Message: 10 Date: Wed, 6 Jun 2012 19:55:55 +0530 From: Marshall Mendonza <[email protected]> To: goanet <[email protected]> Subject: [Goanet] The power of the media Message-ID: <CAMhuf+gBtXyuvrw2g=nlabaas+vt5hhraz1qckmwbgtdobd...@mail.gmail.com> Content-Type: text/plain; charset=ISO-8859-1
U G Barad wrote: Recently, I mentioned to a business friend of mine that NDTV and IBN have accumulated losses of Rs 300 crores each. As a businessman, he asked how these losses are financed. I told him that the balance sheets published bythem do not give a clear indication.**** The Outlook magazine has accumulated losses of Rs 100 crores, which is financed by unsecured loan from the promoters, namely the Rahejas of Mumbai. Tehelka magazine has accumulated losses of Rs 50 crores. It is being financed by increase in equity, at very high premiums. The source of the funds is not clear.**** Response:**** ** ** 1.Could you kindly share with us the source of this information?**** 2.Could you kindly inform us the financial status and source of funding of Tarun Bharat, Daily Pioneer, Organiser, Panchajanya, Kamal Sandesh, India TV**** ** ** Regards,**** Marshall**** I believe for any ongoing business an annual budget is set up, could be a deficit as well. But by the time the Auditors complete window dressing the budget and present it at the AGM, the picture could be different, depending on the current economic conditions, the revenue, cash flow picture could be quite different. The management in many large companies contracts are drawn when the directors etc are appointed and their salary, perks or annual bonus depends on the contract and not the actual annual profit the company earns. So the western phobia of balancing the budget does not make much sense. Indian Railways may have been incurring operating losses, but they are not closed down!! This is what I feel. MD.
