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ParMA Network StudiesThe Financesof African NewspapersAn Overview of the Financial Situationof Selected NewspapersStudy Co-ordinated by Anne PerrinLayout: Hélène Gay (Gret). Translated by Lara Colo (Gret). February 2002.Table of ContentsIntroduction OBJECTIVES AND METHODOLOGY5 Obtaining Reliable Figures on the Finances of African Newspapers5 Survey Methodology and Study Contours5 Survey Sample Selection5 Researchers6 Respecting Anonymity in Publishing Results6 Study LimitsPart 1 PROFILES AND REMUNERATION OF NEWSPAPER STAFFIN SELECTED AFRICAN COUNTRIES7 Profiles of People Surveyed7 Survey of Journalists7 Journalists’ Environment: Training and Legal Framework8 Remuneration10 Survey of Freelancers10 Environment10 Remuneration10 Survey of Directors of Publications10 Who are Directors of Publications?10 Director of Publication: A Management Job?11 Remuneration11 Survey of Non-Journalist StaffPart 2 FINANCIAL ANALYSIS OF PRESS ENTERPRISES13 Difficult Access to Financial Information13 The Difficulty of Evaluating Property 313 The Difficulty of Separating Integrated Activities in the Accounts14 Analysis of Financial and Quantitative Data14 Turnover: Amount and Distribution16 Revenues, Unit Prices and Volumes16 Management Intermediate Balances19 Lessons Learnt19 A Profitable Activity at or above a Certain Threshold20 An Ideal Activity for Businessmen?21 Striking Differences between French- and English-Speaking Countries23 ...

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ParMA Network Studies
The Finances of African Newspapers
An Overview of the Financial Situation of Selected Newspapers
Study Co-ordinated by Anne Perrin
Layout: Hélène Gay (Gret). Translated by Lara Colo (Gret). February 2002.
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Table of Contents
IntroductionO  BJECTIVES AND METHODOLOGY Obtaining Reliable Figures on the Finances of African Newspapers SurveyMethodology and Study Contours Survey Sample Selection Researchers Respecting Anonymity in Publishing Results Study Limits
Part 1P ROFILES AND REMUNERATION OF NEWSPAPER STAFF IN SELECTED AFRICAN COUNTRIES Profiles of People rSvueyed Survey ofoJurnalists Journalists’ Environment: Training and Legal Framework Remuneration Survey of Freaelncers Environment Remuneration Survey of Dierctors of Publications Who are Directors of Publications? Director of Publication: A Management Job? Remuneration Survey of Non-oJurnalist Staff
Part 2F INANCIAL ANALYSIS OF PRESS ENTERPRISES Difficult Access to Financial Information The Difficulty of Evaluating Property The Difficulty of Separating Integrated Activities in the Accounts Analysis of Financial and Quantitative Data Turnover: Amount and Distribution Revenues, Unit Prices and Volumes Management Intermediate Balances
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19 19 20 21
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Lessons Learnt A Profitable Activity at or above a Certain Threshold An Ideal Activity for Businessmen? Striking Differences between French- and English-Speaking Countries
Conclusion
Appendices Appendix 1: Researchers Appendix 2: Terms of Reference Appendix 3: Country Indicators Appendix 4: A Short Technical Glossary
Introduction
OBJECTIVES AND MHEOTDOLOGY
OBTAINING RELIABLE FIGURES ON THESURVEY METHODOLOGY AND STUDY CONTOURS FINANCES OF AFRICAN NEWSPAPERS Survey Sample Selection The springtime of the press that saw the emergence of pluralism and a movement toward greater deTmhoe c-study was carried out in six African countries racy in many countries in Africa has ended. Si(tnwceo anglophone and four francophone). It covered the mid-1990s, increasing competition, the la1s4s i-newspapers and more than 80 media profes-tude of readers who are less eager for news s(iaondals. To keep sample variability within reason-sometimes disappointed by the poor quality ofa tblhelimits it focused on the written press. Selection newspapers), difficult economic conditions (cnriot-eria for countries and newspapers did not aim tably with the devaluation of the CFA franc) htoa vreflect a general situation in Africa but to reflect led to the crisis now facing a large number of Afritics adniversity. newspapers.minimum