Nine and Ten in Oz - channel surfing You can change the channel, but in Australia the same story is on the telly everywhere: cash shortages. Just as Nine Entertainment's lenders have agreed a recapitalisation, Ten Network's backers are wondering if they will have to stump up - the second time in four months. Ten's plans to sell Eye, its outdoor advertising division, for more than A$100m have collapsed, leaving watchers wondering just how close it is to its debt covenants. Full-year results on Thursday should answer that, as well as how the free-to-air broadcaster plans to climb out of a ratings slump. Fast-tracking of hits like Homeland have so far failed to fix it: Ten's main channel has lost about 9 points of audience share this year in evening primetime, according to RBS. Assuming covenants kick in when debt hits 4.25 times earnings before interest, tax, depreciation and amortisation, CLSA thinks Ten will be A$100m short, even if it sells Eye in this financial year. Back in June Ten raised A$200m from shareholders to bolster its balance sheet and buy programming. It does not appear to have been enough. If the hat goes round again, shareholders, led by Gina Rinehart, Lachlan Murdoch (chairman) and James Packer will need some assurance it is not just more of the same. Just look at Nine, a company Mr Packer's father sold, and bought back at a quarter of the price. Avoiding collapse should give network executives a new sense of purpose, even if their new private equity bosses will be keen to make good on their forced debt-to-equity swap. Yet therein lies the possible upside for all the broadcasters: with two of the three leaders forced to curb spending, inflation-busting cost increases - about 7 per cent forecast this financial year - should cool. But the biggest beneficiary would be Seven, the market share-winning rival to Nine and Ten. Cost crunch beats cash crunch as corporate stories go.