Proposal for a Decision of the European Parliament and of the Council establishing an audiovisual cooperation programme with professionals from third countries MEDIA Mundus {SEC(2008) 3102} {SEC(2008) 3098} {SEC(2008) 3097}
Date: 2009-01-09
Institutions: European Commission
Subjects: audiovisual industry, competitiveness, economic development, employment policy, innovation, third country, vocational training

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COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels, 9.1.2009 
COM(2008) 892 final 

2008/0258 (COD) 

Proposal for a 

DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 

establishing an audiovisual cooperation programme with professionals from third 
countries MEDIA Mundus 

{SEC(2008) 3102} 
{SEC(2008) 3098} 
{SEC(2008) 3097} 

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EXPLANATORY MEMORANDUM 

1. 

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CONTEXT OF THE PROPOSAL 

•  Grounds for and objectives of the proposal 

The  audiovisual  sector  contributes  to  achieving  the  goals  of  the  Lisbon  Agenda, 
namely  to  boost  competitiveness,  skills,  growth  and  jobs  in  a  knowledge-based 
economy.  It  plays  a  major  role  in  the  context  of  the  i2010  initiative  —  the  policy 
umbrella for the European information society and media policies — in the framework 
of  the  Lisbon  Agenda.  Furthermore  the  audiovisual  sector  plays  a  major  role  for  the 
implementation  of  the  UNESCO  Convention  on  the  Protection  and  Promotion  of  the 
Diversity  of  Cultural  Expressions  ratified  by  the  European  Community  together  with 
13 Member States on 18 December 2006.  

The  international  audiovisual  landscape  has  changed  significantly  over  the  last  two 
decades,  notably  from  the  impact  of  technological  developments.  New  players  and 
platforms  have  emerged,  boosting  or  requiring  more  content  production,  notably  for 
emerging  markets  where  growth  is  extremely  promising.  However,  structural 
weaknesses  affecting  the  circulation  of  European  audiovisual  works  on  third  country 
markets prevent the European audiovisual industry from benefiting fully from this new 
expansion  of  international  opportunities  and  threaten  the  competitiveness  of  this 
industry.  

Given  these  challenges  arising  from  the  internationalisation  of  markets  the  European 
Parliament  adopted,  on  13  December  2007  a  preparatory  action  called  MEDIA 
International,  focusing  on  developing  European  Union  relations  with  third-country 
audiovisual  markets.  The  subsequent  call  for  proposals  was  successful,  attracting 
strong  interest  from  the  industry.  Eighteen  projects  were  selected.  The  Parliament  is 
currently in the process of renewing the preparatory action for 2009 with an increased 
budget.  Ministers  responsible  for  audiovisual  matters  in  the  European  Union  met 
informally  in  Cannes  on  19  May  2008,  and  adopted  a  declaration  welcoming  the 
European  Parliament’s  initiative  on  the  MEDIA  International  preparatory  action  and 
encouraging  the  Commission  ‘to  pursue  the  development  of  this  initiative  and  to 
examine the desirability and the possibility of presenting, before the end of the year, a 
proposal  for  a  support  programme  to  promote  cooperation  between  European 
audiovisual industry professionals and industry professionals in third countries for the 
mutual benefit of all participants’. 

120 

•  General context 

The  major  problem  of  the  European  audiovisual  industry  on  international  markets  is 
the  poor  circulation  of  audiovisual  works.  This  problem  affects  not  only  European 
companies  which  cannot  fully  benefit  from  the  internationalisation  of  audiovisual 
markets  but  also  the  consumers  who  are  faced  with  a  limited  choice  (and  cultural 
diversity)  of  audiovisual  works.  The  European  Union  itself,  a  major  player  in  the 
negotiation of the UNESCO Convention on Cultural Diversity, is therefore confronted 
with  high  expectations  from  audiovisual  professionals  worldwide  regarding  its 

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implementation. 

The  reasons  underlying  the  poor  circulation  of  audiovisual  works  are  the  following. 
The different European markets are fragmented not only on the basis of language but 
also  of  structure.  The  problem  is  one  of  critical  mass:  the  original  domestic  market 
determines the strength of the industry on the international stage. Individually all the 
Member States (and most of their foreign counterparts) have relatively small markets 
compared to that of the USA. The distribution structure in Europe is made up of small 
individual companies unlike the large multinational vertically integrated studios in the 
USA;  hence  the  lack  of  competitiveness  of  the  European  audiovisual  industry.  In 
addition European companies struggle with underfunding. Moreover viewing habits of 
audiences  dominated  by  US  and/or  domestic  blockbusters  represent  a  significant 
obstacle to showing a real diversity of audiovisual works. 

These  structural  weaknesses  affecting  the  circulation  of  European  works  on  third-
country markets prevent the European audiovisual industry from benefiting fully from 
the new opportunities for international expansion.  

Existing EU programmes in the area of audiovisual support (MEDIA 2007, Euromed 
Audiovisual  II  or  the  EU-ACP  programme  for  cinema)  cannot  address  all  the 
challenges  of  the  rapid  internationalisation  of  the  audiovisual  sector,  either  because 
they  were  conceived  for  cooperation  within  the  European  Union  or  because  they 
answer  to  development  policy  needs  and  not  to  industrial  policy  ones.  Other 
international  instruments  such  as  existing  international  film  funds  only  have  limited 
budgetary allocations or, in the case of co-production treaties, are not endowed with the 
necessary  budgetary  means  and  are  therefore  ineffective  in  fully  addressing  the 
structural  problems  of  the  European  audiovisual  industry  in  its  efforts  to  develop  its 
international potential. 

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•  Existing provisions in the area of the proposal 

MEDIA 2007 

The MEDIA 2007 programme (2007-2013) is the fourth multi-annual programme for 
support to the European audiovisual industry since 1991. Its general objectives are: 

Preserve  and  enhance  European  cultural  and  linguistic  diversity  and  its 

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cinematographic and audiovisual heritage; 

Increase  the  circulation  and  viewership  of  European  audiovisual  works  inside 

- 
and outside the European Union; 

Strengthen  the  competitiveness  of  the  European  audiovisual  sector  in  the 
- 
framework  of  an  open  and  competitive  European  market  favourable  to  employment, 
including by promoting links between audiovisual professionals. 

MEDIA  2007  includes  EU-wide  funding  for  training,  development,  distribution, 
promotion and horizontal actions. 

MEDIA  2007  is  overwhelmingly  an  intra-European  programme  aiming  at  increasing 
cooperation and circulation among Member States. Although several of the action lines 

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of  MEDIA  Mundus  cover  activities  similar  to  MEDIA  2007,  the  objectives  pursued 
and  the  mechanisms  for  participation  in  the  programmes  are  radically  different  from 
those of MEDIA 2007.  

Euromed Audiovisual 

In the 1995 Barcelona Conference Foreign Affairs Ministers from the European Union 
and 12 Mediterranean Partners agreed to form the Euro-Mediterranean Partnership to 
nurture  closer  cultural  ties  between  the  Southern  Mediterranean  and  Europe  (third 
pillar:  intercultural  dialogue).  In  2000,  the  European  Commission  launched  the 
regional  Euromed  Audiovisual  I  Programme  and  in  2006,  the  current  Euromed 
Audiovisual II Programme with a budget of €15 million for the period 2006 to 2008. It 
is  geared  towards  professionals,  institutions  and  national  organisations  in  the 
audiovisual field from the following countries and territories: Algeria, Egypt, Jordan, 
Israel, Lebanon, Morocco, Syria, the Palestinian Authority, Tunisia and Turkey. The 12 
Euromed Audiovisual projects concern training, development, promotion, distribution 
and exhibition. The programme ends in 2008 and its relaunch is currently planned for 
2009. Euromed Audiovisual does not primarily target the increased competitiveness of 
Europe’s audiovisual industry. 

EU-ACP  

The  EU-ACP  support  programme  for  cinema  and  the  audiovisual  industry  aims  to 
promote the development and structuring of the audiovisual industries in the 79 ACP 
(Africa, Caribbean and Pacific) countries. The Programme started in October 2007 for 
3  years  with  a  budget  of  €6.5  million.  Funded  under  the  9th  European  Development 
Fund, it supports training, film production, film distribution and film promotion.  

