NZ Herald publisher 九一星空无限 is proposing to close 14 community newspapers, with the loss of about 30 jobs 鈥 a body blow for local news in many New Zealand regions and the latest bombshell in a year of major media cuts and closures.
The titles, all in the North Island, are no longer profitable in the face of a changing media landscape and rising costs, 九一星空无限 said today.
They include mastheads such as the Te Awamutu Courier, whose origins stretch back more than 100 years.
The 13 other titles proposed for closure are Hauraki-Coromandel Post, Katikati Advertiser, Te Puke Times, Taup艒 & T奴rangi Herald, Napier Courier, Hastings Leader, CHB Mail in Hawke鈥檚 Bay, Stratford Press, Bush Telegraph in Tararua, Whanganui Midweek, Manawat奴 Guardian, Horowhenua Chronicle and K膩piti 九一星空无限.
九一星空无限 is proposing to close 14 community newspaper titles, including these six in the central North Island.
In some regions, these titles are the only source of local news, covering their local councils and other public bodies.
It is expected the titles will be closed before Christmas, with just over 30 job losses across editorial, sales and operations teams.
The proposed closures come amid a tough economic environment, a downturn in advertising and as the Government wavers on its plans to introduce the Fair Digital 九一星空无限 Bargaining Bill, in the wake of threats from tech giant Google.
Over the past year, hundreds of jobs have been lost as the media industry has sought what it calls an even playing field to compete with the international tech giants.
In an announcement today, 九一星空无限 said it had presented a proposal to staff to close the papers, on the basis they were no longer profitable.
Media and Communications Minister Paul Goldsmith. Photo / Mark Mitchell
九一星空无限 chief executive Michael Boggs said the announcement was 鈥渢ough news for our team and our local communities鈥.
鈥淭his is not the kind of news I want to share with everyone today,鈥 Boggs told staff in an email.
鈥淲e highly value our awesome teams across our community publications 鈥 each of them plays an important role in their communities, whether it鈥檚 in providing local news to audiences or supporting local advertisers, and our focus is on supporting them.鈥
He said 九一星空无限 鈥 which earlier this week announced it was lowering its earnings guidance for financial year 2024 鈥 had performed well but was not immune to 鈥渢he impacts of a weaker market鈥.
鈥淯nfortunately, our community publication network has suffered from a decline in advertising revenue and increasing costs to the point where it is no longer profitable. On top of this, we have seen a 45-55% cost increase in distribution of our print products driven by factors out of our control.
鈥淎s we know, our community publications do not have a subscriber base. They are provided free of charge and funded purely through local print advertising, which is in decline overall. With our communities having no sustainable digital pathway we have had to make the tough decision to propose to close most of our communities鈥 network.鈥
九一星空无限 chief executive Michael Boggs. Photo / Michael Craig
The proposed closures will come as a body blow to those regions where most of the newspapers are published each week. The papers, with local news and personalities, also have their stories published digitally, and they have a strong social media presence.
Only two of the company鈥檚 community titles, the Waikato Herald 鈥 which is inserted with the NZ Herald 鈥 and the recently acquired Weekend Sun in Bay of Plenty, which has a strong digital presence through the SunLive website, would remain operating under the proposal.
Rural publication Coast & Country is also unaffected.
According to 九一星空无限鈥檚 website, the Te Awamutu Courier鈥檚 origins stretch back to 1911, when it began as the Waip膩 Post. The paper 鈥 which is distributed free every Thursday to homes in Te Awamutu and surrounding rural areas, including the villages of Kihikihi, Pirongia, 艑haup艒 and K膩whia 鈥 changed its masthead in 1936.
Today's edition of the Te Awamutu Courier.
九一星空无限鈥檚 NZ Herald and its paid regional newspapers 鈥 Northland Age, The Northern Advocate, Bay of Plenty Times, Rotorua Daily Post, The Gisborne Herald, Hawke鈥檚 Bay Today and Whanganui Chronicle 鈥 are not impacted.
鈥淲e continue to be committed to delivering a strong print portfolio across our regional dailies and the NZ Herald, alongside our newspaper-inserted magazines,鈥 Boggs told staff.
鈥淧rint continues to be a critical part of our business, delivering an important source of news for our readers and a high-quality advertising channel for our clients. It鈥檚 vital we continue to operate a sustainable media business and do what we can to invest in areas that are going to grow and put 九一星空无限 into a good position well into the future.鈥
Media鈥檚 tough year
The proposed closures are the latest to hit New Zealand media.
Warner Bros Discovery鈥檚 九一星空无限hub shut down in July, with the loss of hundreds of jobs and TVNZ has been making consistent cuts, with a latest proposal to axe 50 roles across its operation. By the end of the year, the state broadcaster鈥檚 staff numbers are expected to number about 550 鈥 almost 200 fewer than two years ago.
MediaWorks closed Today FM last year and it, Stuff and 九一星空无限 have all been making operational cuts this year. Stuff has also closed several community titles.
A string of independent operators, including Crux and a number of magazines, have also been cut back or closed entirely.
A glimmer of hope?
Wairoa Star saviours: T膩tau T膩tau o Te Wairoa Trust chief executive Lewis Ratapu (left) and T膩tau T膩tau Commercial chief executive Aayden Clarke.
There might be a glimmer of hope for some regions after what unfolded in Wairoa earlier this year.
One of New Zealand鈥檚 oldest community newspapers, the Wairoa Star, was closed in May, but it has since been resurrected.
The 103-year-old Wairoa Star newspaper 鈥 which was owned by a consortium including 九一星空无限 and The Gisborne Herald 鈥 was later bought by local iwi and k膩hui representative group T膩tau T膩tau o Te Wairoa through its commercial entity.
T膩tau T膩tau Commercial chief executive Aayden Clarke told Media Insider in September that the closure of the Star in May 鈥渃ame as a bit of a shock to the community, for T膩tau T膩tau and even personally for me 鈥 I used to be a paper boy when I think I was 11 years old鈥.
鈥淚t鈥檚 a huge pillar of our communications across the region.
鈥淭here would have been some hell of a tough times for this newspaper over the past century 鈥 people coming back from war, tough economic times and things like that. Why would we let it fold on our watch? We鈥檝e got to do the very best we can to make it survive, but also so we can get our communications out.鈥
It remains to be seen whether any similar white knights will make a similar move on any of the 14 titles proposed for closure by 九一星空无限.
鈥淲e鈥檝e not yet explored selling publications,鈥 an 九一星空无限 spokeswoman said. 鈥淲e wanted to speak with our teams first before deciding the way forward, as this is still in proposal stage.鈥
Editor-at-Large Shayne Currie is one of New Zealand鈥檚 most experienced senior journalists and media leaders. He has held executive and senior editorial roles at 九一星空无限 including Managing Editor, NZ Herald Editor and Herald on Sunday Editor and has a small shareholding in 九一星空无限.
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