Swedish publisher pulls pin on US

LEADING Swedish publisher Metro International is selling up and getting out of America’s newspaper business.

It has jettisoning its stake in free newspapers in New York and Philadelphia, plus a joint venture with the Boston Globe, whose future is under a cloud pending agreement to US$20 million in cuts to offset a prospective loss of US$55 million this year.

The loss-making newspapers have been sold to Sea Bay Media. No financial details have been released, although the legals are due to be completed by June 1.

Associated Press reported separately that Metro was likely to be only US$2 million out of pocket on the deal.

Metro has made a global splash by launching free commuter newspapers across 22 countries. Currently, it runs 81 communter newspapers, similar in style to mX, owned by News Ltd and published in Sydney, Melbourne and Brisbane.

The company is also closing up shop in Spain and it has moved its head office back to Stockholm from London – all moves designed to cut costs.

Advertisements

Tags: , , , , , ,

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s


%d bloggers like this: