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NBC Merger on Fast Track

Apr 12, 2004  •  Post A Comment

NBC is on track to complete its $14 billion merger with Vivendi Universal Entertainment in May and is poised to realize $100 million in savings this year and another $300 million in savings next year, said Jeffrey Immelt, chairman and CEO of NBC parent General Electric.
Speaking during GE’s first-quarter earnings conference call, Mr. Immelt estimated that the combined entity, to be called NBC Universal, will generate revenue of $12 billion and operating profit of $2.4 billion in 2004 and $15 billion in revenue and $3.1 billion in operating profit in 2005.
Those predictions came as NBC continued its strong financial performance, posting a 15 percent jump in operating profit to $394 million in the first quarter from a year-earlier level of $343 million on an 8 percent jump in revenue to $1.6 billion.
The network’s first-quarter results helped GE report an 8 percent increase in first-quarter profit to $3.2 billion on a 10 percent rise in revenue to $33.4 billion.