Both  of  these  programmes,  Euromed  Audiovisual  and  EU-ACP,  have  development 
policy  objectives  with  a  specific  regional  focus.  The  objectives  of  MEDIA  Mundus 
focus  on  international  partnerships  and  projects  aiming  at  the  competitiveness  of  the 
European  audiovisual  sector  and  a  global  increase  of  consumer  choice  and  cultural 
diversity.  

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•  Consistency with the other policies and objectives of the Union 

The policy objectives of MEDIA Mundus are consistent and complementary with the 
objectives  of  other  European  Union  policies  such  as  industrial  policy,  external 
cooperation policy, the common commercial policy, the cultural policy, the actions on 
linguistic diversity and the completion of the internal market. 

The audiovisual sector contributes to achieving the Lisbon Agenda. In its conclusions, 
the  European  Council  of  23  and  24  March  2000  stated  that  ‘content  industries  create 
added value by exploiting and networking European cultural diversity’. This approach 
was  confirmed  in  the  conclusions  of  the  Brussels  European  Council  of  20  and  21 
March 2003 and by conclusions from the Austrian presidency in 2006. The initiative is 
coherent  with  and  further  develops  the  audiovisual  strand  of  the  i2010  initiative,  the 
policy umbrella for the EU’s information society and media policies. 

Furthermore, the general policy and the operational objectives play an important role in 
the context of the implementation of the UNESCO Convention on the Protection and 

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Promotion  of  the  Diversity  of  Cultural  Expressions.  This  convention  emphasises  the 
specific and dual (cultural and economic) nature of cultural goods and services. 

Community  action  is  consistent  with  the  obligation  placed  on  the  Community  by 
Article 151(4) of the EC Treaty to take cultural aspects into account in its action under 
other  provisions  of  the  Treaty,  in  particular  in  order  to  respect  and  to  promote  the 
diversity of its cultures.  

The general policy objectives and the specific and operational objectives of the action 
are also consistent with the Charter of Fundamental Rights, especially the principle of 
promoting cultural diversity (Article 22). 

2. 

CONSULTATION OF INTERESTED PARTIES AND IMPACT ASSESSMENT 

•  Consultation of interested parties 

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Consultation methods, main sectors targeted and general profile of respondents 

1) Meetings:  

o 
In  February  2008  a  meeting  of  the  Cinema  Expert  group  on  ‘strengthening  of 
the  external  dimension  of  Audiovisual  Policy’  took  place.  National  authorities’  and 
experts’ views were heard; 

In  February  and  May  2008  the  European  Film  Agencies’  Directors  were 

o 
consulted; 

o 
In February 2008, during the Berlin Film Festival, and in April 2008, during the 
Udine  Far  East  Film  Festival,  consultations  were  held  with  professionals  originating 
from European and third countries; 

o 

In April 2008 the audiovisual experts from the EFTA were informed. 

o 
In April 2008  the MEDIA  committee was informed. Delegations  were invited 
to send their written comments to the Commission and to hold bilateral consultations 
with the Commission; 

In May 2008, Ministers responsible for audiovisual matters met during Europe 
o 
Day in Cannes on the theme ‘Cinema: building a world of exchanges’ and a conference 
with approximately 230 stakeholders took place to present and discuss possible means 
of international cooperation; 

In June 2008 a public hearing with approximately 120 professionals took place 

o 
in Brussels; 

In July 2008, the French Presidency of the EU organised a colloquium on the 

o 
topic ‘Quelle politique de coopération cinématographique pour l’Union européenne?’  

o 
In  July  2008  the  evaluation  of  projects  submitted  under  the  call  for  proposals 
for the Preparatory Action MEDIA International took place. Intensive discussions were 
their 
held  with 

the  projects  submitted  and  on 

independent  experts  on 

the 

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recommendations for modifications to any future actions.  

2) Online Consultation: wide publicity was given to this public consultation by placing 
it on the ‘Your Voice in Europe’ website as well as on other Europa websites such as 
MEDIA 2007 and Euromed Audiovisual II.  

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Summary of responses and how they have been taken into account 

Most  professionals  strongly  support  strengthened  cooperation  between  European  and 
third  country  professionals  in  the  audiovisual  sector.  The  stakeholders  consulted 
expressed  a  need  for  action  that  should  mainly  focus  on  training,  distribution,  the 
facilitation  of  co-productions  and  circulation  of  audiovisual  works,  and  film  literacy. 
The proposal reflects their views.  

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An open consultation was conducted over the internet from 10/04/2008 to 25/06/2008. 
The  Commission 
results  are  available  on 
http://ec.europa.eu/information_society/media/docs/mundus/pc.pdf. 

response(s).  The 

received  259 

•  Collection and use of expertise 

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Scientific/expertise domains concerned 

The  Commission  concluded  a  service  contract  with  Technopolis  /  Media  Consulting 
Group to acquire external expertise on and input for the impact assessment and the ex-
ante evaluation.  

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Methodology used 

Ex-ante evaluation and impact assessment 

Main organisations/experts consulted 

In the context of the research for their Report, Technopolis / Media Consulting Group 
conducted  54  interviews  with  audiovisual  professionals  from  around  the  world, 
covering all relevant parts of the audiovisual value chain (producers, distributors, sales 
agents, exhibitors, broadcasters and public support bodies).  

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Summary of advice received and used 

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The existence of potentially serious risks with irreversible consequences has not been 
mentioned. 

The  advice  received  covered  analysis  of the  underlying  problems,  policy  options  and 
an assessment of potential impacts of the policy options.  

Means used to make the expert advice publicly available 

Publication of the Report on the MEDIA website 

•  Impact assessment 

o 

Business as usual 

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3. 

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Given the  expected developments, the impact of internationalisation on the European 
audiovisual  sector  and  the  negative  costs  anticipated  if  a  counter-activity  is  not 
implemented in the next few years, the policy option ‘business as usual’ was assessed 
to be inoperable and not to be pursued further. 

o 

Extension of existing instruments 

An extension of the Euromed Audiovisual II and the EU-ACP programme for Cinema 
cannot meet the objectives pursued by the proposal, mainly because these programmes 
have  development  cooperation  objectives.  The  extension  of  MEDIA  2007  through 
adding  further  action  lines  would  meet  the  Community’s  policy  objectives  and  the 
European industry’s needs but this would be less effective than the creation of a new 
instrument.  

o 

Creation of a new instrument MEDIA Mundus 

The  Impact  assessment  concluded  that  the  creation  of  a  new  instrument  is  the  most 
effective and the most efficient way to meet the general and specific objectives and to 
respond to the challenges arising from the internationalisation of audiovisual markets. 

The  Commission  carried  out  an  impact  assessment  listed  in  the  Work  Programme, 
accessible on: http://ec.europa.eu/information_society/media/mundus/index_en.htm. 

LEGAL ELEMENTS OF THE PROPOSAL 

•  Summary of the proposed action 

The proposal is to set up a new programme called MEDIA Mundus. The three general 
policy objectives of the programme are:  

To increase the competitiveness of the EU audiovisual industry on international 

o 
markets. 

o 

o 

To enable Europe to play its cultural and political role in the world. 

To increase consumer choice and cultural diversity.  

These objectives can be detailed in three specific objectives: 

o 

To increase information exchange, training and market intelligence. 

To  improve  the  competitiveness  and  transnational  distribution  of  audiovisual 

o 
works worldwide. 

To  improve  circulation  and  exposure  of  audiovisual  works  worldwide  and  to 

o 
increase public (in particular young public) demand for cultural diversity. 

Following the principle of mutual benefit, professionals from countries participating in 
the programme and from other countries would jointly propose and implement projects 
under  the  proposed  action  lines.  Funding  would  be  available  for  consortia  only,  and 
under three basic premises: (1) any group/consortium which submits a project needs to 

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be  owned,  whether  directly  or  by  majority  participation,  by  EU  nationals;  (2)  any 
group/consortium should include at least one audiovisual company/organisation which 
has its head office in a third country; (3) each project needs to have a minimum of three 
partners and shall significantly boost an international networking effect. 

