Fairfax papers worthless – analyst

ŠĒ• Herald Sun

As Gina Rinehart continues to increase her stake and demands more board places at beleaguered Fairfax, a leading media analyst says that their flagship paper The Age and the SMH are worthless:

THE Fairfax Media unit that runs the company’s flagship newspapers is now worthless, according to a leading analyst.

And the radical cost-cutting program unveiled this week may not be enough to revive the publishing and broadcasting company, industry experts say.

Deutsche Bank media analyst Andrew Anagnostellis has told investors th at Metro Publishing – the Fairfax unit that publishes¬†The Age¬†and¬†The Sydney Morning Herald¬†– has “nil value”.

He issued the warning yesterday as Fairfax shares tumbled 8.5 per cent, surrendering Monday’s gains.

It came as the deadlock between Fairfax directors and mining magnate Gina Rinehart continued, and amid forecasts from insiders that the media group would yield to her demands.

Mrs Rinehart, Australia’s richest person, is asking for three seats on the Fairfax board but will not agree to follow the group’s charter of editorial independence.

The stand-off is heaping more pressure on the board, which on Monday unveiled a dramatic restructure. It will cut 1900 jobs, introduce a subscriptions for websites, change its broadsheet newspapers to tabloids and shut the Tullamarine printing press among other measures.

  • Le Sphincter

    Analyst says worthless, Gina has been paying around 60c.

    Analysts net worth , maybe $250k . Gina maybe $2.5 billion.

    • Joe Bloggs

      You’re not only an arsehole but a dumb-arse as well….

      Business Review Weekly estimates Gina Rinehart’s net worth at AUD 29.16bn, and Forbes estimates it at USD18.0bn

      Rinehart doesn’t value the mastheads per se – they’re not worth a hat-ful of burst arseholes. What she values is the opportunity to control editorial content over comments on the mining industry

    • jsrret

      analyst says metro publishing worthless, not fairfax… you do seem to be getting even thicker over time… impressive…

  • Dave

    Perhaps what they meant the Fairfax churnalists are less than worthless …….. a liability. One day Fairfax will work it out. Does Gina actually realize what she wants??

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