Page 94 - MEDIASET ESPAÑA / 2012. Financial Statements, Management and Corporate Governance Report

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MEDIASET ESPAÑA COMUNICACIÓN, S.A.
DIVIDENDS
In 2012, the Company paid a total of 55,260 thousand euros of dividends.
INVESTMENT IN RIGHTS AND FILM PRODUCTION
The Mediaset España Group maintained its policy of investing in audiovisual broadcasting rights, carefully selecting the
type of rights and content in order to maintain audience figures in the future and provide the most fertile ground for
the advertising business.The Group placed special emphasis once again on investment in Spanish Series.
Worth highlighting were the activities undertaken byTelecinco Cinema, S.A., a wholly owned subsidiary of the Company
charged with film production under the legal requirement of TV concessionaires to earmark 3% of operating revenue
for Spanish and European film production.
As investment in film production arises from a legal obligation and not a decision made freely by the network, the
Company has opted for quality and ambitious projects based on global strategic criteria guiding its activity in this field.
Where possible, it opts for productions of a certain size and scope that are apt for international showing bearing in mind
market conditions and the Company’s financing capacity as this obligation outweighs the revenues generated, regardless
of the trend and without any consideration to costs incurred or margins commanded.
In short, the aim is to combine financial wherewithal, talent, profitability and opportunities efficiently for our brightest
and most promising professionals in order to maximize the return on investment -in light of global conditions, maximum
importance is attached to this- considering that the activity is not voluntary, and to produce films that bring together
quality and commercial appeal under the network’s logo.
Without a doubt, 2012 was an extraordinary year for our film co-production activity: “The Impossible” broke the 40
million euro mark in Spain, and now ranks as the top-grossing Spanish film in history, and second in absolute terms right
behind “Avatar,” surpassing movies such as “Titanic,”“The Lord of the Rings, or “Pirates of the Caribbean.”
In international terms, the film has been sold all over the world and results until now have been very encouraging.The
film has been present in international festivals, including theToronto International Film Festival and the San Sebastian Film
Festival, acclaimed by critics and public alike: it was nominated for 14 Goya awards, winning in five of these categories
(including Best Director and Best Production Supervision), as well as Oscar and Golden Globe awards in the category
of Best Performance by an Actress in a Leading Role.
In 2012, “Tadeo Jones” was co-produced with an all-Spanish team; it is the most-watched Spanish animated film of all
time as well as the biggest box office smash in this category, raking in 18 million euros in Spain, which is over Hollywood
productions such as “Ice Age 4,” “Brave,” or “Madagascar 3.” It was nominated for four Goyas, and won three, including
Best Animated Film, Best Adapted Screenplay, and Best New Director. It is the Group’s first animated movie, and is
paving the way for new business opportunities in this regard.
Thanks to the above, the Group leads the national film production market by far, with a 56% share, which is even more
significant when taking into consideration the challenging situation the sector faces due to the economic recession, as
well as the impact of the VAT increase effected last September.
INTERNET
The Group considers Internet a strategically important current and future activity.
In 2012, the Group broke even in this segment.
According to OJD data, Telecinco was the television website with the highest traffic during the year. The Mediaset.es
website also led communication groups operating in Spain.