•  Legal basis 

o 

Articles 157 (3) and 150 (4) EC 

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•  Subsidiarity principle 

The  subsidiarity  principle  applies  insofar  as  the  proposal  does  not  fall  under  the 
exclusive competence of the Community. 

The  objectives  of  the  proposal  cannot  be sufficiently  achieved  by  the  Member  States 
for the following reason(s). 

The  European  initiative  will  be  complementary  to  initiatives  such  as  cooperation 
programmes undertaken by individual Member States (for example the World Cinema 
Fund,  or  Fonds  Sud).  Although  the  latter  are  beneficial  in  themselves,  they  often 
remain  at  bilateral  level  and  cannot  have  the  same  pan-European  effect  as  a  Europe-
wide  cooperation  instrument.  The  European  added  value  generated  would  be  that  the 
visibility of European audiovisual works in the world would not be reduced to a small 
number  of  audiovisual  works  from  mostly  large  Member  States  but  would  create 
opportunities to increase market share for European audiovisual works on third-country 
markets. 

Community action will better achieve the objectives of the proposal for the following 
reasons. 

The  nature  of  the  challenge  that  Europe  faces  means  that  coordinated  action  at 
European  level  is  likely  to  create  an  European  added  value  to  regional  or  local 
initiatives because it enables a pooling of resources and greater geographical coverage. 
Many of the barriers to internationalisation can be better addressed at European level, 
in particular as regards the size, under-funding and fragmentation of markets, but also 
barriers specifically related to third countries. It would be more efficient, proportional 
and  effective  if  these  problems  were  addressed  on  a  European  level  rather  than  by 
individual Member States.  

The  key  qualitative  indicators  for  determining  whether  greater  cooperation  at 
international  level  has  improved  the  current  situation  would  be  that  European 
audiovisual  professionals  would  be  perceived  as  the  most  attractive  partners  for 
international cooperation and a globally diverse film market would have emerged. 

A joint approach, including a critical mass of professionals from the European Union 
and  from  third  countries,  can  lead  to  a  greater  positive  impact,  sustainable  global 
networking  and  thus  the  gradual  change  of  global  market  structures.  This  will  be 

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4. 

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particularly beneficial for smaller Member States. The European Union is best placed 
to help develop an international dimension for the European audiovisual industry, thus 
creating  a  framework  for  cooperation  and  for  improved  circulation  of  audiovisual 
works. 

The proposal therefore complies with the subsidiarity principle. 

•  Proportionality principle 

The proposal complies with the proportionality principle for the following reasons. 

Community action will aim at reinforcing national action taken in this field. It would 
be proportionate and would not go beyond what is necessary to achieve the objectives. 
This  proposal  conforms  to  the  principle  of  proportionality  because  it  can  be 
implemented on the basis of existing national and European structures.  

The  programme  will  follow  standardised  procedures  in  order  to  minimise  the 
administrative  burden  for  the  Commission  and  beneficiaries.  It  will  also  encourage 
grouping of professionals in order to limit the number of contracts.  

•  Choice of instruments 

Proposed instruments: other. 

Alternative means would not be adequate for the following reasons. 

A  Community  programme  is  the  only  possible  legal  instrument  for  stimulating 
international cooperation in the audiovisual sector. It is designed to provide a leverage 
effect, which could not be achieved by legislative measures. 

BUDGETARY IMPLICATION 

The overall budget for the actions (2011-2013) amounts to €13,5 million: 

-  Information  exchange,  training  and  market  intelligence  (specific  objective  1):  €2,7 
million  

- Competitiveness and distribution: (specific objective 2) €5,1 million,  

- Circulation (specific objective 3): €5,7 million  

The overall budget for actions and for implementing this programme amounts to €15 
million.  

5. 

ADDITIONAL INFORMATION 

•  Simulation, pilot phase and transitory period 

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505 

560 

There was or there will be a simulation or a pilot phase for the proposal. 

•  European Economic Area 

The proposed act concerns an EEA matter and should therefore extend to the European 
Economic Area. 

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2008/0258 (COD) 

Proposal for a 

DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 

establishing an audiovisual cooperation programme with professionals from third 
countries MEDIA Mundus 

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION, 

Having regard to the Treaty establishing the European Community, and in particular Articles 
150(4) and 157(3) thereof, 

Having regard to the proposal from the Commission1, 

Having regard to the opinion of the European Economic and Social Committee2, 

Having regard to the opinion of the Committee of the Regions3, 

Acting in accordance with the procedure laid down in Article 251 of the Treaty4, 

Whereas: 

(1) 

(2) 

(3) 

(4) 

1 
2 
3 
4 

The  audiovisual  sector  contributes  to  achieving  the  goals  of  the  Lisbon  Agenda, 
namely  to  boost  competitiveness,  skills,  growth  and  jobs  in  a  knowledge-based 
economy.  It  plays  a  major  role  in  the  context  of  the  i2010  initiative  —  the  policy 
umbrella for the European information society and media policies — in the framework 
of the Lisbon Agenda.  

The  European  Parliament  has  consistently  underlined  that  the  audiovisual  sector 
makes  an  important  contribution  to  the  European  creative  and  knowledge  economy 
and plays a central role in promoting cultural diversity and pluralism. 

The  cultural  and  creative  sectors  contribute  substantially  to  the  European  cultural 
economy  and  creative  industries  employ  at  least  5.8  million  people,  3.1%  of  total 
EU25 population. 

In  its  Resolution  2007/C  287  of  16  November  2007  on  a  European  Agenda  for 
Culture,  the  Council  considered  that  culture  was  a  vital  element  of  international 

OJ C […], […], p. […]. 
OJ C […], […], p. […]. 
OJ C […], […], p. […]. 
OJ C […], […], p. […]. 

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relations and underlined the need to enhance its role in the EU’s external relations and 
development policy. 

The  Commission’s  Communication  on  ‘Europe  in  the  world’  emphasises  the 
inextricable  link  between  the  EU’s  internal  and  external  policies,  and  stresses  that 
Europe  has  the  potential  to  share  in  the  new  opportunities  created  by  emerging 
markets and globalisation, as it has an open society that can absorb people, ideas and 
new technologies5. 

The European Union was a major player in the process leading to the adoption of the 
UNESCO Convention on the Protection and the Promotion of the Diversity of Cultural 
Expressions which entered into force on 18 March 2007, following the ratification by 
the  European  Community  and  13  EU  Member  States  on  18  December  2006.  The 
Convention’s  aim  is  to  strengthen  international  cooperation  and  solidarity  so  as  to 
favour  the  cultural  expressions  of  all  countries.  Following  Article  12  (e)  of  the 
Convention,  parties  to  the  Convention  ‘shall  encourage  the  conclusion  of  co-
production and co-distribution agreements’.  

Community  support  to  the  audiovisual  sector  takes  into  account  Article  151  of  the 
Treaty,  which  states  that  the  Community  and  the  Member  States  shall  foster 
cooperation  with  third  countries  and  the  competent  international  organisations  in  the 
sphere of culture. 

The Charter of  Fundamental Rights  of  the European Union,  in Article 11  recognises 
the freedom of expression and media pluralism.  

The  evaluation  report  of  the  MEDIA  Plus  programme6  identified  the  importance  of 
international markets to overcome the problems of the European audiovisual industry.  

(5) 

(6) 

(7) 

(8) 

(9) 

(10)  The  international  audiovisual  landscape  has  changed  significantly  over  the  last  two 
decades,  notably  under  the  impact  of  technological  developments  such  as  digital 
cinema  projection,  video  on  demand  or  multi-channel  digital  television.  This  has 
created strong financial growth and promising investments and consequently, a strong 
and growing demand for more audiovisual content, offering numerous opportunities to 
companies.  Accordingly,  there  is  a  strong  and  increasing  interest  in  developing 
projects relating to the various digital applications. In addition, there is a strong link 
between international cooperation on projects and our ability to promote in the world 
Europe’s  regulatory  model  on  audiovisual  issues  and  the  convergence  between 
audiovisual and electronic communications. 

