Constantin Medien aims to cut costs through job cuts
The television and sports rights company Constantin Medien plans to cut costs through staff reductions. A streamlining program involving the elimination of 42 jobs is expected to yield savings of approximately seven million euros in 2010.
The agreement with the Group Works Council has already been reached, Constantin announced on Tuesday evening, according to SDA. In addition, Constantin intends to use the new umbrella brand "SPORT1" for both the online portal and German Sports Television (DSF) in future.
New formats and more football
The Group expects the single-brand strategy to increase its TV market share. In addition, positive sales and cost effects are to be achieved. Constantin also intends to expand its news offering with new formats and a focus on soccer. Constantin Medien, which is listed in the small cap index SDax, slipped into the red in the second quarter due to the poor business of its sports division with the TV channel DSF. The loss amounted to 6.5 million Euro. Thanks to the full consolidation of the subsidiary Highlight Communications, sales rose from 63.2 million Euro to 106.9 million Euro. Ex-media mogul Leo Kirch is the largest shareholder of the Munich-based media group.
