ABS-CBN
is the largest integrated media and entertainment company
in the Philippines with an asset base of Php24 billion (USD503
million). The company is principally involved in television
and radio broadcasting, as well as the production of television
programming for domestic and international audiences and
other related businesses.
The company operates in three major geographical
areas. In the Philippines, the company is involved in broadcasting,
cable operation and other businesses. In the United States
and other locations (Middle East, Europe, Japan, Australia,
and Asia Pacific), the company operates its cable and satellite
operations to bring television programming outside the Philippines.
The company’s activities outside the Philippines represent
approximately 25%, 23% and 20% of total revenues in 2006,
2005, and 2004, respectively.
In 21
July 2005, ABS-CBN and its subsidiary ABS-CBN International
signed an affiliation agreement with DirecTV, one of the
leading DTH system providers in the US. Under the deal,
DirecTV will have the exclusive right to air The Filipino
Channel (TFC) package on its DTH platform.
The
Company’s Very High Frequency (“VHF”)
television network, which consists of its flagship station
in Mega Manila, Channel 2, 23 other owned and operated television
stations and ten affiliated stations, is the leading television
network in the Philippines. The Company also operates Studio
23, the leading Ultra High Frequency (“UHF”)
television network with 35 television stations. The two
networks reach an estimated 97% and 50% of all television
owning households in the Philippines, respectively.
Average
audience share is 36% in Mega Manila and 38% in Metro Manila.
A new ratings measurement, reflecting national performance,
shows that ABS-CBN is the undisputed leader in television
viewing in the country – 47% audience share versus
35% for the nearest competitor
ABS traces its roots from Bolinao Electronic
Corporation (“BEC”), which was established in
1946 as an assembler of radio transmitting equipment. In
1952, BEC changed its corporate name to Alto Broadcasting
Corporation (“ABS”). On September 24, 1956,
the Lopez-owned Chronicle Broadcasting Network (“CBN”)
was organized. In 1957, ABS acquired CBN and on February
1, 1967, the corporate name was changed to ABS-CBN Broadcasting
Corporation.
With the imposition of martial law in September
1972, ABS-CBN’s operations ceased since the government
took over the Company’s studios and equipment. ABS-CBN
resumed commercial operations in February 1986 during the
height of the EDSA revolution.
The Company’s congressional franchise,
Republic Act No. 7966, which allows the Company to operate
television and radio stations, was renewed on March 30,
1995 for 25 years.