(11)  Given the increasing importance of the international dimension of audiovisual policy, 
on  13  December  2007  the  European  Parliament  adopted,  in  the  2008  budget,  a 
preparatory  action  MEDIA  International,  focusing  on  developing  European  Union 
relations  with  third-country  audiovisual  markets,  providing  the  opportunity  for 
structuring  and  strengthening  relations  and  networks  between  European  Union  and 
third-country  professionals  in  the  audiovisual  sector,  for  the  mutual  benefit  of  the 

5 

6 

Europe  in  the  world  —  Some  practical  proposals  for  greater  coherence,  effectiveness  and  visibility, 
Communication from the Commission to the European Council of June 2006 COM (2006) 278 final 8 
June 2006 http://eur-lex.europa.eu/LexUriServ/site/en/com/2006/com2006_0278en01.pdf. 
http://ec.europa.eu/information_society/media/overview/evaluation/reports/index_fr.htm. 

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European industry and the third countries involved. The subsequent call for proposals 
attracted great interest from both European and third-country professionals. Eighteen 
projects  were  selected  for  support.  The  first  year  of  the  preparatory  action  MEDIA 
International thus confirmed the sector’s interests and needs in the international field 
and the necessity for Community action. 

(12)  The European Parliament renewed the preparatory action with an increased budget for 

2009. 

(13)  On 19 May 2008, ministers responsible for audiovisual matters in the European Union 
adopted  a  declaration  welcoming  the  European  Parliament’s  initiative  on  the 
preparatory action MEDIA International and encouraging the Commission ‘to pursue 
the development of this initiative and to examine the desirability and the possibility of 
presenting  a  proposal  for  a  support  programme  to  promote  cooperation  between 
European  audiovisual  industry  professionals  and  industry  professionals  in  third 
countries for the mutual benefit of all participants’. 

(14)  The  open  public  consultation  on  MEDIA  Mundus  demonstrated  strong  support  for 
strengthened  cooperation  between  European  and  third-country  professionals  in  the 
audiovisual sector, notably in the fields of training, the facilitation of co-productions, 
distribution  and  circulation  of  audiovisual  works  (including  new  platforms,  such  as 
VOD and IPTV), and film literacy. 

(15)  Access to audiovisual markets in third countries should be facilitated by disseminating 
market  knowledge  among  professionals  operating  on  those  markets  and  by  creating 
networks  between  them.  For  those  purposes,  projects  to  provide  training  should  be 
supported within the framework of a programme. 

(16)  The  distribution  sector  determines  the  diversity  of  audiovisual  works  on  offer  and 
consumer  choice.  European  distributors  are  small  companies,  and  because  of  the 
market  structure  and  the  fragmentation  of  the  market,  they  are,  unlike  their  large 
vertically-integrated  competitors,  ill  equipped  for  gaining  access  to  international 
markets. Furthermore, new players and distribution platforms have emerged, boosting 
or  requiring  more  audiovisual  content.  It  is  therefore  appropriate  take  measures  to 
improve the distribution, circulation and exhibition of audiovisual works. 

(17)  There  is  therefore  a  need  to  establish  a  Community  programme  for  the  audio-visual 
sector,  providing  financial  support  to  projects  in  the  fields  of  information  exchange 
and  training,  competitiveness,  distribution,  circulation  and  exhibition  of  audiovisual 
content.  

(18) 

In  order  to  create  the  maximum  mutual  benefit  and  to  simplify  the  administration, 
projects  under  the  programme  should  be  proposed  and  implemented  jointly  by 
professionals  from  the  European  Union  and  from  third  countries,  and  it  should  be  a 
requirement  that  minimum  of  three  partners  participate  in  the  project.  In  order  to 
simplify  the  administration  projects  should  be  coordinated  by  a  professional 
established in a country which participates in the programme.  

(19)  Appropriate measures should be implemented to prevent irregularities and fraud and to 

recover funds which have been lost or transferred or used improperly. 

EN 

13 

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(20) 

It  is  appropriate  to  lay  down,  for  the  entire  duration  of  the  programme,  a  financial 
framework  constituting  the  prime  reference  for  the  budgetary  authority,  within  the 
meaning of point 37 of the Interinstitutional Agreement of 17 May 2006 between the 
European  Parliament,  the  Council  and  the  Commission  on  budgetary  discipline  and 
sound financial management7. 

(21)  Since  certain  measures  necessary  for  the  implementation  of  this  Decision  are 
management  measures  within  the  meaning  of  Article  2  of  Council  Decision 
1999/468/EC  of  28  June  1999  laying  down  the  procedures  for  the  exercise  of 
implementing powers conferred on the Commission8, they should be adopted by use of 
the management procedure provided for in Article 4 of that Decision. 

(22)  The  arrangements  for  monitoring  and  evaluating  the  programme  should  include 
detailed annual reports as well as specific, measurable, achievable, relevant and time-
bound objectives and indicators. 

(23)  Since  the  objectives  of  the  proposed  actions  cannot  be  sufficiently  achieved  by  the 
Member  States,  given  the  transnational  and  international  character  of  the  issues  at 
stake, and can therefore by reason of the European scope and effects of the actions be 
better  achieved  at  Community  level,  the  Community  may  adopt  measures,  in 
accordance  with  the principle of subsidiarity as set out in Article 5 of  the Treaty. In 
accordance  with  the  principle  of  proportionality,  as  set  out  in  that  Article,  this 
Decision does not go beyond what is necessary in order to achieve those objectives. 

HAVE DECIDED AS FOLLOWS: 

CHAPTER 1: ESTABLISHMENT, SCOPE AND OBJECTIVES OF THE PROGRAMME 

Article 1 
Establishment of the programme 

1. 

The  programme  MEDIA  Mundus  (hereinafter  referred  to  as  "the  programme")  is 
hereby  established  for  the  funding  of  projects  for  international  cooperation  with 
professionals in third countries in the audiovisual sector.  

2. 

The programme shall be implemented from 1 January 2011 till 31 December 2013. 

Article 2 
Scope of the programme  

This programme is addressed to professionals from 

1. 

2. 

7 
8 

European Union Member States;  

EFTA States which are members of the  EEA, in  accordance with the  provisions of 
Part VI of the EEA agreement; 

OJ C 139, 14.6.2006, p. 1. 
OJ L 184, 17.7.1999, p. 23. 

EN 

14 

   EN 

 
                                                 
3. 

Countries referred to in article 8, paragraphs 1 and 2, of Decision No 1718/2006/EC, 
and not already mentioned under paragraph 2 of this article, where the country:  

(a) 

(b) 

Unilaterally declares its willingness to be a member of the programme and  

Pays  a  contribution,  calculated  on  the  same  basis  as  their  contribution  to  the 
MEDIA 2007 programme.  

4. 

All other countries.  

Article 3 
Definitions  

For the purposes of this Decision the following definitions shall apply: 

1. 

‘European professional’ means a professional who: 

(a) 

(b) 

is a national of one of the countries referred to in Article 2, paragraph 1, or of a 
country fulfilling the requirements in Article 2, paragraph 2 or 3, or 

is established as a legal person in one of the countries referred to in Article 2, 
paragraph 1, or in a country fulfilling the requirements in Article 2, paragraph 
2  or  3,  and  is  owned,  whether  directly  or  by  majority  participation,  and 
continue  to  be  owned  by  one  or  more  of  those  countries  or  by  one  or  more 
nationals from those countries until the end of the project 

‘Audiovisual work’ means a set of moving images with or without sound. Examples 
of audiovisual works include feature films, documentaries, and animation films.  

‘European  works’  means  audiovisual  works  originating  in  countries  referred  to  in 
Article 2, paragraph 1, 2 or 3. 

