Wondering What’s Going on With Network Ten and If Your Fave Shows Are Safe? Here's What's Up

For those of you who don’t know, Network Ten has fallen on hard times.

The popular television channel that first began airing way back in 1964 has gone into voluntary administration. We know you have questions. So, let’s dig in.

What is voluntary administration?

When a company is having problems with cash flow and experiencing serious trouble with paying off any debts they may have, an external administrator is called in to look at their issues.

The administrator decides a course of action based on the relevant information around the company’s assets. In this case, the administrator for Network Ten is a business called Korda Mentha.

Why has this happened?

Because two of Ten’s billionaire shareholders—Lachlan Murdoch and Bruce Gordon—told the company they could not guarantee a new $250 million loan. (A third major shareholder, James Packer, has been trying to sell his shares since 2016.)

Ten says it needs the money to cover interest payments and shareholder fees. Combine those expenses with the net loss of $232.2 million they posted in April (for the six-month period to February) and their financial woes become clear. It's made worse by the fact Ten notched a $13.4 million profit over the same period last year.

What does this mean for Ten’s viewers and their TV shows?

To answer your immediate question, no Network Ten is not about to shut down. To answer your other question, no you will not lose any of your favourite shows, for now. That’s especially the case given Australian free-to-air primary commercial networks must air at least 55 per cent Australian programming between 6am and midnight.

However, the future of Ten remains uncertain. Shows such as The Bachelor, Masterchef and Survivor are all expensive to produce and may experience major financial cuts. (For example, fewer international special guests and chefs on Masterchef, or cute, simpler dates on The Bachelor rather than helicopter rides and hot air balloon dates.) According to the SMH, the news division could face the first cuts, affecting even Studio 10 and The Project (which both rely on Ten’s Eyewitness News footage.)

The future of other well-known shows is yet to be determined. Until then, it’s business as usual.

What will happen to their staff?

Employees at Ten may be forced to take pay cuts, including its best known talents, rumoured to earn as much as $600,000 a year. But Ten certainly doesn’t want to get rid of their popular anchors, like The Project host Carrie Bickmore, who has confidently told viewers “administrators say they are not looking to liquidate the company."

(FYI, liquidate means shutting down the company and divvying up its assets to creditors and shareholders.)

"Instead they will try to refinance and relist within 60 days,” she added on her show.

With Ten’s staff and programs stuck in limbo, fans have taken to Twitter to express their thoughts and opinions on the matter asking to #FixNetworkTen.

Here's the prime time lineup that will bring Channel 10 back from the brink. #FixNetworkTen pic.twitter.com/GVUMQ4xCc2

— Dylan Leach (@leachitup) June 14, 2017

Works for us.

Jess Pabian is one of Student Edge’s student contributors. See more student contributions here.

Photo: Network Ten