PubliPresse in a quandary

Advertising Commission: If PubliPresse wants to receive bonuses from Tamedia, it will have to really go all out for Tamedia publications.

Advertising Commission: If PubliPresse wants to receive bonuses from Tamedia, it will have to really go the extra mile for Tamedia publications. More than a year after Tamedia
Agreement with PubliPresse regarding the commission for intermediaries in connection with the
who has resigned from the *Tages-Anzeiger* and the *SonntagsZeitung* (SoZ), is
A new contract has now been signed. Otto Meier,
The CEO of PubliPresse emphasizes that the cooperation between
that the relationship between the two companies had never ended and that there was a «vital”
»There is interest in unity." Jürg Brauchli, Head of Printing and 
Logistics at Tamedia: «In the form of a quintessentially Swiss
Through compromise, we've found common ground again, even though
»There are still differences on some points."

For example, a compromise was necessary regarding the question of when Tamedias’
The termination is effective. One thing is clear: Tamedia terminated
ahead of schedule at the end of 2004, assuming the deal between
PubliGroupe and NZZ, and the resulting significant changes in the market situation in the
The greater Zurich area justifies this step. Accordingly, since
At the beginning of 2005, there was no contract in place. For its part, P went
assuming that the contract can be terminated only at the end of 2005 and therefore after
remains valid. Both companies backed up their position with
Legal opinion.

New Bonus Policy
The solution that has now been found is as follows: Tamedia
PubliPresse pays the same rate for both titles
Basic commissions and, in return, receives consistent
P's services, including del credere. Meier had at the beginning
This year, we are still considering cutting back on one or two services
make

The only difference between the old and new contracts concerns the
Bonus Policy: Both contracting parties confirm this. Thus, bonuses that
Tamedia pays PubliPresse—no longer based solely on revenue, but now
also depends on market share. In this context, «the market» was defined by the Tages-Anzeiger
as the total circulation of the major German-Swiss daily newspapers
defined in the industry typology under «Daily Press I,”,
listed as »sold.” For SoZ, the market accordingly includes
the «Sunday Press» category (German-speaking Switzerland). «We believe that,
that P is not entitled to bonuses if she merely uses the
Market trends have an impact. However, if they—even when prices are falling—
Sales—which are helping our titles make up ground—we want their
»To reward hard work," Brauchli explains this change.

A significant additional burden
At the time of the transition, Otto Meier said: «As for the variable portion
With regard to order picking (Bonus), the current contract remains in effect until
Mid-2005, and the provisions of the
»new contract, effective as of January 1, 2006."

One thing is clear: With the new agreement, which will also apply to all as of the beginning of 2006
If it is transferred to other Tamedia publications, P takes on a considerable
an additional burden. «Life certainly isn’t getting any easier for us,
»Because a director's cut is always our top priority," Meier confirms. He
But I'm happy to say yes to this «athletic challenge» because
Tamedias' products are leading titles in their respective markets.

Markus Knöpfli

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