THE Midlands administrative staff move into new offices this month.

The company has acquired the entire ground floor of a new multi-storey building in Edmund Street, Birmingham.

The new offices will be light and airy. They will also use the Open Plan principle which has proved so successful at ATV House in London.

Muzak has been installed to provide background music and the accommodation provided is the Midlands match to London’s ATV House in Great Cumberland Place.

Although the move has not been made yet — final touches are still going on — the building was officially opened last month by Alderman Garnet Boughton, Lord Mayor of Birmingham, by cutting a length of video tape at the entrance.

The ceremony was attended by Mr Prince Littler, Chairman of ATV; Mr Norman Collins (Deputy Chairman); Mr Val Parnell (Managing Director) and Mr Lew Grade (Deputy Managing Director).

The company’s London delegation were welcomed by Mr Philip Dorté, the Midlands Controller.

After the opening 150 Midlands dignitaries were entertained to lunch at the Grand Hotel. The Lord Mayor congratulated the company on its success and referred to television as “Another star in the firmament of our city”.

CHAIRMAN’S REPLY

In reply to the Lord Mayor’s speech, Mr Littler recalled that it was nearly five years since Independent Television had been inaugurated in the Midlands.

“In those five years ATV’s audience in the Midlands has grown from a handful in 1956 to well over four million today”, he said.

“Nowadays, 71 per cent of the Midland television audience with a choice of programme elects to view ATV in preference to the BBC, whose share is 29 per cent”.

Mr Littler added that although Mr Dorté the Midlands Controller met so many local people, and members of the Board visited Birmingham regularly, this was the first occasion for four years his Board of Directors, as a whole, had played host to a reception gathering of Midland civic, ecclesiastical and ambassadorial leaders.

ALPHA PROGRESS

Meanwhile, work continues on the new Alpha studios. Here, incidentally, the workers probably down tools more often than any other builders in Britain. And it’s all on account of TV.

“We had to issue programme bulletins to the foreman to enable him to call a stop to all noise while we are on the air”, Frank Beale, General Manager of Alpha, told me. While noise is a headache for the television staff, office accommodation for the production staff is at a premium too. But as soon as the new building is completed (August is the target month) there’ll be six floors of space with comfortable accommodation for everyone. But the building operations haven’t always been inconvenient.

SPECIAL FEATURES

One of ATV’s best “Lunch Box” shows was actually done on the building site. Special features in the new Alpha building will be: a control area on the top floor; a canteen covering the whole second floor and electric underfloor heating.

“We’ll turn on the current at night, and off in the day-time. This should keep the building comfortably warm all day” said chief engineer David Whittle.

The post New offices for midlands appeared first on THIS IS ATV NETWORK from Transdiffusion.

WHAT IS THE fasted growing show business organisation in Great Britain? The answer must surely be Associated Television. For this company, headed by such entertainment veterans as Val Parnel [sic throughout – it should be Parnell – Ed], Prince Littler and Lew Grade, is now about the strongest in the business.

In the five years commercial television has been established in this country, the rate of ATVs progress has been fantastic. With hardly any experience in the television medium, the Parnel-Littler-Grade combination had, within two years, established an ascendancy over the other contractors in the amount of programmes bought and sold.

Profit

By 1956 the company, through its affiliated production organisation, Incorporated Television Production Company, was sponsoring more TV production than anyone else in the business, and a year later was able to announce that its profit for the period ending May, 1958, was over £4,000,000 [£79m in today’s money allowing for inflation].

Since then ATV has negotiated a deal with Jack Wrather, which has made the company the third largest distributor of television programmes in the world, and, through the purchase of ITPC, strong enough to guarantee a minimum of five television series a year, including the most expensive TV production to be made in Great Britain, “The Four Just Men,” with Jack Hawkins, Dan Dailey and Vittorio de Sica.

Holdings

ATV has also acquired large holdings in Australian radio and television stations, giving them a greater outlet in that country than probably any other television distribution company.

Moreover, ATV has gone into the record business and has purchased a substantial interest in Pye Records, Ltd., the subsidiary of the television and radio manufacturers.

This week Parnel was flying to the States to sign up some of the big American stars who have previously appeared in his London Palladium shows for record contracts with the Pye-ATV recording company. While he is away his colleague Lew Grade, deputy managing director of the company, will be busy with new programmes, some of them bought from America to the other contractors, in readiness for the longer viewing hours which ITV anticipates will be approved by the government for January 1, 1959.

Campaign

The next stage in ATV’s campaign for more power and profit in television will be to try to speed up government approval for the third network being placed at the disposal of the ITV companies. Prince Littler, chairman of ATV, was the first programme contractor to go on record in favour of the third network and requested the company to be given London for five days under any proposed changes instead of its present schedule of London weekends and Midlands weekdays.

Compete

Thus the company would be prepared to compete on equal terms with the present weekday contractor, Associated Rediffusion. Chairman of this company, Paul Adorian, has gone on record rejecting the third network at the present time because of the economic and financial difficulties in the way of its operation.

ATV is also interested in the possibility of commercial sound radio, should it come about in this country. A company has been formed headed by one of the ATV directors, Norman Collins, with a view to operating a commercial radio station if the government gives its approval when the BBC’s charter comes up for consideration in 1960.

Liaison

While ATV has made no move towards feature film production, on the other hand there is a very close liaison between Lew Grade and Parnel and the Eros brothers, Phil and Sid Hyams, through ITPC, of which all were directors, which has led to a number of medium-size British pictures adapted from ATV’s television successes. Such productions as “The Mystery of Planet X” and “The Trollenberg Terror” are two serials which have been produced as feature films by Eros. Another successful serial which is being made into a feature by that company is “Emergency [–] Ward 10.”

Doubtlessly, if feature production becomes more profitable, one of the first steps of ATV will be to set up a company to secure another slice of show business profit.

Already its American partner, Jack Wrather, has been able to combine a successful TV distribution programme with film production. Now that he is associated with ATV in Television Programmes [sic – Programs] of America, Inc., the third largest distributionproduction in the world, the possibility that the organisation will also handle cinema features is not remote.

In other words, ATV has become a world-wide show business entity whose future progress seems at this time of writing to be limitless.

The post The sky’s the limit for Associated TeleVision appeared first on THIS IS ATV NETWORK from Transdiffusion.

THE qualifications required to become a competent company secretary are precisely laid down in the textbooks. They do not include playing rugby, squash or sailing your own 14-foot International dinghy. No mention is made of studying engineering, stage managing musicals or digging up mines in the desert.

But this is the kind of experience that provides the background for 41-year-old JACK BARHAM to work with efficiency and skill as the secretary to Associated Television. Being a qualified chartered accountant can also come in useful, by the way.

In his job Mr Barham has to combine the precision of an expert on company practice with the enthusiasm of an adventurer in a new medium of entertainment.

Jack Barham’s functions range from recording the minutes of the board meetings to solving personal problems of members of the staff.

There are many times when he has to have both the skill of the chess player and the optimistic anticipation of the man with only one number to go for a fullhouse at Bingo.

One important factor that makes him well-liked throughout the company is that he always is very approachable.

Born at Woodbridge, Suffolk, the son of a local solicitor, Jackson Barham was studying engineering when the war came. He left London University for the Army to serve in the Royal Engineers.

In North Africa he found himself engaged in the delicate task of avoiding being blown up by mines and preventing the same thing happening to the advance troops of the First Army.

His field company cleaned-up vast stretches of desert territory prior to the push into Tunis, but one little stretch almost cleaned up Jack Barham.

A mine that exploded at the wrong time sent him back to Blighty on a stretcher.

When the war ended Mr Barham decided he would become an accountant. The fact that the firm to whom he was articled did a good deal of work in show business was probably the first signpost along the road that led him into television.

Qualified as an accountant, he joined the Stoll Theatre Group, but in order to gain practical experience he worked at first as a stage-manager.

Some time later he was appointed Personal Assistant to Mr Prince Littler who was to become the chairman of ATV.

Jack Barham came into ATV in January 1956.

At that time there were less than 100 ATV shareholders. Now there are more than 15,000, and a host of subsidiary companies scattered throughout the world which Mr Barham has helped to form.

With so much business to attend to he has little chance these days of taking part in the sports at which he showed so much promise in his younger days. Rugby and athletics are out, although he plays regularly squash and occasionally gets a chance of sailing.

But it’s pottering about the garden at his home in Purley that takes up most of his leisure time. He has a 15-year-old daughter and 12-year-old son, and a wife named Nora, who no doubt sometimes speculates on how much more ordered family life would have been if her loving husband had gone back to civil engineering after the war.

The post He does more than keep the books… 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.

MR. PRINCE LITTLER REVIEWS YEAR OF ACHIEVEMENT AND EXPANSION

The Sixth Annual General Meeting of Associated Television Limited will be held on September 28 at ATV House, Great Cumberland Place, London, W.

The following is the statement by Mr. Prince Littler, C.B.E., the chairman, which has been circulated with the report and accounts:—

As shareholders will doubtless have seen, a notice appeared in the national Press on July 21 which read as follows:—

“Associated Television Results

The Directors of Associated Television, for the year ending April 30, 1961, announce a profit of £6,411,899 [£118.4m in today’s money, allowing for inflation – Ed], against a profit for the previous year of £5,388,330 [£99.5m].

The Directors propose recommending the payment of a final dividend of 40 per cent against the payment for the previous year of 30 per cent”

I think that you will agree that this brief but highly satisfactory notice covers the first essential that our shareholders will want to know about their investment in this company, which holds the I.T.A. licence to operate commercial television in London at the weekends and in the Midlands during the weekdays.

There are, however, various sides to the company’s interests and at the end of this address I propose to deal in detail with the more important subsidiary activities of your company.

I think this is a suitable year in which to use our annual report to review what has happened in this company since its foundation, and also to bring our shareholders, as it were, into our board room atmosphere so that they will understand the thinking which has been behind the policies adopted by your directors and appreciate the very able way your executives have put these policies into operation.

In a review of this nature I think there is no better way to start than with an examination of the people who are responsible for running the business.

The Board of Directors supporting me so ably at this moment have all been with the company during its formative years and they are drawn from the learned professions, trade, show business, the Press, state broadcasting, the City, and the great engineering industries. This cross-section of British life at our monthly Board Meetings, on a great number of committees, and at many informal gatherings, literally “lives” television broadcasting and feels the great responsibility we bear in building this organization. In our work we have all been inspired by the adventurous spirit of pioneering in this, the most powerful form of mass communication.

Our Board has become a team where each member, retaining his individuality, has made his own contribution to the eventual unity of both opinion and decision which has marked the history of this company. This team spirit has permeated right down through the organization, and our executives who sit on the Board and those executives who do not, all have a feeling of enormous strength because of the single-minded support and understanding which they get around the board room table.

Many people in many places have argued at great length about who were and who were not responsible for starting commercial television. The point at issue surely is not who started it, but who were the people who have made it the enormous success that it is. I remember many of the arguments which were used on the floor of the House of Commons to show why commercial television would be a bad thing. Above all the arguments one stood out — the oft-quoted Gresham’s law that evil drives out good. A picture was painted showing commercial television as an evil thing likely to force the B.B.C. to lower its standards in order to compete. Looking back now, it is universally acknowledged that, from the moment commercial television started, the B.B.C. programmes became more diversified and the general standard improved, so that not only did the “evil” not drive out the “good”, but the good became better. We in this company recognize that there is a place for both the B.B.C. and companies like our own, and I trust that the feeling of toleration, and often of mutual admiration, will long continue.

When this company started, very few people had any clear idea of how the operation would expand or what the difficulties would be. I have told you at our previous annual meetings that the most prominent feature in those first three years was the rate at which it was possible to lose money. We also learned something else — how difficult it was to get financial support to replace the money we had lost, and therefore, at this stage, it is some gratification to all of us that the shareholders who had the courage to invest in difficult times, and who have gone on investing in this company, sometimes at what might appear to be very high prices, still placed their confidence in our ability to make commercial television broadcasting a success.

