,913.9Publicações Desportivas, S.A.

Público - Comunicação 15,724.4Social, S.A.

Vipu ACE 13,688.2Jornalinveste – 12,002.6Comunicaçã, S.A.

Sojornal-Sociedade 6,165.1Jornalística e Editorial, S.A.

Source: API; L. Landerset Cardoso,Ph.D; Amavel Santos, MA (Sociology);APCT

Titles audited exclusively by APCT; totalcirculation per year, including free andpaid-for distribution


Title Language Publishing company Circulation Readership Format Full page ad rate Mono Colour

(000) (000) (Portugal, euro)

Correio da Manhã Portuguese Presselivre – Imprensa Livre, S.A. 122 943 Tabloid 8,000 12,000Jornal de Notícias Portuguese Global Notícias – Publicações, S.A. 91 909 Tabloid 9,000 12,600Record Portuguese Edisport – Sociedade de Publicações Desportivas, S.A. 72 660 Tabloid 5,670 8,500Público Portuguese Público – Comunicação Social, S.A. 37 366 Berliner 6,630 7,800Diário de Notícias Portuguese Global Notícias – Publicações, S.A. 34 305 Tabloid 6,900 9,660O Jogo Portuguese Jornalinveste – Comunicação, S.A. 30 434 Tabloid 2,970 4,13024 Horas Portuguese Global Notícias – Publicações, S.A. 29 212 Tabloid - -OJE Portuguese Megafin – Sociedade Editora, S.A. 27 - Tabloid - -Diário Económico Portuguese S.T. & S.F. – Sociedade de Publicações, Ldª. 15 172 Tabloid 4,735 6,185I Informação Portuguese Lena Group 13 - Tabloid - -Diário de Notícias da Madeira Portuguese Empresa do Diário de Notícias da Madeira, Ldª. 13 - Tabloid - -Diário de Coimbra Portuguese A Tipográfica das Beiras, Ldª. 10 - Tabloid - -Jornal de Negócios Portuguese Canal de Negócios – Edição de Publicações, Ldª. 11 135 Tabloid 3,335 5,000Diário As Beiras Portuguese Beirastexto – Sociedade Editora, S.A. 7 - Tabloid - -Diário do Sul Portuguese Piçarra & Companhia, Ldª. 5 - Tabloid - -Diário do Minho Portuguese Empresa Diário do Minho, Ldª. 5 - Tabloid - -Açoriano Oriental Portuguese Açormedia, S.A. 4 - Tabloid - -Diário de Aveiro Portuguese A Tipográfica das Beiras, Ldª. 4 - Tabloid - -Diário de Leiria Portuguese A Tipográfica das Beiras, Ldª. 2 - Tabloid - -Diário de Viseu Portuguese A Tipográfica das Beiras, Ldª. 2 - Tabloid - -

Source: APCT; Marktest via ZenithOptimedia; ZenithOptimedia



(year) (000) (000) (Portugal, euro)

Global Notícias 2007 Portuguese Global Notícias - Publicações, S.A. 105 - Tabloid - -Metro Portugal 2004 Portuguese Transjornal – Edição de Publicações, S.A. 1 105 639 Tabloid 9,240 11,550Jornal Destak 2 2004 Portuguese Metro News Publicações, Ldª. 99 623 Tabloid 6,900 11,500Meia Hora (Half an Hour) 3 2007 Portuguese Metro News Publicações, Ldª. 26 - Tabloid - -Diário Cidade 2007 Portuguese O Liberal, Empresa de Artes Gráficas, Ldª. 23 - Tabloid - -

Source: APCT; Marktest via ZenithOptimedia; ZenithOptimedia; FDN Newsletter1 Holdimédia - SGPS, S.A, a company controlled by Alberto do Rosário, formerly of Lusomundo Media (now Controlinveste Group) became the new owner of Metro

Portugal in 2009, holding 80% of the shares of the publishing company. Before the transaction, Metro International bought the remaining shares from minority shareholder Meglo Média Global, SGPS, S.A. Metro News Publicações S.A will hold a minority share in the company, now publishing the Portuguese edition as a Metrofranchise.

2 Launched as a free weekly in September 2001; converted into a free daily in November 2004; two editions in Lisbon and Porto; Porto edition launched in 2005; 80% distributed in public transport, 15% handed out at traffic lights

3 Meia Hora ceased publishing in July 2009



PORTUGAL

Change (%)2003 2004 2005 2006 2007 2007/03 2007/06

Total number of journalists - - - 2,037 2,294 - 12.62Number of part-time journalists - - - 265 299 - 12.83

Total number of employees - - - 5,942 6,199 - 4.33

Source: 2006 API; L. Landerset Cardoso, Ph.D; Amavel Santos, MA (Sociology);Comissão da Carteira de Jornalistas; Ministry of Social Security and Employment –Statistical Bulletin 2006; 2007 API; L. Landerset Cardoso, Ph.D; Amavel Santos, MA(Sociology); Comissão da Carteira de Jornalistas

9.a Employment


Total salary costs - - - - 77 - -

Source: Ministry of Social Security and Employment – Statistical Bulletin 2006

9.b Salaries

Change (%)2004 200 2006 2007 2008 2008/04 2008/07

4-colour newspapers 39 43 50 62 15 -61.54 -75.81Broadsheets 1 1 1 2 - - -Tabloids 38 42 49 60 37 -2.63 -38.33Other formats - - - 2 3 - 50.00

Source: 2004-2007 Obercom/APCT/API; 2008 API; L. Landerset Cardoso, Ph.D;Amavel Santos, MA (Sociology); APCT

Titles audited exclusively by APCT; data from January to September


11. Research (2008)

Circulation is audited byAPCT

Readership is measured byMarktest

MethodologyAPI, L. Landerset Cardoso, Ph.D, and Amavel Santos,MA (Sociology) have been approaching the press sectorin the most comprehensive way, in order to cover asmany areas as possible. Apart from specific sites andpublications (like the Code of Law), we personallycontacted the following entities:

GMCS – Gabinete para os Meios de ComunicaçãoSocial (Cabinet for the Media);

INE – Instituto Nacional de Estatística (Institute forNational Statistics);

APCT – Associação Portuguesa de Controlo de Tiragens(Portuguese Association for Circulation Auditing);

Marktest (audience measuring company);

API – Associação Portuguesa de Imprensa (PortuguesePress Association);

Ministério do Trabalho e Segurança Social (Labour andSocial Security Ministery);

Comissão da Carteira de Jornalistas (JournalistsProfessional Commission).

To be able to face the need for systematic data, API, L.Landerset Cardoso, Ph.D, and Amavel Santos, MA(Sociology) have consulted different national sources,then crossing data with their own database. Thedatabase has been developed for six years now and inrespect to the press sector it is divided into national andregional press.

In order to provide the requested data crossings, API, L.Landerset Cardoso, Ph.D, and Amavel Santos, MA(Sociology) have collected data from the abovementioned entities and have built a specific matrix(using SPSS – Statistical Package for the Social Sciences)to treat and obtain data that match the questionnaire,using data from APCT, the auditing association.

INE for national population data, APCT for circulationand printing verification and Marktest for audiences arethe main data suppliers for this questionnaire and theyall have different methodologies:

INEThe basis of the national data is a census, applied everyten years to all Portuguese residents. Data has been usedfrom the last census in 2001.

APCTAPCT has been a Member of the InternationalFederation of Audit Bureaux of Circulations (IFABC)since 1989. As an association, APCT only audits titlesthat have been inscribed by its associates. These can beeditors of periodic publications, advertising agencies,media purchasing centrals and advertisers. Data arepresented only to associates and they are not crossed. In2008, APCT audited 59 newspaper titles. For eachpublication, several items are audited per month,namely: circulation (average per issue), printed copies,free distribution, and sales.

MarktestFor the press sector, in terms of audiences and sharescrossed with demographic variables, Marktest publishesBareme-Imprensa. The universe of this study containsall individuals of 15+, living in Portugal (continent).

The used sample has been weighed. It is proportional interms of Sex and Day of the Week, but not in terms ofAge and Region. The last two non-proportionalitiesderive from the fact that Census 2001 (INE) revealedthat the Portuguese population is growing old andtherefore the weight of older segments was increased inthe sample; for the same reason, in urban areas, namelyLisbon and Oporto, there is an oversampling.


PORTUGAL

The sample is distributed in three applications (that isevery three months) of 5,040 interviews each, evenlydistributed by weekdays. The questionnaire isstructured, with different types of questions, closed,semi-closed and open. Thus data are collected daily andcontinuously, between 17:00 and 22:00, using CATI(Computer Assisted Telephonic Interviews).

There is a random selection of homes from a phonenumber database. The choice of the person to interviewis based upon sex and age criteria. Interviews areconducted by a team of 50 specially trained people. Allthe collected data are submitted to quality control bysupervision and for consistency validation.

Source: API, L. Landerset Cardoso, Ph.D, and Amavel Santos, MA (Sociology)

12. Taxes (2009)

Tax %



Source: API; L. Landerset Cardoso, Ph.D; Amavel Santos, MA (Sociology)


Are there subsidies for the purchase of newsprint?Yes, incentive to Readership.


Are there any direct subsidies? Yes, incentive for Multimedia Development andEntrepreneurship.



Total amount 0.97 0.34 0.27 0.34 0.31 -68.04 -8.82

2006-2007 ICS (Institute for Social Communication); 2008 API; L. LandersetCardoso, Ph.D; Amavel Santos, MA (Sociology); Cabinet for Media andCommunication (GMCS)



Post 0




PORTUGAL


Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?Yes. A brief overview of the legal framework applicableto media concentration (currently under revision)follows:

Constitution of the Portuguese Republic

According to Article 38 (Freedom of the press and massmedia), Paragraph 4, the «State shall guarantee thefreedom and independence of the mass media frompolitical and economic powers; it shall impose theprinciple of speciality upon companies that own generalinformation media; it shall treat and support thosecompanies in a non-discriminatory manner and shallprevent their concentration, in particular throughmultiple or inter-locking financial interests.»

Media Regulator

The new Media Regulator (Law No. 53/2005 of 8November 2005), called «ERC - Entidade Reguladorapara a Comunicação Social» (unofficial translation«Regulatory Entity for the Mass Media»), in substitutionof the previous «High Authority for the Mass Media»,shall guarantee the right of information and the freedomof the press (in a broad concept). The Media Regulatorshall prevent the media concentration (by «media» shallbe understood the entities engaged in media activities),with regard to the safeguard of pluralism and diversity,without prejudice of specific competences ofCompetition Regulator.

Press Act

According to the Press Act (Law no. 2/99 of 13 January1999, amended by Declaration of Rectification no.9/99, of 4 March 1999) «the general law on the defenceand promotion of competition shall apply to newspaperor press companies, namely with regard to prohibitedpractices, in particular abuse of dominant position andmergers» [Paragraph 3 of Article 4].

The State is obliged to arrange for prior and compulsoryregistration, with public access, of portuguese periodicalpublications, national journalistic companies (indicatingthe shareholders) and national news companies [Article5 « Freedom of the press »]. The registers referred to inthe preceding paragraph are ruled by the ExecutiveDecree (Decreto Regulamentar) No. 8/99, of 9th June,amended by Declaration of Rectification No. 10-BC/99, of 30th June.

The new Media Regulator – «ERC – EntidadeReguladora para a Comunicação Social», is now thepublic entity in charge of the media register; until now

the Institute for the Media (Instituto da ComunicaçãoSocial) was the public body in charge.

Periodical publications shall also contain, on a pagepredominantly filled with news reports, the registrationnumber of the title, the name, trade or company nameof the owner, the legal person registration number, thenames of the directors or similar officers andshareholders with more than 10% of the company’scapital, the domicile or head office of the publisher,printer and editorial office, and print run. [Paragraph 2of Article 15]

In journalistic companies owning periodicalpublications incorporated in the form of a limitedliability corporation, the shares shall be nominative. A list of the shareholders indicating their respectiveholdings, together with a list of the publications ownedby such companies, or by other organizations belongingto the same group, shall be disclosed in all periodicalpublications owned by such companies during themonth of April, and also forwarded to the MediaRegulator. Journalistic companies are required toinclude, in the periodical publication which they ownwith the largest print run, and until the end of the firstsemester of each year, their annual report and accounts,indicating the source of financial movements derivedfrom equity or loan capital. [Article 16]

Competition regulation

Law No. 18/2003, of 11 June, approving the legalframework for competition [in particular Chapter I(The rules of competition), Section III (Concentrationsbetween undertakings).


Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?No. There is no media cross ownership regulation. A merger of daily newspaper or periodical publisherswith a radio or television operators in the same localityshall be analysed according to the rules of Law No.18/2003, of 11 June (legal framework for competition),without prejudice of the general protection of thepluralism and diversity as foreseen in the Constitutionof the Portuguese Republic [Article 38, Freedom of thepress and mass media, Paragraph 4].

So as to guarantee disclosure and transparency in the capital structure and to avoid silent partners, is there any law or rule permitting in any event the possibility offinding out who are the actual owners of a publishingcompany?


PORTUGAL

Yes, regarding Portuguese periodical publications,national journalistic companies and national newscompanies.

As mentioned in the answer to the question No. 1, thePortuguese State is obliged to arrange for prior andcompulsory registration, with public access, ofPortuguese periodical publications, national journalisticcompanies (indicating the shareholders) and nationalnews companies [Article 5, Press Act]. The publicregister is managed by the Media Regulator «ERC -Entidade Reguladora para a Comunicação Social».

Periodical publications shall contain, on a pagepredominantly filled with news reports, the registrationnumber of the title, the name, trade or company nameof the owner, the legal person registration number, thenames of the directors or similar officers andshareholders with more than 10% of the company’scapital, the domicile or head office of the publisher,printer and editorial office, and print run. [Paragraph 2of Article 15, Press Act]

In journalistic companies owning periodicalpublications incorporated in the form of a limitedliability corporation, the shares shall be nominative.

A list of the shareholders indicating their respectiveholdings, together with a list of the publications ownedby such companies, or by other organizations belonging

to the same group, shall be disclosed in all periodicalpublications owned by such companies during themonth of April, and also forwarded to the MediaRegulator «ERC – Entidade Reguladora para a Comunicação Social».

Journalistic companies are required to include, in theperiodical publication which they own with the largestprint run, and until the end of the first semester of eachyear, their annual report and accounts, indicating thesource of financial movements derived from equity orloan capital. [Article 16, Press Act]

Is there an antitrust law limiting concentration in the dailypress?There is no specific antitrust law for the press sector inPortugal. A concentration in the daily press shall beanalysed according to the rules of Law No. 18/2003, of11 June (legal framework for competition), withoutprejudice of the general protection of the pluralism anddiversity as foreseen in the Constitution of thePortuguese Republic [Article 38, Freedom of the pressand mass media, Paragraph 4], and the legalcompetences of the Media Regulator.

Is further regulation of media concentration expected?Yes. A proposal onf a Media Concentration Law hasbeen under parliamentary discussion.



ROMANIA

General economic situation Romania, which joined the European Union on January1, 2007, began the transition from Communism in1989 with a largely obsolete industrial base and a patternof output unsuited to the country’s needs. Domesticconsumption and investment have fuelled strong GDPgrowth in recent years, but have led to large currentaccount imbalances. Romania’s macroeconomic gainshave only recently started to spur creation of a middleclass and address the country’s widespread poverty.Corruption and red tape continue to handicap itsbusiness environment. Inflation rose in 2007-08, drivenin part by strong consumer demand and high wagegrowth, rising energy costs, a nation-wide droughtaffecting food prices, and a relaxation of fiscal discipline.Romania’s strong GDP growth moderated markedly inthe last quarter of 2008 as the country began to feel theeffects of a global downturn in financial markets andtrade, and was much weaker in 2009. Romania hopes toadopt the euro by 2014. The inflation rate was estimatedat 5% in 2009.

Performance of newspapers vs. other media The independent media was active and expressed a widevariety of views without restriction. However, politiciansand others with close ties to various politicians andpolitical groups either owned or indirectly controllednumerous media outlets outside of the capital, and thenews and editorial tone of these outlets frequentlyreflected the views of the owners. The tendency towardsthe concentration of national news outlets in the handsof a few wealthy individuals continued.

Public media include Romanian Television TVR, withfour channels, public radio (four channels), and thepublic news agency, AgerPres. A multitude of privatebroadcasters, including all-news channels, haveestablished themselves. Urban areas receive a variety oftelevision stations via cable, and in recent years, morecable firms have penetrated the rural areas.

Parliament formally controls the state-owned newsagency, but its market position is rather poor. The mostimportant news agency is the privately owned Mediafax,which has been the only relevant player on the marketfor the past decade. NewsIn entered the market in 2006and challenged Mediafax. However, owner Sorin OvidiuVantu has said that he will no longer support NewsIn,calling into question its survival.

Performance of different types of newspapers More than 17 Bucharest-based daily newspapers are onthe market, and a reader can buy three to four local dailynewspapers in the main cities.

Romania has a developed market for niche publicationsand it continues to grow. Specialized magazines for IT,

vehicles, women, fashion, and pets are strongly market-oriented and flourish. Economic reporting has actuallysuffered during the financial crisis.

Newspaper launches / closuresIn 2009, 18 new editions of the free daily Adevarul deSeara were launched between February and September:Craiova, Targu Jiu, Brasov, Sibiu, Bistrita, Constanta,Ramnicu Valcea, Drobeta Tr. Severin, Alba Iulia, Braila,Buzau, Focsani, Galati, Piatra Neamt, Pitesti, Satu Mare,Slatina, and Targoviste.

Adevarul de Seara has thus been publishing 32 localeditions. Each local edition has its own staff and also hasits own frontpage. Newspaper managers say this hasjeopardized the market positions of already weakenedlocal publications.

Adevarul de Seara started with seven editions in October2008: Bucharest, Arad, Timisoara, Iasi, Cluj-Napoca,Bacau, and Oradea. In December 2008 seven moreeditions were added: Ploiesti, Resita, Deva-Hunedoara,Suceava, Botosani, Targu Mures, and Baia Mare.

Adevarul de Seara is the free evening spin-off fromRomanian paid-for morning newspaper Adevarul whichwas acquired several years ago by Dinu Patriciu, a wealthy Romanian businessman. Adevarul de Seara ispublished seven days a week and counts 16 pages in fullcolor. Total (BRAT) audited circulation of the paper was465,000 at the end of 2009.

The Hunedoara edition of free daily newspaper Expresclosed in February 2009. The last Hunedoara editionwas published on February 15, 2009.

In Bucharest, free daily Compact, owned by Swisspublisher Ringier, closed on February 26, 2009.

Advertising The economic crisis powerfully hit the media industry inRomania, with drops in advertising revenues evaluatedbetween 10 percent and 25 percent. AnAn ARBOmediaevaluation shows that the ad market reverted in 2009 tothe levels of 2005-2006 for broadcasting and of 2003-2004 for print media.

In previous years, the IREX Media Sustainability Indexhad identified state advertising as a form of hiddensubsidy. After the 2004 elections, the new governmentquickly passed a law to establish a more transparent andcompetitive mechanism to allot and pay for stateadvertising. State advertising was not considered to be athreat to media freedom in 2006 through 2008, but itreturned in 2009. A scandal occurred in 2009 when a newspaper accused the Minister for Sport and Youth,Monica Iacob Ridzi, of allocating preferentially some



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contracts that included clauses for reporting on ministryevents. While she resigned after the scandal broke, notone of the television stations that had received thesecontracts (Realitatea TV, Antena 3, Pro TV) gave anofficial explanation about the story.

Circulation The Romanian media industry has developedprofessional forms of measuring audience andcirculation for nearly all segments, including print,television, radio, and Internet. The Romanian AuditBureau of Circulation (BRAT) was founded in 1998 asan independent, not-for-profit organization to bringtogether the media outlets, ad agencies, and clientsplaying for advertisements. The advertising agencieshave set the existence of a BRAT certificate as a precondition for allocating any advertising contract.BRAT later developed the National Readership Survey(SNA), which approximates the total number of readersfor publications and establishes the demographic data.

Online / Digital Publishing There were no reported government restrictions onaccess to the Internet or substantiated reports that thegovernment monitored e-mail or Internet chat rooms.Individuals and groups could engage in the peacefulexpression of views via the Internet, including by e-mail.The Internet was widely available in the country, andcosts decreased due to competition. Internet cafes werewidely available nationwide.

Ownership Media outlets tend to be concentrated in several bigcompanies. Romania has five big conglomerates. Onesuch conglomerate is linked to Sorin Ovidiu Vantu, a highly controversial business owner that built hisfortune through a fraudulent investment fund. Vantucontrols 11 print outlets, three television stations,including the leading news channel, a radio network,and Romania’s second largest news agency.

Media owner Dinu Patriciu is a highly controversialbusinessperson and former politician. He had anaggressive investment approach but he surprisinglylimited himself to print media in a country wheretelevision stations are the most influential. Patriciu ownsthe leading quality newspaper and one leading yellownewspaper, along with five quality magazines; amongothers, the local editions of Forbes and Foreign Policy.

Adrian Sarbu controls five television stations, amongthem the most popular commercial station, Pro Tv, sixBucharest-based publications, two radio networks, and a network of local newspapers that was largelydismantled in 2009 due to the crisis, and the main newsagency.

The Voiculescu family owns five television stations, sixBucharest-based publications, and a number of radio

stations. Dan Voiculescu is the informal leader of a smallparty which is allied with the Social Democrat Party.The party is insignificant, but enters the parliamentregularly because its alliance with big parties offerspositive coverage in voiculescu’s media outlets.

A foreign company based in Switzerland, Ringier is thebiggest foreign investor in Romanian media, with threenewspapers, among them the most circulated Romaniannewspaper, the tabloid Libertatea, an economic weekly,and several magazines.

According to a report prepared by the Center forIndependent Journalism, in 2007-2008, the big fiveconglomerates controlled 45 percent of the televisionmarket (in terms of audience), with TVR controllinganother 22 percent, and 90 percent of nationalnewspapers (in terms of circulation).

Media / Press Laws The law provides for freedom of speech and of the press,and the government generally respected these rights inpractice. Journalists and private citizens could criticizegovernment authorities, including those at senior levels.There were isolated cases of authorities intimidating orcensoring the press or attacking journalists.

Laws restricting freedom of speech continued to causeconcern among the media and NGOs. Insulting stateinsignia (the coat of arms, national flag, or nationalanthem) is also an offense punishable by imprisonment;however, there were no reports of prosecutions orconvictions under these provisions during the year 2009.The religion law includes a provision that forbids acts of“religious defamation” and “public offense to religioussymbols”; there were no reports of prosecutions orconvictions under this law’s provisions during the year.

The Romanian parliament passed a law in 2006 thateliminated prison terms for libel. However, theConstitutional Court reversed this decision on thegrounds that the honor of a person cannot be defendedonly with monetary awards. The court’s decision cannotbe overruled, and makes it compulsory for theparliament to maintain libel in the penal code. To date,however, the parliament has not taken any action toreintroduce libel into the penal code. The situationcreates endless problems in practice, with judges takinginconsistent views on whether libel is within theirjurisdiction.

Romania adopted a Freedom of Information Act in2001. In 2006, the government made a significantimprovement to the law by including all nationalcompanies and state-owned firms. A comprehensivereport by the Public Policy Institute and Center forIndependent Journalism, published in 2009, showedthat 39% of citizens had heard of the law, and one outof five used it to get public information. As for


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journalists, the reports showed that all 68 journalistsinterviewed know the law and 60% use it frequently.

In February 2009 the European Court of Human Rights(ECHR) ruled that the country should pay Petre MihaiBacanu, the honorary director of the newspaperRomania Libera, 8,000 euros (USD11,000) because hisrights to freedom of speech and to a fair trial wereviolated. Domestic courts had ordered in 2003 thatBacanu and Romania Libera pay compensation to a former prime minister following Romania Libera’spublication of several articles critical of a contract henegotiated with a controversial businessman to set upthe Romanian Investment Bank.

In 2009, the Romanian government assumed theresponsibility for new penal and civil codes, essentially a way to fast-track legislation. This method givesparliament limited possibility to change drafts, butgrants it some power to stop laws from being adopted.After media NGOs protested, the government allowedthe parliament to comment. The initial drafts were notfavorable to freedom of expression, but parliamentimproved them partially following the NGOintervention.

Printing & Distribution Most of the newspapers own a printing house in order toreduce their costs. Romania has one newsprint factory,but its power to influence the market is limited due tothe easily available imports. In principle, kiosks formedia distribution are independent and free. The largestprint media distribution company, the formerly state-

owned Rodipet, is still inefficient, and quite often itgenerates financial problems for media outlets. Thegovernment privatized Rodipet with a controversialcompany that failed to relaunch it and did not respectthe terms of the privatization contract. As a result, thereare discussions now regarding renationalizing.

Starting April 6, 2009, the press distribution companyowned by the mayor of Constanta, Radu Mazare, andthe local president of the County Council, NicusorConstantinescu, blocked the distribution of Ziua deConstanta newspaper, which had criticized localauthorities.

State Support There are no direct subsidies for media outlets inRomania.

Other Factors The internal crisis of the Romanian media, with aninvestment bubble as well, was sealed by the generalcrisis of the economy. Media corporations dealtdifferently with the problem. At the beginning of 2010,Intact corporation announced a general decrease in itsemployees’ salaries of 20 percent, while Realitateacorporation made the unfortunate choice to publiclyannounce that its salaries will remain the same. But this was for a short period, and that announcementcame back to haunt the company. Later it announced a sharp decrease in salaries of 50 percent for senioreditorial positions, and journalists working for itsnewspaper, Cotidianul, were reduced to minimum wage.

Source: CIA – The World Factbook; US State Department; IREX – Media Sustainability Index 2010; FDN Newsletter




0-14 3,454 16 1,773 16 1,681 1515-64 15,495 70 7,711 71 7,784 6865 + 3,266 15 1,332 12 1,934 17Total 22,215 100 10,816 100 11,399 100




A+B 2,256 25.2 1,040 24.0 1,215 26.3C1 635 7.1 305 7.0 330 7.1C2 2,933 32.8 1,377 31.8 1,556 33.7D 1,875 21.0 1,005 23.2 871 18.9E 1,252 14.0 609 14.0 643 13.9Total 8,951 100 4,336 100 4,615 100

Source: NRS Romania


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Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 48 64 73 80 76 58.33 -5.00Total paid-for dailies 46 61 70 75 69 50.00 -8.00National paid-for dailies 17 18 19 19 18 5.88 -5.26Regional and local 42 43 51 56 51 21.43 -8.93paid-for dailiesMorning paid-for dailies 46 61 70 75 69 50.00 -8.00

Total free dailies 2 3 3 5 7 250.00 40.00National free dailies - - 1 1 2 - 100.00Regional and local 2 3 2 4 5 150.00 25.00free dailies

Total non-dailies 1 - - - - 75 - -Total paid-for non-dailies 17 - - - 41 141.18 -

National paid-for non-dailies 7 - - - 23 228.57 -Regional and local 10 - - - 18 80.00 -paid-for non-dailies

Total free non-dailies - - - - 34 - -National free non-dailies - - - - 19 - -Regional and local 2 3 2 4 5 150.00 25.00free non-dailies


Source: Romanian Audit Bureau of Circulations (BRAT)1 Weeklies, including magazines

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 1,136 1,177 1,411 1,634 1,922 69.19 17.63Total paid-for dailies 1,087 1,039 1,118 1,194 1,241 14.17 3.94National paid-for dailies 813 770 829 909 946 16.36 4.07Regional and local 274 269 289 285 295 7.66 3.51paid-for dailies

Total free dailies 49 138 293 440 681 1,289.80 54.77National free dailies - - 81 84 81 - -3.57Regional and local 49 138 212 356 600 1,124.49 68.54free dailies

Total non-dailies 1 - - - - 4,334 - -Total paid-for non-dailies 240 233 216 198 722 200.83 264.65

National paid-for non-dailies 2 127 125 116 113 651 412.60 476.11Regional and local 113 108 100 85 71 -37.17 -16.47paid-for non-dailies

Total free non-dailies - - - - 3,612 - -National free non-dailies - - - - 3,410 - -Regional and local - - - - 202 - -free non-dailies


Source: Romanian Audit Bureau of Circulations (BRAT)

Figures refer only to the titles that are audited by BRAT; figures available for 43titles in 2003, 56 titles in 2004, 66 titles in 2005, 77 titles in 2006, 95 titles in 2007,96 titles in 2008, and 148 titles in 20091 Weeklies, including magazines2 National paid-for weeklies


(%)Reached

All adults 52.6 1

Men 59.5 2

Women 46.3 3

Main household shopper 50.6 4

Source: NRS Romania1 For all urban areas: 47.8%2 For all urban areas: 54.5%3 For all urban areas: 41.6%4 For all urban areas: 46.1%



group

14-24 18.6 42.125-34 22.8 47.935-44 22.3 51.245-54 21.2 50.355-64 15.1 47.7Total 100 -

Source: NRS Romania



(000)

Libertatea Ringier Romania libertatea.ro 1,423Gazeta Sporturilor Gazeta Online gsp.ro 1,338Cancan Cancan Media cancan.ro 1,292Evenimentul Zilei Editura Evenimentul evz.ro 1,163

Zilei si CapitalGandul Apropo Media gandul.info 1,073Jurnalul Nacional Editura Intact jurnalul.ro 986Adevarul Adevarul Holding adevarul.ro 964ProSport Apropo Media prosport.ro 892Click! Adevarul Holding click.ro 781Romania Libera Societatea R romanialibera.ro 485

Source: SATI

December 2009


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Romania, new leu, bln)2004 2005 2006 2007 2008

GDP 238.7 287.2 342.4 404.7 503.9

Source: National Institute of Statistics


(Romania, new leu, 000)2003 2004 2005 2006 2007

GDP per capita 9.1 11.3 13.3 15.9 17.7



(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.31 0.34 0.36 0.41 0.30 0.33 0.40 0.42




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(Romania, new leu, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 553.6 748.7 955.4 1,303.0 900.0 990.0 1,287.0 1,415.0Radio 58.8 79.8 85.3 122.0 84.0 93.0 111.0 122.0Cinema 6.8 8.2 8.3 10.0 7.0 7.0 8.0 10.0Outdoor 81.3 101.5 132.2 210.0 150.0 165.0 198.0 218.0Internet 8.2 15.8 42.8 73.0 54.0 65.0 85.0 127.0Total 906.6 1,184.1 1,477.1 2,013.0 1,361.0 1,494.0 1,899.0 2,135.0

Source: TNS-AGB; Alfa Cont SRL; ZenithOptimedia

After discounts; excludes classified; excludes production costs; excludes agencycommission; Internet includes all forms of paid advertising (banners, skyscrapersetc.); exchange rate used: USD1 = RON2.53 (2008 exchange rate)


(Romania, leu in 2004, new leu in 2005-2008, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total paid-for dailies 4,472,365.4 485.5 549.7 695.3 790.5 -99.98 13.69National paid-for dailies 2,802,987.0 276.1 306.1 394.7 435.2 -99.98 10.26Regional and local 1,669,378.4 209.4 243.6 300.6 355.3 -99.98 18.20paid-for dailies

Source: Alfacont Mediatrack

Rate card values, classified ads excluded; the following advertising categoriesexcluded: newspapers and magazines, TV stations and radio stations; rate cardfigures (before discount); typical percentage discount available to advertisers fromrate card is around 50% in national dailies and sometimes amounts to 90% inlocal newspapers.



In colour 24,260 31,284 38,835 43,805 47,232Total 59,875 69,021 74,276 78,458 84,787

Source: Alfacont Mediatrack. The following advertising categories excluded:Newspapers and magazines, Radio stations, TV stations

Data cover national dailies and Sundays, and local dailies and weeklies



(%)2004 2005 2006 2007 2008

Display 99.42 99.13 99.09 98.79 99.46Inserts 0.58 0.87 0.91 1.21 0.54Total 100 100 100 100 100


Following advertising categories excluded: Newspapers and magazines, TV stations, Radio stations; no data available for online and classifieds revenues

Advertising sector Expenditure % of display (Romania, new leu, 000) ad revenue

Political parties 1 66,075.8 8.4Mobile telecommunications 61,285.7 7.8Banks and banking services 52,820.7 6.7Real estate 44,447.9 5.6Cars 43,372.0 5.5Stores, commercial centres, supermarkets 33,264.9 4.2Governments/municipalities 31,871.2 4.0Books 24,953.4 3.2Buildings 15,789.9 2.0Brand group advertising – 15,749.7 2.0automotives/motorcycles/boats


Figures for national dailies and Sundays and regional dailies and weeklies;following advertising categories excluded: newspapers and magazines, TV stations, radio stations1 2008 was an election year in Romania (local and parliamentary elections)

7.f Top newspaper advertising categories (2008)

Advertiser Expenditure % of display % of advertising(Romania, ad revenue expenditure

new leu, 000)

Vodafone 30,230.0 3.8 3.8Orange 27,067.5 3.4 3.4Partidul Democrat Liberal (PD-L) 21,774.3 2.8 2.8Partidul National Liberal 18,690.4 2.4 2.4Romtelecom 14,967.6 1.9 1.9Banca Comerciala Romana 9,947.9 1.3 1.3Partidul Social Democrat 9,251.2 1.2 1.2Renault Nissan Romania 8,742.1 1.1 1.1Alianata PSD-PC 7,079.1 0.9 0.9Automobile Dacia 6,507.4 0.8 0.8


Figures for national dailies and Sundays and regional dailies and weeklies;following advertising categories excluded: newspapers and magazines, TV stations, radio stations

7.g Top newspaper advertisers (2008)

Publishing Total circulation Titles Newspapercompany (000)

Ringier Romania 639 2 2 national paid-for dailies, 2 national paid-for Sundays, 1 national paid-for weekly, 1 local free daily

Adevarul Holding 277 - 2 national paid-for dailies, 2 national paid-for Sundays, 1 national paid-for weekly

Intact 255 - 2 national paid-for dailies, 2 national paid-for Sundays, 1 national paid-for weekly

Inform Media 158 - 5 local paid-for dailies, 4 local free dailies, 3 local paid-for weeklies

Media Pro 152 - 3 national paid-for dailies, 1 local paid-for daily, 5 local paid-for weeklies, 1 national paid-for Sunday

Cancan Media 101 - 1 national paid-for dailyConfort Media 95 - 1 local free dailyDramiral Media Group 84 - 1 national free dailyRealitea Catavencu 54 - 2 national paid-for dailies,

1 national paid-for weeklySocietatea “R” 53 - 1 national paid-for daily

Source: BRAT (Romanian Audit Bureau of Circulations)



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Title Language Publishing company Circulation Readership Cover price Format Full page ad rateusual max usual max Mono Colour

(000) (000) (Romanian new leu) (USD) (Romanian new leu)

Click! Romanian Adevarul Holding 213 538 0.50 0.70 0.18 0.25 Tabloid 15,181 24,604Libertatea Romanian Ringier Romania 191 1,379 0.55 0.70 0.19 0.25 Tabloid 21,003 30,103Adevarul Romanian Adevarul Holding 115 402 1.00 11.00 0.35 0.39 Berliner 17,002 26,003Cancan Romanian Cancan Media 83 646 0.50 - 0.18 - Tabloid 18,862 18,862Gazeta Sporturilor Romanian Intact 62 774 0.90 1.10 0.32 0.39 Tabloid - 33,151Jurnalul National Romanian Intact 61 695 1.00 9.00 0.35 3.18 Berliner 19,052 29,341ProSport Romanian Media Pro 47 619 0.90 1.10 0.32 0.39 Tabloid - 29,722Romania Libera Romanian Societatea “R” 46 256 1.00 9.90 0.35 3.50 Broadsheet 12,392 22,893Evenimentul Zilei Romanian Ringier Romania 34 558 1.00 1.20 0.35 0.42 Broadsheet 13,119 23,895Gazeta de Sud Romanian Media Sud Management 22 196 1.20 - 0.42 - Broadsheet 8,135 19,281

Source: NRS Romania, October 2007 – October 2008; BRAT (Romanian Audit Bureau of Circulations)



Adevarul de Seara 1 2008 Romanian Adevarul Holding 432 -Compact Bucuresti 2 2006 Romanian Ringier Romania 150 TabloidRing 2008 Romanian Confort Media 100 TabloidScanteia - Romanian Editura Intact 61 -Expres 3 2005 Romanian Inform Media 51 A4Curentul 2007 Romanian Dramiral Media Group 20 TabloidBrasovul tau - Romanian Ziarul meu SRL 13 -

Source: Romanian Audit Bureau of Circulations (BRAT); FDN Newsletter1 Including 34 editions in 20092 Compact Bucuresti ceased publishing on February 26, 20093 Including four editions in 2009 in Arad, Cluj, Hunedoara, and Timisoara;

the Hunedoara edition closed down on February 15, 2009


11. Research (2009)

Circulation is audited byBRAT – Biroul Roman de Audit al Tirajelor (RomanianAudit Bureau of Circulations)

Readership is measured byBRAT – National Readership Survey (SNA Focus)

MethodologyContinuous survey conducted on a sample of 22,000interviews per year. The results of the survey arepublished quarterly, always on an annual basis (rollingover). The universe of the study consists of individualsaged 14-64, all urban.


12. Taxes (2009)

Tax %









Is there an antitrust law limiting concentration in the dailypress? Yes, but restrictions are unclear.

Is further regulation of media concentration expected? Perhaps – no details yet.



RUSSIA

General economic situation Russia has undergone significant changes since thecollapse of the Soviet Union, moving from a globally-isolated, centrally-planned economy to a more market-based and globally-integrated economy. Economicreforms in the 1990s privatized most industry, withnotable exceptions in the energy and defense-relatedsectors.

Russian industry is primarily split between globally-competitive commodity producers and other lesscompetitive heavy industries that remain dependent onthe Russian domestic market. In 2009 Russia was theworld’s largest exporter of natural gas, the second largestexporter of oil, and the third largest exporter of steel andprimary aluminum.

The reliance on commodity exports makes Russiavulnerable to boom and bust cycles that follow thehighly volatile swings in global commodity prices. The government since 2007 has embarked on anambitious program to reduce this dependency and buildup the country’s high technology sectors, but with fewresults so far. A revival of Russian agriculture in recentyears has led to Russia shifting from being a net grainimporter to a net grain exporter.

The economy had averaged 7% growth since the 1998Russian financial crisis, resulting in a doubling of realdisposable incomes and the emergence of a middle class.The Russian economy, however, was one of the hardesthit by the 2008-09 global economic crisis as oil pricesplummeted and the foreign credits that Russian banksand firms relied on dried up. The Central Bank of Russiaspent one-third of its USD600 billion internationalreserves, the world’s third largest, in late 2008 to slow thedevaluation of the ruble. The government also devotedUSD200 billion in a rescue plan to increase liquidity inthe banking sector and aid Russian firms unable to rollover large foreign debts coming due.

The economic decline appears to have bottomed out inmid-2009 and by the second half of the year there weresigns that the economy was growing, albeit slowly. Long-term challenges include a shrinking workforce, a highlevel of corruption, and poor infrastructure in need oflarge capital investment.


Performance of newspapers vs. other media Of the six national television stations, the federalgovernment owned one and had a controlling interest inone other. State-owned or affiliated companies ownedcontrolling interests in three others, and the Moscowcity administration owned the sixth. Approximately two-thirds of the 2,500 other television stations in the

country were completely or partially owned by thefederal and local governments. As a result, the mediaoften constrained editorial content, in particular, thatwhich was critical of the government.

The government maintained ownership of the largestradio stations, Radio Mayak and Radio Rossiya, both ofwhich adhered to government positions in their newsreporting. Ekho Moskvy radio, despite being majority-owned by the state corporation Gazprom, providedbalanced coverage and independent editorial comments,often sharply critical of the government, and provided a platform to members of opposition.

The government also owns the national news agenciesITAR-TASS and RIA-Novosti. Interfax is the onlyprivately-held news agency.

In June 2009 Russian news agencies RIA Novosti andInterfax launched a joint project to provide coverage ofimportant national news with around 600 regionalmedia. Deputy Minister Alexander Zharov of theCommunications Ministry said that the move was a decision to support a struggling regional media.Regional media will be able to subscribe for free.Alongside news stories, subscribers will also be able to receive photos, videos and inforgaphics. Thesubscription is available at fedpaket.ru.

Performance of different types of newspapers The global financial crisis had a serious impact on Russianprint media in 2009. The consumer activity of thepopulation dropped significantly. Advertising revenues felland print outlets had to optimize costs. The first wave ofclosures of non-profitable projects occurred in the autumnof 2008. The year 2009 saw very little bankruptcies. Costreduction steps were undertaken by players on the marketat the end of 2008, and were finished by mid-2009.Publications reduced volumes, shifted to cheaper paperand printing services, reduced personnel and outsourcedsome of their functions. National outlets closed downsome of their affiliated regional offices.

Market leaders increased their market shares. All majorplayers secured their business and stayed on the market.Both competition and search of new business modelsincreased. Publishers paid more attention to new mediaand openings but the Internet market has yet to becomea major source of funding.

By the end of 2009 new launches resumed, includingnew and special projects. The number of pages ofparticular editions grew.

In Russia’s regions, the situation is improving at a slowerpace than in Moscow, but all major national networksretained their operations, albeit at a slower pace.



RUSSIA

There are virtually no evening newspapers in Russia, andthere are also no Sunday newspapers. This is due tonational habits and, not least, the problems of logisticsand distribution. There is still a lack of strong local andregional daily brands, which in most regions werereplaced by Moscow-based newspaper chains withlocalized content, like KP, Tvoy Den, or RossiyskayaGazeta. In 2009 very few regional affiliates of federalpress were closed.

Local and regional newspapers in many cases exist onfinancial subsidies from local authorities; hence they canhardly be considered real market actors. Most of themare old-fashioned and of considerably low quality, andare unsuccessful in attracting advertising. In 2009, partsof government subsidized publications closed.

The most successful local newspapers are publishedweekly. Pure advertising titles (shoppers) are usuallyprofitable. The latest trend is that many of them, facingcompetition from other titles and local TV channels,have started to add editorial content, hence converting into ‘normal’ newspapers. Considering thatthey are often free, this conversion may become a foundation for shaping a whole new segment of thelocal free press.

As yet, there are not many genuinely free newspapers inRussia. Those which exist have proved to be veryprofitable.

Newspaper launches / closuresMarket leaders remained in the market, while a numberof non-viable, subsidized or sponsored projects,including regional ones, were closed. Some newfranchises of national chains were launched during2009.

The most notable relaunch has been that of Metro byMetro International.

In the regions, primarily new free weeklies werelaunched:

The free news weekly Pro Gorod launched regionaleditions in Kazan, Vladimir and Ioshkar-Ola.

In Moscow, the free newspaper ‘Dom. Kvartira. Dacha.’began to be published twice a week.

In the Amursk region, the full-coulour weekly‘Poputchik, Vsegda v Puty’ appeared.

In Kaliningrad, the new weekly ‘Vechernyi Tramvai’ isdistributed in trams in addition to traditional points ofdistribution.

In St.Petersburg, ‘Podrobno o zdorovie’ newspaper waslaunched.

In Ekaterinburg, the Sport weekly newspaper waslaunched.

On September 18, 2009, The New York Timesannounced the launch of its international weekly newssupplement in Novaya Gazeta in Russia. The section,which will be published in Spanish and Russianrespectively, joins a global network of newspapers thatcarry the international weekly, first introduced in 2002.The international weekly retains the layout andtypography of The New York Times and includes newscoverage, features, commentary, colour photos andgraphics about the United States, world affairs, business,culture and social trends. It is prepared in New York bya team of editors and designers from The New YorkTimes News Service. Novaya Gazeta is published threetimes a week in Russia and throughout Europe.

In November 2009, the oldest newspaper in MurmanskOblast, Polyarnaya Pravda, temporarily shut downproduction because of financial difficulties. Thenewspaper had been experiencing financial hardships forsome time. During summer 2009 the number of weeklyissues was cut down from four to three, and the numberof pages had been reduced. Polyarnaya Pravda has beenpublishing since 1920. The newspaper does not receiveany state support and lives off its own revenues.

Advertising According to the Russia’s Association of CommunicationAgencies (RACA), the advertising market in Russiadropped by 26 per cent in 2009. The overall above-the-line (ATL) budget in 2009 was 204.2 billion roubles.

Printed media saw the biggest fall by -43%. Newspapersfared somewhat better (-35%) than magazines (-41%)and free adsheets (-54%).

The only segment that has shown growth is Internetadvertising.

In 2010, the situation is beginning to improve ascategories such as financial and insurance services, foodproducts, and pharmacy begin to show growth.

Weekly newspapers showed positive dynamics, growingby 9% in the fourth quarter of 2009 compared to thesame period in 2008.

TV guides showed significant growth at the beginning of2010.

The pace of reduction in daily newspapers and weeklymagazines slowed, while monthlies’ dynamics havestabilized.

ZenitOptimedia predicts the media market will restoreitself earlier than other markets. For 2010, the predictionis a 5% growth for the press compared to 2009.


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On television, advertising cannot exceed 15 minutes perhour in most cases; radio advertising is limited to 20percent of airtime; and print advertisements (except inprint media registered as advertising circulars) arelimited to 40 percent of copy space.

In 2009 regional Russian business newspaper formed anadvertising promotion unit to attract nationaladvertising. The Regional Business Press Union, a subsidiary of the Alliance of Independent RegionalPublishers, directly communicates with advertisinghouses and agencies to promote regional businessnewspapers as a united advertising vehicle. Eightnewspapers are currently members, with a combinedcirculation of 103,800 copies.

In February 2010, Russian-language newspapers MoiRayon, distributed in Moscow and St. Petersburg onweekends, as well as Moscow’s daily Metro, announced a joint advertising venture titled ‘Seven Days a Week.’The publications claim that fusing two separatedistribution systems (the subway for Metro and largesupermarket chains for Moi Rayon) would provideadvertisers with maximum access to a desired audienceon any day of the week. According to Lenta.ru, thecombined audience of the two outlets amounts to 1.2million. Moi Rayon has 557,000 readers in Moscowwhile Metro has 775,300.

Circulation The National Circulation Service (NCS), established in1998 as a not-for-profit organization, audits and certifiesprint runs and circulation of print publications. To becovered by NCS, a media outlet has to become a member and pay an annual fee. By the end of 2009, NCS had 572 members. According to Anna Koshman, executive director of the Alliance ofIndependent Regional Publishers in Moscow, majorplayers in the press market were dissatisfied with NCSand decided to establish an alternative circulationservice.

In the summer of 2009, a number of national mediaoutlets severed relations with the National CirculationAudit Service.

At the beginning of 2010, the formation of a new ABCRussia according to the standards of the InternationalFederation of Audit Bureaus of Circulation (IF ABC)was underway. The launch is planned for 2010. Thefounders-to-be are industrial associations of publishers,advertisers and distributors. One of the objectives of thenew ABC Russia is to present print-run data for officialstatistics and international directories.

Readership In 2009, newspaper penetration fell from 11.3% in2008 to 9.3%, according to TNS.

Local measurements have significantly reduced in scope.However, the Guild of Press Publishers (GIPP) arrangedfor the first study about the press in Russia’s 10 largestcities in 2009.

Publishers are seriously considering modeling audiencesof publications based on the results of circulation auditsdue to the integration of online and offline audiences.

Online / Digital Publishing The government did not restrict access to the Internet.Individuals and groups could generally engage in thepeaceful expression of views via the Internet, includingby e-mail, but traffic was reportedly monitored by thegovernment. The government continued to requireInternet service providers to install, at their own expense,a device that routes all customer traffic to a FederalSecurity Service terminal called the “system foroperational investigative measures” that enabled policeto track private e-mail communications and monitorInternet activity. There appeared to be no mechanism toprevent Federal Security Service access to the traffic orprivate information without a warrant.

In contrast to other forms of media, the law does notrequire websites to register as mass media, andunregistered websites were not subject to administrativesanctions. Internet forums, including blogging services,continued to serve as the most open media vehicle in thecountry for expressing political views. However,individual postings on the Internet were subject to thesame restrictions that applied to other types ofexpression, and some bloggers were investigated orcharged for their Internet postings based on extremelybroad definitions of legally prohibited activities, such as “extremism” or inciting hatred as well as for libel. In addition, the law allows authorities to holdbloggers liable for comments that others post on theirblogs.

Russia has several minority-language media outlets,which are often funded by the state. Examples includeVatanym Tatarstan in Tatar (www.vatantat.ru), Khyparin Chuvash (www.hypar.ru), and Khanty Yasang inKhanty (www.eduhmao.ru).

There is a growing interest in developing newspaperwebsites, including those in the regions. Some outletshave dropped paper versions in favour of online editions.

Most market leaders have been considering runningonline and digital publishing projects. Some, includingKommersant and Komsomolskaya Pravda dailies, havelaunched new radio stations.

Many market players use the Internet to extend theirbrands and expand newspaper audience by launchingnew projects, such as interest clubs and issue-communities.


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Many publishers have begun producing audio and videopodcasts, turning their websites into full-scale newsportals.

Most advanced publishers have been testing, amongother things, digital products for the iPhone and iPad.

In January and June of 2009, Russian news agency RIANovosti introduced a series of lectures and seminars totrain staff in multimedia technology for video recordingand photo imaging, infographics, Internet searchengines, “black PR” and legal risks in the media. The training culminated in two-week multimediacourses held at a summer school in the Moscow Region.The agency’s editor-in-chief said RIA Novosti believedinvesting in training programs that improve staff skills isthe most effective anti-crisis program for media outlets.Many of these independent newspapers are part ofmedia holdings that include other newspapers and oftenother media, e.g. radio and Internet projects.

In May 2009, Internet investment group Digital SkyTechnologies (DST) invested USD200 million inFacebook for a 1.96% equity stake through preferredstock at a USD10 billion valuation. DST, a globalinvestment group that holds large stakes in EasternEuropean and Russian Internet businesses, will not gainseats on Facebook’s board or hold special observer rights,in accordance with Facebook’s normal practices. DSTmay buy at least USD100 million worth of Facebook’scommon stock from existing stockholders to helpliquidate current and former employees’ vested shares inthe social networking site, according to Facebook’sannouncement. DST is based in London and Moscowand is run by CEO Yuri Milner and his partners,Gregory Finger and Alexander Tamas. Milner was theCEO of Mail.ru. Finger previously led the Moscowoffice of the multibillion-dollar hedge fund NCH, andTamas headed Internet and software coverage forGoldman Sachs’ investment banking division. The threepartners hold interests in Mail.ru, Forticom, andVKontakte, and other European Internet properties.DST’s main assets draw more than 70% of all page viewson the Russian-language Internet, and its socialnetworks reach than 350 million social networking siteusers in more than 13 countries. The privately heldcompany was formed in 2005.

According to a bill posted on the Justice Ministry’swebsite in late September 2009, Internet providersoperating in the Russian segment of the web will beforced to give information about their users to lawenforcement agencies. Neither the bill nor an attachedmemorandum indicated what kind of information theproviders would be obliged to hand over. The legislationcalls for fines to be levied on offending parties for nothanding over the required information. The fines rangefrom RUB1,500 to RUB2,000 (USD49 to USD66) forcitizens, from RUB3,000 to 4,000 (USD103 to

USD138) for officials, and from RUB 30,000 to 40,000(USD1,035 to USD1,380) for firms. In addition, thelegislation calls for criminal charges to be filed againstthose suspected of tampering with state web sites.Misusing or tampering with material on state web sitescould result in a fine of RUB 200,000 to 500,000(USD6,905 to USD17,264) or up to three years inprison. If the same crime is carried out by a group or a person with access to state information systems, thelaw calls for three to seven years in prison.

In January 2010, the Moscow Arbitration Courtawarded Forbes and its Russian publisher, Axel SpringerRussia, a record USD300,000 in damages and the rightsto Forbes.ru in a landmark cyber squatting ruling.Forbes and its Russian publisher, Axel Springer Russia,sued Landmark VIP Services, which advertises travelpackages on Forbes.ru, for the unauthorised use of themagazine’s trademark in its web address. The MoscowArbitration Court awarded Forbes USD300,000 indamages, the largest compensation payout to date in a Russian case of its kind. Cyber squatting legislationin Russia has often resulted in awarding of nominalsums, and the Forbes case could mark a departure fromthat precedent.

Ownership No significant mergers and acquisitions occurred in2009. There is a trend towards consolidation andincreasing market shares of market leaders.

Russia is a country of media conglomerates because thismodel is more effective economically. According to the2008 data of the Federal Agency for Press and Mass Communications, about 50 national mediaconglomerates accounted for 50 percent of all circulatedcopies and 70 percent of advertising revenue. There arealso 100 to 110 regional companies that generate 30percent of circulation and 20 percent of advertisingrevenue.

While the largest daily newspaper, MoskovskyKomsomolets, was independently owned, otherinfluential national newspapers, including Izvestiya,Rossijskaya Gazeta, and Kommersant, were owned bythe government, persons affiliated with the government,or state-owned companies. In addition, the Ministry ofDefense owned the newspaper Krasnaya Zvezda. Morethan 60 percent of the country’s 45,000 registered localnewspapers and periodicals were owned by thegovernment or state-owned companies.

In May 2009, the government-affiliated Bank Rossiyapurchased a controlling stake in newspaper Izvestiyafrom state-owned Gazprom.

In 2009 Metro International acquired 58.5% of theshares and capital in the St. Petersburg Metro.


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Foreign investment in Russian media is still relativelylow. Initially, investment was concentrated in themagazine segment, but now foreign investors have takenan interest in newspapers. The European media groupSchibsted publishes Moy Rayon, and the German WAZMedien Gruppe has a share in a publishing house,Novosti Regionov, which owns and operates newspapersin several regional capitals.

Media / Press Laws The constitution provides for freedom of speech and ofthe press; however, in practice government pressure onthe media persisted, resulting in numerousinfringements of these rights.

Some regional and local authorities took advantage ofthe judicial system’s procedural weaknesses and overlybroad laws to detain persons for expressing views criticalof the government. With some exceptions, judgesappeared unwilling to challenge powerful federal andlocal officials who sought to prosecute journalists. Theseproceedings on occasion resulted in high fines.

In Russia, libel is a criminal offense. According to Article129 of the criminal code, dissemination of libel in themass media can be penalized by a fine, communityservice, arrest, or a prison sentence of up to three years.

The civil code contains articles dealing with defamationas well. Offended parties must prove malice, but publicofficials are not held to higher standards. Courts oftenmake decisions in favor of officials despite the evidence.

Each media enterprise has to register with the FederalService for the Oversight of Communications,Information Technology, and Mass Communications,but the registration procedure is easy and the fee isaffordable. For example, the fee to register a nationalnewspaper is RUB2,000 (less than USD70) and the feeto register a regional or local newspaper is RUB1,000(USD35). However, entry into the television marketmight be restricted by the availability of frequencies.

A 2007 law expanded the definition of extremism andprovided law enforcement officials with broad authorityto suspend media outlets that did not comply withrestrictions.

A warning to the media, first issued in 2006, againstreferring to the National Bolshevik Party withoutindicating that it was banned remained in place in 2009.The media were informed that omitting the fact that theparty was illegal could be considered dissemination offalse information and lead to the “application ofrestrictive, precautionary, and preventive measures.”

Russian law guarantees all journalists access to publicinformation, but in practice, this information is notavailable readily. In 2009, the Glasnost Defense

Foundation registered 290 cases denying journalistsaccess to information, up slightly from previous years.

In 2009, the Duma (federal legislative body) enacted a law guaranteeing all state television and radio stationsequal coverage of each parliamentary party’s activities.

Government officials occasionally responded to negativecoverage by taking legal action against journalists andmedia outlets. Although the law prohibits courts fromimposing damages in libel and defamation cases thatwould bankrupt a media organization, one NGOreported that local courts did not always follow this inpractice.

In April 2009 the Basmanniy Court in Moscow orderedthe newspaper Novaya Gazeta and journalist VyacheslavIzmaylov to pay 110,000 rubles (USD3,640) to settle a libel case filed by Chechen president Kadyrov inconnection with reports the newspaper published in 2008 on abductions in Chechnya.

Chechen authorities in April 2009 announced the liftingof all restrictions on the work of journalists in therepublic as a result of the formal completion of the counterterrorist operations there. In contrast withprevious years, there were no known detentions ofreporters in Chechnya during the year. In practice,however, journalists in Chechnya continued to facepressure and restrictions.

On June 15, 2009, authorities sued to shut down theindependent Dagestan weekly Chernovik because of itsalleged support for extremist views. At the same time,the newspaper’s editor in chief, Nadira Isayeva, andseveral reporters were charged with inciting interethnichatred. In July 2008 the General Prosecutor’s Officeopened a criminal investigation of Isayeva on charges ofpublishing articles that “called for extremist activities”and “incited hatred or enmity on the basis of ethnicity.”The articles that led to the charges had allegedwidespread corruption in the Dagestan Ministry ofInternal Affairs.

In August 2009 the Prosecutor’s Office in Sayano-Shushenkskaya opened a libel case against bloggerMikhail Afanasyev, editor-in-chief of the onlinepublication New Focus, for his reporting about anaccident that killed 75 workers at a local hydroelectricplant owned by the state-run power companyRusHydro. Afanasyev tried to verify official death countsindependently and questioned the adequacy of therescue effort. Rights activists criticized the governmentfor initiating the libel case, and in August prosecutorsdropped it.

On October 6, 2009, a district court in Moscow ruled infavour of Chechen president Kadyrov in a civil libel caseagainst Oleg Orlov of the NGO Memorial for accusing


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Kadyrov of complicity in the killing of human rightsactivist and journalist Natalya Estemirova. On October20, 2009, a criminal complaint brought by Kadyrovagainst Orlov was registered with the Moscow CentralDirectorate for Internal Affairs, under article 129 of thecriminal code (“slander”), which allows for fines andimprisonment. On September 3, 2009, the publicprosecutor refused to register the complaint; however, onSeptember 8, 2009, Kadyrov successfully appealed therefusal.

As of year’s end, the Samara edition of Novaya Gazetaremained unable to publish, pending the conclusion of a court case in which Sergey Kurt-Adzhiyev, the editor of the local edition, was fined 15,000 rubles (USD496)for using unlicensed software on his office computer.Kurt-Adzhiyev appealed the sentence, and the courtordered further examination of the case, which turnedup violations committed by the prosecutors as well asnew evidence. In March 2009 the court returned thecase to the prosecutors.

In October 2008 the State Duma Security Committeepassed an amendment to the law that would enableauthorities to close any organization deemed extremistby submitting charges to the court, which could not bechallenged by the organization. In November 2008, inthe context of rising concerns over the economy, theGeneral Prosecutor’s Office announced that it wouldmonitor the media for any “damaging” reports thatmight exacerbate the financial crisis.

In August 2009 the Justice Ministry published an updateof its list of “extremist” materials with 414 newadditions. The additions included, among others, a picture of Winnie the Pooh wearing a swastika, a flagwith a cross, and the popular Web site Samizdat, whichRussian researchers use for neutral information in amanner similar to Wikipedia and which had more than500,000 subscribers.

Officials or unidentified individuals sometimes usedforce or took extreme measures to prevent the circulationof publications that were not favored by the government.On February 20, 2009, police in Severodvinsk,Arkhangelsk region, seized 150,000 copies of thenewspaper Pravda Primorya, published by the localbranch of the Communist Party. The issue carriedarticles related to the upcoming elections for the locallegislative assembly.

On the night of March 5, 2009, police in Petropavlovsk-Kamchatskiy entered the apartment of VladimirVasilchenko, editor-in-chief of newspaper Ekspress-Kamchatka, without presenting a search warrant andseized copies of the newspaper’s latest issue. According toVasilchenko, police claimed that the newspaper’scriticism of the city government was “disruptive” to theongoing mayoral election campaign. On March 10,

2009, representatives of incumbent mayor VladislavSkvortsov, a candidate in the election, went to the plantwhere the newspaper was printed and warned that theywould confiscate the issue in accordance withinstructions they received from local election authorities.Vasilchenko did not send the newspaper to print.

In April 2009 authorities issued warnings to massinformation Internet websites against negative coverageof government news. In 2008 authorities issued twoofficial warnings to the Yekaterinburg-based online newspublication URA.ru because of comments posted byreaders, which authorities deemed extremist. Under thelaw two warnings issued in the course of one year allowcourts to shut down the media outlet. URA.rucontinued to operate at the year’s end.

In October 2009 Nashi youth group filed libel lawsuitsagainst four foreign newspapers, including Britain’s TheIndependent and France’s Le Monde, for reportscomparing the pro-Kremlin youth group to Hitleryouth, bandits and nationalists. The reports werepublished late September 2009 and early October 2009in The Independent, Le Monde, France’s Le Journal DuDimanche, and Germany’s Frankfurter Rundschau. Thearticles spoke about Nashi’s public campaign againstjournalist and human rights activist AlexanderPodrabinek for his criticism of World War II veterans.Nashi filed the lawsuits in Moscow’s SavyolovskyDistrict Court. According to the group’s lawyer, SergeiZhorin, Nashi wants public retractions of the phrasesthat it deems offensive and damages of RUB500,000(USD17,260) from each of the newspapers.

On December 1, 2009, a Moscow court ordered liberalpolitician Boris Nemtsov to pay the city’s powerfulmayor the equivalent of USD17,100 in libel damages.The court on November 30, 2009, also ordered therespected Kommersant daily to pay Mayor YuryLuzhkov another USD17,100 for publishing aninterview with Nemtsov repeating some of hiscorruption allegations against the mayor. Both Nemtsovand the newspaper will have to retract the statementsdeemed libellous. Moscow mayor Yury Luzhkov isfamous for never having lost a libel suit in his 18-yeartenure.

Copyright Copyright issues are becoming increasingly significant aspublishers develop their Internet projects and operate onmultiple platforms.

In June 2009, leading Russian news agencies and mediaoutlets agreed on proposals for a draft law on grantingnews reports the legal status of goods and imposing finesfor illegal publishing of copyrighted material. The Mass Communication Council at the RussianCommunications Ministry met to discuss measures toprotect intellectual property. RIA Novosti, Interfax, the


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Kommersant publishing house, Vedomosti andGazeta.ru took part. Initiators of the draft suggested thatoffenders attempting to publish copyright materialwithout citing the copyright holder pay fines rangingfrom 2,000 rubles (USD65) to 20,000 rubles(USD647), depending on whether they are individualsor legal entities.

Printing & Distribution Russia has private and state-owned printing facilities.Prior to the economic crisis, the printing industry wasgrowing, and print houses invested heavily in newequipment. As a result, more newspapers experimentedwith color.

Russian printing industry suffered significant damage in2009: its workload reduced significantly due to theclosure of some projects, reduction of print-runs andnumbers of pages, as well as shifting to cheapertechnologies and cheaper kinds of paper.

At the beginning of 2010, import duties on coatedpapers was reduced from 15% to 5%.

Newspaper printing suffered less than magazineprinting. Competition became more severe, and somediscount offers border on dumping.

At the beginning of 2010, the situation was improvingbut printing capacities are still under-loaded. Mostmajor printing plants have survived and are in theprocess of consolidation and development of industrialcapacities, including modernization and adding newequipment.

Among the most significant industrial events of 2009,there are two worth mentioning:

The equipment of the historical printing plant Press(formerly Pravda) was transferred from the centre ofMoscow city to the ExtraM printing plant in theMoscow region. Both printing plants are owned by thesame company, Media3.

Komsomolskaya Pravda launched three new printingplants in Kemerovo, Stavropol and Vladivostok.

In 2009 some changes in economic regulation occurredthat had an impact on distribution. Namely, the TradeLaw was passed that regulates trade chains.

