CERTAIN factors have had to be met in our proposals to the Pilkington Committee.

The first one we must face is that the people of this country have spent somewhere around about £1,000,000,000 [£19.7bn in today’s money, allowing for inflation – Ed] in buying themselves TV receivers on the 405-line standard.

The Television Advisory Committee, however, recommend that the 625-line transmission offers worthwhile improvements in quality over the present British 405-line transmission. It has other advantages too.

Therefore it seemed to ATV that we should make what contribution we could to the development of television as a whole in this country over the next ten years.

This Company has said in three Annual Reports in succession that we do not like finding ourselves occupying a monopoly position and that we would welcome competition.

So one of the things we feel is that, as there is an available channel in Band III, it should be opened up for an alternative and competitive independent television service.

Competitive Service

Now we, as a Company, do not favour the idea that this third available channel in Band III should be given to the BBC. The BBC has already said that it would require a licence of at least £5 [£100] if it is to operate an additional service.

We see no reason why the public should pay more and we see every reason why true competition should be introduced in the independent television field.

Monopoly situation

We are perfectly prepared to face competition. But we are going a good deal further than that. Although this answers the objection to a monopoly situation, it doesn’t even begin to take care of the technical advancement to 625 lines. And unless we advance to 625 lines we shall be lagging behind the whole rest of the world.

Therefore we must find some way of taking care of this. There are two ways of doing it.

We are perfectly ready to pay the necessary costs to the ITA for a new set of 625-line transmitters in Bands IV and V to carry a 625-line service as well.

In other words:

1. ATV is ready to face competition.

2. ATV is also ready to institute a 625-line system in Bands IV and V.

That is one proposal. But we don’t by any means limit it to that.

Again we are prepared, within that four hours, to put out one hour of colour per day in Bands IV and V.

This means that, as the situation remains at this moment, ATV is openly inviting competition and we also want to get into 625 lines because the future of television in the country as a whole depends upon it.

Now let’s meet the members

THE Pilkington Committee was set up last autumn to consider the future of radio and television in Britain.

Its terms of reference included: To advise on the services which should in future be provided in the United Kingdom by the BBC and ITA; to recommend whether additional services should be provided by any other organisation: and to propose what financial and other conditions should apply to the conduct of all these services.

The Chairman is industrialist Sir Harry Pilkington and the members include: Mr. H. Collison, General Secretary of the National Union of Agricultural Workers; Mr. Elwyn Davies, secretary of the University of Wales; actress Joyce Grenfell; Richard Hoggart, lecturer in English at Leicester University; Mr. E. P. Hudson, managing director, Scottish Agricultural Industries Ltd.; Mr. J. S. Shields, headmaster of Peter Symonds’ School, Winchester; Dr. R. L. Smith-Rose, Director of Radio Research in the Department of Scientific and Industrial Research; Mrs. Elizabeth Whitley, Vice-Chairman of the Association of Girls’ Clubs and Mixed Clubs; Billy Wright, the footballer; and Professor F. H. Newark, Professor of Jurisprudence, Queen’s University, Belfast.

The post What we’ve told the Pilkington Committee… AND WHY appeared first on THIS IS ATV NETWORK from Transdiffusion.

COLOUR pictures were cast 25 miles across London last month in a demonstration which showed how the latest television techniques can be used by companies in promoting their products.

Carreras Ltd, the tobacco manufacturers, were introducing their new Piccadilly filter-tip cigarettes at the Piccadilly Hotel. They wanted to show those present how the cigarettes were being made at their factory in Basildon, Essex — and show it all in colour.

It was the task of ATV engineers to link the factory with the hotel suite. This they achieved via a water tower at Laindon Hills, Essex, and the company’s permanent link at Hillcrest, Highgate. E.M.I equipment was used for the linking, Marconi equipment for the “shooting” at the factory and Bush monitors enabled the party at the Piccadilly to see the various processes taking place at the factory.

For ATV Bob Cooper, Stan Merrick and Bill Smith were at Basildon. Dennis Sippings and Arthur Durrell at Laindon Hills, Gordon Daniels and Vic Zytek at Highgate and Cliff Whiting, Percy Tickle and Henry Hall at the Piccadilly Hotel.

MOST LIKELY SYSTEM

When Britain gets Colour TV the system most likely to be used is the NTSC system now operating in the United States.

Len Mathews, Assistant Technical Controller, Communications and OBs, told guests at the Carreras colour demonstration some of the advantages and disadvantages of the system, with particular reference to the importance of the linking ATV had provided.

The NTSC system is a colour specification proposed by the National Television System Committee, an American industrywide engineering group set up between 1950 and 1953 to develop colour TV specification for the United States, said Mr Mathews.

FAIRLY COMPLEX

Although the NTSC system is a fairly complex one, which requires the use of what is known as a coding and a decoding equipment, it has two main advantages.

Firstly, it is compatible with the present monochrome system.

Secondly, the bandwidth occupied by the television signal is the same as required for the present-day black and white.

The post Colour TV in Piccadilly appeared first on THIS IS ATV NETWORK from Transdiffusion.

THE start of colour television in the Midlands coincides with the completion of a remarkable achievement, technical and in construction, that marks a major stage in Birmingham’s development as a source of television programme production.

Programme-making switches from the Alpha Television Theatre at Aston Cross to the new city centre studios of ATV Network, part of a £6,000,000 [£84½m in today’s money allowing for inflation – Ed] development.

When the administrative block is ready late next year, the TV unit will be the first completed section of the £15,000,000 [£211m] entertainment and hotel complex that is to rise on the site of the former West End Cinema and car park.

In design and fitness, the contrast between the two buildings could not be more vivid. At Aston ITV began in 1956 in a building converted from a former cinema which itself had replaced a theatre of Edwardian days.

The new building at ATV Centre houses the world’s most up-to-date complex electronic machines that create programmes for colour television — the new look viewing standard for the 1970s.

It could be a happy augury that ATVs new home goes on the air in little more than 15 months from the day construction of the building began.

Equipment

Progress on a complicated operation has called for the most exacting of timetables.

About half of the £6,000,000 outlay has been on studio equipment. The building, to which the administrative block is to be added, will occupy three acres of the six-acre West End site.

At the end of the year the Alpha studios will close, but the offices in Edmund Street will be occupied for another year. Then the new television headquarters will house a staff of 550.

What has most impressed the broadcasting world is the efficient, compact design that breaks away from the familiar system of lateral studio layout favoured in the past. ATV Centre embodies new architectural and acoustic features.

It has been planned so that the group of three main studios are at the heart of the structure, apart from essential service departments, but still within easy teach,

Control room design embodies a new principle that seems appropriate to 1970 thinking.

Now a producer, or director, must select his pictures for transmission solely from the array of monitor screens that light up the pictures captured by individual cameras.

Lighting and sound controllers command impressive galleries that include computer-regulated “memory banks” of lighting effects. By pre-selection these can store a vast range of patterns which can be “keyed” for use as the sdript demands.

Completion of the first stage of this development sets the seal on one of the most spectacular transformation scenes in a Birmingham accustomed to a major clearance projects and achievements that are re-shaping the city.

That achievement has earned the admiration of visitors from overseas and from many parts of Britain who have toured the building.

It required a dovetailing of building and operational priorities that depended on the installation of many thousands of pounds worth of intricate equipment for sound and vision.

Trend-setting colour

COLOUR TV is likely to prove an even more forceful mass persuader than it has been in the past. It will influence styles in many ways.

Girls won’t always be the trendsetters in fashion — though colour will emphasise the smartness of way-out clothes.

Masculine styles will encourage more attention for the peacock look.

