Loss widens at Oldham Chronicle

HIRST Kidd & Rennie, the company behind the Oldham Evening Chronicle, made wider losses this year as the regional media sector continued to suffer from high production costs and reduced advertising revenue.

Losses in the year to March 2008 rose from £410,069 to £1.45m. Turnover was down too – £4.78m, compared with £4.96m.

The figures reflect tough trading conditions across the newspaper business. Johnston Press and Trinity Mirror, which both have titles in the North West, reported a sharp slide in advertising revenue earlier this week.

In accounts filed at Companies House Hirst Kidd & Rennie said: “As a result of the UK market conditions there has been an overall reduction of the circulation of the newspaper and this has had a subsequent effect on advertising revenue.”

It added that the benefits of investment in more internet operations would be felt in the current and future financial years.

The business held a 50% stake in Oldham FM – trading as 96.2 The Revolution – during the year. The accounts show the station made a loss of £51,400 during the 12 months to September 2007, on a turnover of £628,000.

In September this year the entire share capital of the radio station was sold to former Key 103 DJ Steve Penk for an undisclosed sum.

The privately-owned business also sold its printing press in the 12 months to March this year, and now sub-contracts its printing. The move cost it £1.18m. 

Hirst Kidd & Rennie’s results and the disposal of its printing presses reflect a wider trend in local print media.

Earlier this week, it was reported that two senior Newsquest managers – Eric Henshaw, managing director of Newsquest Bolton, and Derek King, the publisher for the Newsquest Merseyside operation – have been made redundant.

The news closely follows redundancies made in October at Newsquest’s Blackburn production department.

And in early September, Trinity Mirror controversially said it was to wind down and eventually close its Liverpool printing presses over 15 a month period, with the loss of up to 100 jobs.

It also announced the closure of numerous weekly titles, resulting in the loss of another 30 jobs in the region.

 

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