Article 4 
Conditions for participation in the programme 

Projects  shall  be  proposed  and  implemented  jointly  by  European  professionals  and 
professionals  having  their  residence  or  place  of  establishment  in  one  the  countries 
referred  to  in  Article  2  paragraph  4  in  order  to  be  eligible  for  funding  under  the 
programme.  

Each  project  shall  have  a  minimum  of  three  partners,  and  seek  to  promote  an 
international networking effect. 

Each project shall be coordinated by a European professional and include at least one 
partner from a country referred to in Article 2 paragraph 4. The coordinator shall be 
responsible for the submission of the proposal, for the management of the project and 
for the financial administration and implementation.  

2. 

3. 

1. 

2. 

3. 

EN 

15 

   EN 

 
Article 5 
Objectives of the programme 

1. 

The  global  objectives  of  the  programme  are  to  increase  the  competitiveness  of  the 
European audiovisual industry, to enable Europe to play its cultural and political role 
in the world more effectively and to increase consumer choice and cultural diversity.  

2. 

The programme’s specific objectives are:  

(a) 

(b) 

(c) 

to  increase  information  exchange  and,  in  particular  through  training  activities 
and  scholarships,  facilitate  transnational  networking  between  professionals  in 
order  to  improve  access  to  third  country  markets  and  to  build  trust  and  long-
term commercial relationships; 

to  improve  the  competitiveness  and  transnational  distribution  of  audiovisual 
works worldwide;  

to  improve  circulation  and  exposure  of  audiovisual  works  worldwide  and  to 
increase  public  (in  particular  young  public)  demand  for  culturally  diverse 
audiovisual content. 

3. 

Particular  attention  shall  be  paid  to  consistency  and  complementarity  between  the 
programme  and  other  relevant  Community  policies,  instruments  and  actions,  in 
particular  coordination  with  and  implementation  of  the  MEDIA  2007  programme 
and  external  cooperation  programmes  in  the  audiovisual  and  cultural  sectors  with 
third countries. 

CHAPTER 2: OPERATIONAL OBJECTIVES OF THE PROGRAMME 

Article 6 
Information exchange, training and market intelligence 

In the field of information exchange and training, the operational objectives of the programme 
are to: 

1. 

2. 

3. 

Strengthen the skills of European and other professionals from countries referred to 
in Article 2 paragraph 4 to improve their understanding of in particular the operating 
conditions, legal frameworks, financing systems and cooperation possibilities of their 
respective audiovisual markets, and, in particular through scholarships, thus facilitate 
networking  and  the  emergence  of  long-term  commercial  relationships  and  improve 
the level of information and knowledge of audiovisual markets in order to secure and 
facilitate audiovisual cooperation between professionals.  

Support  continuous  training  courses  including  partners,  trainees  and  trainers  from 
European and from other countries referred to in Article 2 paragraph 4, with a focus 
on  the  conditions  of  production,  co-production,  distribution,  exhibition  and 
dissemination of audiovisual works in the relevant international markets.  

Support  continuous  training  courses  including  partners,  trainees  and  trainers  from 
European  and  from  other  countries  referred  to  in  Article  2  paragraph  4,  on  the 

EN 

16 

   EN 

 
inclusion  of  new 
technologies  for  production,  post-production,  distribution 
(including new distribution platforms, such as VOD, IPTV, Web TV), marketing and 
archiving of audiovisual works. 

Article 7 
Competitiveness and Distribution 

Regarding the improvement of the competitiveness and distribution of audiovisual works on 
foreign markets, the operational objectives of the programme are to: 

1. 

2. 

Facilitate  the  search  for  foreign  partners  for  European  audiovisual  works.  The 
programme  shall  support  the  organisation  of  co-production  markets  and  partner 
search events (pitching), aiming at bringing together possible partners (script writers, 
directors, producers and distributors).  

Encourage international sales and promotion of audiovisual works. The programme 
shall  encourage  the  conclusion  of  agreements  between  groupings  of  right-
holders/sales agents/distributors to ensure the distribution (in cinemas, on TV, IPTV, 
Web  TV  and  VOD  platforms)  and  promotion  of  their  respective  audiovisual  works 
on the territory/territories of their partner(s).  

Article 8 
Circulation  

In the field of circulation, the operational objectives of the programme are to: 

1. 

2. 

3. 

Encourage  cinema  operators  in  European  and  countries  referred  to  in  Article  2 
paragraph  4  to  reciprocally  increase  the  programming  and  exhibition  conditions 
(duration  of,  exposure  and  number  of  screenings)  of  exclusive  first  releases  of 
audiovisual  works.  The  programme  shall  support  projects  presented  by  cinema 
networks with screens in Europe and in countries referred to in Article 2 paragraph 4 
that programme a significant number of audiovisual works on the territory/territories 
of their partner(s). 

Increase the supply of audiovisual content and improve broadcasting and distribution 
conditions for audiovisual works from countries referred to in Article 2 paragraph 4 
on  European  distribution  channels  (TV,  IPTV,  Web  TV,  VOD  platforms)  and  for 
European  works  through  international  distribution  channels.  The  programme  shall 
support  partnerships  between  broadcasters  (or  VOD  platforms)  and  rights-holders 
aiming at broadcasting a package of works or at distributing a catalogue of works on 
VOD Platforms. 

Facilitate  the  organisation  of  events  and  film  literacy  initiatives,  notably  aimed  at 
young  audiences,  intended  to  internationally  promote  the  diversity  of  audiovisual 
works and increase public demand for culturally diverse audiovisual content. 

EN 

17 

   EN 

 
Article 9 
Implementation of the operational objectives 

1. 

2. 

The  Commission  shall  take  steps  to  ensure  that  the  activities  supported  under  the 
operational objectives referred to in Articles 6 to 8 complement each other. 

The measures set out under Articles 6 to 8 shall be implemented in accordance with 
the provisions in the Annex.  

CHAPTER  3:  ARRANGEMENTS  FOR  IMPLEMENTING  THE  PROGRAMME  AND  FINANCIAL 

PROVISIONS 

Article 10 
Financial provisions 

The measures financed under this Decision shall be implemented in accordance with 
Regulation No 1605/20029. 

In accordance with Article 176(2) and (4) of Commission Regulation (EC, Euratom) 
No 2342/200210, the Commission may decide, depending on the beneficiaries and the 
type of action, whether they may be exempted from verification of the professional 
skills and qualifications required to successfully complete an action or programme of 
work. 

Depending  on  the  type  of  action,  financial  aid  may  take  the  form  of  grants11  or 
scholarships. The Commission may also award prizes for the programme’s activities 
or projects. Depending on the nature of the activity, flat-rate financing or the use of 
scales of unit costs may be authorised in accordance with Article 181 of Commission 
Regulation (EC, Euratom) No 2342/2002.  

Funding awarded under the programme may not exceed 50% of the final costs of the 
project  to  be  funded.  However,  in  the  cases  expressly  provided  for  in  the  Annual 
Work Programme and in the Call for Proposals, funding may be as high as 80%.  

In accordance with Article 113 paragraph 1 of Council Regulation (EC, Euratom) No 
1605/2002, in conjunction with Article 172 paragraph 1 of Regulation (EC Euratom) 
No  2342/2002,  the  beneficiaries'  contribution  may  be  provided  either  entirely  or 
partly in kind if the value of the contribution can be established on the basis of costs 
actually  borne  and  duly  supported  by  accounting  documents,  or  costs  generally 
accepted  in  the  market  in  question.  Premises  made  available  for  training  or 
promotional purposes may be included in such contributions.. 

In  accordance  with  Article  112  paragraph  1  of  Regulation  (EC,  Euratom)  No 
1605/2002,  where  provided  for  in  the  annual  work  programme  and  in  the  call  for 
proposals, the Commission may decide that costs directly linked with implementing 

OJ L 248 of 16.9.2002, p.1. 
OJ L 357 of 31.12.2002, p. 1. 
Reimbursable in respect of the MEDIA contribution (excluding support for dubbing/subtitling). 

1. 

2. 

3. 

4. 

5. 

6. 

