NEWS CORP. ADDS INTERNET TO BRAND FOCUS.

Peter Chernin, President of News Corp and Fox Filmed Entertainment, is working to fix what ails Fox's broadcasting operations. "We're not happy with the results. "There are problems at the network-we saw that a year ago. The brand was over diluted we were looking too much like CBS. We have to stay on the Fox brand. We did too many new shows and unsuccessful marketing plans but we have a new management team in place and we expect to turn it around," he added.

On the film side of its business, Chernin has high hopes for 2000. Studio lineup includes: "The Beach," starring Leonardo DiCaprio, "Me, Myself & Irene," a comedy starring Jim Carrey; "Castaway," teaming Tom Hanks and director Robert Zemeckis, who worked on Oscar-winner "Forrest Gump" in 1994 and "Minority Report," a futuristic drama with director Steven Spielberg and Tom Cruise.

Chernin said the company has three priorities. "To be first in traditional media. Secondly to develop entrepreneurial companies poised to create significant future asset value and third, creating value through asset optimization," he said.

In television, news and sports are key drivers. Fox News. "Our target is CNN," he said, noting the rapid growth of Fox on cable television. Fox News has more than 40 million subscribers. Fox Sports, which has taken aim at ESPN, likewise has grown and now has 62 million subscribers. Fox's FX station, which wants to top USA and Time Warner's TNT has 43 million subscribers.

"We're trying to be leaders. We know that brands will be even more important in the future and we have compelling content business in movies, TV production, our newspapers and insert and in-store couponing division.

News Corp. has unequaled distribution and can reach two thirds of the world's households through its various arms. "We are trying to move through movies, sports, news and kids. Those are crucial for us." He added.

Fox is the leader in global filmed entertainment with a 20% share, followed by Buena Vista (18%), Warner Bros. (14%), Paramount (11%), Sony (11%), Universal (11%) and New Line (6% ). He added the future looks bright. "I am bullish about movies for first time in ten years. There is an explosion in distribution outlets worldwide and we've seen more international multiplexes built. Worldwide we will see growth in digital from 50 million digital households to 250 digital households in the next five years," he said. Chernin said at a media conference that he wasn't sure if consumers were ...