Whole IT department at destra gone as well today. Only essential staff with systems knowledge left. Cross over with Prime IT department to be introduced. Further cost savings for FY09 P/L. Prime very good operators and will have it humming with least expense and cross over with iPrime.
Everyone is talking about Media on downward trend, ie Channel 10 etc (Traditional), However, this is why destra is still the golden egg for PRT and they will keep it separate and it will do well over FY09. The shift is happenning online right now. As Ad spend slows, dollars are moving online where every dollar spent can be tracked rather than traditional mediums.
Online needs content, this is where destra has a great advantage over competitors.
Sell the music assets, little value, Production essential however.
PS. Economic conditions a good cover up I say, alot of staff payouts, Beyond and Directors payouts as well over the past quarter and write offs which Dom was not going to do this half.
I said at the start of the year, changes needed to happen, to get sustainable growth, it clearly shows Primes intent to turn this business around. They have a streamline board now, good assets and great backing.
I like the synergies prime brings with regional accessibility, regional is where the growth online is still happenning today. The cities are consolidated and consumers time poor.
The golden egg will be uncovered in FY09. And we will all see great growth opportunities throught strategic partnerships to come.
DES Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