9 
10 
11 

EN 

18 

   EN 

 
                                                 
the  project  are  eligible  for  funding,  even  if  they  were  partially  incurred  by  the 
beneficiary before the selection procedure.  

Article 11 
Implementation of this Decision 

The Commission is responsible for implementing the programme in accordance with 
the arrangements laid down in the Annex. 

The following measures for the implementation of the programme shall be adopted 
in accordance with the procedure referred to in Article 12 paragraph 2  

(a) 

(b) 

(c) 

(d) 

(e) 

an annual plan of work, including priorities; 

an  annual  internal  breakdown  of  the  programme  resources,  including  the 
breakdown between measures in the different fields; 

the general guidelines for implementing the programme; 

the  content  of  the  calls  for  proposals,  the  definition  of  the  criteria  and  the 
procedures for the selection of projects; 

selection of proposals for the allocation of Community funds in excess of €400 
000 per beneficiary and year; 

The  Commission  shall  adopt  other  measures  and  decisions  on  the  award  of  grants 
other  than  those  listed  in  paragraph  2,  point  (e).  The  Commission  will  provide  the 
Committee and the European Parliament with all relevant information including the 
selection decisions taken in accordance with this paragraph within two working days 
after the adoption of these decisions.  

Article 12 
Committee 

The  Commission  shall  be  assisted  by  a  committee,  composed  of  representatives  of 
the Member States and chaired by the representative of the Commission. 

Where reference is made to this paragraph, the management procedure laid down in 
Articles  4  of  Decision  1999/468/EC  shall  apply,  in  compliance  with  Article  7 
paragraph 3 and Article 8 thereof.  

The period laid down in Article 4 paragraph 3 of Decision 1999/468/EC shall be two 
months. 

1. 

2. 

3. 

1. 

2. 

3. 

Article 13 
The programme’s contribution to other Community policies and prerogatives 

The programme shall help to strengthen the European Community’s horizontal policies by: 

EN 

19 

   EN 

 
1. 

2. 

3. 

4. 

5. 

1. 

2. 

3. 

1. 

2. 

contributing to the debate on and information about the European Union as an area of 
peace, prosperity and security; 

promoting the fundamental principle of freedom of expression; 

encouraging  awareness  of  the  importance  of  cultural  diversity  and  multiculturalism 
in the world;  

enhancing  the  knowledge  base  of  the  European  economy  and  contributing  to 
strengthening the global competitiveness of the European Union; 

helping  to  combat  all  forms  of  discrimination  based  on  sex,  race  or  ethnic  origin, 
religion or beliefs, disabilities, age or sexual orientation. 

Article 14 
Monitoring and evaluation 

The  Commission  shall  monitor  the  projects  regularly.  The  results  of  the  process  of 
the monitoring shall be taken into account in the implementation of the programme. 

The  Commission  shall  ensure  that  the  programme  is  evaluated  ,  externally  and 
independently.  

The Commission shall present to the European Parliament, the Council, the European 
Economic and Social Committee and the Committee of the Regions: 

(a) 

Communication on the continuation of the programme by 30 June 2012 at the 
latest; 

(b) 

an ex-post evaluation report by 31 December 2015 at the latest. 

Article 15 
Budget 

The  budget  for  implementing  this  programme  for  the  period  set  out  in  Article 
1paragraph 2 is fixed at €15 million.  

The annual appropriations shall be authorised by the budgetary authority within the 
limits of the financial framework. 

CHAPTER 4: ENTRY INTO FORCE 

Article 16 
Entry into force 

This Decision shall enter into force 20 days following its publication in the Official Journal of 
the European Union and shall apply from 1 January 2011. 

EN 

20 

   EN 

 
Done at Brussels,  

For the European Parliament 
The President 

For the Council 
The President 

EN 

21 

   EN 

 
 
 
ANNEX  

ACTIONS TO BE IMPLEMENTED 

1. 

SPECIFIC  OBJECTIVE  1:  STRENGTHEN  INFORMATION  EXCHANGE,  TRAINING  AND 
MARKET INTELLIGENCE 

Increase  information  exchange  and  market  intelligence  and,  in  particular  through  training 
activities  and  scholarships,  facilitate  networking  between  European  and  other  professionals 
from countries referred to in Article 2 paragraph 4 (hereinafter referred to as third-country) in 
order to improve access to third-country markets and to build trust and long-term commercial 
relationships. 

(1) 

Operational objective 

Strengthen the skills of European and third countries’ professionals to improve their 
understanding of in particular the operating conditions, legal frameworks, financing 
systems,  cooperation  possibilities  of  their  respective  audiovisual  markets,  and  thus 
facilitate  networking  and  the  emergence  of  long-term  commercial  relationships. 
Improve the level of information and the knowledge of audiovisual markets in order 
to secure and facilitate audiovisual cooperation between European and third country 
professionals.  

Actions to be implemented 

–  Support  the  development  and  implementation  of  training  modules  including 
trainees  and  trainers  from  European  and  third  countries;  with  a  focus  on  the 
conditions  of  production, 
and 
dissemination of audiovisual works in the relevant international markets.  

co-production,  distribution, 

exhibition 

–  Support  the  development  and  implementation  of  training  modules  including 
trainees and trainers from European and third countries; on the inclusion of new 
technologies  for  production,  post-production,  distribution  (including  new 
distribution platforms, such as VOD, IPTV, Web TV), marketing and archiving of 
audiovisual works. 

–  Encourage exchanges between the institutions and/or existing continuous training 

activities. 

–  Contribute to training for trainers. 

2. 

SPECIFIC OBJECTIVE 2: COMPETITIVENESS AND DISTRIBUTION 

Improve the competitiveness and transnational distribution of audiovisual works worldwide. 

(1) 

Operational objective  

Facilitate the search for partners for co-productions.  

Actions to be implemented 

EN 

22 

   EN 

 
–  Support the organisation of forums for development, financing, co-production and 
pre-sales of international co-productions, in particular co-production markets and 
partner  search  events  (pitching),  aiming  at  bringing  together  possible  partners 
(script writers, directors, producers and distributors).  

(2) 

Operational objective  

Encourage international sales and promotion of audiovisual works. 

Actions to be implemented 

–  Encourage the conclusion of agreements between groupings of European and third 
countries’  rights-holders/sales  agents/distributors  to  ensure  the  distribution  (in 
cinemas,  on  TV,  IPTV,  Web  TV  and  on  VOD  platforms)  of  their  respective 
audiovisual works on the territory/territories of their partner(s).  

–  Raise  public  awareness,  through  reinforced  promotion  campaigns,  of  the  release 
of  films  from  European  countries  worldwide,  and  the  release  of  third-country 
films in Europe. 

–  Support dubbing and subtitling for the distribution and dissemination through all 
available  channels  of  European  and  third  countries’  audiovisual  works  for  the 
benefit of producers, distributors and broadcasters. 

–  Encourage  the  creation  and  consolidation  of  networks  of  artistic  and  industrial 
cooperation between European rights-holders/sales agents/distributors and rights-
holders/sales agents/distributors from third countries. 

3. 

SPECIFIC OBJECTIVE 3: CIRCULATION SUPPORT 

Improve  circulation  and  exposure  of  audiovisual  works  worldwide  and  increase  public  (in 
particular young public) demand for culturally diverse audiovisual content. 

(1) 

Operational objective  

Encourage cinema operators in European and third countries to reciprocally increase 
the  programming  and  exhibition  conditions  (duration  of,  exposure  and  number  of 
screenings) of exclusive first releases of audiovisual works.  

Actions to be implemented 

–  Support  projects  presented  by  European  and  third-country  cinema  owners  in 
programming a significant share respectively of European and third-country films 
in  commercial  cinemas  for  first  release  for  a  minimum  defined  duration.  The 
support  granted  will  in  particular  be  determined  according  to  the  number  and 
schedule  of  admissions  made  by  these  cinemas  for  third-country  films  (or 
European  films  in  the  case  of  third-country  cinema  owners)  over  a  reference 
period. 

–  Support the creation and the consolidation of European and third-country cinema 

owners’ networks developing common actions for this type of programming. 

