Telecom Italia Media SpA has managed to reduce its first quarter loss by 43 percent from a year earlier through its cost cutting moves and the sale of its pay-per-view division, the Wall Street Journal reported Tuesday. The first quarter loss came in at €16.6 million, down from the €29 million loss for 2007.

The media company anticipates advertising revenue to continue to decline through 2009, with the La7 channel showing the only improvement in ad income. However the company predicts 2009 to be an improvement on 2008 with a strong showing from its digital terrestrial TV.

Telecom Italia Media hopes to break even in earnings before interest, taxes, depreciation and amortization by 2010 under its 2009-2011 business plan released in September. The scheme looks to continuing cutting costs and increase revenue in the digital market with the growth of digital terrestrial television, according to the Wall Street Journal.