Cosmetics will get sharper scrutiny because of colour’s “truth.” Blonde and brunette will be registered with a clarity that monochrome cannot match.

Pastel shades, too, will alter ideas about the household.

You can expect to see kitchen and cooking equipment in a wider range of colours — check how food really looks while it is being prepared and served.

Roasted meat joints, or poultry, will have to be seen to be the “lovely golden brown” the chefs proclaim.

We’re colourful in black and white… but look at us now!

SATURDAY, NOVEMBER 15th. ATV the Midlands network goes colour. Programmes produced at our new colour studios in Birmingham’s Television Centre will be beamed to viewers from the Sutton Coldfield transmitter. Your favourite characters, drama, news, sport, outside broadcasts, all will have a new richness, a new reality — in living colour!

What colour are Tom Jones’ eyes? Can you tell the Sky Blue of Coventry from the Old Gold of Wolves?

Is Noele Gordon wearing the same dress as last night? In colour it all comes true! And ATV gives you colour at its most natural. After all, we’ve been producing colour programmes for the world longer than anyone else in Britain. As far back as 1964 American viewers were enjoying ATV colour programmes. But even if you’re not quite ready yet to switch to colour viewing, your ATV favourites will still be entertaining you, as colourfully as ever, in black and white.

The post ATV’s own spectacular! appeared first on THIS IS ATV NETWORK from Transdiffusion.

TERENCE C. MACNAMARA, ATV’s Technical Controller, has worked in television and radio since the pioneer days.

He joined the BBC engineering department in 1923 and saw the building up of both the BBC sound and television services. Today he is in charge of ATV’s 179-strong engineering department.

At the age of 56, he has seen the growth of the industry since the earliest days. He proudly remembers showing Marconi around the BBC’s Savoy Hill studios in 1923 and Lord Rutherford around Alexandra Palace in 1936. He also worked with James Logie Baird [sic: John – Ed].

Baird, he remembers as “a lovable man of great vision — impractical, though, and with no idea of money.”

Mr Macnamara was responsible for the complete installation at Alexandra Palace after he moved to the television section of the BBC engineering design and installation department, of which he ultimately became head.

In 1951, he joined Norman Collins in High Definition Films Ltd., making electronic films with Pye Ltd. at Highbury. Mr Macnamara has chalked up some notable “firsts” during his career.

He was in charge of the first television outside broadcast ever carried out at the coronation of George VI, and also supervised the first TV outside broadcast of the Oxford and Cambridge boat race from a launch following the boats.

When ATV started there were only five months to get the service going.

“It was an enormous strain on the technical people. We worked all day and all night. The job was planned by about three people.

“Today we are using a similar team to plan the great new Elstree studio scheme”.

During the war Mr Macnamara worked for the BBC team used by the Air Ministry. Their job was radio counter-measures such as distorting German beacon signals to throw their aviators off course.

Mr Macnamara helped to deal with a German mystery voice that interrupted London programmes. The voice, which the technicians called “Funf” came from a transmitter on the continent. He and his colleagues had to devise a way of blotting out the German signals.

Looking to the future, Mr Macnamara says: “I’m a supporter of the introduction of the 625-line system. I’ve seen colour TV too, both in America and Russia, and we keep a close eye on developments in that direction.

“I believe young people with a bent for engineering should be encouraged to go in for the technical side. We started a trainee scheme straight away at ATV and nearly all the original trainees are now in posts of considerable responsibility.”

Mr Macnamara has been married for 33 years and lives with his wife, Kathleen in a “minute Regency terrace house in St John’s Wood.” But at weekends he goes to his country house in the village of Cadbury, Devonshire.

The post His first O.B. – a Coronation! appeared first on THIS IS ATV NETWORK from Transdiffusion.

“Altogether a most excellent year….”

The Fifteenth Annual General Meeting of Associated Television Corporation Limited was held at ATV House, Great Cumberland Place, London, W.1. on 24th September, 1970, at 12 noon.

The following are extracts from the Statement by the Chairman, Lord Renwick of Coombe, KBE, for the year ended 29th March, 1970:-

Not only is the Group profit (after levy but before taxation) of £5,635,000 [£73.5m] the fourth highest in ATV’s history, but this outstanding result has been achieved despite the fact that the profit from your television subsidiary, ATV Network, has fallen away by no less than £2,152,000 [£28.1m].

In short, the Corporation’s long pursued policy of planned expansion in the entertainment industry is now reaping the reward of earlier long-term investment, and the warning in my last Annual Report of the impending unhealthy state of Independent Television has been sadly kustified.

I will deal later with the causes, mostly foreseeable but unfortunately beyond the Board’s control, of the current decline in the television Industry. For the moment I will confine myself to those aspects of the Group where there is every indication of continuing prosperity.

FILMS. First must come film production and distribution which contribute no less than 41% to the Group profit. The success in this sphere of your subsidiary companies, Independent Television Corporation of America and Incorporated Television Company Limited of England, represents an altogether remarkable personal achievement on the part of the Group’s Chief Executive and Managing Director, Sir Lew Grade. Until the mid-sixties, British-made television production was regarded as virtually unsaleable in the United States. The degree to which a transformation has occurred may be judged from an article in the April issue of America’s leading entertainment journal, “Variety.” I will quote the opening paragraph;

“Sir Lew Grade may do single-handedly to American television what it took four strapping Liverpool boys to do to American popular music. The British video impresario, who heads Associated Television there, is all by himself the first major foreign influence in the hitherto all-American tele industry.”

MUSIC. Equally gratifying have been the results of ATV’s expansion into music publishing. With the acquisition of Northern Songs, which owns the musical copyrights of Lennon and McCartney, your Corporation now possesses a commanding property. Profits of Northern Songs for the eleven months to the end of March, 1970, considerably exceed the profits for the preceding full year, and the volume of business is steadily increasing.

Taken in conjunction with Pye Records, which continues to hold an important and growing position in the international disc market, ATV’s operations in music and records are now firmly and broadly based. The profits from this division amount to 32% of the Group’s total.

THEATRES. ATV’s theatrical interests are of key importance within the Group, and the Stoll Theatres Corporation and its subsidiary, Moss Empires, under the chairmanship of Mr. Prince Littler, have once again enjoyed a good year. I am pleased, moreover, to be able to report that results for the current year are substantially better than for the year under review.

CRISIS IN THE TELEVISION INDUSTRY

In July, 1969, the rate of Turnover Levy was increased to a level calculated to extract a further £3 million from the industry. This, as I had already given warning would happen, immediately produced a crisis which changed the whole financial structure of Independent Television and endangered the very existence of some companies not protected by diversified operations.

In April, 1970, the Turnover Levy rate was amended to provide for a remission of £5 million. This purely stop-gap relief was, however, offset by the fact that over the year 1969/70 national television advertising revenue had itself declined by some £5 million. This decline is symptomatic of the state of the country’s economy. It is not possible to forecast the date by which the Government will feel able to take measures to raise, rather than to depress, the level of domestic spending upon which all domestic advertising depends. What is possible to forecast is the date by which the Independent Television industry will find itself unable to finance its increasingly costly operations. This date is 1971.

TURNOVER LEVY. Clearly, the Turnover Levy, which is imposed on revenue, and is required to be paid before meeting operational expenses and before paying Corporation Tax on profits (if there are any), should be abolished altogether leaving the Television Companies to make their contribution to the Exchequer entirely through Corporation Tax in the usual way. This would remove the invidiousness of a discriminatory levy imposed upon a single industry, and would place Independent Television upon an equal footing with all other commercial operations. On this basis – and on this basis alone – can the return both to shareholders in Independent Television Companies and to the Exchequer be made fair and equitable.