Our company has always believed in competition and the decision of the I.T.A. to limit our London broadcasting to weekends is far from our idea of true competition, but, at the time that broadcasting licences were given, we had no alternative but to accept. We believe we should have a competitive seven-day-a-week operation in London where there would be true competition between two commercial stations.

The Pilkington Committee

This brings me to the subject of the Pilkington Committee. This committee was set up by the Government to review the whole broadcasting position and to lay down recommendations for the future.

When the announcement of the formation of the Pilkington Committee was made, we immediately set up a study group to give expression to our own point of view and to give any help we could to the Committee, particularly with regard to the changes which had taken place from the technical and political points of view. Our study group reported that there would not be enough space in the existing television broadcasting bands to enable two competing commercial broadcasting stations to operate in all areas. This fact emerged without any regard to the claims the B.B.C., might make.

We therefore were at a loss to reconcile our belief in the necessity for the competition of a seven-day operation with the incontestable conclusion that there was not sufficient space in Bands I and III.

Your Board, ably supported by our technicians, has always held the point of view that broadcasting companies, commercial or otherwise, must give a lead in all matters of technical television progress. When we first obtained our concession we recognized that it was under technical standards which might have been satisfactory when Britain established the first television service in the world in 1936 but which today had become obsolete, and gradually we, together with others, would have to encourage scientific progress and the adoption of higher broadcasting standards. Our endeavours to deal with the dilemma of creating competition in the London area became the starting point of the proposals which we made to the Pilkington Committee on May 2.

The policy we put forward meant making considerable sacrifices and I am convinced that whether our proposals are actually adopted or not, something on their lines will figure in the recommendations of the Pilkington Committee:—

1. because our proposals are scientifically progressive;
2. our proposals demonstrate a progressive attitude on the part of a commercial television contractor offering to undertake a substantial material, technical and cultural responsibility at his own expense;
3. we offer a method of creating a spirit of competition between contractors;
4. we propose the adoption of new technical standards in line with the development in countries associated with the Eurovision system;
5. we would explore the use of equipment in a new part of the ether in order to make way for colour television and other services.

We confirmed to the Pilkington Committee that we accepted the recommendations of the Television Advisory Committee for the adoption of 625 lines as the British standard. In order to give effect to this we offered, on the days we were not broadcasting in London, to put out a new programme on 625 lines in the UHF band which would carry in addition one hour a day of 625 line colour broadcasting — all at our own expense. Surely this would be a great contribution, and something that would give encouragement to the scientists, the technicians, the script writers, the producers and all the many people who will benefit from an expansion of television broadcasting.

Six Years of Independent Television

When a completely new industry comes into being virtually overnight with the suddenness of commercial television, one of the great problems is that of staff.

Some people came over to us from the B.B.C. — by now some have gone back, this is a healthy interchange — and some, on the technical side, came from the electronics industry. Writers came to us from the newspaper and magazine worlds, and directors and producers joined us from the stage and the films. Thus we gathered together a body of experts in related activities, but, by and large, everybody had to make a fresh start and find the answers to a new set of problems in a new medium.

I remember an executive describing his excitement at joining commercial television and finding a desk with a sheet of blank paper on it — that was all — the rest was up to him.

It should be put on record that the efforts of the staff of our company have made the success of the business possible. Their intelligence, enthusiasm and long hours of gruelling work, often after the ordinary day’s work was done, were factors which not only gave great support to the Board but became the basis of our continuing progress.

I now come to the most important interest both to your Board of Directors and to the company as a whole.

When a television broadcasting station is started, everything centres around your audience. More than ever this was vitally important in the case of the establishment of the British commercial system.

A great battle had raged in the House of Commons about how commercial television would handle a potential audience. Everyone knew that Britain had established one of the finest broadcasting machines in the world — the B.B.C. — with enormous wealth, subsidized by licences, not answerable to the House of Commons, and with all the privileges which accrue to a state service. It was for the audience that had hitherto been served by the B.B.C. that commercial television had to compete, and this was the challenge which we took up. And now after six years of television broadcasting I say with confidence that we have discharged our responsibilities and we have given a service which can stand the most detailed examination.

And what else have we as a broadcasting company done? We have endeavoured, and to a great degree succeeded, in giving our public good entertainment. We all know that there is a small sector of intelligent people who think our programmes are bad because they give the public what they want to see and not what the intelligentsia think they ought to see. Television broadcasting is meant to be entertainment, and while we recognize that the standard of taste ot a great number of the viewers in this country could be higher, we feel it is essential not to get too far ahead of our public, but rather to lift, gradually, the quality of our programmes on a progressive basis.

Television in the Midlands

It is right to refer with emphasis to the importance of that half of our business which stands independently on its own feet as the Midland Television Broadcasting Station for five days a week.

Your Board from the outset has always considered the Midlands a self-contained organization and not an offshoot of a big operation based in London and has therefore appointed a Midlands Controller responsible for its operation.

The Midlands is a country all on its own, and with the new power from the Lichfield transmitter, 2,366,000 homes are covered nightly. Great towns like Leicester, Gloucester, Hereford, Shrewsbury, Stoke, Birmingham, Coventry, Walsall, Wolverhampton, Burton, Nottingham, Northampton, Worcester, West Bromwich, Dudley and many others are spread around in this independent-minded area.

In the South, viewers think of ATV as one of the two London Companies. In the Midlands, they regard ATV as one of the two Midland Companies. ATV is responsible for all the weekday programmes and to 5.4 million viewers in the Midlands, ATV is much more than a symbol on the television screen — it is an important and accepted feature of the Midland scene.

The Midlands programmes include many not seen on the London screen. Lunch Box, Britain’s first regular midday television programme, has now had an unbroken run of well over 1,000 performances. Each weekday in Midlands News (the first regional news programme on British television), the ATV News Unit brings to viewers an up-to-date account of local news and events in the Midlands, while the weekly events are reflected in Midland Montage. The documentary series Look Around features topics of interest ranging from the Severn Story to an investigation of witchcraft in the Cotswolds. The weekly programme Midland Farming not only informs farmers of the newest trends and techniques but instils in the town dweller a new respect for the countryman. New records in late-night viewing have been established by the weekly Midland Profile in which Midlanders tell their life stories. Other regular programmes include the highly popular Hook, Line and Sinker for anglers, features of interest to gardeners and special outside broadcasts of many kinds. A notable series of afternoon programmes has been presented from the famous Cordon Bleu Cookery School.

Last year ATV set up a special department for the development of its television service for Midlands schools, under the guidance of a distinguished education advisory committee. The first two series, French from France and Ici La France were produced by ATV entirely in France. They were first shown in the Midlands from January this year. From September these two series will be seen throughout the country, together with a new ATV series in mathematics. A further ATV schools series on chemistry will also be presented in the Midlands from the same date. These are just a few of the ways in which ATV is serving the Midlands of England.

The profits from this area have been most satisfactory. The standard of programmes has been high. The public has been enthusiastic about the entertainment; and our engineers have seen, by the establishment of a two-way television micro-wave link operating all through the day and night, that we have the closest communication between our two stations.

Profit and Loss Account

Now I will refer back to my opening remarks in this review and tell you about the profits for the year. You will see from the Consolidated Profit and Loss Account that the profit of the Group before taxation is £6,411,899 [£118.4m] as compared with £5,388,330 [£99.5m] for the previous year, an increase in excess of £1m [£18.5m]. This profit is after charging all expenses including depreciation. The provision for depreciation of £282,523 [£5.2m] shows an increase of £27,481 [£507,000] as compared with the previous year. It should be noted that directors’ fees and directors’ other emoluments are lower than in the previous year. Income from Trade Investments which forms part of your company’s profits, is £32,933 [£608,000] higher than last year.

From the profit mentioned above taxation absorbs £3,239,810 [£59.8m] and the profit attributable to outside shareholders in subsidiary companies is £25,037 [£462,000], leaving £3,147,052 [£58m] profit attributable to ATV.

After deducting the amounts retained in subsidiary companies of £84,348 [£1.6m] and adding the previous year’s unappropriated profit of £505,779 [£9.3m] there is £3,568,483 [£65.9m] available for appropriation.

From this figure has to be deducted the interim dividend of 20 per cent paid on January 24, 1961, leaving £2,998,858 [£55.4m] for disposal. In view of the results achieved during this period your directors recommend a final dividend of 40 per cent making 60 per cent for the year as compared with 50 per cent for the previous year. This increased dividend, if approved, will absorb £1,139,250 [£21m], leaving £1,859,608 [£34.3m] to be carried forward in the accounts of the parent company.

Consolidated Balance Sheet

Turning to the Consolidated Balance Sheet it should be noted that the accounts of our American subsidiary, Independent Television Corporation, have been included for the first time. This is reflected in the increase in goodwill, film rights, debtors, creditors and advances from bankers. The considerable increase in fixed assets is mainly due to the building of our new television centre at Elstree.

I feel that the item Trade Investments requires some explanation. Trade Investments have increased on account of additional investments in British Relay Wireless & Television Ltd. (mentioned elsewhere in the report) and in Canadian television and because of a revaluation of certain of our Australian assets. However, these increases have to a certain extent been offset by the removal of the investment in Independent Television Corporation, which has now become a subsidiary company.

The reduction in bank balances, deposits and cash in hand has been caused mainly by the construction of the Elstree Studios and by additional investment.

Bricks and Mortar

“Bricks and mortar” is the descriptive phrase the bankers use when they talk about the buildings on the asset side of a balance sheet. In a broadcasting service bricks and mortar come into your calculations at practically every turn.

In broadcasting you need big buildings and small buildings, buildings in this location and that location, and they are all part and parcel of your work.

If you try to centralize, too much time is wasted by important people travelling. Again, actors may be wanted for rehearsal at a moment’s notice and it is quite impossible to take them far from the location where they are appearing. Therefore, many buildings are necessary in many different places. Some, for instance, are wanted for quick rehearsals, some for storage for special materials, some for administrative offices near the seat of a particular operation. All of these buildings together with our centrepiece for production — Elstree — make up the pattern of our efficient ATV organization.

The Head Office building at ATV House, Great Cumberland Place, of 120,000sq. ft. houses the main administration, our sales organization, and also our subsidiary ITC. In the basement are recording studios for our associated company Pye Records, and a West End TV studio for special presentations and interviews with V.I.P.s.

When Elstree is fully completed the Wood Green Theatre, an ex live-variety theatre of 20,000 sq. ft. will still remain operational. There, shows like Startime and Saturday Spectacular, requiring audience participation are being produced.

Foley Street, in the West End of London of some 11,000 sq. ft. is the home of master control and is the switching centre.

With the growing importance of the Midlands we have outgrown our premises at Herbert House, Birmingham, and have taken a lease of the entire ground floor at Rutland House, a handsome new building in Edmund Street, Birmingham. Also in Birmingham we own and jointly operate with ABC the Aston Studios of some 22,500 sq. ft, where such popular shows as Lunch Box and all other local programmes are produced.

In Manchester we maintain an outpost so that our sales force can keep in contact there with agents and advertisers.

Finally, we have small but most important premises located at Hillcrest, Highgate, overlooking London, and a similar place in Birmingham where the signals are picked up and relayed to our master control centres.

Elstree Studios and our Technical Story

Many of the great television programmes of the future, not only on British screens but on screens all over the world, will show what will become a famous caption, “An Elstree Programme”.

We always planned, from the beginning of our contract with the Independent Television Authority, to have an imaginative yet highly functional group of buildings which would give the greatest possible scope to free enterprise television to create programmes of the highest quality.

Now, here at Elstree, on 31 acres, one can see this conception taking shape and, down to the last detail, the organization has been undertaken by our own executives. A team of experts has worked and striven for the last 18 months to take Elstree through its first stages, and engineers and production people have all contributed to achieve an outstanding result. Only people with great faith in the future of commercial television would have undertaken this vast operation. Now we are ready to give the best programmes to an expanding British television service; to give scope for their abilities to script-writers; to give producers and directors the last word in service, and to actors the best possible facilities.

