Highlights of 2012, which saw double digit EBITA growth for the third year running, included ITV outperformance of the advertising market, strong organic growth in ITV Studios and a large increase in Online, Pay & Interactive revenues The outlook for 2013 suggests that EBITA could see double digit growth for the fourth year running. This is due to a number of factors that may include the bonus of extra NAR as BT launches BT Sport in the summer, arguably the biggest TV media event in recent years For the longer term, two key challenges in the Broadcast & Online sector are the retention of the ITV main channel audience share in an increasingly converged digital landscape and ITV’s ability to grow its online presence and drive new revenue streams

The development of the Digital Britain infrastructure, introduction of tablets, increasing connectivity of TV sets and launch of on demand OTT services over the internet have greatly intensified interest in connected viewing and its impact on the traditional broadcast model No single source of audience measurement for viewing of long- and short- form video content across all screens yet exists, though current market data suggest that connected viewing occupies a c. 8.5% share of total viewing across all screens By 2020, we project the connected viewing share of total viewing across all screens will reach 20%, with tablets being the primary drivers of growth, in part incremental and in part substitutional to viewing to the TV set, where we expect the connected viewing share to remain under 5%

Today ITV officially rejected NTL's bid, currently worth around 120 pence/share with, among others, the consequence that Sir Peter Burt will have to continue to show up for meetings at ITV for the foreseeable future

Although NTL could use ITV programming to improve its competitiveness, it is difficult to see how yet another acquisition could be justified, given the managerial and financial burden that would result. Nevertheless, we believe that NTL will move heaven and earth to acquire ITV and is deeply serious in its intentions

Having experienced an almost straight-line decline in its audience, ITV1’s 20% share of total viewing in 2006 is about half of what it was in 1992. Although the causes of this dramatic decline have varied, the result has always been the same. When and where will it end? ITV1 Viewing Decline: Causes and Prospects [2006-63] examines the most recent viewing trends, starting in January 2003 and coinciding with the launch of review. This period has seen especially rapid digital growth, with almost 80% of the population now able to receive digital TV channels at home, compared with just over 50% at the start of 2003

Under mounting competitive pressure from Sky, NTL needs to reinforce its position in content and has approached ITV about a possible combination

Total TV advertising expenditure is expected to fall between 4% and 7% in 2006. ITV1 will suffer most, with a projected fall in NAR of around 13-14%, but the rest of the TV industry is also starting to feel the pain

ITV plc national advertising revenues (NAR) from ITV1 fell by £50 million in 2005. This was caused chiefly by a loss of more than 6% in weighted share of commercial impacts in 2004, which enables a proportionately similar reduction in 2005 ITV1 NAR under the CRR remedy. It was offset by total TV NAR growth of about 2.5% in 2005 

BT is clearly positioning its new, 21CN-based wholesale services as an economically viable alternative to both DIY and wholesale LLU