Formal request made to review foreign investment of Postmedia newspapers

OTTAWA, Feb. 25 /CNW/ - The Harper government should immediately review the purchase of Canada's largest newspaper chain by foreign investors, says Canada's media union in a formal request to James Moore, Minister of Heritage.

U.S. investment companies own 92% of Postmedia shares and since their purchase of the Canwest papers last summer, 500 jobs are gone and work is being outsourced to the Dominican Republic and the Philippines.

"This is hardly of net benefit to Canadians, their communities or the critical flow of information in a democratic society," says Peter Murdoch, Vice-President, Media, for the Communications, Energy and Paperworkers Union of Canada. The Postmedia papers include major Canadian dailies and weeklies across the country.

"The Investment Canada Act requires a foreign purchase of Canadian companies to meet the test of a 'net benefit' to Canada, but we fail to see how it helps Canada to see these papers damaged by foreign investors carrying heavy debt loads, particularly when there were Canadian companies ready to buy them.

"Surely the newspapers that keep millions of Canadians informed are as much strategic national assets as potash companies or the stock exchange."

Murdoch pointed out that the current ownership structure of Postmedia fails to even meet the requirements for Canadian ownership under the Income Tax Act. He says the union fears further job losses and even closures may be on way unless the government takes action.

SOURCE COMMUNICATIONS, ENERGY AND PAPERWORKERS UNION OF CANADA

For further information:

Peter Murdoch 905 516-5720 (cell) 613 230-5200, ext. 249 (office)

Profil de l'entreprise

COMMUNICATIONS, ENERGY AND PAPERWORKERS UNION OF CANADA

Renseignements sur cet organisme


FORFAITS PERSONNALISÉS

Jetez un coup d’œil sur nos forfaits personnalisés ou créez le vôtre selon vos besoins de communication particuliers.

Commencez dès aujourd'hui .

ADHÉSION À CNW

Remplissez un formulaire d'adhésion à CNW ou communiquez avec nous au 1-877-269-7890.

RENSEIGNEZ-VOUS SUR LES SERVICES DE CNW

Demandez plus d'informations sur les produits et services de CNW ou communiquez avec nous au 1‑877-269-7890.