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Industry: Email Alert RSS Feed'C' For 'Cash Flow'
Cable World, June 23, 2003
Byline: IAN OLGEIRSON, KAGAN
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AMC has boasted impressive cash flow margins since 1997 when it first topped the 40% mark, and its controversial strategy to include advertising could carry margins even higher. By keeping a lid on programming costs, AMC promises to send the advertising revenue straight to the bottom line. However, there is evidence the move, which coincided with a shift in programming to include more recent library titles, is alienating viewers. AMC's average 24-hour rating dropped from .45 in 2001 to .40 in 2002, and there is grumbling that it is abandoning a profitable niche for a spot in the mainstream.
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