BROADCASTING HOURS. Because of the limitation on broadcasting hours, ATV Network alone is denied extra revenue of not less than £½ million [£6.5m] per annum. Any review of Independent Television must take into account the effect on the industry of the new major franchise — Yorkshire — granted by the Authority in 1968. While we welcome this recognition of Yorkshire’s independent status, it cannot be overlooked that the introduction of a fresh contributor to the Independent Television network has meant that other contributing companies have been left with considerable under-utilized studio facilities.

The redistribution of franchises in 1968 brought with it, moreover, heavy capital demands on some companies for the provision of new studios. ATV Network’s own development in Birmingham, for example, has called for some £6 million [£78.2m]; and this capital investment comes on top of some £1.5 million [£19.6m] previously required for the conversion of ATV’s Elstree studios to Colour on the 625-line standard.

Finally, rising costs — not least labour costs – within the industry continue to erode and, in many instances, entirely erase the narrow margin of profit which remains after the payment of the Levy.

AWAITING GOVERNMENT ACTION. The Independent Television Authority is no less concerned than the companies at the gravity of the situation which has arisen, and all the figures for the industry have been submitted for investigation by the Prices and Incomes Board. It is not too much to say that the whole future of Independent Television now depends action by the Prices and Incomes Board, the Chancellor of the Exchequer and the Minister of Posts and Telecommunications.

MANAGEMENT AND STAFF

On behalf of the Board, I pass on my thanks and appreciation to members of the Management and Staff at all levels.

The post ATV financial results: 1970 appeared first on THIS IS ATV NETWORK from Transdiffusion.

The 13th Annual General Meeting of Associated Television Corporation Limited was held at ATV House, Great Cumberland Place, London, W.1, on 26th September, 1968 at 12 noon.

The following are extracts from the Chairman’s Statement read at the meeting.

Since the year end we have been able to announce a further multi-million dollar U.S. deal for a new Millicent Martin television film series.

ATV Corporation is already one of the world’s greatest producers of filmed television series for international distribution. Current production costs run at some £7 million [£101.8m in today’s money allowing for inflation – Ed] a year and by 1970, when we will also be among the world’s greatest producers of feature films for international distribution, ATV’s annual expenditure will have been approximately doubled. Very large revenues indeed will by then be flowing in from overseas and these, of course, are in no way subject to the Turnover Levy which falls so heavily upon ATV Network.

A recent issue of The Financial Times quoted a table showing the major U.K. companies in order of merit judged by their net profit as a percentage of capital invested. We were delighted to see that ATV came fifteenth out of all British Industry. This is a very high tribute to your management team led by Mr Lew Grade our Chief Executive, Mr. Robin Gill our Managing Director and Mr. Jack Gill our Finance Director.

The financing of Paradise Centre and the Group’s general needs are being looked at with our advisers, so that we have the appropriate cash available for our planned expansion.

The following are extracts from the Directors Report for the year ended 31st March, 1968.

GROUP RESULTS

The profit for the Group, before Levy and taxation, is £12,369,000 [£179.8m], an increase of £530,000 [£7.7m] over the results of last year.

This improvement is more than offset, however, by the increased amount of Levy (£6,186,000 [£89.9m] this year as against £5,761,000 [£83.8m] last year) in respect of your Company’s ATV Network operation, and the increased amount of taxation (£2,770,000 [£40.3m] as against £2,348,000 [£34.1m] last year) for the Group as a whole. Levy and taxation together reduce the Group’s profit to £3,413,000 [£49.6m] which is £317,000 [£4.6m] less than last year.

In the light of these trading results, your Board nevertheless feels fully justified in recommending on increase in the rate of dividend for the year. The final dividend of 15.9625% will bring the total for the year to 28.4625% (as against 27.5% lost year). This represents the maximum increase permitted by the Treasury.

Shareholders’ funds are £23,812,000 [£346.2m], as against £22,708,000 [£330.1m] for 1967.

DIVERSIFICATION

The proportion of Group Profits attributable to Subsidiaries has, during the year, risen to 45% as against 42% in the previous year and 30% for the year 1965/66. Inspection of the Group’s Financial Statistics will, indeed, reveal that progress in the Group’s trading activities outside the TV operation has been both rapid and consistent, viz., the conversion of a net loss situation of £303,000 [£4.4m] in 1962 into a profit figure of £2,749,000 [£40m] in this year’s Accounts.

The value of Group Export sales for the year totalled £5,650,000 [£82.1m].

TELEVISION AND RELATED ACTIVITIES

New ITA Contract. ATV Network Limited was awarded the Independent Television Authority’s Contract for the Midlands Area for six years, commencing 30th July, 1968. This is the major Contract under the current allocation of the Independent Television Authority.

New Midlands Studios. By the end of 1969, the Television Studio portion of the new ‘Paradise Centre’ in Birmingham will be complete. These studios will be fully equipped for the start of Independent Television’s Colour transmissions at the end of 1969, and will be the most modem in the world. Every advantage will be token of the latest technological developments In the television field, and of our years of experience with colour programming at Elstree.

PROGRAMMES FOR ALL SEASONS

During the year your Company mode more than 1,000 contributions to the Network, and fully maintained its leading position among the Independent Television programme makers.

One programme, the Royal Variety Performance, established a new record. Designed as a charity show in aid of the Variety Artistes’ Benevolent Fund, and given in the presence of Her Majesty The Queen and His Royal Highness The Duke of Edinburgh, this production was seen in 11½ million homes, representing some 40 million viewers.

‘Spotlight,’ a production for CBS of America, and ‘Show Time,’ seen on the same trans-Atlantic network, were both among the Colour programmes produced in ATV studios. Indeed, in the whole matter of Colour, ATV has been to the forefront. Even while home-viewers could see ATV programmes only in black-and-white, the Documentary department has been producing in full Colour. One programme in particular, ‘The Last Shangri-La,’ has been internationally acclaimed for the beauty of its photography.

FILM PRODUCTION AND DISTRIBUTION

ITC—Incorporated Television Company. It is this company which is responsible for all ATV’s film productions, and for distribution of films and television programmes in the Eastern hemisphere.

The current production schedule is an unusually full one. No fewer than four series are currently being filmed. Sales, moreover, are fully abreast of production.

Independent Television Corporation. This company, which acts as distributor of ATV films and television programmes throughout the Western hemisphere, has enjoyed an outstanding 12 months’ trading. The current year promises to be equally rewarding. ATV Series ‘Man in a Suitcase,’ ‘The Saint,’ ‘The Prisoner,’ ‘Show Time,’ and ‘The Champions’ hove all been shown on the U.S. Networks.

Century 21 Productions. The puppet films made by Century 21 Productions are world-famous in television and cinema alike. A new TV series, ‘Joe 90,’ is now ready; ‘The Secret Service,’ a revolutionary piece of production in which a live actor doubles with his puppet counterpart, is already on the studio floor.

THEATRES

Stoll Theatres Corporation. This Group has enjoyed a record year. It is particularly pleasing to announce that your theatre, the London Coliseum, has now become the new Opera House for Sadler’s Wells.

RECORDS AND MUSIC

Pye Records. Pye Records had a conspicuously successful year with profits again reaching a new record level. In 48 weeks out of 52, it has appeared among the Top Twenty despite the increased efforts of American competitors.

Music Publishing. Our existing companies, Welbeck Music, New World Music and Jubilee Music, continue to produce excellent results, and active steps are being taken to enlarge the scope of our music publishing interests.

PROPERTY AND INVESTMENT

Properties. All the various property assets of the Group are being concentrated within our subsidiary company Bentray Investments Limited.