A new tax legislation has increased the burden ondistribution networks. In 2009, changes to the tax codeupped taxes imposed on distributors, so distributors hadto increase their mark-up.

The distribution market did not suffer a significantdamage in 2009. A drop in press sales revenues was madeup for by the increase of sales of “accompanying

commodities.” Retail sales continue to fall in allsegments, except TV-guides and patchworks. A noticeable trend exists towards a growth in thepopularity of cheaper news, how-to titles andentertainment titles. Throughout the year, cover pricesgradually increased by 20% to 30%.

Postal Issues Subscription faces problems. Individual and corporatesubscriptions are declining. The overall volume and thelist of titles offered for postal subscription remains stable,yet a demand for cheaper products has increased.

Postal subscription prices in 2009 did not change,because the Russian government froze fees charged bythe national operator Russian Post Office (PochtaRossii), which handles the majority of subscriptions inRussia. The government provided subsidies tocompensate losses of Pochta Rossii.

Taxes Preferred VAT taxation (10%) covers sales services ofprint media, excluding advertising and erotic titles.Dispatch and delivery, editorial and other publishingactivities associated with the production of print titles,advertising and information services, and postal deliveryto subscribers are still subject to the basic 18% VAT rate.

State Support The state traditionally supports some printed titles,mainly through direct subsidies and grants. Both aredistributed through the Federal Agency for Print andMass Communications.

Another means of state support are the governmentsubsidies to Pochta Rossii to compensate its losses due tostable delivery prices.

Import duties on coated papers went down from 15% to5% at the beginning of 2010.

Other Factors At the end of 2009, the Glasnost Defense Foundationreported 59 journalists had been attacked during theyear and eight killed (Telman Alishayev, AnastasiaBaburova, Natalia Estemirova, Sergey Protazanov,Vyacheslav Yaroshenko, Olga Kotovskaya, AbdulmalikAkhmedilov, and Shafiq Amrakhov). The national mediareacted to two of these cases; the January murder ofAnastasia Baburova, a journalist from Novaya Gazeta, inMoscow; and the July killing of Natalia Estemirova, a human rights activist and contributor to NovayaGazeta, in Chechnya. The two cases received nationalcoverage because those journalists were affiliated withthe national Novaya Gazeta, which is based in Moscowand is well connected with other Moscow-based media.These and other crimes against journalists were notprosecuted vigorously. Some commentators attributethis to Russia’s poorly functioning law enforcement


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Source: Guild of Press Publishers (GIPP); CIA – The World Factbook; US State Department; WAN-IFRA – SFN Weblog; The New York Times; Information Week; AFP; Ria Novosti; European Journalism Centre;WAN-IFRA – Editors Weblog; Barents Observer; International Journalists’ Network; Radio Free Europe/Radio Liberty;

IREX – Media Sustainability Index 2010

system. For example, in February 2009, the defendantsin journalist Anna Politkovskaya’s murder were acquittedby the jury board, which cited shoddy evidencecollection by state investigators.

On March 29, 2009, Russian President DmitryMedvedev acknowledged that political murders exist inRussia, after a spate of unsolved killings of journalistsand activists. “Unfortunately journalists are suffering,like other citizens, from criminal activity,” saidMedvedev in a BBC interview.


0-14 21,092 10,806 10,28615-24 21,834 11,089 10,74525-34 22,573 11,249 11,32435-44 19,254 9,384 9,87045-54 22,880 10,593 12,28755-64 15,373 6,550 8,82365 + 18,898 5,970 12,928Total 141,904 65,641 76,263

Source: Federal State Statistics Service via ZenithOptimedia



Executives 6,628.4 11.5 4,098.7 15.9 2,529.7 7.9Specialists 7,065.4 12.2 2,838.8 11.0 4,226.6 13.2White collar 6,825.6 11.8 2,222.5 8.6 4,603.1 14.4Blue collar 13,732.4 23.8 8,457.5 32.8 5,275.0 16.5Students 3,806.6 6.6 1,818.2 7.0 1,988.5 6.2Retired 11,583.4 20.1 3,480.2 13.5 8,103.2 25.4Unemployed 3,020.5 5.2 1,864.9 7.2 1,155.6 3.6Housewives 3,216.7 5.6 13.9 0.1 3,202.7 10.0No answer 1,876.9 3.2 1,025.7 4.0 851.2 2.7Total 57,756.0 100 25,820.4 100 31,935.6 100

Source: TNS Gallup Media, National Readership Survey – Russia



1 person 5,760.9 10.02 people 13,422.9 23.23 people 15,979.8 27.74 people 14,758.4 25.65 or more people 7,834.0 13.6Total 57,756 100

Source: TNS Gallup Media, NationalReadership Survey – Russia




Without children 36,702.8 63.5With children 20,821.7 36.1

aged 0-3 4,827.1 8.4aged 4-9 10,636.2 18.4aged 10-15 9,131.5 15.8

Total 57,756 100



Age Housewives000 %

Under 25 671.1 20.925-34 1,504.3 46.835-44 638.1 19.845-54 354.3 11.055-64 37.9 1.265 + 11.0 0.3Total 3,216.7 100



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Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


National paid-for dailies 23 25 25 25 24 4.35 -4.00Regional and local 468 496 485 470 517 10.47 10.00paid-for dailiesMorning paid-for dailies 470 497 486 473 520 10.64 9.94Evening and afternoon 21 24 24 22 21 0.00 -4.55paid-for dailies

Total free dailies 3 31 35 38 41 1,266.67 7.89Regional and local 3 31 35 38 41 1,266.67 7.89free dailies

Total non-dailies 25,984 26,542 26,610 27,510 28,011 7.80 1.82Total paid-for non-dailies 25,686 26,112 26,100 26,930 27,391 6.64 1.71National paid-for non-dailies 7,056 7,145 7,080 7,120 6,980 -1.08 -1.97Regional and local 18,630 18,967 19,020 19,810 20,411 9.56 3.03paid-for non-dailies


Source: Federal Agency for Print and Mass Communications


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total free dailies 190 1,157 1,172 1,177 1,185 523.68 0.68Regional and local free dailies 190 1,157 1,172 1,177 1,185 523.68 0.68



(%)Reached


Source: TNS Media Research, NationalReadership Survey – Russia



group

16-24 15.7 8.425-34 16.4 7.935-44 16.5 9.345-54 20.2 10.155-64 14.8 11.165 + 16.5 9.9Total 100 -

Source: TNS Media Research, NationalReadership Survey – Russia


(minutes per day)2005 2006 2007 2008 2009

All newspapers 18.0 9.7 9.0 10.0 9.4Magazines 18.0 5.2 5.0 5.0 5.6Radio 228 211 226 175 210Television 216.0 219.0 214.0 210.0 207.2Internet 6.0 4.6 6.0 12.0 30.4

Source: TNS Media Research

Cities with population over 100,000; TV-Index: population aged 4+, May–October;Radio Index: population aged 12+, July–September; Marketing Index: populationaged 16+, May–October


(000)2005 2006 2007 2008 2009

Total paid-for dailies 5,724.5 4,887.3 5,034.7 6,522.5 5,387.9

Source: TNS Media Research, NRS – Russia

Cities with populations over 100,000; population aged 16+; method of data collection: face-to-face interviewing at respondent’s residence


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies - 521 510 495 542 - 9.49National dailies 23 25 25 25 25 8.70 0.00Regional dailies - 496 485 470 517 - 10.00Non-dailies 4,521 7,140 10,050 17,950 25,689 468.21 43.11Total 4,544 7,661 10,560 18,445 26,231 477.27 42.21


Data represent registered titles

6.a Online editions


(000)

Komsomolskaya pravda Komsomolskaya pravda kp.ru 12,618Sport-Express Sport-Express sport-expess.ru 6,798Iz ruk v ruki Pronto Moskva irr.ru 5,016

(Trader Media East)Gazeta Gazeta gzt.ru 3,742Vedomosti Independent Media vedomosti.ru 3,491

Sanoma MagazinesKommersant Kommersant kommersant.ru 3,408Rossijskaya Gazeta Rossijskaya Gazeta rg.ru 3,311Izvestia Izvestia izvestia.ru 3,212

(National Media Group)Moskovsky Komsomolets Moskovsky Komsomolets mk.ru 2,997Sovetsky Sport Komsomolskaya pravda sovsport.ru 2,867RBC daily Rocbussinessconsulting rbcdaily.ru 2,564Nezavisimaya gazeta Nezavisimaya gazeta ng.ru 2,286Trud Media3 trud.ru 2,217Novye Izvestia Novye Izvestia newizv.ru 998

Source: Rambler’s Top 100


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 1,890.5 24,778.1 35,000.0 45,400.0 59,700.0 3,057.89 31.50Internet users 21,800.0 25,688.6 59,262.9 68,515.9 88,068.0 303.98 28.54




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Russian ruble, bln)2005 2006 2007 2008 2009

GDP 21,625.4 26,903.5 33,111.4 41,668.0 39,063.6

Source: Federal State Statistics Service


(Russian ruble, 000)2005 2006 2007 2008 2009

GDP per capita 150.2 186.4 232.0 293.4 275.3

Source: 2005 ZenithOptimedia; 2006-2009 Federal State Statistics Service



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(%)2006 2007 2008 2009 2010 2011 2012 2013

Ad expenditure 0.67 0.70 0.63 0.63 0.45 0.43 0.43 0.44



(Russian ruble, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 39,300 44,600 51,900 57,600 32,800 34,500 37,400 42,000Television 65,900 85,900 112,500 137,600 112,800 120,700 134,500 153,400Radio 8,500 12,500 14,900 14,000 9,200 9,700 10,500 12,100Cinema 1,100 1,800 3,100 4,500 3,400 3,500 4,200 5,100Outdoor 25,700 33,100 40,400 45,800 28,400 31,200 35,600 41,700Internet 1,700 2,900 5,700 7,500 8,100 9,300 11,700 14,800Total 142,200 180,800 228,500 267,000 194,700 208,900 233,900 269,100

Source: AKAR; Russian Association of Communication Agencies (RARA);ZenithOptimedia

Includes agency commission; excludes production costs; after discounts; includesVAT; newspapers include special advertising editions; Internet includes bannersand advertising in newsletter e-mails



In colour 8,282.03 11,415.40 16,019.62 18,475.55 12,969.44Total 19,508.44 23,616.76 26,536.74 27,652.19 20,491.89


A2 pages; data for Moscow and Saint-Petersburg only



Financial management 11.4services

Commercial organizations 7.5Passenger motor transport 6.2Involving of assets 3.9Loans for natural persons 3.6Specialized actions 3.5Mass shows 3.4Dwelling property services 3.3Commercial and financial 3.2services

Non-residential premises 2.9services


SOV based on expenditures


Advertiser % of newspaper expenditure

Volkswagen 1.52Group of Companies 1.36of German Sterligov

Gazprombank 1.26Swatch Group 1.12Mercury 1.09Ford Motor Co 1.05Sberbank of Russia 0.99Uralsib Financial Corporation 0.97Transneft 0.86Obschee radio 0.77


SOV based on expenditures



Publishing company Total circulation Newspaper(000)

Metro International 850 Metro (Moscow), Metro (Saint Petersburg)

Komsomolskaya Pravda 848 Komsomolskaya Pravda, Sovetsky Sport

Moskovsky Komsomolets 700 Moskovsky KomsomoletsVechernyaya Moskva 300 Vechernyaya MoskvaRossijskaya Gazeta 220 Rossijskaya GazetaMedia3 220 TrudSport-Express 200 Sport-ExpressIzvestia 176 IzvestiaKommersant 130 KommersantIndependent Media 110 Vedomosti, The Moscow TimesNews Media Rus 100 Tvoy Den

Source: Guild of Press Publishers

Daily newspapers only


(year) (000) (000) (Russian ruble)

Moskovsky Komsomolets 1919 Russian Moskovsky Komsomolets 700 1,022 Broadsheet 948,500 995,900Komsomolskaya Pravda 1925 Russian Komsomolskaya Pravda 668 3,049 Tabloid 1,450,000 3,200,000Vechernyaya Moskva 1923 Russian Vechernyaya Moskva 300 220 Broadsheet - 220,000Rossijskaya Gazeta 1993 Russian Rossijskaya Gazeta 220 1,334 Broadsheet 730,000 -Trud 1921 Russian Media3 220 139 Tabloid - 415,000Sport-Express 1991 Russian Sport-Express 200 658 Broadsheet 400,000 -Sovetsky Sport 1924 Russian Komsomolskaya Pravda 180 755 Tabloid - 460,000Izvestia 1917 Russian Izvestia (National Media Group) 176 322 Broadsheet - 720,000Kommersant 1989 Russian Kommersant 130 287 Broadsheet - 1,150,000Tvoi Den - Russian News Media Rus 100 80 Tabloid - 344,400Vedomosti 1999 Russian Independent Media Sanoma Magazines 75 164 Broadsheet - 1,200,000




(year) (000) (000) (Russian ruble)

Metro, Novaya Gorodskaya 1997 Russian Gazeta Metro 1 600 417 Tabloid - 448,400Gazeta (Moscow)

Metro (St. Petersburg) 1997 Russian Tri korony (Metro International) 400 730 Tabloid - 314,400The Moscow Times 1992 English Independent Media Sanoma Magazines 35 34 2 Tabloid 445,500 -

Source: Guild of Press Publishers1 In March 2009 joined to Metro International2 Only Russian-speaking audience (due to research methodology)



RUSSIA

9.a Employment

(Russian ruble, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total salary costs 30,300 44,700 51,200 55,700 39,500 30.36 -29.08


Estimate

9.b Salaries

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total number of journalists 102,300 106,400 107,600 101,200 87,200 -14.76 -13.83Total number of employees 305,200 310,500 311,200 300,100 285,000 -6.62 -5.03


Estimate in registered titles

(Russian ruble)2005 2006 2007 2008 2009

Average per ton 16,125 1 15,226 16,817 17,842 16,900

Source: RAO Bumprom (Russian Association of Pulp-Paper Organizations)1 USD560-580, wholesale national market price in December 2005


throughout Russia (CATI). Samples represent urbanpopulation of the country, as well as the population ofeach of the major cities. The research assesses readershipof 240 titles in Moscow, around 190 national and 440local newspapers and magazines throughout Russia.Results are released four times a year, although theinterviews are conducted all the year round.


11. Research (2009)

Circulation is audited byCirculation is audited by The National CirculationService launched in August 1988 to control circulationand distribution of press and periodicals. In 1999 NCSjoined the International Federation of Circulation andDistribution Control Bureaus. In Russia circulationauditing is voluntary. Each title having certified itscirculation obtains the right to print the NCS logo nextto its circulation statement, thus confirming adequacyof circulation data and allowing advertisers to assess thetrue potential of the media as an advertising vehicle anddifferentiate it from unfair competitors. As yet, however,the NCS does not have much authority in thepublishing market.

Readership is measured byReadership is measured by TNS Gallup Media.Established in 1994, TNS Gallup Media is now a leading research company in Russia specializing inmass media audience measurement (including press,TV, radio, and Internet) and advertising monitoring.Among the company’s clients are all major TV channels,radio stations, publishing houses, and advertisingagencies. Its experts regularly participate in professionalconferences and symposiums on media measurementorganized by ESOMAR and ARF. Starting from 1997,TNS Gallup Media represents Russia in the EuropeanMedia Research Organization (EMRO). For moreinformation on TNS in Russia visit www.tns-global.ru

MethodologyNational Readership Survey started in 1995 as one ofthe first projects launched by TNS Gallup Media. Itcombines 45,000 interviews conducted in Moscow,12,000 in Saint-Petersburg and 126,000 interviews

Tax %





12. Taxes (2009)






(Russian ruble, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total amount 48.0 150.6 150.6 139.8 181.1 277.29 29.54








RUSSIA


Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?Yes, the Federal Law On Mass Media as of December12, 1991.

Is there any law prohibiting or restricting foreign companiesor individuals from owning shares, and in particular, themajority of shares, of domestic daily newspapers?In March 2008 the State Duma (Russian parliament)adopted a new law setting limits on direct foreigninvestment in so-called ‘strategic industries’. Printedmedia were included in that list. The law refers to thetitles with circulation of a single issue more than1,000,000 copies which are prohibited to have morethan 50% of ownership capital of foreign origin. Thelaw also applies for the companies that can print in theirfacilities more than 200 million press sheets per month.The law is non-retroactive, so it is not going to affectcurrent holdings.




Is further regulation of media concentration expected?NoSource: Guild of Press Publishers


Owners National TVs RegionalNewspapers

NationalNewspapers

Foreign Investors Up to 50% 1 x 2 x 2

Source: Guild of Press Publishers1 Amendment to the Federal Law on Mass Media, 2001, 20022 See Table 15.a Ownership laws and rules


SAN MARINO



Source: CIA – The World Factbook; US State Department; Council of Europe; Wikipedia

General economic situation San Marino’s economy relies heavily on its tourism andbanking industries, as well as from the manufacture andexport of ceramics, clothing, fabrics, furniture, paints,spirits, tiles, and wine. The economy also benefits fromforeign investment due to its relatively low corporatetaxes and low taxes on interest earnings. The per capitalevel of output and standard of living are comparable tothose of the most prosperous regions of Italy, whichsupplies much of its food. The inflation rate wasestimated at -3.5% (deflation) in 2008.

Performance of newspapers vs. other media State-sponsored San Marino RTV operates both a radioand a television station. Radio Titano is the country’ssole privately owned radio station. Italian televisionbroadcasts are available throughout the country.

Performance of different types of newspapers The government, some political parties, and tradeunions all publish newspapers. The three main nationaldailies are La Tribuna Sammarinese, San Marino Oggiand L’Informazione di San Marino. In May 2007, a new

sports daily newspaper Lo Sportivo.sm was launched,with the cover price of EUR1.

Il Corriere di Informazione Sammarinese, Il Resto delCarlino and Il Corriere Romagna are dailies published inItaly, including pages on San Marino.

Italian and foreign newspapers are widely available.


Media / Press Laws The law provides for freedom of speech and of the press,and the government generally respected these rights inpractice. An independent press, an effective judiciary,and a functioning democratic political system combinedto ensure freedom of speech and of the press.


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




0-14 5 17 3 20 2 1315-64 20 67 10 67 10 6765 + 5 17 2 13 3 20Total 30 100 15 100 15 100



Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




SAN MARINO


GDP - 0.8 0.8 0.8 0.6


7.aa Gross domestic product 7.ab Gross domestic product per capita


GDP per capita - 28.0 27.7 27.7 30.2

Source: 2004-2006 CIA – The World Factbook via Index Mundi; 2007 CIA – TheWorld Factbook


Title Founded Language Publishing company Circulation Cover price usual Format(year) (000) (Euro Member Countries, euro)

La Tribuna Sammarinese - Italian La Tribuna srl - 1 -San Marino Oggi - Italian - - 1 -L’Informazione di San Marino 2006 Italian - 1 - A4Lo Sportivo.sm 2007 Italian Sport Agency.sm s.r.l. 1 1 A4

Source: Wikipedia; WAN-IFRA from public sources


SERBIA

General economic situation After the ousting of former Federal Yugoslav PresidentMilosevic in September 2000, the DemocraticOpposition of Serbia (DOS) coalition governmentimplemented stabilization measures and embarked on a market reform program. Belgrade has made progress intrade liberalization and enterprise restructuring andprivatization, including telecommunications and small- and medium-size firms. It has made haltingprogress towards EU membership despite signing a Stabilization and Association Agreement with Brusselsin May 2008. Unemployment and the large currentaccount deficit remain ongoing political and economicproblems. The inflation rate was estimated at 6.8% in2007.

Performance of newspapers vs. other media Serbia has many sources of news and information andthe market is saturated.

There are 107 TV stations, about 50 cable and satellitestations, and approximately 550 radio stations.

Radio-Television Serbia (RTS), a public media outletfunded by mandatory subscription, was a major presence,operating two television channels as well as RadioBelgrade. The RTS’ coverage was usually objective,although the government had considerable influence overthe RTS and public service Radio Television ofVojvodina. In addition, many television stations relied onthe state-owned agency Tanjug for news.

There are three major news agencies: Tanjug is state-owned, Beta and Fonet are private holdings. State-owned Tanjug receives almost USD2 million peryear from the state budget. The independent newsagencies Beta and Fonet complained that state financinggave Tanjug an unfair commercial advantage. Thetougher economic conditions of 2009 forced somemedia to cancel their news agency subscriptions.

Infobiro news agency, a new phenomenon in 2009, isfinanced by political parties and businesses. Infobiroproduces video reports for its funders on a contract basis,featuring television clips from different events. Afterproduction, the products are available for free downloadfrom its website for broadcasting.

Independent media organizations were generally activeand expressed a wide range of views; however, somemedia organizations experienced threats or reprisals forpublishing views critical of the government.

The Association of Independent Electronic Media(ANEM) reported in October 2009 that about 100unlicensed media still operate despite existingregulations that were further strengthened by the August

2009 Amendments to the Law on Public Information.Unlicensed broadcasters pose a number of problems forthose that are licensed, including interfering withlicensed signals and bleeding advertising revenue fromlicensed competitors.

Law on National Councils of National Minorities aimsto enhance minority media in Serbia. However, allowingnational or local governments to delegate the foundingand management of public media to nationally charteredbodies that represent minorities undermines a previouslaw that mandates privatization and prohibits the furtherestablishment of media funded predominantly by publicsources.

Performance of different types of newspapers In December 2009 and January 2010 Serbian weeklyVranjske was the target of strong political pressure.According to the South East Europe Media Organisation(SEEMO), since Vranjske published articles critical oflocal politics, certain members of a local political partyare jeopardizing the right of Vranjske journalists toinform the public in a professional and objective way. Allpublic institutions that are managed by the politicalparty are now prohibited from advertising with Vranjske,and local officials of the political party are prohibitedfrom communicating with journalists from Vranjske.

Advertising According to Darko Brocic, director of AGB Nielsen inBelgrade, the value of advertising in the media droppedbetween 20 and 25 percent in 2009. The worst drop wasin print media, between one-third and one-half,followed by billboards and TV stations, with dropsbetween 25 percent and 33 percent. Local and regionalTV stations were hit the worst. Altogether, advertising inall media diminished. Only Internet advertising was onthe rise, but its share in total advertising in Serbia ismarginal.

Some media, faced with the reality of lower advertisingrevenues, are entering into additional business activities,such as organizing marketing promotions, opening cafes,producing books, etc.

Online / Digital Publishing There were no government restrictions on access to theInternet, e-mail, or Internet chat rooms; however, as inprevious years, there were some isolated reports that thegovernment monitored e-mail. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail.

Ownership The print and broadcast media were mostly independentand privately owned, although privatization ofmunicipally owned media was not yet completed.



SERBIA

In local areas, all state media outlets are controlled bylocal governments and politicians and face extremepressure. Because they depend on politicians for theirbudgets and appointments, local stations broadcastbiased news programs.

In March 2009 Swiss media group Ringier AG bought a majority stake in weekly Serbian news magazine NINfor USD1 million. As part of the deal for the 70 per centshareholding, Ringier will invest USD240,000 in thecompany. NIN is one of the oldest political magazines inSerbia, having originally been founded in 1935. Its othermain stakeholder is the influential pro-Serbiangovernment broadsheet Politika, with 10 per cent.

Media / Press Laws The constitution and law provide for freedom of speechand of the press; however, there were reports ofgovernment interference with these freedoms.

The government did not censor the media, butjournalists sometimes practiced self-censorship to avoidpossible libel suits.

Libel is a criminal offence; persons convicted of libelcould be imprisoned or fined 40,000 to one milliondinars (approximately USD600 to USD14,900).

In July 2009 the Ministry of Culture and Ministry ofjustice drafted amendments to the Law on PublicInformation. In August 2009 the Organization forSecurity and Cooperation in Europe (OSCE), theInternational Federation of Journalists (IFJ), and localjournalist associations expressed concern over draftamendments to the media law that would imposeexcessive fines that could limit media freedom and leadto self-censorship. The OSCE added that the lack oftransparency and public dialogue during the drafting ofthe amendments was a particular cause for concern.Serbian parliament postponed a vote on thecontroversial media censorship bill until August 31,2009.

On August 31, 2009, parliament adopted the law; thepresident signed it the same day. On September 23,2009, the ombudsman submitted the amendments tothe Constitutional Court for review, and on October 8,2009, the Constitutional Court requested that theparliament as initiator of the law provide its opinion.The Association of Independent Electronic Media(ANEM) reported that the government violated theconstitution by promulgating the law the same day itwas passed.

Under the 2009 amendments to the Law on PublicInformation, media outlets found guilty of libel orfound to have violated the “presumption of innocence”of persons accused of crimes face fines equal to a maximum of having seven days’ worth of advertising

and sales garnished in the case of a publication or sevendays of advertising in the case of a broadcaster.Electronic media will also have to pay a fine equivalentto their daily advertising revenue, prompting criticismthat the new law will lead to self-censorship. The lawincludes a new fine structure for several possible breachesof the media law. For example, unregistered publicationsor broadcasters face fines of RSD1 million to RSD20million (USD13,500 to USD270,000), plus the personresponsible for the lapse can be fined RSD200,000 toRSD2 million (USD2,700 to USD27,000).

The 2009 amendments also includes provisions forfining media outlets that violate the rights of minors,and increases penalties for previously enumeratedviolations. Finally, the law prevents transference ofownership rights from one media owner to anothermedia owner.

On March 30, 2009, the Court in Nis fined journalistDragana Kocic and editor-in-chief TimosenkoMilosavljevic of the Serbian daily newspaper, NarodnihNovina, 1,000,000 Serbian dinars (approx. EUR10,760)in a defamation case for an article that used quotes fromofficial documents. Both defendants have appealed tothe High Court. Kocic and Milosavljevic were chargedwith defamation after publishing an article in April 2008that used quotes from official documents they hadreceived.

On June 16, 2009, the Ministry of Culture filed amisdemeanor offense charge against Radeta Jerinic,editor-in-chief of the daily newspaper Kurir, forrevealing the identity of a minor detained by the police.

Printing & Distribution In 2009, Futura Plus, which controls 25 percent of printmedia distribution, was prolonging payment for soldcopies. The delays were so drastic that print mediaunited to stop supplying this company’s kiosks withcopies. The government did not intervene, despitepublishers’ hopes.

State Support The government solidly subsidizes state-owned media.In 2008 state-owned media received 66 to 100 percentof their financing from the state budget, and this was thecase for 2009. However, government subsidies forindependent media are minimal.

On June 25, 2009, the government approved emergencymeasures to assist media companies during the globaleconomic downturn. The measures reduced RepublicBroadcast Agency (RBA) fees and set aside 60 milliondinars (approximately USD895,500) to co-financemedia and press projects.

State-owned media are eligible for a Ministry of Culturetender intended to help “endangered” media, even


SERBIA

though state media already collect money from publicbudgets.

Other Factors Journalists have low salaries and a poor standard of

living, which promotes corruption, especially in smallertowns. For example, in the town of Nis, the averagemonthly salary is RSD25,000 (USD330) for a reporterand RSD48,000 (USD650) for an editor; 2009 paylevels are lower than 2008 levels.

Source: CIA – The World Factbook; US State Department; South East Europe Media Organisation (SEEMO); AFP;European Journalism Centre; IREX – Media Sustainability Index 2010



0-14 1,119 15.2 577 16.1 542 14.315-24 919 12.5 470 13.1 449 11.825-34 1,008 13.7 505 14.1 503 13.335-44 955 12.9 473 13.2 482 12.745-54 1,088 14.7 541 15.1 547 14.455-64 961 13.0 458 12.8 503 13.265 + 1,329 18.0 557 15.6 772 20.3Total 7,378 100 3,581 100 3,798 100

Source: ISM



A+B 559 9.6 244 8.8 315 10.3C1 845 14.5 436 15.7 409 13.4C2 624 10.7 82 3.0 542 17.7D 168 2.9 59 2.1 109 3.6E 3,650 62.4 1,965 70.5 1,685 55.1Total 5,845 100 2,786 100 3,059 100

Source: ISM Survey




Source: ISM





aged 0-3 289 12aged 4-9 435 17aged 10-15 565 23

Total 2,512 100

Source: ISM Survey


Age Housewives000 %

Under 25 0.3 3.625-34 0.6 7.935-44 1.2 15.145-54 2.2 27.255-64 2.2 26.565 + 1.6 19.7Total 8.2 100

Source: ISM survey, data for 2009

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 13 11 16 19 13 0.00 -31.58Total paid-for dailies 13 10 15 18 12 -7.69 -33.33

National paid-for dailies 11 8 - - 12 9.09 -Regional and local 2 2 - - - - -paid-for dailies

Total free dailies - 1 1 1 1 - 0.00Regional and local - 1 1 1 1 - 0.00free dailies

Total paid-for non-dailies - - - 111 1 409 2 - 268.47

Source: 2005-2007 PrintAdex Serbia; SMMRI; 2008 IREX - Media SustainabilityIndex 2008; WAN assessment (free dailies); 2009 PrintAdex Serbia 2009; IREX –Media Sustainability Index 2010 (non-dailies)1 28 weeklies, 14 bi-weeklies, 69 monthlies, 19 others; all groups including

magazines2 95 weeklies, 39 bi-weeklies, 180 monthlies, 95 others; all groups including

magazines


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 800 950 1,200 1,205 1,202 50.25 -0.25Total paid-for dailies 800 900 1,050 1,050 1,052 31.50 0.19Total free dailies - 50 150 155 150 - -3.23

Regional and local free dailies - 50 150 155 150 - -3.23

Source: 2005 WAN estimate; 2006-2008 WAN assessment; 2009 WAN-IFRA assessment



SERBIA

(Serbian dinar)min max


Source: PrintAdex Survey 2009


(%)Reached


Source: PrintAdex Serbia 2009


Age %of readership

less than 16 11.216-24 17.625-34 18.135-44 18.545-54 17.955-64 16.7Total 100



(000)2005 2006 2007 2008 2009

Total dailies - - - - 2,145Total free dailies - - - - 227


Based on target population aged 12-65



(000)

Blic Ringier blic.rs 630




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 756.7 1,005.2 1,011.7 849.9 842.8 11.38 -0.84Internet users 2,592.1 2,911.2 3,259.1 3,660.3 4,107.0 58.44 12.20




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Broadband subscribers - 121.7 325.7 451.2 590.6 - 30.90



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Serbian dinar, bln)2005 2006 2007 2008 2009

GDP 1,687.8 1,980.2 2,362.8 2,790.9 2,953.5

Source: Statistical Office of the Republic of Serbia

The revision in the System of National Accounts is growing into more and morecustomized procedure in the framework of international standards and recommendations. Therefore, the revision of the previously published data wasperformed for the period 1997 – 2006. Presently, FISIM (Financial IntermediationServices Indirectly Measured) has been calculated for the first time and it displaysthe indirectly measured services of financial intermediation. FISIM representsinterest margin and is a part of financial sector output (value of production), calculated as the difference between active and passive interests.


(Serbian dinar, 000)2005 2006 2007 2008 2009

GDP per capita 226.8 267.2 320.1 379.7 403.4

Source: Statistical Office of the Republic of Serbia

The revision in the System of National Accounts is growing into more and morecustomized procedure in the framework of international standards and recommendations. Therefore, the revision of the previously published data wasperformed for the period 1997 - 2006. Presently, FISIM (Financial IntermediationServices Indirectly Measured) has been calculated for the first time and it displaysthe indirectly measured services of financial intermediation. FISIM representsinterest margin and is a part of financial sector output (value of production), calculated as the difference between active and passive interests.


(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 2.59 2.53 3.47 3.15 3.03 2.90 2.81 2.74



(Serbian dinar, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 36,954 41,253 62,700 66,507 69,000 71,000 75,000 81,000Radio 236 465 695 1,000 1,000 1,100 1,200 1,300Cinema - - - 50 50 55 60 65Outdoor 864 1,118 1,550 1,950 1,750 1,900 2,100 2,300Internet 41 93 280 466 600 800 1,100 1,500Total 41,679 47,917 74,610 80,555 81,700 85,205 90,610 98,165

Source: Arianna; AGB Nielsen Media Research; AdEx; Strategic Marketing;ZenithOptimedia

Excludes production costs; before discounts; excludes agency commission; excludesclassified


(Serbian dinar, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

All newspapers 1,704.4 - 4,370.8 - - - -Total dailies - - - 4,494.1 3,524.9 - -21.57Total paid-for dailies - - - 4,281.1 3,319.0 - -22.47Total free dailies - - - 213.0 205.9 - -3.33

Source: 2005, 2007 PrintAdex, SMMRI; 2008-2009 PrintAdex Serbia

Full rate card



In colour - - - 15,938 11,859Total - - - 19,021 14,012

Source: PrintAdex Serbia



SERBIA


Telecommunications 18.4Trade 13.1Services 11.2Transport 10.0Banks and financial institutions 9.8Hobby & free time 6.8Medical 4.7Media (TV, radio, books, web) 4.2Food & drink 3.6Industry, agriculture, energy 2.9



Advertiser Expenditure (Serbian dinar, 000)

Telekom Srbija 283,458Telenor 152,160Vip Mobile 121,100Renault 82,693Idea supermarket 65,096Delta Maxi 64,749General Motors 62,991Lilly drugstore 56,561Serbian state lottery 51,744Peugeot 33,204


Full rate card

7.g Top newspaper advertisers(2009) Owner Revenue

(Serbian dinar, 000)

Ringier 1,827,281.3Politika 1,425,461.8Novosti 1,310,151.6Press Publishing Group 996,299.5Kurir info 361,077.4Dan 227,333.0Pravda press 179,449.2Media News Group 139,155.4Ecoprint 103,877.7Standard press 9,437.8

Source: SMMRI PrAdEx viaZenithOptimedia



(year) (000) (000) (Serbian dinar) (USD) (Serbian dinar)

Kurir 2003 Serbian Kurir Info 250 396 19.00 0.28 35 cm x 27 cm 132,000 191,000Blic 1996 Serbian Ringier 168 784 25.00 1 0.37 2 35 cm x 27 cm 207,000 330,000Vecernje Novosti 1953 Serbian Novosti 144 483 30.00 3 0.45 4 38 cm x 28 cm 189,100 293,105Press 2005 Serbian Press Publishing Group 125 356 30.00 0.45 35 cm x 26 cm 240,000 327,000Alo! 2007 Serbian Alo 5 86 275 15.00 0.22 35 cm x 26 cm - 150,000Politika 1904 Serbian Politika 74 134 35.00 6 0.52 7 47 cm X 31 cm 158,506 -Danas 1953 Serbian Dan Graf 25 17 30.00 8 0.45 9 38 cm x 28 cm 70,000 120,000Sportski Zurnal 10 - Serbian Politika 24 138 30.00 0.45 47 cm x 31 cm 71,012 95,612Sport 11 1953 Serbian Novosti 16 72 30.00 0.45 38 cm x 28 cm 58,000 218,612Pravda 2007 Serbian Pravda Press - 24 25.00 12 0.37 13 38 cm x 28 cm 90,000 75,000

Source: PrintAdex Serbia; ZenithOptimedia1 RSD30 on Fridays2 USD0.45 on Fridays3 RSD35 on Sundays4 USD0.52 on Sundays5 Member of Ringier group6 RSD40 on Sundays7 USD0.60 on Sundays8 RSD40 on Saturdays9 USD0.60 on Saturdays10 Sports daily newspaper11 Sports daily newspaper12 RSD29 on Saturdays13 USD0.43 on Saturdays


Title Founded Language Publishing Circulation Readership Format Full page ad rate company Mono Colour

(year) (000) (000) (Serbia, dinar)

24 sata (24 hours) 1 2006 Serbian 24 sata 2 150 3 227 Tabloid (35cm x 27cm) 125,000 186,000

Source: PrintAdex Serbia; ZenithOptimedia; FDN Newsletter1 Distributed mostly through bus stations2 Member of Ringier Group3 Printed circulation, claimed by publisher via ZenithOptimedia


11. Research (2009)

Readership is measured byPrint Adex Survey

MethodologyCATI methodology, 1,500 respondents per week,72,000 per year, population aged 12-65

Source: ISM

Tax %




12. Taxes (2009)


SERBIA


Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?According to the Article 14 of the Serbian PublicInformation Law (Official gazette of the Republic ofSerbia, no. 43/2003, 61/2005), every natural or legalperson, national or foreign, may be the founder of a legalperson that is the founder of a print media outlet. Printmedia outlets cannot be only founded, either directly orindirectly, by the state, a territorial autonomous unit, orby an institution or a company that is prevalently state-owned or that is fully or predominantly funded frompublic revenues. Only the general rules applicable to anybusiness entities apply to the publishing-houseownership. The shares in newspaper-publishingcompanies, as well as those in any other business entity,are registered only with the Commercial Registry or withthe Central Securities Depository and Clearing House ofSerbia, in case of the newspaper-publishing companiesthat are incorporated as the joint stock companies.

Is there any law prohibiting or restricting foreign companiesor individuals from owning shares, and in particular, themajority of shares, of domestic daily newspapers? There are no restrictions for the foreign ownership ofprint media. Some of the prominent daily newspapersare published by the publishing companies that do haveforeign ownership, such as Politika (50% share owned byWAZ) or Blic (74.90% owned by Ringier NederlandB.V.)

Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?Concentration of media ownership is prohibited by theBroadcasting Law (Official gazette of the Republic ofSerbia, no. 42/2002, 97/2004, 76/2005, 79/2005). Theprohibited concentration of media ownership is definedas the prevalent influence on the public opinion.According to the Article 99 of the Broadcasting Law, itis considered that the prohibited concentration of mediaownership exists always when: 1) a broadcaster, licensedto broadcast at the national level of coverage, has a shareexceeding 5% in the founding capital of a companypublishing a daily newspaper with circulation of morethan 30,000 copies, and vice versa; 2) a broadcaster,licensed to broadcast at the national level of coverage,simultaneously publishes a daily newspaper with a circulation exceeding 30,000 copies; 3) a broadcaster,which has the status of a local or regional radio or

television station, is simultaneously publishing a localdaily newspaper in the same or neighbouring area.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company? There are no specific rules dealing with the press.Records on company ownership are kept at theCommercial Register and the Central SecuritiesDepository and Clearing House (for the joint stockcompanies). Those records are public. On the otherhand, trust agreements, although possible according tothe Serbian law, are not enforceable by the action incourt. That means that the trust agreement, under whichthe nominee shareholder is obliged to strictly follow theinstructions of the beneficiary owner, cannot beenforced.

Is there an antitrust law limiting concentration in the dailypress?The Law on Protection of Competition (Official gazetteof the Republic of Serbia, no. 79/2005) deals with theconcentration on the general level, and is also applicableto the print media. According to the Article 16 of theLaw on Protection of Competition, an undertaking hasa dominant position on a relevant market if it has thepower to behave independently of other undertakings,thus being in a position to make business decisionswithout taking into account business decisions of itscompetitors, purchasers or suppliers and/or end users,their goods and/or services. An undertaking having a relevant market share exceeding 40% may or may notbe considered dominant, depending, among otherthings, on undertaking’s share on the relevant market,competing undertaking’s shares on that same market,barriers to entry to relevant market and strength ofpotential competitors, as well as possible dominantposition of the buyer. An undertaking having a relevantmarket share below 40% may be considered dominantand in such a case the burden of proof is on Commissionfor the protection of the competition, or the applicantwho requires the Commission to establish the abuse ofthe dominant position, to evidence the undertaking’sdominant position.

Is further regulation of media concentration expected? Media concentration has been recognised as an area thatrequires further regulation in Serbia. Changes in theexisting legislation are therefore possible.

Source: Mr. Slobodan Kremenjak; Zivkovic & Samardzic Law Offices


SLOVAKIA


General economic situation Slovakia has made significant economic reforms since itsseparation from the Czech Republic in 1993. Reforms tothe taxation, healthcare, pension, and social welfaresystems helped Slovakia to consolidate its budget and geton track to join the EU in 2004 and to adopt the euroin January 2009. Major privatizations are nearlycomplete, the banking sector is almost entirely in foreignhands, and the government has helped facilitate aforeign investment boom with business friendly policiessuch as labour market liberalization and a 19% flat tax.Foreign investment in the automotive and electronicsectors has been strong. Slovakia’s economic growthexceeded expectations in 2001-08 despite the generalEuropean slowdown. Slovakia saw GDP grow by 10.4%in 2007, whereas in 2009 the GDP decreased by 4.7%.Unemployment, at an unacceptable 18% in 2003-04,dropped to 8.4% in 2008 but remains the economy’sAchilles heel. The inflation rate was estimated at 1.6% in2009.

Performance of newspapers vs. other media The financial and broader economic crisis hit thenewspaper industry as well as other media.

Except for the public service broadcaster, SlovakTelevision, there are two major commercial broadcasters:TV Markiza, owned by the Central European MediaEnterprises (CME); and TV JOJ, owned by the Slovakgroup J&T. All of the TV players have begun to deployterrestrial digital channels, including Markiza-Doma,JOJ Plus and STV3-Trojka.

The independent media were active and expressed a wide variety of views, although state-owned televisionand wire services were subject to political influence bythe government. The three public media outlets, TV-STV, Radio SRo, and Wire-TASR, received statefunding and were headed by political appointees. Therewere reports that directors of Slovak Public Televisionexerted pressure in the news department to providefavorable coverage of governing coalition events andactivities. Both the 2008 act on broadcast fees and the2007 audiovisual law increased broadcast media’sdependence on state funding and the perceived schismbetween print and broadcast media.

Performance of different types of newspapers In 2009, newspapers and magazines generally faced a decline of readership and circulation, and in particularfalling advertising revenues. Major publishers in Slovakiainclude Ringier, Petit Press, Spolocnost 7 Plus, BauerMedia, and Perex.

Relationships between the press and the governmentremained tense, especially since the adoption of a newPress law in 2008.

The 7Plus publishing house has been involved on themarket since the beginning of the 1990s. To begin with,it had a weekly magazine commenting on contemporaryissues. Now, it produces 12 weekly and monthlymagazines as well as a daily newspaper.

The Trend Holding publishing house has a similarlylong history behind it. Originally, the business weeklynewspaper Trend appeared on the market, establishingitself over the years as the undisputed number one in thebusiness press, with a strong Internet presence. Thepublishing house also publishes the fortnightly businessmagazine Profit.

The daily newspaper Novy Cas is the undisputed marketleader, with a circulation of 150,000 and a readershipshare of 24.5% in 2009.

With a readership share slightly above 7%, the qualitydaily newspapers Sme and Pravda compete with thetabloid Plus 1 Den for second and third place. In total,daily newspapers are read by 45% of the country’spopulation each day (2008 data).

Along with numerous regional and local dailynewspapers and magazines, the daily newspaper Sme,the strongest competing print medium since the mid-90s, is owned by the publishing house Petit Press,a.s.

The daily newspaper Pravda was the only national dailynewspaper under Slovakian ownership until thebeginning of August 2006, when it was sold, along withthe publishing house Perex, a.s., to the British publisherDaily Mail and General Trust. The newspaper retainedits title from the Communist era. Pravda underwentdramatic changes concerning its format and layout,making it more like a tabloid, but the effects of this onits readership have not been taken into account by thelatest surveys (November 2008).

Since autumn 2006, the daily newspaper Plus 1 Den hasbeen published by the Spolocnost 7 Plus publishinghouse. It has managed to climb into the top four ofSlovakian daily newspapers.

The international publishing house Economia, with theGerman publisher Handelsblatt in the background, isalso involved on the Slovakian print media market. Itpublishes the daily newspaper Hospodarske Noviny(Business Newspaper, www.hnonline.sk). With sales ofonly about 18 thousand copies, however, the newspaperdoesn’t have a significant market share.

In Bratislava, the free newspaper Bratislavske Noviny(Bratislava Newspaper) appears weekly. With a circulation of about 190,000, it is distributed to all


SLOVAKIA

households in Bratislava. It is published by the Slovakiancompany Nivel Plus s.r.o. The newspaper has been inexistence since 1998 and contains local news andinformation about current affairs in the Slovakiancapital. It was originally created with support from thelocal authorities, but became independent from politicalinfluence after several conflicts of competence.

Advertising While advertising revenues were stable in 2007 and2008, they were anticipated to be in sharp decline in2009; real data was not available before the WPT 2010 deadline. All of the major publishing housesreported declines in real advertising revenues, however, none of the major publishers left the market in2009.

Broadcasting remains the biggest market for advertisers,especially the two main commercial TV stations and thepublic service broadcaster, Slovak Television.

In 2008 Ringier Slovakia reported advertising revenuesof SKK826 million, Petit Press SKK650 million, andPerex/DMGT of SKK279 million. Central EuropeanMedia Enterprises, the owner of TV Markiza, reportedadvertising revenues of SKK3,013 million, TV JOJ morethan SKK1,000 million, and Slovak Television SKK547million.

In 2009 advertising revenues of the monitored Slovakwebsites were EUR23.3 million, which represents a slight decline of about 5 percent in comparison withthe previous year; the first decline in advertisingrevenues of online media since 2004. The digital mediaindustry earned EUR24.6 million in advertisingrevenues in 2008, and EUR16.3 million in 2007.

Circulation National dailies published from the capital of Bratislavacontinued to dominate the newspaper market, whereregional and local newspapers generally played a marginal role.

Among daily newspapers, Sme was the biggest annualcirculation winner, rising from fourth to second positionin paid-for daily circulation; Sme lost only 1.7 percent ofits circulation compared to 2008. Pravda, on the otherhand, was the biggest loser with a circulation decline of 19 percent. The tabloid daily Novy Cas lost 12.8percent in circulation year-on-year, and Plus 1 Dendeclined by 9.4 percent. Circulation of the regional dailyKorzar declined by 7.4 percent, and that of theHungarian-language daily Uj Szo by 4 percent. Only theeconomic daily Hospodarske Noviny preserved virtuallyunchanged average circulation of 18,000 copies sold perday.

Online / Digital Publishing The amount of online content continued to grow,

especially due to growing Internet access opportunitiesand penetration.

In 2009 www.sme.sk recorded 1,311,000 unique visitorsper month, which was the largest traffic among newswebsites in the country. The website of Novy Cas,www.cas.sk, attracted 546,000 unique visitors permonth, and www.pravda.sk 612,000. Other largelypopular news portals included that of TV Markiza, andstand-alone news websites www.topky.sk, andwww.aktuality.sk.

There were no government restrictions on access to theInternet or reports that the government monitored e-mails or Internet chat rooms; however, policemonitored websites hosting hate speech and attemptedto arrest or fine the authors. The law defines hate speechas speech that publicly threatens an individual or groupbased on nationality, ethnicity, race, skin color, or thatpublicly incites the restriction of rights and freedoms ofsuch an individual or group. Individuals and groupscould otherwise engage in the peaceful expression ofviews via the Internet, including by e-mail. Internetaccess was generally available across the country.

Ownership In March 2009, the Media Group Rheinische Post (RPMedia Group), based in Germany, acquired 50% of thePetit Press publishing house from its previous ownerVerlagsgruppe Passau, also based in Germany. RP MediaGroup already owns a leading media group in the CzechRepublic, Mafra. The transaction was subject toapproval by the Slovak Antitrust Office. The secondshareholder, Prva Slovenska Investicna Skupina, retainsits stake in Petit Press.

In March 2010, a virtually unknown Czech companyFlorena acquired Perex publishing company from theBritish Daily Mail and General Trust (DMGT). Florenais connected indirectly, through its private bank and thenew owner-CEO Karol Biermann, to the Slovak group of J&T, which already owns a national TV stationJOJ. Thus, according to cross-ownership restrictions,J&T is prohibited from owning a national dailynewspaper.

The 2008 media law requires information aboutpublishers and owners, as well as about possible shares inother media, to be made public.

In the course of 2009, another large publisher, Ringier,merged with German publisher Axel Springer. AxelSpringer has large activities in Central and EasternEurope, including Slovakia.

The Swiss media company Ringier holds a strong mediaportfolio in Slovakia, consisting of the leading dailynewspaper Novy Cas (New Time), several society weeklypublications, and monthly magazines.


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In 2007, the Swiss gave up several European TVschedule magazines, including the SlovakianEurotelevizia, Telemagazin and TV-Max. These threetitles were completely taken over by Bauer, the Germanpublishing house. This purchase brought Bauer directlyonto the Slovakian market for the first time. Until then,it had only been represented by imported magazines(Bravo, and Tina). Since TV schedule magazinescontinue to sell well, Bauer has joined the marketleaders. In 2008, further titles were added to itsportfolio. Chvilka pre teba (A moment for you) andNapisane zivotom (Written by life) appear weekly, andCas na lasku (Time for love) is published fortnightly.

Media / Press Laws The constitution and the law provide for freedom ofspeech and of the press; while the government generallyrespected these rights in practice, in some instances thegovernment limited these rights, including attempts bygovernment officials to impede criticism and to limitactions of extremist groups.

The law prohibits the defamation of nationalities, whichis punishable by up to three years in prison, and denyingthe Holocaust, which carries a sentence of six months tothree years.

According to an annual index released in October 2009by NGO Reporters Without Borders, Slovakia registeredthe biggest fall among EU member states, dropping by37 places compared to 2008, as a result of “governmentmeddling in media activities” and the adoption of a lawimposing an automatic right of response in the press.

In June 2008 a media law went into effect that requirespublishers to print responses to any “statement of fact that impinges on the honor, dignity, or privacy of a natural person, or the name or good reputation of a legal entity.” The law requires publishers to printreplies on the same numerical page and space as theoriginal article, regardless of whether the originalstatement was factually correct. Journalists andpublishers opposed the law because it could force themto print official government responses without theopportunity for a counter response.

The new Press Law of 2008 (No. 167/2008 Act onPeriodicals and Agency News Service) provoked muchcontroversy. However, research showed some of theconcerns about the law did not materialize completely,even if publishers reported higher costs for legal servicesand personnel as a result of the law and thereply/corrections requests. Public figures and leadingpoliticians mostly opted out of using the law.

In June 2009 the Inspectorate for the Environment fileda civil complaint against the daily Sme after thenewspaper refused to print the agency’s response to oneof its articles. The complaint is the first time a civil case

has been pressed against a newspaper under the 2008Press Act. Sme could face a fine of up to EUR5,000. Thecomplaint against the Bratislava-based daily stems froma March 2, 2009 opinion piece by deputy editor-in-chiefLukas Fila about the building of a controversial refusesite on the outskirts of Bratislava. The piece criticised the actions of government agencies, and claimed that theInspectorate for the Environment had acted in a mannerdesigned protect itself. Although the 233-word columnonly briefly touched up the subject of the state agencies,the Inspectorate for the Environment requested thatSme print a 217-word reply. The Press Act stipulates thatsuch replies be printed in their entirety. Sme refused therequest on March 24, 2009.

In November 2009, Prime Minister Fico used the rightof reply provisions in the media law to respond to a commentary from the daily Sme, which alleged that hewas part of a privileged group prior to 1989 during thecommunist era in Slovakia. Sme printed Fico’s reply onits opinion page. Media analysts and publishers alikenoted that when the media law was passed, Fico said thathe would not use it, as it was designed to protectordinary citizens from the press.

However, in 2009 and even earlier, it was, and still is, theCivil Code and libel suits, rather than the Press Law, thatin some instances is a threat to the very existence ofsmaller media. According to Article 13, paragraph 1 of the Civil Code, a person has the right to protect hisor her privacy. The law explicitly included financialcompensation if a person’s dignity was judged to havebeen damaged.

Criminal penalties for defamation exist under the penalcode, but these provisions were rarely used. Jana Teleki,a journalist, was charged with the crime of defamation,allegedly caused by a poem she wrote in 1998. Thecriminal proceeding was first closed in 1999, but theproceeding was reopened in 2000. The first instancecourt issued a conditional sentence of 18 months againsther in 2003. The appeal procedure was still pending atyear’s end. Many experts claimed that the procedure wasnot legally sound as the case was closed in 1999.

Members of the government, judiciary, and politicalelites targeted the press in a number of civil defamationlawsuits, which often required the press to pay largesums of money.

Courts made multiple decisions in favor of politicalelites, despite compelling evidence of the veracity of thereports for which the media were being punished.

In April 2009 Prime Minister Robert Fico won a libelsuit against the publisher of the weekly Trend. Fico filedthe suit in response to the cover story ‘Thief of YourFuture Pensions’ published in Trend in 2007. The articlereported on efforts of the Fico government to roll back


SLOVAKIA

pension reform introduced under the previousgovernment. A judge ordered the publisher to pay Fico8,000 euros (USD11,400) in damages and publish anapology.

In May 2009, then justice minister and currentChairman of the Supreme Court Stefan Harabin sentletters to three publishers and one radio stationrequesting out-of-court settlements of 200,000 euros(USD286,000) from each of them to compensate forarticles and statements published in 2008-09 thatallegedly damaged his reputation. Harabin did notinvoke the new press law to ask for an apology or anyprinted corrections. Harabin has won several libellawsuits against the media since 2006, a fact that hehighlighted in the letters to the media outlets. Observersexpressed concern that the former minister’s objectivewas to intimidate and extort the media rather than torestore his reputation.

In September 2009 former prime minister and currentcoalition partner Vladimir Meciar won 49,500 euros(USD70,800) in damages from the publishing house 7Plus. In 2005 the weekly Plus 7 Days published aninterview with an individual who called the financing of Meciar’s luxurious ‘Elektra’ villa a “virtualreality” that could not be explained. The court of firstinstance ruled that Plus 7 Days should issue an apologyto Meciar but awarded no financial compensation;however, after both Plus 7 Days and Meciar appealed,the second instance court, the Bratislava RegionalCourt, overruled the earlier verdict and awarded Meciarcompensation.

In September 2009 Prime Minister Robert Fico suedPetit Press, the parent company of leading daily Sme for33,000 euros (USD47,143) for damages allegedly

incurred by publication of a cartoon on its opinion page.The cartoon depicted Prime Minister Fico in a doctor’soffice, with the doctor examining an x-ray of Fico’s neckand implying he was spineless. In his lawsuit the primeminister stated that while he was suffering unbearablephysical pain, the Sme daily was misusing his image andmocking his suffering, which harmed his dignity andreputation. Media analysts observed that if the courtsruled in Fico’s favor, it would set a dangerous trendpenalizing satire.

In September 2009, Prime Minister Robert Ficoannounced that he would seek changes to the press lawthat would require publishers to issue corrections within24 hours during the election period and that wouldascribe fines to violations that would not require a courttrial; at year’s end however the prime minister had notsubmitted any amendments to parliament.

Copyright The Slovak Press Publishers’ Association (ZVPT) islobbying for stricter laws regarding copyrightinfringement.

Printing & Distribution Virtual dominance of Grafobal Group in pressdistribution remained in place in 2009. Grafobal Groupis owned by the Slovak entreprenuer Ivan Kmotrik.

State Support There is no state support provided to privately ownednewspapers.

The state subsidizes press agency TASR-Slovakia andpublic service broadcasters Slovak Radio and SlovakTelevision.

Source: CIA – The World Factbook; US State Department; Southeast Europe Media Organisation (SEEMO); EU Observer; Wien International; Media Market Monitor; Branislav Ondrasik,

Slovak Press Publishers’ Association (ZVPTS)




0-14 864 16 442 17 422 1515-64 3,919 72 1,953 74 1,966 7065 + 681 12 255 10 426 15Total 5,464 100 2,650 100 2,814 100



SLOVAKIA

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 10 10 10 10 9 -10.00 -10.00Total paid-for dailies 10 10 9 9 9 -10.00 0.00National paid-for dailies 7 7 7 7 7 0.00 0.00Regional and local 3 3 2 2 2 -33.33 0.00paid-for dailies 1

Morning paid-for dailies 8 8 8 8 8 0.00 0.00Evening and afternoon 2 2 1 1 1 -50.00 0.00paid-for dailies

Total free dailies - - 1 1 - - -Regional and local free dailies - - 1 1 - - -

Total paid-for Sundays 1 1 1 1 1 1 0.00 0.00National paid-for Sundays 2 1 1 1 1 1 0.00 0.00

Source: 2005-2007 ZVPTS; 2008-2009 ABC SR; ZVPTS

Excluding advertising titles1 Including Korzar regional daily and all its regional editions as one title2 Novy Cas Nedela published by Ringier Slovakia a.s.


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 496 533 513 464 434 -12.50 -6.47Total paid-for dailies 496 533 505 461 434 -12.50 -5.86National paid-for dailies 450 490 468 427 402 -10.67 -5.85Regional and local 46 43 37 34 32 -30.43 -5.88paid-for dailiesMorning paid-for dailies 483 521 498 454 427 -11.59 -5.95Evening and afternoon 13 12 7 7 7 -46.15 0.00paid-for dailies

Total free dailies - - 8 3 - - -Regional and local - - 8 3 - - -free dailies


Source: ABC SR; ZVPTS

Excluding circulation of advertising titles; including estimated circulation of Presovsky Vecernik (evening daily) and Sport daily


(mln) Change (%)2002 2003 2004 2005 2006 2006/02 2006/05

Total paid-for dailies 156.0 154.9 145.7 140.2 145.7 -6.60 3.92National paid-for dailies - - 134.4 131.4 136.9 - 4.19Regional and local - - 11.3 8.8 8.8 - 0.00paid-for dailies

Source: ABC SR


(Slovak koruna, mln) Change (%)2002 2003 2004 2005 2006 2006/02 2006/05

Total paid-for dailies 1,560 1,418 1,534 1,501 1,530 -1.92 1.93National paid-for dailies - 1,471 1,450 1,425 1,450 - 1.75Regional and local - 89 84 76 80 - 5.26paid-for dailies

Source: 2002-2004 TNS A-Connect; 2005-2006 ABC SR

4.b Sales revenues

(%)2002 2003 2004 2005 2006

Single copy sales - 65 65 65 65Subscriptions - - 35 35 35

Home deliveries - 20 - - -Postal deliveries - 15 - - -

Total - 100 100 100 100

Source: Slovak Press Publishers Association (ZVPTS)

For all types of paid daily newspapers, unless otherwise notified (non-dailies / Sundays)


(Slovakia, euro)min max


Source: ZVPTS


(%)Reached

All adults 60Men 65Women 45

Source: ZVPTS


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 11 11 - 9 9 -18.18 0.00

Source: 2005-2006 ZVPTS; 2008-2009 AIM Monitor – Media Research

6.a Online editions


Sme Petit Press sme.sk 1,311Pravda Perex pravda.sk 612Novy Cas Ringier cas.sk 546Plus 1 Den Spolocnost 7 Plus pluska.sk 324Hospodarske noviny Ecopress hnonline.sk 245Sport Sport Press denniksport.sk -Uj Szo Petit Press ujszo.com -

Source: AIM Monitor


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Slovak koruna, bln)2004 2005 2006 2007 2008

GDP 1,362.0 1,485.0 1,660.0 1,851.0 2,028.6




SLOVAKIA

(Slovak koruna, 000)2004 2005 2006 2007 2008

GDP per capita 252.6 275.6 307.9 343.4 375.7



(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 2.00 2.13 2.22 2.54 2.01 1.93 2.04 2.03



(Slovak koruna, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 6,528.0 6,637.7 6,538.5 5,815.4 4,390.6 4,233.8 4,735.6 5,206.0Newspapers 2,968.2 2,809.9 2,615.2 2,114.7 1,536.7 1,474.0 1,568.1 1,662.2Magazines 3,559.8 3,827.8 3,923.3 3,700.7 2,853.9 2,759.8 3,167.5 3,543.9

Television 33,983.5 39,769.6 38,523.9 42,293.6 33,086.5 33,055.2 37,979.0 41,366.0Radio 2,624.8 2,648.1 2,177.5 2,114.7 1,850.3 1,973.0 2,132.6 2,320.8Cinema 31.3 31.8 21.6 20.8 18.7 20.8 25.0 31.4Outdoor 1,321.6 1,601.3 1,635.2 2,643.4 2,195.3 2,352.1 2,540.3 2,791.2Internet - 443.3 - 720.4 721.3 721.3 878.1 1,223.1Total 44,489.2 51,131.8 49,494.3 53,608.2 42,262.9 42,356.2 48,290.6 52,938.5

Source: TNS A-Connect; ZenithOptimedia

Before discounts; excludes production costs; includes some classified advertising('display classifieds' for banking/finance, cars, leisure/travel and property); includesagency commission (15%)


(Slovak koruna, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total paid-for dailies 1,794 - - - 1,500 1 -16.39 -

Source: 2004 TNS A-Connect; 2008 ZVPTS1 Estimate



Mobile communication 25.3Insurance companies 13.0Banks 13.0Internet 10.2Female cosmetics 8.7Auto indsutry 7.9Shopping centres 6.9Pharmacies 5.9Chocolate products 5.4Non-alcoholic beverages 3.7

Source: TNS Global Slovakia; Strategie2008


Advertiser Expenditure (Slovak koruna, 000)

Orange Slovakia 407,910T-Mobile 334,934T-Com 154,857Reckitt Benckiser 125,324L’Oréal 123,829Henkel Slovakia 123,157Procter & Gamble 121,236Consumer Finance Holding 97,206Nestlé Slovakia 94,083Allianz-Slovenska poistovna 92,389

Source: TNS Global Slovakia; Strategie2008



Publishing company Total circulation Total revenue 2

(000) (Slovakia, euro, 000)

Ringier Slovakia 150 55,326Petit Press 109 34,410Spolocnost 7 Plus 58 -Perex 51 14,510Sport Press 25 1 -Ecopress 18 6,843Privatpress 7 -

Source: ABC SR; ZVPTS; Trend weekly1 Not audited; estimates range between 25,000 and 40,0002 2008 real revenues; publishers’ claim; exchange rate used: EUR1 = SKK30.13

Title Founded Language Publishing company Circulation Readership Cover price Format Full page ad rateusual max usual max Mono Colour

(year) (000) (%) (Slovakia, euro) (USD) (Slovakia, euro)

Novy Cas 1990 Slovak Ringier Slovakia 150 24.5 0.35 0.50 0.49 0.70 Tabloid - 8,600Sme 1993 Slovak Petit Press 59 7.3 0.45 0.55 0.63 0.77 32 x 42 cm 4,000 5,700Plus 1 Den 2006 Slovak Spolocnost 7 Plus 58 7.3 0.40 0.50 0.56 0.70 28 x 40 cm - 5,200Pravda 1920 Slovak Perex 51 7.6 0.40 0.50 0.56 0.70 Tabloid 4,300 5,300Sport 1948 Slovak Sport Press 25 1 4.6 0.50 - 0.70 - 26 x 34 cm 1,660 3 319Korzar 1998 Slovak Petit Press 25 3.7 0.35 - 0.49 - 28 x 38 cm 2,645 3,400Uj Szo 1948 Hungarian Petit Press 24 2.0 0.30 - 0.42 - 28 x 38 cm 2,400 3,100Hospodarske noviny 1992 Slovak Ecopress 18 3.7 0.60 - 0.84 - 28 x 42 cm 4,008 4,810Presovsky vecernik 1990 Slovak Privatpress 7 - 0.35 - 0.49 - Tabloid 545 -

Source: ABC SR; ZVPTS; MML-TGI/Median.sk1 Not audited; circulation estimates range between 25,000 and 40,000



Dennik 24 1 2007 2 Slovak Dennik 24, s.r.o. 30 Tabloid

Source: ZVPTS; WAN from public sources1 Distributed in Bratislava2 Launched in October 2007; ceased publication in January 2008



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(Slovakia, koruna)2002 2003 2004 2005 2006

Single copy 4 4 4 - 5Subscription 5 5 5 - 6

Source: ZVPTS


(Slovakia, koruna)2002 2003 2004 2005 2006

Average per ton 24,000 20,000 20,000 21,000 22,000

Source: ZVPTS


11. Research (2009)

Circulation is audited byAudit Bureau of Circulation, Slovak Republic

Readership is measured bySlovak Radio Media Research Department

MethodologyOperations: quantitative research includes mediaaudience measurement. Qualitative research includesfocus groups discussions, in-depth interviews.

