SATELLITE & CABLE: MTV Mandarin forecasts break-even point to be reached in just three years

<p>MTV Mandarin is capitalising on its flourishing growth in </p><p>penetration and advertising sales in China, where the nation's </p><p>successful bid to join the World Trade Organisation will be a </p><p>significant revenue driver for the network. </p><p><BR><BR> </p><p>"China is the most important market and we are doing things within the </p><p>legality of China policy," said MTV North Asia senior vice-president and </p><p>managing director Harry Hui. </p><p><BR><BR> </p><p>In the past five years, Mr Hui said MTV had maintained "good corporate </p><p>citizenship" in China, where the network has carefully monitored its </p><p>programming frame by frame to ensure the channel is operating within the </p><p>mainland's legal framework. </p><p><BR><BR> </p><p>The music network is forecasting that it will break even in China in two </p><p>to three years' time, according to Mr Hui, who said that MTV expected to </p><p>generate triple-digit advertising revenue growth over the next year, </p><p>buoyed by sponsorship and airtime sales. </p><p><BR><BR> </p><p>Advertisers on board with MTV China include Lipton, Vidal Sasoon, </p><p>Adidas, Nokia, Rejoice and Swatch. </p><p><BR><BR> </p><p>Reaching 45 million mainland households through day-part distribution, </p><p>Mr Hui said MTV was the largest distributed foreign network following </p><p>ESPN, and the number of system operators delivering the channel had </p><p>grown by 31 per cent, to 38 cable suppliers. </p><p><BR><BR> </p><p>With localisation the key to attracting viewers, Mr Hui said MTV had </p><p>created three tailor-made programmes: MTV Countdown, MTV Tian Lai Chu </p><p>and MTV English. </p><p><BR><BR> </p><p>The network also recently signed a distribution pact with terrestrial </p><p>station Beijing TV, reaching 20 million homes, with advertising revenue </p><p>to be shared by both parties. </p><p><BR><BR> </p><p>The 1999 CCTV-MTV Music Honors, sponsored by Carlsberg and Siemens AG </p><p>Private Communications Systems, recorded average ratings of 4.2 per cent </p><p>in Beijing. </p><p><BR><BR> </p><p>The broadcast of music awards show had earlier been put on hold because </p><p>of the Nato's bombing of the Chinese embassy in Belgrade; the programme </p><p>finally aired on CCTV 1, 3 and 4 last November, reaching 12.5 per cent </p><p>of the targeted 15-to-24 age group. </p><p><BR><BR> </p><p>"We will air portions of the show on MTV's global network, reaching more </p><p>than 300 million households across 83 territories," said Mr Hui. </p><p><BR><BR> </p>