Some of the techniques already developed by our engineers are being used by broadcasters as the basis for their operations in North America and the Commonwealth as well as in this country, and our new studios incorporate many new and valuable devices. In deciding the types of equipment to be used there were two major considerations — the need to allow for a probable change in line standard and the speed of technical advance. The electronics industry is developing new devices and components at such a rate that considerable imagination is needed to design equipment that will not be out-dated before it is built.

The new A.T.V. studios of 9,500 and 6,000 sq. ft. will accommodate not only the 625-line system but also the 525-line system of the United States and Canada. This is in keeping with our policy of creating a programme production centre, where the aim is to produce complete programmes which go out on wire, microwave links, video-tape or any other recording medium which may become available.

As far as equipment is concerned, ATV, here working closely with the Pye Group, has not only incorporated equipment which is unique and in advance of that used in any other studio but has adopted modular or “building brick” construction so that when improved components become available the “ building bricks ” can be replaced by pulling out a unit and plugging in a new and better one. Great emphasis has been placed on the use of transistors wherever possible and alt synchronizing signal generation, picture selection and switching is done by transistors. Transistors are commonly used in everyday devices such as portable radios, but their application to television transmission equipment and to apparatus that can accommodate 405, 525 and 625-line signals is quite new.

There are many significant new components being developed which permit the improvement and widen the scope of technical equipment. ATV’s development department, which is responsible for the design and construction of a large quantity of the new gear now installed has many developments to be introduced when the studio project has passed phase two at the end of this year. For example, the miniature transistorized microphone, used to very great effect on outside broadcasts such as the perenially popular Sunday Night at the London Palladium, is to be redesigned to give even better performance and a completely transistorized microwave equipment of small size and light weight is well advanced.

Developments are in hand on new methods of filming our programmes. While the bulk of recording being done in this country and in America is on video-tape, ATV engineers believe that the future for the interchange of programmes is in the use of a compatible medium such as 16mm film. The limitations on this system are being probed and new and radical techniques are being sought to improve the technical quality of recording.

The second pair of studios is well ahead and will go into operation this autumn. These two studios were planned to be identical with the first two, but within the the short space of time between the installations it has been possible to introduce even newer devices. These will make the studios even more efficient than the first Vauxhall site the company should have been forced to expand elsewhere.

In early 1962, the central technical area will be complete. It will contain all the switching and distribution equipment necessary to coordinate the activities of the first four studios — telecine, video-tape and film recording—and adequate space is being reserved for new developments.

It should be realized what an enormous apparatus, apart from the equipment and the manpower to operate it, is required to produce regularly the programmes which feed the 17in. and 21 in. TV screens of our viewers. At Elstree alone, some 350,000 sq. ft of built-up area are needed by ATV for this purpose.

In the television industry at least ten times the space is required for auxiliary and ancillary purposes as for the actual studio floor space. In consequence, each studio has technical and general control areas of between 12,000 and 15,000 sq. ft., and a technical facilities building exists of some 20,000 sq. ft. Also, we have a production facilities building of some 76,000 sq. ft. housing the carpenters’ shops which make our scenery, the painters who paint the backcloths and flats, and in the props department enormous quantities of used props that are stored for future use. At this moment a producers’ building is going up covering an area of some 82,000 sq. ft., which will house the producers, directors, production assistants, libraries, and provide 10 rehearsal rooms with a floor space of 17,000 sq. ft. So far we have been using 17 different rehearsal rooms spread all over London with a total floor area of some 20,000 sq. ft.

Wardrobe, make-up and dressing rooms take up another 20,000 sq. ft., and ATV is particularly proud of the dressing rooms provided for artists appearing at Elstree — there is even a separate “dressing room” for the performing animals which are often used.

In the transport building of some 41,000 sq. ft. are garaging facilities for ATV’s fleet of transport and outside broadcast vans, also modern workshops as well, where ATV manufactures a great deal of the equipment used in its studios. Finally, so that nobody has to go hungry, there is a canteen geared to serve food to 700 people at one sitting.

The fulfilment of the Elstree project has relieved one of the most pressing needs which had been facing the company. For its future needs the company had already obtained an option on a site at Vauxhall on the South Bank. Owing, however, to planning delays inherent in so centrally situated a site, the company was compelled to make immediate arrangements for the development of its own Elstree studio site. It is a significant indication of the growth of this industry that, while retaining the Vauxhall site the company should have been forced to expand elsewhere.

An Eye to the Future

Three factors condition our attitude towards trainees in the production and technical fields. The need to keep pace with a medium which is hungry for new blood, new ideas, new techniques. The need to train enough talent to provide a “bank” upon which we can draw for replacement. The need to look to the future and provide for the time when the creation of a new network or networks will inevitably result in a serious drain upon the existing talent and experience.

The pattern of training in both the production and technical fields is the same. Once the trainee has been chosen by the selection board, he is immediately put under the wing of a senior member, or members, of the department concerned. The method and length of his training varies from department to department; but, assuming that the right man is chosen, his initial training is designed to expose him as fully as possible to all facets of the business of mounting a television programme. Because this must be the end product it emphasizes an interesting feature in the selection of trainees. It would be safe to assume that the production department would be most concerned with the creative talent of a trainee, and the technical departments with his technical know-how. This is broadly true, of course, but television has had to breed a new body — the engineer with a creative and artistic flair and the creative artist with technical knowhow, and the ability to be aware of and use the facilities available to maximum effect

All training processes vary with the individual and, inevitably, the selection of trainees is much like taking a chance in a lottery. We cut down the odds as much as possible by ensuring that the selection boards comprise the most experienced men in the company. The training, however, can never be the same for each trainee. Some are slow starters and, in the early stages, do not fulfil the promise shown; some leap ahead and, much like the hare in the fable, outstrip their contemporaries. Some never make it at all. But all need patience, perseverance and understanding and in this business more than most others, temperament must be considered and foresight exercized if the full potential of a trainee is to be realized.

Initiative and ideas are the life-blood of television. To get the best out of those who work for us, a great deal of freedom of expression must be granted. Freedom here does not mean licence. It does mean discipline; a need for the individual to learn the rules, the grammar of his job, and to use all his creative and technical ability to express himself within those rules. Every facility open to his seniors is open to the trainee. The only limit to his acquisition of the necessary knowledge is the limit of his own ability to absorb and learn. We are proud of our trainees, and the system we use to train them. Our percentage of success is high, and there is ample evidence that this company, which started in 1955 with the cream of talent and experience available, is passing that know-how down to those who join us along the way.

Incorporated Television

Your wholly-owned subsidiary, ITC—Incorporated Television Company Ltd., is the biggest exporter of British television programmes. ITC is responsible for the production of films which are distributed in the Eastern Hemisphere, including the Iron Curtain countries, and supplies these films to our American subsidiary in the Western Hemisphere. ITC is already a familiar name on the network screens of the United States and Canada, not least through the conspicuous success of the series Danger Man starring Patrick McGoohan. ITC has produced over 1,600 half-hour programmes which have been sold throughout the world. Notable successes have included Robin Hood, Sir Lancelot, Buccaneers and The Invisible Man. It is not too much to say that ITC has contributed in large part to the country’s export drive and the earning of vital foreign currencies. ITC is currently engaged in the production of the series Sir Francis Drake, already sold to CBC in Canada and to the Australian Broadcasting Commission. This is being produced in association with ABC television. Also ITC is producing in conjunction with the Rank Organisation a new one-hour film series, Ghost Squad, already in release and the series has already been sold in the Canadian and Australian markets.

Australia

Every year we have further confirmation of how right was our judgment when we bought our interest in Australia a few years ago.

We have always realized the potential market of the television industry in Australia, and we had this in mind right from the first. Not only are we identified with one of the great radio networks in the Commonwealth, but we are partners in its expansion and in the extension of its reputation in Eastern and Southern Australia.

In addition to that, in so far as the Australian law permits us, we have entered the commercial television field in a substantial way through our organizations there.

Today, we have an investment in the following television broadcasting stations in Australia: Amalgamated Television, Sydney; Southern Television, Adelaide; Queensland Television, Brisbane; Canberra Television; Wollongong Television; Richmond-Tweed Television; Ballarat Television; and Country Television Services. We have no doubt that during the years to come, the same substantial development which our radio stations have achieved in the last 25 years lies in front of our television broadcasting operation.

In addition to ail this, Australia continues to expand as a market for our programmes from this country, and gradually the care and thought we have taken in sending to Australia the right programmes, is being reflected in the size of business we are doing.

Our North American Venture

One of the first plans our management had when we started to create programmes for our British audiences was to provide entertainment of a standard which would have a ready market overseas and particularly in the North American continent.

Here, we were conscious of the fact that the history of selling British entertainment in America has been fraught with difficulties, and in the case of the film industry – many failures. But we felt that to produce programmes of the quality that would sell to an American audience was a further spur to the competitive spirit which we believe is the basis of good broadcasting. We very quickly learnt that just to send somebody to the United States to sell programmes, without having an efficient and well-directed organization was merely a waste of time. For this reason, therefore, we decided some years ago to buy a half interest in a substantial American corporation — Independent Television Corporation.

In the light of experience we decided that if the operation of the American company was to be truly effective in your company’s interests nothing less than complete control would suffice. For that reason, as we reported last year, we bought the other half of the Independent Television Corporation. Having acquired control, we took steps to strengthen the management and reduce the overheads. We are now able to report that these steps have been successful and the operational period to April 30, 1961, has been a profitable one. We would congratulate our American management on their success.

The success of our American company depends on the quality and the amount of the films which the Incorporated Television company is able to make available. In the past, this vital supply was Insufficient, The measures which are being taken and which I have described to you should assure the supply for the future.

This will include Whiplash, Sir Francis Drake, Ghost Squad and Supercar with three more film series being prepared for production before the end of 1961.

Also on the American continent, we have continued to develop our interests in Canada by investing iq radio and television. Our Canadian subsidiary is Canastel Broadcasting Corporation Ltd. and this company now has interests in CJCH, the Halifax, Nova Scotia, commercial radio and television station, and in Vantel Broadcasting Company Ltd., the Vancouver commercial television station. Your board has other plans for developing the company’s interests both in the networking of programmes and in local stations.

The Link with Moscow

This year your company was responsible for providing “live” programme exchanges with the Soviet Union, and was the first to send back coverage of events in Moscow produced jointly between ATV’s production personnel and Soviet Union crews and technicians. The opening of the British Trade Fair in Moscow, at which Mr. Krushchev and many members of the Soviet Praesidium were present, was transmitted live from Moscow; the video-tape recording of the first programme from the Bolshoi Theatre to be seen outside Russia, and an outside broadcast video-tape recorded documentary on the Moscow scene have already been seen by our viewers.

Talks have taken place in Moscow with the USSR television organization and many more programme exchanges are planned for the future.

Gorki Street, USSR, a series of six programmes showing life in the Soviet Union, a programme series similar to the successful Main Street, USA, is in the planning stage, and in this series we will go to all parts of Russia, into the agricultural lands, into the industrial areas, as well as seeing life in the smaller towns.

An exchange of language programmes is being discussed similar to those already being produced in France for schools, and a joint production with Soviet television on the peaceful use of the atom involving both British and Soviet scientists is also in the early stages of planning.

Future plans covering programme exchanges with the Soviet Union include song and dance festivals and broadcasts from the Bolshoi and other famous Russian theatres.

British Relay Wireless & Television

Three years ago we took up half a million pounds worth of convertible loan stock in this company and, as this stock is on the point of being converted into ordinary shares, it is right that reference should now be made to this investment. Since we took up the loan stock, we have taken advantage of our rights to take up shares as if we had been ordinary shareholders in the company. The situation is that, when our stock is converted, we will hold 2,216,025 ordinary shares in the company.

This investment is very closely allied to our interests as television contractors to the Independent Television Authority. BRW & T is a company which was originally started as a radio relay organization and, some 10 years ago, it was amalgamated with the first television relay company in the country, the Link Sound and Vision company, who had an operation working in Gloucester. Gradually the field of operations of the company has expanded and, today, serves 17 metropolitan boroughs in London, has networks covering extensive areas of the West Midlands and Yorkshire and has recently extended its activities into Scotland.