Methods: face-to-face and telephone interviews, diaries,postal surveys, home use and central location tests, adhoc retail audit, mystery shopping, panels, focus groups,indepth interviews, and projective techniques. TheMedia Research Department (as a special department ofSlovak Radio) carries out regular audience surveysfocused not only on radio audience measurement, butalso on other patterns of media behaviour of the Slovakpopulation (TV and press audience measurement). Italso provides public opinion polls concerned withtopical problems of Slovakia.

Results: listening patterns and indicators, includingratings of broad stations in 30 minute time blocks from2001 up to now, market share (share of broad stationsexpenditure) from 2001 up to now, sociodemographicattributes of radio audience, general media behaviour ofpopulation, and preferences and opinions of the Slovakpublic (political, economical, social questions).

Source: ZVPTS

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

4-colour newspapers 11 11 - 9 8 -27.27 -11.11Tabloids 3 3 - 3 2 -33.33 -33.33Other formats 8 8 - 6 6 -25.00 0.00

Source: ZVPTS


(%)2002 2003 2004 2005 2006


Source: ZVPTS



SLOVAKIA

Tax %



Source: ZVPTS

12. Taxes (2009)





Source: ZVPTS



Source: ZVPTS



Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?Competition in this market segment is protected by theLaw no. 136/2001 for the Protection of EconomicCompetition. It defines the terms of misusing adominant position on the market and providesconcentration and merger guidelines. Concentrationand mergers have to be supervised and approved by theAntimonopoly Office if, according to paragraph 10 ofthe Law, a global annual turnover of the concentratedcompanies is at least SKK1.2 billion, and at least twoparticipants have had an annual turnover in the SlovakRepublic of SKK360 million, or at least one participanthad a turnover in the Slovak Republic of SKK500 mil.and the other one had a global turnover of SKK1.2 bn.


Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality? Slovak anti-competition and antitrust law is based onthe European Union legal practices. There are severalanti-cross-ownership rules, including that according towhich the owner of a national radio or TV stationcannot own a national daily as well. Ownershiprestrictions between two or more national TV stationshave been relaxed within the 2006 Digitalization Law.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?Law no. 136/2001 for the Protection of EconomicCompetition

Is there an antitrust law limiting concentration in the dailypress?Law no. 136/2001 for the Protection of EconomicCompetition


Source: ZVPTS


SLOVAKIA




Allowed, their combinedcoverage cannot exceed 50percent (when they do not

own a national daily or a national radio station)

Allowed Allowed AllowedAllowed, their combined

coverage cannot exceed 50percent

National TVLicensees Allowed Not allowed Allowed Not allowed Not allowed


Allowed (when they do notown a national daily or a national radio station)


AllowedAllowed (when they do notown national TV or national

radio station)

Allowed (when they do notown national daily or or

national TV station)


Allowed Not allowed Allowed Allowed Not allowed


Local Radio Licensees


Allowed (when they do notown a national daily or a national TV station)

Allowed Allowed (when they do notown national TV or national

radio station)

Allowed, their combinedcoverage of local stationscannot exceed 50 percent

National Radio Licensees Allowed Not allowed Allowed Not allowed Allowed

Foreign Investors Allowed without restrictions

Allowed without restrictions




Source: ZVPTS


SLOVENIA

General economic situationSlovenia, which on 1 January 2007 became the first2004 European Union entrant to adopt the euro, is a model of economic success and stability for the region.With the highest per capita GDP in Central Europe,Slovenia has excellent infrastructure, a well-educatedwork force, and a strategic location between the Balkansand Western Europe. Despite its economic success,foreign direct investment (FDI) in Slovenia has laggedbehind the region average, and taxes remain relativelyhigh. Furthermore, the labour market is often seen asinflexible, and legacy industries are losing sales to morecompetitive firms in China, India, and elsewhere. Theinflation rate was estimated at 0.8% in 2009.

Performance of newspapers vs. other mediaThe independent media were active and expressed a variety of views, and international media operatedfreely.

Private investment and advertising supported the majorprint media; however, the government owned substantialstock in many companies that were shareholders in themajor media houses.

Performance of different types of newspapersFree newspapers are a new trend on the Slovenian mediamarket. After the successful breakthrough of the weeklymagazine Zurnal and the weekly publication Dobrojutro, there followed the monthly City Magazine. Dobrojutro is published by Regionalni mediji d.o.o., and hasthe biggest circulation among the free newspapers(350,000 copies), distributed to households.

The largest newspaper publisher, Delo, also tried toestablish itself on the free publications market. Itintroduced its own weekly newspaper, Total tedna,containing typical lifestyle news and features, but thistitle ceased publication in October 2008.

Newspaper launches / closuresIn 2009 Delo launched its new weekly supplementGoodlife.

On May 22, 2009, The New York Times announced thelaunch of The New York Times international weekly inDelo in Slovenia. The section, which will be publishedin English, joins a global network of newspapers thatcarry the news supplement, first published in 2002. Theinternational weekly retains the layout and typographyof The New York Times and includes news coverage,features, commentary, colour photos and graphics aboutthe United States, world affairs, business, culture andsocial trends. It is prepared in New York by a team ofeditors and designers from The New York Times NewsService.

Online / Digital PublishingThere were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by electronic mail. Internet accesswas widely available.

OwnershipMore than 1,000 different media are registered with theMinistry of Culture, with most of them under Slovenianownership.

Delo, Slovenia’s biggest publishing house and the printmedia market leader based in Ljubljana, almost entirelyowned by the Lasko brewery.

In November 2008, Delo increased its holding in theMaribor-based newspaper company Vecer from 20% to79.25% and bought a 19.93% stake in each of thefollowing: the Maribor financial company Fimes, thebus constructor Tovarna vozil Maribor (TVM) and thesmall investment company RIG, based in MurskaSobota. All three companies own shares in Vecer. TheMinistry of Culture, Vecer journalists and the Union ofJournalists all protested against the Ljubljana-based Delo having what is now almost an 80% share in theMaribor-based Vecer. According to the Media Act, everypurchase of shares amounting to more than 20% of a company must be approved by the government’sMinistry of Culture. The Slovenian CompetitionAuthority intends to investigate this. At the time ofwriting, no decision had been made. Other Vecershareholders include the state fund SOD, which owns a stake of almost 10% and the newspaper distributioncompany Delo Prodaja with 6.9%. A further 3.8% ofshares are owned by various other shareholders.

Foreign pioneers on the Slovenian media market includethe Swedish media group Bonnier, the Austrian mediacompany Styria and the Belgian publishing groupRoularta.

The Swedish media group Bonnier Business Press ownsthe daily newspaper Finance.

In 2003, the Austrian publishing house Styria launchedthe free weekly newspaper Zurnal (www.zurnal.si),which had a circulation of 289,000 in 2009. In 2004,Styria bought a 25% stake in the newspaper publisherDnevnik (www.dnevnik.si). On 26 September 2007,Styria oversaw the introduction of the first free dailynewspaper in Slovenia, Zurnal24 (www.zurnal24.si),which had a circulation of 113,000 in 2009.

The Belgian publishing group, Roularta Media Group,publishes the free lifestyle publication City Magazine



SLOVENIA

Source: CIA – The World Factbook; US State Department; World of Print; The New York Times; Wien International

(www.city-on.net), which is available for free in cities,shopping centres and hairdressers. This magazineappears every two weeks with a circulation of 70,000.

Media / Press LawsThe constitution and law provide for freedom of speechand of the press, and the government generally respectedthese rights in practice. Reports of indirect governmentinfluence on the media decreased during the year 2009.

The penal code criminalizes the promotion of “national,race, or religious discord or intolerance or the promotionof superiority of one race over others.” There were noreports that authorities charged any individuals orpublications under this provision during the year.

The law provides criminal penalties for defamation thatharms a person’s honor or name; there were no reports ofany prosecutions for defamation during the year.

In July 2009, Slovenia charged Finnish journalistMagnus Berglund with two counts of criminaldefamation after a documentary he produced quotedunnamed sources as saying that members of the formerSlovene government, including former prime ministerJanez Jansa, accepted bribes in arms deals with Finnisharms maker Patria. Marcus Berglund made theallegations in a September 2008 documentary producedby Finland’s national broadcaster, YLE, and shown inboth Finland and Slovenia. Berglund, who faces up to sixmonths in prison if found guilty of criminal defamation,continued to stand by his work. Former prime ministerJanez Jansa, whose position as a public servant allowshim to petition for criminal defamation, requested onOctober 7, 2008, that the public prosecutor chargeBerglund. According to Slovene law, state and local

institutions, civil servants and military personnel canpetition for criminal defamation, whereas otherindividuals are restricted to civil actions.

On September 4, 2009, a Ljubljana District Courtrejected Slovene daily Dnevnik’s appeal against a temporary injunction that bans the paper fromreporting on an Italian businessman’s allegedinvolvement in a corruption scandal. The injunction,which carries fines of up to EUR500,000 for failure tocomply, relates to articles printed in Dnevnik on July 29,2009, in which the newspaper cited an Italian newspaperand other web-based material. Dnevnik continued toreport on the issue the following day, prompting thebusinessman’s lawyers to file a civil libel action againstthe paper on July 30, 2009, claiming that the newspaperhad damaged the businessman’s reputation. Theinjunction covers any controversial information aboutthe plaintiff, whether or not it is considered factual. TheDnevnik filed an appeal against the injunction onAugust 14, 2009, and received a letter on September 7,2009, notifying them it had been rejected. On October7, 2009, Dnevnik received notification that theLjubljana Court of Appeal overturned the gag order. OnSeptember 30, 2009, the Ljubljana Court of Appealfound the injunction “too broad” and “too invasive offreedom of expression.” The appeal court held thatDnevnik “reported on a topic which was of importanceto the public,” and that “if the Dnevnik publishedincomplete information,” the businessman could“exercise his right of reply.”

State SupportThe government operated a “media pluralization” fundintended to ensure that media reflected a diversity ofviewpoints.


SLOVENIA




0-14 286 14.0 147 14.5 139 13.515-24 241 11.8 126 12.4 115 11.225-34 308 15.1 162 16.0 146 14.135-44 303 14.9 157 15.5 146 14.245-54 312 15.3 160 15.8 152 14.855-64 255 12.5 128 12.7 127 12.465 + 337 16.5 132 13.1 204 19.8Total 2,042 100 1,012 100 1,030 100

Source: Statistical office of the Republic of Slovenia

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 8 8 9 8 8 0.00 0.00Total paid-for dailies 8 8 8 7 7 -12.50 0.00National paid-for dailies 7 7 7 6 6 -14.29 0.00Regional and local 1 1 1 1 1 0.00 0.00paid-for dailies

Total free dailies - - 1 1 1 - 0.00National free dailies - - - 1 1 - 0.00Regional and local - - 1 - - - -free dailies

Total non-dailies 234 240 248 253 230 -1.71 -9.09Total paid-for non-dailies 178 180 184 185 160 -10.11 -13.51Total free non-dailies 56 60 64 68 70 25.00 2.94National free non-dailies 3 4 5 5 6 100.00 20.00Regional and local 53 56 59 63 64 20.75 1.59free non-dailies


Source: 2005 CATI d.o.o.; 2006-2009 Valicon d.o.o.


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 430 350 356 380 410 -4.65 7.89Total paid-for dailies 430 350 328 274 297 -30.93 8.39

National paid-for dailies 410 330 310 257 280 -31.71 8.95Regional and local 20 20 18 17 17 -15.00 0.00paid-for dailies

Total free dailies - - 28 106 113 - 6.60National free dailies - - - 106 113 - 6.60Regional and local - - 28 - - - -free dailies

Total free non-dailies 600 600 800 950 - - -National free non-dailies 600 600 800 950 - - -

Total paid-for Sundays 213 213 166 147 - - -National paid-for Sundays 213 213 166 147 - - -

Source: 2005 SOZ; 2006 Slovenian Advertising Chamber; 2007 SlovenianAdvertising Chamber; WAN assessment (free dailies); 2008-2009 SlovenianAdvertising Chamber


(Slovenia, euro)min max


Source: Valicon d.o.o


(%)Reached


Source: Valicon d.o.o. – National readership survey 2009



group

less than 16 3.8 21.816-24 15.3 51.525-34 15.5 44.535-44 16.4 45.345-54 18.7 49.255-64 16.6 51.665 + 13.7 48.6Total 100 -



(000)2005 2006 2007 2008 2009

Total dailies - - - - 789Total paid-for dailies - - - - 660Total free dailies - - - - 259



6.a Online editions

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 7 8 7 7 7 0.00 0.00Sundays 2 - - - - - -

Source: Valicon d.o.o.


SLOVENIA


(000)

Zurnal24 Zurnal media d.o.o. zurnal24.si 339Finance Casnik Finance d.o.o. finance.si 230Dnevnik Dnevnik, Casopisna druzba d.d. dnevnik.si 214Delo Delo d.d. delo.si 208Vecer CZP Vecer d.d. vecer.com 172Primorske novice Primorske novice, casopisno primorske.si 11

zalozniska druzba d.o.o.

Source: MOSS December 2009


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Slovenia, tolar until 2006, euro from 2007, bln)2004 2005 2006 2007 2008

GDP 6,393.0 6,768.3 7,296.6 33.1 35.7

Source: Statistical Office of the Republic of Slovenia


(Slovenia, tolar until 2006, euro from 2007, 000)2003 2004 2005 2006 2007

GDP per capita 2,951.0 3,173.0 3,329.0 3,588.8 22.3




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 1.26 1.22 1.31 1.44 1.65 1.67 1.74 1.75




(Slovenia, tolar until 2006, euro from 2007, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 25,723.9 29,738.9 144.0 159.0 142.0 123.0 128.0 132.0Newspapers 17,309.5 20,385.6 101.0 109.0 98.0 88.0 89.0 91.0Magazines 8,414.3 9,353.4 43.0 50.0 44.0 35.0 39.0 41.0

Television 46,399.1 46,766.8 243.0 299.0 373.0 411.0 460.0 495.0Radio 4,327.4 4,556.8 20.0 20.0 21.0 21.0 23.0 25.0Cinema 240.4 239.8 2.0 1.3 0.9 0.9 1.0 1.1Outdoor 5,769.8 7,194.9 32.0 32.6 31.0 25.0 29.0 30.0Internet 961.6 1,678.8 11.0 18.0 20.0 24.0 32.0 36.0Total 83,903.1 90,415.9 452.0 533.0 588.0 606.0 672.0 719.0

Source: Mediana IBO; ZenithOptimedia

Excludes agency commission; excludes classified advertising; excludes productioncosts; before discounts; newspapers includes local titles; Internet figure includesdisplay and search, but only for major sites


Services 26.2Special products 22.3Telecommunications 13.1Shops 12.1Health and hygiene / cosmetics 8.1Motoring 7.9Household aid and appliances 3.8Nutrition and stimulants 3.3Textile and clothing 3.1Cleaning products 0.2

Source: Mediana IBO


Advertiser Expenditure (Slovenia, euro, 000)

Hofer 3,315.8Mercator 3,266.5Delo Revije 2,961.3Adria Media Ljubljana 2,845.2Mobitel 2,742.512 Media 2,551.5Delo 2,135.5Zurnal Media 2,007.5Simobil 2,006.4Spar Slovenija 1,865.1

Source: Mediana IBO


Publishing Total revenue company (Slovenia, euro, 000)

Delo 60,580Mladinska Knjiga 52,118Dnevnik 34,007Delo Revije 18,554Vecer 18,330Finance 13,061Adria Media 10,256Primorske Novice 6,685Zurnal Medija 6,165Gorenjski Glas 3,862

Source: Marketing magazine viaZenithOptimedia


Title Language Publishing company Circulation Readership Cover price usual Format (000) (000) (Slovenia, euro)

Slovenske Novice Slovenian Delo d.d. 93 318 0.80 TabloidDelo Slovenian Delo d.d. 64 134 1.10 BroadsheetDnevnik Slovenian Dnevnik d.d. 53 111 1.10 BroadsheetVecer Slovenian CZP Vecer d.d. 47 123 1.10 BroadsheetPrimorske Novice Slovenian Primorske novice d.o.d. 17 1 61 1.10 BroadsheetFinance Slovenian Casnik Finance d.o.o. 16 48 1.40 BroadsheetEkipa Slovenian Salomon d.o.o. 15 38 1.00 Broadsheet

Source: Valicon d.o.o.1 2008 figure



SLOVENIA


Title Founded Language Publishing company Circulation Readership(year) (000) (000)

Zurnal24 1 2007 Slovenian Zurnal media d.o.o. 113 259

Source: Valicon d.o.o.; FDN Newsletter1 Launched in October 2007; editions in Ljubljana, Gorenjska, Stajerska, Primorska, Dolenjska; the newspaper is distributed

through boxes, in more than 300 buses, and by hawkers in 20 cities; as of November 2008, the newspaper is distributed in 30 cities at 6 a.m.; weekend edition delivered by mail early in the morning

11. Research (2009)

Circulation is audited byA project of publishing companies, owned by theSlovenian Advertising Chamber

Readership is measured byNational Readership Survey, owned by the SlovenianAdvertising Chamber

MethodologyThe National Readership Survey:* Executant: Valicon d.o.o.* Sample size: n=6,924* Population: 10-75 years old* Method: everyday face-to-face interviews


Tax %

Standard VAT 1 20VAT on:Single copy sales 8.5Subscription sales 8.5Advertising 20Newsprint 20


Source: Valicon d.o.o.; Deloitte Touche Tohmatsu

12. Taxes (2009)


Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?Yes


Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?Neither a publisher of a general news daily, nor anowner of more than 20% stake of the publishingcompany can be a publisher or a co-founder of a radioor television company, nor can he perform a radio ortelevision activity.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?All individuals or companies owning at least 10% in anycompany must disclose their interest.

Is there an antitrust law limiting concentration in the dailypress?If any publisher controls over 50% of the market, it hasto be reported to the authorities.





Foreign Investors max. 20% max. 20% max. 20% max. 20% max. 20%



SPAIN

General economic situation The Spanish economy grew every year from 1994through 2008 before entering a recession that started inthe third quarter of 2008. Spain’s mixed capitalisteconomy supports a GDP that on a per capita basis isapproaching that of the largest West Europeaneconomies. However, The economy was greatly affectedby the bursting of the housing bubble and constructionboom that had fuelled much of the economic growthbetween 2001 and 2007.

GDP growth in 2008 was 1.2%. Spain suffered a majorspike in unemployment in the last few months of 2008,finishing the year with an unemployment rate over 13%.

The Spanish economy contracted by -3.8% in 2009.The inflation rate was 0.9% and the unemployment ratereached 18% in 2009. Projections for 2010 show thedecline will begin to slow down, but will still be unableto achieve positive growth figures.

Performance of different types of newspapers In January 2009, Pedro J. Ramirez, the director of El Mundo, Spain’s second-most sold newspaper after El Pais, said Spain’s daily newspapers were in “a state ofshock” because of the economic slowdown and the dropin advertising revenues. He said El Mundo’s advertisingrevenues plunged 34 percent in November 2008 aloneover the same year-ago period and predicted they wouldbe down by around 20 percent for all of 2008 whencompared to the previous year.

In a further sign of the stress that Spanish newspaperswere under, Spain’s largest media group Prisa, whichpublishes El Pais, announced in January 2009 it wouldmerge the staff of the newspaper’s print edition with thatof its online version to avoid job losses. “In five years,print newspaper will certainly still exist. In ten years,probably, if things are well done. In 15 years, I am notsure they will still exist in the form that we know,” Prisa’schief executive officer Juan Luis Cebrian said when hemade the announcement.

Newspaper launches / closuresIn January 2009, the Spanish edition of free dailynewspaper Metro ceased publishing, becoming the firstvictim of a sharp economic slowdown in Spain that wasjust starting to impact the nation’s press due toplummeting advertising revenues. Per Mikael Jensen, thehead of Metro International, the Swedish media groupwhich run the newspaper, said the move waas due tofalling revenues and the stiff competition it faced inSpain where there are three other highly popular freedailies.

Metro was the fifth most read daily newspaper in Spainwith more than 1.8 million daily readers. The

newspaper, which employed 80 people, was launched in2001 and by 2004 had achieved profitability but hadbeen posting losses in recent years.

Spain’s three other free dailies, 20 minutos, Que! andADN, had a daily circulation each of nearly one millioncopies meaning the country’s four free dailies had a readership that was equivalent of that of the country’spaid newspapers. Analysts had long warned that thissituation was unsustainable during a sharp economiccontraction that has led to a 35 percent drop inadvertising revenues.

In March 2009 free daily ADN (Planeta Group and localpartners) closed its offices in Sevilla, Malaga and Cadiz.The Sevilla and Malaga editions were to be producedfrom offices in Barcelona and Madrid. The Cadiz andJerez editions (both made in Cadiz) were alsodiscontinued.

Three new editions of Spanish national free daily Que!launched in April 2009: Rioja, Castellon (Castello) andNavarra. All three editions, however, were successors ofADN editions that closed down.

As of April 2009, Que! published 14 editions in Spain.In previous months it closed down five editions.Santander (Cantabria) and San Sebastian (Guipúzcoa)were last published on March 17, 2009. Both started inNovember 2007. Que! Murcia, Cartagena and Mallorcawere last published on December 23, 2008. The Que!Zaragoza edition was to be relaunched as Que! Aragonand distributed in Huesca as well. The Vigo and Alicanteeditions of Que! were closed on July 1, 2009. On June23, 2009, the publisher also closed the A Corunaedition.

In 2009, free daily 20 Minutos closed its offices inAsturias, La Coruña, Vigo, Alicante, Córdoba, Granada,Murcia and Valladolid. The work for the editions is nowdone by local correspondents.

Free daily Aqui in Tarragona, launched in September2006 by Editorial Baix Camp, closed at the end ofFebruary 2009. It had a circulation of 20,000.

Free daily Diario de Almeria closed in the first half of2009. The newspaper was published by LivisaInvestment and had a circulation of 11,000 in Almeria.The same owner closed down sister newspaper Diariodel Mediterraneo (Benidorm/Valencia) in 2006.

Mini Diario, the oldest free daily in Spain, closed in2009. Mini Diario started in November 1992 inValencia. An Alicante edition was launched in 2000.Total circulation was around 60,000. The Alicanteedition closed down in 2008 while the Valencia edition



SPAIN

did not return after the summer of 2008. The last issuewas printed on July 11, 2009.

As of 2009 only one of the editions of the Mes-group oflocal free dailies survived; all others have been convertedto weeklies or stopped publishing. The remaining dailytitle is Més Tarragona, Reus i Costa Daurada, a mergerof the former Mes dailies in Tarragona, Costa Dauradaand Reus.

Advertising In 2009, total media advertising expenditure wasestimated at EUR5,502.2 million, according to a I2PMaple Media study. As a result total advertisingexpenditure decreased by 24.8% compared to theprevious year.

In 2008 and 2009, gross advertising sales of allnewspapers suffered a cumulative decline of 43%. Theeconomic crisis has been extremely hard for newspapers;they have had to implement policies to reduce costs inorder to mitigate some of its effects. Moreover, theslump has interfered with rapidly changing informationand advertising models of newspapers.

In 2008 the European Commission, the executive arm ofthe EU, warned Spain that it faced court action forfailing to comply with the advertising limits, which aimto prevent viewers from having their shows interruptedexcessively and promote television quality across Europe.

Unlike in many other European nations such as Britainand France, in Spain there is no television licence fee.Public television channels are instead financed by a mixture of advertising revenues and direct state aid. InJanuary 2009, the Spanish Association of Advertisersurged the government to limit the number ofcommercials which TV stations can air because it said“saturation advertising” was hurting the effectiveness oftheir messages. It asked the government to enforce a European Union-wide limit of 12 minutes of advertsper hour, which is routinely violated by the country’sprivate broadcasters.

On April 14, 2009, Prime Minister Jose Luis RodriguezZapatero said that the government would “drasticallyreduce” the amount of advertising allowed on thecountry’s two public television stations.

Spain’s ruling Socialist Party introduced a bill to axeadvertising on the public channels in May 2009 and themeasure was approved by the country’s Senate in July2009. Previously, the two public channels, TVE1 andTVE2, broadcast 10 minutes of adverts an hour.

The National Broadcasting Radio & Television (RTVE)Financing Law came into force on September 1, 2009.TVE may no longer enter into contracts for advertisingspace. There was a significant reduction of advertising

space during October, November and December. ByJanuary 2010, advertising was absent from Spanish statetelevision.

The death of advertising provoked a new financingmodel at RTVE. To compensate for annual advertisingrevenue losses, predicted to be around EUR478 millionin 2009, Spanish authorities established a three-waysolution. Privately owned commercial stations mustprovide the country’s two public television stations with3 percent of their annual gross income, which will raisean estimated EUR140 million. Telecommunicationsproviders also offering audiovisual services (Telefonica,Vodafone, Orange and others) will have to give theequivalent of 0.9 percent of their profits, whichtranslates to EUR290 million. The third financingsource will come from taxes that all operators, fromradio stations to telephone companies, have to pay forthe right to use a portion of the radio frequency. Thesetaxes come to EUR240 million.

Circulation Circulation of daily newspapers dropped about 6% in2009 compared to the previous year, while audienceslowly increased.

In 2009, the four major dailies El Pais, El Mundo, ABCand La Razon lowered their sales at newsstands by11.79% year-on-year, according to OJD data. Thesedeclines translated into a 2.4% reduction in the copysales revenues, which is less than in 2008 when it was4%, mainly because the newspapers increased their coverprice.

On March 30, 2009, Prisa increased the price of its dailyEl Pais by 9.1 percent to EUR1.20 a copy from Mondayto Saturday. El Pais said its Sunday editions wouldremain at the same price of EUR2.20.

Readership After seven years of permanent growth in readership, freedaily 20 Minutos lost readers for the first time in March-April 2009, according to EGM/AIMC research. Thenewspaper had the highest readership in Spain with2,772,000 daily readers, but compared to the full year2008 (2,889,000), 20 Minutos lost readers.

The second most read newspaper in Spain was sportsnewspaper Marca with 2,749,000 daily readers. El Paiswas third with 2,182,000 readers while free daily Que!was fourth with 2,116,000 readers (2,255,000 in 2008).Free daily ADN was fifth with 1,671,000 readers(1,787,000 in 2008).

Online / Digital Publishing There were no government restrictions on access to theInternet. Authorities monitored Web sites for materialcontaining hate speech and advocating anti-Semitism;there were no reports that the government monitored


SPAIN

e-mail or Internet chat rooms. Individuals and groupscould engage in the peaceful expression of views via theInternet, including by e-mail. Internet access was readilyavailable from a number of providers.

In February 2010 the first online Arabic-languagenewspaper aimed at the Arabic community in Spain waslaunched in Madrid. The newspaper, available atandaluspress.com is website for all Arabic-speakingimmigrants from Spain, a community estimated at onemillion people consisting mainly of Moroccans. Itsfounder is Moroccan journalist Saïd Ida Hassan, theformer head of the MAP news agency in Madrid andpresident of the Association of foreign presscorrespondents in Spain (ACPE).

Spanish free daily 20 Minutos saw its unique monthlyonline visitors go up by 48%, from 547,000 in March-April 2008 to 810,000 in March-April 2009, accordingto EGM research. Sports daily newspaper Marca had themost online visitors with almost 2.7 million; El Pais andsports newspaper As followed with 2.4 and 1.3 million.Not all newspapers, however, were included in the EGMresearch. Paid newspaper El Mundo and other freedailies Que! and ADN did not participate.

On March 25, 2009, Spain’s free press organisation, theAsociacion Espanola de la Prensa Gratuita (AEPG),announced the launch of the country’s first search enginefor printed free publications. More than 150 free onlinepublications have been made available in a move which,according to the AEPG, confirms the organisation’scommitment to online. AEPG said the launch of thenew search engine was a response to the changing natureof the sector, in which print advertising revenues haveplummeted to all-time lows. The new tool enables usersto search for material based on location, traffic, type andcontent. The original search service on offer was just forprinted publications, but has now been expanded toinclude digital titles which do not have print equivalents.The announcement follows a similar move recently bythe Spanish government, which unveiled a virtualnewspaper library earlier in March 2009.

In October 2009, elmundo.es announced the creation ofa another edition of its website, to include a new focuson news from the ‘Americas’. The decision coincideswith the 20th anniversary of the newpaper founded in1989 and comes following data that reveals a widereadership base in Latin America. Elmundo.es America’sonline portal is divided into seven sections: NorthAmerica, Central America, the Carribbean, SouthAmerica, Sport, Economy and People. Each countrywithin these regions also has an exclusive page wherestories relevant to that country can be found.

In November 2009, Arcadi Espada, a Catalan journalistwho had frequently questioned the future of printjournalism, launched a new online only, paid for news

website under the name of Factual. The daily newswebsite, which kicks off with a starting budget ofEUR250,000, will charge its customers an annual fee of EUR50 for access to unlimited content and officiallywent live on November 30, 2009. The launch comes onthe back of the closure of popular Spanish news websiteSoitu in October 2009, which shut down after just 22months in production. Soitu, which was recognised asbeing at the forefront of online journalism, similarlybelieved that the printed word was no longer enough tosatisfy readers and looked to incorporate viedos,comments, updates etc. into their website, evendeveloping its own social network. Utoi.es spin-offwebsite was designed as a space where readers couldcreate profiles and discuss different stories an themes, a kind of ‘news-only Facebook’. In an October 22, 2009,post titled ‘Hasta la vista y gracias’, Soitu founderGumersindo LaFuente thanked the half a million uniquevisitors a month the site had managed to attractthroughout it’s short life.

Digital news website Globedia was launched in 2009.Headed by Basque firm Hispa Vista, Globedia is entirelyand exclusively written by the online community. Thewebsite’s aim is to “offer people information publishedby anyone with a desire to express and spread an idea orthought on current affairs and general interest issues.”Globedia does not have an editorial team as such, muchless an editor. Instead, readers and contributors alike areinvited to rate articles by way of a vote. High-scoringitems naturally work their way to the home page; ineffect, readers get to set the agenda. As well as relying onthe contributions of Web users, Globedia is also bankingon attracting advertisers to the websites.

Ownership The government in February 2009 passed a law whicheliminated a 5.0-percent limit on cross shareholdings attelevision broadcasters. The law is intended to ease sector mergers at a time when Spain’s media is beinghammered by the country’s worst recession for morethan five decades, with advertising revenues droppingsharply.

In May 2009 Edipresse Group completed the purchaseof the remaining 40% of Focus Ediciones held by theoriginal founders and minority shareholders. Thistransaction was effectuated according to a shareholder’sagreement signed in October 2003, at which timeEdipresse acquired 60% of the share capital. Edipresse isnow a 100% owner of Focus Ediciones.

In June 2009 debt-burdened media group Prisa askedstaff to take pay cuts and it was suspending dividendsprobably until 2011 as it stepped up its restructuringefforts. The owner of newspaper El Pais did not rule outa capital hike, as shareholders approved in 2008, and willpress to find business partners.


SPAIN

Around a quarter of Prisa’s EUR4 billion (USD5.6billion) in revenue in 2008 came from advertising, a sector ravaged by a housing slump and a deeprecession. Prisa shareholders in December 2008approved the company raising up to EUR2 billion torecapitalise itself. Since then it extended a EUR2 billionbridge loan until 2010, giving it some breathing space.In 2009, current debt was around 6 times core earnings(EBITDA).

In June 2009 it was reported that Pearson, theeducational publisher based in the United Kingdom,had held preliminary talks with Prisa, the Spanish mediagroup, over the possible purchase of a stake in Santillana,Prisa’s publishing house and a market leader in schooltextbooks in Spanish-speaking Latin America. It wasunderstood that Prisa could be looking to sell up to 30per cent of the business in a deal that could fetch up toEUR360 million (GBP315 million).

Prisa had been under pressure to sell assets or bring inother investors for more than a year, after being forced tobuy out minority investors in Sogecable, which holds itsDigital Plus pay-TV business and free-to-air channel.The deal piled an additional EUR2 billion of short-termdebt onto its balance sheet, just as the Spanish economystarted to slow, savaging advertising revenues. Thecompany, which owns El Pais newspaper, was finalisingdebt-restructuring talks with a syndicate comprisingthree Spanish banks as well as SBC. BNP and Natixis. InJanuary 2009, Prisa was forced to abandon the sale ofDigital Plus after a joint bid by Telefonica. The Spanishtelecoms group, and Vivendi of France fell short of whatit needed to reduce financial gearing.

In August 2009, Prisa announced that negotiations withrival Imagina on the merger of their television operationshad broken down. The two announced in June 2009they had given themselves a month to sign a merger dealinvolving their television operations. Prisa runs thetelevision channel Cuatro while Imagina holds another,La Sexta.

In October 2009, Prisa announced it had had bought 12percent of Spanish language television broadcaster V-meMedia for an undisclosed sum, with an eye to takingcontrol of the group. V-me Media owns the V-me cableTV station, the fourth largest Hispanic TV channel inthe United States.

In October 2009 Prisa announced sharp declines in bothits core and net profit in the first nine months of 2009,offering aggressive cost cutting to tide it over therecession. Prisa said nine-month core profit fell toEUR506.8 million (USD756.8 million), just less thanexpected in a Reuters poll, as a deep recession hitrevenues. Net profit fell 77.5 percent to EUR46.7million, lower than the average analyst forecast forEUR63.5 million. In an attempt to weather the storm,

overall costs were scaled back 15.4 percent in the period,outpacing expectations for a fall of about 11 percent.Advertising revenue, which makes up about a quarter ofthe group’s total, fell a greater-than-expected 22 percent,although improving on a fall of 25.2 percent in the firstsix months of 2009. Total revenue fell 21.2 percent,suffering from comparison with extraordinary gains theprevious year on the sale of property. Still, revenue in allof its business units was down except for textbooks,which rose nearly 4 percent. Investors will remainfocused on Prisa’s repositioning plans which includeasset sales and a rumoured tie-up with Italianbroadcaster Mediaset SpA, owned by Italian PrimeMinister Silvio Berlusconi, for some or all of its TVinterests.

Media / Press Laws The constitution provides for freedom of speech and ofthe press, and the government generally respected theserights in practice. An independent press, an effectivejudiciary, and a functioning democratic political systemcombined to ensure freedom of speech and of the press.

The independent media remained active and generallyexpressed a wide variety of views without restriction.Individuals could criticize the government publicly orprivately without reprisal, and the government did notattempt to impede such criticism.

The law prohibits, subject to judicial oversight, actionsincluding public speeches and the publication ofdocuments that the government interprets as glorifyingor supporting terrorism. A 2007 Constitutional Courtruling stated that Holocaust denial could no longer bepunished by incarceration, since it is permissible in theframework of freedom of speech. Previously, the lawprovided punishment of up to two years in prison for theoffence. The court concluded that imprisonment for theoffence of justifying the Holocaust or genocide would becompatible with the constitution.

In October 2008 Reporters without Borders identifiedETA for threatening journalists, contending that severaljournalists in the country required personal protectionor chose to leave the Basque Country due to suchthreats; the judicial sentence against the weekly El Juevesfor printing an obscene cartoon of the prince andprincess of Asturias; the summoning of daily Gara andDeia editors by a court for the publication of satiricalimages of King Juan Carlos; the Partido Popular’sboycott of Grupo Prisa; and the firing of Cristina PeriRossi by radio station Cataluna Radio for speaking inCastilian rather than Catalan.

Media group Prisa, publisher of El Pais, Spain’s biggest-selling daily, and usually a Socialist ally, has becomeincreasingly critical of prime minister Jose LuisRodriguez Zapatero. The newspaper’s greatest ire hasbeen reserved for a law rushed out to regulate terrestrial


SPAIN

digital pay-television (TDT). The “scandalous andabusive” TDT law was, it thundered, aimed at “satisfyingthe interests of a group of friends.” Those friends arePrisa’s foes at Miedapro, a fast-expanding media groupthat launched a pro-Zapatero newspaper, Publico, in2007. The two groups are battling not just for left-leaning newspaper readers but also for valuable TVfootball rights. The new law allowed Mediapro topromote its pay soccer channel to TDT viewers just asthe league season started, hurting Prisa’s own satellite-TV channel, Digital+.

Copyright In May 2009 a court ruling in Madrid exclusivelygranted intellectual property rights to newspapers,giving them total control over their own content. Thecase first came to court more than two years ago when atotal of 55 newspaper editors challenged a companycalled Documentacion de Medios, for using content aspart of their press-clipping service. The ruling meansthat, in future, any companies seeking to use newspapermaterial in a similar way will first need to get permissionfrom the editor in question. More precisely, in the caseof Documentacion de Medios, the company was foundto have been in breach of intellectual property rights andguilty of having used content, despite the oppositionclearly expressed by the various newspapers. Thesentence also stated that existing agreements betweenpress-clipping agencies and news associations were not inthemselves sufficient to grant agencies the right to carryout news summaries or media cuttings without priorconsent from the editor.

Fresh on the heels of the successful legal battle in May2009, the Spanish press decided in June 2009 to launchanother judicial fight, this time to reclaim work used bynews aggregators. The move follows concerns voiced bythe European Newspaper Publishers’ Association(ENPA), which in May 2009 issued a statement warningthat news aggregators should act lawfully, fairly andrespectfully by asking newspapers’ for their approvalbefore using content.

Under a draft law unveiled in December 2009, a newregulatory body would be set up with the power toinvestigate suspected illegal downloaders andrecommend sanctions, including “blocking or closing”sites used for file sharing. It also would allow theauthorities to require Internet service providers toprovide information on illegal file sharers. The draft lawwas welcomed by the recording and film industries,which say they have lost millions of euros through illegalInternet downloads. But it has been met with fiercecriticism on the web and by Spain’s main oppositionPopular Party, which accuses the Socialist governmentseeking to censor the Internet with the proposed newlaw. A manifesto against the draft law has been signed bytens of thousands of people in Spain, which has one ofthe highest rates of illegal downloads. Prime Minister

Jose Luis Rodriguez Zapatero said the proposed lawwould not lead to the closure of websites.

Taxes In June 2009, AEEPP, the Spanish trade association forpress publishers, asked the government to loweradvertising taxes as a way of overcoming the currenteconomic crisis. In an official notice, AEEPP stated thatadvertising actively encourages domestic growth, andthey proposed to government to reduce VAT andprovide other financial incentives to encouragebusinesses to maintain and increase their advertisingexpenditure during the crisis.

In December 2009 Spain’s Ministry of Cultureannounced plans to slash value-added tax on electronicbooks to the same low level as traditional paper volumes.The Ministry of Culture said in a statement the taxwould be lowered from 16 percent to 4 percent on theelectronic devices, as the battle heats up between rivalcompanies to capture the fledgling market.

State Support In March 2009, the Spanish media rallied together in aneffort to gain government support to save the country’stelevision, radio and press from demise, with newspapersseeking generous tax breaks. The various branches of thecommunications industry each put together their ownlist of proposals, which have since been presented to thegovernment. As well as fiscal incentives, Spanishnewspapers asked the PSOE administration to look atways it may be able to boost newspaper readershipamong the country’s younger residents, and securefinancial assistance in order to modernise newsrooms.During a presentation of the report, Pilar de Yarza,president of the Asociacion de Editores de DiariosEspanoles (AEDE), referred to examples of stateintervention in other countries, naming help with newscirculation, financial aid in updating technologicalresources and subsidised rail and postal transportation assome of the measures taken.

In June 2009, after many months of deliberation, JoseLuis Rodriguez Zapatero’s administration came forwardwith a proposal for newspapers, but editors wereunimpressed. The government was offering EUR60million in soft credits for printing purposes, credit fromthe Official Credit Institute (ICO) worth EUR300million, deferred payment by up to a year of employers’social security contributions, training for journalists, thecreation of a centre of journalism excellence, promotingnewspaper subscriptions within government and thepublic sector, as well as a marketing plan to promotesales of newspaper e-reader, the Kindle DX.

As Pilar de Yarza, president of AEDE said to El Mundo,“the aforementioned measures should not be passed overto the board of ministers” for approval. Althoughbroadcasters have not technically received any direct


SPAIN


Source: CIA – The World Factbook; Asociacion de Editores de Diarios Espanoles (AEDE); European Journalism Centre(EJC); US State Department; Expatica; AFP; El Pais; Editors Weblog; Publicitas; FDN Newsletter; Le Monde;

Reuters; FinanzNachrichten.de; The Economist; Expatica; PR Noticias

funding, the written press was unhappy with what it seesas preferential treatment given to broadcasters. “It’s notenough,” said Pilar de Yarza. “It does not offer realfinancial relief and it is far removed from what the

government has done for television, for example. Just bycutting publicity from TVE, the government has freedup around EUR500 million.”


0-13 6,311 3,242 3,06914-19 2,713 1,394 1,31920-24 2,715 1,381 1,33425-34 7,545 3,877 3,66835-44 7,598 3,890 3,70845-54 6,293 3,144 3,14955-64 4,962 2,420 2,54265 + 7,637 3,246 4,391Total 45,774 22,594 23,180

Source: Universos EGM


Social class All individuals Male Female000 % 000 % 000 %

A+B 3,807 9.6 2,017 10.4 1,790 8.9C1 6,396 16.2 3,251 16.8 3,145 15.6C2 17,129 43.4 8,637 44.6 8,492 42.2D 9,663 24.5 4,404 22.8 5,259 26.2E 2,467 6.3 1,043 5.4 1,424 7.1Total 39,462 100 19,352 100 20,110 100

Source: EGM1 Aged 14 and over




Source: Universos EGM





under 1 year old 367 2.2aged 1-2 798 4.8aged 3-4 847 5.1aged 5-13 3,817 22.9

Total 16,645 100

Source: EGM

Age Housewives000 %

Under 25 272 1.625-34 2,233 13.435-44 3,579 21.545-54 3,261 19.655-64 2,684 16.165 + 4,616 27.7Total 16,645 100

Source: EGM



Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 159 172 166 163 155 -2.52 -4.91Total paid-for dailies 139 140 140 140 139 0.00 -0.71Morning paid-for dailies 139 140 140 140 139 0.00 -0.71

Total free dailies 20 32 26 23 16 -20.00 -30.43

Source: 2005 AEDE; OJD; 2006-2008 AEDE; WAN assessment (free dailies); 2009 AEDE; WAN-IFRA assessment (free dailies)

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 7,629 9,072 8,685 8,284 6,524 -14.48 -21.25Total paid-for dailies 4,196 4,138 4,196 4,165 3,915 -6.70 -6.00Total free dailies 3,433 4,934 4,489 4,119 2,609 -24.00 -36.66

Source: 2005 AEDE; OJD; WAN assessment (free dailies); 2006-2008 AEDE; WANassessment (free dailies); 2009 AEDE; WAN-IFRA assessment (free dailies)


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 1,520 1,488 1,495 1,473 1,417 -6.78 -3.80Morning paid-for dailies 1,520 1,488 1,495 1,473 1,417 -6.78 -3.80

Source: AEDE



SPAIN

(Spain, euro, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 1,263 1 1,260 2 1,300 1,290 1,200 -4.99 -6.98

Source: AEDE1 Estimate about 2% year-on-year decrease2 Estimate

4.b Sales revenues


(%)2004 2005 2006 2007 2008

Single copy sales 75.1 74.4 71.5 72.7 68.8Subscriptions 14.2 9.7 10.4 9.2 11.9Office deliveries - 4.8 8.4 8.5 8.3Bulk 6.1 6.2 5.0 4.8 5.1Free distribution 4.6 4.7 4.3 4.3 5.4Other - 0.2 0.4 0.5 0.5Total 100 100 100 100 100

Source: AEDE; OJD

(Spain, euro)min max


Source: AEDE


(%)Reached


Source: EGM 2009



group

14-19 5.5 31.720-24 7.0 40.525-34 20.7 43.235-44 21.3 44.145-54 18.3 45.655-64 13.2 41.765 + 14.1 29.0Total 100 -

Source: EGM 2009


(minutes per day)2005 2006 2007 2008 2009

All newspapers 17 17 17 18 16Magazines 4.0 3.0 4.0 4.0 3.4Radio 110 112 108 104 108Television 222 222 220 225 229Internet 27 32 36 42 49

Source: EGM


6.a Online editions

Change (%)2003 2004 2005 2006 2007 2007/03 2007/06

Dailies 1 100 100 59 53 51 -49.00 -3.77Non-dailies - - 43 - - - -

Source: 2003-2005 AEDE; 2006-2007 OJD1 Dailies audited by OJD (Spanish ABC)2006 On the assumption that most newspapers have their own website; 2007AEDE estimate that almost all Spanish paid-for dailies have a website, but OJDonly monitors 51 dailies

Newspaper Publishing company Website Unique visitors per month 2 Page impressions per month(000) (000)

El Mundo Unidad Editorial Información General elmundo.es 22,257 338,707Marca Unidad Editorial Información Deportiva marca.com 18,677 444,077El Pais Diario El Pais elpais.com 5,000 -Sport Ediciones Deportivas Catalanas S.A. sport.es 4,854 80,228Mundo Deportivo El Mundo Deportivo S.A. elmundodeportivo.es 3,655 55,79120 Minutos 1 Schibsted 20minutos.es 3,500 -La Vanguardia La Vanguardia Ediciones lavanguardia.es 3,332 36,546As Diario AS as.com 2,600 -El Periodico de Catalunya Ediciones Primera Plana elperiodico.com 2,006 24,260ABC Diario ABC abc.es 2,200 -Publico Mediapubli Sociedad de Publicaciones y Ediciones, S.L. publico.es 2,012 17,850Expansion Unidad Editorial Internet S.L. expansion.es 1,923 19,270La Voz de Galicia La Voz de Galicia S.A. lavozdegalicia.es 1,465 19,245La Nueva Espana Editorial Prensa Iberica lne.es 1,047 15,275Que! 1 Vocento quediario.com 750 -El Correo Diario El Correo elcorreo.com 520 -ADN 1 Planeta Group adn.es 520 -

Source: OJD Interactiva; Nielsen Online Market Intelligence; WAN-IFRA based on Google Ad Planner data

Data by OJD Interactiva as of December 2009; not all online newspapers are measured by OJD Interactiva; Google Ad Planner data as of March 2010; all Google AdPlanner traffic statistics are estimates1 Free daily2 Measured by Nielsen Online Market Intelligence: Marca, Sport, El Periodico de Catalunya; data from Google Ad Planner: El Pais, 20 Minutos, La Vanguardia, ABC,

Publico, Expansion, Que!; other data by OJD Interactiva



SPAIN

(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Spain, euro, bln)2005 2006 2007 2008 2009

GDP 908.5 981.0 1,050.1 1,095.2 1,052.4

Source: INE


(Spain, euro, 000)2005 2006 2007 2008 2009

GDP per capita 20.6 21.9 23.2 23.8 22.5

Source: INE


(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.73 0.73 0.75 0.64 0.53 0.53 0.55 0.57




(Spain, euro, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 2,951 3,186 3,468 3,082 2,435 2,412 2,502 2,641Radio 610 637 678 641 526 509 518 531Cinema 43 42 38 21 13 12 12 12Outdoor 494 529 568 518 427 419 425 437Internet 162 310 482 610 641 711 853 1,090Total 6,601 7,164 7,851 6,998 5,614 5,580 5,844 6,275

Source: Duplo; Nielsen; Infoadex; ZenithOptimedia

After discounts; excludes agency commission; excludes production costs; excludesclassified advertising; Magazines excludes directories but includes newspaper supplements


Total dailies 1,701.5 1,863.5 1,991.9 1,575.6 1,158.0 -31.94 -26.50Total paid-for dailies 1,615.1 1,737.3 1,847.6 1,475.9 1,108.6 -31.36 -24.89Total free dailies 86.4 126.3 144.3 99.7 49.4 -42.82 -50.45Total Sundays 124.5 128.7 142.9 113.8 75.0 -39.76 -34.09

Source: I2P – prepared by Arce Media and Media Hotline

Excluding agency commission and volume discounts



In colour 201,453 245,869 272,919 261,862 260,269Total 764,105 800,504 778,204 655,468 562,833


Excluding self-advertising


(%)2005 2006 2007 2008 2009




Advertiser Expenditure (Spain, euro, 000)

Viajes El Corte Inglés 29,600Volkswagen Audi 25,400Marsans Viajes 24,100El Corte Inglés 14,800Vodafone 12,900Telefonica 11,900BMW 11,900Globalia 10,400Viajes Iberia 9,600La Caixa 9,100

Source: I2P – Prepared by Arce Mediaand Media Hotline



Automotive 14.4Public Services 11.0Travel & Tourism 10.5Finance 9.4Arts & Entertainment 7.8Distribution 7.4IT and Telecommunications 6.8Private Services 6.2Culture and Sport 4.6Decoration 4.0

Source: I2P – Prepared by Arce Mediaand Media Hotline


Publishing company Total circulation Total revenue (000) (Spain, euro, 000)

Diario El Pais 431 355,205Unidad Editorial Información General 324 186,631Unidad Editorial Información Deportiva 296 122,560Diario ABC 252 171,299Diario AS 230 82,660La Vanguardia Ediciones 202 179,258Audiovisual Española 154 87,965Ediciones Primera Plana 152 120,385Diario El Correo 115 81,979La Voz de Galicia 103 78,308

Source: I2P – Prepared by Arce Media and Media Hotline



SPAIN

Title Language Publishing company Circulation Readership Cover price usual(000) (000) (Spain, euro)

El País Spanish Diario El Pais 431 2,081 1.20El Mundo del Siglo XXI Spanish Unidad Editorial Información General 323 1,309 1.20Marca Spanish Unidad Editorial Información Deportiva 296 2,800 1.00ABC Spanish Diario ABC 252 728 1.20As Spanish Diario AS 230 1,306 1.00La Vanguardia Spanish La Vanguardia Ediciones 202 731 1.20La Razón Spanish Audiovisual Española 154 355 1.20El Periódico de Catalunya Spanish Ediciones Primera Plana 152 749 1.20El Correo Spanish Diario El Correo 115 503 1.10La Voz de Galicia Spanish La Voz de Galicia 103 597 1.10

Source: AEDE


Title Founded Language Publishing company Circulation Readership(year) (000) (000)

20 Minutos 1 2001 Spanish Multiprensa y Mas, S.L. 789 2,772Que! 2 2005 Spanish Factoria de Informacion, S.A. 741 2,116ADN 3 2006 Spanish Editorial Pagina Cero, S.A. 690 1,671

Source: PGD Spain; EGM/AIMC; FDN Newsletter; WAN-IFRA from public sources1 15 editions published in 2009: A Coruna, Alicante, Asturias, Barcelona, Bilbao, Cordoba, Granada, Madrid, Malaga, Murcia,

Sevilla, Valencia, Valladolid, Vigo, and Zaragoza.

2 The daily Que!, once publishing editions in 16 different markets in Spain, published 10 editions in 2009: Aragon, Asturias,Castellon, Rioja, Navarra, Madrid, Malaga, Sevilla, Valencia and Bilbao.

3 In April 2009, ADN published nine editions, having closed down already a dozen editions.


Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total number of employees 11,141 - 11,591 11,667 11,064 -0.69 -5.17

Source: AEDE based on annual reports

9.a Employment


Total salary costs 485.0 649.2 637.4 685.9 633.4 30.6 -7.65

Source: AEDE based on annual reports

2005 Estimate

9.b Salaries

(Spain, euro)2002 2003 2004 2005 2006

Average per ton - 490 470 490 500

Source: AEDE


11. Research (2009)

Circulation is audited byOJD

Readership is measured byAIMC

Source: AEDE

Tax %




Source: AEDE

12. Taxes (2009)





Source: AEDE


SPAIN



Source: AEDE



Is there any law prohibiting or restricting foreign companiesor individuals from owning shares, and in particular, themajority of shares, of domestic daily newspapers? The press is subject to no specific regulation, but followsthe general legislation for foreign capital investment. Ifforeign investment does not exceed 50% of total capitalinvestment then such investment is not subject toadministrative scrutiny. Participation over 50% isallowed but subject to investigation.

Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?No, but no person, private or governmental, Spanish orforeign, may own more than 49% of a televisioncompany.




Source: AEDE


SWEDEN


General economic situation Aided by peace and neutrality for the whole of the 20thcentury, Sweden has achieved an enviable standard ofliving under a mixed system of high-tech capitalism andextensive welfare benefits. It has a modern distributionsystem, excellent internal and external communications,and a skilled labour force. Privately owned firms accountfor about 90% of industrial output, of which theengineering sector accounts for 50% of output andexports. Agriculture accounts for only 1% of GDP andof employment. Until 2008, Sweden was in the midst ofa sustained economic upswing, boosted by increaseddomestic demand and strong exports. Despite strongfinances and underlying fundamentals, the Swedisheconomy slid into recession in the third quarter of 2008and growth continued downward in the fourth asdeteriorating global conditions reduced export demandand consumption. The inflation rate was estimated at -0.5% (deflation) in 2009.

Performance of different types of newspapers The number of titles on the Swedish market has beenrather stable over the past decades, but a decline in thenumber of dailies is now apparent. The decline is mainlydue to newspapers having become editions of othernewspapers.

Nearly all Swedish newspapers are local or regional incharacter. Only two popular tabloids, Aftonbladet andExpressen, plus a business daily, Dagens Industri, are oftruly national stature.

Metro (Metro International) is today the only free dailywith a presence in Sweden’s three metropolitan areas,Stockholm, Göteborg and Malmö. The previouscompetitors in these cities, City (Bonnier) and Punkt se(Schibsted), have either changed publishing strategy(City integrated into Bonnier Magazines group) or leftthe market entirely (Punkt se).

Newspaper launches / closuresOn May 11, 2009, Swedish local paid newspaper Upsala Nya Tidning launched new free daily 18Minuter. The newspaper is published five days a week with a circulation of between 15,000 and 20,000, and contains local, national and internationalnews. The newspaper is produced by three journalistscovering the local area and use material from Stockholm press agency, TT Spektra, for the rest of thecontent.

City Stockholm, the former free daily from Swedishpublishing house Bonnier, was integrated into theBonnier Magazines group as of August 2009. Thirty-three jobs were cut in the integration process. CityStockholm converted into a three-days-a-weekpublication (Monday, Wednesday, and Thursday) in

September 2008. The Wednesday edition was droppedin April 2009.

Advertising Advertising sales account for 50-55 per cent of paid-fornewspapers revenue, with the rest coming fromnewspaper copy sales. Paid-for newspapers attract almost40 per cent of total media advertising expenditures; withfree newspapers included, the figure rises to around 46per cent.

Circulation Roughly 80 per cent of Swedish newspaper sales are bysubscription, with the two street-sale tabloidsaccounting for the remaining 20 per cent.

Online / Digital Publishing There were no government restrictions on access to theInternet or reports that the government monitored e-mail or Internet chat rooms. Individuals and groupscould engage in peaceful expression of views via theInternet, including by e-mail.

A new service for watching movies over the Internet forfree attracted more than a quarter of a million Swedes inthe first two weeks after its launch in November 2009.Founded in Stockholm in 2005, Voddler offers usersstreaming on-demand videos free of charge. When itreleased a beta version of its technology in July 2009, theservice attracted 16,000 users on the first day. Voddlerlaunched an updated version of the service in lateOctober 2009, inviting customers of Swedish Internetservice provider Bredbandsbolaget to sign up. Two weeksafter its launch the service attracted more than a quarterof a million Swedes. Voddler has licensing deals with twomajor Hollywood studios, Walt Disney Company andParamount.

Ownership In 2009, mergers, acquisitions, alliances and jointventures continued to develop. Several newspapersbecame incorporated within media groups.

The Bonnier Group is by far the largest player on theSwedish newspaper market, with one-fourth of totalnewspaper circulation. Norwegian Schibsted andGöteborg-based Stampen AB share second place witharound 16 per cent of newspaper circulation each.Bonnier and Schibsted are both highly diversified in themedia sector and active throughout the Nordic region,while Stampen is mainly a newspaper company andactive in Sweden only. One distinctive characteristic ofthe Swedish press has always been the presence of a relatively large number of strong provincial newspapergroups. Foundation-owned Mittmedia, NorrköpingsTidningar and Gota Media, and family-owned NyaWermlands-Tidningen (Ander family) and Herenco


SWEDEN

(Hamrin family) all operate chains of papers that eachmake up between four and eight per cent of totalnewspaper circulation. The chains have increased theirdominance in their respective regions; in many cases thecompanies are the sole publishers of daily papers on theirhome markets."

Bonnier’s three newspaper divisions together account for26 per cent of the group’s total revenue in 2008(Morning papers 12%; Popular tabloid 6%, Businesspress 8%). Bonnier publishes seven titles on the Swedishmarket, which together make up just under one-fourthof total circulation. Principal among them are theleading Swedish morning paper, Dagens Nyheter(Stockholm); Expressen/GT/Kvällsposten, a nationallydistributed street-sale tabloid; Sydsvenska Dagbladet(Malmö), a regionally dominant daily paper; andDagens Industri, a business paper.

Schibsted entered the Swedish market in 1996 throughthe purchase of 49.99 per cent of Aftonbladet, flagshipof the Swedish labor movement. Schibsted assumed theoperative management of the paper, which is fullyconsolidated in the Schibsted group, while the SwedishTrade Union Confederation retained the right toappoint the editors of the opinion-leading departmentsof the paper. In 1998, Schibsted acquired SvenskaDagbladet, the Conservative second paper inStockholm. These two acquisitions give Schibsted 16 percent of total daily circulation. Since June 2009,Schibsted owns 91% of Aftonbladet.

Göteborg-based Stampen AB, owned by the Hjörnefamily, publishes primarily newspapers but is also largein printing. Stampen has grown in the Swedish dailynewspaper market, rising from 7 per cent of averagedaily circulation in 2004 to over 16 per cent in 2008.The company’s principal paper is Göteborgs-Posten, theleading paper in southwestern Sweden and the fourth-largest newspaper in the country. In 2005 Stampen tookover the greater part of the Center Party’s newspaperholdings, and in 2007 gained control of a number oftitles. These acquisitions rendered Stampen a principalowner of newspapers around Lake Mälaren, an inlandsea west of Stockholm. These include VLT (Västerås)and Nerikes Allehanda (Örebro). Stampen also enteredinto the free paper market in greater Stockholm throughthe purchase of a number of free non-dailies in the area(Gisab).

Mittmedia is one of the provincial publishers that hasgrown in recent years. It is owned by two Liberalfoundations, Stiftelsen Gefle Dagblad (70%) andStiftelsen Pressorganisation (30%). In 2001, then underthe name of Gefle Dagblads Förvaltnings AB, the groupconsisted of five papers. Today, after taking over fourCenter Party papers plus Dalarnas Tidningar andLänstidningen Östersund, Mittmedia is the dominantnewspaper owner in north-central Sweden.

Media / Press Laws The constitution provides for freedom of speech and ofthe press, and the government generally respected theserights in practice. An independent press, an effectivejudiciary, and a functioning democratic political systemcombined to ensure freedom of speech and of the press.

The law criminalizes expression considered to be hatespeech and prohibits threats or expressions of contemptfor a group or member of a group based on race, colour,national or ethnic origin, religious belief, or sexualorientation. Hate speech may be punished by penaltiesranging from fines to a maximum of four years in prison.During 2009, members of the National Socialist Frontwere prosecuted under the hate speech law.

In May 2009, the Administrative Court of Appeal(Kammarrätten) in Sundsvall in northern Sweden ruledmobile phone text messages should be considereddocuments in line with Sweden’s Press Freedom Act(Tryckfrihetsförordningen). The court decided it alsodoesn’t matter whether or not the messages are sent to apolitician’s private telephone or one issued to him by thepublic authority for which he or she works. Whatmatters in determining whether the text messages areconsidered public documents or not, according to thecourt, is the content of the messages themselves.Messages relating to the activity of a public authorityand which are created, or are accessible by, a publicservant, should be considered as having been received bythe agency, which is in turn responsible for archiving thecommunications. In addition, said the court, sucharchived text message communications are also eligiblefor release to the public as stipulated by Sweden’sgenerous open records laws. The rulings stems from arequest made by the local TV4 affiliate to the municipalexecutive board in Umea in northern Sweden. Thetelevision station wanted the board to produce all of thetext messages sent and received by municipalcommissioner Lennart Holmlund between June andDecember 2008. The board refused the request, and thecase eventually ended up in court.

On August 17, 2009, an article in the country’s largesttabloid newspaper, Aftonbladet, cited a Palestiniansource alleging that Israeli troops harvested organs fromPalestinian prisoners for sale on international markets.The Israeli government asked the government tocondemn the article. However, the country’s officialsstated they were bound by the constitution and unableto make such statements, which would violate thefreedom of press. After the Swedish ambassador to Israelissued an apologetic statement in response to the articleand posted it on the embassy’s website, a member ofparliament filed a complaint with the parliament’sCommittee on the Constitution that the ambassador’sapology constituted “interference” with the freedom ofpress. Separately, a private citizen filed a complaint withthe chancellor of justice against Aftonbladet for inciting


SWEDEN

Source: CIA – The World Factbook; US State Department; The Local; Metro; EU Observer; FDN Newsletter;Nordicom; Swedish Newspaper Publishers' Association

racial agitation. In September 2009 the chancellor ruledthe article did not involve racial agitation, and no furtherinvestigation was conducted.

Copyright The government is reviewing whether legislation oncopyright and employment should be introduced. A proposal is expected in 2010.

Printing & Distribution Discussions between newspaper industry representatives,the Postal Office and the government have continuedregarding a possible cooperation in distributingnewspapers and postal issues.

Most newspapers, the so-called morning press, are nearly100-per cent subscribed and delivered to households inthe early morning. Popular tabloids are sold on a single-copy basis and appear on the stands in midmorning.

Postal Issues Discussions between newspaper industry representatives,the Postal Office and the government have continuedregarding a possible cooperation in distributingnewspapers and postal issues.

Taxes On November 13, 2009, international newspaper groupMetro International S.A. announced that the SwedishAdministrative Court of Appeal had dismissed MetroInternational’s appeal against a former ruling from theCounty Administrative Court. The case concernsadditional advertising tax which has been levied onMetro International’s publishing entity in Sweden,Tidnings AB Metro, following a decision by the SwedishTax Authorities in 2007. The additional advertising taxamounts to approximately SEK90 million includinginterest. Metro International was appealing against thejudgement to the Supreme Administrative Court andwill also apply for a respite of the payment.

State Support On June 17, 2009, the European Commission (EC)called on Sweden to reduce the funding it provides tonewspapers in large towns, claiming that they breachEuropean Union rules on state aid. Sweden has longprovided the second-biggest newspaper in a city or townwith state subsidies as a countervailing measure againstthe tendency for advertisers to flock towards the top-selling paper. But the EC views the country’s publicfunding of a town’s second-biggest newspaper as runningcounter to European Union competition rules.Specifically, the EC wants a gradual reduction in themaximum aid provided to large newspapers in the bigcities, and for what aid it does provide to be for a limitedtime only. The commission suggests a period of six yearsafter which a review should be carried out to assess theimpact of the aid on pluralism and competition.

The government proposed that subsidies to SvenskaDagbladet (SvD) and Skanska Dagbladet be reducedfrom the current level of SEK65.4 million (USD10.2million) to SEK45 million. The new press support levelswill take effect in 2011. The changes are due torequirements from the EC that state subsidies mustcomply with European Union rules.

