This excerpt taken from the PRVT 10-K filed Mar 31, 2006.
The Private Gold Channel
The Private Gold channel was launched in Europe under an exclusive joint venture agreement with IFPD. As mentioned above, the Company acquired the channel name Private Gold, and continued licensing it to an affiliate company of IFPD for a fixed fee. By the end of 2005, Private Gold had become the leading Adult Pay-TV channel in Europe and was distributed via satellite and cable in 25 countries in the region. In November 2005 the agreement with IFPD expired and the Company and Playboy TV International signed a five-year agreement to merge their two adult pay-TV channels, Private Gold and Spice Platinum, and thereby consolidating their market leadership in Europe. The new channel will be called Private Spice and under the terms of the agreement, Playboy TV International will operate, distribute and market the new channel and Private will provide content, brand and marketing support. Currently, there is little overlap between the two channels and subsequently the new channel will significantly increase the distribution in the region. Prior to the merging of the two channels, Spice Platinum has rapidly become one of Europes most sought after and fastest growing premium adult networks reaching in over 15 countries.
The new channel will make available unique and proprietary quality content, offering flexible language tailoring and market localization and platforms will be able to offer their viewers a unique channel developed and serviced by the worlds leading adult television brands, while ensuring professional reliability and continuity.
The Private Gold and channel was launched in Latin America in 2001, via the joint venture agreement with IFPD, and under a distribution agreement with Pramer S.C.A. Until recently, the Company held this agreement directly with Pramer. In May 2005, the Company and Playboy TV Latin America, a Claxson Interactive Groups affiliate, signed an exclusive agreement to operate and distribute Private branded channels throughout Latin America. Under the terms of the agreement, Playboy TV Latin America will operate and distribute Private branded channels via Claxsons Pay TV distribution network. Claxsons aggregated distribution accounts for 56 million cable and satellite subscribers in the region.