Among the towns served are Ipswich, Peterborough and Corby; Smethwick and Oldbury and adjacent places; Leeds, Sheffield, Bradford, Halifax, Huddersfield and intervening and neighbouring townships.

In Scotland networks have already been established in the principal border towns and in Dundee, while concessions have recently been secured for the operation of relay services in Ayr, Kilmarnock, Cumnock and Irvine in the west.

We recognize that, in a relay business, a substantial amount of capital has to be spent in putting down miles and miles of cable to cover the areas where valuable concessions have been secured. These cables, the terminal units and the station equipment which are concerned with the installation, have to be depreciated; and it is only when the bulk of the depreciation has been written off that the profitability of the undertaking becomes apparent. We believe this is the case with BRW & T. In addition, we are confident that the system, on which both sound and vision services are provided, is the best system that has yet been put into use.

With the possibility of a Pay-as-You-View television service becoming available in Great Britain, we are convinced that it is networks like BRW & T which stand in a most prominent position to derive the greatest advantage from such a service.

In addition, as we have said earlier in our Report, British television has technically to advance, and the networks controlled by BRW & T, with the minimum amount of alteration, can take the 625-line system which is generally anticipated and provide subscribers with the benefits of colour television as well.

Planned Music Ltd.

It is now over three years since we started this important subsidiary operation with the purpose of exploiting in the British Isles and certain other countries in the world the American form of background music called Muzak.

The essential difference between the use of normally recorded music and Muzak is that music as usually performed relies for part of its effect upon great changes of amplitude, or loudness, but in the case of Muzak, the character of the original work is preserved by suitable transcription in a form which is performed without great changes of amplitude, and this results in the music being conveyed to the listener without him suffering or being inconvenienced by very loud or very soft passages.

At first there was resistance to this new amenity in business and commercial life. With so many opportunities nowadays of demonstrating Muzak in operation this resistance is vanishing. There has remained, however, the difficulty of the shortage of certain Post Office lines. In consequence, rather than stand still, Muzak has gone into some territories before the development of the service has made them, in an economic sense, fully ripe.

In America, the market for background music is enormous. Muzak is a multimillion dollar business, and has more than 60 per cent of the market. Background music has become part of life practically everywhere — in offices, factories, banks, shops, restaurants, airport lounges, trains, hospitals, and many other places. Characteristically, this development has not been so early or so rapid in this country. We now estimate, however, that over one million people are regular listeners to a Muzak service in England which shows a good rate of growth in a steadily expanding market.

The aim of Muzak is to make life more pleasant; the influence of music is subtle, it relaxes tensions, helps people to be cheerful, imparts a rhythm and a swing to a task and an interest to an enforced wait.

Over the years, a library of many thousands of recordings for Muzak has been built up. This is a priceless asset as it enables us to give a very much wider choice and scope for endless variation to users of the service. This library is constantly growing as new music becomes available.

During this year, the extension of the services of the Muzak organization on a regional basis has continued and national coverage has now been attained in England. Regional offices exist in London, Reading, Bristol, Birmingham, Manchester and Newcastle. Local and intensified development of the service continues in the main provincial centres. In addition, Travel Muzak is a new service now being supplied to airline operators and shipping companies.

A new company. Planned Equipment Ltd., has also been set up to handle public address and sound engineering services, including Audiomatic equipment. This is a machine which provides information in a number of different languages for foreign visitors to exhibitions. Our machines were a success at the British Trade Fair in Moscow and shareholders will be able to try one for themselves at this year’s Motor Show, where several wiil be installed.

Golden Guinea — and other Discs

In 1960-61 Pye Records Ltd., of which we own 50 per cent, had a year of continued expansion.

The record industry throughout the world has been passing through a period of change and experimentation. On the technical side we have seen the change from the old 78 r.p.m. shellac record to the modern long-player and more recently the development of the stereophonic record. Exciting as these changes have been, they have led to even more exciting developments in marketing techniques.

It was with the introduction of microgroove records 12 years ago that the “repertoire explosion” began. Suddenly, performances could be recorded and heard as never before. The parallel development of gramophone equipment which could do justice to these new recording techniques helped to accelerate the growth of public interest and new recordings were made and issued in ever increasing numbers. For a time the size of the market increased faster than the rate of increase in available recordings, but over the last few years it has become apparent that the industry is overproducing new products, resulting in a smaller sale of each production and a downwards squeeze on profits.

This has led the major companies, principally in the United States, to seek new and better ways of marketing their labels. We have seen there the development of low-priced mass-market labels as a means of producing business which places little reliance on the star quality of individual artists. We have seen in America, too, the sale of records through drug stores, supermarkets, and other outlets, and the development of record clubs run on similar lines to the book clubs.

This is not to say that our record business discounts in any way the value of and need for the established distribution pattern in this country. This is, after all, the backbone of the business; but if the industry is not to stagnate in the next few years new techniques must come, to be used intelligently and in such a way that all levels, i.e., manufacturer, distributor, and retailer, benefit from the overall increase in activity.

Last year was the first full year of direct to dealer trading, now developed so far that every important record retailer in the country is regularly visited, helped, and advised by our records van-man. The light blue vans with the Golden Guinea lettering are a familiar sight in every city and major town of the country.

Golden Guinea family-priced long playing records too are nationally known as the only range of records that give entertainment to all the family. One outstanding issue during the year on this label was the special presentation set of Handel’s Messiah on three records issued for Christmas.

In pops too our artists topped the popularity polls. Sales of their records continued to climb and this label now boasts one of the strongest line-ups of British recording artists in the country.

In Conclusion

In the foregoing I have sought to set out in more detail than in previous years the manifold nature of your company’s activities. In doing so I have paid tribute to the services rendered by the Directors and by our immensely able and devoted staff. I look forward to another year of progress in programme achievement, technical achievement and export achievement.

The post ATV financial results: 1961 appeared first on THIS IS ATV NETWORK from Transdiffusion.

A Memorable Year Yielding Eminently Satisfactory Financial Results

SUCCESS OF BOARD’S DIVERSIFICATION POLICY

The Industry’s Growth Continues

MR. PRINCE LITTLER’S REVIEW OF ACTIVITIES

The Fifth Annual General Meeting of Associated Television Limited will be held at A.T.V. House, Great Cumberland Place. London, W.1, on 28th September 1960.

The following is the statement by the chairman, Mr. Prince Littler, C.B.E.. which has been circulated with the report and accounts:-

The year under review has proved to be a memorable one and has yielded eminently satisfactory financial results.

The proposed dividend means that the Company will have maintained its dividend at the equivalent of 100%, bearing in mind that the capital of the Company was doubled during the course of the past financial year.

Board’s Policy

The principal business of your Company is that of a Programme Contractor licensed by the Independent Television Authority to trade in London and the Midlands, and it is primarily upon this trading that these excellent results have been achieved. It has, however, from the inception of the Company, been the policy of the Board to make investments in allied fields both at home and abroad and, in consequence of this policy, the resources of your Company are now more strongly diversified than any time since it commenced trading.

Developments overseas have proved particularly gratifying in Australia and in Canada. It should, moreover, be noted that in the USA, your Company has recently acquired full control of the Independent Television Corporation of America.

The diversified interests at home are highly encouraging and include the operation of the Muzak franchise, a 50% interest in Pye Records and a substantial and most profitable investment in British Relay Wireless. All these developments will be reported in detail later in this statement.

Success of Consolidation Policy

Your Company has been actively trading for some years. The period of licence from the Independent Television Authority extends until July 1964 and your Board has, with conspicuous success, sought to consolidate the Company’s position as the only major seven-day-a-week Company operating under licence from the Authority.

At the outset of operations your Managing Director, Mr. Val Parnell, and his Deputy Managing Director, Mr. Lew Grade, resisted the pressures put upon them to equip large studios and to build large offices. The volume of programming both for ATV’s own domestic purposes and for the Independent Network as a whole has, however, necessitated a plan of expansion, carefully phased over the past and current years. Your Company has therefore purchased the important riverside site at Vauxhall. Moreover, the Company has proceeded to enlarge its Elstree Studios in order to meet the steadily increasing commitments of live, tape and film production for home and overseas television as a whole.

New Headquarters

During the past year the headquarters of Associated Television Limited have been moved from Television House, Kingsway, to an island site office block in Great Cumberland Place, W.1. The effect of this move has been beneficial to the Staff, and has resulted in a marked increase in inter-departmental efficiency.

The financial results reflect the confidence expressed by your Board in December 1959 when an interim dividend of 8s. per share, less income tax, was declared on the Ordinary Shares of £1 each, and 2s, per share, less income tax, on the ‘A’ Ordinary Stock Units of 5s. each.

Bonus Issue Approved

At an Extraordinary General Meeting held on the 21st January 1960 the shareholders passed a resolution, submitted by your Directors, for the capitalisation of £2,325,000 [£44.3m in today’s money allowing for inflation – Ed] of reserves by the issue of 9,300,000 ‘A’ Ordinary Shares of 5s, each, credited as fully paid, to the holders of the then existing issued share capital in the proportion of four new shares for each existing Ordinary Share of £1 each and one new share for every existing ‘A’ Ordinary Stock Unit of 5s, each. The new shares, on issue, were converted into ‘A’ Ordinary Stock Units of 5s, each.

Profits & Dividends

The Group profit before taxation for the year ended 30th April 1960 amounted to £5,388,330 [£102.6m] as compared with £5,316,493 [£101.3m] in the previous year. Taxation takes £2,711,820 [£51.65m] as against £2,715,076 [£51.72m]. The Group net profit is £2,676,510 [£51m] of which £1,031 [£19,600] is attributable to outside shareholders of subsidiaries leaving a profit attributable to the Parent Company of £2,675,479 [£50.96m] as against £2,601,048 [£49.54m] last year. The subsidiary companies retain £76,852 [£1.5m] leaving £2,598,627 [£49.5m] to be dealt with in the accounts of the Parent Company. To this amount must be added £1,711,215 [£32.6m], the balance brought forward from the previous year, and £445,000 [£8.5m] transferred from General Reserve – making a total of £4,754,842 [£90.6m] before appropriations. Your Directors propose recommend a final dividend of 6/- per share on the Ordinary Shares of £1 each and 1/6 per share on the ‘A’ Ordinary Stock Units of 5/- each. The interim dividend already paid and the proposed final dividend absorb £1,424,063 [£27m]. After deducting this amount, together with the sum of £2,325,000 [£44.3m] involved in the capitalisation effected in January and a transfer of £500,000 [£9.5m] to Investment Reserve, there is a balance of £505,779 [£9.6m] to be carried forward in the accounts of the Parent Company.

The accounts include provision for the distribution of £264,171 [£5m] for the Staff Profit-Sharing Scheme.

Home Investments

In the field of your Company’s home investments, it should be recorded that during the year British Relay Wireless and Television Limited made a bonus issue of one 5/- Ordinary Share for two 5/- Ordinary Shares. From this issue you Company obtained 134,000 new 5/- Ordinary Shares by way of capitalisation and the Conversion Right attached to your Company’s holding of £500,000 [£9.5m] 7% Convertible Unsecured Loan Stock 1967-1968 was increased from 184 to 201 shares for each £100 of stock. In March 1960 British Relay Wireless and Television Limited made a rights issue of two new 5/- Ordinary Shares for five 5/- Ordinary Shares and your Company subscribed for 562,800 new Ordinary Shares of 5 at 19/- each, which was its entitlement in respect of its shareholding and under the terms of the Loan Stock Trust Deed. The Stock is convertible on the 30th September 1961. The shares to which your Company would become entitled on conversion would, if there is no change in the present market price, have a value of approximately £1,100,000 [£21m]. British Relay Wireless and Television Limited has recently made a major extension in the Glasgow area and your Board remains confident that this investment will continue to grow.

New Franchise Acquisition

The subsidiary company which handles the sale of Muzak is developing most satisfactorily and a wide range of customers, including Banks, Hospitals, Hotels and Factories as well as Supermarkets, Restaurants and Shops, are installing this service. In the course of the current year operations have been extended to Birmingham and will shortly be followed by similar expansion in Manchester. In this connection shareholders will be interested to learn that we have acquired the Muzak franchise for Australia and New Zealand and it is felt that there is great opportunity for development of a background music service in this area.