of two newspapers were selectedA Though this crisis is acknowledged, it has not beeineach country. analyzed. Indeed, there is not much on the finasmedianceange of r ediw a tcelferd teecel sesrintCuo of African newspapers or on the economic situa-development in Africa (Cameroon, Côte d'Ivoire, tion of journalists and other media professionalsG.hana, Kenya, Niger, Senegal). With so little information available, it is difficultfor idffrenete ary vey er vofni sreparus eht ewspN development organizations to carry out effectivseizes. The largest is a daily with a circulation of programs that correspond to the needs of the premsosre than 100,000 while the smallest, a weekly, media. has a circulation of 1,000; the number of per-The objective of this study is to provide donors witshonnel varies from more than 100 staff and free-information to facilitate their decisions on how to lance journalists to six. best support the media in Africa. To do this, we aimed to examine the financial situation of p dnavirp etaserps.eherT aabi  se oflanclic  pubsers enterprises and, more specifically, journalists' re-5 muneration. Researchers Given the sensitive nature of the study, there was an obvious advantage in using local researchers who are experienced journalists and who are also well-respected by their peers. They were therefore well-placed to help us identify the newspapers that met the criteria of the study and who could establish
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Introductio and Methodologyn Objectives
relationships of trust with media professionals.S tTuhdey Limits study was carried out from July to November 2001 and the surveys were done between JulyandA Sensitive Subject that Inspires W.aTrihneess September. survey could not be carried out in equal detail in The researchers received specific instructionsareveht ,,llawoh . eserOvou crintlluobtds dicherseare re the survey and each had a dual job to do: obtain substantial and quite precise data on a topic lrn fyowdt  soeenswapeprosi t(sienuq u eriannahtsi tler ivaty elbota Oo.T shedulca deevruni y all types of media professionals (staff jourKneanl-ya and Cameroon) were unwilling to provide ists, freelance journalists, directors of publfiicna-ncial data. tions, and non-journalist staff). Its purpose was to obtain information on types and levels ofnreew-spaperMost ofbst ehcea unseew(swpitahptehrse  seuxrcveepytieodn  aorfeKperniyvaate muneration for media professionals, other sources of income, job mobility, etc.ewrhnemree tnht epraep aerres  tneon gdoevde nrnotm teo nrte nsepownsdp atop etrhse) , qguoevs--Another component of the questionnairetreainnoiar-. geted administrative and financial managersaIntd not possible to obtain precise information newspapers' accounts. Its objective was to an-was alyze financial performance (structure of opoenrj-ournalists’ “non-salary” inc(osummessof money ating expenditure and income, proportiontf ehosefsyi omnay recdeiievme saas npda rott hofe rt hpea ypmeernktss” i on f etxhcehira pnrgo-salaries in operating expenditure, income, profit , per e margins, etc.).forl aarirteisc)l.e sW, ee tdce.c itdheadt  cnootm tpoe innssaistte  ofno rt ihniss upfofiicnite tnot Finally, in addition to the survey, each researscaher submitted a short analysis that noted the maicanov ormied-m aorno upsriancgt itchees , msiustcrhu sats  opf einr tdeirevimeswaeneds.  pBauyt mtheenste sults in light of their own experience and knorewcl-eived from outside bodies in exchange for arti-edge of the sector. These summaries were tcalkees,n need to be investigated in greater detail. into account in the final analysis. Numerical data is deliberately reported in its raw state so that readers will have maximum freedom Respecting Anonymity in Publishing Resuilnt sinterpreting it. To obtain the maximum numerical data, it was nec-ess to anda nrye ws pgaupaerras nitn eteh et hseu ravneoy.n Tyhmei trye soufl ttsh ceo lpleecotpeFldeor practical purposes, data is reported in are therefore treated globally. This does not alloEwuros.For other rates, see the currency con-for the most precise analysis but it was the sine quvaerter site (ww.oanda.com) for October 2001. non for obtaining the information requested.