Alma Media Corporation Stock Exchange Release 16 April 2012, at 11.00 (EEST)
ALMA MEDIA REORGANISES ITS REGIONAL NEWSPAPER OPERATIONS
Alma Media will make considerable changes to the operational model of all its regional newspaper operations in 2012. The aim of the reorganisation is to improve the quality of the newspapers' content and to guarantee their ability to work together to develop multi-channel media products to meet consumers' and advertisers' changing needs on a commercially sustainable basis.
The changes in the operational model allow the Alma Regional Media business unit to strengthen collaboration between regional and local newspapers and remodel all of the unit's operations, including local and shared content creation. Due to the planned changes Alma Regional Media will launch co-determination negotiations with its entire personnel. The negotiations will involve personnel employed by the various Alma Regional Media companies, some 810 employees in total. Alma Regional Media's initial estimate is that the number of personnel in the unit will reduce by no more than 135 man-years as a result of the change in the operational model.
Alma Regional Media started its operations at the beginning of 2012 with the aim of enhancing internal collaboration within the Corporation and improving quality in its regional and local newspapers. The unit also aims to considerably reduce overlapping operations.
"In view of the outlook of the newspaper as a medium it is essential that we secure our financial standing and journalistic independence. The objective of the planned changes is to preserve locally strong and financially viable regional media everywhere we operate in Finland. We can only secure our future by adding value to the information and improving its quality, a goal which can be reached by strengthening collaboration in all sectors between our newspapers", Kari Juutilainen, Head of Alma Regional Media, asserts.
The co-determination negotiations, which will start next week, will deal with the plans to reorganise and rationalise Alma Regional Media operations and the measures that the personnel may face as a result, including reasons behind these measures, the effects of these measures and available options. Possible reductions in the personnel numbers will affect all employee groups and all newspapers in the unit. Redundancy packages may be offered to those under the threat of redundancy.
Alma Regional Media consists of Aamulehti, Satakunnan Kansa, Lapin Kansa, Pohjolan Sanomat and Kainuun Sanomat as well as 29 local and free newspapers. The reorganisation does not apply to Kauppalehti and Iltalehti, and it will not affect delivery personnel.
ALMA MEDIA CORPORATION
Rauno Heinonen, Vice President, Corporate Communications and IR
Further information: Kari Juutilainen, Head of Alma Regional Media, tel. +358 10 665 3442
Distribution: NASDAQ OMX Helsinki Stock Exchange, key media platforms
Alma Media in brief
Alma Media is a continually renewing media company whose better-known brands include Aamulehti, Iltalehti, Kauppalehti and Etuovi.com. Alma Media employs around 3,000 professionals. Net sales amounted to EUR 316.2 million in 2011, and operating profit was 13.3 per cent of net sales. Alma Media's shares (ALN1V) are listed on the Helsinki Stock Exchange of the NASDAQ OMX. Read more: www.almamedia.fi