Pye Records, in which your Company has a 50% interest, has been largely reorganised and the new plan of direct distribution to retailers has proved an outstanding success. This, together with the excellent reception given to the ‘Golden Guinea’ records, has had a marked effect upon the gramophone industry as a whole.

Your Group’s British production subsidiary ITC-Incorporated Television Company Limited continues to make good progress, During the past year the number of commercial television stations throughout the world has more than doubled and we are now actively selling programmes in a continually expanding market. The series ‘Danger Man,’ which is still under production Elstree, has been sold over the full Canadian network at a price higher than that previously paid for any similar series. Further series and pilot films are in the planning stage and will shortly commence production.

Overseas Investments

As regards investments overseas in the USA, Independent Television Corporation Inc., which, as at 30th April 1960, we held a 50% participation, has continued to handle the distribution of your Company’s film productions and has achieved a turnover of close to $10,000,000 [$103m]. During most of the period under review conditions have been particularly difficult, largely because of the increasing tendency by the three major television networks to assume an attitude of inflexibility towards programmes proposed by the independent producing companies. Recently, however, there have been signs of a slight improvement in business generally and your Board remains of the opinion that it is vital for the Group to have a direct outlet to the American market.

Since the end of the financial period under review we have purchased the balance of the share capital of Independent Television Corporation Inc. at a price which your Board regards as satisfactory. Having acquired control of the company we have taken steps to strengthen the management and to reduce the overheads of the operation and are confident that in time, and with adequate product available for distribution, this company should prove profitable to the Group. Nevertheless, in view of present uncertainties, you will see that your Board, as a measure of prudence, has set aside in the accounts before you a sum of £500,000 [£9.5m] to Investment Reserve.

In Canada your Company has purchased 25% (the maximum permitted under Canadian law for non-Canadian investors) of CJCH – the Halifax, Nova Scotia, radio station which has been awarded the licence for independent commercial television in that area.

The diversified interests of your wholly owned Australian subsidiary continue to prosper. Commercial radio in general is maintaining its level of profit and commercial television is expanding rapidly. The Sydney Commercial Television Station showing increasing profits and the Queensland and Adelaide Stations are rapidly advancing to profit-making stage. Altogether the Group’s television investments in Australia, which have a book value of nearly £250,000 [£4.8m], have grown in value to a sum greatly in excess of the amount invested. Since the end of the financial period under review ATV (Australia) Pty. Limited has sold the Artransa studios and the film production side of the business to Station ATN, the Sydney Commercial Television Company, in which we hold 9.7% of the share capital. We have retained the profitable radio transcription side of the business.

Level of Acceptability

All these investments business at home and it should ancillary to the Company’s main be recognised that the success of forward in the accounts of the any independent television company must depend upon the degree of popular acceptance of its those programmes by those members of the British public whom it serves. Here, it is noteworthy to add that during the calendar year January to December 1959 the level of acceptability in London (where the weekday programmes are provided by another company) has been 69% against the BBC’s 31%, whereas in the Midlands (where Associated Television Limited has the five-day operation) during the same period the level of acceptability has been 74%, against the BBC’s 26%.

Documentary and Religious Programmes

Despite the fact that such popular productions as Mr. Val Parnell’s ‘Sunday Night at the London Palladium’ have continued to occupy a high place in the ‘Top Ten,’ your Company has been responsible also for such serious documentary programmes as ‘We Dissent’; ‘The Western’ – an enquiry into the popularity of Western films; a medical programme, ‘Fear Begins at 40’: ‘The Art of Architecture’; the series of five lectures by Sir Kenneth Clark on ‘Revolutionary Painters’; the lectures on British Prime Ministers by Dr. A. J. P. Taylor; and the ‘Right to Reply’ series in which Mr. William Clark interviewed among others, Mr. Selwyn Lloyd. Mr. Hugh Gaitskell, the late Aneurin Bevan, Father Trevor Huddleston, M. Jacques Soustelle, M. Hammarskjöld, the late John Foster Dulles, Mr. Krishna Menon, Mr. Henry Cabot Lodge, Mr. Paul Hoffman, and Mr. Norman Manley, Prime Minister of Jamaica.

It will be remembered that Associated Television Limited was the first company to introduce regular religious programmes in Sunday television and those who took part during the past year included their Graces the Archbishops of Canterbury and York, the Bishops of Kensington, Lincoln, Manchester, Woolwich and Bedford, the Roman Catholic Archbishop of Liverpool, Dr. Heenan, Dr. Donald Soper and Lord Woolton.

Notable Achievements

Notable also have been those series which, while serious in content, have nevertheless secured maximum audiences. The series ‘Emergency – Ward 10’ has throughout the greater part of the year played to a weekly audience in excess of 20 million viewers. The new series ‘Probation Officer’ has proved equally successful and has earned wide praise from social workers and the Church alike.

Among British companies, your own Company has maintained its lead in the field of international television film production. In addition to such series as ‘Four Just Men’ and ‘Danger Man,’ produced in this country, the Company is just completing a series, ‘Whiplash,’ in Australia.

Company’s Major Role

Your Company has continued to play a major part in the independent television industry itself. Your Deputy Chairman, Mr. Norman Collins, has for the past year acted as Chairman of the Independent Television Companies Association and is currently also the Chairman of Independent Television News Limited, the company which provides the news bulletins for all stations. Mr. James Drummond, the Financial Director of your Company has for the past year acted Chairman of the General Purposes Committee of the Independent Television Companies Association. Mr. Bill Ward, Productions Controller of your Company, is the current Chairman of the Society of Film and Television Arts and I am pleased to place on record that he is the recipient of the Award of the Guild of Television Producers and Screenwriters for the best Light Entertainment Producer of 1959.

The Industry’s Growth

The television industry as a whole continues to grow and it is pleasing to note that during the year under review the ITA has appointed new companies to serve East Anglia and Northern Ireland and has erected a satellite station to give coverage to the Dover area.

By April 1960, 47,578,000 viewers were within reach of programmes broadcast from the ITA transmitters and the average total peak viewing audience for independent television is now over 13,000,000, compared with the BBC’s 5,500,000, as measured by TAM in homes with a choice of programmes.

Your Company’s operations have from the outset been divided between London and the English Midlands and the proportion of locally produced programmes in the Midlands is higher than that of any other independent company.

Your Company, nevertheless, continues to feel that an uninterrupted seven-day-a-week operation in any one area is calculated to provide the most satisfactory service to viewers, and your Company again places on record the fact that, in the public interest, it would welcome the introduction of new stations providing alternative services, so that genuine competition could be assured.

Relations with the Independent Television Authority, under its Chairman Sir Ivone Kirkpatrick, G.C.B., G.C.M.G., have been most closely maintained and I would like to express the gratitude of your Board and more particularly of the Executive Directors for the unfailing service rendered by the officers of the Authority at all levels

Tribute to Management and Staff

As in other years I would, as Chairman, like to pay tribute to the services rendered by the Management. Your Company’s Managing Director, Mr. Val Parnell, and your Deputy Managing Director, Mr. Lew Grade, have continued not only to shoulder the heavy responsibility of the manifold interests of the Company but have added to their other duties by arduous business missions abroad. In addition, non-Executive Directors have continued to render most valuable services to the Company. They have given generously of their time and I would like to express my thanks to them.

Finally, I am happy to report that the Staff in all departments continue to reveal all those characteristics of enthusiasm which have served to build up the Company and I am sure the shareholders will wish to join me in thanking them for their loyal services rendered during the past year. It is gratifying that the Staff Profit-Sharing Scheme again enables the Company to show its appreciation of their efforts.

The post ATV financial results: 1960 appeared first on THIS IS ATV NETWORK from Transdiffusion.

YEAR OF CONTINUED PROGRESS AND EXPANSION

OVER TWENTY-FOUR MILLION VIEWERS ON I.T.V.

SIGNIFICANT WIDENING OF PROGRAMME RANGE

MR. PRINCE LITTLER’S REVIEW OF ACTIVITIES

The fourth annual general meeting of Associated Television Limited will be held at the Connaught Rooms, Great Queen Street, London, W.C.2., on Thursday, September 3rd, 1959, at 3 p.m.

The following is the statement by the chairman, Mr. Prince Littler, C.B.E. which has been circulated with the report and accounts:–

The year under review has shown continued progress and expansion both for your Company and for Independent Television as a whole. New programme companies have been appointed for southern and north-eastern England, and the number of viewers able to receive Independent Television has risen to a total of more than 24 millions. Apart from the natural growth of the television audience through the purchase of new receivers, an entirely new Independent Television audience will arise from the opening of three new transmitters which will be on the air by the end of the year, thereby bringing Independent Television to an additional four million viewers in East Anglia. Northern Ireland and south-eastern England. All Independent Television companies, the pioneer companies as well as the newcomers, benefit from this expansion because network arrangements between the various companies enable basic production costs to be spread.

Planned Expenditure by Advertisers

With the nation-wide growth of Independent Television, advertisers are now able to be more selective in their buying of time, and the industry is entering into a new phase of overall planned expenditure on the part of the advertisers and their agencies. This is a thoroughly healthy development and it is supported by increased budgets which amply demonstrate the faith that advertisers have in the television medium.

While advertising revenue increased in the period under review as against the previous year, it must be recognized that saturation point may soon be reached. On the other hand programme costs continue to rise, both as a result of our confirmed policy of improving programme standards and as a result of wage increases arising from negotiations with the various trade unions concerned in the industry. Continuous watch is kept on expenditure and, although various substantial economies have been effected, the present extremely high level of profitability may become increasingly difficult to maintain.

Capital Structure

In the past 12 months there have been considerable changes in the capital structure of your Company. On September 30, 1958, the remaining £207,120 [£3.9m in today’s money allowing for inflation – Ed] of the 6 per cent. Convertible Unsecured Loan stock, 1960/63, was converted into “A” Ordinary shares of £1 each, but with a reduced right to dividends in respect of the year ended April 30, 1959, and the Company’s 6 per cent. Unsecured Loan stock, 1960/63, was redeemed at 102½ per cent.

On December 11, 1958, the authorized capital of the Company was increased to £5,000,000 [£94m] by the creation of 2,980,000 additional “A” Ordinary shares of £1 each, and 305,000 new “A” Ordinary shares of £1 each were issued credited as fully paid by way of capitalization of reserves and distributed to the holders of the Deferred shares and the 400,000 Deferred shares of 1s. each were converted into 20,000 “A” Ordinary shares of £1 each. On the same date each of the Company’s 4,850,000 “A” Ordinary shares of £1 was sub-divided into four “A” Ordinary shares of 5s. each.

On March 19, 1959, 7,871,520 fully paid “A” Ordinary shares of 5s. each numbered 1 to 7,871,520 inclusive were converted into stock transferable in amounts and multiples of 5s. The 828,480 “A” Ordinary shares of 5s. each, arising from the conversion of the Loan stock on September 30, 1958, will be converted into stock after the payment of the final dividend in respect of file year ended

April 30, 1959, at which time these shares will rank pari passu with the remaining “A” Ordinary stock.

Group Profit and Dividend

The Group profit before taxation, for the year ended April 30, 1959, amounted to £5,316,493 [£100m]. Taxation takes £2,715,076 [£51.2m] and there remains a Group profit of £2,601,417 [£49m], of which £369 [£7,000] is attributable to outside shareholders of a subsidiary company, leaving a profit attributable to the parent company of £2,601,048. Of this amount £38,373 [£724,000] was retained by the subsidiary companies and there remains £2,562,675 [£48.3m] to be dealt with in the accounts of the parent company. To this must be added £333,040 [£6.3m], the balance brought forward from the previous year, and £153,123 [£2.9m] in respect of taxation provisions no longer required due to the reduction in the rate of income tax, producing a balance of £3,048,838 [£57.5m] available for appropriation.