These properties make an exciting portfolio with every indication of steady income growth over the years. There ore also large-scale development possibilities in the long-term in connection with certain of them though, for the time being, there are Government restrictions on office development and building in city centres.

The first major development of Bentray will take place in Birmingham. This, the ‘Paradise Centre’ site adjacent to the Town Hall in the heart of the city, will ultimately comprise a 6-acre development which is unique in character, and the final cost could exceed £15 million [£218m].

Canada. Our investments in British Columbia Television and CJCH Halifax are held by our wholly owned subsidiary, Canastel Broodcasting Corporation.

British Columbia Television has commenced to pay dividends and the company has achieved excellent growth during the lost two or three years. In the cose of CJCH the progress is slower and the market a more difficult one. However, in our opinion the value of our investment is well protected.

OTHER ACTIVITIES

Ambassador Bowling. This company has continued to be profitable. Indeed, the general recession in the industry which has led to the closure of a number of competing bowling centres has proved a direct benefit to Ambassador Bowling.

Planned Music Group. Substantial progress was mode during the past year. It is calculated that approximately 3½ million people in the United Kingdom listen to Muzak every week, and this number is growing steadily. Worth-while contracts for the supply of equipment hove been obtained from Germany, Denmark, Switzerland, Norway and Israel.

Bermans. This company has hod the most successful year in its history. On the continent, Bermans is now recognised as the major film and theatrical costumiers of Europe.

MANAGEMENT AND STAFF

The Board wishes to express its most sincere thanks to those members of ATV’s staff at all levels who have so conscientiously served the Corporation during the past year.

The post ATV financial results: 1968 appeared first on THIS IS ATV NETWORK from Transdiffusion.

“POLICY OF PLANNED EXPANSION WILL BE VIGOROUSLY PURSUED”

Before I comment on the year’s results — which, for the fourth successive occasion, I must describe as truly excellent — let me refer to four important events in your Company’s history.

(i)        ATV Network Ltd., your wholly-owned subsidiary, has been awarded the seven-day-a-week Contract for the Midlands from 30th July, 1968, for a period of six years. This is the major Contract offered by the Independent Television Authority.

(ii)        Associated Television, the first television, film and programme producing Group to be recognized in this way, has been honoured by being chosen as a recipient of the Queen’s Award to Industry for Export achievement in 1967.

(iii)        The range of your Company’s operations is now so extensive that your Board has felt for some time that a new title would be more proper Accordingly, it is being proposed that Associated Television Ltd., the parent Company of the Group, should be renamed Associated Television Corporation Ltd.

(iv)        Mr. Lew Grade has been appointed a Deputy Chairman and Chief Executive of your Company, and Mr. Robin Gill has been appointed Managing Director.

GROUP RESULTS

The consolidated Profit and Loss Account shows a profit for the Group, before Levy and taxation, of £11,838,787 [£179.3m in today’s money, allowing for inflation – Ed], an increase of £779,476 [£11.8m] over the results of the previous year (£11,059,311 [£167.5m]).

The Levy on Television Advertising Revenue amounts to £5,761,068 [£87.2m] and is £328,702 [£5m] higher than last year. After deducting this levy, the profit before taxation amounts to £6,077,719 [£92m] (last year £5,626,945 [£85.2m]).

Taxation for the year is £2,348,188 [£35.6m] as against the previous year’s figure of £2,780,325 [£42.1m]. After adding back £528,697 [£8m] in respect of a provision for depreciation no longer required, the Group profit after deducting the Levy and taxation amounts to £4,258,228 [£64.5m] as compared with £2,846,620 [£43.1m] last year.

The Shareholders’ funds, at £22,708,000 [£344m], are more than £5,000,000 [£75.7m] greater than at the end of the previous year. The total increase since 1963 now amounts to £12,589,000 [£190.7m].

ATV GROWTH FACTOR. In an article, entitled “British Business Growth League,” published in the June, 1967, issue of “Management Today,” ATV was shown as the top company in the country for percentage increase in pre-tax profit for the period 1957-66.

In the same article, ATV was included in the list of Top Ten companies for percentage increase both in net capital employed and gross cash flow for the same period.

FUTURE PROSPECTS. I must refer to the disturbing economic conditions which prevail, but in your Company’s affairs, two major factors, both highly encouraging, now colour the whole situation.

In the first place, the matter of the ATV Network Licence is satisfactorily settled, and your subsidiary’s profitable working into the mid-1970s can realistically be predicted.

Secondly, in the year under review, the non-licence operations within your Group contributed some 42% to the Company’s overall profits; and the high level of these non-licence earnings should be at least maintained.

I am able, therefore, to inform shareholders that I find both sides of your Company’s activities in good order, and can assure them that our announced policy of Planned Expansion will be vigorously pursued.

ATV NETWORK

THE NEW MIDLAND CONTRACT. I have already referred to the new seven-day-a-week Contract for the Midlands (10.4 million population) which the Authority has awarded to your Company.

This is the Contract for which your Company applied. It enables us to enlarge our long-standing interest in the Midlands, and also to maintain the greatest possible output of programmes for the national network.

From the outset of Independent Television, ATV has urged undivided weekly working as preferable in every way to the weekday/week-end split; and your Company is delighted that it will now be able to provide the unified and unbroken seven-day-a-week service which the Midland viewer deserves.

Shareholders will appreciate that the previous short Licence period of three years, the extension of one year, and uncertainties as to the future shape of Independent Television, rendered long term planning impossible. For the first time, your Company con see a clear course ahead of it, and a new studio complex will be erected. Plans for this were commissioned over three years ago. The studios will be the most up-to-date in the country and will be built with all the requirements of Colour in mind.

Now that the Authority has clarified the whole position, and ATV Network con concentrate its interest on the Midlands viewer, the Board of ATV Network will be strengthened by the addition of leading Midlands figures, and resident Executive Directors from within the Company.

I am very happy indeed that it should be Mr. Bill Ward, for so long one of the key men in ATV who becomes an Executive Director of ATV Network. Mr. Leonard Mathews, who, as Midlands Controller, has played such an important role for the Company, has also been appointed to the Board.

THE MIDLANDS. Both local and nationally networked programmes hove shown a notable increase during the past year.

The daily serial, “Crossroads,” continues to enjoy top programme ratings, and the televising of the 500th episode in 1966 was celebrated by a dinner in Birmingham attended by viewers drawn from all parts of the United Kingdom.

ATV’s weekday network programme for children, “Tingha and Tucker Club” — the most popular in British television — has been joined by a Sunday network programme, “Tree House Family,” which is now seen in over 4 million homes.

The new regular weekly programme, “Midland Member,” enables a Member of Parliament from one of the 107 constituencies in the area to give a first-hand account of the work at Westminster; this is now recognised os providing one of the most important political contributions to Midlands life.

The magazine programme, “ATV Today,” continues to attract an audience of well over three million viewers; and, during the year ATV’s film unit covered more than 70,000 miles in collecting items for “Midland News.” No fewer than 66 Midland news stories provided by ATV appeared in the national news service of ITN.

In co-operation with the Midlands Police Forces, ATV has presented 52 episodes of the weekly “Police Five” programme. Over 250 crimes have been reported, and the police regard the information provided by television viewers as responsible, in at least ten per cent of the cases, for the successful outcome of police enquiries.

For the fifth successive year, ATV’s presentation of the Royal Show from the National Agricultural Centre, Kenilworth, received nation-wide coveroge.

