Time Magazine 2013 Annual Report Download - page 14

12 TIME WARNER 2013 ANNUAL REPORT
— producing a lineup that includes hugely popular
hits across all genres, such as The Big Bang Theory,
The Voice, The Ellen DeGeneres Show, and The Vampire
Diaries. As we’ve increased our investments in
content over the last several years, we’ve seen
increasing demand for high-quality programming not
just in the United States, but around the world, where
we are expanding local production and launching
new local-language versions of proven favorites, like
Gossip Girl in Mexico and The O.C. in Turkey. It’s no
coincidence that many of our acquisitions in recent
years bolster these international eorts, including
Warner Bros.’ most recently announced proposed
acquisition: the international business
of the Amsterdam-based television
production and distribution company
Eyeworks Group.
Deep engagement with audiences
is what we aspire to achieve with every
show at our television businesses —
through networks like HBO, TNT, TBS,
CNN, and Cartoon Network and Warner
Bros.’ TV Studio. Among premium
television and subscription video-
on-demand services, HBO remains
in a league of its own – it won more
Primetime Emmy Awards in 2013 than
any network for the 12th consecutive
year – and four out of the five most-
watched shows in HBO’s history
are current series on the network. These include
True Detective, which debuted this winter as the
most-watched freshman series in HBO’s history,
and Game of Thrones, whose season 4 premiere was
the most-watched show since The Sopranos finale.
At Turner, we have the industry’s leading portfolio of
basic cable networks, which continued to set the pace
for the industry in 2013 by investing in programming
that resonated with viewers and advertisers. For
example, TBS ended the year as ad-supported
cable’s #1 network in primetime among adults 18-49,
with its compelling mix of original programs such as
Conan, Cougar Town, and Ground Floor, acquired hits
TO SATISFY
FAST-EVOLVING
CONSUMER
DEMANDS WHILE
BUILDING VALUE
FOR OUR
SHAREHOLDERS,
WE CONTINUE
TO AGGRESSIVELY
ENHANCE
OUR DIGITAL
EFFORTS.
like The Big Bang Theory, and a lineup of sports that
includes the NCAA Men’s Basketball Championship
Tournament (in partnership with CBS). TNT continued
to prove itself the home of ad-supported cable’s
best-loved original dramas with such programs as
Rizzoli & Isles, Falling Skies, and Perception and had
more top 15 originals in primetime than any other
ad-supported network in 2013.
An important testament to these networks’
popularity and stature was the successful renewal of
carriage agreements between Turner and seven of the
top 10 distributors of video content over the past few
years, including five in 2013. All of those deals were
consistent with our expectation that
Turner will show accelerated growth
in domestic subscription revenue over
the next few years — which is both an
important driver of our growth and
validation of our strategy.
As we look ahead, we have much
to be excited about. This year we will
introduce such promising shows as The
Leftovers, from Lost co-creator Damon
Lindelof, on HBO and produced by
Warner Bros.; and The Last Ship, from
blockbuster producer Michael Bay,
on TNT. Warner Bros. has an exciting
lineup of films for the next few years,
including the final Hobbit installment,
which comes out later in 2014, and
a new film series written by J.K. Rowling that will
introduce additional characters from the magical
realm of Harry Potter, as well as a sequel to the hugely
popular The LEGO Movie. We’re also excited about
the forthcoming follow-up to Man of Steel featuring
Superman and Batman, which is scheduled for release
in 2016. In television we’re also digging deeper into
the rich DC Entertainment library, with programs such
as Gotham and The Flash following on the success
of Arrow.
To satisfy fast-evolving consumer demands while
building value for our shareholders, we continue to
aggressively enhance our digital eorts, which include