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Ron Lauder
Photo: AP
Photo: Eran Bar-On
Channel 10 employees protest layoffs
Photo: Eran Bar-On

Lauder mulls NIS 60M bailout for Channel 10

US billionaire promises to save fumbling TV channel; says will allot funds if channel obtains new license, reschedule loan payments

US billionaire Ron Lauder, who holds 25% of Channel 10's shares, said Sunday that he intends to invest an additional NIS 60 million (about $15 million) in the struggling television channel – but only if the State agrees to reschedule the channel's loan payments, and only if it receives a permanent broadcast license in the upcoming months.

 

Channel 10 representatives will meet with Finance Minister Yuval Steinitz on Monday in an attempt to find a solution to the TV station's mounting debt.

 

The station began laying off employees after the State decided to collect the NIS 64 million ($16 million) debt the channel has accumulated over the years.

 

If the channel cannot manage to pay its debt by September 2, it will not be able to renew its broadcast license and thus will be forced to shut down.

 

"The purpose of the meeting with the Channel 10 representatives, is to see if there's a solution that will guarantee the channel's financial obligations," said Steinitz in an interview with Calcalist.

 

"One of the options on the table is that the channel's owners' provide the bank with financial securities. If we see that there is an actual chance of finding a reasonable solution that will secure a different outcome than the past, we will consider delaying the loans default deadline," he said.

 

In the meeting, which will be attended by the channel's CEO, Yoav Heldman, Ron Lauder, Channel 10 Vice Chairman Avi Balashnikov and Histadrut Chairman Ofer Eini, a proposal for the rescheduling of payments will be presented to Steinitz.

 

According to the proposal, the debt will be repaid in five annual payments from December 2014.

 

Channel 10 estimates that by the first payment date, they will have the resources to pay the debt.

 

For the meantime, the Channel 10 directorate has decided to halt their decision to lay off the 150 employees, following a request made by Eini.

 

 

 

 


פרסום ראשון: 08.26.12, 15:14
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