VIEWING HOURS. ATV shareholders and the viewing public at large should be aware of the fact that your Company, in common with all other Independent Television companies, is denied the right to provide the full and comprehensive service which it is naturally anxious to present. Hours of transmission ore rigidly restricted by order of the Postmaster General, and protests from the Company have proved unavailing. The Authority has listened sympathetically, and is fully aware of the extra programmes which your Company is seeking to provide. Your Company has all the facilities for the immediate provision of the extra hours. Nevertheless, the ban remains, in spite of the fact that the BBC with its two services now provides some thirty more hours of broadcasting each week than is permitted to Independent Television.

COLOUR. In my last Report I stressed the fact that the ATV Network studios at Elstree would, by the autumn of 1966, be fully equipped for Colour operations in the various international line standards. This has been accomplished, and major drama productions electronically recorded in Colour now include three plays, namely “Ivanov” with Sir John Gielgud; “The Tormentors” starring James Mason and Stanley Baker; and “Present Laughter” with Peter O’Toole and Honor Blackman.

Light entertainment productions in Colour include the two-hour programme, “The Heart of Show Business,” in aid of the Aberfan victims; a series of 13 one-hour productions, “Piccadilly Palace,” with Morecambe and Wise, and Millicent Martin; and a series of 26 one-hour programmes, “Spotlight,” with British, American, and other international star artists.

All these productions are additional to the Colour programmes on film, to which I have referred earlier, and to mony documentary programmes made in Colour. Taken together, they constitute the largest library of TV Colour productions in Great Britain.

I am delighted that one of our news film teams, Mr. Gary Hughes and Mr. Noel Smart, should have won the Bronze Medal in the “hard news” section of the 1966 British Television News Film awards. This is the second year running in which ATV network has won on award.

ALPHA STUDIOS, ASTON. ATV Midland transmissions are co-ordinated through the Presentation Centre of Aston, either for networking or for routing to the Authority’s transmitters at Lichfield and Membury.

The Alpha Studios accommodate nearly one hundred hours of rehearsals, recordings and transmissions each week.

SALES. During a year in which there was a standstill in television advertising rates under the tight economic conditions of the “Squeeze,” the Sales Department of ATV Network nonetheless achieved an increase in net revenue of some 4½%. This growth was accomplished in a year when total national advertising appropriations fell for the first time since 1946.

ATV Network has developed the whole scope of television advertising. Holiday Tours, Fashion, and the Big Stores ore all now represented on the London screen; and, in the Midlands, the service has been extended to small businesses, retail shops and garages. Local advertisements now amount to some 1,500 a year. Moreover, industry throughout the Midlands responded warmly to the introduction by ATV Network of a Staff Recruitment Bureau, and viewers have been informed of over 500 vacancies, ranging from drivers and clerks to management accountants and project engineers.

ATV’s “Midlands Merchandiser,” a trade paper for grocers, now reaches more than 8,000 shops, and provides the only service in the industry which forms a direct link between television and the retailer.

“TV WORLD.” The programme journal for the Midlands is owned jointly by ATV Network and ABC Television, and is published by Odhams Press.

From the outset, this magazine set up new publishing records. The circulation has risen steadily from 640,000 when the magazine first appeared in September, 1964, to the figure of over 737,000 at which it stands today. A long and prosperous future had, therefore, confidently been foreseen. Under a new ruling by the Authority, however, separate programme publications will cease after July, 1968, and a national weekly, with regional editions, published on behalf of all companies will supersede them.

I must, on behalf of viewers in the Midlands, enter a plea that the distinctive character and individuality of “TV WORLD” should be preserved intact in the new publication.

EXPORTS

QUEEN’S AWARD FOR EXPORT ACHIEVEMENT. “Her Majesty The Queen has been graciously pleased to confer Her Award in 1967 upon Associated Television Ltd., London, W.1, for export achievement” — I quote the wording of the official citation which gave the world of British entertainment its first Queen’s Award to Industry.

The formal presentation of the Award was made by Major-General Sir George Burns, Lord Lieutenant of the County of Hertfordshire. The ceremony, which the Postmaster-General and members of the Independent Television Authority attended, took place on 4th July in your Company’s Elstree Studios.

I will not attempt to conceal my feelings of pride when I first read the Royal message. Nor will I conceal the fact that I regard it, in unique degree, as public recognition of the untiring work and devotion over the years of one man, your joint Deputy Chairman and Chief Executive, Mr. Lew Grade.

Shareholders should know that the establishment of a television export market for films has been a long, arduous and, at the outset, a heart-breakingly frustrating business. One by one, Mr. Grade has overcome the objections raised by foreign buyers when offered British products; and it is not too much to say that, through his efforts, your subsidiary, Incorporated Television Company, is now one of the most sought-after production sources in the world.

Knowing the strains that are involved in the many and complex transactions I am glad to think that, on his visits abroad, Mr. Grade should have your Managing Director, Mr. Robin Gill, there beside him. Together I believe, they represent the world’s strongest partnership in television film production and international distribution.

ATV EXPORTS TODAY. The turnover figure for your Company’s export of television programmes continues to rise steadily. U.S. dollar sales have passed the $10,000,000 [$91.1m] mark and sales in the European Hemisphere have correspondingly increased. There is every indication that this present trend will not only be maintained, but will be improved upon.

INDEPENDENT TELEVISION CORPORATION. This year your Company will have no fewer than five Colour television series on the American networks. This is the highest number in the history of the Company. In addition, a number of individual plays and documentaries have been sold to the American networks.

These results in the United States could not have been achieved without your Company’s American subsidiary, Independent Television Corporation.

INCORPORATED TELEVISION COMPANY. Nor could these export results have been obtained had it not been for the magnificent work of your production group, Incorporated Television Company. The schedule of work in hand has never been so extensive as at the present moment, and the following series, all in Colour, are currently reaching completion: “Man in a Suitcase”; “The Prisoner”; “The Saint”; “Spotlight”; “Piccadilly Palace”; “The Champions.”

The wealth of British talent among producers, directors, script writers and actors available to I T C has led to a deal with United Artists for three feature films starring Roger Moore. Further feature film productions are in negotiation. All of these are for distribution to cinemas throughout the world.

In addition to its production activities, Incorporated Television Company is responsible for Eastern Hemisphere television sales where the year produced record results. Your company’s programmes are now being shown in 62 countries on this side of the Atlantic alone.

THEATRES

STOLL THEATRES CORPORATION. I am happy to be able to report that this Group, under the chairmanship of Mr. Prince Littler, has enjoyed another successful year.

The current production, “Fiddler On The Roof” at Her Majesty’s Theatre has proved a triumph, and “There’s A Girl In My Soup” at the Globe Theatre has established itself as one of the outstanding attractions of the West End stage. Earlier in the year the centre of theatrical London was to be found at the Queen’s Theatre, which housed Noel Coward’s “Suite In Three Keys,” and the National Theatre Season.

The London Palladium pantomime, “Cinderella,” again broke all records, and “The Black & White Minstrel Show” at the Victoria Palace continues undiminished into its sixth year.

The satisfactory results of the Stoll Theatres Corporation have been achieved despite the dual burdens of Selective Employment Tax and rising costs. Elsewhere in the West End, however, and among the provincial theatres the effects of rising costs and S.E.T. have been most damaging.

PROPERTIES — CENTURY 21 — PYE RECORDS — MUSIC PUBLISHING – MUZAK — BOWLING

PROPERTIES. During the year we have brought our many property interests together within Bentray Investments. We now have a steady programme of improvement and expansion planned for the years ahead.

CENTURY 21. On both sides of the Atlantic it is acknowledged that the “Thunderbirds” series of Gerry and Sylvia Anderson established entirely new levels in film-making ingenuity. Equally remarkable technical advances have now been achieved with a new range of puppets which will be seen for the first time in “Captain Scarlet,” a series of 32 half-hour episodes currently in production in Colour.