EN 

23 

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(2) 

Operational objective  

Increase the supply of audiovisual content and improve broadcasting and distribution 
conditions for third countries’ audiovisual works on European distribution channels 
(TV,  IPTV,  Web  TV,  VOD  platforms)  and  European  works  on  third  countries’ 
distribution channels.  

Actions to be implemented 

–  Support  partnerships  between  European  and  third  countries’  broadcasters  (or 
VOD  platforms  etc.)  and  rights-holders  aiming  at  broadcasting  a  package  of 
European  and  third  countries’  works  or  at  distributing  a  catalogue  of  European 
works and third countries’ works on VOD Platforms. 

–  Build  trust  and  long-term  commercial  relationships  between  European  and  third 

country broadcasters, VOD platforms and rights-holders. 

(3) 

Operational objective 

Facilitate the organisation of events and film literacy initiatives, in particular aimed 
at young audiences, intended to internationally promote the diversity of audiovisual 
works.  

Actions to be implemented 

–  Support networking of European and third countries’ media literacy initiatives, in 
particular  film  literacy  aimed  at  young  audiences,  to  internationally  promote  the 
diversity of audiovisual works. 

–  Support partnerships between European and third countries’ broadcasters for  the 

broadcasting of audiovisual works dedicated to young audiences.  

EN 

24 

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LEGISLATIVE FINANCIAL STATEMENT FOR PROPOSALS HAVING A 
BUDGETARY IMPACT EXCLUSIVELY LIMITED TO THE REVENUE SIDE 

1. 

NAME OF THE PROPOSAL: 

AUDIOVISUAL  COOPERATION  PROGRAMME  WITH  PROFESSIONALS  FROM 
THIRD COUNTRIES (MEDIA MUNDUS) 

2. 

ABM / ABB FRAMEWORK 

Policy Area(s) concerned and associated Activity/Activities:  

Information Society and media, Audiovisual policy and media policy  

3. 

3.1 

BUDGET LINES: 

Budget  lines  (operational  lines  and  related  technical  and  administrative 
assistance lines (ex- B.A lines)) including headings:  

09.01.04.07  -  Audiovisual  Cooperation  Programme  with  professionals  from  Third 
Countries (Media Mundus) - Expenditure on administrative management 

09.06.01.03  -  Audiovisual  Cooperation  Programme  with  professionals  from  Third 
Countries (Media Mundus) 

3.2 

Duration of the action and of the financial impact:  

01 January 2011 – 31 December 2013 

a) 

Budgetary characteristics:  

Budget 
line 

Type of expenditure 

New 

EFTA 
contribution 

Contributions 
from applicant 
countries 

Heading in 
financial 
perspective 

09.01.04.07  Non-comp  Non-diff 

YES 

09.06.01.03  Non-comp 

Diff 

YES 

YES 

YES 

YES 

YES 

No 3B 

No 3B 

EN 

25 

   EN 

 
 
4. 

SUMMARY OF RESOURCES 

4.1 

Financial Resources 

4.1.1 

Summary of commitment appropriations (CA) and payment appropriations (PA) 

EUR million (to 3 decimal places) 

Expenditure type 

Section 
no. 

2011 

2012 

2013 and 
following 

Total 

Operational expenditure12 

Commitment 
Appropriations (CA) 

8.1 

a 

4,500 

4,500 

4,500 

13,500 

Payment  Appropriations 
(PA) 
Administrative expenditure within reference amount13 

1,350 

b 

3,349 

8,801 

13,500 

& 
Technical 
administrative  assistance 
(NDA) 

8.2.4 

c 

0,5 

0,5 

0,5 

1,500 

TTOOTTAALL  RREEFFEERREENNCCEE  AAMMOOUUNNTT  

Commitment 
Appropriations 

Payment 
Appropriations 

a+c 

5,000 

5,000 

5,000 

15,000 

b+c 

1,850 

3,849 

9,301 

15,000 

Human 
associated 
(NDA) 

resources 

and 
expenditure 

Administrative  costs,  other 
than  human  resources  and 
not 
associated 
included in reference amount 
(NDA) 

costs, 

8.2.5 

d 

0,244 

0,366 

0,561 

1,171 

8.2.6 

e 

0,121 

0,121 

0,121 

0,363 

Total indicative financial cost of intervention  

TOTAL  CA 
cost 
Resources 

of 

including 
Human 

a+c
+d+
e 

5,365 

5,487 

5,682 

16,534 

12 
13 

Expenditure that does not fall under Chapter xx 01 of the Title xx concerned. 
Expenditure within article xx 01 04 of Title xx. 

EN 

26 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
  
  
  
  
 
 
 
 
                                                 
TOTAL  PA 
cost 
Resources 

of 

including 
Human 

b+c
+d+
e 

Co-financing details (not applicable) 

2,215 

4,336 

9,983 

16,534 

4.1.2  Compatibility with Financial Programming 

X 

Proposal is compatible with existing financial programming. 

Proposal  will  entail  reprogramming  of  the  relevant  heading  in  the  financial 

(cid:133) 
perspective. 

Proposal  may  require  application  of  the  provisions  of  the  Interinstitutional 

(cid:133) 
Agreement14 (i.e. flexibility instrument or revision of the financial perspective). 

4.1.3 

Financial impact on Revenue 

X 

(cid:133) 

Proposal has no financial implications on revenue 

Proposal has financial impact – the effect on revenue is as follows: 

NB:  All  details  and  observations  relating  to  the  method  of  calculating  the  effect  on 
revenue should be shown in a separate annex. 

Budget line 

Revenue 

EUR million (to one decimal place) 

Situation following action 

[Year 
n] 

[n+1] 

[n+2] 

[n+3] 

[n+4] 

[n+5]
15

Prior to
action 
[Year n-
1] 

a) Revenue in absolute terms 

b) Change in revenue 

 ∆ 

(Please  specify  each  revenue  budget  line  involved,  adding  the  appropriate  number  of 
rows to the table if there is an effect on more than one budget line.) 

4.2 

Human Resources FTE (including officials, temporary and external staff) – 
see detail under point 8.2.1. 

14 
15 

See points 19 and 24 of the Interinstitutional agreement. 
Additional columns should be added if necessary i.e. if the duration of the action exceeds 6 years. 

EN 

27 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
Annual requirements 

2011 

2012 

2013 

Total 
number 
human resources 

of 

2 

3 

5 

5. 

CHARACTERISTICS AND OBJECTIVES 

5.1 

Need to be met in the short or long term 

–  to  increase  the  competitiveness  of  the  EU  audiovisual  industry  on  international 

markets. 

–  to enable Europe to play its cultural and political role in the world more effectively 

–  to increase consumer choice and cultural diversity.•  

5.2 

Value-added  of  Community  involvement  and  coherence  of  the  proposal 
with other financial instruments and possible synergy 

A joint approach, including a critical mass of professionals from the European Union and 
from third countries, could lead to a positive impact, sustainable global networking and 
thus the gradual change of global market structures. This would be particularly beneficial 
for smaller Member States.  

5.3 

Objectives,  expected  results  and  related  indicators  of  the  proposal  in  the 
context of the ABM framework (see annex) 

5.4 

Method of Implementation (indicative) 

5.4.1 

Applicants 

5.4.1.1  Consortia 

Funding  is  available  for  consortia  only,  and  any  consortium  which  submits  a  project 
needs  to  be  headed  by  a  company  with  its  head  office  in  a  member  state  of  the 
programme and should include at least one partner from a third country.  

5.4.1.2  Members of the programme 

Countries participating in MEDIA 2007 have the possibility to become members of the 
new programme (subject to an annual financial contribution).  

5.4.2  Management  

The programme will be managed by the Commission. 

EN 

28 

   EN 

 
 
 
 
 
5.4.3  Comitology 

Programme Management Committee.  

6. 

MONITORING AND EVALUATION 

6.1 

Monitoring system 

Any evaluation of the programme will be done externally and independently, addressing 
relevance, effectiveness, efficiency and utility of the programme. 

