Johnston Press released the following statement last Thursday:
“Johnston Press plc ("Johnston" or "the Company"), one of the leading multi-platform community media groups in the UK and Ireland, announces that it has reached agreement with News International ("NI") in exchange for a payment to Johnston of £10m to terminate NI's printing contract at Johnston's Dinnington (near Sheffield) facilities. The Company and NI intend to enter into arrangements in due course relating to provision of printing by NI to the Company.
There is no planned headcount reduction as a result of this agreement and Johnston will explore new contract printing opportunities with immediate effect in order to maximise returns from the premium quality capacity at Dinnington.
The proceeds will be applied in further reducing Johnston's net debt and interest cost.”