Other Factors On February 4, 2010, the Swedish daily newspaperDagens Nyheter (DN) announced it was slashing 100jobs after a year of continued losses. Dagens Nyheterreported losses of 97 million kronor (USD13.3 million)with costs per staff member running at 850,000 kronor.The redundancies wipe out more than a third of thepublication’s editorial staff. The lay-offs are to affect100-120 of the newspaper’s 580 strong workforce; 60-70editorial staff, with the remaining cuts primarilytargeting sales and administrative employees. The staffcuts follows a tough austerity programme launched by the Bonnier family-owned flagship publication in2009.


SWEDEN



0-15 1,665 811 85416-24 1,099 535 56425-34 1,148 561 58735-44 1,301 639 66245-54 1,182 583 59955-64 1,216 607 60965 + 1,645 917 728Total 9,256 4,653 4,603

Source: Orvesto; SCB – Statistics Sweden; ZenithOptimedia



A+B 2,394 1,087 1,307C1 2,794 1,517 1,277C2 1,963 991 972D 1,257 619 638E 639 311 328Total 9,047 4,525 4,522

Source: Orvesto; SCB – Statistics Sweden; ZenithOptimedia


Occupancy Households000 1 %

Total 4,470 100

Source: Statistics Sweden via Nordicom1 Number of dwellings at year’s end



Age Housewives000 %

Total 58 100

Source: SCB – Statistics Sweden

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 91 91 91 90 89 -2.20 -1.11Total paid-for dailies 88 85 84 84 84 -4.55 0.00

National paid-for dailies 4 4 4 4 4 0.00 0.00Regional and local 84 81 80 80 80 -4.76 0.00paid-for dailiesMorning paid-for dailies 86 83 82 82 82 -4.65 0.00Evening and afternoon 2 2 2 2 2 0.00 0.00paid-for dailies


Total non-dailies 121 133 135 136 136 12.40 0.00Total paid-for non-dailies 78 79 81 82 82 5,13 0.00


Total free non-dailies 43 54 54 55 55 27.91 0.00Regional and local 43 54 54 1 55 55 27.91 0.00free non-dailies

Source: 2005 Tidningsstatistik AB; 2006-2008 Tidningsstatistik AB (Swedish AuditBureaux of Circulations); WAN assessment (free dailies); 2009 Tidningsstatistik AB(Swedish Audit Bureaux of Circulations); WAN-IFRA assessment (free dailies)1 Newspapers with audited circulation only. In 2007, Sweden had an estimated

300-350 free newspapers.


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 4 368 4 473 4 645 4 394 3 904 -10.62 -11.15Total paid-for dailies 3 603 3 554 3 430 3 334 3 205 -11.05 -3.87

National paid-for dailies 905 907 902 844 909 0.44 7,70Regional and local 2 698 2 647 2 528 2 490 2 296 -14.90 -7.79paid-for dailiesMorning paid-for dailies 2 835 2 784 2 738 2 677 2 565 -9.52 -4.18Evening and afternoon 768 743 692 657 640 -16.67 -2.59paid-for dailies

Total free dailies 765 919 1 215 1 060 699 -8.63 -34.06Regional and local 765 919 1 215 1 060 699 -8.63 -34.06free dailies

Total non-dailies 1 998 2 309 2 494 2 375 2 035 1.85 -14.32Total paid-for non-dailies 395 401 403 389 399 1.01 2.57


Total free non-dailies 1 603 1 908 2 091 1 986 1 636 2.06 -17.62Regional and local 1 603 1 908 2 091 1 986 1 636 2.06 -17.62free non-dailies

Source: 2005 Tidningsstatistik AB; 2006 Tidningsstatistik AB (Swedish AuditBureaux of Circulations); WAN assessment (free dailies); 2007-2009Tidningsstatistik AB (Swedish Audit Bureaux of Circulations)



SWEDEN



(%)2005 2006 2007 2008 2009

Single copy sales 20 20 19 19 18Subscriptions 75 75 76 76 77

Home deliveries 70 71 71 71 -Postal deliveries 4 4 5 5 -

Free distribution 5 5 5 5 5Total 100 100 100 100 100

Source: Tidningsstatistik AB (Swedish Audit Bureaux of Circulations)

(Sweden, krona)min max


Source: Swedish Newspaper Publishers’Association

4.d Cover prices (2006) 5.a Newspaper reach (2009)

(%)Reached


Source: TNS SIFO


group

9-14 4115-24 5825-44 7645-64 8865-79 85Total 77

Source: Mediebarometern; Nordicom-Sverige


(minutes per day)2005 2006 2007 2008 2009

All newspapers 29 29 28 28 25Magazines 14 14 16 14 13Radio 105 109 100 93 91Television 96 101 99 96 96Internet 32 53 61 68 68

Source: Nordicom; Mediebarometer

Individuals aged 9-79


6.a Online editions

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 70 75 77 78 78 11.43 0.00Non-dailies 47 103 103 103 103 119.15 0.00

Source: Swedish Newspaper Publishers’ Association

Including online editions of paid-for and free newspapers

Website Publishing company Website Unique visitors per month 1

(000)

Aftonbladet Aftonbladet Nya Medier AB aftonbladet.se 5,093Expressen AB Kvällstidningen Expressen expressen.se 2,277Dagens Nyheter Dagens Nyheter AB dn.se 1,396Dagens Industri DI Online AB di.se 923Svenska Dagbladet Svenska Dagbladet AB & Co svd.se 877

Source: Kia-Index week 10, 20091 Unique visitors per week


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Swedish krona, bln)2004 2005 2006 2007 2008

GDP 2,625 2,735 2,901 3,064 3,158



(Swedish krona, 000)2004 2005 2006 2007 2008

GDP per capita 291.0 301.6 318.4 334.5 342.9



(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.67 0.71 0.72 0.73 0.64 0.66 0.66 0.65



(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 1,416.0 1,400.3 1,399.3 1,344.7 1,280.2 -9.59 -4.80Total paid-for dailies 1,214.0 1,184.5 1,153.1 1,120.7 1,077.3 -11.26 -3.87National paid-for dailies 330.0 319.4 308.1 288.4 308.9 -6.39 7.11Regional and local 884.0 865.1 845.0 832.3 768.4 -13.08 -7.68paid-for dailiesMorning paid-for dailies 922.0 903.3 890.0 845.8 814.2 -11.69 -3.74Evening and afternoon 292.0 281.2 263.1 274.9 263.1 -9.90 -4.29paid-for dailies

Total free dailies 202.0 215.8 246.2 224.0 202.9 0.45 -9.42Regional and local 202.0 215.8 246.2 224.0 202.9 0.45 -9.42free dailies

Total non-dailies 119.0 134.3 130.4 124.4 108.9 -8.49 -12.46Total paid-for non-dailies 38.0 38.7 34.4 33.2 33.8 -11.05 1.81

National paid-for non-dailies 5.0 4.9 2.2 2.1 2.2 -56.00 4.76Regional and local 33.0 33.8 32.2 31.1 31.6 -4.24 1.61paid-for non-dailies

Total free non-dailies 81.0 95.6 96.0 91.2 75.1 -7.28 -17.65Regional and local 81.0 95.6 96.0 91.2 75.1 -7.28 -17.65free non-dailies

Source: Tidningsstatistik AB (Swedish Audit Bureaux of Circulations)


SWEDEN

(Swedish krona, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 4,143 4,546 4,698 4,969 4,198 4,429 4,690 4,875Radio 515 643 701 728 629 678 728 752Cinema 68 74 91 104 100 105 111 118Outdoor 1,000 1,068 1,039 1,060 939 1,031 1,066 1,089Internet 1,974 3,004 4,069 4,822 4,594 4,718 4,932 5,095Total 18,256 20,650 22,198 23,021 19,516 21,046 21,970 22,756

Source: University of Gothenburg; Annonsorforeningen; IRM; ZenithOptimedia

Includes classified advertising; excludes agency commission; excludes productioncosts; after discounts; Magazines includes consumer and trade titles; Newspapersincludes city, regional and evening titles; includes advertising tax; Internet includesbanner, boards, buttons, interstitials, classified, place, catalogue and search advertising



(Swedish krona, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 8,049 8,357 8,589 8,295 7,095 -11.85 -14.47National paid-for dailies 1,297 1,348 1,460 1,332 1,315 1.39 -1.28Regional and local 6,752 7,009 7,129 6,963 5,780 -14.40 -16.99paid-for dailiesMorning paid-for dailies 7,145.0 7,417.0 7,715.5 7,434.2 6,395.0 -10.50 -13.98Evening and afternoon 904.0 940.0 873.5 860.8 700.4 -22.52 -18.63paid-for dailies

Total free dailies 1 1,355 1,504 1,655 1,647 1,875 38.38 13.84Total paid-for non-dailies 250 490 504 481 390 56.00 -18.92Regional and local 250 490 504 481 390 56.00 -18.92paid-for non-dailies

Total online newspapers 349 468 701 872 790 126.36 -9.40

Source: IRM – Institute for Advertising and Media Statistics and SwedishNewspaper Publishers’ Association1 Including free dailies and free non-dailies



In colour 463,984 463,984 469,900 446,405 390,198Total 753,373 753,373 762,981 724,832 649,790

Source: Swedish Newspaper Publishers’ AssociationColumn meters

(%)2004 2005 2006 2007 2008

Display 60.1 57.4 57.0 53.0 50.0Classified 37.1 36.0 36.0 38.0 40.0Inserts 2.9 2.7 3.0 3.0 3.0Online - 3.9 5.0 6.0 7.0Total 100 100 100 100 100





Retail 38Organisations 18Travel, tourism, transport 8Motor, vehicles 8Bank, finance 5Office supplies, computers 5Books, media education 3Property/Building Construction 3Groceries, beverages, tobacco 2Furniture 2

Source: Sifo Research International


Advertiser Expenditure (Swedish krona, 000)

ICA 407,955Coop 248,175Telia 213,853Ikea 191,452Media markt 168,692Fastighetsbyran Swedbank 153,039Citygross 143,133Svensk Fastighetsförmedling 133,774Bjurforsgruppen 132,310Svenska Kyrkan 129,514

Source: TNS SIFO 2009


Owner Revenue (Swedish krona, 000)

Provincial Dailies 3,114,835Dagens Nyheter 1,714,667Stormarknads Press 1,376,990Aftonbladet 1,289,319Goteborgs Posten 1,241,617Sydsvenska Dagbladet 1,157,034Svenska Dagbladet 1,058,683Expressen 792,017Mitt i Tidningarna 728,766Metro Stockholm 681,416

Source: RM 2009 via ZenithOptimedia

Publishing company Total circulation Total revenue (000) (Swedish krona, 000)

Bonnier AB 1,004 5,174,000Schibsted 621 2,773,000Tidnings AB Stampen 246 1,822,000Gota Media 168 757,000Gefle Dagblads Förvaltnings AB 146 822,000Herenco AB 131 -Mkt Media AB 118 690,000Nya Wermlands-Tidningen AB 109 798,000Norrköpings Tidningars AB 60 572,000VLT AB 45 -

Source: Press Subsidies Council (revenue); Tidningsstatistik AB-Swedish AuditBureaux of Circulations (circulation)



SWEDEN

Title Language Publishing company Circulation Readership Cover price usual Format Full page ad rateMono Colour

(000) (000) (Swedish krona) (Sweden, krona)

Aftonbladet Swedish Aftonbladet Hierta AB 359 1,183 9.00 Tabloid 200,000 200,000Dagens Nyheter Swedish Dagens Nyheter AB 316 879 15.00 Tabloid 235,000 200,000Expressen incl GT Swedish AB Kvällstidningen Expressen 291 1,020 9.00 Tabloid 97,000 155,000and Kvällsposten

Göteborgs-Posten Swedish Göteborgs-Posten Nya AB 236 552 12.00 Tabloid 107,000 153,000Svenska Dagbladet Swedish Svenska Dagbladet AB & Co 197 518 15.00 Tabloid 149,000 149,000Sydsvenskan Swedish Svenska Dagbladet AB 121 304 15.00 Tabloid 97,000 127,000Dagens Industri Swedish Dagens Industri AB 102 401 20.00 Tabloid 128,000 128,000Helsingborgs Dagblad with Swedish Helsingborgs Dagblad AB 76 187 15.00 Tabloid 90,000 120,000Västra Skånes Tidningar and Landskrona Posten

Dalarnas Tidningar Swedish Dalarnas Tidningar KB 61 145 15.00 Tabloid 55,000 75,000Nerikes Allehanda Swedish NA tidningar AB 61 151 15.00 Tabloid 51,000 68,000

Source: Tidningsstatistik AB – Swedish Audit Bureau of Circulations; Sifo Research International; Swedish Newspaper Publishers’ Association



(year) (000) (000) (Swedish krona)

Metro 1995 Swedish Metro International S.A. 1 605 1 693 Tabloid 151 000 151 000City Malmö Lund 2006 Swedish Sydsvenskan AB 53 136 Tabloid 21 000 21 00018 Minuter 2009 Swedish Upsala Nya Tidning 2 49 - Tabloid - -City Helsingborg/Extra 3 2007 Swedish Helsingborgs Dagblad 4 14 36 Tabloid 12 600 12 600City Landskrona 2008 Swedish Helsingborgs Dagblad 4 4 302 Tabloid 7 350 7 350

Source: Circulation: Tidningsstatistik AB; Readership: Sifo Research International; Prices and format: Swedish Newspaper Publishers’ Association; FDN Newsletter1 Schibsted acquired a 35% stake in Metro Sweden in 2008; the deal was approved by the Swedish Competition Authority (Konkurrensverket) on September 18, 2008;

Schibsted made an alliance between Metro and the paid-for daily Aftonbladet in 20082 Local paid-for daily3 A former title until August 11, 2008 was Xtra! In August 2008, the free daily Xtra! Helsingborg, launched by paid-for newspaper Helsingborgs Dagblad in 2007,

was converted into a Helsingborg City edition.4 Paid-for daily



Total salary costs 5,408 5,588 5,637 - 5,726 5.88 -


9.b Salaries


4-colour newspapers 91 137 147 150 149 63.74 -0.67Broadsheets 30 32 26 16 14 -53.33 -12.5Tabloids 44 92 98 111 112 154.55 0.90Other formats 17 21 23 23 22 29.41 -4.35Berliner - - - 13 - - -



(%)2002 2003 2004 2005 2006

Single copy sales 22 - - - 20Home deliveries 44 - - - -


Based on approximated cost per copy for weekdays; Sundays cost more


(Sweden, krona)2002 2003 2004 2005 2006

Single copy 2.0 2.0 2.0 2.0 2.5


Approximated cost per copy for weekdays; Sundays cost more


11. Research (2009)

Circulation is audited byTidningsstatistik AB (Swedish Audit Bureau of Circulations)

Readership is measured byTNS SIFO

MethodologyCirculation: Reports and visitsReadership: Panel


Tax %



Tax on profits – standard rate 26.3Tax on profits for newspapers 26.3Tax on advertising 3


12. Taxes (2009)


SWEDEN








Total amount 495 495 515 530 551 11.31 3.96







Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?Only general legislation


Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?In the process of selecting to whom licenses to run a commercial radio should be granted, one criterium isthat pluralism should be promoted. In some cases, localnewspapers are therefore not likely to be able to get a local radio license. The issue of how to allocatecommercial radio licenses is once again considered by a governmental committee.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?Yes, this follows from the requirements in the legislationon joint stock companies.

Is there an antitrust law limiting concentration in the dailypress?No. The competition law is not applicable.




SWEDEN




No separate regional broadcast TV licences have

so far been allocated

No legal obstacle butnational transmissionsrequire a licence from

the government

Allowed Allowed Allowed

National TVLicensees

Regional TV transmissionsallowed within the licencefor national transmissions


the government






the government

Allowed Allowed

Formally allowed, but willnot get licenses in practice

due to selection processbased on plurality





the government

Allowed Allowed

Formally allowed, but willnot get licenses in practice

due to selection processbased on plurality





the government


Local Radio Licensees No separate regional

broadcast TV licences haveso far been allocated


the government


Foreign Investors No separate regional

broadcast TV licences haveso far been allocated


the government




SWITZERLAND

General economic situation Switzerland’s economy benefits from a highly developedservice sector led by financial services and a manufacturing industry that specializes in high-technology, knowledge-based production. . Switzerlandremains a safehaven for investors, because it hasmaintained a degree of bank secrecy and has kept up thefranc’s long-term external value. The global financialcrisis and resulting economic downturn could, however,put Switzerland in a recession in 2009, particularly asglobal export demand stalls. Switzerland’s largest bankssuffered significant losses in 2008 and the country’slargest bank accepted a government rescue deal in late2008. The inflation rate was estimated at -0.6%(deflation) in 2009.

Performance of newspapers vs. other media The financial and economic crisis is hitting Swiss mediacompanies hard. In addition to the structural upheavalsbrought about by the electronic media, the sharp drop inrevenue from advertising is having drastic effects.

Performance of different types of newspapers At almost the same time in autumn 2009, the three maindaily newspapers, the Neue Zürcher Zeitung, (NZZ),Tages-Anzeiger and Blick all underwent a major facelift.As well as introducing a new layout, they madeconsiderable changes to the structure of the pages andthe content.

In October, to mark its 50th anniversary, the masscirculation newspaper Blick abandoned the tabloidformat that had been trendy for a short time (2004-2009) and returned to the Berliner or ‘midi’ format andbig headlines. According to Ringier director MarcWalder, the main reason for the change was todifferentiate the newspaper from free newspapers. Blick’stabloid format had the sport section printed upside-down on the back of the newspaper. The broadsheetformat has a separate sports section.

Newspaper launches / closuresIn 2009 many free newspapers closed down. Despitehigh numbers of readers, there was not enoughadvertising income for free newspapers to becomesuccessfully established from the commercial point ofview. Out of seven free (commuter) daily newspapersthat were being published, four closed down in thecourse of the year: Cash daily, .ch, Le Matin bleu, and News. On the other hand, 20 Minuten celebratedits 10th anniversary and, commercially speaking, it is one of the most successful newspapers inSwitzerland.

On March 20, 2009, free business daily Cash publishedits last issue. The newspaper will continue its onlineedition.

On May 4, 2009, Swiss free daily .ch printed its lastedition. Earlier plans to cut down circulation to only oneor three days a week had not been put into practise.Almost 70 people lost their jobs. In 2008 .ch had a circulation of 370,000.

As a result of Tamedia’s proposed acquisition ofEdipresse announced in March 2009, the freenewspapers in French-speaking Switzerland, 20 Minutes(Tamedia) and Le Matin Bleu (Edipresse), will be foldedinto the other, with the likely loss of 20 out of 70 jobs.The final edition of Le Matin Bleu in its current formwas scheduled for September 25, 2009. After this date,the reunited editorial teams were to develop a newconcept that will combine 20 minutes and Le MatinBleu. The first merged edition was scheduled to bepublished during November 2009 under the name 20minutes.

In August 2009, Swiss free evening newspaper Blick amAbend (Ringier) launched local editions in Luzern andSt. Gallen. Blick am Abend is now available in three localeditions: Zurich, Berne and Basle.

In early 2010, sports newspaper SportWoche waslaunched in Switzerland. The first edition had a circulation of 75,000.

Advertising The devastating effect of the decline in advertising salesfor print media can be seen from the Publicitas Index,which has been gathering data since 1993. In the last 17years, the annual fall was never as low as 19.7% in 2009.The index reached its lowest level ever, at 72.2 points.The advertising market has never recovered since themiddle of 2002, when the index fell for the first timebelow 100 index points.

While the total net advertising income across all mediatypes fell by 3.3% in 2008 compared with 2007, theadvertising income for print media was down by 6%.Then in the following year, 2009, advertising sales simplycollapsed: daily newspapers -21.6%, regional weeklynewspapers -1.2%, Sunday newspapers -29.4%, financialand economic newspapers -30.1%, newspapers for thegeneral public -19.9%, speciality press -8.8%, technicalpress -16.5%. In 2008, the publications included in theadvertising statistics produced by WEMF AG for mediaadvertising research reported losses on advertising salestotalling at 1,886.6 million Swiss francs, while in 2009revenue from print advertising came to 1,585.7 millionSwiss francs, down by 20.4% compared with 2008. Jobadvertisements alone fell by 45.3%, and propertyadvertisements were down by 20.2%.

In 2009, the daily press generated net advertisingrevenues of 888.5 million Swiss francs, the regional



SWITZERLAND

weekly newspapers 51.2 million and the Sunday press149.8 million Swiss francs.

Publishing houses are renegotiating their leasingcontracts with the leading advertising companyPublicitas AG. Others are intensifying their contactswith advertising customers and handling the sale ofadvertising space themselves.

Circulation With the exception of free newspapers, virtually all dailynewspapers have been trying to combat fallingcirculation for years. The effects that free newspapers arehaving on the traditional daily newspapers are now clearto see.

Since 1999 when 20 Minuten came on the market as thefirst free daily in Switzerland, the number of paid-fornewspaper titles (published at least once a week) hasfallen from 233 to 197 and the total average dailycirculation of these newspapers is down from 4.2 millionto 3.7 million copies. While circulation of paid-for dailynewspapers in Switzerland is slightly above 2 million,free daily newspapers, even after the closure of four titlesin 2009, still distribute more than 700,000 copies.

Readership Despite the economic situation, overall readershipfigures for the print media were higher in 2009 than everbefore: 92.4% of the Swiss population above the age of14 read newspapers regularly. This is largely thanks tothe free commuter newspapers, which are read by allpopulation groups, young and old. Since 1999 when 20Minuten came on the market, its overall readership hasrisen continuously from 89.0% to 92.4%.

Online / Digital Publishing There were no government restrictions on access to theInternet or reports that the government monitored emailor Internet chat rooms. Individuals and groups couldengage in the peaceful expression of views via theInternet, including by email. Internet access was widelyavailable.

In a pilot project, the Swiss Post Office is testing a dailynewspaper that is customised to each individual reader.About 1,000 volunteers are receiving their‘Personalnews’ five times a week, drawn from thecontent of 20 domestic and foreign newspapers, either asan e-paper or a hard copy that is delivered, hot off thepress, to their homes.

In November 2009 the Swiss data protection watchdogtook Google to the country’s Federal AdministrativeCourt over an alleged failure to protect people’s privacyon its Street View website, two months after launchingthe service in Switzerland. Hanspeter Thür, the federaldata protection and information commissioner, saidGoogle had not done enough to make faces and vehicle

number plates unrecognisable on the service, whichprovides panoramic, street-level photos. Thür filed a motion seeking to freeze any expansion of Google’sactivities under a temporary injunction. This wouldprevent Google from taking any further photographybut would not require it to shut down the serviceentirely.

Ownership With retrospective effects dating back to January 2009,AZ-Medien took complete control of the Vogt-SchildMedia Group. This means that the regional dailynewspapers Solothurner Zeitung, Grenchner Tagblattand Langenthaler Tagblatt joined the AZ Group.

By 2013, Tamedia AG is expected to be the largest Swissmedia company. At the beginning of March 2009, theTamedia company, based and mostly active in German-speaking Switzerland, announced that it would graduallybe taking over Geneva-based French-language publisherEdipresse Publications SA, based in western Switzerland.The goal, according to the joint press release from thetwo companies, is to create a media company on a national scale. Tamedia is paying CHF226 million fora first 49.9% share in Edipresse, with the deal set to gothrough soon, and a 0.2% share to be transferred in early2011. The Zurich company will own 50.1% of theshares by the beginning of 2011 and 100% by 2013.The merger was approved by Comco, the federalCompetition Commission, in September 2009 and isexpected to be completed by 2013.

As a result of the acquisition, the free newspapers inFrench-speaking Switzerland, 20 Minutes (Tamedia)and Le Matin Bleu (Edipresse), will be folded into theother. The media companies will also merge their onlineclassifieds.

In the future, some of the largest daily newspapers willall come from the same publisher: Tages-Anzeiger,Berner Zeitung, Der Bund, Thurgauer Zeitung, Le Matin, 24 Heures, 20 Minuten, 20 minutes andothers.

In May 2009 Basler Zeitung sold Radio Basel 1 to MFEMedien. The new majority shareholder and owner isRadio Basilisk founder Christian Heeb, who plans torename the radio station. The Swiss supervisoryauthority must approve the sale.

Media / Press Laws The constitution provides for freedom of speech and ofthe press, and the government generally respected theserights in practice. An Independent press, an effectivejudiciary, and a functioning democratic political systemcombined to ensure freedom of speech and of the press.

The law penalizes public incitement to racial hatred ordiscrimination, spreading racist ideology, and denying


SWITZERLAND

crimes against humanity. There was at least oneconviction during the year under this law. In June 2009,a district court found the president of the Bern Cantonchapter of the Swiss Freedom Party guilty of racialdiscrimination for a February 2008 Internet blogposting in which he referred to asylum-seekers as“primates.” The court sentenced the individual to a suspended fine."

On February 3, 2009, the Cantonal Justice Departmentof Graubuenden apologized to a shopkeeper of Davoswho was forced by police to remove Tibetan literatureand the Tibetan flag from her shop window during thevisit of Chinese Premier Wen Jiabao to the WorldEconomic Forum in 2008.

It is a crime to publish information based on leaked“secret official discussions.” On September 17, 2009, theZurich District Court acquitted two former employeesof the Zurich Department of Social Affairs of this crime.The court acknowledged that the two employees hadviolated official secrecy by giving insider information tothe press but determined, based on an earlier FederalCourt ruling and an exception clause in the law, that thishad been the only way to draw attention to a series ofcases involving welfare abuse.

On June 24, 2009, a court in Zurich fined two reportersfor violating the law concerning leaked officialdiscussions when they published secret information onan investigation related to the resignation of a formerfederal prosecutor.

Copyright In February 2009 the Swiss newspaper association,Schweizer Presse, urged its members to implement theAutomated Content Access Protocol (ACAP) on theirwebsites, the standard that allows rights and permissionsinformation to be communicated directly to searchengines and news aggregators through the crawlers theyuse to search and index and web. The new standard givespublishers more control over the use of their onlinecontent.

Printing & Distribution In September 2009, the Competition Commission gavethe green light for the sale of the early deliveryorganisations of the main media companies in German-speaking Switzerland to the Swiss Post Office. However,it prohibited the media companies from anyinvolvement in the new distribution organisation.

The publishers of the daily newspapers Blick, Tages-Anzeiger and Neue Zürcher Zeitung (NZZ) arestopping the sale of newspapers from dispensers as it isunprofitable. Only on Sundays the existing dispenserswill continue to be filled with Sunday newspapers.

Other Factors 2009 may well go down in the records of mediacompanies as the year in which more jobs were lost thanever before. More than a thousand journalists andemployees in publishing houses lost their jobs. Somenewspapers have greatly reduced their network offoreign correspondents, and those journalists whoremain are increasingly writing for several differentpublications or media.

In May 2009, Espace Media announced it was going tocontinue publication of the daily newspaper Der Bundin collaboration with Tages-Anzeiger. Espace Media saidit planned to strengthen sales and employ various cost-cutting measures as a result of the sharp decline ofadvertising expenditures in the first three months of2009. The collaboration will see a total of 22 positionseliminated. The editorial staff of Der Bund will compriseof 35 full-time positions as opposed to the previous 54,with a total of 19 staff cuts. Tages-Anzeiger will alsoreorganise its editorial staff in preparation for the changeby eliminating a total of 50 full-time positions, some ofwhich through early retirements. Furthermore, allregional news is to be combined in one newspapersection. The Newsnetz, News and Tages-Anzeiger werealso slated to collaborate more closely in the future. Thechanges to operation will result in the reduction of 57jobs.

Source: CIA – The World Factbook; US State Department; Verband Schweizer Presse; Persoenlich; GenevaLunch;Financial Times; Tamedia; Edipresse; WAN-IFRA from public sources; NZZ Online; FDN Newsletter


SWITZERLAND



0-14 1,180.6 15.2 607.5 15.9 573.2 14.515-24 925.3 11.9 471.3 12.3 454.0 11.525-34 1,031.4 13.3 515.4 13.5 516.0 13.035-44 1,213.0 15.6 609.6 15.9 603.4 15.345-54 1,185.0 15.2 599.5 15.7 585.5 14.855-64 939.0 12.1 466.7 12.2 472.5 11.965 + 1,308.7 16.8 558.7 14.6 750.1 19.0Total 7,783.0 100 3,828.7 100 3,954.7 100

Source: Bundesamt für Statistik, 2009 temporary results February 25, 2010



A+B 388 6 287 10 101 3C1 996 16 649 22 347 11C2 1,040 17 516 17 524 17D 1,386 23 703 24 683 22E 2,254 37 795 27 1,459 47Total 6,064 100 2,950 100 3,114 100

Source: Eidgenössische Volkszählung 2000, © BFS, Neuchâtel 2004


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 95 98 98 95 87 -8.42 -8.42Total paid-for dailies 91 91 90 87 79 -13.19 -9.20Regional and local 91 91 90 87 79 -13.19 -9.20paid-for dailiesMorning paid-for dailies 91 91 90 87 79 -13.19 -9.20


Total paid-for non-dailies 111 109 105 101 103 -7.21 1.98Regional and local 111 109 105 101 103 -7.21 1.98paid-for non-dailies

Total paid-for Sundays 4 7 13 15 15 275.00 0.00Regional and local 4 7 13 15 15 275.00 0.00paid-for Sundays 1

Source: 2005-2007 Titelstatistik Verband Schweizer Presse; WAN assessment (freedailies); 2008 Titelstatistik Verband Schweizer Presse; 2009 Titelstatistik VerbandSchweizer Presse; WAN-IFRA assessment (free dailies)1 In 2006, Sunday newspapers began launching their regional editions; regional

editions counted as additional titles


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 3,226 3,510 3,695 4,091 3,625 12.37 -11,39Total paid-for dailies 2,405 2,344 2,275 2,205 2,126 -11.60 -3.58

Regional and local 2,405 2,344 2,275 2,205 2,126 -11.60 -3.58paid-for dailiesMorning paid-for dailies 2,405 2,344 2,275 2,205 2,126 -11.60 -3.58

Total free dailies 748 1,029 1,420 1,886 1,499 100.4 -20.52Regional and local 748 1,029 1,420 1,886 1,499 100.4 -20.52free dailies


Total paid-for Sundays 813 869 1,007 1,182 1,106 36.04 -6.43Regional and local 813 869 1,007 1,182 1,106 36.04 -6.43paid-for Sundays

Source: 2005-2008 Titelstatistik Verband Schweizer Presse; WAN assessment (freedailies); 2009 Titelstatistik Verband Schweizer Presse; WAN-IFRA assessment (free dailies)

Switzerland has no national newspapers, because different languages are spokenin different parts of the country (German, French, Italian).


(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total paid-for dailies 736 710 687 668 642 -12.77 -3.89Regional and local 736 710 687 668 642 -12.77 -3.89paid-for dailiesMorning paid-for dailies 736 710 687 668 642 -12.77 -3.89


Total paid-for Sundays 42 45 52 61 57 35.71 -6.56Regional and local 42 45 52 61 57 35.71 -6.56paid-for Sundays

Source: Titelstatistik Verband Schweizer Presse


(%)2005 2006 2007 2008 2009

Single copy sales 10 10 10 10 10Home deliveries 1 90 90 90 90 90

Total 100 100 100 100 100

Source: Verband Schweizer Presse

Estimates1 Home deliveries and postal deliveries are identical, both are to the reader’s

home.


(Swiss franc)min max


Source: Verband Schweizer Presse; Abo- & Einzelpreisstatistik 2009/2010


(%)Reached


Source: WEMF AG fürWerbemedienforschung; MACH Basic2009-2



SWITZERLAND


group

less than 16 3.4 75.516-24 12.3 83.725-34 16.7 77.935-44 19.0 79.345-54 17.2 83.755-64 13.7 85.865 + 17.8 82.3Total 100 -

Source: WEMF AG fürWerbemedienforschung; MACH Basic2009-2


(minutes per day)2004 2005 2006 2007 2008

All newspapers 39 37 38 38 44Magazines 21 21 21 18 17Radio 89 94 96 95 92Television 91 88 93 87 84Internet 35 43 49 59 63

Source: Mediatrack; D&S Markt- und Kommunikationsforschung, Zurich

Self-declared figures from a representative sample of people in Switzerland aged18-65; results published in Media Trend Journal


(000)2005 2006 2007 2008 2009

Total dailies - 4,593 5,015 4,955 5,007Total paid-for dailies - 4,219 4,137 4,050 4,065Total free dailies - 1,251 2,296 2,670 2,716

Source: WEMF AG für Werbemedienforschung; MACH Basic


6.a Online editions

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 29 34 36 34 33 13.79 -2.94Non-dailies 6 7 10 9 12 100.00 33.33Sundays 1 1 1 1 1 0.00 0.00

Source: Net Metrix-Audit

Data as of December; not all newspapers are researched



Total dailies 3,157 5,116 8,652 10,018 12,638 300.32 26.15Total paid-for dailies 3,157 5,116 6,984 8,386 10,196 222.96 21.58Total free dailies - - 1,668 1,632 2,442 - 49.63Total paid-for non-dailies 884 1,101 1,274 1,293 1,373 55.32 6.19Total paid-for Sundays 46 60 61 79 71 54.35 -10.13

Source: Net Metrix-Audit

Unique clients, data as of December


20 Minuten 1 Tamedia AG 20min.ch 2,442Blick Ringier AG blick.ch 2,090NZZ, Neue Zürcher Zeitung Neue Zürcher Zeitung AG nzz.ch 1,499Tages-Anzeiger Tamedia AG tagesanzeiger.ch 1,407Le Matin 1 Edipresse Publications S.A. lematin.ch 798Tribune de Gèneve Edipresse Publications S.A tdg.ch 581Basler Zeitung BZM Werbe AG baz.ch 46224 heures Edipresse Publications S.A. 24heures.ch 454Berner Zeitung Tamedia AG bernerzeitung.ch 283Le Temps Le Temps Ag letemps.ch 248

Source: Net Metrix-Audit1 Free daily


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08





(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Swiss franc, bln)2005 2006 2007 2008 2009

GDP 463.1 487.0 521.0 541.8 535.6

Source: BFS, Bundesamt für Statistik, Neuchâtel

Nominal figures; 2007-2009 Forecast


(Swiss franc, 000)2005 2006 2007 2008 2009

GDP per capita 61.7 64.4 68.4 70.3 68.8

Source: BFS, Bundesamt für Statistik, Neuchâtel

Nominal figures; 2007-2009 Forecast


(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.75 0.78 0.82 0.82 0.81 0.80 0.80 0.80




SWITZERLAND

(Swiss franc, mln)2005 2006 2007 2008 2009 2010 2011 2012


Television 810 889 1,054 1,116 1,110 1,125 1,135 1,140Radio 135 136 137 154 165 150 133 140Cinema 50 50 47 45 34 34 34 34Outdoor 402 423 437 459 432 425 445 450Internet 107 156 223 288 326 366 408 450Total 3,456 3,790 4,185 4,359 4,185 4,200 4,285 4,374

Source: Stiftung Werbestatistik Schweiz; Media Focus; ZenithOptimedia

Includes agency commission; before discounts; excludes production costs; excludesclassified advertising; Internet figures include display and estimates for classifiedand search


(Swiss franc, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total dailies 1,231 1,232 1,272 1,341 1,233 0.16 -8.05Total non-dailies 238 212 229 222 220 -7.56 -0.90Total Sundays 169 171 188 202 223 31.95 10.4

Source: Stiftung Werbestatistik Schweiz

All newspapers; excluding production costs



In colour 47,413 58,826 64,261 65,036 60,342Total 138,511 153,451 147,091 144,494 122,439

Source: Inseratestatistik der Schweizer Presse, VSW, WEMF AG fürWerbemedienforschung

Numbers include all newspapers (paid-for and free), display and classified, withoutinserts


(%)2005 2006 2007 2008 2009


Source: Source: 2005-2007 Verband Schweizer Presse; 2008-2009 Inseratenstatistkder Schweizer Presse/VSW; WEMF AG für Werbemedienforschung


Advertiser Expenditure (Swiss franc, 000)

Migros 71,400Coop 46,600Aldi Suisse AG 22,700Konzertveranstaltungen 18,200Schweiz

Sunrise Communications S.A. 15,300Manor 14,600Swisscom 13,100Citroen Suisse S.A. 12,300Renault Suisse S.A. 12,100Medi Markt 11,100

Source: Media Focus AG 2009



Public Sector 21.4Automobile 11.8Events 11.2Financial 8.6Services 6.2Telecommunications 5.7Tourism/Leisure time 4.8Home/Household/Garden 4.1Aliment 3.8Industry/Trade 3.2

Source: Media Focus AG 2009


Publishing Total revenuecompany (Swiss franc, 000)

Riniger AG 1,535,500Tamedia AG 1 897,500Edipresse Publications S.A. 738,300Neue Zürcher 538,000Zeitung-Gruppe (NZZ)

Basler Zeitung 262,000 2

Medien-GruppeEspace Media Groupe -AZ Medien-Gruppe 201,200LZ Medien Holding 3 157,300Südostschweiz 135,800Medien-Gruppe

Vogt-Schild/Habegger 84,600Medien AG

Source: Media Trend Journal 1/2010; Die Schweizer Medienlandschaft1 Since 2007 consolidated at Tamedia AG2 Financial statement from June 30, 20093 Since 2004 consolidated at Neue Zürcher

Zeitung-Group (NZZ)



SWITZERLAND

(%)2003 2004 2005 2006 2007

Single copy sales 45 45 45 45 -





(year) (000) (000) (Swiss franc) (Swiss franc)

Blick 1959 German Ringier AG 215 651 2.00 32 x 47 cm 24,794 24,794Tages-Anzeigen 1893 German Tamedia AG 209 487 3.00 32 x 47 cm 16,636 22,560Berner Zeitung 1 1979 2 German Tamedia AG 200 395 3.00 32 x 47 cm 18,870 26,282Mittelland Zeitung 2002 3 German Aargauer Zeitung AG 192 421 2.50 32 x 47 cm 20,700 26,019NZZ, Neue Zürcher 1780 German Neue Zürcher Zeitung AG 140 294 3.50 32 x 47 cm 14,384 17,905Zeitung Swiss Edition

Neue Luzerner Zeitung 1996 4 German Neue Luzerner Zeitung AG 127 278 3.00 32 x 47 cm 17,285 17,285Die Südostschweiz 1997 5 German Südostschweiz Presse AG 126 236 2.50 32 x 47 cm 16,896 17,630Zürcher Landzeitung 2006 6 German Zürich Land Medien AG 100 194 2.50 32 x 47 cm 15,360 18,050St. Galler Tagblatt 1910 7 German St. Galler Tagblatt AG 95 201 3.00 32 x 47 cm 10,339 14,504Basler Zeitung 1977 8 German National-Zeitung 88 169 2.50 32 x 47 cm 11,737 15,936

und Basler Nachrichten AG

Source: Verband Schweizer Presse; WEMF AG fur Werbemedienforschung, MACH Basic 2009-2; VSW-ASSP (ad rates)1 Including Der Bund2 Formerly founded in 18443 Formerly founded in 18474 Formerly founded in 18335 Formerly founded in 18776 Formerly founded in 18457 Formerly founded in 18398 Formerly founded in 1842


(year) (000) (000) (Swiss franc)

20 Minuten 1999 German 20 Minuten AG 536 1,420 23.5 x 30.5 42,000 42,000.ch 1 2007 German Media Punkt AG 370 - 23.5 x 30.5 9,000 9,000Le Matin bleu 2 2005 French Edipresse Publications AG 232 562 23.5 x 30.5 13,100 13,10020 minutes 1999 French 20 Minuten AG 230 532 23.5 x 30.5 12,700 12,700Blick am Abend 3 2006 German Ringier AG 225 360 23.5 x 30.5 10,800 10,800News 4 2007 German News Print AG 200 334 23.5 x 30.5 13,600 13,600Cash 5 2006 German Ringier AG 112 85 23.5 x 30.5 8,300 8,300Baslerstab (City) 6 2000 German Basler Zeitung Medien 84 96 32 x 47 4,939 8,809

Source: Verband Schweizer Presse; MACH-Basic 2009-2 via ZenithOptimedia; WAN-IFRA from public sources; FDN Newsletter1 .ch ceased publishing May 4, 20092 Le Matin bleu ceased publishing September 25, 20093 Blick am Abend was launched as Heute in May 2006 and was renamed in June 2008; it is the only evening newspaper;

Blick am Abend expanded in Luzern and St. Gallen in August 2009, thus made available in Zurich, Bern and Basle; the Luzernedition is also distributed in Zug and Emmen while the St. Gallen edition is also available in Wil, Gossau and Herisau.

4 The largest edition of News Mittelland closed at the end of 2008 with circulation 132,000; News Bern closed on August 28,2009 with circulation 55,000; News Basel closed on August 28, 2009 with circulation 60,000; and News Zürich closedDecember 4, 2009 with circulation 85,000.

5 Cash is a special-interest newspaper providing financial and business news; formerly Cash daily until October 2008; in March2009 Cash ceased print edition and continues as an online brand only: “Cash setz voll auf digital” (Cash totally digital)

6 Baslerstab (City) ceased publishing on May 7, 2009


Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total number of journalists - - - 10,597 - - -Number of part-time journalists 1 - 407 - - 399 - -

Total number of employees - 15,184 - 32,322 15,368 - -52.45

Source: Bundesamt für Statistik BFS; NOGA employees1 Freelancers

9.a Employment


SWITZERLAND

11. Research (2009)

Circulation is audited byWEMF AG für Werbemedienforschung, Zürich

Readership is measured byWEMF AG für Werbemedienforschung, Zürich

MethodologyMACH Basic (National Readership Survey ofSwitzerland): permanent survey with 23,682 interviews(CATI) per year, focusing on use of print media(newspapers and magazines), cinema and the Internet.Results are published once a year. Individuals aged 14+,living in a private household, are able to speak the locallanguage and have a telephone line.


12. Taxes (2009)

Tax %

Standard VAT 7.6VAT on:Single copy sales 2.4Subscription sales 2.4Advertising 7.6Newsprint 7.6Composition 7.6Plant 7.6

Tax on profits – standard rate 8.5

Source: Deloitte Touche Tohmatsu; Verband Schweizer Presse








Post 15 1

Source: Verband Schweizer Presse1 Up to 30%; CHF30 million total


Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?Yes, if so required under the Act on Cartels describedbelow.


Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?No, but according to the New Radio and Television Actin effect since April 1, 2007, ownership is limited to tworadio and television stations.

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?According to article 322 of the Swiss Penal Code,newspapers and magazines must indicate importantholdings in other companies in the printer’s imprint, inaddition to other details. For public companies there aresome general rules requiring declaration and/orpublication of big shareholders (article 20 Swiss StockExchange Act, article 663c Swiss Code of Obligations).

Is there an antitrust law limiting concentration in the dailypress?Yes – article 9 of the Act on Cartels:

i. The Competition Commission must be told inadvance of mergers that on the basis of the most recentaccounts would create a joint enterprise which

a. had turnover of SF2 billion or more at home andabroad, or SF500 million or more at home, and

b. in which two or more participating companies hadindividual turnovers of SF 100 million or more.

ii. A clause specifying much lower qualifying revenue formedia companies has now been deleted.

iii. Notwithstanding paragraph (i) above, notification ismandatory if a court finds that one of the participatingcompanies already dominates the market in question, ora connected market.

iv. The Federal Assembly may, by way of a decree notsubject to referendum, adjust the amounts in paragraph(i) above according to changed circumstances, or establish special criteria for notification ofconcentrations in certain branches of the economy.

Is further regulation of media concentration expected? NoSource: Verband Schweizer Presse


UKRAINE

General economic situation Ukraine’s dependence on Russia for energy supplies andthe lack of significant structural reform have made theUkrainian economy vulnerable to external shocks.Ukraine depends on imports to meet about three-fourths of its annual oil and natural gas requirements.Real GDP growth exceeded 7% in 2006-07, fuelled byhigh global prices for steel, Ukraine’s top export, and bystrong domestic consumption, spurred by risingpensions and wages. The drop in steel prices andUkraine’s exposure to the global financial crisis due toaggressive foreign borrowing has lowered growth in2008 and the economy contracted in 2009.

In 2009 the nominal GDP was UAH912,563 bn, that is63% lower than in 1990 and equal to the 2005 level.Ukraine thus faced the biggest relative decline of GDPin 2009 amongst all the Commonwealth of IndependentState (CIS) countries.

Agriculture was the only industry that showed a GDPincrease in 2009 by 0.1%. The unemployment rate was9.4% and the inflation rate 14.7%. Foodstuff expensesof the population increased by almost 7% in 2009,whereas the salaries level remained flat.

The Ukrainian State Committee on Statistics reportedthat foreign direct investment (FDI) in 2009 wasUSD5.6347 bn, which represents 51.6% of FDI in2008. USD4.0168 bn came from the EU countries(71.3% of total amount), USD1.0647 bln (18.9%) fromthe CIS countries, and USD0.5531 bln (9.8%) fromother countries.


Performance of newspapers vs. other media Advertising volume sold by different media wassubstantially low in 2009. TV lost 26% of advertisingsales in comparison with 2008, press 33%, radio 25%,outdoor 37%, transport 36%, cinema 45%, and indoor(supermarkets, elevators, etc.) 50%.

The only media, where advertising sales volume grew,was the Internet with 45% year-on-year increase.

Performance of different types of newspapers UAPP have analyzed data about more than 31 thousandprint media titles, registered by the State Committee onStatistics of Ukraine. UAPP has concluded that there areno more than 5,300 different titles that are really printedin Ukraine.

Free classified advertising newspapers and community-political regional editions increased their circulation in 2009; the former mostly due to their job offer pages.

Analytical newspapers were also actively developing.

The economic crisis has brought to the market newshort-life small magazines that can provide fast returnson investment.

Newspaper launches / closuresNational specialized subscription operator DP Pressareported that the biggest subscription decrease foreditions with the all-Ukrainian distribution concernedpublications which cover computers (-48.72%), finance (-40%), family (-30%), and real estate (nearly -30%).

At the same time, the biggest number of newly launchedtitles included those covering social defence (15%) andagriculture sector (6%).

In 2009, the total number of newspaper titles decreasedby 9.7%, and magazines titles by 10.7%.

The hardest hit targeted free press (the closednewspapers 15 minutes, Vecherkom, Obzor), newwomen’s weeklies which have not yet gained popularityamong a wider audience (the closed weeklies Wona, andPani, the magazines Glance, Favorite, Hello, Dasha), aswell as the specialized press strictly dependent on specificsegments of advertisers: publications about real estate,automotive publications (except for price lists), IT,audio/video, life-style, photo-edition.

Computer magazines begin to move entirely to theInternet. They are trying to print selected issues at theorder of advertisers for special distribution reasons.

In May 2009, a new free daily newspaper Tochka (ThePoint) was launched in Kyiv.

Advertising The Ukrainian Association of Press Publishers (UAPP)and the monitoring company Mass Media Monitoringhave analyzed the list of monitored press titles and added to it nearly 500 regional titles with the biggest audiences. Thus the monitored press advertisingvolume has become approximately equal with that ofTV.

Both display and classified advertising volumes innation-wide editions fell by 31.5% in 2009 compared to2008. Regional press suffered an even bigger decrease of36.04%.

14 regional newspaper publishers have established a jointagency trying to sell advertising space of regionalnewspapers at the advertising market in tha capital ofKiev. The new agency focused on consultancy toadvertisers.



UKRAINE

In 2010, All-Ukrainian Advertising Coalition expertspredict that press advertising volume will increase by19.1% to UAH2,254.2 mln.

From January 1, 2010, alcohol and tobacco advertisingis forbidden in the press, except specialised titles.

According to media monitoring by national NGOmedia watchdog Institute for Mass Information (IMI)and their regional partners, the practice of prepaidpublications, veiled advertisements, and positivecoverage presented as news (known as “dzhynsa”),continued in the electronic and print media. The pricefor such coverage ranged from 24,000 hryvnia(USD3,000) to as much as 40,000 hryvnia (USD5,000)for participation in a television talk show. Print storiescost from 800 hryvnia (USD100) to 40,000 hryvnia(USD5,000).

Circulation Single copy circulation stopped falling during the firsthalf 2009. Retail operators’ revenues at the end of the2009 reached the level from the end of 2008.

During 2009, publishing companies increased coverprices twice or even three times. Cover prices have risenby more than 25% on average.

Due to increased subscription fees, the number of copiessold on the subscription basis decreased by 10%.

Readership In 2009, the average weekly reach of magazines, in total,decreased by 10% year-on-year (from 54% to 49%);weekly reach of newspapers decreased by 8% (from 77%to 71%).

Online / Digital Publishing The growing share of the Internet is not so much a threatas an opportunity for newspaper publishers as the maingenerators of genuine copyrighted content.

Since 2007, an average weekly audience of the Internetincreased from 15% to 29% of the total population.

There were no government restrictions on access to theInternet; however, law enforcement bodies engaged inInternet monitoring. Individuals and groups couldengage in the peaceful expression of views via theInternet, including by e-mail.

On February 18, 2009 the Cabinet of Ministers adopteda decree to designate the Security Service of Ukraine(SBU) as the lead government agency responsible fordrafting a bill on the registration of online media.

Ownership Publishers were trying to get rid of not-profitable, non-profiled and unperspective editions. At the same time

they were actively looking for sharply cheapened andundervalued titles and assets.

Media / Press Laws The constitution and laws provide for freedom of speechand of the press, and the government generally respectedthese rights in practice.

There were no reports that central authorities attemptedto direct media content; however, there were reports ofintimidation of journalists by national and local officials.Individuals could criticize the government publicly andprivately, and independent and international media wereactive and expressed a wide variety of opinions.

In June 2009 parliament adopted a resolutionprohibiting government agencies from carrying outinspections of mass media ahead of the 2010 presidentialelection campaign, which began in October. Themeasure aimed to safeguard freedom of expression byeliminating legal, administrative, and economicobstacles for media reporting on the campaign.

In 2009, a number of attempts to impose restrictions onmass-media have been undertaken; among others, anobligation to print a half of any title’s circulation in theUkrainian language.

The Ministry of Justice has been completing a draft lawon simplifying the press registration procedure.

The National Experts’ Comission on public moralitycontinued to apply sanctions against the mass-media,which disseminated “immoral content,” based onconclusions of the Commission’s experts."

Libel is considered a civil offense, and the law limits theamount of damages that may be claimed in libellawsuits; the press can publish inoffensive, nonfactualjudgments, including criticism, without penalty. OnFebruary 27, 2009 the Supreme Court adopted a resolution on judicial practice in defamation cases,reiterating that public officials enjoy less protection fromcriticism than average individuals, emphasizing theimportance of distinguishing between factualinformation and value judgments, and encouragingcourts to refer to European Court of Human Rights’practices.

On December 1, 2009 the president vetoedamendments to the civil code that would have allowedofficials to demand high sums for damages indefamation lawsuits. Media rights groups hadrecommended the veto on grounds that the amendmentswould have placed undue pressure on journalists andmedia.

However, media watchdog groups continued to expressconcern over the extremely high monetary damages that


UKRAINE

Source: Ukrainian Association of Press Publishers (UAPP); CIA – The World Factbook; US State Department;Ukrainian State Committee on Statistics; Ukrainian Association of Media Lawyers; TNS Ukraine; National Bank of

Ukraine; All-Ukrainian Advertising Coalition; Book Chamber of Ukraine; DP Pressa; Association of IndependentRegional Publishers of Ukraine

were demanded, and sometimes awarded, for allegedlibel. Government entities and public figures, inparticular, continued to use the threat of civil suits basedon alleged damage to a “person’s honor and integrity” toinfluence or intimidate the press.

For example, the National Union of Journalists’ list ofpress enemies cited eight libel lawsuits filed since earlyApril 2009 against Kanal 33 newspaper by ex-Vinnytsiagovernor Hryhoriy Kaletnik and his son. The newspaperpublished a series of articles alleging the former official’sinvolvement in illegal smuggling when he served in theState Customs Service. The Kaletniks demanded710,000 hryvnias (USD89,000) in damages. On April16, IMI reported that the court of appeal in Kyivreduced the amount of moral damages awarded by a lower court from 300,000 hryvnias (USD37,400) to157,000 hryvnias (USD19,600).

Printing & Distribution The Cabinet of Ministers ratified new norms regardingnumbers of retail point of sales for the press inconnexion with the number of inhabitants in a built-uparea.

The Ministry of Transport and Communication hasraised the tariffs for the press delivery.

During the first quarter 2009 publishing housesdecreased their costs of printing by cutting the numberof pages, decreasing the number of colours, and, in somecases, using a lower quality newsprint. Lack ofadvertising wa the main reason of the cost cutting.

At the same time, publishing houses increased singlecopy prices, both due to increasing newsprint costs, andthe shift of the business model from advertisementincome to retail and subscription sales income.

Printing-houses decrease the prices for printing for 5-10% during 2009.

Publishers dramatically decreased their marketing costsin retail chains by more than 80%.

Due to implementation of new informationtechnologies, retail operators begin to offer new servicesto publishers: fast information about the number ofcopies sold, as well as about the number of copies left ineach of the points of sales.

An average extra charge to the publisher’s selling pricerepresents already 60-80%. It can be predicted that retailchains will be raising the extra charge up to 100% of thepublisher’s selling price.

The number of retail points of sales has been decreasing.

There was an attempt to merge the state monopolistUkrainian Post with the specialized all-ukrainiansubscription service operator, DP Pressa. The publishers,united in the Ukrainian Association of Press Publishers’(UAPP), did not agree with this initiative, so the mergerwas abandoned.

State Support Several new laws forbidding the property alienation ofthe state and municipal mass-media, were ratified in2009.

Other Factors The Press Categorization is a new tool enabling thesystemization and standardization of the press market inUkraine. The tool is based on best practices from severalcountries.

The Human Resources Professionals’ Club established atthe UAPP, in cooperation with a recruiting company,have been preparing a systematic annual research onsalaries and indemnifications in the press.

According to media monitoring by national NGOmedia watchdog Institute for Mass Information (IMI),political parties frequently ordered the placement ofstories in regional print media while law enforcementagencies did not investigate this breach of law. Somejournalists maintained that low salaries encouraged somereporters to supplement their incomes withundocumented payments from “benefactors” seeking toinfluence news reporting.


UKRAINE



0-14 6,305 14 3,238 15 3,067 1215-64 32,142 70 15,399 73 16,743 6865 + 7,253 16 2,422 12 4,831 20Total 45,700 100 21,059 100 24,641 100




A+B 2,545 16.9 1,415 20.1 1,130 14.0C1 3,091 20.5 1,198 17.0 1,893 23.5C2 4,817 31.9 2,197 31.2 2,620 32.5D 3,991 26.5 1,959 27.9 2,032 25.2E 641 4.3 263 3.7 378 4.7Total 15,085 100 7,032 100 8,053 100

Source: TNS Ukraine – Marketing & Media Index Ukraine 2009/4



1 person 845 5.32 people 3,601 22.63 people 6,090 38.24 people 3,660 23.05 or more people 1,732 10.9Total 15,928 100

Source: TNS Ukraine – Marketing &Media Index Ukraine 2009/4





under 1 year old 399 2.6aged 1 443 2.9aged 2-3 1,053 7.0aged 4-6 1,466 9.7aged 7-11 1,653 11.0aged 12-16 1,643 10.9

Total 15,085 100



Age Housewives000 %

Under 25 283 2325-34 577 4835-44 196 1645-54 148 1255-64 13 165 + 0 0Total 1,217 100


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies 42 41 53 56 43 2.38 -23.21Total paid-for dailies 42 39 50 51 41 -2.38 -19.61

National paid-for dailies 16 13 38 41 30 87.50 -26.83Regional and local 26 26 12 15 11 -57.69 -26.67paid-for dailies

Total free dailies - 2 3 5 2 - -60.00National free dailies - - 1 4 - - -Regional and local - - 2 1 2 - 100.00free dailies

Total non-dailies - 112 2,832 1 2,591 2,385 - -7.95Total paid-for non-dailies 212 100 - 2,450 2,296 983.02 -6.29

National paid-for non-dailies 12 33 - - - - -Regional and local 200 67 - - - - -paid-for non-dailies

Total free non-dailies - 12 - 141 89 - -36.88Regional and local - 12 - - - - -free non-dailies

Source: 2005 Taylor Nelson Sofres Ukraine; expert estimate by Ukrainian MediaHolding; WAN assessment (regional and local paid-for dailies); 2006 UkrainianAssociation of Press Publishers (UAPP), TNS Ukraine; 2007 Book Chamber ofUkraine; UAPP; 2008 Ukrainian Association of Press Publishers; 2009 UkrainianAssociation of Press Publishers (UAPP); WAN-IFRA assessment (free dailies)1 Data based on records at the Book Chamber of Ukraine and UAPP estimates


(000) Change (%)2005 2006 2007 1 2008 2 2009 2009/05 2009/08

Total dailies 1,850 3,511 3,836 4,469 2,981 61.14 -33.30Total paid-for dailies 1,850 3,301 3,486 4,013 2,864 54.81 -28.63National paid-for dailies 990 2,256 3,212 3,715 2,636 166.26 -29.04Regional and local 860 1,045 273 298 228 -73.49 -23.49paid-for dailies

Total free dailies - 156 350 456 117 - -74.34Regional and local - 156 - - 117 - -free dailies

Total non-dailies - 11,528 - - - - -Total paid-for non-dailies 3,280 6,937 - - - - -

National paid-for non-dailies 1,330 4,436 - - - - -Regional and local 1,950 2,501 - - - - -paid-for non-dailies

Total free non-dailies - 4,591 - - - - -Regional and local - 4,591 - - - - -free non-dailies

Source: 2005 Ukrainian Media Holding; 2006 Ukrainian Association of PressPublishers (UAPP); 2007 Book Chamber of Ukraine; WAN assessment (free dailies);2008 Ukrainian Association of Press Publishers, Association of IndependentRegional Publishers of Ukraine; WAN assessment (free dailies); 2009 UkrainianAssociation of Press Publishers; Association of Independent Regional Publishers of Ukraine; WAN-IFRA assessment (free dailies)

2005 Estimate1 Data based on average circulation per title multiplied by numbers of titles from

the table 3.a



UKRAINE

(mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total dailies - 691.3 776.3 996.3 686.2 - -31.13Total paid-for dailies 473,7 661,9 688,5 873,8 686.2 44.86 -21.47National paid-for dailies 253.0 595.8 622.4 812.8 638.1 152.21 -21.49Regional and local 220.7 66.1 66.1 61.0 48.1 -78.21 -21.15paid-for dailies

Total free dailies - 29.4 87.8 122.5 - - -National free dailies - - 58.8 106.1 - - -Regional and local - - 29.0 16.4 - - -free dailies

Total paid-for non-dailies 173.5 - - - - - -National paid-for non-dailies 69.2 - - - - - -Regional and local 104.3 - - - - - -paid-for non-dailies

Source: 2005 Ukrainian Media Holding and RIA, Media Corp.; 2006-2007 UAPP;2008-2009 Ukrainian Association of Press Publishers; Association of IndependentRegional Publishers of Ukraine

Data corresponding to the number of printed copies, declared by publishing companies


(Ukraine, hryvnia, mln) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

All paid-for newspapers 1,315.8 - 1,396.1 1,463.4 1,445.5 9.86 -1.22Total paid-for dailies 1,162.7 - - - - - -National paid-for dailies 780.4 - - - - - -Regional and local 382.3 - - - - - -paid-for dailies

Total paid-for non-dailies 153.1 - - - - - -National paid-for non-dailies 72.7 - - - - - -Regional and local 80.4 - - - - - -paid-for non-dailies

Source: 2005 Ukrainian Media Holding and RIA, Media Corp.; 2007-2009 UkrainianAssociation of Press Publishers; Association of Independent Regional Publishers ofUkraine

4.b Sales revenues

(%)2003 2004 2005 2006 2007

Single copy sales 85 86 90 82 67Subscriptions 13 12 8 1 16 2 28Home deliveries 1 1 1 1 -Postal deliveries 12 11 7 15 -

Office deliveries 1 1 1 1 -Bulk - - - - 3Free distribution 1 1 1 1 2

Source: 2003-2006 Ukrainian Association of Press Publishers (UAPP), UkrainianMedia Holding; 2007 UAPP

2003-2006 Estimates1 Share of subscriptions declined considerably due to growing demand for single

copy sales in retail2 Year-on-year increase of subscription share due to growing demand for

newspapers launched in 2005


(%)Reached




(Ukraine, hryvnia)min max


Source: UAPP



group

12-15 1.7 8.216-19 5.7 17.620-29 19.2 21.230-39 20.1 26.440-54 34.8 30.255-65 18.5 30.2Total 100 25.2



(minutes per day)2005 2006 2007 2008 2009

All newspapers 50.0 22.0 42.8 39.5 34.2Magazines - 14.0 18.5 17.5 15.4Radio - 81.0 56.9 48.4 49.0Television - 145.0 88.5 85.9 88.3Internet - 7.0 10.0 16.4 21.2

Source: TNS Ukraine – Marketing & Media Index Ukraine

2006 Respondents aged 12-65; 2007-2009 Respondents aged 16-65


(000)2005 2006 2007 2008 2009

Total paid-for dailies 3,670 3,090 2,770 2,470 2,520Total free dailies - - 220 - -



Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 579 - 17 1 40 27 -95.34 -32.50Non-dailies 1,000 - - - 46 -95.40 -Sundays 0 - - - - - -

Source: 2005 Expert estimate by Ukrainian Media Holding and RIA, Media Corp.;2007 Bigmir.net media site ratings; 2008 Ukrainian Association of Press Publishers;2009 TNS Ukraine – Marketing & Media Index Ukraine 2009/41 Only Web sites of printed dailies (i.e. excluding online projects only) with more

than 500 visits per day

6.a Online editions

Newspaper Website Unique visitors per month

(000)

Segodnia segodnya.ua 1,555Gazeta po ukrainsky gazeta.ua 1,368Komsomolskaya pravda v Ukraine kp.ua 1,285Gazeta po Kievsky mycityua.com 1,020Kommersant kommersant.ua 496Fakty / Fakty i Kommentarii facts.kiev.ua 474Delo Delo.ua 444Den day.kiev.ua 275Gazeta 24 24.ua 202Ekonomicheskie izvestiya eizvestia.com 48

Source: top.bigmir.net



UKRAINE


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Internet subscribers 1,000.0 1,200.0 1,374.6 1,905.1 2,649.5 164.95 39.07Internet users 1,760 2,100 6,400 10,400 15,300 769.32 47.12



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Broadband subscribers 130.0 520.0 800.0 1,600.0 1,907.7 1,367.46 19.23



(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08



(Ukraine, hryvnia, bln)2005 2006 2007 2008 2009

GDP 441.5 544.1 720.7 949.9 912.6

Source: Ukrainian State Committee on Statistics


(Ukraine, hryvnia, 000)2005 2006 2007 2008 2009

GDP per capita 9.4 11.6 15.5 20.6 19.9

Source: Ukrainian State Committee on Statistics



(%)2006 2007 2008 2009 2010 2011 2012 2013

Ad expenditure 0.81 - 1.21 1.28 - - - -

Source: All-Ukrainian Advertising Coalition; Ukrainian State Committee onStatistics

(Ukraine, hryvnia, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 676.00 871.70 1,284.60 1,653.96 805.50 852.49 923.64 1,009.56Newspapers 283.80 339.30 435.10 483.30 268.50 281.93 306.09 338.31Magazines 392.20 532.40 849.50 1,170.66 537.00 570.56 617.55 671.25

Television 1,222.90 1,827.00 2,501.90 2,550.75 1,302.22 1,564.01 1,933.20 2,309.10Radio 103.20 140.90 217.60 214.80 87.26 100.69 134.25 171.84Cinema 25.80 36.50 46.60 69.81 15.44 21.48 26.85 32.22Outdoor 598.60 793.40 1.041.20 1,020.30 355.76 369.19 386.64 418.86Internet 10.30 31.30 57.00 112.77 87.93 114.11 139.62 187.95Total 2,636.80 3,701.00 5,148.90 5,622.39 2,654.12 3,021.97 3,544.20 4,129.53

Source: Ukrainian AdCoalition; Cortex; ZenithOptimedia

Excludes agency commission; excludes production costs; excludes classified advertising; after discounts; prices fixed using local currency from 2009



Total dailies 87.2 142.8 171.4 118.6 185.2 112.39 56.16Total paid-for dailies 87.2 139.9 157.3 99.0 182.2 108.94 84.04

National paid-for dailies 70.2 138.2 155.5 93.1 151.8 116.24 63.05Regional and local 17.0 1.7 1.8 5.9 30.4 78.82 415.25paid-for dailies

Total free dailies - 2.9 14.1 19.6 3.0 - -84.69Total non-dailies - - - - 202,1 - -Total paid-for non-dailies 56.8 - - - 200.6 253.17 -National paid-for non-dailies 12.9 - - - 184.8 1,332.56 -Regional and local 43.9 - - - 15.8 -64.01 -paid-for non-dailies

Total free non-dailies - - - - 1.5 - -National free non-dailies - - - - 0.5 - -Regional and local - - - - 1 - -free non-dailies

Source: Mass Media Monitoring



In colour 6,612 7,581 8,610 21,961 12,941Total 17,921 29,742 44,854 43,371 21,402

Source: 2005-2008 Mass Media Monitoring; 2009 Communications Alliance,Ukraine

2008 Including other mass media advertisements; 2009 Communications Alliance(CA) is a dynamic Ukrainian monitoring company, which was formerly serving TVand Internet market. From 2008, CA started to monitor press advertising. Duringthe year 2009, CA doubled the number of monitored printed media, however, it was as late as at the end of 2009 when CA monitored approximately the samenumber of printed media as in previous years, which may explain the discrepancybetween 2008 and 2009 data.


