Wednesday, August 05, 2009

News Corp (FOX) records £2bn loss

The Guardian

Rupert Murdoch's global media empire, News Corporation, slumped to a $3.4bn (£2bn) net loss for the 12 months to June as a combination of plunging advertising revenue, impairment charges and online losses contributed to the company's worst year in recent memory.

The group suffered hefty accounting charges related to a drop in the value of its assets. After stripping out these one-off items, its full-year operating profit dropped by 32% to $3.6bn, with growth in revenue at the group's cable television networks failing to make up for a slump in income from films, newspapers, books, magazines and online offerings.

Murdoch said: "The past year has been the most difficult in recent history, and our 2009 financial performance clearly reflects the weak economic environment that we confronted throughout the year."....

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