GMA Network inks co-production deal with Korean broadcaster

GMA Network, Inc. has signed a deal with South Korean newspaper and television outfit Maekyung Media Group to co-produce programs. In a statement, the listed broadcasting firm said the memorandum of understanding with the Maekyung Media Group signed last month was "for a collaboration to provide topnotch, internationally flavored programs in the media industry." The deal will lead to co-production of television programs involving the artists and production teams of both companies, the company said. Both companies also agreed to "license programs in the fields of news, drama, variety, documentary, current affairs, information-education, arts and sports." The Maekyung Media Group owns and operates the Maeil Business Newspaper, financial news television station Maeil Business News TV, and the Maekyung Internet Website, which has been in service since 1999. Maekyung Internet claims to be South Korea’s no. 1 business and economic Web portal. Lawyer Felipe L. Gozon, GMA Network chairman, president, and chief executive officer, said the collaboration with Maekyung Media Group was a step "towards further upscaling of the network’s programs." "GMA Network has been the industry leader in providing high-quality television programs. The Network’s collaboration with [the Maekyung Media Group] aims to further improve GMA Network’s products [and make them] at par with international standards," Gozon said. Profits of GMA Network rose by a tenth to P2.1 billion in the nine-month period ending in September 2009 from a year earlier, while revenues went up by 7.5 percent to P10 billion as airtime sales increased along with international cable service subscriptions. Airtime revenues for January to September 2009 went up by 5 percent to P9.2 billion from a year earlier. GMA Network has 46 very high frequency or VHF television stations nationwide, including the flagship GMA-7 in Metro Manila, two ultra high frequency or UHF stations, and one affiliate station. It also owns 21 radio stations. Gozon had said the company was likely to exceed its profit target of P2.8 billion last year. GMA Network plans to spend around P400 million this year to upgrade broadcast facilities and transmitters. GMA Network shares were steady at P7.40 apiece on Friday. — Emilia Narni J. David, BusinessWorld