(%)2005 2006 2007 2008 2009

Display 80.0 72.0 88.0 88.2 93.2Classified 15.0 20.0 7.0 4.6 6.8Inserts 3.0 4.0 3.0 4.2 -Online 2 4 2 3 -

Source: 2005-2008 Ukrainian Association of Press Publishers (UAPP); 2009 Communications Alliance, Ukraine

2007 Based on analysis of data from seven daily newspapers2008 Data from eight daily newspapers2009 Communications Alliance (CA) is a dynamic Ukrainian monitoring company,which was formerly serving TV and Internet market. From 2008, CA started tomonitor press advertising. During the year 2009, CA doubled the number of monitored printed media, however, it was as late as at the end of 2009 whenCA monitored approximately the same number of printed media as in previousyears, which may explain the discrepancy between 2008 and 2009 data.



UKRAINE

Advertiser Expenditure (Ukraine, hryvnia, 000)

Kiyvstar GSM 7,639MTS 7,468Saint Sofia Homes, company 4,529of projects development

Ukrsotsbank 4,212Toyota Ukraine 4,064Avtoinveststroy 3,926AVT Bavaria 3,766Nadra bank 3,726UkrAvto, corporation 3,198Avtokapital motor show 3,163

Source: Mass Media Monitoring company, Ukraine



Automobiles 17.3Finance 11.1Entertainment 9.1Medical products 7.8Communications 7.3Alcoholic drinks 4.0Medicine 4.0Aircraft 3.5Education and work 3.3Trade 3.0

Source: Communications Alliance,Ukraine

7.f Top newspaper advertisingcategories (2009) Publishing company Total circulation Total revenue

(000) (Ukraine, hryvnia, 000)

Ukrainian Media Holding 103,293 66,407.0Pronto-Kyiv - 41,075.0 1

Ekonomika, Publishing house 5,903 31,461.0Kommersant-Ukraine, Publishing house 3,329 29,789.0Kartel, group of companies 2,430 25,733.0Publishing house Galitskie kontrakti 2,448 24,516.0Media Invest Group 6,840 19,698.0Blitz-inform, Holding company 2,190 19,062.0Evolution Media 2,880 18,075.0Auto Foto Prodazha, information 3,667 13,302.0& publishing house

Newspaper Fakti i Komentarii - 12,728.5

Source: TNS Ukraine (MMI’2009/4 – Ukraine)1 Total advertising revenue, excluding VAT and ad tax


Title Founded Language Publishing company Circulation Readership Cover price usual Format Full page ad RateMono Colour

(year) (000) (000) (Ukraine, hryvnia) (USD) (Ukraine, hryvnia)

Ekspress 2001 Ukrainian Ekspress Media Group, JSC 545 442 1.98 - А3 - 50,000Blik 2006 Russian Fry Media Ukraine Gmbh, JSC 441 258 1.20 - A3 11,800 17,900Gazeta po Ukrainski 2005 Ukrainian New information 214 186 1.50 - А3 27,270 27,270Komsomolskaya pravda 2007 Russian Komsomolskaya pravda v Ukraine, JSC 132 795 1.75 - A3 42,251 52,814v Ukraine

Komanda 1995 Russian Edition of the newspaper Komandа, JSC 105 193 2.25 - А3 32,000 59,000Segodnya 1997 Russian Segodnya Multimedia JSC 101 120 2.00 - A3 - 75,000Den 2005 Russian / Ukrainian press-group, JSC 63 206 1.40 - А2 52,000 57,200

UkrainianZhizn 1991 Russian / KP Newspaper edition Zhizn 30 310 0.40 - А2 - -

UkrainianDelo 2005 Russian Ekonomika 22 96 3.00 - А3 - 37,000Ekonomicheskie Izvestija 2008 Russian Media invest group, LLC 30 122 3.00 0.38 A2 44,000 52,800Kommersant 2000 Russian Kommersant - Ukraine 15 103 3.00 0.38 B3 60,000 90,000Fakty I Komentarii 1997 Russian Editorial staff of the newspaper - 684 3.00 - A3 96,000 115,200

Fakty Ikomentarii, LLC



Title Founded Language Publishing company Circulation Format Full page ad rate Colour(000) (Ukraine, hryvnia)

Tochka (The Point) 1 2009 Russian The Marker 150 B4 22,500Puls Kieva 2 2008 Russian Media Point 100 A4 -

Source: UAPP; TNS UKraine; WAN-IFRA records1 Published and distributed in Kiev2 Morning newspaper, published Monday-Friday; Puls Kieva ceased publishing March 13, 2009


Change (%)2002 2003 2004 2005 2006 2006/02 2006/05

Total number of journalists 1 - - - - 40,000 - -Number of part-time journalists - - - - 10,000 - -

Total number of employees - - - - 50,000 - -

Source: Ukrainian Association of Press Publishers (UAPP), Union of Journalists ofUkraine

Estimate1 Total number of employed journalists was 14,867 in 2001, according to the cen-

sus on enumeration by the Ukrainian State Committee on Statistics

9.a Employment

Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

4-colour newspapers - - 50 50 60 - 20Broadsheets - - 25 - - - -Tabloids - - 66 - - - -Other formats - - 41 - - - -

Source: 2006 Ukrainian Association of Press Publishers (UAPP); 2007 Book Chamberof Ukraine; TMT Publishing & Consulting; 2008 UAPP

2007-2008 Estimate



UKRAINE

(%)2004 2005 2006 2007 2008

Single copy sales 35 35 36 50 40Postal deliveries 20 20 20 - -

Source: 2004-2006 Ukrainian Association of Press Publishers (UAPP), UkrainianMedia Holding; 2007 TMT Publishing & Consulting; 2008 UAPP

2006 Estimate; 2007 Postal delivery is rarely used in the newspaper segment; readers are not ready to pay for this quite expensive delivery; 2008 Estimate,range 30%-40%


(Ukraine, hryvnia)2004 2005 2006 2007 2008

Single copy 0.53 0.53 0.75 - -Subscription 0.3 0.3 0.5 - -

Source: 2004-2005 Ukrainian Association of Press Publishers (UAPP); 2006 TMTPublishing & Consulting; 2007-2008 UAPP


(Ukraine, hryvnia)2005 2006 2007 2008 2009

Average per ton 3,100 3,400 3,900 4,600 6,250

Source: 2005-2008 TMT Publishing & Consulting; 2009 Аssociation UkrPapir


11. Research (2009)

Circulation is audited byThere is no circulation audit in Ukraine.

Readership is measured byTNS Ukraine

Methodology* MMI Ukraine: 20,000 respondents annually, four

times a year, face-to-face interviews, in cities withpopulation 50,000+

* PMI Regions: 20,000 respondents annually, twice a year, CATI, in eight biggest cities

* NRS Regions: 2,000 respondents annually in eachcity, twice a year, CATI, in eight biggest cities

Advertising is measured byMonitoring Mass Media of Ukraine

MethodologyAdex monitors 340 editions of all-Ukrainian, regionaland specialized press, and analyses all ads larger than1/32 page and articles marked as advertising articles. A complete base of print copies is archived.

Source: UAPP

Tax %



Tax on profits – standard rate 25Tax on profits for newspapers 25Tax on advertising 0.5

Source: Ukrainian Association of Press Publishers (UAPP)

12. Taxes (2009)


Are there subsidies for the purchase of newsprint? No. Current legislation foresees a preferred treatment ofimport and taxation of newsprint in accordance withthe Law of Ukraine 'On a single custom tariff.' Importof newsprint, equipment and polygraphic materials forprinting journals and newspapers is exempt from VATpayment and the entrance duty (various duty size fordifferent goods) until January 1, 2015.


Are there any direct subsidies? Grants from the state budget have been provided for thestate-owned mass-media, and grants from local budgetsfor municipal mass-media. New grants are not provided.

Source: Ukrainian Association of Press Publishers (UAPP)



Total amount - 20.4 21.1 18.90 1 34.50 2 - 82.54

Source: 2006-2007 Ukrainian Association of Press Publishers (UAPP); 2008 UAPP;Law of Ukraine 'On the state budget of Ukraine for 2009'; 2009 Media LawInstitute1 Subsidized from the state budget only; the total sum of subsidies provided from

the state budget plus local budgets is estimated at UAH50 million, according tothe National Journalists’ Union of Ukraine

2 Subsidies include direct grants to state owned editions and support to specializededitions by authorities, such as ministries. Direct financing of local newspapers bylocal authorities is not included here, due to uneasy access to the data.



Source: Ukrainian Association of Press Publishers (UAPP); Law of Ukraine ‘On state support of mass media and social defence of journalists’



UKRAINE





So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company? Registration procedure for printing mass-mediaprovides data on founder, whether a physical or legal

person. The data are available in the electronic registerof print mass-media on the Internet, or on demand.

Since 2009, the Ministry of Justice of Ukraine has beenpreparing simplified registration procedures for printedmedia.

Is there an antitrust law limiting concentration in the dailypress?Yes. A law on printed press sets up a 5% limit onownership concentration of social and politicalnewspapers at the national and regional level. However,owners themselves determine which type of newspaperthey publish.

Is further regulation of media concentration expected?There are projects related to the concentration ofelectronic media.

Source: Ukrainian Association of Press Publishers (UAPP); Institute of the MassInformation; Media Law Institute; The law of Ukraine ‘On print mass media (press)in Ukraine’



Regional TVLicensees 1 TV license per region 1 TV license No restrictions No restrictions 1 radio license

per territorial unit

National TVLicensees 1 TV license per region * No restrictions No restrictions 1 radio license



1 TV license per region 1 TV license No restrictions No restrictions 1 radio license per territorial unit


1 TV license per region 1 TV license No restrictions No restrictions 1 radio license per territorial unit

Satellite TVBroadcasters 1 TV license per region 1 TV license No restrictions No restrictions 1 radio license


Local Radio Licensees 1 TV license per region 1 TV license 1 radio license per region 1 radio license per region 1 radio license per territorial unit

National Radio Licensees 1 TV license per region * No restrictions No restrictions *

Foreign Investors ** ** No restrictions No restrictions **

Source: Ukrainian Association of Press Publishers (UAPP); Media Law Institute

* A license can be provided to one type of electronic media, although this rule is debatable.** Foreign investors have no right to become founders of electronic media, however, they can be their co-owners. Limits of foreign ownership do not exist

at the moment, but they are expected to be set up at 35%. In fact, all big companies have foreign co-owners.


UNITED KINGDOM

General economic situation The United Kingdom, a leading trading power andfinancial centre, is one of the quintets of trillion dollareconomies of Western Europe. Agriculture is intensive,highly mechanized, and efficient by European standards,producing about 60% of food needs with less than 2%of the labour force. Services, particularly banking,insurance, and business services, account by far for thelargest proportion of GDP while industry continues todecline in importance. The global economic slowdown,tight credit, and falling home prices, however, pushedBritain back into recession in the latter half of 2008 andprompted the government to implement a number ofnew measures to stimulate the economy and stabilize thefinancial markets. The inflation rate was estimated at2.1% in 2009.

Performance of newspapers vs. other media The United Kingdom has a strong tradition of public-service broadcasting and an international reputation forcreative programme-making.

The fledgling BBC began daily radio broadcasts in 1922and quickly came to play a pivotal role in national life.The Empire Service, the forerunner of the BBC WorldService, established a reputation worldwide. The BBC isfunded by a licence fee, which all households with a TVset must pay.

Commercial TV began in 1955 with the launch of ITV.Commercial radio was introduced in the 1970s,although ship-based pirate radio stations flourished inthe 1960s before being outlawed. Hundreds of privately-owned radio and TV stations now compete with theBBC for listeners and viewers.

Home-grown soap operas have long topped the TVratings, and British viewers keenly follow the ups anddowns of life in east London’s Albert Square, the settingfor the BBC’s EastEnders, and Coronation Street, ITV’ssoap about northern-English working-class life.Programmes which catapult ordinary people into thepublic eye, known as reality TV, are enjoying a wave ofpopularity.

In a rapidly-changing digital world, British mediaproviders are looking at new ways of reaching audiencesvia computers and personal multimedia devices.

The once-dominant terrestrial TV networks face strongcompetition from digital satellite and cable, which offerhundreds of channels, and digital terrestrial TV, whichcarries a smaller number of mainly free-to-viewchannels. By August 2008, digital TV was in 87% ofBritish homes. Digital radio (DAB) has had a slowerstart, but the BBC and commercial operators providedigital-only radio services.

Britain’s media regulator, Ofcom, has set a timetable fora switchover from analogue to digital TV broadcasting;it hopes to turn off the analogue TV signal by 2012.

NEWS CONSORTIA

On April 30, 2009, at the Voice of the Listener andViewer spring conference, ITV executive chairmanMichael Grade backed proposals for a new network ofindependent news consortia to be set up across the UK.Grade also offered to open up parts of ITV1’s peak-timeschedule to the news consortia to provide local bulletins.Ofcom, the independent regulator and competitionauthority for the UK communications industries,suggested that local newspapers, radio stations and othernews providers could come together to provide local TVnews. Ofcom estimated that the cost of funding the localTV news consortia would be in the region of GBP40million and GBP100 million a year, and Michael Gradesupported calls for this money to come from the BBClicence fee.

In May 2009 the Press Association (PA) launched a video newswire service for newspapers, broadcastersand online media. Regional newspapers were offered useof the new video wire service free on a trial basis for thefirst six months. The new service was launched on May5, 2009, and distributes up to 30 news, sport andentertainment stories a day, supplying raw footage ofinterviews, plus cutaways and general images to allowpublishers to create their own distinct video packages.The training arm of PA offered courses on video editingto help newspapers develop the techniques necessary tomake use of the service. The Press Association has 30specialist multimedia journalists across the country, aswell as about 35 “multi-skilled” journalists who alsocreate video content for the wire service.

In July 2009, the Conservatives’ Digital Britain reportproposed using about GBP130 million a year from thelicence fee from 2013 to fund a series of independentconsortia to provide local TV news. The Conservatives’proposals, produced by outgoing Johnston Presschairman Roger Parry as part of a review of creativeindustries, draws on the US and Canada where local TVcompanies succeed without the need for public subsidy.The Conservative party’s review of creative industries,headed by former BBC director general Greg Dyke, iscomprised of a panel including Shine Group chairmanand chief executive Elisabeth Murdoch, Lastminute.comco-founder Brent Hoberman and the former BBCdirector of future media and technology AshleyHighfield.

The report proposed creating a range of about 80 localmedia companies – delivering TV, print and onlineservices to regional and local communities. These



UNITED KINGDOM

entities, known as LMCs, would obtain income fromlocal advertising and commercial services – revenue thathas traditionally gone to local newspapers and radio. Theproposal would see Ofcom auction up to 81 local TVlicences, through a single “spectrum band manager”, toallow independent media consortia to produce localmedia coverage. The companies operating these local TVlicences would make money from classified ads, mainlyfrom print and online media, and display ads across allmedia including TV. The local media companies could also look to sell video news material to regional broadcasters. The report highlights Channel M,part of the Guardian Media Group, publisher of MediaGuardian.co.uk, as the most successful exampleof local television in the UK.

In July 2009 a new wire service allowing local andregional newspapers to “ramp up” their online videocontent was launched. Tradeclips.com was devised bythe company behind the Newslink news and picturewire service. The new service is designed to tackle theproblem of prohibitive storage and hosting costs. As wellas providing storage for multimedia files, the servicegives regional newspapers access to a large archive ofaudio, video and stills footage. It is also designed tofacilitate easier content-sharing and syndication betweennews providers who subscribe to the service. Registeredusers of the system will be able to upload and downloadfiles free of charge, paying only for storage of theirmaterial. The service is part of the Wirefast group ofcompanies, which includes Newslink.

On January 4, 2010, Johnston Press, the publisher of theScotsman, Mentorn, the production company behindthe BBC’s Question Time, and Glasgow Heraldpublisher Newsquest launched a consortium to run theregional news pilot in Scotland. The consortium, whichis aiming to win cash from the government’sindependently funded news consortium (IFNC) schemeto replace ITV’s regional news operation, also includesDC Thomson, the publisher of the Courier & Advertiserand Evening Telegraph in Dundee and the Sunday Post.The partnership, which has the backing of former ITNchief executive Mark Wood, was also tipped to enter therunning subject to finding a suitable video contentpartner.

Video production will be handled by Mentorn Media, a subsidiary of Tinopolis, which has producedprogrammes including Panorama and Traffic Cops forthe BBC and Dispatches and Cutting Edge for Channel4. Mentorn Scotland is the production base forQuestion Time and BBC1’s Sunday morning discussionshow The Big Questions. The partnership, which will beknown as the Scottish News Consortium, claims to beable to draw on 1,000 editorial staff.

The bid will put them in competition with TrinityMirror, publisher of the Daily Record, and production

company MacMillan Media, which announced a partnership to bid for the same pilot. In December2009 Scottish broadcaster STV announced a partnershipwith ITN and Bauer Media, owner of radio networksincluding Kiss and Magic, for another rival bid. TheDepartment for Culture, Media and Sport is scheduledto announce the successful consortium in mid-March2010.

NEWS AGENCIES

In early June 2009, Strand News agency editor JamesBrewster warned newsdesks around the UnitedKingdom that his agency might not survive the year. Butthe owner of London court reporting agency StrandNews is optimistic his business will survive after a positive response by newsdesks to the appeal. StrandNews has been covering the Royal Courts of Justice inLondon, the High Court and the Appeal Court, for 20years, with a focus on serving the regional press. In hisappeal James Brewster urged news editors to help StrandNews survive by using the service, dealing with invoicesquickly and settling outstanding invoices before the endof June 2009.

In July 2009, Mark Hanna, co-author of McNae’sEssential Law for Journalists, warned there was a seriousneed for research to examine and possibly reverse thegrowing decline in court reporting across the UnitedKingdom. Hanna said the serious decline in courtreporting threatened public confidence in the courtsbecause the public was not being kept informed, and wasnot being reassured that justice was being done.Shortages of resources and manpower because of thecurrent crisis in the newspaper industry were among thereasons behind the decline, but other factors, such asprocedural changes in the courts themselves, might alsohave had an effect.

David Banks, Hanna’s co-author on McNae, and seniorlecturer in media law at Sunderland University, saidthere was a growing contradiction in the law arisingfrom the development of the Reynolds defence ofresponsible journalism and the development of the lawof privacy. According to Banks, the Reynolds defence setstandards for responsible journalism. One of these wasthat a journalist writing about an individual or companyshould put any allegations to that person or firm to givethem the opportunity to state their case. The individualwho was subject to allegations would not be able to getan injunction to stop publication on the grounds thatthey were defamatory of him. However, the growing lawof privacy has now given such individuals theopportunity to obtain injunctions blocking publicationof a story on the grounds that the subject matter of thestory was private, or information had been given to thejournalist in breach of an obligation of confidence orprivacy.


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Kent News and Pictures photo agency closed in January2010, with its founder blaming poor national newspaperrates and tough economic conditions. The Kent Newsand Pictures business had suffered when newspapersbegan paying for the photo space in the newspaper,rather than the time on the job, and cutting retainersand advance fees. Chris Eades, a former EveningStandard journalist who set up the agency in 1993, saidhe could not foresee online offering new opportunities,as the newspapers simply wouldn’t pay enough forcontent. Eight photographers, two reporters and onefreelance were made redundant. Kent News & Picturessister agency, Images International, which providedimages from all over the UK as well as overseas, has alsoclosed.

Performance of different types of newspapers Even in the midst of the downturn, publisherscontinued to launch print and online products, growtheir audiences, and test new and innovative ways togenerate revenue from their online operations.

The start of 2009 was marked by a continuation of thedecline from the previous year but publishers’ financialreports showed an improved outlook for the second halfof 2009 with declines slowing significantly and, in a couple of instances, showing year-on-year growth inclassified categories.

This led to financial analysts pointing to signs ofstabilisation in local media and share prices of publiclylisted companies rose significantly as a result.

POSITION ON THE NEWSPAPER MARKET

Brands

Behind working pay walls and a global readership, full-price UK sales of the Financial Times have plummeted.Full-price copy sale in Britain was down to a mere67,578 in November 2009, a drop of 17,000 onNovember 2008.

In 2009 The Times and The Sunday Times were jointlynamed Britain’s best-known newspaper brand in a newnational survey. The 12th annual Superbrands report,which is based on a poll of more than 2,000 adults,ranked the newspapers 131st out of the 500 strongestbrands in the country, the highest score for a newspaperin 2009. Pearson’s Financial Times and The Economist(part owned by Pearson), were the only two mediacompanies, aside from Google, to breach the top 25, theformer surging from 31 to 17, while The Economist wasup from 58 to 25 over the year.

In March 2009, the London Evening Standard boosteddistribution of its last edition by more than 10,000copies and renamed it Late Night Final. Available incentral London from 18:00 the late edition used to be an

offshoot of the West End Final but has been rebrandedLate Night Final in red and white right across the frontpage.

In February 2009 full-price sales of the EveningStandard were 142,513 on average, down from 155,467the previous month. Bulks, copies that readers can pickup free from hotels, airlines and gyms, which pay a nominal fee, were also down from 134,666 to 132,682in the same period.

On May 11, 2009, the London Evening Standarddistributed 850,000 free copies, 200,000 more thanplanned, as part of a promotion to mark a relaunch ofthe newspaper under new editor Geordie Greig andowner Alexander Lebedev. The giveaway was intended toinclude 650,000 copies of the GBP0.50 title to mark a new look for the newspaper and signal a more positive,upbeat editorial tone. News of the promotion, whichemerged on May 8, 2009, led News International, thepublisher of freesheet the London Paper, to run its ownmarketing push involving giving away 120,000 Kit Katchocolate bars to commuters on the same day.

The Evening Standard had also recently launched a tiered pricing model, which included offering thenewspaper for GBP0.10 to late-night travellers atmainline stations. The May 12 relaunch was preceded bya teaser campaign, by McCann Erickson London, saying“sorry” to Londoners for the Standard’s previouseditorial stance.

Economic Results

In the year to June 29, 2008, Times Newspapers,publisher of The Times and Sunday Times, reportedlosses jumped 17% from GBP43.9 million to GBP51.3million, before the collapse of Lehman Brothers andrecession hit the advertising market. Turnover at TimesNewspapers dropped marginally to GBP444.8 millionfrom GBP447.1 million. The accounts blamed risinglosses partly on the cost of switching to full-colourprinting presses. Even without exceptional items,operating losses rose to GBP42.7 million from GBP34.9million. The overall loss of GBP51.3 million was not asbad as two years earlier, when it ended up GBP81.8million in the red as the daily newspaper moved frombroadsheet to tabloid format.

News Group Newspapers, publisher of The Sun and theNews of the World, announced profits fell to GBP55.1million in the year to June 29, 2008, down fromGBP61.8 million a year earlier. News Group turnoverrose slightly to GBP626.3 million from GBP623.3million. The Sun and News of the World posted anoperating loss of GBP18.5 million. News Group saidturnover was up because it increased the News of theWorld’s cover price.


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On April 21, 2009, Independent News & Mediapostponed publication of its 2008 full-year results for a second time as the company’s management continuedto hold talks about reducing its debts. Sources close toINM said the company had been hoping to have strucka deal to reduce its GBP1.3 billion debt by the time itpublished its results for 2008. The company was alsoreported to be considering a sale of some assets to paydown its debts, including its 21% stake in the Indiannewspapers group Jagran Prakashan, which it acquiredfor GBP22.5 million in 2004.

On April 30, 2009, Independent News & Mediaannounced it had failed to reach agreement withbondholders over a GBP179 million (EUR200 million)bond, as it reported a full-year pre-tax loss ofEUR161.4m for 2008. INM reported a pre-tax loss of EUR161.4 million for 2008, compared with a EUR284.8 million profit in 2007. It had postponed itsannual results twice in the hope that an agreement withbondholders could be reached before releasing them.The company said its 2008 losses were mainly due to a EUR373.1 million exceptional charge, EUR290.9million of which related to a decision to write down thevalue of its newspaper assets in the light of the economicdownturn. Its UK division, which includes theIndependent newspapers, reported 2008 revenue ofEUR215 million, a EUR53.1 million fall on theprevious year, “mainly driven by a reduction inadvertising and circulation revenues.” Operating profitat the UK arm fell to EUR200,000 in 2008. The INMconfirmed its decision to move the newspapers intoDaily Mail owner DMGT’s London offices, and sharefacilities with its competitor, would result in cost savingsof GBP10 million a year. INM said a restructuringprogramme, which included 630 job losses during 2008,about 90 of which were at the Independent newspaperand its Sunday sister title, had cost EUR58 million.

On May 18, 2009, Independent News & Media won a grace period from lenders on a EUR200 million(USD270.8 million) bond, giving the group until June26, 2009, to reach a repayment deal on the senior note.The media group secured an additional EUR15 millionworking capital facility from its banks for the standstillperiod, secured on certain assets. The capital is to berepaid from asset disposals.

Independent News & Media built up a debt pile ofEUR1.4 billion through overseas expansion but wasexpected to raise EUR100 million – EUR150 millionfrom the sale of its price comparison website Verivox,gaming software firm Cashcade and its South Africanoutdoor advertising business by the end of the thirdquarter 2009.

On June 22, 2009, Independent News & Media said itplanned to extend the June 26, 2009, deadline for itsEUR200m bond until July 24, 2009, so that its

stakeholders could work on the deal. It was reported thatthe plan would involve the company giving bondholdershalf the cash now and the outstanding balance later.INM’s largest shareholders, Sir Anthony O’Reilly andDenis O’Brien, who have a combined stake of more than50%, were to contribute to the plan.

On June 25, 2009, Denis O’Brien, Independent News& Media’s (INM) second-largest shareholder, threatenedto pull the plug on a rescue refinancing planned by thenewspaper group’s board. As the deadline approached torepay a EUR200 million (GBP170 million) bond, MrO’Brien was understood to have told the board that hecould not support a rescue plan drawn up by SirAnthony O’Reilly, the group’s former chief executive.The company behind The Independent had wanted tolaunch a EUR60 million deeply discounted rights issueto help to pay the bond. Without the backing of MrO’Brien, who owns a 26 per cent stake, the emergencycash call had no chance of succeeding. Under the latestversion of the O’Reilly plan, bondholders would receiveEUR60 million from the rights issue and as much asEUR50 million from planned disposals. The remainingEUR90 million would be dealt with by giving the debt-holders 10 per cent of INM’s shares. However, MrO’Brien was understood to be particularly unhappy atthe plan to give 10 per cent of the company tobondholders. That implies they should see a returnequivalent to the EUR200 million face value of the debt,when the bonds are in fact trading at about 15 to 20 percent of their face value. O’Brien put forward analternative plan that would involve the bondholdersreceiving EUR30 million to EUR40 million of cash, inline with their face value.

In September 2009 it was reported a rescue deal betweenIndependent News & Media with the banks would leadto Tony O’Reilly halving his near-30% controlling stakein the company that publishes The Independent. Underthe proposal, the lending banks are to extend theirEUR1.3 billion of loans until 2014 at the earliest.O’Reilly, the company and its banks have agreed inprinciple that the bondholders will receive some cashplus new shares amounting to about half of thereconstructed company. The exact proportions were thesubjects of continuing negotiation. A rights issue willfollow once the new shares have been issued tobondholders, to help to raise money that would putINM on a more secure financial footing.

During a television interview in September 2009,Independent News & Media (INM) chief executiveGavin O’Reilly defended his decision to hold on to theIndependent titles despite their losses. He said they were “the central editorial hub” of the group’s 200newspapers across the world, in Ireland, Australia, New Zealand, South Africa and India, which publish copy originating in London. However, GavinO’Reilly admitted The Independent and its Sunday


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stablemate were losing “tens of thousands of euros everyday”.

Independent News & Media reported a fall in groupadvertising revenue of 19 per cent for the year toOctober 23, 2009. Group revenue in that same periodwas down 14 per cent year-on-year on a constantcurrency basis. The company said it expected full-yearprofits between EUR170 million (GBP152 million) andEUR190 million. Group operating profit beforeexceptional items was down 37 per cent year on year toOctober 23, 2009, compared with a 45 per cent year-on-year fall in the first half of the year. Circulation revenue declined by about two per cent for the year toOctober 2009. The company held a meeting inNovember 2009 to discuss its repayment of a EUR200 million (GBP181 million), originally due to bondholders in May 2009, and formally approve a restructuring plan that will give bondholders a 47 percent stake in the company.

Daily Mail and General Trust results for the periodcovering October 2008 - March 2009 revealed thatadvertising revenues at Northcliffe were down 31 percent in the period, with profits for the UK newspapersdown 91 percent to GBP3.2 million from GBP33million the previous year. Overall revenues forNorthcliffe Media fell 23 per cent from GBP216 millionin the equivalent period in 2007-2008 to GBP166million in 2008-2009. Advertising revenues fromproperty were down 54 per cent, recruitment 47 percent, retail 24 per cent and motors 23 per cent, whilecirculation revenues fell 6 per cent. Overall headcount fell by 500 as a result of the widespreadcutbacks across Northcliffe announced in the first threemonths of 2009. This contributed to a 20 per cent fallin operating costs compared with the same period theprevious year.

In June 2009, Sport Media Group, publisher of theDaily Sport and Sunday Sport, reversed its steepcirculation decline for the first time in six months afterexperiencing a stabilisation in advertising revenue.SMG, which resigned its Audit Bureau of Circulationsmembership in March 2009 due to plummeting salesfigures, said that circulation in May 2009 was back atlevels not seen since November 2008. The publisher,which had admitted that a shift in daily circulation of10,000 hit profitability by about GBP2 million over a year, added in a trading update dated June 9, 2009,that advertising revenues had been “holding steady” andwas expected to increase as sales build. The company,which acquired Daily Sport and Sunday Sport publisherSport Newspapers for GBP50 million in December2007, revealed in its results for the year to the end of July2008 that it had to strip GBP18.4 million from thevalue of the business due to dire advertising andcirculation conditions.

Sport Media Group omitted its dividend in late October2009 after reporting a pre-tax loss of GBP7.7 million forthe 12 months to July 31, 2009. The interim loss wasstruck after reorganisation and other exceptional items,goodwill amortisation and a charge for share-basedpayments totalling more than GBP7 million. Itcompared with an GBP18 million pre-tax loss for theprevious 12 months, mainly because of a GBP20 millioncharge for impairment of goodwill. At the operatinglevel, before interest payments, profits tumbled fromGBP6.4 million to GBP263,000.

Turnover/profit

Pearson, the owner of the Financial Times and Penguinbooks, reported a “robust performance” for 2008 andraised its dividend for shareholders in March 2009. Thecompany – which makes most of its revenues from itseducation business – saw an increase in both sales andoperating profits last year, with the strongest profitgrowth at the FT Group, up 13%. At the FT Group,which includes Interactive Data as well as the FinancialTimes and other publishing assets, the company said67% of revenues came from digital services, up from28% in 2000, while advertising accounted for just 25%,down from 52% eight years earlier. However, the grouphas not been immune from the advertising slowdownthat has plagued the media sector in 2008 and early2009. Advertising revenues at FT Publishing slipped 3%over 2008, with the fourth quarter described as “weak”,as financial institutions, technology companies andrecruiters reduced their marketing spend. The companyalso announced controversial plans for 80 redundanciesat the FT to cut costs for 2009. Circulation revenuesfrom the FT were up 16%, thanks to a cover price risefrom GBP1 to GBP1.80 in the space of 18 months.Overall, sales were up 8% at constant exchange rates toGBP4.81 billion, while adjusted operating profit rose11% to GBP762 million. The company also said net debt jumped GBP487 million to GBP1.46 billion asa result of acquisitions and the strength of the USdollar."

In the first half of 2009, profits at FT Publishing, thenewspaper and magazine division of Pearson which ownsthe Financial Times and has a 50% stake in theEconomist, fell 40%. Sales at the division, part of the FTGroup, also slipped 13% as the advertising downturn hitthe financial and corporate sectors. Adjusted operatingprofit at FT Publishing was GBP14 million in the firstsix months of the year, down from GBP30 million forthe same period in 2008, a 40% decline on anunderlying basis. Sales fell from GBP188 million toGBP176 million. Marjorie Scardino, the Pearson chiefexecutive, added that advertising accounted for just 20%of FT Group revenues, down from 50% in 2000.Pearson said digital services accounted for 67% of FTGroup revenues in 2008, up from 28% in 2000. Acrossthe whole of Pearson, which also owns Penguin books


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and a US education business, revenues were flat atGBP2.4 billion, while profits were up 21% to GBP158million. At Penguin, profits were down 23% on anunderlying basis, while sales slipped 6% on the sameterms. The company’s best-performing division was thelargely US-based education business, where sales rose3% to GBP1.52 billion.

According to John Ridding, the Financial Time’s chiefexecutive, the newspaper’s digital income now accountsfor 20% of all its revenues, up from 14% in 2007. InApril 2009, the FT in Britain raised its weekday coverprice (by GBP0.20) to GBP2 and its Saturday price toGBP2.50. At the end of last year its US editions alsowent up, to USD2.50 and USD3 respectively. Sales ofthe British FT have also dipped, down about 6% year onyear, but it was one of the newspapers caught in theairline bulk sales saga. But the price rises have ensuredthat circulation revenue rose by 20% in the first sixmonths of 2009. Meanwhile, subscriptions to FT.comwent up by 18%. The newspaper now has 117,000individual subscribers on annual deals. It has also sold650 lucrative licences to corporate clients.

The drop in operating profits at FT Publishing, whichslipped to GBP14 million in the first six months of2009, was almost all attributable to falling advertisingrevenues, said finance director Robin Freestone.Financial and corporate advertising have been the areasworst hit. The FT’s circulation fell 6% worldwide in theJanuary to June 2009 period, mainly because of Cityfirms cutting back on bulk distribution copies. But it hasbenefited from the doubling of the cover price fromGBP1 to GBP2 over the past two years.

In the year to March 31, 2009, The Economist, which ishalf-owned by the Financial Times, part of Pearson,bucked the trend of steep declines seen by mostmagazine owners with a 26 per cent increase in operatingprofit to GBP56 million. Turnover rose 17 per cent toGBP313 million and pre-tax profits were also GBP56million, up 18 per cent on 2008. Average circulation ofthe core news weekly continued to rise, up 6.4 per centto 1.39m for July to December 2008.

In 2009, the Financial Times operating profit sank 47percent from the previous year (to GB39 million), andparent company Pearson attributed the fall to the “toughmarket conditions for financial and corporateadvertising”. The wider FT Group slowed less, due to 22percent more profits from its Interactive Data division.Global circulation was down 7 percent (to 402,799).Sales at home in the UK make up over 90 percent of thetotal, but are themselves down by 23 percent from theirFebruary 2001 decade high. Overall, across Pearsonoperating profit was up four percent to GBP858 millionon four percent higher income. Digital products madeup 31 percent of Pearson income (GBP1.7 billion), andPenguin profit dipped 10 percent after spending GBP9

million on restructuring for digital publishing. E-booksales grew fourfold.

Daily Mail & General Trust reported a pre-tax loss ofGBP239 million for the six months to March 29, 2009,with an 85% fall in operating profit at its regional armand a 59% fall across its national newspaper division.The owner of the Daily Mail and about 100 regionaltitles said that its results were affected by a GBP179million non-cash charge principally relating to assetsacquired in recent years by Northcliffe, DMG WorldMedia, Euromoney and DMG Radio. On an adjustedbasis, stripping out factors such as exceptional charges,pre-tax profits fell 47% to GBP77 million for the period.Adjusted operating profits dropped 30% year on year toGBP116 million and group revenues decline by 7% toGBP1.08 billion. Operating profits at DMGT’s regionalarm, Northcliffe Media, fell 85% to just GBP6 million,with revenue down 23% to GBP166 million. UKcirculation revenues fell by 6% to GBP35 million at thedivision. The company said that April 2009 trading sawUK advertising revenues remaining at 36% below theequivalent period the previous year. Recruitmentrevenues in the UK were down 63%, with propertydown 54% and retail down 11% year on year. However,the company said that other categories were “at orabove” previous months.

At Associated Newspapers, the company’s nationalnewspaper arm, operating profit fell 59% year on year toGBP18 million, with revenue down 10% to GBP455million. There was a 16% year-on-year fall in underlyingad revenue at the division. Ad revenues were down 8%in the first quarter and 23% down in the second quarter.However, April and May of 2009 have seen an“improving trend”, down 15%. Display advertising wasdown by 16% to GBP150 million. By sector, allcategories were lower, but retail, the largest category, wasthe best performer, falling by 7% boosted by strongadvertising from supermarkets. Classified advertising fellby 13% to GBP29 million. The company said thatoverall circulation revenues at the division remainedstable at GBP181 million, due to an increase in coverprices. However, circulation at the Daily Mail fell 5.8%and at the Mail on Sunday 5.6% for the period.

For the year ended October 4, 2009, the Daily Mail &General Trust beat forecasts to record a 23% fall inadjusted pre-tax profits to GBP201 million, with itsflagship Daily Mail reporting the second-highest profitin its history despite the recession. DMGT, which ownsabout 100 regional titles, said revenues at AssociatedNewspapers, its national arm, fell 11% year-on- year toGBP876 million. Circulation revenues were down just2%, but underlying ad revenues fell 15%. DMGTrecorded a GBP5 million loss on the sale of the LondonEvening Standard, offset by a GBP2.7 million“curtailment gain” Since the sale in January 2009, thecompany has received revenue of GBP5.6 million and


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paid for services of GBP13.3 million. Its regional arm,Northcliffe Media, saw total revenue fall 22% toGBP328 million with operating profit plunging 65% toGBP24 million. In the UK market operating profit fellby 67% to GBP20 million, with total revenues down by24% to GBP285 million. Underlying ad revenue fell30% amid “unprecedented trading conditions for localnewspapers”. Circulation revenues fell 7%.

Chief executive Martin Morgan said the single mostimportant factor in achieving such profitability was a large-scale cost-cutting drive. Headcount across theAssociated Newspapers division has been cut by 5%,about 200, in the year to October 4, 2009. A further 300job cuts came from printing and administration staffacross the national and regional operations. However,Morgan added that a cover price increase for theSaturday Daily Mail, made in October 2008, hadboosted profits and a “reworking” of marketing andpromotional budgets away from activity such as DVD giveaways and into subscription schemes had alsostarted to pay dividends. Digital revenues from theAssociated Newspapers’ websites rose 11% year-on-year.London Lite, which closed on November 13, 2009, saw an underlying fall in ad revenue of 4% year on year.

In June 2009, the Guardian Media Group announced itwould report an operating loss for the financial year tothe end of March 2009. It was the first time GMGwould post an operating loss for several years. Thecompany’s national newspaper division, Guardian News& Media, which publishes the Guardian, the Observerand the guardian.co.uk website network, includingMediaGuardian.co.uk, reported a loss of about GBP35million in the year to the end of March 2009. GMGRadio and GMG Property also reported operating losses.The regional newspaper division, GMG RegionalMedia, will make an operating profit of less than GBP1million, down from the previous financial year’soperating profit of GBP14.3 million.

According to figures reported anonymously by FT.comin September 2009, Guardian News & Media has lostGBP20 million from Guardian.co.uk since 2002/03.Guardian editor-in-chief Alan Rusbridger confirmed thefigures: “Since 2002/3, our spending on Guardian.co.uk(operational and capex) has exceeded revenue by justGBP20 million.”

In its annual report for 2008/2009, Guardian MediaGroup (GMG) revealed that national newspapersdivision Guardian News and Media reported an increasein operating losses to GBP36.8 million (compared withGBP26.4million in 2008) on reduced turnover ofGBP253.6 million (GBP261.9 million). The regionalnewspapers division reported profits of justGBP500,000 on steeply reduced turnover and revealed a trading loss for the last six months. Guardian Media

Group overall reported a pre-tax loss of GBP89.8mcompared with a profit last year of GBP306.4m onturnover down to GBP405.4 million compared withGBP502.1 million. The huge reduction in turnover forGMG is largely accounted for by the fact that TraderMedia Group, which GMG owns 50.1 per cent of isnow accounted for separately, as is GMG’s joint ventureownership of B2B publishing business Emap. Whenturnover from GMG’s share in its joint ventures isincluded, turnover for GMG this year was said to beGBP637.9 million (compared with GBP625.7 millionin 2008). GMG’s 2008 profit figures were inflated bythe one-off proceeds from selling a 49.9 per cent ofTrader Media Group. This year’s figures include non-trading losses of GBP78 million.

Sport Media Group reported that the business ended2009 in profit with the group trading profitably for thefive months to December 31, 2009, even though dailycirculation of its tabloids had decreased since peaking inAugust 2009.

Forecasts

In May 2009, Financial Times publisher Pearsonconfirmed it was continuing to grow its content,subscription and digital revenues at FT Group despitethe tough economic conditions. In a trading updatecovering the first three months of 2009, the companysaid that although advertising had worsened since theNew Year, this only accounted for 16 per cent of the FTGroup’s revenue. The FT increased its cover price fromGBP1.80 to GBP2 in April 2009. The newspaper’s pricehas risen steadily over 2008. Pearson said it expectedgroup full-year profits in 2009 to either match or beat2008. For 2009, the group has frozen the salary of allthose earning more than GBP30,000. The FT recentlycut 80 staff, including 20 journalists, in a cost-cuttingdrive.

In January 2010, Pearson said its Financial Times Group“ended the year ahead of our expectations” ahead of its2009 earnings report due March 1, 2010. Pearson thenraised its earnings-per-share expectation by 10 percent.

Cover price rises, a growing online subscriber base andcorporate clients are forecast to help the FinancialTimes’s content revenues overtake print advertisingrevenues for the first time in 2010.

InPublishing magazine commissioned WessendenMarketing to ask 187 newspapers and magazines aboutthe current state of publishing and what the future hasin store. It found that 57 per cent of publishers thoughtthe economic conditions in the industry would begin toimprove in 2010, albeit slowly. Despite many reports offalling revenues, the study found that 79 per cent ofcompanies remained profitable, which an averagemargin of 11 per cent. Some 12 per cent of companies


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were breaking even and nine per cent were making a loss.A third of the publishers surveyed predicted their profitmargin would rise in 2010, with 42 per cent expecting itto hold steady.

REGIONAL PRESS

On June 26, 2009, Claire Enders, the chief executive ofEnders Analysis, told a Commons committee thatnewspapers would close across Britain because revenueswould collapse by 52%, or GBP1.3 billion, between2007 and 2013. “We are expecting up to half of all the1,300 titles will close in the next five years,” Enders toldthe Commons culture, media and sport select committeehearing on the future of local and regional media. Thecrisis was caused by the recession and several structuralfactors including the take-up of broadband and rise ofonline search advertising giant Google, the committeeheard. Other factors included local governmentsdeciding in 2004 to cut recruitment advertising fromlocal and regional newspapers and the Royal Mailending the delivery of local newspapers. Media regulatorOfcom said that 60 newspapers had closed in the pastyear, including 50 freesheets and 10 paid-for titles,which had faced strong competition in their markets.

According to the research conducted by Enders Media,circulation looks set to decline by 8 per cent in the sameperiod. Local community newspapers are deemed to begreatest at risk. During the June 2009 cross-party selectcommittee’s hearing into the future of newspapers in theUK, Sly Bailey from Trinity Mirror revealed that hercompany had been forced to close 27 newspapers in2008 and a further 8 as of June 2009.

Between 2008 and March 2009, regional newspaperssuffered drastic cuts with 11 Newsquest newspapersclosing in the northwest; 1,110 job cuts for JohnstonPress; and 245 future job cuts for Guardian MediaGroup.

In July 2009 an influential committee of MPs held a public meeting in York to discuss the future of localnews. After the House of Commons culture, media andsport committee launched its inquiry into the localmedia industry on June 16, 2009, the committee held a public session in York on July 1, 2009, to hear what thepeople of Yorkshire thought about their local newspapersand TV stations – and whether the Internet is a satisfactory alternative. The event was part of a two-dayfact-finding trip that also saw the committee visit someof the region’s key media outlets, including the YorkshirePost, Real Radio Yorkshire and ITV Yorkshire.

In July 2009 during a debate on the regional press,Members of Parliament warned that staff cuts, officeclosures, the loss of advertising revenues to councilpublications and a decline in government advertisingwere all threatening to undermine the vital role of the

local press in maintaining local democracy. MarkWilliams, the Liberal Democrat MP for Ceredigion,warned “the emergence of local council publications,containing local news, but by their nature notindependent, competing with the commercial press, isspeeding the decline of the local press and therebyreducing scrutiny of local authorities.” Williams saidcouncils should be encouraged to take out longeradvertising contracts or running campaigns in the localpress and to sponsor local newspaper initiatives. He alsosaid the government and local authorities should take a strategic approach to advertising and ensure thatrelevant titles are not overlooked. Williams also arguedthat cross-media ownership rules should be relaxed toallow the exploration of new partnerships, but that in relaxing the regulations there should beaccompanying measures to protect the plurality of thelocal media.

The closure of a number of local newspapers in Wales inSeptember 2009 caused the Assembly Government anda series of local politicians to raise concerns about thedeteriorating state of the Welsh media. Earlier during themonth regional publisher Trinity Mirror unveiled plansto close three of its weekly newspapers in Wales with theloss of around 26 jobs. There were also planned closuresof the Neath Guardian and Port Talbot Guardian byTrinity’s Media Wales division. In addition to these titles,Trinity also announced plans to close North Walesweekly, the Wrexham Chronicle. In September 2008,the Big Issue moved publication of its Welsh edition toScotland, making two of its three local staff, includingthe editor, redundant and leaving just a single reporter.It also emerged in August 2009 that the TimesEducational Supplement was also downgrading itsWelsh edition by closing its local office and making fivestaff redundant, again including the editor, and alsoleaving it with just a single reporter in Wales as TES’sLondon editor assumed full responsibility for the title.

BROADSHEET/TABLOID

In March 2009, three broadsheet newspapers announcedthey were turning tabloid, the Belfast Telegraph, theDarlington and Stockton Times, and the ReadingChronicle. Those titles are following a trend: theBirmingham Post downsized in August 2009, while TheNorthern Echo, Oxford Times, Wakefield Express,Halifax Courier and others shrunk in 2008 and 2007.

In England and Wales, the only regional dailybroadsheet is the Yorkshire Post. But, according to theNewspaper Society’s database, 44 weekly broadsheetsremain. One of them is the Barnsley Chronicle, a rarityin English newspapers: broadsheet, independentlyowned, and printed in the town it serves.

The Newspaper Society’s list of English and Welshbroadsheets has just one city newspaper, the Lancaster


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Guardian. The rest are from town and country: theBerwick Chronicle; Hexham Courant; NorthumberlandGazette.

In Scotland, the story is slightly different. The Herald inGlasgow is still broadsheet, as is the Press and Journal inAberdeen. They’re joined by 12 other newspapers, fromthe John O’Groat Journal to the Southern Reporter,based in Selkirk.

Nationally, The Times, The Independent and TheGuardian all shot up after downsizing. The NorthernEcho was the country’s best-performing regionalnewspaper, with a 0.8 per cent paid-for fall, after it wenttabloid.

On March 25, 2009, the Belfast Telegraph changed to a tabloid format. The daily’s four afternoon editionswere all downsized to compact versions, bringing to anend nearly 139 years of broadsheet printing. The new-look edition was marketed via TV, radio and outdoor adsand contains an expanded health and lifestyle sectionand new 24-page sports pullout on Mondays.

SHARING EDITORIAL CONTENT

In June 2009, Alexander Lebedev’s London EveningStandard struck a deal with the New York Daily News toshare editorial content in print and online. The EveningStandard, which is 75% owned by the Russian oligarch,said the deal was a “formal relationship” but provided nodetails of the amount or type of content or a proposed revenue share model.

The New York Daily News, which is owned by MortZuckerman, is reportedly the fifth biggest dailynewspaper in the US, with a daily circulation of632,595. The Sunday circulation is 674,104. TheEvening Standard recorded a circulation of 210,901according to the latest Audit Bureau of Circulationsfigures for May 2009.

In March 2009 the BBC confirmed it was developing aplan to share its online content with newspapers and domore to link to rival news organisations. In itssubmission to the government’s Digital Britainconsultation, the corporation said work was underway to create an “online syndication strategy”. The BBC has already announced a sharing agreement withTelegraph Media Group, allowing the newspaperpublisher to put some content from the BBC iPlayer on the Telegraph.co.uk website. The olive branch to the newspaper industry comes after the BBC’s plans to launch a network of online videonews websites across the UK was blocked by the BBCTrust in the face of massive opposition from the regional press. The corporation’s governing body said the local video proposals could have harmed regional newspapers’ attempts to make money

online and was not a worthwhile use of licence feemoney.

In April 2009, the BBC was set to close a ground-breaking deal with local news providers that will see itshare resources with newspapers and TV and radiostations for the first time. The proposals included givinglocal newspapers free access to video content for theirwebsites, allowing them access to its school of journalismand making its iPlayer technology available to rivals.Talks about sharing resources had been taking place formonths, but in late April 2009 senior BBC sources saidthat the final details of a deal were now close to beingfinalised. A similar deal had already been struck withITV, which scaled back its regional news operations inan attempt to save money, and agreed to share studiospace and production facilities with the BBC. The newdeal will be modelled on that arrangement, extending itto rival news providers, including the Press Association.National newspapers, including the Daily Telegraph,and local TV stations such as Channel M, theManchester-based operation owned by Guardian MediaGroup, the Guardian’s parent company, could alsobenefit.

In March 2009, ITV and the BBC signed a memorandum of understanding that could, over thenext decade, help to deliver cost savings for regionalnews on ITV1 totalling millions of pounds.

The two organisations have been discussing ways inwhich they could work together to safeguard theprovision of local news on Britain’s main commercialchannels, probably by setting up joint ITV and BBCregional news centres in England and Wales, sharingtechnical facilities and resources and pooling some of thevideo pictures gathered by BBC crews for use in ITV’sregional bulletins. The BBC has agreed to continue thatpartnership even if ITV decides to pull out of regionalnews completely at a future date, by offering it to analternative provider on the same terms.

Some of the new proposals will need to be approved bythe BBC Trust, which regulates the corporation. Theunprecedented decision to share resources has beenprompted, in part, by the government pressure on theBBC to come to the aid of commercial rivals. It wantsthe BBC to use its guaranteed licence fee income to ensure plurality in local news, which is oftenexpensive to produce and does not always attractadvertisers, although it remains popular with viewersand listeners.

CROWDSOURCING

On June 17, 2009, a team of developers at the Guardianled by Simon Willison created a Django applicationrunning on Amazon EC2 which allows users to searchand help identify stories in MPs’ expenses data released


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by UK parliament. Within 90 minutes of its launch,1,700 users had audited MPs’ expenses using theGuardian’s new crowdsourcing tool. The data, whichincludes 700,000 individual documents, containedwithin 5,500 PDF files, covers all 646 members ofparliament.

FREE NEWSPAPERS

Free morning city newspaper Metro suffered double-digit declines in advertising revenues for the first threemonths of 2009, and managing director Steve Aucklandsaid the downward trend was set to continue. The dropin advertising followed single digit declines betweenOctober and December 2008 and came as thenewspaper celebrates its 10th anniversary. PublisherAssociated would not specify the exact percentages foreither quarters.

In March 2009 Metro launched an advertising campaignto stimulate people to recycle their used newspapers. The publisher also installed special recycling bins atseveral train stations. The advertising campaign usedfake headlines such as “Woman abandons Metro ontrain”.

In March 2009 it was reported it was “highly unlikely”Transport of London would allow a new distributioncontract when free newspaper Metro’s morning contractexpired in 2010. The new morning contract, however,would cover a shorter duration than the 10-year Metrocontract, and would also be more expensive than thealleged GBP1 million Metro paid.

The new London Underground distribution contractcut the length from 11 to 7.5 years. The contract allowsthe concession holder to distribute free newspapers atabout 250 tube stations and 20 bus stations in London.The longer duration of the original deal was partlydesigned to help give the winning bidder time to build a sustainable business.

In May 2009, Transport for London invited bidders forthe underground distribution contract that wasscheduled to expire in March 2010. The exclusivemorning distribution contract is currently held byAssociated Newspapers to distribute the London Metro.The new contract will be for 7.5 years instead of currentcontract of 11 years.

As of May 11, 2009, the Evening Standard was renamedLondon Evening Standard.

In May 2009 the London Evening Standard secured anevening contract to hand-distribute free copies of itsrelaunched newspaper in Canary Wharf, while NewsInternational-owned thelondonpaper again won outagainst Associated-owned London Lite to exclusivelydistribute in the afternoons throughout the private

business estate. The London Evening Standard, which islooking to cut bulks in favour of reduced price and freecopies, has secured the rights to distribute after 20:30 atthe site owned by Canary Wharf Group. The 97-acreestate has a footfall of more than 650,000 shoppers aweek and 90,000 people work there. It is viewed as a keydistribution channel for attracting an ABC1demographic. Sources at the newspaper claim it can hitbetween 10,000 and 15,000 copies a day, although thisamount is disputed by other newspaper groups. It isunderstood the Alexander Lebedev-owned newspaper,which gave away more than 120,000 copies in March2009, is looking to reduce its bulks by 40,000 andredistribute these copies in key upmarket areas across thecapital.

On May 27, 2009, free newspaper group KOS Media inKent announced it was going to begin charging for somecopies of its two flagship titles. The independentlyowned KOS Media, which publishes Kent on Sundayand sister newspaper Kent on Saturday, launched thepart-paid part-free initiative in a bid to improvecirculation. Until now, about 100,000 free copies of eachtitle have been left in newsagents and supermarketsacross the county for shoppers to pick up. Some of thesefree copies were delivered to houses as part ofnewsagents’ existing home delivery rounds. From May30, 2009, 150,000 copies will be printed. About 50,000of these will be sold in shops at a GBP0.90 cover price.On top of the paid-for copies, KOS Media said it wouldcontinue to print and distribute 100,000 free copies totargeted homes. It is asking newsagents to encouragetheir customers to sign up for a paid-for delivery toguarantee getting a copy each weekend.

As of June 2009, the Stafford edition of the Express andStar was delivered free to homes and business in the mid-Staffordshire area on Wednesdays only, while remainingpaid-for the other five days. The move coincided withthe end of the Stafford and Stone Chronicle, a weeklyfree title covering the two towns, printed on Wednesdayafternoons and available from Thursday mornings. TheExpress and Star sold an average of 130,216 copies a dayin the months between July and December 2008according to the most recent Audit Bureau ofCirculation figures.

In June 2009 it was reported News International mightlaunch a morning version of its free afternoon title,thelondonpaper, should it win the contract to distributemorning newspapers on the tube from AssociatedNewspapers. During the course of Associated’s contract,for which Associated is thought to pay between GBP1million and GBP1.5 million a year, its title, Metro, hasbecome one of the most recognised morning newspaperbrands.

On June 2, 2009, it was reported Rupert Murdoch’sNews International (The Sun, The Times, thelondon -


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paper) was bidding for the morning distributioncontract in the London underground against theincumbent Associated Newspaper.

In July 2009, Telegraph Media Group linked up withGordon’s gin to trial a free newspaper title called TheFriday to lure in young, upwardly mobile readers. TheFriday will mark the first time TMG, the publisher ofThe Daily Telegraph, has launched a free title, which willhave a distribution of 150,000 copies and be handed outin the afternoon at 25 UK railway stations, includingsome in London. The tabloid-sized Telegraph-brandednewspaper, with a pagination of 16 pages, will run for sixweeks, debuting on August 7, 2009. But TMG, whichhas linked up with Diageo-owned Gordon’s as theexclusive sponsor for the project, has not ruled outestablishing it as a regular product.

The Friday will be distributed free with Friday’s issue ofThe Daily Telegraph, and will be feature and lifestyle-focused, as opposed to news-led, including content onfood, home, lifestyle, trends and fashion. TMG says thetitle, which will be handed out by sampling anddistribution firm SimplySimply, is aimed at high-spending women and men aged between 30 and 55. Thedeal, estimated to be worth in excess of GBP1 million,was brokered by Aegis media agency Carat, whichnumbers both Diageo and TMG among its clients.

On August 20, 2009, News International, the Britishnewspaper arm of Rupert Murdoch’s media giant NewsCorporation, announced it planned to shutthelondonpaper, the group’s loss-making freesheet forLondon commuters. The newspaper, which had a dailycirculation of about 500,000 copies, suffered pre-taxannual losses of GBP12.9 million (EUR14.9 million,USD21.3 million) in the financial year to June 2009.

The announcement signals an end to the Londonfreesheet wars, which began in August 2006 when NewsInternational decided to launch an afternoon freesheetand Associated Newspapers retaliated to protect theLondon Evening Standard and its morning freesheetMetro by launching London Lite.

Thelondonpaper and London Lite, launched withindays of each other - London Lite got to the streets firston August 30, 2006, while thelondonpaper launched onSeptember 4, 2006 - both established solid circulations.While thelondonpaper manages to give more copiesaway, at 500,000 a day, London Lite claims more readers(according to the National Readership Survey) despite a lower circulation of 400,000.

But other than attracting many new readers it is a battlewhich has left both News International and London Litepublisher Associated Newspapers many millions poorerand somewhat weaker.

The ongoing battle hit the Evening Standard’s paid-forcirculation and eventually forced DMGT to sell controlof the title to the Russian businessman AlexanderLebedev in January 2009.

News International’s other aim in launching the title wasto take on DMGT’s successful morning freesheet,Metro, which in good times before the recession madeprofits of GBP8m a year. The company hopedultimately to bid against Metro for the morning Londontube distribution contract. But News International (NI)did not anticipate DMGT would counter attack with itsown freesheet, published through its national newspaperdivision Associated Newspapers.

Associated Newspapers had already given up its rights tothe afternoon tube distribution contract following anOffice of Fair Trading ruling in 2005. The formerLondon mayor Ken Livingstone tried to sell anafternoon distribution slot on the tube network after theOFT’s 2005 ruling, prompting interest from RichardDesmond’s Express Newspapers and News International.But the afternoon tube contract became redundantwhen, instead of bidding for it, both NI and Associateddecided to employ an army of distributors to hand outtheir rival freesheets to commuters.

Northcliffe announced a rise in circulation for its Kenttitles of 3.8 per cent for the period of January to June2009. This growth went against the wider trend for localand regional media, which posted an overall circulationfall of 7.8 period for the same period. It also followsNorthcliffe’s adoption of a ‘hybrid model’ for a numberof its Kent publications, including the Medway News,East Kent Gazette Series, Canterbury Adscene,Whitstable & Herne Bay Times and the FolkestoneHerald series. Under the hybrid model some Northcliffetitles in the Kent area are available to buy and thendelivered for free, door-to-door, 24 hours later. Thechanged distribution model, brought in during 2009,has been part of wider changes since the titles wereacquired by Northcliffe in July 2007.

The editorial to advertising ratio of Northcliffe hybridechoes that of paid-for titles, rather than of traditionalfree newspapers. As part of introducing the hybridmodel, Northcliffe aimed to provide ‘a more communityfeel’ to the newspapers, devoting more pages to editorialthan before. As well as introducing a greater focus oneditorial, Northcliffe’s hybrid titles changed theirclassified sections, making them common across titleswithin a specific circulation area.

In March 2009, Northcliffe announced plans to create a centralised production hub for its southeastregional titles, which has overseen a design overhaul ofthe hybrid newspapers. According to Steve Lowe,commercial director at Kent regional News & Media, a division of Northcliffe Media, the success of the


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hybrid titles can, in part, be attributed to the centralisedhub.

In September 2009, News International rebuffed anapproach to buy its freesheet thelondonpaper. Theexpression of interest for the afternoon freesheet in itsdying days came from the unexpected location ofShanghai and Bros magazine, which is owned by theShanghai Diving Dragon Cultural BroadcastingCompany. Bros planned to convert the London Paperinto a weekly free newspaper with a potentialdistribution of 200,000 copies. It would have beenmixed language, with the main section in English andother sections in Japanese and Chinese to appeal tomembers of the capital’s expatriate community.However, News International executives thought thatthere was “no upside” to the proposal and that theproduct idea was “weak”.

On October 2, 2009, the London Evening Standardannounced it would become a free newspaper after 182years as a paid-for title, in a bold move by its Russianowners in a tough volatile global media market. Thetabloid, acquired by former KGB agent AlexanderLebedev for a nominal one pound in January 2009, willdrop its 50-pence cover price from October 12, 2009. Itsprint run will more than double from 250,000 to600,000 copies a day, the Standard announced in astatement, adding that it remained committed toproviding quality news journalism. Despite a relaunch inMay 2009 and a new mixed pricing strategy, where thecover price was cut or scrapped altogether after a certaintime of night, the Standard felt a more radical solutionwas required.

In mid-November 2009, London Evening Standardeditor Geordie Greig revealed the newspaper had slashedits distribution costs from GBP0.30 a copy to justGBP0.04 since going free. There were more than 100newsagents distributing the newspaper across London.

On November 26, 2009, the London Evening Standardannounced it was going to drop its midday News Extraedition to focus on distribution of more up-to-date newsfor the evening commuter market, leading to up to 20job losses.

From January 4, 2010 the London Evening Standard’sfirst edition will be the West End Final, hitting the streetfrom 14:00. The London Evening Standard said that itwas unable to deliver the most up-to-date news becausethe News Extra first edition, which delivers about half ofthe 600,000 total daily distribution, goes to press at09:00 to hit the streets at midday. Under the newsystem, the full 600,000 run will be delivered on up tofour printing presses, up from the current two, startingfrom about 12:30, which will give editorial staff almostfour more hours to deliver stories. Stories will beupdated throughout the afternoon with a “slip” edition

out in the late afternoon. With the midday edition,editorial shifts began as early as 03:00 for journalistsfiling, subbing and editing stories for the 09:00 deadline.