Your directors propose to recommend a final dividend of 12s. per share on the Ordinary shares of £1 each and 3s. per share on the “A” Ordinary stock units of 5s. each. “A” Ordinary shares numbered 7,871,521 to 8,700.000 inclusive rank for dividend of ⁷⁄₁₂ths of that payable on the “A” Ordinary stock. The interim dividend already paid and the proposed final dividend absorb £1,337,623 [£25.2m], leaving £1,711,215 [£32.3m] to be carried forward in the accounts of the parent company.

The accounts include provision for the distribution of £213,897 [£4m] for the staff profit-sharing scheme.

The balance of the mortgage on National Studios was repaid in September, 1958.

Proposed Capitalization of Reserves

On February 5, 1959, your Company applied to the London Stock Exchange for a quotation of its “A” Ordinary share capital which was granted. In the statement submitted with the application your directors indicated their intention of recommending in December, 1959, the capitalization of £2,325,000 [£43.9m] of reserves by the issue of 9,300,000 “A” Ordinary shares of 5s. each credited as fully paid to the holders of the present issued share capital in the proportions of four new shares for each existing Ordinary share of £1 each and for every four existing “A” Ordinary stock units of 5s. each. It is still their intention to make this recommendation.

Last year you were notified of the acquisition at par by your Company of £500,000 [£9.4m] 7 per cent. Convertible Unsecured Loan stock, 1967/68, in British Relay Wireless and Television Limited under the terms of issue of which the Company has options, exercisable on September 30, 1961, or September 30, 1962, to convert the whole or part of the stock into fully paid Ordinary shares of 5s. at the rate of 134 shares for each £100 stock converted. In February, 1959, British Relay Wireless and Television Limited made a rights issue and your Company subscribed for 268,000 new Ordinary shares of 5s. at 20s. which was its entitlement under the terms of the Loan Stock Trust Deed. The operations of British Relay Wireless and Television Limited continue to expand and your board is confident that this investment will prove profitable.

Recent and Proposed Acquisitions

In September, 1958, your Company received the consent of the Australian Federal Government to the acquisition of file commercial radio and television interests of the Daily Mirror Group in Australia. In March, 1959, the wholly owned Australian holding company, formed by your Company to control its Australian interests, subscribed for 75,000 shares of £A.1 each in the company operating the new Brisbane commercial television station.

It is anticipated that this station will go on the air in August, 1959. The Sydney commercial television station in which your company has a 9.36 per cent interest, is now operating on increasingly profitable terms.

As I reported in my statement last year, your board was then negotiating for file acquisition of a prominent United Kingdom production company engaged in the production of films for television. These negotiations were successfully concluded last autumn when the share capital of Incorporated Television Programme Company Limited, which has since changed its name to ITC—Incorporated Television Company Limited, was acquired. This company owns a 50 per cent interest in the voting equity of one of the three most important television film distribution companies in the United States. Preparatory work for the production of television film series is in hand and will be carried out in your Company’s studios in the United Kingdom and also in its studios in Australia.

Agreement with Pye Records

As indicated in the statement accompanying the application for quotation to the London Stock Exchange, your Company has completed an agreement to buy for a nominal consideration, half of the issued share capital of Pye Records Limited, a gramophone record manufacturing company, and has undertaken to advance to Pye Records Limited up to £300,000 [£5.7m] by way of loan. Although it is anticipated that certain initial losses will be incurred, your directors are confident that this will prove a profitable venture.

The Company has also concluded its negotiations with Muzak Corporation. Subsidiary companies have now been formed to operate the concession acquired on a royalty basis in the United Kingdom and Ireland for the distribution of background music on the lines developed by Muzak Corporation in North America.

Preparatory development work is now in hand and a sales force is being built up to develop this franchise commencing in August of this year. An encouraging number of inquiries for the use of this service has been received and it is hoped that there will be a steady growth in demand once the operation is established.

New Head Office and Studios

The first stage of the transfer of the Company’s head office to its new office building at ATV House, 17, Great Cumberland Place, W.1, was.completed on June 29, 1959, and it is anticipated that the transfer of the second stage will be completed in the spring of 1960. These offices are among the most modem and efficiently planned in London and your Company has been able to set an example in providing such agreeable working conditions for its staff. The amenities include a Muzak service throughout the building.

Plans are currently under review for the Company’s permanent studios. From the outset the staff has been working under considerable difficulties in temporary accommodation converted to television production purposes and it is remarkable that programmes of such excellence should have been produced in the existing studios. The consolidation of the London production facilities has been consistently postponed until the Company’s financial position warranted the considerable expenditure involved. Plans have already been approved for the rebuilding of the Midlands centre, Alpha Studios, which are shared and jointly financed by ABC Television and ourselves.

Distinguished Artists and Public Figures

The range of ATV’s programming has significantly widened. During the past year not only have such distinguished artists as Sir Laurence Olivier, Sir John Gielgud and, more recently. Sir Michael Redgrave and Miss Leslie Caron, made their world debuts in major TV drama, but a succession of public figures, politicians, philosophers, scientists, educationalists, and the clergy of the main denominations, have all appeared in ATV’s various topical series. Thus, in “Right to Reply,” the speakers have included the late John Foster Dulles, the Right Hon. Selwyn Lloyd, Secretary for Foreign Affairs, Lord Russell, General Norstad, M. Soustelle and Mr. Aneurin Bevan. In “Free Speech,” Lord Boothby, Mr. Michael Foot, Mr. A. J. P. Taylor, Mr. W. J. Brown, to name four of the regular debaters, have kept the conduct of current controversy not merely balanced but also bold. Sir Kenneth Clark’s series “Is Art Necessary?” has now reached its eleventh programme and, in the field of documentary studies, ATV’s treatment of such subjects as Polio and World Population have achieved audiences in excess of five and a half million. The Religious programmes, moreover, have grown in audience from an average of under three million in 1958 to an average of nearly four and a half million in 1959. Among the many outstanding religious figures who have taken part in the “About Religion” series are the Reverend Father Trevor Huddleston, the Most Reverend Archbishop of Liverpool, Dr. John C. Heenan, and, more recently. Dr. Billy Graham, the American evangelist.

Popular science has been most successfully presented by Mr. Gerald Leach, a 26-year-old Cambridge scientist, who, in the series “It Can Happen Tomorrow” now addresses the largest home schoolroom audience of children and adults in British television.

A Notable Outside Broadcast

Notable among the many outside broadcasts was the first coverage in Independent Television of polo, with H.R.H. the Duke of Edinburgh playing at Windsor Great Park. Not less notable in another context is “Emergency – Ward 10” which has now entered its third year of twice-weekly series, with more than 10 million viewers for each episode.

Undoubtedly, however, the outstanding ATV record belongs to “Sunday Night at the London Palladium,” which on March 29, 1959, celebrated its 139th performance, having appeared no less than 130 times among the Top Ten most popular programmes in this country. “Sunday Night at the London Palladium” has brought into the homes of nearly 12 million viewers the best in light entertainment and, together with “Saturday Spectacular” has presented such internationally famous stars as Arthur Askey, Max Bygraves, Margot Fonteyn, Bruce Forsyth, Benny Hill, Bob Hope, Sally Ann Howes, Jewell and Warriss, Dave King, Liberace, Johnny Ray, Harry Secombe, Jo Stafford, Sophie Tucker and Norman Wisdom.

Recognizing the importance of maintaining the highest standards in children’s programmes your Company, in association with ABC Television, has appointed Miss Mary Field as Childrens Adviser. The work that Miss Field has already done as chairman of the Children’s Film Foundation earned her unique authority in this field.

The Midlands

Your Company is unique among the main Programme Companies in having responsibility not only for week-end broadcasting in the Metropolis but also for providing the week-day Independent Television for some six million inhabitants in the Midlands. In this important Midlands operation not only do we broadcast regular programmes for the farming community but, in the series “Where Are You Going?’ the Midland teenagers are helped by Midland educationalists and by the large industrial organizations in arriving at the right choice of career. The Midlands programmes include the popular “Lunch Box” programme of Noele Gordon’s and many programmes not seen on the London screens. The latter include the daily “Midlands News”; “Midland Montage,” the weekly magazine-type programme which presents news, views and comment about the Midland scene; daily religious programmes; “Paper Talk,” the regular discussion programme which had the longest run of any weekly television senes in Britain; and “Cover Girl,” a new type of teenage show produced in ATV’s Midland studios.

Your Company has continued with its policy of publishing in pamphlet and booklet form various of its outstanding television programmes. Particularly notable is the fact that by adopting new techniques we were able to place the text of the broadcasts of Mr. Dulles. Mr. Selwyn Lloyd, General Norstad and M. Soustelle in the hands of Members of the House of Lords, M.P.s and newspaper editors on the morning following the broadcast.

Your Company during the past year contributed £26,000 [£491,000] out of the total of £100,000 [£1.9m] from the four main companies by way of grants to the arts and sciences. Sir Ivone Kirkpatrick, chairman of the Independent Television Authority, said of these grants: “The money will rescue many a valuable enterprise from extinction and will help others to improve their standards.”

Competition Welcomed

In my last statement I referred to the fact that this Company would welcome competition by another Independent Company seeking to attract viewers on the same days of the week and in the same areas. I reaffirm this view. Indeed, I feel that the competitive requirements of the Act call for such a second service. Moreover, your Company feels that the present restrictions on broadcasting hours are unrealistic and should be reviewed. The Company is at the moment precluded, solely by lack of opportunity, from scheduling many new programmes which it would like to be able to present to the British public. Furthermore, your Company has always been in the forefront of those which have supported the view that British television should progressively adopt the 625-line Continental standard and should not be permanently shackled to the outmoded standard of 405-lines to which this country reverted after the close of World War II.

The problems confronting any Programme Company are many and various and, once again, I should express our sincere appreciation for the invaluable guidance and advice always made readily available to us by Sir Ivone Kirkpatrick himself and by his two chief officers, the Director-General, Sir Robert Fraser, and the Deputy Director-General, Mr. Bernard Sendall.

The thanks of this Company, as of the other Independent Television Companies, are due also to Mr. Paul Adorian, managing director of Associated-Rediffusion, who for the past year has acted as chairman of the Independent Television Companies Association, an office in which he has from July 1 been succeeded by Mr. Norman Collins, deputy chairman of your own Company.

I have to report the resignation as executive director of Mr. Richard L. Meyer, whose wide experience of sound broadcasting matters proved so valuable to the Company during its initial stages. Mr. Meyer has been succeeded as an executive director by Mr. J. A. L. Drummond, whose City background and knowledge of financial matters has already proved of the greatest possible benefit to the board.

Tribute to Management

It is customary for the chairman to pay a tribute to the services rendered by the management. This I am most happy to do. I would like to thank all the directors, not least the non-executive directors, who have so generously given of their time and services.

No tribute to management would, however, be complete without a specific reference to the unique services rendered by your Company’s managing director, Mr. Val Parnell, thanks to whom the Company has not only become highly profitable but has laid sound foundations for the future. Moreover, Mr. Parnell, no less than I, would, I am sure, wish to include a special mention of your deputy managing director. Mr. Lew Grade, on whose shoulders fall so much of the detail of the day to day running of the business.

In conclusion, as regards the staff of your own Company, it will be apparent that such excellent results could not have been achieved without arduous and unflagging efforts on the part of all concerned. I therefore extend to them our heartiest thanks, and I am glad that the staff profit-sharing scheme enables our appreciation to take a tangible form.

The post ATV financial results: 1959 appeared first on THIS IS ATV NETWORK from Transdiffusion.

WIDENED FIELD OF PROGRAMMES

INCREASING VOLUME OF ADVERTISING

MR. PRINCE LITTLER ON EXPANSION PLANS

The annual general meeting of Associated Television, Ltd., will be held on July 29 at Television House, Kingsway, London, W.C.

The following is the statement by the chairman, Mr. Prince Littler, C.B.E. which has been circulated with the report and accounts:–

When I addressed you at the last Annual General Meeting the Company was only just emerging from the financial shadows of the the opening period when every week of operation meant an additional heavy loss to your Company. It is not too much to say that your Company, the first to come forward ready to take the challenge of operating an independent service, was more heavily penalized by events than any of its competitors. The unavoidable delay in opening the Midlands transmitter meant that for a period of five months the Company was burdened by full overheads while forced to forgo approximately 50% of its legitimate market.