6.2 

Evaluation 

The  proposed  programme  runs  between  2011  and  2013.  One  final  evaluation  will  be 
carried out. Should the Commission decide to extend the programme beyond 2013, there 
would be an ex ante evaluation. 

7. 

ANTI-FRAUD MEASURES  

On programme level anti-fraud measures will include close monitoring of the European 
and international audiovisual sector, involving trend analysis studies and expert advisory 
groups.  In  respect  of  the  individual  projects,  all  the  contracts,  conventions  and  legal 
undertakings that are concluded between the Commission and the beneficiaries under the 
programme provide for the possibility of an audit at the premises of the beneficiary; as 
well as the possibility of requiring the beneficiaries to provide all relevant documents and 
data concerning  expenses  up to 5  years after the contractual period. Particular attention 
will  be  paid  to  financial  viability  checks  and  bank  guarantees  may  be  requested  from 
beneficiaries or beneficiaries will not receive pre-financing. 

EN 

29 

   EN 

 
8. 

DETAILS OF RESOURCES 

8.1 

Objectives of the proposal in terms of their financial cost 

(Headings  of  Objectives,  actions  and 
outputs should be provided) 

Type of output 

Av. 
cost 

2011 

2012 

2013 

TOTAL 

No. 
outputs 

Total 
cost 

No. 
outputs 

Total 
cost 

No. 
outputs 

Total 
cost 

No. 
outputs 

Total 
cost 

Commitment appropriations in EUR million (to 3 decimal places) 

SPECIFIC  OBJECTIVE  No.  1:  Information 
exchange, training and market intelligence 

Action 1: Continuous Training 

- Output 1 

SPECIFIC 
OBJECTIVE 
Competitiveness and distribution 

No2 

Action  1:  Co-production  markets 
partner search (pitching) 

/ 

Support  for  new  training  measures  and  the 
extension of existing training measures 

0,06 

15 

0,900 

15 

0,900 

15 

0,900 

45 

2,700 

- Output 1 

Support attendance at events 

0,110 

6 

0,600 

5 

0,600 

5 

0,600 

16 

1,800 

Action  2:  Support  for  partnerships  of 
rights-holders, 
and 
sales 
distributors  

agents 

- Output 2 

Support  for  partnerships  of  rights-holders, 
sales agents and distributors  

0,160 

7 

1,100 

7 

1,100 

7 

1,100 

21 

3,300 

SPECIF OBJECTIVE 3 Circulation 

Action 1: Cinema network 

- Output 

Support for cinema networks 

0,54 

1 

0,900 

2 

0,900 

2 

0,900 

5 

2,700 

EN 

30 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(Headings  of  Objectives,  actions  and 
outputs should be provided) 

Type of output 

Av. 
cost 

2011 

2012 

2013 

TOTAL 

No. 
outputs 

Total 
cost 

No. 
outputs 

Total 
cost 

No. 
outputs 

Total 
cost 

No. 
outputs 

Total 
cost 

Action  2:  Support  for  broadcasters  and 
digital platforms 

- Output 

Action 3: Audinece support 

- Output 

Support for partnerships between broadcasters or 
VOD  platforms  and  broadcasters  from  third 
countries  

0,390 

1 

0,700 

2 

0,700 

2 

0,700 

5 

2,100 

Support  for  networks  /  partnerships  dedicated  to 
film literacy  

0,05 

6 

0,300 

6 

0,300 

6 

0,300 

18 

0,900 

TOTAL COST 

4,500 

4,500 

4,500 

13,500 

EN 

31 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
8.2 

Administrative Expenditure 

8.2.1  Number and type of human resources 

Types of 
post 

Staff to be assigned to management of the action using existing and/or additional 
resources (number of posts/FTEs) 

2011 

2012 

2013 

A*/AD 

B*, 
C*/AST 

1 

1 

Officials 
or 
temporary 
staff16 
(XX 01 
01) 

1 

1 

1 

Staff  financed17  by 
art. XX 01 02 

staff18 
Other 
financed  by  art.  XX 
01 04/05 

2 

1 

1 

1 (DNE) 

TOTAL 

2 

3 

5 

8.2.2  Description of tasks deriving from the action 

Implementation of the programme 

8.2.3 

Sources of human resources (statutory) 

(When more than one source is stated, please indicate the number of posts originating from 
each of the sources) 

Posts  currently  allocated  to  the  management  of  the  programme  to  be  replaced  or 

(cid:133) 
extended 

(cid:133) 

(cid:133) 

Posts pre-allocated within the APS/PDB exercise for year n 

Posts to be requested in the next APS/PDB procedure 

Posts to be redeployed using existing resources within the managing service (internal 

X 
redeployment) 

Posts required for year n although not foreseen in the APS/PDB exercise of the year in 

(cid:133) 
question 

16 
17 
18 

Cost of which is NOT covered by the reference amount. 
Cost of which is NOT covered by the reference amount. 
Cost of which is included within the reference amount. 

EN 

32 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
8.2.4  Other  Administrative  expenditure  included  in  reference  amount  (XX  01  04/05  – 

Expenditure on administrative management) 

EUR million (to 3 decimal places) 

Budget  line  09.01.04.07  -  Audiovisual 
Cooperation 
with 
professionals from Third Countries (Media 
Mundus)  -  Expenditure  on  administrative 
management 

Programme 

2011 

2012 

2013 

TOTAL 

Technical 

1 
and 
assistance (including related staff costs) 

administrative 

Other 

technical 

and 

administrative 

assistance 

- studies and conferences  

0,185 

0,185 

0,185 

- service contract (database, IT) 

0,315 

0,315 

0,315 

Total  Technical  and  administrative 
assistance 

0,5 

0,5 

0,5 

0,495 

0,935 

1,5 

8.2.5 

Financial cost of human resources and associated costs not included in the reference 
amount  

Type of human resources 

2011 

2012 

2013 

EUR million (to 3 decimal places) 

Officials and temporary staff (09 01 01) 

0,244 

0,366 

0,488 

Staff financed by Art 09 01 02 (auxiliary, END, contract staff, etc.) 

- 

- 

0,073 

Total cost of Human Resources and associated costs (NOT in reference 
amount) 

0,244 

0,366 

0,561 

Calculation– Officials and Temporary agents 

Reference should be made to Point 8.2.1, if applicable 

2011: (€122.000) x 2 = €244.000 

2012: (€122.000) x 3 = €366.000 

2013: (€122.000) x 4 = €488.000 

Calculation– Staff financed under art. XX 01 02 

Reference should be made to Point 8.2.1, if applicable 

EN 

33 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2013: (€73.000) x 1 = €73.000 

8.2.6  Other administrative expenditure not included in reference amount 

EUR million (to 3 decimal places) 

XX 01 02 11 01 – Missions 

2011 

0,028 

2012 

0,028 

2013 

TOTAL 

0,028 

0,084 

XX 01 02 11 02 – Meetings & Conferences 

0 

XX 01 02 11 03 – Committees

19

0,093 

0,093 

0,093 

0,279 

XX 01 02 11 04 – Studies & consultations 

XX 01 02 11 05 - Information systems 

- 

- 

- 

 2 

Total 

Other  Management 

Expenditure (XX 01 02 11) 

3 

Other 

expenditure 

administrative 
including reference to budget line) 

nature 

of 

an 
(specify 

Total Administrative expenditure, other 
than  human  resources  and  associated 
costs 
in  reference 
included 
amount) 

(NOT 

0,121 

0,121 

0,121 

0,363 

Calculation — Other administrative expenditure not included in reference amount 

Missions:  

15 missions of up to 2 days at €650/da y and 3 missions of 1 week at €3000 

Committees: 

27 Member State representatives for €860 for 4 meetings per year 

19 

Specify the type of committee and the group to which it belongs. 

EN 

34 

   EN 

 
 
 
 
 
  
 
 
 
 
  
  
  
  
  
 
  
  
  
  
                                                 
The needs for human and administrative resources shall be covered within the allocation that 
can be granted to the managing DG in the framework of the annual allocation procedure in the 
light of budgetary constraints 

EN 

35 

   EN