CENTURY 21 MERCHANDISING LTD. — PUBLISHING LTD. — TOYS LTD. The business of these three companies is the exploitation of subsidiary rights in television and motion picture properties.

In conjunction with City Magazines Ltd., a subsidiary of the “News of the World,” four children’s weeklies are now being produced and “TV Century 21” and “Lady Penelope” in particular enjoy outstanding success.

PYE RECORDS. The year’s trading has been highly satisfactory. Among Pye Records successes are the First and Second Prize winners in the Eurovision Song Contest. Pye Records has, furthermore, established its Marble Arch Label in the forefront of the growing market for lower-priced LPs.

Overseas, the sale of Pye Records has increased by nearly 9%.

MUSIC PUBLISHING. Our joint companies with Chappells are progressing well.

MUZAK. Over 180 leading companies, practically all household names in British industry, now have the Muzak service of background music installed in one or more of their premises. The rate of recruitment to the Muzak service is greater than at any previous time in the company’s history, and shows recognition of the fact that Muzak provides the only programmed background music service with completely non-repetitive new programmes every day.

AMBASSADOR BOWLING. This company continues to operate profitably despite reduced attendance at bowling centres throughout the country.

TOP DIRECTION — YOUR BOARD – INDUSTRIAL RELATIONS — ATV STAFF

TOP DIRECTION. The rate at which your Company has developed and the steadily widening scope of what I have referred to in earlier Reports as our policy of “Planned Expansion,” has necessitated a new framework at the top.

The new post of Chief Executive has been created, ond this will naturally be filled by Mr. Lew Grade. Knowing, as I do, what every phase of your Company’s activities owes to the brilliant direction of Mr. Grade, let me add that it is only fitting that he should also be appointed a Deputy Chairman of your Company.

The name of Mr. Grade is synonymous with the emergence, over little more than a decode, of the name of ATV as a Company of world-wide standing; and I am delighted to have this opportunity of congratulating him.

I can, moreover, regard myself as fortunate in having on the Board a Deputy Managing Director in the person of Mr. Robin Gill, to whom the wider duties of Managing Director can so confidently be entrusted. I om happy to add my thanks to Mr. Gill for the great part which he is playing in your Company’s affairs. The partnership between Mr. Grade ond Mr. Gill to which I have referred earlier in connection with our Overseas Sales, is one which I am happy to say extends also to every aspect of your Company’s business.

During the post year. Mr. Grade become Chairman of Independent Television’s Network Planning Committee, and Mr. Robin Gill hos been asked to continue for a further period as Chairman of the Independent Television Companies Association.

My thanks, too, must go to the Company’s Finance Director, Mr. Jack Gill whose contribution to the running of the Company has proved of immense value.

Finally, I have to report that, owing to other business commitments, Mr. R. P. T. Gibson has tendered his resignation from your Board. Mr. Gibson has been a Director of your Company since 1957, ond I om only sorry that this long connection should now be broken.

BOARD OF ASSOCIATED TELEVISION. Let me say how deeply appreciative I am of all the help which I have received over the year from the various members of your most distinguished and experienced Board.

INDUSTRIAL RELATIONS. Despite the unprecedented problems set by the Government’s Prices and Incomes policy, the Group has been able to continue its progressive approach towards the Unions, and has maintained good relations with its staff and with the Unions with which it negotiates.

A completely new system to productivity payments on the part of ATV Network Ltd. was worked out with the Unions and has been approved by the Ministry of Labour. New inter-Union arrangements were negotiated for Century 21 Productions, and these will eliminate various awkward lines of demarcation.

MANAGEMENT AND STAFF. My co-Directors join me in expressing their warmest thanks to everyone at all levels: Managerial staff, sales staff, accountancy staff and secretarial staff play their part equally with the technicians, the skilled craftsmen and the artistic producers and directors within the Company, and without their loyal and untiring efforts these admirable results could never have been attained.

The post ATV financial results: 1967 appeared first on THIS IS ATV NETWORK from Transdiffusion.

“Results no less than excellent”

Profits, tax and levy

The Consolidated Profit and Loss Account shows a profit for the Group, before Levy and taxation of £11,059,311 [£171m in today’s money allowing for inflation – Ed]. This represents an increase of £1,699,370 [£26.3m] over the results of the previous year (£9,359,941 [£144.7m]).

Moreover, this year’s trading has had to bear the full brunt of 12 months’ Levy on Television Advertising Revenue. Thus, the sum of £5,432,366 [£84m] had to be set aside for this purpose, as against the sum of £3,837,593 [£59.3m] for the 8 months of the year to the 4th April, 1965 — the year in which the Levy was introduced.

Taxation for the year amounts to £2,780,325 [£43m] as against last year’s figure of £2,752,639 [£42.6m]. In total, therefore. Levy and taxation have consumed no less than £8,212,691 [£127m] (74%) of the Group profit.

It should furthermore be noted that this figure of Levy and taxation payable to the Exchequer is in addition to the sum of £985,253 [£15.2m] payable to the Independent Television Authority for the rental of the London and Midlands Transmitters.

Nevertheless, the Group profit after Levy and taxation amounts to the final figure of £2,846,620 [£44m] as compared with £2,769,709 [£42.8m] for the previous year.

EFFECT OF GOVERNMENT POLICY

In June your Directors announced the intention of recommending a final dividend of 10%, making a total of 26% for the year. The year’s accounts were accordingly drawn up on this basis.

In view, however, of the Government White Paper, “Prices and Incomes Standstill”, I have to tell you that your Directors now feel bound to recommend that the final dividend should be 6½% and not 10%, thus leaving the total dividend at 22½%, as for the previous year.

EXPANSION

The Chairman of a Company which is expanding so rapidly as Associated Television naturally finds himself at a disadvantage in preparing a Report which must suffer some delay before it can reach the hands of the shareholders.

Accordingly, even though these developments have occurred after the end of the financial year under review, I feel that I should report several new acquisitions to your Group’s interests.

First, there is our joint undertaking with Chappell’s in music publishing through our acquisition of a 50% interest in two companies New World Music Limited and Jubilee Music Inc. Secondly, there is the 50% interest in a new publishing company to be formed jointly with the International Publishing Corporation to operate in the general field of educational and industrial training publications and in connection with television programmes.

Thirdly, we have now acquired the remaining 50% of Pye Records making the company a 100% subsidiary of ours.

In addition we have acquired the remaining 49% minority interest in J. Rosenthal (Toys) and are arranging for the acquisition of a 7½ % interest in an insurance company already established by IPC, Reeds Paper Group and Eagle Star.

THEATRES

In my last Report, I referred to your Company’s “largest and most important single investment” in the shape of the acquisition of the whole of the share capital of the Stoll Theatres Corporation and of Moss Empires.

I am now happy to be able to speak of the eminently satisfactory – indeed substantially improved – results of the Theatre Croup, under the Chairmanship of Mr. Prince Littler.

A new record was established for the London Palladium; and, throughout the West End, our theatres played to well-filled houses. Conspicuous among other successes has been Noël Coward’s repertoire of three plays at the Queen’s Theatre which played to capacity business, and “Hello, Dolly!” at Drury Lane.

It is nevertheless sad that the theatre industry, so recently relieved of the burden of Entertainment Tax, should now be saddled with rising costs deriving from the Selective Employment Tax.

