Saturday, January 9, 2010

CanWest newspapers seek bankruptcy protection

There were at least a couple of big media stories this weekend.

In the States, the LA Times cut 80 jobs. Read about it in the Digital Journal.

Closer to home, CanWest Global Communications - a media giant - put most of their newspaper business under bankruptcy protection. Well respected papers such as the Ottawa Citizen and the Vancouver Sun are among the papers affected. The new kid on the block, the National Post, is not included in the bankruptcy filing according to a story in the Globe and Mail.

An interesting twist to this story is that this move by CanWest may make the Scotiabank Canada's biggest publisher. Read all about it in the Globe and Mail online.
This all comes as no surprise to those of us who believe many of the giants in today's newspaper business got there on too much borrowed money and not brilliant media acumen.

I called my take on this whole thing: Too big to succeed. My other post that dove-tails nicely with TBTS is: Michael Moore on the State of Newspapers.

The big question on the lips of many of us, who once worked for media giant Quebecor, is how long till PKP's media mess collapses. One year? Five years? A decade? How deep are PKP's pockets.

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