The London Evening Standard’s editor, Geordie Greig,said the newspaper’s shift to free distribution had had a dramatic impact in some areas, such as Holborn, whichhad gone from a 700 paid-for circulation to more than10,000 a day under free distribution.

In early December 2009, the London Evening Standardconfirmed it was considering a boost to its freedistribution, but said it was yet to take a final decision.Doug Wills, the Evening Standard managing editor,responded to industry speculation that the newspapercould boost its distribution from 600,000 copies a day to800,000 or even 1 million, by saying an increase was anoption for late 2010.

In January 2010, the London Evening Standard delayeda decision on a major distribution push. Instead, thenewspaper is to wait three months to gauge theadvertising market, before deciding whether to increaseits distribution by up to 800,000 copies. According tosources, the most likely scenario is a leap in distributionin April 2010, pending positive signs from theadvertising market during January, February and March2010. If the market is below expectations, the increasewill be put off until later in 2010.

In December 2009, the London Evening Standardrevealed some newsagents were paying the newspaper tostock copies, according to the newspaper’s editorGeordie Greig, as he revealed it had trebled itsadvertising revenues on some days. After the Londonnewspaper went free in October 2009, it dramaticallycut back on its distribution outlets, to the chagrin ofsome readers – particularly in London’s outer suburbs.Geordie Greig said the newspaper had been besieged byinquiries from newsagents wanting to stock thenewspaper as a way to attract customers, even thoughthey were no longer paid a commission. Greig wasunable to give exact figures but said “dozens ofnewsagents” were part of the scheme, wherebynewsagents were paying GBP0.02 a copy to have copiesin their shop, which they then give away.

It was also reported some newsagents in outer Londonare set to pay the London Evening Standard GBP0.15 ormore to stock copies, with a number opting to pass thecost on to consumers. Following demand fromnewsagents outside the existing Evening Standard freedistribution area, the newspaper is trialling two newdelivery routes. The routes, which were launched a fewweeks ago, are in north-west and north-east London,outside Transport for London’s zone 2 but within theNorth Circular. For the service to make economic sensefor the delivery drivers newsagents signing up to theservice have to pay at least GBP0.15 a copy. The Evening


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Standard has signed up 71 retailers to the newdistribution scheme. Until the end of January 2010, thenewsagents are not being charged the GBP0.15-a-copyfee and are each being delivered a single bundle of 60copies a day on a trial basis. Newsagents will have to startpaying from February 2010, and, depending ondemand, the number of copies will be adjusted for eachretailer. The Evening Standard has also taken thedecision not to publish over the 2009 Christmas andNew Year period, for what is believed to be the first timein more than 180 years of publishing. After ChristmasEve the newspaper will take a festive break until January4, 2010. Staff were encouraged to take the days thenewspaper would normally publish over this period,December 29-31, 2009, as holiday.

The price charged to customers is believed to be at thediscretion of the newsagent, with some selling forGBP0.20 and others at the old price of GBP0.50.

The London Evening Standard’s readership leapt to 1.37million in the last three months of 2009, up from556,000 from April to September 2009. NationalReadership Survey (NRS) figures show that theStandard’s proportion of ABC1 readers was 76.7% andthat more young people were reading the newspaper.The proportion of 15-44 year olds has grown from56.7% to 62%.

Rather than report the average readership for the wholeperiod, the National Readership Survey (NRS) technicalcommittee opted to disregard the data from theStandard’s paid-for days prior to 12 October. The NRStechnical committee, which includes threerepresentatives from the Newspaper PublishersAssociation, made the decision unanimously, accordingto the NRS technical helpline. The figure provided forthe Standard’s readership in the last six months of 2008is 595,000, and this is across the whole period. The mostrecent figure available for a whole period before theStandard dropped its cover price is 556,000 for the sixmonths from April to September 2009. The readershipfigures follow the publication of circulation figuresyesterday which show how many copies the Standarddistributed after going free. It handed out 427,310copies in October 2009, 596,100 in November 2009and 608,533 copies in December 2009. The last monththe Standard’s paid-for circulation was recorded by theAudit Bureau of Circulation was July 2009, when itdistributed 225,158 copies.

On October 27, 2009, Associated Newspapersannounced it planned to close London Lite, its freeLondon evening title. Consultations with 36 LondonLite employees were scheduled before a final decisionmade about job cuts. Staff were told that Associated willtry to find jobs within its titles for the 36 staff, many ofwhom joined London Lite from other newspapers in thegroup.

Its parent company, which is owned by the Daily Mail &General Trust, made the announcement two weeks afterthe Evening Standard went free and a month after NewsInternational’s thelondonpaper closed.

London Lite published its final issue of Friday, 13 November, 2009. The newspaper said it had 1 million readers. An average of 400,000 copies were handed out outside rail and tube stations in centralLondon.

On November 20, 2009, a new newspaper was launchedin London, containing articles solely sourced from blogs.The freesheet is distributed at four City undergroundstations, as well as at Stratford in East London. TheBlogpaper has no editor and its content is determined bythe vote of bloggers through the theblogpaper websitetheblogpaper.co.uk. Founded by Anton Waldburg andKarl Jo Seilern, bloggers don’t get paid for their work,and plans are for the newspaper to be funded byadvertising.

In November 2009 it was reported a group of unknowninvestors was planning to launch a new freesheet, theLondon Weekly. This would put the London Weekly incompetition with Alexander Lebedev’s London EveningStandard, which became a free newspaper in October2009. No launch date was confirmed, although therewee rumours in the industry that it could appear inFebruary 2010. An online holding page stated that theLondon Weekly website would go live on December 20,2009. The media pack prepared for potential advertiserssaid that publisher Global Publishing Group has raisedmore then GBP5.5 million to launch the title, along with a website and online radio station and TVchannel.

On December 1, 2009, the founders of The LondonWeekly confirmed it would launch on February 1, 2010,backed with GBP10.5 million in funding raised byGlobal Publishing Group, a partnership of five privateinvestors. Along with the free newspaper, 250,000 copiesof which will be distributed on Friday and Saturdaymornings at London Tube and main line stations, theLondon Weekly’s website was scheduled to go live onDecember 20, 2009, and an online radio station and anawards ceremony in July 2010 would let readers vote fortheir favourite attractions in London. The company saidthat a third of the newspaper’s content would come fromits readers. Details about the commercial operation forthe newspaper were unclear and it was not known if saleswould be handled in house or by a third party saleshouse. Eyebrows were raised over the decision todistribute to commuters on Fridays and Saturdays, butthe company said research it had carried out has shownthis was a good time to reach people as they are planningtheir weekend. Paul Morris, named as marketingmanager for the newspaper, said: “What the team atLondon Weekly found was that 70% of Londoners felt


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that they were being bombarded by free titles everysingle day on their way to work and back.” GlobalPublishing Group said the London Weekly had been inplanning since 2008, before the other free newspaperswere closed.

The London Weekly claimed it would begin distributionon February 5, 2010.

With its error-strewn stories, copied from press releasesor other newspapers, many have wondered whether The London Weekly is a hoax. With its employeesrefusing to give interviews, the late Mother Teresaincluded on the masthead and copies virtuallyimpossible to find, the publication has become anindustry joke. The London Weekly claims to bepublished by Global Publishing Group – an impressive-sounding name, but one that is remarkably difficult totrack down. The only reliable piece of contactinformation is a phone number on the newspaper’swebsite, supposedly for advertising queries. But repeatedphone calls are met by a promise that somebody will callback later – usually Paul Morris, the newspaper’smarketing manager. Most baffling is the listed editor-in-chief, Agnes A. Teresa, better-known as the Saint ofCalcutta, who died in 1997. The other surprise name issports writer Tony Woodcock, better-known as a formerArsenal and England footballer, who popped up onITV’s London News to defend a title that, according tothe newspaper, had “kept to it’s [sic] deadline” when itlaunched in early February 2010. Woodcock has notbeen seen defending the title since. Global PublishingGroup is not registered at Companies House, nocompany number is listed anywhere on The LondonWeekly’s website, and no directors are cited. JeremyDear, general secretary of the National Union ofJournalists, says: “We have no knowledge of the title overhere, and, in fact, I’ve never even seen a copy.”

The newspaper’s website, londonweekly.co.uk, went livein December 2009 and the domain name was registeredon November 17, 2009. The server appears to beregistered in Germany. The newspaper’s backers claim tobe planning launches in cities outside London, including Birmingham, and said there are also plans tolaunch an online TV and radio station and an awardsceremony.

In late December 2009, the Manchester Evening Newsrevealed it was going to step back from its strategy ofgiving away thousands of copies by restricting freedistribution to just two days a week. The newspaper,part of Guardian Media Group, will give the newspaperaway on Thursdays and Fridays only starting in 2010.On Monday, Tuesday and Wednesday, the newspaperwill be available on a paid-for basis only, as is already thecase on Saturday. Since May 2006, the ManchesterEvening News has handed out free copies in centralManchester to expand its reach to advertisers, at the cost

of around a third of paid-for circulation. The newspapersaid the change was designed to strengthen paid-for salesfrom Monday to Wednesday. It will continue to giveaway 90,000 free copies on Thursday and Friday.

In January 2010, Trinity Mirror made the Fulham andHammersmith Chronicle a freesheet after more than120 years as a paid-for newspaper, while closing itsweekly The London Informer. The London Informer,formerly known as the Kensington & Chelsea Informer,has a free weekly distribution of about 55,000 copies.Trinity Mirror said that the closure, which will not resultin any job losses, comes as part of a major restructuringof its newspapers in the area. The weekly Fulham andHammersmith Chronicle, which cost GBP0.60, willbecome a freesheet with a circulation of 72,000 onJanuary 15, 2010. The title, which was founded in 1888as the Fulham Chronicle before taking its currentmoniker in 2000, has a paid-for circulation of 1,257.Trinity Mirror Southern, the division of the publisherresponsible for the title, claims that distribution to the households will mean 99% coverage, up from thecurrent 20% reach. TMS will upgrade the newspaper’swebsite and was seeking to hire a full-time multimediajournalist.

In addition, the weekly Kensington & Chelsea News,which has a paid-for circulation of 1,043, will berebranded as the Kensington & Chelsea Chronicle. TMSis also rebranding the weekly Paddington, Marylebone& Pimlico Mercury, which has a paid-for circulation of690, as the Westminster Chronicle. TMS has decided tolaunch a hybrid distribution model for both weeklynewspapers, which cost GBP0.60. Both titles will have a free distribution of 42,000 copies each Friday to homesin the boroughs they serve, while still being priced atGBP0.60 in newsagents.

Newspaper launches / closuresWeb-only daily The Caledonian Mercury was launchedon January 24, 2010. The Caledonian Mercury is beingedited and largely written by former staff writers andsenior editors from the Edinburgh-based Scotsmanworking as freelancers, and they will be paid partlyaccording to the “value” of their copy to readers andadvertisers.

In February 2010, Racing Post, the horse racingenthusiast’s bible, launched a new Irish edition. The Irishedition is the latest innovation since FL Partners, an Irishinvestor consortium, bought the UK title from TrinityMirror Group in 2007. The company has spent anestimated GBP3 million revamping the website andGBP2 million on other initiatives. These include the freeiPhone application, which went live in November 2009with racing form, tips, video and track updates from UKcourses.


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In March 2010, Tindle Newspapers launched fourweekly newspapers in London having boosted itsportfolio a year previously with the acquisition of fourfree weekly newspapers in the south of England. In thesame month, Archant launched a free weekly title inLondon’s East End and in April 2010 Northcliffelaunched two free weekly titles for the towns of Grimsbyand Cleethorpes.

On September 17, 2009, Guardian News and Mediaannounced Sunday newspaper The Observer wouldcontinue to be published, putting an end to speculationthat the 200-year-old title was to close. A review by theGuardian News and Media (GNM) group, which runsthe Observer and its daily sister newspaper TheGuardian, had been rumoured to be considering turningthe Observer into a weekly news magazine. ButGuardian Media Group said the title would remainopen, although there would be further integration ofGuardian and Observer editorial departments.Celebrities including writers Martin Amis and SalmanRushdie and Blur’s lead singer Damon Albarn backed a campaign to save the Observer, founded in 1791,which is believed to be the world’s oldest Sundaynewspaper. Its weekly circulation stood at nearly400,000 copies in July 2009, a fall of seven percent, or30,000 copies, from a year earlier.

On April 6, 2009, the Wilmington group formallyannounced the closure of Press Gazette (PG), thenewspaper industry’s trade magazine. The PG monthlymagazine has 2,500 subscribers paying GBP115 a year.Its website, offering free news content, attracted about150,000 unique users a month, a 50% increase on 2008.Throughout its 43-year existence, the PG had been a weekly. But in August 2008 it replaced its weekly printedition in favour of a monthly magazine backed up bybreaking news online.

In August 2009 Archant Norfolk revealed it was going tocease the regular Saturday publication of footballnewspaper the Pink ‘Un as it develops the online version of the title. The website will also introduce post-match and pre-match podcasts, video reports and a greater range of analysis. A new printed version of the Pink ‘Un is to be unveiled as it moves from a stand-alone Saturday night publication to a 12-pagefootball supplement inside Monday’s Eastern DailyPress.

In October 2009 Media Wales axed the Neath and PortTalbot Guardian newspapers and re-organisedproduction staff at its headquarters in Cardiff.

In November 2009 Haymarket closed two of its media-focused titles. Twenty-five year old Mediaweek cease topublish on November 17, 2009. Revolution, a monthlypublication also become a give away quarterlypublication within marketing. The decision was part of

a wider restructure of Haymarket’s marketing andadvertising trade titles.

November 6, 2009, marked the Birmingham Post’s lastday as a daily edition. The change followed anannouncement from parent company Trinity Mirror inOctober 2009 that it was turning the five-times a weeknewspaper into a weekly. The new weekly costs GBP1and feature 100-plus pages of news, comment, sportsand in-depth analysis which the newspaper said wouldnot be possible in a daily.

Cumbrian weekly Lakeland Echo’s final printed editionwas published at the end 2009 but its companionwebsite lakelandecho.co.uk continues to feature newsfrom its north Lancashire and Lake District patch.

According to a study published in April 2009,newspapers that ditch their print editions to go online-only may be jumping the gun unless they are in direfinancial straits. The study, Taking the Paper Out ofNews , conducted by researchers from City University inLondon, suggest that many newspaper publishers arelikely to lose more than they gain if they ceasedistributing their printed products in favour of the web.Their study focused on the fate of Finnish financialnewspaper Taloussanomat, which axed its printedversion and went online-only in December 2007. Thedecision was made after the title suffered severe losses,but even going online-only failed to lift it out of thedoldrums. After the move was made, the Finnish title’scosts fell by 50%, but its online readership declined by22% and revenues dropped by more than 75%. The netresult was that the publication’s owners were no betteroff after dropping print than they had been previously.According to calculations based on the Finnish case, a publication would need its costs to significantlyoutstrip its income to make online-only an attractiveoption.

In late June 2009, the Pink Paper, the title dedicated togay and lesbian matters, suspended production of itsprint product and went online. Parent companyMillivres Prowler Group, which took control of the titlein 2005, said it would suspend the Pink Paper’sfortnightly print and distribution schedule from the endof June 2009. The title will continue to publish contentonline and with its weekly Pink Paper Xtra e-newsletter,which was launched in spring 2009.

Advertising Despite a tough start to the year, the latter half of 2009was characterised by a stabilisation in advertisingrevenues and cautious optimism from mediacommentators and financial analysts.

The most recent Advertising Association forecastspredict a sharp slowing of the decline over 2010 and


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some growth returning to the sector by the end of thefinal quarter.

According to a 2010 report from Enders Analysis, theInternet ad sector is forecast to grow 6.9% in 2010,compared with declines for newspapers, magazines andTV ads. Enders Analysis predicts that while offlinemedia will see less marked negative growth in 2010compared with 2009, the Internet will remain the onlychannel to see positive expansion. Enders Analysisexpects 2010 to be a big year for newspaper publishers asmore titles begin to experiment with paywalls and otherways of charging for content. However, it is likely thatthe mobile medium will offer the greatest potential forpublishing companies.

In March 2009, Guardian News & Media ended its adsales partnership with Reuters by bringing its US ad salesoperation in-house as it looks to increase revenue fromoverseas. The deal, which was signed in February 2008,allowed Reuters to sell all online ads that target theAmerican audience of Guardian.co.uk. Reuters soldGuardian.co.uk alongside Reuters.com and the recentlylaunched Reuters Affiliate Network, a collection of newssites and blogs with a targeted audience of businessprofessionals. A newly assembled five-strong team,headed by Guardian advertising executive HannahDiddams, who will be the division’s sales manager, willbe based in New York and sell across Guardian.co.uk,GuardianAmerica.com and the Guardian Green AdNetwork. The new division will be operational by April2009.

On April 17, 2009, the Evening Standard unveiled itsfirst solus front cover ad. The ad is for luxury watchbrand Patek Philippe and spans 20 centimetres acrosstwo columns.

In August 2009, The Sun newspaper waived the chargefor companies to list jobs on its website in a self-styledcrusade to solve the UK’s growing unemploymentproblem. The move followed the publication of figuresshowing unemployment has hit a 14-year high with 2.44million people out of work. In a call for‘Sunemployment’, The Sun’s website allows job huntersto fill out their details online at no cost to attractemployers. The Sun planned to invite a number ofexecutives and entrepreneurs to give tips to those lookingfor work.

Locally Connected, the UK’s first integrated print andonline planning currency, launched on November 24,2009. The launch followed the completion of a three-way project between the regional publishers’ trade body,the Newspaper Society, with JICREG, the Joint IndustryCommittee for Regional Press Research, and the AuditBureau of Circulation (ABC). The planning currencyuses a combination of ABC print circulation and ABCeweb traffic data, plus research conducted by Survey

Interactive to give the net reach of online and offlinetitles. Publishers on board are Trinity Mirror, JohnstonPress, Northcliffe Media, Newsquest, GMG Regional,Iliffe News & Media and the Midlands NewsAssociation. The Newspaper Society hopes all publisherswill be involved in future. The planning currency will beused by the vast majority of media agencies at launchand includes 70% of the local media market. Before thelaunch of Locally Connected, the only way to trade adsto a postcode level was through ABC print data alone.The project began in 2006 and research outfit Telmardevised the methodology of the integration of Internetaudience data with print readership data. The resultincorporates audited web traffic data, survey data andstatistical analysis and modelling and will be updatedregularly.

PUBLIC NOTICES

According to a 2009 report by the Scottish affairscommittee, Crisis in the Scottish Press Industry, a majorconcern for Scottish newspapers is the fear that localauthorities will switch the publication of statutorypublic notices from print to online, removing anestimated GBP10 million income from newspapers.Councils are already placing their recruitment adsonline. Some 32 Scottish councils have already removedprint advertising to a combined jobs portal,myjobscotland.gov.uk, that is said to have cost thenewspaper industry GBP5 million. The committeepointed out that just 32% of the Scottish populationhave access to broadband - much lower than in the UKas a whole.

In November 2009 the Scottish government urgedcouncils in Scotland to go back to advertising jobs inScottish newspapers to help reverse a steep decline in thesales and popularity of the country’s main titles.Scotland Office ministers warned that Scotland’s 32local authorities may be excluding up to 40% of thecountry by shifting the vast majority of their job advertsand public notices online, breaching their duty to reachthe whole population. Their remarks, published in theCommons Scottish affairs select committee, supportwidespread anxieties that moving council advertisingonline has hit The Scotsman, Daily Record, and Heraldnewspaper groups, whose sales are falling by up to 10%a year.

Editorial staff numbers and budgets have been heavilycut partly because the Convention of Scottish LocalAuthorities (COSLA), which represents all Scottishcouncils, switched its job adverts to a dedicated onlineportal. More than 20% of newspaper job advertspreviously came from local authorities. The NationalUnion of Journalists estimates 120 journalist posts havebeen cut in 2009. COSLA is considering moving publicnotices online as part of its wider cost-cutting strategy,while the Scottish National party government in


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Edinburgh has set out plans for a 50% cut in its jobadvertising and marketing budget.

Circulation

GENERAL CIRCULATION TRENDS

Newspaper sales plunged over the decade according toAudit Bureau of Circulation (ABC) figures for 2000-2009. In November 2000, 10 national titles togethersold a total of 12,543,510 copies. Nine years later, thesame 10 titles sold 10,076,045 copies, a decline of19.7%. Some of the falls have been spectacular. The Daily Mirror has suffered a sales plunge from2,777,501 to 1,260,019, a decrease of 55%. The DailyExpress has lost 33.7%, the Daily Telegraph 26.6% andthe Guardian 23.4%. The Independent and the Timeshave lost 22.5% and 21% respectively. The best-sellingdaily, the Sun, which dropped below 3m last month, hasjettisoned more than 500,000 buyers since 2000, a decline of 15.7%.

The Sunday market’s decline is steeper than that of thedailies. Its overall loss amounts to a 26.1% decadedecline, and that latest figure includes an extra title, theDaily Star Sunday. The worst performer has been thePeople, which has plummeted from a sale of 1,471,675to 533,782, a loss of 63.7%. Its stablemate, the SundayMirror, has also shed 38.4%. Even the market-leadingNews of the World has lost 26% of its buyers. In thequality Sunday market, all four titles have recordedmajor falls, with the Independent on Sunday down31.2%, the Sunday Telegraph losing 28.3%, the SundayTimes 16.9% and the Observer 15.5%. Only onenewspaper, the Daily Star, up 30.4%, is selling morecopies now than in it was in 2000. There have also beenonly relatively small losses for the Mail titles, thoughthey rely heavily on bulk sales.

COVER PRICES

In April 2009 The Guardian raised the price of itsSaturday edition by GBP0.10 to GBP1.70. This was thesecond price rise in seven months for the SaturdayGuardian, which last raised its price to GBP1.60 inSeptember 2008. To offset the impact of price rises, theGuardian and the Times joined the Daily Telegraph inoperating discount subscription schemes to readers thatpay for their newspapers up front. The Independentoperates a home delivery service, as does the Times.

In May 2009 the Financial Times continued to feel theeffects of its April 2009 price rise, to GBP2 on weekdaysand to GBP2.50 for FT Weekend. The FT was down8.8% year on year to 410,928 copies globally. Followingthe dispute over airline bulk sales that affected the DailyTelegraph and the Daily Mail, the FT took about 8,000bulk airlines sales daily out of its sales figures.

While the sales of virtually every other newspaper followwhat looks like an unstoppable downward path, theDaily Star soared upward. In the year to June 2009 itincreased its circulation by nearly 19 per cent to 870,457copies a day. In November 2008, the newspaper’spublisher, Richard Desmond, reduced its cover pricefrom GBP0.35 to GBP0.20. It began to put on sales. InMay 2009, The Sun reduced its cover price fromGBP0.30 to GBP0.20 in London, and on July 13, 2009,did the same in the north of England, a Daily Starstronghold. So far it has made very modest circulationgains, and its sales hover around three million copies a day.The biggest victim of the Daily Star’s price cutting hasbeen the Daily Mirror, which lost nearly 10 per cent ofits sales in the year to June 2009 to 1,330,301 copies. Asrecently as 2002 the Mirror sold over two million copiesa day; in 1995 its daily sales were two and a half million.No other national title has lost circulation soprecipitately as the Mirror has in recent years. TheMirror’s immediate problem is not so much ineluctabledecline as its high cover price of GBP0.45 in what is themost price-sensitive sector of the market. Thenewspaper’s owners, Trinity Mirror, have terribleproblems with its large stable of regional newspapers,and earlier in 2009 its share price almost literally fellthrough the floor.

In July 2009, The Sun slashed its cover price by a thirdto GBP0.20 in the north of England. The GBP0.10price cut was across the north-west, Yorkshire and thenorth-east regions, and cost the Sun’s parent company,News International, millions of pounds in revenue. Oneindustry source said the bill could cost run to GBP30million if the price cut lasted a year. The newspaperalready costs GBP0.20 in the London region and hassteadily been cutting its price since August 2008 from a high of GBP0.35. Some industry figures will interpretthe cuts as a desperate attempt to keep the Sun’scirculation above 3 million copies a day. In May 2009the Sun sold an average of 2,984,103 each day, a 5.24%year-on-year fall. The Sun’s price-cutting became morepronounced after the Daily Star cut its cover price byGBP0.15 to GBP0.20 in November 2009. The Star’ssales rose by 15.78% year on year to sell 840,701 eachday in May 2009. In response, in May 2009 the Sundropped its cover price in London to GBP0.20. TheSaturday edition remained GBP0.60 nationally. Incontrast, the Daily Mirror, published by Trinity Mirror,raised its cover price by GBP0.05 to GBP0.45 across thecountry in January 2009.

The Guardian increased its cover price to GBP1 inSeptember 2009.

On September 14, 2009, just days after The Guardianraised its cover price, The Independent dropped its priceto GBP1 a week for seven day distribution, as part of a trial offer. The Independent reduced the subscription


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price to GBP1 a week for a month’s trial but only forthose who sign up for a subscription via direct debit. The prices rises to GBP6 a week after the trial periodends.

In October 2009, The Daily Telegraph increased itscover price to GBP1.

In January 2010, The Times increased its cover price toGBP1, bringing it into line with the pricing of the DailyTelegraph, Independent and Guardian for the first timein more than 20 years. The price rise, which will takeeffect from January 11, 2010, will apply to the Mondayto Friday editions. The Times last increased its weekdaycover price in 2008 to GBP0.90.

The prices of newspapers The Scotsman and Scotlandon Sunday increased as of January 9, 2010. The Saturdayedition of The Scotsman went up to GBP1.10, upGBP0.10, while the Monday-Friday editions go up byGBP0.50 to GBP0.80. Scotland on Sunday, meanwhile,went up from GBP1.50 to GBP1.60.

TOPICS INCREASING CIRCULATION

The first four days of revelations about MPs’ expensespublished in the Daily Telegraph and Sunday Telegraphin May 2009 boosted net circulation of the two titles by around 220,000 copies, with the sales bounceexpected to continue as further revelations aboutcontentious claims were unveiled. Circulation of lastSaturday’s Daily Telegraph rose by 56,000 copies on theprevious week, according to unofficial figures seen byMediaGuardian.co.uk.

The Sunday Telegraph edition with revelations aboutSinn Fein had a circulation 25,000 copies higher thanthe previous week. This added to the 94,000 additionalcopies of the Daily Telegraph circulated on Friday, May8, 2009, when it published the first of its series ofexclusives with details of the expenses of the primeminister, Gordon Brown, and other Labour cabinetministers. Circulation directors from rival titles said thatthe Telegraph Media Group (TMG) title had continuedwith its sales uplift off the back of its rolling exclusivenews story. Revelations about the Conservative leaderDavid Cameron published May 11, 2009, and theshadow cabinet are understood to have added a “significant” number of additional sales, with estimatessuggesting additional circulation of 45,000 copiescompared with a regular Monday circulation, accordingto TMG insiders.

The Daily Telegraph and Sunday Telegraph newspaperssold an additional 1 million copies when they beganrunning MPs’ expenses exclusives in May 2009.According to newspaper industry indicators ahead of theofficial Audit Bureau of Circulations figures for May2009, increased sales at the Telegraph Media Group titles

continued since their Expenses Files investigation firstappeared on Friday, 8 May, 2009, and sales rose by87,000 copies above the Daily Telegraph’s base rate.Traffic to the telegraph.co.uk website was also expectedto be up when official ABCe figures for May 2009 arepublished. The story escalated into a major politicalcrisis, which has engulfed all the main political partiesand led the resignation of a string of MPs. One executivefrom a rival national newspaper said: “The Telegraph hashad between GBP5 million to GBP6 million worth ofpublicity out of this. It has been the best investment ofmodern times.”

The Daily Telegraph’s special supplement on MPs’expenses is understood to have boosted the newspaper’sSaturday edition by up to 150,000 copies above its baserate – its best sales uplift since it broke the story in May2009. Unconfirmed industry figures indicated theSaturday, June 20, 2009, edition of Daily Telegraph,which contained a 68-page magazine The CompleteExpenses File, boosted circulation by between 120,000to 150,000 copies above base rate. The sale was the bestsingle circulation boost the newspaper has received fromits investigation into expenses, since the Daily Telegraphbroke the story on May 8, 2009. Overall, DailyTelegraph’s coverage of the expenses scandal boosted itscirculation in May 2009 compared with April 2009 byan average of almost 19,000 copies each day, but failedto halt a year-on-year decline of 3.08%. The DailyTelegraph published its magazine days after the House of Commons released its own heavily censored details ofMPs expenses, fuelling public anger. The 68-pagemagazine, which contained advertising from Schweppesand paddypower.com, included a summary of more thanone million pages of information the Daily Telegraphand Sunday Telegraph used to report the misuse ofexpenses, including the 50 most notorious claims, the 50 most ludicrous claims, and the 50 most saintlyMPs. The supplement also contained a gallery of Mattcartoons.

According to official figures from the Audit Bureau ofCirculations, average daily sales of The Daily Telegraphrose 2.29% in May 2009 compared with April 2009, to836,410. Sales of the Telegraph Media Group flagshipwere down 3.08% year-on-year, but this was the bestresult in the daily quality or middle market and wasbeaten only by the Daily Star, which has slashed its priceto GBP0.20. May 2009 circulations would have beenaffected across the board by the two bank holidayweekends.

SUBSCRIPTION

In April 2009 the Daily Mail became the latestnewspaper to launch a subscription service to increasereader numbers. The mid-market newspaper’s offeringwill mirror subscription services launched by rivalnewspaper groups, including The Daily Telegraph, Daily


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Express, The Times and Independent. Unlike theExpress, the Daily Mail will not promote its subscriptionservice in the daily newspaper due to concern aboutcannibalising paid-for sales. The service, which launchedin test form the following month, ran across the DailyMail and Mail Sunday edition.

In May 2009 the Guardian Weekly offered subscriptiondeals via Twitter. The promised deal offered four weeksfor free and 50% off an initial three-month subscription.

In October 2009, the Times and the Sunday Timeslaunched a membership scheme offering their readersspecial offers and access to exclusive events in return fora GBP50 annual fee. The initiative, called Times+, isdesigned to develop new revenue streams by rewardingreaders’ loyalty. Times+ ,whose name has echoes of theSky personal video recorder Sky+, is complimentary tothe more than 150,000 people who subscribe to theTimes and Sunday Times. The move builds on the artsand entertainment programme Culture+, which now hasmore than 90,000 members a year after launching.Culture+ is complimentary to subscribers but has notcharged an additional membership fee of any kind. Itwill now become part of the Times+ offering as one oftwo extra packages along with Travel+. More packs are tobe added over the next 12 months. Times+ members willget one of the packs for free and can buy another forGBP50, while those with subscriptions will pay justGBP25 for an extra pack. Travel+ will also offer a year’ssubscription to the Sunday Times Travel magazine,worth GBP42, and has signed up partners such as Cox& Kings and Virgin Holidays.

In January 2010, The Financial Times offeredsubscriptions of the printed newspaper and for a fourweek period for GBP1. The normal newsstand price ofthe Financial Times is GBP2 Monday to Friday andGBP2.50 on Saturday. The offer allows a choice betweendelivery to a reader’s home or office before 07:00 orvouchers that can be redeemed at newsagents. The FTemailed registered users on February 17, 2010, withnews of the offer, which ran until the end of March2010. The newspaper is also offering an alternativescheme to provide subscriber access to FT.com for justGBP1.90 per week.

BULK SALES

In March 2009, the Audit Bureau of Circulation (ABC)revealed that it was investigating bulk distributionfigures claimed by newspapers after irregularities came tolight in figures supplied by the distributor DawsonMedia Direct.

In August 2009 the ABC inquiry into bulk sales resultedin an unprecedented wholesale revision of figures forseveral national newspapers. For the six titles affected bywhat their publishers regard as a “technical glitch”, the

downward revision of their figures, stretching back toOctober 2008, proved to be very painful. In the periodfrom October 2008 to March 2009, the Daily Telegraphlost a total of 324,000 copies, amounting to 6.5% of itssale. The Mail on Sunday’s total loss of 298,000 copiesamounted to an average loss of 2.3% a month. The London Evening Standard saw its January andFebruary 2009 totals decrease by 55,000, perhapsexplaining its subsequent decision to withdraw frommonthly national newspaper ABC reporting. There werehits also for the Sunday Telegraph and the FinancialTimes.

On August 11, 2009, Guardian News & Media (GNM)announced that it would immediately abandon thedistribution of bulk newspapers. The Guardian will stripout 12,000 bulks, which make up 3.9% of its monthlyAudit Bureau of Circulations headline sale, while theObserver will strip out 20,000 copies, 5.1% of itsheadline sale. GNM said its aim was to “increaseopenness in the marketplace” and that the move wouldbenefit advertisers, readers and retailers, as well asreducing carbon emissions.

On November 2, 2009, News International confirmed itwould stop distributing bulk copies. The move willreduce the headline figures published monthly by theAudit Bureau of Circulations for the Times and SundayTimes, but will not affect the Sun or the News of theWorld as they do not distribute bulks. In ABC figuresfor September 2009, bulks accounted for 47,878 or8.4% of the Times’s overall sale of 571,506; and 16,543or 1.4% of the 1,207,141 copies of the Sunday Timessold. News International said it had served notice onpartners and wholesalers with which it has supplyagreements for bulks. Because of contract notice periods,the change will begin to take effect in the ABC’s January2010 figures, the company said.

The other UK national titles to distribute bulks are theFinancial Times and the Mail and Independent titles.

On January 18, 2010, it was reported that Internetgrocery service Ocado was no longer giving customers a free copy of the Times, while gym chain Fitness Firstwas no longer providing its members with free copies ofthe Daily Mail and Mail on Sunday. Both thesecompanies had been paying a nominal fee (possibly aslow as GBP0.01 a copy) to give these newspapers tocustomers. Instead, shoppers who use Ocado, the homedelivery service of Waitrose supermarkets, have insteadbeen offered a free seven-day trial of the Times Online e-paper, which costs GBP2.50 for a single issue, GBP8.99a month or GBP89.99 for the year. According to AuditBureau of Circulation (ABC) figures, The Times gaveaway 13,237 bulks in December 2009, down from47,242 in November 2009, a drop of 34,005.


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As for Fitness First and the Mail newspapers, ABCfigures show The Mail newspaper distributed 100,591bulks on average each day in December 2008, while byDecember 2009 that had grown to 128,139. Foreign“sales” have dropped by about 10,000 copies over thesame period.

Readership Locally Connected, the NS’ print and online planningtool for local media, shows that online adds an averageof 14 per cent unduplicated reach to local newspapers –and in many cases far more. Print readership hasremained relatively stable at 40 million and has actuallyrisen over the last 10 years (TGI).

Audiences continue to grow as publishers adopt new andinnovative techniques to bring readers news throughdigital platforms. Some newspapers, such as theManchester Evening News, regularly stream live blogson their websites from local authority meetings by sending updates from their mobile phones viaTwitter.

YOUNG READERS

In late May 2009 the Press Gazette reported the Scottishgovernment was set to back an initiative aimed atboosting newspaper readership among the young. Theproposed scheme was first suggested by the MenziesGroup, a newspaper distributor, who contactedScotland’s enterprise minister, Jim Mather, with the idea.While the group was still waiting on a response, it isexpected that the government is likely to reactfavourably. A government spokesman told the PressGazette that it was looking at ways it could “breathefresh life” into the industry.

In July 2009, the Telegraph Media Group extended itsportfolio of Sunday supplements with the launch of a new glossy style magazine for children, called STChildren’s Style. ST Children’s Style is scheduled tolaunch on October 11, 2009, with a circulation of300,000. The perfect bound 52-page publication willcome as a supplement with The Sunday Telegraph.Initially, the biannual title will be distributed throughoutLondon and the South East. Editorial coverage willinclude features on clothing trends for children, alongwith high-profile contributors recounting memories oftheir childhood.

In January 2010, Scottish Labour’s culture spokesperson,Pauline McNeill MSP, argued young Scots shouldreceive a newspaper of their choice, for free and for a year, in the hope they develop a lifelong habit ofbuying a newspaper. Pauline McNeill said there shouldbe a plan, similar to one in operation in France, that seesevery 18 year-old receive a newspaper, for a whole year.Her comments come in the wake of a Scottish NationalParty (SNP) proposal that local authorities, to save

money, transfer their public notices from newspapers tothe Internet.

A 2009 survey of 16 to 24 year olds has found that 75%of them feel they “couldn’t live” without the Internet.

The report, published by online charity YouthNet, alsofound that four out of five young people used the web tolook for advice. About one third added that they felt no need to talk to a person face to face about theirproblems because of the resources available online. Thesurvey, funded by the Nominet Trust, a charity thatencourages the safe use of the Internet, looked at howthe web influences the well-being of people agedbetween 16 and 24.’How Teenagers Consume Media’ is a research notewritten by Matthew Robson (aged 15 years and sevenmonths at the time), an intern at Morgan Stanley, whichcaused a stir after it was published by the bank in July2009. According to the 15-year-old: “No teenager that Iknow of regularly reads a newspaper, as most do not havethe time and cannot be bothered to read pages and pagesof text while they could watch the news summarised onthe Internet or on TV. The only newspapers that are readare tabloids and freesheets (Metro, London Lite…)mainly because of cost; teenagers are very reluctant topay for a newspaper (hence the popularity of freesheetssuch as the Metro). Over the last few weeks, the Sun hasdecreased in cost to GBP0.20p, so I have seen more andmore copies read by teenagers. Another reason whymainly tabloids are read is that their compact size allowsthem to be read easily, on a bus or train. This is especiallytrue for The Metro, as it is distributed on buses andtrains.”

Online / Digital Publishing

DIGITAL BRITAIN

In June 2009 the UK government published the DigitalBritain Report, which contained policy actions andrecommendations about digital and communicationsinfrastructure, creative industries, TV and radioframeworks, and local news.

The Digital Britain report was published by thegovernment with the major aim of getting a higher speedbroadband of a minimum of two megabits per secondrolled out nationally by 2012.

ONLINE AUDIENCE / WEB TRAFFIC

Locally Connected, the Newspaper Society’s print andonline planning tool for local media, shows that onlineadds an average of 14 per cent unduplicated reach to local newspapers, and in many cases far more. Print readership has remained relatively stable at 40million and has actually risen over the last 10 years(TGI).


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Audiences continue to grow as publishers adopt new andinnovative techniques to bring readers news throughdigital platforms. Some newspapers, such as theManchester Evening News, regularly stream live blogson their websites from local authority meetings bysending updates from their mobile phones via Twitter.

Telegraph.co.uk attracts 8% of its visitors from socialwebsites such as Digg, Delicious, Reddit andStumbleupon, according to Julian Sambles, Head ofAudience Development at the Telegraph. In March2009, The Telegraph had about 28 million uniquevisitors, which means social websites were sending italmost 75,000 unique visitors a day. Search engines areresponsible for about a third of the Telegraph’s traffic, orabout 300,000 unique visitors a day.

The Northcliffe group had the fastest growing majornetwork of regional news websites in the UK in thesecond half of 2009 according to the Audit Bureau ofCirculations. Figures show that the Northcliffe MediaNetwork, which includes the websites of the Hull DailyMail and the Leicester Mercury, attracted 3.9 millionunique users a month on average in the second half of2009, up 34.9 per cent year on year. Over the six-monthaudit period, the Northcliffe websites attracted anaverage of just over 250,000 unique users a day.

The only regional newspaper group audited by ABC notto increase its web traffic in the period was GMGRegional Media. Overall, GMG fell 12.3 per cent to 179million unique users a month on average, and 86,873 a day. Its figures were held back by the Manchester-basedMEN Media Online Network. It attracted 1.7 millionunique users in December 2009, down 25.4 per centyear on year, and 67,891 users per day on average.

Johnston Press was the most popular online publisher inthe regional press, attracting 6.9 million unique users a month on average across its network of sites, up 11.6per cent. It was helped largely by the biggest regionalmedia site, The Scotsman, which fell 17.6 per cent yearon year to 1.7 million unique users a month. Newsquestattracted 5.7 million unique users a month to itswebsites, up 21.3 per cent, and an average of 320,375unique users a day. Trinity Mirror attracted 5.5 millionunique users a month across its regional network, up12.5 per cent, and 287,000 a day on average. Ilffe Newsand Media attracted 555,000 unique users a monthacross its websites (31,962 a day), up 42 per cent year onyear. The Kent Messenger’s Kent Online attracted231,064 unique users a month (13,044 a day) andMidlands News Association, which publishes theExpress and Star, attracted just over 700,000 uniqueusers a month (40,085 a day). No year on yearcomparisons were available for these last two groups.

WEB USERS’ BEHAVIOUR

Visitors to UK newspaper sites look at an average of 2.5pages a day, according to data from Alexa published inAugust 2009. However, 62.8% of users look at just onepage.

Faster broadband connections will not boost mostpeople’s online TV viewing, despite government pressureto roll out speedier networks by 2012, according toresearch from YouGov and Deloitte published in August2009. The survey found 53 per cent of the 2,123 viewerspolled said they would not watch more online videoclips or TV programmes with a faster and more reliableInternet connection. Twenty-nine per cent felt there waslittle importance in being able to watch TV using anonline service. The younger section of those polled, aged18 to 24, were more likely to already watch TV online,but 43 per cent still said that a faster broadbandconnection would not increase their Internet viewinghabits. The Deloitte/YouGov report was commissionedby the MediaGuardian Edinburgh InternationalTelevision Festival.

A June 2009 Ofcom report found that millions of adultswho do not have access to the Internet at home wouldchoose to remain unconnected even if given a free PCand broadband connection. The research also showednews and comedy to be the two most popular genres ofvideo clips watched online, each watched by 34 per cent,followed by music, 30 per cent, documentaries/factual,23 per cent and sports, 23 per cent. The least popularclips are reality TV shows and factual entertainment,each watched by only seven per cent of the sampleaudience. The survey brought good news for traditionalbroadcasters as viewers’ awareness of their on-demandsites was greater than that for either YouTube or iTunes,with 83 per cent of those polled recording a higherknowledge for those sites, such as ITV.com and the BBCiPlayer. This is compared to 76 per cent awareness ofYouTube or 64 per cent of iTunes.

Nearly two fifths (39%) of all UK Internet users will usesocial networks at least once per month in 2009,according to a report from eMarketer. The report,entitled ‘UK Social Media: Joining the Conversation’,said this figure represents more than 15.4 millionpeople. eMarketer forecasts that this growth willcontinue, though at slightly slower rates after 2010. By2013, the social networking population in the UK willreach 21.9 million and represent 50% of Internet users.The report also found UK women are warming to socialnetworking, forums and blogging.

The 2008 ‘Digital World, Digital Life’ surveycommissioned by eMarketer and conducted by TNSprovided a detailed snapshot of UK Internet users’activities online during the year. According to TNS,37% of UK adult Internet users polled had visited


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a social networking site in the previous month, while29% had viewed or contributed to an online forum, and26% had visited or posted a comment on a messageboard. Fewer than one in five had visited or added to a wiki (19%) or a blog (16%), or checked into a chatroom (13%). Just 10% said they had visited a businessnetworking site. Overall, 51% of UK Internet userspolled said they had been active in social networking orother collaborative activities.

According to comScore, in January 2009, 80.1 percentof the total UK Internet audience viewed online video.The total UK online video viewing audience watched a combined 280 million hours of video content. 23.5million viewers watched over 2 billion videos onYouTube.com, at 86 videos per viewer. 1.1 million UKmobile phone subscribers visited YouTube.com. 4.8million UK mobile phone subscribers used their phoneto watch any kind of TV or video.

Based on its survey of 2,000 mobile phone media usersfrom all five UK mobile networks in March 2009,Orange found that 70% of consumers are attracted tointeractive mobile marketing formats, such assponsorship or picture messaging. The average age formobile media users is 36 and 81% use mobile mediamore than once a week, with 46% using it daily. MobileInternet pages viewed most often are search engines, e-mail, news, music and film, although 55% of peoplebrowse mobile Internet with no specific agenda.

On March 26, 2009 comScore unveiled for the first timeits data describing iPhone users in the United Kingdom,finding that 93 per cent of iPhone owners accessedmobile media in January 2009. Mobile e-mail is used by75 per cent of British iPhone owners, making it the mostpopular type of mobile content consumed on the device.comScore data show that nearly 80 per cent of UKiPhone owners accessed news and other information viaa browser, four times the rate for all mobile phone users.The App Store is also extremely popular among iPhoneowners, with 55.6 per cent accessing news andinformation via a downloaded application, comparedwith 22.1 per cent of smartphone owners, and 6.3 percent of all mobile phone users. The iPhone has alsoprovided a boost to the mobile games sector, with 37 percent of iPhone owners downloading a game and 18.6 percent purchasing one. Only 5.6 per cent of smartphoneowners and 2.7 percent of mobile phone users purchased a game in January 2009. comScore alsorevealed the demographics of iPhone owners, and foundthat 75 percent are males, mostly between the ages of 18-44. Smartphone ownership also typically skews malein the UK, with males comprising 65 per cent of theaudience.

DIGITAL AND PRINT PUBLISHING

In 2009 13-year-old schoolboy Scott Campbelllaunched NetNewsDaily, a website which aggregates andsummaries global news stories, “so that people with littleor no time are able to read it without rushing”. The website reportedly receives around 1,000 to 1,500unique visitors a day, a number that Campbell and hiscolleague Nathan Adam hope will triple within a year.The project was funded entirely by the teenager’s ownpocket money, and the website gathers around GBP150a month in advertising. According to Campbell,advertisers normally approach the editors via Twitter oremail.

In 2010, Nathan Adam and Scott Campbell, thefounders of NetNewsDaily, launched NND Scotland, a news site and photo wire dedicated to coveringScottish news and imagery. NND Scotland, the Scottishversion of the portal NetNewsDaily, went live in January2010 and has already seen pictures syndicated to TheScotsman and the BBC News website. The websitefeatures original content and imagery from around thecountry, contributed by young reporters andphotographers ranging in age from 14 to 18.

theblogpaper, a website and printed newspaper compiledby an online community of writers, released its firstedition on September 25, 2009. An initial run of 5,000copies was printed and distributed in selected areas ofLondon, as well as to bloggers, media and advertisingagencies. Founder Anton Waldburg said the Septemberedition would be a ‘pre-launch’ version to encouragefeedback from readers and contributors and to test theconcept on the market. The project aims to build a ‘newscommunity’ online. This community will contributewritten and multimedia news content, which will thenbe ranked by other users. If an item receives moresupport it will be pushed into a print edition and alsoonto the front pages of theblogpaper.co.uk. The ‘pre-launch’ edition will consist of around 20-30 pages of textand photos. Before the printed edition, the websiteattracted around 500 contributors who decided whatwent into the print edition and what items werepromoted on the website. The founders daytheblogpaper will be purely ad-funded.

In April 2009 regional publisher Trinity Mirrorlaunched a new website designed to help users find localbusinesses and rate their services. LocalMole.co.uk,which is being launched across the company’s regionalnewspaper companion sites, will also allow businesses tomarket themselves to the network’s 5 million users. Thewebsite will be accessible under the LocalMole.co.ukbrand and through Trinity’s 200 local and hyperlocalwebsites. It already contains a database of over 1.8million listings featuring business names, addresses,contact information and maps.


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On October 3, 2009, the Financial Times’ luxurymagazine How To Spend It was launched online. Bytaking the magazine online, the FT hopes to reach richreaders in all corners of the world.

In June 2009 it was reported the Sunday Times was setto launch a standalone website and is consideringcharging readers for its content.

In August 2009 The Sunday Times began recruitingjournalists and online developers ahead of the launch ofits stand-alone website. At the time Sunday Timescontent was published on Times Online. The launch ofa stand-alone Sunday Times website underlines NewsInternational’s contrasting approach to nationalnewspaper publishing. The Telegraph Group,Independent Newspapers and Guardian News andMedia merged their daily and Sunday newspapers onlineand largely integrated their daily and Sunday editorialteams. But News International’s Sun, News of theWorld, Sunday Times and Times remain with completeeditorial independence from each other. In June 2009, Times Online reported 21.2 million unique users compared with Telegraph.co.uk on 27.2 millionand the Mail Online which was in first place on 29.3million.

The Daily Mirror launched a new football website tocoincide with the start of the Premier League season inAugust 2009. MirrorFootball.co.uk combines club-by-club breaking news with live match reports and coverageof press conferences. The website draws on thenewspaper’s vast and comprehensive photo librarystretching back to the early 20th century. Many of thepictures released by the Mirror have never been seenbefore. The website is video-rich, introducing a FootballSpy video divulging the latest transfer gossip, a dailyfootball agenda show, a new weekly video fromfootballer Robbie Savage and video match previews andreports. Daily and Sunday Mirror columnists providevideo, audio and stories. Alongside a number of blogs,the website will introduce a match centre for its fantasyfootball game. The centre will allow fans to follow textand graphical commentary on their team’s matches. Thenew website will be included in the nest of websites thatmake up Mirror Group Digital for the sake of AuditBureau of Circulation Electronic (ABCe) user numbercertification.

HYPERLOCAL WEBSITES

In 2009, MA online journalism students fromBirmingham City University in the Midlands set up a new hyperlocal website focusing on news from aroundcentral Birmingham. Hashbrum.co.uk combines a mapof the Second City with a slideshow of multimediamaterial to show its news.

In April 2009 it was reported Newsquest was launchinga wave of hyperlocal websites for its newspaper titles inthe Midlands. The Kidderminster Shuttle had alreadygone live with its 24 sites, and it will be shortly followed by six other newspaper websites in the area,Stourbridge News, Halesowen News, Dudley News,Bromsgrove Advertiser, Redditch Advertiser andDroitwich Advertiser. The Shuttle was recruiting citizencorrespondents in the surrounding area to contributenews from their patch with the capacity to carry videoand audio reports a future possibility. A deal had recentlybeen struck between the Shuttle and Midlands-basedChamber TV involving the television channel providing video for the title’s website in exchange fornews stories.

In May 2009, Northcliffe publisher said the nextgeneration of Northcliffe’s local news sites wouldcombine citizen journalism, blogging and Facebook-style networking. The company was in the middle ofdeveloping a series of hyperlocal websites that ‘combinesocial networking with news’. The first 30 sites were togo live in June 2009. The initial six-month trial targetedtowns with populations of between 10,000 and 40,000people that currently have no dedicated local newspaperor website. The websites will be overseen by ‘communitypublishers’ who will be responsible for keepingdiscussion live and active, looking after content, andgathering, researching and writing news.

In June 2009 The Yorkshire Evening Post announced it was rolling out a series of 20 hyperlocal sites focusingon neighbouring communities of the West Yorkshirecity.

In July 2009, Daily Mail & General Trust launched thefirst of 50 hyperlocal community websites in the southwest of England as part of a pilot scheme to increase itsgrassroots online presence across the country. AssociatedNorthcliffe Digital, the digital consumer division ofDMGT, rolled out the first 23 sites in its Local Peoplenetwork, with a further 20 expected to launch in thefollowing four weeks.

On October 12, 2009, The Guardian announced itwould launch Guardian Local, a project involving three‘beatbloggers’ in Cardiff, Edinburgh and Leeds, creating content including text, photographs, audio andvideo. The local news service will start in 2010 with the bloggers reporting on local meetings, issues ofimportance to local residents and events within the area.

In January 2010, Helen Boaden, director of BBC News,said the BBC’s current websites did not compete withregional publishers’ websites and would not becomemore localised in the future. The declaration followedthe BBC Trust, the body responsible for regulating theBBC, rejecting plans for the corporation to launch


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a series of local websites carrying video content inNovember 2008.

PAID/FREE ONLINE CONTENT

Print circulation remained under pressure but localmedia publishers continued to grow their onlineaudiences. Monthly web users grew by 54 per cent to 37million across the industry’s 1,500 websites.

Publishers are testing various methods of generatingrevenue from online such as paywalls on websites,subscriptions to electronic editions and creativeapproaches to selling online space such as sponsorship ofvideo reports.

More than two thirds of online publications will becharging for access to some web content within a year,marking a shift in attitudes from two years ago when a majority of the same publishers opposed the idea ofpaid content. In its 2009 poll of its members, the UK’sAssociation of Online Publishers found that 50 per centwere already charging for some or all of their websites,while a further 20 per cent intend to do so in the next12 months. Alongside Murdoch’s News International,the AOP’s members include newspaper publishers suchas Trinity Mirror, Guardian Media Group and TelegraphMedia Group as well as magazine publishers CondeNast, Bauer and Haymarket. Of those, 45 per cent prefera subscription model for charging, while 35 per cent arelooking at micropayments, whereby discrete fees arecharged per article. The AOP’s members also signalled a marked improvement in attitudes towards the mobileweb, a platform from which publishers have longstruggled to gain significant revenues. More than halfplan to develop paid applications for users ofsmartphones such as the iPhone or Blackberry todownload.

In 2007, before the advertising slump hammered themedia industry, just 46% of respondents to the AOPsurvey were considering charging for content. But thesurvey found that about 70% of respondents eitheralready charge for content or plan to do so. Publishersbelieve consumers are happiest paying for special reportsand downloadable apps, which 26% of respondents saidthey intend to charge for, followed by archives, at 16%,and tailored mobile content, also at 16%. More than80% of respondents said that the Apple iPhone had transformed the opportunity for mobile Internet. In response to the question, “What distribution channel will become more important in the next 12months?”, 69% cited mobile and 67% said mobileapplications.

The Financial Times revealed in March 2009 that itsonline subscriptions had risen nine per cent year on yearto 109,609. Digital revenues represented 67 per cent ofFT Group revenue last year, up from 28 per cent in

2000. On a smaller level, the only regional newspaper toincrease its paid-for circulation in the second half of 2008, The Irish News in Northern Ireland, is one ofthe few to charge for online content.

In 2009, the Financial Times experienced a “weak” thirdquarter for advertising but FT.com has increased its paidsubscriber base by 22% in the past 12 months. FT.comnow has 121,000 subscribers, equivalent to 8% of itsregistered user base of 1.6 million and more than aquarter of the circulation of the Financial Times printedition. The proportion of subscribers to registered usershas diminished since the end of 2008 when it was 11%,with 109,609 subscribers against 966,000 registeredusers.

The FT.com, whose metered model has been consideredan example for other outlets, such as the NYTimes.com,has 1.9 million registered users, plus 121,000 payingsubscribers, said the website’s managing director, RobGrimshaw, at the paidContent 2010 conference inFebruary 2010. The FT is also offering micropaymentoptions.

On March 10, 2009, The Guardian launched OpenPlatform, a service that will allow partners to reuseguardian.co.uk content and data for free and weave it“into the fabric of the Internet”. Open Platformlaunched with two separate content-sharing services,which will allow users to build their own applications inreturn for carrying Guardian advertising. A contentapplication programming interface (API) will smooththe way for web developers to build applications andservices using Guardian content, while a Data Store willcontain datasets curated by Guardian editors and openfor others to use. Other partners for the launch of theservice include web design firm Stamen andOpenStreetMap, a free, open alternative to commercialmap data services. Stamen and OpenStreetMapdeveloped a service that they hope will encourageGuardian readers to “geo-tag” the newspaper’s content, positioning every article, video and picture on a map so users can find news, commentary, video andother content related to their area. The other part of Open Platform, the Data Store, provides statistics and data curated by Guardian editors. The Guardian has always collected statistics and data, but traditionally this data has appeared in thenewspaper or appeared in a table on a Guardian website.Now, these statistics will be made available for anyone touse.

In March 2009 it was reported The Independent andThe Times were considering introducing paid-forcontent on their websites. Gavin O’Reilly, the new chiefexecutive of Independent News & Media, owner of TheIndependent, said that although he had not formalisedany plans, he was looking at paid-for offerings on INM’swebsites, according to a report in The Telegraph. News


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International, owner of The Times, was also consideringa paid-for offering for Times Online.

In May 2009 it was revealed the Guardian wasconsidering charging users to access specialist areas of itswebsites to counter falling ad revenues. Speaking at the World Magazines Congress, CEO CarolynMcCall was reported by The Guardian to have said thenewspaper could charge for sections to ensure quality ismaintained.

In May 2009 Rupert Murdoch said he expects to start charging for access to News Corporation’snewspaper websites within a year as he strives to fix a “malfunctioning” business model. Encouraged bybooming online subscription revenues at the Wall StreetJournal, the billionaire media mogul said thatnewspapers were going through an “epochal” debate overwhether to charge. “That it is possible to charge forcontent on the web is obvious from the Wall StreetJournal’s experience,” he said. Asked whether heenvisaged fees at his British newspapers such as theTimes, the Sunday Times, the Sun and the News of theWorld, he replied: “We’re absolutely looking at that.”Taking questions on a conference call with reporters andanalysts, he said that moves could begin “within the next12 months‚“ adding: “The current days of the Internetwill soon be over.”

In July 2009, News International affirmed itscommitment to introducing paid-for content across its newspaper websites, maintaining that a charging model “impels” the future direction of itsportfolio.

In August 2009, Financial Times editor Lionel Barbersaid that the newspaper industry must charge for onlinecontent and has explained how rival news organisationscan follow the FT. In an interview for Channel 4 News,Barber, whose newspaper has opened up its service withmore free content in recent years, said the biggestmistake the industry made in the past ten years was notto charge users. He said the way forward was to followthe FT model and he argued rival news organisationscould adapt to what the financial newspaper had done.Barber said he believed the momentum behind a moveto paid content was unstoppable although he said newsorganisation still had to make the case for paid content.Barber added that the FT was looking at micropayments as a possible option like many newspapers. InAugust 2009, the FT had 117,000 paying websubscribers, which represents 10% of those registered onFT.com. It currently gives away 30 free articles a monthto registered users on its site, which was something itintroduced in October 2007. Previously articles had onlybeen available to subscribers. It introduced that moveswiftly after the New York Times said it was endingsubscription charges for its website and after NewsCorporation chairman Rupert Murdoch said that he was

considering ending subscription charges on The WallStreet Journal.

In August 2009 a new clippings service was launched bythe Financial Times. Registered users will be able tocreate a clippings list, store FT articles for futurereference, and share the lists with others. Those who arepremium subscribers, at a rate of GBP207.48 per year,will be able to save non-FT content as well.

The Guardian will not introduce a pay wall to itswebsite, according to comments made by its director ofdigital content, Emily Bell, on the Liberal Conspiracyblog in August 2009. Registered members ofGuardian.co.uk had been sent a survey announcing that the site is considering launching a club providing‘extra benefits in return for an annual or monthly fee’.These benefits might include special offers from partnersand exclusive content, the survey said. Revenuegenerated from the club would be used to support theGuardian, according to the blog post. But digitaldirector Emily Bell said this survey of registeredmembers’ opinion was not a first step towards chargingfor access online.

In September 2009 it was reported The Economist is tocharge for news content across its website, mirroring therecent move made by Rupert Murdoch’s NewsCorporation to introduce a paid-for model for its onlinenews content. Economist.com currently offers its readersfree access to news content on the site, including thenews copy from its £4 cover price weekly magazine.However, editorial copy more than a year old is chargedfor. Yvonne Ossman, publisher of The Economist in theUK, revealed to Media Week that the brand would moveto a paid-for content model, following the completion ofa review. The move is being driven through by BenEdwards, publisher of Ecomomist.com, and the brand isunderstood to be looking at a number of paymentoptions, including an iTunes-style micro paymentmodel. The move to the paid-for model, expected to beintroduced within the next six months, marks somethingof a reversal for the brand, which, in 2007, moved to a predominantly free model. It had previouslyprovided a mix of paid-for and free content, beforedeciding to make its content free on its homepage inSeptember 2006.

On November 17, 2009, James Harding, the editor ofthe Times, gave the clearest indication yet of how NewsInternational is going to start charging for its journalismonline. Pledging to “rewrite the economics ofnewspapers”, Harding said the Times would charge for24-hour access to that day’s edition of the newspaperalongside a subscription model, but dismissed the idea ofmicro-payments for individual articles. Harding said thenewspaper business had to avoid the mistakes of themusic industry – and call time on free distribution. Hecontrasted the Times’ 20 million-plus unique users with


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the 500,000 readers who had developed a “genuinedigital newspaper habit”. He confirmed that the Times,in common with other newspapers in Rupert Murdoch’sNews Corporation empire, would introduce onlinecharging. He also suggested that the Times could find a compromise solution that would exploit Google’s reachwhile keeping its paywall intact.

In November 2009 Rupert Murdoch warned that hisplans to charge readers of News Corporation’s newspaperwebsites by the end of June 2010 could be delayed. Themedia magnate did not give a reason for the delay, but said that “we are all working very hard” on deliveringthe pay solution, and that it remains a “work inprogress”.

Tindle Newspapers, which after a trial now offers digitalreplicas of 40 weekly newspapers, and the independentBelfast-based Irish News has ditched its free-to-airwebsite entirely in favour of a paid-for digital newspaper.Over the summer, Tindle began a trial on six of its titles,three free newspapers and three paid-for titles, usingonline page-turning software PageSuite. The paid-fortitles were offered on subscription, with readers payingby credit card or the online charging system PayPal foraccess. Tindle said the trial had been so successful thatthe cash generated from subscriptions soon exceededexpectations and the PayPal facilities had to beexpanded. The company will now publish more than100 of its titles online using PageSuite, with about 40 ofthem paid-for titles accessible via subscriptions throughPayPal.

David Montgomery’s Mecom newspaper group ispushing ahead with plans to charge for content online,but not based around general or international news. Itsnew online payments strategy, to be unveiled with itsannual results on March 17, 2010, would rely on “muchmore specific content, unique content.” With a carefully planned digital strategy, David Montgomerysaid the company could make up for permanent losses inprint ad revenue in the future, thanks also to a cost-cutting programme that had yielded about GBP124m,well surpassing the company’s original target ofGBP67m. He was confident that Mecom’s digitalstrategy could earn enough to compensate for thepredicted fall in print ad spend this year, which he put at5% across Europe.

HOW MANY WOULD PAY?

The 2009 paidContent:UK/Harris Interactive pollshowed that more than half of those surveyed prefer a long-term subscription, not micro payments or daypasses. The research showed that most readers would notpay for content. If their favourite news site beginscharging for access to content, three quarters of peoplewould simply switch to an alternative free news source,people who read a free news site at least once a month

told us. Just 5% of those readers would choose to pay tocontinue reading the site, 8% would continue readingthe site’s free headlines only. 12% of respondents are notsure what they would do.

Younger readers are more likely to pay than older, 13times more 16-24s said they would pay than did 35-44sand 55-64s. Pre-middle aged people (35-44s) are mostlikely to seek out a free alternative news site. And thosestingy 45-54s are most likely to simply read theirfavourite site’s free headlines. But that’s not good enoughfor younger folk, 16-24s are four times less likely to dothat. The upper middle and middle classes (‘ABs’) aremost likely to pay to continue reading their favouritenews site, but that’s just six percent of them. That’s thesame rate for the lower middle class (‘C1s’). The skilledworking class (‘C2s’) are least likely to pay and mostlikely to find an alternative free news site. Interestingly,the number of working class people and thosedependent on the state (‘DEs’) who would pay is almostthe same as ‘ABs’.

Londoners are Welsh are most likely to pay for theirfavourite news site. Yorkshiremen, Midlanders and thosein the south-east are least likely. No-one in the north-west or south-west of England would pay. Scots, south-westerners and Yorkshiremen are most likely to find freealternative news sites.