Those days are now past. In the result your Company has taken its full share in the expansion of the television broadcasting industry. Advertising revenue has continued to build up with the growth of the Independent Television network. New stations have come into operation in Scotland and Wales the past year – and the number of viewers able to receive Independent Television programmes is now approximately 20,000,000. The continued increase in the volume of advertisement bookings confirms the growing confidence of advertisers in the value of television as the best means of reaching and holding the public. On the other hand, programme costs have also risen despite increased networking, but this is unavoidable if we are to pursue our policy of improving on past standards.

Profit and Dividend

The profit after taxation for the year ended 30th April, 1958, amounted to £1,997,909 [£38m in today’s money allowing for inflation – Ed], eliminating the debit balance of £483,794 [£9.2m] brought forward on the Profit and Loss Account and providing for the arrears of dividend paid on 16th December, 1957, amounting to £125,832 [£2.4m], and the interim dividend of 10% paid on the 25th April, 1958, amounting to £91,786 [£1.8m], there remains a credit balance on Profit and Loss Account of £1,296,497 [£24.6m]. From this your Directors have recommended payment of a final dividend of 20% on the “A” Ordinary and Ordinary Shares, absorbing £183,573 [£3.5m], to which must be added a Deferred Share dividend of £29,884 [£568,000], in accordance with the Articles of Association. The Directors also recommend that the sum of £750,000 [£14.3m] be transferred to General Reserve, leaving £333,040 [£6.3m] to be carried forward on Profit & Loss Account.

During the year, a staff profit-sharing scheme was introduced, and provision has been made for a distribution of £146,562 [£2.8m]. For the first time since inception of the Company, provision has been made for the payment of Directors’ fees amounting to £29,000 [£551,000]. You are accordingly asked to pass the necessary resolution for this purpose.

Balance Sheet Items

Turning to the Balance Sheet, you will see that the amount of “A” Ordinary Shares issued and fully paid has increased by £292,880 [£5.6m], as a result of conversion of a similar amount of 6% Convertible Unsecured Loan Stock 1960-63. Fixed assets after provision for depreciation have risen by £77,977 [£1.5m]. The principal addition to fixed assets comprises a freehold property and buildings which are being adapted for urgently needed storage and studio space. The liquid position of the Company again shows marked improvement in the Bank Balances, Sums on deposit and Cash in hand standing at £8,203,732 [£156m]. The balance of the mortgage on the Company’s studios at Elstree has been called for repayment on the 31st January, 1959.

With the Company’s increased trading and with the large number of programmes produced for the I.T.A. network as a whole, the Company has experienced a grave shortage of essential office and studio accommodation. Accordingly, the lease has now been negotiated for new office premises, adequate to the expanding needs of the Company in a centrally situated block which is being designed to meet the Company’s requirements. Moreover, a suitable studio site within easy reach of the West End has now been selected and negotiations for its acquisition are currently proceeding.

Improvement in Liquid Position

With the improvement in the liquid position of the Company, the Board has given its attention to investing in the United Kingdom in allied and ancillary fields. As a first step in this direction your Company acquired on the 9th May, 1958, £500,000 [£9.5m] 7% Convertible Unsecured Loan Stock in British Relay Wireless & Television Limited with attractive conversion rights into ordinary shares in 3 and 4 years’ time. British Relay Wireless & Television operates television and radio relay services over parts of London and in many other urban areas, as well as a television and radio rental business, and by the extension of its operations creates new television viewers for our own programmes.

Your Board, moreover, is currently seeking to negotiate the purchase of one of the major producing companies specialising in the production of films for television. The company question has an outstandingly successful record, notably in the American market. Your Board feel that, in the acquisition of this company, your own Company’s position in the production field would be greatly strengthened.

Development Overseas

During the year the Board has given considerable attention to opportunities for participation in the development of commercial television and radio broadcasting in English-speaking territories overseas, including the U.S.A. Two of your Directors, Mr. Norman Collins, the Deputy Chairman, and Mr. Richard L. Meyer, have made a number of visits overseas to carry out on-the-spot investigations. One major project to which the Company has signified its assent is at the moment before a Commonwealth Government for their approval; and, in readiness for anticipated developments elsewhere within English-speaking world, the Company either has registered, or is in process of registering, Companies in Canada, East Africa, the West Indies and Bermuda.

Position Notably Maintained

The Company’s pioneer position in providing programmes of wide appeal has been notably maintained and, at the same time, the range of productions has significantly expanded. Since my last report, the Company has embarked on a widening field of programmes dealing with Religion, the Arts, public affairs and matters of general sociological interest. Notable among the religious contributions have been “Christ in Jeans” (as the modern dress Passion Play was entitled by the Press) and a specially filmed documentary record of the British Pilgrimage to Lourdes in the Centenary year; among the outstanding individual contributors have been Dr. George MacLeod, Moderator of the Church of Scotland, 1957-1958, and such leading Nonconformists as Dr. Leslie Weatherhead and Dr. Donald Soper. Moreover, a series of six programmes, introduced by the Archbishop of Canterbury, has been arranged to cover the major issues raised at the 1958 Lambeth Conference.

As regards the Arts, Sir Kenneth Clark, the ex-Chairman of the Independent Television Authority, recently agreed to become Adviser to the Company and initiated a series of widely-acclaimed programmes on which he personally appeared. In the field of public affairs, the series of balanced but still highly controversial programmes, “Free Speech,” continued under the Chairmanship of Mr. Edgar Lustgarten, and the lectures of Mr. A. J. P. Taylor helped still further to widen the scope of Independent Television. The Company has, moreover, recognised its responsibility as a public service by the creation of a special programme unit equipped to deal at short notice with such important and emergent issues as Polio and the Cult of Tranquillizers. Meanwhile, in the general field of programming, Mr. Val Parnell’s “Sunday Night at the London Palladium” continues to maintain its place as a national institution and, to cite another example at random, the dramatic serial, “Emergency – Ward 10,” now enjoys an audience of some ten million viewers twice a week.

Future of British Television

Your Board has considered the Company’s future position in the field of British television as a whole and is firmly of the opinion that in television, as in other fields of life, competition is not only desirable but necessary. Accordingly, I am happy to place the Company on records as saying that it would welcome the introduction of a third television service – in competition with your Company’s own operations – and I feel that it would be in the best interests of the country if it were run on commercial lines. The fact that competition leads to better programmes has already been sufficiently proved. Television entertainment from all sources – including the British Broadcasting Corporation – has improved beyond all measure. New opportunities have been offered to artists, writers and technicians, and British television is, in consequence, richer in talent than it has ever been before. Moreover, in the result, the export business of British television programmes has, for the first time, been established on a substantial basis.

Your Company is at the moment unfortunately handicapped by the fact that its licence from the Independent Television Authority provides for no more than part-time working on two different transmitters, i.e. London and the Midlands. With a third television network run on commercial lines this unsatisfactory state of affairs could be remedied. It is your Company’s firm desire to provide the public of the Metropolis – and through the new network such parts of the country as wish to take the programmes – with an unbroken seven-day-a-week service, exhibiting to the full the potentialities of independent and truly competitive television.

Independent Television Authority

I would like also to refer to the Independent Television Authority, the statutory body set up by Parliament to administer the affairs of Independent Television as a whole. Under the able and experienced Chairmanship of Sir Ivone Kirkpatrick, as under the Chairmanship of his predecessor, Sir Kenneth Clark, the Authority continues to act in the fullest degree as guardian to Parliament and public alike. Moreover, the untiring efforts of the Authority’s Director-General, Sir Robert Fraser, have done more than the viewing public will ever realise to make a practical reality of the provisions of the Television Act of 1954.

In conclusion, I would like to express my gratitude to my colleagues on the Board for their unfailing assistance and advice and also to pay tribute to the loyal service rendered to the Company by the Executives and the Staff in both London and Birmingham.

The post ATV financial results: 1958 appeared first on THIS IS ATV NETWORK from Transdiffusion.

AN ENCOURAGING IMPROVEMENT

MR. PRINCE LITTLER’S CONFIDENCE IN THE FUTURE

The second annual general meeting of Associated Television, Ltd., will be held on August 15 at Television House, Kingsway, London, W.C.

The following is the statement by the chairman, Mr. Prince Littler, C.B.E., which has been circulated with the report and accounts for the year to April 30, 1957:-

I last addressed you on the 2nd August, 1956, at which time the Company was in the middle of the off-season of advertising and the expenses of operation were considerably in excess of the Advertising Revenue. I did state, however, that I was of the opinion that the view on the success of the Company expressed by the Directors on its formation would prove to be justified. I now feel that the results for the year under review endorse that opinion.

Despite the fact that substantial losses were incurred by the Company during the summer months, and although it was not until October of last year that break-even the point was reached, those losses have since been recouped, and at the 30th April, 1957, we are able to show a profit for the year of £201,716 [£3.95m in today’s money allowing for inflation – Ed].

I feel sure you will agree that this is both satisfactory and encouraging when taking into consideration the teething troubles which are inevitable in what is not only a new company but also a major component of completely new industry.

Larger Advertising Revenue

The improvement in our position is due mainly to a considerable increase in advertising revenue. Since the commencement of Independent Television, the number of sets capable of receiving its programmes has steadily increased. thereby giving greater coverage, and this factor, coupled with the many success stories of the impact of the medium, has given an added incentive to advertisers to book time. As I have already mentioned, the summer is an off-season for advertising generally. Even taking this into consideration, I feel confident that we shall go through this summer without incurring the heavy losses experienced last year.

A contributory factor to the improvement of our position is the lessening of programme costs due to more comprehensive networking arrangements. There are now four stations operating seven days a week – London, Midlands, Lancashire and Yorkshire – and extensive networking of programmes between them is in force. As you will appreciate, this is to the mutual advantage of all concerned and has considerably decreased the cost of providing programmes. The Scottish Station is scheduled to come into operation on the 1st September, 1957, and will be followed by further stations in 1958.

Better Cash Position

Looking at the balance-sheet. the amount of “A” Ordinary Shares and Ordinary Shares. both Authorised and Issued. has been doubled, the Deferred shares remaining at last year’s figure of £20,000 [£391,000]. The 6% Convertible Unsecured Loan Stock has from £250,000 to £500,000 [£4.9m to £9.8m] and the 6% Unsecured Loan Stock has decreased by a similar amount. The reason for this is the conversion of £250,000 Loan Stock to Convertible Loan Stock as reported in the Directors Report. The Mortgage on the company’s Studios at Elstree has been reduced by £30,000 [£586,000] to £120,000 [£2.3m]. There is a marked improvement in the cash position at 30th April, 1957, whereas the Bank Balances and Cash in standing at Hand £240,761 [£4.7m], whereas last year the Bank Overdraft exceeded the Balances in Hand by £24,193 [£473,000]. Although Assets have been purchased during the year, owing to the incidence of depreciation they now stand at a slightly lower figure than last year.

You will see that the Directors have recommended that part of the Profit for the year should be applied in writing off the Formation Expenses of £82,795 [£1.6m] and the debit balance on Profit and Loss Account now stands at £483,794 [£9.5m] compared with £602,715 [£11.8m] last year.

High Quality of Programmes Maintained

The improvement in the company’s position since I last spoke to you is encouraging and the future continues to look promising. The company has maintained the quality of its programmes at the high level set in its early days and the forward bookings by Advertisers are higher than at the same time last year. Although I feel it my duty to inform you the forward bookings are at all times subject to eight weeks’ cancellation, I feel confident that they will continue to build up to an even more satisfactory level.

You will appreciate that the progress we have made has only been achieved by the unremitting efforts of our staff, which now totals 740 people, and I am sure you will wish to join me in expressing thanks to all our Directors, Executives and Employees for their hard work in consolidating and strengthening the company’s position and repute in the field of television.

