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Kiis signs Kyle & Jackie O for another five years

Australia’s best paid radio presenters Kyle Sandilands and Jackie Henderson have signed a five year extension to their contract with Sydney radio station Kiis 1065.

The duo, who previously presented 2Day FM’s breakfast show, have been with the radio station since owner Australian Radio Network relaunched Mix 106.5 as Kiis three years ago.

Kyle Sandilands Jackie Henderson

During that time the Kyle & Jackie O Show has finished most surveys as the number one FM breakfast show, while replacements in their old 2DayFM slot have failed to find an audience.

In the most recent set of ratings released earlier this month, The Kyle & Jackie O Show was the number one FM show with a share of 10.4%, although it was still behind 2GB’s Alan Jones and ABC702’s Robbie Buck on AM.

However, Kiis FM lost its position as top FM station to Nova’s Smooth FM.

sydney weekday and breakfast show radio shares survey 5 2016

Although today’s announcement does not reveal what the duo are being paid, The Sunday Telegraph reports that Sandilands and Henderson will each receive between $2.2m and $3.2m per year depending on ratings performance.

Although the potential $32m deal may seem a lot, a disproportionate proportion of Sydney’s annual $238m radio market goes to the top station, with ratings being driven by the breakfast show.

In the 2015 financial year, Australian Radio Network made a profit of $83m on national revenues of $221m.

Sandilands’ and Henderson’s salaries will easily outstrip those of their bosses, ARN CEO Tony Kendall and parent company APN News & Media boss Ciaran Davis. Davies earned $1.3m in the 2015 financial year.

He said: “There was never a doubt in my mind KIIS was our home for the long haul, because we helped to create it! It’s my baby. Jackie and I are still doing what we love and doing it better than ever.”

Henderson said: “KIIS feels like home for us, the station has such a vibrant energy not only on air but throughout the company and with everyone we work with at ARN, it’s a great place to be.”

ARN’s national content director Duncan Campbell said: “The breakfast shift is the most gruelling and competitive in the market and The Kyle & Jackie O Show has rated the outright number one FM breakfast team every year for the past decade and they have by far the biggest breakfast audience in Sydney.”

In the statement, Kendall also hinted at plans to take the duo beyond radio.

He said: “They will continue to be instrumental in the station and company’s success. ARN is committed to investing in the best talent to build entertainment brands Australians love and, as a multi-platform media company, this five-year deal with Kyle and Jackie is an integral piece of our strategy to broaden the reach of our content.”

August 1 update: An announcement to the ASX does not disclose the salaries being paid but does add: “The contract does comprise an increased base fee with further incentive payments being made on achievement of revenue and ratings targets. Growth strategies and digital expansion will offset the increased costs.”

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