TV 2'S REQUIREMENTS FOR SUPPLIERS AND PARTNER'S SOCIAL RESPONSIBILITY
TV 2 is aware of its societal responsibilties and aware of the importance of ensuring that TV 2's activities are conducted in a way that meets society's expectations of one of Denmark's leading media groups.
TV 2 follows the principles of the company's social responsibility, and TV 2 pursues a number of initiatives and objectives that support the company's social responsibility and environmental concerns.
TV 2's purchasing policy contains the expectations that TV 2 makes to its suppliers and partners.
TV 2 expects that TV 2's suppliers and partners comply with all applicable laws and regulations and respect human rights conventions.
TV 2 expects that TV 2's suppliers and partners refrain from discriminating when hiring employees in relation to pay and other working conditions, due to race, religion, nationality, ethnic origin, sexual orientation, gender, political attitudes, age or disability.
TV 2 expects that TV 2's suppliers and partners respect their employees' free choice to form associations and make their own organisational choices.
TV 2 expects that TV 2's suppliers and partners comply with current rules and regulations on working environments, and that they prioritise their employees have a healthy and decent working environment.
TV 2 expects that TV 2's suppliers and partners comply with applicable environmental laws and regulations, and that the suppliers and partners focus on their energy consumption and environmental impact.
TV 2 expects that TV 2's suppliers and partners respect national law as well as the Council of Europe Convention on Corruption and the OECD convention on the fight against bribery of officials.
TV 2's suppliers and partners are informed of the content of TV 2's purchasing policy, with an obligation to react if they are unable to adhere to the principles of this, or if they do not fulfil the principles.
TV 2 expects that TV 2's suppliers and partners pass on the contents of TV 2's policy to their employees, just as TV 2 expects that TV 2's suppliers and partners prioritise the principles in relation to their suppliers and partners.
In the event that a supplier or partner has to notify TV 2 that the principles have not been fulfilled, or TV 2has otherwise obtained this information, TV 2 will start a dialogue with the relevant supplier or partner in order to uncover what is preventing these principles from being fulfilled. If the non-compliance with TV 2's principles is considered as gross, or the supplier or partner shows a lack of interest in working towards compliance, TV 2 reserves the right to seek a termination of the business partnership in question.
TV 2'S OTHER PURCHASING REQUIREMENTS
The acquisition of programmes, intellectual property rights and rights to sporting events is based on the programme strategy, which is stated in the programme plans. Larger and more principal content purchases are discussed by the executive board and follow the procedure described in the authorisation and certification policy, as described in TV 2's internal control and risk management systems.
As part of the decision to purchase major programme packages or rights to financially heavy and/or comprehensive sporting events, consideration is given to whether the content should be acquired in cooperation with others. This is particularly relevant when the rights are offered for a geographical area that extends beyond Denmark.
Purchases of technology and technical facilities take place within the framework of TV 2 technical budget and the fixed investment budget. Before initiating any fixed investments, they must be proposed in a business case for approval in the investment group. Purchases of technical and technical facilities also follow the procedure described under 'fixed investments' and the authorisation and certification policy described in TV 2's internal control and risk management systems.
As a publicly-owned company, TV 2 must follow the EU tendering rules and the rules in the Public Procurement Act to the extent that the purchases exceeding the threshold values and are otherwise not exempted from the rules.
TV 2 has to advertise EU tenders in the EU Official Journal. Advertising of tenders in accordance with the Tender Act are conducted on udbud.dk.
TV 2's agreements on the procurement, development, production and co-production of programme material intended for broadcasting are exempt from the rules concerning public procurement.
TV 2 chooses from time to time to expose the content production via tenders, either as a tender for programme ideas (pitching), or by sending larger purchases of programme content, such as morning TV or family Christmas calendar, in tender to a limited group of programme producers.
BUDGET AND ACCOUNTING
For newly produced programmes, as a starting point programme producers should, draw up a detailed budget of production costs. The budget is critically reviewed before approval. Savings on external budget lines cannot be used to cover excesses on internal budget posts, without agreement with TV 2, unless there are minor deviations. Exceeding the overall production budget is the producers' risk, provided that they are no new requests from TV 2, which have not been included in the budget. Any savings on the total production budget are generally shared equally between the programme producer and TV 2. The auditor-approved accounts for the production must be submitted no later than 3 months after the delivery of ready material. For subsequent seasons, this can be replaced by an internal account if TV 2 finds this is adequate.
ACQUISITION OF RIGHTS
For each rights and programme purchase, TV 2 seeks to acquire as many rights as possible, partly in relation to TV 2 's utilisation on own platforms, and partly in the form of financial rights, when the rights are exercised by others.
TV 2'S OWN UTILISATION
For enterprise productions where TV 2 completely or predominantly carries the production costs, TV 2 generally acquires exclusive rights to broadcast a Danish-language version of the production on television and to make this available on demand without any time constraints. TV 2 requires as a starting point that the rights of the involved parties must be free for using on TV 2's platforms, with the exception of remuneration to Koda and Gramex. TV 2 accepts however, that actors, singers, musicians, dramatists and instructors will receive repeat payments when used on TV 2 PLAY, that fiction producers receive royaltiyes when the productions are used on TV 2 PLAY in addition to the catch-up periods, and that format right-holders and rights-holders of archive clips have not been released.
For Danish and foreign licensing purchases, as well as for the right to broadcasts from sporting events TV 2's acquisition rights will typically be limited in time and/or limited to a number of broadcasts.
TV 2 as a main rule, acquires exclusive TV rights to the programme content within the licence period.
For Danish licence purchases, TV 2 also seeks to acquire exclusive video-on-demand rights during the same period as the TV rights, but this is not always possible. In particular, the standard agreements that regulate the TV stations' use of the feature films and short and documentary films, which TV 2 is required to engage in under the public service licence, contain a limited acquisition of rights in relation to the on-demand exploitation.
For foreign licence purchases, an attempt is made to acquire catch-up rights for the programmes, and for on-demand rights, moreover, the need and scope are carefully prioritised before these rights are sought for acquisition.
For rights to sporting events, TV 2 also acquires exclusive transmission rights to both TV and on demand, but these rights are usually limited in time. Although TV 2 seeks to acquire non-exclusive clip rights indefinitely.
For enterprise purchases that fully or predominantly finances, the starting point is that TV 2 obtains a share of the income when the productions or related rights are used by others unless the programmes are based on a fully developed format.
Conversely, it is a rare occurrence that TV 2 acquires financial rights for licence purchasing.
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