The Walt Disney Company, through one of its subsidiaries, and Media-One Holdings Limited, a broadcaster operating assets in the regions of Russia, are forming a joint venture to launch a Disney-branded television channel in Russia.
The joint venture plans to launch the new family-oriented entertainment channel on 30 stations throughout Russia currently owned and operated by Media-One. Anchored by Disney programming for kids and family, the channel also plans to air original Russian programming. In addition to programming the TV channel with acquired content, the joint venture also has plans to produce its own programs which will occupy more of the schedule as the company matures.
The launch of the predominately free-to-air national network is slated for 2009, pending regulatory approval from Russian government authorities.
In return for a 49% stake in the joint venture company, Disney will invest cash and provide programming and marketing expertise and content acquisition support. Media-One will provide its knowledge and operational experience in the Russian market, its local broadcast station portfolio and its advertising sales expertise. Media-One will be the majority shareholder and will appoint a majority of the joint venture company's board of directors.