ATV NETWORK

In my last year’s Statement I referred to your Company’s policy of “planned expansion”. As this expansion of activities extended into fields other than television, it became increasingly apparent to your Board that a completely new Company framework was required. Accordingly, steps were taken to reconstruct the Group in such a way that the parent Company would become purely the holding Company of its various trading subsidiaries – including a new subsidiary company to be entrusted with the Television Service operated under licence from the Independent Television Authority.

In April, 1966, this major move was completed. A subsidiary company, ATV Network, was created. It was to this new company that, with the agreement of the Independent Television Authority. the Programme Contract with the Authority and the ancillary television activities were transferred.

TV WORLD

The Midlands programme journal for Independent Television is published by Odhams Press Limited on behalf of ATV Network and ABC Television Limited. The success of the magazine has been unprecedented, and sales have risen steadily to well beyond the 700,000 mark.

MERCHANDISING

In none of your Company’s subsidiaries has expansion been more rapid or more satisfactory.

The publishing venture, in association with the News of the World Organisation of the two magazines “TV Century 21” and “Lady Penelope”, has proved eminently successful, and their combined circulation is over the million mark.

The new subsidiary company, J. Rosenthal (Toys), which markets products associated with television programmes is now equipped to become the major distributor in this field, and shows substantial profits.

COLOUR

Colour on the 405-line standard could be made immediately available to the entire British receiving public in the existing VHF services. Those viewers content to watch only black-and-white pictures would remain entirely unaffected. If 405-line Colour Television were authorised in the New Year, ATV Network alone could immediately contribute not less than 20 hours of Colour programmes a week to the Independent Network.

In order that this country should not lag behind in the development of Colour Television, we therefore advocate the earliest possible introduction by the ITA of colour on the 405-line standard in the existing VHF service. By this Autumn, ATV Network’s Studios in London and Elstree will be equipped for Colour operations in the various international line-systems.

EXPORTS

For the first time in television history, British series have been purchased simultaneously by all three American TV Networks. Columbia Broadcasting System purchased 45 episodes of “Secret Agent” (known to British viewers as “Danger Man”), the National Broadcasting Company purchased “The Saint”, and “The London Palladium Show”, and the American Broadcasting Company purchased “The Baron”, “Court Martial” (jointly produced with MCA), and “McGill”, a new series for next season. The triple jackpot of selling to all three networks has at last fallen into British hands.

I am glad, moreover, to be able to say that, for the Eastern Hemisphere, the sales curve of ITC continues to point sharply upwards. Indeed, for the first six months of the current calendar year total sales approximate to the whole of the previous 12 months’ turnover. These sales have been made in more than 50 different countries.

FILM-MAKING

Another intensive programme of film production is currently in hand, including “The Saint” and “McGill” together with a new Patrick McGoohan series “The Prisoner”.

PYE RECORDS

This is the first Annual Report in which I am able to refer to Pye Records as a wholly-owned subsidiary, even though the results contained within the Consolidated Profit and Loss Account reflect only the dividends received under the 50% ownership which then existed.

During the past year, Pye Records has maintained a leading position within the industry. Although in the United States the sudden vogue for British Pop records has somewhat declined, sales have remained good and the overseas sales of Pye Records in other markets have shown a steady improvement.

THE MIDLANDS

At no time in your Company’s history, has the operation of the weekday licence played so conspicuous a part in Midland affairs and the scope of local programming has notably increased.

The first successful five-day-a-week serial, “Crossroads”, originates in Birmingham, and has proved to be nationally popular.

Another Midlands ATV Network programme – this time designed for the young – “Tingha and Tucker” has, as a result of its overwhelming local popularity, now won itself a place in the national Sunday network.

MUZAK

It is all the more agreeable, bearing in mind the originally slow acceptance of this commercial and industrial amenity, to be able at last to refer to its established success. Growth has been rapid, and the daily Muzak audience in the British Isles now numbers some 2,000,000 persons.

BOWLING

In the year under review, the ten bowling centres, comprising 273 bowling lanes, produced satisfactory results showing an improvement over the previous year.

The effects of the Selective Employment Tax cannot do other than affect future profitability.

MANAGEMENT AND STAFF

The debt which your Company owes to the efforts of its Managing Director, Mr. Lew Grade, can in no way be exaggerated. His energy, flair and foresight are apparent in every phase of the Company’s operations and, once again, I most gladly take this opportunity, on your behalf, of thanking him.

I am glad, too, to place on record how fortunate I feel that the Company was to secure the services of Mr. Robin Gill as Deputy Managing Director. The top management team of Mr. Lew Grade and Mr Robin Gill has proved an inestimable asset in the Company’s manifold and expanding affairs.

No less do I and my co-Directors wish to thank all members of Staff throughout the Group. The present healthy and vigorous condition of the Company could never have been achieved without their loyal and devoted work.

The post ATV financial results: 1966 appeared first on THIS IS ATV NETWORK from Transdiffusion.

Your television subsidiary, ATV Network Ltd, commenced its new contract with the Independent Television Authority on the 30th July 1968. The results for this past year have therefore included approximately four months of the old licence period when the company operated partly in the Midlands and partly in the London area, and eight months of the new licence period when our operation was for all seven days of the week in the Midlands.

The Board of this subsidiary company was reconstituted during the year and two very distinguished figures with widespread involvement in the life of the Midlands accepted our invitation to become directors. Dame Isabel Graham Bryce had retired some two years previously as a Member of the ITA. She has, thus, a detailed knowledge of the working of IndependentTelevision and clear views about its future development and its responsibility in each region of the country. In addition, her work as Chairman of the East Midlands Hospital Board and in many other fields of social work in the Midlands, gives ATV Network a new strength.

Sir George Farmer is Chairman of the Rover Car Company and brings to your Board a lifetime of experience from the exceptionally competitive British engineering industry. He is also a Director of the great British Leyland Motor Corporation, and his knowledge of modern industrial practices, of labour relations work and marketing, including the vital export field, will be an immense benefit to the Company. Sir George’s interests also include his Chairmanship of the Royal Shakespeare Theatre and Pro-Chancellorship of Birmingham University.

In addition, Mr Leonard Mathews, the General Manager in the Midlands, was elected a Director during the year. We welcome all three.

The repercussions of the Independent Television Authority’s decision to change the structure of the industry have been both profound and disturbing.

A very great deal of time has been involved, both in internal reorganisation of ATV Network, and also in arriving at new networking and other arrangements for the exchange of programmes between the various companies for the new licence period.

A new contractor was brought into the group of companies which supply the network with most of its programmes. Thus five companies were called upon to make the same number of programmes as four did previously-with a commensurate rise in everyone’s costs. In the initial months of the new licence period ATV Network, therefore, found itself with a reduction in total output.

Subsequent network re-scheduling resulted in a sudden considerable increase in the total output required from ATV’s studios. This produced a most difficult and continuing problem for our staff at Elstree and Birmingham.

Television Levy

The increase in the Levy announced in the Chancellor’s Budget speech came like a bombshell. It is quite clear that a major miscalculation has been made. The financial viability of ITV had been drastically altered as a result of the redistribution of licences and the past decisions of the Government to change the line standard from 405 to 625, and to introduce colour. These decisions, together with the requirement for new Midland studios, created an additional capital requirement, which will amount to about £7 millions in ATV Network alone. Your Board had come to the conclusion before the Budget that every effort should be made to impress upon the Chancellor that the Levy should be reduced.

We have made representations and will continue to press the Government with the utmost vigour to make a very substantial reduction in the Levy.

Staff relations

Almost immediately following the change of licence last summer, the industry was subjected to a major and quite unnecessary national strike by its ACTT members. This strike was created partly by the lack of confidence within the industry as a result of the licence change. Only after the industry had suffered considerable losses was it possible to return to the ordinary negotiating machinery and ultimately find a solution.