On November 24, 2009, the BBC again announced thatit will not charge for online news, despite accusations from James Murdoch, son of media mogulRupert Murdoch, that it is “throttling” the market and preventing competitors from expanding online. Sir Michael Lyons, the BBC Trust chairman, said the corporation has “no intention of diluting BBC commitment to universal access to free newsonline.”

Analysis shows wide disparities between the leadingstudies on how many would pay for content.

- PCUK/Harris Poll: five percent of 1,888 UK adultssaid they would pay if their favourite online newspaperbegan charging.

- Gfk: a total 18 percent of UK adults in internationalsurvey of 16,800 said they didn’t want to would pay forcontent, i.e. “news, entertainment and informationsites such as Wikipedia”.

- Continental: a total 37 percent of 500 UK adults saidthey would pay micropayment, larger fee ormonthly/annual subscription for onlinenewspaper/magazine).

- Olswang/YouGov: a total 19 percent of 1,013 UKadults and 536 teens said they would makemicropayments frequently, a subscription or otherwise


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pay for news articles online, on mobile or e-readers ifthere was no free alternative).

- Oliver and Ohlbaum: 15 to 20 percent of respondents[survey of 2,600 UK consumers said they would payGBP2 a month for their favourite news website if itwas the only one that charged.

- Forrester: a total 19 percent of 4,711 US consumerssaid they would make micropayment, pay a sub or buya bundled print/web/mobile package for onlinenewspaper.

- Boston Consulting Group: 48 percent of 5,083 regularInternet users in nine countries, including 506 in UK,said they would pay for online news.

- KPMG: 11 percent of 1,037 people aged 16 and over“currently spend anything on online media”; findingsvary for different media types.

AFFILIATE WEB LINKS

Telegraph Media Group has begun introducing paid-for‘affiliate’ web links in some of its online stories, allowingit to earn a small amount of commission each time a reader clicks certain links to external websites. Thepublisher says the practice, announced by TMG digitaldirector Brian Harrison at an Association of OnlinePublishers event in January 2009, is completelyindependent from journalism and does not harmeditorial standards.

PAYWALL

The Economist is restricting the number of articles thatonline readers can view for free, the latest sign thatpublishers are rethinking their attitude to web content.From October 13, 2009, anything more than 90 daysold will be put behind a pay wall and thus be availableto subscribers only. In another change, only subscriberswill be able to look at the “This week’s print edition”feature that allows online readers to browse the currentedition of the magazine as it appears on the page. Anonline subscription to the Economist costs USD79 a year (GBP50), while a print subscription costs GBP127, or GBP102 by direct debit. Both deals giveaccess to the online archive, which goes back to January1997.

On October 5, 2009, The Times and Sunday Timesrevealed plans for a readers’ club with a GBP50membership fee to non-subscribers, another example ofnewspapers attempting to develop new revenue streamsfrom loyal readers rather than following a high-volumestrategy.

On November 26, 2009, it was reported Johnston Press,Britain’s biggest publisher of regional newspapers, is to

begin charging for the online content of some of itstitles. The company is introducing “paywalls” on someof the group’s websites from November 30, 2009,making it the first UK regional publisher to experimentwith the scheme.

National newspaper groups need to persuade less than5% of their Internet audience to pay for online contentto make a success of moving away from relying on digitaladvertising, according to a private equity financier.Dharmash Mistry, a former senior Emap executive whois now a partner at private equity firm Balderton Capital,told MediaGuardian.co.uk in November 2009 thatgetting about 3% to 4% of an online audience of a national newspaper to pay a modest GBP3 a monthwould cover the entire annual digital advertising revenuehe estimated most groups currently make. He added thatthe statistics, while perhaps not holding true for every newspaper publisher, were based on an analysisof a print website attracting 20 million unique users a month.

In January 2010, editor of the Guardian AlanRusbridger said that despite significant losses theGuardian had no plans to put up pay walls. TheGuardian hit on a successful revenue stream with its newiPhone app, selling 70,000 editions at GBP2.39 eachsince the launch in December 2009. The app received a four and a half out of five rating on the Apple site,taking it straight to the top of the paid app chart.Rusbridger admitted that it had exceeded allexpectations and highlighted that people are willing topay for content on a mobile platform.

The Guardian has ruled out implementing paywalls onits website, but may still decide to charge for specialist orniche content. Chief executive of the Guardian MediaGroup Carolyn McCall said that although her positionis not entrenched, she sees no commercial evidence thatpaywalls generate returns. Guardian News and Mediahas looked at six different pay models including thepaywall, which would “suffocate our journalism, stymieit, contain it,” McCall said. “It is the wrong thing to doright now because the jury is out about whether that isthe way consumers are going to get information. We willwatch what happens.”

NEWS AGGREGATORS

In November 2009 Rupert Murdoch underlined hisdetermination to make the Internet pay by promising toremove his newspapers’ stories from Google. Thechairman and chief executive of News Corporation saidhis newspapers, which include the Sun, the Times andthe Wall Street Journal, would probably cut themselvesoff from Google once they started to charge online.Murdoch has accused Google and other web companiesof benefiting from newspapers’ content without havingto pay for it. “The people who simply just pick up


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everything and run with it, steal our stories. They justtake them without payment,” he said.

ARCHIVES

In June 2009 the British Library launched an onlinearchive of two million pages of 49 national and regionalnewspapers from the 19th century, offering originalarticles from between the year 1800 and 1900. Users canbuy a 24-hour pass for 100 downloads at GBP6.99(EUR8.20). Searches on the site are free.

In August 2009, Digital software provider PageSuitelaunched mydigitalnewspaper, an online archive of thecompany’s online newspapers. The website will allowsearches of past online newspapers by country,publication, date and type of title. According to Editor& Publisher, the search tool will also include a keywordor phrase filter in order to find old online stories. Back editions of supplements or free titles are accessibleon the archive for free; however, those titles with a coverprice will cost the same amount to access the archivewebsite.

On December 14, 2009, the Daily Express launched an archive service charging readers GBP5.95 (plus VAT) for 48 hours’ access. The service, atwww.express.co.uk/archive, has been two years in themaking, and features 1.7 million pages from everyedition since the newspaper first appeared in 1900. Userscan see a preview of each page for free, but if they wantto identify more than the headlines and the occasionalpicture, then they are going to have to pay.

In December 2009 the Financial Times made itscomplete archive available online to subscribersinterested in finding out how the newspaper has coveredalmost 120 years of business, politics and internationalaffairs. Educational publisher Cengage Learning hasdigitised the FT’s archive of about 790,000 pages fromits foundation in 1888 to the end of 2006. That meansall articles can be searched individually for their contentas well as being viewable in the context of the page andissue where they appeared, alongside adverts and marketlistings. The archive will become available forsubscription or one-off purchase to all academic, publicand government libraries in mid-January 2010, withrevenues from the venture to be shared between the FTand Cengage. Private subscriptions are not yet available,although the past five years of the FT’s archive arealready available through its website to payingsubscribers. This digital resource will be annuallyupdated, with 2007 likely to come on stream at the endof 2010.

E-COMMERCE

As of July 31, 2009, Guardian.co.uk users are to gainaccess to online travel outfit Expedia content through

a new tie-up between the two companies. The co-branded deal provides visitors towww.guardian.co.uk/travel access to the Expediaproduct via a new portal, including flights, hotelaccommodation, car hire and destination activities. Thewhite label booking solution is hosted on theGuardian.co.uk travel pages and has been designed tooffer a search tool that delivers numerous travel optionsto the consumer. The Expedia Affiliate Network workswith more than 10,000 private label partners across theglobe.

The publishing industry needs to look to e-commercesites and other sectors to help it innovate online, TomTurcan, former general manager for digital at GuardianNews & Media, said at a digital media forum inSeptember 2009. “It is surprising how little coverage e-commerce gets compared to microblogging or the latestsocial media widget,” said Turcan, a business consultantwho was speaking at an Association of Online Publishers(AOP) event on managing change in digital businesses.Tuscan was responsible for introducing a new platformfor Guardian.co.uk.

The Telegraph started launching a series of e-commerceefforts in 2008. The 154-year-old newspaper now saysthat a hefty percentage of its revenues come from onlineusers buying those goods and services directly throughthe site. The Telegraph has been quite successful gettingreaders to pay for access to games or to services thathighlight the organization’s databases. The website’sfantasy football and cricket service and CluedUp, abrand aimed at puzzle nuts, have been perhaps mostsuccessful. The Telegraph also gets a commission ontransactions made with their personal finance and sportsbetting partners.

BLOGGING/TWITTER

According to Malcolm Coles, National UK newspapershad 1,665,202 followers of their Twitter accounts at thestart of October 2009, an increase of 193,266 onSeptember 1, 2009, when they had 1,471,936. The rateof growth has slowed, however. This is a monthlyincrease of 13.1%, compared with 17% from August 1to September 1, 2009, and also from July 1 to August 1,2009.

In December 2009 the Guardian newspaper had three ofthe top 5 newspaper twitter accounts. Its ‘GuardianTech’twitter account had 1,468,927 followers down from1,392,115 the previous month. It was followed by theTimes with 50,469. In third place was the Guardian’sother twitter account, GuardianNews, with 41,058followers. This was followed by the Financial Times with36,134, and then the Guardian’s GuardianMusic with21,318.


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In July 2009, The Independent announced a partnershipwith Tweetminster, a web-based service that allowspeople to follow MPs and UK politics on Twitter, tolaunch a media utility that uses the power of Twitter toconnect people the politicians, commentators and mediastories that shape UK politics. Available atwire.tweetminster.co.uk, the service, called Livewire,works with an Internet browser, and allows users to trackthe tweets of MPs and Prospective ParliamentaryCandidates, as well as follow political journalists,commentators and news sources from mainstream mediato blogs. The free service is supported by advertising andusers can login using their Twitter log-in.

On October 7, 2009, the BBC Trust unveiled a new setof editorial guidelines that could lead to changes to thecontent its journalists can post online. The draftguidelines, which cover everything from bad language toimpartiality, state that: “Nothing should be written by[BBC] journalists and presenters that would not be saidon-air.” The BBC’s editorial guidelines are reviewed onceevery five years, but before 2009 they had never been putto the public.

VIDEO/AUDIO/RADIO

The total UK online video viewing audience has grown10 percent during the past year to 29.6 million uniqueviewers age 15 and older, according to early 2009 datafrom comScore. Google Sites once again ranked as thetop online video property in the UK with 23.7 millionviewers (up 14 percent versus the previous year), drivenby the popularity of YouTube.com, which accounted for99 percent of all videos viewed on the property. BBCwebsites ranked second with 6.8 million viewers,followed by Microsoft websites with 4.3 million viewers,Facebook.com with 3.6 million viewers, and Yahoo!websites with3 million viewers.

In March 2009 it was reported that News Internationalwas investing GBP1 million into new radio and TVstudios to boost the audio and video content of all itstitles. The move comes as the group steps up its onlineambitions by bringing ad sales in-house for the News ofthe World website. The media group behind titles suchas The Sun, the News of the World and The Times islaunching purpose-built multimedia studios to enable its journalists to use state-of-the-art video andaudio facilities. Journalists will be able to producecontent for its websites in-house and participate in livebroadcasts.

In May 2009 Trinity Mirror Regionals and MEN Mediaagreed to trial the new free video service from the PressAssociation (PA). As a result, Trinity Mirror Regionalsand MEN Media will receive news footage as part of a free six-month trial, launched by PA earlier in May2009. The video wire service provides file-based footageof the day’s main stories for broadcasters, online

newspapers and digital customers, ready for them to editinto their own packages. It includes up to 30 stories a day across news, sport and entertainment.

In May 2009 it was reported two studios were beingbuilt that will be used by Financial Timescorrespondents to provide content for FT.com’s videoand audio channels online. Content will include news,analysis from across the world and head-to-headinterviews, as well as special projects and reports, makingfull use of the opportunities video offers. The audiostudio will be used for podcasts as well as round tablediscussions. The Pearson-owned business newspaper willcharge non-subscribers to use the online video service, ifthey use the service more than 10 times a month. Ifvisitors use the site more than three times in a month,they will be asked to register. FT.com had more than onemillion video views for its current service, which wasboosted by the launch of the FT mini-player in July2009. The newspaper already produces up to 170 videosevery month. The website attracts 11.4 million uniqueusers a month, generating 83.2 million page views(Audit Bureau of Circulation Electronic figures, March2009), and of these, 109,609 are subscribers, an increaseof 8% over the same period in 2008.

In July 2009 the Independent newspaper struck a dealwith the Press Association (PA) to launch a video newsservice. PA journalists will supply more than 100 videopackages a week to the newspaper’s website coveringnews, sport and entertainment. Each package will beabout 90 seconds in length. In addition, a further 100short 20-second clips appear alongside text and pictures.The video clips will be integrated into the Independentwebsite through tech firm Octopus Media. Earlier inMay 2009, PA launched its first video wire service tomeet a growing need among national and regionalnewspaper publishers for daily video content.

On July 28, 2009, The BBC struck a landmark deal withfour national newspaper groups to share video news ontheir websites. The deal with Daily Mail & GeneralTrust, Guardian News & Media, Telegraph MediaGroup, and Independent News & Media was described as the latest step in the BBC’s partnershipplans, in which it will share content, expertise andtechnology in the name of public service. The BBC is providing a limited range of video news contentto Mail Online, guardian.co.uk, Telegraph.co.uk andIndependent.co.uk, which will supplement thenewspaper websites’ own material, in four areas, UKpolitics, business, health and science and technology.The BBC also planned to make the same video newscontent, which is being made available free, to otherUK-based news websites but has started with four of thelargest newspaper sites. The BBC made it clear that ithas no intention of extending the range of content togenres such as entertainment and sport news. Forpartner media organisations to use the BBC online video


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content there must be no advertising, such as pre-roll orpost-roll ads, running around any clips. The videoshared with partner organisations will carry BBCbranding. All BBC content will appear in a brandedvideo player and the content will be geo-blocked so thatit can only be viewed by web users in the UK.

A day after the BBC online video deal was announced,News International criticised the terms of the BBC’soffer of ‘free’ video news to the four rival nationalnewspaper websites, saying it provides “marketing forthe BBC at no cost”. According to a News Internationalcompany spokesman, “News International assessed theBBC’s proposals and found that they not only impose onerous marketing conditions, but also offerlittle differentiation or benefit to customers of ourwebsites.”

On April 20, 2009, News International launched onlineradio show Sun Talk. The online radio show has a newspaper, mobile offer, and website. The radio stationis hosted by former TalkSport host and current Suncolumnist, Jon Gaunt, every morning for three hoursbetween 10:00 and 13:00. The station aims to reach150,000 listeners within its first year.

In March 2009 it was reported The Sun was expandingits digital presence by teaming up with televisionproducer Fremantle Media to create a live, interactivegame show to be broadcast via The Sun Online insummer. Sun Quiz Live will enable users to play againstone another in real time, and to interact with thepresenter, crew and their fellow players. It will be basedon a variety of word, number and logic puzzles lasting a few minutes each. The show will initially be scheduledfor two hours per day, five days per week. Visitors tothesun.co.uk will be able to watch free, but the gamesthemselves will be offered on a pay-to-play basis. Thelaunch marks the latest phase in The Sun’s ambitiousdigital development, which is made possible by NewsInternational’s GBP1 million investment in new TV andradio studios.

PODCAST

In its fourth survey of podcast listening published in July2009, radio audience measurement firm Rajar foundthat 7.8 million people had downloaded a podcast, upfrom 7.2 million in October 2008 and six million inMay 2009. About 4.2 million people listen to podcastsat least once a week, up from 3.7 million in May 2008,but only 28 per cent of respondents find the time tolisten to the entire recording. The Rajar research foundonly 4.5 per cent of listeners had ever paid for a podcast.A third of the 1,000 respondents who took part in thesurvey responded positively to the idea of paying.Almost 60 per cent of respondents said they were happyto listen to podcasts that contained advertising if theywere free.

Ownership

SELL-OFFS AND BUY-OUTS

In late March 2009, Lord Viscount Rothermere, thechairman of Daily Mail & General Trust, soldGBP540,000 worth of shares in the group. Rothermere sold 235,295 shares in the group, which inFebruary 2009 completed the sale of 75.1% of theLondon Evening Standard to Russian billionaireAlexander Lebedev, at a price of GBP2.29 per share. Thetransaction netted Rothermere GBP540,781. Accordingto the stock exchange filing, Rothermere personallyholds almost 76 million DMGT shares, or 21.05% ofthe company’s stock.

Press Gazette, the troubled newspapers’ trade magazine,was rescued in April 2009. It was bought by ProgressiveMedia – the group run by millionaire publisher MikeDanson – that had recently acquired full control of theNew Statesman. Press Gazette (PG) will continue topublish its monthly magazine and its website. However,its current owners, the Wilmington group, will retaincontrol of the British Press Awards. Mike Danson hadrecently changed his focus to magazines, and bought50% of the New Statesman from its owner, GeoffreyRobinson, in April 2009 and acquired the other half alsoin April 2009.

In late April 2009 it was reported Independent News &Media (INM) had been working with advisers fromcorporate finance group Lazard on options for TheIndependent newspaper, including its possible sale. Lazardhas been advising INM since the Dublin-listed publisherreceived preliminary approaches for its flagship title.However, they stressed that Lazard has no formal mandateto sell the title. The possible sale of The Independentcomes as INM, whose shares have fallen significantly over2008, considers a disposal of its investment in DainikJagran, the Hindi-language Indian news paper, as it looksto tackle its GBP1.3 billion debt pile. The group acquiredthe 26 percent stake in Jagran Prakashan, Dainik Jagran’sparent, for EUR25.5 million in 2004. Unlike manypublishing groups, the Indian business is still growingstrongly, and is reported to have increased its earnings by37 percent in the year to March 2008.

INM owner Sir Anthony O’Reilly stepped down in May2009 after 36 years with the group. He was replaced byhis son Gavin O’Reilly, formerly chief operating officer,in a board shake-up that also involved other significantchanges.

In May 2009, INM chief executive Gavin O’Reilly saidthe company’s 39 per cent stake in trans-Tasman mediagroup APN News & Media was “not for sale”. Hiscomments came after INM in January 2009 shelved a sale of its APN stake, which would have helped it topay down its debt.


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On June 12, 2009, Gavin O’Reilly announced thecompany had not received any formal offer fromAlexander Lebedev for the Independent andIndependent on Sunday. O’Reilly added that any talkswith the Russian owner of the London Evening Standardhad been about “operating synergies” at Daily Mail &General Trust’s London HQ, where all three titles arenow based. Earlier today, Denis O’Brien, the secondlargest INM shareholder after Tony O’Reilly, issued a statement saying that selling of loss-making assets mustremain the company’s “key focus”. In March 2009,O’Brien, who holds a 26% stake in INM, increased hisinfluence over the company in a restructure that sawTony O’Reilly announce he would retire as chiefexecutive."

On June 24, 2009, Independent newspaper owner ChrisBullivant offered to buy some of the weekly Midlandstitles that the National Union of Journalists claimedTrinity Mirror was looking to close. Bullivant, who hasbeen running local free newspapers for 30 years, said hewas particularly interested in keeping the BirminghamPost daily. Bullivant was one of the new breed of freenewspaper entrepreneurs who took on the establishedregional press in the 1970s. His high point waslaunching Europe’s first free daily, the BirminghamDaily News. At one point he was involved in a consortium which attempted to buy the BirminghamPost and Mail. His current titles include the LeamingtonObserver, Coventry Observer and the BromsgroveStandard.

On August 3, 2009, Dawson Holdings Plc sold assetsfrom its collapsed newspaper and magazine distributionbusiness to its rivals. Smiths News Plc said it had spentGBP1.5 million (USD2.5 million) on Dawson assets,while John Menzies paid GBP0.5 million. The twocompanies have won a string of newspaper distributioncontracts from Dawson in recent months, triggering thedemise of Dawson’s news operations. The contracts,which were due to be phased in, will instead begin withimmediate effect, they said. In a separate statement,Dawson said the two subsidiaries which comprised itsnews distribution business, Surridge Dawson Ltd andSolent SD Ltd, had been placed into administration.Proceeds from the disposals of the assets would go to paythe creditors of Surridge and Solent, Dawson said.

On December 17, 2009, Guardian Media Groupconfirmed that it has held “exploratory talks” aboutselling the Manchester Evening News and its otherregional newspapers. The company said that talks wereat a “very early stage” but declined to say whichcompanies it had spoken to.

On February 9, 2010, it was reported The GuardianMedia Group (GMG) sold its regional media business toTrinity Mirror in a GBP44.8 million deal. Of the price,GBP7.4 million comes in cash and Trinity Mirror is

releasing GMG from a GBP37.4 million print contract. The deal is due to be completed by March 28,2010.

On February 25, 2010, Independent News & Mediaand Alexander Lebedev indicated they were in the finalstages of closing the deal for the Russian billionaire tobuy the Independent titles by lodging a submission withthe Office of Fair Trading (OFT). The submission waslodged one day before the period of exclusive talks wasdue to end on. The deadline had already been extendedonce from February 15, 2010. Their submission calls forcomments about the deal from interested parties to besubmitted to the OFT by March 11, 2010. The OFThas until April 26, 2010, to issue a ruling on the deal. A week earlier, members of the National Union ofJournalists at the two newspapers agreed to acceptreduced redundancy terms of two weeks’ pay for everyyear of service, after managing director Simon Kelnertold them existing redundancy terms were a stickingpoint for the deal.

In early February 2010, it was reported AlexanderLebedev was attempting to bring a wealthy Egyptianpartner into his proposed takeover of the Independentnewspapers. Sources close to the deal said the owner ofthe London Evening Standard was trying to persuade theSawiris family to join him in his latest UK mediaventure. Lebedev, a former KGB spy, told associates thathe expects Egyptian billionaire Samih Sawiris to invest inthe Independent and Independent on Sunday. The menare already partners in a chateau development inSwitzerland, it is understood.

The negotiations with Samih Sawiris, the chairman andchief executive of Orascom Development Holding SAand one of three sons of Onsi Sawiris, who founded theOrascom group of companies in the 1950s, comedespite Lebedev being quoted a week earlier saying hewould “absolutely” fund his proposed IndependentNews & Media buyout from his own pocket.

The Sawiris family, whose fortune was valued at morethan USD20 billionn before the recession, are mainlyinvolved in property, tourism and telecommunications.They have a reputation for operating successfully intough foreign markets and in recent years have branchedout from the Middle East to expand in the west and tobreak into North Korea. The family has newspaper andtelevision interests in Egypt with Naguib Sawiris, whoheads the family’s telecoms interests, owning a stake inEgypt’s popular daily al-Masry al-Youm.

In February 2010, Educational and financialinformation publisher Pearson bought Medley GlobalAdvisors, a company that provides macro intelligence tothe world’s leading investment banks, hedge funds andasset managers. The Financial Times (FT) owner said theacquisition strengthens the FT’s position as a global


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leader in premium financial information. The pricebeing paid by Pearson was not divulged, but thestatement did say that Medley Global Advisors (MGA)had gross assets of USD7.3 million at the end of 2009.The firm has its headquarters in New York and hasoffices in Washington DC, London, Frankfurt, Beijingand Tokyo.

The announcement of Trinity Mirror’s purchase ofGMG Regional Media for GBP44.8 million in February2010 was widely interpreted as a sign of confidence inthe local media industry and the printed newspaper.

CROSS-MEDIA OWNERSHIP

The Office of Fair Trading (OFT) launched a reviewinto local and regional media ownership rules inFebruary 2009, heeding communications minister LordCarter’s call to do so. Under current ownership rules,there must be at least three separately owned commercialmedia providers across TV, radio and newspapers, inaddition to the BBC, in a given local area. The OFTplans to complete its review by mid-April 2009 andsubmit its findings to the Government ahead of thepublication of Lord Carter’s final Digital Britain report,due in early summer.

In March 2009 the Conservative Party said it wants tochange the “bureaucratic rules” governing localnewspaper ownership. Party leader David Cameron andShadow Culture Secretary Jeremy Hunt launched theplans on March 26, 2009, in a bid to help strugglingnewspapers in the recession. Proposals will reduceregulations around the ownership of local newspapersand allow them to consolidate with each other andacross platforms into online, TV and radio, the partysays. The plans have been welcomed by Trinity Mirrorwhich said, but the National Union of Journalists has hitout, saying the Tory proposal will do nothing to solvethe problems facing quality journalism.

In April 2009, the National Union of Journalists (NUJ)warned that the UK’s regional press would go into a “spiral of decline” if the government scraps rulesrestricting mergers among the large newspaper groups.This warning comes in the NUJ’s submission to an OFTreview into media ownership, in which the union arguesthat easing existing rules preventing local mediaconsolidation would be a “disaster for local journalism”.The union called on the OFT and the CompetitionCommission to ensure any future sanctioned takeoverscarried a series of enforceable conditions, including“commitments to invest in news-gathering, with a specified proportion of profits going into editorialresources and requirements over staffing ratios”. TheNUJ said there was an anger among journalists on howlocal newspapers were being run that was “similar to thatof the population at large about the banks”. The unionadded that regulation should encourage the

development of new companies that would “enhancecompetition in the sector” through buying up existingtitles and new launches.

In May 2009, a group of Scottish media executives madea plea to MPs for the relaxation of newspaper mergerrules. Senior managers of management of the Heraldand Times, Glasgow, The Scotsman Publications Ltdand Trinity Mirror Scotland appeared before theCommons’ Scottish Affairs Committee on May 6, 2009.The MPs, who were midway through an investigationinto the crisis in the Scottish newspaper industry, werewarned that the survival of many Scottish titles was indoubt. However, MPs gave the newspaper executives a rough ride over the mergers of daily and Sunday staffand the resulting job cuts.

In mid-May 2009, the OFT delayed a report aboutcross-media ownership rules despite having promised itwould be ready by mid-April 2009. Originally notimetable was put on the review, but this led to a stingingattack by Trinity Mirror chief executive Sly Baileyaccusing the Government of showing a lack of urgency.The OFT then moved to address the criticisms bymaking clear that the review would be completed bymid-April. The Newspaper Society was then told thatthe OFT report was delayed until June 2009 to coincidewith the publication of the final Digital Britain report.

On June 16, 2009, the OFT decided against a majorreform of the rules governing local media mergers. Theregulator said in a statement to coincide with the DigitalBritain report that only “modest changes” were needed –despite intense lobbying from newspaper groups. TheOFT was asked by communications minister StephenCarter to look at the case for relaxing the regime to allowfor further consolidation in the regional press. Itconcluded that the current system was “robust andflexible” and no legislative change was necessary. But itsaid Ofcom would be given a bigger role in decidingwhether future mergers should go ahead by carrying outa “local media assessment” in each case. The NationalUnion of Journalists said in a statement: “The NUJ hasconsistently argued that ownership rules are still hugely important so we’re very pleased pressures frommedia owners for them to be weakened have beenresisted.”

The OFT said it is up to regional newspaper publishersto test the water for merger proposals. However, theOFT announced only minor changes to the 2003legislation to give Ofcom a more extensive role indeciding if mergers should go ahead. In addition, theOFT will be able to offer companies advice regardingmergers, as long as the merger is in the very early stagesand not yet public knowledge. It was widely reportedthat publishers were disappointed with the outcome ofthe report, having lobbied for more leniency innewspaper mergers due to increased competition from


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other media, specifically the challenge from the Internet. OFT said the term ‘merger’ could beapplied to both small-scale moves, such as thecombining of two publications, as well as moresignificant events, such as the merging of two publishers.Trinity Mirror chief executive Sly Bailey appeared toendorse the OFT’s position, stating that Ofcom’s reviewof proposed mergers “could be a clever answer to a difficult problem”.

On June 16, 2009, after months of campaigning, theNational Union of Journalists (NUJ) welcomed a decision by the OFT to resist calls by big regional presscompanies for weaker media ownership rules. In a reportreleased to coincide with publication of thegovernment’s Digital Britain strategy, the OFT said thatit does not believe its rules surrounding mediaownership should be revised. The big regional presscompanies had been clamouring for reform but the NUJargued that the rules are still valid. The union believesthat the impact of mergers on newsgathering should beconsidered before they are permitted, a policy proposedlast year by the House of Lords Select Committee onCommunications.

Speakers at the June 2009 Media Finance conferencedismissed the idea that a relaxation of competition rulesfor regional newspapers, implied in the OFT report,would lead to significant consolidation in the sector.

On July 31, 2009, Ofcom, the broadcasting regulator,released its recommendations to the government on thefuture of local media ownership and took theunexpected step of suggesting that the rules governingradio ownership should be scrapped. The regulator saideconomic conditions facing radio stations in particularwere so acute that help was needed and has published itsrecommendations for public consultation. Under thecurrent system, strict rules cover cross-media ownership.If a company owns a newspaper, radio or Channel 3television licence and has a market share above a certainlevel, it cannot own another form of media. The mainchanges in ownership would see a single companyallowed to own all the stations in a specific area andscrap the rules that ban local newspapers with half ormore share of a local market owning a radio station nora Channel 3 licence in the same area. Analysts agreedthat the change in rules would not make muchdifference to severely damaged regional newspapergroups.

Media / Press Laws The law provides for freedom of speech and of the press, and the government generally respected theserights in practice. An independent press, an effectivejudiciary, and a functioning democratic political system combined to ensure freedom of speech and of thepress.

Judges can issue media suppression orders to prevent thepublication of information about trial proceedings orother topics. In March 2009, Barclays bank obtained a media suppression order that forced a newspaper toremove from its Web site leaked documents regardingalleged tax-avoidance schemes and prevented othernewspapers from reporting Web sites where thosedocuments could be found. In September a law firmrepresenting a company accused of dumping toxic wastein Ivory Coast procured a “super-injunction” preventingthe Guardian newspaper from reporting onparliamentary proceedings about the case and fromreporting that the suppression order had been issued.The Guardian challenged the ruling, and the law firmagreed to allow the newspaper to report on theparliamentary proceedings.

In May 2009, a court ruled that Simon Singh hadcommitted libel in an article in which he criticized theBritish Chiropractic Association (BCA). The court ruledthat what Singh saw as a scientific criticism was in fact a charge about the BCA’s intentions, and therefore could be treated as libel. Also during the year, a U.S.company sued Briton Peter Wilmshurst for libel basedon his criticisms of a medical device the companyproduces. Several British free-speech NGOs launched a public campaign to revise libel law in England andWales.

BLOGGERS’ IDENTITY

On June 16, 2009, the High Court ruled thousands ofbloggers who operate behind the cloak of anonymityhave no right to keep their identities secret. In a landmark decision, Mr Justice Eady refused to grant anorder to protect the anonymity of a police officer whowas the author of the NightJack blog. The officer,Richard Horton, 45, a detective constable withLancashire Constabulary, had sought an injunction tostop The Times from revealing his name. In the first casedealing with the privacy of Internet bloggers, the judgeruled that Mr Horton had no “reasonable expectation”to anonymity because “blogging is essentially a publicrather than a private activity”.

PROTECTION OF SOURCES

On December 15, 2009, five media companies won a ruling at the European Court of Human Rights(ECHR) recognising the right of journalists to protectanonymous sources. Four British daily newspapers, theFinancial Times (FT), the Independent, the Guardianand the Times, and Reuters news agency appealed to theECHR after British courts ordered them to hand overdocuments to Belgian brewing firm Interbrew. Thedocuments would have allowed Interbrew to identify thesource of a leak to the press about a planned takeover bidfor South African Breweries (SAB). The judges ruledunanimously that the order to hand over the documents


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amounted to a violation of the media companies’ rightto freedom of expression, under article 10 of theEuropean Convention on Human Rights.

On November 27, 2001, an FT journalist received a copy of a leaked document from an anonymous sourceconcerning Interbrew’s possible takeover move for SAB,and published an article about the bid on thenewspaper’s website that evening. The Times, theGuardian, the Independent and Reuters all publishedstories referring to the same document in the followingdays, prompting a sudden rise in the number of SABshares traded from two million to 44 million in twodays. Interbrew brought proceedings at the High Courtin London as it sought to identify the source of the leak.In December 2001 the High Court ruled in favour ofInterbrew and ordered the documents to be handed over,judging the protection of the source to be less importantthan the company’s right to seek justice against thesource. This decision was upheld on appeal by anotherBritish court, but the Strasbourg judges found againstthe British authorities and awarded EUR160,000(USD234,000) in costs, though they did not awarddamages.

On March 10, 2009, the European Court of HumanRights (ECHR) rejected arguments in favour of a “single publication rule”, prevalent in the US, wheredefendants can only be sued once for publishing a defamatory statement. The case was brought by theTimes newspaper after an alleged Russian mafia boss suedthe newspaper for a second time for libel over Internetarticles. He had previously sued the Times for the samearticles printed in the newspaper. The Times argued thatthe “Internet publication rule” under English lawbreached the right to freedom of expression. The Internetpublication rule allows for a libel action each timesomeone accesses archived material on the Internet.

The court declined to set a clear time period after whicharchived articles would stop giving rise to libel claims. “It is not necessary for the court to consider in detail thebroader chilling effect allegedly created by the application of the Internet publication rule in thepresent case,” the court said. The case was brought bythe Times after it was sued by an alleged Russian mafiaboss whose name was published together with claims hehad run a massive money-laundering scheme. TheRussian, known in court as GL, brought proceedings forlibel for two printed articles published in the Times.However, when the articles remained on the newspaper’swebsite, he brought a second libel action for continuingInternet publication. The ECHR rejected the argumentthat there was anything wrong with the English law,citing: “the duty of the press to act in accordance withthe principles of responsible journalism by ensuring theaccuracy of historical, rather than perishable,information”. The court was also critical of the fact thearticle had remained on the Times website for one year

without a notice informing readers of its potentiallydefamatory nature.

In October 2009, a High Court judgement clarified forthe first time that newspaper websites hosting user-generated content are, subject to certain conditions,protected from liability. The ruling suggests thatpublishers cannot be held responsible for potentiallylibellous material posted by website users so long as it isremoved as soon as possible.

The ruling arose from a case brought against Newsquestby a solicitor, Imran Karim, who was struck off the LawSociety roll last year after being found guilty ofdishonesty. He appealed against the Society’s decision toan employment tribunal, but this was rejected. MrKarim had sued Newsquest for defamation over a storyrecording the tribunal’s decision which was carried oncertain Newsquest websites under the headline“Crooked solicitor spent client money on a Rolex, loosewomen and drink”. His case was thrown out after thecourt found that the story was publishedcontemporaneously, was a substantially fair and accurateaccount of the tribunal proceedings and thereforequalified for absolute privilege in law. The web story hadalso attracted a range of comments from readers usingNewsquest’s readers’ comments facility to post theirviews online, some, though not all of them, critical ofMr Karim. As soon as Newsquest received the legal claimfrom Mr Karim, the readers’ comments were removedfrom the websites concerned. Justice Eady concludedthat Newsquest websites were acting as hosts of thereader comments for the purposes of Regulation 19 ofthe Electronic Commerce (EC Directive) Regulations2002 and therefore would not be liable for any damageseven if the material was unlawful.

In November 2009, publishers, human rights groupsand campaigners expressed “substantial and increasingconcern” because comments that would be protectedunder the freedom of speech in the US constitution areactionable in London courts once published in the UK,no matter how small the readership. A memorandumsubmitted to a Commons select committee, ahead of a meeting with US publishers, states: “Leading USnewspapers are actively considering abandoning thesupply of the 200-odd copies they make available for salein London, mainly to Americans who want full details oftheir local news and sport. They do not make profits outof these minimal and casual sales and they can no longerrisk losing millions of dollars in a libel action which theywould never face under US law. Does the UK really wantto be seen as the only country in Europe, indeed in theworld, where important US newspapers cannot beobtained in print form?” The submission was made onbehalf of a number of US media outlets, including theLos Angeles Times, the New York Times and MacMillan(US), as well as Human Rights Watch, Global WitnessUS and Greenpeace International.


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LIBEL TOURISM

Anyone anywhere in the world who can prove thatsomeone in England has bought, read or downloadedpotentially defamatory material about them can start a court case. Merely initiating a defence generally coststhe author or publisher at least GBP50,000(USD84,000). If the case ever comes to court, the costsare much higher. In 2007 Rinat Akhmetov, a Ukrainiantycoon, went to a London court to sue a Ukraine-basedwebsite about an article published only in Ukrainian,though read in Britain, and won. The libel law requiresthe defendant to prove that what he said is true, fair orlegally privileged; and it does not offer the strong free-speech defence.

Embarrassed by London’s reputation as “a town calledsue” and by unusually stinging criticisms in Americancourts and legislatures, British lawmakers are seriouslyconsidering rewriting England’s 19th-century libel laws.As of December 2009, a member of the House of Lordsis preparing a bill that would, among other things,require foreigners to demonstrate that they have sufferedactual harm in England before they can sue here.

In England (Scotland has its own system), the burden ofproof rests on the defendant, whose statements arepresumed false and who has to establish that they aretrue. It is not only news organizations that are runningafoul of the law. Environmentalists, anticorruptioncampaigners, medical researchers and soccer fans postingcriticisms of their teams on blogs have all been sued orthreatened with legal action in recent years. The justicesecretary, Jack Straw, said that he was alarmed about“libel tourism.”

A number of US jurisdictions, including New York, havepassed legislation making English libel rulings difficultto enforce in American courts. The catalyst for the NewYork law was the case of the American scholar RachelEhrenfeld, who was sued in the English courts by a Saudibillionaire, Khalid bin Mahfouz, after she accused himof channeling money to Al Qaeda in her book “FundingEvil.” The book sold just 23 copies in England, but thatwas deemed sufficient to allow Mr. Mahfouz to bring hiscase here. Ms. Ehrenfeld, who refused to participate inthe case or submit to the court’s jurisdiction, was orderedin a default judgment to pay him more thanUSD225,000.

On December 27, 2009, Jack Straw, the justice secretary,announced that an assembled panel of lawyers,academics and newspaper editors will meet to ponderimprovements, with a plan for reform due by March2010.

A separate government inquiry is looking into thequestion of costs associated with UK libel laws, and willalso report in 2010.

On January 19, 2010, the government put forward plansto bring down the cost of libel actions that result inlawyers who sue the media seeing their fees cut by 90%.Under the current system, lawyers can claim in “successfees” what their clients have been awarded in damages.But under proposals from the justice secretary, JackStraw, they will only be able to seek 10% of this amount.Ministers see this as one way of stopping the cost ofdefending a libel action spiralling out of control. Straw,who said there was “growing concern” about the cost oflibel cases, announced the proposals less than a weekafter a report from a court of appeal judge, Sir RupertJackson, on the cost of all civil court proceedings. His557-page report described the civil costs as“disproportionate and excessive”, singling out media lawas one of the areas where costs were highest. The consultation paper followed several measures to cutthe cost of libel defence that were announced in 2009,including a requirement that media organisations arenotified of after-the-event insurance, taken out to coverthe cost of a case once it has begun, which can increase the loser’s bill by a further 100%. But the plansdo not go as far as appeal judge Sir Rupert Jackson’s report, which suggested the abolition of suchinsurance in media cases – prompting calls for thegovernment to continue with wider reforms. Medialawyers said they welcomed the announcement, butcalled for the wider reforms set out by Jackson to beimplemented.

English and Welsh courts, where the burden of proof isborne by the accused rather than the complainant, havebecome the jurisdiction of choice for oligarchs andmafiosi. Saudi billionaires and even totalitariangovernments regularly take advantage of UK laws thatsay that a journalist is guilty until proven innocent,according to a report by an editor with the Center forInvestigative Reporting in Bosnia-Herzegovina (CIN),Drew Sullivan. The report, published in January 2010by the US-based Center for International MediaAssistance, says that while the problem of “libel tourism”is an old one, in recent years as daily newspapers, whichto a greater or lesser extent had the funds to stand up fortheir reporters in court, have abandoned investigativereporting, the baton has been taken up by smaller, non-profit web-publishing outfits that are in a much moreprecarious situation.

Copyright On June 15, 2009, Guardian Media Group’s chiefexecutive, Carolyn McCall, told a parliamentarycommittee that UK competition laws must be addressedto allow newspaper publishers to jointly discuss thethreat of aggregators to their online revenues. CarolynMcCall told the House of Commons select committeethat online aggregators of news are taking revenues, butnot readers, from local media websites - yet publisherscannot take action as a group. As a result of current law,“We as publishers cannot sit in a room together and talk


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about the issue of aggregators,” McCall said. McCall saidthe committee should look at aggregators’ relationshipswith local news providers as one part of a range of newbusiness models for local media in the UK.

The Newspaper Licensing Agency (NLA) extended itslicensing remit to cover newspaper websites from 2010.The extended licensing remit will cover local andnational newspapers’ web content. The NLA is alsolaunching a business-to-business clippings database fornewspaper websites which will launch in January 2010.The new service, called eClips web, will offer a feed ofnewspapers’ online content direct to cuttings aggregatorsand press cuttings agencies. From September 2009, webaggregators that charge clients for their services willrequire a NLA licence and be charged from January2010. The press cuttings agencies that either ‘scrape’content themselves or buy in services from aggregatorswill also be licensed and charged. Client companies thatreceive and forward links from these commercialaggregators within their organisation will also require a licence.

In June 2009, the NLA announced it is to beginregulating its customers’ use of hyperlinks to newspaperarticles on the web. The agency, which controlsreproduction of newspaper clippings by newsmonitoring services and public relations agencies, willintroduce an extension to its licences later in 2009. TheNLA will be introducing a new form of licence fromSeptember 1, 2009, to regulate “web aggregator services(such as Meltwater) that forward links to newspaperwebsites and for press cuttings agencies undertaking thistype of activity”. From January 2010, the licence chargeswill also apply to PR practitioners and “otherorganisations forwarding links to newspaper websites aspart of their commercial activity”. NLA managingdirector David Pugh said the licence was intended toapply only to organisations circulating hyperlinks tonewspaper articles commercially as part of a businessmodel. There is no attempt to regulate use of hyperlinksthat are not part of a chargeable service, such as byprivate individuals or in the results of queries by Internetsearch engines such as Google News. NLA managingdirector David Pugh said licensing will also apply torecipients of paid media monitoring services, as is thecase with existing NLA licences.

The NLA licence scheme aims to control thedistribution of photocopies or electronic scans of printarticles to protect the copyright entitlement of memberpublications. There are different levels of the licence,according to the number of employees within anorganisation, the number of users, the range of memberpublications used, and the number of newspapercuttings circulated. Fees charged by the NLA range from the low hundreds of pounds for smallcompanies to more than GBP50,000 for the biggestcompanies.

In November 2009, UK business minister PeterMandelson announced that the UK intends to adoptlegislation almost identical to France’s controversialthree-strikes anti-Internet-piracy legislation. As inFrance, web surfers found to be downloading contentwithout permission of the copyright owner will first besent a warning email. But where across the EnglishChannel, internauts are then sent a letter in the post, inthe UK, they will have their bandwidth restricted. A third offence will then, in line with French legislation, result in Internet cut-off. The Office ofCommunications (Ofcom), the UK telecoms regulator,will be tasked with the downloading manhunt. MrMandelson, the former EU trade commissioner, intendsto place a bill before parliament in December 2009 andhopes that the British version of the French bill willcome online by April 2010. The first disconnectionswould likely take place fifteen months from then,towards the end of 2011.

In December 2009, online and print news clippingsservice Meltwater referred the NLA to the UK’sCopyright Tribunal over its new rules, which take effecton January 1, 2010, that would compel online newsmonitoring agencies to pay thousands of pounds forproviding links to newspaper stories. Meltwater said thatthe expanded NLA licence is a “link tax” and ischallenging the entire basis of the NLA’s position on weblicensing. The tribunal is an independent body whichexists to settle disputes surrounding licensing bodies. It may or may not decide to call a hearing, but a decisionis not expected for several months.

The NLA said it wants news monitoring companies and“content-scraping” aggregators to give it “circa 10percent” of their revenues for the privilege. At the NLA’sestimate, aggregators and PR monitors like Moreoverand Newsnow make a combined GBP10 million inannual revenue, meaning GBP1 million would bedistributed back to NLA’s 1,400 member newspapers.The suggestion came in an statement from NLAcommercial director Andrew Hughes, reacting tocriticism from four news aggregators that its new onlinecontent licensing regime is an attempt to “tax theInternet”. Hughes said the plan is not to charge forhyperlinks per se but to fairly redistribute some of the“the substantial revenues (aggregators) generate to thecontent owners”. The aggregators say the NLA has nolegal basis to impose these charges.

In December 2009, News aggregator NewsNow said itwould remove links to some newspaper websitesfollowing a dispute with the NLA. The website will nolonger include links to NLA member sites, which covers18 publishers, including the Guardian and DailyTelegraph, in its subscription service. NewsNow failed toreach an agreement with the NLA over plans tointroduce a licensing system for commercial services,such as aggregators or using links to newspaper websites.


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According to the statement from NewsNow’s managingdirector and chairman Struan Bartlett, the threat of legalaction against the service if it failed to sign up byDecember 10, 2009, forced the aggregator to remove thelinks as a precautionary measure. NewsNow confirmedthat its free services would not be affected by the changesto its paid-for service and links to NLA memberswebsites would not be removed from its free-to-accesssites.

Printing & Distribution In March 2009, Smiths News and John Menzies wonlucrative new contracts to supply the Mail group ofnewspapers and magazines such as Vogue across the UK,cementing their dominance of the news distributionmarket. The five-year contracts, awarded on March 24,2009, by Associated Newspapers and magazine groupComag, give John Menzies, an Edinburgh-baseddistribution company, almost full control of news andmagazine wholesaling in Scotland and parts of northernEngland from 2010. Meanwhile, Smiths, created fromthe break-up of WH Smith, has tightened itsstranglehold on the south and will soon deliverpublications to most supermarkets and corner shops inEngland and Wales. Smiths increased its share ofAssociated distribution in the new contract from 40 to57 per cent of the UK and from 40 to 55 per cent in theComag deal, while Menzies took the remainder.

In late May 2009, Dawson Holdings announced itwould remove itself from the news distribution workthat had been its core business for two centuries afterfinding itself squeezed in a savage round of contract winsby its two larger rivals. Peter Harris, chief executive, saidhe would step down from his position at the end of June2009, after the group lost a total of GBP463 million incontracts to Smiths News and the news division of JohnMenzies.

On June 19, 2009, newspaper and magazine distributorDawson Holdings Plc said News InternationalDistribution Ltd would stop using its services “almostimmediately”, adding to the spate of contract losses forthe company in the recent past. Dawson said the newswas disappointing, adding it had anticipated theturnover from the contract to be about GBP30 million(USD49.05 million) from July. The loss of the contractcomes on the heels of moves by other distributors likeMarketforce and Trinity Mirror saying they will not berenewing their contracts with Dawson. In early April2009, Dawson announced yet another contract losswhen Telegraph Media Group was expected to terminateits deal in autumn 2009. The contract had generatedGBP52 million in revenue in the previous financial year.Dawson also lost deals from Associated Newspapers andCOMAG, which were worth GBP139 million poundsin the previous financial year.

In late June 2009, Dawson Holdings revised terms withsuppliers, including Trinity Mirror and Daily Mail, toensure continued supply of newspapers and magazines asit exits the distribution business. Finance director HughCawley said Dawson had not yet agreed when its newsdistribution contracts would end, but that Dawson wasworking to ensure a smooth handover to successors.Dawson said in its statement it had held talks withparties interested in the business and assets of its newsdistribution operations, grouped under SurridgeDawson Ltd.

Dawson Holdings sold the assets of Dawson News forGBP2 million in a move that will preserve 1,800 jobs.The company put its retail distribution business,Dawson News, which is run by subsidiaries SurridgeDawson and Solent SD, into administration on August3, 2009, as the group looks to exit the newspaper andmagazine wholesale distribution business after a string ofmassive contract losses. Dawson faces the loss ofcontracts worth GBP528 million from publishersincluding Trinity Mirror, News International, TelegraphMedia Group and the Daily Mail’s publisher, AssociatedNewspapers. Rival distributors Smiths News and JohnMenzies, which have been snapping up Dawson’slucrative distribution contracts over the past fewmonths, have bought the assets from administrators fora total of GBP2 million. Smiths News has acquired mostof the assets of Surridge Dawson for GBP1.5 million.Smiths has taken responsibility for 20 of Dawson’sdepots and IT equipment in the regions across the UKwhere the business has picked up distribution contractsworth about GBP250 million a year in revenue. Smithssaid that about 1,800 of Dawson’s distribution and headoffice staff will transfer to its operation as a result. JohnMenzies has acquired the remainder of SurridgeDawson’s assets, including the temporary lease ofpremises, wholesale distribution assets and systemssupport, for GBP500,000.

The July 2009 issue of the newsletter CirculationBriefing reports that magazine newsstand sales in theUK are dropping at a rate of 8% a year. It is a pace worsethan newspapers’ -5.5%.

In September 2009, News International’s free deliveryservice for The Times and the Sunday Times expandedto include the Economist. The Economist is the latestpublication to be added to the scheme, under whichsubscribers to the Times and the Sunday Times withNews International’s free delivery service can “top up”their subscription with the purchase of otherpublications such as Grazia, the Radio Times or TheWeek. News International’s service now offers customersthe choice of one of eight weekly or daily publicationsfrom within and outside the company’s stable.Customers can amend their order until 20:00 the nightbefore delivery, and as there is no contract, may cancel atany time. News International also guarantees delivery


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before 07:00. The service is currently offered only toaddresses within the M25, as well as Woking andGuildford.

In November 2009, News International decided toremunerate all UK retailers of The Sun on the basis of a standard cover price of GBP0.30, rather than theprevious GBP0.35.

In January 2010, days after severing its bulks deal withOcado, Times Newspapers curtailed its free homedelivery service. The service won’t be abandoned, thoseinterested have to sign up for an entire year, previously itwas open ended. Either that or accept a GBP0.30 chargeper day (GBP2 a week) delivery fee.

State Support In March 2009, Business secretary Lord Mandelson hassaid that he does not believe in a Government bailout ofthe country’s beleaguered regional newspaper industrythrough subsidies. He said, however, that there may beother ways of aiding the industry through public sectoradvertising and relaxed cross-media ownership rules,which are currently under review.

In March 2009, the Society of Editors wrote to culturesecretary Andy Burnham detailing how the Governmentshould help the beleaguered local newspaper industry.The society asked Burnham to look at preventingcontent aggregators such as Google from profiting fromthird-party news content, without paying the companiesthat spent money generating it. It wants theGovernment to discourage the development of localgovernment websites, which it claims compete with localnewspapers, and is encouraging the Government toadvertise jobs in regional newspapers. The letter alsocalls on the Government to recognise that advertising inregional titles is in the public interest and asks it toremove the threat of relaxing obligations for publicbodies to advertise notices in local newspapers. Theletter is a response to Burnham’s call to the regionalnewspaper industry to provide him with a 10-pointplan, demonstrating how the Government could helpthe sector.

Commenting on the National Union of Journalists’(NUJ) economic stimulus plan for local media, whichthe union submitted to the culture minister in March2009, Bob Satchwell, the executive director of theSociety of Editors, said he did not see tax breaks, forexample for readers who buy local newspapers or tosubsidise local media with ‘public value’, as viable in theshort-term. Satchwell also proposals that could aid localmedia as part of the government’s still to be finalisedDigital Britain report were welcome, but may nothappen quickly enough to help the industry.

In June 2009 the chief executives of four regionalnewspaper publishers were invited to give evidence in

parliament next week on the state of the local media.Carolyn McCall from Guardian Media Group, SlyBailey from Trinity Mirror, new Johnston Press chiefexecutive John Fry and Christopher Thomson from DCThomson were invited to answer questions from theculture, media and sport select committee. This was thefirst in a series of a meetings that were to be held by thecommittee, chaired by Conservative MP JohnWhittingdale. The committee launched a wide-ranginginvestigation in March 2009 into the future of local andregional journalism, in response to the cutbacks and joblosses that have engulfed the media industry in recenttimes.

On June 9, 2009, the culture, media and sportssecretary, Ben Bradshaw, was handed an eight-point“rescue plan” for local journalism. Ben Bradshaw wasurged by the National Union of Journalists (NUJ) toprovide an economic stimulus package to the industry inthe wake of large-scale job losses. The NUJ says thereport should be designed to boost editorial investment,strengthen local journalism and provide the fundingneeded to get new local media models off the ground. Itsproposed package of measures includes:

* A levy introduced on commercial operators whobenefit from quality public service content – includinglocal news – but do not contribute to its production.

* Tax breaks for local media who meet clearly definedpublic purposes.

* Direct support to help establish new genuinely localmedia organisations.

* Strategic use of central and local governmentadvertising.

The Welsh Assembly earmarks GBP500,000 worth offinancial support to community radio stations over a five-year period. Welsh nationalists are calling for a similar initiative for new community newspaper start-ups in the wake of the crisis in the regional newspaperindustry. Assembly Member Plaid Cymru AM LeanneWood, who represents South Wales Central, raised thepossibility of funding with Welsh culture minister AlanFred Jones. Mr Jones replied that if there was a means ofassisting projects to set up community-based newspapershe would be “all in favour of it.” He said he was preparedto discuss a possible scheme with colleagues and wouldrespond to Ms Wood in due course.

COUNCIL NEWSPAPERS

In 2009 a Newspaper Society audit of 436 localauthorities throughout the country revealed that manyscores of free newspapers are being published by localauthorities.


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All the controversy surrounding council newspapers ledthe Office of Fair Trading to announce an investigationon the subject in March 2009 as part of its examinationof media competition laws.

In March 2009, the culture secretary Andy Burnhamsaid local councils had overstepped the mark byproducing publications that ape newspapers andthreaten the future of commercial publishers. However,Burnham ruled out any subsidy for the strugglingnewspaper industry. Companies such as Johnston Press,Trinity Mirror and Northcliffe Regional have seenadvertising revenues plunging by up to 59 per cent insome sectors.

In late June 2009, a political row erupted over councilnewspapers after a Conservatives-run council in Essexvoted to press ahead with plans to spend GBP100,000launching its own publication. A week earlier, thegovernment ordered an inquiry into council-runnewspapers by the local government watchdog, theAudit Commission. But the move, which came as part ofthe government’s Digital Britain report, did not deterConservative-controlled Thurrock Council from goingahead with its plans. The leader of the council’s Labourgroup, John Kent, labelled the plan “a huge waste ofpublic money” and claimed that if it went ahead, thelocal Thurrock Gazette and other local newspaperswould face closure.

In September 2009, the Newspaper Society, the bodyrepresenting regional publishers, asked the Office of FairTrading to examine the impact of council publicationson local newspapers after the Audit Commissiondeclined Lord Carter’s invitation to look at the issue.Lynne Anderson, NS communications director, wrote tothe OFT asking if it would take up Carter’s request tolook at how local newspapers were being adverselyaffected by the emergence of council-run publications.The body was spurred into action after the AuditCommission chosen to limit the scope of its own inquiryto just assess the value local authorities obtain from theiradvertising spend. As part of his final Digital Britainreport, then communications minister Lord Carterasked the Audit Commission to undertake a specificinquiry into the prevalence of council run newspapersand their impact on the regional and local press.However, the Audit Commission refused to widen thescope of its inquiry beyond assessing the effectiveness oflocal council advertising. In a letter to the NewspaperSociety in July 2009, Steve Bundred, chief executive ofthe Audit Commission, said its expertise did not lenditself to examining the ‘health of local newspapers orexamining the impact of specific local authority practiceson commercial bodies.’

On January 25, 2010, local newspaper groups suffered a blow to their hopes of curbing council-run freesheetsas the Audit Commission said local authorities were not

wasting or misusing money on the publications. Thewatchdog’s chief executive, Steve Bundred, said fewcouncils that publish the controversial newspapers werein a position to attract local advertising, one of the majorcomplaints made by media companies. Furthermore,Bundred did believe there were grounds to argue thatcouncils were using public money to further a politicalagenda, as some newspaper editors in areas with rivalcouncil publications have alleged.

Newspaper groups had been hoping that thecommission’s findings would trigger a regulatory processthat could lead to constraints being placed on councilspublishing freesheets, which they believe are providingunfair competition for readers and advertisers at a timewhen the local media is under unprecedented financialstrain. Sion Simon, the minister for creative industries, told MPs earlier in January 2010 that oncethe Audit Commission had set out its findings, “the nextstep will be to present that information to the Office ofFair Trading and ask it, perhaps with Ofcom, to consider the question of competition and thepotential impact on the paid-for newspaper market”. It is unclear whether the Audit Commission findingsgive much scope for such a referral. Both the OFT andOfcom have previously said they do not have a remit totackle the issue. The Audit Commission, whichmonitors spending by local authorities, was asked toinvestigate the effects of council-run publications onlocal newspapers by the former communicationsminister Lord Carter, author of the Digital Britainreport.

Audit Commission research showed that while 91% ofcouncils published a periodical, only 5% of these werepublished more than once a month. Some 47%contained private-sector advertising, while only 6%included recruitment advertising. The total spending bycouncils on public communication in 2008-09 wasGBP257m, one third of 1% of overall spend. This hadfallen both in absolute terms and as a proportion of allspending, the Audit Commission found.

On January 27, 2010, the director of the NewspaperSociety (NS), the body that represents local and regionalnewspapers across the UK, called on the government notto “turn a blind eye” and take immediate action oncouncil-run publications. Responding to AuditCommission findings that suggested local authoritieswere not wasting or misusing public money through the publication of newspapers, David Newell said someform of intervention was needed. The NS has asked the government for an urgent meeting to “ensure appropriate curbs are placed on those councilpublications which take private sector advertising indirect competition with independent regional and localnewspapers”. The Audit Commission explained in 2009that it was only able to look at part of the pictureregarding council publications and that it was not the


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correct body to examine the issue in full. The heads of the Office of Fair Trading and Ofcom then told a select committee hearing in late 2009 that their organisations were not the correct bodies to investigatethe matter.

In January 2010 London councils questioned TrinityMirror boss Sly Bailey’s attacks on their controversialnewspapers, pointing out that the company prints sevenof them. Of the nine council-run newspapers publishedon a weekly or fortnightly basis in London, six areprinted by Trinity Mirror at its Watford print plantunder a contract led by Tower Hamlets council. Theseare Tower Hamlets’ East End Life and another weeklytitle, Greenwich Time, along with the fortnightly titlesHackney Today, Waltham Forest News, Lambeth Lifeand Barking and Dagenham’s newspaper The News.Trinity Mirror also prints the monthly local council title,Redbridge Life, as part of the four-year deal, which wassigned in 2009 after an online auction believed toinvolve all the major regional press groups. Earlier inJanuary 2010 Bailey attacked councils for producing“mini Pravdas” and on January 25, 2010, branded anAudit Commission investigation that found little wrongwith them as “a complete waste of time”. But councilssuggested she was not acknowledging the financialbenefits to Trinity Mirror of printing the newspapers.Trinity Mirror said there was no contradiction betweenits role printing council-run titles and its criticism of their contents.

Another council newspaper, Hammersmith & Fulhamcouncil’s H&F News, is printed by Archant, the ownerof the East London Advertiser. Havering council’sfortnightly publication, Living, is printed locally in the borough by Newsfax International, whileMediaGuardian.co.uk was unable to confirm by time ofpublication who prints London’s other fortnightlypublication, the Newham Magazine.

Free council newspapers face more opposition after thegovernment indicated in January 2010 it could reportthem to the Office of Fair Trading (OFT) over theirnegative impact on regional newspapers. Minister forcreative industries Siôn Simon alluded that thegovernment may ask the OFT or Ofcom to “considerthe question of competition and the potential impact onthe paid-for newspaper”. However, Guardian newspaperguru and columnist Roy Greenslade pointed out in hisblog that the investigation was by no means guaranteedat this point, despite supporting the issue. He madereference to the Fulham and Hammersmith Chronicle,which has had to go free after its sales slipped to 1,250,not long after the local council began distributing its H&F news publication to 75,000 homes on a fortnightly basis.

Other Factors In March 2009, Daily Mail and General Trust mediagroup said it was going to cut 1,000 jobs in 2009, overtwice as many as previously forecast. The job reductions,the latest blow to the ailing media sector, will hit itsregional arm, although further cuts are planned “acrossall cost categories” at Associated Newspapers, said theowner of the Daily Mail and Mail. The 1,000 job cuts,over twice as many as forecast in November 2008, come as advertising revenues continue to collapse asadvertisements increasingly go online.

In September 2009, Daily Mail & General Trustannounced it was closing its final salary pension schemeto new members from October 2009, but insists itsretirement benefits remain “generous”. Citing forecastsof rising life expectancy and “other cost pressures”, theDaily Mail owner said the scheme, primarily foremployees in its newspaper businesses, would stay opento those already signed up.

