'Money running out' at GNM as two-year losses hit £67m
By Adam Hooker Monday, 20 June 2011
Guardian Media Group's Guardian News and Media (GNM) has warned its staff that it may have only three years' worth of cash left.
According to unaudited results for the year to March 31 2011, GMG's subsidiary GNM lost £33m – following a £34m loss the previous year. Turnover fell from £221m to £198m.
It is understood that GMG chief executive Andrew Miller gave a series of presentations to staff last week, announcing a series of changes to counter the loss, including prioritising digital over print. The strategy is planned to double digital turnover to £91m from £47m by 2016.
Other plans to save the business include saving £25m over the next five years, which would release funds to be reinvested, and a redesign of the weekday Guardian, which could see the title move away from breaking news and focus more on feature-led content.
He also warned that the group could run out of cash in three to five years, if the business did not change. However, there have not been any reports of job losses at the titles at this time.
The Guardian has been protected for many years by the Scott Trust, which was set up to ensure the continuation of the title. However, in recent years the decline in newspapers has cost the trust millions.
Latest jobs Jobs web feed
- Print Buyer Pyramid Consultancy Ltd £25,000 - £30,000pa, company car, phone, lap top , London
- Print Estimator | Exhibition & Display Print | North West Mercury Search and Selection £25k , Manchester
- UK Sales Manager | Self Adhesive Labels | UK - Home Based Mercury Search and Selection £32k-£40k + Attractive commission structure, pension, life insurance, car, laptop & smart phone , UK - home based
- Account Director - Reprographics/ Mail Room - London asg Up to £45,000 + bonus + benefits, London
- Sales Executive Image Evolution Ltd Attractive remuneration plus car or car allowance, Berkshire
- UPDATED: St Ives hits the acquisition trail again
- HP Indigo users team up for mammoth Coca-Cola task
- Swiss Post acquires Pitney Bowes' UK and Ireland management services business
- Konica Minolta aims to add value with web-to-print deal
- Konica Minolta makes progress with B2 inkjet
- Warwick Printing Company to install UK's first Speedmaster SX 102