Postmedia enters agreement to buy SaltWire chain of newspapers

Postmedia has entered an agreement to purchase SaltWire, Atlantic Canada’s largest newspaper chain, according to a news release issued Friday.

SaltWire has been under creditor protection since March. It publishes more than 20 papers in Atlantic Canada, including The Chronicle Herald in Halifax, The Guardian in Charlottetown, and The Telegram in St. John’s, along with associated websites.

In the release, the Canadian news media company said the potential acquisition aligns with Postmedia’s commitment to preserving local journalism and supporting communities.

“If the transaction can be completed, Postmedia intends to provide the necessary back office resources and operational infrastructure to ensure there continues to be reliable and high-quality local news provided to the affected communities,” said Postmedia president and CEO Andrew MacLeod.

It was not clear from the news release whether Postmedia intends to preserve all of SaltWire’s titles.

“Readers would continue to enjoy stories reported by local journalists, supported by the voices and opinions that Canadians across the country rely on for information, diverse perspectives, and unique insights into national and international developments,” the release said.

Postmedia did describe the current operations of SaltWire as unsustainable, though, and said closing the deal would require co-operation from the company’s workforce.

“In order to save critical journalism jobs, we will need the support of the relevant unions to help construct a viable business model,” MacLeod said.

Willy Palov is the president of the Halifax Typographical Union, CWA 30130.

We’re pleased to see a buyer step forward.— Willy Palov, union president

“We’re pleased to see a buyer step forward,” he told CBC News in an email on Friday. “The news is still fresh, and we don’t have all the details yet, so the members and I will have to review the proposed terms before we can say a whole lot more.”

Ian Scott, chief operating officer for SaltWire Network, said he could not comment on the acquisition at this time.

Given ongoing financial trouble at SaltWire, Postmedia said it would like to close the deal as early as Aug. 5, and Aug. 26 at the latest. 

Importance of local news

Retired journalist Gary MacDougall worked for The Guardian in Charlottetown for 47 years, including some time as managing editor. He said his initial reaction upon hearing the news was that it’s both positive and negative.

“The good news is that Postmedia is a reputable national media organization, an organization that knows the business,” he said.

One thing about a good old local newspaper is you pick it up and you find out what’s going on locally.— Gary MacDougall, retired managing editor

MacDougall said he believes the employees of the newspapers will be grateful bankruptcies have been dodged, but said they may have…