TF1 is expecting its full year advertising sales to drop by up to 5% in 2001, with its net profits sliding up to 10% compared to last year.

During the first half of 2001, TF1's advertising sales were relatively stable (a 0.2% rise, to Euros 834m) compared to the same period last year, while other revenues, including cable and satellite channels, enjoyed a 28.5% increase. However, the group's net profit dropped 4.3%, to Euros 403m.

A shrinking French advertising market, which dropped 3.5% in the first seven months of 2001, after two bullish years in 1999 and 2000, is partly responsible for the slump. However, it also combined with the success of Loft Story -- a lighter version of Big Brother produced by Endemol's French offshoot, which ran very successfully from April to June on M6 and impacted all terrestrial broadcasters' marketshare and bottom line.

Indeed, M6 was the only terrestrial broadcaster to thrive during the first half of 2001, its revenues boosted 10.6%, to Euros 417.4m. Advertising sales, for their part, registered a 6.5% hike, to Euros 293.3m and the private channel's net profit grew 4.9%, to Euros 81m.