It Agency be self financing its investments

Two and a half years after redeemed Catholic life Publications (PVC), the world group is engaged in two operations which should enable it to acquire a new stature. Determined to take a position on the market of the free press, he chose to ally with Vincent Bollore, who already holds the free "Direct night", to start to back a new free daily in the morning. The group is however a prerequisite: it is that this newspaper is the Paris bridge head of the city network more.

Driven Jean-Marie Colombani, President of the Executive Board of the "world", and his new number two, Pierre Jeantet, negotiations are ongoing with the partners of this network. But its members are also invited by "Le Figaro", which discussed with M6 to start his own project of free in September, and "20 Minutes". At the same time, the world wants to become a major player in the regional daily press with hatchet Filippachi media (HFM) constituting the third French pole, he will control. If it materializes, the objective of Jean-Marie Colombani constitute a set weighing almost 1 billion euros of turnover could be achieved. And this, despite the 140 million of losses accumulated over the past five years and the difficulties of the newspaper to correct its accounts.

To finance its deficits and the redemption of the PVC, the Group has made appeal to shareholders. In six years, more than 130 million euros were injected into the Group: 62 million via two emission of convertible bonds into shares, of which the refund was pushed back, and 69 million in 2005 to the end of a recapitalisation operation. This may not be enough. It is likely that group seeks to its existing shareholders, to the tune of about 20 million.

The world has decided to ally with Vincent Bollore to launch a free daily in the morning in Paris. Why such an alliance

Vincent Bolloré is a genuine ambition in the media, and in the press in particular. At the head of "Direct night" and the Direct 8 television station, also President of Havas, it is well positioned to develop a powerful advertising Board. But nothing will be released on the free daily in the morning so that we will not have the certainty that it will become the Paris bridge head of the city network more. At the time where we become a major player in PQR, we will offer as a coherent and sustainable solution pegged to an advertising device fort.

What is the economics of the project

It is premature to talk about at the moment. But on such a project, it should not count on a return on investment for five years. However, our arrival on the free market should enable the "world" and the regional dailies of the group to capture new advertising revenues, at a time when pay daily press market is threatened.

Last year, the daily and its printing still lost EUR 7 million. How 2006 started

The new formula has fulfilled its mission to relocate the image of the newspaper. Since its launch last November, the average decline in sales to the number was reduced to 3.5, while the trend in 2005, 2004, was 10 and 15 in 2004 compared to 2003. For advertising, for the first time for several years, the régie will achieve its objectives (except on "The world 2") on the first eight months of the year.

In June, the market has been more disastrous than what you describe. Is this an accident of course or a background pattern

The daily press market, I repeat, is a market devastated, anxiety-provoking. So it is difficult to compare the month of June of this year with that of last year, which had enjoyed a rich news, brought by the "no" to the European Constitution and the change of Government. Conversely, our month of May was unusual because of the interest in the Clearstream case. However, according to the revised budget, the printing will be in equilibrium and the daily losses should not exceed the initially planned EUR 4 million.

All our efforts remain focused on leretour in the balance. It passes through the creation of additional revenue and new products. The "more products" (DVD, discs and books) generated 15 million euros in 2005, and should produce the same turnover in 2006. One must keep in mind that "The world" can no longer live on the same model as in the past. Today, it is more marketing to advertisers to pay broadcasting, but sell hearings. Thanks to the Monde.fr, for example, we receive a younger audience, for 28 years, on average, against an average age of 47 years for the paper daily.

In view of the daily losses, what level of result do you foresee for the Group

The Group should lose between 8 and 10 million EUR net with a positive operating result of 4 million. The "world", the other activities of the group are positive. The interactive world should reach 1.5 million profit for 10 to 11 million in revenues. The magazine pole should be beneficial to height of 2-3 million. Finally, the regional daily press should make a profit of about 5 million operation. Today, it makes the bulk of the results of the group. Hence the importance of our project with HFM on the PQR. The other project for the group to the re-entry is the launch of the new formula "Télérama", which will be strong and rich of its innovations.

If the project in the PQR materializes, the world will hold 51 of the French third pole of PQR, and will be the operator. What is the economic logic of this operation

In 1998-1999, I had indicated that our ambition is to build a group including the critical size would be 1 billion euros of turnover. This operation will enable us to achieve this objective, while strengthening the own funds of the company. The new entity will perform revenue EUR 400 million and will be beneficial. It Agency be self financing its investments. The real challenge will be to draw the prospects of development for this new set, in a universe of the PQR him also faced challenges industrial, technological and important editorials. And it will not miss this appointment. The opening of the TV commercial for the large distribution, January 2007, will be an additional challenge to face.

HFM has planned to transfer to this entity the 100 million euros of debt facing "Nice morning". This is likely not to stymie the development

Non. Indeed, debt by this entity should be less than half what you specify. Because discussions are ongoing with strong regional presence mutual financial institutions, which have already been partners in the newspapers of Midi, to enter the capital of an intermediate company that will be created under the holding company of head.

A free daily, this operation in the PQR: the world has the means to have so many irons in the fire while he lost 90 million euros in two years

If I had followed this line of reasoning, have long that "The world" would have lost its independence! Operation in the PQR does not cost a cent to the group. On the contrary, it will provide additional margins of manoeuvre, to the tune of EUR 18 million. Moreover, it is true that the Group has recorded heavy losses over the past two years. Nevertheless, late 2005 cash flow exceeded EUR 30 million, and own funds amounted to 220 million to 65 million debt, through the process of recapitalisation. It has already brought us EUR 69 million. It is not finished.