Business 11 March 2015, 8:30am

RTL Group replaces CEO of Hungarian operation with immediate effect

Portfolio

Andreas Rudas has been appointed as Interim Chief Executive Officer (CEO) of RTL Hungary with immediate effect, German media group RTL announced on Tuesday. Andreas Rudas will take over this role in addition to his responsibilities as Executive Vice President Regional Operations & Business Development CEE and Asia of RTL Group.

Luxembourg-based RTL Group said it “made an offer to Dirk Gerkens, who successfully led RTL Hungary since 2001, about a potential executive role within RTL Group."

A new permanent CEO of RTL Hungary will be announced “in due course".

“To further strengthen RTL Group’s ties with the Hungarian society, the Group intends to appoint a local Hungarian executive to become the new CEO of RTL Hungary," RTL added.

The position of the outgoing CEO weakened after the Hungarian government started talks with RTL and its owner Bertelsman about lowering the advertising tax that dealt a severe blow to the Hungarian operation of the group.

About Andreas Rudas

Andreas Rudas, born in 1953, worked with the Austrian public broadcaster ORF from 1986 to 1997, being its Secretary-General from 1994 to 1997. In this role he was responsible for business planning, media politics, marketing and satellite broadcasting. Starting in 2000, he held various positions at Magna International Europe, being Member of the Management Board from 2001 to 2005. Since December 2005, Andreas Rudas was Executive Director of WAZ Ost Holding (subsidiary of WAZ Media Group), responsible for Austria, South Eastern Europe and Vietnam.

Andreas Rudas was appointed Executive Vice President Regional Operations & Business Development CEE and Asia with effect from 1 January 2009. In this capacity, he develops business opportunities in Central and Eastern Europe, and in Asia. He reports to Guillaume de Posch, Co-CEO of RTL Group. He also oversees RTL Group’s operations in Croatia, Hungary and the German radio business. Source: RTL Group

There have already been speculation in the press on the possible departure of Gerkens.

Locall news portal 444.hu learned in January that Gerken’s contract was to expire soon and it should be extended shortly. He has been in this position since 2001.

In response to RTL’s harsh and persistent criticism of government measures, Fidesz politicians attacked the station’s journalists at press conferences or refused to answer their questions."They consider our news to be opposition news," CEO Dirk Gerkens told Bloomberg Businessweek a few days ago.

"But that’s not the case. Our news is independent. We’re not going to talk about the guys in opposition that are basically doing nothing."

The CEO estimated that RTL would pay 90% of the revenue raised by the tax, although it commands only 15% of the market. He said that the company's profits would be wiped out if the tax remained in effect next year.

Gerkens added that he has also received threats of violence, delivered via friends or e-mails. He’s moved his family out of the country, left his apartment for a luxury hotel in central Budapest, and hired bodyguards.

"It’s not Russia or Mexico. But better safe than sorry."

Népszava said the threats were made six months ago, speculating that if the agreement was in fact reached without him, rumours about his departure could resurface again.Read more about the latest plans to lower the advertising tax at the links below.