British commercial broadcaster ITV has suspended its final dividend, cut 600 jobs and posted a loss of £2.7 billion after writing down assets.
It said net advertising revenue for its channels was down 4% in 2008. It is expected to be down around 17% in the first quarter of 2009 and the whole advertising market is expected to be down 20% in April.
'Current conditions in the advertising market are the most challenging I have experienced in over 30 years in UK broadcasting,' executive chairman Michael Grade said.
ITV said its 2012 revenue targets set in 2007 were no longer appropriate and it would now focus on its core business as a producer and broadcaster.
It pledged to deliver annual cost savings in 2011 of £245m. Of this, £155m of annual savings will be delivered in 2009.
ITV is seeking to dispose of the social network Friends Reunited and is considering its options for multiplex business SDN.
Operating earnings before interest, tax and amortisation (EBITA) in 2008 were down 32% at £211m. It reported a £2.7 billion loss after an impairment charge against broadcasting and online assets. Revenues were down 3% at £2.03 billion.
