Newspaper group may face bankruptcy
The crisis-ridden newspaper group Stampen filed for financial reconstruction Monday after facing major losses.
The Stampen media group owns a range of newspapers and publications, its largest being the daily Göteborgs-Posten, a regional newspaper based in western Sweden.
Stampen has faced great financial difficulties in recent years and in a statement issued Monday, Stampen’s Group CEO Martin Alsander wrote:
“Today we have good operations that are developing in the right direction, but the debts are still too high and our cash flow is not sufficient for handling our weak balance sheets.”
According to the statement, readers will not notice any changes as publications’ daily operations will continue as usual.
The Stampen media group was formed in 1989 and today has over 3,000 employees. Last year, its sales revenue amounted to SEK 3.3 billion.
Stampen experienced record profits in 2007 and grew significantly the following year when it bought Mitt i Stockholm, which distributes 31 local papers throughout the Swedish capital. In 2008, Stampen also announced plans to buy the largest print works in the Nordics.
However, fortunes turned and in 2013, Stampen experienced record losses and had to cut 100 jobs. The financial trouble continued until, finally, on Monday the media group filed for financial reconstruction.
Stampen has two main business areas: Stampen Media and Stampen Print and Distribution. Its publications include Hallandsposten, Hallands Nyheter, Falkenbergsposten, Varbergsposten, Bohusläningen, Strömstads Tidning, TTELA and Vänersborgaren.