(Photo credit: Wikipedia)Reacting to paltry ad revenues and an $11 million quarterly net loss, Postmedia, which owns 11 Canadian dailies and numerous community weeklies, will erect paywalls, publish less frequently, consolidate locations and lay off staff.
According to reports by Reuters and Canoe.ca, Postmedia, which was created in 2010 to acquire bankrupt CanWest's newspaper assets, will eliminate Sunday editions in Calgary, Ottawa and Edmonton, and for a fourth year running, suspend Monday publication of The National Post during the summer months.
Pink slips will continue to fly at Canada's largest newspaper chain. Postmedia cut loose 25 news wire staff this month and reportedly, The Montreal Gazette will trim its editorial personnel by 20. Additionally, plans are afoot to unload Postmedia's Toronto headquarters and to centralize copy editing at its metro dailies in Hamilton, Ontario.
Paywalls will be erected to combat foreign competition and generate income to offset advertising revenue losses.