Black Press and Glacier swap six community newspapers, closures may follow
In a deal that leaves both companies holding two competing community newspapers in several British Columbia cities, Black Press and Glacier Newspaper Group (TSX:T.GVC
, Stock Forum
) have swapped ownership of six publications.
Affected newspapers include the Abbotsford-Mission Times and Chilliwack Times (Glacier to Black), and the North Shore Outlook, South Delta Leader, Bowen Island Undercurrent and the Westender (Black to Glacier).
The Undercurrent is the only newspaper involved in the deal that doesn’t have a local competitor under the same umbrella.
Black Press CEO Rick O’Connor declined to tell a Canadian Press reporter how much the deal was worth, or if some titles may be closed or merged, but it was revealed in early October that Glacier would be outsourcing ad production jobs to the Philippines
Glacier’s share price has plummeted around 40% since its 52-week high in March 2013, with the stock now sitting at $1.24.
Black Press is privately held by David Black, who yesterday announced he would be seeking federal loan guarantees
to help back his proposed $26 billion oilsands refinery at Kitimat, B.C.
Black Press owns competing newspapers in Red Deer, Alberta (the Advocate and Express), and on Vancouver Island’s North Island region (Gazette and MidWeek). In 2010, it purchased the Honolulu Star-Bulletin and Honolulu Advertiser, merging them into one media unit.
Glacier Media owns two newspapers in Estevan Saskatchewan; the Estevan Lifestyles and Mercury.