Concurrently with the negotiations with ACTT, the industry reached new agreements with its other major Unions – NATKE, ETU, NUJ and Equity. It is well worth mentioning that the new agreement reached with Equity was extremely complex but was negotiated with great goodwill, with each side adjusting its position so that benefits could flow to both.

It is the earnest hope of your Board and the Board of ATV Network, that a new basis of sound relations has been created within the company for the future. Short term productivity agreements were reached both at our Elstree studios and at Birmingham to cover our present production activities. We have now asked each of the main Unions to negotiate with us long term productivity deals protecting both their individual interests and your company’s throughout the remaining five years of the present television licence. We have been pleased with the initial response from the Unions to these proposals. They are now under detailed negotiation but we will need the full understanding of our Union employees that the only way the company can afford to pay additional wages beyond the exceptionally high levels which already apply in this industry is in return for further direct calculable improvements in individual productivity.

New Midland Studios

We are well pleased with the progress in completing our new television studios at Paradise Centre in Birmingham. Both our architects and the equipment manufacturers have worked well with us to ensure that the new studios will be available for transmissions from the target date next month.

By the early part of 1970 all parts of the Paradise Centre Television Studios will be fully operational.

Programmes

The centre of ATV Network’s activities is in its programmes. In spite of the many difficulties of the past year, ATV has once again produced a wide range of programmes of all types. Some of the highlights of the past year are shown on page 13.

There have been indications of a reduction in the total amount of viewing for television programmes. The largest proportion of the decline has fallen to BBC programming in spite of its control of two channels and monopoly of free advertising for its television programmes on BBC radio – a very great advantage which BBC Television enjoys. In the last six months, ATV Network’s proportion of the total television audience has risen substantially, and now stands at approximately 56%, with BBC1 and BBC2 combined having 44%.

ATV Network’s Educational Advisory Committee has been reconstituted under the Chairmanship of Professor Ronald Maudsley.

ITN

Like the rest of the industry ITN must operate on the 625 line system and in colour later this year. ITN’s Board therefore had no alternative but to agree plans for the building of a new ITN Studio Centre in London. These studios when equipped will cost about £1.5 million and represent a further large but unavoidable capital outlay for the industry. There will also be higher running costs when programming is in colour.

We were delighted to hear that Her Majesty The Queen and His Royal Highness, the Duke of Edinburgh, have agreed to honour the industry by making the official opening of these studios in November.

UN’s major news programme, ‘News at Ten’, continues to appear regularly in the Top 20 charts and draws widespread international acclaim.

Your Managing Director, Mr Robin Gill, became the Chairman of ITN during the year.

Viewing Hours

Last Autumn the Government allowed a tiny extension in the hours of broadcasting available to the BBC and ITV. We were grateful for this first indication that our long-standing request for the complete removal of all restrictions on the hours of broadcasting might yet be brought about.

We do most earnestly recommend that this restriction should be removed. It is wholly out of date and against the interests of the viewer. There are significant minority and other groups in the population who cannot be reached so long as such restrictions continue to apply.

TV Times

The year saw the unhappy closing of our very successful Midland magazine TV World. This came about as a result of the ITA’s new policy, which required all companies to use one programme magazine for the whole country.

The new national magazine was a re-creation of the TV Times. This new project involved heavy pre-operational charges, and it has taken a very considerable time to produce a continuing trading profit from the venture.

EVR (Electronic Video Recording)

ATV Network continues to keep a careful watch on the many technological developments within the television and electronic industries.

One of the most promising of these developments is a process for playing cassetted programmes through your home television set. This system is called EVR and we are pleased that the first full programme produced for this new system will be one of ATV’s.

Some of ATV Network’s programmes in the past year

Plays
‘Macneil, Cornelius and Emlyn’ a trilogy by Alun Owen shown in world markets as ‘Male of The Species’*, ‘A Heritage and its History’ adapted from novel by Ivy Compton Burnett, ‘A Matter of Diamonds’ by Paul Lee, ‘Retreat’ by John Hale, ‘The Marrying Kind’ by David Reid, ‘Colombe’ adapted from Jean Anouilh, ‘The Square on the Hypotenuse’ by Anthony Skene, ‘Uncle Jonathan’ by Linette Purbi Perry, ‘Stealers of Darkness’ by Jacques Gilles, ‘A Most Unfortunate Accident’ by John Bowen.

Drama Series
‘The Power Game’, ‘Fraud Squad’, ‘Love Story’, ‘Crimebuster’, ‘Crossroads’, ‘Honey Lane’, ‘Virgin of the Secret Service’, ‘Driveway’.

Light Entertainment and Comedy
‘This is Tom Jones’, ‘The Liberace Show’, ‘The Des O’Connor Show’, ‘George & The Dragon’ starring Peggy Mount and Sid James, ‘It’s The Bachelors’, ‘The Golden Shot’, ‘Goodbye Again’ starring Dudley Moore and Peter Cooke, ‘The Big Show’, ‘The Jimmy Tarbuck Show’, ‘The Real Mike Yarwood’, ‘Stars’ with Maurice Woodruff, ‘With Bird Will Travel’, starring John Bird, ‘John Brown’s Body’, starring Peggy Mount & Naunton Wayne, ‘It Must Be Dusty’, with Dusty Springfield.

Late Night Shows
‘Tonight with Dave Allen’, ‘Tonight with David Nixon’.

Current Affairs
‘Man of The Month’ including Governor Wallace, Dr Borlaugh, Deputy Prime Minister Allon of Israel, General Lemnitzer, Dr Lindt of the Red Cross. ‘Midland News’, ‘ATV Today’, ‘Police Five’, ‘Meet The Mayor’, ‘The Power from Beyond’.

Documentaries
‘Big Fish, Little Fish’ by Anthony Firth*. ‘The Lion & The Dragon’ by Robin Brown, ‘Welcome to Britain’ by Ross Devenish, ‘The Three Happiest Years’ by Norman Swallow, ‘Anything Can Happen’ by Hugh Raggett, ‘The Old Boys’ by Ken Ashton, ‘Hospital’ by David Rea.

Sports & O.B.’s included:
‘Wimbledon 1968’, ‘Cup Final 1968’, ‘Royal Show 1968/69’, ‘British Grand Prix’*, ‘Sportsweek’, ‘Sports from the Midlands’, ‘Major Football Matches’.

Religion
‘All Creatures Great & Small’ by Jean Morton, ‘Once More with Feeling’ Music, ‘The Church and I’ Discussion Panel.

Children’s Programmes
‘The Tingha and Tucker Club’.

Education
‘Towards Mathematics’, ‘Primary French’, ‘Ici La France’, ‘The Universe’ with Sir Bernard Lovell.

* Programmes which have won International Awards

Amongst those appearing in our programmes have been the following: Anne Bancroft, Shelly Berman, Michael Caine, Sean Connery, Harry Corbett, Jim Dale, Phylis Diller, Sacha Distel, The Fifth Dimension, George Gobel, Engelbert Humperdinck, Sid James, Michael Jayson, Tom Jones, Nemone Lethbridge, Liberace, Anna Calder-Marshall, George Maharis, Mireille Mathieu, Barbara Murray, Peggy Mount, Des O’Connor, Sir Laurence Olivier, Eric Porter, Nyree Dawn Porter, Marjorie Proops, Juliet Prowse, Lynn Redgrave, Cliff Richard, Peter Sellers, Paul Scofield, Sheila Scott, Lord Soper, Ann Todd, Terry-Thomas, Dame Sybil Thorndike, Kenneth Williams, Patrick Wymark.

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