Media groups slash costs as advertising slump bites

Original article by Lilly Vitorovich
The Australian – Page: 15 : 7-Apr-20

Southern Cross Media Group CEO Grant Blackley says the fundamentals of its business remain sound, despite the impact of the pandemic on the advertising market. Southern Cross will seek to reduce costs by $40m-$45m in 2020, while the proceeds of a $169m equity raising will be used to reduce its $330.5m debt. The group has also advised that advertising revenue fell 10 per cent year-on-year in the nine months to 31 March. Rival radio stations group HT&E has also flagged cost cuts, including temporary salary reductions and reduced working hours for its staff.

CORPORATES
SOUTHERN CROSS MEDIA GROUP LIMITED – ASX SXL, HT&E LIMITED – ASX HT1

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