The post ATV financial results: 1957 appeared first on THIS IS ATV NETWORK from Transdiffusion.

It was, however, Hugh Jenkins, MP, when he was Labour’s Minister for the Arts, who gave the most succinct expression to misgivings about the system which enables men like Lew Grade to consolidate such an empire.

‘I agree Lew Grade is a nice man,’ said Jenkins without much fear of contradiction, ‘but what is dangerous is that such a concentration of power should rest even in the most moral hands. It is a dangerous situation in which a man has such power that the question of whether he’s a nice man or not is not important. Even Lew Grade is not immortal.’

When a government minister expresses his alarm in such strong, unequivocal terms, it is worth while to examine more closely the causes for his concern. Niceness and straight-dealing are not the issue; nor is plutocracy. Something far more difficult to define, yet all the more insidious for that, is at stake. ‘The greater the power, the more dangerous the abuse,’ said the eighteenth-century philosopher Edmund Burke two centuries before such a force as television was ever imaginable. Even the high priest of free enterprise, Benjamin Disraeli, qualified the Victorians’ unswerving belief in personal empire-building by writing: ‘I repeat that all power is a trust – that we are accountable for its exercise – that from the people, and for the people, all springs and all must exist.’

To justify his own position, Lew Grade can point to his ratings. If that is not power from the people and for the people, what is it? He is genuinely perplexed by the sophistication of Mr Jenkins’s arguments, and will maintain with sincerely wounded feelings that the accumulation of money is the last thing he thinks about. ‘Multimillionaire? Baloney!’ he protests, a small, finely boned hand raised in horror so that the gold jewellery winks away up to his cuffs. ‘I have no money. I spend my money. I have perhaps been very generous with my money, but let’s not go into details about that. Making money, having power, that’s just an incidental part. If people let it change their lives, they don’t love their work.’

All this, as we shall see, is the case. He does love his work. He is nice. He does produce popular programmes. He does give the public what they seem to want. He is not interested in amassing wealth for wealth’s sake. He is the benefactor of countless untold good causes. The epitaph he once asked for was: ‘I always kept my word’ (subsequently altered to: ‘I didn’t want to go’!) But go, one way or another, he must. He himself has fixed his retirement at the year 2000. Be that as it may, as Hugh Jenkins points out, even the most moral men are mortal.

However or whenever he goes, he will leave behind that ‘dangerous concentration of power’, and given the vagaries which put it into those sensitive, delicate hands in the first place, who can tell what manner of man will succeed him?

When Lew Grade finally emerged from the fascinating early musical chairs at Association TeleVision, his company’s assets stood at £9,400,000. Within the first ten years of his single-minded stewardship, this tiny, rotund and genial man had husbanded his empire so shrewdly, and with such canny flair, that its assets topped the £35 million mark and its interests spread around the globe. By the time the centre of his all-consuming interest had shifted from television to the making of movie spectaculars and he took the title of president, it is fair to say that he had stamped his personal mark on all branches of the entertainment industry from his vast office in ATV House, Great Cumberland Place, adjacent to London’s Marble Arch; he had become a showman mogul cast in a heroic mould, as Lord Annan was to agree.

By then the chances were that when you turned on your radio, went to the cinema, bought a record or a theatre ticket, relaxed at home in front of the box or merely whistled a tune, this amazing man would own a slice of your consumption. For his £210,000 a year president’s salary, he brought a Sam Goldwyn touch to the television industry. No other man has been so successful in selling what the public wants to buy. There are few who would deny Lew (later Sir Lew and latterly Lord) Grade the status of the real founding genius at ATV. The one man who might have put in a counter-claim was Val Parnell, and Val Parnell is dead.

Grade himself enjoys telling how he first came to be in television. Like most stories concerning him it has a nub of truth and is packaged with a showman’s relish for the quotable anecdote. It started, he says, with the advertisement placed by the ITA inviting interested parties to tender for the original contracts. His version of what followed has all the hallmarks of his own bravura simplicity:

‘Now it was bandied about at the time that you needed £3 million. I said how was I going to get that kind of money? Well, my friend said he had someone who could find £2 million if I could find the rest and a board consisting of people well known enough in entertainment. I said “Okay” and I told my brother Leslie he was in the entertainment industry.

‘At that time we hadn’t got much money. We put in all we had – about £15,000 each. Then I rang Val Parnell and told him: “You’re in the television business” and he put in £10,000 to £15,000. Then I called other friends and we virtually formed the group.’

Among the most influential of those other friends was Prince Littler, chief of the Moss Empires variety chain. It was an impressive showbusiness consortium by any standards. There are people who remember hearing Val Parnell tell a similar story with the calls reversed. Exactly who picked up the phone and called whom is not, however, the real point. It is a good story and it is a revealing story, for it demonstrates lucidly what a modest outlay was needed for these leading showmen to buy their way into the ground floor of a multi-million pound venture. It is also some indication of how much (or little) they judged that new industry to be worth.

For what Grade’s throw-away anecdote disguises is in fact how slow any of them was to pick up the phone. It was certainly not a case of sizing up the potential of the new service, as both Norman Collins and Lord Woolton had done five years before, and rushing in to bag a claim. The bandwagon had been rolling, albeit bumpily, for a long time before Lew Grade jumped aboard. He actually missed the ITA’s advertisement in the newspapers. And even after it had been brought to his attention and the cavalier phone calls had been made, there was no direct route to the handsome blue-carpeted office with its table-tennis sized desk which was to become the seat of all power within ATV. It was a circuitous and quite improbable series of events which finally brought him there.

When the ITA advertisement appeared, Lew Grade (as he then still was) was totally immersed in the business affairs of his vast theatrical agency. It is both his strength and his weakness to be almost obsessively absorbed in his own current project. Part of the project he was then concerned with was a tour of the American singer Jo Stafford, and it was two of Miss Stafford’s entourage who played the most prominent roles in launching him into television. Her manager, Mike Nidorf, over in London from the United States to iron out various details of her contract and her performance schedules, spotted the advertisement and enthusiastically outlined its possibilities into Grade’s receptive ear, one of his most abiding qualities being his willingness to listen to new ideas. It is, indeed, among his proudest boasts that his office door in Great Cumberland Place has always remained open to anyone from tea lady or office boy to top executive if they have an idea which they think might be useful to him.

Lew listened carefully as Nidorf argued how, once it got under way, commercial television would have about as much chance of losing money as a fruit machine in Las Vegas. He was backed in his assessment by a most persuasive lady, Suzanne Warner, who was also prominent in the Jo Stafford menage. Added to her obvious Californian glamour was a spirit of daring enterprise. It was, in fact, Suzanne Warner who ‘had someone who could find £2 million’ to put alongside Lew, Leslie and Val’s £45,000. By one of those happy chances, the stuff that television’s dreams are made of, she was being treated by one of London’s most fashionable medical practitioners, who also happened to number among his patients one Mr H. Grunfield. Mr Grunfield was a senior partner in the merchant banking firm of Warburg & Company; what is more, he had already formed his own shrewd conclusions as a banker that commercial television in Britain could be as big and bountiful as it had been in the United States, if used effectively.

It took only an introduction from their mutual doctor to fuse the ambitions of Suzanne Warner to the resources of Mr Grunfield and to deliver them both at the doors of Lew, Val and Prince. Thus was the Incorporated Television Programme Company born, and no one who had any part in it – except, as it proved later, Dr Nathaniel Mayer Green, the accommodating practitioner – had any cause to rue their participation. Their company was to become the most profitable of all the commercial empires, and when it did so, Dr Mayer Green sued both his former patients for a portion of the fortunes they had amassed from their founder shares; shares which he had at the time declined. The cases were settled out of court.

Compared to the slippery, rock-strewn trek they had to make to reach the top of the mountain, the doctor’s litigation was merely a pebble to be cast lightly aside. By then they had survived far worse vicissitudes. When the ITA came to award contracts, the Incorporated Television Programme Company was the only one of the five competing contenders whose bid was rejected. The first three, announced on 27 October 1954, went to Lord Kemsley’s alliance with the television producer Maurice Winnick; to Associated-Rediffusion; and to Sidney Bernstein’s Granada chain, those former pious opponents of allowing anything but a public corporation to invade the sanctity of the home via the cathode ray tube.

Before going in with Lew Grade, however, Prince Littler himself had begun by vehemently mistrusting the advent of commercial television. He saw it as a real threat to his theatre empire, and in this proved quite correct. But he rationalized his fears with a businessman’s innate instinct for survival. He realized in time that, if television was going finally to complete the erosion of popular variety which the cinema had begun, he would guard his interests better by exerting his influence from within the enemy camp. He quickly became chairman of the board of the Incorporated Television Programme Company. A similar logic must also have had as much to do with Sidney Bernstein’s volte-face as his undeniable socialist desire to make his mark on the progress of the new mass culture. And though Associated-Rediffusion were the only experienced operators in the broadcasting field, they too had gone on record as believing that commercial television would not be in their best interests before waking up to the inevitable and putting in their bid.

Norman Collins, perhaps the only one among the contenders who was not counting the possibilities of the new service in terms of business expansion, was offered the franchise to broadcast London’s weekend programmes and weekday to the Midlands. That he should have been awarded such a rich base for his Associated Broadcasting Development Company was only to be expected, and was only fair. His role had been crucial in bringing the ITA into being.

Had he been more of a businessman and less of an idealist, had he seen his new brainchild in the same light as his competitors, he might well have hung on to that franchise. It was, however, significant that he took a week longer than the rest to accept the offer. Benson, Lonsdale & Co., the bankers Lord Bessborough had brought into his deal, were already dragging their feet. Their over-hesitant caution caused them to under-invest and ultimately cost Collins his contract. Winnick’s group was also in dire financial need. His Kemsley backers developed cold feet at the last minute and withdrew. The financial hiatus took Winnick, the clever operator who had introduced the popular panel game What’s My Line? to the BBC, out of the running before the starting-pistol was even fired.

The collapse of the Collins enterprise – on the face of it, the safest and most public-minded of all the companies – gave Prince Littler’s conglomerate the breathing space it needed to regroup for a fresh attack. Lew Grade’s explanation of their failure to capture one of the four contracts was probably the correct one. ‘It was the result,’ he said, ‘of too great a publicity campaign in which we made it look as if we owned the world.’

The ITA members were deeply reluctant to hand over one of their precious contracts to such a daunting array of vested interests: the complex web of the Grade Agency (of which more later) allied to the might of the Moss Empires variety chain along with the commercial radio interests represented by Harry Alan Towers and the powerful spending potential of Warburg’s merchant bank.

It is still a part of Lord Grade’s charm that the best stories against him are invariably the ones he tells himself. ‘As far as I was concerned, Warburg’s might have been a chocolate company when their name was first mentioned to me,’ he confesses. ‘So I called up a friend of mine, Sid Hyams, and asked him if he’s ever heard of them. He said: “Yes, they’re merchant bankers.’” Which was also how Warburg’s became part of the act.

The ITA held out for many months against the Littler-Grade-Warburg conglomerate. But a neat side-step, as neat as anything Lew Grade ever accomplished in his early days as a novelty dancer on the variety stage, shook the authority’s determination. Littler, having started as a reluctant recruit to the joys of commercial television, had grown incensed by the ITA’s refusal to recognize his group’s claims. He began to fight an ever more determined campaign, and when Norman Collins finally had to capitulate to the parsimony of his bankers and bow out, Littler was ready to advance his forces. The remnants of Collins’s Associated Broadcasting Development Company merged with Littler’s light entertainment giant, and the weight of Collins’s reputation clinched the matter. In the spring of 1955, ITA announced that the newly formed Associated Broadcasting Company – almost immediately the title was changed to Associated TeleVision (ATV) – would fill the breach by taking over the contract to broadcast London’s weekend programmes and the weekday schedules in the Midlands. Littler, Parnell, Grade and their holdings were in the race after all, and again it was Collins more than anyone who had made the success possible, though he could hardly be expected to feel altogether happy at this outcome to events. In such company he had effectively lost control of his own brainchild.

The post The Mogul appeared first on THIS IS ATV NETWORK from Transdiffusion.