Source: CIA – The World Factbook; US State Department; Newspaper Society; The Guardian; Press Gazette; NewMedia Age; Journalism.co.uk; AFP; BBC News; WAN-IFRA - Editors Weblog; Financial Times; The Independent;

Brand Republic; Net Imperative; Enders Analysis; Reuters; The Guardian; All Media Scotland; Media Week; The Wire;Paid Content; European Journalism Centre; Holdthefrontpage.co.uk; UK Department for Culture, Media and Sport;The Times; Malcolm Cole; comScore; Direct Traffic Media; CNET; The Telegraph; FDN Newsletter; The Economist;

EU Observer; Sharecast; National Union of Journalists (NUJ)


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15-24 7,935 16.1 4,081 17.0 3,854 15.325-34 7,662 15.6 3,835 16.0 3,827 15.235-44 8,856 18.0 4,390 18.3 4,466 17.745-54 7,962 16.2 3,932 16.4 4,030 16.055-64 7,089 14.4 3,477 14.5 3,612 14.365 + 9,702 19.7 4,235 17.7 5,467 21.6Total 49,206 100 23,949 100 25,257 100

Source: TGI/Kantar Media 2009




A+B 13,158 26.7 6,713 28.0 6,446 25.5C1 14,237 28.9 6,568 27.4 7,668 30.4C2 10,340 21.0 5,538 23.1 4,802 19.0D 7,512 15.3 3,572 14.9 3,940 15.6E 3,958 8.0 1,558 6.5 2,400 9.5Total 49,206 100 23,949 100 25,257 100









aged 0-4 3,566 13aged 5-9 3,158 12aged 10-15 3,952 15

Total 26,746 100



Age Housewives000 %

Under 25 1,403 7.225-34 3,080 15.735-44 3,866 19.745-54 3,480 17.755-64 3,082 15.765 + 4,707 24.0Total 19,618 100



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Change (%)2005 2006 2007 1 2008 2 2009 3 2009/05 2009/08

Total dailies 111 115 114 112 110 -0.90 -1.79Total paid-for dailies 106 106 106 105 104 -1.89 -0.95National paid-for dailies 12 4 12 4 12 4 12 4 12 4 0.00 0.00Regional and local 94 94 94 93 92 -2.13 -1.08paid-for dailiesMorning paid-for dailies, 19 5 - - - - - -Evening and afternoon 75 5 - - - - - -paid-for dailies 1,

Total free dailies 5 6 9 7 8 8 7 9 6 10 20.00 -14.29Regional and local free dailies 5 9 8 7 6 20.00 -14.29

Total non-dailies 1,176 1,180 1,165 1,145 1,109 -5.70 -3.14Total paid-for non-dailies 531 528 522 521 521 -1.88 0.00Regional and local 531 528 522 521 521 -1.88 0.00paid-for non-dailies

Total free non-dailies 645 652 643 624 588 -8.84 -5.77Regional and local 645 652 643 624 588 -8.84 -5.77free non-dailies

Total Sundays 34 31 30 28 29 -14.71 3.57Total paid-for Sundays 25 23 22 22 22 -12.00 0.00National paid-for Sundays 13 11 12 12 12 12 12 12 12 12 -8.33 0.00Regional and local 13 11 10 10 10 -23.08 0.00paid-for Sundays

Total free Sundays 9 8 8 6 7 -22.22 16.67Regional and local free Sundays 9 8 8 6 7 -22.22 16.67

Source: Newspaper Society Database; ABC; WAN-IFRA assessment (free dailies)

From 2006, dailies are not broken down into morning and evening titles anylonger, because some publishers have brought forward publishing times so theynow consider their titles to be dailies rather than evenings.1 Data as of January 2008 for regional newspapers2 Data as of January 2009 for regional newspapers3 Data as of January 2010 for regional newspapers4 Including Daily Mirror, Daily Star, The Sun, Daily Express, The Daily Mail,

The Daily Telegraph, Financial Times, The Guardian, The Independent, The Times, The Daily Sport, and Racing Post

5 Regional titles6 Including Metro as one title (7 editions)7 Including Metro as one title (11 editions) and Record PM Scotland as one title

(2 editions)8 Including Metro as one title (11 editions) and Record PM Scotland as one title



(2 editions)11 Including Daily Star Sunday, News of the World, Sunday Mirror, The People,

Sunday Sport, Sunday Express, The Mail on Sunday, Independent on Sunday, The Observer, Sunday Business, The Sunday Telegraph, The Sunday Times, and The Non-League Paper

12 Including Daily Star Sunday, News of the World, Sunday Mirror, The People,Sunday Sport, Sunday Express, The Mail on Sunday, Independent on Sunday, The Observer, The Sunday Telegraph, The Sunday Times, and The Non-LeaguePaper

3.a Number of titles 3.b Total average circulation per issue

(000) Change (%)2005 2006 1 2007 2 2008 3 2009 4 2009/05 2009/08

Total dailies 17,747 17,948 17,905 17,456 16,355 -7.84 -6.31Total paid-for dailies 16,650 16,211 15,552 15,062 14,009 -15.86 -6.99National paid-for dailies 11,820 5 11,479 5 11,198 5 10,920 6 10,430 7 -11.76 -4.49Regional and local 4,830 4,732 4,354 4,142 3,579 -25.90 -13.59paid-for dailiesMorning paid-for dailies 1,340 8 - - - - - -Evening and afternoon 3,490 8 - - - - - -paid-for dailies

Total free dailies 1,097 1,737 2,353 2,394 2,346 113.86 -2.01Regional and local free dailies 1,097 1,737 2,353 2,394 2,346 113.86 -2.01

Total non-dailies 30,910 29,450 28,084 27,100 21,346 -30.94 -21.23Total paid-for non-dailies 6,180 5,888 5,758 5,672 5,189 -16.04 -8.52Regional and local 6,180 5,888 5,758 5,672 5,189 -16.04 -8.52paid-for non-dailies

Total free non-dailies 24,730 23,562 22,326 21,428 16,157 -34.67 -24.60Regional and local 24,730 23,562 22,326 21,428 16,157 -34.67 -24.60free non-dailies

Total Sundays 14,753 13,960 13,170 12,370 11,998 -18.67 -3.01Total paid-for Sundays 14,363 13,528 12,868 12,183 11,465 -20.18 -5.89National paid-for Sundays 12,853 9 12,116 10 11,535 11 10,92912 10,212 13 -20.55 -6.56Regional and local 1,510 1,412 1,333 1,254 1,253 -17.02 -0.08paid-for Sundays

Total free Sundays 390 432 302 187 533 36.67 185.03Regional and local 390 432 302 187 533 36.67 185.03free Sundays

Source: 2005-2007 Newspaper Society Database, ABC/VFD; WAN-IFRA assessment(free dailies); 2008 Newspaper Society database; ABC; WAN assessment (freedailies) based on ABC data as of December 19, 2008; 2009 Newspaper Societydatabase; ABC; WAN-IFRA assessment (free dailies) based on ABC data as of Dec2009, except Record PM Scotland which is Jan-June 2009

From 2006, dailies are not broken down into morning and evening titles anylonger, because some publishers have brought forward publishing times so theynow consider their titles to be dailies rather than evenings1 Data as of January 2007 for regional newspapers2 Jul-Dec 2007 for regional newspapers3 Data as of January 2009 for regional newspapers4 Data as of January 2010 for regional newspapers5 Jan-Dec 2005; including Daily Mirror, Daily Star, The Sun, Daily Express, The Daily

Mail, The Daily Telegraph, Financial Times, The Guardian, The Independent, The Times, and Racing Post

6 Jan-Dec 2008; including Daily Mirror, Daily Star, The Sun, Daily Express, The DailyMail, The Daily Telegraph, Financial Times, The Guardian, The Independent, The Times, The Daily Sport, and Racing Post

7 Jan-Dec 2009; including Daily Mirror, Daily Star, The Sun, Daily Express, The DailyMail, The Daily Telegraph, Financial Times, The Guardian, The Independent, The Times, and Racing Sport (Daily Sport was not audited by ABC in 2009)

8 Regional titles9 Jan-Dec 2005; including Daily Star Sunday, News of the World, Sunday Mirror,

The People, Sunday Sport, Sunday Express, The Mail on Sunday, Independent on Sunday, The Observer, Sunday Business, The Sunday Telegraph, and The Sunday Times

10 Jan-Dec 2006; including Daily Star Sunday, News of the World, Sunday Mirror,The People, Sunday Sport, Sunday Express, The Mail on Sunday, Independent on Sunday, The Observer, The Sunday Telegraph, and The Sunday Times

11 Jan-Dec 2007; Jan-Dec 2006; including Daily Star Sunday, News of the World,Sunday Mirror, The People, Sunday Sport, Sunday Express, The Mail on Sunday,Independent on Sunday, The Observer, The Sunday Telegraph, and The SundayTimes

12 Jan-Dec 2008; including Daily Star Sunday, News of the World, Sunday Mirror,The People, Sunday Sport, Sunday Express, The Mail on Sunday, Independent on Sunday, The Observer, The Sunday Telegraph, and The Sunday Times

13 Jan-Dec 2009; including Daily Star Sunday, News of the World, Sunday Mirror,The People, Sunday Express, The Mail on Sunday, Independent on Sunday, The Observer, The Sunday Telegraph, and The Sunday Times (Sunday Sport was not audited by ABC in 2009)


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(mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total dailies 5,459 5,386 5,198 5,283 5,104 -6.50 -3.39Total paid-for dailies 5,215 5,134 4,867 4,674 4,490 -13.90 -3.94National paid-for dailies 3,793 3,783 3,574 3,479 3,360 -11.42 -3.42Regional and local 1,422 1,351 1,293 1,195 1,130 -20.53 -5.44paid-for dailies


Total non-dailies 1,601 1,593 1,535 1,468 1,409 -11.99 -4.02Total paid-for non-dailies 334 319 304 298 289 -13.47 -3.02

Regional and local 334 319 304 298 289 -13.47 -3.02paid-for non-dailies

Total free non-dailies 1,267 1,274 1,231 1,171 1,120 -11.60 -4.36Regional and local 1,267 1,274 1,231 1,171 1,120 -11.60 -4.36free non-dailies 1

Total paid-for Sundays 746 719 678 643 609 -18.36 -5.29National paid-for Sundays 667 643 606 577 546 -18.14 -5.37Regional and local 79 76 72 67 63 -20.25 -5.97paid-for Sundays

Source: Advertising Association Yearbook1 Including regional and local free non-dailies and regional and local free Sundays


(British pound, mln) Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total paid-for dailies 2,159.8 2,193.2 2,323.0 2,269.1 2,291.0 6.07 0.97National paid-for dailies 1,637.6 1,651.9 1,746.6 1,771.0 1,802.0 10.04 1.75Regional and local 522.2 541.3 513.0 498.1 480.0 -6.36 -1.83paid-for dailies

Total paid-for non-dailies 149.3 - - 169.0 236.8 58.61 40.12Regional and local 149.3 - - 169.0 236.8 58.61 40.12paid-for non-dailies

Total paid-for Sundays 713.7 753.3 753.1 771.3 777.0 8.87 0.74National paid-for Sundays 655.2 689.5 692.3 705.0 710.0 8.36 0.71Regional and local 58.5 63.8 60.8 65.3 67.0 14.53 2.60paid-for Sundays

Source: Advertising Association Yearbook 2005

Excluding VAT

4.b Sales revenues

(British pound)min max


Source: ABC


(%)Reached





group

16-24 15.8 31.725-34 16.3 33.835-44 16.4 29.345-54 16.5 32.955-64 14.8 33.065 + 20.2 33.1Total 100 -



(minutes per day)2005 2006 2007 2008 2009

National newspapers - - 40 - -Regional and local newspapers 1 30.2 30.0 31.0 24.0 25.0

Source: Newspaper Society Database; JICREG1 Any regional daily


Change (%)2004 2005 2006 2007 2008 2008/04 2008/07

Total 1 - - - 1,232 1,537 - 24.76

Source: Newspaper Society Annual Industry Survey1 Total regional press websites

6.a Online editions


Total dailies 1 - - - 24,232 36,859 - 52.11

Source: Newspaper Society Annual Industry Survey1 Total regional press websites



UNITED KINGDOM


Newspaper Publishing company Website Unique visitors per month 1

(000)

The Guardian Guardian Newspapers Ltd guardian.co.uk 36,981The Daily Telegraph Telegraph Group Ltd telegraph.co.uk 30,711Daily Mail Associated Press Ltd dailymail.co.uk 26,000The Sun News International Ltd thesun.co.uk 20,907The Times News International Ltd timesonline.co.uk 19,855Financial Times Financial Times Ltd ft.com 11,397 2

The Independent Independent Newspapers (UK) Ltd independent.co.uk 9,348 Daily Mirror Trinity Mirror Plc mirror.co.uk 6,400Metro Associated Newspapers Ltd metro.co.uk 2,839 3

London Evening Standard 4 Evening Standard Limited standard.co.uk 2,501 5

The Scotsman Johnston Press www.scotsman.com 1,680Belfast Telegraph Online Belfast Telegraph Newspapers belfasttelegraph.co.uk 1,180 6

Manchester Evening News M.E.N. Media 7 manchestereveningnews.co.uk 911 8

Daily Star Express Newspapers dailystar.co.uk 900Daily Record Trinity Mirror Plc dailyrecord.co.uk 840Daily Express Express Newspapers express.co.uk 690

Source: ABCe UK (unique visitors data of all websites, except for those from Google Ad Planner); Google Ad Planner, data as of March 2010 (unique visitors data of The Daily Mail, Daily Mirror, Daily Star, The Daily Record, and Daily Express);WAN-IFRA from public sources1 ABCe data as of December 2009, unless otherwise notified2 March 20093 September 20094 Former names: standard.co.uk (2008-2009), owned by Evening Standard Limited (2009) and Associated Newspapers Ltd

(Oct 2008-March 2009); This Is London (until 2003), owned by Associated Northcliffe Digital5 October 20096 October 20097 Media owner: Guardian Regional Media9 July-Dec 2009


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08




(British pound, bln)2004 2005 2006 2007 2008

GDP 1,201 1,253 1,322 1,401 1,443


(British pound, 000)2004 2005 2006 2007 2008

GDP per capita 20.0 20.8 21.8 23.0 23.6



(%)2005 2006 2007 2008 2009 2010 2011 2012

Ad expenditure 0.94 0.90 0.91 0.85 0.76 0.73 0.71 0.69



(British pound, mln)2005 2006 2007 2008 2009 2010 2011 2012

Press 5,778 5,547 5,472 4,847 3,749 3,635 3,603 3,572Newspapers 4,170 3,992 3,978 3,500 2,728 2,640 2,603 2,567Magazines 1,608 1,555 1,494 1,346 1,021 995 1,000 1,005

Television 3,455 3,282 3,380 3,211 2,858 2,772 2,800 2,884Radio 443 458 466 433 390 366 344 362Cinema 158 158 173 173 157 156 162 167Outdoor 762 792 829 798 675 676 689 723Internet 1,162 1,714 2,391 2,848 2,854 2,865 2,985 3,054Total 11,758 11,951 12,711 12,310 10,682 10,471 10,583 10,761

Source: Advertising Association; IAB; ZenithOptimedia

Excludes 15% agency commission (10% agency commission for consumer magazine classified); excludes production costs; includes classified advertising;after discounts; magazines excludes directories; radio and TV sponsorship notincluded; Internet includes display advertising, classified advertising, paid-searchlistings, affiliate deals and partnerships/tenancies



UNITED KINGDOM


Total paid-for dailies 2,455.0 2,369.0 2,374.0 2,126.6 1,757.1 -28.43 -17.38National paid-for dailies 1,256.0 1,269.0 1,302.0 1,233.1 1,106.5 -11.90 -10.27Regional and local 1,199.0 1,100.0 1,073.0 893.0 650.6 -45.74 -27.14paid-for dailies 1

Total non-dailies 1,794.0 1,683.0 1,674.4 1,419.8 1,057.7 -41.04 -25.50Total paid-for non-dailies 616.0 586.0 589.9 481.4 351.5 -42.94 -26.98Regional and local 616.0 586.0 589.9 481.4 351.5 -42.94 -26.98paid-for non-dailies 2

Total free non-dailies 1,178.0 1,097.0 1,084.5 938.4 706.2 -40.05 -24.74Regional and local 1,178.0 1,097.0 1,084.5 938.4 706.2 -40.05 -24.74free non-dailies 3

Total paid-for Sundays 365.0 350.0 343.0 307.2 243.6 -33.26 -20.70National paid-for Sundays 365.0 350.0 343.0 307.2 243.6 -33.26 -20.70

Source: 2005-2006 Advertising Association Yearbook; 2007-2009 AdvertisingAssociation – Warc Expenditure Report, www.warc.com/expenditurereport

National newspapers: including supplements; quality national newspapers:excluding supplements; classified recruitment figures exclude online advertisingpaid for separately to a print campaign, this is included in Internet advertisingexpenditure.1 Including regional and local paid-for and free dailies, and regional and local

paid-for and free Sundays2 Regional and local paid-for weeklies3 Regional and local free weeklies



(%)2005 2006 2007 2008 2009


Source: 2005-2006 Advertising Association Yearbook; 2007-2009 WAN-IFRA calculation based on Advertising Association – Warc Expenditure Report,www.warc.com/expenditurereport

Total press, including supplements. Classified recruitment figures for national and regional newspapers exclude online advertising paid for separately to a print campaign, this is included in Internet advertising expenditure.

Advertising sector % of display ad expenditure

Retail 19.7Household Equipment 13.2Entertainment & Media 12.8Government, Social 6.7& Political Organisations

Travel & Transport 6.5Motors 6.0Telecoms 5.5Finance 5.4Business & Industrial 4.5Pharmaceutical 2.8

Source: NMR Jan-Dec 2009

Top advertising categories inregional newspapers (2009)

Advertising sector Expenditure (British pound, 000)

Household 126,000Vehicles 102,000Furniture/fittings 69,000Consumer telecoms 63,200Direct response 58,400Retail 50,400Savings 42,500Holidays/overseas travel 39,700Entertainment - broadcasting 38,100Airlines 36,600

Source: NMR via ZenithOptimedia

Top advertising categories innational newspapers (2008)

Advertiser 1

DFS Furniture PLCCOIAsda Stores LtdO2 LtdLidl UK GmbHMarks & SpencerOrange PlcArgus LtdT-Mobile NetworkSpecsavers Optical Group Ltd

Source: NMR Jan-Dec 20091 Top display advertisers

Top regional newspaperadvertisers (2009)

Advertiser Expenditure (British pound, 000)

Asda 40,600Tesco 39,200British Sky Broadcasting 31,500DFS Furniture 24,300Wm Morrison 23,600Argos 20,200COI 19,100Boots 18,300Currys Group 16,900BT 15,500

Source: NMR via ZenithOptimedia

Top national newspaperadvertisers (2008)

Publishing Total circulation 1

company (000)

Trinity Mirror plc 95,881.7Johnston Press plc 7,949.2Newsquest Media Group 7,148.5Northcliffe Media Ltd 6,609.6Associated Newspapers Ltd 3,672.8Archant 1,971.2Guardian Media Group 1,968.1D C Thomson & Co Ltd 1,730.0Midland News Association Ltd 1,723.4Tindle Newspapers 1,253.0

Source: NS database1 Data as of January 2010

Top regional publishingcompanies (2009)


UNITED KINGDOM



(year) (000) (000) (British pound)

The Sun 1964 English News International Ltd 2,863 7,872 Tabloid 40,159 50,975Daily Mail 1896 English Associated Newspapers Ltd 2,113 5,062 Tabloid 1 32,508 45,612Daily Mirror 1903 English Trinity Mirror plc 1,226 3,600 Tabloid 29,000 36,800Daily Star 1978 English Express Newspapers 785 1,427 Tabloid 17,388 23,426The Daily Telegraph 1855 English Telegraph Media Group Ltd 703 1,901 Broadsheet 46,000 59,000Daily Express 1900 English Express Newspapers 678 1,571 Compact 2 23,426 31,500The Times 1785 English News International Ltd 522 1,813 Compact/Broadsheet 3 16,645 27,195Financial Times 1888 English Financial Times Ltd 401 418 Broadsheet 40,400 56,300Daily Record 1895 English Trinity Mirror plc 353 1,160 Tabloid 9,980 12,974The Guardian 1821 English Guardian News and Media 301 1,240 Berliner 4 11,400 18,000The Independent 1986 English Independent Newspapers (UK) Ltd 187 688 Compact 5 - -Express & Star 6 1889 English Midland News Association Ltd 129 - Tabloid - -Liverpool Echo 1879 English Trinity Mirror plc 92 - Tabloid - -The Press & Journal 7 1748 English D. C. Thomson & Co Ltd 77 - Broadsheet - -

Source: ABC; NRS Jan 08-Jan 09 (readership); BRAD via ZenithOptimedia; ZenithOptimedia; Newspaper Society; Wikipedia1 Broadsheet until 19712 Broadsheet until 19773 Compact Monday–Saturday, broadsheet Sunday4 The Guardian switched to Berliner format on 12 September 2005.5 The Independent switched from broadsheet to compact format in May 2004.6 West Midlands7 Aberdeen

Top national paid-for dailies (2009)

Title Founded Language Publishing company Circulation 1 Readership Format Full page ad rateMono Colour

(year) (000) (000) (British pound)

The Sun 1964 English News International Ltd 2,863 7,872 Tabloid 40,159 50,975Daily Mail 1896 English Associated Newspapers Ltd 2,113 5,062 Tabloid 2 32,508 45,612Daily Mirror 1903 English Trinity Mirror plc 1,226 3,600 Tabloid 29,000 36,800Daily Star 1978 English Express Newspapers 785 1,427 Tabloid 17,388 23,426The Daily Telegraph 1855 English Telegraph Media Group Ltd 703 1,901 Broadsheet 46,000 59,000Daily Express 1900 English Express Newspapers 678 1,571 Compact 3 23,426 31,500The Times 1785 English News International Ltd 522 1,813 Compact/Broadsheet 4 16,645 27,195Financial Times 1888 English Financial Times Ltd 401 418 Broadsheet 40,400 56,300The Guardian 1821 English Guardian News and Media 301 1,240 Berliner 5 11,400 18,000The Independent 1986 English Independent Newspapers (UK) Ltd 187 688 Compact 8 - -Daily Sport 1991 English Sport Media Group 6 75 7 - Compact - -Racing Post 1986 English Centurycomm Limited 56 - Tabloid - -The Herald 1783 English Newsquest (Herald & Times) Ltd 56 231 Tabloid 11,500 14,950The Scotsman 1817 English Scotsman Publications Ltd 45 - Broadsheet 5,410 6,763

Source: ABC; Press Gazette (Daily Sport circulation); NRS Jan 08-Jan 09 (readership); BRAD via ZenithOptimedia; ZenithOptimedia; Wikipedia1 30 Nov 2009 – 3 Jan 20102 Broadsheet until 19713 Broadsheet until 19774 Compact Monday–Saturday, broadsheet Sunday5 The Guardian switched to Berliner format on 12 September 2005.6 The Sport Media Group titles pulled out of the ABC audit in February 2009 and the company revealed in April 2009 that the newspapers had been loss-making

for several months7 Circulation May 2009; publisher's claim8 The Independent switched from broadsheet to compact format in May 2004.


UNITED KINGDOM

Top regional paid-for dailies (2009)


Daily Record 1895 English Trinity Mirror plc 353 TabloidExpress & Star 1 1889 English Midland News Association Ltd 129 TabloidLiverpool Echo 1879 English Trinity Mirror plc 92 TabloidThe Press & Journal 2 1748 English D. C. Thomson & Co Ltd 77 BroadsheetThe Courier & Advertiser 3 1801 English D. C. Thomson & Co Ltd 68 BroadsheetShropshire Star 1964 4 English Midland News Association Ltd 66 TabloidThe Evening Chronicle 5 1885 English Trinity Mirror plc 64 TabloidEvening Times 6 1876 English Newsquest 64 TabloidLeicester Mercury 1874 English Northcliffe Media 62 TabloidThe Belfast Telegraph 1870 English Independent News & Media 61 Tabloid

Source: Newspaper Society; Wikipedia1 West Midlands2 Aberdeen3 Dundee4 The newspaper has been in circulation since Monday, October 5, 1964 inheriting a nightly circulation of around 19,000 from the old Shropshire edition

of the Express & Star.5 Newcastle6 Glasgow



Metro 1 1999 English Associated Newspapers Ltd 1,335 Tabloidthelondonpaper 2 2006 English NI Free Newspapers Ltd (News International) 500 TabloidLondon Lite 3 2006 English Associated Newspapers Ltd 400 TabloidCity AM 2005 English City AM Ltd 88 TabloidRecord PM Scotland 4 2007 English Scottish Daily Record & Sunday Mail Ltd. (Trinity Mirror) 13 TabloidFTpm 5 2005 English Financial Times Group (Pearson) 10 Tabloid

Source: ABC UK; Wikipedia; FDN Newsletter1 Including 10 editions: London, Scotland, North West, Midlands, Yorkshire, North East, East Midlands, Merseyside (Liverpool), South Wales (Cardiff), South West2 Afternoon newspaper, distributed from 3 p.m. at 10 network rail stations in London3 Noon newspaper; a replacement of Standard Lite4 Including two editions: Edinburgh and Glasgow5 The 2-page FTpm was launched in Edinburgh & Glasgow (September 2, 2005) and in Birmingham & Dublin (September 16, 2005); Manchester and Leeds followed

(September 30, 2005). FTpm is distributed to office buildings after 4 p.m. (London only)

Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Total number of journalists 13,437 13,115 11,859 - 11,230 -16.42 -Total number of employees 52,889 49,246 41,395 - 37,928 -28.29 -

Source: Newspaper Society Annual Survey

All regional newspapers

9.a Employment


Total salary costs - 1,143.0 1,132.4 1,155.9 1,110.0 - -3.97

Source: Newspaper Society Annual Survey

All regional newspapers

9.b Salaries

(British pound)2005 2006 2007 2008 2009

Average per ton 375 380 - 450 511

Source: 2005-2006 Newspaper Society Annual Survey; 2008-2009 ProductionJournal

Regional Newspapers


11. Research (2009)

Circulation is audited byRegional newspapers: ABC

Readership is measured byRegional newspapers: JICREG; NRS; TGI; publishers’surveys

MethodologyJICREG (Joint Industry Committee for Regional PressResearch) uses a combination of researched andmodelled data to produce readership data at postcodesector level for most regional and local newspapers.

Source: Newspaper Society


UNITED KINGDOM

Tax %



Source: Newspaper Society; Deloitte Touche Tohmatsu

12. Taxes (2009)



Are loans granted at low rates for re-equipment orimproving existing equipment? No, but plant may be depreciated at the usual straight-line rate of 25% a year.







Does any law exist governing publishing-house ownership,or the registration of shares in newspaper-publishingcompanies?Yes. Newspapers are regulated under the provisions ofthe Communications Act 2003


Is there any law prohibiting daily newspaper or periodicalpublishers from operating radio or television stations in thesame locality?Yes. The Communications Act 2003 stipulates that inevery local area of the UK there must be at last threeseparate commercial media companies providingnewspapers, radio, and terrestrial television (i.e. with a licence to broadcast on the ITV frequency). Nobodycontrolling more than 20% of national newspapercirculation may own more than 20% of an ITV licence.Nobody owning a regional ITV licence may controlmore than 20% of the newspaper market in that region.Nobody owning a regional ITV licence may own a localradio station with more than 45% coverage of the samearea (in areas where there are three or more stations).Nobody owning a local newspaper may own a local radiostation where the newspaper accounts for more than50% of the circulation within the station’s coverage area(in areas where there are three or more stations).

So as to guarantee disclosure and transparency in the capitalstructure and to avoid silent partners, is there any law orrule permitting in any event the possibility of finding outwho are the actual owners of a publishing company?The general provisions of UK company law concerningthe registration of non-corporate publishers both requireindividuals to be named.

Is there an antitrust law limiting concentration in the dailypress?It is not ‘illegal’ for any publishing group to be in a dominant position in the market, nor is there anyillegal circulation threshold. The Communications Act2003 and Enterprise Act 2000 govern newspapermergers, newspaper transfers as well as cross mediaownership, which do include the possibility of specialpublic interest intervention and assessment in mediacases, in addition to the application ofcompetition/merger law.




VATICAN

General economic situationThe Vatican is supported financially by a variety ofsources, including investments, real estate income, anddonations from Catholic individuals, dioceses, andinstitutions. These help fund the Roman Curia (Vaticanbureaucracy), diplomatic missions, and media outlets.The separate Vatican City State budget includes theVatican museums and post office and is supportedfinancially by the sale of stamps, coins, medals, andtourist mementos; by fees for admission to museums;and by publications sales. Moreover, an annualcollection taken up in dioceses and direct donations goto a non-budgetary fund known as Peter’s Pence, whichis used directly by the Pope for charity, disaster relief,and aid to churches in developing nations. The incomesand living standards of lay workers are comparable tothose of counterparts who work in the city of Rome.

Performance of newspapers vs. other mediaThe media linked to the Holy See, the Vatican TelevisionCentre, the Vatican Radio, L’Osservatore Romano daily,the Vatican Publishing House, and the Vatican PolyglotPress, are all instruments in the service of the pastoralmission of the Holy Father and the Holy See.

Vatican Radio (Italian: Radio Vaticana) is the officialbroadcasting service of the Vatican. Set up in 1931,today its programs are offered in 47 languages, and aresent out on short wave (also DRM), medium wave, FM,satellite and the Internet. The Jesuit Order has beencharged with the management of Vatican Radio since itsinception. Programming is produced by over twohundred journalists located in 61 different countries.Vatican Radio produces more than 42,000 hours ofsimultaneous broadcasting covering international news,religious celebrations, in-depth programs, and music.

In May 2009, it was announced that Vatican Radiowould begin broadcasting commercial advertisements

for the first time in July. The decision was made so as tomeet the radio’s rising costs, namely 21.4m euros a year.All advertisements would have to meet “high moralstandards”. Pope Benedict XVI has personally approvedVatican Radio’s new experimental commercial venture.(See also the part Advertising in this Media MarketDescription).

Performance of different types of newspapersThere is one daily newspaper, L’Osservatore Romano(The Roman Observer), the semi-official evening paperof the Holy See. It is published in eight differentlanguages (listed by date of first publication):

- Daily and weekly in Italian (1861/1950)- Weekly in French (1949)- Weekly in English (1968)- Weekly in Spanish (1969)- Weekly in Portuguese (1970)- Weekly in German (1971)- Monthly in Polish (1980)- Weekly in Malayalam (2007)

The daily Italian edition of L’Osservatore Romano ispublished in the afternoon, but with a cover date of thefollowing day, a convention that sometimes results inconfusion.

AdvertisingIn May 2009, Vatican Radio announced it would startbroadcasting advertisements. A spokesman for thestation head, Pope Benedict XVI, said between 200,000and 300,000 euros per year would be raised, adding thatthe channel, set up in 1931, needed funds but that theincome would be used for new initiatives and newprogrammes. Electricity producer Enel was to be the firstbrand name to be carried on the station, with itsadvertising transmitted in Italian, English, Spanish,French and German.


Source: CIA – The World Factbook; Straits Times; AFP; BBC News; Wikipedia


VATICAN


Age All individuals000 %

Total 1 100



Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


Source: 2005-2008 WAN from public sources; 2009 WAN-IFRA assessment


(000) Change (%)2005 2006 2007 2008 2009 2009/05 2009/08


Source: 2005-2006 WAN assessment; 2007 Catholic News Agency; 2008 WANassessment; 2009 WAN-IFRA assessment


Change (%)2005 2006 2007 2008 2009 2009/05 2009/08

Dailies 1 1 1 1 1 0.00 0.00

Source: 2005-2008 WAN from public sources; 2009 WAN-IFRA assessment

6.a Online editions


Title Founded Language Circulation Cover price Formatusual max

(year) (000) (euro)

L’Osservatore Romano 1861 Italian 1 1.00 2.00 Broadsheet(The Roman Observer)

Source: Catholic News Agency; Wikipedia

CHAPTER III

QUICK REFERENCE


QUICK REFERENCE

DAILY NEWSPAPER REACH (%) Table 5.a in country reports


Country All adults Men Women Mainhouseholdshopper

Austria 75.0 76.9 73.2 76.4

Belgium 53.8 57.8 50.0 52.3

Bulgaria 32.9 37.1 29.0 -

Croatia 60.5 - - -

Czech Republic 46.1 48.1 43.3 50.3

Denmark 74 76 72 74

Estonia 62.6 59.6 63.9 62.7

Finland 80 - - -

France 41.7 46.3 37.5 40.8

Germany 71.4 73.5 69.4 71.4

Greece 11.7 14.7 8.9 10.8

Hungary 45.4 49.9 41.6 45.0

Iceland 96 - - -

Ireland 56.4 58.7 58.7 -

Italy 46.2 - - -

Latvia 34 34 34 35

Lithuania 49.3 48.6 49.9 49.8

Luxembourg 77.6 79.3 75.9 77.2

Macedonia 24 14 10 -

Moldova 84 - - -

Montenegro 36.0 42.3 29.7 -

Netherlands, The 68.1 71.5 64.9 66.6

Norway 82 82 81 -

Poland 55.3 59.0 50.9 54.2

Portugal 84.5 89.3 80.0 -

Romania 52.6 59.5 46.3 50.6

Russia 9.3 10.4 8.5 8.4

Serbia 40.8 46.3 35.4 -

Slovakia 60 65 45 -

Slovenia 46.2 48.4 44.1 -

Spain 39.8 47.6 32.4 32.9

Sweden 82 82 82 82

Switzerland 81.7 84.8 78.5 80.8

Ukraine 25.2 26.0 24.6 -

United Kingdom 32.3 34.3 30.3 -


QUICK REFERENCE

DAILY NEWSPAPER CONSUMPTION (minutes/day) Table 5.c in country reports

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Austria - 41 - - - - -Belgium 54 - - - - - -Bulgaria 43 - - - - - -Croatia 19 - - - - - -Czech Republic - - - - 19 - -Denmark - 23 - 23 - - -Finland - - - 34 32 - -5.88Germany 28 28 28 28 28 0.00 0.00Italy - 44 79 - 64 - -Lithuania - - 16 - 24 - -Netherlands, The 43 44 31 31 31 -27.84 -0.32Norway 46 - - - - - -Poland 20 20 - - - - -Russia 18 10 9 10 9 -47.78 -6.00Serbia 45 - - - - - -Spain 17 17 17 18 16 -5.88 -11.11Sweden 29 29 28 28 25 -13.79 -10.71Switzerland 37 38 38 44 - - -Ukraine 50 22 43 40 34 -31.60 -13.42

NATIONAL DAILY NEWSPAPER CONSUMPTION (minutes/day) Table 5.c in country reports

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria 40 - - - - - -Croatia 12 - - - - - -France 32 31 32 33 32 0.00 -3.03Germany - - - 28 28 - 0.00Greece - - 63 - - - -Netherlands, The - - 31 31 31 - -1.29Poland 25 25 - - - - -Serbia 45 - - - - - -United Kingdom - - 40 - - - -

REGIONAL AND LOCAL DAILY NEWSPAPER CONSUMPTION (minutes/day) Table 5.c in country reports

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Austria - 31 - - - - -Bulgaria 5 - - - - - -Croatia 7 - - - - - -France 24 25 25 25 24 0.00 -4.00Germany - - - 28 28 - 0.00Netherlands, The - - 32 32 32 - 0.93Poland 15 15 - - - - -United Kingdom 30 30 31 24 25 -17.22 4.17


QUICK REFERENCE

NEWSPRINT COSTS (average per ton) Table 10.c in country reports


Country Average per tonNational USDcurrency

Belgium (Belgium, euro) 527 483.49

Czech Republic (Czech koruna) 14,827 776.69

Estonia (Estonian kroon) 7,700 555.56

Finland (Finland, euro) 490 612.5

France (France, euro) 518 647.5

Germany (Germany, euro) 540 750

Greece (Greece, euro) 560 700

Ireland (Ireland, euro) 480 666.67

Italy (Italy, euro) 541 751.39

Latvia (Latvian lat) 370 725.49

Luxembourg (Luxembourg, euro) 583 809.72

Macedonia (Macedonian denar) 30,000 552.28

Moldova (Moldovan leu) 9,360 759.12

Netherlands, The (Netherlands, euro) 515 635.8

Poland (Poland, zloty) 2,169 695.19

Russia (Russian ruble) 16,900 531.11

Slovakia (Slovak koruna) 22,000 740.49

Spain (Spain, euro) 500 625

Ukraine (Ukraine, hryvnia) 6,250 767.81

United Kingdom (British pound) 511 798.44

FOUR-COLOUR NEWSPAPERS: NUMBER OF TITLES Table 10.a in country reports

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Austria 17 - - - - - -Belgium 28 32 28 23 23 -17.86 0.00Croatia 13 15 16 17 16 23.08 -5.88Czech Republic 90 92 88 88 86 -4.44 -2.27Denmark 37 41 40 35 35 -5.41 0.00Estonia 41 42 45 42 40 -2.44 -4.76Finland 201 - 199 197 194 -3.48 -1.52France 61 - - - - - -Greece 79 - - - - - -Hungary 45 34 34 34 32 -28.89 -5.88Iceland 4 3 5 5 2 -50.00 -60.00Ireland 18 19 18 18 18 0.00 0.00Italy 96 101 103 103 104 8.33 0.97Latvia 27 31 31 31 - - -Luxembourg 5 5 - 7 7 40.00 0.00Netherlands, The 36 30 29 33 32 -11.11 -3.03Norway 77 78 - - - - -Poland 59 60 70 70 60 1.69 -14.29Portugal 43 50 62 15 - - -Slovakia 11 11 - 9 8 -27.27 -11.11Spain 139 - - - - - -Sweden 150 149 - - - - -Ukraine - 50 50 60 - - -


QUICK REFERENCE

FORMATS OF DAILY NEWSPAPERS: NUMBER OF TITLES Table 10.a in country reports


Country Broadsheets Tabloids Other formats

Austria 9 8 -Belgium - 17 6Bulgaria 1 62 -Croatia - 15 1Cyprus 6 2 -Czech Republic - 5 81Denmark 10 25 -Estonia - 42 -Finland 35 159 -France 29 18 -Greece 12 64 6Hungary - 3 -Iceland - 2 -Ireland 6 12 -Italy 40 64 -Latvia 6 97 8Luxembourg 2 - 6Macedonia 1 5 1Moldova 6 - -Netherlands, The 13 19 -Norway - 78 -Poland - 49 10Portugal - 37 3Slovakia - 2 6Slovenia 5 1 -Sweden 14 112 22Ukraine 25 66 41United Kingdom 18 92 -1


QUICK REFERENCE

COVER PRICES OF DAILY NEWSPAPERSTable 4.d in country reports

(price minimum, using most recent available figures)

Country Single copy Subscription *National USD National USDcurrency currency

Albania (Albania, lek) 10 0.10 - -Belgium (Belgium, euro) 1 1.39 0.84 1.17Bulgaria (Bulgaria, lev) 0.2 0.14 0.2 0.14Croatia (Croatia, kuna) 3 0.61 2 0.37Czech Republic (Czech koruna) 7 0.37 8 0.42Denmark (Danish krone) 12 2.24 8.5 1.59Estonia (Estonian kroon) 5 0.44 3.01 0.27Finland (Finland, euro) 1.2 1.76 0.55 0.81France (France, euro) 0.8 1.11 0.55 0.76Germany (Germany, euro) 1.09 1.51 22.31 30.99Greece (Greece, euro) 0.5 0.74 - -Hungary (Hungary, forint) 80 0.4 60 0.30Iceland (Icelandic krona) 290 4.52 116 1.81Ireland (Ireland, euro) 0.9 1.25 - -Italy (Italy, euro) 1 1.39 0.67 0.93Kosovo (Kosovo, euro) 0.2 0.29 - -Latvia (Latvian lat) 0.35 0.71 0.12 0.21Lithuania (Lithuania, litas) 10 4.02 - -Luxembourg (Luxembourg, euro) 0.7 0.97 0.41 0.57Macedonia (Macedonian denar) 5 0.10 5 0.10Netherlands, The (Netherlands, euro) 1 1.39 0.7 0.97Norway (Norwegian krone) 10 1.59 490 77.81Poland (Poland, zloty) 1.2 0.38 0.7 0.22Portugal (Portugal, euro) 1 1.47 0.81 1.19Serbia (Serbian dinar) 10 0.15 - -Slovakia (Slovakia, EUR) 0.3 0.30 - -Slovenia (Slovenia, euro) 0.5 0.74 - -Spain (Spain, euro) 0.5 0.69 0.5 0.69Sweden (Swedish krona) 9 1.22 4.55 0.62Switzerland (Swiss franc) 1.6 1.47 0.75 0.69Ukraine (Ukraine, hryvnia) 0.3 0.04 0.35 0.07United Kingdom (British pound) 0.33 0.52 - -

* Price of subscription divided by number of editions in a subscription period, unless otherwise notified in the respectivecountry report


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NEWSPAPER DISTRIBUTION COSTS (% of cover price) Table 10.ba in country reports

(price minimum, using most recent available figures)

Country Single Home Postal copy sales deliveries deliveries

Belgium 31 31 -Croatia 31 24 28Czech Republic 35 40 -Estonia 32 29 -Finland - 35 35Greece 26 35 18Hungary 35 - 44Ireland 29 - -Italy 26 - 14Latvia 28 26 -Luxembourg 38 - 16.55Macedonia 15 - 15Netherlands, The 33 33 38Poland 32 - -Slovakia 40 45 30Sweden 20 - -Switzerland 50 - -Ukraine 40 - -

TYPE OF NEWSPAPER SALES (%)Table 4c. in country reports


Country Single copy Subscription Home Postal Office Bulk (sponsored) Free Othersales sales deliveries deliveries deliveries deliveries distribution

Austria 10.52 71.08 - - - 5.33 12.24 0.83Belgium 46.10 - - 51.90 - - 2 -Bulgaria 95 0.50 0.50 - 4.50 - - -Croatia 95 5 3 2 - - - -Cyprus 80 - 20 - - - - -Czech Republic 66.50 30.80 30.80 - - 2.70 - -Denmark 15.50 84.50 - - - - - -Estonia 36 64 - - - - - -Faroe Islands 47 53 - - - - - -Finland 12 88 70 18 - - - -France (national press) 67 30 10 20 - - 3 -France (regional press) 41 56 45 11 - - 3 -Germany 34.60 65.40 - - - - - -Greece 97 - 1 2 - - - -Hungary 31 65 - 65 - 1 1 1Iceland 88.70 11.30 - - - - - -Ireland 91 - 8 1 - - - -Italy 91 9 0.40 8.60 - - - -Latvia 41.90 58.10 - - - - - -Luxembourg 4.40 - - 38.60 - - 57 -Macedonia 97 - - 3 - - - -Netherlands, The 7 - 90.10 0.10 - - - 2.80Norway 22 - - 78 - - - -Poland 74.50 19.80 7.60 12.20 1.60 2.90 0.70 0.50Portugal 33 4 - - - 3 60 -Slovakia 65 35 - - - - - -Spain 68.80 11.90 - - 8.30 5.10 5.40 0.50Sweden 18 77 - - - - 5 -Switzerland 10 - 90 - - - - -Ukraine 67 28 - - - 3 2 -


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VALUE ADDED TAXTable 12 in country reports

Tax rates (%)

Country Standard VAT Single copy sales Subscription sales Advertising Newsprint Composition Plant

Albania - 0 - - - - -Andorra 4 - - - - - -Austria 20 10 10 20 20 20 20Belarus 18 - - - - - -Belgium 21 0 0 21 21 21 21Bosnia and Herzegovina - 17 - - - - -Bulgaria 20 20 20 20 20 20 20Croatia 22 10 10 22 22 22 22Cyprus 15 5 - - - - -Czech Republic 19 9 9 19 19 19 19Denmark 25 0 0 25 25 25 25Estonia 20 9 9 20 20 20 20Faroe Islands 25 0 0 - - - -Finland 22 22 0 0 0 0 0France 19.60 2.10 2.10 19.60 19.60 6 6Germany 19 7 7 19 19 19 -Gibraltar 0 - - - - - -Greece 19 4.50 4.50 19 19 4.50 4.50Hungary 25 5 5 25 25 25 25Iceland 24.50 7 7 24.50 24.50 24.50 24.50Ireland 21.50 13.50 13.50 21.50 21.50 21.50 21.50Italy 20 4 4 20 4 4 20Latvia 18 5 18 18 18 18 18Lithuania 21 21 21 - - - -Luxembourg 15 3 3 15 15 15 3Macedonia 18 5 5 - - - -Malta 18 5 - - - - -Moldova 20 - - - - - -Monaco 19.60 - - - - - -Montenegro - 7 - - - - -"Netherlands, The" 19 6 6 19 19 19 19Norway 25 0 0 25 25 25 25Poland 22 7 7 22 22 22 -Portugal 20 5 5 20 5 20 20Romania 19 9 9 19 19 19 19Russia 18 10 18 18 18 18 18Serbia 18 8 8 - - - -Slovakia 19 19 19 19 19 19 19Slovenia 20 8.50 8.50 20 20 - -Spain 16 4 4 16 16 16 16Sweden 25 6 6 25 25 25 25Switzerland 7.60 2.40 2.40 7.60 7.60 7.60 7.60Ukraine 20 0 0 20 20 20 20United Kingdom 18 0 0 18 18 18 18


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OTHER TAXES Table 12 in country reports

Tax rates (%)

Country Tax on advertising Tax on profits – standard rate Tax on profits for newspapers Tax concessions for newspaper companies

Austria 5 34 34 -Belgium - 34 34 0Bulgaria - 10 10 -Croatia - 20 20 -Cyprus - 10 - -Czech Republic - 21 21 0Denmark - 32 32 -Estonia - 21 21 -Finland - 26 - -France - 33.33 33.33 -Germany - 25 - -Gibraltar - 22 - -Greece - 25 25 -Hungary - 16 16 -Iceland - 18 18 0Ireland - 12.50 12.50 0Italy - 33 33 0Latvia - 15 15 -Lithuania - 15 - -Luxembourg - 30 30 0Macedonia - - - 0Malta - 35 - -Moldova - 22 22 -Netherlands, The - - 33 -Norway - 28 28 -Poland - 19 - -Portugal - 25 25 -Romania - 16 16 -Russia - 24 24 -Serbia - 10 - -Slovakia - 19 19 -Slovenia - 21 - -Spain - 35 35 -Sweden 3 26.30 26.30 -Switzerland - 8.50 - -Ukraine 0.50 25 25 -United Kingdom - 30 - -


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TRANSPORT & TELECOMMUNICATIONSTable 14 in country reports

Tariff reductions (%)

Country Post Railroad Telephone Telegraph Telex Other

Austria 0 0 0 0 0 -Belgium - - 50 - - -Bulgaria 0 0 0 0 0 0Croatia 0 0 0 0 0 -Cyprus 50 0 50 50 50 -Czech Republic 0 0 0 0 0 0Denmark 0 0 0 0 0 0Estonia 0 0 0 0 0 0Finland 0 0 0 0 0 0France - 60 - - - -Germany 0 0 0 0 0 -Greece - - - 50 50 -Hungary 0 0 0 0 0 0Iceland 0 0 0 0 0 -Ireland 0 0 0 0 0 0Italy 40 0 50 0 0 0Latvia 0 0 0 0 0 0Luxembourg - 0 0 0 0 0Macedonia 0 0 0 0 0 0Moldova 0 0 0 0 0 0Netherlands, The 0 0 0 0 0 0Norway 0 0 0 0 0 0Poland 0 0 0 0 0 0Portugal 0 - - - - -Russia 0 0 0 0 0 0Slovakia 0 0 0 0 0 0Spain 50 0 0 0 0 -Sweden 0 0 0 0 0 0Switzerland 15 - - - - -Ukraine 0 0 0 0 0 -United Kingdom 0 0 0 0 0 -

TOTAL AMOUNT OF DIRECT SUBSIDIES Table 13.b in country reports

(national currencies, millions)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Austria (Austria, euro) 12.1 12.9 12.8 12.8 12.8 5.79 0.00

Belarus (Belarusian ruble) 12,599.0 13,000.0 15,899.5 17,000.0 16,711.2 32.64 -1.70

Belgium (Belgium, euro) 6.2 6.0 6.5 6.5 6.9 11.29 6.15

Denmark (Danish krone) 14 14 14 14 14 0.00 0.00

Estonia (Estonian kroon) 28 29 34.9 36.4 42 50.00 15.38

Finland (Finland, euro) 13.6 13.6 6.1 0.5 - - -

France (France, euro) 106 101 89 92 - - -

Italy (Italy, euro) 150 150 150 150 150 0.00 0.00

Luxembourg (Luxembourg, euro) 6.6 7.1 - 7.7 7.8 18.18 1.30

Norway (Norwegian krone) - 240.0 251.8 - - - -

Portugal (Portugal, euro) 0.34 0.27 0.34 0.31 - - -

Russia (Russian ruble) 48.0 150.6 150.6 139.8 181.1 277.29 29.54

Sweden (Swedish krona) 495 495 515 530 551 11.31 3.96

Ukraine (Ukraine, hryvnia) - 20.4 21.1 18.9 34.5 - 82.54


QUICK REFERENCE

EMPLOYMENT: NUMBER OF JOURNALISTS AND EMPLOYEES Table 9.a in country reports


Country Number ofJournalists Employees

Albania 305 827Belgium 1,236 -Bulgaria 7,200 -Croatia 3,100 -Czech Republic 2,200 25,000Denmark 2,112 9,529Estonia 829 1,182Finland 3,420 -France 5,389 16,460Germany 15,556 -Hungary 1,800 3,500Iceland - 582Italy 6,491 12,971Latvia - 1,275Luxembourg 470 -Moldova 452 1,124Netherlands, The 3,248 7,962Norway 3,000 8,800Poland - 10,357Portugal 2,294 6,199Russia 87,200 285,000Serbia - 7,185Slovenia 405 970Spain - 11,064Sweden 5,392 25,528Switzerland - 15,368Ukraine 40,000 50,000United Kingdom 11,230 37,928

TOTAL AMOUNT OF DIRECT SUBSIDIES Table 13.b in country reports

(USD, million)

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Austria 15.12 16.13 17.53 18.82 17.78 17.59 -5.53

Belarus 5.86 6.04 7.39 7.90 5.98 2.05 -24.30

Belgium 7.75 7.50 8.90 9.56 9.58 23.61 0.21

Denmark 2.33 2.36 2.57 2.75 2.61 12.02 -5.09

Estonia 2.22 2.33 3.05 3.40 3.72 67.57 9.41

Finland 17.00 17.00 8.36 0.74 - - -

France 132.50 126.25 121.92 135.29 - - -

Italy 187.50 187.50 205.48 220.59 208.33 11.11 -5.56

Luxembourg 8.25 8.87 - 11.32 10.83 31.27 -4.33

Norway - 37.27 42.97 - - - -

Portugal 0.43 0.34 0.47 0.46 - - -

Russia 1.70 5.54 5.89 5.62 5.69 234.71 1.25

Sweden 66.27 67.07 76.18 80.42 72.03 8.69 -10.43

Ukraine - 3.91 4.07 3.52 4.24 - 20.45


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NUMBER OF EMPLOYEES (including journalists)

Table 9.a in country reports

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria 17,250 16,250 - - - - -Czech Republic 23,000 23,000 41,000 24,500 25,000 8.70 2.04Denmark - 9,880 10,005 9,863 9,529 - -3.39Estonia 1,363 1,402 1,403 1,372 1,182 -13.28 -13.85Finland 9,500 - - - - - -France 18,259 - - 17,384 16,460 -9.85 -5.32Hungary 4,000 3,900 4,100 5,000 3,500 -12.50 -30.00Italy 13,764 13,857 13,726 13,375 12,971 -5.76 -3.02Latvia - 1,275 - - - - -Netherlands, The 11,575 10,709 10,077 9,168 7,962 -31.21 -13.15Norway 8,800 9,000 8,800 - - - -Portugal - 5,942 6,199 - - - -Russia 305,200 310,500 311,200 300,100 285,000 -6.62 -5.03Spain - 11,591 11,667 11,064 - - -Sweden 25,528 - - - - - -Switzerland 15,184 - 32,322 15,368 - - -Ukraine - 50,000 - - - - -United Kingdom 52,889 49,246 41,395 - 37,928 -28.29 -

NUMBER OF JOURNALISTSTable 9.a in country reports

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Belgium - - - 1,266 1,236 - -2.37Bulgaria 7,000 7,250 7,200 - - - -Croatia 2,844 2,850 3,100 - - - -Czech Republic 2,000 2,000 2,000 2,100 2,200 10 4.76Denmark - 2,099 3,086 2,958 2,112 - -28.6Estonia 795 894 987 941 829 4.28 -11.9Finland 3,246 3,387 3,420 - - - -France 5,441 - - 5,467 5,389 -0.96 -1.43Germany - - - 15,677 15,556 - -0.77Hungary 2,000 1,900 2,050 2,200 1,800 -10 -18.18Italy 6,469 6,660 6,731 6,723 6,491 0.34 -3.45Luxembourg 302 308 - 464 470 55.63 1.29Netherlands, The 3,983 3,757 3,654 3,529 3,248 -18.45 -7.96Norway 3,100 3,000 3,000 - - - -Portugal - 2,037 2,294 - - - -Russia 102,300 106,400 107,600 101,200 87,200 -14.76 -13.83Sweden 5,392 - - - - - -Switzerland - - 10,597 - - - -Ukraine - 40,000 - - - - -United Kingdom 13,437 13,115 11,859 - 11,230 -16.42 -


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OWNERSHIPTable 15.a in country reports

Regulations on:

Ownership Foreign Cross media Transparency Concentration Concentrationregistration ownership ownership of capital structure regulations

planned?

Austria Yes No Yes Yes Yes NoBelgium No No No (*) No No (*) NoBulgaria No No No No No (*) NoCroatia Yes No Yes Yes Yes YesCzech Republic Yes No No No Yes YesDenmark No No No No No NoEstonia No No No No No NoFinland No No No No No NoFrance Yes Yes Yes Yes Yes -Germany Yes (*) No - Yes Yes (*) YesGreece Yes No Yes Yes Yes NoHungary No No Yes No No NoIceland No No (*) No No No NoIreland No No No No No NoItaly Yes No Yes Yes Yes NoLatvia No No No No No NoLuxembourg No No Yes No No NoMacedonia No No Yes Yes (*) Yes NoMoldova No Yes No No No NoNetherlands, The Yes (*) No No (*) Yes Yes YesNorway No No No (*) No (*) Yes YesPoland No No No Yes Yes NoPortugal Yes No No (*) Yes No (*) YesRomania No No No No Yes Yes (*)Russia Yes Yes No No No NoSerbia No (*) No Yes No (*) Yes YesSlovakia No No Yes Yes Yes NoSlovenia Yes No Yes Yes Yes NoSpain No No (*) No (*) No No NoSweden No No Yes Yes No NoSwitzerland Yes No No (*) Yes Yes NoUkraine No No No Yes Yes YesUnited Kingdom Yes No Yes Yes Yes No

(*) see country report

SALARIES (national currencies, millions)

Table 9.b in country reports

Change (%)Country 2005 2006 2007 2008 2009 2009/05 2009/08

Bulgaria (Bulgaria, lev) 68 75 - - - - -Czech Republic (Czech koruna) 828 920 - - - - -Estonia (Estonian kroon) 259 282 - 261 203 -21.62 -22.22Finland (Finland, euro) 312 327 - - - - -Italy (Italy, euro) 935 948 954 985 980 4.81 -0.51Latvia (Latvian lat) - 7,271 - - - - -Portugal (Portugal, euro) - 77 - - - - -Russia (Russian ruble) 30,300 44,700 51,200 55,700 39,500 30.36 -29.08Spain (Spain, euro) 485 649 637 686 633 30.60 -7.65Sweden (Swedish krona) - 5,726 - - - - -United Kingdom (British pound) 1,132 1,156 1,110 - - - -


QUICK REFERENCE

1 Albania lek ALL 102.93 102.91 93.23 85.59 96.65

2 Andorra euro (1) EUR 0.80 0.80 0.73 0.68 0.72

3 Austria euro (1) EUR 0.80 0.80 0.73 0.68 0.72

4 Belarus Belarusian ruble BYR 2150.00 2151.67 2,151.50 2151.50 2792.60

5 Belgium euro (1) EUR 0.80 0.80 0.73 0.68 0.72

6 Bosnia & Herzegovina marka BAM 1.43 1.61 1.43 1.34 1.41

7 Bulgaria lev BGN 1.57 1.57 1.43 1.34 1.41

8 Croatia kuna HRK 5.98 5.84 5.37 4.94 5.29

9a Cyprus Cypriot pound (2) CYP 0.47 0.46 0.43 x x

9b Cyprus euro (1) EUR x x x 0.68 0.72

10 Czech Republic Czech koruna CZK 23.99 22.63 20.33 17.1 19.09

11 Denmark Danish krone DKK 6.00 5.94 5.44 5.1 5.36

12 Estonia Estonian kroon EEK 12.59 12.47 11.45 10.71 11.29

13 Faroe Islands Danish krone DKK 6.00 5.94 5.44 5.1 5.36

14 Finland euro (1) EUR 0.80 0.80 0.73 0.68 0.72

15 France euro (1) EUR 0.80 0.80 0.73 0.68 0.72

16 Germany euro (1) EUR 0.80 0.80 0.73 0.68 0.72

17 Gibraltar Gibraltar pound GIP 0.55 0.56 0.50 0.54 0.64

18 Greece euro (1) EUR 0.80 0.80 0.73 0.68 0.72

19 Hungary forint HUF 199.94 210.83 184.02 172.7 202.37

20 Iceland Icelandic krona ISK 62.92 70.10 64.23 88.59 125.04

21 Ireland euro (1) EUR 0.80 0.80 0.73 0.68 0.72

22 Italy euro (1) EUR 0.80 0.80 0.73 0.68 0.72

23 Kosovo euro (1) (3) EUR x x x 0.68 0.72

24 Latvia Latvian lat LVL 0.56 0.56 0.51 0.49 0.51

25 Liechtenstein Swiss franc CHF 1.25 1.25 1.20 1.08 1.09

26 Lithuania litas LTL 2.78 2.75 2.53 2.38 2.49

27 Luxembourg euro (1) EUR 0.80 0.80 0.73 0.68 0.72

28 Macedonia Macedonian denar MKD 48.92 50.31 45.79 42.36 44.62

29a Malta Maltese lira MTL 0.35 0.34 0.31 x x

29b Malta euro (1) EUR x x x 0.68 0.72

30 Man, Isle of (4) British pound GBP 0.55 0.54 0.50 0.54 0.64

31 Moldova Moldovan leu MDL 12.60 13.59 12.42 10.58 11.33

32 Monaco euro (1) EUR 0.80 0.80 0.73 0.68 0.72

33 Montenegro (5) euro (1) EUR 0.80 0.80 0.73 0.68 0.72

34 Netherlands, The euro (1) EUR 0.80 0.80 0.73 0.68 0.72

35 Norway Norwegian krone NOK 6.44 6.42 5.86 5.65 6.30

36 Poland zloty PLN 3.24 3.12 2.77 2.41 3.12

37 Portugal euro (1) EUR 0.80 0.80 0.73 0.68 0.72

38 Romania new leu (6) RON 2.94 2.82 2.45 2.53 3.06

39 Russia Russian ruble RUB 28.29 27.19 25.58 24.87 31.82

40 San Marino euro (1) EUR 0.80 0.80 0.73 0.68 0.72

CURRENCY EXCHANGE RATESCountry Currency Currency Code 2005 2006 2007 2008 2009

1 USD = *

* Yearly average interbank rates


QUICK REFERENCE

41 Serbia (5) Serbian dinar (7) RSD 67.07 69.36 59.71 56.14 67.97

42a Slovakia Slovak koruna SKK 31.09 29.71 24.74 21.42 x

42b Slovakia euro (1) EUR x x x x 0.72

43a Slovenia tolar SIT 193.33 191.09 x x x

43b Slovenia euro (1) EUR x x 0.73 0.68 0.72

44 Spain euro (1) EUR 0.80 0.80 0.73 0.68 0.72

45 Sweden Swedish krona SEK 7.47 7.38 6.76 6.59 7.65

46 Switzerland Swiss franc CHF 1.25 1.25 1.20 1.08 1.09

47 Ukraine hryvnia UAH 5.16 5.22 5.18 5.37 8.14

48 United Kingdom British pound GBP 0.55 0.54 0.50 0.54 0.64

49 Vatican euro (1) EUR 0.80 0.80 0.73 0.68 0.72

* Yearly average interbank rates

(1) As of 1 January 2002, the euro is the sole currency for transactions in the European Monetary Union; some non-EMU states use it as well

(2) Northern Cyprus uses the new Turkish lira (YTL)

(3) Serbian dinar (RSD) is also in circulation

(4) There is also a Manx pound(5) Montenegro federated with Serbia, first as the Federal Republic of Yugoslavia and, after 2003, in a looser union of Serbia and Montenegro;

Montenegro held an independence referendum in the spring of 2006, allowing Montenegro to formally declare its independence on 3 June 2006; Serbia declared that it was the successor state to the union of Serbia and Montenegro

(6) Introduced from July 1, 2005

(7) In Kosovo both the euro and the Serbian dinar are legal

Sources: CIA – The World Factbook (countries, currencies, and codes); www.OANDA.com (exchange rates)

CURRENCY EXCHANGE RATESCountry Currency Currency Code 2005 2006 2007 2008 2009

1 USD = *


CONTACTS

Name Job Title & Company/Organization Country Telephone Fax E-mail

Ingrid Kluwick Assistant to Managing Director, Austrian Newspaper Association Austria +43 1 533 79 79-413 +43 1 533 79 79-422 [email protected](Verband Österreichischer Zeitungen)

Katrien Kiekens Vlaamse Dagbladpers (VDP) Belgium +32 (0)2 558 97 64 +32 (0)2 558 97 78 [email protected]

Michel Siklosi Journaux Francophones Belges (JFB) Belgium +32 (0)2 558 97 81 +32 (0)2 558 97 89 [email protected]

Ognian Zlatev Managing Director, Media Development Center Bulgaria (359 2) 988 9265 (359 2) 988 9265 [email protected]

Dr. Stjepan Malovic Professor, University Dubrovnik & Zadar Croatia +385 98 3223213 - [email protected]

Ante Gavranovic Director, Binozapress publishing house Croatia +385 98 354 965 +385 1 3890 291 [email protected]

Jan Pochman Media Services Coordinator, Czech Publishers' Association Czech Republic +420 221 733 527 +420 222 322 961 [email protected]

Adam Rue Consultant, Danish Newspaper Publishers’ Association Denmark '+4533974216 '+4533142325 [email protected]

Maige Prööm Acting Secretary, Estonian Newspaper Association Estonia +372 646 1005 +372 631 1210 [email protected]

Elina Tompuri Projects Assistant, Finnish Newspapers' Association Finland +358 50 331 6608 - [email protected]

Sabine Ozil-Quintas Syndicat de la Presse Quotidienne Nationale France +33 1 53 20 90 66 +33 1 53 20 01 89 [email protected]

Jean-Pierre Raffoux Syndicat de la Presse Quotidienne Regionale France +33 1 40 73 85 94 +33 1 47 20 48 94 [email protected]

Christian Eggert Referent Verlagswirtschaft, Germany +49 (30) 72 62 98 221 +49 (30) 72 62 98 225 [email protected] Deutscher Zeitungsverleger (BDZV)

Andras Math Research Director, Ringier Hungary 36-1-460-2750 - [email protected]

Ragnar Karlsson Researcher, Statistics Iceland Iceland +354 5281051 +354 5281199 [email protected]

Michelle Morrisroe Research and Information Officer, National Newspapers of Ireland Ireland +353 1 6689099 +353 1 6689872 [email protected]

Federico Megna Head of Economic Analysis and Research Department, FIEG Italy 39-6-4881683 39-6-46201455 [email protected]

Justina Tauginiene Project Manager, TNS LT Lithuania +37052106657 +37052106601 [email protected]

Christian Stoehr Research Manager, Saint-Paul Luxembourg Luxembourg +352 4993 9003 +352 4993 9092 [email protected]

Tom Nauta Secretary General, Dutch Newspaper Publishers' Association Netherlands, The +31 (0)20-4309171 +31 (0)20-4309199 [email protected]

Geir E. Engen Assistant Director, Norwegian Media Businesses Association Norway +47 22 86 12 47 - [email protected]

Maciej Hoffman Director General, Izba Wydawcow Prasy Poland +48 22 828 59 30 + 48 22 827 87 17 [email protected]

Marina Davydova Deputy Executive Director, PR Director, Guild of Press Publishers Russia +7 495 228-7697 +7 495 661-9139 [email protected]

Marija Stanojevic Media Research Coordinator / Strategic Marketing & Media Serbia '+381113284057 '+381112626430 [email protected] Institute (SMMRI)

Dr. Branislav Ondrasik Slovak Press Publishers Association (ZVPT) Slovakia +421 918 312 172 +421 2 6820 3660 [email protected]

Alenka Pfajfar Researcher, Marketing Consulting and Research d.o.o. Slovenia +386 1 420-49-25 +386 1 420 49 60 [email protected]

Eric Cordero Moniz Asociacion de Editores de Diarios Espanoles (AEDE) Spain + 34 91 425 10 85 - [email protected]

Fredrik Rogberg Research Analyst, Swedish Newspapers Publishers’ Association Sweden +46-70-957 40 32 - [email protected]

Waltraud Stalder Verband Schweizer Presse Switzerland + 41 44 318 64 64 + 41 44 318 64 62 [email protected]

Oleksii Pogorelov General Director, Ukrainian Association of Press Publishers (UAPP) Ukraine +38044-425-5787 +38044-425-5787 [email protected]

Sergei Cherniavskii Head of the Industry Information Division, Ukraine +38044-425-5787 +38044-425-5787 [email protected] Association of Press Publishers (UAPP)

Natalia Boiko Head of the Committee on Industry Research, Ukraine +38044-425-5787 +38044-425-5787 -Ukrainian Association of Press Publishers (UAPP)

Steve Brown Intelligence Manager, Newspaper Society United Kingdom +44 20 76930412 +44 20 74363873 [email protected]

Wo

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WPT 2010 EuropeISBN 978-2-918652-05-2

EAN 9782918652052

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wan ifra - world press trends europe 2010

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