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CONSOLIDATED FINANCIAL STATEMENTS AND CONSOLIDATED MANAGEMENT REPORT 2015
4.7. Audiovisual property rights
4.7.1. Outside production rights
These consist primarily of rights acquired for a period that exceeds one business year. These rights are measured at
cost and relate to the individual value of each right. If they are acquired in closed packages, with no breakdown of the
individual value of each product, individual values are calculated based on a weighting factor equivalent to the acquisition
cost of products of a similar type and category that would have been incurred had the acquisition been made on an
individual basis.
The cost of audiovisual rights acquired in a business combination is fair value at the date of acquisition.
The right is recognized at the earlier of the time the material becomes available for broadcasting pursuant to the
contract or, if earlier, the date on which the right commences. In the case of several rights associated with a single
contract that are accepted during the same year but on different dates, the Group recognizes the inclusion of the rights
under the contract on the earlier of the date on which the first right is accepted for broadcasting and the date the rights
commence.
These rights are recognized in the separate income statement under “Amortization of audiovisual property rights,”
based on the number of screenings, as follows:
1. Films and TV movies (non-series)
1.1. Contractual rights for two screenings:
First screening: 50% of acquisition cost.
Second screening: 50% of acquisition cost.
1.2. Contractual rights for three or more screenings:
First screening: 50% of acquisition cost.
Second screening: 30% of acquisition cost.
Third screening: 20% of acquisition cost.
2. Other products (series)
Contractual rights for two or more screenings:
First screening: 50% of acquisition cost.
Second screening: 50% of acquisition cost.
When a screening is sold to a third party, the value of the screening, calculated on the basis of the aforementioned
percentages, is amortized on the basis of the territorial television signal distribution capacity of the television station
buying the screenings, and a cost of sales is recognized based on the revenue generated in the region where the
screening has been sold, with adjustments made to the unsold value of the screening in question.
These rights are subject to valuation adjustments, where necessary, as detailed in Note 4.11.