Kennedy Heights printing plant for sale, claims union for Vancouver Sun and Province employees
The financially troubled Postmedia newspaper empire will be putting its Surrey printing operation on the block.
The Media Union of B.C. divulged this in a statement on its website late this afternoon.
"The Kennedy Heights printing plant will be put up for sale and operations there will cease sometime in 2015, the union was told today by Paul Godfrey, CEO of Postmedia," the union stated.
According to the union, Godfrey also revealed that the company has "entered into a contract" with Transcontinental to print papers starting in early 2015.
The union has been given two options:
• The company could contract out the work being done at Kennedy Heights.
• The union and management could reach an agreement to open a new plant that would print at a substantially lower cost than Kennedy Heights.
Postmedia has also announced the sale of the building housing the Calgary Herald printing operation. This is one of 10 daily papers in the chain.
The Vancouver Sun, Province, National Post, Montreal Gazette, Edmonton Journal, and Ottawa Citizen are among the others.
In June, Godfrey told Marketing magazine that if corrective action wasn't taken, "it's conceivable there may not be any newspapers at all" in the Vancouver market.
In the last quarter, Postmedia reported a loss of $112 million before income taxes.