Sunday, November 30, 2008

Coleman's Mustard

Bill Ralston writes about some of the hot stuff the bumbling fools at TVNZ can expect from their new Minister.

McCarten writes such arrant drivel that he soon will have have his rate per word cut to match his readership. He does not deserve comment. Wade though the knee-deep crap for yourself.

Unlike McCarten, Bill Ralston actually knows what he is talking about. He is a media insider so he is worth studying.




Where else in the world would you find a business that turns over three hundred million dollars and consistently makes no profit? Until today I did not know that this is our grand state run infotainment factory TVNZ. Ralston nails them to their profit and loss account thus:-

"It should not take long for Coleman to wonder why a company that rakes in more than $300 million a year in revenue makes no profit other than the subsidy it gets from him."

http://www.parliament.nz/NR/rdonlyres/AFF98F4F-F9A5-4AEB-B585-0AEEC2F915BF/0/12730JonathanColeman.jpg

Ralston predicts only half the prescription.

"I suspect Coleman is determined to screw more dividends out of TVNZ, remove government subsidies from it and make it completely commercial."

The other half can wait for the next parliamentary term. The sale of TV2 and any other appendages with TV1 retained and well trimmed down.

Mr Ralston's comment on industry assistance indicate he needs to stick to broadcasting.

"I always thought the essence of capitalism was survival of the fittest and profits were earned in relation to the risk taken. Why should the taxpayer subsidise the losses of a commercial business in bad times when we don't share the profits in the good years?"

Because, dear boy, you DO share in the profits by way of taxation. No wonder he voted Labour all his life. He just doesn't get the bigger picture. Unless you are an ideological zealot, you don't let otherwise well run companies which employ large numbers of people who pay income tax go to the wall if you can insulate them from issues which could not have been reasonably predicted and which are likely to be temporary.

3 comments:

Anonymous said...

Which part of GLOBAL ECONOMIC MELTDOWN

don't you and Key understand.


Sell the lot. Now. or close 'em down.

Promises made a couple of months ago
must be considered absolutely worthless now.

We must cut all the fat:
we must cut muscle and sinew and bone too

if we want to survive this somehow.

Why not simply give $2 million to the ABC and $500,000 to SBS and to carry their programming here?

ZenTiger said...

Make up your mind Anonymous. On one thread you say "keep em" and on another you say "sell".

How can I possibly trust the opinion of some-one with at least 100 distinct, variable personalities?

Clunking Fist said...

?
I'm confused: why wouldn't you sell the lot.

And also sell the freeview platform. WHo cares if in 100 years there are still some tv stations broadcast on analogue? Why should the gummint care? Every TV ststion-company should decide for themselves when to pull the plug on analogue. After all, they own the right to that part of the spectrum, so if they want to broadcast one channel when they could choose to go digital and broadcast 25...

And selling TVNZ is not the same as letting it go to the wall. Trademe wasn't sold because it was going to the wall, but because some guys were prepared to pay bloody good money for it because they had some good ideas on how to make it even more profitable.