CME appointed Mr. Sarbu as a head of CET 21 (owns TV Nova broadcasting licence). Mr. Sarbu should be in charge till the end of next year with USD 0.5m annual salary. Note that Mr. Sarbu is responsible for Romanian, Slovak and Czech operation from beginning of the year. Mr. Sarbu should reach EBITDA from Czech (CZ) and Slovak (SK) operation USD 273.3m for 2006 and 2007.
Our view:
According to our estimates CME should reach EBITDA in CZ and SK of USD 267.7m which is slightly below his target. We see news as neutral for today’s trading.